This study explored the institutional and community capacity for Aboriginal education in one urban school district in Canada that recently established a formal Aboriginal education programme. Participants in this study were Aboriginal and non-Aboriginal education professionals, as well as Aboriginal Elders directly and indirectly affiliated with the study school district. Using a qualitative approach, I conducted interviews with participants and observed in-school activities in an effort to acquire data. I found that the physical, political, human resource, and community capacities were, in varying degrees, sufficiently developed to provide Aboriginal education programming. Within each of these capacities, challenges and perceived opportunities have led to an acknowledgement of the importance of Aboriginal education as well as an appreciation of the difficulties of offering such programming in an urban educational environment.