On October 16, 2026, Hitachi Energy announced it will build a $479 million factory in east London, with help from Ottawa and Ontario. It's a big number and a good headline for the city. I've had a few people ask whether it means home prices in the east end are about to jump, so here's what was actually announced and how I'd think about it if you're buying or selling.
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548 490 4577What exactly was announced?
| Item | Detail |
|---|---|
| Company | Hitachi Energy (Hitachi's power grid business) |
| Total investment | $479 million |
| What it makes | Transformer insulation pressboard and laminated insulation |
| Location | Huron Street and Veterans Memorial Parkway, east London |
| Size | 21,000 square metres (about 226,000 square feet) |
| Permanent jobs | More than 100 skilled manufacturing and engineering jobs |
| Expected completion | End of 2028 |
| Federal support | $20 million from the Strategic Response Fund plus $10 million from Natural Resources Canada |
| Ontario support | Conditional grant of up to $20 million from the Invest Ontario Fund |
The Ontario grant still depends on a final funding agreement being signed, which is normal at the announcement stage. Hitachi is paying the large majority of the cost itself.
Why is Hitachi building this in London?
Transformers are the boxes that step electricity up and down between power plants, the grid and your house. Demand for them has shot up with data centres, new factories and the push to expand the grid, and the insulation inside them has mostly been imported from Europe. This plant is meant to make that material here.
Hitachi already runs Canduct, an insulation-kit and components maker close to the new site, so it isn't new to London. The company and the province pointed to access to skilled workers, nearby customers and raw materials, and the site's water supply as reasons for picking the location.
Will this push up home prices in London?
Not on its own, and I'd be wary of anyone who tells you it will. London is a city of more than 400,000 people. A hundred permanent jobs, arriving in 2028, isn't going to move citywide prices. Rates, inventory and the wider economy will matter far more over the next two years.
Where it does matter is as a signal. Long-term employers putting hundreds of millions into a city's industrial land is one of the things that keeps a local economy steady through slower periods. Add the construction work between now and 2028, the suppliers it pulls in, and the Volkswagen PowerCo battery plant going up in St. Thomas, and the south and east side of the region is getting more good-paying industrial jobs than it has in years.
For context, LSTAR's September 2026 numbers show a market that still favours buyers, with a composite benchmark price of $552,500 and close to six months of inventory. One factory announcement doesn't change that picture.
Which London neighbourhoods are closest to the plant?
The site is on London's east side, near the Veterans Memorial Parkway industrial corridor. The residential areas closest to it are east-end neighbourhoods like Huron Heights and Argyle. These have historically been some of the better-value parts of the city for detached homes, which is why a lot of first-time buyers already look there.
Veterans Memorial Parkway also runs south to Highway 401, so the plant is a reasonable drive from south London and from St. Thomas. If you're weighing where to live for a job in that corridor, you have more options than just the streets next door.
What should buyers do with this news?
- Don't rush. Nothing changes in the market this month because of a plant that opens in 2028. The buyers' market we have right now is the real opportunity.
- If you'll be working at the plant or in the Veterans Memorial Parkway corridor, look at commute times from a few areas before you pick a neighbourhood. The east end, south London and St. Thomas can all work.
- Check what's planned around any specific street you like. A home that backs onto industrial land is a different purchase from one a few blocks away. I can pull the zoning and any nearby development applications for you.
- Get pre-approved on today's numbers, not on what you think the area might be worth later.
What does it mean if I'm selling in east London?
It's good news for the area, but it doesn't justify adding money to your list price. Buyers and appraisers price your home on what comparable homes have sold for, not on headlines. Overpricing in a buyers' market usually means sitting longer and then selling for less.
What it can do is help your marketing. Buyers moving to London for work want to know where the jobs are. A listing that explains how close the home is to the Veterans Memorial Parkway corridor, the 401 and new employers gives an out-of-town buyer a reason to book a showing.
If you're not in a hurry, there's no need to time a sale around this. If you are thinking about moving in the next year, start with a proper valuation based on recent east-end sales.
Frequently asked questions
Where is the new Hitachi Energy plant in London, Ontario?
At Huron Street and Veterans Memorial Parkway on London's east side, close to Hitachi's existing Canduct operation.
How many jobs will the Hitachi plant in London create?
More than 100 permanent skilled manufacturing and engineering jobs once it's running, plus construction work while it's being built. The plant is expected to be finished by the end of 2028.
Will the Hitachi plant raise home prices in east London?
Not by itself. About 100 permanent jobs is a small share of London's workforce, and they won't arrive until 2028. It adds to the case for steady long-term demand on the east side, but interest rates and inventory will drive prices far more in the meantime.
Sources: CTV News London, Invest Ontario's news release, Global News and BNN Bloomberg, all published October 16, 2026. Market figures from LSTAR's September 2026 release. Links below.
