A sprawling residential project that was set to deliver nearly 1,500 new homes to Ajax has been placed under receivership, according to filings in Ontario Superior Court, as real estate insolvencies continue across Ontario.
The project was being undertaken by Burlington-based Valour Group and was set for 361 Taunton Road West, a 24.80-acre site at the southwest corner of the intersection with Ravenscroft Road, directly adjacent to the Meadow Ridge Plaza shopping centre in the Duffins Crossing neighbourhood.
For the site, Valour Group has received approval for a four-phase project, with Phase One including 391 condos, Phase Two including 308 seniors living condos, Phase Three including 740 condos, and Phase Four including 42 townhomes, for a total of 1,481 new homes, according to court documents. Construction has not begun.
The property is owned under 1613935 Ontario Inc., which entered into a first-ranking loan agreement with Nova Scotia-based private lender Ducimus Capital — a wholly-owned subsidiary of IMP Group International Inc. — in December 2018 for $28,323,104.
The Receivership
According to an affidavit filed by an Ducimus Capital executive, the loan was originally set to mature on January 22, 2020, with four options to extend the maturity date by three months (for a total of 12 months). Ducimus said that the four extension options were exercised, and that they issued eight additional extensions thereafter, until the final extension expired on September 7, 2025 and the loan matured.
Serving as the guarantors of the loan were Ravenscroft Valour Holdings Inc., 402725 Grey Road 4 Ltd., 35 Sinclair Avenue Ltd., Gordon Fawcett, Frank Vaccaro, Peter Landry, and Glen Cluthe.
Ducimus says that there were also multiple events of default, including: “the issuance of a notice of sale under mortgage by Hyot GP Inc. and Valour Partners High Yield Opportunity LP,” failing to pay municipal property taxes that resulted in tax liens being registered against the property, and “a Caution-Land and Caution of Agreement of Purchase and Sale being registered against title to the Real Property in favour of third parties without Ducimus’ consent.”
After the loan matured, the lender issued a formal demand for payment on December 11, but the two sides then reached a forbearance agreement to delay enforcement, as the borrower said it was seeking to refinance the loan or sell the property. The agreement delayed enforcement until June 30, 2026, or a default on the forbearance agreement. The latter occurred when the borrower failed to deliver a refinancing agreement or binding sale by April 30.
Ducimus then subsequently initiated the receivership proceeding, saying they were owed $30,834,984.79 as of May 27, 2026, with interest continuing to accrue. The receivership application was filed on July 2, and was granted by the Ontario Superior Court on July 16.
Other Debt
Ducimus holds the first-ranking charge against the property, but notes that there are several other charges against the property. Those include a second-ranking charge held by Ajax Taunton Ontario Inc. for up to $17.5 million, a third-ranking charge held by Hyot GP Inc. and Valour Partners High Yield Opportunity LP for a maximum of $30.9 million, and a fourth-ranking charge held by Northern Coast ABL Inc. for a maximum of $45 million.
Ducimus says that the second and third charges are in relation to acquisition and development financing, while the third charge is “in place to secure potential equity takeout advances should they become necessary.”
Ducimus notes that Hyot GP Inc. and Valour Partners High Yield Opportunity LP has issued a Notice of Sale against the property, which is the initiating step in a power of sale proceeding. Ducimus said that, as the first-ranking charge holder, it “should be permitted to control the enforcement of its mortgage” in order to “ensure that its security position is protected,” another reason why it initiated the receivership.
The Toronto and Region Conservation Authority also holds a right of first refusal to purchase certain parts of the property, according to court documents. The borrower also owes $1,777,944.03 in municipal tax arrears to the Town of Ajax as of June 30.
“The intention is for the receiver to market and sell the Property in order to realize on the value of the Property and repay creditors, including Ducimus and other creditors,” Ducimus said.
