A proposal to replace a historic three-unit Edwardian home on Palmerston Boulevard with an 11-unit redevelopment has been unanimously rejected by Toronto’s committee of adjustment, marking a major win for residents who have spent months fighting the project.
Developer GreenStreet Flats had sought zoning variances to demolish the existing house at 501 Palmerston Blvd. and replace it with a 10-unit apartment building and a garden suite. While the company argued that the proposal aligned with the city’s goals for more housing near transit—the lot sits just minutes from Bathurst subway station—committee members said the scale and design were simply too large for the property.
Committee members described the redevelopment as “excessive” and incompatible with the surrounding streetscape. “This is not desirable for this neighbourhood,” said member Yim Chan, who argued the project would “destroy the character of the street.” The decision was celebrated by residents who have been pushing the city to designate Palmerston Boulevard as a heritage district to prevent large-scale modern developments.
Residents Warned Project Was a “Monstrosity”
Local resident Johnny Lucas, one of several speakers at the hearing, said the project would overwhelm the narrow lot and violate multiple city bylaws. He noted that GreenStreet’s proposal sought three times the permitted floor space and a building depth six metres beyond the allowable maximum, along with reduced landscaping and no visitor parking. “Why should the law not apply to him?” Lucas argued. “One inch here or there is fine—but this wasn’t that.”
Committee member Zaheer Bhyat agreed, calling the project “problematic” for the lot and suggesting it might have been acceptable elsewhere.
Developer Calls Decision “Extremely Frustrating”
GreenStreet president Leonid Kotov called the ruling disappointing and said the company is considering an appeal. He argued that existing bylaws make small apartment projects financially unworkable and noted that the committee had recently approved a similar depth variance for a property at 509 Palmerston Blvd.
Kotov said strong neighbour opposition may have influenced the vote. “Anything that pushes the envelope a little bit results in a lot of neighbour attention,” he said, adding that the committee becomes “extraordinarily reluctant” to approve projects under that pressure.
Evictions and Airbnb Rentals Add Tension
GreenStreet has already secured a demolition permit, though construction cannot begin without a building permit. In the meantime, two of the home’s three units are now being rented on Airbnb for stays longer than 28 days, advertised at around $3,300 per month.
Kotov had moved to evict long-term tenants early to avoid construction delays. One tenant, Susan Wright, who lived in the home for 36 years at a monthly rent of $1,100, fought her eviction, arguing she was being forced out too early. Although the Landlord and Tenant Board approved the eviction, it extended her move-out deadline due to her long tenancy and rising rental costs. Wright ultimately left months earlier but says the committee’s rejection proves her concerns were valid. Her new rent, she said, has tripled.
What Happens Next?
Kotov says he will take time to determine whether to appeal, revise the proposal, or wait for potential zoning changes coming next summer—changes tied to new provincial rules that require cities to allow more density near transit.
Meanwhile, Palmerston Boulevard residents say they will continue their push for heritage designation to ensure future developments respect the historic character of the street.