Central Elgin Former Hospital Lands Redevelopment

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Over the next several years, Central Elgin is poised for significant new residential and employment growth following a historic investment by the Government of Canada and the Province of Ontario to establish Volkswagen’s first overseas electric vehicle battery manufacturing facility. The facility, set to open in 2027, will create up to 3,000 direct jobs and as many as 30,000 indirect jobs across the region, including Central Elgin.

The new jobs will drive up demand for housing, making speedy provision of housing a priority. The former hospital lands are well situated to accommodate the bulk of this growth within a new mixed-use community. Fully built out, the new community could almost double the current population of Central Elgin.

To support this economic opportunity, anticipated population growth and the accompanying demand for a full range of housing options, the Municipality of Central Elgin is proactively planning for a complete, mixed-use community that will meet the needs of current and future residents.

About the Project

The Municipality of Central Elgin is planning a new community on the former Psychiatric Hospital Lands - a 168-hectare site with a rare opportunity to build a complete, thriving, and inclusive community.

This future community will:

  • Provide a range of housing options to support affordability and meet provincial housing targets

  • Create space for new residents and respond to population and housing pressures connected to regional job growth

  • Support Central Elgin’s strategic goals of sustainability, affordability, and livability

  • Include a vibrant main street, parks, community facilities, and cultural heritage features

Where We Are Now

The project team has reviewed the feedback received through Phase 1 Community Engagement on the draft Policy Directions and Land Use Plan and has considered that input in preparing final versions of the Policy Directions and Land Use Map. At the FFebruary 9, 2026 Council Meeting, Central Elgin Council approved the Final Policy Directions and Land Use Plan, along with the Draft Official Plan Amendment (OPA) for public consultation. With this approval, the Municipality will now move forward with Round 2 of community engagement.

Next Steps

The project team is undertaking a second round of community and stakeholder engagement to continue shaping the future development of the former Psychiatric Hospital Lands. This phase of engagement will build on the feedback received during Round 1 and focuses on confirming community priorities to inform the draft Official Plan Amendment.

Round 2 engagement will accomplish the following:
• Provide participants with an update on how input from Round 1 has been considered and incorporated into the project.
• Present the refined Policy Directions and the Land Use Plan, including potential adjustments.
• Seek focused input on key topic areas such as housing, park and open space locations, transportation and mobility networks, and community amenities.
• Confirm priorities and gather final comments to support the preparation of the draft Official Plan Amendment.

Public Open House:
Tuesday February 24,
4:00 p.m. to 7:00 p.m.
Masonic Centre of Elgin, 42703 Fruit Ridge Line

Public Statutory Meeting:
Monday, March 2
6:00 p.m.
Central Elgin Council Chambers


Over the next several years, Central Elgin is poised for significant new residential and employment growth following a historic investment by the Government of Canada and the Province of Ontario to establish Volkswagen’s first overseas electric vehicle battery manufacturing facility. The facility, set to open in 2027, will create up to 3,000 direct jobs and as many as 30,000 indirect jobs across the region, including Central Elgin.

The new jobs will drive up demand for housing, making speedy provision of housing a priority. The former hospital lands are well situated to accommodate the bulk of this growth within a new mixed-use community. Fully built out, the new community could almost double the current population of Central Elgin.

To support this economic opportunity, anticipated population growth and the accompanying demand for a full range of housing options, the Municipality of Central Elgin is proactively planning for a complete, mixed-use community that will meet the needs of current and future residents.

About the Project

The Municipality of Central Elgin is planning a new community on the former Psychiatric Hospital Lands - a 168-hectare site with a rare opportunity to build a complete, thriving, and inclusive community.

This future community will:

  • Provide a range of housing options to support affordability and meet provincial housing targets

  • Create space for new residents and respond to population and housing pressures connected to regional job growth

  • Support Central Elgin’s strategic goals of sustainability, affordability, and livability

  • Include a vibrant main street, parks, community facilities, and cultural heritage features

Where We Are Now

The project team has reviewed the feedback received through Phase 1 Community Engagement on the draft Policy Directions and Land Use Plan and has considered that input in preparing final versions of the Policy Directions and Land Use Map. At the FFebruary 9, 2026 Council Meeting, Central Elgin Council approved the Final Policy Directions and Land Use Plan, along with the Draft Official Plan Amendment (OPA) for public consultation. With this approval, the Municipality will now move forward with Round 2 of community engagement.

Next Steps

The project team is undertaking a second round of community and stakeholder engagement to continue shaping the future development of the former Psychiatric Hospital Lands. This phase of engagement will build on the feedback received during Round 1 and focuses on confirming community priorities to inform the draft Official Plan Amendment.

Round 2 engagement will accomplish the following:
• Provide participants with an update on how input from Round 1 has been considered and incorporated into the project.
• Present the refined Policy Directions and the Land Use Plan, including potential adjustments.
• Seek focused input on key topic areas such as housing, park and open space locations, transportation and mobility networks, and community amenities.
• Confirm priorities and gather final comments to support the preparation of the draft Official Plan Amendment.

Public Open House:
Tuesday February 24,
4:00 p.m. to 7:00 p.m.
Masonic Centre of Elgin, 42703 Fruit Ridge Line

Public Statutory Meeting:
Monday, March 2
6:00 p.m.
Central Elgin Council Chambers


Have Questions?

Our project team is here to provide answers. Submit your questions and get answers directly from our team.

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Page last updated: 10 Feb 2026, 12:20 PM