Joey’s Note: Six-Unit Financing and CMHC

You learn something every day. I was discussing a seven-unit proposal with a friend who is a developer, I am trying to get a sense for what kind of development permissive zoning would allow individuals to develop.

My friend noted that seven-units is an unusual number as “if you have six or less, CMHC will give you the financing based on a simple appraisal rather than a full formal underwriting.”

For years, I have not questioned why so many developments have come in at six units. I kinda accepted that three-storey zoning results in six-unit walk-up apartments  – two units each floor with amenities and storage in the basement.

Long units with both front and rear windows feel more spacious, and new rentals seek to attract renters who are willing and able to pay above market rents.

You learn something new every day.

Leave a Reply

Your email address will not be published. Required fields are marked *