TRENTON, Canada (AA) – The Canadian government announced Tuesday it will loan CAN$1.4 billion ($1.06 billion) to the Squamish First Nation to build 3,000 homes near Vancouver, British Columbia.

“This project is the largest First Nations economic partnership in Canadian history,” Prime Minister Justin Trudeau said at a groundbreaking ceremony. “It’s part of our vision for a better future for everyone.”

The government is financing the first two stages of the four-phase development that will eventually see 6,000 rental units along with commercial development on the site of what was an ancient village that was burned and the land expropriated by Ottawa a century ago.

The high-density units will be rented to Indigenous and non-Indigenous people in the Vancouver area.

“Particularly in Vancouver, it’s tough to find a place. The rental market vacancy rate is very low. We need to work together to provide more housing options for people, and that’s what brings us here today,” said Trudeau.

The Squamish Nation said the project will ensure a better future for the next generation.

“The project that we are embarking on with our partners represents an over CAN$10-billion ($7.6 billion) return that is going to come back to the Squamish people through the use of our lands, through sustainable economic development,” said Sḵwx̱wú7mesh Úxwumixw (Squamish Nation) Council Chairperson Khelsilem.