Rent Increase of 5.95%: Surprise and Anger

01 March 2024Meeting With the AdministrationQuality of Service

The RTC met with the Rockhill administration on February 21st 2024. During this meeting, Mr. Contarini, the Montreal area Director for Minto Apartments, announced a 5.95% increase for renewals on June 1st and July 1st.

However, the renewals on May 1st were increased by 4.5%, which was the same amount requested in 2023.

Mr. Contarini indicates that with the calculation of the TAL, the amount is 6.74% and has committed several times to give the calculation figures to all tenants. However, this information has still not been provided to the RTC.

According to a quick calculation by the RTC extrapolating from the figures provided by the administration in 2023, it would have required an investment of more than $13.5 million to justify such a leap, nearly three times the amount of investments in 2022. (See the calculation)

It is unclear why there is a difference between the renewals of May and those of June and July, since the law states that:

"5. The portion attributable to the dwelling equals the proportion of rent at the end of the lease with respect to income.If capital expenditures, operating expenditures, arising from a new service, accessory or dependency, fuel costs or taxes for services apply only to certain dwellings, proportions are determined in relation to the rent and estimated rent of the dwellings benefiting from that service, accessory or dependency."

-- Regulation respecting the criteria for the fixing of rent, Act respecting the Administrative Housing Tribunal

Yet, these are the same inputs for the calculations for these three months, since the reference period is the same by law:

“reference period”:(1) for leases expiring between 1 April and 31 December: the calendar year preceding the end of the lease;(2) for leases expiring between 1 January and 31 March: the second to last calendar year preceding the end of the lease; (période de référence)

-- Regulation respecting the criteria for the fixing of rent, Act respecting the Administrative Housing Tribunal

The tenants who have spoken to the RTC all expressed their shock, dismay, and skepticism about this increase. Its incoherence and lack of visible proof of the alleged tripling of capital investments stretches credulity.

The administration encourages dissatisfied tenants to make an appointment to discuss and negotiate.

If you have information or questions about this increase, or if you want to stay informed on this subject, write to the RTC at clr-rtc@googlegroups.com