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City of Toronto laneway suites program

The Affordable Laneway Suites Pilot Program offers eligible property owners a forgivable loan of up to $50,000 as funding for the development of a laneway suite.


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What is the affordable laneway suites program?

The City of Toronto offers support through the Affordable Laneway Suites Pilot Program, which provides a forgivable loan of up to $50,000 to eligible property owners engaged in laneway suite development. The loan becomes forgivable 15 years from the date when a tenant initially occupies the laneway suite. During this 15-year period, the rent charged must align with the City of Toronto's Average Market Rent.

In what situations is repayment required?

Repayment is required under two conditions:

  1. When a new lot is established through the Plan of Subdivision and Consent to Sever.
     
  2. When the seller and owner fail to enter into an Assumption Agreement before transferring the property.

Are there any Development Charges for these types of dwellings?

You have the option to submit an application for the City of Toronto Development Charges Deferral Program. Under this program, the charges for deferral will be postponed for a period of 20 years, starting from the date of issuance of the building permit.

What are the allowable setbacks in Toronto?

The setback regulations in Toronto are as follows:

  • The minimum distance between the Primary home and the laneway/garden home must not be less than 5.0 meters.
  • The maximum allowable building height is 6.0 meters.
  • The maximum allowable building depth is 10.0 meters.
  • For a garden suite, there must be a minimum 1.0-meter wide walkway on the side of the primary home leading to the rear.


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