The Hamilton Spectator: With demo looming, Corktown tenants secure relocation plan

After years of uncertainty, tenants of a Hamilton low-rise complex slated for partial demolition have secured a relocation plan from their landlord.

The negotiated agreement offers security to dozens facing displacement from 195 Wellington St. S., a three-storey complex by Corktown Park.

A key provision is that tenants living in units eyed for the wrecking ball can be shielded from higher rates in Hamilton’s jacked rental market.

“That’s definitely what I was looking at,” said Althea Samuel, who shares a two-bedroom apartment with her two daughters in the 85-year-old building.

Medallion Corporation’s relocation plan makes other units at the U-shaped complex available to displaced tenants at the same rate, or less if the substitute apartments are smaller.

Likewise, they can move to similar units in other Medallion buildings and pay their current rent.

Another option, tenants can opt for buildings outside of Medallion’s portfolio, in which case, the firm has agreed to a year of compensation based on departing rent. Moving expenses are also to be covered.

The arrangement springs from talks with city officials as part of a settlement of Medallion’s appeal to the Ontario Land Tribunal.

The developer-landlord had planned to build a 20-storey tower at 195 Wellington St. S., but now plans a nine-storey, 223-unit addition, on the north part of the property.

That requires demolishing part of the complex, or 35 units, and vacating six additional apartments during construction. Overall, there will be 330 units.

Once the addition is finished, tenants can move into the new units at market rent. Currently, 35 are available for those who stick around, a Medallion spokesperson said.

The deadline for affected residents to advise the landlord of their wishes is Nov. 16.

Samuel, who lives in one the 35 apartments facing demolition and pays about $1,000 a month, told The Spectator she hasn’t yet decided what to do.

But she’s leaning toward staying at 195 Wellington. She likes the park, the trails, the escarpment stairs and proximity to downtown.

Samuel would also face a hike in rent if she and her daughters, 18 and 20, opted for a new landlord and market rates.

“I don’t have a choice because rent, it’s really high out there right now.”

An average two-bedroom apartment went for $2,130 in June, according Rentals.ca’s latest national report.

Samuel, a quality inspector for an auto-parts business, credits advocacy group Hamilton ACORN for sticking up for the tenants amid the redevelopment plans.

The agreement with Medallion could also serve as a template for future pacts forged with other property owners in Hamilton planning to raze buildings, she suggests.

“I think it should be implemented throughout moving forward.”

A fair shake for tenants is what motivated him to take part in the Medallion talks, says Coun. Cameron Kroetsch, who represents the Corktown neighbourhood.

“It looks like it’s going to turn out in a good way for the tenants. I’m grateful for that. Obviously, we’re going to have to follow this pretty closely to find out and make sure all of their issues are addressed.”

The city’s downtown secondary plan contains tenant-relocation provisions but doesn’t extend to 195 Wellington St. S.

But council recently approved a rental-replacement program that exports such policies for residential demolitions or condo conversions across Hamilton starting in January.

Under the permit system, before buildings of six units or more meet the wrecking ball, the city can require owners to set up plans to secure similar places for tenants to live.

A key requirement is replacement of demolished units and provision of “gap payments” to cover higher rent while tenants wait to return to new buildings at previous rates.

A council priority this term is “ensuring Hamilton has safe and thriving communities,” acting planning director Anita Fabac said via email.

“That means making sure people of all ages and income levels can afford to live here. To reinforce this priority, the rental-replacement bylaw will be an important tool for the City of Hamilton to support and protect those residents in a compassionate, fair and considerate way when rental housing is being lost.”

City politicians have also green-lit a suite of other tenant-protection measures, including a renovation licence and relocation bylaw designed to stamp out bad-faith evictions, or “renovictions.”

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Article by Teviah Moro for the The Hamilton Spectator