Rent Hikes at Retirement Homes: A Concern for Ontario Seniors
The new year brought a significant change for Ontario residents, as landlords were granted the ability to increase rent across the province, with a cap of 2.1%. However, this cap doesn't apply to retirement homes, where rent hikes can be substantial.
Estelle Arlow, an 89-year-old resident of Venvi Don Mills Seniors’ Apartments in Toronto, recently faced a shocking rent increase of 3.99%. This is despite the fact that her rent was expected to rise by only 2.1% under the annual rent guideline.
Arlow expressed her frustration, stating, 'I think it’s a big cash grab. It made me sick.' Her monthly rent increased from $3,784 to $3,935, which includes fees for TV, phone, internet, and on-site physician visits. However, she noted that she purchases her own groceries and prepares her meals.
Cogir Senior Living, the management company for Arlow's building, defended the increase, citing annual operational cost reviews and the need to maintain high-quality services. They explained that the total 3.99% increase includes a 2.1% rent hike and a service fee adjustment.
The Advocacy Centre for the Elderly (ACE) highlights a loophole in the rent cap, as retirement homes are not subject to the same restrictions as other buildings. ACE and the Federation of Metro Tenants Association (FMTA) advocate for regulations to protect seniors from excessive rent increases, especially those on fixed incomes.
Graham Webb, ACE's executive director, warns that older adults may face financial strain due to these hikes. Yaroslava Avila Montenegro, from the FMTA, adds that rapid rent increases could lead to homelessness among seniors.
Arlow plans to adjust her budget to accommodate the higher rent and calls for government intervention to cap service fees at retirement homes, ensuring seniors are not overcharged.
