President’s message
With spring in full swing and a new year under way, FRPO is energized and focused on advancing our mission to support a thriving rental housing sector across Ontario.
In the wake of the provincial election, we’re pleased to continue our strong working relationship with the re-elected PC government. We’re ready to collaborate on policy initiatives that will increase the rental housing supply and contribute to a more equitable, well-functioning rental market for everyone in Ontario.
With the federal election completed, FRPO will also be engaging with the federal housing minister to champion policies that encourage the development of purpose-built rental housing nationwide. We firmly believe close coordination between the provincial and federal governments is vital to addressing the housing affordability crisis head-on.
At the same time, we remain vigilant regarding ongoing uncertainties around U.S.Canada trade relations and the potential impact of tariffs. FRPO continues to advocate at every level of government to ensure the rental housing sector remains a strong and attractive area for investment, development, and professional management.
On a personal note, I recently had the honour of delivering a keynote at the Toronto Region Board of Trade’s Housing Symposium—an important event bringing together leaders and experts to explore solutions to the housing crisis. In my remarks, I urged the province to introduce a time-limited development charge rebate for purpose-built rentals until 2030 and to implement a zoning framework that would unlock underutilized infill opportunities on existing rental sites. These are pragmatic steps that can immediately help boost rental housing supply across Ontario.
Lastly, I want to extend heartfelt thanks to all our members who have shared their experiences through the Let’s Build Ontario campaign. Your stories reflect the passion, commitment, and high standards that define Ontario’s professional rental housing community. They’re an essential part of changing the conversation around our industry, and we look forward to featuring even more of your stories in the months ahead.
Tony Irwin, President and CEO, FRPO, and Interim President, CFAA
Let’s Build Ontario update
As we move into 2025, the Let’s Build Ontario campaign continues to amplify the voices of rental housing providers, promote pro-housing policies, and continue its advocacy work to bring a more balanced and accessible housing market in Ontario.
Over the last couple of months, the campaign has had an overwhelming response from members who have shared member stories. These firsthand experiences highlight the human side of the rental housing sector—the dedication, hard work, and passion of the thousands of individuals who play a critical role in providing housing to Ontarians. These stories reinforce the reality that providing quality rental housing is not just a business—it’s a commitment to the communities we serve.
Member stories will be rolled out across social media channels in the coming weeks. By continuing to showcase these stories, we demonstrate to policymakers, stakeholders, and the public the importance of a strong rental housing sector. If you haven’t shared a story yet, we encourage you to do so at Member Story Submissions
With the provincial election now behind us, Let’s Build Ontario remains steadfast in its mission to advocate for policies that support purpose-built rental housing. During the election, the campaign engaged extensively with supporters, gathering valuable insights on demographics and housing priorities—information that will continue to shape our advocacy efforts.
But the work doesn’t stop here. As Ontario faces increasing housing demand, the campaign will continue to push for policies that encourage investment in rental supply, reduce barriers to development, and support affordability for all residents.
We will also be calling on members to help promote the campaign in a simple yet impactful way—by linking to the Let’s Build Ontario website. This small action will help expand our reach, increase engagement, and bring greater visibility to the hardworking teams behind Ontario’s rental housing sector.
The road ahead requires all hands on deck. Help us continue the conversation by sharing your stories, promoting the campaign, and engaging with us on social media. Together, we can push for policies that foster a stronger, more sustainable rental housing sector for all Ontarians.
The Housing Symposium: Unlocking solutions to a generational crisis
Tony Irwin, President & CEO of FRPO, spoke at this year’s Toronto Board of Trade’s Housing
Symposium—a crucial forum addressing the housing crisis of a generation.
With an outstanding panel of experts, the event drove a much-needed conversation on the missing solutions in our region’s housing strategy, from modular construction and robotics to increasing missing middle density in existing communities. Soaring construction costs, labour shortages, supply chain disruptions, and high interest rates are stalling market-driven development, at a time when Ontario’s population continues to surge. The need for action has never been greater.
Innovation, cutting red tape, and coordinated action from all levels of government to remove barriers and stimulate purpose-built rental housing are the only ways we’ll overcome this crisis.
These types of discussions are critical to advancing real solutions, and FRPO is proud to be part of the movement to build the rental housing Ontario desperately needs.
Sure! Here’s a rewritten version of the article that keeps all the key facts and figures while improving clarity, flow, and readability:
Ontario’s rental housing shortfall persists
Although there have been repeated calls to “build, build, build” and a surge in purpose-built rental developments, Ontario continues to fall short of meeting rental housing demand. According to the latest Ontario Rental Market Study Update, developed in collaboration between FRPO and Urbanation, the province can expect a rental supply shortfall of 207,000 units over the next 10 years unless there is significant improvement in the economic feasibility of building new rentals.
The study projects a 71,000-unit deficit between 2024 and 2028, with an additional 136,000-unit gap expected from 2029 to 2034. This shortfall is due to a mix of rising demand and development challenges. Recent cuts to immigration and temporary foreign worker targets may ease pressure in the short term, but they will not overcome the effects of record-breaking population growth. Over the past three years, Ontario saw an influx of 1.3 million newcomers, which contributed to the rental supply deficit of 147,000 units. Since 2016, Ontario has experienced a 213,000-unit deficit, most of which after 2021 due to surges in immigration. By 2034, demand is expected to rise by 418,000 rental units, while total supply from purpose-built and condo rentals is expected to increase by 211,000 units.
In 2024, over 50,000 rental units were added to the market, which is the largest annual increase in over 35 years. However, the vacancy rate has
held steady at 2.7 per cent. This is partly due to the supply gap, as well as the faltering condo market. Condo starts fell by 25 per cent in 2024, while more than 2,800 projects were cancelled. Rising interest rates cooled investor interest, which has negatively affected the pre-sale buying frenzy seen during the pandemic. Purpose-built rental starts also declined by 5 per cent, which is the first annual drop seen over the last 10 years.
FRPO is cautiously optimistic about the future of purpose-built rentals. According to the report, “Purpose-built rental construction is expected to eventually return to its growth trajectory, but supply from condo investors will shrink significantly as completions fall to multi-decade lows due to reduced presale activity.” In 2024, more than 360,000 purpose-built rental units were proposed across the Greater Golden Horseshoe and Ottawa. However, of the 178,000 units approved, many are stuck in pre-construction.
Several challenges are stalling new development, including:
• High municipal fees
• Lengthy approval timelines
• Soaring construction costs
• Ongoing trade conflicts with the U.S.
The Housing Accelerator Fund and removing the GST from purpose-built rental projects have helped to address these issues. However, bolder moves are required, such as temporarily waiving development charges or property taxes, to truly address the supply problem. The report stated, “The province has made progress in expanding its rental pipeline thanks in part to targeted policies. But much more must be done to meet the rising demand over the next decade.”
FRPO forecasts purpose-built rental starts will decline in 2025 and 2026 before rebounding in 2027, as interest rates and construction costs stabilize and more incentives kick in. Of course, this assumes the U.S. and Canadian governments will not introduce new tariffs. Under this scenario,
purpose-built rental starts could total 174,000 units over the next decade, an increase of 53 per cent from the nearly 114,000 units started in the past 10 years.
However, condo construction is another issue. Given that presale activity is lagging and the market depends on private investors, starts are expected to fall to 177,000 units, which is a 40 per cent decrease compared to the previous decade. In the short term, completions will remain high, as more than 50,000 units are expected in both 2025 and 2026, with another 48,000 units expected in 2027. However, by 2028 and 2029, completions are expected to drop to only 26,000 units per year, which is the lowest level in a decade.
Visit frpo.org to read the Ontario Rental Market Study Update.
Upcoming events
CFAA Rental Housing Conference
Date and Time: May 13 – May 15, 2025 | 8:00 am –5:00 pm
Join senior leaders and decision-makers from across Canada at the country’s premier rental housing event. This year, we’re focusing on innovation, collaboration, and shaping the future of our industry. Be part of bold discussions, gain valuable insights, and connect with key players driving Canada’s rental housing forward. Don’t miss this opportunity to help shape what’s next— see you in Vancouver!
FRPO Charity Golf Classic
Date and Time: July 22, 2025 | 8:00 am – 6:30 pm
Another year, another incredible golf tourney! We’ll be hitting the links in support of Interval House on July 22. This event will take place at Lionhead Golf Club with registration opening in late spring. This event sells out quickly, so keep an eye out for your emails for registration opening.
Ontario’s leading advocate for strong and stable rental housing.
FRPO is the largest association in Ontario representing those who own, manage, build and fnance residential rental properties.
For membership inquiries please contact Lynzi Michal, Director, Membership & Marketing
Federation of Rental-housing Providers of Ontario
801-67 Yonge Street, Toronto, Ontario M5E 1J8
416-309-8744
lmichal@frpo.org www.frpo.org
