6/3/2019
Researched and written by Adam Singer, Douglas Turner, and Sheliza Esmail for the Rotman City Lab Fellowship
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Table of Contents 1. Acknowledgements ................................................................................................................................................ 2
2. The Toronto Context.............................................................................................................................................. 3
3. Issues Summary ....................................................................................................................................................... 4
4. Case Study: Downtown-Yonge Neighbourhood and BIA ......................................................................... 7
5. Case Study: Entertainment District Neighbourhood and BIA ..................................................................... 10
6. Case Study: St. Lawrence Market Neighbourhood and BIA ........................................................................ 13
7. Issues Deep Dive ........................................................................................................................................................ 15
8. Best Practices ............................................................................................................................................................. 26
9. Next Steps ................................................................................................................................................................... 30
10. Addendums ............................................................................................................................................................... 31
11. Reference List............................................................................................................................................................ 32
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1. Acknowledgements
We would like to especially thank and acknowledge all of the partners who contributed to the
research process for this project, including:
Bloor-Yorkville BIA
Center for Industrial Relations and Human Resources, University of Toronto
Cityplace Resident Association
Condostore Marketing Systems
Councillor Mike Layton and staff
Downtown Yonge BIA
Geography and Planning, University of Toronto
St. Lawrence Market Neighbourhood BIA
St. Lawrence Residents Association
The Eglinton Way BIA
The Joseph L. Rotman School of Management, University of Toronto
The Waterfront BIA
Toronto Association of Business Improvement Areas
Toronto Entertainment District BIA
We appreciate the guidance, insights, and opportunity that each of these research partners gave in
order to complete this project.
Additional thanks to our personal networks who contributed to sharing and discussing their ideas
over the last year to while we worked on this project.
Sincerely,
Adam Singer, Douglas Turner, and Sheliza Esmail
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2. The Toronto Context
High-density developments are dominating the residential planning environment in the City of
Toronto. Over 80,000 residential units were completed in Toronto between 2012 and 2016, of which
83% were condominium units - an all-time high in Toronto’s development history. Furthermore,
the average size of a condominium unit has decreased from 1087 square feet to 885 square feet.
The decreasing physical size of Toronto condominiums, among other things, is also contributing to
increasing pressures on Toronto’s downtown spaces as Business Improvement Areas (BIA). As a
result of the exceptional degree of development taking place, there is increasing pressure on
Toronto BIA’s to be prepare for both increasing population density and shifting community needs.
The Toronto Association of Business Improvement Areas (TABIA) is interested in developing a
better understand of the impact of high-density condominium development in Toronto on
members of the affected communities and has partnered with the Rotman CityLab Fellowship class
to study this issue.
In an effort to better understanding the impacts of high-density development in Toronto the
following steps were taken: a) An academic literature review on Toronto’s business community and
the impacts of high-density development; b) A scan of past and current planning studies in
Toronto including TO Core, Intensification in the Downtown Core, and How Does the City Grow; and
c) a collection of semi structured interviews with representatives from Toronto BIA’s, local resident’s
associations, and a City of Toronto councilor and member of the development community.
The insights in the Issues section of this report are intended to be a high-level overview of the
experiences of BIA’s and their community members, and the successes and challenges that they
have experienced in light of Toronto’s booming population and development.
-
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
1970 1980 1990 2000 2010 2017
Number of Units Added
Year
Condominimum Units Added to the Toronto Housing Market
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3. Issues Summary
This is a high-level summary of the issues that have been identified. Each of the issues are
comprehensively addressed further on pages 13-23.
3.1 Unsustainable Property Tax and Rising Rent
The increasing land values in Toronto are affecting commercial tenants and local business owners.
Rents in high-density areas have become unaffordable for many mom-and-pop businesses.
Tenants that are not major brands or big box retailers tend to have difficulties affording these
increasing rates, leading many local and independent businesses to be driven out of
neighbourhoods. There is a lack of diversity in the mixture of business types due to the increasing
rents that is likely to continue as high operating costs in downtown Toronto continue to grow.
Commercial value assessments have risen by as much as 500% in parts of downtown Toronto, and
property taxes have also significantly increased.
3.2 The Erosion of Main Street Character
The main streets of most downtown neighbourhoods across the city have seen a fundamental shift
away from small, independent, and local businesses towards chains, franchises, and big-box stores.
Large-scale developments in the downtown prefer large retail chains and big box retailers to small
and independent businesses because they have the capacity to sign long term leases and act as
anchor tenants. There is also a barrier to entry with large renovation costs for retailers to create
suitable spaces for retail because retail space design and amenities are not prioritized for
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investment nearly as much as residential units. There is an emerging trend towards creating large
retail spaces rather than a variety of small and large retail spaces that tend to attract certain types
of businesses. While the City of Toronto often preserves facades, there is no mechanism in place to
preserve cultural attributes, retail diversity, and main street character.
3.3 Insufficient Transportation Infrastructure
Toronto’s transit infrastructure, including its highways, parkway, and transit services that service the
Toronto downtown are over capacity at peak hours. Additional transit services including public
transportation options are needed to facilitate the flow of traffic in the downtown core as well as
24/7 service. The increasing density and development is going to create more pressure on already
at capacity services. BIA’s also struggle to maintain adequate parking supply to service visitors to
the area. In addition to the limited parking supply, there is also a shortage of space for business
and residential delivery services which are becoming increasingly popular.
3.4 Absent Community Services and Facilities
High-density areas of development in
Toronto are increasingly seeing more
diverse mixes of residents, including
families living in 3-bedroom condos,
but the growth and development of
community and public services often do
not keep pace with these demographic
changes. Many high-density areas of
the city are experiencing a shortage of
community spaces, such as schools,
libraries, community centers, and other
social services. Many of these areas
have insufficient outdoor space for pets
and physical activity. Many other areas
require faster development of facilities
and support for homeless populations,
which is often cited as a safety concern
for residents. These can be facilitated through public and private centers that act as community
anchors and recreation spaces for families.
3.5 Aging and Underserviced Utilities
The Province of Ontario, the City of Toronto, and other public and private actors have proposed
many solutions and policy interventions to help facilitate sustainable development of high-density
areas in Toronto. However, many of the critical public services, utilities, and infrastructure are
nearing or exceeding capacity and are reaching beyond their expected lifetime. Because of this,
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massive upgrades to existing infrastructure and utilities are needed, and the development of new
public infrastructure should be promoted. Critically though, the cost of these improvements is
increasing significantly as they deteriorate further. Timely and immediate upgrades are crucial to
ensuring and promoting sustainable and long-term high-density development.
3.6 Lacking Diverse Housing
Due to the increasing costs of development in the Toronto’s downtown, developers are
endeavoring to maximize their profits through higher margins. This has resulted in high-priced
condominium development and the standardization of housing price points and unit types.
“People living in the downtown have a need for green spaces and parks. You need more spaces for
activities.” – Downtown Resident
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4. Case Study: Downtown-Yonge Neighbourhood and BIA
Each of the following case studies will address the themes listed
1. Successes and Challenges for the Neighbourhood
2. History of the Neighbourhood
3. History and Mandate of the BIA
Successes and Challenges for the Neighbourhood
Unsustainable Property Tax and Rising Rent
o Businesses in this neighbourhood must make a trade off: high foot traffic on Yonge
Street or lower rent somewhere else.
Absent Community Services and Facilities
o With the rapid development of condominium towers in the downtown core,
community service organizations such as the Yonge Street Mission have left the
neighbourhood.
Aging and Underserviced Utilities
o The water pipes and electric transformers feeding and powering Yonge Street are in
some places over 100 years old. It is only a matter of time before a failure of one of
these systems shuts off the taps or lights of
hundreds of thousands of residents.
The Fall and Rise of Yonge Street
Yonge Street has been an integral part of
the city since the early 1800s when the town
of York first began seeing expansion. Yonge
Street in the early 1800s was a haven for
immigrants, and was known to have a
strong community of recent immigrants
from the Old World and refugee slaves from
the United States living, working, and
socializing alongside one another. At first
considered further outside of the town than
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the more developed area near the waterfront, the city grew around this thriving neighbourhood
until the Great Fire in 1850 demolished most of the buildings across what is now the downtown
core of Toronto. While the city rebuilt, the character of this neighbourhood remained forever
changed and this was the catalyst for the "city of neighbourhoods" Toronto is now known for
today; when the diverse cultures began moving away from Yonge Street, they settled into their
own neighbourhoods and created
strong cultural communities across the
city that thrive to this day.
The area around Yonge Street took on
much of the same industrial
characteristics as the rest of the
downtown area of Toronto in the first
half of the 20th century; industrial
manufacturers and housing blocks
helped propel the economic engine of
the city. However, with the decline of
downtown industrial manufacturing in
the early 1950s, Yonge Street became
one of the poorest neighbourhoods
and was considered a slum. Through
the 1970s, Yonge Street was littered
with brothels, strip clubs, and head
shops, and was known to be a
destination for vinyl record shops. This characterization as a seedy neighbourhood existed
alongside another view of Yonge Street at the same time: an entertainment destination. Yonge
Street was also known for the countless record shops and movie theaters along the strip, some of
which are still there: Legacy theaters still exist all up Yonge Street, such as the Winter Garden,
Massey, Panasonic, and Elgin.
The people of Toronto however became tired
of this poor characterization of the Yonge Strip,
and there was a new push for revitalization
through the neighbourhood. Yonge Street had
been on a terrible path, and this came to a
head in 2005 when gang violence on Yonge
Street caught national news attention. Suddenly
new efforts began to shift away from this seedy
past, and this is when Yonge and Dundas
Square was first conceived as the Canadian
Times Square. Since then, the economic
development efforts have taken off. The
Downtown Yonge neighbourhood has
exploded with development, and is home to
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around 180,000 people. In the last 18 months, 45 new international brands have opened their doors
within the neighbourhood, and the pace will only keep accelerating. For Downtown Yonge, the
future is bright.
What the BIA does:
The Downtown Yonge BIA encompasses a wide area of the busiest section of the downtown core;
with 180,000 residents, nearly 600,000 daily commuters, 40,000 students, and around a third of all
TTC traffic every day, this is the beating heart of Toronto. The BIA thus puts a large focus on data
collection on the patterns and behaviours of residents, commuters, visitors, and businesses
throughout the neighbourhood in order to effectively deliver and advocate for the services
needed. To further deal with this rapid development throughout the neighbourhood, the BIA has
adopted a proactive strategy for developer engagement to ensure that the needs of current and
future businesses are dealt with when the new buildings are proposed, under construction, and
finished. A twin focus of the BIA is of course the promotion of the neighbourhood as the premiere
destination within Toronto; with Yonge-Dundas Square and the Eaton Center two landmarks,
maintaining the distinct 'feel' of the neighbourhood is equally important for all of Toronto.
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5. Case Study: Entertainment District Neighbourhood and BIA
Successes and Challenges for the Neighbourhood
Erosion of Main Street Character
o Toronto's Entertainment District has seen a massive shift away from local theaters,
nightclubs, and restaurants, towards big-box stores and franchises
Insufficient Transportation Infrastructure
o While there is subway and street car service to the BIA, the service levels do not
meet demand as the neighbourhood has a 24/7 pace and public transportation
services are offered at a limited time.
Lacking Diverse Housing
o While there is rapid development in the Entertainment District, many community
members complain that developers largely cater to one-bedroom condos, leading
to hollow neighbourhoods
An Ever-Changing Neighbourhood (History)
The neighbourhood that now makes up the
Entertainment District has seen huge changes
in their nearly 200-year history. In the early
1800s, this neighbourhood was home to
some of the wealthiest Torontonians. David
Pecaut Square and Roy Thomson Hall was
the former location of York House at the
corners of Wellington and Simcoe. Upper
Canada College was originally built here in
1830, with dorms located at Duncan and
Adelaide, before moving to their current
location in 1891. Most of the neighbourhood
was considered upscale, and the population
was limited and mostly living in larger homes
and estates.
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The neighbourhood began changing again in 1850 following the aftermath of the first great fire,
which destroyed a large part of the current downtown. Beginning in this period and continuing
into the mid-1900s, the Entertainment District became a manufacturing hub in Toronto. Light
manufacturing factories existed across King and Adelaide streets, and this neighbourhood became
focused almost exclusively on industrial production. Many old Victorian homes in the
neighbourhood were converted to boarding houses for workers and labourers, and this is when
the neighbourhood thrived as a residential community supporting the local industry.
With the decline of competitive manufacturing felt across North America in the 1980s and rising
rents in the downtown, many manufacturers left and were followed by their workers. This left a
vacuum in the neighbourhood, with many factories falling into disrepair and the residential
population bottoming out. This allowed the rapid spread of restaurants and nightclubs in the
neighbourhood because of the low residential population and availability of large open buildings,
and in the 1990s there were over 80 large nightclubs in the area between Adelaide and Richmond
streets in the Entertainment District. Since then, little by little these properties have been bought
out and developed into mixed-use residential and commercial buildings, giving the Entertainment
District the characteristic downtown feel it has today.
Some of this legacy of the
neighbourhood still exists today
despite the rapid development
throughout the Entertainment
District. The old Victorian homes
along King Street that make up
restaurant row were originally built
in the 1850s after the great fire for
the wealthy Torontonians that lived
there through the 1800s. The
manufacturing workers of the first
half of the 20th century lived there
as well, and while most of their
former employers have since left the
neighbourhood, two light
manufacturers still persist: a furrier
and an outerwear coat maker. Of
course, many theaters, restaurants,
and clubs still exist throughout the Entertainment District that make it a destination neighbourhood
for many people throughout the city, but new mixed-use developments with strong commercial
and residential mixes is a tribute to the character of a thriving industrial downtown; remnants of
the Entertainment District's ever-changing past and integral role in the city of Toronto still remain.
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What the BIA does:
The Toronto Entertainment District BIA was founded in 2006 as the Entertainment District was
undergoing another major shift in its makeup and history. With the decline of the entertainment
scene and the rapid development in the downtown core, there was a clear need to have a cohesive
advocacy organization to represent the needs of the rapidly shifting neighbourhood business mix.
With rising prices for rent and property taxes as a by-product of the rapid residential development,
many of the smaller local businesses and restaurants were priced out. The Entertainment District
BIA is particularly strong at developer engagement, and has developed a process map that can be
simplified to be seen their Urban Growth and Development guide. This model for developer
engagement allows better consultations with residents and ensures the new developments keep
pace and style with the neighbourhood. With future expansions of the BIA boundaries expected,
this neighbourhood is still experiencing transition and slowly losing more of the Entertainment
culture along the way.
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6. Case Study: St. Lawrence Market Neighbourhood and BIA
Successes and challenges for the Neighbourhood
Erosion of Main Street Character and Culture
o The BIA has made great efforts to successfully preserve the historical nature of the
St Lawrence Market through events that highlight the unique heritage of the
neighbourhood
Lacking Diverse Housing
o The St. Lawrence community was Toronto’s first mixed use community due to its
integration of market and affordable housing, and still embodies this vibrant
mixture today
Absent Community Services and Facilities
o Residents of the neighbourhood are increasingly families, but schools and
community centers have not kept up pace. Residents may want a 20-minute walk to
work, but not at the cost of an hour drive to their kids’ schools.
Toronto's Oldest Anchor
The St Lawrence Market neighbourhood is
arguably the oldest continuous
neighbourhood in the City of Toronto,
dating back to a declaration in 1803 as the
Market Block and as the first permanent
community market in the town of York.
Since then, the neighbourhood has been
continuously anchored by the landmark St
Lawrence Market, which has been rebuilt
and expanded many times through its
history. Between 1803 and 1820, it was an
open-air market, but the popularity of the
market grew beyond their capacity. With the
construction of a structure in 1820 followed
by a well in 1823, the community gathering
space began taking shape. By 1831, this led
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to further expansion, demolishing the old wooden building and replacing it with a brick building
that filled the entire city block. This was soon replaced again in 1850 after the Great Fire that
devastated a large part of the city, becoming the largest building in the Town of York, able to
accommodate 1,000 people and acting as a market, art gallery, public meeting space, theater, and
even the city hall in the late 1800s.
Following the great fire, the neighbourhood surrounding the St Lawrence Market developed into
an industrial center for Toronto that stretched between the Don River across to Spadina Crescent.
This neighbourhood was the core of Toronto's industrial manufacturing and hit peak employment
and production in the late 1940s. However, after this peak of industrial manufacturing, the
neighbourhood began to decline in influence as manufacturers moved outside of the downtown
core, leaving many decrepit buildings and parking lots empty surrounding the St Lawrence Market.
The neighbourhood began another shift again in the late 1960s and early 1970s, when new efforts
began to revitalize the St Lawrence neighbourhood as the industrial era had declined. The market
was originally set to be demolished in 1971 due to declining use and questionable structural
integrity, but citizen groups across the city fought for reconstruction and redevelopment of the site
instead. A citywide effort began to revitalize the neighbourhood, with contributions from world-
renowned urban planners such as Jane Jacobs helping to grow the St Lawrence Market
Neighbourhood into the vibrant community it now hosts today.
What the BIA does:
The St Lawrence Market Neighbourhood BIA first
encompassed a small area surrounding the St
Lawrence Market, as the landmark was the strongest
anchor for the neighbourhood. However, as the
neighbourhood grew and developed, the need for
stronger advocacy for local businesses outgrew the
ability of the BIA to serve the neighbourhood. The
BIA boundaries have since pushed these limits,
expanding twice to achieve its current size. The BIA
promotes four pillars for the neighbourhood: food
and cuisine, history and heritage, design, and arts
and culture. This focus for the neighbourhood
ensures that the core mandate and focused efforts of
the BIA can highlight the unique heritage and culture
of the city's oldest neighbourhood.
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7. Issues Deep Dive
7.1 The Erosion of Main Street Character
Independent, local, and
grassroots businesses play an
important role in the Canadian
economy and job market, and
remain a defining feature within
the City of Toronto. The so-
called City of Neighbourhoods is
characterized by local
neighbourhood Business
Improvement Areas and Main
Street thoroughfares that
welcome visitors to unique
experiences. However, as
densification in the Toronto
downtown core has increased,
the character of Main Street has
been eroded to a whisper of
former days of the thriving main
street neighbourhoods.
While changes in neighborhoods’ business and retail mixes has been happening for decades
across the city, the effects are most evident in highly developed areas. Developers in downtown
Toronto are approaching traditional two-story main streets as opportunity areas for high-rise
developers. Notably, many main street areas in the City of Toronto have been zoned as Avenues
and areas for development. The highly competitive Toronto real estate market means high prices
for real estate which has a trickle-down effect on developer strategies and the resulting main street
businesses. Due to the high investment on the part of developers, there is a pressure to maximize
value at all stages of development and achieve the greatest returns on their investments.
The result on Main Street is that developers have been prioritizing acquiring anchor retail tenants.
These anchor tenants tend to have two key characteristics. First, they are capable of making
significant investments into the design and renovation of their business spaces, but at the cost of
creating highly tailored and potentially unworkable space. Second, they are able produce high
revenues per square foot compared to both other similarly sized tenants and smaller retailers. This
reduces the diversity of business types that are more likely to be sustained within neighborhoods,
and shifts the balance in favor of major retailers over independents.
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Small, local, and independent businesses’ demand and production are limited and are not able to
compete with major retailers in the downtown retail environment. What gets lost in this shift is not
just the diversity in retailers, but also the retail character and culture that makes these communities
unique. “The City is great at saving a façade, but the cultural attributes get lost,” was one comment
from a local leader. “Where once there was a unique mix of local nightlife venues, ethnic food
stores, nail salons, convenience stores, and the like, now there are Booster Juices, Shoppers Drug
Marts, and David’s Teas.” Local landmarks and cultural heritage are being lost in the development
wave.
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7.2 Unsustainable Property Tax and Rising Rent
The foundation for property taxes in Toronto is the land assessment process. The Municipal
Property Assessment Corporation (MPAC) is a provincial agency whose role is to evaluate
commercial and residential land in the province. MPAC relies on sales transaction, historical data,
property inspections, and trends in development as key factors to assessing the value of a
property.
A key factor is the concept of “highest and best use,” which is a determination of the physically and
legally permissible use of a property according to planning policies, zoning, and the previously
mentioned factors. The “highest and best use” appraisal has skewed Toronto’s main street
neighbourhoods. In areas of growth such as Toronto, properties are assessed for what a space
could be rather than what the current use of a building. As a result, main street businesses in
Toronto property values have been increasing rapidly. MPAC assessments are the basis for
property tax calculations in municipalities, and as a result commercial property tax rates have been
intensifying. The outcome of the land values assessments and property taxes has been costly to
main street businesses in Toronto.
In 2018, the Ryerson City Building Institute presented an exhibit centered around the property tax
issues in the City, which highlighted a case study on Wellington Street in downtown Toronto. A
local restaurant was adjacent to a development site. Not only did the business have to manage the
nearby construction, their property taxes are projected to increase 239 from 2016 – 2020.
This case study used an example on Wellington that is a two-story restaurant, assessed based on
similar properties in the area slated for development. The Current Value Assessment, a metric used
by MPAC, increased by 243% precisely because of this potential for high-rise condominium or
office towers. This phenomenon is occurring across the Toronto downtown and trickling into
neighbourhoods across the City such as the main street businesses on Eglinton Avenue. The
resulting property taxes put extreme pressure on small businesses in these neighbourhoods to sell
their properties to developers, and the increased land values and property taxes are creating
commercial spaces that are no longer accessible to diverse business models. Only businesses with
the capacity to endure these high operating costs are willing to lease commercial spaces in the
Toronto downtown.
MPAC Property
Assessments
Highest and Best Use
Current Value
Assessments
Property Taxes
Rental Prices
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7.3 Absent Community Services and Facilities
Toronto's rapid development in the downtown core has been
unprecedented in Ontario and these areas of high-density
development are increasingly seeing a more diverse mix of
residents. Most perceive these condo developments to cater
exclusively to young, working, and often single and childless
professionals, but many condo buildings now see families and
retired or 'empty-nester' couples moving in. Many of these
residents explain that there is a trade-off they have accepted:
smaller space for shorter commutes. The smaller space
however means that residents must shift their space out of
living rooms, dens, basements, and backyards that suburban residents would use for hosting
friends, spending time with family, and getting fresh air. This creates a need for additional
community space that can be facilitated by a range of stakeholders.
The rapid development seen in downtown Toronto has also not kept pace with 'typical' publicly-
funded community services such as schools, daycares, local health clinics, libraries, community
centers, and other social services. A common explanation of this is that these publicly-funded
community services are still accessible for residents in the downtown core, but this misses the
bigger picture and does not reflect daily practices of residents.
Community members expressed frustration that they "can live a fifteen minute walk from work, but
every morning they have to drive forty minutes to get their kids to school. Similar frustrations arose
for daycare availability; some downtown neighbourhoods have nearly no daycare space available,
and waitlists for local daycares can take years.
Community residents face similar issues accessing communal spaces. Libraries and community
centers exist throughout the city, but neighborhoods’ stocks of these spaces have not scaled at the
same rate as their populations. Many libraries and community centers that are accessed by
residents of the downtown core are close to transit lines, but not within walking distance of their
homes. One parent explained how they want spaces "to go on Saturday mornings to let my kids
run around and I can drink coffee with other parents." During summer this could mean a park, but
during winter, residents must find school gyms or community centers; both of these options are
hard to find in the densely-built downtown core. Most large condo buildings now offer a 'party
rooms' as rentable spaces, but these come with additional fees, limited availabilities, and strict rules
for use. Party rooms may be well-suited to host birthday parties for young professionals, but not
parties of eight year-olds.
Several different models for businesses and services exist to address these issues, which can
broadly be categorized based on their funding and ownership. Most accessible community services
are publicly owned and operated, such as schools, libraries, and community centers. Other models
exist in which these services are developed through public-private partnerships, purely private
businesses that can act as community spaces, and even newer models for development such as
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privately-owned public spaces. The most distinct models are public community services and private
community services. Many public services are insufficient in the high-density neighbourhoods of
downtown Toronto, for example in the Downtown-Yonge or Cityplace neighbourhoods, and
residents, businesses, developers, and government agencies are seeking new ways to develop
these spaces. This is where public-private partnerships and privately owned public spaces can fill
necessary gaps.
Certain 'traditional' public services are
increasingly bridging this divide. Daycares
are a prime example of these public-private
partnerships developing in different ways.
Finding local and affordable daycare is a
frequently cited need of most residents, and
new condo developments are increasingly
incorporating these amenities in their
buildings, either run privately by another
organization or through a transfer of
ownership agreement with the city of Toronto. One key example stands out in Liberty Village,
where a condo development arranged with the City of Toronto to transfer a $5,000,000 daycare
facility on the ground floor of the condo building in exchange for an additional three floors to their
building. This exchange was accepted after public consultations and planning negotiations,
providing value for the city, the developer, and the community residents who now had a much-
needed new daycare in their community.
An alternative model is the privately-owned public spaces (POPS). Examples of these spaces are
typically park or outdoor spaces. These spaces are still privately owned, and typically charge
modest fees, but could for example be open space available in any variety of business. Bookstores,
churches, and restaurants have traditionally served as these venues, but an increasing number of
purpose-built spaces are being offered, allowing alternatives to condo party rooms that are
restricted to use by residents only. Beyond these meeting spaces, many businesses or privately-
owned organizations include some green space within their footprints that can serve as community
park spaces.
Certain community services and facilities will still require public ownership - schools, libraries, and
health clinics must be built in the high-density neighbourhoods of Toronto to keep pace with the
growth in demand, density, and residents. However, other community spaces can be developed
and operated faster and more efficiently through creative ownership structures. Residents do not
necessarily care whether their daycare, organizing space, or parks are owned publicly or privately,
as long as they are still accessible.
"When I'm already travelling down 50 stories in an elevator, I want public services nearby. With
tens of thousands of people living on a single block, there should be more available than what we
have." – Downtown Resident
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7.4 Insufficient Transportation Infrastructure
Toronto’s traffic and congestion issues have four interconnected problems: public transit at
overcapacity; public transit service shortages; road congestion; and parking shortages. The
transportation systems that the city relies on have co-dependency issues, and with rapid
development through the downtown core, it only exacerbates the problems of the overall system.
While the population in Toronto has
been increasing, public transit services
have not been keeping pace with this
growth. Toronto transit services are well
over capacity at peak periods and
commuting times are longer for Toronto
residents than anywhere else in Canada.
The Toronto Transit Commission (TTC)
estimates between 28,000 – 30,000
commutes traveling through Yonge and
Bloor, an important transit node, during
peak hours. The overcrowding on the
Toronto Line 1 and Line 2 subways has
led the TTC to investigate solutions for
service and capacity improvements.
Across Toronto, many industries and
services, including medical institutions, hotels, clubs, office cleaners, and food facility operators
finish their shifts outside of the TTC service hours (6:00am to 1:30am), leaving these people without
access to sufficient transit options. Many interviewees noted that City services need to better
accommodate people trying to access subway and transit services outside of the subway’s hours of
operation.
Toronto also has a strong culture around cars, primarily pushed because of lack of transit access
from some of the further suburban areas of the city. Public transit can only service so many
residents, and many people prioritize the convenience of their own vehicles, creating higher road
congestion. The expressways into the city absorb most of the commuter traffic, which has partly
prompted a city-wide mobility strategy to be considered in 2019. Overall, the city has fallen behind
in investments to transit infrastructure and managing road congestion.
The final issue facing Toronto’s transportation system is parking. The high volumes of traffic
entering into the downtown core need a place to park. Car parking spaces in the downtown core
are limited, often at capacity, and expensive. While there are some policies in place to have
developers supply parking for the public and residents, business improvement areas in the
downtown core perceive parking supply as a key issue to the vitality of their neighbourhoods and
ability to attract customers to the area.
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The transportation network in Toronto must be strengthened in order to support high-density
development and the growing needs of the Toronto downtown. The Relief line, Waterfront East
LRT, and incentives for active transportation and transit rather than vehicle use are important
considerations for transit planners in the City of Toronto. Emphasis in transit planning needs to be
placed on the Toronto downtown because of the rapidly increasing population size in this area.
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7.5 Aging and Underserviced Utilities
With rapid densification and development in the downtown, Toronto must continue to upgrade
and improve existing utilities infrastructure while searching for and developing new public
infrastructure projects to help keep pace with 21st century technology and innovations. While most
residents and businesses think of public utilities as water and power distribution, this can cover
other aspects when examining high-density areas of the city. There is one additional infrastructure
category that was identified as especially important to the development of a well-functioning high-
density downtown core - a modern and centralized waste disposal system. Improving and
maintaining this public infrastructure will be critical to maintaining a thriving downtown.
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Water and power infrastructure in the downtown core have often been neglected and not
upgraded since their initial construction. The water pipes that feed Yonge Street begin at the
waterfront and branch out from Davenport Road. They were initially installed in 1878 and have
seen only maintenance improvements since - no major development to upgrade the capacity of
these pipes has happened in 140 years. Considering the stretch of Yonge Street from Queen Street
to College Street is experiencing an average of 5% growth every year and has nearly 200,000
residents, major upgrades to capacity are long overdue. While a major capacity issue hasn't arisen
yet, this remains an ongoing concern that should be addressed as soon as possible, since the price
of reconstruction will only increase.
A new area of concern surrounds the existing waste disposal infrastructure in in high-density
neighbourhoods. Currently, garbage trucks drive along each street and laneway, collecting waste
from each building; however, some of the newer developments in the downtown do not have
laneway access for garbage trucks, while congested streets prevent curbside pickup from many
locations.
A newer proposal for infrastructure development in the downtown core is a centralized vacuum
waste disposal system, which would be particularly useful in the high-density areas of the city.
Perhaps the most well-known example of a waste disposal system like this is within the Disney
Parks in Orlando, Florida, but some major urban centers have begun experimenting with these
systems. High-density residential neighbourhoods in London, New York, Copenhagen, Barcelona,
and Stockholm currently have automatic vacuum waste disposal systems that service downtown
areas, so models exist that could be implemented in Toronto's downtown core as well.
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7.6 Lacking Diverse Housing
Whereas 10 years ago, new condos represented roughly 20% of Toronto’s new housing stock each
year, they now represent roughly 70%. According to the developer community the lower the price
of the unit, the faster they sell, even if those lower prices come at a cost of smaller units, odd floor
plans, or other trade-offs in the design of a unit. This has incentivized developers in many cases to
build and sell as many small units as they can. As a result, the average square footage of a
condominium in Toronto fell from 892 square feet in 2007 to 789 square feet in 2015.
As a consequence of the market
trend towards condominium
development, “People are buying
condos not just as first homes, but
also as permanent homes” and “now
condos are the first choice for new
immigrants and families” according
to one developer we spoke with.
Whereas 5 years ago, roughly 70%
of new condominiums would be 1-
bedrooms and roughly 30% would
have 2 bedrooms or more, 2-3 years later, that ratio dropped to 50/50. “Going forward, the sweet
spot is 1-bedroom + dens or 2-bedrooms” for developers because these are the smallest units that
can reasonably accommodate families. 1-bedroom + den units are becoming increasingly popular,
particularly for people who cannot afford larger condominiums or houses, but still want space to
start families. According to a downtown community resident, in many cases, the dens of 1-
bedroom + den units are converted into second bedrooms through installing walls or curtains in
order to increase their livability for families. As a result of this trend, the average square footage of
a condominium in Toronto rebounded to 814 square feet in 2017.
With the exception of luxury condominiums, in most cases developers are looking to minimize
building parking spaces as much as possible. Underground parking spaces cost on average
$60,000-$80,000 per space to build, and in most cases are unprofitable. As a result, on average
there is now 1 parking space per unit for only 60% of new condo units, and access to parking varies
on what type of unit you have. Studio and 1-bedroom condos are expected to not have parking,
and for 1-bedroom + dens there may be an option for parking, but for units with 2 bedrooms or
more, parking is nearly always an option, with the potential for 2 parking spaces in some cases.
This lack of parking has not substantially decreased the attractiveness of new condominiums. The
RCMI condos at 426 University Ave. sold out in 2 days with 0 parking, and anywhere on a subway
line, condominium buildings can sell at little to no discount if they have no parking at all.
Not only are the layouts and sizes of units changing, the presence and optics have amenities have
as well. In buildings with around 100 units, exercise rooms, party rooms, security services, and
passive areas such as libraries or video game rooms are the norm. Buildings with around 200 units
or more tend to have expanded amenities, for example exercise rooms more akin to health clubs
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with saunas and/or spin rooms, larger and multiple common living areas such as outdoor rooftop
terraces and green roofs, and 24h security, along with expanded offerings such as guest suites,
internet lounges, dog washes and pet spas. What has changed has been that over time as overall
square footage and shared living space within condo units has declined the shared building
amenities have increased in visibility. These amenities have moved from the basements to main
level spaces and have increased substantially in quality.
Overall, this residential densification is leading to three key needs for residents: shared community
spaces and services, main street experiences, and affordable and accessible transit. With little room
for shared living spaces within their condominiums, residents rely on the amenities within their
buildings or spaces outside to socialize and live. In communities that are not designed to facility
community-building through shared spaces, the result becomes siloes of buildings. Without access
to parking, community residents need to be able to get to retail locations without using a car,
which means they either have to have access to affordable public transit or key services need to be
within walking distance. Main street experiences provide the opportunity to escape isolated tower
experiences and connect with the City.
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8. Best Practices
8.1 Urban Design Guidelines and Master Plans
Streetscape master plans and design guidelines for BIA’s neighbourhoods has been the most
successful way for BIA’s to have create interesting and diverse retail mixes, attractive and inviting
streetscapes, and identifying and prioritizing community needs. These master plans set the rules
for quality and standards of future developments and renovations within the BIA. This allows BIAs
to address streetscape plans, including local connectivity, sidewalk quality and width, lighting and
landscaping, and the provision of park spaces through streetscape master plans and
neighbourhood urban design guidelines.
For example, the St. Lawrence Market Neighbourhood BIA published its Public Realm Master Plan
in 2015, which provides a vision for the neighbourhood’s roadway and streetscape improvements
and a sustainable public space network. Using ten guiding principles based on community surveys,
neighbourhood observations and BIA input, they created strategies for specific public space
considerations, developed demonstration plans for particular streets, and put in place an
implementation strategy to ensure that the plan’s priorities were implemented. As a result, projects
such as the Berczy Park revitalization were accomplished in a way that created a streetscape feel in
line with the rest of the neighbourhood in collaboration with developers. For more information on
the St. Lawrence Market Neighbourhood BIA Public Realm Master Plan However, there is still much
work to be done in developing these master across neighbourhoods and the implementation
phases.
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8.2 Monitoring Development Activity and Building Relationships with City
Planning
The Toronto Entertainment District BIA has developed a comprehensive guide for their staff to
track development in the neighbourhood, and this strategy is being adopted by other BIAs across
the city as a standard practice. The staff at the Entertainment District BIA dedicate resources to
monitoring City Council agendas and meetings and tracking development. This includes cases that
are at the Local Planning Appeal Tribunal (LPAT). Previously known as the Ontario Municipal Board,
the LPAT reviews appeals to development applications that have not passed through Toronto
Council. Through this process, the BIA regularly compiles a document on urban growth and
development within its boundaries, which it can use to inform its decision-making. It details the
current and projected population and planned real estate development for the neighbourhood.
The latest Toronto Entertainment District BIA Urban Growth and Development document from
November 2018 can be found here.
Using this information, BIA’s can be proactive about bringing their concerns to developers and city
staff including the size of retail spaces, type of retail, and in complement to this ensuring a mixture
of market-rate and affordable housing.
8.3 Capturing Local Cultural Narratives
Some developers have made an effort to create retail spaces that are affordable to small and
independent operators by creating ground floor retail with smaller footprints that are more
affordable to mom-and-pop businesses, and by relocating businesses within their current
neighbourhood when development occurs. In Mirvish Village, a local developer, Westbank,
relocated “A Different Booklist” because of its cultural important to the area rather than simply
displacing the store. Once the Mirvish Village development is completed, “A Different Booklist” will
be able to open their store again in the new development, thereby preserving the ‘feel’ of the
neighbourhood will still allowing development.
BIA’s can leverage their local history and culture by documenting stories of businesses, local
heritage, and culture. The St. Lawrence Market Neighbourhood BIA, for example, has prioritized
the story of their neighbourhood in their interactions with developers to promote the
incorporation of the neighbourhood history into the design, layout, and retail mixes of new and
existing developments. They have also used the neighbourhood’s history as a unifying theme in
their community festival planning such as the Feast of St. Lawrence and Bards in Berczy during the
summer months, as they shift away from generic festivals that do not highlight the unique history
of the neighbourhood.
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8.4 Shared Spaces
Given the increasing cost of rent, some local businesses have now begun to experiment with
shared commercial space as a way to access larger floor plans, and either gain access to or stay in
communities. For example, restaurants at the Assembly Chef’s Hall at Richmond and York Streets,
and the Annex Food Hall at Bloor St. and Dalton Road, share their upscale common spaces and
seating areas. This trend goes beyond food halls to incorporate many other business types through
coworking spaces, such as the WeWork in the Entertainment District, the Centre for Social
Innovation in the Annex, the Shecosystem in Koreatown, the East Room in Riverside, and
Workplace One in Queen West, which transformed an older industrial building into a vibrant
shared working space. Beyond formal commercial space sharing arrangements, some businesses
have opened their space to additional uses that enrich the community such as bookstores that
opens their space to social and political gatherings after hours.
BIA’s can promote the creation of shared commercial spaces to developers as a way to foster a
more diverse retail mix and a greater concentration of independent businesses in their
communities.
8.5 Creative Public Spaces
In light of the shortage of public park spaces, creative solutions such as Privately Owned Public
Spaces (POPS) and laneway experiences such as public art and seating can create spaces where
residents and visitors to an area can relax, enjoy, and socialize. There are many of these POPS
around Toronto, including the parkettes at 77 Adelaide Street West and 123 Front Street West, the
corner plaza at 2 Queen Street East, and the pedestrian walkway connecting Elizabeth Street and
Bay Street at 532 Bay Street. Some of the more well-known spaces such as the TD Centre Pasture
and Commerce Court predate Toronto’s use of POPS agreements, but follow similar veins and are
frequently used by the public to enliven the community. BIA’s can promote the use of POPS by
engaging with developers through the development process. Explore this map of POPS in Toronto.
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8.6 Community Agency Partnerships Through Public Private Partnerships
All of the best practices are nuanced and complex matters that require creativity, collaboration, and
unique partnerships to address. The public and private sector can no longer work when necessary
or required but rather must constantly communicate with each other and work collaboratively in
order to achieve real outcomes that will improve any of these issues for the City of Toronto. The
East Harbour development proposal from First Gulf Development Corp is a good example of a
strong community agency partnership. This development will see a massive office node built on 62
acres of formerly industrial land on the eastern edge of downtown Toronto. The East Harbour
consultation process from First Gulf was an extensive, multi-year process with the City, community
stakeholders, and residents that exceeded expectations; this has allowed the surrounding vibrant
communities of the West Donlands, Distillery District, and Portlands, among others, to contribute
and be a part of this extensive new development.
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9. Next Steps
The best practices outlined are intended to be a general overview for further research and
advocacy for interested organizations including TABIA and the BIA community across the City.
Further study into the state of Main Street in the City of Toronto that comprehensively addresses
the changes in business mixtures in the past, present, and future across neighbourhoods; and
surveys of residents living in high growth areas to measure their perspective with respect to these
issues are recommended. These areas were outside the scope of this study but would add further
value and validation to the results provided here.
Our recommendation, in light of the results, for TABIA and the BIA’s is continued and emphasized
advocacy at the municipal level for the City of Toronto to put additional efforts and resources into
addressing each these issues. The best practices are a means of interim interventions for BIA’s
experiencing high-density development to preserve and manage the incoming residential density
and retail changes. However, the issues will only increase in scale and cost over time at the
detriment of quality of life for Toronto residents and businesses while they remain unaddressed.
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10. Addendums
Addendum A: The Development Journey in Toronto and where to get involved in relations to the
best practice
Addendum B: Issues Tree
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