This program provides rent relief for commercial businesses who are renting. The landlord of the property can receive a forgivable loan for 50% of the normal rent, provided they agree to reduce the rent of their tenant by 75%. The tenant is still liable for (up to) 25% of normal rent.
So in essence, 25% is paid by the tenant, 25% falls on the landlord to absorb, and the remaining 50% is given to the landlord through the program.
There is a low barrier to qualify as a landlord, but many are choosing not to. Many state the process is too confusing, or too time consuming. This leaves their tenants stuck with finding a way to pay for 100% rent without the normal revenue stream they had pre-covid.
There are many great benefits to getting on board this program as a property owner. The biggest one is that you will likely be able to keep business as usual once the restrictions from covid-19 are lifted.
We at Sparktyde are offering free guidance for landlords to complete CECRA program. We believe once the application process is broken into manageable chunks, it is not nearly as scary as at first glance.
We've divided the entire submission into 5 phases:
Phase 1 - Property owner qualification
Phase 2 - Tenant(s) qualification
Phase 3 - Collection of documents
Phase 4 - Drawing up the agreements
Phase 5 - Final review and submission
For many commercial tenants, this may be the only way to stay in business after the impact of COVID-19.
Contact us today to help you take advantage of this very important program!
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