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More than 100 London buildings have applied for above-guideline rent hikes since 2017

More than 100 London buildings have applied for above-guideline rent hikes since 2017

CBC
Thursday, April 18, 2024 9:15 AM GMT

It's a province-wide trend affecting tenants in London, Ont.

There's been a rise in applications by landlords to hike rents above government-set guidelines to cover big-ticket repairs — but some tenants are pushing back, saying their rent should already cover the costs. 

CBC News looked at the number of applications for so-called above-guideline rent increases (AGIs) filed to the Ontario Landlord and Tenant Board (LTB). The data was released as part of an access to information request submitted by tenants advocacy group ACORN.

AGIs allow landlords to apply for rent increases above the provincially-set annual maximum rent increase for older buildings. They are intended to cover repairs and upgrades with big capital costs, such as elevators, roofs, window replacements and heating systems.

According to the data released by the province, about a quarter of the AGI applications were filed for properties owned by corporate landlords. 

A total of 112 property owners with London addresses filed for an AGI between January 2017 and August 2022. 

To see which buildings applied for the increase, search "London" or the building's address in the table below.

Gosse Van Oosten lives at 575 Proudfoot Lane and pays $1,160 in rent for his one-bedroom apartment. He received an AGI request from his landlord, Old Oak Properties, in January 2023. His increase, which the landlord said was to cover upgrades to elevators and the heating system, costs him $47 a month on top of his base rent.

"I do have other living expenses that keep going up as well, so it limits other things that you buy," he said, noting he doesn't own a vehicle in order to keep his costs down. 

Van Oosten said the rent he and his neighbours pay should be enough to maintain and update the building. 

"Everything has gone up in value, including the land, the buildings. The allowable increase should be sufficient," he said.

The tenants advocacy group ACORN is calling for the province to end AGIs, saying they give landlords a way to circumvent the annual allowable rent increase.

"Rent is unaffordable across the board and AGIs are just one more burden that are placed upon tenants," said ACORN'S Claire Wittnebel.

She said AGIs are often used by corporate landlords to boost profits instead of improve the quality of the buildings. Also she said the AGIs have strict guidelines about how they're supposed to be applied, but that those rules aren't always followed. For example, AGIs are supposed to be time-limited and removed from the renter's bill when enough money is raised to pay for the upgrade. 

Read full story on CBC
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