Required Documentation

This checklist provides an overview of the Required Documentation which must be provided at each stage of your proposal. Should any required documents not be provided, your proposal may be delayed or rejected.

When providing required documents, ensure that the file name is clear and references the document type. If you are proposing a portfolio of projects, please provide documentation for each shovel-ready project within your portfolio.

Documents required at proposal intake

1. Corporate documents

• Articles of incorporation (with supporting documentation such as business name registration, articles of organization, constitutional documents, etc.);
• Overview of organization ownership structure, including related entities;
• Organizational chart;
• Patents, by-laws or letters including shareholder and operating agreements; and,
• Names and relationships of all registered and beneficial owners of the property (not applicable in Quebec).

Guidance

• On-Reserve Applicants: Chief and Council should be included in the organizational chart.

2. Financial statements

• Financial statements for the last 3 years for the proponent(s) and each guarantor (if applicable); audited preferred.

Guidance

• Review Engagement may be accepted where audited financial statements are unavailable.
• For new organizations less than 3 years in operation, provide available year-end and interim statements.

3. Confirmation of development experience

• Resume(s) of the applicant and/or contracted builder/developer showing construction experience;
• Detailed list of completed and current projects (address, property type, number of units and floors, construction budget, year of completion); and,
• Listing of any new construction/renovation projects currently underway (with financing/loan insurance details).

Guidance

• Proponents must have a demonstrated ability to withstand unexpected increases in construction cost.
• For newly formed groups, alternate covenants, collateral and mitigation may be considered.

4. Property management experience

• Documentation outlining years of experience for the entity and individuals managing the property (curriculum vitae);
• Detailed list of managed or previously managed properties (addresses, type, size, tenant profile, floors, units); and,
• If contracted out: Curriculums vitae of contracted property manager(s).

Guidance

• Build Canada Homes typically requires at least 5 years of demonstrated management experience with similar properties (flexibility may be granted with enhanced oversight).

5. Property details & land ownership

Recent or upcoming land purchase or lease, please provide:

• Copy of Purchase and Sale Agreement;
• Abstract of Title;
• Property tax assessment (or other ownership confirmation with Legal Description – PIN/PID or cadastral lot number in QC);
• Copy of all lease agreements (operating leases, land leases, subleases, headleases, etc.); and,
• Land donation confirmation (if applicable).

Land under ownership, please provide

• Property Identification Number (PIN/PID or cadastral lot number in QC); and,
• Recent property tax statement (if available).

Guidance

• Proponents On-Reserve :
  • Provide GPS data, civic address, or general site location as project identifier;
  • A “Land Status Report” issued by Indigenous Services Canada is acceptable; and,
  • Applicant must confirm proposed security type (e.g., Ministerial Loan Guarantee, Pledge of Land, Leasehold Interest, Business Revenue & Personal Property, or Letter of Credit).

6. Project description form (if applicable)

• Completed Initial Project Description Form (required for projects on federal lands, including on-reserve).

Guidance

• Projects on federal lands must comply with the Impact Assessment Act. Details of the Initial Project Description are available here: Guide to Preparing an Initial Project Description and a Detailed Project Description - Canada.ca.

7. Project financials

• Cost Estimates: Minimum of Class D estimate completed by a Professional Quantity Surveyor or Cost Consultant certified report are required at time of proposal (Class B or C are preferred). Reports should be issued within last 12 months and include hard, soft, contingency, and land costs); and,
• Additional Sources of Funding: List of all funding sources with supporting documentation, including committed, conditional or indicative funding. Documentation should include amounts, term/conditions, expiry of funding (i.e.: commitment letters, letters of intent, council/board resolutions, program approvals, by law/tax/fee waivers).
  • Capital Funding: Letters/documents for all sources (grants, in-kind, forgivable loans, fee waivers, etc.);
  • Operational Funding: Letters/documents for all sources (rent supplement, subsidy, tax waiver, etc.); and,
  • Detailed viability plan for project sustainability in cases where the loan terms, contractual outcomes, or affordability commitments cannot be fully secured for the entire affordability period. (draft docs acceptable if contingent on other approvals).

8. Project Proforma (residential, non-residential) including

• Gross potential rent by unit type and affordability level (monthly and annual);
• Vacancy and collection loss allowance;
• Other income sources (e.g., parking, laundry, storage, commercial rent, utilities recovery);
• Operating expenses itemized by category: property management, maintenance and repairs, insurance, utilities, property taxes, administration, and replacement reserves; and
• Net operating income (NOI) calculation showing revenues minus all operating costs and reserves.

Required documents at underwriting assessment & loan determination stage

1. Other agreements (drafts permitted)

As applicable and if available, please provide the following additional documents:

• Funding Agreements;
• Lease Agreements;
• Shareholder/Partnership Agreement;
• Beneficial Ownership Agreement;
• Management Agreement; and,
• Operating Agreement.

2. Project financials

• Cost Estimates: Class B Professional Quantity Surveyor or Cost Consultant certified report (issued within last 12 months; includes hard, soft, contingency, and land costs). 

3. Appraisal

• Appraisal gross potential rent by unit type and affordability level (monthly and annual).

Guidance

• The appraisal report must meet the following requirements:
• A full narrative appraisal report issued within the last 12 months. Completed by an independent appraiser holding an Accredited Appraiser Canadian Institute (AACI) designation (E.A. Acceptable in QC);
• Include comments on economic life of the project, “as-is” (i.e. Land value) and “as-improved” values using appropriate methodologies, comparison of valuation across different valuation methodologies;
• Market feasibility including absorption study (specify pre-leasing % assumptions and estimated absorption of unit(s) per month);
• The appraisal report must establish a minimum market value for mortgage purposes and shall be issued within the last 12 months.
• At the underwriting stage, the report must authorize the lender and its assignees to rely on the report for financing purposes.

4. Approved zoning

• Municipal Documentation confirming zoning alignment to the project.

Guidance

• On-Reserve Applicants: A “Land Status Report” from Indigenous Services Canada meets this zoning requirement.

5. Geotechnical report

• Report signed by a recognized professional confirming that proposed construction and site improvements are feasible under existing soil conditions completed within the previous 5 years.

6. Letters of support for supportive and transitional housing proposals (if applicable)

• Letter from alternative funding source confirming ongoing funding for Operating and Maintenance costs (if not being provided from within your organization);
• Letter from alternative funding source confirming funding for wrap-around supportive services (if not being provided from within your organization); and,
• Letter of support from an Indigenous organization for projects intended to serve Indigenous populations (if your organization is not an Indigenous Government or organization).

7. Other investment sources

An overview of all co-funders, including documents below, as applicable;

• Capital Investment; documentation providing overview of all investment sources including, financing, in-kind, forgivable loans, grants, waiver of development charges etc.;
• Operational Funding; documentation providing overview of all operational funding support (rent supplement, operating subsidy, property tax waiver etc); and,
• In situations where operational funding is not available for full term of affordability period, proponents must demonstrate how they will ensure project viability following expiration of funding (work plan).

Guidance

• Draft agreements are acceptable at this stage recognizing other investments may be contingent on BCH investment.

Required documents at first advance

1. Proponent details

• Finalized executed Organization Chart (if applicable);
• Band Council Resolution or Officer Certificate;
  • A resolution, certificate or agreement identifying designated signing authority(s).

2. Proposal details

• Copy of building permits, confirmation of zoning (as applicable);
• Registration/Security Agreements (guarantees etc.);
• Confirmed Draw Down Schedule
  • Confirmation of the finalized timeline outlining payment dates including all sources of funding, client equity injection, and when BCH funding is provided.
• Included in BCH Loan Agreement;
  • Proponent Certificate to Forgivable Loan Advance (if applicable);
  • Project Status Certificate;
  • Project Consultant’s Certificate;
  • Advance Notice.
• Certificate of Substantial Completion (if applicable);
• Statutory Declaration of Progress Payment Distribution by Contractor (CCDC) Form 9A-2011 or equivalent;
• Occupancy Permit (if applicable);
• Tenant Support Agreements-On-site (as applicable);
• Confirmation of on-site tenant supports offered by a third-party provider; and,
• Executed Agreements as drafted by BCH (operating agreements, co-funder agreements etc.)

3. Environmental site assessment

• Phase 1 Environmental Site Assessment report less than 18 months old;
• Phase 2 Environmental Site Assessment report (if applicable);
• Record of Site Condition application (if applicable);
• Risk assessment (if applicable); and,
• Confirmation of site remediation (if applicable).

4. Other agreements

Additional documents as described below, as applicable

• Shared Facilities Agreement;
• Management/Operating Agreements;
• Lease Agreement;
• Funding Agreements;
• Partnership/Shareholder Agreement;
• Beneficial Owner Agreement; and,
• Condominium by-laws.

5. Additional Project Financials

Quantity Surveyor (QS) report

Minimum of Class A estimate report or cost consultant certified report and including;

• Confirmation to BCH of the project budget including hard/soft costs, cash flow, and all funding sources;
• Provide either a fixed-price contract or a construction management arrangement, ensuring that fixed-price contracts cover at least two-thirds (2/3) of the total hard construction costs. Identify all material contracts, defined as any contract representing 5% or more of the hard construction cost;
• Submit all relevant development and compliance documentation, including but not limited to zoning approvals, permits, legal agreements, and a certified legal survey;
• Include labour and material bonds, as well as a performance bond, with BCH named as a dual obligee. Each bond must cover a minimum of 50% of the respective labour and material costs and 50% of the performance obligation, where applicable; and,
• Provide details of all insurance policies in effect during the construction period, in accordance with the specified insurance requirements.

Labour, materials and performance bond

• Evidence that Labour, Material, and Performance Bond is in place. Each must be in an amount of not less than 50% of the contract price and BCH should be listed as a dual obligee;
• Side agreements pertaining to funding agreements.

Insurance consultant report

• An Independent Insurance Consultant’s report completed by a professional holding a Certificate in Risk Management (CRM) designation and/or;
• Construction Risk and Insurance Specialist (CRIS) designation. And should include;
  • Meet the requirements set in the Insurance consultant’s scope of work. Include details of all insurance policies in place as per BCH’s insurance requirement; and,
  • Include certificate(s) of insurance.

Banking information

• Confirmation that a distinct bank account has been established for the project.

Important notes

All professional reports must meet the following criteria:

• Prepared by Qualified Professionals: Reports must be authored by independent, arms-length professionals who hold a current, industry-recognized designation in their field and are in good standing with their governing body;
• Timeliness: Reports must be dated within 12 months of proposal intake (or within 18 months for Environmental Site Assessment Reports);
• Prepared for BCH: Reports must be either explicitly prepared for BCH or accompanied by a reliance/transmittal letter from the author confirming that the report may be used for funding purposes; and,
• Insurance Coverage: A copy of the professional’s liability insurance (Errors and Omissions) must be provided, meeting the dollar value requirements set by BCH and free of any limiting conditions.