The City is reducing building permit application fees for additional residential units (ARUs) by 50% in 2026, and offering full rebates on the building permit application fees to those who achieve occupancy, or equivalent (final interior inspection), within 12 months of permit issuance.
The program will accept applications from January 1, 2026 until December 31, 2026, or until program funding has been allocated. All applications for the program must be received by December 31, 2026, and projects must be completed by December 31, 2027.
Program Eligibility
Building permit applications for all new ARUs added to single detached, semi-detached, or street townhouse dwellings are eligible, including:
- Interior conversions or additions to the main dwelling to add a second, third, or fourth unit (i.e. second suites)
- Secondary dwellings/coach houses/detached ARUs (could contain one or two units, subject to zoning compliance)
- New construction of two to four units on one lot – only the building permit fees for the second, third and fourth units will be reduced by 50% (full permit fees for the first/principal unit apply)
Reduced and rebated application fees are specific only to the ARU component of the project; fees charged for any of the following are not eligible for reductions or rebates:
- Construction of a principal unit/single family dwelling
- Other renovations
- Accessory structures such as decks, sheds, pools, etc.
- Revision fees
- Reinspection fees
- Enforcement fees
- Demolition fees
- Site servicing fees
If you are submitting a new ARU building permit application in 2026 you are eligible for the 50% fee reduction and may be eligible for a full rebate if you complete your project within 12 months of permit issuance. If you submitted a building permit application for an ARU before January 1, 2026 (fees have already been paid), you are not eligible for the 50% fee reductions, but you may be eligible for a full rebate if you complete your project within 12 months of permit issuance.
Fees Eligible for Reduction
Building permit application fees, including zoning and water fees, for new ARU permit applications submitted between January 1, 2026 and December 31, 2026 will be reduced by 50%. This will be reflected on your invoice.
Fees Not Eligible for Reduction/Rebate
- Building permit application pre-screening fee (applied when submitting)
- Any building permits that do not add an additional dwelling unit (i.e. decks, interior alterations, additions)
- Any building permit fees for the principal unit (includes single family dwellings)
- Fees for interior alterations that do not pertain to the ARU section (for example, interior changes made to the principal unit that are not associated with a secondary suite)
- Demolition permits, site servicing permits
- Development charges (EDC, DCA and parkland dedication)
- Enforcement fees (such as pre-permit surcharge and orders)
- Revision fees
- Re-inspection fees