Why the City Is Talking About Cancelling the City-Wide Rezoning in Calgary (2025)

Calgary’s city-wide rezoning plan — once promoted as a major step toward increasing housing supply and improving affordability — is now facing serious reconsideration. After months of public concern, shifting political priorities, and questions about its real impact, city officials are openly discussing the possibility of cancelling the policy.

Here’s a clear breakdown of why this conversation is happening, and what it means for homeowners, buyers, investors, and developers in 2025.

What Was the City-Wide Rezoning Plan?

The plan would have changed zoning across large parts of Calgary, allowing:

• Duplexes and semi-detached homes
• Rowhouses and townhomes
• Secondary suites and backyard suites
• Small-scale multi-unit buildings on lots previously zoned only for single-family homes

The goal was simple: increase housing options in more communities to help address Calgary’s growing demand.

Why the City Is Now Considering Cancelling It

After the rezoning plan was introduced, several concerns surfaced — strong enough that city officials are now openly discussing ending or significantly changing the initiative.

1. High Levels of Public Opposition

Many Calgary residents voiced concerns that the rezoning would change the character of established neighbourhoods. The main worries include:

• Increased density on quiet residential streets
• More traffic and parking pressure
• Reduced green space and tree coverage
• Loss of neighbourhood identity

This public pushback has been one of the biggest factors driving the conversation about cancellation.

2. Infrastructure Concerns in Older Communities

A major argument against city-wide rezoning is that many neighbourhoods were not built to support higher density. Some areas have aging or limited infrastructure, including:

• Water and sewer systems
• Street parking availability
• Narrow roads
• Older electrical and drainage systems

Residents and planners worry the city may not be able to upgrade these areas fast enough to support increased population.

3. Affordability Concerns Not Being Met

While rezoning was supposed to help affordability, critics argue it may not have that effect. Some believe rezoning could even increase land values, making redevelopment more profitable for builders but not necessarily reducing costs for buyers or renters.

There is growing doubt that this type of density automatically leads to affordable housing — especially without specific affordability requirements.

4. Uneven Pressure on Certain Neighbourhoods

Developers tend to build in high-demand areas with strong resale potential. This means that even with city-wide rezoning:

• Only certain neighbourhoods would see rapid redevelopment
• Other neighbourhoods would remain largely untouched
• Some communities could face sudden, concentrated change

This uneven impact has led to calls for a more targeted, strategic approach instead of a blanket policy.

5. Calls for a More Focused Density Strategy

Instead of rezoning the entire city, some policymakers want density to be directed toward:

• Transit corridors
• Major roads
• Urban hubs and redevelopment zones
• Areas with strong existing infrastructure

This approach is being pushed as a more realistic way to increase housing while maintaining community stability.

6. A New Political Climate in 2025

Political priorities have shifted, and many elected officials now support revisiting or cancelling the rezoning altogether. As housing concerns continue to rise, the city is re-evaluating whether this policy is the most effective solution.

How Cancellation Could Affect the Market

For Homeowners

• Some may lose the ability to build multi-unit homes or suites on their lots
• Property values may shift depending on redevelopment potential
• Neighbourhoods may remain more stable and low-density

For Buyers

• Fewer new townhomes, duplexes, and suited homes might come to market
• Entry-level and multi-unit housing may remain limited
• Competition for affordable options could increase

For Developers & Investors

• Fewer redevelopment opportunities in low-density areas
• More emphasis on transit-oriented development
• Need to shift investment strategies based on new zoning rules

The Bottom Line

Calgary’s city-wide rezoning policy is at a major crossroads. With growing community concern, infrastructure challenges, and political pressure, the city is seriously considering cancelling the plan. Whether it’s repealed or reshaped, the outcome will influence Calgary’s housing supply, neighbourhood development, and overall real estate direction for years to come.

To learn more about what Calgary’s bustling real estate market has to offer, contact the Top Calgary Real Estate Team today!

Justin Warthe

Team Lead

403-620-8746

jw@topcalgaryrealestate.com