1682 Victoria Park: sixty-five unsold, and the lender who did not prime anybody

Justice Myers put the situation in two sentences on the first day. "The debtor is a Canadian corporation. It is insolvent and, for all intents and purposes, out of business." Then the fact that makes it a proceeding rather than a liquidation: "But it has 65 houses left to sell," per Endorsement of Justice Myers, July 17, 2026, para. 1.

They are the unsold units of a 147-townhouse project on Victoria Park Avenue, and the company that owns them cannot fund the selling of them. So its secured creditor is doing it — Findev Lending Inc. applied for the initial order, obtained it on July 17, 2026, and is paying for the process, per First Report of the Monitor, July 23, 2026, paras. 1, 8(c).

A lender that asked for less than it could have

What is unusual here is not the creditor-driven filing. It is the priority the creditor did not seek.

Findev proposed no DIP charge for its borrowings at all. It proposed an administration charge that ranks behind the mortgagees rather than ahead of them. It undertook to keep the mortgagees current, and it came to court having already signed forbearance agreements with the first two, per Endorsement of Justice Myers, July 17, 2026, para. 2. Justice Myers said what he made of that: the applicant "not taking an aggressive stand seeking all manner of priming charges establishes in my mind a very reasonable approach," per Endorsement of Justice Myers, July 17, 2026, p. 3.

The architecture is set out in the orders. Three registered charges sit on title to the unsold units and their holders are named "Unaffected Secured Creditors" — the stay does not apply to them at all: Windsor Family Credit Union Limited, registered June 13, 2022; Firm Capital Mortgage Fund Inc., registered July 30, 2025; and Westmount Guarantee Services Inc., registered October 21, 2020. The administration charge is subordinated to all three and ranks in fourth position against everything the debtor owns, and it is subordinate not merely to the charges but to the indebtedness they secure and to all proceeds securing it, per Amended and Restated Initial Order, July 24, 2026, paras. 24–25.

On top of that, the initial order requires the applicant — not the debtor — to pay everything owing on the Windsor Family Credit Union and Firm Capital charges as it falls due, including arrears standing at the date of the order and every fee and expense chargeable under those mortgages, per First Report of the Monitor, July 23, 2026, paras. 8(f)–(g).

The monitor is Albert Gelman Inc., and it holds more than the usual watching brief: it may cease, downsize or shut down operations, dispose of redundant assets up to $50,000 a transaction and $500,000 in aggregate, terminate or lay off employees, pursue refinancing subject to court approval, and operate the debtor's bank accounts in its own discretion, per First Report of the Monitor, July 23, 2026, para. 8(d).

What July 24 was for

The initial stay ran only to July 24, and the return was narrow. Justice Myers listed what was actually sought: confirmation that the proceeding would go forward, an increase in the security for administrative costs, and attention to a technicality in the title of the lawsuit, per Endorsement of Justice Myers, July 24, 2026, para. 4.

He granted it. The administration charge went from a maximum of $100,000 to a maximum of $500,000 — five times the cap, in the same fourth position — and the stay now runs to October 15, 2026, per First Report of the Monitor, July 23, 2026, para. 8(e) and Amended and Restated Initial Order, July 24, 2026, paras. 10, 24. The reason given for the increase is the plain one: the costs of trying to maximize the debtor's value have to be provided for, per Endorsement of Justice Myers, July 24, 2026, para. 5.