Can I Renovate a Rental Property While It Is Tenanted in Toronto?

Short answer: yes, you can renovate a rental property in Toronto while a tenant lives there, as long as the work does not require the unit to be vacant. Cosmetic and moderate upgrades like painting, flooring, cabinet replacement, and fixture swaps can go ahead with 24 hours written notice before each entry. If the job is extensive enough that the tenant genuinely cannot live there safely, you need an N13 notice under the Residential Tenancies Act, approval from the Landlord and Tenant Board, and, since July 31, 2025, a Rental Renovation Licence from the City of Toronto before any work starts.

That second path is where a lot of Toronto landlords get tripped up. The rules changed in 2025, and plenty of advice floating around online was written before the new bylaw existed. This guide covers both routes, what they cost, and how to plan a renovation that keeps you on the right side of the law and on decent terms with your tenant.

Renovations You Can Do While the Tenant Stays

Ontario law does not stop you from improving your own property during a tenancy. The Residential Tenancies Act simply requires that you give the tenant at least 24 hours written notice before entering, state the reason and a time window between 8 a.m. and 8 p.m., and carry out the work in a way that does not interfere with reasonable enjoyment of the unit more than necessary.

In practice, all of the following can usually be done with the tenant in place:

• Painting, trim, and drywall patching
• Flooring replacement done room by room
• Kitchen cabinet, countertop, and backsplash updates
• Bathroom vanity, toilet, and fixture swaps
• Lighting, appliance, and hardware upgrades
• Window and door replacement
• Exterior work like roofing, siding, and landscaping

The common thread is that none of this makes the unit unlivable. The tenant keeps access to a working kitchen, a working bathroom, heat, and water throughout. If you are planning this kind of phased upgrade, our guide on what it takes to live at home during a major renovation applies just as much to tenants as it does to homeowners, and sharing it with your tenant can help set expectations early.

Your Practical Obligations During Occupied Work

• Written notice for every entry. A text message counts as written notice, but keep a paper trail either way.
• Toronto noise bylaw hours. Construction noise is generally limited to 7 a.m. to 7 p.m. on weekdays and 9 a.m. to 7 p.m. on Saturdays, with no construction noise on Sundays or statutory holidays.
• Keep vital services running. You cannot cut off water, heat, or electricity for extended stretches, even temporarily for renovations, without proper planning and communication.
• Dust and containment. A professional crew will seal off work zones, run air scrubbers where needed, and clean up daily. This matters twice as much when someone is living in the space.
• No rent penalty for the tenant. You cannot raise the rent mid-lease because you upgraded the unit. Above guideline increases exist for major capital work, but they require a separate LTB application.

Renovations That Require the Tenant to Move Out

Some projects genuinely cannot happen around a resident. The Landlord and Tenant Board expects the work to be so extensive that vacant possession is truly required, and a building permit must be part of the picture. Typical examples include:

• Structural changes, like removing load bearing walls or underpinning a basement
• Full gut renovations where kitchens and bathrooms are out of service for weeks
• Complete electrical rewiring or plumbing replacement throughout the unit
• Asbestos or mould remediation that makes the space unsafe to occupy
• Converting the layout, for example splitting a house into multiple units

Cosmetic work dressed up as a major renovation will not pass. Adjudicators see through it, tenants can challenge the notice, and bad faith findings come with real penalties, including fines and compensation orders that can reach twelve months of rent.

Step 1: The N13 Notice Under the RTA

If the work truly requires vacancy, the provincial process starts with Form N13, Notice to End your Tenancy Because the Landlord Wants to Demolish the Rental Unit, Repair it or Convert it to Another Use. The key rules:

• 120 days minimum notice, ending on the last day of a rental period.
• A building permit is required for the claimed work. No permit, no valid N13.
• Compensation. In buildings with five or more units, you owe the tenant three months rent or an acceptable alternative unit. In smaller buildings, one month.
• Right of first refusal. If the tenant tells you in writing before moving out that they want to return, they get the renovated unit back at the same rent they were paying, plus any lawful guideline increase. The renovation does not reset the rent for that tenant.
• The tenant can leave early. Once served, the tenant can give ten days notice with Form N9 and move whenever suits them.

If the tenant does not move out by the termination date, you cannot change the locks. You apply to the LTB with an L2 application and an adjudicator decides whether the eviction is justified.

Step 2: Toronto’s Rental Renovation Licence (New Since July 31, 2025)

This is the part most older articles miss entirely. Toronto adopted a Rental Renovation Licence Bylaw to curb renovictions, and it has been in force since July 31, 2025. If you issue an N13 for a rental unit in the city, you must also obtain a Rental Renovation Licence from the City of Toronto before starting any work that requires vacant possession. The bylaw requires you to:

• Apply for the licence and provide a copy of the building permit that supports the renovation
• Notify the tenant of the licence application
• Arrange temporary alternate accommodation for the tenant, or pay monthly rent gap payments covering the difference between their current rent and average market rent while the work is underway, if the tenant plans to return
• Pay compensation if the tenant chooses not to return
• Post the licence on the door of the rental unit or another approved location for the duration of the renovation

The City also runs a public registry of issued licences, so tenants can verify whether their landlord actually obtained one. Starting demolition without the licence exposes you to enforcement by Toronto Building, on top of any trouble at the LTB. Budget for this in both time and money before you commit to a start date.

Quick Comparison: Tenant Stays vs. Tenant Must Vacate

How Smart Landlords Plan Tenanted Renovations

Phase the work. Splitting a project into stages, one bathroom at a time or one floor at a time, often keeps the unit livable and avoids the N13 route altogether. It takes longer, but you keep rental income flowing and skip months of licensing and hearings.

Talk to your tenant before you talk to a contractor. Most disputes start with surprise, not with the renovation itself. A tenant who knows the schedule, the noisy days, and what is in it for them, like a nicer kitchen at the same rent, is far more likely to cooperate on access.

Get the scope assessed professionally. Whether vacancy is truly required is a technical question as much as a legal one. Experienced home renovation contractors in Toronto can look at your unit and tell you honestly whether the work can be sequenced around an occupant, what permits it needs, and what a realistic timeline looks like. That assessment is worth having before you serve any notice.

Renting out a condo? Add one more layer. Condo boards have their own rules on work hours, elevator bookings, insurance certificates, and approvals, and those apply on top of everything above. Our condo renovation services in Toronto include handling board approvals and building logistics, which saves tenanted projects a lot of friction.

Think about the end use. If your renovation includes creating or upgrading a secondary suite, make sure the finished space will actually be legal to rent. The basement apartment requirements in Toronto cover ceiling heights, egress, fire separation, and registration, and retrofitting after the fact costs far more than building it right the first time.

For a broader look at budgeting, timing, and tax considerations across the country, our rental property renovation guide for Canadian landlords is a good companion read to this one.

Frequently Asked Questions

Can my tenant refuse entry for renovations?

Not if you have given proper 24 hour written notice and the entry is between 8 a.m. and 8 p.m. for a lawful reason, which includes repairs and renovations. That said, working with the tenant on timing is always the smoother path.

Can I raise the rent after renovating a tenanted unit?

Not for the sitting tenant beyond the annual guideline, unless the LTB approves an above guideline increase for eligible capital expenditures. If the tenant vacates under an N13 and exercises their right to return, they come back at their old rent.

Do I need the Rental Renovation Licence for small jobs?

No. The licence only applies when you are asking a tenant to move out under the N13 process. Painting, flooring, and similar occupied work needs no City licence, though permit rules for the construction itself still apply as usual.

What happens if I renovate without the licence in Toronto?

Toronto Building enforces the bylaw, and the licence status of your property is publicly searchable. Proceeding without one invites enforcement action from the City and strengthens any bad faith claim the tenant brings to the LTB, where penalties can be substantial.

How long does the N13 process take in Toronto?

Plan for a minimum of four months from serving the notice, and realistically longer once you factor in the building permit, the licence application, possible LTB hearings if the tenant disputes the notice, and current tribunal wait times. Many landlords find that a phased occupied renovation finishes sooner than a contested vacancy.

Planning a Rental Renovation in Toronto? Start With the Right Advice

The rules around tenanted renovations in Toronto got a lot stricter in 2025, but they are entirely workable when you plan properly. The single biggest decision is whether your project can be done around your tenant, and that is a question of construction sequencing as much as law.

Senso Design has renovated homes, condos, and rental units across Toronto and the GTA for over 20 years, with in-house design, permit handling, and fixed price contracts. If you are weighing an occupied renovation against the N13 route, book a free consultation and we will walk your unit with you and lay out both paths honestly.