Ontario’s Ministry of Municipal Affairs and Housing is planning to pause Inclusionary Zoning until July 1, 2027, citing market conditions.

In a regulatory notice posted earlier today, the Ministry writes, that “the residential development market continues to be strained and many municipalities considering IZ are finding that is not viable under present economic conditions.”

The notice states the Province will amend Ontario Regulation 232/18 to pause Inclusionary Zoning policies that are in effect in the cities of Kitchener, Mississauga, and Toronto.

Hamilton has not yet implemented inclusionary zoning. An IZ policy is expected to be presented to City Council later in 2026.

While Hamilton has not yet implemented a formal IZ policy, Hamilton’s official plan policies permit staff to secure new ‘affordable’ units as part of development approvals and Ontario Land Tribunal settlements.

Recent examples include 17 affordable dwelling units from a 1,850-unit redevelopment at 499 Mohawk Road East and three affordable rental units from Council approval for a 20-storey 250-unit residential building at 1600 Upper James.


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Published: January 12, 2026
Last updated: January 12, 2026
Author: Joey Coleman

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