My bet would be a lease or purchase of some part of the Y that is for sale.
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- Thread starter hoggytime
- Start date
Bayview is considered "Centretown West". So could be.
Per Hoggytime, YMCA would make sense. Orleans Y was sold and now a climbing gym opened (or will open sometime soon).
Spoonsy
New Member
The Yard has a big "LEASED" sign on it, as of this week
Well, here is some news I didn't expect:
Ottawa Train Yards placed in receivership over owner's unpaid $39 million loan
The Ottawa Train Yards on Industrial Avenue in Ottawa. (Google images)
Josh Pringle
CTV News Ottawa Producer and Digital Lead
Follow |Contact
Published June 26, 2024 1:24 p.m. EDT
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One of Ottawa's largest shopping centres has been placed in receivership over an outstanding $39 million loan by the owner of the property.
The Ontario Superior Court of Justice appointed Grant Thornton Limited as receiver and manager of the assets of Ottawa Train Yards on Industrial Avenue.
Court documents on the Grant Thornton Limited website show Manulife (The Manufacturers Life Insurance Company) filed an application for Grant Thornton Limited(opens in a new tab) to be appointed the receiver of all assets after the owner failed to make payment on an outstanding loan.
141 Ontario is the owner of a portion of the Ottawa Train Yards shopping district, which has over 150 shops and services. Over the years, there have been several empty storefronts at Ottawa Train Yards, but stores remain open for business this week.
Manulife extended a $45.5 million loan to 141 Ontario. According to the court documents, the loan matured and was due on Feb. 1, 2024, but 141 Ontario failed to repay the loan upon maturity. As of March 21, 224, $39.4 million remains outstanding under the loan.
"141 Ontario has largely been non-responsive to Manulife’s repeated communications regarding the obligation to repay the Loan, both before and after the maturity date," says the documents. "141 Ontario has not engaged in any constructive communication with Manulife regarding its obligation to repay the Loan."
Manulife advised 141 Ontario in writing last August and November that it would not offer a renewal of the loan upon its maturity.
The documents show Manulife is 141 Ontario's major secured creditor.
"Manulife has lost confidence in 141 Ontario's willingness and ability to effectively manage, preserve and protect the Property, which constitutes Manulife's primary collateral for its very substantial Loan," says the court filing.
Grant Thornton was granted the Receivership Order on June 19.
According to Grant Thornton, it commenced "safeguarding and taking control of the real property" of 141 Ontario when the Receivership Order was issued.
"The Receiver has not been provided with any of the Companies’ books and records," the letter says.
"As such, the Receiver does not have the net book value of the Company’s assets, or a complete list of creditors. The Receiver continues to pursue the recovery of the Company’s books and records from 141 Ontario and Controlex Corporation."
Grant Thornton says there are two creditors who have registrations against the company and/or the land – Manulife and Bank of Montreal.
The Ontario Superior Court of Justice ruling to appoint a receiver states Grant Thornton is empowered and authorize to manage, operate and carry on the business of the debtor.
This is a developing story. CTV News Ottawa will have the latest as it becomes available
Ottawa Train Yards placed in receivership over owner's unpaid $39 million loan
Ottawa Train Yards placed in receivership over owner's unpaid $39 million loan
The Ottawa Train Yards on Industrial Avenue in Ottawa. (Google images)
Josh Pringle
CTV News Ottawa Producer and Digital Lead
Follow |Contact
Published June 26, 2024 1:24 p.m. EDT
Share
One of Ottawa's largest shopping centres has been placed in receivership over an outstanding $39 million loan by the owner of the property.
The Ontario Superior Court of Justice appointed Grant Thornton Limited as receiver and manager of the assets of Ottawa Train Yards on Industrial Avenue.
Court documents on the Grant Thornton Limited website show Manulife (The Manufacturers Life Insurance Company) filed an application for Grant Thornton Limited(opens in a new tab) to be appointed the receiver of all assets after the owner failed to make payment on an outstanding loan.
141 Ontario is the owner of a portion of the Ottawa Train Yards shopping district, which has over 150 shops and services. Over the years, there have been several empty storefronts at Ottawa Train Yards, but stores remain open for business this week.
Manulife extended a $45.5 million loan to 141 Ontario. According to the court documents, the loan matured and was due on Feb. 1, 2024, but 141 Ontario failed to repay the loan upon maturity. As of March 21, 224, $39.4 million remains outstanding under the loan.
"141 Ontario has largely been non-responsive to Manulife’s repeated communications regarding the obligation to repay the Loan, both before and after the maturity date," says the documents. "141 Ontario has not engaged in any constructive communication with Manulife regarding its obligation to repay the Loan."
Manulife advised 141 Ontario in writing last August and November that it would not offer a renewal of the loan upon its maturity.
The documents show Manulife is 141 Ontario's major secured creditor.
"Manulife has lost confidence in 141 Ontario's willingness and ability to effectively manage, preserve and protect the Property, which constitutes Manulife's primary collateral for its very substantial Loan," says the court filing.
Grant Thornton was granted the Receivership Order on June 19.
According to Grant Thornton, it commenced "safeguarding and taking control of the real property" of 141 Ontario when the Receivership Order was issued.
"The Receiver has not been provided with any of the Companies’ books and records," the letter says.
"As such, the Receiver does not have the net book value of the Company’s assets, or a complete list of creditors. The Receiver continues to pursue the recovery of the Company’s books and records from 141 Ontario and Controlex Corporation."
Grant Thornton says there are two creditors who have registrations against the company and/or the land – Manulife and Bank of Montreal.
The Ontario Superior Court of Justice ruling to appoint a receiver states Grant Thornton is empowered and authorize to manage, operate and carry on the business of the debtor.
This is a developing story. CTV News Ottawa will have the latest as it becomes available
From OBJ:
David Sali
The Ottawa Train Yards houses over 750,000 square feet of retail space covering over 110 acres of property.
The Ottawa Train Yards remains a “fantastic” site for retailers even as part of the shopping complex has been placed in receivership, a leading real estate broker says.
“It’s got a great tenant mix,” Jamie Boyce, a senior vice-president in CBRE’s Ottawa office who specializes in retail leasing, told OBJ on Thursday.
“I’m not sure what’s happened behind the scenes, but I would say that whatever is ongoing is an anomaly. I see no weakness in that particular roster of tenants and location.”
The Ontario Superior Court of Justice last week appointed Grant Thornton Limited as receiver and manager of the assets of a portion of the Ottawa Train Yards, which is located on Industrial Avenue west of St. Laurent Boulevard.
According to legal documents on the Grant Thornton Limited website, The Manufacturers Life Insurance Company (Manulife) filed an application for Grant Thornton to be appointed the receiver of all assets after the owner of a portion of the shopping complex failed to make payment on an outstanding loan.
141 Ontario is the owner of a 23.2-acre commercial site on the north side of Industrial Avenue. According to the court documents, Manulife extended a $45.5-million loan to 141 Ontario in December 2018 that matured and became payable on Feb. 1, 2024.
However, 141 Ontario failed to repay the loan upon maturity and, as of March 21, 2024, $39.5 million remained outstanding. The loan continues to accrue interest at the rate of $3,651 per day, the documents showed.
With more than 750,000 square feet of retail space, the Ottawa Train Yards is one of the city’s largest shopping malls. The complex is home to more than 150 retailers, services and restaurants.
But a number of the mall’s former tenants have closed up shop in the past couple of years, including fashion retailer Nordstrom Rack, housewares chain Bed Bath & Beyond and children’s furniture store buybuy Baby. Those spaces remain vacant.
Still, Boyce says the Train Yards’ tenant roster is “very solid” despite the exodus of some big-name retailers, adding the mall “remains a highly desirable location geographically and comparatively” to other similar shopping complexes in Ottawa.
“I know there are tenants that are interested in being there for sure,” he said.
Analysts say the Ottawa retail market remains healthy as available real estate continues to be hard to find and sales keep rising.
A report earlier this year from brokerage firm Marcus & Millichap said Ottawa’s retail vacancy rate hit an all-time low in 2023. The firm predicted the rate will fall another tenth of a percentage point to about 1.5 per cent this year, “making Ottawa one of the tightest retail markets in 2024.”
While some industry observers are forecasting a slowdown in overall retail sales growth this year, Boyce said Ottawa is “still undersupplied” when it comes to large, outdoor suburban shopping complexes.
Often referred to as “power centres,” such properties in the National Capital Region include Barrhaven’s Chapman Mills Marketplace, Nepean’s College Square mall and Kanata Centrum Shopping Centre.
“Those are all landmark retail locations that Train Yards would compare with,” Boyce explained, adding “those properties are very, very well occupied with very little vacancy.”
A lack of new construction has magnified the problem as developers put major developments on hold when the Bank of Canada hiked interest rates in an effort to smother inflation, analysts say.
Just 90,000 square feet of new space was added to Ottawa’s retail inventory last year, according to CBRE, and the firm is projecting no new developments to come online before the end of 2024.
Boyce said the lack of new retail builds in Ottawa “is consistent with major markets across Canada.”
But construction activity could start to pick up again if the Bank of Canada follows up its recent rate cut with more reductions over the next 12 to 24 months, he added.
“It’s just very expensive to build,” Boyce said. “For a developer or retailer to build and occupy, they need to have an exceptional sales (forecast).”
‘No weakness’ in Ottawa Train Yards’ tenants or location, veteran retail broker says
The Ottawa Train Yards houses over 750,000 square feet of retail space covering over 110 acres of property.
The Ottawa Train Yards remains a “fantastic” site for retailers even as part of the shopping complex has been placed in receivership, a leading real estate broker says.
“It’s got a great tenant mix,” Jamie Boyce, a senior vice-president in CBRE’s Ottawa office who specializes in retail leasing, told OBJ on Thursday.
“I’m not sure what’s happened behind the scenes, but I would say that whatever is ongoing is an anomaly. I see no weakness in that particular roster of tenants and location.”
The Ontario Superior Court of Justice last week appointed Grant Thornton Limited as receiver and manager of the assets of a portion of the Ottawa Train Yards, which is located on Industrial Avenue west of St. Laurent Boulevard.
According to legal documents on the Grant Thornton Limited website, The Manufacturers Life Insurance Company (Manulife) filed an application for Grant Thornton to be appointed the receiver of all assets after the owner of a portion of the shopping complex failed to make payment on an outstanding loan.
141 Ontario is the owner of a 23.2-acre commercial site on the north side of Industrial Avenue. According to the court documents, Manulife extended a $45.5-million loan to 141 Ontario in December 2018 that matured and became payable on Feb. 1, 2024.
However, 141 Ontario failed to repay the loan upon maturity and, as of March 21, 2024, $39.5 million remained outstanding. The loan continues to accrue interest at the rate of $3,651 per day, the documents showed.
With more than 750,000 square feet of retail space, the Ottawa Train Yards is one of the city’s largest shopping malls. The complex is home to more than 150 retailers, services and restaurants.
But a number of the mall’s former tenants have closed up shop in the past couple of years, including fashion retailer Nordstrom Rack, housewares chain Bed Bath & Beyond and children’s furniture store buybuy Baby. Those spaces remain vacant.
Still, Boyce says the Train Yards’ tenant roster is “very solid” despite the exodus of some big-name retailers, adding the mall “remains a highly desirable location geographically and comparatively” to other similar shopping complexes in Ottawa.
“I know there are tenants that are interested in being there for sure,” he said.
Analysts say the Ottawa retail market remains healthy as available real estate continues to be hard to find and sales keep rising.
A report earlier this year from brokerage firm Marcus & Millichap said Ottawa’s retail vacancy rate hit an all-time low in 2023. The firm predicted the rate will fall another tenth of a percentage point to about 1.5 per cent this year, “making Ottawa one of the tightest retail markets in 2024.”
While some industry observers are forecasting a slowdown in overall retail sales growth this year, Boyce said Ottawa is “still undersupplied” when it comes to large, outdoor suburban shopping complexes.
Often referred to as “power centres,” such properties in the National Capital Region include Barrhaven’s Chapman Mills Marketplace, Nepean’s College Square mall and Kanata Centrum Shopping Centre.
“Those are all landmark retail locations that Train Yards would compare with,” Boyce explained, adding “those properties are very, very well occupied with very little vacancy.”
A lack of new construction has magnified the problem as developers put major developments on hold when the Bank of Canada hiked interest rates in an effort to smother inflation, analysts say.
Just 90,000 square feet of new space was added to Ottawa’s retail inventory last year, according to CBRE, and the firm is projecting no new developments to come online before the end of 2024.
Boyce said the lack of new retail builds in Ottawa “is consistent with major markets across Canada.”
But construction activity could start to pick up again if the Bank of Canada follows up its recent rate cut with more reductions over the next 12 to 24 months, he added.
“It’s just very expensive to build,” Boyce said. “For a developer or retailer to build and occupy, they need to have an exceptional sales (forecast).”