We are Victims of the Fortress Real Development Syndicate Mortgage Investments.
A syndicate mortgage is a group of individuals who lend money privately to a borrower to finance real estate developments, such as residential condo buildings. In the case of Fortress Real Development Inc, loans were secured against major development proposal known as a Syndicated Mortgage Investment (“SMI”).These funds were primarily to finance the ‘soft costs’ of a real estate development. The minimum investment for an SMI was $25,000, and investors had the option to invest in cash or with registered funds, such as RRSPs.
The investors were lead to believe these were safe, low risk investments. Between 2008-2018 Fortress & affiliated brokers raised over $920 million in Syndicated Mortgage Investment Funds. Thousands of every day Canadians invested in these SMI's and many lost their life savings. After a lengthy investigation, on June 22, 2022 the RCMP charged the principals of Fortress with Fraud and Secret Commissions. They are due to stand trial in Toronto on April 8, 2024. View the timeline here for full details and scope of what expert call this the largest Real Estate Fraud in Canada's History.