TORONTO — Tapestry Community Capital says housing groups across Canada are aiming to raise $110 million through community bonds to secure affordable living options.
It says at least 11 charitable, non-profit, and co-operative housing providers will be using the funding model to create or preserve more than 3,000 housing units.
Community bonds pay out interest and eventually return the initial capital in the same way as more conventional bonds — but the money is directed to social projects, and the not-for-profit entity that initiates one is responsible for the guarantee.
Tapestry, a national non-profit, is helping co-ordinate the funding efforts with financial support through Canada Mortgage and Housing Corp.’s Housing Supply Challenge.
The $110 million the groups are trying to raise is on top of the $9 million Tapestry is already helping four groups fund including the Kensington Market Community Land Trust in Toronto and Propolis Housing Cooperative in Kamloops, B.C.
Tapestry says the funding efforts come as affordable housing options become harder to find and high financing costs make new rental supply harder to build.
This report by The Canadian Press was first published Aug. 12, 2024.
