North Grenville, ON – The Municipality of North Grenville is pleased to announce it has increased its Additional Residential Unit (ARU) grant to $25,000 to help property owners create more affordable housing options.  

Through the federal Housing Accelerator Fund (HAF), the ARU Initiative now offers a $25,000 grant, as Council has approved a $15,000 increase to the original $10,000 grant amount. The ARU Initiative provides the grant, covers building permit fees, and offers free municipally approved architectural designs in one-bedroom, one-bedroom barrier-free, and a two-bedroom tiny home models, providing up to $28,000 in total incentives to support ARU development.  

“With the ARU grant now increased to $25,000 for a limited number of applicants, we are hopeful that more residents will be able to seize this opportunity to invest in their properties and help address local housing needs,” said Mayor Nancy Peckford.  

“Additional Residential Units can create much needed options for family members, including seniors or young adults, or enable homeowners to generate valuable rental income. This expanded funding, combined with architectural designs that have already been commissioned and are available for free to those who qualify for our incentive program, gives homeowners the tools to build high-quality small homes that strengthen our community and expand housing choice across North Grenville.”

What is an ARU? 

An Additional Residential Unit (ARU) is a small, self-contained home located on the same property as a main house. ARUs can be: 

• Inside the existing home (e.g., a basement suite or addition), or 
• Detached on the same lot (e.g., a tiny home or a unit above a garage). 

How the ARU Initiative works 

The initiative will help fund the construction of 10 ARUs per year for three years (30 total). Eligible property owners also receive access to professionally designed architectural plans optimized for small homes.

Applications are evaluated on criteria including: 

• Proof of ownership of residential property 
• Plans to offer affordable rental options 
• Compliance with local planning policies 
• Demonstrated financing to complete construction within the grant timeline 

Building an ARU in North Grenville involves a structured application and approval process, including detailed design plans, building permits, financing considerations, and compliance with all zoning by-laws, building codes, and health and safety regulations. 

Program highlights:

• $25,000 grant per ARU (previously $10,000) 
• Building permit fees covered 
• Free municipally approved ARU designs (1-bedroom, 2-bedroom, and barrier-free layouts) 
• Up to two ARUs permitted per property 
• Flexible options: basements, garage conversions, additions, or detached backyard units 

Get started!

Residents can receive one-on-one support from start to finish. Contact Housing Accelerator Fund Program Manager Jackie Schoemaker Holmes at This email address is being protected from spambots. You need JavaScript enabled to view it.

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