Increases above the guideline
To raise your rent by more than the guideline, your landlord can apply to the Landlord and Tenant Board. Your landlord must still follow the rules about waiting 12 months between increases and giving 90 days' written notice, which were described in the section on Guideline increases.
This kind of rent increase is sometimes called an above‑guideline increase or AGI. The Board can allow an AGI for only the following reasons:
- unusually high increases in municipal taxes and charges,
- the cost of security services, or
- capital expenses.
Capital expenses are major repairs, renovations, replacements, or additions that:
- will last at least 5 years, and
- are not part of normal ongoing maintenance.
The law says that there are only certain kinds of capital expenses that the Board can allow a rent increase for.
Your landlord's application to the Board can include any number of units in your building. Landlords must apply at least 90 days before the date they want the earliest increase to start. The application will not affect the rent for any tenants who move in on or after that deadline. This is because landlords can charge whatever they want to new tenants.
If your landlord applies for an above-guideline increase, the Board will schedule a hearing. Your landlord must give you a copy of the application and a Notice of Hearing at least 30 days before the hearing.
You and other tenants affected by the application have the right to challenge your landlord's application at the hearing. For example, you might be able to argue that the work done by your landlord was not needed or did not cost what your landlord says it did.
After hearing from you and your landlord, the Board will decide how much of a rent increase it will allow.
If your landlord makes this kind of application, try to get legal help. There is information about where to get legal help in section Where to get help.
How big an increase can the Board allow?
If your landlord applies for an above-guideline increase because of capital expenses and security services, the Board can allow your landlord to increase your rent by up to 3% above the guideline, for up to 3 years in a row.
There is no limit to the increase the Board can allow because of taxes.