B.C.’s Coquitlam co-op purchase applauded by housing federation

The head of the Co-operative Housing Federation of BC (CHF BC) says the province’s purchase of 290 units in Coquitlam is “groundbreaking” and takes a huge weight off the shoulders of the people who live there.

Thom Armstrong, CEO of the federation, says residents at the Tri-Branch and Garden Court co-ops have been in limbo for months, with the buildings reaching the end of their 41-year leases in October 2022, and the co-ops in lease payment arrears since then.

“The 290 households of these two housing co-ops have lived with the anxiety and the insecurity of just not knowing whether their homes are going to be sold out from under them for the better part of two years — that takes a toll on people,” Armstrong told CityNews Thursday, after the province’s announcement.

Premier David Eby said earlier in the day that the province was putting up $71 million through the Rental Protection Fund to help buy the buildings, with the Community Land Trust acquiring the properties.

This, he said, marked the first purchases to be completed under the $500-million fund.

“Far too many renters live in fear that their homes will be sold out from under them,” Eby added. “That’s why we created the Rental Protection Fund to defend people’s homes against profit-seeking speculators like big real estate investment corporations and preserve safe, secure, and affordable homes for generations to come.”

The Community Land Trust is a social-purpose non-profit organization that was established by the CHF BC in 1993.

Armstrong says the Coquitlam purchases are a key investment to stop exactly what the premier outlined. He adds while some tenants may see their rent go up, it’s all weighted according to their incomes so no one is paying more than 30 per cent of their paycheck for housing.

“The concern of the Community Land Trust was to make sure that any increases that had to be introduced after the purchase were still affordable to the members,” he said.

He says the contribution from the Rental Protection Fund means the CLT won’t have to borrow as much as it would have needed to to buy the buildings.

“And we’ll be able to keep rents at a very affordable level for the members and avoid anyone having to leave the co-op because they can’t afford the rent,” Armstrong added.

The Tri-Branch and Garden Court co-ops were created in 1981. Armstrong says the popularity of co-ops goes beyond their affordability compared to other housing options.

“Co-ops are known not just for affordable shelter but they’re known for the kinds of communities that they create. Diverse, supportive communities where people support each other, they work together on the governance of their communities. That creates bonds between people that aren’t always evident in a rental or ownership situation. So it is affordability, it’s security, but it’s also very much community,” he said.

“The most affordable housing we have is the housing we already got,” said Katie Maslechko, CEO of the Rental Protection Fund. “And preserving the existing rental units is one of fastest and impactful ways to address the housing crisis.”

Julianne Cressman, president of the Tri-Branch Housing Co-Operative Association, says residents are relieved their building didn’t get sold to a developer.

“People may not understand how big of an announcement this is, but this impacts hundreds of people here between the two housing co-ops,” said Cressman.

Many residents of the building are sharing their relief after finding out they still have a home.

“We were supposed to be out of here and everyone was very nervous,” one resident told CityNews. “But when this came across, we were so happy.”

“It’s very hard to find housing,” another resident said. “My plan B is I would have moved back to Alberta with my family.”

Rent is assessed based on the tenant’s income.

Meanwhile, though the province’s move is being applauded by some, others are critical about the speed at which the government is moving on the affordable housing file.

BC Green Party Leader Sonia Furstenau said in a social media post Thursday afternoon that while she feels “the Rental Protection Fund is an important measure to protect affordable housing” in B.C., “it lacks the scale and urgency British Columbians need from their government.”

“In the year it took for this fund to start operating, how many affordable homes were lost? How many more will we need to lose before the province does the right thing: regulating REITs and addressing no-fault evictions?” she asked on X.

-With files from Charlie Carey and Angela Bower.