Talent Canada
Talent Canada

News Economy
Take commercial landlords ‘out of the equation’ for rent relief: CFIB


July 28, 2020
By The Canadian Press

Topics

TORONTO — A lobby group says landlords need to be taken “out of the equation” of the government’s small business rent relief plan as another month’s rent comes due.

An open letter from the Canadian Federation of Independent Business says participation in Canada’s Emergency Commercial Rent Assistance program is still too low, and that provincial and federal finance ministers need to reform the program.

CFIB executive vice-president Laura Jones says the CECRA program was designed so that tenants, landlords and the government would each bear some of the monthly rent payment for struggling businesses.

But in practice, CFIB said landlords are not participating in the program, which offers a forgivable loan from the government worth 50 per cent of rent, as long as the landlord agrees to reduce the tenant’s rent by 75 per cent.

Advertisment

Jones says the bar to qualify for rent relief has also proven to be too high for businesses, citing the rule that tenants must show a 70 per cent decline in sales during the COVID-19 pandemic.

About $367 million in funding has been paid out to 42,000 small business tenants, according to July 17 statistics from the Department of Finance.


Print this page

Related

Tags




1 Comment » for Take commercial landlords ‘out of the equation’ for rent relief: CFIB
  1. CFIB is correct on the CECRA that it must be taken out of the hands of the Landlords and into the Tenants. I run a business that has now had to pay 5 months worth of full rent on a warehouse & office unit that has sat Vacant since Middle of March. We need immediate financial relief as we will probably not be back into some sort operation until 2021 ! How is my company of 41 Years going to make it through this Covid 19 with our marketplace shut down ? There are many more companies in the same vote as the rent has become the major issue of trying to stay afloat.

Leave a Reply

Your email address will not be published. Required fields are marked *

*