Today


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DevDudeToronto said:
Well, the recent 100bps rate hike, and the concrete shortage cannot be doing this project any favors. At this point I will be very surprised if this project is completed under the Mizrahi banner.

Does anyone know how much of the condos are sold in this project?
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Just wanna say, called it back in 2022 ;)

Seriously though, does anyone know if sales are continuing for this project? Last I heard less than half was sold and they're asking >$2k/sq foot, which in this market is...... insane. How does one even make an inquiry at this point to buy in this building? (not that I want to, just curious).

I still cannot believe that Mizrahi was able to attract equity partners and debt for this project. I really would love to see that original investor presentation and what he presented to the bank. I bet it's wild.

EDIT: so according to receiver's report there's 70 of 416 that are unsold.
 
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The UT admin are unlikely to change the floor count here, until there's an official statement from the current proprietors that it is their intention to roll it back to 85. And for what this worth.
 
C-mac said:
Anyone can edit Wikipedia so I wouldn't put any stock into that what so ever.
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It's apparently based off of the information provided in that Toronto Star article(according to the citation). The Toronto Star is not exactly some random joe blow.

Edit* After somehow bypassing the paywall and reading the article myself, the floor count figure The Star quotes(85) doesn't appear to be confirmed with any offical source.
 
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SkylineHorizons said:
It's apparently based off of the information provided in that Toronto Star article(according to the citation). The Toronto Star is not exactly some random joe blow.

Edit* After somehow bypassing the paywall and reading the article myself, the floor count figure The Star quotes(85) doesn't appear to be confirmed with any offical source.
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No, that's the whole thing. Everything is hear say so far so nobody really knows. Some of the vets on this board think it will go to the approved 328m, so fingers crossed hopping they're right,
 
The thing is, it's for sale. If it sells, it'll probably get maximized for height as the upper floors are typically where the profit is made on projects (not really but this is how it's looked at usually). A developer will only purchase this project at a huge discount to allow for much larger than average margins, since there's sooooo much risk and bad word of mouth surrounding the whole project. And any developer (since they're profit driven) will maximize their margins, so that means they'll build it as high as possible since you can built cheaper than what you're selling it for. Any extra floor means more profit (up to a certain point at least).

If Hana Bank has to hold it and develop, then who knows. I would guess they probably have their underwriters running different scenarios. And I sure hope they have different underwriters than the ones they used to originally vet this deal, because those underwriters should be tarred and feathered as far as I'm concerned for okaying the debt in the first place 😂 Realistically, no one can say what'll happen if Hana Bank is forced to hold. My prediction is that they'll keep building, the price will keep dropping, and then some developer will scoop in and buy it. Korea Bank doesn't likely want to deal with closings and Tarion commitments.
 
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Midtown Hank said:
1. Materials may be ordered, but doubt they've paid. Unpaid bills rank low in priority as suppliers become unsecured creditors. The bank has first priority as they are the secured lender.
2. Budget is meaningless at this point.

Maybe they lose more by capping lower? Maybe they lose more by going higher? Who is to say as it depends on many factors. The difference is how much capital is at risk. Risking capital is the bank's business. The new owners (or at least the folks in control) are a bank, not a developer. They prefer to minimize risk. Going higher increases risk.
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In this case, I read an article which stated the materials have already been bought and paid for and are legit sitting in a large warehouse.
 
travis3000 said:
In this case, I read an article which stated the materials have already been bought and paid for and are legit sitting in a large warehouse.
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Which makes sense. The material and cladding was probably scheduled for ongoing delivery until 2023 which was originally when the building was supposed to be completed. It takes time and money to delay production and shipment, so Mizrahi probably received ownership of the cladding and stored them in a warehouse.

There's a possibility that maybe the additional 20m (308m to 328m) of cladding and finishes might be able to be cancelled without too much issue. But as always, this is all just massive amounts of speculation. Until we hear directly from the owners/builders, we will not know for sure what is going to happen!
 
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