Vancouver · R1-1

The most permissive small-lot zoning in Metro — and what it actually produced

Vancouver went further than its neighbours: up to six strata units, or eight on a secured-rental path, on qualifying R1-1 lots. So Vancouver is the cleanest test of a simple question — does generous density, on its own, get homes built? The answer is in the distribution below.

VanPlex PlexRank return-on-equity distribution across Vancouver R1-1 multiplex lots

Real VanPlex PlexRank™ analysis of Vancouver R1-1 lots. Each bar is the number of lots at a given projected return; the dashed line is break-even. The mass near and below the line is zoned for a multiplex but does not pencil today.

What Vancouver's distribution tells a planner

Read the shape, not a single number. A large share of R1-1 lots sit at or below break-even — land basis plus construction plus fees outruns what the finished units are worth. Those lots are zoned for a multiplex and will not see one. The lots that get built are the right-hand tail: usually wider parcels that reach five or six units, where the math finally clears a builder's threshold.

That is the gap between zoned capacity and viable capacity. Vancouver's permit uptake will track the viable tail, not the full zoned universe — no matter how permissive the bylaw reads. For a planner, that reframes the lever: the way to add supply here is on the cost-and-density side, not more permission.

How Vancouver set the dial: two R1-1 paths

R1-1 gives an owner a choice between a six-unit strata building and an eight-unit secured-rental building. These are the public rules that shape every Vancouver multiplex proforma — and the reason the rental path, despite two extra doors, is not always the one that gets chosen.

Rule 6-unit strata 8-unit secured rental
Max units 6 market units 8 secured rental units
Tenure Strata; units can be sold individually Single-title secured rental; no unit-by-unit exit
Max FSR 1.00 standard R1-1 1.00 standard R1-1
Density bonus cost Applies above 0.70 FSR Waived in the working comparison memo
Net-zero FSR uplift +19% exclusion available +19% exclusion available
Height, frontage, lot size, lane, parking Same controlling rules Same controlling rules
CMHC MLI Select fit No Yes, if project scores qualify
City levy treatment Full DCL exposure Working memo assumes a major Class B rental waiver

The lot-width problem

More than any single rule, lot width decides which Vancouver lots get built. The city's housing stock is full of narrow lots, and a narrow lot is where the economics break.

Narrow lot (~33 ft)

Usually does not pencil

Width caps the realistic unit count and the buildable floor area, while the land still costs Vancouver prices. The return often lands at or below break-even — zoned for a multiplex, but not one a builder will start.

Wide lot (~50 ft)

Where permits cluster

A wider lot reaches more units and the secured-rental path, spreading fixed land and design costs over more sellable or rentable area. This is the right-hand tail of the distribution — the lots that actually build.

The two failure modes, in Vancouver terms

Too little, in practice

On a standard 33-foot lot, the unit count and the land basis often leave a project under water. The zoning permits a multiplex; the economics do not. These lots stay single houses.

Too much, in practice

Push density far past servicing capacity and the constraint flips to infrastructure and approvals. Vancouver's lever is not blunt "more units" — it is finding where added density still clears both tests.

How R1-1 got here

Nov 2023

Bill 44 passed

The Province requires municipalities over 5,000 people to allow 3–6 units on most single-family lots.

Sep 2024

R1-1 takes effect

Vancouver folds dozens of old single-family zones into one R1-1 district allowing up to six units citywide.

May 2025

R1-1 update memo

Council reviews how the zone is performing and adjusts rules to improve feasibility and design outcomes.

Jun 2026

Provincial compliance deadline

The final date for BC municipalities to align zoning with the updated SSMUH requirements.

What we monitor for Vancouver

Permit pipeline

Every R1-1 multiplex permit — duplex through six-plex — by status and stage, tracked over time.

Viable-lot share

How many R1-1 lots actually pencil at current rules, and how that share moves with a fee, parking, or unit change.

Neighbourhood pattern

Which areas are absorbing density and which are flat, read against lot width, land value, and transit.

Strata vs secured rental

Whether the 8-unit rental path is being used, or whether owners default to the 6-unit strata route.

Partner cities only

Want Vancouver's numbers — or your own city's?

The chart above is the public version. Partner cities get the underlying figures: viable-lot share, permit pipeline, and scenario modeling on the levers that move supply.

  • Share of Vancouver R1-1 lots viable at current rules
  • Multiplex permit pipeline by type and stage
  • Scenario modeling: parking, fees, and unit-count levers
  • The same build for your municipality
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Go deeper

Vancouver — Official Sources

Vancouver — frequently asked questions

What does R1-1 allow in Vancouver?+
On qualifying lots, R1-1 permits up to six market (strata) units, or up to eight units on a secured-rental path. It is the clearest small-lot density shift in Metro Vancouver — which is exactly why Vancouver is the right place to test whether permissive density alone produces housing.
Why does lot width matter so much here?+
Vancouver has a large stock of narrow 33-foot lots. On a narrow lot the unit count and buildable floor area are constrained, and the land basis is high, so a multiplex often does not pencil. Wider 50-foot lots reach more units and far better economics. Width, more than zoning, decides which lots get built.
Are most R1-1 lots actually buildable as a multiplex?+
Zoned, yes. Financially viable, no — not most of them. Vancouver's high land basis means a large share of lots cannot support a multiplex after land, construction, and fees. The PlexRank distribution above shows the spread; the viable lots cluster in the right-hand tail.
So is the R1-1 upzoning failing?+
Not failing — but the zoning is doing only half the job. Permission without viable economics produces permits only on the lots where the math already works. The lever that adds supply is on the cost and density side, not more permission. That is the conversation we have with the city.
Is the 8-unit secured-rental path being used?+
It is the more generous path on paper, but it trades away the unit-by-unit strata exit, so many owners still choose the 6-unit strata route. Tracking which path owners actually take is one of the clearest signals of whether a rental incentive is working — and we monitor it.

Want this for your municipality?

We already track multiplex permit uptake and lot-by-lot feasibility across BC. Tell us your city and we'll show you what your data says — and how a monitoring partnership works.