Photo by Wiktor Karkocha on Unsplash
The False Creek South Neighbourhood Association has received funding from the Real Estate Foundation of BC and BC Housing, and in-kind support from the Co-operative Housing Federation of BC, to explore the idea of a Community Housing Trust (CHT) in False Creek South.
What is a community housing trust?
A CHT is a non-profit entity that exists to provide both affordable housing (in most cases in perpetuity), and long-term stability. Usually governed by a board representing various community and funder interests, a Trust is based on a community’s needs and the opportunities to address them.
A Trust can include rental, co-op and affordable ownership housing, as well as amenities such as child care spaces, parkland, commercial property and/or educational services for the residents. It can build new housing or renovate. It can start small with one project and, building on the success of that project, bring other housing into the Trust. In general, in all housing forms including ownership housing, its focus is on low to moderate income households.
In the case of ownership housing within a Housing Trust, the cap on equity gain is fettered. This means that the owner buys the house for below market value and, when it becomes time to sell, the owner shares any increase in equity with the Trust based on an established formula. This ensures that the next owner also buys at below market value, keeping the affordability for all future owners.
While the Housing Trust model was first developed in the U. S. state of Georgia, it has since spread to other parts of the U.S. as well as Canada, Europe and Australia. For example, the Co-operative Housing Federation of BC (CHFBC) administers several Trusts in Vancouver and will administer more once construction is completed. Many CHFBC Housing Trusts are on land leased for $1 from the City. This housing provides co-op and rental housing, with much of the rental below market rates, as well as housing specific to certain populations, such as seniors, or people with disabilities.
Should False Creek South consider a Housing Trust?
This is the topic to be tackled through the grant, which will examine questions such as:
- What are the pros and cons of a Housing Trust in False Creek South vs the current City arrangement?
- What housing would make-up the Trust and how would it be administered and governed?
- What would a Trust mean for residents of buildings inside the Trust?
- What are the advantages and disadvantages of joining with an existing Trust – or would it be better to form a new one?
- Would it be more feasible to form a Housing Trust only from new builds in FCS on the unoccupied lands on the edge of the Creek?
The False Creek South CHT project has begun interviewing potential partners and those with knowledge of housing trusts. It will then design a process to reach out to residents, both to inform and encourage feedback and ideas. This will help determine the level of community support and the feasibility of incorporating a CHT in our neighbourhood. The results will be captured in a final report back to the community.
– Kathryn Woodward (Market Hill)