Starting July 31, 2025, landlords must obtain a Rental Renovation Licence before starting repairs or renovations that require tenants to move out of their rental units. This new bylaw gives tenants additional protections during the renovation process, including rights to compensation, return to their unit and clear notice.
This page outlines tenant rights, what steps to take if tenants receive an N13 notice for renovations, how to get support and how to verify if a landlord is following the bylaw.
Landlords must apply for a Rental Renovation Licence to undertake renovations which require tenants to move out of a rental unit through the N13 process. If a landlord is issued a Rental Renovation Licence, tenants have the right during the application process to choose whether to return to the unit after renovations or not.
Note: Under the Residential Tenancies Act (RTA), tenants who wish to return after renovations are required to give written notice to their landlord before moving out. Signing the City’s Declaration Form may not meet this provincial requirement. Tenants are encouraged to review their obligations under the RTA.
These supports must be agreed upon and documented before the landlord can receive a licence.
The Rental Renovation Licence Bylaw does not override or delay the Landlord and Tenant Board (LTB) process. It works alongside the Residential Tenancies Act (RTA) to ensure fairness and transparency.
The time required to review and issue a Rental Renovation Licence can vary depending on the situation. During this period, tenants should consider seeking support services to better understand their rights, clarify any agreements and explore their options.
An N13 notice is a formal step in the provincial eviction process under the RTA. It may be issued for legitimate renovation work – but landlords must follow all steps in the City’s Rental Renovation Licence Bylaw before asking tenants to leave.
Tenants are not legally required to move out just because their landlord tells them to move out verbally, in writing, through an N13 notice or even if the landlord receives a Rental Renovation Licence from the City. Only the Landlord and Tenant Board (LTB) can issue an eviction order, which requires the landlord to file an L2 application and the tenant to be given the opportunity for a hearing. However, if tenants agree to the terms offered and choose not to contest the notice, they can move out voluntarily.
If a landlord issues an N13 notice and plans to carry out renovations that require tenants to move out, they must:
These steps must happen before the City approves the licence.
As part of the process, the City will issue a Tenant Information Notice (TIN) to the landlord. The purpose of the TIN is to notify tenants that a licence has been applied for and provide information about the process and where to find resources and available supports. The landlord must:
If a tenant is required to move out temporarily and plans to return, the tenant has the right to choose one of two types of support if the landlord is issued a Rental Renovation Licence:
Option 1: Temporary Housing
The landlord may offer the tenant another rental unit to live in during the renovation work. The tenant can choose whether or not to accept the unit. If they don’t accept it, they’re entitled to compensation (see option 2).
Option 2: Compensation
If the tenant chooses to find their own temporary housing, their landlord must provide monthly rent assistance. This payment covers the difference between the current rent and the average market rent in the area, based on the number of bedrooms in the rental unit. The landlord must pay this amount every month for the duration of the renovation.
As part of the Rental Renovation Licence process, the landlord must provide the tenant with a Declaration Form confirming whether the tenant intends to return to the unit after renovations.
Based on this decision, the landlord must complete one of the following plans:
Step 1: Find the applicable zone
Toronto is divided into two market rent zones:
Step 2: Find the average market rent for the unit type
| Zone | Studio | One Bedroom | Two Bedrooms | Three Bedroom and More |
|---|---|---|---|---|
| Downtown zone, marked with red 1 on the map above | $2,154 | $2,517 | $3,296 | $4,244 |
| Rest of Toronto zone (Etobicoke, North York, Scarborough, York and East York), marked with blue 2 on the map above | $2,154 | $2,459 | $3,156 | $3,273 |
If you rent a room in a multi-tenant house, the studio market rent will apply.
The market rent levels shown in the table reflect the most recent data from the Canada Mortgage and Housing Corporation (CMHC) for rental units built since 2015. These figures are updated annually, with new rates published each winter.
Step 3: Subtract current rent from the market rent
The result is the amount the landlord must pay you each month while the tenant is temporarily relocated.
Example:
If you currently pay $1,500 for a one-bedroom unit in North York, and the market rent is $2,459, your landlord must pay you $959 per month for the duration of the renovations.
Your landlord must also provide a one-time moving expense, regardless of whether you return or not:
If the tenant chooses not to return after renovations, the landlord must provide a one-time lump-sum rent-gap payment as financial compensation. This payment is in addition to any compensation required under the Residential Tenancies Act.
In addition to the City’s compensation requirements, landlords must also provide any compensation required under the Residential Tenancies Act. This includes:
The landlord must also provide a one-time moving expense, regardless of whether the tenant returns or not:
If you suspect your landlord is not following the Rental Renovation Licence Bylaw, you can report it to the City by calling 311. The City uses an education-first approach but may take enforcement actions – including inspections, orders to comply, fines or other penalties – if violations are found.
The Public Registry, available through the Building Permit Application & Inspection Status, is a City of Toronto database that lists all issued Rental Renovation Licences and building permit information. It is designed to promote transparency and help tenants stay informed about renovations taking place in rental buildings with tenants.
Tenants can verify whether their landlord has obtained the necessary licence before being asked to vacate. The registry displays the property address, licence status and relevant dates. This information will be available within 24 to 48 hours of an application being accepted.
Tenants can also use this tool to track the status of the building permit associated with their rental unit.
Free support services are available to help you understand your rights, navigate the eviction process and access legal assistance.
Helpful tips:
Explore tools and information from the City of Toronto to help you understand your rights and stay informed: