Landlords need help to provide housing

I can confirm that landlords' concerns about difficult or irresponsible tenants and eviction challenges are common, rational, and well-documented across Canada and similar jurisdictions. 

These perceptions directly affect housing supply: when risks (financial losses from damage/non-payment, legal delays, or management burdens) outweigh rewards, private landlords—especially smaller ones—opt out of renting to vulnerable populations or participating in affordable/supportive programs. 

This reduces overall supply elasticity and exacerbates homelessness.

Social science evidence (including randomized trials like Canada's At Home/Chez Soi Housing First study) shows that with proper supports, many formerly homeless or vulnerable tenants achieve high housing retention rates (often 80-90%+ after 1-2 years) and become stable renters. 

The key is shifting from a purely punitive landlord-tenant dynamic to one with shared risk, third-party supports, guaranteed elements, and incentives. 

Mandates or overly tenant-favorable rules without offsets deter participation; affirmative encouragement through "carrots" (financial security, reduced hassle, supports) works better.

Ottawa already has strong foundations in its Rent Supplement Program, Housing First partnerships (e.g., via Options Housing), the Landlord Damage Fund, forgivable renovation loans (Ontario Renovates), Tax Increment Equivalent Grants (TIEGs), tax exemptions via the Municipal Housing Facilities By-law, and recent federal/provincial deals waiving development charges and property taxes for affordable/supportive units.

Provincial changes via Bill 60 (Fighting Delays, Building Faster Act, 2025, with phased 2026 implementation) have shortened non-payment notice periods (14 to 7 days in many cases), adjusted LTB processes for faster resolutions in some arrears cases, and made other procedural improvements for landlords. These help address "hard to evict" concerns without fully dismantling tenant protections.

Here is targeted, evidence-based advice for Ottawa City Council to affirmatively encourage and protect landlords while expanding infill, scattered-site, and supportive housing options:

1. Expand Risk-Sharing and Guaranteed Payment Mechanisms (Highest Priority for Landlord Protection)

• Scale and promote the existing Rent Supplement Program: Landlords already receive full market rent (tenant portion + direct city subsidy), up to 2 months' vacancy payments, and unit inspections/support. 

Market this aggressively to private landlords for infill or existing units. Highlight predictable cash flow.

• Expand the Landlord Damage Fund(already used for Housing First clients): It reimburses significant damages beyond normal wear and tear with proper documentation (photos, move-in/out checklists, estimates). Increase awareness, potentially raise caps or funding, and tie it explicitly to new infill or supportive placements. 

This directly mitigates the "property damage" fear.

• Adopt or expand Master Leasing models: A nonprofit, social enterprise, or city partner (building on Ottawa's existing HousingWorks pilot) signs a master lease with the landlord for one or more units and subleases to tenants. The landlord receives guaranteed rent from a single reliable payer, faces minimal vacancy risk, and deals with fewer individual tenant issues. The master lessee handles screening barriers, provides supports, and manages problems. This model has proven effective in reducing landlord reluctance in U.S. and Canadian examples.
• Add limited rental guarantees or signing incentives: Offer bonuses for new units leased to supported tenants or partial coverage of short-term lost rent (with conditions like allowing early support intervention or a short cure period before eviction filing). These lower perceived risk without unlimited liability.

Why this works: Landlords respond to reduced financial exposure. Direct payments and third-party backing turn "risky tenants" into more predictable arrangements.

2. Strengthen Supportive Services and Landlord Partnerships

• Deepen partnerships with organizations like Options Housing (which works with 135+ landlords and 1,700+ tenants in Housing First). They provide direct housing allowances paid to landlords, 24/7 tenant support, move-in coordination, mediation, and access to the damage fund. Retention rates are strong (88% stably housed after 24 months in their programs).
• Fund more wrap-around case management, life skills support, mental health/addiction services, and mediation. Evidence shows these reduce "difficult tenant" issues dramatically in Housing First models.
• Create or expand landlord toolkits/training (adapting federal Housing First landlord engagement resources) on working with vulnerable tenants, plus peer networks or advisory input from participating landlords.

3. Tie Infill and Development Incentives Directly to Landlord-Friendly Models

• Continue and expand TIEG*s ($6,000–$8,000 per affordable unit/year for 20 years), tax exemptions, development charge waivers, fee relief, and fast-tracked approvals for infill projects (including missing middle, ADUs/laneway housing, or conversions) that commit to affordable units, rent supplements, master leasing, or supportive partnerships.
• Offer additional density bonuses or priority processing for projects incorporating risk-mitigation features or set-asides for Housing First/rent-supplemented tenants.
• Use Ontario Renovates-style forgivable loans more broadly for private landlords renovating infill or existing units in exchange for long-term affordability commitments and program participation.

4. Leverage and Supplement Provincial Processes

• Educate and assist landlords on Bill 60 changes for faster non-payment pathways and other efficiencies.
• Enhance local eviction prevention (rent banks, emergency assistance) to reduce filings while preserving recourse for serious issues.
• Consider targeted local supports (e.g., mediation before LTB, pre-inspections) without overriding the RTA. Avoid measures that increase perceived eviction difficulty.

5. Implementation, Monitoring, and Collaboration

• Pilot and scale: Start or expand master leasing and enhanced incentives as targeted pilots, then evaluate landlord participation, tenant retention, damage claims, and costs.
• Data-driven approach: Track landlord satisfaction, unit turnover, outcomes for vulnerable tenants, and overall housing supply impact. Use this to refine programs and demonstrate success (countering stigma).
• Partnerships: Work closely with the Province (RTA/LTB advocacy if further balanced reforms are needed), federal funders (Housing Accelerator Fund), nonprofits, and landlord associations. Coordinate with existing Ottawa initiatives like the Affordable Housing Pipeline and Action Ottawa.
• Communication: Host landlord forums, share anonymized success stories and data, and position participation as low-risk, community-positive, and financially sound.

Expected Outcomes and Rationale

These measures affirmatively protect landlords by addressing core risks (payments, damage, hassle, eviction timelines) while encouraging more units for infill and vulnerable populations. Social science indicates incentive-based, voluntary programs with risk-sharing outperform mandates or pure tenant protections in expanding supply. They align with Housing First principles proven effective in Canada.

Ottawa is already ahead with tools like rent supplements and the damage fund—scaling and layering master leasing/risk guarantees on top would be transformative. This balanced approach respects tenant rights (stability reduces homelessness cycles) while making landlord participation attractive and sustainable.

Council should prioritize funding these enhancements in upcoming budgets, leveraging senior government dollars where possible. 

If implemented thoughtfully with evaluation, this can increase housing options, reduce street homelessness, and build a more resilient rental market. 

I recommend consulting local stakeholders (landlord groups, service providers like Options Housing, and the Social Housing Registry) for tailored rollout details.

* TIEGs stand for Tax Increment Equivalent Grants.In Ottawa, these are a key financial incentive under the city’s Affordable Housing Community Improvement Plan (CIP). They are designed to make it more financially viable for developers and landlords (including those doing infill or new rental projects) to include affordable rental units.

How TIEGs Work

• When a new development is built, it typically increases the property’s assessed value and therefore generates higher property taxes for the city (the “tax increment”).
• Instead of keeping all of that extra tax revenue, the city returns a portion of it to the developer/landlord as an annual grant.
• In Ottawa’s program, this takes the form of a fixed grant of $6,000 to $8,000 per affordable unit per year, paid for up to 20 years.
• The grant helps offset the lower rents charged on the affordable units, so the overall project remains profitable.

Key Conditions (Typical Requirements)

• A minimum percentage of units in the building (often at least 15% overall and per unit type) must be rented at or below Ottawa’s Average Market Rent (AMR) as defined by CMHC.
• The affordability commitment usually lasts for the full 20-year grant period.
• The grant amount is capped at 50% of the actual municipal property tax increase generated by the project.
• Units must comply with the Residential Tenancies Act (including rent increase rules).

Why This Matters for Landlords and Infill HousingTIEGs are one of the main “carrots” Ottawa uses to encourage private landlords and developers to participate in affordable housing. They provide ongoing, predictable revenue support tied directly to the new development, which helps de-risk projects that include below-market units or units targeted at vulnerable populations (when combined with rent supplements, Housing First supports, or master leasing).These grants can often be stacked with other incentives such as:

• Development charge exemptions/waivers
• Reductions in parkland dedication or community benefit charges
• Property tax exemptions under the Municipal Housing Facilities By-law

Recent examples include approvals for multiple projects (e.g., along Rideau, Carling, Somerset, etc.) where TIEGs helped deliver hundreds of affordable units alongside market-rate ones.