Share capital, loans, and sponsorship record 

Reconciling the Share capital, loans, and sponsorship report involves the maintenance of a detailed spreadsheet that records all Share capital, loans, and sponsorship arrangements for each household at OGHC.

Understanding this work requires an understanding of how the unit shares at OGHC are funded.

The unit share costs for units at Old Grace Housing Co-operative are reflective of construction costs. They vary depending on the size of the unit.

The full member share cost for each unit is:

One bedroom:$72,000
Two bedroom:$92,000
Three bedroom:$112,000
Three bedroom townhouse$201,000
Four bedroom:$132,000

Thirty households at OGHC, referred to as “market members”, pay the amounts in the table above. 

OGHC members whose incomes allow them to qualify for the Manitoba Affordable Housing Program do not have to pay the full amount for their unit shares. Instead, a portion of a forgivable loan from Manitoba Housing is assigned to their unit.

The contribution required from Affordable Households is as follows.

Affordable household purchaseManitoba Housing Loan 
One bedroom:$16,000$56,000
Two bedroom:$20,000$72,000
Three bedroom:$24,000$88,000
Three bedroom townhouse$26,000$175,00
Four bedroom:$28,000$104,000

Thirty-four of the 64 households at Old Grace Housing Co-operative are deemed affordable households. Thirteen of these are reserved for households whose incomes allow them to qualify for rent supplement. Four of the thirteen are reserved for newcomer households. 

The share purchase fee can represent a barrier to entry for many households. OGHC has adopted a number of methods to help families overcome these barriers. 

Private sponsorship

A family member provides the funding for all or a portion of the shares. We have several households where the money is provided by family members, usually parents. In this, as in all cases below, the sponsor is not buying the shares. Shares can only be sold to members.

Agency sponsorship

In these cases, a social agency of some sort (a church, a social service agency, or a group of individuals who are sponsoring a refugee) sponsors all or a portion of the share cost.

OGHC sponsorship

The co-op has raised funds through agreements with a variety of churches and individuals that the co-op can use to sponsor the shares of low-income families. A portion of these funds is used to sponsor member shares for low-income families. A portion of these funds are unallocated: held in reserve to sponsor shares when a non-sponsored fully sponsored low-income household moves out. This money can also be used as a loan to assist the member in the purchase unit shares. When such loans are made, no money is transferred to the member. Rather the money is used to purchase the unit shares of the departing member while the incoming member is expected to repay the co-op that amount over a specified period of time.

Balance sheet

These funds appear on the balance sheet in the liabilities as 

  • 2173 Share Capital Contributed Others Restricted
  • 2174 Share capital Contributed Others Restricted Unallocated

There is a single spreadsheet that records the history of all households at OGHC in relation to Share capital, loans, and sponsorship. This spreadsheet should be updated every time there is a move-in/move-out at Old Grace Housing Co-operative and reconciled against the membership list at the end of each calendar year. 

The spreadsheet also records the individuals and organizations that have provided sponsorship funds and the amounts that they have provided.

The following shows the headings for this spreadsheet.

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