December 12, 2020
Safeguard Real Estate Investment Fund IV Limited Partnership and CEP LP Investment Corp. ("CEP") (collectively, the "Defendants), were placed in receivership on December 4 on application by Connect First Credit Union Ltd. ("Connect First"), owed approximately $15.5 million. As security for repayment of the Defendants' indebtedness to Connect First, CEP executed a mortgage in favour of Connect First over certain real property. In May 2018, Connect First commenced a foreclosure action against the Defendants with limited success. Despite Connect First issuing demands and notices for repayment, the indebtedness continues to remain due and outstanding. In addition to the Defendants' indebtedness to Connect First, they also owe approximately $1.3 million in property taxes to the City of Calgary. BDO was appointed receiver. Carscallen is counsel to the applicant.
