Words and Phrases - "density rights"

a
86
b
44
c
76
d
50
e
38
f
31
g
18
h
14
i
73
j
2
k
2
l
32
m
56
n
25
o
38
p
80
q
3
r
76
s
89
t
46
u
15
v
9
w
23
y
2

GST/HST Memorandum 19.5 "Land and Associated Real Property" October 2001

Summary Under
Tax Topics - Excise Tax Act - Section 123 - Subsection 123(1) - Real Property

Real estate options and air rights are real property, whereas supplies of density rights are not supplies of real property.

Air rights

69. Air rights are part of the bundle of rights that are owned with the land and generally relate to the access to and control of the area above the surface of a property. Rights to the control of and access to the air space above a parcel of real property constitute interests in the underlying real property and therefore, under both the common law and civil law, i.e., in all provinces of Canada, air rights constitute real property for GST/HST purposes. Accordingly, a supply by way of lease, licence or similar arrangement, of the use or right to use these rights also constitutes a supply of real property for GST/HST purposes.

Density rights

70. Density rights, on the other hand, relate to the ability to construct buildings of a particular height or "density" and are matters of municipal regulatory control. A supply of density rights does not constitute a supply of real property.

Words and Phrases
air rights density rights