The City of Toronto appealed a decision of the Ontario Municipal Board that permitted the respondent to convert a 20-storey affordable rental apartment building into a condominium.
The Divisional Court found that the Board applied the wrong legal test by merely 'having regard to' the Provincial Policy Statement 2005 instead of ensuring its decision was 'consistent with' it, as required by the Planning Act.
Furthermore, the Board failed to properly consider the specific mandatory criteria in the City's Official Plan regarding condominium conversions and the health of the rental housing market.
The appeal was allowed, the Board's decision was set aside, and the matter was remitted for a new hearing.