54 Shepherd Road Inc. and 60 Shepherd Road Inc.

54 Shepherd Road Inc. and 60 Shepherd Road Inc., owners of real property in Oakville, were placed in receivership on October 24 on application by FirstOntario Credit Union, owed approximately $2.6 million. The debtors were planning on developing a high-rise, mixed residential/commercial use project on the property but were unable to obtain construction financing, which, according to the debtors, was due to the structure of its existing financing from syndicated investors. With the debtors unwilling to accept the terms of a forbearance agreement that included bringing property tax and interest payments up-to-date, FirstOntario moved to enforce its security. msi Spergel (GRIP) was appointed receiver. Counsel is SimpsonWigle for the applicant and McCarthy Tétrault for the companies.