< Browse more articles

April 24, the federal and provincial/territorial governments announced the Canada Emergency Commercial Rent Assistance (CECRA).  This new joint program primarily focuses on assisting small businesses and their landlords with commercial rent payments and is retroactive to April 2020.

This program will lower rents by 75% for small businesses affected by COVID-19 which:

  • Currently, pay less than $50,000 per month in rent,
  • Have temporarily ceased their operations or
  • Have experienced at least a 70% drop in pre-COVID-19 revenues. 

The CECRA will provide forgivable loans to qualifying commercial property owners to cover 50% of three monthly rent payments that are payable by eligible small business tenants who are experiencing financial hardship during April, May, and June. 

To receive the loan, commercial property owners will be required to reduce the rental costs of their small business tenants for April to June 2020 by at least 75% and commit to a moratorium on evictions for three months.  The small business tenant would cover the remaining up to 25% of the rent.

In Ontario, the combined federal-provincial relief package totals $900 million with the province contributing $241 million.