Reimagining Home: The Rise of ADUs in Canada
Dear friends,
You’ve heard the term tossed around: ADU. Accessory Dwelling Unit. Secondary dwelling. Backyard suite. Laneway house. Tiny home. Granny flat. Garden suite. Call it what you want — it’s small, self-contained, and built on an existing residential lot.
But more than that, it’s a quiet revolution in housing.
What’s Changing — And Fast
Some numbers to give you the scale:
A recent project analyzing 63 Canadian cities (including Toronto, Vancouver, Hamilton, Halifax, and Calgary) shows increasing permit activity for ADUs — more cities are updating zoning and regulation to support their build-out.
In Toronto alone, it’s estimated that 370,000-390,000 lots could potentially add either internal or external ADUs. Yet the number of actual ADUs built so far remains quite small, numbering in the low thousands.
On the global side, the ADU market size was valued at about USD 4.5 billion in 2023, and is projected to reach USD 14.5 billion by 2030, with a compound annual growth rate (CAGR) of approximately 18.6%.
These figures show something important: the potential is enormous. The infrastructure for regulation, city policy, and design is catching up. But we also have a lot of untapped opportunity.
An Interesting Example: Garden Suite in Toronto
Here’s a real-life snapshot:
A couple in Toronto had a modest back yard and wanted to help aging parents live near, but still maintain privacy. They built a garden suite (an ADU detached in the backyard) of about 621 square feet.
What’s noteworthy:
The design balances proximity and autonomy: parents are close by, but with their own entrance, outdoor space, and full amenities.
The finishes were thoughtful: natural light, compact storage, good insulation. It wasn’t just functional; it was beautiful.
The result was more than housing. It became a place of mutual support (childcare, caregiving), and they even doubled down on sustainable features.
This kind of build shows what’s possible when you think beyond “add-on” and toward “co-living”, “multi-generational support”, and design that honors dignity.
Why This Matters
With ADUs you get:
Flexibility — adapt to different seasons of life (kids, aging parents, financial shifts).
Affordability — lower costs than full-home builds, better use of land you already own.
Community potential — neighbours, family members, elders can live near and support each other.
Environmental benefits — less resource waste, smaller footprint, often more energy-efficient.
At AERAS Dwellings, we don’t just build these units. We walk with you through every stage — design, permitting, planning, and making sure the unit fits your lifestyle, your values, and the people you might be sharing space with.
In the next issue, we’ll explore why more people are turning back to multi-generational and interdependent living, and why that trend not only has a rich history, but is also more future-forward than many realize.
Let’s build the village,
Timothy Koch and Nathan Dirks
Building homes for wholeness, one village at a time
