With the affordable housing crisis growing and so-called renovictions on the rise, over 54 units in downtown Galt are under threat of being flipped from affordable to unobtainable.
Tenants of the Tiger Lofts at 35 Water St. S have been living under the constant fear they will be kicked out of their units and end up on the street.
"This really is a terrible situation to live through, months on end of not knowing if we are losing our homes, no communication about what is happening, what solutions are being considered, or who will even let us know more," said Sara Maxim, a long-time resident of the Tiger Lofts.
In June 2022, tenants at the loft were sent a text message saying they needed to agree to end their tenancy by signing an N11 form. They were told they would receive a $10,000 cheque to be out by October of this year.
With that deadline less than eight months away and little communication from the owner of the building, residents feel like they are in limbo and are unsure of their future.
Many people living in the building rely on Ontario Works (OW), the Ontario Disability Support Program (ODSP) and other financial resources to help pay rent and other bills.
The residents were offered a ultimatum, sign the N11 and receive a big cheque or don't sign and get nothing. In both scenarios the tenants were told they would lose their affordable units, Maxim said.
That move would break a 2008 agreement with the owner that saw more than $2.5 million flow to the owner from multiple levels of government to help them transform it into affordable housing units. That agreement is supposed to run until 2028, according to the Region of Waterloo.
Now that the region, which made a commitment last year to provide up to 2,500 affordable housing units over the next five years, sees the potential of losing 54 of these in-demand living spaces, it's taking the situation very seriously, said Jennifer Murdoch, the region's housing manager.
She has been in constant contact with Tiger Lofts owner, Lancer Tiger Corp and its president, James Griesbaum.
The region has reminded Griesbaum repeatedly of Lancer Tiger Corp's commitment to keeping those units affordable until 2028.
"We are aware of the situation at the Tiger Lofts and have been in touch with tenants as well as the property owners," said Murdoch. "We understand their fear, but also provided them with legal consultation on their rights."
Murdoch said, unless the tenants sign the N11 form that relinquishes occupancy back to the landlord, they do not have to leave.
Even if given an N13 that will remove the tenant for renovations, the tenant has the right to move back in.
"Because these units are rent controlled, they can only be increased by a certain percentage each year, so they won't have to come back to ridiculous priced units," added Murdoch.
Griesbaum declined to comment on the situation after receiving a call from CambridgeToday.
Murdoch adds that at the 15 year mark of the 20 year agreement, the property owner can charge whatever they want for vacant units, taking them off the market from an affordable housing standpoint.
October 31, 2023 marks 15 years since the agreement was first signed.
A few residents have signed the N11 in order to get their cheque, but according to Maxim and other residents, no money has been given to those who have signed.
According to Landlord Tenant Board documents obtained by CambridgeToday, Tiger Lofts has successfully evicted three residents in the past two years.
Maxim claims those units are still vacant and has heard from the superintendent that they do not plan on renting them until they can charge full price.
"There are three units we are urging the property owner to fill," confirmed Murdoch. "We have a very long list of people who could absolutely use that space."
Maxim wants to see the property owner held accountable to provide affordable housing, especially knowing they were given public funding to build these units.
Sean Campbell, executive director for Union Co-operative, has been seeing a rise in affordable housing buildings coming up on their end of life agreements with the region. Union Co-op tries to buy these buildings to keep them affordable.
"There's a potential for a lot of loss for buildings like these across our region," Campbell said. "The allowance for rent on ODSP or Ontario works is close to $800; a two-bedroom apartment in Kitchener goes for over $2,000. Where will these people go if they have to leave?"
Campbell thinks co-ops like Union need to work with the region and the province to extend these agreements beyond the standard 20 years.
"In some places in Toronto, they are asking for 99 years and for a non-profit what's 100 years?," he added.
With the October date fast approaching, the residents feel left in the dark, not sure if they will end up on the street or in an apartment they know they cannot afford.
"All I can do is email the region and hope they share information because the property manager will not," Maxim said.
"We're left with whatever tidbits we can glean from what the super tells people, but can't trust that the information she provides is correct."
