Communauté Milton Parc, Montreal

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Communauté Milton Parc, Montreal

Mismatches
Policies and regulations Local policies Governance Evictions Participatory processes
Promotion and production Self-management Self-promotion Cooperatives
Ownership and tenure Shared ownership Land ownership

Main objectives of the project

In the 1970s, residents of Milton-Parc rallied against the proposed demolition of their neighborhood, ultimately transforming it into the most extensive cooperative housing endeavor in North America. Presently, the Communauté Milton-Parc / Milton Parc Community (CMP) accommodates over 1500 individuals, structured into a federation comprising 15 housing cooperatives, 6 nonprofit housing initiatives, and a community-operated entity overseeing commercial properties. Notably, the project adopts a distinctive legal framework akin to a community land trust, safeguarding six downtown Montréal blocks from potential speculation and gentrification. Rigorous standards for resident selection prioritize households with limited incomes. Serving as a significant model for communal land ownership, Milton Parc has inspired similar radical housing initiatives worldwide, including the establishment of the Champlain Housing Trust in Vermont, now recognized as the largest community land trust in the United States.

Date

  • 1979: Implementation

Stakeholders

  • Promotor: Communauté Milton Parc

Location

Continent: North America
City: Montreal
Country/Region: Canada, Montreal

Description

The genesis of the Milton Parc project traces back to a tumultuous period in 1968 within a predominantly working-class and immigrant-inhabited district of Montréal. At that time, a real estate developer, now known as Concordia Estates Ltd., embarked on acquiring the majority of the neighborhood with plans to replace its 19th-century greystone Victorian buildings with a sprawling complex encompassing shopping centers and office towers.

Over the span of 1968 to 1979, a coalition of Milton Parc residents orchestrated a series of mobilizations, comprising protests, marches to City Hall, and the establishment of essential community services like health clinics, daycares, and food-buying cooperatives. The commencement of Phase I of the developer's project in 1972 saw some residents forcibly evicted from their dwellings, leading to various forms of resistance, including the occupation of vacant houses and a sit-in at the Concordia offices, which culminated in the arrest of 56 peaceful demonstrators.

Subsequent years witnessed sustained protests that garnered attention from the developer's financial backers, prompting some to withdraw their support. Concurrently, external factors such as the 1972 international oil crisis and preparations for the 1976 Montréal Olympics led to economic instability and inflation, diminishing the value of Concordia Estates' funding and impeding the realization of their full development plan.

In 1977, amidst a shifting political landscape with the Parti Quebecois ascending to power in Quebec's provincial government and economic turbulence prompting businesses to flee the region, Concordia Estates sought to divest the depreciating Milton Parc property. Capitalizing on their decade-long organizing experience and bolstered by political changes, Milton Parc residents rallied support from various stakeholders, including a local heritage conservation nonprofit and a newly established Technical Resource Group comprising financial consultants, lawyers, and architects.

The pivotal moment arrived in 1980 when the Canada Mortgage and Housing Corporation (CMHC) officially endorsed the residents' Action Plan, paving the way for neighborhood renovations from 1980 to 1987. The financing model hinged on CMHC's purchase of the entire Milton Parc property in 1979 for USD $4.8 million, supplemented by over USD $5 million in subsidies from the CMHC, the Quebec Government, and the City of Montréal. The remaining expenses were covered through mortgage loans, with the CMHC ensuring favorable interest rates over a 35-year period to maintain rent affordability based on original rates, inclusive of minor increases to cover expenses.

Legally, the establishment of the Communauté Milton-Parc (CMP) in 1987 introduced a novel legal framework, delineating it as a "condominium for social purposes." Under this structure, housing cooperatives and nonprofits collectively own the properties, while sharing responsibilities for maintenance and services. The CMP oversees neighborhood transformation through a community-run nonprofit, resembling a community land trust model but with collective ownership of public spaces and individual ownership of buildings by cooperatives. Strict regulations outlined in the CMP's Declaration of Co-ownership safeguard against unauthorized transactions, ensuring adherence to democratic principles and self-management within the cooperatives. This intricate legal and financial arrangement underscores the residents' commitment to preserving affordable housing and fostering community-driven development.

The CMP shares similarities with a community land trust (CLT), but there are distinct differences in ownership structures. Typically, in a CLT model, the land is solely owned by the trust. However, in Milton Parc, the CMP collectively owns the land surrounding each building, including streets and public spaces, while the cooperatives own both their buildings and the land directly underneath. Similar to a land trust, any property transaction within the CMP must adhere to strict regulations outlined in the CMP’s 'Declaration of Co-ownership,' signed by all co-ops and nonprofits in 1987. Democratic self-management is central to the cooperatives' operations, with activities required to align with the principles outlined in the CMP’s Declaration of Co-ownership.

The case of Milton Parc underscores the significance of grassroots activism in securing affordable housing. Through organized resistance and community mobilization, residents were able to challenge powerful real estate interests and shape the development trajectory of their neighborhood. By leveraging political shifts and external economic factors, they successfully negotiated for governmental support and financial assistance, ultimately establishing a sustainable model of cooperative housing. This example highlights how democratic participation and collective action can effectively address housing inequalities and empower marginalized communities to shape their living environments.

Diverse Metropolis Regulation

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Diverse Metropolis Regulation

Mismatches Diversity
Policies and regulations Local policies Planning
Promotion and production Public-private partnerships
Ownership and tenure

Main objectives of the project

Montreal, Canada, implements a new regulation to have affordable housing, the Diverse Metropolis Regulation. The main goal of the regulation is that all the projects done in “affordable zones” (a new zoning category) must reach an agreement with the city to enhance social and affordable housing. Preserving the diversity of our neighborhoods and promoting access to suitable housing for all: this is the objective set by the City of Montreal with its Regulations for a mixed metropolis.

Date

  • 2021: Implementation

Stakeholders

  • Montreal

Location

Continent: North America
Country/Region: Canada, Montreal

Description

Montreal wanted to foster more mixed communities. However, in its planning legal framework, the private initiative has a lot of power. Thus, agreements with promoters must be reached in order to have affordable housing and a diverse typology of housing units. For this reason, in 2021, they enforced a new planning regulation on certain areas of the city. Any person who carries out a project involving the addition of at least 1 dwelling and a residential surface area exceeding the threshold set in the Regulation must enter into an agreement with the City in order to contribute to the supply of social, affordable and family housing. This may be a new building, an extension or the conversion of a building.
The threshold set in the Regulation is 450 m² of added residential area (equivalent to approximately 5 housing units). However, until December 31, 2026, the threshold is temporarily increased to 1,800 m² (equivalent to approximately 20 housing units) in order to take into account the economic context. After this period, the threshold will be restored to 450 m².

Contributions are made either for social housing (any dwelling unit owned by a non-profit organization, cooperative, government or paramunicipal corporation that is intended for people with special housing needs or households with low or modest incomes) or affordable housing (dwelling unit, not necessarily owned by non-profits or municipality, for which the selling price or rent is subject to a commitment of at least a 20-year period). The percentage going into affordable housing is between 10 to 20% of the project. Then you must add the social contribution depending on the surface of land.

The affordable contribution of the project is agreed with the city and has three main ways to be fulfilled: the creation of affordable housing by the promoter; the sale of a building to the city, which can take the form of the sale of an existing rental building or vacant land; a financial contribution: the contribution varies depending on the size of the project and the sector in which it takes place. A combination of the three is also possible. In the case of social housing, a portion of land must be selled to the city or made a financial contribution.

The new regulation is an innovative way to generate mixed communities in a market-driven development scheme. Using the legal tools of planning, the municipality enhanced social housing and affordability in different typologies of buildings.

Milton Park Community

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Milton Park Community

Policies and regulations Local policies Building capacity Governance
Urban Design Services and infrastructure Regulación Técnica
Promotion and production Self-promotion
Ownership and tenure

Main objectives of the project

Date

  • 2013: Finalista

Stakeholders

  • Promotor: World Habitat

Location

Continent: North America
City: Montreal
Country/Region: Canada, Montreal

Description

Milton Park is one of the oldest and most characteristic neighbourhoods in Montreal. Located just outside the Downtown area, Milton Park was known as a vibrant neighbourhood, but the lack of maintenance caused buildings to fall into disrepair. In the 1970s, the whole neighbourhood was targeted for regeneration which would gentrify it and make it unaffordable for original residents. In response, the community mobilised to find a long-term solution and avoid evictions, resulting in the creation of the Communauté Milton Parc (Milton Park Community – CMP). With time and support, the buildings and land were bought and organised into a condominium structure governed by a Declaration of Co-Ownership involving 25 members made up of cooperatives and non-profit housing corporations. These regulations secured the tenancy for all residents, and created the largest renovated cooperative housing structure in North America.

The aim of the CMP is to collectively own, renovate and manage the buildings of the Milton Park area that were under the threat of being bought and demolished through a cooperative approach, in order to:

  • preserve the architectural value and local identity;
  • prevent speculation and safeguard affordability in the long-term; and
  • build a cohesive and mixed community.

Context

Milton Park is one of the oldest neighbourhoods in Montreal, and is located on prime land in the city centre. It is made up of approximately 150 old buildings, mostly erected at the turn of the 20th century and converted throughout the years into 600 dwellings let to a few thousand low- and middle- income residents. Milton Park was known as a vibrant neighbourhood, despite the increasingly run-down physical conditions. In the 1970s, a private developer bought 90 per cent of the area and planned to demolish the buildings and replace them with the creation of a ‘modern city’, with high-rise structures, offices and commercial buildings. Housing in the area would have become unaffordable for the original residents. In response, the community mobilised to find a long-term solution and avoid evictions. This led to the creation of the CMP that, with the help of public authorities, bought the buildings and land destined to be held in trust through a condominium structure governed by a Declaration of Co-Ownership. These regulations secured the tenancy for all those living in the housing – every tenant was handed back their home after renovations.

Key features

The CMP was created through various stages:

  • Initial social mobilisation to save the area through non-violent social activism (demonstrations, marches and building occupations) and through negotiations with the developer when faced with the threat of neighbourhood destruction.
  • Feasibility study, with the help of experts, on the possibility of buying the buildings, the legal requirements to create housing cooperatives and the evaluation of political support for the project at local, regional, and national levels.
  • Acquisition of the buildings and land by the Canada Mortgage and Housing Corporation (CMHC) in 1979, along with a commitment by the CMHC to sell the properties to the Société du Patrmoine Urbain de Montreal (SPUM). The buildings were previously all owned by the same developer and buying them en bloc safeguarded them from speculators.
  • Elaboration of an Action Plan designed to preserve the area and guarantee the right for the residents to remain.
  • Transfer of the properties in the 1980s to the Société d’Amelioration de Milton Parc (Society for the Improvement of Milton Park – SAMP) who became the temporary owner of the properties with the goal of overseeing refurbishment works and eventually transferring properties to the cooperatives.
  • Signing of the Declaration of Co-ownership. By law, the content and mission of the declaration are protected from modifications.

The structure that resulted presents the following characteristics:

  • The residents of Milton Park are organised into 15 cooperatives which comprise the members of CMP, along with six non-profit housing corporations, two community organisations, one commercial entity and a community development corporation. These residents, characterised by mixed socio-economic backgrounds and with a high proportion of low- and very low-income families, are the main beneficiaries of the project.
  • Land and buildings are held in trust, and are therefore communally owned by the members (cooperatives and non-profit housing corporations) and their overarching syndicate. All residents are tenants – not owners but ‘guardians of a common good’. The individual dwellings therefore cannot be resold. This system prevents prices and rents from being driven up, thus ensuring long-term affordability.
  • Under Quebec law, the CMP is classified as a condominium whereby the syndicate owns common spaces (such as lanes), and individual cooperatives own land beneath their buildings and semi-private spaces (e.g. gardens).
  • If a member is facing financial difficulties, the property can only be sold to another co-owner.
  • CMP is comparable to a Community Land Trust (CLT), although it differs in that in the CLT model all of the land is generally owned by the trust only, instead of being subdivided under the ownership of different members bound by an agreement. It can also be considered a very large cooperative, where the members are the housing cooperatives and non-profits rather than the individual residents.
  • Each of the 25 co-owners is responsible for the maintenance of its buildings and its internal functioning, but shares certain common services and responsibilities (e.g. information, training, insurance).
  • As members of the syndicate, each group must ensure that its activities comply with the principles of the agreement and do not infringe upon or cause damage to other members.

Covering costs

The total cost of the development was US$30 million, which was met primarily through public funds made available at all three levels of government. For the original acquisition, the total costs amounted to US$7.5 million, of which US$ 5.4million were obtained from a cross-Canada program to help tenants form cooperatives. Subsequently, the CMHC, the City of Montreal, and the Quebec Government contributed US$ 5.8 million in capital subsidy for renovation. The remaining amount (US$2.2 million for acquisition, US$10.8 million for renovation and US$4.1 million for development) was borrowed on mortgage loans. Each co-owner held a 35 year mortgage guaranteed by the CMHC, with 10-15 year renewals. The CMHC subsidised the difference between the market interest rate at the time and two per cent. Rents were therefore kept low, based on the original rent with a small increase calculated to cover the mortgage at two per cent, property taxes, maintenance, insurance and utilities.

Impact

Residents have been able to remain in the homes they occupied, which has promoted financial and social stability and continuity. Evictions for non-payment of rent have been extremely rare. The protection of the demographic mix against gentrifying forces, and the safeguarding of quality of life have all had a positive effect on Downtown Montreal, making the city centre a safe and liveable space for people, which is not the case in many North American cities.

 

Why is it innovative?

  • Community-initiated and community-driven innovation, management and governance processes, born out of mobilisation to save the neighbourhood.
  • CMP is the first project of this scale involving co-ownership by cooperatives and non-profits with land held in trust, governed by a Declaration of Co-ownership. It remains the largest cooperative housing project in North America.
  • Housing and land use are prioritised for living rather than for profit through a system that ensures long-term affordability and prevents gentrification, with the safeguarding of local heritage and inclusiveness as a common good.

 

What is the environmental impact?

  • The project involves the renovation of existing buildings rather than demolition and reconstruction, making use of existing resources and maintaining original structures where possible.
  • Improved insulation and piping has had an impact on the amount of energy and water used. Some cooperatives have initiated their own projects to reduce energy consumption, including installing solar panels, green roofs and cool roofs.
  • The Urban Ecology Centre was created in 1996 as an ‘ecological laboratory’ aiming to turn Milton Park into a catalyst for the experimentation of innovative urban ecological solutions such as green-roofing, recycling and organic composting.
  • Individual cooperatives have agreed to maintain and create green spaces.

 

Is it financially sustainable?

  • The CMP structure allows the cooperatives and non-profit housing corporations to have a stable source of income deriving from the rents of the housing units, which go towards paying the mortgage, the repairs and community investments.
  • The end of the mortgage repayment period for all cooperatives is drawing near (2017-2018), placing CMP in a position of reinforced financial security. In the future, this disposable income will be dedicated to a new cycle of refurbishment or to offer supplemental aid to certain families who currently depend on government support to cover housing costs.
  • The guarantee of long-term affordable rents decreases financial insecurity, and allows residents to allocate resources to fulfil other pressing needs as well as allowing for savings and investments.
  • Rents at CMP are significantly more affordable than in surrounding areas (on average twice as low). Access is facilitated for very low-income people that wish to move into Milton Park, as only disadvantaged socio-economic groups are eligible to take up freed or new apartments.
  • The community development corporation Société de Développement Communautaire (Society for Community Development – SDC) was created to manage the commercial spaces in the community and control the type of businesses so that they reflect resident needs. Surpluses are either reinvested or given as subsidies for projects that benefit the whole community.

    What is the social impact?
    The CMP prides itself in having maintained a demographically mixed community that facilitates integration between diverse groups. Long-term social sustainability was ensured to residents, as the risk of eviction or relocation to areas that offer fewer social, economic and educational opportunities was eliminated. Furthermore, training and education workshops offer families with limited means the possibility of acquiring new skills.
    The setting up of the CMP has built the capacity of residents to develop solutions, to organise, and to manage the neighbourhood. The cooperative structure itself becomes a place for capacity-building, where members learn how to chair meetings, draft minutes, keep books, maintain properties and understand renovation and urban planning processes. In fact, the residents are responsible for managing all of their affairs according to the Declaration and the specific constitution of each member.

    In addition, volunteers are engaged in contributing to the running of the CMP, and individual or group initiatives by residents are encouraged and supported. By providing a space for dialogue and action, a strong sense of solidarity has developed around housing, green spaces and democracy, resulting in community cooperation through social events, and regular community activities (street markets, community meals, workshops).

    The project has also provided a healthier environment for the residents of Milton Park. The houses are no longer in a state of disrepair, and strong incentives were created to ensure long-term maintenance, as cooperatives received the CMHC;s financial support conditional upon buildings being in a good state of repair and meeting health and safety requirements. Additionally, the Urban Ecology Centre focuses on promoting healthy lifestyles through training and seminars, neighbourhood greening and increased pedestrian and cyclist activity.

    Initially CMHC would not guarantee that rents would remain affordable in the long-term or that residents would not have to leave their homes. In response, the community mobilised against this decision and the federal government agreed to the community’s terms to avoid unpopularity.
    CMP and other housing organisations in Canada are confronted with the possibility of losing financial assistance for tenants on very low incomes. CMP is involved in a coalition to put pressure on the government and search for alternatives.

  • Occasionally there has been significant disagreement between residents, though these were resolved through democratic processes.
  • Maintaining a level of active interest and involvement of the community is challenging when not faced with immediate threats. The origins of the CMP might be taken for granted with time, and redefining a new type of leadership to bring the project forward is essential. Tours and talks are organised to keep the story of Milton Park alive, and residents are kept informed of the regulations governing the project to enable a better democratic functioning and understanding of the Declaration of Co-ownership.
    Strong market forces can be countered if there is significant social mobilisation by residents and sympathisers, supported by professionals such as architects, urban planners, social workers, lawyers, accountants, etc.
    In order to ensure the perpetuity of the project the process will tend to be comprehensive and elaborate, which will necessarily require a significant amount of time and commitment there are no easy ways.
    For the underpinning social and political value to remain, there must be a constant process of renewal and education.
    No formal monitoring or evaluation process has been carried out on the project.

    The project has not expanded physically, as the focus has been geared towards keeping the existing project robust. The establishment of the Urban Ecology Centre has enabled the project to develop further, as well as ensuring that the ideas of building a sustainable, cohesive and democratic environment are spread to other areas of the city.
    CMP has been consulted on their cooperative model with restricted resale, which has been adapted and transferred to the Benny Farm project and the Chambreclerc rooming housing for homeless and mentally ill persons in Montreal.
    CMP is recognised as a positive example of cooperative housing and has influenced the expansion of cooperatives in Quebec and Canada. In Quebec alone there are currently 1,200 housing cooperatives, which are organised in networks and federations involved in constant exchange and communication.

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