With two weeks until the receivership deadline, Artscape Chief Operating Officer Kelly Rintoul offered the first details of what the future for the non-profit developer may hold in a letter to tenants and owners.

After Artscape was placed into receivership due to its massive debt last month, the City of Toronto and the organization’s “primary lender” ⁠— widely believed to be Toronto Dominion Bank ⁠— secured an additional month’s funding until Oct. 1. Since then, tenants, owners, and the wider Toronto arts community have anxiously awaited details about the future.

On Sept. 15, Rintoul confirmed in her letter that many details were yet to be finalized. 

“Although we won’t have full clarity until the receivership process commences in approx. 20-60 days, it is our understanding that receivership will ultimately transition any Artscape-owned assets to new owners, Artscape Daniels Launchpad being the most significant.”

This is the first communication from Rintoul implying the receivership may not fully be in place by Oct. 1. In a statement to Future of Good, CEO Grace Lee Reynolds said the 20 to 60-day timeline was an estimate and that Artscape could still enter receivership by Oct. 1 if “all work was completed in that timeframe.”

Rintoul’s letter also mentioned an online fundraiser, which Future of Good previously reported had been advertised to tenants and owners for their support. At 4 p.m., Sept. 18, at least $7,165 had been raised.

“Our immediate financial focus is to fundraise to support service continuity beyond September,” the letter said. “We are concurrently supporting the City and property owners to identify the best successors to manage our properties. This could include a potential role for a future streamlined Artscape, provided a solid business model and working capital funding is in place.”

Rintoul’s letter contained a number of suggestions for what might happen with various Artscape properties.

For owners

She said owners were almost certainly not “in jeopardy” unless they defaulted on their mortgage agreements. She said loft mortgages in PACE at 155 Dundas St. E, 210 Simcoe St. and Waterworks at 505 Richmond St. W were provided via the City and would likely transfer to a new owner eventually. Second mortgages at Triangle Lofts at 38 Abell St. may also change hands.

For residential tenants

Rintoul did not provide substantive details about what may happen to residential tenants. Instead, she advised tenants to consult Ontario’s tenancy laws contained in the Residential Tenancies Act. She proposed renters read Section 48 of the Act, which governs so-called “own use” evictions where a landlord evicts a tenant so they or their dependents can live in the unit.

Although Rintoul did not mention them, Tribunals Ontario publishes online guides to own-use evictions and the general evictions process in plainer language than the Act. The Advocacy Centre for Tenants Ontario, which provides free legal advice and representation to qualifying tenants, also publishes a tip sheet for fighting own-use evictions.

For commercial tenants

Most commercial tenancies are also provided via the City, and City staff will likely try to maintain them post-receivership. Artscape Youngplace at 180 Shaw St. and Triangle Lofts at 38 Abell St. are “expected to be of interest to the receiver,” Rintoul said. She confirmed that lease term extensions or requests to purchase units or second mortgages were not being granted for the time being.

For Artscape West Queen West and Wychwood Barns

These two developments fall under Artscape’s non-profit wing, which Rintoul said is seeking new ownership. No further details were given.

For condominium property management

Artscape condos at Triangle Lofts (38 Abell St.) and Youngplace (180 Shaw St.) seek new property management. No further details were given.

Rintoul concluded her letter by advising tenants and owners to seek their own legal counsel, as she is not a lawyer, and promised further updates as they became available.

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