Form 6
SALE OF LAND BY PUBLIC TENDER
Municipal Act, 2001
Ontario Regulation 181/03, Municipal Tax Sale Rules
SALE OF LAND BY PUBLIC TENDER
The Corporation of the Township of The Archipelago
Take Notice that tenders are invited for the purchase of the lands described below and will be received until 3:00 p.m. local time on April 10, 2025, at the Township of The Archipelago, 9 James Street, Parry Sound Ontario.
The tenders will then be opened in public on the same day as soon as possible after 3:00 p.m. at the Township of The Archipelago, 9 James Street, Parry Sound.
Description of Lands:
1. Roll No. 49 05 090 005 01021 0000; NOT ASSIGNED (329 HEALEY LAKE WATER); PIN 52189-0303 (LT); PCL 13735 SEC SS; SUMMER RESORT LT 9 PL M284; PT RDAL IN FRONT LT 26 CON 4 CONGER PT LT 26, CON 4 CONGER, PT 9 42R8506; THE ARCHIPELAGO; File No. 23-01
According to the last returned assessment roll, the assessed value of the land is $193,000
Minimum tender amount: $11,183.10
2. Roll No. 49 05 100 006 07812 0000; NOT ASSIGNED (13 B717 ISLAND); PIN 52185-0646 (LT); LT 13 PL 197; THE ARCHIPELAGO; File No. 23-06
According to the last returned assessment roll, the assessed value of the land is $146,000
Minimum tender amount: $9,438.14
Tenders must be submitted in the prescribed form and must be accompanied by a deposit of at least 20 per cent of the tender amount, which deposit shall be made by way of a certified cheque/bank draft/ money order payable to the municipality.
Except as follows, the municipality makes no representation regarding the title to, availability of road access, or any other matters relating to the lands to be sold. Responsibility for ascertaining these matters rests with the potential purchasers. The assessed value, according to the last returned assessment roll, may or may not be representative of the current market value of the property.
Pursuant to the Prohibition on the Purchase of Residential Property by Non-Canadians Act, S.C. 2022, c. 10, s. 235 (the “Act”), effective January 1, 2023, it is prohibited for a non-Canadian to purchase, directly or indirectly, any residential property, as those terms are defined in the legislation. Contraventions of the Act
are punishable by a fine, and offending purchasers may be ordered to sell the residential property.
The municipality assumes no responsibility whatsoever for ensuring bidders/tenderers comply with the Act, and makes no representations regarding same. Prospective bidders/tenderers are solely responsible for ensuring compliance with the Act and are advised to seek legal advice before participating in this sale.
Transfers of properties that contain at least one and not more than six single family residences and are transferred to non-residents of Canada or foreign entities, are subject to the Province’s Non-Resident Speculation Tax (NRST).
This sale is governed by the Municipal Act, 2001 and the Municipal Tax Sales Rules made under that Act. The successful purchaser will be required to pay the amount tendered plus accumulated taxes and any taxes that may be applicable, such as a land transfer tax and HST.
The municipality has no obligation to provide vacant possession to the successful purchaser.
A copy of the prescribed form of tender is available on the website of the Government of Ontario Central Forms Repository under the listing for the Ministry of Municipal Affairs.
For further information regarding this sale and a copy of the prescribed form of tender, visit:
www.thearchipelago.on.ca/p/tax-sales
or if no internet access available, contact:
Erin Robinson, B.Comm., CPA
Director of Finance & Administration (CFO)
The Corporation of the Township of The Archipelago
9 James Street Parry Sound, ON P2A 1T4
(705) 746-4243 Ext. 334
erobinson@thearchipelago.ca
www.thearchipelago.on.ca
In order to obtain the Full Tender Package (via pdf, mail, or pickup at our front desk) please contact the Finance Department at finance@thearchipelago.ca or 705-746-4243. There is a fee of $25 that is required in full before receiving the Full Tender Package.
Payments for the Full Tender Package can be made in person by cash and/or debit or;
E-transfer to finance@thearchipelago.ca – Creation of a security question and answer is required to complete the e-transfer. Please send a separate email to finance@thearchipelago.ca with your security question answer, and the reason for the e-transfer, so we can retrieve your payment. Once payment has been received, a response to your email with a pdf copy of the Full Tender Package will be sent.
Frequently Asked Questions
What is a Municipal Tax Sale?
A municipal tax sale is when a municipality sells one or more properties, under the authority of the Municipal Act, to recover the outstanding property taxes which are two or more years in arrears. Traditionally in the Township, property owners will receive correspondence from the Town indicating that their property is now available for the municipal tax sale process, and encourage them to clear their account by a specific date. If the taxes are not cleared, the Township will proceed with the tax sale process without further notice. Property owners will be responsible for all legal and administrative costs relating to the tax sale process, the costs of which will be added to the respective property tax account. Once the property has been registered for Tax Sale, no partial payments are accepted by the Township.
If there is a mortgage on the property what happens to it?
When a municipality sells a property under the municipal tax sales process, and there is an outstanding mortgage/s on the property, the mortgages are eliminated. This is true except when the mortgage is in favour of the "Crown” – the "Crown” meaning the Government of Ontario and/or Canada, or one of their respective agencies. If a property is purchased with a Crown interest, the purchaser is responsible to pay whatever is owing to the Crown. If the outstanding lien is not paid, the Crown could seize the property at any given time.
Can a clear title be obtained if a property is purchased through the Municipal Tax Sales process?
Not necessarily. The onus is on the potential purchaser to do a title search and ascertain whether a clear title can be obtained. Consideration should be given to such items as Crown interests, execution in favour of Canada Revenue Agency, easements, restrictive covenants, and adverse possession. In most cases it is recommended that a professional title searcher be engaged to ascertain if any of these conditions exist and whether a clear title can be obtained. The Township does not currently have a staff person with that level of expertise to determine if a clear title is possible.
Can a property/house be inspected before purchasing?
The Township cannot authorize anyone to enter on another’s property nor any existing premises to view or examine the property. Only the current owner has the right to give that authorization. When a property is purchased through the municipal tax sale process it is "as is where is”.
What is the minimum tender amount or minimum bid amount?
The minimum tender or bid amount must be sufficient to clear outstanding municipal property taxes including but not limited to; property taxes, penalty and interest, any costs relating to the municipal tax sales process, Land Transfer Tax, and where applicable any GST. All purchasers must also provide a certified cheque or money order to satisfy any transfer costs that may be applicable at the local Land Registry Office.
Can the former owner redeem a property?
Upon registration of deed, the new purchaser’s name has been registered on title, and the former owner may not redeem the property. However, before the tax deed is registered on title, the former owner may redeem the tax arrears tax certificate by paying out all property taxes, penalty and interest, and costs relating to the municipal tax sale process.
When does the highest bidder or tenderer become the owner of the property?
Once the full redemption cost (incl. all outstanding taxes, penalty & taxes, tax sales cost, Land Transfer Tax, and if applicable HST) has been satisfied, a deed will be registered on title in the successful bidder or tenderer’s name, thus successful tenderer becomes the owner of the property.
How to submit a tender or quotation?
The Township of the Archipelago uses the tendering process to sell municipal tax sale properties. Tenders must be submitted on the legislated prescribed form known as Form 7. Tenders MUST include a certified cheque or bank draft equaling 20% of the tendered price. The tender advertisement will provide the deadline for submitting tenders – the date and time will be strictly enforced.
