Inclusionary Zoning is a policy tool that requires affordable housing in new residential developments located near public transit. Our city is growing and we want to make sure new housing is affordable for those who call Toronto home. Inclusionary zoning is one solution among a range of City initiatives to help address Toronto’s housing needs.
Inclusionary zoning is in effect in certain Protected Major Transit Station Areas as of August 15, 2025. Developments located in both an Inclusionary Zoning Market Area and Minister-approved Protected Major Transit Station Area are required to provide five per cent of the total units or total residential gross floor area as affordable rental or ownership housing for 25 years. Currently, no affordable housing requirements apply for purpose-built rental housing projects. Some developments may be exempt or transitioned from inclusionary zoning requirements. Refer to the Minister’s regulation and City’s Zoning By-law for more information.
Additional work is being advanced to update the draft Inclusionary Zoning Implementation Guidelines.