Real Estate Brokers and Sales Representative
Real Estate Developers
Under the PCMLTFA, you are considered to be a real estate broker or sales representative when you are registered and licensed by the province to act as an agent for the purchase and/or sale of real estate. This includes the buying or selling of lands, houses, and commercial buildings.
As a broker or sales representative, you are required to fulfill specific obligations, even if you do not receive a commission for the real estate transaction or whether you have related fiduciary duties with respect to the same transaction.
If you are a real estate developer that is considered a corporation, you are subject to these obligations below, regardless if you sell buildings on your own behalf or on behalf of a subsidiary/affiliate. In this situation, an entity is partnered with another entity only if one of them is entirely owned by the other, or if both are entirely owned by the same entity, or if their financial statements are combined.
As a real estate developer, if you engage a real estate broker or a sales representative to act as your agent for sales to the public sector, that broker/sales representative will be responsible for any legislative obligations.
A real estate developer is defined as an individual or entity who, other than a real estate broker or sales representative, in any calendar year after 2007, has sold the following properties to the public:
- Five or more new houses/condominium units
- One or more new commercial/industrial buildings
- One or more new multi-unit residential buildings that contain five or more residential units
- Two or more multi-unit residential buildings that contain five or more residential units
Obligations under the PCMLTFA
- Have a comprehensive and effective compliance program in effect
- Be thorough and know your client before engaging in any sort of business with them
- Report any suspicious transactions, terrorist properties, and large cash transactions
- Record keeping
Services offered are:
- AML/CTF Compliance Audit review
- Review of corporate documentation to identify the true owners
forcomplex commercial real estate transactions