Montréal, December 4, 2014 – Low- and modest-income families in Québec, marginalized individuals, troubled youths, seniors and persons living alone or suffering from a handicap will be able to continue to count on social and economic actors committed to ensuring that all citizens have access to safe, affordable housing. The Association des groupes de ressources techniques du Québec (AGRTQ) and the Fonds immobilier de solidarité FTQ have strengthened their partnership with the establishment of a $15 million community housing fund called the Fonds d’acquisition québécois.
Funded by the Fonds immobilier de solidarité FTQ, the Fonds d’acquisition québécois will provide community housing agencies with temporary loans for the development of a real state project. The funds will be used to purchase land for the construction of affordable community housing or a building to be renovated for the same purpose. “Groups devoted to community housing projects have a really tough time finding land and buildings. The Fonds d’aqcuisition québécois will allow them to seize buying opportunities while waiting for complete funding. This fund is an essential tool for many housing projects,” said AGRTQ president Édith Cyr.
Because it can take up to a year to coordinate with all the actors involved in social housing programs before a project can be officially launched, the Fonds immobilier de solidarité FTQ was receptive to AGRTQ’s request for assistance in 2009 and created a first fund, followed by a second four years later. Today, it took another step by strengthening its partnership over the longer term with the AGRTQ and its 24 members, known as Groupes de ressources techniques (GRT) [Technical Resource Groups], by providing larger loans of up to $5.25 million for community housing projects. “We are grateful to the Fonds immobilier for its steadfast support of our mission to help low- and modest-income families and for increasing funding availability,” continued Ms. Cyr.
“The Fonds immobilier has been investing in social and community projects for more than 15 years. We do so by investing in different financial vehicles, always with the same goal in mind: to contribute to the well-being of low- or modest-income households while revitalizing neighbourhoods and creating jobs. Today, we are earmarking over $50 million for this sector,” said Normand Bélanger, President and Chief Executive Officer of the Fonds immobilier de solidarité FTQ.
“We are again placing our trust in the AGRTQ and its GRT network because their achievements. The network has 16 projects completed or underway across Québec, totalling 434 community housing units and an aggregate value of $69 million. We are committing these funds so that hundreds more households can benefit from a safe, quality place to live at an affordable price. The success of these projects does not depend only on the money invested by also on the contribution of the men and women working in community, financial, social, health or educational services. I commend them for their work and dedication,” added Mr. Bélanger.
Maison TAPAJEURS, a new community housing project for youth reintegration into the workforce
Thanks to a loan from the new Fonds d’acquisition Québécois, the NPO Spectre de rue are poised to purchase the building at 803-807 Ontario Street East, at the intersection of Saint-Hubert Street in Montréal. The property will be converted into 22 rooms with services and common areas and will be reserved for young people between the age of 18 and 30 in the process of reintegrating into the workforce. The conversion will require the addition of a third floor, while the ground floor will retain its commercial vocation, housing the offices of Spectre de rue and the coopérative Le Milieu. The project falls under the ACCÈSLOGIS program administered by Société d’habitation du Québec.
Called Maison TAPAJEURS, the project will rely on the technical know-how of Groupe de ressources techniques Atelier habitation Montréal, an organization that has so far renovated and built 187 properties slated for community housing. The Ville-Marie borough will also provide support, as will architect Ron Rayside, whose expertise is well known in this field. “We are very lucky to be able to count on various sources of funding for such projects. The future tenants of Maison TAPAJEURS will be selected from among the participants in the TAPAJ pre-employment program, whose goal is to help improve the living conditions of vulnerable persons by finding them paid work and providing psychosocial support,” said Gilles Beauregard, the general manager of Spectre de rue, the organization behind the Maison TAPAJEURS project.
About the Fonds immobilier de solidarité FTQ
Created in 1991, the Fonds immobilier de solidarité FTQ promotes 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, 2014, the Fonds immobilier had 30 projects in progress, 30 properties under management, 18 million square feet of land and $53 million invested in affordable, social and community housing. Visit fondsimmobilierftq.com.
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Information:
Josée Lagacé
Director, Communications and Marketing
Fonds immobilier de solidarité FTQ
Phone:514 847-5710
Mobile:514 707-5180
Email: jlagace@fondsimmobilierftq.com
Violaine Ouellette, Communications
Association des groupes de ressources techniques du Québec
Phone :514 849-8547
Celulaire : 514 605-7877
Email : violaine.ouellette@agrtq.qc.ca
Fonds d’acquisition québécois Fact Sheet
Eligibility for FAQ-funded projects
The housing agency must:
- Have a valid offer to purchase
- Supply an environmental assessment
- Supply a market appraisal from an accredited appraiser
- Present a credible financial arrangement from a bank or another purveyor of funds
- Demonstrate that the project is supported by all the stakeholders
Loan conditions
- Loan secured by a first mortgage
- Interest rate equal to the 10-year Canada bond rate + 2%
- Management fee equal to 1% of the loan
- The maximum amount of the loan is less than or equal to the project’s market value
- The loan may not exceed $5,250,000
- The loan, plus accrued interest and costs, must be repaid once the subsidy is obtained from the public program
- The maximum term for the loan is 24 months
- The FAQ will exercise its mortgage right in the event of default
Some achievements since 2009:
- Tremplin Autonomie of the Organisme Alliance Jeunesse (Phase 2) in Lévy: A 14-unit building for troubled youths in transition.
- Maison du Goéland in St-Constant: 17 supportive housing units for individuals with mental health problems.
- Habitations sans frontières in Québec City: 48 dwellings for low- and modest-income families and individuals that promote social and cultural inclusion.
Since its inception, the Fonds d’acquisition québécois has granted over $14.4 million in temporary loans for the purchase or land or buildings slated for community housing, allowing the AGRTQ to carry out 16 projects with total value of $69 million.