Ontario Construction News staff writer
In an effort to address the housing crisis, the City of Mississauga is introducing new financial incentives for homeowners to build additional units on their properties. These incentives aim to lower upfront costs and increase housing supply, particularly in established neighbourhoods.
The incentives, announced last Friday on National Housing Day, Nov. 22, are part of the city’s broader strategy to promote “gentle density,” encouraging sustainable housing growth within existing communities. This approach, according to the city, aims to tackle housing affordability while revitalizing communities and creating inclusive spaces.
Homeowners looking to build or legalize additional residential units (ARUs), such as basement apartments, garage conversions, or garden suites, can have their building permit fees waived.
Legalizing an accessory residential unit requires meeting zoning requirements, complying with Ontario’s Building Code, and passing inspections. The city is also waiving development charges and parkland fees for the fourth unit in new fourplex developments, aligning with existing exemptions for the first three units. Grants are also available to cover building permit fees for fourplexes.
“By streamlining processes and making it easier to increase density, we’re creating a city where everyone can build their future,” Mayor Carolyn Parrish said in a statement.
The city is also sharing its pre-approved garden suite plans with other municipalities across Ontario to streamline the building process and accelerate home construction province-wide. These plans, available for free to Mississauga homeowners since June 2024, offer a ready-to-go solution for homeowners looking to add a rental unit or additional living space. Homeowners can build garden suites in their backyards, creating ideal spaces for expanding families or rental income.
According to the city, these initiatives have already shown some success. In 2024 to date, fourplexes have applied for building permits, and over 715 ARUs, including seven garden suites, have been issued permits. This progress reflects our commitment to creating diverse housing options, a key step in ensuring future generations can live in Mississauga for years.
The city’s commitment to addressing the housing crisis extends beyond these new incentives. In April 2021, the city launched the Increasing Housing Choices in Neighbourhoods study to explore ways to introduce more housing options through gentle density. This study led to updates to the city’s Official Plan and zoning rules in late 2023, making it easier to build up to two ARUs or a fourplex on a single lot.
The City Council approved a Community Improvement Plan in July 2024, allocating $44 million to support affordable rental housing and grants for homeowners and developers building more units.