About Us

FAAN Mortgage Administrators Inc. (“FAAN Mortgage”) is a dedicated team of finance professionals and is a licenced mortgage administrator under Ontario’s Mortgage Brokerages, Lenders, and Administrators Act, 2006. (FSCO Administrator Licence Number: 12995)

UPDATES RELATED TO BUILDING & DEVELOPMENT MORTGAGES CANADA INC. ("BDMC")

Below are links to questions frequently posed to the Trustee regarding its mandate and BDMC:
Frequently Asked Questions - April 25, 2018 Frequently Asked Questions - July 17, 2018

Below is a link to a chart that summarizes the key terms of the various syndicated mortgage loans administered by BDMC, including, among other things, the capital stack and the status of each of the projects as at October 15, 2018:

Project Status Summary (as at October 15, 2018)

COURT MATERIALS RELATED TO BDMC

On April 20, 2018, pursuant to an order of the Ontario Superior Court of Justice (Commercial List) (“Appointment Order”), FAAN Mortgage Administrators Inc. (“FAAN Mortgage”) was appointed as trustee (“Trustee”) over all of the assets, undertakings and properties of Building & Development Mortgages Canada Inc. (”BDMC”) under section 37 of the Mortgage Brokerages, Lenders and Administrators Act, 2006, as amended, and section 101 of the Courts of Justice Act, as amended.

For clarity, the Trustee is not appointed over any of the projects with syndicated mortgage loans administered by BDMC.

Appointment Order dated April 20, 2018
Application Record returnable April 20, 2018
Book of Authorities dated April 19, 2018
Factum of the Applicant dated April 19, 2018

On June 26, 2018, the Court issued an order (“Interim Stabilization Order”), which, among other things:

  • Clarified and confirmed the Trustee’s rights and responsibilities under the Appointment Order in respect of certain funds held by the Trustee that are subject to a Court-ordered priority charge and put temporary restrictions on the Trustee’s rights with respect to those funds during the stabilization period; and
  • Appointed Chaitons LLP as representative counsel to represent Investors in these proceedings.

A copy of the Interim Stabilization Order and the materials filed in connection with that order, including the Trustee’s first report to Court dated June 19, 2018 (“First Report”), is available below.

Endorsement re Stabilization Order dated June 26, 2018
Order re Interim Stabilization Measures and Representative Counsel Appointment dated June 26, 2018
Motion Record of the Trustee returnable June 26, 2018
First Report of the Trustee dated June 19, 2018

On October 23, 2018, the Trustee served materials in connection with its motion returnable October 30, 2018, which provides, among other things, an update on developments in these proceedings since the First Report, including:

  • The in-depth project analyses being undertaken by the Trustee;
  • Projects subject to significant developments, including enforcement proceedings and negotiations for early payouts; and
  • The Trustee’s recommendation regarding certain of the funds maintained by the Trustee currently or received in the future, including (i) directing the Trustee to distribute certain of the funds and (ii) authorizing the Trustee to use the remaining amounts to fund the costs of required Trustee activities associated with the administration of the estate, subject to a fair and equitable allocation of such costs at a future date.

Copies of the materials filed on October 23, 2018, including the Trustee’s Second Report, are available below.

Motion Record of the Trustee dated October 23, 2018
Second Report of the Trustee dated October 23, 2018

On October 30, 2018 the Court issued an order (“Realized Property Order”), which, among other things:

  • Directs the Trustee to distribute certain of the funds;
  • Authorizes the Trustee to use the remaining amounts to fund the cost of required Trustee activities associated with the administration of the estate; and
  • Requires that the Trustee report to Court no later than April 30, 2019 regarding the required Trustee activities undertaken following the date of the Realized Property Order.

A copy of the Realized Property Order is available below.

Realized Property Order dated October 30, 2018
Endorsement Re: Realized Property Order dated October 30, 2018

On November 19, 2018, the Trustee served materials in connection with its motion returnable November 28, 2018, which provides , among other things:

  • A recommendation that the Court grant an order approving a settlement offer made by the Baestone borrower in respect of the Braestone loan advanced by BDMC;
  • A recommendation for certain amendments to the Realized Property Order requiring the Trustee to make a further distribution of Realized Property to all syndicated mortgage loans entitled to such Realized Property following the closing of the Braestone settlement; and
  • Information regarding the Trustee’s and its legal counsel’s fees and disbursements from the date of the Appointment Order through to September 30, 2018 (“Period”).  The Trustee is also seeking the Court’s approval of the First Report, Second Report, the Third Report, the activities described in each of the Reports, and the professional fees of the Trustee and its legal counsel for the Period.

Copies of the materials filed on November 19, 2018, including the Trustee’s Third Report, are available below.

Motion Record of FAAN Mortgage Administators Inc. dated November 19, 2018
Third Report dated November 19, 2018

On November 28, 2018 the Court issued an order (“Braestone Settlement Approval Order”), which, among other things:

  • Approved a settlement offer made by the Baestone borrower in respect of the Braestone loan advanced by BDMC;
  • Directs the Trustee to make a further distribution of Realized Property to all syndicated mortgage loans entitled to such Realized Property following the closing of the Braestone settlement, and to distribute 80% of Realized Property going forward; and
  • Approved the activities of the Trustee set out in the First Report, Second Report, Third Report and approved the fees and disbursements of the Trustee and its legal counsel from the date of the Appointment Order through to September 30, 2018.
Issued and Entered Braestone Settlement Approval Order dated November 28, 2018
Endorsement of Hainey J. dated November 28, 2018

On December 13, 2018, the Trustee served materials in connection with its motion returnable December 20, 2018, which provides, among other things:

  • A recommendation that the Court grant an order approving a settlement offer made by the Harlowe borrower in respect of the Harlowe loan advanced by BDMC; and
  • A recommendation for certain amendments to the Realized Property Order requiring the Trustee to make a further distribution of Realized Property to all syndicated mortgage loans entitled to such Realized Property following the closing of the Harlowe settlement; and

Copies of the materials filed on December 13, 2018, including the Trustee’s Fourth Report, are available below.

Motion Record of FAAN Mortgage Administators Inc. dated December 13, 2018

On December 20, 2018 the Court issued an order (“Harlowe Settlement Approval Order”), which among other things:

  • Approved a settlement offer made by the Harlowe borrower in respect of the Harlowe loan advanced by BDMC; and
  • Directs the Trustee to make a further distribution of Realized Property to all syndicated mortgage loans entitled to such Realized Property following the closing of the Harlowe settlement, and to distribute 85% of Realized Property going forward.

A copy of the Harlowe Settlement Approval Order is available below.

Harlowe Settlement Approval Order dated December 20, 2018

On January 23, 2019, the Trustee served materials in connection with its motion returnable January 29, 2019, which provides, among other things:

  • A recommendation that the Court grant an order approving a settlement offer made by the Speers borrower in respect of the Speers loan advanced by BDMC.

Copies of the materials filed on January 23, 2019, including the Trustee’s Fifth Report, are available below.

Fifth Report of the Trustee dated January 23, 2019
Motion Record of FAAN Mortgage Administrators Inc. dated January 23, 2019

On January 29, 2019, the Court issued an order (“Speers Settlement Approval Order”), which among other things:

  • Approved a settlement offer made by the Speers borrower in respect of the Speers loan advanced by BDMC.

A copy of the Speers Settlement Approval Order is available below.

Speers Settlement Approval Order dated January 29, 2019

On April 18, 2019, the Trustee served materials in connection with its motion returnable April 26, 2019, which provides, among other things:

  • A recommendation that the Court grant an order approving a settlement offer made by the the James borrower in respect of the the James loan advanced by BDMC.

Copies of the materials filed on April 18, 2019, including the Trustee’s Sixth Report, are available below.

Sixth Report of the Trustee dated April 18, 2019
Motion Record of FAAN Mortgage Administrators Inc. dated April 18, 2019

Other Items related to BDMC

re BROOKDALE - Report of the Receiver dated October 2, 2018 re BROOKDALE - Application Record of Firm Capital Mortgage Fund Inc. for the Motion returnable October 18, 2018 re BROOKDALE - Issued Notice of Application of Firm Capital returnable October 18, 2018

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