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Condo Brief: Can Condo Boards Restrict Rentals?

As a result of the recent condo real estate boom in the Greater Toronto Area ("GTA"), there has been an increase in the number of units being purchased by real estate investors. As a result, it is not unheard of today, where most of the units within a condo corporation are being leased out to tenants by absentee landlords.

With the rise in condo units being leased, condo corporations had some ability to regulate rentals, via their condo declaration and government regulations. However, would a condo corporation have the ability to restrict the overall number of rentals?

According to Miller Thomson, although the consensus to date has been that the condo declaration cannot specifically limit the number of units being rented within the condo corporation, pursuant to Mosca v Tours du Chateau, the Quebec court allowed for the restriction of rental units.

It is important to understand that the laws between Quebec and the rest of Canada may differ. Regardless, this is an interesting judicial decision, considering the potential impacts for condominium corporations, condo unit owners/investors and condo tenants.

For a more detailed analysis on this interesting case, please refer to the original Miller Thomson article.

Questions in how the above matter may relate to you? Reach out to Blumenfeld Woznica & Co. to see how this matter may impact your specific accounting and/or tax situation.


This publication is provided as an information service and may include items reported from other sources. We do not warrant its accuracy. This information is not meant as accounting/tax opinion or advice.


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