On April 16 Prime Minister Justin Trudeau announced that the Federal Government plans to introduce the Canada Emergency Commercial Rent Assistance. This program is slated to provided rent relief to small and medium-sized business amid the Covid-19 pandemic.
While the finer details of the new program are yet to be released, aspects that have been alluded to thus far by the Prime Minister and Finance Minister Bill Morneau include:
- a measure of relief is to be provided for rents due in the months of April, May and June;
- there will be an offer of loans (including forgivable loans) to commercial landlords who extend reductions in rent to businesses; and
- implementation will necessarily occur in collaboration with the Provinces.
British Columbia’s financial assistance for residential tenants saw rental aid being paid directly from the Provincial Governments to landlords. Whether the same structure will be implemented for commercial tenancies, amounts for the relief and logistics for the CECRA have all yet to be announced.
We highly encourage parties actively negotiating rent relief to keep these developments in mind and to stay tuned for further updates. For assistance with your lease problem please contact:
Tony R. Anderson
tanderson@owenbird.com
(604) 691-7528