Artscape’s receivership news sparks concern from artists about their future

After more than three decades of operation, Artscape has announced it’s going into receivership, sparking concern from artists who live and work in its 14 properties.

The non-profit provides residences and creative spaces for artists, along with event venues such as the old streetcar facility at Wychwood Barns. In a statement posted to its website, Artscape says it was forced to take on debt over the years in order to expand its offerings to support the creative and the artist community. With event spaces shut down due to the pandemic, its finances were stretched even further.

Artscape says it commenced a financial restructuring plan this year to try and reduce debt, including the sale of the Artscape Daniels Launchpad property on Queens Quay. Additional lending to maintain operations was also sought, including the city committing $1.1 million, but it says the primary lender took steps that led to Artscape being placed into receivership.

“While Artscape had begun to see success in rebuilding event venue space revenues, stabilizing operations and gaining grant funding for impactful programs, the level of debt payments was not sustainable.”

The news has sparked concern from artists about the future of their working and living situations.

Artists with deposits for upcoming residencies at Artscape Gibraltar Point were told in an email obtained by CityNews that the cultural hub will only be operational until Thursday and that Artscape’s access to its accounts has been removed. 

In an email from Artscape’s Chief Operating Officer, Kelly Rintoul, tenants and owners were told in part they “will continue to have access to their spaces and the Receiver will determine the path forward for all existing Artscape contracts.”

Councillor Shelley Carroll, the city’s budget chief, is urging calm as the city works with all parties on a favourable outcome.

“Even if Artscape does go into receivership, there are a number of steps to that,” said Carroll. “It’s a long and time-consuming process and it’s important to remember that even if they do go into receivership, it’s not the job of those people to create terrible impacts all over town. It’s their job to make sure that dealing with the financial situation does not disadvantage the public good in any terrible and disreputable way.”

Fellow councillor Josh Matlow said he was “saddened and concerned” after hearing the news about Artscape, adding he is “actively looking into what needs to be done to support the city facilities they operate (including the Wychwood Barns) and to protect artists’ homes.”

The Ontario NDP calls news of the receivership an incredible loss for the arts community and is calling on the Province for additional arts funding.