“It Will Move The Needle”: The Industry Reacts To Feds Removal Of GST On New Rentals

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For years, the real estate development industry has identified GST as a simple change that would go a long way towards helping rental development.

in 2017 — after being elected — after realizing they'd be foregoing an estimated $125M in tax revenue per year. During today's announcement, Trudeau was asked about this flip-flop, and said that the 2017 decision was made because they decided the Rental Construction Financing Initiative would be a better move.

Greer says the GST has been a longstanding issue, but has become a bigger and bigger issue as other costs for projects — construction, borrowing, municipal fees — have also escalated.projects to pencil out," he adds. "For some projects, it will take a lot more than that, but I think for some projects, it will move the needle for sure.

 

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