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Property Leasing: Recent Developments Of Importance - Real Estate and Construction


Can a Tenant Stop Paying Rent as a Result Of COVID-19?
When the government ordered the closure of all non-essential
businesses, tenants quickly turned to their leases to see if the
pandemic would qualify as force majeure and discharge them from
their rent obligations. 
Hengyun International Investment
Commerce Inc. 
v. 
7614
Québec Inc., 2020 QCCS 2251,
(
Hengyun ) was one of the first Canadian cases
to consider force majeure in the context of COVID-19
government-mandated shutdowns. It sparked hope for tenants that
rent relief was possible.
In 
Hengyun, the Landlord and the original Tenant,
VFC, entered into a five-year lease to operate a gym. VFC soon made ....

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Mayor and Council break ground on Creston Emergency Services Building


Mayor and Council break ground on Creston Emergency Services Building
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From L-R: Councillor Arnold DeBoon, Mayor Ron Toyota, Councillor Joanna Wilson, Creston Fire Rescue Assistant Fire Chief Laura Dodman, Councillor Jen Comer, Councillor Jim Elford (Supplied by the Town of creston)
Council convened to break ground on the site where the Creston Emergency Services Building (CESB) is expected to have more activity by May 3rd.
“I really appreciate that we were able to do this today,” said Mayor Ron Toyota. “It’s historic for us because it has taken several years. I think this is the beginning and hopefully, it won’t be too long before the ribbon-cutting ceremony.” ....

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Creston Emergency Services Building budget increased to $7 million


Creston Emergency Services Building budget increased to $7 million
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The Town of Creston’s new Emergency Services Building (CESB) will have a bigger price tag.
In a Committee of the Whole Meeting held on Wednesday, February 24th, Council was presented with an increase in the budget for the structure that will house BC Ambulance and Creston Fire Rescue from $5.4 million to $7 million. 
This comes after the tendering process produced only two bids last summer, both far exceeding the proposed cost by almost double.
As a result, design changes were made to further reduce spending.  Firewise Consulting Director Ernie Polsom shared with the Technical Building Advisory Committee (TBAC) the stark reality of where the CESB project currently sits. ....

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Court Confirms Autonomy of Letters of Credit, Rules Landlord May Draw for Full Claim Amount | Blake, Cassels & Graydon LLP


7636156 Canada), the trustee in bankruptcy (Trustee) of 7636156 Canada Inc. (Bankrupt), brought a motion for determination of the amount that the Bankrupt’s landlord (Landlord) was entitled to draw down on an LC provided to the Landlord as security for the Bankrupt’s obligations under a lease (Lease) and for payment of any excess amount not entitled to be drawn to be paid to the Trustee. To secure its reimbursement obligation to the LC issuer, the Bankrupt had deposited cash collateral with the LC issuing bank.
The Lease was disclaimed by the Trustee following its appointment, pursuant to the provisions of the BIA, after which the Landlord drew on the full amount of the LC to partially satisfy its claims for accelerated rent for the remainder of the term of the Lease, in addition to certain other costs incurred by the Landlord. ....

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