Toronto’s Housing Evolution on the Potential of Sixplexes
As Toronto grapples with the challenges of housing demand and affordability, the city is piloting an innovative approach to densification: allowing sixplexes in Ward 23, Scarborough North. This initiative, if approved, could pave the way for broader adoption across Toronto, transforming residential neighborhoods and addressing housing needs in a balanced, incremental way. Here’s a closer look at this plan, its potential impact, and the key takeaways for homeowners, investors, and policymakers.

1. The Sixplex Pilot: A New Phase of Gentle Density
In an effort to tackle Toronto’s growing housing challenges, city staff have recommended a pilot program in Ward 23 that would permit five- and six-unit multiplexes in residential areas. This move builds on the city’s 2023 promise to the federal government to explore housing densification in exchange for $471 million in housing accelerator funding.
Why Ward 23?
Scarborough North offers an ideal testing ground, with larger lots and a significant number of multi-generational households. Around 15% of households in this ward already house multiple generations under one roof, making it a natural fit for expanded multiplex options.
Local Councillor Jamaal Myers sees this as an opportunity to “densify gently and over time,” offering seniors a chance to downsize while staying close to family and enabling younger generations to live affordably in familiar neighborhoods.
2. Benefits of Expanding Multiplex Options
Allowing five- and six-unit multiplexes is part of a broader strategy to reverse population declines in certain areas and make better use of existing infrastructure. While these changes won’t immediately deliver affordable housing, they bring several benefits:
Multi-Generational Living: Multiplexes provide families with the ability to cohabitate while maintaining privacy, a desirable option for many.
Housing Flexibility: Seniors can downsize within their neighborhood, while younger generations gain access to more affordable units.
Economic Opportunities: Homeowners can generate rental income, helping offset rising property costs and mortgages.
Incremental Densification: This “gentle density” approach avoids the disruption of high-rise developments while adding housing supply.
Jason Thorne, Toronto’s new chief city planner, has framed this initiative as part of a low-rise housing expansion, complementing policies like laneway and garden suites.
3. Challenges and Concerns
While the pilot program offers promise, it’s not without challenges and resistance.
Financial Viability: The cost of building five- and six-unit multiplexes, including additional development charges, may deter some landowners. However, accessing grants and low-interest loans through the Canada Mortgage and Housing Corporation could help offset these costs.
Public Opinion: A consultation survey revealed mixed support, with only 47% of participants in favor of the sixplex pilot in Ward 23. Concerns ranged from changes to neighborhood aesthetics and shadows on adjacent lots to parking shortages and the adequacy of unit sizes.
Market-Rate Rentals: City staff anticipate that most new multiplexes will rent at market rates, limiting their affordability unless non-profits step in to develop lower-cost units.
4. Broader Implications for Toronto’s Housing Market
This pilot is part of a larger movement to reform Toronto’s outdated planning laws and address the city’s growing housing crisis. If successful, sixplex permissions could be expanded citywide, complementing recent efforts to legalize fourplexes and promote mid-rise developments along major roadways. However, for this initiative to succeed, several key factors need to be considered. Economic feasibility will play a significant role, as reducing development fees and offering financial incentives are critical to encouraging sixplex construction. Additionally, environmental impact must be carefully monitored to ensure that densification efforts preserve tree cover and green spaces, maintaining sustainability. Lastly, securing community buy-in through ongoing public consultations and transparent communication will be essential in addressing concerns and fostering support for this transformative approach to housing.
5. Opportunities for Investors and Homeowners
The proposed sixplex pilot represents an exciting opportunity for forward-thinking investors and homeowners:
Unlock Rental Potential: Dividing existing homes into multiple units or constructing new multiplexes can generate steady income streams, particularly in high-demand neighborhoods.
Tap Into Grants and Loans: With additional funding opportunities available for properties with five or more units, building sixplexes becomes more financially viable.
Future-Proof Investments: As Toronto continues to embrace densification, early adopters of multiplex housing may see significant long-term returns.
The Road Ahead: Monitoring and Expansion
If approved by the planning and housing committee this week and by council in early February, the city will begin closely monitoring the impact of the sixplex pilot. This will involve tracking key metrics such as rent prices, unit uptake, and changes to neighborhood demographics. The growing momentum behind gentle density solutions is evident, as the city received 311 applications for multiplex permits between May 2023 and March 2024 under existing rules. This demonstrates a rising interest in incremental housing options. If the pilot proves successful, sixplex permissions could be extended beyond Scarborough North, potentially reshaping Toronto’s approach to addressing its housing shortage.
Toronto’s sixplex pilot offers a promising solution to the city’s housing challenges, blending incremental density with community-centric benefits. While hurdles like financial viability and public concerns remain, this initiative reflects a commitment to innovative, sustainable growth.
As homeowners and investors, understanding and adapting to these changes will be key to maximizing opportunities in a shifting housing landscape. By embracing gentle density, Toronto is taking another step toward a more inclusive, flexible, and future-ready housing market.