(April 30, 2014 / 09:28:07) 85917-1 FRPO-MarchApril_p01.pdf .1 MARCH/APRIL 2014 Rental Housing Supports 147,000 Jobs in Ontario Ontario’s Strongest Rental Markets Small Landlord, Big Problem: Finding the Right Tenant FRPO's MPP Reception FRPO’S FAIR EXCHANGE OF at Queen's Park RENTAL INDUSTRY NEWS Natural Gas Outlook for 2014/15 (April 30, 2014 / 09:28:09) 85917-1 FRPO-MarchApril_p02.pdf .1 YARDI Voyager® 7S Our most advanced property management platform with full mobility. Take advantage of Yardi Voyager 7S, our advanced Software as a Service (SaaS) mobile property management platform. You’ll gain instant access to your data using any browser, with the freedom to work from your mobile device. Achieve a business-wide solution by adding products from the Yardi Multifamily Suite.™ To learn more, call 888.569.2734 or visit www.yardi.com/voyager. (April 30, 2014 / 09:28:11) 85917-1 FRPO-MarchApril_p03.pdf .1 The Voice of the Federation of Rental-housing Providers of Ontario 3 CONTENTS March / April 2014 FRPO’S FAIR EXCHANGE OF RENTAL INDUSTRY NEWS Features Departments FRPO Slow 9 Queen’s 21 apartment Chair's Report Park Day construction 4 By Ugo Bizzarri CFAA Report: Employment Release the 7 CFAA 2014 Rental 11and Income in 22 Power Housing Conference Rental Housing By John Dickie, CFAA President Small Landlord, FRPO’s Ontario’s 18 Big Problem 12Education 24 Strongest Selecting the Best Tenant Program Rental Markets By Mike Chopowick Industry News Concert FRPO Book 25 15Properties 26 Review Upcoming Events Customer 34 Service Natural Gas FRPO 16Price Outlook 30 Bulletin Wrap Up Cover Story Cover photo: Ontario’s Minister of Energy, the Gessell’s Hon. Bob Chiarelli (4th from right), 20 Story launches FRPO’s 1st Environmental Standards CRB building at Minto’s Sophia apartments in Ottawa. (April 30, 2014 / 09:28:12) 85917-1 FRPO-MarchApril_p04.pdf .1 4 FAIR EXCHANGE March / April 2014 FRPO’S FAIR EXCHANGE OF REPORT RENTAL INDUSTRY NEWS Chair's The voice of the Federation of Rental-housing Providers by Ugo Bizzarri of Ontario A PUBLICATION OF: As FRPO’s approaches its 29th Annual General Meeting in May, we can proudly take a look back at many Federation of Rental-housingProviders of Ontario highlights from the past 2013-14 year. In the past 12 EDITOR: months the industry has undergone change, and FRPO Mike Chopowick • FRPO has achieved much as an industry association working EMAIL: [email protected] on behalf of the rental housing sector. TF: 1 (877) 688-1960 A PHONE: (416) 385-1100 EX 21 FAX: (416) 385-7112 A record number of renters www.frpo.org Statistics Canada’s most recent survey found there are now 1.39 million rental 20 Upjohn Rd., Suite 105 Toronto, Ontario M3B 2V9 households in Ontario, up from 1.31 million in 2006 - an increase of 77,000 tenant households in five years. This increase in rental housing demand is proof ADVERTISING & SALES: of FRPO’s advocacy that renting is smart, helping tenants to live where they Mike Rich • MPH Graphics want, achieve financial flexibility, and avoid unexpected maintenance costs that EMAIL: [email protected] TF: 1 (800) 668-6037 homeowners face. Most average rent increases during 2013 were at or below the PHONE: (905) 470-2265 annual operating cost increases that housing providers invest to maintain rental FAX: (905) 470-2205 buildings. Tenants continue to benefit from lower monthly costs, and freedom mphgraphics.com 35 Mobile Drive from making a big down-payment, compared to others forms of housing. Toronto, ON M4A 2P6 A Big Economic Impact SUBSCRIPTIONS & ADDRESS CHANGE: Lynzi Michal • FRPO The impact of FRPO’s members across the rental housing industry goes far EMAIL: [email protected] beyond the lives of the residents who live in our buildings. Last year FRPO TF: 1 (877) 688-1960 commissioned KPMG to measure just how big our impact is on the well-being PHONE: (416) 385-1100 EX 22 of Ontario. The KPMG report found that every year, Ontario’s rental housing FAX: (416) 385-7112 www.frpo.org industry generates 147,000 full-time jobs, a provincial GDP of $18.3 billion and 20 Upjohn Rd., Suite 105 total tax revenue to governments of $7 billion. The construction of new rental Toronto, Ontario M3B 2V9 housing is key, supporting $1.82 billion in labour income and 33,000 full time DESIGNED AND PRINTED IN CANADA BY: jobs. Between 2007 and 2012, there has been investment in over 56,000 new private sector rental homes in Ontario. The paper selected for this project represents these environmental savings: FRPO IS A MEMBER OF: trees water (litres) air emissions (kg) solid waste (kg) PRESERVED SAVED PREVENTED ELIMINATED Canadian Fédération Canadienne Des 1 15,210 336 122 Federation Associations of Apartment De Propriétaires *compared to products made of 100% virgin fibers Associations Immobiliers The table above demonstrates the environmental benefits of running stock with 10% PCW Opinions expressed in articles are those of the authors and (Post Consumer Waste). do not necessarily reflect the views and opinions of the The formulas shown are based upon production of 12,000 magazines per year printed on 70lb Starbrite Plus FRPO Board or Management. FRPO and MPH Graphics ® accepts no liability for information contained herein. All Gloss Text FSC rights reserved. Contents may not be reproduced without Printed by MPH Graphics: 100% Bullfrog Powered (energy and green natural gas) and the First FSC® written permission from the publisher. Certified Printer in North America. Printed on Starbrite Plus Gloss Text FSC® Certified containing 10% post-consumer fibre, processed elemental chlorine free, acid free and using vegetable oil-based inks. (April 30, 2014 / 09:28:13) 85917-1 FRPO-MarchApril_p05.pdf .1 The Voice of the Federation of Rental-housing Providers of Ontario 5 The green building standards also include employee and Rental Housing by Comparison: tenant education and promotion of everyday things we can Government Taxes (Ontario) do to preserve the environment. Home Building Industry (Total) $11.3 billion6 A Better Land Use Planning System 3 Tourism Industry (Total) $9.5 billion The land development approval process has become 2 Rental Housing Industry $7.0 billion increasingly complex and burdensome. This leads to two 2 Food and Beverage Industry $5.2 billion unwelcome consequences: less housing and higher prices. 5 Insurance Industry $3.7 billion In our consultations with the government this year, FRPO 1 Agriculture and Food Industry $3.4 billion put forward its position in a simple framework: The land 4 Arts and Culture Industries $1.7 billion use approvals and appeals system should be used to plan 7 Mining Industry $1.0 billion housing development, not to create barriers to new housing 2 Aerospace Industry $320 million for Ontarians. 1. Ontario Federation of Agriculture, 2012 2. KPMG 2013, Economic Impact Assessment Study – Federation The Ontario government should ensure the land use of Rental Housing Providers of Ontario planning and appeals process enables much-needed 3. Ontario Ministry of Tourism, Culture and Sport, 2013 intensification across the province supporting better 4. Ontario Arts Council, 2012 affordability, and sustainability for transit planning and land 5. Insurance Bureau of Canada, 2011 6. Ontario Home Builders Association, 2007 conservation. Ensuring that the Ontario Municipal Board 7. Ontario Mining Industry, 2013 (OMB) upholds existing policies and plans against local government barriers, can also help encourage the Licensing is Not the Answer development of housing that meets provincial goals improved choice and affordability for residents. FRPO commissioned municipal expert Michael Fenn to compile a report reviewing the effectiveness of rental New Leadership at FRPO housing licensing across Ontario. His report, “A Review of In January 2014, the board of directors of the Federation of the Effectiveness and Implications of Municipal Licensing of Rental-housing Providers of Ontario (FRPO) named Scott Residential Apartments” (available at: www.frpo.org/ Andison as its new President and Chief Executive Officer. submissions), outlines the reasons why municipalities Mr. Andison brings extensive government relations, board consider licensing rental housing. The FRPO-Fenn report management, and association leadership experience gained found that apartment licensing is not the best solution to through progressive positions throughout his career. On any of the major issues that it is meant to resolve. Cities behalf of the board of directors, we look forward to working such as Toronto, Ottawa, Regina, Milwaukee, and others with Scott as we continue to advance FRPO’s mandate to have carefully examined the experience in a number of promote a balanced and healthy housing market in Ontario. jurisdictions and then decided against licensing. The Over the past thirteen years, with leadership provided by research and findings are illustrative and generally support former President and CEO Vince Brescia, FRPO has become FRPO’s position that licensing increases the cost of an important partner with government in advancing sound housing, reduces availability of apartments for tenants, and public policy on behalf of tenants and owners across the results in a huge, net cost to taxpayers without providing province. FRPO members are fortunate to have someone any extra benefit. With this landmark report in-hand, FRPO with Scott Andison’s background in government policy and is now escalating its advocacy efforts to restore legislation management to be assuming leadership of the organization. that formerly protected rental housing from licensing. Certified Rental Buildings Getting Greener Over 945 apartment buildings across Ontario now have FRPO’s Certified Rental Building (CRB) designation, meaning that over 200,000 Ontarians now live in quality Mihok Photo: Tony assured, CRB-approved buildings. In 2013 FRPO established a new environmental sustainability standard of practice as part of the CRB program, providing even better value to tenants, their landlords and our province.