The partnership behind the tallest and most ambitious luxury condominium development in Canadian history has disintegrated, sparking a court fight and raising doubts about the future of the project.
Jenny Coco, the road-paving magnate who partnered with well-known Toronto developer Sam Mizrahi to build The One, an 85-storey Toronto skyscraper, is asking the courts to appoint a special investigator to probe the affairs of their jointly owned company.
In a recent court application, the Coco family alleges that after years of discord between Mr. Mizrahi and Ms. Coco, Mr. Mizrahi agreed to buy out their interest in the project by Aug. 30. The Cocos allege they are owed roughly $100-million, which was injected as debt and equity.
But Mr. Mizrahi has failed to secure financing, the Cocos allege. “The buyout is not happening. Sam’s financing has fallen through and he cannot close,” the application alleges.