Gathering Limits Reduced in Toronto, Peel and Residential Rent Freeze in 2021

 

Gathering Limits Reduced in Toronto, Peel and Residential Rent Freeze in 2021   Gathering Limits Rolled Back Starting Friday, September 18, social gathering and public event limits are being rolled back in Toronto, Peel Region and Ottawa to 10 people indoors (from 50) and 25 outdoors (from 100), including open houses. These three areas have been seen as "hot spots" for the recent spike in COVID-19 numbers. These new limits will apply to functions, parties, dinners, gatherings, BBQs or wedding receptions held in private residences, backyards, parks and other recreational areas. The rest of the province will continue to have limits set at 50 indoors and 100 outdoors. The new rules will not apply to events or gatherings held in "staffed businesses" or facilities such as movie theatres, banquet halls, gyms or convention centres. Those facilities can still have 50 people indoors as long as people maintain proper physical distance from anyone outside their 10-person social circle. Weddings held in banquet halls or convention centres which follow existing social distancing and public health measures are also exempt. The province has also introduced legislation for new fines against Ontarians who break these gathering limits. Proposed legislation recommends hefty minimum fines of $10,000 for anyone who organizes a private gathering that exceeds the limits, while anyone who attends these parties can be fined $750. The full news release on the social gathering limits can be found here. Province Introduces Rent Freeze Legislation for 2021; Proposes Extension to Ban on Commercial Evictions The Ontario government is also introducing a rent freeze for residential tenants and extending the eviction freeze for small businesses. If passed, Bill 204, Helping Tenants and Small Businesses Act will freeze rent through 2021 for most rent-controlled and non-rent-controlled residential units. The freeze would also apply in cases where landlords have already given their tenants notice of increased rent for 2021, and the proposed legislation would cap rents that are geared to a household's income at 2020 levels. There are exemptions, including certain above-guideline increases approved by the Landlord and Tenant Board where a property owner is repairing or upgrading a building, or cases where a landlord and tenant agreed to a rent increase in exchange for extra services or facilities, such as added air conditioning or parking. Above-guideline increases wouldn't be allowed due to increases in municipal property taxes unless they were approved by the Landlord and Tenant Board before the bill becomes law. For 2021, the maximum increase would have been 1.5 percent. That will be reduced to zero for next year, although landlords can give notice of increases 90 days in advance, to take effect January 1, 2022. Bill 204, Helping Tenants and Small Businesses Act also proposes to change the Commercial Tenancies Act to extend the temporary ban on evictions for commercial tenants until October 30, 2020 to provide more support to small businesses impacted by COVID-19. The ban was initially in place from May 1, 2020 to August 31, 2020, to align with the Canada Emergency Commercial Rent Assistance (CECRA) for small businesses. This temporary ban would continue to apply to businesses that are eligible for federal-provincial rent assistance through the CECRA for small businesses, but their landlord chose not to apply for the program. The full news release on the rent freeze and commercial eviction ban can be found here.   This legislation is expected to become law in the fall. We will continue to monitor how Bill 204 moves through the legislative process, and will update our Members accordingly. Regards, AYESHA KHALID Realtor Multi-Award Winner Bronze Award (2019) HOMELIFE/MIRACLE REALTY LTD, BROKERAGE Dir: 647-405-3722 Office: 905-455-5100