Creating 7,000 new rental homes using City resources through new incentives stream
With an increasing number of new rental homes in Toronto stalled due to economic challenges, the City of Toronto is stepping up to get shovels in the ground through the new Purpose-built Rental Housing Incentives stream.
Modelled after successful programs in the past that saw effective public-private partnerships to build housing, this initiative will support the development of 20,000 new rental homes including 4,000 affordable rental homes to move toward construction.
While intergovernmental funding and financing supports are required to meet this target, the City will kick-start the incentives immediately to create 7,000 new rental homes including up to 5,600 purpose-built rental homes and at least 1,400 affordable rental homes through an investment of $461.1 million.
Eligible projects will receive incentives including an indefinite deferral of development charges on purpose-built rental homes as long as the development:
The Purpose-built Rental Housing Incentives stream is part of the Rental Housing Supply Program (RHSP) that was approved by City Council in June. On Monday, November 18, the City will open the Call for Applications for financial incentives towards a range of new rental homes supported under this program, including that a minimum of 20 per cent of all residential units be affordable rental homes.
This week, the City also launched a new Community Housing Pre-Development Fund (CHPF) to help non-profit, housing co-operatives, and Indigenous housing providers with the early costs of pre-development and advance construction of new affordable and rent-geared-to-income homes.
For more information on the City’s Housing Action Plan including the Purpose-Built Rental Housing incentives stream, please visit: toronto.ca/rentalsupply
Combatting renovictions to preserve rental stock and protect renters
Set to take effect on July 31, 2025, the City’s new Rental Renovation Licence Bylaw will introduce measures to protect tenants and prevent “renovictions.”
Through the new bylaw, landlords issuing an N13 notice to end a tenancy will be required to obtain a Rental Renovation Licence, submit a Tenant Accommodation or Tenant Compensation Plan to ensure tenants are supported during renovations, and post a Tenant Information Notice about the renovation and available tenant resources.
More information on the Rental Renovation Licence Bylaw including details on how landlords can prepare to transition to the new requirements will be made available on the City’s website.
Expanding mid-rise development for more homes along Toronto’s Avenues
One of 54 initiatives in the Housing Action Plan 2022-2026, As-of-right Zoning for Mid-rise Buildings on Avenues has been adopted as one of the latest solutions to boost housing starts in the city.
Through this initiative, the City has updated its zoning by-law to enable more housing along Avenues. The updated as-of-right zoning permissions for mid-rise buildings for the Avenues and mixed-use areas will make it easier, faster and more economical to build mid-rise buildings.
City staff will report to Planning and Housing Committee on December 5 with updated consolidated Mid-Rise Building Design Guidelines. The guidelines aim to encourage mid-rise developments that are more economical to build and more environmentally sustainable. This work removes barriers, eases administration and supports the goal to achieve or exceed the provincial housing target of 285,000 new homes over the next 10 years.
More information on the As-of-Right Zoning for Avenue Studies is available on the City’s website.
Information on the HousingTO Plan and the Housing Action Plan is available on the City’s website.
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