Updated: Feb 23
We have now the details on the Canada Emergency Commercial Rent Assistance that the Prime Minister’s Office had released.
First and foremost, this is a loan program.
Businesses will be able to apply for amount to cover 50% of their three monthly commercial rent payments during April, May and June.
Of course, the most important part is always whether you qualify, your business will be eligible if:
- You are paying less than $50,000 per month in rent
- You have temporarily ceased operations or have experienced at least a 70% drop in pre-COVID-19 revenues
With you landlord’s cooperation, the loans could be forgiven if the mortgaged property owner agrees to reduce the your rent by at least 75% for the three corresponding months under a rent forgiveness agreement, which will include a pledge not to evict the tenant while the agreement is in place.
Which means your business will have to cover the remainder, up to 25% of the rent.
We will get update with details on how to apply for this as get them.