It didn't feel crammed in when I was there - that may an effect of the wide-angle lens at its widest, bringing more into the frame than one sees naturally. I thought it was pretty good use of space. Check out the first post in the originating thread and its Google map: there's quite a bit of space here for this new building.
This looks goiod but it is a bit sad about the old building being blocked off. I remember when it was built. It was always a landmark when one crossed over the Dundas/Royal York bridge.