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As a word, “renoviction” might be the new-ish kid on the street, but back in 2021, on one particular block in the heart of Kensington Market in Toronto, it screamed from a banner hanging on the front of the red brick Mona Lisa building at 54-56 Kensington Ave.—STOP RENO-VICTIONS!
Tenants of the iconic low-income building (named for the Peter Matyas mural on the side) had received alarming and, it turned out, illegal eviction notices. So a powerful organization of residents, local volunteers, and the nascent Kensington Market Community Land Trust (KMCLT) came out swinging. Supported by city councillor Mike Layton, the KMCLT received a $3 million grant from the City of Toronto. With roughly $3.5 million in additional mortgage financing, the group purchased the building for the community. It features 12 residential units and five retail spaces, now with affordable and stable rents.
It was a hard-fought victory but only the beginning for KMCLT, which incorporated as a non-profit in 2017 and is overseen by two full-time staff, a nine-person board of directors, hundreds of members, and an army of volunteers.
Earlier this year, it launched a creative fundraising model as its latest salvo in the battle against real estate development that has created a housing crisis for many Torontonians. In Kensington, the goal is to enable the community’s vulnerable residents to stay in place, while at the same time protecting one of the city’s most loved areas. The district, which is always humming with activity, serves as a walkable community hub for downtown residents and students, and is imbued with a sustainable ethos, with its thrift shops, butchers, bakers, green grocers, a local brewery, and lots of unique cafes and restaurants.
In March, the KMCLT began selling Community Bonds to build an acquisition fund for the purchase of another property in or near the vibrant neighbourhood. The community will use the funds to develop and steward their second building with affordable residential units that could also include mixed-use space (residential and retail). The fundraising target is $2 million plus donations and government money for a purchase this fall, but “as soon as we have enough and there’s an opportunity, we will jump,” says Dominique Russell, co-chair of the Land Trust, and a community organizer, housing activist, teacher, and writer.
Leveraging a community of supporters to raise money rather than through conventional financing is not uncommon among housing organizations. Land trusts typically exist to acquire land for the purpose of conservation. Community Land Trusts like the KMCLT, the Parkdale Neighbourhood Land Trust, the Toronto Chinatown Land Trust and others focus on acquiring and developing properties for the benefit of local communities and, more recently, mobilizing in the face of gentrification pressure.
“Any renter is at the risk of the temptation [for an owner] to turn a place to live into money. We’re seeing the financialization of housing,” Russell says. Russell has lived in Kensington Market for more than 30 years and raised her family in the diverse community west of Spadina Rd. and north of College St. in downtown Toronto. She points to local pressures that include the rapid transition of housing into unregulated short-term rentals for summer tourists. These places, which become empty spaces in winter, push up the cost of housing. High commercial rents affect the viability of legacy businesses.
“The margins are so narrow, people are being squeezed out,” Russell says. “In a place like Kensington Market, which has this interesting multicultural history, that means we have less of a community because people are being displaced. We lose anchor points in the community in terms of creating living street culture. Social places where neighbours gather are the fruit stores, the butcher, and baker.”
The likelihood of my ever buying a home is small … I can’t do this by myself, but we can do it for each other. We can bring housing and security to each other. We can’t buy alone, but maybe we can do it collectively.
– Dominique Russell, co-chair of the Land Trust
The issue isn’t particular to Kensington, but it’s visible in this neighbourhood, which has a low-income demographic and a high percentage of renters. “We want to buy the deepest affordable building that we can find,” Russell says. (“Deeply affordable” refers to housing that is affordable to extremely low-income people.) “For those people in rooming houses, the next stop is the street. So if we don’t save those buildings, we will have more unhoused neighbours. It’s a direct line.”
“One of the things that moved me in terms of the land trust is that the likelihood of my ever buying a home is small, but the reason people are motivated to buy is that they are seeking housing stability, the market being what it is. Security of tenure is what I really wanted. For me, it was: I can’t do this by myself, but we can do it for each other. We can bring housing and security to each other. We can’t buy alone, but maybe we can do it collectively.”
Since the Community Bond Campaign kicked off this spring it has raised more than $320,000 which was used to pay off a portion of the mortgage on the first building. Three bond options are available with investment levels from $500 to $25,000, interest rates up to 4.5%, and three-, five- and seven-year terms. The funds are held in escrow by a law firm until a suitable building is acquired. Investors have the option to donate interest earned each year back to KMCLT and, once the bonds mature, they can choose to redeem their principal, reinvest in new bonds, or donate their principal to the organization.
For generations, Kensington Market has captured the hearts and imagination of visitors across Toronto and beyond. Russell hopes this affection will inspire donors to invest in its future as a unique and affordable neighbourhood. “I feel really lucky to have lived here, and I’d love to see the things that we love about it continue.”
Read about another affordable housing initiative, in Rhode Island.
