Can I increase rents in rent control areas?

[Jordan Salter]

Hey Everyone,

The 1st property I bought 3 years ago was a 4plex in Ontario canada. This property has increased in value substantially with the small rehab and great appreciation. I am looking to increase the gross rents on the units that are under market rents. 

However, in Ontario in 2018 I can only increase rent 1.8%. If the tenants are not on leases because they have been in the units since I bought the building, am I allowed to bring a lease to them that states the new rent is increasing from $558 to $650? If they choose not to sign then can I ask them to leave? Or, does the 1.8% apply to tenants who are not on leases as well. Is there any way around this? Should I be offering a buyout to ask her to leave? Then I could renovate and list it for about $650-675. 

I even though the deal has been a homerun, I am feeling stressed about this decision/my options. 

I am sure many of you experts have gone through this, please comment! 

Thank you!! 

Jordan