Laurentian University said the province has moved up its timetable by a year to purchase various real estate holdings from the struggling post-secondary institution.
In a news release issued late Friday, LU said the province “is confident” it can purchase designated real estate assets from the university in three years instead of four as originally intended.
Back in May, it was announced that Laurentian and the provincial government had struck a deal under which Ontario would purchase $53.5 million worth of the schools real estate assets. Proceeds from the sale of the assets would be used to meet LU’s obligations to its creditors.
Laurentian president Dr. Robert Hache said under the terms of the sale agreement, LU would “continue to use and occupy the real estate, land, or buildings. That would not be the case if real estate assets were sold to third parties generally.”
In the Friday news release, Laurentian said the amended plan “also includes amendments previously agreed with LUFA and announced publicly, together with administrative edits.”
You can review a copy of the amended plan here. It is also posted on the Monitor’s website.
“We are grateful for the effort the province has made, as it will have the effect of providing all affected creditors with an accelerated payout period under the amended plan,” said Jeff Bangs, chair of the Laurentian University board of governors.
In response to the announcement of the shortened timetable, the Terminated Faculty Committee, which is made up of university faculty who lost their jobs under the CCAA and are lobbying against the plan of arrangement, issued a statement encouraging a ‘no’ vote on the plan.
Committee spokesperson Eduardo Galliano-Riveros said the amended timetable proves statements by the university that the plan can’t be changed were not true.
“In the last few hours, Laurentian University has issued a statement announcing an amended Plan of Arrangement with a reduced payout time to creditors – from 4 years to 3 years,” Galliano-Riveros is quoted saying. “This is totally inadequate, but it proves that the Plan of Arrangement can still be changed.”
The committee said Laurentian has maintained that neither the province, the university, nor the courts were capable of changing the initial settlement offer to Laurentian’s creditors.
“While the Terminated Faculty Committee welcomes this new development, we urge the provincial government to redouble their efforts to ensure former employees of Laurentian University receive a fair deal,” the statement reads.
Under the plan of arrangement, the school’s creditors, which include members of the Terminated Faculty Committee, will receive only 14 to 24 cents for every dollar owed. .
“This minor amendment doesn’t move compensation beyond the range of 14-24 cents for each dollar owed to creditors. Until we see a fair offer the Terminated Faculty Committee urges all creditors to cast their vote “against” the updated Plan of Arrangement on Sept. 14,” the statement continues,
“We are committed to stand united against the current updated plan until all Laurentian University faculty – retired, working, and terminated, as well as staff – receive what was stolen from us by the mismanagement of Laurentian’s board and administration. Further, this change does nothing to address the enormous losses that were inflicted, not only on employees, but also on students, and the larger Sudbury community.”
OTTAWA – The Canadian Real Estate Association says the number of homes sold in August fell compared with a year ago as the market remained largely stuck in a holding pattern despite borrowing costs beginning to come down.
The association says the number of homes sold in August fell 2.1 per cent compared with the same month last year.
On a seasonally adjusted month-over-month basis, national home sales edged up 1.3 per cent from July.
CREA senior economist Shaun Cathcart says that with forecasts of lower interest rates throughout the rest of this year and into 2025, “it makes sense that prospective buyers might continue to hold off for improved affordability, especially since prices are still well behaved in most of the country.”
The national average sale price for August amounted to $649,100, a 0.1 per cent increase compared with a year earlier.
The number of newly listed properties was up 1.1 per cent month-over-month.
This report by The Canadian Press was first published Sept. 16, 2024.
MONTREAL – Two Quebec real estate brokers are facing fines and years-long suspensions for submitting bogus offers on homes to drive up prices during the COVID-19 pandemic.
Christine Girouard has been suspended for 14 years and her business partner, Jonathan Dauphinais-Fortin, has been suspended for nine years after Quebec’s authority of real estate brokerage found they used fake bids to get buyers to raise their offers.
Girouard is a well-known broker who previously starred on a Quebec reality show that follows top real estate agents in the province.
She is facing a fine of $50,000, while Dauphinais-Fortin has been fined $10,000.
The two brokers were suspended in May 2023 after La Presse published an article about their practices.
One buyer ended up paying $40,000 more than his initial offer in 2022 after Girouard and Dauphinais-Fortin concocted a second bid on the house he wanted to buy.
This report by The Canadian Press was first published Sept. 11, 2024.
MONTREAL – The Quebec Professional Association of Real Estate Brokers says Montreal-area home sales rose 9.3 per cent in August compared with the same month last year, with levels slightly higher than the historical average for this time of year.
The association says home sales in the region totalled 2,991 for the month, up from 2,737 in August 2023.
The median price for all housing types was up year-over-year, led by a six per cent increase for the price of a plex at $763,000 last month.
The median price for a single-family home rose 5.2 per cent to $590,000 and the median price for a condominium rose 4.4 per cent to $407,100.
QPAREB market analysis director Charles Brant says the strength of the Montreal resale market contrasts with declines in many other Canadian cities struggling with higher levels of household debt, lower savings and diminishing purchasing power.
Active listings for August jumped 18 per cent compared with a year earlier to 17,200, while new listings rose 1.7 per cent to 4,840.
This report by The Canadian Press was first published Sept. 6, 2024.
