Ontario Construction News staff writer
The City of Mississauga is enhancing its development charges incentive program to speed up the building of rental apartment complexes.
Starting now, development charges will be waived for one-bedroom-plus-den and two-bedroom rental units. Developers need to secure a building permit before Nov. 13, 2026, to qualify.
Council approved this initiative last week, stating that it aims to facilitate more rental projects moving from approval stages to actual construction amid rising costs that have caused delays throughout the region.
“Mississauga needs more rental housing for families who continue to be priced out of home ownership,” Mayor Carolyn Parrish said in a statement. “That’s why we’re eliminating development charges for more types of rental units.
“As a city, we have to do what we can to get rental developments across the finish line and shovels in the ground.”
This change follows actions taken in January 2025 when Mississauga became one of the first cities in Ontario to cut or remove development charges for residential housing after the mayor’s housing task force report was released. The Region of Peel voted in June 2025 to align with the city’s incentives.
Besides waiving development charges, several other housing initiatives were also approved.
A $44-million affordable rental housing incentive program funded by federal support offers financial help to encourage new affordable rental construction. The second round of applications is open until Feb. 13, 2026.
The zoning bylaw has been updated to allow semi-detached homes and houses on smaller lots within residential areas.
To accelerate higher-density projects near transit lands, areas designated as protected major transit station areas will be ‘pre-zoned’ for development. This move makes Mississauga one of the first municipalities in Ontario to implement pre-zoning at this level.
The municipality is also reviewing urban design requirements and making improvements to the condominium plan approval process as part of broader efforts aimed at streamlining housing approvals.
The expanded exemption from development charges is meant to enhance project viability and motivate developers to begin new rental constructions ahead of the 2026 permit deadline.
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