Housing minister introduces legislation to speed construction as 1.5M home target slips

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Ontario Construction News staff writer

Ontarioโ€™s housing minister introduced new legislation last week to speed the pace of home construction, as the province falls short of its goal to build 1.5 million homes over the next decade.

โ€œWeโ€™ve got some pretty strong headwinds,โ€ Municipal Affairs and Housing Minister Rob said at a press conference. โ€œItโ€™s a goal, but frankly, our focus is on the next 12 to 24 months. If things continue as they are, weโ€™ll never get there.

โ€œImmediate changes are needed.โ€

According to the Canada Mortgage and Housing Corporation, housing starts in Ontarioโ€™s communities of 10,000 or more dropped 46 per cent in March compared to 2024.

The new legislation has measures that Flack says will limit the types and number of studies municipalities can demand for new projects, streamline the process for minor zoning variances, and standardize municipal fees that developers pay to support infrastructure such as water and sewer systems.

If approved, developers would be able to delay paying certain fees until occupancy instead of upfront at the permit stage and long-term care homes would be exempt from charges, to fast-track construction.

Also, municipalities would given flexibility to reduce development charges, and a cap would be placed on the number of affordable units required in new residential projects โ€” no more than five per cent.

The bill would also expand the use of Ministerโ€™s Zoning Orders (MZOs), which allow the province to override local planning rules. Under the proposal, the authority to issue MZOs would extend beyond the housing minister to include the infrastructure minister, specifically for transit-oriented developments.

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