November 25, 2021

Filing Type:

Company Counsel: TGF

Trustee: EY

Trustee Counsel: Lenczner Slaght

Industry:

Province:

Boreal Capital Partners Ltd. and certain related entities, an Oakville, Ontario-based group of companies in the business of developing residential and commercial real estate projects, including multifamily residential condominium projects, obtained protection under the CCAA on November 25, listing almost $45 million in liabilities to Halmont Properties Corporation, their principal secured creditor. The companies currently have five projects underway, one of which is at an advanced stage of construction. However, they are facing pressing liquidity concerns as a result of severe alleged mismanagement, including a failure to provide the required reporting, the co-mingling of various funds and accounts, and various unauthorized payments and transfers. The purpose of the CCAA proceedings is to provide the companies with the breathing space to stabilize operations, continue the development of the active projects and develop a restructuring plan. EY was appointed monitor. Kesmark Estates was appointed as CRO. Halmont is providing DIP financing. Counsel is TGF for the companies, Lenczner Slaght for the monitor, Wildeboer Dellelce for Halmont and BLG for Trisura Guarantee Insurance Company.