Vancouver-based real estate developer I4 Property Group is facing insolvency on two of its projects, according to filings in the Supreme Court of British Columbia.
The company may not be particularly well-known, but was founded in 2002 by Myron Calof, who was formerly an Executive Vice President at Aquilini Investment Group in the late-90s and early-aughts.
The projects now facing insolvency are the Siena condominium project in Burnaby and the 8and8 townhouse project in New Westminster.
Siena The Heights In Burnaby
The Siena project, also known as Siena The Heights, was being developed at 4437 Hastings Street (4451 Hastings Street, legally), across the street from the Safeway near Willingdon Avenue, in the Burnaby Heights area of Burnaby. For the site, owned under I4PG Hastings Street Inc., the developer was planning a five-storey mixed-use project with 38 condos and approximately 8,500 sq. ft of retail space.
In November, Desjardins Financial Security Life Assurance Company, also known as Desjardins Group, filed a Petition to the Court seeking to appoint a Receiver over the project.
The application was pertaining to a non-revolving loan in the maximum amount of $29,200,000, a non-revolving standby letter of credit facility in the maximum amount of $2,500,000, and a revolving line of credit in the maximum amount of $500,000. The two sides entered into all of the credit agreements in March and April 2022, with I4 Property Group Inc. and Myron Calof serving as the guarantor of the loans.
The developer defaulted on the loans a bit over a year later, with Desjardins delivering a notice of default on September 12, 2023. According to Desjardins, those defaults included a failure to keep the property free of liens, failure to fund cost overruns, and the ceasing of construction, on top of failure to pay the owed amount.
The two sides then entered into a forbearance agreement, which was extended three times before finally expiring on August 30, 2024. The developer was unable to provide a solution to complete the Siena project, forcing Desjdardins to issue a formal demand for payment and then initiate the receivership.
As of October 24, Desjardins was owed $14,546,899.56, with interest accruing at a daily rate of $2,750.98.
The receivership application was granted by the Supreme Court and came into effect on February 14. In a notice dated February 21, the Receiver noted that in addition to the first-ranking charge held by Desjardins, I4 Property Group also owes an uncertain amount to Travelers Insurance Company of Canada pertaining to deposit protection insurance, as well as $700,000 to Longthorn Holdings Ltd. pertaining to a third-ranking mortgage. The Receiver said that nine liens registered on the property also amount to $2,477,427, bringing the total sum of debt on the Siena project to at least $17.7 million before interest.
Last month, Calof of I4 Property Group told Burnaby Now that all of the retail units and 28 of the residential units have been sold, and that he expects the project will garner interest from other developers as it has already progressed to excavation.
8and8 In New West
A rendering of the 8and8 project planned for 802-806 Eight Street and 809 Eight Avenue in New West. / Grimwood Architecture, I4 Property Group
In New West, the 8and8 townhouse project was being planned at 802, 806 Eight Street, and 809 Eight Avenue, at the intersection of Eight Street and Eight Avenue across the street from Moody Park. For the site, I4 Property Group had proposed an 18-unit townhouse complex, according to the development application.
The three parcels are owned under 1208242 BC Ltd. and beneficially owned by I4 Property Group through 8th Street Limited Partnership, the general partner of which is I4PG 8th Street Development Inc.
The foreclosure against the project was initiated back in January 2024 by Blueshore Financial Credit Union, which has since merged with Beem Credit Union.
The application was pertaining to a first-ranking loan agreement the two sides entered into in February 2020. The details of the default were not outlined, but the Supreme Court granted an order nisi of foreclosure on March 13 that confirmed the outstanding debt at $2,472,595.69, with interest accruing at a daily rate of $613.04.
The order nisi also set the redemption date — the date by which the debtor can pay the outstanding amount to halt the foreclosure — at August 15. That day came and passed, the debtor was unable to redeem the mortgage, and Blueshore was granted conduct of sale on August 19. The property has since been listed by Manjit Claire of RE/MAX with an asking price of $3,649,000.
I4 Property Group
According to the company's LinkedIn page, "I4 Property Group and its predecessors have acquired and developed more than 500,000 square feet of office, retail and residential properties, including Garibaldi Village Shopping Center, Galleries at Garibaldi Springs, and Studio SQ in Squamish BC; Studio ED, Studio Off Whyte, and Studio On The Hill in Edmonton AB; and 700 Marine Drive in North Vancouver."
Other projects listed on the company's website include a completed four-storey mixed use rental building called Premiere at 406 E Columbia Street in New Westminster and a townhouse project called Eight at 3155 Canfield Crescent in North Vancouver.
Premiere was sold in June 2024 for $29,500,000 to Plan A Real Estate Services in a deal brokered by Goodman Commercial and the property is now owned under Plan A - 408 East Columbia Nominee Ltd. As for Eight in North Vancouver, the property remains owned by I4 Property Group under Canfield Crescent Development Inc. and does not appear to be facing insolvency.
