July 15, 2022
Radium Scout First Ltd., which owns and operates a mixed-use multi-family commercial and residential property in Fort McMurray, Alberta, together with Waters Edge Shopping Centre Ltd. and W. De Silva Properties, which own and operate certain condominiums in Fort McMurray, Alberta, were placed in receivership on July 15, on application by Servus Credit Union, owed approximately $12.5 million. The companies have struggled for a number of years to make the properties financially viable. Low oil prices have significantly impacted Fort McMurray's economy and incidentally affected the demand for housing. The companies were further impacted by the COVID-19 pandemic, as well as a flood in the spring of 2020 which caused considerable damage to the Radium Scout property. Servus sought the appointment of a receiver following the expiry of the forbearance period. PwC was appointed receiver. Counsel is Miller Thomson for Servus.
By Dina Milivojevic