Starting July 31, 2025, Toronto tenants will have stronger protection against bad-faith evictions, thanks to the city’s new Rental Renovation Licence Bylaw. Passed by city council last November, the bylaw aims to crack down on so-called renovictions—a practice where landlords use renovations as a pretense to evict tenants and hike rents.

Mayor Olivia Chow praised the new measure at a press conference, calling it a necessary safeguard. “Far too often, landlords try to take advantage of tenants who might not fully understand their legal rights,” she said. “This bylaw brings fairness back into the equation.”

Under the new rules, landlords must:

• Hire a qualified professional (licensed architect or engineer) to verify whether a unit truly needs to be vacated.

• Pay a $700 application fee within seven days of issuing an N13 notice to the tenant.

• If a tenant must leave during renovations, landlords must either:

  • Provide temporary, comparable housing at similar rent, or

  • Offer monthly rent-gap payments during the renovation period.

• For tenants choosing not to return, landlords must pay three months of rent-gap compensation.

• In all cases, tenants must receive a one-time moving allowance:

  • $1,500 for a studio or one-bedroom

  • $2,500 for a two-bedroom or larger

The bylaw also carries stiff penalties—up to $100,000 in fines—for landlords who don’t comply.

Tenant advocates and city councillors hailed the move as a major victory. Coun. Paula Fletcher called it “a new day for Toronto tenants,” while Yaroslava Montenegro, executive director of the Federation of Metro Tenants’ Associations, called it “a huge win for our movement.”

Still, experts say more work is needed. Issues like long Landlord and Tenant Board delays, a lack of affordable housing, and rising homelessness remain top priorities for advocacy groups.

The bylaw comes in the same week city council approved additional housing measures, including a colour-coded RentSafeTO rating system for apartment buildings launching in 2026, and waived development charges on multiplexes and sixplexes to encourage gentle density.