I need to do some renovations to my unit, but it is currently rented. How can I terminate the tenancy in order to do these renovations and increase the rent?

Although a landlord may give an N13 notice to terminate a tenancy at the end of the lease term in order to do extensive renovations, this process would not work in this case. This is because tenants have the “right of first refusal” – in other words, they are allowed to move back into the renovated unit at their previous rent once renovations are complete.

As of July 21, 2020 the landlord is required to give the tenant one month’s rent as compensation, or offer the tenant another acceptable unit if pursuing the N13 when there are less than 5 rental units in the property (3 months’ compensation for buildings with more than 5 rental units). The compensation must be given before the termination date on the notice.

If the current tenants do not move out on their own accord by the end of the fixed term tenancy agreement, landlords may want to explore the option of offering tenants compensation and/or moving expenses in exchange for terminating their tenancy by agreement, using Form N11.

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