SAVING KENSINGTON MARKET
Growing non-profit group aims to make area affordable with help of bonds
It was the diversity of Kensington Market that attracted Theodore Small to opening a barbershop there in the summer of 2020 — even as the pandemic was making waves.
A year after launch, however, the property in which he was leasing, 54-56 Kensington Ave., was put up for sale and Small and four other small-business tenants found themselves facing an unknown future.
That’s when the non-profit Kensington Market Community Land Trust stepped in. Backed by a $3million council grant, it had a mandate to buy, maintain and manage the building as affordable housing and provide long-term lease stability for businesses for at least 99 years.
It was such a success, the land trust is now looking to expand with the launch of Kensington Community Bonds, which are designed to amass funds to buy another property in the area.
Dominique Russell, co-chair of the Kensington land trust, hopes the bond initiative will “have a real impact and support small businesses and tenants who have been around for generations.”
The bonds offer three options, designed to appeal to all types of investors, from residents to large foundations, with investment minimums as low as $500 and interest rates of up to 4.5 per cent, according to the group.
“There’s an element of risk here, but if there is interest to be paid it can go in the pockets of our community members, and that’s a positive,” said trust co-chair Russell. “But it also means we have to be extraordinarily cautious with what we do with that financing.”
“Buying a bond is me investing in the neighbourhood,” said Dameion Royes, owner of Brimz at 56A Kensington Ave. “So I’m definitely
down for that.”
The organization is still looking for its next property, and Russell said it will consider a number of factors when assessing potential buildings, including location, number of residential units and financing.
With his shop’s lease expiring in July, Small said he has faith the renewal will be smooth, as he’s more “comfortable and confident” dealing with a non-profit.
The trust inherited its lease agreements, which are at various stages, and Russell said the organization will take affordability into account when negotiating new leases with the businesses as the existing lease agreements expires.
“The land trust wouldn’t kick anyone out,” Russell said, adding tenants have a right to automatically renew their lease under security of tenure. “If our commercial tenants want to stay, then we would find the terms and allow them to do so within their budget.”
For Small, who has a flyer supporting the land trust in his barbershop’s window, the land trust represents the power of community in the market.
“They’re not trying to do the whole gentrification (thing), but rather keep it heritage and affordable for the small-business owners,” he said, while cutting a client’s hair.
“This is more about the mom and pop shop, rather than commercial, and as a small-business owner, I love that.”