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Development Charges

Development charges are fees collected by the City for all new development. This money helps the City pay for roads, water, fire services, community centres, and other services needed to service new developments. These fees are charged for residential and non-residential development.

This page is only a guide. For specific rules and laws, please see the Development Charges Act, 1997, and the City’s Development Charge By-laws, as shown below. You should also speak with Development Finance Staff at the City of Markham – see our ‘Contact Information’ towards the bottom of this page.

 

 

About Development Charges

Three types of development charges within the City are imposed under a number of by-laws. They are:

  • City-Wide Soft development charge (CWS) by-law 2022-50;
  • City-Wide Hard development charge (CWH) by-law 2022-49; and
  • Area-Specific development charge (ASDC) by-laws 2022-51 to 2022-72, inclusive.
Do I have to pay?

You may be required to pay development charges for any residential or non-residential development if you are:

  • erecting a new building(s)
  • making an addition or alteration to an existing building(s) which increases the gross floor area or number of units
  • redeveloping a property or properties which result in a change of use
Who collects these charges?

The City of Markham also collects regional development charges and education development charges. The City sends the non-City charges to the Region of York, the York District School Board and the York Catholic District School Board. Each region or board sets its own development charges and makes its own exemptions.

When are the charges collected?

Subdivisions pay some of the charges when they execute the subdivision agreement. The rest is paid at the building permit stage. You must pay all development charges before you can get a building permit

What is an area specific development charge?

The City wants to make sure that development charges are applied fairly. Some areas benefit from specific services and infrastructure and pay a special charge.

Landowners who build services for the City can enter into a credit agreement with the municipality and receive a reduction on the area charge.

How much can I expect to pay?

Your charges depends on:

  • The development type - Is it residential or non residential? -Is it a single detached home or apartment?
  • The development size- For residential developments, a combination of the site area (in net hectares) and the number and type of dwelling units. For non-residential development, a combination of the gross floor area and site area (in net hectares).
  • The development location - Some areas may need to pay an area-specific development charge. This charge is based on the site area (in net hectares).
  • Indexing of charge rates - Each city or board indexes its charges from time to time.
  • Exemptions - In some cases, the City will approve an exemption. For example, if your development replaces some of the floor area eliminated via a demolition, you may receive an exemption. However, you will need to show beforehand that your proposed development is entitled to an exemption. Please check with each jurisdiction to see if you qualify.

City of Markham Development Charges are updated on January 1st and July 1st of each year. They change according to the Statistics Canada Non-Residential Construction Price Index.

The following provides a summary as to when development charge rates typically change each year, in accordance with the current by-laws. Note these dates are for reference purposes only, and may be subject to change.
 

January 1st– Semi-annual indexing of City of Markham rates

July 1st – Indexing of City and Region rates; Some Education development charge rates are phased-in, in accordance with the education development charge by-laws

November 8th – Indexing of GO Transit rates

You can see Markham's current development rates in the next section of this page.

Current Development Charge Rates

The development rates as of July 1, 2024 for all jurisdictions are detailed below. The rates are subject to change/indexing in accordance with various by-laws. Exemptions etc. are the responsibility of the individual jurisdiction.

Rates as of July 1, 2024
Unit Based Rates ($/unit)
 
Residential
 		Single/Semi
 		Multiple Dwelling Unit
 		Large Apt. (≥700 sq.ft.)
 		Small Apt. (<700 sq.ft.)
 
City Wide Hard
 		39,45130,58224,06816,908
City Wide Soft
 		34,01426,36920,75314,581
York Region Hard
 		65,52754,51742,30927,516
York Region General
 		23,90819,89215,43610,039
Go Transit
 		420330243153
Public School
 		7,3127,3127,3127,312
Separate School
 		872872872872
Total Unit Costs
 		171,504139,874110,99377,381
GFA Based ($/m2) Rates
 
Non-Residential
 		Industrial Office Institutional (IOI)
 		Retail
 		Hotel
 		Mixed Use Retail
 		Mixed Use IOI
 
City Wide Hard
 		219.13273.10273.10133.06133.06
City Wide Soft
 		23.6129.4729.4714.1414.14
York Region
 		308.40766.38137.78766.38308.40
Public School
 		13.4613.4613.46
 		13.46
 		13.46
 
Separate School
 		2.912.912.912.912.91
Total GFA Based Rate
 		567.511,085.32456.72929.95471.97

** Note: The Region's non-residential charge has been split between Industrial/Office/Institutional (I.O.I.) development and Retail and Hotel development.

In addition to the above city-wide charges, the following area specific charges apply to all residential and non-residential development occurring in those areas. The charge is calculated on a per net hectare basis.

Land Based ($/hectare) Rates
 
Area Specific
 		Area No.
 		Rate
 		By-Law No.
 
Yonge Steeles Corridor
 		1B
 		1,851,184
 		2022-51
Armadale
 		5
 		11,1752022-52
Armadale NE
 		7
 		19,5432022-53
 
PD 1-7
 		9
 		929,4312022-54
 
Rodick / Miller Road Planning District
 		17
 		836,2612022-55
 
Mount Joy
 		23
 		218,6752022-56
 
South Unionville - Helen Avenue
 		42A-1
 		222,7802022-57
 
Markham Centre
 		42B
 		10,0892022-58
 
Markham Centre - Clegg
 		42B-2
 		213,3172022-59
 
Markham Centre - Hotel
 		42B-4
 		1,130,2252022-60
 
Markham Centre - South Highway 7
 		42B-6
 		1,560,5802022-61
 
Markham Centre - Sciberras
 		42B-8
 		1,879,972
 		2022-62
 
Markham Centre - East Precinct
 		42B-9
 		298,2992022-63
 
Cathedral
 		46
 		12,0152022-64
 
York Downs
 		47B
 		10,3582022-65
 
404 North Employment Lands
 		49
 		22,9202022-66
 
Future Urban Area
 		50A
 		14,9102022-67
 
Future Urban Area - Employment Block
 		50A-1146,1452022-68
Future Urban Area - Robinson Glen
 		50A-2
 		21,8922022-69
 
Future Urban Area - Berczy Glen Block
 		50A-3257,4762022-70
Future Urban Area - Angus Glen Block
 		50A-488,7072022-71
Future Urban Area - Robinson Glen - South Block
 		50A-560,8632022-72

The following provides a summary as to when development charge rates typically change each year, in accordance with the current by-laws. Note these dates are for reference purposes only, and may be subject to change.
 

January 1st– Semi-annual indexing of City of Markham rates

July 1st – Indexing of City and Region rates; Some Education development charge rates are phased-in, in accordance with the education development charge by-laws

November 8th – Indexing of GO Transit rates

Development Charge Rates — Previous Years

For more information, please see our Development Charges Info Package [PDF] (rates as at July 1, 2024). Includes sample calculation sheets, area maps, rates and information. 

Development Charge By-Laws
Area NumberArea NameBy-law
 City Wide Hard Services2022-49
 City Wide Soft Services2022-50
1BYonge Steeles Corridor2022-51
5Armadale2022-52
7Armadale NE2022-53
9PD 1-72022-54
17Rodick/Miller Road Planning District2022-55
23Mount Joy2022-56
42A-1Markham Centre — South Unionville — Helen Avenue2022-57
42BMarkham Centre2022-58
42B-2Markham Centre — Clegg2022-59
42B-4Markham Centre — Hotel2022-60
42B-6Markham Centre — South Highway 72022-61
42B-8Markham Centre — Sciberras2022-62
42B-9Markham Centre — East Precinct2022-63
46Cathedral2022-64
47BYork Downs2022-65
49404 North2022-66
50AFuture Urban Area2022-67
50A-1Future Urban Area — Employment Block
 		2022-68
 
50A-2Future Urban Area — Robinson Glen2022-69
50A-3Future Urban Area — Berczy Glen Block2022-70
50A-4Future Urban Area — Angus Glen Block2022-71
50A-5Future Urban Area — Robinson Glen — South Block 2022-72


 

Background Studies

Every five years, the City has to conduct a Development Charges Background Study.

2022 Background Study Update

In May 2022, Council approved the Development Charges Background Study update, and the new by-laws enacted effective June 17th, 2022. Development Charges Background Studies are required in accordance with the Development Charges Act, 1997, as amended, in order to enact new by-laws.

Background Studies

Additional Information
Community Benefits Charges

In tandem with the Development Charges Background Study, Council also approved the Community Benefits Charges by-law which came into force on May 31st 2022.

Development Charge Interest Policy

This policy applies to the charging of interest, as permitted under sections 26.1, 26.2 and 26.3 of the Development Charges Act, 1997, as amended.

Contact Information

Hard copies of Markham's development charge by-laws are available from Monday to Friday, between 8 AM and 5 PM at:

Clerk's Department
Markham Civic Centre (Great Hall Entrance)
101 Town Centre Boulevard, Markham, Ontario, L3R 9W3
905.475.4744

To talk about calculations or exemptions, please contact the municipality or school board:

City of Markham
  • Shannon Neville: 905.475.4742
Regional Municipality of York
  • Fabrizio Filippazzo: 905.830.4444 extension 71696
York Region District School Board
  • Gilbert Luk: 905-727-0022 extension 2439*
York Catholic District School Board
  • Gilbert Luk: 905-727-0022 extension 2439*

*Gilbert Luk handles development charges enquiries for both school boards.