In response to the more than the estimated 3,000 small businesses negatively affected by the Eglinton Crosstown LRT project, BridgePoint Financial said today it has launched CrosstownHelp, an expropriation and business-loss consulting and financing program designed to “help recoup losses and restore financial and business stability to those impacted by the delayed infrastructure project.”
BridgePoint said it provides businesses with access to legal representation, advice, and financing that can be used for working capital, relocation costs, or to pay for the costs of litigation allowing them to withstand the negative financial effects of the government’s actions.
“(We) launched CrosstownHelp to educate businesses and provide them with the guidance and financial support they need to pursue expropriation claims and receive the fair compensation they are entitled to,” said company co-founder and principal John Rossos.
“The cost of expropriation is significant, and while the Eglinton LRT is a much-needed infrastructure project, hundreds of businesses have received substantially less than fair value to cover the loss and interruption of business.”
In a release, BridgePoint said the LRT project, as with many road construction initiatives, has come at a big cost to business owners who often have to borrow, relocate or close down altogether.
“The Ontario Expropriation Act provides that businesses will receive fair compensation for business interruption, relocation and ancillary costs, and loss of business and goodwill. To date, $6.6 million has been given to Business Improvement Areas for marketing, parking, and maintenance support, while the province of Ontario recently announced $3 million to support the areas impacted by the construction.”
“For small business owners operating along Eglinton Ave., the transit project is a threat to their livelihood,” said Rossos. “In many cases, these business owners feel intimidated and aren’t aware of their options or that they have any. BridgePoint’s goal is to give businesses the best opportunity to level the playing field to advance their claims.”
BridgePoint said it will provide businesses with financing to assist with:
- Costs associated with loss of revenue including legal and expert fees or business relocation
- Costs due to business interruption including working capital to stabilize the business, preserve goodwill and cover damages; and
- Access to legal representation and advice including experts in expropriation and funding to pay for those costs.
The Eglinton Crosstown LRT is one of the largest transit projects in Canada and, once completed, will include 25 stops along a 19-kilometre corridor across Eglinton Ave. in Toronto.
According to BridgePoint, since construction began in 2011, “more than 140 businesses along Eglinton Avenue West have closed. Recently, the City of Toronto announced that construction will continue well into 2022.”
