[Bogtrotter]

"Tallest I'll give you (for now) but most striking is certainly up for debate. Vancouver's Wall Centre is more striking IMO, and Harry's tower was finished off on the cheap inside and out (and that's according to Stinson himself)."


Yeh I prefer Wall as well. Well it is the tallest so far I have a soft spot for Harry. Anybody who holds a their chin-up to Donald Trump is ok my books. Donald Trump is a dick btw.

 

[elook]

Heard today that to add to the intrigue, the condo corp filed a $20 million suit against Mirvish's 1 King West Inc.

Stinson was on 680 News this afternoon explaining the situation...and laying the blame on Mirvish. Harry seems to like to blame others: stupid city officials, banker who won't give him money, Mirvish, etc.

Oh, and more on the union situation today:

Clean Sweep for Union By Hotel Workers at 1 King West

Workers want better working conditions and a secure future in Stinson/Mirvish battle

TORONTO, March 9 /CNW/ - Hotel workers at Harry Stinson's Toronto hotel, 1 King West voted 42 to 0 yesterday in an Ontario Labour Relations Board vote to be represented by UNITE HERE, Toronto's hotel workers' union.

"We stood together and showed 1 King West that we wanted to be members of UNITE HERE," said Jocelyn Cuasay, a room attendant there. "This is about our working conditions and it is also about us having a voice. We want to make sure the concerns of room attendants working at 1 King West aren't lost in a battle between two of Toronto's most powerful men."

Today, the Toronto Star is reporting that "Harry Stinson is in an $11.8 M feud with David Mirvish over 1 King West" and though Stinson says in that same article that "the hotel side of the business is actually doing well", workers want to ensure their concerns are not lost in the legal battle.

Workers at 1 King West voted unanimously to form a union because they are looking for respect and dignity at work, said Cuasay.

"We are the invisible workers who are making the 1 King West hotel really successful but our concerns are being overlooked. We need to have our issues addressed and it seems that instead people's heads are in the clouds."

UNITE HERE has been working with community activists for over a year on the Hotel Workers Rising campaign to raise the standards for hotel workers across North America. Addressing issues like room attendants' workload and
training opportunities for some of Toronto's most vulnerable workers, the campaign has been successful in raising the standard of living for thousands of GTA workers and their families.

"This win at 1 King West is really a victory for all hotel workers in Toronto," said Jasmin Canales, who works at the Marriott Courtyard, a hotel represented by UNITE HERE Local 75. "We know that we do better when all of Toronto's hotel workers have the benefit of a union and that is why I was proud to stand outside 1 King West yesterday and welcome the workers there into our union."

 

[SD2]

Amazing that with all the help Mirvish has provided he still tries to make him out to be a villain...for providing the help no one else would give him.

You'd think Mirvish owes him $11.8 million.

 

[blixa442]

Why is this in Projects & Construction?

Probably because it was breaking news in the morning and it made sense to post in the most popular part of the fourm to avoid multiple postings in different sections. As expected, the moderators sensibly moved it to another part of the forum after a few posts when the thread got some traction.

 

[elook]

Condo owners sue Mirvish for negligence
`We have met our obligations' at 1 King W., he says
March 10, 2007
Tony Wong
business Reporter

Toronto theatre producer David Mirvish's company has been named in a $30 million lawsuit from condominium owners at a controversial hotel-condominium project that he has built with partner Harry Stinson.

The suit, filed at the Ontario Superior Court of Justice late yesterday, asks for $20 million for negligence because of deficiencies in the construction of 1 King West.

It is the latest twist in a high-profile battle between unit holders at the building and the two partners. In addition to Mirvish's company 1 King West Inc., unit purchasers are suing related development companies, including builder EllisDon Corp., for an additional $10 million in damages. The City of Toronto is also named for not properly reviewing the process.

The suit lists a lengthy basket of defects at the building, one of the city's first condo-hotel developments that includes the Historic Dominion Bank building and a 51-storey behind it. The allegations have not been proven in court.

The defects, according to the suit include failure to repair windows, building components, poor cooling equipment, and front doors that were not installed properly including "serious and defective" construction.

In an interview at his King St. headquarters yesterday, Mirvish said he has been conscientious about attending to deficiencies in the building.

"We have met our obligations and we always stand by our obligations," said Mirvish, who is also involved in a squabble with partner Stinson. Stinson was recently elected to the condo board.

Yesterday Mirvish said he hasn't made a dime and will likely lose millions on the project.

"I have millions of dollars tied up in that property including my credibility and my good name," said Mirvish in rare and outspoken comments. "Harry has never failed to disappoint me on every promise he has made."

Stinson has filed for protection under the Companies' Creditors Arrangement Act at the Superior Court of Justice last month.

Stinson owes Mirvish $11.8 million, but is disputing the value of the mortgage held on some space at 1 King W.

Stinson said in an interview yesterday that there was "no agenda to ruin David's name.''

``I don't think anybody questions David's intent. We have both been maligned by this situation. But we simply want to get the problems of the building fixed."

Meanwhile, there might be a silver lining for the Ontario Club, which is without a home because of the feud. The Bay St. club was to move into 1 King W. at the beginning of the month as their lease in Commerce Court ran out. But the move was called off because of the uncertainty. Stinson says he has offered the club the 12th floor of the building.

Stinson is supposed to appear at a real estate wealth convention this month as one of a number of speakers including billionaire Donald Trump.

"It seems to me that anyone who wants to learn how to get rich from Harry better think twice," said Mirvish.

 

[elook]

Seems to me that the dispute could centre around the Dominion Club space. Why else would Stinson offer up the 12th floor instead? And what of Harry's unit - was that the 12th floor?

Does Harry live in 1 King West?

 

[prometheus the supremo]

there is something just soo evangelical about that learning annex. they look like a bunch of faith healers.

will they start off with this prayer?


our real estate, who art in toronto

condominiums be thy name

by king & yonge, or on a pile of dung

on the first floor as it is on the seventh

give us this day the daily STAR

and forgive us for claiming bankruptucy

as we forgive those who tresspass on our property

and deliver us from our creditors

amex.

 

[scarberiankhatru]

 

[AlvinofDiaspar]

And the Post:

Business partners trade allegations over condo deal
Nicole Girardin And Garry Marr, National Post, with files from Ian Munroe
Published: Saturday, March 10, 2007

David Mirvish, the theatre impresario, has held his tongue for years as his flamboyant business partner, condo developer Harry Stinson, talked to the press about the troubles in the 51-storey hotel, The Suites at One King West, that Mr. Stinson developed with Mr. Mirvish's money.

But yesterday Mr. Mirvish finally had had enough, and summoned the media to his office next to the celebrated Princess of Wales Theatre, where he aired his deep-felt disappointment.

"I found [Mr. Stinson] would do things without ever telling me and I would say, 'Harry, we never discussed this' and he would say, 'OK, I won't do it again' and then two weeks later he just would do it again," said Mr. Mirvish.

Mr. Mirvish was in New York scouting the next Broadway show, when he learned that Mr. Stinson was seeking protection under the Companies Creditors' Arrangement Act. Mr. Stinson, 53, claims that Mr. Mirvish didn't live up to his obligations by finishing the building at One King West to "acceptable standards."

"We've made this thing work," Mr. Stinson countered last night. "For David to say he was suckered is, to put it mildly, saddening."

Mr. Mirvish says Mr. Stinson owes him $11.8-million; Mr. Stinson claims that debt should be closer to $2-million to $3-million.

Mr. Mirvish said his business partner was constantly going behind his back to make decisions on the 572-unit condo project.

"My concern is the court of public opinion, which will make up its mind long before we get to court," Mr. Mirvish said.

"I was very much enamoured by Harry's enthusiasm, ideas, ambitions and plans when I first met him. He came to me wanting to build a structure that would enhance the downtown."

The problems, said Mr. Mirvish, were that his partner didn't seem to have concrete plan.

He detailed occasions where Mr. Stinson would construct something in the middle of the night to avoid confrontation and make impulsive purchases such as the time he bought $400,000 worth of granite and shoved it all in a warehouse.

"We need someone to run this building no w," said Mr. Mirvish, who still owns 35 units in the tower.

Mr. Mirvish's lawyer, Jeffrey Carhart, of Miller Thomson, said the court hearing on Feb. 27 caught him by surprise.

"You do not go to court without giving notice to your largest secured creditor," Mr. Carhart said. "Because I wanted to get to court so quickly [on Feb. 27] I didn't even gown. I went in my suit, walked into the courtroom and submitted to the court the proceedings should be brought to an end."

The proceedings have been adjourned without any decision.

Meanwhile, a few blocks east, Mr. Stinson yesterday held his traditional perch at his huge, chest-high desk in the corner of The Suites at One King West, where he normally works until 2 or 3 a.m. He looked more tired than usual, and while his ex-friend is the one in the theatre business, yesterday Mr. Stinson provided the theatrics.

"It reminds me of the Monty Python piece where they're going in the village with the cart," Mr. Stinson said re-enacting the scene from Monty Python and the Holy Grail. "Get in the cart. I'm not dead yet! No, you're nearly dead -- get in the cart!"

Mr. Stinson's bad day got worse when Unite Here, a union for hotel workers, announced yesterday that staff at One King West voted 42-0 in an Ontario Labour Relations Board vote to join the union.

On another front, the venerable Ontario Club has pulled out of a deal to move into One King Street West.

Stephen Lautens, 47, past president of the Ontario Club, said on the club's behalf yesterday that the club received letters from Mr. Mirvish's lawyers in January saying that Mr. Mirvish held the mortgage to One King Street West, and that the Ontario Club was not welcome. However, the Ontario Club, having nowhere else to go, decided to carry on with the deal.

The day before the March 1 move, upon hearing of Mr. Stinson's filing for protection, they decided to stop.

"We decided to postpone moving in until the dust settles," Mr. Lautens explained. "You know the saying, when two elephants fight, it's mostly the grass that suffers? We're the grass."

Yesterday Mr. Stinson tried to put the blame on Mr. Mirvish.

"The key issue really is the instability of the building," Mr. Stinson said. He walked to the second floor and pointed out two holes in the floor by the entryway covered by overturned plywood baskets, where brass pillars, he said, ought to be.

The Grand Banking Hall on the second floor with its luxurious oversized sofas and smaller formal dining tables, which promises in promotional material still posted outside of Mr. Stinson's office, to be a "home away from home" for members of the now defunct Dominion Club, was deserted yesterday.

Meanwhile, Mr. Stinson had one bit of good news: Tina Walker, director of USA Go to It, the company registering exhibitors for the Annex Learning Expo coming to Toronto, said from Los Angeles that, as far as she knows, Mr. Stinson is still registered as a keynote speaker at the $129-per-ticket event, and will attend the event on March 24- 25 at the Metro Toronto Convention Centre.

ngirardin@canwest.com

AoD

 

[SD2]

Stinson has owed this money for quite a while and he wonders why Mirvish has run out of patience?

It's kind of hard to believe I'm reading what I think I'm reading.

 

[AlvinofDiaspar]

From the Globe:

A partnership that simmered, boiled -- and then exploded
How a top developer and his financier came to be at each other's throats
TARA PERKINS AND JAMES RUSK

Hank Kates, billed as the chartered accountant to the stars, must be regretting the day he introduced David Mirvish and Harry Stinson.

The two prominent Toronto businessman -- one a theatre producer, the other a well-known real-estate developer -- have become adversaries in a high-profile legal fight over a landmark condo development in the heart of the city.

Now Mr. Stinson is fighting to retain his reputation and Mr. Mirvish is fighting to recoup millions of dollars. Hundreds of employees and investors in the condo project are among those hanging in the balance.

"This has been the hardest thing I've ever done," Mr. Stinson said of his decision to put two companies under his control into bankruptcy protection. "This is humiliating."

The dispute continues to ramp up. Yesterday, the board of directors of the condo corporation at the condo-hotel development at One King Street West authorized a $30-million suit against Mr. Mirvish's companies, according to the condo board's chairman, Bob Verdun. The suit also names engineers and architects involved in the project, as well as the City of Toronto, said Mark Arnold, the lawyer who is acting for the condo board.

Mr. Verdun said that the board, of which Mr. Stinson is a member, is seeking $20-million to fix alleged deficiencies in the building and $10-million in damages because condo buyers were not properly informed that the Ontario Securities Commission had ruled the original form of the sales agreement violated securities law.

The companies that have sought court protection from their creditors are Stinson Hospitality Inc. and Dominion Club of Canada Corp. They went to court after repeated efforts by Mr. Mirvish's companies to collect on debts. At the heart of the matter is an $11.8-million mortgage on a portion of the project.

Mr. Stinson is anxious to pay Mr. Mirvish back, "but not necessarily in the same kind of time frame that Mr. Mirvish's advisers would like," said the developer's lawyer, Arthur Jacques.

Word that companies under Mr. Stinson's control are in court protection has "caused people to panic in other projects I'm involved in," he said yesterday.

At an extraordinary late-afternoon news conference, Mr. Mirvish's lawyer, Jeffrey Carhart, said that although Mr. Mirvish's companies have the main secured debt owed by Mr. Stinson's companies, he learned of the proceeding only after it had started and that he rushed to court without his robes to get it postponed until at least the last week of the month.

Mr. Mirvish detailed a deteriorating business relationship with the developer who originally brought him into the condominium project, which Mr. Mirvish's companies eventually took over and built.

The impresario said he could not wait to defend himself in court, as only Mr. Stinson's side of the story had reached the press.

"Harry has never failed to disappoint me in every promise he has ever made," Mr. Mirvish said. "This was not the type of relationship that built confidence, ultimately we reached a point [where there were] serious irregularities and concerns with this project, that the courts will have to examine very carefully."

As Mr. Stinson tells it, he was a man with a vision to build a world-class icon at the corner of Yonge and King Streets, a mix of residential and hotel units, as well as other amenities. Mr. Mirvish was the man with the necessary money and business connections, who initially believed in the vision, but let it fall apart as he realized the size of the expensive undertaking, Mr. Stinson suggests.

"What happened, unfortunately, was like a frog boiling slowly," Mr. Stinson said. As the temperature got higher and higher, and Mr. Mirvish realized the extent of the extremely high-end project he was involved in, he sought to gain control and put his own people in charge, Mr. Stinson said.

And "over time it became apparent to me that David's directive to keep an eye on costs was being pursued with more zeal than appropriate." The fight over how much to spend on the project was what drove a wedge between the two business partners, Mr. Stinson said. "He who has the gold makes the rules."

Mr. Stinson said he has "called and called David and e-mailed and written, and I have been rebuffed constantly. It's sad."

In court documents, Mr. Stinson said his relationship with the Mirvish Group and its representatives, including Mr. Kates, "evolved unfortunately into one of a chilly and distrustful nature."

According to court filings, Mr. Stinson's companies own about 42,000 square feet of freehold space in a heritage Toronto-Dominion building, and some of the facilities, such as front desk area and freight elevator, used by the hotel that leases units from condo owners.

Mr. Mirvish said he gave Mr. Stinson the mortgage on the properties on Feb. 3, 2006, and that after Mr. Stinson defaulted when it was due June 30, 2006, it was extended twice.

It was finally due Feb. 28, but Mr. Stinson sought court protection on Feb. 27, in what he described a pre-emptive strike to avoid payment, he said.

"We've come to this step now of seeking a legal time out," Mr. Stinson said. "We dearly would love to put this thing back on the rails."

There are 572 condo units in the building, of which 540 have been sold, while 32 units and three penthouses are still owned by Mirvish companies. Only about 10 per cent of the units are occupied by owners, while most of the remaining units are rented by the hotel.

Stuart Smith, an 18th-floor condo owner who has lived in the building from the beginning, said last might that while his wife and he feel it is "a fantastic hotel and awesome building," they have experienced problems, both large and small, that they have not been able to get the builder to fix.

"There are still things that need to be corrected because they weren't done properly the first time," he said, such as bathroom door handles that do not work and a heat pump that breaks down although it is less than two years old.

Bob Clark, chairman of the Ontario Club, said last night that he feels as if the club, which has to vacate its premises in Commerce Court by March 31, is "caught between two raging elephants." He said other downtown clubs have offered his club use of their premises until it can find new space.

Mr. Stinson attempted to turn the main banking hall of the old building into a private club, and when that failed he entered into an agreement whereby the Ontario Club, a venerable Toronto institution, was to move to One King West.

Mr. Mirvish said Mr. Stinson had never produced a business plan for the lease to the Ontario Club, which was for $1 a year for the first three years, and was renewable for 99 years.

Mr. Stinson said yesterday he doesn't want this to drag on like a soap opera. "We would desperately love to get a phone call from Mr. Mirvish saying, 'Okay boys, let's talk.' "

AoD

 

[thx1038]

Isn't it funny.. this first time invest told me he didn't have time for first time investors.

 

[beaconer]

Does Harry live in 1 King West?

According to a friend who sees him all the time in his building, he lives at the Metropole.. (7 King St East).

 

[Ed007Toronto]

^ Correct. He was supposed to move in to 1 King but for some reason didn't. Must be part of the same situation with Mirvish.

 

[unimaginative2]

"The key issue really is the instability of the building," Mr. Stinson said. He walked to the second floor and pointed out two holes in the floor by the entryway covered by overturned plywood baskets, where brass pillars, he said, ought to be.

Wow... that almost merits an emoticon. Almost. Way to sell your building there, Harry.

I really do hope that when all the dust settles, the Ontario Club moves in to that location. It's such a beautiful space, and it seems to be a great use for it.