A review of the property boundary files of the city of Toronto indicates there are approximately 300,000 properties of a size that could hold a 4 unit multiplex. Assuming approximately ten per cent would be feasible in the short to medium term means that if this was all built out there would be about 120,000 more dwelling units in the city which could house on the order of 250,000 people. This should put something of a dent in the demand/supply ratio.
Below is a map of all the properties in Toronto with a frontage of between 9 meters and 20 meters and a depth between 30 meters and 60 meters, coloured by frontage.