The City of Toronto revealed report, developed through public consultation and engagement with more than 1,000 interested parties, businesses and community organizations, presenting a path to supporting "a prosperous, inclusive, and sustainable economy that benefits all Torontonians," according to a press release.
The plan was introduced by Mayor Olivia Chow, along with Economic Advisory Panel Co-Chairs, Councillor Shelley Carroll (Don Valley North) and Zabeen Hirji, and contributors from across multiple sectors at the University of Toronto’s Schwartz Reisman Innovation Campus.
Under the plan's microscope are pressing issues, such as housing affordability, public safety, inequality, and transit efficiency — symptoms of a city facing a number of economic headaches. The issues are divided into 29 action items the City plans to carry out over the next five years, all of which fall under the larger action categories of "Getting the Basics Right," "Strong Main Streets," "Quality Jobs," and "Global Competitiveness."
As far as housing, the report acknowledges the growing wealth divide that has impeded on the ability of average Torontonians to enter the housing market. "Rising housing costs are a significant concern, with home prices soaring by 20% since 2019, while the median annual income has stagnated at a mere 0.4% growth rate," says the report. To combat this, one action plan includes getting more affordable housing built faster.
"Too many residents are burdened by the high cost of housing and these costs are driving people to leave Toronto," says the report. In order to remedy this, the City is pledging to advance the HousingTO Action Plan by implementing incentive programs for affordable home development and increasing densities like those near major transit station areas, with the goal being to achieve the City's targets of 285,000 new homes by 2031 and 6,500 rent-geared-to-income (RGI) units, 41,000 affordable rental units, and 17,500 rent-controlled units.
The report also focuses on Toronto's struggling office sector, citing that "Older office buildings are experiencing high vacancy rates, which are reducing the vibrancy of certain areas and threatening to decrease revenues to the City." Under the "Global Competitiveness" category, the corresponding action item aims to "incentivize a more diverse mix of non-residential uses in Downtown and the Centres" by motivating the conversion of Class B and C office spaces into adaptive, non-residential, and mixed uses. The goal is to return to a healthy vacancy rate of 7.5% by 2034 — as of Q3 2024, we're sitting around 18%.
Outside of housing and real estate, there are a number of action items that, intrinsically, will cross-pollinate into the housing sector by helping to grow Toronto's economy as a whole. Those include advancing economic development for Indigenous, Black, and equity-deserving communities, improving the TransformTO net zero strategy by implementing programs for green infrastructure, advocating for commercial rent control for small businesses, and championing technology and innovation, amongst other actions.
