Ontario · Receivership (court-appointed)
Seventh Report of the Receiver dated September 9, 2026
Court officer report · 9 September 2026
AI summary
A plain-English summary drawn only from this filing: what it is, why it matters, and the parties, amounts and dates it turns on.
What we verified from this filing18 verified
- secured creditorsnote: Stated as approximately $6.7 million (the 'CEI Priority Debt'), including interest but excluding costs and expenses and interest thereon, which continue to accrue. Earlier figure at Feb 29, 2024 was $13,015,116 (First Report); the lower current figure reflects distributions since. · page: 6 · as of: 2026-06-30 · amount: 6700000 · debtor: Mizrahi (128 Hazelton) Inc. · creditor: Constantine Enterprises Inc. (CEI) - DUCA Commitment (senior mortgage, Hazelton Priority Debt) · currency: CAD · security: Senior-ranking mortgage on the Real Property (DUCA Commitment, assigned to CEI pre-filing); Norton Rose opinion that DUCA Commitment and CEI's other security are valid and enforceable
- secured creditorsnote: Post-filing receivership funding advanced by CEI; plus interest and costs which continue to accrue. Regulatory/court-ordered charge, not pre-filing security. · page: 6 · as of: date of Seventh Report (September 9, 2026) · amount: 802000 · debtor: Mizrahi (128 Hazelton) Inc. · creditor: Constantine Enterprises Inc. (CEI) - Receiver's Borrowings Charge · currency: CAD · security: Receiver's Borrowings Charge under the Receivership Order; Court-ordered priority subordinate only to the Receiver's Charge
- secured creditorsnote: Subordinated to DUCA (now CEI priority debt) by subordination, assignment, postponement and standstill agreement of June 22, 2017; CEI registered a postponement in favour of Aviva and the City of Toronto. Interest and costs continue to accrue. Figure is from the First Report; not restated in the Seventh Report. · page: 51 · as of: 2024-02-29 · amount: 31041763 · debtor: Mizrahi (128 Hazelton) Inc. · creditor: Constantine Enterprises Inc. (CEI) - 2015 Credit Agreement (Hazelton Subordinate Indebtedness) · currency: CAD · security: Mortgage against Real Property, general assignment of rents and general security agreement; $21,000,000 principal non-revolving facility (June 19, 2015); NRF opinion that security is valid and enforceable
- secured creditorsnote: Retail Indebtedness stated as $2,854,278 in the creditor table; original principal advanced $2,174,130 (Nov 10, 2020). Funds were flowed through to Hazelton under the Retail Flow-Through Note. An additional PPSA registration in favour of Mizrahi Constantine (180 SAW) LP has no obligations outstanding. NRF opinion that security is valid and enforceable. · page: 51 · as of: 2024-06-10 · amount: 2854278 · debtor: Mizrahi 128 Hazelton Retail Inc. · creditor: Constantine Enterprises Inc. (CEI) - Retail Note · currency: CAD · security: General security agreement by Retail; option agreement to purchase the Retail APS and Retail Flow-Through Note for $1 in certain circumstances (not yet occurred); unlimited guarantee by Mr. Mizrahi (principal, personal guarantor); two PPSA registrations in favour of CEI
- secured creditorsnote: Under review by the Receiver. · page: 52 · as of: 2024-03-08 · amount: 47502.8 · debtor: Mizrahi (128 Hazelton) Inc. · creditor: 385277 Ontario Limited (construction lien) · currency: CAD · security: Construction lien registered March 8, 2024 against the Real Property
- secured creditorsnote: Under review by the Receiver. · page: 52 · as of: 2024-06-10 · amount: 68262 · debtor: Mizrahi (128 Hazelton) Inc. · creditor: CLM General Enterprises (construction lien) · currency: CAD · security: Construction lien registered February 2, 2024 against the Real Property
- secured creditorsnote: Amount outstanding as of November 21, 2023. Receiver continuing to review and assess construction liens. · page: 52 · as of: 2023-11-21 · amount: 507658 · debtor: Mizrahi (128 Hazelton) Inc. · creditor: CEC Mechanical Ltd. (construction lien) · currency: CAD · security: Construction lien registered September 29, 2023 against the Real Property
- secured creditorsnote: The $18,500,000 is a registration ceiling, not a stated outstanding balance. Aviva subordinated its mortgage to the DUCA Mortgage by priority agreement dated June 27, 2017. Personal guarantees of the Aviva facility are understood to have been given by Mr. Mizrahi and Mr. Hiscox (directors/principals). Any claim by Mr. Hiscox for deposit credits could increase Aviva-related priority claims. · page: 52 · as of: 2024-06-10 · debtor: Mizrahi (128 Hazelton) Inc. · creditor: Aviva Insurance Company of Canada · currency: CAD · security: Charge registered September 22, 2016 against the Real Property in a maximum principal amount of $18.5 million, in respect of Hazelton's deposit insurance indemnification obligations to homebuyers; also a PPSA registration
- secured creditorsnote: Under review by the Receiver. · page: 52 · as of: 2024-05-10 · amount: 138765.14 · debtor: Mizrahi (128 Hazelton) Inc. · creditor: Penegal Trim & Supply Ltd. (construction lien) · currency: CAD · security: Construction lien registered May 10, 2024 against the Real Property
- unsecured creditorsnote: Stated as aggregate principal advanced; no current balance or as-at date stated. Related-party creditor (50% shareholder). · page: 53 · basis: Unsecured promissory note issued December 3, 2021 · amount: 1500000 · debtor: Mizrahi (128 Hazelton) Inc. · creditor: Constantine Enterprises Inc. (CEI) - 2021 Grid Note · currency: CAD
- unsecured creditorsnote: Stated as aggregate principal advanced; no current balance or as-at date stated. Related-party creditor (50% shareholder). · page: 53 · basis: Unsecured promissory note issued November 10, 2020 · amount: 3200000 · debtor: Mizrahi (128 Hazelton) Inc. · creditor: Constantine Enterprises Inc. (CEI) - 2020 Grid Note · currency: CAD
- unsecured creditorsnote: Document names no individual creditors. Approximate figure. · page: 53 · basis: Per a creditors list provided to the Receiver; approximately $4.2 million owing to consultants, law firms, trade contractors and other parties (excluding CEI's 2020 and 2021 Grid Notes) · amount: 4200000 · debtor: Mizrahi (128 Hazelton) Inc. · creditor: Other known unsecured creditors (aggregate as reported) · currency: CAD
- unsecured creditorsnote: The lien was 'previously registered'; the document does not state whether it remains on title, so it is recorded here rather than as current security. · page: 53 · basis: Indebtedness relating to a construction lien previously registered on title, since purchased by CEI · amount: 1351861 · debtor: Mizrahi (128 Hazelton) Inc. · creditor: Constantine Enterprises Inc. (CEI) - purchased construction lien indebtedness · currency: CAD
- operational summaryThe Receiver continues to realize on the remaining condominium property: it seeks court approval of the sales of Unit 404 and the two-spot parking garage (via assignments of Mr. Hiscox's original agreement), Unit 802 is listed for sale, and construction of unit 901 is expected to commence shortly.
- purchaserBrelow Inc.; Hazy Holdings Inc.
- report date9 September 2026
- report noSeventh Report
- sale outcometext: The Receiver seeks approval and vesting orders for the proposed sales of Unit 404 to Brelow and the Parking Garage to Hazy; the vendor will use commercially reasonable efforts to obtain the Approval Order on or before September 18, 2026. · scope: parcel · status: pending_approval