MONTRÉAL, July 9, 2020 /CNW Telbec/ - The Fonds immobilier de solidarité FTQ is pleased to announce an additional investment of $15 million in the Fonds d'acquisition de Montréal (FAM), bringing the fund's budget for the construction of community housing in Greater Montréal to $25 million.
Created in 2007, the Fonds d'acquisition de Montréal extends temporary financing to housing co-ops and non-profit organizations (NPO) so they can acquire land or buildings pending long-term funding from the government. The social economy organization Bâtir son quartier coordinates the development of the projects.
Created by the Fonds immobilier, in collaboration with Bâtir son quartier, the FAM has invested close to $29.5 million to purchase 36 buildings or lots, which ultimately led to the development of 1,039 community housing units valued at more than $196 million.
As an example, thanks to the fund, NPO L'Avenue hébergement communautaire was able acquire properties that were used for two projects encompassing 56 housing units, administrative offices for the organization and community space. The organization supports young men and women 18 to 30 years of age who are homeless or at risk of homelessness. Aside from offering a safe and warm place to stay, the NPO also gives young adults a chance to improve their living conditions and break out of isolation. Residents benefit from a range of services to help them get off the street and successfully integrate into society.
With this new investment, the Fonds immobilier is meeting growing needs, particularly during this pandemic, when housing is critically important for modest-income or vulnerable households. Four projects are currently in development and have applied for a loan from the FAM:
- A 30-room project in the Rosemont – La Petite-Patrie borough for the re-integration of men and women into the community.
- A 350-unit project, of which more than 50% are for seniors in Pointe-aux-Trembles.
- A 166-unit project in Montréal-Nord, one of the neighbourhoods hardest hit by COVID-19.
- A 191-unit mixed project aimed primarily at families in Longueuil.
"This additional injection of funds to support the projects of the Fonds d'acquisition de Montréal is all the more relevant during this pandemic and given the shortage of affordable housing in Montréal. It will also encourage social diversity and cohesion and help maintain affordable quality housing in the city. We're glad we can rely on the social and community housing expertise of Bâtir son quartier, which has managed this fund since the beginning."
– Normand Bélanger, President and CEO,
Fonds immobilier de solidarité FTQ
"We're thankful to be able to count on the steadfast support of the Fonds immobilier in carrying out our mission. More than ever, social and community housing is meeting a pressing need. In Montréal alone, there are close to 87,000 modest-income households that spend more than 50% of their income on rent. This additional capital will give us the agility to quickly seize opportunities in the real estate market."
– Édith Cyr, Managing Director,
Bâtir son quartier
Fonds immobilier de solidarité FTQ, a socially responsible investor
In the past 20 years, the Fonds immobilier has invested $115 million in social, community and affordable housing projects, resulting in 5,192 units built or renovated.
For example, in 2017 the Fonds immobilier and the Lucie and André Chagnon Foundation granted a $9.6 million long-term loan to the NPO Gérer son quartier, an organization linked to Bâtir son quartier, allowing it to acquire Les habitations Le Domaine, a residential complex in Montréal's Mercier-Hochelaga-Maisonneuve borough. This acquisition allowed the NPO to renovate the units while keeping rents affordable for modest-income households. The Caisse d'économie Desjardins des Travailleuses et Travailleurs unis provided the mortgage, which was insured by the Canada Mortgage and Housing Corporation (CMHC), for this project.
Les habitations Le Domaine in brief:
- Real estate complex consisting of 726 affordable units in 111 buildings.
- More than 1,500 residents.
- 110 units subsidized by the Office municipal d'habitation de Montréal.
- Rents are an average of 76% of the median rent in Montréal.
- Renovation costs are estimated at $13 million over 10 years for, among other things, windows, roofing, kitchens and bathrooms.
- Over 75% of the units have two or three bedrooms, an ideal size for families.
About the Fonds d'acquisition de Montréal (FAM)
The Fonds d'acquisition de Montréal is an investment fund that provides loans to purchase land or buildings for community housing while awaiting long-term funding (AccèsLogis). Projects are overseen by the Groupe de ressources techniques (GRT) Bâtir son quartier.
About Bâtir son quartier
Bâtir son quartier is a social economy organization that coordinates the development of community housing and real estate projects in order to create supportive living environments for low- and modest-income households. Since its first initiative in 1976, Bâtir son quartier has completed more than 446 non-profit or cooperative projects for a total of more than 14,000 housing units in Greater Montreal, as well as numerous day care centres, community centres and facilities for social economy organizations. www.batirsonquartier.com
About the Fonds immobilier de solidarité FTQ
Created in 1991, the Fonds immobilier de solidarité FTQ drives economic growth and employment in Québec by strategically investing in profitable and socially responsible real estate projects in partnership with other industry leaders. The Fonds immobilier backs residential, office, commercial, institutional and industrial projects of all sizes across Québec. At May 31, 2019, the Fonds immobilier had 58 projects worth $3.7 billion in progress Will Create 30,000 Jobs, 80 properties under management assets as, 1.3 million square feet of land for development and $115 million allocated to affordable, social and community housing.
SOURCE Fonds de solidarité FTQ
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