CRA accepts that real estate provided by a franchisor’s subsidiary qualified for s. 167 election purposes as provided “under” the agreement between franchisor and franchisee

Although CRA would not consider an ETA s. 167 election to be available when a franchisor sets up a new franchised restaurant unless the restaurant premises are transferred to the franchisee "under" the agreement for the supply of the franchise, CRA considers this requirement to be satisfied if the agreement provides that the site will be leased to the franchisee by a real estate subsidiary of the franchisor.

Neal Armstrong. Summary of 25 July 2014 Interpretation 158278 under ETA, s. 167.