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Real estate law

Conversion of rental property

The owner of rental property comprising one or more dwellings who wishes to convert it to a condominium (divided co-ownership) must follow certain strict rules.

Under current legislation, conversion to divided co-ownership is prohibited within the Montreal Urban Community unless the municipality in which the property is located has passed a by-law permitting it.

Conversion is allowed in other Quebec communities unless otherwise prohibited by a municipal by-law.

In all cases, the first step for the owner is to contact the municipality in which the property is located to determine whether such a conversion can take place.

Certain specific rules apply where all the dwellings in the building to be converted are occupied by the undivided co-owners. Finally, the law sets out the rights and obligations of the owner who has undertaken the conversion and the lessees living in the building.