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A car-booking pilot project that will allow users to pick up and drop off a vehicle in a residential neighbourhood will begin operating in Toronto by November.

City officials announced on Tuesday it has reached a deal with Montreal-based Communauto to start offering the so-called “free-floating car-sharing” service.

“Finding a way to allow car-sharing to happen here in Toronto is one more way the city government can help make life more affordable for residents,” Mayor John Tory said during a news conference Tuesday morning.

“Transportation costs can be a huge expense for families and young people starting up their lives. Owning a car and the costs associated can be a huge investment and many are choosing not to own a vehicle at all. That will reduce their costs and hopefully will reduce congestion.”

The announcement follows the departure of popular ride-booking service car2go, which stopped operating in May, citing over-regulation from the pilot project.

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City council approved the 18-month trial phase in April, which will allow for a maximum of 2,000 permits in total and 500 vehicles per car-booking company.

Communauto, which already operates a similar service in cities such as Montreal, Halifax, Ottawa and Hamilton, has been awarded a permit to begin operating 200 vehicles within a 50-square-kilometre limit.

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The initial pickup and dropoff zone will be High Park and Runnymede to the west, Dupont and Danforth in the north and Victoria Park in the east.

“Communauto Flex cars will be easily accessible to subscribers with our app or by a card that we hope will be the Presto card. It is technically possible,” Communauto president Benoit Robert said.

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“We want to do it end-by-end with Metrolinx and the TTC in the spirit of partnership. In the meantime, people who desire it and don’t have a smartphone will be able to order a regular RFID card from us.”

The company said the subscription will be free and a launch offer will allow people to travel for free for 30 minutes of all trips during their first month.

City officials said the vehicles cannot be parked along streets where the existing permit parking system is fully subscribed.

“Technology within the app will ensure that car-share users are only able to park in areas that are allowed to be parked through the pilot,” Barbary Gray, general manager of Toronto’s transportation services, said.

Communauto says its Flex service will allow users to drive for as little as $15 per hour. Drivers can also reserve the vehicle for multiple days during the week.

I'm glad that the team at @Communauto is among the first to join the pilot and operate in Toronto and I’m very excited to issue the permit to a Canadian organization that already operates in a number of other Canadian cities. pic.twitter.com/xFB5AwHg7R — John Tory (@TorontosMayor) October 9, 2018

We announce today that starting November 2018 Communauto FLEX will offer free-floating carsharing in Toronto. 🚗😁

To discover the project, preregister and benefit of our tremendous pre-launch offer, click here 👉 https://t.co/L6uhYhElt8 pic.twitter.com/hKoKjeHiey — Communauto (@Communauto) October 9, 2018