If the tenant has already paid rent on the reduced rent for the months covered, the landlord must either repay the overpayment of the CECRA loan proceeds or give the tenant a credit for the excess against the next rent due. If the landlord and the tenant concerned have entered into a pre-lease agreement for the three-month period, the previous agreement is considered amended to comply with the CMHC agreement that prevails in the event of a conflict. Would a form of rent reduction that has not been developed by the CMHC be acceptable if it were to comply with the CECRA program? The landlord must agree to reduce the tenant`s rent by at least 75% by April, May and June 2020. If, at the time of the loan advance, a tenant concerned was not in default, but was then insolvent, all that remains is to “make economically reasonable efforts to repay the rent.” The program offers unsecured and forgivable loans to landlords who agree to reduce the rent payable by tenants who have seen their incomes decrease during the April, May and June 2020 periods. To be eligible, the property in question must be a “commercial property” that is leased by small contractors. Residential commercial real estate and mixed-use multi-party residential real estate would also be eligible for their small entrepreneurs. There is no requirement that a mortgage be registered against the property in question to be eligible. If they wish to participate in the CECRA program, landowners should start contacting their tenants to determine whether or not they are eligible for the CECRA program and begin preparing for the conclusion of the corresponding certificates and lease (whether on the form provided by CMHC or on a form negotiated between the landlord and the tenant and in accordance with the terms of the CECRA program). Property owners should also note that tenants seeking help under the CECRA program must be accompanied by certificates.
Do not pay more than $50,000 per site in gross monthly rent, which is enforceable by a valid rental agreement; The amount of the loan is based on the average of the gross rents included in the main application and is not recalculated on the basis of the actual rents of July.