The 'Sauga
March 14th, 2008, 10:27 PM
Office complex planned for King
Developer will tear down two buildings
LORI MCLEOD
REAL ESTATE REPORTER
March 14, 2008
The gentrification of King Street West is getting another push as a downtown Toronto landlord lays the groundwork for a 150,000-square-foot office development just west of Spadina Avenue.
The building, which will involve the tearing down of two existing structures, will comprise up to 12 storeys of offices at its highest point and include a rare commodity in the neighbourhood - on-site parking.
The news comes at the same time developer Peter Freed is planning a luxury condo development one block south. Units starting at $1.5-million - a price unheard of in this area -- went on sale last week.
Both projects are testaments to the dramatic changes in a neighbourhood that was once the bastion of factories.
It will also be the first foray into ground-up development for office landlord Allied Properties Real Estate Investment Trust, which owns and manages about 40 turn-of-the-century low-rises in the downtown core.
Allied Properties bought the first property on which the new building will be located, a two-storey brick-and-beam structure at 544 King St. W., early this year for $4.75-million. A second, adjacent property to the north came available on Morrison Street, which runs parallel to Spadina Avenue, and the possibilities for the development greatly expanded, said Michael Emory, chief executive of Allied Properties.
After purchasing the Morrison Street property for $2.7-million, the idea of creating a taller office tower with street-level retail took hold, although it's still hard for a company that traditionally preserves old buildings to plan a demolition, Mr. Emory said.
"I hate tearing buildings down, but when I look at it in terms of creating value, the best alternative is really to build from the ground up," he said. The foundations of the existing buildings won't support the weight of the proposed structure, which is planned for about eight storeys on the King Street side and up to 12 storeys on Morrison Street, he added.
Now sitting empty, 544 King St. W. was built in 1944, and is the former home of nautical supply manufacturer and retailer Genco Marine Ltd. The Genco brothers have moved their operations to a larger facility in Port Credit, Ont., and a smaller one on Queens Quay West.
Allied Properties plans to reuse beams, connectors and some of the brick from the old buildings in the new one, which will feature as many attributes of the neighbourhood's heritage properties as possible, Mr. Emory said. Construction is expected to cost $40-million and be completed in late 2009.
Developer will tear down two buildings
LORI MCLEOD
REAL ESTATE REPORTER
March 14, 2008
The gentrification of King Street West is getting another push as a downtown Toronto landlord lays the groundwork for a 150,000-square-foot office development just west of Spadina Avenue.
The building, which will involve the tearing down of two existing structures, will comprise up to 12 storeys of offices at its highest point and include a rare commodity in the neighbourhood - on-site parking.
The news comes at the same time developer Peter Freed is planning a luxury condo development one block south. Units starting at $1.5-million - a price unheard of in this area -- went on sale last week.
Both projects are testaments to the dramatic changes in a neighbourhood that was once the bastion of factories.
It will also be the first foray into ground-up development for office landlord Allied Properties Real Estate Investment Trust, which owns and manages about 40 turn-of-the-century low-rises in the downtown core.
Allied Properties bought the first property on which the new building will be located, a two-storey brick-and-beam structure at 544 King St. W., early this year for $4.75-million. A second, adjacent property to the north came available on Morrison Street, which runs parallel to Spadina Avenue, and the possibilities for the development greatly expanded, said Michael Emory, chief executive of Allied Properties.
After purchasing the Morrison Street property for $2.7-million, the idea of creating a taller office tower with street-level retail took hold, although it's still hard for a company that traditionally preserves old buildings to plan a demolition, Mr. Emory said.
"I hate tearing buildings down, but when I look at it in terms of creating value, the best alternative is really to build from the ground up," he said. The foundations of the existing buildings won't support the weight of the proposed structure, which is planned for about eight storeys on the King Street side and up to 12 storeys on Morrison Street, he added.
Now sitting empty, 544 King St. W. was built in 1944, and is the former home of nautical supply manufacturer and retailer Genco Marine Ltd. The Genco brothers have moved their operations to a larger facility in Port Credit, Ont., and a smaller one on Queens Quay West.
Allied Properties plans to reuse beams, connectors and some of the brick from the old buildings in the new one, which will feature as many attributes of the neighbourhood's heritage properties as possible, Mr. Emory said. Construction is expected to cost $40-million and be completed in late 2009.