Legal

March 20, 2026 Published by Toronto and Area Chapter - By Evan Holt

Navigating Common Element Alteration Requests: Best Practices for Condominium Boards

From the Winter/Spring 2026 issue of CCI Toronto Condovoice Magazine.

When a unit owner requests permission to alter the common elements of a condominium, section 98 of the Condominium Act, 1998 provides a legal framework for ongoing obligations. A board of directors must carefully consider, in good faith, each request and ensure compliance with section 98 while balancing the interests of the individual owner and the condominium community as a whole.

Section 98 permits owners to make changes to common elements provided certain conditions are satisfied. Agreements governing these alterations are typically referred to as AAI Agreements, Alteration Agreements, or simply Section 98 Agreements. These agreements are written agreements between the condominium corporation and the requesting unit owner and must be registered on title to the applicable unit(s).

Before granting approval for an alteration, there are a few best practices that a board should consider to ensure transparency, fairness, and legal compliance.

1. Create a Simple Request Procedure

A board should consider publishing a simple request procedure to help owners have a general understanding of what the condominium may require to consider whether to approve a proposed alteration. The procedure should be concise and written in plain language. Any request procedure should also avoid any statements that may give an owner the erroneous impression that work on the alteration may proceed following the submission of a request.

Boards should not be deterred from asking for additional information if an owner’s initial request does not contain all relevant information that the board requires to properly consider the alteration request.

2. Understand the Nature of the Alteration

A board should first determine whether the proposed change constitutes an “alteration” of the common elements. Not all modifications fall under Section 98 – some may be considered repairs or maintenance, and depending on the unit boundaries, some alterations may not actually affect the common elements at all. Boards should not be hesitant to engage the condominium corporation’s engineer or other relevant professionals in appropriate circumstances to review proposed alterations to ensure that the board has a complete understanding of the proposal and that the alteration will not have adverse effects on the condominium property.

3. Evaluate the Exceptions in Subsection 98(2)

Once a board has a clear understanding of the proposed alteration, it will need to consider whether it is required to provide notice of the alteration to the unit owners pursuant to section 97 of the Act. Notice is required to be provided to the unit owners, unless, in accordance with subsection 98(2), the alteration relates to the unit owner’s exclusive use common elements, and the board is satisfied that the proposed alteration:

• will not have an adverse effect on units owned by other owners;
• will not give rise to any expense to the corporation;
• will not detract from the appearance of buildings on the property;
• will not affect the structural integrity of buildings on the property according to a certificate of an engineer, if the proposed addition, alteration, or improvement involves a change to the structure of the buildings; and
• will not contravene the declaration or any prescribed requirements.

4. Draft a Comprehensive Agreement

Once the board is satisfied that the alteration is acceptable and approves the alteration at a duly constituted board meeting, a formal agreement must be drafted, and subject to any required notice to the owners, the formal agreement is to be signed and registered on title. This agreement should clearly include:

• the scope and specifications of the alteration, including references to any applicable plans, drawings, reports, permits, etc.;
• the allocation of responsibility for the installation, insurance, maintenance, and repair of the alteration;
• any restrictions on the installation or use of the alteration;
• a timeline for completion of the alteration;
• an obligation for the owner to pay all reasonable costs incurred by the corporation in connection with the approval of the alteration, including the cost of the agreement and its registration on title; and
• any other conditions or limitations imposed by the board.

Legal counsel should be engaged to ensure the agreement complies with the requirements of the Condominium Act, 1998, and fully protects the corporation’s interests.

Summary

In summary, requests by owners to make alterations to the common elements require careful consideration, clear communication, and strict adherence to the Condominium Act, 1998. By following these best practices, boards can facilitate alterations while safeguarding the integrity of the condominium property and the rights of all owners.

Evan Holt, Partner, Shibley Righton LLP