The framework of a commercial rent relief program for small
businesses has now been announced. The Canada Emergency Commercial
Rent Assistance (CECRA) plan, in the form of a forgivable loan,
will assist some commercial landlords and tenants with rent
relief.
The program will be administered by Canada Mortgage and Housing
Corporation. Although the program was announced by the federal
government, it is based on an agreement in principle with the
provincial and territorial governments to have them cover 25% of
the cost of the program. The remaining 75% of the cost will be
covered by the federal government.
How much is covered?
Broken down, this plan, for those who qualify, has the
government providing 50% of the rent payable for a 3 month period,
the tenant paying up to 25% of rent and the landlord waiving 25% or
more of the rent payable. The tenant and the landlord are expected
to agree on the portion of the rent payment the tenant is required
to make, but it must
