Montreal housing bylaw eases affordable housing rules

Summary#

Montréal city council adopted a change to the existing bylaw Règlement visant à améliorer l'offre en matière de logement social, abordable et familial (20-041), also called the Règlement pour une métropole mixte. The change is intended to ease some requirements for residential projects while keeping a 20% requirement for off-market housing in projects covered by the bylaw. Some changes apply when the bylaw comes into force; the materials do not give that date.

  • The bylaw will apply to projects larger than 18,000 m². For some smaller projects, an existing agreement may be ended and payments refunded.
  • Financial contributions will return to 2025 levels; the increase that took effect in 2026 and future index increases are cancelled.
  • The separate affordable-housing requirements in section IV are removed. The 20% requirement in section III changes from social housing to off-market housing, which can include social or affordable off-market housing.
  • The changes include ways to amend some existing agreements and refund payments, subject to conditions.

What it means for you#

  • Developers and property owners: Projects of 18,000 m² or less will no longer be covered by the new threshold. If no permit was issued before the notice of motion, an agreement may be ended and amounts paid may be refunded.
  • Owners with agreements made since January 1, 2026: They may have their financial contributions reduced to the 2025 level, with any excess already paid refunded.
  • Owners with affordable-housing commitments: Some existing agreements may be changed to remove those commitments. Contributions already paid are refundable only if no construction permit was issued before the notice of motion.
  • Projects covered by the bylaw: The requirement becomes 20% off-market housing, rather than 20% social housing. The city summary says qualifying off-market housing can be held by nonprofits, cooperatives, governments, public educational institutions or certain trusts, among others; some publicly supported affordable homes for sale qualify if resale prices are controlled for at least 20 years.
  • Residents and people seeking housing: The decision does not give individuals a right to a home or guarantee that a particular number of homes will be built.

Money#

No cost estimate is provided; city staff say the transitional rules could require refunds of contributions already collected.

  • The city may collect less in contributions because rates are reduced and more smaller projects fall below the threshold.
  • Refunds may be owed under the conditions described above. The materials do not estimate the amounts or identify a funding source.

What is unclear#

  • The materials do not state when the bylaw comes into force.
  • The full text of bylaw 20-041 was not supplied, so the exact calculation of the 20% requirement and all qualification conditions could not be checked.
  • The materials do not explain who decides whether an agreement is ended or changed, or how refunds are processed.
  • The amounts of any refunds and the effect on city revenue are not stated.

Case for#

  • City staff say the earlier rules had become more complex as funding programs and the housing market changed.
  • Staff argue that lower contributions and fewer requirements could reduce project costs and make it easier to reach agreements for projects ready to start.
  • The 20% off-market requirement remains for covered projects, while allowing social and qualifying affordable housing to count toward it.

Case against#

  • Raising the threshold means some smaller projects will no longer face the bylaw’s requirements, and lower contributions may reduce money collected for housing purposes. The materials do not quantify either effect.
  • Because affordable off-market housing can count toward the 20% requirement, a project may provide less social housing than under the former social-housing requirement.
  • The decision does not set out how the city will measure whether these changes lead to more off-market homes or make projects more affordable.

Votes

Vote enregistré sur le point 44.01 — Adoption, sans changement, du Règlement modifiant le Règlement visant à améliorer l'offre en matière de logement social, abordable et familial (20-041)

For (61%)
Against (39%)