Ontario · Receivership (court-appointed)
First Report of the Receiver
Court officer report · 26 September 2024
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What we verified from this filing7 verified
- secured creditorsnote: Stated as an approximation ('approximate amount of $42 million') as of April 9, 2024; no exact dated payout balance provided in these pages. Demand credit agreement dated July 12, 2022, amended September 25, 2023, with facility limit of up to $47,039,338 plus a $2,000,000 letter of credit facility (facility limits, not balances). First-ranking secured creditor of the Project per the Westmount Meridian Postponement. Personal guarantees provided by guarantors Michael Giamou and Chris Giamou (individuals). · page: 3 · as of: 2024-04-09 · amount: 42000000 · debtor: 260 High Park Limited Partnership, TRAC Developments Inc., and 2486357 Ontario Inc. · creditor: Meridian Credit Union Limited (MCU) · currency: CAD · security: First charge/mortgage ("Meridian Mortgage") dated March 6, 2020 against the Mortgaged Lands, registered principal amount $50,000,000; general assignment of leases and rents; general security agreements dated February 25, 2020 over all personal property of 260 High Park LP and 2486357 Ontario Inc.; assignment of construction/related contracts; joint and several completion/cost-overrun funding undertaking.
- secured creditorsnote: As deposit insurer, Westmount may have a contingent claim of up to approximately $11,200,000 (deposits already released from escrow and used in construction), crystallizing only if Unit APSs are terminated. Notwithstanding mortgage subordination, Westmount's PPSA security appears to retain priority over deposits still held in trust by Debtors' counsel (Harris Sheaffer LLP), which totalled approximately $540,000 plus interest as at June 4, 2024. · page: 5 · debtor: 260 High Park Limited Partnership, TRAC Developments Inc., and 2486357 Ontario Inc. · creditor: Westmount Guarantee Services Inc. · currency: CAD · security: Westmount Mortgage dated November 23, 2018 against the Mortgaged Lands, registered principal amount $20,000,000 (not a stated balance); postponed in favour of MCU (Westmount Meridian Postponement, March 6, 2020) and in favour of Fiera (Westmount Fiera Postponement), making it third in mortgage priority; separately holds PPSA security over 260 High Park as deposit insurer for Unit APS purchaser deposits.
- secured creditorspage: 5 · debtor: 260 High Park Limited Partnership, TRAC Developments Inc., and 2486357 Ontario Inc. · creditor: Fiera FP Real Estate Financing Inc. and Fiera FP Real Estate Financing Fund, L.P. · currency: CAD · security: Third mortgage ("Fiera Mortgage") registered March 6, 2020 against the Mortgaged Lands, registered principal amount $14,300,000 (not a stated balance); ranks ahead of the Westmount Mortgage pursuant to the Westmount Fiera Postponement, but behind the Meridian Mortgage.
- secured creditorsnote: Per s.78 of the Construction Act, these claimants have priority over the Meridian Mortgage only to the extent of any deficiency in required statutory holdbacks; Receiver's preliminary analysis estimates a maximum aggregate holdback claim of $1,512,876.56 (individual maximums detailed in Appendix B, e.g., Clark $127,689.27, Knightsbridge $395,665.43 (delay portion disputed), Construction One $612,889.89 (claim under further investigation; counsel's own summary indicates $507,805.12), Anax $44,558.16, Topcrete $3,982.40 (majority of lien registered out of time), Top Line $72,110.67, Dolente $28,050.60, Pro Con $15,082.20, Turnbull $83,045.49, Flynn $32,565.74, CRS $26,329.00, Stephenson's $36,238.01, JVH $34,669.70). Several claims are disputed/subject to ongoing review. · page: 14 · as of: 2024-09-25 · amount: 8670283.96 · debtor: 260 High Park Limited Partnership, TRAC Developments Inc., and 2486357 Ontario Inc. (the Property) · creditor: Registered Lien Claimants (13 construction lien claimants holding 15 registered liens: Clark, Knightsbridge, Construction One, Anax, Topcrete, Top Line, Dolente, Pro Con, Turnbull, Flynn, CRS, Stephenson's, JVH) · currency: CAD · security: Construction liens registered against the Mortgaged Lands under the (former) Construction Act, individually registered between approximately January and June 2024; document states aggregate registered lien total of $8,670,283.96.
- recovery outcomeentries: basis: actual · quote: However, Clark's counsel has confirmed that Clark was paid in full on its invoicing prior to September, 2023 (i.e., inclusive of holdbacks), and accordingly Clark has no claim for holdback for the period prior to September 2023. · pct of: unstated · outcome: paid_in_full · class key: pmsi_lessor · stated by: receiver · class label: Clark (invoicing prior to September, 2023) · creditor name: Clark · interim final: unstated · claims qualifier: unstated · table missing:
- sale advisorCBRE Limited
- sale outcometext: the Receiver proposes to commence a process to list the Project for sale · scope: whole_business · status: process_approved