The Caroline Co-operative is proof that when tenants unite—and get the right support—they can preserve affordable housing for generations to come. When residents of a 21-unit building on Caroline Street in Hamilton learned their homes were suddenly for sale, they mobilized to take action. Fearing “renovictions” and rent hikes, the tenants formed a co-operative and set out to buy the $5-million property themselves—an ambitious goal that required raising more than $1 million for a down payment and closing costs. The purchase was made possible with loans from First Ontario Credit Union, insured by CMHC, an investment from New Market Funds, a loan from the CMHC Innovation Fund managed by New Market Funds, and the City of Hamilton through a contribution agreement and housing charge supplements.
As the closing date approached, an unexpected shortfall for land transfer taxes threatened to derail the purchase. That’s when Partners for Affordable Housing stepped in to connect the tenant group with philanthropic partners—the Catherine Donnelly Foundation and the Fairmount Foundation—who together filled the final funding gap, allowing the co-op to close on its purchase.
Not only affordable, but better
Residents are thriving as a community under co-op ownership. They’ve upgraded shared spaces, improved accessibility, and are planning energy retrofits to further reduce costs. What was once a story of near-loss has become a model for affordable housing preservation, showing how flexible, catalytic capital can keep affordable homes in community hands.
And entirely possible, but not without help
The Caroline Co-operative illustrates the power of the Last Mile funding, which provides the final bridge financing or equity needed to get strong projects across the finish line. By connecting socially inspired capital to urgent housing opportunities, Partners for Affordable Housing ensures that viable projects don’t stall—and that affordable homes remain secure for those who need them most.