Daily insights for city builders, delivered every morning at 6 AM ET. I’m Brandon Donnelly — a Toronto-based real estate developer and founder of Globizen. I’ve been writing here since 2013.
I don’t know if any of you have had a chance to play with ChatGPT yet, but it is pretty incredible. Here is something that my friend David Fitzpatrick, who is a planner, tweeted out:
There is really no way of telling that AI produced this. It sounds natural and, in this particular case, it also feels like it understands that this is an ongoing debate: “the by-law may not provide enough flexibility to allow for…”
It’s a good thing I don’t write for a living.
The latest issue of Designlines magazine is about how Toronto is — finally — embracing laneway life. And one of the featured homes is none other than Mackay Laneway House. Pictured above is architect Gabriel Fain sitting on the front steps.
As some of you will know, MLH took over a decade to get built. I first did a design for the house back in 2009. Laneway housing seemed like such an obvious opportunity, and so I designed a compact house that could fit neatly within the confines of my 25-foot-wide backyard.
Technically, it was perfectly workable. But I could tell I was too early. After speaking with city staff, I immediately got the impression that this thing was not going to get approved. At least not now. So I shelved the project until 2017.
By this time, it was clear that laneway housing was on its way to becoming a reality in Toronto. It was simply a matter of time. And so Gabriel Fain and I decided to come up with a new design and try our luck at the Committee of Adjustment (we needed, I think, over a dozen zoning variances).
But it turns out that we were still too early. The project was immediately refused. After the decision, I had a few planning lawyers reach and offer to help me with a pro bono appeal. But I decided to wait until the new laneway policies came into force and the home could be built without any variances.
And that’s exactly what we did. In the fall of 2020 we submitted for a building permit, and about 6 weeks later it arrived. The home was then built that winter and it went up on the market for rent in March 2021. It rented right away, even in the midst of intermittent COVID lockdowns.
At this point, it’s hard to imagine that this form of housing was once illegal. Hundreds of permits have already been issued and this number is only going to increase. In fact, I believe that the humble laneway house is destined to become a defining characteristic of Toronto’s urban landscape.
Toronto is finally embracing laneway life.
It is obvious that Toronto needs to find new ways to increase housing supply. And I have written before about how I think our major streets are a good place to look.
The above proposal by Naama Blonder of Smart Density is one way to start thinking about how we could do that. Dubbed the “mini mid-rise”, the idea here was to show how a single lot might be intensified with a small multi-unit building.
This is a great idea. It was one of five projects that just won the Ontario Association of Architects’ annual design challenge. But for it to have a chance at working, we’re going to need to remove all of the friction associated with building this kind of housing.
These would need to be permissible as-of-right. No rezoning. No site plan control. Just straight to building permit.
We would also need to eliminate all parking requirements (which we are thankfully doing). The market will very quickly correct if these homes cannot be rented without parking.
We would need to ensure that these homes can be built without any cooperation from the adjacent neighbors. Because that cooperation may not always be there.
We would need to ensure that there are no funny code requirements that might serve as an additional obstacle.
And we will probably also need to look at subsidies and other incentives so that these homes are economically feasible to build. This might include development charge waivers and/or tax abatements.
None of this is, of course, impossible. It’s just a question of how bad we want this to happen.
Image via Smart Density
I am a big fan of Victoria-based developer Aryze. And their Pearl Block project is a good example of why. Developed on an awkward triangular lot that had been sitting vacant for nearly 65 years and that presumably every other developer had been overlooking, the project brought six family-oriented townhouses to the Oaklands neighborhood of Victoria, BC.
Each of the towns has 3 bedrooms. Each has a living room facing the street (but with privacy from the neighbor). Each has a large rooftop deck (with 5 foot parapet walls so no kids fall over). And according to the developer, each sold for less than the average price of a single-family home in the Oaklands area. Not surprisingly, the project also won all sorts of awards.
It is a great example of the kind of beautiful and mid-market missing middle housing that so many of us are always talking about. Why build 1 home when you can build 6? Why build 6 homes when you can build 18? Still, there remains far too many obstacles in the way of any sort of housing that doesn’t conform to the status-quo:
It shouldn’t be this difficult. And it shouldn’t take this long. Actually, let me rephrase this. It can’t be this difficult and it can’t this long; that is, if we’re expecting to actually come close to meeting the demand for new housing. There is no great mystery as to why the missing middle is, you know, missing. We made it that way.
Keep up the great work team Aryze.
Photography: Ema Peter via D’Arcy Jones Architects
Marty over at Laneway Housing Advisors published this listing in his newsletter today. It’s for an entitled lot at 78 Gladstone Avenue in Toronto that has been approved (by way of a minor variance) for 6 units. Five units in the front where a house currently sits and one unit at the back in a standalone laneway suite. Though it also happens to be a corner lot and so the laneway suite isn’t really “in the back”.
It’s listed for $2.5M. And according to the description, you can build about 5,500 square feet (4,200 sf in the front with a 1,300 sf laneway suite). This ask translates into a land cost that is just over $450 per buildable square foot, which is far more than what high-density land typically trades for in the city right now. This is usually the case for smaller low-rise sites.
To help put this figure into some kind of context, Bullpen Consulting published in their latest insights report that the average high-density land price in Q4-2021 was $135 per buildable square foot in Toronto (416 area code only). Of course, averages only tell you so much. To truly evaluate the feasibility of a site like this, you’d need to create your own pro forma and do your own residual land value calculation. The value of development land depends on what you can build on it.
If you were to do that, I suspect that you would discover at least two things: 1) you would find it challenging to make the numbers work, particularly for rental housing, and 2) you would quickly realize that this sort of “missing middle” housing isn’t, in its current form, some undiscovered bastion of housing affordability.
Part of the problem is that these 6 units are not being delivered on an as-of-right basis. Somebody had to go out and entitle the land in order to secure these permissions. That means that time and money were spent and that the current owner is now rightly seeking a margin for their efforts. But if we collectively believe that this is an appropriate and sensible form of housing, then this should not be a necessary step in the whole process. Especially for only 6 units.
All of this being said, we know that Toronto and many other cities around the world are taking a hard look at this issue. And that there is a groundswell of interest in allowing more housing in our low-rise communities. It’s going to be a battle — just look at how Toronto’s new garden suite policies have now been appealed by various resident’s groups. But I’m certain that we’ll get there, just like we are getting there with laneway housing and other types of ADUs.
Toronto’s chief planner Gregg Lintern (who you can follow over here on Twitter) was recently in the Toronto Star talking about the city’s plans to allow more multi-unit dwellings in our low-rise single-family neighborhoods.
I was careful to say “more” because they are already permissible in some areas. The challenge is that they’re not happening at any sort of meaningful scale, which is an obvious signal that some key ingredients are still missing.
Or perhaps there are too many required ingredients. For example, right now the zoning by-law requires one car parking space for every dwelling in a multi-unit building. This is, of course, dumb and the requirement should be completely eliminated.
Changes like this, as well as many others, are long overdue. Not just in Toronto, but in many other cities. And it is partially what I was getting at when I wrote about laneway housing this past weekend and hinted at the need for other solutions to increase housing supply.
So when you have a few minutes, I would encourage you to complete the city’s survey on expanding permissions for multiplexes across the city. I just did it and voted to bring on the multiplexes.
Photo by Tiago Rodrigues on Unsplash
Building buildings is really hard.
It’s hard for countless reasons, but one reason in particular is that it can be difficult to please everyone. Take parking, for example. This is often a primary concern when you’re trying to develop something new. Too little parking and people might be concerned that cars will start flooding the surrounding streets in search of a spot. Too much parking and people might be concerned about traffic congestion. So it can often feel like you’re damned if you do and you’re damned if you don’t.
I thought of this as I was reading through Alex Bozikovic’s recent opinion piece in the Globe and Mail called, “Yes, in my backyard: How urban planning must shift to meet our postpandemic challenges.” In it, he mentions a small missing middle-type infill project at 225 Brunswick Avenue here in Toronto. A century-old office building located in a residential neighborhood, a small developer has been working (with Suulin Architects) since 2018 to convert it into seven apartments.
Here are a few photos:
This is the kind of infill housing that planning staff and many councillors are trying to encourage across the city. And yet, the year is 2021. This developer is on year three in a process that will, maybe, deliver a total of seven new rental homes. There are also many other examples that we can point to in the city that have faced similar challenges, like this one here on Gerrard Street East. While not nearly as interesting architecturally speaking, it would have delivered 10 new homes proximate to transit. Maybe that will still happen. I can’t say for sure.
I’m not going to get into the specifics of any one proposal, but two things are clear to me: (1) Our city, and many other cities around the world, have a need for more missing middle-type infill housing and (2) our system is greatly flawed if it takes years and years to ultimately green light the delivery of only a half dozen or so new homes.
Time equals money. And when we make the process this difficult it means that many developers aren’t going to bother (because the math probably doesn’t work) and that the ones who are successful will need to absorb a bunch of unnecessary costs in the end pricing/rents of their homes (i.e. make the homes more expensive than they need to be).
225 Brunswick is exactly the kind of project that I would love to work on: a small-scale adaptive reuse project where design is clearly a priority. But with a 3-4 year entitlement timeline (perhaps longer?), it’s simply not worth it (though I do commend the efforts of the project team). I’m sure many others feel the same way that I do and that’s unfortunate when you’re trying to build a more vibrant, inclusive, and competitive global city.
It is starting to feel like 2021 could be a turning point for “missing middle” type buildings here in Toronto. Momentum seems to be growing and there’s increasing interest in finding ways to make this scale of housing more feasible — everything from duplexes to low-rise walkup apartments.
This week Councillor Bradford published a great op-ed in Spacing Toronto as a kind of call to action: Let’s make this year the year. In it, he provided an update on a pilot project that will be taking place in his ward — Beaches-East York — this year:
We’ll be setting out this spring to find a city-owned site and the right partners for the project. From there, the work will be to go through every step of the development process, from design to construction. This Pilot is about accomplishing two key tasks. One, building housing that meets the Missing Middle typology while aiming to incorporate the affordability and sustainability elements Toronto needs. Two, through undertaking that development process, to identify the execution issues so we can bring forward the policy corrections that’ll make what we achieve in the Pilot build replicable across the city.
With the continued run-up in single-family home prices, it really is starting to feel like we’re at a tipping point. Something is going to need to change. People continue to move to Toronto from all over the world. Perhaps this year will be the year. To learn more about the pilot project, take a look at this update report.
Within Toronto’s urban structure you have regular streets and you have things known as “Avenues.” (This is among a bunch of other stuff such as Centres and Employment Areas.) What this Avenue designation does is tell you that it may be a suitable location for a new mid-rise building, which is something that I have written a lot about on this blog. Here in Toronto, this means that you would then need to consult the “Mid-Rise Building Performance Standards.” Indeed, if you dust off these standards and turn to the introduction, you’ll find the following: “The Performance Standards are intended to provide simple, straightforward guidance for those seeking to develop midrise projects on the Avenues.”
But if you want to find some of the most truly unremarkable streets in this city, you need to look at the arterial roads that didn’t quite make the cut to be an Avenue. I don’t want to generalize, but they are generally exceedingly ugly. You can’t help but feel like Toronto has simply outgrown the low-rise building typologies that, in most cases, still remain on these streets. In some cases, they’re also directly adjacent to a subway station, which is kind of like running a great big movie theater with only a handful of seats inside. Maybe one day they’ll grow up to be Avenues. But don’t hold your breath. So what’s another possible solution? Toronto-based PHAEDRUS Studio has an idea. It’s called the Hi-Lo Hybrid.
Initially designed for a specific client and a specific site, it also happens to be something that could be deployed all across the city. What they have shown here is a 5 storey infill building on your typical long and narrow Toronto lot. As designed, it could house 4-8 units, as well as some non-residential uses, on a lot that previously only had 1-3 units. It would make a lot of sense for some of the ugly streets that I’m talking about. But let’s be honest: it would be almost impossible to get approved. One of the biggest issues would probably be the adjacency/overlook issue that it generates with the neighboring backyards. It’s probably also too tall.
One of the main reasons why, I think, laneway suites work and are now permissible as-of-right in Toronto is that they replace existing garages. (ADU’s for the Americans.) They reallocate space that was previously used for cars to humans. And so the incremental height / density is not all that great. They, for the most part, preserve precious neighborhood character. What the Hi-Lo Hybrid proposes is not so incremental. It’s bold. It would be a massive fight. I know that and you know that. But bold is generally what you need when you’re trying to do great things and when you’re trying to shape the future. And so with that, I’ll leave you all with some words from the late American architect, Daniel Burnham.
“Make no little plans; they have no magic to stir men’s blood and probably themselves will not be realized. Make big plans; aim high in hope and work, remembering that a noble, logical diagram once recorded will never die, but long after we are gone will be a living thing, asserting itself with ever-growing insistency. Remember that our sons and grandsons are going to do things that would stagger us. Let your watchword be order and your beacon beauty.”
