Recently, a significant decision by Toronto City Council has sparked renewed debate about the city’s approach to addressing its housing crisis. In a move that disappointed many housing advocates, Council voted to allow sixplexes—buildings with up to six residential units—in only nine of Toronto’s 25 wards, with an option for more suburban wards to opt in. This decision, which diverged from a broader commitment tied to $471 million in federal funding through the Housing Accelerator Fund in 2023, has raised concerns about Toronto’s ability to tackle its housing shortage effectively. (We may miss out on almost half a billion in federal money because of how limited the sixplex vote outcome was). For prospective buyers, current homeowners, and Tembo clients, this development carries significant implications for the Greater Toronto Area (GTA) housing market
The decision to limit sixplex legalization to just nine wards represents a cautious step toward increasing housing density in Toronto. Sixplexes are part of the “missing middle” housing category—mid-sized residential buildings that bridge the gap between single-family homes and high-rise condos. These structures are seen as a critical tool for increasing housing supply in established neighborhoods, offering family-sized homes that could ease affordability pressures. The city’s commitment to legalizing multiplexes was a condition of receiving substantial federal funding, which aimed to accelerate housing development across Canada. However, the partial rollout of the sixplex policy has put this funding at risk and highlighted the challenges of implementing bold housing reforms. Rather than adopting a city-wide approach, the council’s decision allows suburban wards to opt in, leaving significant portions of Toronto untouched by this policy change. Mayor Chow was severely criticized for showing ‘weakness’ in not pushing for or achieving a stronger outcome in this critical vote. Headlines were harsh.
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