Sperling GP Ltd., Sperling Limited Partnership and 1112849 B.C. Ltd., CCAA

Sperling GP Ltd., Sperling Limited Partnership and 1112849 B.C. Ltd., Burnaby, British Columbia-based real estate companies, were placed under CCAA protection on November 28 on application by RBC as agent for various lenders.

The companies were formed to acquire, own and develop a 14-building project on a 19-acre industrial property located adjacent to the Sperling-Burnaby Lake SkyTrain station. 

RBC, TD Bank, BMO and the Bank of Nova Scotia provided a loan to the companies in February 2024.

The companies are controlled by Create Urban Development Corp./Create Burnaby Investment Ltd. and Peterson Development One GP Inc./Peterson Investment holdings Inc. (collectively, the “Partners”), two property development companies with real estate portfolios throughout the Greater Vancouver Area.

Over the past 12 months, disputes have arisen between the Partners relating to the progression of the project, resulting in various mediation and arbitration proceedings. The result of these disputes is that the project is at a standstill and the companies are unable to fulfill their obligations to the lenders. The loan matured on September 1 without being repaid, and the companies now owe approximately $207.6 million to the lenders.

The purpose of the CCAA proceedings is to pursue a SISP. 

Deloitte is the monitor.

Counsel is Dentons for RBC, Lawson Lundell for Create, Bennett Jones for Peterson and DLA Piper for the monitor.