A new program will provide grants of up to $50,000 to Business Improvement Areas (BIAs) and other community organizations to “address the unintended effects that transit construction can have on local businesses,” Mayor John Tory announced on Thursday.

The Transit Expansion Construction Mitigation Grant Program, launched by the City of Toronto in partnership with FedDev Ontario and Metrolinx, will be made available for BIAs, non-profit organizations and “charities demonstrating a strong local business involvement.”

“Organizations are eligible for grants of up to $50,000 for various initiatives, such as business engagement, area marketing and branding, creative event activations, research and needs assessment and beautification,” the city said in a press release.

“Metrolinx’s contribution is dedicated specifically to supporting BIAs and businesses impacted by the Eglinton Crosstown Light Rail Transit (LRT) construction.”

Metrolinx has been widely criticised for its handling of the Crosstown project, which has caused heavy construction along Eglinton Avenue for more than a decade and led to hundreds of business closures, according to the Toronto Association of Business Improvement Areas’ (TABIA) executive director, John Kiru.

“There were hundreds of businesses lost on St. Clair when the TTC work was done there, and there were hundreds lost along Eglinton [during construction of the] Crosstown,” Kiru told CP24 earlier this week.

Metrolinx says that projects like the Eglinton Crosstown will bring “generational benefits” to local communities.

“Metrolinx has worked to adopt innovative ways to support the local BIAs business community along the corridor since construction began on the [Eglinton Crosstown] project,” said Paul Manhire, Executive Vice President of light rail & bus projects at Metrolinx.

“More recently, we have partnered with the City of Toronto to find the right application for our business support efforts, and we look forward to future partnership opportunities.”

Tory’s announcement comes as many businesses brace for the potential impacts of Metrolinx’s construction of the Ontario Line subway extension, which will run along Queen Street downtown and Pape Avenue in the east end.

During the same announcement, Tory unveiled a number of other city-funded grants aimed at assisting small businesses, with total funding of more than $5 million. Applications for these programs are now open.

“Toronto’s small businesses are vital to our city’s success," Tory said.

"As we continue to rebuild from the pandemic, the City of Toronto is committed to supporting small businesses and ensuring we come back stronger than ever."