"Renoviction" is a term that's gotten a lot of attention in Ontario housing policy. It refers to landlords using renovation-related evictions — sometimes legitimately, sometimes as a pretext — to remove long-term tenants and re-rent at higher rates. The practice has attracted regulatory scrutiny, and the protections around it are considerably stronger than most landlords realize.
If you genuinely need to do major work on your rental property that requires the tenant to vacate, here's what the law requires — and what you need to get right.
When Is a Renovation-Based Eviction Legitimate?
The Residential Tenancies Act allows a landlord to end a tenancy when they need to perform renovations or repairs that require vacant possession — meaning the work is so extensive that it simply cannot be done safely or practically with a tenant living in the unit.
The critical qualifier: the renovations must require a building permit and must genuinely necessitate that the unit be empty. Repainting, replacing appliances, updating a bathroom vanity, or redoing flooring — routine work — does not meet this standard. The work must be major: structural changes, full electrical or plumbing overhauls, complete gut renovations.
If your renovation doesn't require a building permit and doesn't genuinely require vacancy, you cannot use this process. Attempting to do so creates serious liability at the LTB.
The N13 Notice
To terminate a tenancy for renovation or demolition purposes, you serve an N13 Notice to End the Tenancy. The notice must:
- State the reason (repairs, renovation, or demolition requiring vacant possession)
- Provide at least 120 days' notice, ending on the last day of a rental period
- Be accompanied by proof that a building permit has been obtained (or that an application has been made and you have reasonable grounds to believe it will be granted)
120 days is the minimum — and the clock doesn't start until the notice is properly served. This is a slow, deliberate process by design. It gives tenants real time to make housing arrangements.
The Tenant's Right of First Refusal
Here is the part many landlords are unaware of: when you serve an N13, the tenant has a right of first refusal to move back into the unit once the renovations are complete — at the same rent they were paying before (plus any lawful rent increases that would have applied).
To exercise this right, the tenant must:
- Inform you in writing before they vacate that they want to return
- Provide a mailing address where they can receive notice when the unit is ready
You are then required to notify that tenant in writing when the unit is available, and they have 90 days to move back in.
Failing to honour a tenant's right of first refusal is one of the more serious findings the LTB makes. A tenant who exercised their right and was denied can file a T5 application for bad faith eviction. Remedies can include up to 12 months of rent difference, moving cost reimbursement, and other compensation.
Temporary Relocation Instead of Termination
For some renovation situations, you don't need to terminate the tenancy at all. If you can offer the tenant comparable alternative accommodation during the renovation period — another unit in the same building, or temporary accommodation arranged at your expense — the tenancy continues. The tenant is not entitled to terminate simply because the unit is temporarily unavailable.
This approach is worth considering if you have a long-term, reliable tenant you want to retain, and you have the means to provide or arrange suitable temporary housing.
Compensation Requirements
When a tenant vacates as a result of an N13, you must pay them 3 months' rent as compensation, and this must be paid before the termination date. It is not optional.
If the tenant agrees to temporarily relocate rather than terminate the tenancy, different compensation rules apply — typically you'd cover the cost of their temporary accommodation rather than paying the 3-month amount.
What Happens If the Renovation Doesn't Proceed?
If a tenant receives an N13, vacates the unit, and the renovations don't proceed as described — or happen to be much less extensive than claimed — the tenant can file an application alleging the eviction was in bad faith. The LTB treats these cases seriously.
This is why documentation matters from the start: building permits, contractor agreements, architectural drawings, a realistic timeline. A clear paper trail demonstrating that the work was genuine and required the vacancy is your protection if the tenancy is ever challenged.
What the LTB Is Watching For
The LTB has become increasingly attentive to renovation-based eviction applications in recent years. Adjudicators look carefully at whether:
- A building permit was actually required and obtained
- The scope of work genuinely required the unit to be vacant
- The landlord served proper notice and paid compensation
- The tenant's right of first refusal was honoured
Landlords who serve N13 notices without meeting these requirements, or who proceed without building permits for work that doesn't require them, face meaningful financial and legal consequences.
Advice for London, St. Thomas, and Sarnia Landlords
If you're a small-scale landlord considering a major renovation to a rental unit, getting professional guidance before serving any notice is genuinely worthwhile. The process is technical, the notice period is long, and the tenant protections are meaningful. Missteps at any point — wrong notice period, failing to pay compensation on time, ignoring a right-of-first-refusal request — can be costly.
At Prospera Properties, we help landlords in the London, St. Thomas, and Sarnia area think through the timing and requirements before taking any formal steps. If the renovation is legitimate and the process is followed correctly, the law fully supports it. The risk comes from cutting corners or using the process for a purpose it wasn't designed for.
Key Points
- Renovation-based eviction requires work that needs a building permit and genuinely requires vacant possession
- Serve an N13 notice with at least 120 days' notice, plus proof of a building permit
- Tenants have a right of first refusal to return at their previous rent once renovations are complete
- You must pay 3 months' rent as compensation before the termination date
- Bad faith renovictions result in significant LTB-ordered penalties
- Document everything: permits, contractor agreements, communications, and timeline