The fire at this shelter on MacLaren Street left 19 women homeless Nov. 8. (Chad Pawson/CBC)

Just over a month after a 61-year-old woman died in a fire at a Ottawa homeless shelter, the federal and provincial governments pledged $6 million Tuesday for a new building to house women in need.

The City of Ottawa also pitched in by waiving $190,000 in fees, taxes and development charges.

The fire on Nov. 8 at a shelter on MacLaren Street near Lyon Street run by Cornerstone, an Anglican housing organization, left 19 women homeless.

Cornerstone will use the $6 million toward building a new $11.5-million residence on Booth Street, just across from the Somerset West Health Centre. It is expected to open in 2011 and provide homes for 42 women, 20 of whom will be seniors.

"It's going to serve 42 women who would otherwise be homeless in our society, so it's a very good investment long overdue," said Jim Watson, Ontario minister of municipal affairs and housing.

New housing for homeless women has been a longtime dream of Cornerstone's director, Sue Garvey.

"What it represents for me is dignity," she said. "The women who live here are going have dignity, especially when you think [that for some] it's the final years of their life, you want them to live where people will care for them."