As background information, the Canadian 2021 Census provides us with helpful details on why new housing supply is needed in Toronto:
- Toronto is an attractive destination in Ontario to people moving from the rest of Canada and the rest of the world: 1 in 7 migrants to Ontario from other countries or the rest of Canada chose Toronto as their home, and almost half of the external migrants to the Greater Toronto and Hamilton Area settled in Toronto.
- 442,910 people moved into the city of Toronto during the five-year period from 2016 to 2021, or about 16.8% of the population. The net increase in Toronto migrants compared to five years earlier was 41,960 people (400,950 migrants were reported in 2016). More than half (242,185) of the migrants to the city were from outside Canada, while 157,040 migrants were from within Ontario and 43,685 were from other provinces.
- The number of external migrants to the city of Toronto between 2016 and 2021 is 242,185, which is higher than the 216,835 external migrants reported by the 2016 Census for the period 2011-2016 and the 200,580 external migrants reported by the 2011 National Household Survey for the period 2006-2011.
- The areas in the City of Toronto with the highest proportion of movers (within the five years prior to the 2021 Census) are located within Downtown and Central Waterfront, Liberty Village, Midtown, and North York Centre.
- Toronto is an attractive destination in Ontario to people moving from the rest of Canada and the rest of the world: 1 in 7 migrants to Ontario from other countries or the rest of Canada chose Toronto as their home, and almost half of the external migrants to the Greater Toronto and Hamilton Area settled in Toronto.
- 442,910 people moved into the city of Toronto during the five-year period from 2016 to 2021, or about 16.8% of the population. The net increase in Toronto migrants compared to five years earlier was 41,960 people (400,950 migrants were reported in 2016). More than half (242,185) of the migrants to the city were from outside Canada, while 157,040 migrants were from within Ontario and 43,685 were from other provinces.
- The number of external migrants to the city of Toronto between 2016 and 2021 is 242,185, which is higher than the 216,835 external migrants reported by the 2016 Census for the period 2011-2016 and the 200,580 external migrants reported by the 2011 National Household Survey for the period 2006-2011.
- The areas in the City of Toronto with the highest proportion of movers (within the five years prior to the 2021 Census) are located within Downtown and Central Waterfront, Liberty Village, Midtown, and North York Centre.
Let's now dive into some of the key initiatives that the City of Toronto is executing on in order to increase the supply of new housing:
1. Expanding Housing Options in Neighbourhoods
- Garden Suites and Laneway Suites: Toronto has introduced policies to encourage the development of garden suites and laneway suites, which are secondary units built on existing residential properties. These suites provide additional housing options without the need for new land development and can increase density in low-rise residential areas.
- Multiplex Housing: In May 2023, City Council adopted Official Plan and Zoning By-law amendments to permit multiplexes – residential buildings containing up to four units – across Toronto’s low-rise neighbourhoods. The Multiplex study is one component of the City’s Expanding Housing Options in Neighbourhoods (EHON) initiative.
2. Housing Now Initiative
- Housing Now Program: Launched in 2019, this initiative focuses on leveraging city-owned lands to develop affordable housing. The Housing Now program aims to create 40,000 new affordable rental homes over the next 10 years by making 22 surplus city-owned properties available for development. The initiative targets a mix of affordable and market-rate housing to create inclusive communities.
3. Inclusionary Zoning
- Inclusionary Zoning (IZ): Toronto has adopted inclusionary zoning policies that require developers to include a percentage of affordable units in new residential developments. This policy applies to certain areas of the city, particularly around major transit station areas, and aims to integrate affordable housing within new developments. The policy mandates that a minimum percentage of units in new developments be set aside as affordable housing, with varying requirements based on the location and size of the development.
4. Affordable Housing and Rental Protection Policies
- Affordable Rental Housing Protection: The city has policies in place to protect existing affordable rental housing and prevent displacement due to redevelopment. This includes measures to require the replacement of affordable rental units that are demolished or converted in new developments.
- Multi-Tenant (Rooming House) Licensing: The city is reviewing its policies around multi-tenant housing (commonly known as rooming houses) to increase the supply of legal, safe, and affordable housing. By allowing more multi-tenant housing in different parts of the city, Toronto aims to provide more affordable rental options for low- and moderate-income residents.
5. Expedited Development Approvals
- Streamlined Development Approvals and Incentives: A Building Permit is your formal permission to begin the construction, demolition, addition or renovation on your property. As part of the Building Permit process, Toronto Building staff must review your plans to ensure they comply with the Ontario Building Code, local Zoning By-laws and other Applicable Law. The City of Toronto is working to streamline the development approvals process to reduce delays and costs associated with new housing development.
- Transit-Oriented Communities: The City of Toronto is working to shape the TOCs put forward by Infrastructure Ontario and Metrolinx to deliver mixed-use developments that are connected to, integrated with or nearby major transit stations including subway, LRT and GO/Smart Track stations, and advance the City’s planning vision for growth around transit.
6. Access Funding for New Infrastructure
- Ontario's Building Faster Fund: The Government of Ontario is supporting housing outcomes through its Building Faster Fund, that was announced in August 2023 to provide up to $1.2 billion over three years to reward municipalities that are building more homes. The fund is designed to help municipalities pay for critical housing- and community-enabling infrastructure needed to accommodate growth, such as site servicing and building new roads. In February 2024, the Government of Ontario committed to providing the City of Toronto with $114 million in funding through its Building Faster Fund in response to action taken by the City and to support future home building targets set in the HousingTO 2020-2030 Action Plan and Housing Action Plan.
7. Affordable Housing Programs and Funding
- Open Door Program: This program provides financial incentives, such as fee waivers, property tax exemptions, and capital funding, to private and non-profit developers who build affordable rental housing. The goal is to reduce the costs associated with affordable housing development and encourage more projects.
- Federal and Provincial Funding Partnerships: The city collaborates with the federal and provincial governments to leverage funding and support for new housing initiatives. Programs like the National Housing Strategy (NHS) provide funding for affordable housing projects in Toronto and other parts of Ontario. New housing is being developed under the Homelessness Prevention Program.
By implementing initiatives such as these, the City of Toronto aims to address the housing supply shortage, provide more affordable and diverse housing options, and create sustainable, inclusive communities.