City of Toronto officials are proposing a doubling of development charges on new condo and housing projects across the 416 region, a move that is sending shock waves through the already precarious condo industry.

The suggested fee hikes — a year earlier and far beyond anything expected by condo developers already spooked by slumping sales and prices — could see development charges on a one-bedroom condo jump from $8,356 to $17,351.

Those charges, which builders say they’ve been told could kick in as early as May 1, are usually passed on to buyers.

“We’re looking at close to 100,000 (condo) units in the approval mill in Toronto — we have a very generous supply of sites coming into the approval process,” said one development expert who spoke on condition their name not be used.

“They are quite dramatic numbers, but still below development charges in the 905 regions.”

Some commercial developments, with the exception of office towers, could also be hit if City Council backs the proposed hike in building charges, which city staff disclosed to the development community this week.

Deputy city manager and chief financial officer Roberto Rossini called them “very, very draft numbers” and said it’s “erroneous” to suggest any hikes would kick in May 1.

Last year the city collected $120 million in development charges.

The city is in the preliminary stages of reviewing its bylaw governing development charges a year earlier than usual at the direction of city council, in part because of financial pressures Toronto is facing, said Rossini.

“We’ve had a lot of growth, a lot of new infrastructure that’s being required, so it’s not unusual for a municipality to update their bylaw before the five-year period, particularly when you’re going through a period of high growth.”

A consultation committee comprised of stakeholders, such as the Building Industry and Land Development Association (BILD), has been struck and will now analyze and review the proposed new charges. A report will be drafted, public meetings held and Council will ultimately make the decision, stressed Rossini.

The aim is to have any proposed changes in development charges before city council by May or June.

Toronto officials last proposed a major increase, about a 90 per cent hike in development charges, back in 2009 when the housing market was just starting to recover from a dramatic, but surprisingly short-lived, slump because of the recession.

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Developers were so concerned the added fees would push up prices, and turn away already jittery buyers, the city eventually agreed to phase in the hikes over four years.

“Historically, we have had a great working relationship with city staff when it comes to their development charges bylaw review and we look forward to the same process as we start to dive into the details,” said BILD president Bryan Tuckey.