In this issue:
- 1% Rebate Program: A new program that helps get your money working harder for you
- Provider Profile: A look at St. Giles’ Seniors Citizens Residence in Peterborough
- Connecting with Co-Ops: What we learned at the Cooperative Housing Federation of Canada’s 2026 Annual Meeting
- Webinars: Register for upcoming sessions on investing basics and the current state of the market
1% Rebate Program: New Capital. Real Rewards
Housing providers who invest new capital will receive a rebate of 1% on qualifying investments. For every dollar of new investment, you earn a 1% rebate – paid out over three years.
The rebate is available for investments made between July 1, 2026, and June 30, 2027. If you have reserves, surpluses or deposits set aside and earning little interest, now is a great time to get that money working harder for you.
Early-bird advantage: Invest before September 30, 2026, and you’ll earn an extra quarter — bringing your rebate to just over 1%.
Provider Profile: St. Giles Senior Citizens Residence
St. Giles’ Senior Citizens Residence is a 48-unit development in Peterborough. Built in the early 1980s, it comprises of 43 one-bedroom, 2 two-bedroom and 3 wheelchair-accessible units and is for seniors who live independently and can provide for their own health care.
The non-profit was founded by the St. Giles Presbyterian Church, which is located beside the building, and with whom it maintains a strong relationship. Capital Ideas chatted with Les Harvey, the Chair of the Board, Brian Gilkinson, the lead on the finance committee, and John Herder, the housing administrator, to find out about what has contributed to the financial strength of St. Giles’ and its mission to deliver affordable seniors’ housing.
Les and Brian attribute this to several factors: the strong stewardship of the current and previous boards; excellent property and asset management; and the conclusion of the mortgage in 2020.
Board Leadership
The St. Giles’ board comprises of people with a mix of skills and backgrounds. The congregation continues to be represented and brings both a familiarity with the building and a conviction to the well-being of the tenants. Les adds, “The board before us really looked after the building, so it’s in good shape. Also, they always managed to tuck away some money, even when we had a mortgage.”
Property/Asset Management
Both Les and Brian attribute St. Giles’ success to John’s efforts over the past 12 years. “He knows the building very well, gets along with the tenants,” says Les. Brian notes that John’s “systematic approach to looking after the building results in excellent reports to the Board and an evidence-based approach to immediate and longer-term capital expenditures.”
End of Mortgage
“Since we no longer have a mortgage, every few months we get a cash buildup in our usable banking account. The HST goes into our general account. When the balances get up to a certain level, we decide whether we’re going to need that money or to set it aside. Usually, the dollars are transferred into something that we feel is reasonably safe and will make some money for us,” says Les.
Interestingly, this has meant allocating a significant portion of the reserve investments in Encasa’s Equity Fund, which has a medium risk rating. “We have a long-term view on investments. At one point, we had a big discussion at the board on keeping up with inflation versus growing our reserve,” says Les. He adds “If you are too conservative, you might as well hide the money under the mattress.”
Brian agrees and notes that the “investments have served us well. We have realized gains sufficient to make significant upgrades to our building, including the installation of a generator last year and the on-going retrofit of all bathrooms this year.” These capital projects grew out of a discussion that the board had about its long-term strategic priorities. “We decided that one of our priorities would be to make the building safer and more accessible for our residents,” Les says. The decision to put in a backup generator grew out of the May 2022 Derecho storm, which left the building without power for almost a week. “The elevator was out. And we had three people in the accessible units, with limited mobility. John and his wife worked like Trojans to help the tenants,” recalls Les. “The generator wasn’t in our capital plan. We just decided that we didn’t want to put our tenants through that again,” he adds.
The bathroom project involves replacing all the bathtubs with roll-in showers with seats, which will cost approximately $800,000. For this project, some of the reserve dollars are being used as a short-term source of cash.
Capital expenditures are also informed by their most recent Building Condition Assessment, John says. As the housing administrator, he provides advice to the board on capital priorities and provides analysis on how to finance them. He works with Encasa on devising St. Giles’ investment allocation and on where to draw the funds for projects. He notes that Encasa’s investment advisor suggested drawing on their High Interest Savings Account for the bathroom project based on the current market conditions and 1 year market projections. John also noted that he reads the Encasa commentaries, attends the webinars and passes on “all the market commentaries, quarterly fund reports and newsletters in my monthly reports to the entire Board.”
When asked about words of advice to other housing providers, Les’s insight is to “have a little courage in terms of your investment: courage and faith. You have to be aware of the market and prepared to take a little bit of a chance…you don’t want to lose money because your dollars today aren’t worth as much in five years.”
Connecting with Co-Ops
In June, Encasa investment funds advisor, Stephen Chartier, and Chief Administration Officer, Kerry Hobbs, attended the annual meeting of the Co-operative Housing Federation of Canada (CHF Canada) in Fredericton, New Brunswick.
Both Stephen and Kerry are no strangers to the co-operative housing movement. As a representative of Encasa, Stephen has been assisting co-ops with their financial planning in both Ontario and British Columbia for the past five years. With more than 30 years in the community housing sector, Kerry has been a co-op property manager and worked with co-ops as a Service Manager.
Why was Encasa at the Annual Meeting?
Kerry: Having a good investment plan helps co-ops get their money working for them. Growing the assets that you have is vital to address capital needs. We wanted to let people know that Encasa can help with that.
Stephen: The Annual Meeting provides us with opportunities to meet with current investors, answer questions from prospective investors, and help people understand how our mutual funds can help co-ops achieve their long-term financial goals. We see ourselves as more than an investment manager—we’re a financial partner invested in the long-term success of co-ops.
Can you tell us a bit about the conversations you had?
Stephen: Many delegates, particularly those from federal co-ops and those outside Ontario, were learning about Encasa for the first time. They wanted to understand how our mutual funds work, who is eligible to invest, and how they might fit into a co-op’s overall financial strategy.
Kerry: End of mortgages and end of operating agreements were top of mind for a lot of people. It’s prompting questions about their organizational goals, capital planning, financial priorities and investment plans.
Picking up on what Stephen said, we found that many of the federal co-ops believed that they were not allowed to invest with Encasa. This was indeed the case in the past. While co-ops identified in Ontario’s Social Housing Reform Act (2000) needed to switch over to Encasa, those that remained in agreements with the federal government had to continue with pre-existing arrangements. But this no longer applies for those whose operating agreements have ended. For these co-ops, Encasa can be an excellent option because it provides access to better returns than the guaranteed investments that they’ve previously held.
If you’re uncertain about whether you can invest, you can refer to your co-op’s agreement or ask the Agency for Cooperative Housing about any restrictions.
Encasa launched its 1% Rebate Program at the Annual Meeting. Can you tell us about that?
Kerry: Making investments a priority is challenging due to the competing pressures boards face. We’re hoping the rebate program will encourage them take the time to look at their assets; identify what they can invest; and to move forward in the long-term interest of their organization. Being able to maintain the good repair of housing assets over the long haul is probably the most important thing co-op boards can do to preserve housing for future generations.
Stephen: I’d add that we were thrilled about the interest the new 1% rebate program generated at the tradeshow. It gave us an excellent opportunity to talk with delegates about how the program works and how it can provide additional value for both new and existing investors. Over time, 1% can make a significant difference.
What resources or next steps would you recommend for co-ops that want to learn more about investment planning?
Stephen: I would encourage boards to have direct conversations with qualified investment professionals who understand the unique needs of housing co-operatives. At Encasa, we’re always happy to meet with boards to discuss their objectives, explain different investment options, and answer questions without obligation. In fact, many of the discussions that began at the conference are already continuing through follow-up meetings with boards that want to explore their investment planning in more detail.
Kerry: Encasa regularly holds webinars on Investing Basics. We also offer a quarterly market commentary webinar to provide housing providers insight on the current state of the capital markets and the underlying forces driving that. Our quarterly newsletter features provider profiles, notices about upcoming webinars and other educational content. You don’t have to be an investor to have access to these resources and can find out more by visiting our website.
Upcoming Webinars
This week: Investing Basics for Non-Profit and Co-op Housing Providers
July 23, 2026 | 1:00 PM – 2:00 PM
The cost of capital repairs keeps climbing. Is your reserve fund keeping pace or quietly falling behind?
Join our webinar designed for affordable housing boards and staff. We’ll provide a guide for aligning your investment strategy with your organization’s capital needs and leave you with insights to help you make confident, informed decisions for your organization.
What You’ll Learn:
- How to use your Asset Management Plan to assess short- and long-term capital needs for your properties
- Why inflation erodes savings – and how the right investments can help
- Which investment options may be a good fit for your organization’s goals
- How to build and maintain an effective investment strategy
Whether you’re just getting started or reviewing an existing plan, this webinar will
provide practical tips to evaluate your current approach, strengthen your strategy and move forward with confidence.
Encasa Market & Economic Update
August 19, 2026 | 1:00 PM – 1:30 PM
Markets and the economy are always moving — whether it’s inflation, interest rates, or shifting global conditions, it can be hard to know what it all means for your organization’s investments.
Join us for a 30-minute webinar where we break down the current market and economic landscape, so you can feel informed and confident about what’s ahead.
What we’ll cover:
- What’s happening in the global economy and how it’s influencing markets
- Key trends and factors shaping the months ahead
- What a steady, long-term approach means in today’s environment