If a Landlord Requires a Tenant to Leave for Renovations, Can the Tenant Return?
Yes. In Ontario, when a landlord requires a tenant to vacate a unit for renovations, the tenant generally has a right to return once the work is complete.
Failing to properly offer this right can lead to serious consequences for landlords, including significant financial penalties. If you are dealing with a renovation-related eviction, Babbar Legal can help ensure the process is handled correctly and lawfully.
The Tenant’s Right of First Refusal
Under section 53 of the Residential Tenancies Act, 2006, a tenant who is required to leave due to renovations may exercise a right of first refusal. This means the tenant has the opportunity to move back into the unit after the work is completed.
To preserve this right, the tenant must:
- Notify the landlord in writing before vacating that they intend to return
- Keep the landlord informed of any change in address
If properly exercised, the tenant is entitled to return at a rent that is:
- The same as before, or
- Adjusted only in accordance with lawful rent increases under the Act
This prevents landlords from using renovations as a way to remove tenants and re-rent units at higher market rates.
The Importance of Proper Notice
When initiating a renovation-related termination, landlords must clearly communicate:
- The reason for requiring the tenant to vacate
- The tenant’s right to return after the renovations
Failure to properly inform the tenant—or attempting to bypass this right—may lead to findings of bad faith.
Because these situations are closely scrutinized, landlords should take care to ensure that notices and communications are accurate and complete. Babbar Legal can assist in preparing compliant notices and avoiding potential disputes.
Risks of “Renoviction” and Financial Penalties
Where a landlord fails to offer a tenant the right to return—or uses renovations as a pretext to permanently remove a tenant—the conduct may be considered a bad faith eviction, often referred to as a “renoviction.”
The Landlord and Tenant Board has the authority to impose significant penalties in such cases.
Under the Act:
- A landlord may be ordered to pay compensation up to the Small Claims Court limit (currently up to $35,000)
- Where multiple tenants are affected, penalties may be applied per unit or per violation
In A.B. v. 795 College Inc. (2019 CanLII 87012), the Board imposed substantial fines for multiple breaches, demonstrating that non-compliance can quickly become very costly.
Practical Considerations
Renovation-based evictions require careful handling. Landlords should:
- Ensure the renovations are legitimate and necessary
- Clearly communicate the tenant’s rights
- Keep records of all notices and communications
Tenants, in turn, should be aware that their right to return depends on providing written notice before leaving.
Final Thoughts
When a tenant is required to vacate for renovations, the law seeks to balance the landlord’s need to improve the property with the tenant’s right to housing stability.
A tenant who follows the proper steps has the right to return, and landlords who ignore this obligation risk serious legal and financial consequences.
If you are planning renovations or responding to a notice, Babbar Legal can provide clear guidance to ensure your rights are protected and the process is handled properly from start to finish.