Let me add to @DSC 's insight by adding something else...

There are no permits applied for, let alone issued for this project, it is still some distance away. The source might have made you feel that demolition was imminent here, it is not.
 
Is it possible that they would go ahead with the western rental building first. Certainly a market for it.
 
Note the source - the general view from the developer, the City and Loblaw is that it is NOT closing. It may need to 'shrink' during construction but I really doubt it will go (or go far).

NOTE TO MODS: This thread is not showing on the MAP
Well, it was on the map, but up along King Street. Now I've moved it further south, closer to Front Street, so it should be easier to pick out now!

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