Tenants residing in a low-rise building in midtown are expressing dissatisfaction over a significant rent hike, coupled with unfulfilled promises of improved services from their landlord. Approximately 40 tenants at Mallory Gardens on Yonge Street-St. Clair Avenue were informed in September of a rent increase of around five percent for 2026, which exceeds the province’s allowable increase limit set at 2.5 percent for the year.
According to Wendy Morrow, a tenant organizer with the Federation of Metro Tenants Associations (FMTA), the landlord, Westbury Rental Residences, sought permission from the Landlord and Tenant Board for an above guideline rent increase (AGI) based on recent building improvements. Morrow stated that most tenants reported not receiving the promised enhancements, with some even experiencing a reduction in services.
Westbury claimed in its application to have installed a new boiler and hot water system, among other upgrades. However, tenants have reported ongoing issues with hot water availability in their units. The AGI application also mentioned garage restoration, but tenants allege that only one unit has access to it.
Following the rent dispute, the tenants engaged in mediation with the Landlord and Tenant Board, where they felt pressured and coerced into accepting the landlord’s proposed rent increase of 4.25 percent, retroactive to January 2024. This decision, yet to be formally communicated to the tenants, may leave them with no recourse for appeal under mediation rules.
The landlord cited expenditures exceeding $300,000 on repairs and upgrades since 2022, including boiler replacements and maintenance work on various building components. Despite these investments, residents like Mary-Beth Ferguson have faced parking inconveniences due to changes in parking arrangements near the building.
Tenant advocate Morrow highlighted a growing trend of similar rent increase disputes in the city, urging tenants to thoroughly review landlord claims and supporting documents before attending Landlord and Tenant Board hearings. Paralegal Sean O’Connor emphasized the importance of seeking legal representation for such proceedings, comparing it to hiring a plumber for leaky pipes.
As tenants navigate through these challenges, the impact of the retroactive rent hike continues to weigh heavily on their financial well-being, underscoring the need for informed decision-making and legal support in navigating rental disputes.