The Winnipeg Jewish Review has learned that on Wednesday April 4, 2013 the Jewish Federation of Winnipeg’s Board voted unanimously to provide in principal the financial funding needed to enable the Rady JCC to enter a leasehold agreement with the Herzlia synagague for a daycare to be held on 622 Brock Street.
The Rady JCC will now be able to negotiate the exact terms of the leasehold with the Herzlia.
"The Board voted to approve in principle assisting Rady JCC in finding funds for the lease hold improvements to a maximum of $555,000. The approval is conditional on Federation confirming a number of due diligence issues including verifying that Herzlia has the $1,000,000 in pledges from its congregants and that a viable plan is in place to insure that the building will be maintained and not allowed to deteriorate. In addition we have to see the lease once it has been negotiated between Herzlia and Rady, " Israel Ludwig, President of the Jewish Federation told the Winnipeg Jewish Review.
About two weeks ago, prior to the decision being made, Ludwig had told the Winnipeg Jewish Review that in his view, "It doesn’t make sense to eat into the Federations reserve funds, which are to be used for emergency purposes."
The Federation Board’s approval comes in the wake of the decision by the Federation’s executive to recommend the backing of the proposed Rady JCC daycare tenancy at the Herzlia synagogue.
"A number of ways of sourcing the money were discussed. There has been no decision on that yet. Once the conditions have been met and Rady is ready to draw down the funds the matter will come back to the Board to approve the sourcing of the money and the payment."
Bob Freedman, CEO of the Jewish Federation of Winnipeg wrote to the Winnipeg Jewish Review that:
"The Board approved an advance to Rady of up to $555,000, with the source of the funds to be determined. Rady will not be borrowing the money. Federation intends to recover the monies advanced through a capital fund raising campaign, the scope and timing of which has to be determined."
