Mayor Olivia Chow’s latest motion waives development charges (DCs) and parkland dedication fees for sixplex projects, making it cheaper and easier to build multi-unit homes. This expands on an earlier policy that waived fees for fourplex developments and aims to boost affordable, multi-generational housing in the GTA.
At Lendworth, we see this as a turning point for builders and investors looking to enter or expand in Toronto’s housing market—and we’re ready to provide the flexible financing you need to take advantage of this change.
🏗️ Why This Matters for Developers and Investors
The city’s move comes after a pilot project allowing multiplex builds in Scarborough North drew zero permit applications. Developers have been sidelined by:
- High building material and labour costs
- Tariffs and economic uncertainty
- Rising municipal fees that eat into project viability
By removing development charges and parkland fees, Toronto is trying to make sixplex construction financially feasible—helping deliver much-needed gentle density housing for:
- Extended families
- Seniors
- Newcomers to Canada
- Renters in need of affordable units
This also aligns with federal housing targets requiring Toronto to build nearly 61,000 homes over the next three years, unlocking additional federal funding.
📉 Overcoming Market Barriers with Private Lending
Even with DC waivers, many developers and small builders face funding challenges. Traditional banks remain cautious, often demanding:
- Long approval timelines
- High pre-sale requirements
- Conservative loan-to-value thresholds
This slows projects and keeps much-needed housing out of reach.
Lendworth changes that.
We offer private, equity-based construction financing designed for sixplex, multiplex, and infill projects in Toronto and surrounding municipalities. Our solutions provide:
- ✅ Fast approvals and closings
- ✅ Flexible draws to match build schedules
- ✅ Bridge financing for land acquisition and early planning
- ✅ Second mortgages for additional liquidity
- ✅ Competitive rates starting at 8.99%
🌇 Big Moves in Toronto’s Development Pipeline
Toronto isn’t stopping at sixplexes. The city has 39 active projects across 13 wards that will build 10,815 new homes, including:
- 3,945 affordable, rent-controlled units
- $86M in capital grants for rental construction
- $17M in interest-free loans for planning and site prep
- 1,000+ affordable homes with property tax exemptions
Additionally, Northcrest Developments’ Hangar District at the former Downsview Airport will transform over 100 acres into a mixed-use community with 2,850 residential units and 7,400 new jobs, set to break ground in 2026.
🔑 Why This Is the Right Time to Act
With sixplexes now more viable than ever, small-to-mid-size developers and real estate investors have a unique chance to:
- Convert single-family lots into multi-unit rentals
- Build cash-flowing, long-term assets
- Participate in Toronto’s affordable housing solution
- Maximize ROI with reduced municipal fees
But speed is key—early movers will secure the best lots and fastest approvals.
💼 Partner with Lendworth for Project Success
We understand Toronto’s development challenges and offer tailored financing to help you succeed:
- Construction loans
- Equity takeouts for land purchase
- Bridge financing for pre-build planning
- Private mortgages for investors denied by banks
Whether you’re a builder breaking ground on your first sixplex or a seasoned developer expanding your portfolio, Lendworth is your partner for fast, strategic funding.
📞 Contact us today at 905-597-1225 or
🌐 Visit www.lendworth.ca to discuss how we can fund your next Toronto housing project.