On August 15, 2025, Ontario’s Minister of Municipal Affairs and Housing (the “Minister”) announced the approval of several Official Plan Amendments, with modifications, to increase density and height limits in certain Major Transit Station Areas and Protected Major Transit Station Areas. These amendments were initiated by the City of Toronto (the “City”) several years ago and are now in effect.
The Minister approved, with modifications, six Official Plan Amendments establishing policies for 25 Major Transit Station Areas (“MTSAs”) and 95 Protected Major Transit Station Areas (“PMTSAs”) in the City.
Most significantly, OPA 540 creates a new Chapter 8 of the Official Plan. Chapter 8 sets out the overarching policy framework for MTSAs and PMTSAs in Toronto and standardizes development permissions in these areas, including the requirement for the City to establish certain height and density permissions.
The Minister’s approval of these amendments is final and not subject to appeal. The City’s next step will be to adopt conforming zoning by-laws to implement these policies. This process is closely linked to Toronto’s Inclusionary Zoning regime, which is only in effect within approved PMTSAs.
Chapter 8: MTSA/ PMTSA Policies
The new Chapter 8 establishes minimum built-form permissions for sites within MTSAs and PMTSAs:
- Lands designated Apartment Neighbourhoods, Mixed Use Areas, and Regeneration Areas are to be zoned to permit a minimum floor space index (“FSI”):
- Within 0–200 metres of a MTSA/PMTSA, a minimum permitted FSI of 8;
- Within 200–500 metres, a minimum permitted FSI of 6.
- On sites that can accommodate three or more towers, the new Chapter 8 requires zoning to permit:
- Within 0–200 metres, building heights up to 30 storeys;
- Within 200–500 metres, building heights up to 20 storeys.
- In lands designated Neighbourhoods within delineated MTSAs or PMTSAs, multiplexes and apartment buildings are permitted, without an amendment to the Official Plan, up to 4 storeys, or up to 6 storeys within 200 metres of an existing or planned station or with frontage on a major street (as shown on Map 3 of the City of Toronto’s Official Plan).
The approved maps that delineate the City’s MTSAs and PMTSAs have not been modified to reflect the increased density permissions in Chapter 8. However, the general standards contained within Chapter 8 are intended to prevail with the identified minimum density and height permissions applying.
Special Policy Areas
As part of this approval, the Minister also made modifications to certain maps to identify Special Policy Areas within some delineated MTSAs and PMTSAs. For these lands, Chapter 8 sets a minimum development density of an FSI of 0. Any existing policies, land use designations, boundaries, and development permissions continue to be permitted. More significantly, prior to the approval of any changes to official plan policies, land use designations, boundaries, and development permissions in the Special Policy Areas, approval from the Minister of Natural Resources and the Minister of Municipal Affairs and Housing is required.
Next Steps: Zoning Conformity
Although the Official Plan policies are immediately in force as a result of the Minister’s approvals, the zoning by-law must be brought into conformity to implement the changes. Under the Planning Act, if the City adopts the PMTSA zoning conformity amendments within one-year, those changes are not subject to appeal.
Inclusionary Zoning
Toronto’s Inclusionary Zoning (“IZ”) framework is directly connected to the PMTSA approvals discussed above. With the Minister’s decisions now in force, the basic legal trigger for applying IZ – location within a PMTSA – is satisfied wherever a site lies inside an approved PMTSA boundary. Additionally, in Toronto, IZ applies only where a site is both within an approved PMTSA and within a Market Area as identified on Official Plan Map 37.
The practical scope of IZ, however, is shaped by recent provincial changes. In May of this year, the Province amended O. Reg. 232/18 to narrow IZ programs by capping set-aside requirements at a maximum of 5% and limiting affordability terms to 25 years. Municipal by-laws must conform to these limits. At the time of writing, the City has not yet updated its IZ by-law to reflect the recent provincial amendments.
Understanding the Impact on Development Review
For areas outside Special Policy Areas but within delineated PMTSAs or MTSAs, the PMTSA/MTSA policies provide a baseline for evaluating applications. Where zoning has not yet been amended to conform to the new framework, site-specific development applications should be prepared to implement the Chapter 8 minimum FSIs and height structure. For Special Policy Area sites, existing permissions continue and any changes require the additional ministerial approvals described above.
As a result of the PMTSA approval, IZ is now in force for certain areas in the City.
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