City of Calgary Bylaw Forbid renting out Garage

An Tay Nguy

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Registered
Jan 5, 2018
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#1
Hi everyone,

I have been with REIN for over ten years and never heard of any problem renting out garage until now. In fact most of the rental income calculation even includes garage as if it's not a problem. I don't think I ever remember REIN telling us the renting garage is not legal. Does anyone know this or is it just me? Apparently, it's only legal if you're renting to tenant that lives on the property and only restricted to certain (non-commercial related items. ) It is definitely not legal to rent to someone that does not lives on the property.

I know REIN talks about illegal suites but not illegal garage rent. I had an inspector came and inspected the garage and he said that I am not allow to rent out any garage and anyone doing it is violating the law.

Just thought I let you'all know as a caution.

Thanks!

An Tay
 

Kir Luong

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Nov 4, 2015
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#2
What exactly does the city bylaw state? They have to state the precise bylaw(s) in question. Interesting problem, indeed.
Maybe the garage guy is using the garage like a commercial setting without a license?
 

Tina Myrvang

Client Care Lead
Staff member
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Nov 15, 2010
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#3
I searched the site for Calgary and was unable to find anything on this subject. I'm still investigating.

I have heard this before, but I want to get you more clear answers. You can only rent a garage for storage not to run a business. Still looking into this.
 

An Tay Nguy

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Jan 5, 2018
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#4
According to the letter I receive from the city, the By Law is #1P2007. According to the inspector, he told me that I am not allowed to rent out to anyone who does not live on the property for any reason. For those that are residence, they are not allowed to store anything commercial related items. Only store cars and some restricted items. He was quite amendment and accusing me that I should have known the law and tricking unsuspecting garage renter to rent my garage.(Funny, I don't remember forcing anyone to rent my garage. What about the garage renter? Shouldn't the renter knows he's violate the law too? ) There was not appeasing him as I told him I didn't know I was violating any law. There is so many people doing it. He said ignorant of the law is no excuse. He was like a pitbull not letting explaining anything and threaten to write me a $3000 fine on the spot. WOW!!! I told him that there are so many people renting out garage and posting ads and he said that they are all violating the law. Funny thing is the guy next door rented out his garage too. I don't know why I was picked.

Not sure if this is true but heard from the grape vine that the city is cracking down and looking through kijiji ads and online ads to do their research to fine violators. ( Not sure if this is true...)

Thanks!

An Tay
 

ThomasBeyer

Senior Forum Member
REIN Member
#5
That makes sense to me. Likely a nosey and pissed off neighbor reported you as some behavior was weird, say too much traffic in and out of garage.

Just like like illegal basement suites it is widely tolerated in some cities and cracked down hard in others.


Sent from my iPhone using myREINspace
 

Tina Myrvang

Client Care Lead
Staff member
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Nov 15, 2010
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#6
According to Chris Westrop of Park Insurance, any commercial activity taking place in a garage would not be covered by insurance even if it is done by, for example, a main floor tenant. For example, a resident tenant can only repair their own vehicles or “guy toys” in the garage. Likewise a tenant running a business in the home would also not be covered by home insurance e.g. a hairdresser working out of one of the rooms would be a problem.
 

KeithnCalgary

Mortgage Associate & REIA
REIN Member
Mar 21, 2011
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Calgary
www.pmpcalgary.ca
#7
Likely the complaint was triggered by a parking issue or an activity taking place in the garage that was bothering the neighbors. Do you know what your garage renters were actually doing? Having the tenants rent the garage is not what they are looking at it is third party garage renters where it can cause issues especially if behaviors are disruptive. There is an onsite parking requirement int he bylaws that they are likely referring to. I will be checking with my sources to see if I am able to get more detailed information.
 

Matt Crowley

Senior Forum Member
Registered
Dec 14, 2013
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Calgary
#8
You have been flagged so nothing you can do now but follow every last thing the inspector demands.

Pretty dumb approach for the city. Hopefully people get to the point they don't need garages and it releases this space to the market. Great for inner city to take pressure off streets and utilize dead space in off-peak hours. If you wanted to pick up the banner on this that is the approach I would take.
 

Matt Crowley

Senior Forum Member
Registered
Dec 14, 2013
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Calgary
#9
If you are a techie-person it would be interesting to see where market prices would end up for off-peak parking in Calgary if someone put together an airbnb for parking. Highest parking costs in North America.
 
Likes: Tina Myrvang

Mike Omene

New Forum Member
REIN Member
Apr 30, 2015
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#10
I agree with @KeithnCalgary , sounds like a parking issue. I've been busted for the same thing before as well. If I remember correctly there needs to be at least one (1) off-street parking stall for each suite