This presentation was prepared for FMC's Fall Real Estate Seminar by Jules Mikelberg and Michael Toshakovski. It looks at an update to the Greater Toronto Area Condo Projects, the Status of Condominium Act Review Process, Changes to City of Toronto Draft Condo Approval Process and a Tarion update.
3. GTA Condo Update
• Has the bubble burst? Or is it business as usual?
• Toronto – an island of tranquility in a turbulent sea
• 4,800 Unit sales in April – June 2012
• 13,000 new condo sales 2012 to date
• Prediction of 2,000 to 7,000 over last quarter – 15,000
to 20,000 units
• Similar to 2010, sustainable market
• Cannot sustain all time high of 28,000 in 2011
• 185,000 GTA units in approval process (99,000 in City)
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11. Stage 1
• Lottery of 10,000 condo residents to respond by October 5 to sit on panel
• Provide advice on improvements to Act by early 2013
Stage 2
• Experts to review and expand on Stage 1 findings and recommend
amendments
• Report expected for public comment by end of summer 2013
Stage 3
• Residents panel to review expert’s recommendations and create action plan
• Stakeholders to review action plan by Fall 2013
• Action plan to be reviewed by Ministry
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13. 2012 Tarion Update
1. Changes to Tarion Addendum for
Condominium Projects
2. Performance Based Pricing and Reduced
Enrolment Fees
3. Changes to the “Major Structural Defect”
Definition
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14. Changes to Tarion Addendum for
Condominium Projects
1. Addition of Schedule “B”
• All adjustments to purchase price that are to be paid by the purchaser must
be disclosed in Schedule “B”
• Part 1: “Stipulated Amounts/Adjustments”
• Part 2: “All Other Adjustments – to be determined in accordance with the
purchase agreement”
2. Easier to change Critical Dates by mutual consent
The new Addendum is mandatory for all condominium
projects where the first arm’s length Agreement of
Purchase and Sale is signed on or after October 1, 2012
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