HAC Resource Centre

Canadian hotels are deeply woven throughout our nation’s economy. They drive local economic growth, create meaningful employment opportunities, and contribute to fostering community across our country. Access our 2025 Hotel Industry Data Check In to discover more.

The hotel industry is the cornerstone of the tourism sector worth $16 billion annually and employs over 163,000 Canadians. Hotels in Canada, even those under international brands, are overwhelmingly small and medium-sized businesses, many of them family-owned and deeply embedded in local communities. Unlocking Canada’s tourism growth potential requires tackling major barriers for hotels, which include a lack of targeted investment and capital support, fixing the border as well as workforce shortages.

This report analyzes short-term rentals (STRs) in the province of Ontario, and applies the results of a new Canada-wide study of the impact of STR activity on rents to Ontario communities. It estimates the amount of rent increases in Ontario caused by STRs, demonstrates the effectiveness of principal-residence requirements at driving down rents, and lays out a set of STR regulatory principles for Ontario, based on Canadian best practices.