In the Spotlight: A conversation with Sébastien Berthelet
From starting out as a young transactional lawyer at BLG to heading up legal strategy for one of Québec’s largest real estate investors, Sébastien Berthelet’s story has been one of ever-greater responsibilities. Today, he serves as the Fonds immobilier de solidarité FTQ’s Vice-President, Legal Affairs. In discussion with BLG partner Stéphane Richer, he shared insights on his career, his recent transition to real estate, and the leadership philosophy he developed in an unexpected place — not in the boardroom, but out at sea with his family.
Striking a balance between growth and results
Stéphane Richer: You spent 18 years on the Fonds de solidarité FTQ’s private equity teams, and now you’ve stepped into a role in its real estate subsidiary. What inspired this shift in focus?
Sébastien Berthelet: It feels like something of a natural progression from my time at BLG. I was looking to dive even deeper into the business side of things. After 18 years at the Fonds de solidarité, I wanted to get more involved in strategic decision-making. I’ve taken a bit of a step back from the day-to-day aspect of transactions and now sit on the executive committee. That comes with a whole new level of strategic responsibility, but I’m still very much involved in transactions. It’s the best of both worlds.
SR: How has your background in transactional law and private equity shaped your approach to overseeing real estate legal matters?
SB: My experience in transactional law is directly applicable. From negotiating agreements and structuring partnerships to managing teams and planning exit strategies, the key skills are there. When you enter a business partnership, you need to plan how to handle that relationship until the end, which might be five, seven or ten years later. I was less familiar with real estate development, but everything related to guiding the legal aspect of a business partnership has been my bread and butter for 25 years.
I also know the organization inside and out. Understanding its social, reputational, and performance expectations helps me a lot. As an arm of the Fonds de Solidarité FTQ, the Fonds immobilier shares its mission to promote economic growth in Québec while delivering returns for our 800,000 shareholders — everyday people who contribute to their Fonds RRSPs.
The Fonds immobilier focuses on real estate development in Québec, working in partnership with top private developers. Usually, we provide 50 per cent of a project’s equity, but we’re not developers. Once a building’s occupancy has stabilized to a certain target (leases or sales), we start looking for buyers for the entire building in order to reinvest our capital into fresh ventures.
Navigating an evolving sector
SR: What are three factors that are going to make a big impact on the Fonds immobilier’s mission in the next three years?
SB: First: Interest rates and construction costs, which significantly influence the profitability of our projects. These two elements have had a huge impact on the condominium market. Now, we’re focusing much more on rental housing.
Second: Finding a balance between affordable and market-rate housing. With the housing crisis, the government has asked us to help finance social and affordable housing. We are happy to oblige, but we still need to maintain a certain balance so that our financial strategy pays off. And Québec needs both types of housing.
Third: Sustainable real estate. Bill 41 is a game changer. Under the Act, which was adopted in March 2024, buildings will now have to meet certain environmental performance requirements. Buildings will be categorized, rated, etc. Specific regulations are coming, but big change is to be expected. And we need to plan for it. Our projects usually take several years to come to fruition, from development to stabilization and sale, but the regulations will kick in well before then.
From young attorney to seasoned businessman
SR: Who had the biggest impact on you at BLG?
SB: Actually, it’s two people: André Dufour and John Godber. I joined BLG straight out of school. I had zero experience with transactions and contract law, whereas these two were seasoned pros at the Montréal office. I learned so much by working with them on their mergers and acquisitions files. They taught me a key principle: every client should feel they have your undivided attention, as if they were your only client. I cut my teeth at BLG, first as an articling student, and then as a lawyer. It was an excellent start to my career; I learned about meticulous and hard work, but also about customer service, and I still apply that knowledge today.
SR: What were your impressions of an in-house legal role once you made your move to the Fonds?
SB: One thing I like about being an in-house counsel is that, ultimately, I only have one client. In private practice, when you have many clients with differing expectations and the deadlines are always ASAP, it can get overwhelming. When you work for a single company, you know its ins and outs. You know its positions, past practices, and sensitivities. You know what will be accepted in negotiations — where to make concessions and where to stand firm. It’s such a pleasure.
SR: Why do you choose to stay connected to your BLG community?
SB: During the decade I worked at BLG, I formed strong relationships with many people. Today, I’m not just in touch with current BLG members, but also with a vast community of alumni throughout the business world. It’s an incredible network of contacts that I can call on to bounce around ideas. Sometimes, a few simple questions can open the door to big collaborations. It’s a real goldmine.
Insights on leadership from the high seas
SR: Twice, you’ve taken extended sabbaticals to go sailing with your family. How have those experiences informed your leadership style?
SB: These trips changed my perspective on work-life balance; they were transformational.
They shaped me into the leader that I am today. When I manage my team, I genuinely consider my colleague’s personal and family well-being. I’m convinced that it is possible to maintain a healthy work-life balance that doesn’t impact our performance nor our career. Employees with healthy and grounded personal and family lives are just as dedicated and high performing, they just approach their jobs differently.
Moreover, crossing oceans on a sailboat for months is all about preparations, anticipation, calm, and stress and crisis management. I use these skills at work every day!