September 2, 2022
City & Stay Hotel Group Ltd., which operates a boutique hotel on Brunswick Avenue in Toronto, Ontario, was placed in receivership on September 2, on application by Andrew Peek and Constantine Trevor Speis, owed over $540,000. In 2018, the company entered into a credit facility with TD Bank, which was guaranteed by Peek and Speis. The company defaulted on the loan and, in August 2022, Peek and Speis paid TD Bank over $540,000 in satisfaction of the guarantees. They also received an assignment of TD Bank's security interest. The company is operating at a loss, and does not have the cash flow to maintain its business and pay its obligations. It has made various attempts to secure additional debt or equity funding to solve its ongoing liquidity problems, all of which were unsuccessful. Rosen Goldberg was appointed receiver. Counsel is Miller Thomson for the company and Advocan Law for Peek and Speis.
By Dina Milivojevic