From: "steve hartwell" <steve.hartwell@canrem.com>
Newsgroups: ont.general
Subject: house apts q & a 1
Date: 23 Jul 92 22:22:33 EST
Reply-To: "steve hartwell" <steve.hartwell@canrem.com>
Distribution: ont
Organization: Canada Remote Systems




          IV.    QUESTIONS & ANSWERS ON RELATED ISSUES

1.   Can municipalities license an apartment in a house?

     No.  The Municipal Act currently does not give
     municipalities the power to license apartments in houses,
     and this will not be changed by the proposed legislation.
     Apartments in houses are the same as any other type of unit,
     and therefore should not be subject to special requirements.
     Licensing would also discourage the creation of legal
     apartments in houses.  Rather than provide municipalities
     with the power to license second units, the government
     supports provisions which improve municipalities' ability to
     enforce reasonable health and safety standards.


2.   Can municipalities impose an owner occupancy requirement?

     No.  The Planning Act currently does not give municipalities
     the power to restrict apartments in houses to cases where
     the owner lives on the premises, and the proposed
     legislation would not alter this situation.  An owner-
     occupancy requirement would restrict supply opportunities
     and would likely be unworkable in practice (the Landlord and
     Tenant Act probably does not permit the eviction of tenants
     in cases where a house with an apartment is sold to an
     individual who does not want to live on site).

3.   Will apartments in houses pay their way as far as municipal
     taxes are concerned?

     Yes.  Creating legal apartments in houses will generally
     mean more tax revenue for municipalities.  Adding an
     apartment generally increases the home's market value, which
     is what property taxes in most municipalities are based on.
     Home improvements are tracked through building permits and
     the reassessment process.


4.   Does the Development Charges Act apply to an apartment in a
     house?

     Not in the case of existing houses.  Municipalities are
     prohibited from imposing development charges on the first
     apartment added to a semi-detached or row house, or to the
     first and second apartment added to a detached house.

     However, the Development Charges Act does give
     municipalities the power to impose a charge on an apartment
     installed at the time a house is constructed, although
     municipalities can choose to designate categories of
     affordable housing as exempt from development charges.

5.   Does the Landlord and Tenant Act apply to an apartment in a
     house?

     Yes.  Apartments in houses are in general covered by the
     Landlord and Tenant Act, except in cases where no rent is
     paid (e.g. a unit is occupied by a family member).

     While the Landlord and Tenant Act may not prevent evictions
     where someone shares a kitchen or bathroom with the owner
     and his or her family, such living arrangements would not
     come within the definition of apartments in houses under the
     proposed legislation.


6.   Does the Residential Rent Regulation Act apply to an
     apartment in a house?

     Yes.  The Residential Rent Regulation Act applies to
     apartments in houses the same way as to any other unit.  The
     annual rent review "guideline" determines how much a
     landlord can raise the rent without getting permission from
     the Ministry of Housing for certain above-guideline
     increases.  However, homeowners may set the rent for an
     apartment in their house the first time the apartment is
     rented, provided that the apartment has been created out of
     space that has not been previously rented out.



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