Permits & Cost | Cost Charges (DCC/ACC)

Victoria Cost Charges: The Four-Unit Threshold

Victoria's Development Cost Charges Bylaw 24-053 exempts residential projects with fewer than four self-contained dwelling units (s.4(c)). A one-, two-, or three-unit houseplex pays no municipal DCC. The fourth unit changes that: from four units up, the project pays per-unit Development Cost Charges and per-unit Amenity Cost Charges under Bylaw 25-048. That makes the three-to-four unit step a financial decision. We do not republish the per-unit dollar tables here — pull them from the bylaws, where they stay current.

Key Takeaways

✓Projects with fewer than four units are exempt from Development Cost Charges (Bylaw 24-053, s.4(c)).
✓The fourth unit triggers per-unit DCCs plus per-unit Amenity Cost Charges (Bylaw 25-048).
✓Other DCC exemptions: a unit 29 m² or smaller, and work valued at $50,000 or less.
✓The CRD regional water DCC is proposed, not in force — earliest April 2027. Do not budget a figure.

The Threshold, by Unit Count

The whole story is the line between three and four units. Below it, no municipal cost charges. At and above it, per-unit charges on both bylaws.

Unit count	DCC (24-053)	ACC (25-048)	What it means
1 to 3 units	Exempt	Exempt	Projects with fewer than four self-contained dwelling units pay no municipal Development Cost Charge (DCC Bylaw 24-053, s.4(c)). The same fewer-than-four logic applies to Amenity Cost Charges.
4 or more units	Per unit	Per unit	The fourth unit crosses the threshold. From four units up, the project pays per-unit Development Cost Charges (Bylaw 24-053) and per-unit Amenity Cost Charges (Bylaw 25-048). Pull the current per-unit schedules from each bylaw.

The Three-to-Four Unit Decision

Because the exemption disappears at the fourth unit, adding that unit does two things at once: it brings in per-unit Development and Amenity Cost Charges, and it crosses the development permit trigger (a development permit is required for more than three primary units). The fourth unit therefore carries more than its share of the project's soft costs. That does not make it the wrong call — the rental or sale income from a fourth, fifth, or sixth unit can outweigh the added charges — but it should be a deliberate, costed decision rather than a default.

Run the numbers both ways for your lot: a three-unit version with no DCC, no ACC, and no development permit, against a four-plus unit version that carries per-unit charges and a design review. The right answer depends on the per-unit charge schedule, your construction value, and the income each added unit produces. See the permit process for what the development permit adds.

Other Exemptions in the Bylaw

Small units

A dwelling unit of 29 m² or less is exempt from the Development Cost Charge under Bylaw 24-053. Relevant where a houseplex mixes in a very small unit.

Low-value work

Work valued at $50,000 or less is exempt. This rarely covers a new houseplex but can matter for minor associated work.

Fewer than four units

The headline exemption: a one-, two-, or three-unit project pays no municipal DCC at all. The exemption disappears the moment the project reaches four units.

What Not to Budget Yet

Building permit fee structure

Victoria's published building permit fee is structured as 1.40% of construction value plus a $100 application fee (Guide to Building Permit Fees and Deposits; Bylaw 17-113). This is a fee structure, not an estimate of your cost — the dollar amount scales with the construction value of the specific project.

CRD regional water DCC — proposed, not in force

The Capital Regional District has proposed a regional water Development Cost Charge, but it is not in force. The earliest it could take effect is April 2027. Do not underwrite to a regional water DCC today, and do not assume a figure — it has not been adopted.

School site charges

No adopted school site acquisition charge rate was found for this area. Do not build a school site charge into a pro forma until a rate is published and confirmed.

Best For

✓ Owners weighing a three-unit, no-charge houseplex against a larger four-to-six unit build.
✓ Anyone underwriting a Victoria project who needs the current per-unit DCC and ACC schedules from source.
✓ Projects that can keep a small unit at or below 29 m² to capture the small-unit DCC exemption.

Usually Fails When

✕ A pro forma assumes the three-unit DCC exemption still applies after the project grows to four units.
✕ A budget includes a CRD regional water DCC figure that has not been adopted.
✕ A school site charge is built in with no published, confirmed rate behind it.

What To Verify Before Spending Money

→ The current per-unit DCC schedule in Bylaw 24-053 and the per-unit ACC schedule in Bylaw 25-048.
→ Your final unit count against the fewer-than-four exemption threshold.
→ The building permit fee as 1.40% of your project's construction value plus the $100 application fee.

Frequently Asked Questions

Does a three-unit houseplex in Victoria pay Development Cost Charges? +

No. Victoria's Development Cost Charges Bylaw 24-053 exempts residential projects with fewer than four self-contained dwelling units (s.4(c)). A one-, two-, or three-unit project pays no municipal DCC. The exemption ends at four units.

What changes when I add the fourth unit? +

The fourth unit is the one that brings municipal cost charges into play. At four or more units the project pays per-unit Development Cost Charges under Bylaw 24-053 and per-unit Amenity Cost Charges under Bylaw 25-048. It also crosses the development permit trigger. That makes the three-to-four unit decision a financial decision, not just a design one — pull the current per-unit schedules from both bylaws before you commit.

How much are the per-unit charges? +

The exact per-unit figures live in the bylaws and change as the City updates its schedules, so verify them at the source rather than relying on a number quoted elsewhere. The Development Cost Charges Bylaw 24-053 and Amenity Cost Charges Bylaw 25-048 PDFs hold the current rates by unit type.

Are Amenity Cost Charges separate from DCCs? +

Yes. Amenity Cost Charges (Bylaw 25-048) are a distinct per-unit charge from Development Cost Charges (Bylaw 24-053). Both follow the same fewer-than-four-unit exemption logic, so both begin at the fourth unit.

Is there a regional CRD water charge I should budget for? +

Not yet. The Capital Regional District has proposed a regional water Development Cost Charge, but it is not adopted and the earliest it could come into force is April 2027. Do not state or budget a CRD water DCC figure today.

How is the building permit fee calculated? +

Victoria's published structure is 1.40% of construction value plus a $100 application fee (Guide to Building Permit Fees and Deposits; Bylaw 17-113). The fee scales with the construction value of your specific project, so it is a structure to apply, not a fixed amount.