Basement Apartment (Legal Secondary Suite) in East York

A legal basement apartment in Toronto typically costs $60,000 to $150,000 or more depending on the existing condition of the basement and the scope of work required. A basic one-bedroom suite in a basement with adequate ceiling height and existing rough-in plumbing starts at $60,000 to $80,000. If underpinning is required for ceiling height, add $50,000 to $100,000. Premium suites with high-end finishes, full-size kitchen, and in-suite laundry can reach $120,000 to $150,000. The investment typically pays for itself in 4 to 7 years through rental income.

Legal basement apartments in Toronto must meet the Ontario Building Code, Ontario Fire Code, and City of Toronto zoning bylaws. Key requirements include minimum 6 foot 5 inch ceiling height, 45-minute fire separation between units, fire-rated doors with self-closers, interconnected smoke and CO alarms, egress windows in all bedrooms, a full kitchen and bathroom, separate entrance, adequate parking, and separate electrical panel. An occupancy permit and registration may also be required depending on the municipality.

A typical legal basement apartment build takes 8 to 16 weeks of construction time. The permit process adds 4 to 8 weeks before construction begins. Simple conversions where the basement already has adequate ceiling height, existing rough-in plumbing, and meets fire separation requirements take 8 to 10 weeks. Complex projects requiring underpinning, separate entrance construction, or extensive structural work can take 14 to 16 weeks or more. We provide a detailed timeline during the planning phase.

Recent Ontario legislation has expanded the right to build secondary suites in most residential properties. However, the property must meet specific criteria including adequate ceiling height (or the ability to achieve it through underpinning), sufficient lot size for parking requirements, compliance with fire safety standards, and proper egress. Some properties have constraints that make secondary suites impractical or prohibitively expensive. Our feasibility assessment determines whether your property is a good candidate before you invest in design and permits.

As of 2025-2026, one-bedroom basement apartments in Toronto rent for $1,500 to $2,200 per month depending on location, size, finishes, and included amenities. Two-bedroom suites command $1,800 to $2,800. Areas closer to transit lines, universities, and downtown command premium rents. A well-finished, legal apartment with modern kitchen and bathroom, in-suite laundry, and a separate entrance will command the upper range. Annual gross income of $18,000 to $33,600 is typical, with the investment recovering in 4 to 7 years depending on the construction cost.