Ontario · Receivership (court-appointed)
Motion Record, dated March 18, 2025
Application / notice of application · 18 March 2025
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What we verified from this filing12 verified
- applicantCANADA ICI CAPITAL CORPORATION
- courtSUPERIOR COURT OF JUSTICE
- court file noCV-24-00096479-0000
- provinceONTARIO
- statutory basissubsection 243(1) of the Bankruptcy and Insolvency Act and section 101 of the Courts of Justice Act
- appointeeBDO Canada Limited
- appointee roleCourt-appointed receiver
- secured creditorsnote: Estimated arrears as of July 9, 2024 (date of Appointment Order) totalled $468,961 plus accrued interest; ICI applied part of the ICI Rent Collection to make a partial payment of $411,515.94 against the arrears. · page: 30 · as of: current (as of First Report dated March 17, 2025), inclusive of 2025 interim billings · amount: 265838.15 · debtor: ECRE Smart Living Hinton Inc. (Real Property) · creditor: City of Ottawa (Municipal Property Tax Arrears) · currency: CAD · security: Statutory priority claim/lien against the Real Property for unpaid municipal property taxes
- secured creditorsnote: HST liability per Notice of Assessment (deemed-trust/regulatory tax class) arising from CRA audit of SLM's self-assessed HST return on construction of the Real Property. CRA was unable to confirm its position on application against sale proceeds as of the First Report. · page: 39 · as of: 2024-11-18 · amount: 2374673.52 · debtor: Smart Living Management Inc. (Beneficial Owner) - Receiver's position is that HST liability rests with SLM, not the Debtor ECRE, as ECRE holds the Real Property as bare trustee · creditor: Canada Revenue Agency (CRA) · currency: CAD
- secured creditorsnote: No stated current outstanding balance in reviewed pages (facility/original principal amounts only, not a balance - see Rule 3). ICI also holds an HST self-assessment Holdback of $1,426,731.41 (originally ~$1,619,073, reduced by $192,641.59 after applying funds to cover a March 2024 interest shortfall) and an Interest Reserve holdback of $1,922,500.00 per the Commitment Letter. Receiver's counsel (A&B) provided a security opinion confirming ICI's security is valid and enforceable (subject to usual qualifications). · page: 91 · debtor: ECRE Smart Living Hinton Inc. · creditor: Canada ICI Capital Corporation (ICI) · currency: CAD · security: First ranking Charge/Mortgage on the Real Property (84, 86, 88, 92 and 96 Hinton Avenue North, Ottawa); Loan maximum principal amount $39,000,000.00 (the 'Loan'); Mortgage original principal amount $42,900,000.00 (the 'Mortgage'/'Prior Indebtedness'); also secured by assignment of rents/leases and GSA over equipment/personal property
- secured creditorsnote: Related party - SLM is a Respondent/Beneficial Owner and shares common directors (Tamer Abaza, Rakan Abu Shaar) with the Debtor ECRE. Subordinated and postponed to ICI's Prior Indebtedness/Prior Security under a Subordination and Standstill Agreement dated May 31, 2023, which states the Subordinate Indebtedness totalled $6,300,000.00 'as of the date hereof' and bears interest at 13.25% per annum, due on demand. Payments made from ECRE's account to SLM/related entities (Takyan, SLDH) in the 12 months pre-filing are flagged by the Receiver as potential preferential payments. · page: 92 · as of: 2023-05-31 · amount: 6300000 · debtor: ECRE Smart Living Hinton Inc. · creditor: Smart Living Management Inc. (SLM) · currency: CAD · security: Second priority Charge/Mortgage registered June 30, 2022 (Instrument No. OC2508611) as amended, in the face amount of $6,300,000; second priority assignment of rents and leases (Instrument No. OC2508612)
- fee scheduleengagements: form: prose · rows: · money: fees: quote: for a total of $109,535.33 prior to disbursements of $3.69 and applicable taxes · amount: 109535.33 · approximate: false · disbursements: quote: disbursements of $3.69 and applicable taxes · amount: 3.69 · period: end: 2025-01-31 · kind: invoice · quote: The Receiver's fees for the period August 1, 2024, to January 31, 2025 · start: 2024-08-01 · approval: state: unstated · averages: rate: 542.79 · quote: an average hourly rate of approximately $542.79 · currency: · invoices: · firm text: BDO Canada Limited · firm quote: BDO Canada Limited, in its capacity as Court-appointed receiver · hours total: quote: encompass 201.80 hours at an average hourly rate of approximately $542.79 · value: 201.8 · context quote: in its capacity as Court-appointed receiver (in such capacity, the " Receiver "), without security, of all of the assets, undertakings and properties of ECRE Smart Living Hinton Inc.; form: prose · rows: · money: fees: quote: for a total of $55,179.00 prior to disbursements of $681.35 · amount: 55179 · approximate: false · disbursements: quote: prior to disbursements of $681.35 · amount: 681.35 · period: end: 2025-01-31 · kind: invoice · quote: A&B's fees for the period April 2, 2024, to January 31, 2025, encompass 67.9 hours · start: 2024-04-02 · approval: state: unstated · averages: rate: 812.65 · quote: The average hourly rate is $812.65 · currency: · invoices: · firm text: Aird & Berlis LLP · firm quote: A&B's fees for the period April 2, 2024, to January 31, 2025 · hours total: quote: encompass 67.9 hours at an average · value: 67.9 · context unverified: true