Imagine buying a pre-construction condo.
You sign the agreement.
Pay your deposits.
Construction begins.
The buildings eventually look almost finished.
Then, before you move in, construction stops.
That is now the situation surrounding Everhome, the condominium development at 9704 McCowan Road in Markham.
On October 14, 2026, the Ontario Superior Court of Justice appointed Grant Thornton Limited as receiver and manager of Sher Markham Inc. and Sher Holdings Inc., the companies connected with the Everhome project. The receivership was requested by Meridian Credit Union Limited, which says it was owed approximately $57.7 million as of September 15.
According to court-file information, the project was approximately 86% complete, and 103 of its 131 residential units had been pre-sold as of July 2026. The development also includes one commercial unit.
That immediately raises the question many buyers are asking:
What happens to the people who already bought units?
But before jumping to conclusions, it is important to understand what receivership actually means.
What Happened at Everhome?
Everhome was planned as a mid-rise residential development at McCowan Road in Markham.
The project’s own website promoted features including geothermal heating and cooling, green roofs, large windows and private outdoor spaces. As of this week, the public website was still displaying messages including “Move-In This Year” and “Few Suites Available.”
But court records tell a much more complicated story.
Construction reportedly stopped around mid-May 2026.
According to materials filed in the receivership proceeding, the structures were substantially completed and the building envelopes were nearing completion, but significant interior work remained unfinished.
The lender’s evidence attributed the construction halt to a combination of:
- reported safety concerns;
- the construction manager leaving the project;
- a funding shortfall;
- and construction cost overruns.
By October 7, there were also 21 construction lien claims totalling approximately $11.4 million registered against the property. Court materials cited in the proceeding also estimated that more than $17 million could still be required to complete the development.
That left the project with a nearly completed physical structure — but a very serious financial and construction problem.
The Developer Tried to Avoid Receivership
The developer did not simply agree to the lender’s receivership request.
Sher Markham and Sher Holdings asked the court for another 30 days to pursue restructuring under the Companies’ Creditors Arrangement Act.
A proposed financing commitment of approximately $21.15 million had been presented the day before the hearing.
But Justice Sean Dunphy declined to delay the receivership.
The court found that the proposed restructuring was not sufficiently advanced and that waiting longer could expose the secured lender to further risk. Grant Thornton was therefore appointed receiver on October 14.
The receivership proceeding remains active.
What Does “Receivership” Actually Mean?
This is where buyers should be careful with headlines.
A project going into receivership does not automatically mean:
the development is cancelled tomorrow.
It also does not automatically mean:
every buyer has lost their deposit.
A court-appointed receiver steps in to take control of the assets and deal with the financial situation under the authority of the court.
Depending on the circumstances, a receiver may consider possibilities such as:
- preserving the property;
- arranging financing;
- completing construction;
- selling the project to another party;
- selling the property itself;
- dealing with creditors;
- and determining how existing purchase agreements should be handled.
The outcome can vary significantly from one project to another.
For example, Tarion has stated in other Ontario receivership cases that the appointment of a receiver by itself did not automatically terminate existing agreements of purchase and sale. What ultimately happens depends on the receivership process and future court orders.
For Everhome specifically, buyers should therefore follow Everhome-specific receiver and court updates, rather than assuming the outcome based on what happened at another project.
Does This Mean the 103 Pre-Construction Buyers Lose Their Units?
Not necessarily.
As of the latest court information reviewed for this article, Everhome had 103 residential purchase agreements in place as of July 2026.
But the receivership is still relatively new.
The court appointed the receiver only on October 14.
That means buyers should be cautious about headlines suggesting that all 103 agreements have already been cancelled.
At this stage, the more accurate statement is:
the project’s future is now being dealt with through the receivership process.
Whether existing agreements ultimately remain in place, are amended, are assumed by another party, or are terminated will depend on what happens next.
This is one reason affected purchasers should speak directly with their own real estate lawyer rather than relying only on social media posts, sales representatives or online discussions.
What About Buyers’ Deposits?
This is probably the biggest concern for anyone who purchased at Everhome.
Ontario provides several protections around deposits for new condominium purchasers.
Under the Condominium Act, money paid toward the purchase of a proposed condominium unit generally must be received and held in trust by an eligible trustee or the developer’s solicitor, subject to the rules in the Act. Ontario also tells pre-construction condo buyers that developers must ensure deposits are held in trust.
There may also be Tarion protections where applicable.
However, this is exactly where buyers should not assume every purchaser’s situation is identical.
The amount paid, how the funds were handled, the purchase agreement and any applicable security arrangements can matter.
If you purchased at Everhome, the practical step is not to guess how much is protected.
Instead:
take your Agreement of Purchase and Sale and all deposit receipts to your lawyer and confirm exactly how your own deposits were structured.
Receivership Is Not the Same as Bankruptcy—and It Is Not the Same as Cancellation
These terms are often mixed together online.
They should not be.
Receivership
A receiver has been appointed to take control of certain property and assets and administer them under court supervision.
Bankruptcy
A separate insolvency process with its own legal consequences.
Project cancellation
The actual pre-construction development does not proceed and purchase agreements may eventually be terminated in accordance with the relevant legal process.
One can lead to another.
But they are not interchangeable.
Everhome is currently in:
court-appointed receivership.
That is the important fact buyers should focus on right now.
If You Bought at Everhome, What Should You Do Now?
If you already signed an Everhome purchase agreement, this is not the time to make decisions based on panic.
There are several practical steps worth taking.
1. Do Not Assume Your Agreement Has Been Cancelled
Unless you receive formal information affecting your purchase agreement, do not simply assume that a news story means your contract has disappeared.
Likewise, do not attempt to walk away from your agreement without first getting legal advice.
2. Find Your Entire Purchase File
That should include:
- Agreement of Purchase and Sale
- Amendments
- Deposit receipts
- Builder notices
- Occupancy-date notices
- Upgrade agreements
- Assignment documents, if applicable
- Financing records
- Correspondence from the developer
Keep everything together.
You may need those documents later.
3. Speak With Your Real Estate Lawyer
This is especially important if:
- you have paid a significant deposit;
- you were expecting occupancy soon;
- you planned to sell your current home before occupancy;
- your mortgage approval has an expiry date;
- or your agreement includes dates that have already been delayed.
Your lawyer can review your actual contract.
That is much more useful than asking:
“What normally happens in receivership?”
because your rights depend partly on the agreement you actually signed.
4. Monitor the Receiver—Not Just the Developer’s Marketing Website
Doane Grant Thornton now lists Sher Markham and Sher Holdings Inc. among its creditor-update matters.
That is the type of source affected buyers should monitor going forward.
Court filings and receiver notices become especially important once a project enters formal insolvency proceedings.
This Everhome situation is actually a good example of why.
The project’s public website was still advertising:
“Move-In This Year”
and available inventory when checked this week, while court records show construction stopped months earlier and the project is now under receivership.
That does not necessarily mean the website is intentionally misleading.
It may simply not have been updated.
But it demonstrates an important lesson:
during a receivership, buyers should rely on current court and receiver information for the project’s legal status.
Does Everhome Mean Buyers Should Avoid Pre-Construction?
No.
That would be too simple.
Thousands of new homes and condominiums are completed successfully in Ontario.
Pre-construction can still make sense for buyers who value:
- a brand-new home;
- more time before closing;
- staged deposits;
- newer building systems;
- specific layouts;
- or access to a new community.
But Everhome is another reminder that pre-construction has a type of risk that resale buyers generally do not face:
you are buying something that is not finished yet.
Between the day you sign and the day you close, a lot can happen.
Construction costs can change.
Financing conditions can change.
The developer’s financial position can change.
Construction can be delayed.
A project can enter restructuring or receivership.
That does not mean you should never buy pre-construction.
It means:
builder and project due diligence matters.
Before Buying Pre-Construction, Don’t Only Compare the Floor Plan and Incentives
A lot of pre-con marketing focuses on:
- Price
- Floor plan
- Deposit structure
- Free parking
- Assignment
- Decor credits
- Limited-time incentives
Those things matter.
But buyers should also investigate the company that is actually selling and building the home.
Ontario’s Home Construction Regulatory Authority recommends checking the Ontario Builder Directory before signing an agreement or paying a deposit.
The directory provides information about licensed builders and sellers, including licensing information and other available records.
A buyer considering pre-construction should be asking:
- Who is the legal vendor in my agreement?
- Is the builder licensed?
- Is the home enrolled with Tarion?
- What projects has this builder completed?
- Has occupancy been delayed?
- What are the cancellation conditions in my agreement?
- Where are my deposits being held?
Those questions may not look as exciting as:
“Do I get a free parking space?”
But they may ultimately matter much more.
Use the 10-Day Cooling-Off Period Properly
Ontario purchasers of new or pre-construction condominium units generally have a 10-day cooling-off period after receiving the required documents.
During that period, buyers can cancel without penalty and receive their deposit back.
That period should not simply be treated as:
“10 days to decide whether I like the unit.”
Use it to have a real estate lawyer review:
- the purchase agreement;
- closing costs;
- development charges;
- occupancy provisions;
- assignment restrictions;
- cancellation conditions;
- and other important clauses.
Ontario’s HCRA specifically encourages buyers to use the protections and information available before committing to a new-build purchase.
One Important Lesson From Everhome: “86% Complete” Is Still Not 100%
This may be the most striking part of the story.
Everhome was not an empty site.
It was not a project that had only sold a few units and never started construction.
According to court material:
construction was approximately 86% complete.
The structures were substantially finished.
More than 100 residential units had been pre-sold.
And yet the project still reached receivership before completion.
For buyers, that is an important reminder:
When you purchase pre-construction, the relevant question is not only:
“Has construction started?”
or:
“How far along is the building?”
A project can be physically advanced and still face financial difficulties.
Construction progress and financial stability are related — but they are not the same thing.
What Happens Next at Everhome?
At this point, the most responsible answer is:
we do not know the final outcome yet.
The receivership is active.
Grant Thornton has been appointed to manage the process.
Future steps could involve decisions about completion, financing, sale of the project and the treatment of existing purchase agreements.
Those decisions may require additional court approvals.
So buyers should be careful with anyone claiming:
“The project is definitely cancelled.”
or:
“Everything will definitely be completed exactly as originally promised.”
Neither conclusion is supported yet.
The situation can change as the receiver reviews the project’s finances, contracts and construction requirements.
JDL Realty Perspective
The Everhome story should not be used to scare buyers away from every new development.
But it should change the way buyers think about pre-construction.
A good pre-con decision is not only:
“Do I like this project?”
It is also:
“Do I understand what I’m signing?”
and:
“Have I looked beyond the marketing material?”
Before buying, buyers should compare:
- the project;
- the builder;
- the legal vendor;
- the deposit structure;
- construction timeline;
- expected closing costs;
- resale alternatives;
- and their own ability to handle delays.
For some buyers, a new development will still be the right choice.
For others, an already-completed resale condo or home may provide greater certainty.
Neither option is automatically better.
The important thing is understanding the trade-off before committing hundreds of thousands of dollars.
Frequently Asked Questions
Is Everhome Markham cancelled?
As of the latest information reviewed on October 21, 2026, the companies connected with Everhome have been placed into court-appointed receivership. That does not by itself establish that every existing purchase agreement has been cancelled. Buyers should monitor formal receiver and court updates.
How complete is Everhome?
Court materials state that the project was approximately 86% complete. The structures were substantially completed, although interior work remained unfinished.
How many Everhome units were sold?
The court record indicates agreements of purchase and sale had been signed for 103 of the 131 residential units as of July 2026.
Why did construction stop?
Court-file materials cited a combination of reported safety concerns, the departure of the construction manager, a funding gap and construction cost overruns. Construction reportedly stopped around mid-May 2026.
Does receivership mean purchasers lose their deposits?
Not automatically. Ontario has rules around pre-construction condominium deposits, which generally require deposit funds to be held in trust, subject to the Condominium Act’s provisions. The treatment of any particular Everhome purchaser’s deposit depends on their agreement and the receivership process, so affected buyers should obtain legal advice about their own situation.
Who is the receiver?
Grant Thornton Limited was appointed receiver and manager on October 14, 2026.
The Bottom Line
Everhome is a particularly striking case because this was not simply a proposal on paper.
The Markham project had:
131 residential units
103 pre-sales
and was reportedly:
about 86% complete.
Yet construction stopped and the companies behind the project are now in court-appointed receivership.
For existing Everhome purchasers, the priority now should be:
formal information, legal advice and receiver updates — not rumours.
For buyers considering other GTA pre-construction projects, the bigger lesson is:
Don’t only ask:
“What’s the starting price?”
Ask:
“Who am I actually buying from, what protections do I have, and what happens if the project doesn’t proceed exactly as planned?”
That does not eliminate every risk.
But it makes you a much better-informed buyer.
Considering a Pre-Construction Home in the GTA?
If you’re comparing new projects in Markham, Richmond Hill, Vaughan, Toronto or elsewhere in the GTA, tell JDL Realty:
Budget + preferred area + property type
We can help you compare current new-build options alongside nearby resale properties, including pricing, floor plans, deposit schedules, expected occupancy and the questions worth asking before you sign.
Because with pre-construction, choosing the right unit is important.
Understanding the project behind the unit is just as important.
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