York Region approves policies to help address housing challenges
Newmarket – York Regional Council approved development charges deferral policies and policy details aimed at addressing housing challenges across York Region communities.
Development charges are an essential cost recovery tool municipalities use to help fund vital growth-related, housing enabling infrastructure, including water, wastewater, roads and transit. In York Region, development charges fund about two thirds of growth infrastructure in the 2025 Capital Plan.
“We have continued taking necessary steps to create a more inclusive and accessible housing market for residents in The Regional Municipality of York,” said York Region Chairman and CEO Eric Jolliffe. “While we consistently work with our partners in senior levels of government on advocacy efforts for this important work, there are actions we can proactively put in place at a Regional level by way of development charge deferrals and incentives and prioritize those struggling to find and keep housing.”
Key changes include:
- Deferral of development charges, including:
- Non-luxury rental until their use changes, provided they operate as non-luxury rentals for at least 40 years and have a minimum of four units; this policy is retroactive to April 3, 2025, and is available for developments achieving building permits up to December 31, 2029
- Ground-related development, deferring payment of hard services development charges (water, wastewater and roads) until first building permit issuance, interest-free, originally approved at the April 3, 2025, Special Meeting of Council and in effect since then
- High-rise buildings until the earlier of 48 months, or registration of condominium, with the first 2 years being interest free, originally approved at the Special Meeting of Council on April 3, 2025, and in effect since then
- Changes to other existing deferral policies to incentivize development of large and small office buildings
- A first-time homebuyers’ development charges equivalent rebate for new homes up to $1.5 million, passing savings to homebuyers to take effect pending receipt of new dedicated funding from provincial and federal governments to fully offset costs. This was brought forward at the meeting on April 3, 2025.
- Other policies include:
- Increasing flexibility for developers providing upfront financing for infrastructure
- Modernizing security requirements to accept Pay on Demand Surety Bonds for Development Charge Deferral Agreements and Prepaid Development Charge Credit Agreements
- Supporting farming with a new deferral or exemption contingent on local municipal matching for a new residential dwelling unit for farm workers on agricultural lands
- Revised redevelopment credits treatment to encourage prompt demolition of derelict buildings
“This persistent effort is crucial as we implement timely updates to development charges in the Region,” said Township of King Mayor Steve Pellegrini, Chair of Finance and Administration. “Development charges are an important tool to produce infrastructure needed to support any new development. We look forward to hitting the ground running with these incentives to help encourage a variety of housing options to improve the current landscape.”
While these actions provide some relief to the existing housing challenges, everyone has a role to play and advocacy work with all levels of government will continue for increased, direct and predictable funding to support these housing challenges, initiatives and incentives.
Find out more about how York Region is working towards improving housing affordability at york.ca/DevelopmentChargeImpacts
The Regional Municipality of York consists of nine local cities and towns and provides a variety of programs and services to 1.29 million residents and 57,000 businesses with approximately 624,000 employees. More information about York Region’s key service areas is available at york.ca/RegionalServices
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Media Contact:
Stephanie Crowley, Corporate Communications, The Regional Municipality of York
Phone: 289-763-2598, Email: @email
