Lifelease Financing on Back Burner for Now

A resolution to provide bridge-financing to help get the Lifelease
seniors complex off the ground has been tabled by Dryden Council.
The motion recommended a $2.8-million cap, with a commitment by
the not-for-profit board to complete all pre-sales by March 31st 2009.
The resolution also required a letter of credit from the Board or tenant in
order to access the 70% down payment loan.
After considerable debate last night, Mike Wood suggested that the
motion be tabled for 30-days to allow for consultation between the 2-sides.
Wood says there’s still too much risk for the City and taxpayers.
The City’s lawyers have indicated that bridge-financing is legal and several other communities have taken this rout to help non-profit groups.