Village Developments Inc., Receivership

Village Developments Inc., a Milton, Ontario-based real estate development company, was placed in receivership on June 30, 2023, on application by Vector Financial Services Limited, owed over $10 million. The company owns property located at 485, 501 and 511 Ontario Street South, Milton, Ontario, which it acquired with a view to construct a residential apartment building. Construction of the development was intended to commence in the spring of 2021, but has been delayed due to holdups in obtaining a zoning by-law amendment, amongst other things. Site plan approval has not yet been issued by the Corporation of the Town of Milton and construction has not commenced in any material fashion. The company breached the commitment letter with Vector by failing to repay the balance owing on the maturity date, and subsequently breached the forbearance agreement between the parties. RSM was appointed Receiver. Gowling is counsel for Vector.

By: Dina Milivojevic