Ottawa Community Land Trust launches a community bonds campaign

A new way forward in preserving affordable housing

Charlie Wood

As every tenant, landlord, or homeowner could tell you, Sandy Hill and the Ottawa region are facing an ever-growing housing crisis. Across the city, for every one unit of affordable housing built each year, 31 affordable units in the private market (renting for under $1000 / month) are lost (Canadian Housing Evidence Collaborative). Affordable housing communities on leased land face uncertain futures if landowners choose not to renew a lease. Retaining affordable housing in Sandy Hill is as difficult as elsewhere. Co-ops on leased land could be at-risk, and housing affordable to students and families could be lost to renovictions or demolition, compelling residents to seek new places to call home.

This imbalance highlights the need for sustainable solutions to ensure residents can continue to live and thrive in their community.

One such solution involves the preservation of affordable housing in perpetuity: that is, transferring land from the market to community ownership through community land trusts. Community land trusts are non-profit organizations that acquire and manage land to ensure it remains affordable for renters.

The Ottawa Community Land Trust (OCLT) is the first and only one of its kind in the city. OCLT is committed to expanding affordability in the Ottawa rental market. It acquired its first residential property, a six-unit apartment building in Ottawa’s Carlington neighbourhood, in October of 2023. Preserving this property was possible with the help of a generous anonymous gift, a grant from the City of Ottawa, and a one-year line of credit.

On May 21, 2024, OCLT launched the Housing Forever community bonds campaign. In addition to paying off the line of credit for its Carlington property, funds raised will allow OCLT to expand their impact by acquiring two additional properties.

Community bonds are a finance tool often used by charities, non-profits and cooperatives to finance initiatives with social and environmental impact.

These bonds are similar to traditional bonds and are invested for a set rate at a set term. However, instead of loaning your money to a company, you’re investing in local projects that benefit the community. You earn a return while creating wealth in your community, fostering ownership and connection to your area.

Sandy Hill Housing Co-op is investing in Ottawa Community Land Trust

The OCLT Housing Forever Bonds campaign has set a campaign goal of $1.7 million. In a very short time, the community has stepped up. One of those generous first investors was the Sandy Hill Housing Co-op with a $100,000 investment. Co-op resident and organizer Stuart Hammond reflected on the value of the bonds: “Homeowners in Sandy Hill who are concerned with what’s happening to the neighbourhood, thinking long term, know that making Sandy Hill a more vibrant, safer, and more affordable place to live, will be a good thing.”

Community bonds allow local citizens to actively influence their community’s development while simultaneously generating returns on their investment. An investment in OCLT’s Housing Forever Bonds is an investment in the future of Ottawa, creating wealth in the community while addressing one of Canada’s biggest issues head-on.

For more information, please visit: https://www.oclt.ca/invest/.  Or contact invest@oclt.ca