Before changing the use of a commercial building in Toronto (e.g., from an office to a restaurant), you must ensure it complies with the City-wide Zoning By-law 569-2013. It is highly recommended to apply for a Zoning Applicable Law Certificate (ZALC) or Zoning Use Review to confirm compliance, which typically takes 4 to 8 weeks.
Finding the perfect commercial property in Toronto is exciting, but just because a building is empty does not mean you can open any business you want there. The City of Toronto uses strict zoning by-laws to regulate exactly how land and buildings can be used. For example, converting a quiet retail shop into a bustling medical clinic, a restaurant, or a light manufacturing facility involves a formal “change of use” under the Ontario Building Code and local zoning laws.
Ignoring these rules can lead to disastrous consequences, including steep fines, the inability to obtain a municipal business licence, or the city ordering you to shut down your operations. 🚨 Whether you are looking at properties in North York, Scarborough, or Downtown Toronto, verifying zoning is your absolute first step. Finding an experienced commercial real estate lawyer from our directory can help you navigate city hall and secure the proper approvals.
Step-by-Step Process in Toronto
Changing the use of a building requires working closely with the City of Toronto’s municipal planning and building departments. Here is the standard process for ensuring your new business concept is legally permitted on the property.
Step 1: Check the Interactive Zoning Map
Your first step is to use the City of Toronto’s online Interactive Zoning By-law Map. 🔍 By typing in the property address, you can find out its specific zoning designation (such as Commercial Residential “CR” or Employment Industrial “E”). You must then check the text of Zoning By-law 569-2013 to see if your proposed business type is listed as a “permitted use” in that specific zone.
Step 2: Apply for a Zoning Applicable Law Certificate (ZALC)
Even if the map says your use is permitted, zoning rules regarding parking, loading spaces, and floor area can be incredibly complex. It is widely considered best practice to submit a Zoning Applicable Law Certificate (ZALC) or a Zoning Use Review application to Toronto Building. (Note that the former “Preliminary Project Review” or PPR program is now used only for signs). A city zoning examiner will review your floor plans and officially certify whether your proposed project complies with all zoning requirements.
Step 3: Apply for a Minor Variance (If Necessary)
If the ZALC reveals that your proposed use does not perfectly match the zoning by-law (for example, you are short two parking spaces), you are not entirely out of luck. 👷 You can apply to the Committee of Adjustment for a “Minor Variance.” This process involves notifying the neighbours and attending a public hearing to ask the city for special permission to bypass the strict rule.
Step 4: Obtain Building Permits and Business Licences
Once you have zoning clearance, you must apply for a Building Permit for a “Change of Use,” even if you are not doing major construction. The city needs to ensure the building meets the strict requirements of the 2024 Ontario Building Code (O. Reg. 163/24, which fully replaced the 2012 code on January 1, 2025) for your specific business type (like improved fire exits and ventilation for a restaurant). After the permit is closed, you can finally apply for your Municipal Business Licence.
How Much Does it Cost in Toronto?
Navigating the zoning process involves municipal fees and professional service costs. 💵 Here is a breakdown of what you might spend in Toronto:
- Zoning Reviews: A Zoning Use Review fee is $214.79 CAD. For a full Zoning Applicable Law Certificate (ZALC) for commercial properties, the City of Toronto charges $888.14 CAD for areas up to 300 square metres, and $1,863.82 CAD for spaces larger than 300 square metres.
- Minor Variance Application: If you must apply to the Committee of Adjustment for a commercial, industrial, or non-residential minor variance, the 2026 municipal fee is fixed at $6,485.59 CAD (which can double if the work was started before obtaining the variance).
- Building Permit: A Change of Use building permit fee starts at a minimum of $214.79 CAD but scales upward depending on the gross floor area of the building.
- Professional Fees: You will need a registered designer or architect to draft the code-compliant plans, which can cost between $2,000 and $5,000+ CAD. A commercial real estate lawyer can also assist with Committee of Adjustment hearings.
How Long Does the Process Take?
Zoning approvals in Toronto require patience and long-term planning. If your use is fully permitted, obtaining a Zoning Use Review or ZALC usually takes 4 to 8 weeks. If you are required to seek a Minor Variance from the Committee of Adjustment, expect the process to take 3 to 6 months before a hearing is scheduled. Finally, obtaining the actual Change of Use Building Permit adds another 4 to 8 weeks to your timeline.
| Zoning Pathway | When to Use It | Estimated Timeline |
|---|---|---|
| Zoning Use Review / ZALC | To confirm zoning compliance before signing a lease | 4 – 8 Weeks |
| Minor Variance | When you need a small exception to the zoning rules | 3 – 6 Months |
| Zoning By-law Amendment | When your use is completely prohibited and requires a massive change | 1 – 2+ Years |
Frequently Asked Questions (FAQ)
What does “legal non-conforming use” mean?
Sometimes called “grandfathering,” a legal non-conforming use means a business was legally established before the city changed the zoning rules. The business is allowed to continue operating, but if it shuts down for a long period, the property loses this special status.
Can I sign a lease before zoning is approved?
It is risky. If you must sign, your lawyer should include a “conditional clause” stating that the lease is only valid if you successfully obtain zoning approval and a business licence within a certain timeframe.
Do I need an architect for a Change of Use permit?
Yes, in most commercial cases. The City of Toronto requires floor plans drawn to scale by a qualified designer or registered architect showing property lines, exits, washrooms, and parking spaces.
What happens if the city denies my ZALC or Zoning Use Review?
If the zoning examiner issues a notice of non-compliance, they will list the exact by-laws you are violating. You can either change your business plans to comply, or use that notice as the basis to apply for a Minor Variance.
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