The N13 Notice in Ontario: When a Renoviction Is Legal, and Every Right a Tenant Has
From the 120-day notice period and compensation tiers to the right of first refusal, Toronto’s 2025 licence bylaw, and the steep penalties for bad-faith evictions
What is an N13 notice in Ontario, and when can a landlord legally use it?
A Form N13 is the official notice a landlord uses to end a tenancy in order to demolish the unit, convert it to another use, or carry out repairs or renovations so extensive that they require a building permit and vacant possession of the unit. It cannot be used for cosmetic or routine upgrades — the landlord must genuinely need the unit empty to do the work. Under the Landlord and Tenant Board (LTB) and the Residential Tenancies Act (RTA), an N13 must give at least 120 days notice, the termination date must fall on the last day of a rental period or fixed term, and the landlord usually must file an L2 application and prove genuine intent to the Board.
Source: Landlord and Tenant Board / Residential Tenancies Act, s.50 & Interpretation Guideline 12 (2025)
I am Arthur Zhao, a real estate broker with AZ Real Estate Partners. Over the years I have watched a lot of N13 disputes play out across the GTA, and the pattern is almost always the same: a landlord assumes that wanting to renovate is reason enough to remove a tenant, and a tenant has no idea they are entitled to compensation and a right to move back in. Ontario tightened these rules in 2025, and Toronto layered a municipal licence on top. This piece lays out both sides plainly — how a landlord does this legally, and how a tenant keeps both their money and their home.
→
→
→
→
→
What an N13 Is Actually For — Three Legal Grounds
An N13 covers exactly three situations: demolishing the unit, converting it to another use (say, residential to commercial), or repairs or renovations so extensive they require both a building permit and an empty unit. The operative phrase is vacant possession. If the work can be done while the tenant stays, an N13 is legally the wrong tool. The LTB Guideline 12 makes clear the Board will scrutinize whether the renovation is genuine and necessary, and a landlord who cannot produce a building permit or engineering report is on shaky ground.
The Full Process for Serving an N13 Legally
Step 1: Confirm the work genuinely requires the unit to be empty, and secure a building permit plus an engineer or architect report.
Step 2: Complete and serve Form N13 with at least 120 days notice; the termination date must be the last day of a rental period or fixed term.
Step 3: Pay the required compensation on or before the termination date.
Step 4: If the tenant does not leave, the landlord files an L2 application with the LTB — this must be filed within 30 days after the termination date (RTA s.69(2)) — and proves genuine intent at the hearing.
💡
How much a landlord owes turns on how many residential units the building contains:
- Five or more units: the landlord must pay compensation equal to three months rent, or offer a comparable unit acceptable to the tenant.
- One to four units: the compensation is one month rent, or a comparable unit.
For repairs or renovations where the tenant has asked in writing to return, compensation is instead rent for the length of the work, capped at three months (5+ units) or one month (1-4 units). Payment is due no later than the termination date on the N13. No compensation is owed if a government body or the LTB legally ordered the work.
ℹ️Tenant takeaway: the right of first refusal only exists if you assert it in writing before you move out. A verbal request does not count — send a letter, keep a copy, and update your address in writing if it changes.
How a Tenant Preserves the Right of First Refusal
The right of first refusal applies only to repair or renovation grounds — there is no right to return after a demolition or conversion. To keep it, the tenant must do two things in writing:
First: before moving out, tell the landlord in writing that they want to move back in once the work is done.
Second: keep the landlord updated in writing of any change of address.
Do both, and the tenant is entitled to reoccupy at a rent no higher than the landlord could lawfully have charged had the tenancy never been interrupted — the renovation cannot be used to reset the rent to market.
Toronto’s 2025 Extra Layer: The Rental Renovation Licence
Effective July 31, 2025, Toronto’s Rental Renovation Licence Bylaw (Bylaw 53-2025) adds a municipal licence on top of the provincial N13. According to the City of Toronto (2025), after serving an N13 the landlord must apply for a renovation licence within seven days, pay a $700-per-unit fee, and first obtain a building permit and an engineer or architect report confirming the unit must be vacated. The landlord must also provide the tenant either comparable temporary housing at similar rent or monthly rent-gap payments at market rates, plus a moving allowance — $1,500 for a one-bedroom and $2,500 for larger units — with the right to return at the original rent. Cities like Hamilton have adopted comparable bylaws.
🚨Landlord warning: using an N13 to remove a tenant and then not actually renovating is a bad-faith eviction — the LTB can award up to 12 months rent, and Toronto municipal fines can reach $100,000. This is not a grey area.
💡
If a landlord uses an N13 to clear a tenant out and then does not actually renovate or demolish, or fails to offer the unit back, the tenant can file a T5 application with the LTB for a bad-faith eviction. According to Steps to Justice / RTA (2025), the tenant can claim general damages of up to 12 months rent, on top of rent differences and moving costs. Where the right of first refusal was denied, the tenant has two years to file. In Toronto, failing to apply for the licence within seven days carries fines up to $1,000, continuing offences up to $10,000 per day, and evicting without completing the renovation up to $100,000.
What a Tenant Can Do: Staying Put Is a Right
Receiving an N13 does not mean you must move immediately — it is only notice of the landlord’s intent to end the tenancy. Unless the tenant agrees or the LTB issues an eviction order, the tenant has the right to stay through a hearing, where they can challenge whether the renovation is genuine, necessary, and backed by a building permit. If compensation is not paid on time, the tenant can recover it with a T1 application. Keep every piece of written correspondence, especially the letter asserting the right of first refusal.
Practical Advice for Landlords: Doing It Right Beats Litigating It
What I tell landlord clients is simple: an N13 is not a shortcut to remove a tenant because you feel like renovating. Count the units in the building and budget the compensation; secure the building permit and engineering report first; in Toronto, plan for the seven-day licence window. Handle the right of first refusal in writing. The cost of doing it correctly once is far lower than one T5 bad-faith award plus municipal fines. When the situation is complex, get advice from a real estate lawyer or contact the LTB directly. This article is general education, not legal advice.
Frequently Asked Questions
How much notice does an N13 require, and can the landlord pick any termination date?
An N13 must give at least 120 days notice, and the termination date must fall on the last day of a rental period or fixed term. A shorter period or a mid-period date makes the notice defective.
If my landlord serves an N13, do I have to move out by the termination date?
Not necessarily. An N13 is only notice of intent to end the tenancy. Unless you agree or the LTB issues an eviction order, you can stay through a hearing and challenge whether the renovation is genuine and necessary.
How much compensation is owed for a renoviction?
It depends on building size: five or more units means three months rent; one to four units means one month rent, or a comparable unit acceptable to the tenant. It must be paid on or before the N13 termination date.
Can I move back in at my old rent after the renovation?
Yes, if you asserted the right of first refusal in writing before moving out. Your rent cannot exceed what the landlord could lawfully have charged had the tenancy never been interrupted, so a renovation cannot reset it to market rate.
What if my landlord evicted me and never actually renovated?
That is a bad-faith eviction. You can file a T5 application with the LTB and claim up to 12 months rent in general damages; where the right of first refusal was denied, you have two years to file.
Arthur Zhao
Real Estate Broker · FRI · ABR · SRS · PSA · MCNE · E-PRO · CLHMS & GUILD Elite · REAIS
VP & Branch Manager, Bay Street Group Inc.
Get expert answers on buying, selling, and renting in the GTA
Discover more from GTA Real Estate Broker | Arthur Zhao
Subscribe to get the latest posts sent to your email.