Assembly lands C$5M credit facility to scale modular housing in Toronto

Toronto-based Assembly Corp has secured a C$5 million credit facility from PaceZero Capital Partners , the sustainability-focused private debt firm announced on October 21, 2025. The funding will support Assembly's portfolio of development projects across the Greater Toronto Area.

Founded in 2017 and formerly known as R-Hauz, Assembly uses modular prefabricated timber construction to deliver low and mid-rise residential buildings. It offers a turnkey service spanning design, permitting, offsite fabrication, and onsite assembly, working with non-profits, municipalities, and developers.

Assembly relies on a repeatable system built from a standardised kit of parts, fabricated off-site and assembled on-site. The approach aims to deliver housing with speed, predictable costs, and reduced environmental impact.

The Atmospheric Fund (TAF), an early Assembly investor, entered a risk-sharing agreement with PaceZero, citing the greenhouse gas reductions from Assembly's construction methods. "A partial loan guarantee is an excellent way for us to help catalyze this promising industry," said Kristian Knibutat, TAF's VP impact investing.

Canada's modular housing industry is gaining momentum, backed by municipal, provincial, and federal initiatives to address the shortage of affordable homes. "Canada needs to increase the availability of quality, affordable homes," said Jordan Peckham, founder and chief executive officer of PaceZero.

The deal shows how private debt and climate-focused capital are converging to fund low-carbon construction. As Assembly chief executive officer Geoff Cape put it, "Partnerships like this enable real change in how Canada delivers housing."