Above-Guideline Increase (AGI)
High RiskA rent increase larger than the annual guideline that a landlord may charge only with approval from the tenancy tribunal, typically to recover major capital or cost increases.
In Plain English
An above-guideline increase is when a landlord wants to raise your rent by more than the yearly cap. They can't just do it — in rent-controlled provinces they have to apply to the tribunal and prove costs like major repairs or big tax increases. You get notice and a chance to dispute it, and you shouldn't pay the extra amount unless and until it's approved.
Why It Matters for Tenants
AGIs can push rent up well beyond the guideline, sometimes for years. Knowing that they require approval — and that you can participate in the hearing and object — is often the difference between a fair increase and an unjustified one.
Risk Level
High risk because the financial impact is large and ongoing. Tenants who don't realize an AGI needs approval sometimes pay increases that were never authorized.
Example Clause
The Landlord has applied to the Board for an increase above the guideline of an additional 3% based on eligible capital expenditures. This increase is not payable unless and until ordered by the Board.
This is a representative example for educational purposes. Actual lease language varies.
Common Mistakes Tenants Make
- Paying an above-guideline amount before the tribunal has approved it
- Not participating in the hearing where you can dispute the landlord's costs
- Assuming the full requested increase is automatic — the tribunal often grants less
Provincial and State Variations
Ontario landlords must apply to the Landlord and Tenant Board for an AGI, usually for capital work, security costs, or municipal tax hikes. BC and Manitoba have their own limited above-guideline processes. Alberta, Saskatchewan, New Brunswick, and Newfoundland have no rent cap, so there's no AGI concept. Post-2018 Ontario units are exempt from the guideline entirely.