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Doug Ford's 'no rent controls' really helped, eh?

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brewn...@gmail.com

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Nov 23, 2019, 6:01:33 PM11/23/19
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Stupid Ontarians that voted for this Conservative to run their province . . .
_______________________________

Fri., Nov. 22, 2019 - Toronto Star

The Ford government removed rent control on new units. A year later tenants are reporting double-digit increases

It’s been a year since the Ford government scrapped rent control for new buildings, and a wave of tenants are facing a new reality without rent control — with some reporting notices of double-digit increases.


The Progressive Conservatives touted the amendment to the Residential Tenancies Act — which exempts units from rent control that had not been previously occupied before Nov. 15, 2018 — as a way to incentivize investors to build more properties and increase housing supply in a market that is facing a crisis. But industry experts have warned that the policy is likely to lead to more tenants being evicted as they face exorbitant rent increases.

Davica Persaud and her partner lived in their one-bedroom apartment for just over seven months when they received an informal notice from their landlord about a rent increase.

The landlord at her Weston area building was proposing two options: starting March next year (when their lease will be up for renewal), the tenants, who currently pay $1,650 a month, have to choose between either signing another 12-month lease at $1,757 — representing a 6.5 per cent jump — or moving to a month-to-month deal that would bring rent to $2,007, a 21.6 per cent hike.
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^

Persaud was one of more than 70 tenants at 22 John St., a 30-storey building near Weston Road and Lawrence Street West, who convened Wednesday evening for a meeting to discuss uncontrolled rent increases. Those who moved into the building last February and March had started receiving notices from the landlord, asking them to choose between a 12-month lease or a month-to-month deal, with proposed increases ranging anywhere from six to 25 per cent.

Under the RTA, tenants are automatically moved to a month-to-month system after the initial lease expires. The maximum provincial guideline for rent increases in Ontario for 2020 is set at 2.2 per cent, but because 22 John St. is a new rental property, the rent increase guideline doesn’t apply.

On Friday afternoon, a spokesperson for the building’s ownership group told the Star the company was removing the month-to-month “premium.”

“Upon further reflection, ownership has decided that its leasing goals can be achieved through means other than applying a premium on month-to-month rent renewals,” Danny Roth wrote.

“The handful of affected tenants will be advised today that this policy is no longer being pursued, and that market-rental tenancies — irrespective of term — will be offered at comparable rental rates, commensurate with market forces.”

Earlier that day, Roth had told the Star the “two-tiered pricing approach” was meant to promote long-term residencies, saying “short term lease agreements contribute to greater instability in the market and rent inflation.”

According to Roth, tenants who opted for a yearlong lease would still face an increase of up to 10 per cent, adding that monthly housing costs at the property are still below what units are going for in Toronto.

“I know business is business, but this is absolutely crazy. It’s not within reason,” said Persaud on Wednesday. The original notice had warned her that not choosing between the two options would serve as an indication to terminate the tenancy.

On Friday, Chiara Padovani, a community advocate with the York South-Weston Tenant Network who helped organize the tenants meeting, said management’s decision to quash the premium was a welcome move that shows the tenant pressure is working. But it still isn’t enough.

“What we and these tenants are fighting for is a fair rent increase, and that is 2.2 per cent next year,” she said.

Linda Viselli, 52, who uses a wheelchair and moved in her two-bedroom apartment last June, had yet to receive a notice of increase but attended the meeting as she feared for future rent hikes, noting she has nothing against building owners making money but it should be within reasonable boundaries.

“That’s wonderful,” she said of the landlord’s decision Friday to drop the higher increases.

“I hope we get to actually see that,” she said. “I hope we get to see the legislation changed.”

[---]

Councillor Josh Matlow (Ward 12 Toronto-St. Paul’s) said Friday evening he would be moving an emergency motion at council for his colleagues to reconsider that request.

“Council has allowed developers to take advantage of millions of tax dollars to create affordable housing and then be able to turn around and hike rents on unsuspecting tenants,” Matlow said.

On Thursday, before management removed the rent increase premium, the issue of uncontrolled rent increases served to tenants at 22 John St. was raised at Queen’s Park.

“I don’t know about you but most people I know simply cannot afford a rent increase that high. How can the premier justify such steep rent increases, all in the name of rolling out the red carpet for his developer friends?” asked NDP MPP and tenants’ rights critic Suze Morrison.

“Will the premier rise in this house today and commit to reversing the cuts to rent control?” added York South-Weston NDP MPP Faisal Hassan.

[---]

https://dynamicmedia.zuza.com/zz/m/original_/8/b/8bfb1a59-bb8a-4fa5-a3c8-93e1c41c81ed/B88544841Z.1_20190117182631_000_GKRFE35A.2-0_Super_Portrait.jpg


https://dynamicmedia.zuza.com/zz/m/original_/c/1/c1789fab-f041-4155-a66d-7d7a0b3d1bbb/B88544841Z.1_20190117182631_000_GKRFE34K.3-0_Super_Portrait.jpg

M I Wakefield

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Nov 23, 2019, 7:24:30 PM11/23/19
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"Karen Gordon" wrote in message
news:043b6163-133f-446d...@googlegroups.com...

> Stupid Ontarians that voted for this Conservative to run their province .
> . .
>
> The Ford government removed rent control on new units. A year later
> tenants are reporting double-digit increases
>
> It’s been a year since the Ford government scrapped rent control for new
> buildings, and a wave of tenants are facing a new reality without rent
> control — with some reporting notices of double-digit increases.

The problem is that construction of rental units hasn't kept up with demand,
partly because rent-control made it uneconomic to build them ... more than
60% of Ontario's rental stock was built between 1960 and 1979, and there are
more rental units built before 1960 in the supply than there are units built
since 1980 ... more than 80% of Ontario's rental stock is at least 40 years
old.

"The recent removal of rent controls for projects that will be built going
forward provides a useful incentive for developers. However, current land
and development costs, and lengthy approval processes continue to present
very real challenges to the economic viability of new projects. Urbanation
has been carefully monitoring the pipeline of development applications for
new rentals closely. While the inventory has shown consistent growth over
the past three years, it remains at an insufficient level to meet the needs
of today’s and tomorrow’s renting population in Ontario."

https://www.frpo.org/wp-content/uploads/2019/02/Urbanation-FRPO-Ontario-Rental-Market-Report-Winter-2019.pdf

brewn...@gmail.com

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Nov 23, 2019, 7:55:03 PM11/23/19
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> > The Ford government removed rent control on new units. A year later
> > tenants are reporting double-digit increases
> >
> > It’s been a year since the Ford government scrapped rent control for new
> > buildings, and a wave of tenants are facing a new reality without rent
> > control — with some reporting notices of double-digit increases.

On November 23, 2019 M I Wakeford wrote:
> The problem is that construction of rental units hasn't kept up with demand,
> partly because rent-control made it uneconomic to build them ... more than
> 60% of Ontario's rental stock was built between 1960 and 1979, and there are
> more rental units built before 1960 in the supply than there are units built
> since 1980 ... more than 80% of Ontario's rental stock is at least 40 years
> old.

So, now that Ford has removed rent protection, how many rental units have been built by those 'inspired developers' ?

Alan Baker

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Nov 23, 2019, 7:56:41 PM11/23/19
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How long do you think it takes, Karen?

brewn...@gmail.com

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Nov 23, 2019, 8:07:57 PM11/23/19
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On Saturday, November 23, 2019 at 4:56:41 PM UTC-8, Alan Baker wrote:
> How long do you think it takes, Karen?

Well, depends on whether you're moving forward - or backwards:
____________________________

Globe and Mail - July 11, 2019

Ontario scraps affordable housing plan in Premier Ford’s riding, says developer deal ‘undervalued’ the land


The Ontario government has cancelled a plan to build affordable housing on a piece of unused provincial land in Premier Doug Ford’s Toronto riding, saying the original deal wasn’t good enough.

Under a plan announced by the then-Liberal government in 2017, the vacant 11-hectare site of the Thistletown Regional Centre – once a children’s mental-health facility – was supposed to become an 800-unit housing development, with 160 homes offered at rents at or below average market rent. Another 80 units at the site, which is near the intersection of Kipling and Finch Avenues in northwestern Toronto, were to be made available under an affordable-ownership scheme.

But after Mr. Ford’s Progressive Conservatives were elected last year, the deal with Mattamy Homes and two non-profit agencies was quietly scrapped.

The site, which is in one of Toronto’s poorest neighbourhoods and along the route of the proposed Finch West light-rail transit line, costs the government $1.2-million a year to maintain its deteriorating buildings and keep them secure.

Richard Clark, a spokesman for the Premier, said the previous government’s deal on Thistletown failed to produce both enough affordable housing – and enough cash for Queen’s Park.

“We believe that the proposal accepted by the previous government dramatically undervalued Thistletown in terms of both revenue for taxpayers and the potential for housing that's affordable,” Mr. Clark said in an e-mail.

He said the government was reviewing all of its real estate for sites suitable for either affordable housing or long-term care homes, and that no decision has been made on what to do with Thistletown.

In March, Mr. Ford received a briefing on the status of the site, according to the Premier’s calendars obtained by The Globe and Mail through a Freedom of Information request. The Premier also had briefing in his schedule on surplus land sales in January.

The plan was set to receive a range of financial incentives from the city for affordable housing, including waived fees and property taxes. Don Peat, a spokesman for Toronto Mayor John Tory, said the mayor remained committed to working with other governments to get affordable-housing projects built. “The Mayor is hopeful that the progress we had been making on the Thistletown site, including affordable housing and supportive housing, can be resumed,” he said.

A provincial government source, who The Globe granted anonymity because they were not authorized to speak publicly about the development, said the decision to put it on hold was made by the province’s Housing Ministry. It came after postelection meetings with representatives of Mattamy Homes, the developer involved, who offered up larger-scale plans for the site than those approved by the previous government, the source said. The original plans allowed for townhouses and at least one mid-rise building – even though there are taller towers in the area.

M I Wakefield

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Nov 23, 2019, 8:50:09 PM11/23/19
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"Karen Gordon" wrote in message
news:72b292cc-88c9-487b...@googlegroups.com...

> On November 23, 2019 M I Wakeford wrote:

Karen's accuracy in determining my name is no worse than her performance
with other facts.

> > The problem is that construction of rental units hasn't kept up with
> > demand, partly because rent-control made it uneconomic to build them ...
> > more than 60% of Ontario's rental stock was built between 1960 and 1979,
> > and there are more rental units built before 1960 in the supply than
> > there are units built since 1980 ... more than 80% of Ontario's rental
> > stock is at least 40 years old.

> So, now that Ford has removed rent protection, how many rental units have
> been built by those 'inspired developers' ?

What? You think a problem decades in the making is going to be fixed
overnight? There's a rental building under construction near us ... by the
time the first tenants move in next spring, it will have been two years
since shovels went in the ground, and four years since the zoning change
notice went up, and lord knows how long before that that the developer
started work on the project.

Liberals are VERMIN!

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Nov 24, 2019, 3:18:44 AM11/24/19
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On Saturday, 23 November 2019 18:01:33 UTC-5, brewn...@gmail.com wrote:
> Stupid Ontarians that voted for this Conservative to run their province . . .
> _______________________________
>
> Fri., Nov. 22, 2019 - Toronto Star
>
> The Ford government removed rent control on new units. A year later tenants are reporting double-digit increases

The owners are paying taxes on the increased value of real-estate which in 10 years has almost tripled in price. Yes, their properties are worth more but it's not much good if you don't get anything for it, all you face are much higher taxes with each assessment. It's too bad for renters, but why should the people buying property be the only ones who see increases in costs?

M I Wakefield

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Nov 24, 2019, 8:48:47 PM11/24/19
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"M I Wakefield" wrote in message news:qrcijs$h0e$1...@dont-email.me...

> ... more than 60% of Ontario's rental stock was built between 1960 and
> 1979, and there are more rental units built before 1960 in the supply than
> there are units built since 1980 ... more than 80% of Ontario's rental
> stock is at least 40 years old.

I did some digging, and found that the apartment building where I lived in
Ottawa after graduation was approved for construction in late 1960, which
means it probably opened in late 1962 or early 1963. If it were a civil
servant, it would have taken early retirement by now.

The building next door where my wife lived wasn't much younger.

Dave Smith

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Nov 24, 2019, 9:16:39 PM11/24/19
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They seem to be building lots of similar buildings these days, but they
are condos rather than rentals. Rent controls made people reluctant to
invest in rental properties. The increasing population and lack of new
units made the existing units more valuable.

FWIW.... student housing puts huge pressure on local rental markets.
nearby Niagara college has 9,000 students, 4,000 of which are foreign
students. Not far from that is Brock University, as about 16,000
students, many of which are foreign students. Across the lake in Toronto
there is U of T with 63,000 students, York U with 56,000, Ryerson with
40,000, Seneca College with 17 full time students and a few times that
number of part time students, and George Brown College with 25,000 full
time and 60,000 part time students. Let's round it off to a quarter
million students in the city, a significant percentage of them from out
of town. That is lot of people who need housing on top of the residents.
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