Toronto-based KingSett Mortgage Corp. is buying at least five of 15 properties owned by a Saskatchewan landlord group that has filed for credit protection.
The group is comprised of 45 comapnies represented by mamgement firm Block 1 Management Ltd. The group was granted credt protection in December and will likely disolve after selling off its last assets.
In all, the group owned nearly 1,300 apartments in Regina and Saskatoon. The sale of the properties is being handled by PriceWaterhouseCoopers Inc. The group has been buying rental property in Saskatchewan since 2010, eventually owning 7 per cent of Saskatoon’s apartment inventory.
“Our assets remain strong, but unfortunately, we have insufficient cash flow to meet ongoing operational and construction requirements,” Tim Clark, the sole director of the landlord group, said in a Dec. 22, 2016 letter to creditors.