Seniors asked to pay thousands more in monthly fees after landlord removes incentives

At 91 years of age, Eliane Bouchard never thought she'd have to move again.

But in slightly more than a month, she'll be moving from her studio apartment in Ottawa to another seniors' home in Kemptville, Ont., about 60 kilometres south of downtown Ottawa.

Bouchard says the cost to stay in her current home is increasing by nearly 40 per cent — from $2,452 a month to $3,405  — and there's possibly nothing she can do about it.

She'll be giving up in-suite laundry and a kitchenette for a smaller unit, but Bouchard said it's still the better choice.

"I don't mind. At least I'm going to be [able to be] very careful with the rest of my money," she said.

Bouchard is one of three tenants of an Alavida Lifestyles retirement residence who say their monthly fees are increasing by hundreds, if not thousands, of dollars through what some experts describe as concerning legal loophole. 

Alavida runs four seniors' residences across Ottawa and has been offering tenants like Bouchard what it describes as  "marketing discounts," which are being scaled back.

While the maximum allowable rental increase for 2024, set by Ontario's Landlord and Tenant Board, is 2.5 per cent, there is no cap on how much a seniors' home can increase fees for services, including meals. 

"I'm broken," Bouchard said about leaving her home. "I'm very broken and I need help."

In an emailed statement from Alavida Lifestyles, chief financial officer Manny DiFilippo and CEO David Choo said "having permanent discounts in a very competitive marketplace would put significant financial strain on an operational business that requires the level of services required by care homes."

They said discounts were "implemented on a case-by-case basis as needed" and "were never intended and are not considered to be permanent in nature."

But the tenants CBC spoke to all said they were never told the discounts were temporary until recently and would not have moved into homes they would eventually be unable to afford had they been properly informed in the first place. 

Five years ago, Bouchard moved into her apartment at Ravines Seniors' Suites and Retirement Residence, a private home by Alavida Lifestyles.

As a senior on a fixed income, she said she was offered a "marketing discount" that would save her $830 on her monthly fees, including her rent and meals.