Actually, Montreal is worth checking out as well - from both a quality of life and start up point of view. Culturally, it's a remarkable place to live, and in terms of starting a company, there is a wide base of both talent and angel/seed/VC money at play here. Other areas I would consider are Waterloo (more suburban but close to UWaterloo and RIM, which are Canada's two best talent pools) and Ottawa (also a great place to live and experience Canada at its best).