Housing Secretariat
Acquisition Program Application
Housing Sustainability and Investment Roadmap
Contact Us
Justin Lewis, Director
Email [email protected]
The Affordable Housing Acquisition Plan is a two-year pilot initiative launched by the City of Hamilton to maintain and preserve the supply of affordable rental housing across the city. It aims to support non-profit and co-operative housing providers in acquiring existing rental properties that can be preserved and used as permanently affordable homes.
The Plan provides a package of financial and administrative incentives to reduce barriers for non-profit and co-operative housing organizations to purchase rental properties, with the intent of maintaining affordable housing options. This aligns with the Initiative #3 outlined in the Housing Sustainability & Investment Roadmap and supports the City’s efforts to respond to housing affordability challenges facing residents.
- Is the proponent a Non-Profit, Charitable, and/or have Indigenous organization status (including Non-Profit housing Co-operatives) with an existing agreement with the City of Hamilton’s Housing Services Division? Or is the proponent a tenant-led acquisition or co-op conversion?
- A Non-Profit is defined as an organization, where no part of its income is payable to, or otherwise available for, the personal benefit of a member or shareholder thereof.
- Does the proponent intent to own and operate the housing units that are to be acquired.
- Does the proponent have the financial capability to contribute a minimum of 10% of the purchase price?
- Does the proponent have demonstrated experience of acquiring and operating affordable rental housing?
- Does the organization have demonstrated capacity to manage real estate financial portfolios for multiple properties as well as a robust property management plan?
- Is this application for an existing rental building being sold?
- Is the rent range of the units to be acquired below 125% average market rents?
- Will rents of existing tenants increase annually by no more than the province’s annual rent guideline increase?
- Will the rents be maintained below 125% average market rent for a minimum of 99 years?
- Based on the proposed rents, will the proponent be able to meet all operating costs and contribute to capital reserves? Regardless of whether the rent increase guideline under the Residential Tenancies Act, 2006 or any successor legislation applies to the Project, the rent increase guideline shall apply under the Program.
Successful proponents must score a minimum of 75 points to qualify, and all awards will be based on available funding.
| Qualification | Points |
|---|---|
| Acquisition and Renovation Qualifications Profile of the experience and/or capacity to acquire an eligible property | 20 |
| Management Qualifications Profile of management experience in operating affordable rental housing in the long term | 20 |
| Corporate Financial Viability Organization must be financially sound and viable with experience and/or capability to retain, develop and acquire and eligible property. | 10 |
| Financial Plan and Budget Financial understanding of all costs involved in buying and renovating the proposed building, how the organization can successfully secure financing, and justify the City’s financial contribution. | 10 |
| Property Acquisition Plan Understanding of the steps for acquiring and renovating the type of building proposing to acquire. | 20 |
| Tenant and Community Impact Plan Understanding of the day-to-day management of an existing tenanted building and the impact on tenants and neighbors of new non-profit management and building renovation work. | 10 |
| Indigenous Organization Status of being an Indigenous organization or, if not, a significantly partner with one or providing specific housing benefits to Indigenous communities. | 10 |
| Total Points | 100 |
Before starting your application
Please ensure that you have all of the required information listed below prior to starting the application.
Letter from proponent’s financial institution or accountant
Articles of Incorporation or Letters Patent
Resume and qualification of project team
Audited Financial statement
Tax return and Notice of assessment
Capital budget form
Proof of financial contributions
Operating Pro forma (that includes a 10 Year Capital plan)
Zoning and Environmental reviews; property tax information
Building condition assessment
Property appraisal; Project schedule
Renovation plan, Management Plan, and Tenant and Community Impact plan
Evidence of Indigenous organization status and a Renovation impact plan, if applicable.
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