Laneway Homes: A Guide to Building Affordable and Efficient Infill Housing in Toronto
- Halis Group
- Aug 8
- 3 min read
Published by Halis Development
We handle the entire process—from permits to keys in hand.
🏠 What Is a Laneway Home?
Laneway homes, also known as laneway suites, are fully detached residential units located in the backyard of a main home, facing onto a public laneway. In Toronto, these homes have gained popularity as a creative solution for affordable, eco-conscious, and space-smart urban living.
They serve as:
Income-generating rental suites
Guest houses or in-law suites
Private work-from-home spaces
Future retirement housing for downsizing families
📈 Why Toronto Homeowners Are Building Laneway Homes
With housing affordability tightening and urban land at a premium, laneway homes offer a smart way to make the most of your property. Here’s why more Torontonians are investing in them:
Rental Income Potential – Offset your mortgage or generate passive income.
Multi-Generational Living – Keep family close while maintaining privacy.
Property Value Boost – Increase your resale value with a legal secondary dwelling.
Bylaw Support – The City of Toronto encourages “gentle density” through laneway suites.
Incentives – Apply for forgivable loans (up to $50,000) or development charge deferrals by meeting affordability criteria.
🧱 Halis Development Makes It Easy: From Permits to Possession
At Halis Development, we manage every step of the process for your laneway home:
✅ Site evaluation & zoning compliance✅ Custom or pre-approved design options✅ Full permit application & approvals✅ Engineering & utility assessments✅ High-quality construction & project management✅ Final inspections & occupancy
No stress. No paperwork runaround. Just turn the key.
📐 What Are the Requirements?
Not every property qualifies—but many do. Here’s a quick checklist for eligibility in Toronto:
Requirement | Description |
Lot Width | Minimum 7.5m wide |
Laneway Width | Minimum 3.0m laneway width (for emergency access) |
Distance from Main House | Minimum 5.0m separation |
Max Height | 6.3m (typically two storeys) |
Size Limits | Usually ~1,000–1,200 sq ft, subject to setbacks and lot size |
Parking | No car parking required; 2 bicycle spots mandatory |
Utilities | Must connect to the primary home’s services (hydro, water, sewer, gas) |
We’ll assess your lot and handle all zoning and code checks.
💰 How Much Does a Laneway Home Cost?
Laneway homes are more affordable than most think—especially when you consider long-term rental returns.
Typical Build Range: $300,000 – $600,000
Planning & Permits: All included in our turnkey process
Financing Support: We’ll help you apply for city grants and charge deferrals
🧭 The Step-by-Step Build Journey with Halis Development
Free ConsultationWe assess your lot’s potential and explain your options.
Design & PlanningChoose between a custom plan or a pre-approved layout to fast-track permits.
Permit ApplicationsWe handle all paperwork, city coordination, and engineering reports.
Construction BeginsOur team builds your laneway suite with high-quality craftsmanship.
Final HandoverYou receive your new unit, ready to live in or rent out.
💬 Final Thoughts
Laneway homes are more than a trend—they’re a practical, forward-thinking solution to Toronto’s housing challenges. They offer homeowners flexibility, financial gain, and long-term value without leaving their current neighborhoods.
With Halis Development, your dream laneway home is just a consultation away. We take care of everything, so you can focus on what matters most—living well, renting smart, or caring for family.
📞 Ready to explore your lot's potential?
Contact Halis Development today to book your laneway home consultation.
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