Harbour Team Developments Approves Plan of Arrangements

The creditors of HarbourTeam Developments Inc., a real estate company owned by Montreal-based developers, approved the plan of arrangement of HarbourTeam. The deal closed on May 28, 2003. HarbourTeam experienced difficulties in concluding the financing of its two-hundred unit $100 million luxury residential condominium project on the waterfront in the Old Port of Montreal. The resulting delays caused HarbourTeam to seek Companies’ Creditor Arrangement Act (CCAA) protection while it worked to finalize the project financing and settle the multiple claims of its secured and unsecured creditors, including mortgage lenders, trade creditors and unit purchasers.

The approval of the plan of arrangement by the majority of HarbourTeam’s creditors should allow the project to be finalized and preserve the rights of the 150 unit purchasers who hold an interest in the realization of the project.

HarbourTeam was represented by Borden Ladner Gervais LLP, with a team that included Marc Duchesne, Jacques Darche, Annie Ouellet and Pierre Côté. Ernst & Young Inc., acting as monitor, was represented by in-house counsel Pierre Laporte and Martin Franco.

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