February 14, 2020
Bridge Attainable Housing Society, a Calgary, Alberta-based not-for-profit company, was placed in receivership on February 14 on application by the City of Calgary. By an agreement of purchase and sale ("PSA") with the City, the company agreed to purchase certain lands in Alberta for the purpose of developing an affordable residential housing project. Pursuant to this PSA, the parties agreed to enter into various loan and security agreements in favour of the City. The City alleges that the company did not perform a number of its obligations under these agreements. For example, the company failed to maintain in good standing its status as a not-for-profit organization, and failed to provide the City with audited financial statements for certain years. Given these ongoing issues, the City has lost confidence in the company's ability to oversee the housing project or protect the City's security. Grant Thornton was appointed receiver. Bennett Jones is counsel to the applicant.