Background: Lanyard Investments Inc., acting as general partner of LFC 3Road21 Limited Partnership, held a first mortgage over two adjacent lots in Vancouver leased to a car dealership. Amber Mortgage Investment Corp., a second mortgagee, was concerned about the security of its interest due to the priority of Lanyard's mortgage. The properties had significant development potential but were subject to zoning and Floor Space Ratio (FSR) restrictions. Disputes arose over the property’s value, influenced by potential zoning changes and development opportunities near the Aberdeen SkyTrain station.

Legal Issues: Amber sought an order nisi and conduct of sale, arguing that its mortgage security was at risk, particularly since Lanyard’s first mortgage amount of $11,735,685 exceeded the value appraised by Amber’s experts. Amber sought a shortened redemption period, claiming that waiting for the full six-month period could further jeopardize its security.

Property Value Dispute: Three appraisals of the property were presented, with values ranging from $13,890,000 to $19,428,000. The court considered the appraisals and calculated that Amber's security might be at risk if the property sold for less than $14,234,932.

Court's Decision: The court granted Amber conduct of sale in the Lanyard Proceedings and shortened the redemption period to one month. The estimated value was set at $15,506,241, which placed Amber’s security at risk within three months.

Costs: The court awarded costs at Scale B in favor of Amber, as the application was contested.