Search results for: “laneway”

• FYI, new home coming soon

  This is not a post about laneway housing. Okay, it sort of is. But there’s a broader point to discuss. Recently, a local Toronto newspaper ran this article talking about how a bunch of people are upset that their neighbor is building an as-of-right garden suite. Here’s an excerpt:

  “The members of the community know that they can’t stop the building of this ‘garden suite’. However, they want to change the bylaw to ensure that future ‘garden suites’ can’t be built without community consultation and an environmental assessment,” said a news release from a number of residents in the area that was sent to Toronto media outlets including Beach Metro Community News last week.

  This raises some interesting questions.

  For one, what would be the purpose of this community consultation? Is it just a “Hey, I’m going to be building a garden suite” and then homeowners go do it exactly how they want anyway? Or, would it be an extensive community engagement process where homeowners would be expected to gather feedback, submit a report to the city, and consider design changes?

  And, would this apply to all low-rise housing? In other words, would all homeowners need to consultant their neighbors and do an environmental assessment before pulling a building permit? What if someone just wants to build a small extension or a shed? Or, are we only talking about laneway and garden suites?

  I’m not really sure what the exact intentions are here — besides delaying new housing — but I can tell you that it’s a terrible idea.

  Laneway and garden suites should never require community consultation and/or an environmental assessment. I mean, this is the whole point of allowing them as-of-right. It’s so you don’t have to do these things and you can go straight to a building permit. This is way too small of a housing type to burden with obstacles.

  In fact, the same is true of larger housing types. In my opinion, conventional mid-rise buildings should not have to go through a full rezoning and they should not have to consult with the community. We already know what these buildings look like. We know that they make for great homes. And yet they’re our most expensive housing type to build.

  Removing barriers (and reducing project durations) is a sure-fire way to make them cheaper. Especially in a higher interest rate environment.

  2024.03.20

• Toronto wants small-scale apartments on its major streets

  This week we speak about the problem of not enough density next to transit stations. More specifically, we spoke about Toronto’s low-rise residential neighborhoods, which are colored yellow in the city’s Official Plan. Well, as many of you know, the city is, in fact, working to “expand housing options” in these neighhorhoods through their EHON program. One component of the program covers laneway and garden suites, another covers multiplexes (up to fourplexes), and another hopes to allow 6-story apartment buildings on all major streets.

  Here are the city’s major streets:

  

  And here’s what these “small-scale apartments” might look like:

  

  

  The setbacks are intended to be 6m in the front (to be consistent with existing neighborhood setbacks); 1.8m on the sides (so there’s rear access and so that these elevations only get fenestration for secondary rooms); and 7.5m in the back (which is consistent with the current mid-rise guidelines). Now, directionally, and without referring to any of the specific details, this is good. Toronto’s major streets are, in most cases, painfully underdeveloped; the existing built form feels generally entirely out of place. But the important question remains: Will developers actually build these at scale?

  Bloor Street and Danforth Avenue, for example, already allow mid-rise buildings that, for the most part, are bigger than what is being proposed here as part of the EHON program. But again, they remain underdeveloped. And there’s a subway running underneath these streets! So why will it be any different on our other major streets? One key difference is that these small-scale apartments are expected to be fully as-of-right. Meaning, no rezoning process and no community meetings. This will save a lot of time and money.

  Still, this is almost certainly going to require some iterative finessing to get it right. I think you’ll see developers looking to do little to no parking, no basements, no dedicated loading areas (certainly no type “G” spaces), slab-on-grade construction, and standardized and repeatable designs. And even then, this may not be enough. Rental replacement policies are yet another major barrier to consider. It’s going to have to be all about speed and efficiency, which is why it will likely also create a greater push to rethink some building code items, such as the requirement for two means of egress.

  At the end of the day, I want something like this to happen. It would increase housing supply, and make Toronto far more vibrant and far more conducive to non-driving forms of mobility. It’s, no doubt, a really positive thing. But for this to become a reality, it needs to work at scale. Meaning, the development pro formas need to work at scale, and with sufficient margin that developers won’t just automatically look to other opportunities. If the development community can make money building this housing typology, they will look for every opportunity to build it. But if they can’t make money, they won’t. It’s as simple as that.

  Images: City of Toronto

  2024.03.02

• Detroit’s cultural alley

  

  Art and culture are powerful tools for city building. Pictured here is a laneway in downtown Detroit that is known as “The Belt.” It is called this because of its location in the city’s former garment district, but today, it has been redefined as a cultural alley. In it, and deep within unmarked basements, you’ll find venues like Deluxx Fluxx, which call themselves a nightclub art house. (You’re going to want to click through to their website and get a feel for the place.)

  

  This alley isn’t brand new. It was conceptualized by the art gallery Library Street Collective a few years after it was founded in 2012. But I think it remains an excellent example of at least two things. One, Detroit is cool. It really has been going through a cultural renaissance. (You should also know that Detroit is the birthplace of techno.) And two, The Belt remains a perfect example of what is possible with our underutilized urban spaces.

  Virtually every city has alleys exactly like this one. But too few are doing something as cool with them.

  Image: The Belt & Deluxx Fluxx

  2024.02.29

• Rear-yard suites and secondary suites built in Toronto over the last decade

  Here is a mapping, from the University of Toronto’s School of Cities, showing the number of “closed” building permits issued in Toronto between 2013 and 2023 for both rear-yard suites (laneway houses and garden suites) and secondary suites (like basement apartments).

  

  A “closed” building permit probably means that construction is complete. However, it is not uncommon for a permit to inadvertently remain open. This happened to me with Mackay Laneway House. The permit was supposed to be closed, but it wasn’t.

  So here’s the same mapping with open (i.e. active) permits also turned on:

  

  Three things immediately stand out:

  1. Secondary suites seem to be somewhat evenly distributed across the city.
  2. Rear-yard suites are heavily concentrated in the older areas of the city, flanking the downtown core.
  3. North Toronto is wealthy and isn’t having either of these housing typologies.

  Looking at these mappings, it probably seems like a decent amount of new housing. But that’s not really the case:

  • From 2013 to 2023, Toronto issued 2,209 building permits for secondary suites (1,525 have been closed and 684 remain open as of December 31, 2023).

  • And from 2020 to 2023, Toronto issued 898 building permits for rear-yard suites (192 have been closed and 706 remain open, which does suggest some increased adoption). Rear-yard suites only became permissible in 2018, which is why the date range is shorter.

  To be fair, I would imagine that many secondary suites get built without a building permit. So I think the above number is probably underestimating actual supply. But even still, it doesn’t change the conclusion: A lot more needs to be done to increase the supply of new housing in Toronto.

  2024.01.23

• What happened in 2023

  As per tradition around here, I like to bookend the new year with two posts: a post that revisits my random predictions for the year and a post that talks about what might happen in the year to follow. Today’s post is the former. So let’s see how I did:

  • I thought the interest rate hikes would come to an end in Q1-2023. But that didn’t happen until the summer. I also thought this would lead to a mild recession in Canada. Technically, we are not actually in one, but according to some, we kind of are.
  • I thought the real estate sector would start seeing some distress in the first half of the year, and that a new equilibrium would be found in the second half. This proved to be overly optimistic in terms of timing. A lot ended up being on pause for the entire year, and I now think that my forecast was at least a year too early. The sea change is still underway.
  • Given the overall slowdown in real estate, I felt that construction costs had to see some softening. This did, in fact, happen with some of the “earlier trades”, such as shoring and excavation, and we did see some specific trade pricing, such as concrete formwork, come down by as much as 30%. The smart cost consultants we work with now expect to see overall hard costs come down by a further 5-6% next year in Toronto. This makes sense given construction starts are way down.
  • With me expecting the interest rate increases to stop in Q1, I thought that pre-construction condominium sales would return in a meaningful way by the spring. While we did see some buoyancy around that time, it was short lived. Sales remained nearly shutoff for the entire year, but for maybe a handful of projects. The more successful projects tended to be outside of the Toronto core and at lower price points.
  • With respect to home prices in more tertiary/fringe markets, my sense then, as it is now, was that these prices would remain below the peaks for many years. In addition to the upward momentum created by low rates, my view was/is that some of this pricing was the result of a bet on urban decentralization. I don’t think that has played out as many expected it to, so that’s why I think it will be many years before the pricing we saw in early 2022 returns.
  • The momentum around “expanding housing options” in our low-rise neighborhoods is many years in the making. And a lot of progress was made in 2023. Here in Toronto, we adopted new multiplex policies that now allow fourplexes plus an accessory dwelling (so 5 homes in total) on an as-of-right basis. I continue to believe that this momentum is only going to grow. I also think we will see the arrival of more mixed-use opportunities.
  • I believed that, broadly speaking, urban transit ridership would remain below pre-pandemic levels for all of 2023. This proved to be the case for most US and Canadian cities. But things are improving. For Canada as a whole, it looks like we’ll see full recovery sometime in 2024 based on this trend line.
  • I thought 2023 was going to be the year I took my inaugural ride in an autonomous vehicle. Sadly, this didn’t happen. The sector as a whole also saw some setbacks. Hopefully I’ll get a chance next year.
  • I assumed that Apple would finally release its augmented reality device. And though they didn’t technically release Vision Pro, they did announce it. So I guess that counts for something. I also thought that 2023 would be a big year for “phygital” goods. Maybe it was. Or maybe it was more of a building year. A lot of people are curious to see how Vision Pro does in 2024. It’s not set up for the mass market, just yet, but I think it will do exactly what it is supposed to once it’s out in the wild.
  • Finally, crypto. I know that a lot of you like to skip over these posts, but it is something that I feel strongly about. A year ago, though, I was pretty bearish on Solana. Boy was I wrong. Solana ended the year as the best performing major crypto asset — up 933% at the time of writing this. Oops! However, Ether is also +91%, and I continued to dollar-cost average in all throughout the year.

  Next up: What will, or more accurately, what might happen in 2024.

  2023.12.30

• The banana test

  One of the reasons why “new small-scale retail, service, and office uses” are now permitted in low-rise neighborhoods of Toronto — and why many are on to talking about these uses in our laneways — is because it’s a way to serve the “needs of residents” and “reduce local automobile trips”. But what are these needs exactly? And if you had to choose only one, what would it be?

  Let me provide some further background.

  According to this mapping, 94% of Parisians live within a 5-minute walk of a bakery. And according to this mapping, 94% of people in Mexico City live within a 5-minute walk of a taqueria. So in other words, these two cities seem to have the kind of “small-scale retail, service, and office uses” that satisfy at least some of the needs of their residents.

  People in Paris need bread. And people in Mexico City need tacos. But what do people in Toronto need? I’m not sure we have a perfectly parallel thing. But according to Instacart, the top-selling grocery item last year across both the US and Canada was — bananas. One and four carts typically contain them, and apparently this number has remained fairly consistent.

  So maybe this should be our small-scale retail and walkability test metric: What % of the population lives within a 5-minute walk of fresh bananas? (I’m open to other food suggestions here.)

  2023.12.10

• Thank you for your service, Gregg

  It was bittersweet to learn last week that Toronto’s chief planner — Gregg Lintern — will be retiring at the end of this year.

  He accomplished a lot during his six-year tenure. Here’s an excerpt from a recent Globe and Mail article by Alex Bozikovic:

  “…he took the department through significant reforms: allowing new houses in back laneways, then garden suites; eliminating minimum parking requirements; even legalizing four-unit apartment buildings on any lot in the city.“

  All of this was not easy, as anyone in our industry will attest.

  I also got to know Gregg, a little, by way of our development projects. And I can say that he (1) genuinely loved our great city and (2) was always looking for ways to make things better, whether that be through planning policy or through processes internal to City Hall.

  Thank you for your service, Gregg.

  2023.11.19

• The case for bottom-up planning

  

  Many of you probably didn’t click through on this link in yesterday’s post, but it was a link to a book called Emergent Tokyo — Designing the Spontaneous City. What this book is largely about is the idea that Tokyo — usually considered to be the largest urban region in the world — is more the result of bottom-up actions than top-down actions. In other words, it is a kind of complex and self-organizing system.

  Some of you may be reading this and thinking that the result would be chaos. But the opposite is, in fact, true. Despite being the largest urban agglomeration in the world, Tokyo is consistently viewed as one of the most livable big cities in the world. How is that possible?

  One topic that we’ve been talking about on this blog recently is the planning approach of mandating ground-floor retail in new developments. While certainly good intentioned, this is one example of top-down planning. We are saying, “retail needs to go here because.”

  The problem, as we have talked about, is that the market may not want it. It may not actually be viable or desirable. Of course, it is a delicate situation. Because if you don’t provision for it, then you might block it from ever being possible on sites where it clearly makes sense. (We spoke specifically about this, here.)

  There is also the opposite question of: where are we not allowing retail?

  Maybe there are places where retail activity would be viable today, except it’s currently not permitted. One concrete example of this is Toronto’s laneways. Right now, we only allow residential (throughout our “Neighbourhoods”). But there many people, including myself and planner Blair Scorgie, who have been arguing that they should be mixed-use:

  

  Would office and retail uses actually work in Toronto’s residential laneways? I frankly don’t know. Because they’re not allowed today, it’s largely impossible to know. If we allowed these uses and nothing happened, then we’d have a better idea that there’s little demand for it. (I say a better idea because there still could be other obstacles in the way.)

  On the other hand if we decided to mandate non-residential uses in our laneways and nobody did anything, two things might then happen. One, we’d be similarly led to believe that there’s little to no demand. And two, we’d probably be sacrificing the residential use, for which we can say today there is clear demand.

  There are also the considerations that demand will almost certainly change over time and be inconsistent across different locations. For instance, maybe retail doesn’t work in this laneway, but it will work in that laneway. Can we actually plan for this?

  Top-down approaches generally assume that we know all or many of the answers. It presumes that we know that this street should have ground-floor retail and this street should not. It’s also about control. More bottom-up approaches admit that it’s impossible to plan for everything and that there could be latent potential that we’re not even thinking about.

  Of course, there is something naturally unsettling about this approach because it is, by definition, unknowable. And it relinquishes a certain amount of control. Maybe a restaurant will appear here or maybe it won’t. Maybe someone will open a small office in this laneway or maybe they won’t. Either way, the potential for change exists.

  But I think this should be seen as empowering, transparent, and highly efficient. It is a way of reducing the barriers to entry and allowing more urban creativity and ambition to shrine through. I believe, for example, that if we made it easier, cheaper, and possible to open a small restaurant (perhaps in a laneway), we would have more and overall better restaurants in the city.

  And as we have seen in the case of Tokyo, the result of more flexibility is not necessarily chaos. It can be a highly livable city that has people wondering, “how did they manage to plan such a large city so well?”

  Photo by Kentaro Toma on Unsplash

  2023.10.14

• New York City enacts strict short-term rental law

  This past week, New York City enacted a new short-term rental registration law that is not very friendly toward platforms like Airbnb and VRBO. Here are some of the new rules:

  • All hosts must register with the city
  • No more than 2 paying guests can stay in a short-term rental at one time, regardless of the size of the home (does this mean families are excluded?)
  • Hosts and visitors must leave all doors inside the dwelling unlocked (presumably this is to stop people from creating self-contained suites within a larger home)
  • And the host must be physically present while the dwelling is being rented

  So in a way, this takes us back to the original use case of Airbnb: “Hey, I have extra space in my home. Would you like to rent this mostly clean air mattress in my living room and be my roommate for a bit?” Of course, this is not how most people like to Airbnb today. And so this is also a kind of ban on short-term rentals in New York City.

  It’s certainly stricter than the regulations we have in Toronto. Here, it must be your principal residence. Meaning you’re only legally allowed to operate one short-term rental at a time. But you don’t need to be physically present while the home is being rented. If you want to earn some extra cash while you’re away in Rio de Janeiro for New Year’s Eve, you can do that.

  However, the rules are still fairly strict. For instance, if you have a basement apartment or a laneway suite on your property, you are not technically permitted to short-term rent these dwellings, even if you live in the main portion of the home. It has to be your exact principal residence.

  Presumably the intent behind this is to not remove any housing from the long-term rental market. And if it’s your principal residence, then yeah, there’s no net loss. Though this feels like an overreach to me. It’s the same property and a homeowner could very easily decide to not even do a long-term rental in these secondary suites.

  But overall, I guess it’s still slightly more flexible than forcing hostel-like short-term rentals. Long live the hotel?

  2023.09.08

• The end of the single-family home hegemony

  I opened Twitter today and one of the first tweets that I saw was about Austin passing a new resolution that allows 3 homes on every lot by-right; lowers the minimum lot size to 2,500 sf; and expedites planning approvals for triplexes and fourplexes. I then scrolled a bit further and found a tweet on how Vancouver is about to vote on a new motion that will allow 4-6 homes on every residential lot as-of-right. (The US typically uses the term “by-right”, whereas in Canada we use “as-of-right”.)

  None of this is surprising. As many of you know, Toronto just did something similar by allowing fourplexes + a laneway or garden suite on every residential lot. But all of this is still noteworthy because it reinforces one simple fact: cities across North America are all starting to rethink their low-rise single-family neighborhoods. I know that many of you will say that fourplexes are not enough. We should be doing more. But I think this is an important step.

  The single-family home hegemony is ending. We are now asking our cities to do more with the same amount of land.

  2023.07.20