Canada Emergency Commercial Rent Assistance now open for applications
May 26, 2020
Global Korean Post
Canadian families and small businesses across the country are feeling the impacts of COVID-19.
Canada Emergency Commercial Rent Assistance (CECRA) for small businesses started accepting the application as of May 25.
Over the course of the program, property owners will reduce rent by at least 75 per cent for the months of April and May (retroactive), and June, for their small business tenants. CECRA will cover 50 per cent of the rent, with the tenant paying up to 25 per cent and the property owner forgiving at least 25 per cent.
Applying for CECRA makes financial sense for property owners, as their success depends on the success of their tenants. If a tenant declares bankruptcy and is evicted, the property owner receives zero rental income and faces additional costs while they search for new tenants. With this program, property owners will continue to receive income, and small business tenants will receive the help they need to recover and come back after the pandemic.
CECRA is another measure announced by the Government of Canada to provide important relief for small businesses experiencing financial hardship, and help keep Canadians on the payroll.