Moncton gives groups $200,000 to buy former curling club

Two Moncton organizations are getting $200,000 from the city to buy the former Moncton Curling Club.

The money is being given as a loan to The Humanity Project and What Kids Need Moncton, but the city will pay itself back with a long term grant of $25,000 a year for the next ten years.

"We've worked that into the deal with the city, so we will have a recurring grant from the city that will take care of our loan payment," said Charlie Burrell, of The Humanity Project.

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The Humanity Project

The Humanity Project, a non-profit that acts as a soup kitchen and helps the homeless find housing, has been at the location for a year already.

Burrell said the owners are asking $450,000 for the building.

He says he has already secured $290,000, and now that the he can cover the total, he plans to negotiate a price.

"We just needed the city to pitch in to help us out, for what was left owing," said Burrell

What Kids Need Moncton

Amanda Pooley, the executive director of What Kids Need Moncton, is looking forward to making the building their own.

"It means we're going to have a location to set up in again for our drop in centre," said Pooley.

Pooley's group provides tutoring and clothing for people who need it.

"A lot of those are small children, families, working poor we see everybody that comes in there and people need to eat, it's a necessity so that's why we're taking the money," said Pooley.

An exception to the rule

Moncton Mayor Dawn Arnold admits giving such a large amount of money to a non profit and a charity is not the way the city normally operates.

"I wouldn't say that it's normal, no," said Arnold.

But she says she, and other councillors have seen first hand the work done by the two groups.

Conditions

The money comes with 11 requirements, including:

• The groups must be able to work out a purchase agreement with the building's owners
• All permits and approvals must be obtained
• The necessary financial statements must be in order
• The proper level of insurance must be purchased
• The land and building must be provided as security for the loan
• Proof must be provided that one or both groups must be a non-profit in good standing

All the conditions must be met by Nov.30.

Burrell has previously complained about the group's difficulty in meeting the city's fire code. He said the group will meet the city's criteria, by the end of the month.

"We'll make them, for sure," said Burrell.