Condo board holding reno hostage using a section 98 agreement on an entirely interior modification
I own a downtown Toronto 2-bed condo and am doing a full gut reno. I plan to re-partition interior drywall entirely within my unit - combining two existing closets into a larger space that could be used as a walk-in closet or den. The board requested a city permit, which I got.
Now, the board is refusing to approve the reno unless I sign a section 98 agreement, which they say is triggered because the drywall is anchored to the concrete ceiling, which is a common element. In the section 98 agreement, they are trying to force me to put restrictions on how my private space could be used or marketed (e.g. can't be used as a "den" or "bedroom"), in perpetuity, on title. I see this as abuse of what section 98 is designed for, and an over-reach by the board.
Looking for advice on how to approach this - the board is absolutely not willing to budge, but I also don't want to put such a restriction on title. I am willing to sue, but looking for the quickest way to handle it.