Rental Cost Assistance

The Rental Incentive Assistance contributes to rental costs for Prince Edward Island companies to establish a new business or to expand existing production capabilities. Assistance may be as:

  • a contribution towards the cost of leasing additional space in any community in the province, or
  • competitive rates and terms for leased space in a PEI business park (500-10,000 square feet)

Who is eligible for Rental Incentive funding?

A company (sole proprietorship, partnership, cooperative or limited liability) is eligible for funding if it has a well-developed business and marketing plan and manufactures, processes, or provides exportable services in one of the following sectors:

  • food development
  • manufacturing
  • information  and communication technology
  • bioscience
  • First-of-its-kind exportable services in other sectors may be considered.

Retail and consumer services businesses are not eligible for assistance through this support.

New project submissions from an applicant in default on any reporting, project completion or financial obligation to Innovation PEI will not be reviewed until a resolution to the default is reached.

What level of assistance is available?

This offers a maximum one-year rental subsidy up to $6.00 per square foot (excluding utilities, taxes, inside maintenance, etc.), payable on a monthly basis.
Lease space may be available in an Innovation PEI owned facility: Lease terms up to five (5) years; base rate is $6.00 per square foot (excluding utilities, taxes, inside maintenance, etc.)

What criteria are used to evaluate funding applications?

Not all projects meeting the minimum criteria will receive funding. Applications will also be evaluated using the following considerations:

  • space availability
  • potential for long-term viability
  • export sales
  • qualifications and track records of managers
  • import substitution
  • cost benefit to the province
  • environmental impact
  • availability of assistance funds
  • employment creation
  • level of assistance from other government programs offered or available

Eligible projects must be expected to provide economic benefit to the province and cannot jeopardize similar existing businesses.

Innovation PEI reserves the right to deny a grant application or request for payment if it suspects or detects fraudulent intent.

Performance Monitoring
Applicants of the Rental Incentive Assistance must provide:

  • satisfactory evidence of occupancy (copy of signed lease)
  • proof of rental/lease payment (cancelled rent cheque, payment receipt or paid landlord invoice)

Successful applicants must be prepared to provide information, as requested, on the ongoing activities of the business for the performance monitoring period.

If your project is approved, the accepted letter of offer shall constitute a contract betwee n Innovation PEI and the applicant(s).
Should the project fail to comply with the terms of the contract or be discontinued, Innovation PEI may, at its sole discretion:

declare the applicant to be in nonperformance (default of the contract)
request the applicant to repay in full the incentive received
take necessary legal action to collect the incentive amount in full with interest.

Application must be submitted before any financial or legal commitment is made on the project. 

Business Development Application (PDF)

Business Development Application (Online)

*This information is provided for information purposes and is not comprehensive and reflective of all Innovation PEI policies.  Not all projects meeting the minimum assistance criteria outlined will receive funding.  Please consult with an Innovation PEI staff member for guidance specific to your company's situation. 

General Contact Information

94 Euston Street, PO Box 910
Charlottetown, PE     C1A 7L9
Telephone:     (902) 368-6300
Facsimile:       (902) 368-6301
Toll-free:       1-800-563-3734

Published date: 
January 19, 2024
Innovation PEI

General Inquiries

Innovation PEI
94 Euston Street
PO Box 910
Charlottetown, PE   C1A 7L9

Phone: 902-368-6300
Toll-free (North America): 1-800-563-3734
Fax: 902-368-6301

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