Nearly 300 Coquitlam co-op homes acquired through Rental Protection Fund

Nearly 300 co-op homes in Coquitlam acquired through Rental Protection Fund

Tri-Branch Co-op at 2860 Packard Avenue, Coquitlam. (Google Maps)

The Rental Protection Fund (RPF) of British Columbia has announced its very first acquisitions to protect and retain existing affordable housing supply.

The fund is providing up to $71 million towards the not-for-profit Community Land Trust (CLT) of BC towards acquiring two Coquitlam co-operative complexes — the 169 homes at the 1982-built Tri-Branch Co-op at 2860 Packard Avenue, and the 121 homes at Garden Court Co-op at the neighbouring 1982-built 2865 Packard Avenue.

The City of Coquitlam is also contributing $5.8 million towards the acquisitions.

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The RPF will fund up to $224,000 per home towards the acquisition costs, and up to $22,000 per home for renewal costs to extend the lifespan of the buildings.

In total, both complexes with a combined total of 290 co-operative homes are being acquired for $125 million.

The RPF itself is overseen by an arms-length non-profit society comprising the BC Non-Profit Housing Association, Cooperative Housing Federation of BC, and Aboriginal Housing Management Association. It has $500 million in funding from the provincial government, which created the entity.

The purpose of the fund is to protect aging affordable housing properties from being acquired for for-profit speculative purposes that lead to renovictions or redevelopments into more expensive housing.

Both Coquitlam co-operatives are on a 41-year land lease that expired in October 2022. According to the provincial government, after the lease expired, both properties were in lease-payment arrears and had incurred debt, which put the co-operatives’ future at risk.

tri-branch co-op 2860 packard avenue garden court co-op 2865 packard avenue coquitlam

Location of Tri-Branch Co-op at 2860 Packard Avenue and Garden Court Co-op at 2865 Packard Avenue, Coquitlam. (BC Assessment)

“Far too many renters live in fear that their homes will be sold out from under them. 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,” said Premier David Eby in a statement.

Ravi Kahlon, the BC minister of housing, added, “In the midst of a housing crisis, it is critical to preserve these affordable homes for the seniors, families and individuals who have made these co-ops their community.”

Under CLT, the households of the co-operatives will not see their housing costs exceed 30% of their incomes, which balances affordability considerations and ensures the co-operative can recover building operational and maintenance costs.

According to the RPF, it has already approved funding to preserve nearly 700 affordable homes across the province, which leverages over $150 million in private capital investment. These approvals will be formally announced in the coming months.

Additionally, over 2,000 existing affordable homes are in the process of being considered for funding. The RPF received nearly 100 applications in less than six months since launching applications last year.

The RPF states it is easier and less costly to protect existing affordable housing than to build new ones. Over the coming year, over $1 billion could be spent to protect existing properties.

“The impact of the Rental Protection Fund can already be seen and felt – and these are just the first of thousands of homes that will grow our community housing sector, while freeing up capital that can be redeployed into new supply,” said Katie Maslechko, CEO of the Rental Protection Fund.

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