- What New Ontario law aims to speed up construction and streamline development processes
- Why The province has fallen behind on its ambitious homebuilding plan
- What next The law received royal assent and was enacted on June 5
Nowhere is Canada’s housing shortage more acute than the most populated province.
Ontario in 2022 set an ambitious goal of adding 1.5m homes by 2031, but that means 150,000 new units are needed annually. Yet, between 2023 and 2024, just 193,000 homes were added. Projections are even worse. The provincial budget projects only 71,800 new home starts this year, followed by 74,800 in 2026 and 82,500 in 2027.
Part of the solution could lie in a recently approved piece of legislation intended to speed up construction, streamline development processes and reduce costs for developers.
The bill, called Protect Ontario by Building Faster and Smarter Act, received royal assent on June 5 – the final sitting day of the provincial Legislature before the summer recess.
Green Street News spoke with industry pros to ask whether the legislation could move the needle. In essence: Is the new plan bold enough?
Corey Pacht, partner and EVP at Fitzrovia
“This is the kind of structural reform needed to truly scale purpose-built rental housing”
Corey Pacht, partner and executive vice president, operations at Toronto-based Fitzrovia, said the bill delivers real momentum on what many in the housing sector have been calling for: faster approvals, lower development costs, reduced red tape, smarter infrastructure alignment and a commitment to unlocking underused government land.
“This is the kind of structural reform needed to truly scale purpose-built rental housing,” he said.
“It directly addresses the biggest bottlenecks in Ontario housing, including slow approvals, costly red tape and disjointed infrastructure planning. This is the structural reset the industry has been asking for and we have been advocating for.
“We like how the proposed legislation … reflects a shift from bureaucracy to delivery, putting more trust in builders and developers to lead the charge. This is what we want to see, rather than the creation of new government-led housing entities being considered at the federal level.”
Mary Gagliardi, managing partner of REAP Capital
“What I like conceptually about what [Premier Doug] Ford is trying to do is standardizing on some level”
Mary Gagliardi, managing partner at Toronto-based REAP Capital, praised the bill’s plan to remove municipalities’ ability to impose their own construction standards beyond the building code.
“What I like conceptually about what [Premier Doug] Ford is trying to do is standardizing on some level,” she said. “If I go to Oakville, it’s currently different than if I go to Markham or Toronto. I like the idea of potentially standardizing.
“The biggest challenge is at the municipal levels. It takes us too long to get approvals, and it’s too costly.
“At the end of the day, they need developers to build, but it’s very difficult to do that when it takes five years or more to get an approval on something. That’s five years of carrying costs.”
Charles Arbez, senior director of development at Hullmark
“For me, that’s what I’m most interested in – how are municipalities going to react to this bill?”
Charles Arbez, senior director of development at Hullmark, based in Toronto, said boldness is needed now more than ever, and that implementing the bill is now the focus.
“Typically, the gap between [a bill’s] intent and the actual implementation is normally very wide, regardless of how bold it is. In this particular case, the gap is theoretically smaller, because they’re shifting the focus of the language to being more collaborative.
“For me, that’s what I’m most interested in – how are municipalities going to react to this bill? Because if they’re the ones that will be implementing the rules the province is setting out, then that’s where the rubber hits the road, so to speak.”
Devon Cranson, CEO of Cranson Capital
“Deferring development charges and streamlining approvals will ease financial pressures and accelerate high-density projects near transit hubs”
Devon Cranson, CEO of Toronto-based Cranson Capital, said the proposed legislation is a step forward for Toronto’s housing market.
“Deferring development charges and streamlining approvals will ease financial pressures and accelerate high-density projects near transit hubs,” he said.
“However, the bill fails to tackle Toronto’s excessive development charges, escalating construction costs and municipal resistance, which remain formidable barriers.
“While infrastructure funding and expanded [Minister’s Zoning Order] powers are positive, their effectiveness relies on swift implementation and municipal alignment.”
Correction: Corey Pacht’s job title was corrected at 4pm on June 19.
