Toronto The One | 328.4m | 91s | Mizrahi Developments | Foster + Partners

Hate to be a bearer of what looks like bad news(!) but I was sent this from a colleague this morning… - https://www.alvarezandmarsal.com/theone

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What will happen to The One Project now?

Arrangements have been put in place to provide for the continuing construction and development
of The One Project, and additional financing commitments have been secured from the Debtors’
existing senior secured lenders that will provide the Receiver with access to $315 million to fund
ongoing construction and development costs, among other expenses.

Mizrahi Inc. is continuing in its capacity as the General Contractor of The One Project under the
supervision of the Receiver. The Receiver will be engaging additional construction advisors,
including a project manager, to assist with day-to-day operations and to oversee the ongoing
construction of The One Project.
Click to expand...
 
Some tidbits from the court filings:
1. The project has recently lost its anchor retail tenant (i.e. Apple is out). No replacement yet.
2. Estimated completion date is currently March 2025, but that the realistic date is July 2025.
3. Estimated budget is now over $2 billion.

But to be clear, as ChesterCopperpot posted above, construction is continuing and as of now the building will be finished.
 
This
Start Fox said:
Some tidbits from the court filings:
1. The project has recently lost its anchor retail tenant (i.e. Apple is out). No replacement yet.
2. Estimated completion date is currently March 2025.
3. Estimated budget is now over $2 billion.

But to be clear, as ChesterCopperpot posted above, construction is continuing and as of now the building will be finished.
Click to expand...
damn about Apple. Was looking forward to that.

The key is that it doesn't end up a half-finished hulking mess for a few years until it can be sold and development restarted in some capacity. It's good to see it'll continue.
 
Pretty incredible that, despite all the Mizrahi-boosting, it turns out that most people were correct about their operations being a complete fiasco.
 
Start Fox said:
Some tidbits from the court filings:
1. The project has recently lost its anchor retail tenant (i.e. Apple is out). No replacement yet.
2. Estimated completion date is currently March 2025, but that the realistic date is July 2025.
3. Estimated budget is now over $2 billion.

But to be clear, as ChesterCopperpot posted above, construction is continuing and as of now the building will be finished.
Click to expand...
would that not mean the average PSF needs to be north of $2,400 just to break even.... it is NO WHERE near that level
 
jibsta said:
would that not mean the average PSF needs to be north of $2,400 just to break even.... it is NO WHERE near that level
Click to expand...
Interestingly the filings also say that 346 residential units have been sold totalling $675 million. 70 remain unsold, all above the 50th floor so presumably will go for a premium. I'm not sure of the economics of the retail, hotel, and commercial components but ya, that seems like a big gap.
 
toronto_cyclist said:
Pretty incredible that, despite all the Mizrahi-boosting, it turns out that most people were correct about their operations being a complete fiasco.
Click to expand...
I wouldn't agree with that. I'd be surprised if rising interest rates, being on the brink of recession and a post-covid move away from "luxury" doesn't play a much bigger part in all of it than Mizrahi's operations themselves.

The anti-Mizrahi doom-and-gloom was already well under way long before breaking ground.
 
Wasn't the whole complex design of the lobby based around Apple being the anchor tenant there? If so, what a waste of all the complicated work for nothing.

I certainly hope we don't end up with a bank, Shoppers or even Dollarama filling in that space going forward.
 
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