Major cost increases in Toronto - Development charges up 85%

[Dave2]

 

?The industry just got hit with an 85% increase,? said Scott McLellan. ?What that means is the DC might be passed onto the purchaser. That?s somewhat problematic, especially in light of the new stress test for mortgages. This is yet another very, very meaty charge at the end of the process.?

On a two-bedroom condo unit in the downtown core, Plaza?s development charges are $25,366. However, with the City of Toronto rolling out the hike over the next couple of years, the development charge on that same unit will hit $36,165 in November, reaching $42,644 next year, and its ascent will cap at just under $47,000 in November 2020.