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Landlords to pay licensing fees, city to evaluate 900 apartments as new “safe apartments” by-law comes into effect

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The City of Hamilton’s new “Safe Apartment Buildings” by-law came into effect on Jan. 1, meaning that building landlords will now have to pay annual licensing fees, and staff will begin work on evaluating the municipality’s 900 apartments.

The city says that the program aims to address building maintenance concerns and make building conditions more transparent.

The program requires the annual registration of rental apartment buildings with two or more storeys and six or more units, with property owners on the hook for $60 plus HST in licensing fees for every single unit.

Building owners must register each apartment building they own by Feb. 28, 2026.

Registration is valid for one year and must be renewed annually, and failure to register may result in an order and fines for non-compliance.

Registration with the city must include owner and operator information, building contact details, security features, general building information, the legal description of the building, and proof of general liability insurance. 

Property owners must also present mandatory plans for cleaning, electrical maintenance, managing disruptions to vital services, maintaining the building in good repair (including a five-year forecast of capital and common element repairs and improvements), pest management, and waste management.

There have been concerns about the cost of the program, which is projected to see only 65 per cent cost recovery, with the remainder funded through the property tax levy. The city has hired 25 new staff members to administer the program.

Once fully implemented, the initiative is projected to cost $3.09 million annually. 

Council also approved $2 million to launch the program and over $700,000 in one-time capital costs, including the purchase of 13 new vehicles.

Once an apartment has been registered, Municipal Law Enforcement Officers will then complete an evaluation to assess the building’s overall condition and maintenance practices.

The City of Hamilton is estimated to have 900 apartments, so evaluations are projected to take until September 2027.

The evaluations include inspecting the interior and exterior common areas, reviewing records and service request processes, and speaking with tenants if needed.

Each apartment will then receive an evaluation score, which will be posted publicly on the City of Hamilton’s website and will also have to be displayed in the apartment building for tenants to view.

Apartments that receive a score of 85 per cent or higher will have their next evaluation in three years, those that score 51 per cent to 84 per cent will have their next evaluation in two years, and those that are at 50 per cent or lower will be required to undergo an audit, which is subject to a $2,123 plus HST audit fee paid by the owner.

Audits include a more thorough investigation of the building, including unit-by-unit inspection based on tenant reports.

The Hamilton and District Apartment Association is opposed to the new by-law, arguing that property standards are already enforced at both the municipal and provincial levels.

They say that the bylaw duplicates existing regulations and adds “significant costs.”

The association has also voiced concerns that the yearly fee per unit will continue to increase over time.

It should be noted that the new bylaw does not apply to condominiums, long-term care homes, licensed residential care or retirement homes, lodging homes, or housing co-operatives.

Additionally, nonprofit building owners and subsidized units are exempt from the city’s licensing fee but will still have to comply with other conditions.

 

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