Going forward municipalities across Ontario will now have the ability to require affordable units to be built in new residential developments.
The new regulation revolves around a practice called inclusionary zoning, which requires developers to include affordable housing units in residences.
“Under the new regulations, municipalities will be able to mandate that affordable units for low- and middle-income families are included in new housing developments to create mixed-income communities,” reads a press release sent out by the ruling Ontario Liberals.
Affordable housing is a problem that is affecting not just the poor the middle class.
If you were wondering, ownership and rental housing are considered “affordable” when the home costs less than 30 per cent of a household’s pre-tax income.
Income inequality and income polarization are concerns here, too. More neighbourhoods in the GTA are considered low-income now than ever, in fact a whopping 52 per cent of neighbourhoods in Peel Region qualify, so the new regulations aim to help some current and future residents.
As of April 12, 2018, municipalities can make more decisions tailored to their residents’ needs around affordable housing. Municipalities can decide how many affordable housing units will be included in some resident developments, how long units will remain affordable, and what measures will be used to offset the cost of developing affordable units.
Municipalities can also determine if any affordable housing units can be built on another site and expand housing options and ultimately increase the supply of affordable housing in the community.
New inclusionary zoning bylaws apply to developments of 10 or more units, and to any type of residential developments, both ownership and rental.
Inclusionary zoning was introduced in 2016 to increase affordable housing for middle-income earners. – CINEWS