Richmond Hill development lands placed into receivership after $22.8 million default

1001004738 Ontario Inc., which owns a nine-parcel development land assembly in Richmond Hill, was placed into receivership on February 10, 2026, on application by C & K Mortgage Services Inc., operating as Rescom Capital.

The property consists of lands municipally known as 10, 12, 14, 16, and 18 Bostwick Crescent and 2, 6, and 8 Bond Crescent, at the northwest corner of Bond Crescent and Yonge Street in Richmond Hill. The nine parcels were consolidated on November 15, 2023.

Rescom originally advanced a $22 million loan on May 30, 2022 to Kings Development Inc., then named 1000162801 Ontario Corp., to finance the acquisition of the lands. The loan initially matured on June 1, 2023 and was later extended for 6 months, with the interest rate increased from 10.75% to 12.8% per annum.

Following a prior default, Rosen Goldberg Inc. was appointed receiver over the former owner. On September 24, 2024, the Court approved a sale of the property to 1001004738 Ontario Inc., with closing occurring on or about October 4, 2024. On closing, the debtor assumed a portion of the outstanding indebtedness and the loan term was extended to July 1, 2025.

Rescom holds a first-ranking charge registered May 30, 2022 and amended October 4, 2024, along with a registered general security agreement.

The extended maturity date of July 1, 2025 passed without repayment. The last interest payment was received on September 15, 2025, and no further payments were made.

On November 4, 2025, Rescom delivered a formal demand and a notice of intention to enforce security. The debtor did not cure the default after expiry of the statutory notice period. Approximately $23 million is currently outstanding.

Rosen Goldberg is the receiver. Counsel is Dickinson Wright for Rescom.