VOL. 7 NO. 4 FEBRUARY 2009 GREATER TORONTO APARTMENT ... · With a dedicated account executive from Rogers, you’ll get personalized support you can count on. It’s your one point

VOL. 7 NO. 4 FEBRUARY 2009 GREATER TORONTO APARTMENT ASSOCIATION

BB_Vol.7#4_February09.qxd:BB_Vol.7#1_August08 2/9/09 3:49 PM Page 1

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F E B R U A RY 2 0 0 9 V O L .7 N O. 4 B U I L D I N G B L O C K S 5

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BUILDING BLOCKSVOL. 7 NO. 4 FEBRUARY 2009

PUBLISHERRICHARD SORENDesign Print MediaT. [email protected]

EDITORBRAD BUTTPresident, GTAAT. 416.385.3435 [email protected]

• Building Blocks is published six times per annum (February, April, June, August,October and December) by Design Print Media on behalf of the GreaterToronto Apartment Association (GTAA) and is distributed through controlledcirculation to the GTAA membership.

• Please contact the Publisher for advertising dates and rates. • Opinions expressed are those of the authors and do not necessarily reflect

the views and opinions of the GTAA Board or management. • GTAA accepts no liability for information contained herein.

ON THE COVER - The Capri - 630 Vesta Drive Toronto

C O N T E N T S

www.gtaaonline.com

FEDERAL10 2009 CFAA CONFERENCE IN LONDON

11 FEDERAL BUDGET PROVIDES LITTLE HELP

MUNICIPAL13 2009 WASTE LEVIES SAME AS 2008

13 BLUE BIN ITEMS EXPAND

14 BUILDING AUDIT PROGRAM RUNNING

17 CITY WILL HELP WITH ILLEGAL DUMPING

18 T.O. RENTAL MARKET TIGHTENS IN 2008

22 ENDING HOMELESSNESS ONE PERSON AT A TIME

GTAA8 PRESIDENT’S MESSAGE

10 MESSAGE FROM THE CHAIR

24 DESPERATE TIMES DESPERATE MEASURES

25 TENANTS TAKE LEAD ON ENERGY CONSERVATION

26 COINAMATIC ANNOUNCES NEW PRODUCT LINE

27 FIRST RENTAL HOUSING CARPET RECYCLING PROGRAM

28 UNDERSTANDING PESTICIDES

29 COMMITTEE VERY ACTIVE VOLUNTEERING

30 COMMENTS ON CITY’S SIGN BY-LAW REVIEW

36 ARE YOUR SUPER AGREEMENTS ‘OFF-SIDE’ WITH HUMAN RIGHTS?

38 MEETING WITH MLS STAFF ON MRAB AUDIT PROGRAM

40 HORIZONS FOR YOUTH

42 NEW T.O. ORGANICS PROGRAM

44 PREPARE FOR POSSIBLE BUILDING EMERGENCIES

46 SPRING HOPE FOOD DRIVE ON FOR 2009

www.gtaaonline.com

CORPORATE PROFILEFounded in 1998, the Greater Toronto Apartment Association(GTAA) represents the interests of Toronto’s most activeand concerned firms working in the multi family rentalhousing industry today.

In a climate of rapidly changing issues such as realty taxes,municipal fees, property and fire standards, inspectionsand bylaws, the GTAA was established as a municipalassociation to advocate for the rental housing industry andto provide a source of vital information, representation andleadership in the rental housing industry.

The GTAA now boasts more than 240 property managementcompanies that own and operate more than 160,000apartment units. As well, there are over 150 suppliermembers in all trade categories.

GTAA’s regular meetings with municipalities throughoutthe GTA, including politicians and officials, provides avoice the industry needs for early warning about newpolicies, regulations and research reports. The GTAA alsoengages in effective action campaigns in the media andlocal communities.

MEMBERSHIP HAS ITS BENEFITSGTAA is an active participant in the formation of municipalpolicy and helping to shape legislation and regulationsthat affect the industry. GTAA is “front and centre” on theentire spectrum of housing-related issues.

GTAA will inform member firms how actions by therespective municipal governments and other agencies concerning the building code, affect the multifamily industry’s costs and operations. GTAA will alert members to important proposals to change the model codes, informmembers of code improvements favored by the industry,and interpret the practical impact of major code decisions.


8 B U I L D I N G B L O C K S V O L .7 N O. 4 F E B R U A RY 2 0 0 9

www.gtaaonline.com

BRAD BUTT

P R E S I D E N T ’ S R E P O R T

With all the doom and gloom in the news todayabout the economy, government deficits and

spending and corporate layoffs and shot downs, is thereany reason to get up in the morning?

You can probably gather together a room full economiststhat will give you a room full of different opinions onwhat to do, when to do it, how bad it will be and whenthere will be recovery. But do we really know?

The rental housing industry has seen this before. Weknow about the bad news. We’ve learned our lessons.

I was in the property management business in the early1990s and saw the mortgage takebacks personally. Iserved Notices of Attornment of rents. I worked asReceiver/Manager. I saw the bad times.

My view is that this situation is much different. I don’tsee the crazy mortgage financing, I don’t see the highinterest rates and thank God, we don’t have an NDPgovernment in Ontario like the recession of the 1990s.

I think the rental housing sector can weather the storm.It won’t be like it was but I don’t think it’ll be as bad assome think.

Keep your head down and muddle through. We can beproud that we are providers of good, decent and affordablehousing to many people who will be far worse off thanus.

M I L L E N N I U M M E M B E R S

www.gtaaonline.com



CMHC Makes AnnualMarket Presentation

Representatives of the Canada Mortgage & Housing Corporation(CMHC) made their annual presentation to members of the

Greater Toronto Apartment Association and the Federation ofRental-housing Providers of Ontario on January 29, 2009 providinga very thorough overview of the results of the Ontario andToronto October 2008 Rental Market Survey as well as thoughtsand predictions for the next two years.

Ted Tsiakopoulos and Dana Senagama made their presentationsat The Old Mill over breakfast and also engaged in a lively questionand answer session from attendees. Close to 85 people attended.

MEMBERS WISHING TO RECEIVE A COPY OF THE POWER

POINT PRESENTATIONS OF EACH SPEAKER SHOULD EMAIL

BRAD BUTT AT [email protected].

F E D E R A L


F E D E R A L

1 0 B U I L D I N G B L O C K S V O L .7 N O. 4 F E B R U A RY 2 0 0 9

www.gtaaonline.com

GLORIA SALOMON

Well, this really seems like a winter of discontent.On the economic front, we are facing a recession

that may continue for well over a year. On the weatherfront, we have already had more snow this season thanprior years, and it seems like no end in sight. On therental housing front, we are facing an onslaught ofbuilding audits by the City of Toronto. Rest assured yourbuilding will be picked sooner or later. According to theProperty Standards department, all buildings are goingto be audited, and not on the basis of worst first. Eventhough City owned properties have the worst record,these buildings represent only 20% of the total rentalstock, with 80% privately owned. The Multi-ResidentialAudit Strategy is to inspect buildings using that 20-80proportion. I find that questionable.

One thing to bring a smile to my face is the generousspirit of all owners, property managers and commercialmembers of the GTAA. This is the time of year when wekick off the Charitable Foundation with the annualChair's Lunch. We invite everyone to contribute aminimum donation of $200.00 and join your fellowmembers at an intimate luncheon at the lovely DonaldaClub to benefit our charitable causes on February 25th.This event, together with Golf Day, allows us to generatemost of the funds that we flow through to housingrelated charitable agencies that help those most in need.

There will be many events throughout the rest of thewinter and spring offered by your GTAA. Please try tomake a point of attending at least one of them. One ofmy favourite is the annual Winter Social, a purelyfriendly event with your peers. Also later on, you willhave the opportunity to hear one of the best Americanspeakers in the rental industry offering tips that we canuse to improve our skills in obtaining and maintaininglow vacancy buildings. The Education committee isbrainstorming and coming up with relevant and usefulseminars we can all learn from. I am looking forward toseeing you soon.

The Canadian Federation of Apartment Associations(CFAA) will hold our 2009 Conference in London,

Ontario, from May 6 to 8. As usual, a key attraction isCFAA’s Cross-Canada Round Up, which provides anupdate on the new issues and opportunities experiencedby landlords across Canada. Many landlords and industrysuppliers find this session extremely valuable. CFAAdelegates will also hear about energy issues from alandlord’s perspective.

CFAA and the London Property Management Association(LPMA) will be hosting a Trade Show between 5:00 pmand 7:00 pm on Thursday, May 7, prior to LPMA’s AnnualGeneral Meeting from 7:00 pm to 8:00 pm. The TradeShow will include food and refreshments, 30 displaybooths, industry related talks and fishbowl draws fordoor prizes!

There are many sponsorship opportunities for suppliers tobecome involved with our member apartment associations,either locally with LPMA, or nationally with CFAA.

CFAA encourages our members from across Canada toattend our informative Conference and Trade Show. Formore information, or for the sponsorship and registrationforms, please see the Conference section of the CFAAwebsite at www.cfaa-fcapi.org.

GTAA IS ONE OF 17 MEMBERS OF THE CANADIANFEDERATION OF APARTMENT ASSOCIATIONS, THE SOLE

NATIONAL ORGANIZATION REPRESENTING THE INTERESTS OF CANADA’S $40 BILLION PRIVATE RENTAL HOUSING INDUSTRY, WHICH HOUSES

MORE THAN SEVEN MILLION CANADIANS.

2009 CFAACONFERENCE INLONDON – MAY 6 TO 8

M E S S A G E F R O M T H E C H A I R

www.gtaaonline.com


F E B R U A RY 2 0 0 9 V O L .7 N O. 4 B U I L D I N G B L O C K S 1 1

FEDERAL BUDGET PROVIDES LITTLE HELP FOR PRIVATE LANDLORDS OR TENANTS

JOHN DICKIE, PRESIDENT, CANADIAN FEDERATION OF APARTMENT ASSOCIATIONS (CFAA)

The 2009 Federal Budget was disappointing for landlordsand tenants in the private rental market, who will not see

a penny of the $2B which was allocated to rental housing.$1B is allocated to repairs and energy upgrades for existingsocial housing. $600 M more is allocated for aboriginalhousing on reserves.

HOUSING MEASURES$475 M is allocated for new construction of affordable housing.Happily, that is somewhat focussed on helping those withspecial needs -- the disabled and seniors. If the money makesits way through the negotiations for provincial contributions,it will provide for 6,000 to 8,000 such rental units.

That is much less funding for new social housing constructionthan what the coalition of the Liberals and NDP would haveprovided. As CFAA reported in its 2008 Election information,the Liberals promised 30,000 new social housing units, and theNDP would have wanted to top that. For the details see theOct 10 update in the Election Information section of CFAA’swebsite, cfaa-fcapi.org.

Numerous advocacy groups lobbied the government hard for much more money for new “affordable housing” to beconstructed as part of the stimulus package. In our pre-budgetsubmission, CFAA pointed out that the actual construction ofnew social housing would take two to three years to begin,which would be too long for the stimulus to be of any benefitin addressing the current economic situation.

CFAA argued that a useful way to include housing supportin the stimulus package would be to increase funding forportable housing allowances. CFAA showed how the federalgovernment could provide housing allowances through thefederal tax system, and put money quickly in the hands oflow-income tenants who would spend it in Canada. However,the government declined to enter the housing allowancefield at this time.

CFAA welcomes the Budget’s increases in employmentinsurance and the tax cuts for low income Canadians.Measures that make renters better off, and better able topay their rent, make landlords better off.

CFAA also advocated increased funding for Rental RRAP,which would stimulate repair and renovation activity toimprove existing affordable private rental housing. However,

the seven million Canadians who rent in the private marketwere left out of the home renovation grant program.

INCOME TAX REFORMSIn our submission and in meetings with the government,CFAA advocated for income tax reductions and capital gainstax reductions. CFAA’s first suggestion was for a deferral oftax on sale and reinvestment in rental property. Such adeferral would increase the buying and selling of rentalproperty, generating activity for home inspectors, appraisers,mortgage brokers, lawyers, accountants, real estate brokersand other real estate professionals. The deferral would alsostimulate renovation and repair activity, because new buyersof existing buildings often see opportunities that currentowners do not see, and perform repairs and renovationswithin 4 to 12 months of purchase.

CFAA advocated for improved capital cost allowances (CCA)to make buildings more attractive assets, and thus promotemore repairs and renovations to existing rental buildings, andmore private investment in the construction of new buildings.CFAA advocated for allowing losses created by CCA to bedeductable against other income. That was the regime thatencouraged rental construction from the end of the SecondWorld War until the 1970’s, when developers were building60,000 rental units per year. With the various negative taxchanges since then, now only 10,000 to 15,000 units are beingbuilt annually despite Canada’s larger population.

CFAA’s pre-budget submission can be viewed in full on ourwebsite, www.cfaa-fcapi.org.

Even though the tax reform measures were not included inthe budget, MPs and government officials were interested inthe tax reforms, and encouraged CFAA to keep promotingthose measures. Our best opportunity to obtain tax reformwill be when the economy picks up, preferably in the firsttwo years of a sympathetic majority government.

CFAA is your voice to the federal government about whatsteps would help landlords. CFAA will continue to advocatefor your interests, and we thank you for your support.

GTAA IS ONE OF 17 MEMBERS OF THE CANADIAN FEDERATIONOF APARTMENT ASSOCIATIONS, THE SOLE NATIONALORGANIZATION REPRESENTING THE INTERESTS OF CANADA’S$40 BILLION PRIVATE RENTAL HOUSING INDUSTRY, WHICHHOUSES MORE THAN SEVEN MILLION CANADIANS.

F E D E R A L


2009 Waste LeviesSame as 2008The City of Toronto will not increase apartment garbage feesin 2009 giving another year of adjustment before the annualinflationary increases kick in. The fees are assessed by thevolume of garbage historically collected at a site and givingthe property a rating.

Initially the City had a problem with getting the bills forwaste out in a timely manner and some properties have

experienced a lag of more than six months between pick upand receipt of the new combined waste/water bill. The Cityis now playing “catch up” and it is anticipated that the normalbilling times traditionally associated with the building’s waterbill will include waste.

THE 2009 FEES ARE AS FOLLOWS:

M U N I C I P A L


www.gtaaonline.com

ANNUAL GARBAGE FEE (PER APARTMENT UNIT)

SMALL BIN EQUIVALENT $150.00

MEDIUM BIN EQUIVALENT $175.00

LARGE BIN EQUIVALENT $205.00

EXTRA LARGE BIN EQUIVALENT $235.00

FEE FOR EXCESS WASTE (UNCOMPACTED $9.56 CUBIC YARD

FEE FOR EXCESS WASTE (COMPACTED) $28.67 CUBIC YARD

ANNUAL REBATE (PER APARTMENT UNIT) ($157.00)

RESIDENTIAL BAG TAGS (IF USED) $3.10 EACH

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BLUE BINS ITEMS EXPAND

M U N I C I P A L

As of December 8, 2009 polystyrene and plastic bags cannow be placed into the “blue bin” collection meaning

more waste diverted from the residual waste stream nowbeing charged for at apartments by the City of Toronto.Residents of both single family homes and apartments maynow place these items in for recycling. Here is a helpfulquestion and answer section to inform residents of exactlywhat can and cannot be placed in the recycling bins.

CAN I THROW MY PLASTIC BAGS IN MY BLUE BIN?Grocery and other retail plastic shopping bags can now gointo your Blue Bin.

DO I JUST THROW THEM IN?No. The bags have to be empty; remove any receipts and putall the bags in one bag and then tie closed. Do not use arubber band or twist tie.

CAN ALL PLASTIC BAGS GO IN?No. At this time only plastic retail and grocery bags can go in.

WHAT TYPE OF BAGS CAN’T GO IN?Bags with drawstrings, hard plastic handles and metal detailscannot go in. They can go in, if you cut these items off.

The following bags are also not included:Dry cleaningMilk (outer and inner)Produce

Bread Sandwich Plastic food wrap

WHY CAN’T ALL TYPES OF PLASTIC BAGS GO IN?

Some plastic bags are not being included at this time becauseof contamination concerns (e.g., biodegradable outer milkbags, odour from inner milk bags). Plastic retail and grocerybags represent 70% of plastic film and recycling markets forthis material are more stable than “all plastic film” markets.

Why are plastic retail and grocery store bags being recycled?Aren’t people re-using them?

It’s best if people reduce the number of plastic bags they aregetting by re-using them. If bags cannot be re-used, they canbe recycled after December 8, 2008.

HOW ELSE CAN I REDUCE THE NUMBER OF PLASTIC BAGS?By refusing them in the first place and using durablereusable bags when shopping.

CAN POLYSTYRENE ITEMS GO INTO THE BLUE BIN?Polystyrene is one of the most widely used kinds of plasticand comes in two types: clear/rigid polystyrene andpolystyrene foam. Only polystyrene foam can be put in yourBlue Bin.

WHAT FOAM POLYSTYRENE ITEMS CAN GO IN THE BLUE BIN?Foam packaging (hard, white – used for cameras, stereos, etc.)Foam cupsFoam takeout containersFoam meat traysFoam egg cartons

DO I NEED TO RINSE THESE?Yes. All food residue needs to be removed.

WHAT ABOUT OTHER POLYSTYRENE ITEMS?Packing peanuts (popcorn) and pure solid polystyrene,which is a hard plastic with limited flexibility, are notaccepted in the Blue Bin Program at this time.

Polystyrene can be transparent or can be made to take onvarious colours. Solid polystyrene is used in hard (rigid)products such as plates, glass, cutlery, clamshells and clearegg cartons, plastic models, CD and DVD cases. These itemsare not accepted in the Blue Bin.

WHAT ABOUT THOSE CLEAR CLAMSHELLS USED FOR FRUITSAND VEGETABLES?No, these are not accepted in the Blue Bin. Please put these inthe Grey Garbage Bin.


BUILDING AUDIT PROGRAM OFF AND RUNNING

MORE INFORMATION ON THE PROGRAM AND FOR A LISTING OF THE BUILDINGS THAT HAVE BEEN AND WILL BE AUDITED IS LISTED AT WWW.TORONTO.CA/LICENSING/MRAB.HTM.

The City of Toronto Municipal Licensing & StandardsDivision started as promised on December 1, 2008 with

its new Multi-Residential Apartment Building (MRAB)building audit program. To date more than three dozenproperties have had full inspections with close to 200 Ordersto Comply issued.

The MRAB program is literally inspecting each building fromrooftop to lowest level of underground parking, includingrandom inspections of apartment units where access isgranted. The program also brings a mobile truck unit soresidents of the building and surrounding buildings maycome and report in-unit deficiencies.

According to the City’s website, “Audit staff will be inspectingthe common areas, mechanical systems and grounds of thebuildings they visit. More specifically, audit staff will inspect:

structural components;

mechanical systems (such as heating and ventilation);

electrical systems;

lighting/illumination;

elevators;

emergency power systems;

roofs;

service and utility rooms;

parking facilities and garages;

security systems (such as self-closing external doors, inter-com systems);

garbage management (such as chutes, storage andscreening); and

building amenities (such as swimming pools andrecreational areas).”

Based on a review of Orders that have been served onmembers of the Greater Toronto Apartment Associationswhose buildings were selected for the program, many of theOrders are for very minor and cosmetic related items. TheAudit staff is essentially “throwing the book” at all propertiesleaving no room for discretion.

Further, as reported almost two years ago, the City of Torontohas abandoned the “Notice of Violation” process therebyproceeding directly to “Orders to Comply” on all items –minor or not.

Moreover, many requests for “Engineer’s Reports” on equipment,systems and components is very frequent and although alldo not require a Professional Engineer’s report, an expert inthe area (lighting, windows, HVAC, etc.) is still required to befurnishes to satisfy the Order.

The Chair, Vice-Chairs and President of the Greater TorontoApartment Association met with the Executive Director andsenior members of the Municipal Licensing & Standards staffon January 14, 2009 to raise some concerns over the newprogram. The association put forward a formal brief(contained herein) on areas of concern. The staff agreed totake the concerns under consideration and committed tolook at areas where the program could be augmented.

“This program was approved by Council with the understandingit was going to concentrate on the ‘bad’ buildings and clean themup,” said Brad Butt, President, Greater Toronto ApartmentAssociation. “Although many of the buildings audited so far fitthat category, we remain concerned that the focus of the project isgetting off track. We will continue to monitor this carefully overthe next few months.”

M U N I C I P A L


www.gtaaonline.com



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City WillHelp withIllegalDumping

M U N I C I P A L

The City of Toronto has announced that it will helpdeal with illegal dumping of garbage at private

properties through its by-law enforcement division.Property owners experiencing illegal dumping cancontact the following divisions to report such activity.

NORTH [email protected] – 416-395-7011

TORONTO/EAST [email protected] – 416-392-6700

[email protected] – 416-396-4261

ETOBICOKE/[email protected] – 416-394-3532


TORONTO RENTAL MARKET TIGHTENS IN 2008

continued on page 20

M U N I C I P A L


www.gtaaonline.com

CMHC’s rental market survey data for October 2008 showsa sharp change in the Toronto CMA market. The

apartment vacancy rate fell to 2.0% versus 3.2% a yearearlier. The number of vacant units dropped by almost 3,500units, and 6,225 units were vacant as of October 2008.

The lower vacancy rate allowed rents to increase at a fasterrate than in prior years – 2008 saw the first significant rentincreases since 2002. The average rent reported by CMHCincreased by 3.0% from a year earlier. CMHC states that theincrease was partly due to additions of new inventories withhigher rents. Looking just at units that were in both the 2007and 2008 surveys, CMHC found an increase of 1.7%.

With the rapidly developing economic recession, the drop inthe vacancy rate may be short-lived.

BALANCED RENTAL MARKET IN 2008There is a concept of “natural vacancy rate” - the vacancy rateat which rent increases match overall inflation. For TorontoCMA, I have estimated that the natural vacancy rate is 2% orless. For six consecutive years (2002 to 2007) the vacancy rateexceeded 2%, and during that period rent increases were lessthan the inflation rate. In 2008, with the vacancy rate at 2.0%,rents increased more or less at the same rate as overallinflation. During the past seven years, the average rent inToronto CMA has fallen by 7.6% in inflation-adjusted or“real” terms.

The chart below shows the average rent in inflation-adjustedterms. It shows that the average “real” rent has returned tothe same level as in 1998, although it remains higher thanthe rents seen prior to 1998.

Another perspective shows that rents in real terms, afteradjustment for vacancies, peaked in 2001/2002. As of 2007,the “net real” rent fell by 10% from the peak. With lower

vacancies in 2008, there was some recovery of estimated netreal rents. The figure for 2008 is 8.6% below the peak.

INCREASED DEMAND FOR RENTALS A year earlier, the vacancy rate was flat – the 3.2% vacancyrate in October 2007 was unchanged from the rate seen in2006. With the large drop in the vacancy rate for 2008, myinterpretation looks for changes that might have affectedrental demand.

Several factors can potentially explain the sharp drop in thevacancy rate for 2008, including job creation and changes inhome ownership activity.

• The Toronto economy continued to generate new jobsduring 2008. While there is always uncertainty about theaccuracy of the employment data (as is well known byany regular readers of Housing Market Digest), it doesappear that employment has been growing at about thesame rate as the population. In fact, according to thepublished data, employment growth has been stronger in2008 (2.7% in the year to September 2008) than in 2007(1.9%). If this data is correct, the more rapid job creationin 2008 would result in increased household formation.Most of the new households would make their first stepinto rental housing - increased household formation in2008 might explain some of the drop in the vacancy rate.

• In terms of the impact of home buying activity on the rentalmarket, what matters most is how many new dwellings arecompleted and become occupied. CMHC’s data shows thatin the year up to September 2008, there were increasedcompletions of home owner units – the number of low-risecompletions was flat but there were more completions ofcondominium apartments. This suggests that in 2008 therewould have been more movements out of the rental market,which would tend to put upward pressure on the vacancy


With so many great rentals, we ought to have a

complex.

The perfect place to advertise your perfect place is in the Toronto Star. With over1.2 million readers every Saturday, the Star gives you access to more peoplethan any other renting publication in Toronto. And the Star’s Saturday ClassifiedSection continues to receive accolades from readers and advertisers bycombining relevant editorial and informative advertising.

For more information on our rental advertising products & pricing, please contact: Maithily Panchaligam at 416-869-4709, or email: [email protected]

Ask about our special 2009 Rental Classified advertising rates availableexclusively to GTAA members.

*Source: NADbank 2007 Full


rate. Moreover, an increase in the number of completionsof rental units should also have put upward pressure onthe vacancy rate.

Housing Completions in the Toronto CMA, for 12-Month Periods Ending in September

Year Low-Rise Condo Rentals TotalOwnership Apartment

2007 21,448 7,936 574 29,958

2008 21,503 11,693 1,657 34,853

Source: CMHC, compiled by Will Dunning Inc.

• Yet, the vacancy rate fell. This indicates that the number of moves into rentals (due to job creation) exceeded thenumber of out-moves.

• I suspect that even more important than the amount ofjob creation is its composition – the types of jobs beingcreated and their locations. The manufacturing sector inthe Toronto area has been hammered by the strongCanadian dollar, high energy costs, and the downturn inthe US economy. Statistics Canada data (shown in thenext chart) suggests that employment in manufacturingwithin the Toronto CMA has fallen by 100,000 since thepeak in 2002 to 2004. The manufacturing sector is morepresent in “905” than in “416”, and therefore themanufacturing recession has had more impact on thehousing market in “905”. Since the “905” housing marketis primarily home ownership, the negative impact on therental market has been relatively muted.

• However, key services industries have continued to expand(at least up to the time of the 2008 rental market survey).This includes the financial sector and related professionalservices. Many of the new jobs have been located withinthe downtown core. This in turn has created new jobs inother supporting service industries within the core (such asfood services, retail trade, and personal services). These newjobs are most likely to create needs for rental housing. The

result is that downtown Toronto (CMHC’s zone 1) had avacancy rate of just 1.1% this year. (The next chartillustrates the strong growth in Toronto CMA employmentfor four sectors: finance, professional services, businessservices, and accommodation and food services).

Two other factors that may have caused rental demand toincrease in the past year are:

• As has been discussed, rents have fallen in real termsduring the past seven years. Meanwhile, a strong economyhas allowed wages to rise in real terms (more rapidly thanoverall inflation). This combination has no doubt causedrental demand to increase.

• Secondly, delays in construction of new condominiumshave forced some tenants to stay in their rental dwellingslonger than they had anticipated. These constructiondelays have resulted in a sharp expansion in the underconstruction inventory for condo apartments. At the endof September there were 33,919 condominium apartmentsunder construction in the Toronto CMA. As I discuss below,this very large pending inventory is setting the stage for asubstantial correction within the condo market whichwill, eventually, affect the rental market as well.

OUTLOOK FOR A RISING VACANCY RATEAs discussed above, several factors caused the vacancy rate todrop in 2008:

• Job creation increased.

• Job creation was centered in this occupations and locationswhere it was most likely to generate demand for rentals.

• Delays in condominium completions resulted in reducedout-moves from the rental market.

For 2009, I expect that these factors will move in the oppositedirection, and I expect that the vacancy rate will rise.

However, the path and the timing are uncertain. It is quitelikely that vacancies will continue to tighten for a while.

M U N I C I P A L


www.gtaaonline.com



M U N I C I P A L

I see the following effects:

• The meltdown of the stock market during the fall will resultin a very sharp and very rapid downturn in the TorontoCMA economy. It is obvious to all of us that this process isunderway, and it is already showing up in the employmentdata from Statistics Canada. I expect that there will be a verysharp drop in Toronto CMA employment during 2009 andpossibly into early 2010. The reduction might be in therange of 125,000 to 150,000 jobs, or 4-5%.

• Many of the job losses will occur within the core.

• Falling employment means fewer new households beingformed by young people and less movement into rentals.

• Some renters will move out to live with families or doubleup with others.

• But, there will also be fewer moves out of rentals intohome ownership and there will be some moves of homeowners back to renting.

• Meanwhile, the housing that is now under constructionwill eventually become available for occupancy, and withthe weaker economy, that supply will exceed the need.

• Most of the new completions will be in the ownershipsector. This includes 36,000 condo apartments that wereunder construction at the end of 2008.

Initially, vacancies could actually fall in the rental sector.But, there will be a very large number of vacant condoapartments. As the owners resolve those vacancies in thecondo sector (by reducing prices and rents), there would besome shifting of vacancies to rentals.

It appears that this process - excess supply in the condo sectorand owners acting to sell the units - may be underway already.The next chart shows data from the Toronto Real Estate Boardon the number of condominium apartments listed for salewithin its central districts (districts C01 to C15). For 2006 and2007, and the first nine months of 2008, the data shows anormal seasonal pattern of increasing inventories during thespring followed by a drop-off late in the year. However, for2008, the late year drop-off hadn’t occurred as of November,

and the number of condominium apartment listingsincreased by 1,000 units (75%) compared to a year earlier.

Thus, it appears that we are now on the cusp of an increase inthe number of vacant apartments. Initially, those vacanciesare in the ownership sector. I expect that during the next 12to 18 months there will be a very substantial further rise inthe number of vacant ownership apartments. As the ownersresolve the vacancies (by selling them, or by renting them forreduced rents), the vacancies will - eventually - becomedistributed across both the ownership and the rental sectors.

To summarize, I see two key processes that will combine toproduce higher vacancies in the rental market:

• Reduced demand for all forms of housing (ownership andrental) due to job losses and

• Increased housing supply, due to decisions that were madeduring better economic times.

We saw the same process in two prior economic recessions,in the early 1980s and early 1990s. In both of those instances,there were sharp rises in the apartment vacancy rate.

My forecast is that the vacancy rate might increase slightlyin April, but then rise more substantially, to about 3.5% inOctober. For 2010, I expect the vacancy rate may not be verydifferent.

In recent years, including the 2008 survey, CMHC has foundthat vacancy rates are highest at the low end of the marketand lowest for high rent units. As vacancies increase during2009, I expect that the rise will be most rapid in the upperpart of the rent spectrum.

Rents won’t increase by very much. As 2009 develops, and into2010, we will see the return of significant rental incentives, suchas free rent periods, free parking, or gifts for new tenants.

CMHC REPORT

CMHC HAS PRODUCED A DETAILED AND VERY GOOD REPORTON THE RENTAL MARKET (ALTHOUGH OF COURSE WE AGREEON SOME POINTS AND DISAGREE ON OTHERS). THE CMHCREPORT FOR TORONTO AND OTHER MAJOR MARKETS ACROSSCANADA CAN BE FOUND AT: https://www03.cmhc-schl.gc.ca/b2c/b2c/init.do?language=en&z_category=0/0000000079

ABOUT WILL DUNNING

WILL DUNNING SPECIALIZES IN ANALYSIS OF THE GTA HOUS-

ING MARKET. HIS MAIN SERVICES ARE TO PRODUCE MARKET

FEASIBILITY STUDIES OF PROPOSED HOUSING DEVELOPMENTS

AND TO PROVIDE EXPERT WITNESS TESTIMONY ON HOUSING

MARKET ISSUES. HIS WEBSITE www.wdunning.com PROVIDES

A VARIETY OF REPORTS ON HOUSING MARKETS.


Ending homelessnessone person at a timeThe City of Toronto’s Streets to Homes (S2H) program has

been housing people since February 2005 when it wasapproved by City Council as a viable “housing-first”strategy. Since then, City staff, in conjunction withcommunity agencies and landlords, have housed more than2,300 people who had previously been sleeping outdoors. Infact, over 1600 people have been housed in the private rentalmarket thanks to the support and flexibility of GTAlandlords. Research indicates that, of all those housed, 90%have maintained their housing and significantly improvedtheir lives.

Last fall, with Council’s approval, S2H increased the numberof outreach workers on the streets and extended their hoursto help even more people leave the streets behind. With theincrease of staff and time, the S2H program has expanded itsmandate to help all street-involved people, including thosewho are living outdoors, staying in shelters at night but areon the streets during the day, and those who are housed andpanhandling.

2009 STREET NEEDS ASSESSMENTAs part of their commitment to end homelessness, CityCouncil also directed the Shelter, Support and HousingDivision to conduct an assessment of the service needs ofpeople living on the street. The first Street Needs Assessmenttook place April 19, 2006. The results helped shape significantchanges to how the City approached homelessness issues,resulting in increased emphasis on helping homeless peopleto find and keep permanent housing.

The City of Toronto is now preparing to hold another StreetNeeds Assessment on the evening of April 15, 2009. This isthe second time the city has amassed the efforts of hundredsof volunteers, community agencies and City staff to fan outacross the streets of Toronto and in shelters to ask homelesspeople what they need to end their homelessness.

The Street Needs Assessment is a 10-question survey thathelps the City estimate the number of homeless people at a specific point in time. It also provides a snap shot of

demographics and information on services and how we canhelp homeless people get and keep permanent housing. Onthe night of April 19, 2006, a minimum of 5,052 people wereestimated to be homeless in Toronto; on the street, in ravines,parks, shelters, health care facilities and correctionalinstitutions. The 2009 survey will contain the samequestions so that the data can be compared.

Hundreds of volunteers will be needed to fan out across thecity to implement the Street Needs Assessment. It’s a greatopportunity for anyone who is interested in helping solvehomelessness, in learning more about the issue or simplyseeing a different side of the city. Anyone can be a volunteeras long as they are over age 18.

It is also a great team-building opportunity for organizationslooking to strengthen their team. At the first Street NeedsAssessment, a few organizations volunteered together as ateam-building exercise and reported that not only did itunite their team, it improved morale and helped staff make astronger connection to the community.

Members of the Canadian Housing and Renewal Association(CHRA), Canada’s national social housing associationdedicated to ensuring that Canada has decent affordablehousing for all, will be invited to participate as volunteers aspart of their national Congress being held in Toronto onApril 15 to 18.

Teams of four: an experienced team leader and three volunteerswill survey every person they encounter on the street or in ashelter that evening. Two volunteer shifts are availableafternoon (in the shelter) and evening (on the street). Trainingwill be provided prior to the start of each shift.

We invite all members of the GTAA to consider volunteeringto be part of the 2009 Street Needs Assessment and to learnmore about the issues facing homeless people. If you areinterested in volunteering, please register atwww.toronto.ca/housing.

M U N I C I P A L


www.gtaaonline.com

ORGANIZATIONS INTERESTED IN VOLUNTEERING AS A TEAM CAN CALL 416-397-5224, EMAIL [email protected] OR SIMPLY INCLUDE THE NAMES OF TEAM MEMBERS ON THE REGISTRATION FORM IN THE BOX UNDER THE LAST QUESTION WHY ARE YOU INTERESTED IN VOLUNTEERING? EVERY EFFORT WILL BE MADE TO

ACCOMMODATE REQUESTS TO VOLUNTEER TOGETHER.

PLEASE NOTE: ALL TEAM MEMBERS WILL HAVE TO COMPLETE A REGISTRATION FORM PRIOR TO THE EVENT.




We are hearing it in the news, we see it in peoples’ faces,and we feel it with our rentals. The market is changing

and as an industry, we need to change how we deal with ourcurrent and prospective customers. This is the third timeBonnie Hoy & Associates has marketed in a challengingeconomy. Every year, we make notes regarding ourexperiences. I thought it would be a good time to reflect onthose events in order that we can all benefit in the future.

When people are broke and distraught they do things thatthey would never consider doing under other circumstances.Frankly, they steal. Some people give themselves excuses to ease their conscience but truly they are doing theunconscionable. This is the time for landlords to send outreminders and messages about security. Our records showfor example that vehicle break-ins were on the rise in theearly eighties and nineties when we went through a similartype market. Remind residents to:

• Lock their doors even when they go downstairs to thelaundry room.

• Never leave their laundry unattended (it’s amazing how many people will steal clothes)

• Not to leave valuables in their vehicles at any time.

• Let management know when they’re going away for an extended period so the landlord can keep an eye ontheir unit.

• Never open the front door to anyone that they don’t know.

• Cancel newspaper home delivery if they’re out of town.

• Don’t offer personal details about lifestyle or workpatterns to anyone.

As landlord’s we need to be a little more observant ourselves.There are lots of things we should be doing to protect ourcurrent residents as well as those considering our buildingsduring these tough times. For example, we should:

• Be checking light fixtures in hallways and undergroundgarages to ensure that everything is well-lit at all times.

Stop and question anybody wandering our buildings thatwe don’t recognize as residents within our community.

• Consider increased security in underground areasespecially during the early morning hours when mostvehicle break-ins tend to occur.

• Ensure that all of our cameras are functional and that thetapes are changed regularly. We recommend having a twoweek supply of tapes for rotation where possible.

There are other things landlords need to keep an eye on inthis changing market. Over-housing has been a problem inthe last two recessions. Landlord’s that sent out prompt rentreminders and demands for rent usually fared better thanthose who didn’t. Everybody started looking for a deal. Pricedoes become an issue. People really balked at items such asapartment insurance which proved consistently to be one ofthe first things dropped upon move-in.

All in all, tighten up – really investigate before you accept aborderline application. Ensure that you’re on top of arrearsbefore they get out of control. Send out letters upon renewalshowing people that it’s cheaper to stay than to move. Reallywork to keep people in 1-bedroom units as vacancy tends toshift to this unit size as people start to tighten their belts. Allof these things might not keep you at 100% occupancy butthey may ensure that you do better then most of yourcompetition. Of course, a full house is ideal no matter whatgame you’re playing!

G T A A


www.gtaaonline.com

DESPERATE TIMES WILL BRINGOUT DESPERATE MEASURES

AS A FINAL COMMENT, DON’T START GIVING INCENTIVES IN ORDER TO RENT. THEY ONLY HELP ON A SHORT

TERM BASIS BUT THE LONGTERM PROBLEMS THEY RAISE, OUTWEIGH THE BENEFITS EVERY TIME.

BONNIE HOY



Tenants take the leadon energy conservation

G T A A

OTTAWA’S COMMUNITY ANIMATORS HARD AT WORK!

The Low Income Tenant Energy Savers (LITES) project wasdeveloped by the Toronto Environmental Alliance in

order to motivate and enable low-income Ontarians to saveenergy in meaningful ways that meet their needs. Withfunding from the Ministry of Environment’s Community GoGreen Fund and sponsorship support from Enbridge Gas, theLITES project is working in partnership with the Low IncomeEnergy Network and ACORN to extend energy conservationeducation to tenants across Ontario.

High-rise private rental buildings face special needs andchallenges when trying to meet provincial energy reductiongoals. This timely project is designed to benefit landlords,tenants, and the environment. Working in partnership withCAP REIT and TransGlobe, LITES is reaching nearly 1000tenant households in 4 targeted high-rise buildings inOttawa and Toronto.

LITES is designed for intensive tenant outreach by way ofCommunity Animators, which are tenant leaders living inthe buildings. Using a mix of experience, skills, training, andongoing assistance from ACORN, the Community Animatorswork long hours engaging fellow tenants. The outreachteams are working with CAP REIT and TransGlobe staff todesign and deliver the education program. Together they aredefining the energy conservation challenges they face andfinding creative solutions to educate, involve and enable thewhole building in saving energy.

Currently the Community Animators are completing abaseline tenant survey in the buildings to help define atailored energy education program. The survey will helpto uncover what people do to control their apartment’stemperature, to save energy and hot water, and whichforms of education, training, and tools appeal to them.

Interactive educational activities and events taking placeover the next 8 months are being developed by theCommunity Animators with help from ACORN and TEA.

Tenants are eager to hold information meetings, attendworkshops and events, and receive the information and toolsneeded to start saving energy. One of the most anticipatedactivities is the distribution of free Energy Kits to all tenants,which will put necessary energy saving tools into the handsof tenants. The kit is a reusable bag filled with compactfluorescent bulbs, a timed power bar, window film for draftproofing, tip sheets, and more!

The potential benefits of this project range from short- tolong term for both tenants and landlords. Tenants will usethe resources and tools to make improvements to theircurrent living conditions, as well as extend these new energyconservation habits to their future housing experiences. Thefinancial savings seen by the landlords will help to reducetheir operating costs and create opportunities to pass savingsonto tenants in ways that provide them with a morewholesome living experience.

This project has tremendous potential for long term energysolutions for the whole community, as the informationcollected and lessons learned will be shared so tenant-ledenergy saving actions can continue at a larger scale.


COINAMATIC CANADA INC.ANNOUNCES NEW PRODUCT LINE

G T A A


www.gtaaonline.com

Coinamatic Canada Inc. is pleased to announce theintroduction of its Revolution® Signature Series laundry

products. The new product line consists of privately branded,SmartCity® smart card-activated, front load, front controlwashers and matching dryers produced exclusively forCoinamatic by Alliance Laundry Systems. These machinestruly excel in creating a high end amenity to help BuildingOwners and Property Managers attract and retain residentsto their buildings.

The Revolution® Signature Series by Coinamatic premiumwashers and dryers are Energy Star® qualified with a CEETier 3 rating, providing unparalleled ability to reduce waterconsumption and energy costs.

Equipped with a variety of features and premium settings,Revolution® washers enable residents to tailor laundry cyclesto their specific needs allowing them to independently selectcycle type, water temperature and soil levels. The matchingRevolution® dryers offer 5 different drying cycles.

The features of the Revolution® Signature Series parallel thefeatures available on commercial laundry equipment foundin retail laundromats, leaving building residents no reason toleave the building to visit off-premise laundry facilities.

If you would like to learn more about the Revolution® SignatureSeries and how they can help enhance your property, pleasecontact Virginia Tolfo, Director, Major Client Services at 1-800-361-2646.



MANAGEMENT COMPANY ‘ROLES OUT’ CANADA’S FIRSTRENTAL HOUSING CARPET RECYCLING PROGRAM

FLORSTAR - WWW.FLORSTAR.CA | SHAW INDUSTRIES - WWW.SHAWFLOORS.COM

G T A A

When Realstar Management first got involved in the greenmovement about 15 years ago, they were focused on

finding ways to conserve energy and lower costs. Hundreds ofenergy-saving projects were successfully completed includingconversion to energy-efficient lighting, toilet replacementprograms and conversion of mechanical equipment fromhydro to gas. More recently, Realstar has broadened its focusand added environmentally-friendly initiatives that cover allaspects of ‘green’ from reducing waste to revamping theirprocurement process to focus on reusable, energy-efficient orlow-toxicity products. In January, the company announcedits latest and most impactful initiative, a carpet recyclingprogram that is the first of its kind in Canada.

“Once we started conserving energy, we became aware of the hugedifference we could make by implementing changes at all of ourapartment buildings across Canada,” said Jamie Macdonald,Senior Vice President of Operations, Realstar. “We formed agreen taskforce and started questioning every purchase, everyaction. We then researched what could have the greatest impact ona sustainable long term basis and realized that carpet held themost potential.”

Realstar challenged its longtime flooring provider, Florstar,to find a recyclable carpet product. Florstar found a recyclablecarpet made by Shaw Industries that can be remade intocarpet and other products. With 170 rental buildings acrossCanada, the result is that an estimated 125,000 square yards ofworn carpet will be diverted annually from landfill sites and

shipped to various recycling plants in the United States. Thisprogram was first introduced in the United States by Shaw in2006 and is the first of its type in Canada.

The amount of carpet Realstar will recycle each year will beenough to cover 19 football fields. It will be remade into newnylon fiber which can then be used to manufacture newcarpet. To continue the cycle, Shaw will supply recyclablecarpet to Realstar that Macdonald says is at a similar pricepoint to their former non-recyclable carpet.

“Realstar is committed to continually seeking innovative solutionsand we’ve proven that you don’t have to spend more to beenvironmentally friendly,” said Macdonald. “We hope we inspireothers to come up with creative ways to be responsible. The morethat people are challenged to live green, the more that ideasflourish – it really is a snowball effect and it’s very exciting.”

Other projects underway at Realstar’s properties includetesting other types of recycled flooring, low toxic paint andtaking a new approach to landscaping, including eliminatinggrass and using indigenous shrubs and perennial plants thatcan live without fertilizer and with less water.

Realstar has been a leading provider of quality rentalaccommodation from coast to coast in Canada since 1974.Realstar delivers superior results for its partners and clientswhile ensuring its 70,000+ residents enjoy well-maintainedhomes. www.realstar.ca

A suite featuring Shaw’s recyclable carpeting.Realstar’s Auburn Towers, located in Cambridge, Ontario,offers environmentally-friendly landscaping.


Understanding pesticidesand the importance oftenant co-operation

FOR MORE INFORMATION ON THIS TOPIC CONTACT DAN MCCABE AT MAGICAL PEST CONTROL

One of the biggest obstacles to achieving the eliminationof pest problems is a lack of understanding as to how

pesticides work and how important proper preparation is.Hopefully this brief overview will be a benefit to managersand tenants as we work together to keep our buildings pest free.

Many of the pesticides that are used by professionals in theindustry today are not persist for long in the environment.They are used at very low dosages and then break down tonon-toxic substances. This is very helpful in avoiding achemical build up. How quickly a pesticide breaks downdepends on how much is applied and how it is distributed.Sunlight, temperature and moisture also play a role in howquickly a pesticide will break down.

Some pesticides are considered to be residual products andcan be effective for days, weeks or months after theirapplication. Over treatment or treatments that are toofrequent can cause resistance or aversion problems.

When a liquid residual pesticide is applied it leaves a veryfine fiber of active product behind. These fibers are then

picked up on the target pest, when enough of these fibers arepicked up it will deliver a lethal dose to the target pest. If toomany treatments are done before this fiber has had a chanceto break down it becomes too large to be picked up on thetarget pest and will have no effect. It is recommended thatonce a treatment is done another treatment should not bedone for at least 2-3 weeks.

This is why proper preparation is so important regarding thetreatment of most pests especially bed bugs. If only partialtreatments are done each time and too frequently, the risk ofcausing resistance problems increases substantially. Also,bed bugs can lay their eggs in places where spray treatmentscannot be applied. The tenants should be made aware thatthe vacuuming of furniture, baseboards etc… are necessary tosolve the problem.

Educating tenants regarding pesticides and how they workalong with proper preparation will go a long way in achievingthe desired results that we, the pest control provider, thetenants and the property managers are all working towards.

G T A A


www.gtaaonline.com



COMMITTEE VERY ACTIVE VOLUNTEERING

G T A A

The Members’ Services & Fundraising Committee wasvery busy in December and January giving back to the

community through a day at the Peel Children’s AidFoundation Toy Room and The Scott Mission meal serviceprogram.

“It’s one thing to write a cheque and quite another to get right inthere and see the face of need,” said Brad Butt, President, GreaterToronto Apartment Association. “The volunteers really feelattached to an agency when they get their hands into it andactually do the work.”

The Committee has a very strong community action mandateand although is instrumental in raising thousands of dollarseach year for the Greater Toronto Apartment AssociationCharitable Foundation, also pitches in regularly withvolunteer time.

ANYONE INTERESTED IN JOINING THE COMMITTEE WHICHNORMALLY MEETS MONTHLY, PLEASE CONTACT BRAD

BUTT AT [email protected].


ASSOCIATION COMMENTS ONCITY’S SIGN BY-LAW REVIEW

The Greater Toronto Apartment Association submittedthis letter in January 2009 as part of the City of Toronto

Sign By-law Review.

On behalf of the members of the Greater Toronto ApartmentAssociation, I wish to thank you for meeting with us andallowing us to provide our feedback to you with respect tothe City of Toronto’s interest in harmonizing its Sign Bylaw.

Our association represents the owners and managers ofprivately owned rental apartment buildings through the Cityof Toronto. All of these buildings have some sort ofidentification signage which normally also detailsinformation on how to rent apartments, basic contactinformation (phone numbers, website) and other pertinentinformation. While most of these signs remain constantsome may from time to time have changes or updatesmade to them.

We understand from our discussions that the by-law will“grandfather” existing signage under the provisions of theprevious by-laws under the former municipalities that nowcomprise the amalgamated City of Toronto. We believe thisis a fair and reasonable approach. We are also aware that thesesigns will be permitted to have cosmetic related changes forthe life of the sign. Once a sign has been fully removed, weunderstand that the new sign will have to comply with theprovisions of the new sign by-law in all respects.

With respect to the new harmonized by-law, we wouldrecommend the following conditions.

• sign dimensions and rules should be as flexible as possiblewithin reason to allow for property owners to establishsignage that is appropriate for the site given the size,nature and location of the property

• the City should establish reasonable set backs to ensuresigns do not impede with traffic or safety but still allowthe signs a reasonable viewing distance from roads andpedestrian traffic areas

• the City should establish a reasonable maximum m3 sizeof the fascia of a sign and the maximum height of a signthat is consistent with the highest maximum level of theprevious sign by-laws

• the City should allow a reasonable level of illuminationfor signs recognizing that rental attention to a propertydoes not occur only during daylight hours so long as itmeets tasteful and adequate illumination standards for thegeneral public to read

• the City should allow the erection of a “banner” on the topor penthouse portion of a building as of right

• the City should allow for the use of “A” frame signs on aproperty which are often used as directional signage togain access to a property or promote a special event oractivity

• apartment building rental “A” frame signs on publicproperty should follow the rules and regulations asestablished by the City and properly communicated toproperty owners

The Greater Toronto Apartment Association appreciates theopportunity to provide this input and hope and trust that therecommendations that proceed to Council are in line withthe above noted recommendations.

The By-law Review staff are receiving comments and plan torelease the final set of draft recommendations later this yearfor Council’s approval.

G T A A


www.gtaaonline.com


The following Incentive Guidelines apply to all Commercial projects:

* m3 refers to cubic metre of natural gas.1. Per facility, building or project.2. Before taxes. The “cost of the audit” is the lesser of

the estimated cost of the audit set out in the application form or the actual cost on the audit invoice.

3. Operational improvement projects exempted.Based upon applicable manufacturer’s combustion rating.

To be eligible for Enbridge Gas Distribution Inc.’s Energy Efficiency Incentive Programs you must be an Enbridge Gas Distribution Inc. customer and approved measures must be implemented in Enbridge Gas Distribution Inc.’s franchise area between January 1, 2008 and December 31, 2008. This advertisement is a summary only and certain terms, conditions and restrictions apply. Programs are subject to cancellation without notice at any time. Please ask your Enbridge Gas Distribution Inc. representative and read our program literature for additional details. Enbridge Gas Distribution Inc. makes no representation, warranty or guarantee regarding the projected savings of any energy efficiency measure undertaken by any customer.



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The information contained in this article is intended to provideinformation and comment, in a general fashion, about recent legalissues affecting the Property Management Industry. The informationand views are not intended to provide legal advice. For specific legaladvice, please contact the author at [email protected] or 416 593 3953.

Most Owners and Property Managers of reasonably sizedbuildings seek to employ a couple as Superintendents. Thereasons for this appear to be:

1. The need for the Superintendents to be resident in thebuilding;

2. The logical split of the duties between the physical(usually performed by the male) and the less physical orclerical (usually performed by the female);

3. Since Superintendents are required to be resident in the building, it makes economic sense to provideaccommodation as part of the remuneration, with thefurther benefit that if they are a “couple”, only oneapartment need be provided.

THE TYPICAL SUPERINTENDENT COUPLE CONTRACTMost of the Superintendent Couple Contracts I havereviewed contain provisions which give the employer the

G T A A


www.gtaaonline.com

ARE YOUR SUPERINTENDENT AGREEMENTS “OFF-SIDE” WITH HUMAN RIGHTS?



G T A A

right to take disciplinary action against both individualswhere the incident only involves one of them. For example:

“Should either of you be unable to work for medical or other reasons,we will not be able to hold your position(s) for you and, as you werehired as a team it is agreed that this situation shall be grounds toterminate both parties.”

“Should the employment of either of you be terminated, or eitherparty provides notice of termination, it is agreed that both partiesemployment is terminated.”

Although there may be valid business and economic reasonsfor including such employer rights in the employmentagreement, there is also risk that these provisions offend the Ontario Human Rights Code, which, among otherproscriptions, prohibits discrimination in employment onthe basis of marital status, family status, disability orrelationship.

A RECENT EXAMPLEConsider a case where one member of the Superintendantcouple leaves work for several months because of adebilitating illness. The employer, in good faith and infairness to each member of the couple, agrees to permit theremaining individual to attempt to perform the duties ofboth. After several months it becomes apparent that the jobisn’t being adequately performed, and it is unlikely that theill member will return. As a result, the employer exercises itsrights under the above contractual language to terminateboth members of the team. What are the implications?

As most employers should be aware, terminating someone’semployment because of a disability without makingappropriate efforts to accommodate the individual’sdisability is a contravention of the Code. In addition to thisperhaps obvious breach, a recent Human Rights complaintconsidered the above fact situation and the Commissiontook the position that terminating the non-ill individual notonly offended the prohibition dealing with disability, it alsoconstituted discrimination on the basis of marital status,family status and relationship. As a result, it sought an Orderthat the employer cease and desist from the practice of:

1. “preferring to hire couples as resident superintendents.” and

2. “requiring its employees to acknowledge in advance that theiremployment may be terminated if they become unable to workfor any particular period of time for medical reasons.”

These orders, if applied, would obviously render invalidmany superintendent couple contracts presently being usedin the Province of Ontario with a resulting significant

negative financial impact if Owners and Managers were nolonger permitted to utilize superintendent couples.

CAN THE “COUPLE CONTRACT” BE PRESERVED?If your contracts contain similar provisions, would it besufficient to leave such agreements in place but refrain fromexercising the offending provisions? This cannot be advised.As indicated in the second requested Order, above, a mererequirement to sign such an agreement is seen by theCommission to be offensive in itself.

A SOLUTIONThere is a way out of this predicament by making yourcontracts non-offending. Firstly, any automatic right toterminate because of illness or inability must be deleted.Secondly, because the Code prohibits discrimination on thebasis marital status, family status and relationship and becausethe benefits to an employer of having a superintendent coupleis not dependent on any such status, if we replace referencesto “couples” or “spouses” with terms which do not require anyform of relationship between the individual members, wecan make the contracts nonoffending but still preserve thebenefits of having two people for the job. As an example, wehave taken steps to amend our clients’ superintendentcontracts by referring to the members as a Team andindividually as Team Members. This eliminates a possiblecomplaint on the basis of marital status, family status orrelationship, while at the same time preserving the obviousutility of having a two member resident superintendentteam. Obviously, in many, if not most, cases, the teammembers will still be a “couple”. As long as this is not arequirement, the form of agreement will not be subject tocomplaint on the basis of discrimination on the basis ofmarital status, family status or relationship. If the newcontract language is chosen carefully, you will preserve theright to joint discipline and the economic benefits related tohaving one function split between two individuals.

We recommend that you consider an audit of your existingagreements to determine what steps can be taken to insulateyou from a possible Human Rights Complaint and/or lawsuitbased on discrimination.

BY D.BARRY PRENTICE, PARTNER, BLANEY MCMURTRY LLP


CHAIR, VICE-CHAIRS MEET WITH SENIOR MLSSTAFF ON THE MRAB BUILDING AUDIT PROGRAM

On January 14, 2009 a meeting was held with representativesof the Greater Toronto Apartment Association and Jim

Hart, Executive Director, City of Toronto MunicipalLicensing & Standards Division to discuss the new MRABbuilding audit program. The association presented thefollowing brief outlining its position on issues of concern.

AREAS TO COVERBased upon a review of some of the “Orders” issued as a resultof the building audits under the new MRAB program, theGreater Toronto Apartment Association as identified thefollowing areas of concern to be raised with the MunicipalLicensing & Standards Division.

LIGHTINGAlthough it appears that the orders technically refer to thecurrent standards and the “minimum” or “average” illuminationlevels required, we are of the opinion that these are onerous,would require significant re-lamping and in many casesunnecessary to achieve a level of lighting that maintains thesafety and security of the property. We understand thatWarrick Perrin of your division has been tasked with theresponsibility to research and prepare a staff report on thelighting standards in Chapter 629 of the Municipal Code andthat a report recommending possible amendments to the by-law will come forward to Council in due course. We wouldrecommend that in light of the MRAB audits that this beexpedited in order to ensure orders are not issued on a goforward basis and that these matters not be bogged down inthe Property Standards Appeals process.

ENGINEERING REPORTSThe request for “engineering reports” is unfortunately used inour opinion too often and is to easy a tool to circumventinspection due diligence. It is out view that the Inspectorsshould be able to make a visual inspection of equipment andsystems in a building and make a determination that theyare in working order. Equipment that has been recentlyinstalled and has installation dates and commissioninginformation should be used to determine a system’s capability

(i.e. mechanical, heating, ventilation, elevators, etc.)Requesting “engineer’s reports” is not only unnecessary butvery costly. We would recommend that the request for anengineer’s report be used infrequently and only in caseswhere there is demonstrable evidence that a system or pieceof equipment is not working effectively.

SATELLITE DISHESWe were quite surprised to see Orders issued against buildingowners with respect to satellite dishes. MLS would certainlyunderstand that these are not installed by the building ownerbut rather the resident. Issuing Orders and/or requests forEngineer’s Reports for satellite dishes should be ceased. Wewould recommend that in the opinion of the Inspector if anorder is to be issued for the removal or testing of a satellitedish that this be served on the Resident and not included inthe MRAB building audit report.

WINDOW SAFETY DEVICESAgain, we were quite surprised to see Orders issued for“engineer’s reports” on window safety devices. The Code isquite clear on the standard that a window not leading to abalcony not be permitted to be opened greater that 100 mm.Our members have tried very hard to comply and installsuch devices and in turn have the residents remove them.Some clarification from the division on the entire issue ofwindow safety devices may be necessary but so long as thebuilding owner provides evidence that it has a program forthe installation and verification annually that such devicesare being installed and maintained by the owner Ordersshould not be issued. We recommend that MLS do a reviewof their protocol with respect to window safety devices witha goal of ensuring general building compliance with theprovisions of the Code.

ORDERS VERSUS NOTICESAlthough we know that the Division made a change inprotocol to forego the former “Notice of Violation” process for individual based situations, we are concerned that thenumber of “very minor” items that have escalated to “Orders”

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does not properly address the level of severity of thedeficiency and as the reports are posted for the generalpublic to view, provide a false impression as to the generalstate of the property. Orders being issued for minor repair,spotty cleanliness issues, single light fixtures burnt out, etc.should be part of a Notice of Violation report, given theappropriate time period to be rectified and not escalated toOrders to Comply. We recommend MLS do a review of thoseitems that should not be part of Orders to Comply and ratherreinstate a Notice of Violation system that would not be partof the full public Order to Comply system.

BUILDING SELECTION PROCESSThe Greater Toronto Apartment Association offered itsgeneral support of the new MRAB Building Audit Programmainly because buildings with a history of very poormaintenance, ongoing problems, resident complaints andbuilding owner non-cooperation with the City would be thetargeted properties. We support that system. We arehowever concerned about the “4 buildings per Ward” systemand would appreciate clarification in the meeting as to howand why properties per Ward are selected. Buildings shouldbe selected because of their history of poor maintenance notbecause they are “politically” motivated. We would recommendthat MLS review this selection process and ensure that allbuildings selected for MRAB audits are those intended bystaff and Council to be done; namely those in a chronic stateof disrepair.

FINAL COMMENTSThe feedback we have received from members that havebeen part of the MRAB Building Audit program has beenpositive from the perspective of the efforts of your staff, theprofessionalism shown and the general level of cooperation.

We all want this program to work and to do what it wasoriginally designed to do – focus on bad buildings and cleanthem up.

We are hoping that given the fact that the program is in itsinfancy that there is time to critically review what has beendone to date and make appropriate changes to ensure theprogram is fair and proper.

The Greater Toronto Apartment Association would be pleasedto work with you in this regard. Thank you for taking thetime to meet with us.


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Horizonsfor Youth

C H A R I T A B L E F O U N D A T I O N I N A C T I O N


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Horizons for Youth is a 35 bed emergency shelter for maleand female youth aged 16-24. We provide programs,

services and workshops to our in-house clients, as well asthose from outside the shelter.

Horizons for Youth’s mission is to shelter, prepare, and guideat-risk youth to be contributing community members.Horizons for Youth offers a variety of programs and servicesto support youth in making positive life choices.

Horizons for Youth was incorporated in 1990 and officiallyopened its doors in December of 1994. In 1995 Horizons forYouth became a member of the Ontario Association ofHostels and also the Youth Shelter Interagency Network.Horizons for Youth has also been a member of the UnitedWay of Great Toronto since 1997. In 2008 1,100 youth havewalked through Horizons for Youth’s doors.

In addition to our 35 bed emergency shelter for male andfemale youth aged 16 to 24, programs, services and workshopsare available to youth through 5 core programs:

CAREER HORIZONS – An intensive employmentprogram for homeless or at-risk youth. CareerHorizons is an employment program delivered tohomeless and at-risk youth, who often lack accessto resources, which would assist them in reachingtheir career goals. During the 8 week program,participants learn to improve their communicationskills, realize and highlight their strengths, finetune their job search techniques, connect toadditional training and find the right path toemployment. Additionally to receiving advocacyand supported referrals, participants of CareerHorizons complete a 3 week pre-employmentworkshop and are provided with ongoingcounselling, case management, job developmentand job coaching services.

ENHANCED CASE MANAGEMENT AND CLIENTSERVICE – Providing one-on-one support andcounselling. At Horizons for Youth, we ensure thatevery youth is assigned a primary case worker to

work closely with each resident. Together, theywork towards the ultimate goal of independentliving. Youth are empowered to make decisionsabout their future and who they want to be. CaseManagers help break down long-term goals intosmall manageable steps that can be achieved.

DAY PROGRAM/DROP IN – Preparing youth forindependent living and helping them to build selfesteem. This program is a combination of workshops,group work and lessons designed to give youth thetools they need to live independently and excel intheir lives. It has various modules in which youthcan participate. The youth learn how to preparehealthy meals, budget their money, manage theiremotions, develop their communications skills andhow to co-exist with others on a daily basis, just toname a few.

HOUSING HELP – Helping youth find and keepaffordable housing. This program addresses theneeds of our youth to find and maintain housing.Many youth could excel on their own, however alack of affordable housing in the city makes itdifficult to find a place to live. All youth cominginto Horizons for Youth have the opportunity tomeet with the Housing Worker every day. Inaddition, we provide a workshop series- Ready, Set,Home – to educate youth of the realities of livingindependently, including their legal rights andresponsibilities and all the skills needed tomaintain their own housing.

COMMUNITY SUPPORT – Providing continuedsupport to former residents once they have securedhousing. Once housing is secured the Outreach &Aftercare worker takes over and assists youth inmaintaining their housing. They also visit youthin their homes and can provide assistance, foodpackages, and mediate with landlords orroommates if necessary.



C H A R I T A B L E F O U N D A T I O N I N A C T I O N

WHO WE SERVEHorizons for Youth addresses the needs of youth aged 16-24who are homeless, living in a shelter or are at-risk ofbecoming homeless. We provide youth with theopportunities to become the best they can be and engagethem in positive activities that develop the life skills neededto address the reasons of homelessness, and other barriers toproductive and positive interaction with the community. At-risk and homeless youth are socially isolated. They may nothave the resources, networks, and supports necessary to helpthem succeed. At Horizons for Youth at-risk youth are givenresources, support, care and concern of a dedicated team.

YOU CAN HELP!VOLUNTEER OR DONATE TO HORIZONS FOR YOUTH –Volunteers are people from all walks of life, all ages andstages. What they have in common is the desire to make a

difference in their community, and in their own life – bygiving their time, their expertise and themselves.

Current Volunteer opportunities at Horizons for Youthinclude;

Organizing contributions of financial and/or materialgoods.

Join our Development Committee and help plan ourannual events.

Participating as a member of Horizons for Youth’s Board ofDirectors. We are accepting resumes and letters of inquiry.

We anticipate new, exciting volunteer opportunities thatwill emerge in the future. If you are looking at volunteeringin any capacity, please contact us at 416.781.9898 ext. 27 [email protected].

WE ARE LOCATED AT – 422 GILBERT AVENUE, TORONTO, ON M6E 4X3

YOU CAN DONATE THROUGH OUR WEBSITE – WWW.HORIZONSFORYOUTH.ORGOR CALL US AT 416.781.9898 EXT. 27


NEW TORONTO ORGANICS PROGRAM

Most of us would never have thought the subject ofgarbage could have been so complex – just pitch it in

the bin - recycle some, if a container is handy. What are wesupposed to recycle, exactly? Today big changes areunderway, including Organics diversion.

TORONTO – UPDATES AND STRATEGIES Members in Toronto face big Waste Diversion changes, lessproactive managers & staff now face a major “wake up call” -the bills are here!

Add Organics Diversion (yuck!) – we’ll need a clever strategyfor this to work! What are resident, staff & managementroles going to be? Change will not happen overnight? Eachbuilding will have a unique strategy / “balancing act” todevelop - then implement.

What to do? - 1 - Site Review & Protocols / 2 - Signage Plan/ 3 - Infrastructure Equipment Plan

REVIEW THE BASICSSet the invoice down, take a deep breath and undertake areview! Think outside the box!

NOTE: Still using a “Bulk (non-compacting) Bin” now? Considerconverting it for recycling! Use an empty compactor bin,prior to connecting to the machine – 1/2 fill then compactfully, SAVE MONEY! Keeping a record of garbage bins setout? Are they full? Lid Hold Down bar being used? Is allequipment (compactor, various bins) functioning properly &“user friendly?” Tune-Ups - Upgrades? Traditional routine was“out with the bins” - keep it clean > Things need to change!

Many consider Private Service – what are the costs & longterm implications? How will Organics fit into new regulatoryrealities? Undertake a complete comparison, include all costsand compliance – due diligence! Shopping for private service?Price equivalent services - consider an OWMA member.

Organics will offer further waste diversion. This will be“messy” so your plan should be well thought out. Willresidents embrace it - what is the staff role?

Assess your available building space to drive waste reduction- the traditional “default garbage” selection will need newthinking. Use common sense, survey the building - what dothe options look like now? As you consider building spacerenovations to improve “convenience” to minimize waste - planfor Recycling, Organics & Storage for Large Bulk item storage(these are all free City services).

STEP 1 Grab a pad, digital camera and do a “walkabout - site review”.How do conditions help residents “do the right thing”? Canthey “conveniently” separate? What are staff & managementroles? Should they change? Bins Inside or Out – or both?

What handling protocols, infrastructure and messages exist– what can improve? Do garbage containers dominate thebuilding - with no options in sight? Ideally “Twinned-side byside-Bins” - Waste smaller / Recycling larger, handy forseparation, it will “drive recycling”.

What about communications - have you taken advantage ofthe free City materials - Superintendents Handbook, BinStickers, Posters & multi-language flyers? A staff & residentmeeting may help understand things better?

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DOUG KING



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A picture is worth 1000 words - a simple message! Volunteerscould do a “story-board” craft project! Use sample recyclablematerials. No language barrier. New community / teamparticipation. Keep it visible – laundry room/common area?Maybe make up a few?

IN-SUITE BINSIt starts here – do not miss the most important step inthe process!

What containers do residents have for “convenient”separation of materials? (see attached picture) Space is achallenge especially in small suites. Reduce the Waste bagsize - Reduce your costs.

RECYCLINGThe City provides Recycling Blue Bins or Bags. Many haveshopping bags - consider Blue Bin. These might be “unitnumbered” to transfer easily in a resident staff team effort.(see flyer in this edition)

ORGANICSAs your building comes online for collection (during next 18months) a small kitchen pail will be supplied for every suite.

WASTEOften this is the only thing in the suite. The city is supplies 2parts - consider a simple cheap space efficient “Bag Hangar”.Now all 3 are “Equal Convenience”!

DOUG KING | METRO GROUP - 416 678 2428 | [email protected]


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MEMBERS PREPARED FOR POSSIBLEEMERGENCIES AT BUILDINGS

THE PANEL INCLUDED

MODERATOR

STEVE WEINRIEB, CPMPROPERTY MANAGER, PARK PROPERTY MANAGEMENT

SPEAKERS

DONNA CLARKEMERGENCY PLANNING COORDINATOR,SHELTER, SUPPORT & HOUSING ADMINISTRATIONDIVISION, CITY OF TORONTO

GLORIA SALOMON, C.A.CEO, THE PRESTON GROUPCHAIR, GREATER TORONTO APARTMENT ASSOCIATION

DANNY ROTHPRESIDENT, BRANDON COMMUNICATIONS

BONNIE HOYPRESIDENT, BONNIE HOY & ASSOCIATES

MARCO VITTIGLIOMANAGER, EMERGENCY PLANNING & PREPAREDNESSUNIT, TORONTO PUBLIC HEALTH

ED GULBINAS, P.ENG.OFFICE OF THE ONTARIO FIRE MARSHAL

DAVE BARR, CRMDIRECTOR OF MARKETING, SINCLAIR COCKBURNFINANCIAL GROUP

Close to 150 members of the Greater Toronto ApartmentAssociation attended a half day session at The Weston

Golf & Country Club on January 20, 2009 to listen to anexpert panel speak about potential disasters and emergenciesat apartment properties, what to do and how to preventthem in the first place.

The speakers also provided power point presentations thatwere incorporated into a CD that each attendee was given.The presentations provided excellent resources and websitelinks to help each property manager design a plan for theirrespective properties. Speakers also spoke aboutcommunications and media relations, resident engagement,proper insurance coverage and risk management as well asworking with government agencies to help everyone affectedby such situations.

ADDITIONAL COPIES OF THE PRESENTATIONS ONCD FOR THOSE WHO COULD NOT ATTEND AREAVAILABLE THROUGH THE OFFICE FOR $50.00 + GST.



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SPRING HOPE FOOD DRIVEON FOR 2009 Due to popular demand, the 2009 version of the Spring HOPE Food

Drive will take place on the evening of Tuesday, April 21, 2009 inparticipating apartment buildings with food pick up in the greaterToronto area on April 22, 23 and 24, 2009 with delivery to the Daily BreadFood Bank, North York Harvest Food Bank and The Mississauga FoodBank (previously known as Food Path).

“We are really pleased and excited that all the partners have come back togetherto make this drive a success,” said Brad Butt, President, Greater TorontoApartment Association. “Although we are not shooting for the Guinness recordthis year, I really believe we can do even better than last year especially given theincreased need.”

Registration information will be sent out by the end of February andwill include posters and other helpful material as in the past.

UPCOMING EVENTS – MARK YOUR CALENDARS NOW!*

ANNUAL CHAIR’S LUNCH IN SUPPORT OF THE CHARITABLE FOUNDATION

February 25, 2009

WASTE DIVERSION IMPROVEMENT WORKSHOPMarch 4, 2009

PM SPRINGFEST WITH BED BUG SEMINARApril 1, 2009

THE “APARTMENT GUY” CHRISTOPHER HIGGINSApril 14, 2009

“NIGHT AT THE RACES”May 13, 2009

Annual Golf TournamentJuly 6, 2009

SECOND ANNUAL “FUN RUN”September 16, 2009



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