Montreal Adds 187 Student Homes as Rental Pressure Persists

By Tahani Elghazaly
Published July 14, 2026

Latest news on WhatsApp أجدد الأخبار على واتساب

A new purpose-built student housing development in Montreal’s Outremont neighbourhood is expected to add 187 rental homes near the Université de Montréal, as governments and non-profit housing providers seek to ease pressure on the city’s rental market.

The federal government announced an $8 million investment through Build Canada Homes for the UTILE Hutchison project, located at 6600 Hutchison Street. The site is approximately an eight-minute walk from the university’s MIL Campus, giving students access to housing close to their classes, employment opportunities and community services.

The acquisition and development of the property were also supported by a $13.8 million loan from the Fonds immobilier de solidarité FTQ. The project is part of nearly 865 affordable homes being supported across Quebec through a combined $200 million investment by the federal and provincial governments.

According to the federal announcement, the development will create 187 purpose-built rental homes for post-secondary students. UTILE’s project page currently lists 186 apartments containing a total of 262 bedrooms, indicating that the government and developer may be using slightly different methods to count the homes included in the development.

UTILE, a non-profit organization specializing in affordable student housing, says the building is expected to open in 2028. It will include apartments designed for students living alone or with roommates, along with study rooms, common areas and other spaces intended to support student life and well-being.

Université de Montréal students will receive priority during the annual leasing period. The project was developed in collaboration with the Fédération des associations étudiantes du campus de l’Université de Montréal, while leases will be offered for 12 months rather than only for the academic year.

UTILE President and CEO Laurent Levesque said the project would help address an urgent need for student housing while reducing the pressure that student demand places on rents in the rapidly developing area surrounding the MIL Campus.

The project comes as Montreal’s rental market shows signs of easing without becoming broadly affordable. The vacancy rate for purpose-built rental apartments in Greater Montreal increased to 2.9% in 2025, but the average rent for a two-bedroom apartment rose by 7.2% to $1,346. CMHC also reported that the most affordable rental units remained scarce despite an increase in overall housing supply.

Adding fewer than 200 student homes will not resolve Montreal’s wider housing crisis on its own. However, dedicated student residences can have an impact beyond their immediate tenants by reducing the number of students competing with families, workers and newcomers for apartments in the conventional rental market.

The UTILE Hutchison project therefore represents more than a university housing initiative. It is part of a broader effort to expand Montreal’s long-term affordable rental supply while giving students a more stable housing option close to campus.