In Canada, all of the proviences adopt NFPA 13 and NFPA 13R. Read them. You must provide automatic sprinkler protection (not portable fire extinguishers) above the space on the 1st floor. It is a combustible space and the space of the 1st floor is residential.
You cannot get around the fire protection requirement unless the Canadian Building Code has some exception. I don't have a CBC.
If you are having problems applying the construction codes, seek professional design assistance from a licensed fire protection engineer.