Design has arrived in midtown

Why 155 Redpath Condos Is Today’s Best Investment Opportunity In Design has arrived in midtown.

Best Investment Opportunity In Toronto.

DEVELOPED BY CONSTRUCTED BY Midtown Today

n Yonge - Eglinton area in midtown Toronto is an Anchor Hub in the GTA n 21,000 people live in Yonge–Eglinton within 1 km of the station n 16,800 jobs within 1 km of the Yonge–Eglinton station n 76% or 15,960 people rent their homes Ages 25 to 46 – young & eligible n $76,749 average household income with 56% single households only n Top 2 reasons for choosing to live in midtown is access to public transit & central location n 60% take public transit

Daily Pedestrian Count

Yonge & Eglinton Bay & Dundas

42,680 35,585

3 Sources: Metrolinx, City of Toronto /Global News: Top 25 Walking Intersections in Toronto (June 9, 2011), City of Toronto 2011 Living in Downtown and the Centres Survey Midtown Tomorrow

n By 2020, approximately 23,000 people are expected to move to Yonge & Eglinton*

n Shortage of future condominium supply to meet rental demand

n Future shopping centres, retail and businesses

n New jobs coming to the area

n LRT to increase growth in both the commercial and retail as employers acquire space close to transit

4 Source: RioCan Yonge and Eglinton Centre. Rendering is artist’s concept. E&OE. *The Grid December 2012. Future Transit

n Largest light rail transit expansion in the history of Toronto

n $8.4 billion dollar infrastructure investment

n Connects between 52 km of new light rail transit

n Strengthen economy, ease congestion, provide easy connection to subways, buses and Go Transit.

n Will run underground from Black Creek Drive to Laird Drive, and above ground to Kennedy Station.

n Once complete, will cut transit time in half along this important mid-town corridor.

n Construction is currently underway and expected completion is 2020.

5 Source: Metrolinx – Toronto Light Rail Transit Projects LRT Route

6 Future Transit Travel Time Transit Score 92

Estimated travel time from Mount Pleasant using LRT and/or subway to:

n Downtown 15 minutes

n York University 30 minutes

n Pearson Airport 45 minutes

n Scarborough 20 minutes

Estimated travel time provided by TTC and Eglinton-Scarborough Crosstown

7 Connected Walk Score to Everything 97

2 2 MINS MINS

NORTHERN SECONDARY SCHOOL

68 MINS MINS 2 MINS 2 MINS FUTURE LRT FUTURE LRT 15 15 MINS MINS 6 MINS 7 MINS FUTUREFUTURE LRT LRT 35 MINS MINS

FUTURE DEVELOPMENT UP TO 2 MILLION SQ FT OF RETAIL & OFFICE

8 Yonge & Eglinton Centre Revitalized

n RioCan is currently expanding the Yonge-Eglinton Centre upwards and outwards

n $100 million towards redevelopment & revitalization

n Connected underground to the Eglinton subway station and future LRT

n Major tenants include:

9 Source: RioCan Yonge and Eglinton Centre. Renderings are artist’s concept. E&OE. Yonge & Eglinton Centre Revitalized

n The Cube will feature three levels of shops surrounded by glass

n An integrated stage allows for street parties and concerts in the square

n An additional 40,000 square feet of new space to the complex

n Under construction

10 Source: RioCan Yonge and Eglinton Centre. Renderings are artist’s concept. E&OE. #1 Highrise Neighborhood in Toronto Yonge & Eglinton is Ranked by Toronto Life as the 4th Best Place to Live in the City September, 2013

11 Design Has Arrived in Midtown

n 36 stories – landmark residence

n Floors 2 – 9 Podium

n 10th Floor – Tower begins

n Double height lobby

n Private courtyard with reflecting pool, green wall, water feature and fireplace n 9th Floor pool, hot tub, BBQ area with communal dining, cabanas

12 Lobby

13 Interior

14 9th Floor Pool / Terrace

15 Outdoor Yoga Area with Reflecting Pool

16 Ground Floor Amenities

17 9th Floor Amenities

18 M4 • GLOBE T.O. G THE GLOBE AND MAIL • SATURDAY, JUNE 1, 2013 This is Taco Bell for blue bloods Despite promises of fresh, local sourcing, Playa Cabana’s Junction location produces mediocre Mexican

...... CHRIS NUTTALL-SMITH tasted remarkably similar to pow- THE DISH dered bar mix. [email protected] And those sourcing promises – they are a liability. One evening I ...... watched a man in a Sysco uniform estaurants’ promises matter. push two hand trucks of boxed RAt Playa Cabana, the soon to oxtail, frozen octopus and other be three-location Mexican chain groceries through Playa Cabana’s that began last year with a single, Junction dining room. Sysco is a impossibly popular squidge of a Houston-based foodservice dis- spot on a high-end stretch of tributor, the world’s largest. It is Dupont Street near Davenport the restaurant-supply equivalent Road, the promises are extrava- to Walmart, approximately, the gant. last place a principled kitchen Playa Cabana’s menu is built on goes for local, sustainable, orga- “artisan-made, organic ingredi- nic, artisanal groceries. ents,” the company pledges. “If Grandview doesn’t have In a letter to customers posted oxtail, then our chef will probably on Playa Cabana’s website and ask the guys from Sysco for it,” Mr. inside the doorway of that origi- Sidhu said when I challenged him nal location, executive chef and on his purchasing. owner Dave Sidhu vows, “In That wasn’t mentioned in his spring, summer and fall, all of our manifesto. produce is local except for avoca- When you park the hype, and dos.” the organic and local claims (not “You will find nothing in a bot- to mention all of the company’s tle or in a can in our kitchen,” he you’ve-got-to-be-kidding-me writes. “Everything is made health claims; check out that entirely from scratch.” Playa Cabana on Dundas Street West is loud and fun, but the kitchen has issues. FERNANDO MORALES/THE GLOBE AND MAIL manifesto), it’s not hard to see When I spoke with him on the Playa Cabana for what it really is. phone this week, Mr. Sidhu said THE DISH expensive dogs. The music isn’t when I had it. It tasted a lot like It’s mediocre Mexican for that all of Playa Cabana’s meat, too loud, the house-made tortilla Nestle Quik mixed with off-brand starched-collar white folks – it is save the chorizo, comes from PLAYA CABANA CANTINA chips and salsa are tasty. The bur- hot sauce. The overcooked rice on safety in the guise of virtue and Grandview Farms, a family-run (NO STARS) ritos were also good, and the the same plate bore the metallic authenticity, an all-inclusive San- organic ranch near Thornbury...... tequilas list, with more than 50 tang of bouillon cubes. dals in the Yucatán, ringed with a Impressive. 2883 Dundas St. W. (at Mavety selections, is encyclopedic. One of One night, I ordered the tacos al chain link fence. Playa Cabana is “The first Playa Cabana, we’re in Street), 647-352-7767 the tequilas, an añejo called the pastor: “The famous tacos of Mex- Taco Bell for blue bloods, except a neighbourhood, Rosedale, For- playacabana.ca Gran Patrón Burdeos, sells for $90 ico!” The menu promised pork that Taco Bell doesn’t try to pre- est Hill, where people will pay for ...... per 1-oz shot. marinated with adobo seasoning, tend it’s better than it is. that kind of stuff, right?” he said. Atmosphere: The à-la-carte The tacos are sloppy, unba- roasted slowly on a trompo rotis- If all of Playa Cabana’s produce Yes, they will. Playa Cabana option at an all-inclusive lanced, with no real freshness or serie, served with pineapple. Pic- save the avocados is sourced local- opened a second location last resort on the Yucatan, decora- texture for the most part, save ice- ture your mother frying full-fat ly from spring through fall, as Mr. December on Dundas Street West, ted to look like a tequila bar in berg lettuce. They are fine, if ground beef after school and Sidhu’s manifesto pledges, in the Junction. It is booming. A Tijuana. you’ve never eaten great tacos. dumping in a packet of Old El where’s he getting that cob corn third spot, on Avenue Road, is ...... They sell for between $10 and $14 Paso spice mix, never bothering that’s on the menu lately, three scheduled to open this month. Wine And Drinks: Margaritas for three of them. to drain the runoff. Now you months before Ontario corn sea- And Playa Cabana’s original by the glass and pitcher, a The tacos at La Carnita are bet- know exactly how those tacos al son? “It’s more like after the address on Dupont Street general- short list of easy-drinking ter-made and tastier, and cost pastor looked and tasted. spring, going into the summer, ly books out of prime, 7 p.m. beers, more than 50 tequilas. about the same; they’re even The lobster tacos were water- when our produce season starts tables three weeks to a month in ...... cheaper at Rebozos and the eter- logged, slack-tasting, as Mexican here in Ontario,” Mr. Sidhu said. advance; the best you can do with Best bets: Flautas, tortillas and nally delicious Tacos el Asador. as Mike Duffy doing the Macare- If local and organic are priori- less than a few weeks’ notice is salsa. The new location in the Junc- na. They came with juiceless ties, why was the “daily catch” this lunchtime, 5 p.m. or 9 p.m...... tion, decorated with old U.S. high- wedges of lime whose pulp had week farmed, imported tilapia, Yet after four recent visits to the Prices: Appetizers, $4 to $19; way markers and vintage neon developed a leathery skin from and not Ontario pickerel or yellow Media company’s restaurants, two to the Mains, $14 to $24. signs, is nowhere near that solid. sitting out too long. perch or wild shrimp from Que- Dupont location and two to Dun- ...... The room itself is loud and fun; The “100% Ontario Grandview bec, all of them in season? das West, I am mystified by their No stars: Not recommended one evening recently the young, Farms organic, grass-fed, fruit-fin- Words are cheap. popularity, and deeply skeptical # Good, but won’t blow a lot attractive staff snaked through ished Wagyu beef” hamburguesa For dessert there are churros of all those sourcing claims. of minds the narrow space with an enor- that my tablemate ordered one that, the night I had them, looked Coverage The original location is fine. The ## Very good, with some mous white sombrero, which night was promised medium rare and tasted the way churros might G cooking is generally competent. standout qualities they placed on the head of a but arrived gray to its core, nearly look and taste like if the person The flautas, in particular – fried ### Excellent, well above bemused older man as they sang flavourless, notably dry – an im- making the churros had never tortilla tubes stuffed with braised average with few caveats, if him “Happy Birthday, Señor!” pressive feat of cooking. The fries seen or eaten a churro before. beef and sauced with bright salsa any But the kitchen in that Junction tasted as though they’d been They were bland and dry, roun- MidtownVEX MEX Makeover roja and zippy tomatillo – were ir- ####: Extraordinary, location is a disaster – the food steamed. dish like Timbits, deformed-look- Struggling to get a table at Playa Cabana’s new outpost? Chris Nuttall-Smith tells you resistible. I’d happily eat those memorable, original, with was mediocre at best, awful in Are the pitchers of margaritas at ing, like maybe they’d grown up why you shouldn’t bother PAGE 4 with a couple of beers and call it a near-perfect execution many cases. The mole, which is the Junction spot really made too close to a nuclear power plant. June, 2013 night. The room is fun and filled supposedly made from “27 chiles with freshly-squeezed lime juice? I had the churros at Taco Bell with the sort of people who have and nuts,” was dry and cakey The pitcher I ordered one night once. They were really good.

SATURDAY, JUNE 1, 2013 SECTION M ...... FROM PAGE 1 Globe T . O . Eglinton: New transit line has kickstarted cycle of growth and development

EDITOR: SARAH LILLEYMAN ...... “We didn’t know for sure CURRENT CONDO PROJECTS ple know that a neighbourhood is starting to test the market by DEVELOPMENT 9 about the Eglinton transit in decline? When they wake up introducing what we feel is a suite Midtown makeover route, but they’ve been talking ACTIVE SOLD OUT one day and stores are shuttered. that’s more competitive with the about it for 100 years, so I figured DU YONGE ST. That’s what was happening here newer stock,” he adds. The com- Rich with transit, office space and a crowd of young buyers, the area known as ‘Young and Eligible’ is the new hot spot ERSKINE AVE. sooner or later it was going to P gradually.” pany will keep apartments off the

of Toronto’s condo boom. Tara Perkins talks to five developers who are betting – big – on a taller, denser future for Yonge and Eg L happen,” he says. EX 1 6 “It was a sleeper for a very long market for about a month after

...... And he was right. The province A time, but it was stable,” says they’re vacated and do extensive VE 7 has since committed $8.4-billion Maurice Wager of Shiplake Man- upgrades. to the creation of four light rail . agement Company, which has “A typical one-bedroom that 3 ROEHAMPTON AVE. transit lines, including the Eglin- 12 17 been active in the neighbourhood would go for $1,450 a month is ton Crosstown LRT, which will BROADVIEW AVE. for decades. now going for $1,650 or $1,700 a run from Black Creek Drive to 18 10 14 MT PLEASANT RD. The developers suggested that month. We’re starting to hit those 4 Kennedy Station and is scheduled density is inevitable, and should condo rents in apartment build- to be complete by 2020. 13 be welcomed as a sign of a neigh- ings,” Mr. Wager says. 11 2 5 Yonge and Eglinton, which not 9 bourhood on the rise. “The fact is The province legislates maxi- so long ago was facing decline, is that the opportunities for newly mum rent increases for existing experiencing a massive growth EGLINTON AVE. W. 15 SOUDAN AVE. built housing in this area, and in apartment tenants, one of the spurt that is just in its infancy. 16 most parts of the 416, are a higher reasons why relatively few apart- Following in the footsteps of its form of density,” says Jim Ritchie, ment buildings are being con- southern siblings, it is going to 8 a senior vice-president at Tridel. structed. So it’s somewhat get much taller, as 30-storey-plus “We traditionally produce surprising when Mr. Wager says condo buildings become more 25,000 homes in the Greater that the momentum at Yonge commonplace. And while density Toronto Area, and it used to be and Eg is strong enough that NAME BUILDER TOTAL is being encouraged, the conges- UNITS 17,000 or 18,000 of those were “we’re looking at doing new pur- tion that it can cause is likely to 1 101 Erskine Tridel and Beaux Properties 430 low-rise,” says Jared Menkes, a de- pose-built rental buildings in the stir up more controversy around 2 123 Eglinton Ave. East Tridel 183 velopment manager at Menkes. area.” Yonge and Eg (or as Mr. Sonshine “Now it’s switching to 17,000 to The neighbourhood’s offices are Where five developers intersect: ooking out the window of his Yonge and Eglinton is seeing a “Transportation,” Mr. Sonshine 3 155 Redpath Freed Developments Ltd. and CD Capital 464 Maurice Wager from Shiplake Loffice in the Yonge Eglinton surge of office and condo con- says. When RioCan bought the notes it’s sometimes called, 18,000 high-rise, and 12,000 or undergoing a revitalization in Management Company, Chris Centre, Ed Sonshine sees a lot of struction. Yonge Eglinton Centre six years 4 43 Eglinton Ave. East Conservatory Group 142 Sherriff-Scott from Minto construction going on. The number of active new con- ago, Mr. Sonshine became so con- Young and Eligible) than it has in 13,000 low-rise homes. And that step with the housing stock, says Communities, James Ritchie from “This is a happening place,” do units in North Toronto rose vinced that the area was set for a 5 83 Redpath Benvenuto Group 207 Tridel Corp., Jared Menkes from says the 66-year-old chief execu- 166 per cent in the last three resurgence that he moved the some parts of the core that are low-rise number is still coming Mr. Menkes. He points to firms Menkes Developments Ltd., and tive of RioCan Real Estate Invest- years, significantly outpacing the company’s own offices into the 6 88 on Broadway Cityzen Urban Lifetyle and Myriad Group 200 Todd Cowan from CD Capital at ment Trust. growth rate of the western part of building, from their previous Yonge St. near Eglinton Ave. In many ways, it’s the perfect downtown, where cranes are location in a King Street tower in more accustomed to hustle and down because we’re finding it like LinkedIn and Facebook, FERNANDO MORALES/THE GLOBE AND MAIL vantage point for the future of ubiquitous. the financial district. 7 900 Mt. Pleasant Plaza 242 Eglinton, Page 4 bustle. harder and harder every day to which have offices in the area. big development in Toronto. A big part of the appeal? Brown Group of Companies Inc. But this is a train that’s already 8 Berwick 204 find land to build those.” With a growing base of eager POLITICS and Andrin Homes out of the station. The average In addition to attracting new young workers moving in, many Listen, folks: The Fords broadcast their views Bazis International Inc. and Metropia price per square foot for new con- 9 E-Condos - South Tower 695 residents to the neighbourhood, companies are taking notice. With their radio show, Mayor Ford and Councillor Ford present an unfiltered message – and it may continue until election time dos in North Toronto has risen 18 Urban Landscapes of RioCan the condo developers who are “The condominium buildings ...... 10 Madison - East Tower Madison Homes 258 SIMON HOUPT icoke city councillor and sworn Now Elizabeth is on line 1, call my office, I’d be more than hours on Sunday afternoons per cent in the last three years, to pushing into Yonge and Eg are that we bring in are bringing in ...... arch-enemy of governmental upset about a “beautiful, expen- happy to come out, see where moonlighting as comically pug- 11 Madison - West Tower Madison Homes 443 udy is on line 3 with a com- bloat, nodding angrily at the sive structure” for bikes that was these bikes are situated,” he says. nacious AM radio talk jocks, jaw- $636, according to data from Re- hoping to coax some of the ren- the workforce,” says Mr. Ritchie. Rplaint. “Metrolinx is bloated,” waste of taxpayer funds. recently installed next to the “I’ll get you answers on who ing about key issues – fiscal he says sourly. “They got guys “Was that Presto card $700-mil- High Park subway station. made that decision and how restraint, lazy politicians, the pri- alNet Canada Inc. While there are 12 Minto 30 Roe Minto Developments 397 ters in the many apartment build- Back at his office in the Yonge promoting stuff that’s not even lion?” Doug asks rhetorically. “The thing must have cost a much it cost – the whole nine macy of subways – and shining a sustainable.” “Oh,” his brother Rob inter- bundle,” she says. yards.” light on important community more cranes and higher prices on 13 Neon Pemberton Group and Felcorp 229 ings that have long dominated and Eglinton Centre, Mr. Son- This is radio, but you can prac- jects, “it’s close to a billion dol- Rob listens intensely, then For the past 15 months, the causes. tically hear Doug Ford, the Etob- lars.” makes a promise: “If you wanna brothers Ford have spent two Radio, Page 2 downtown’s west side, its growth 14 Panache Stanford Homes 196 the area into buying units. “This shine is thinking of adding ...... rate doesn’t touch that at Yonge 15 Quantum 2 - North Tower Minto Developments 538 community has the highest per- 250,000 square feet ofoffice space Connect with us: @globetoronto facebook.com/theglobeandmail and Eg. 16 Quantim - The South Tower Minto Developments 333 centage of renters in the city,” on top of the existing towers. A cycle is occurring: Yonge and 17 Republic - 25 Broadway Tridel 178 says Mr. Ritchie. “When we bought this building Eg became more attractive to resi- 18 Republic - 70 Roehampton Tridel 282 Of condo buyers, about one- the office [space] was only about dents, which attracted condo de- THE GLOBE AND MAIL 66 SOURCE: REALNET CANADA INC third are single females, a much 80 per cent occupied. Today it’s velopers, who – with the added higher proportion than average, 100 per cent,” he says. Four or five amenity of the new LRT line – are cakes, they discussed the neigh- CD Capital and Freed Develop- he adds. “And you also have a years ago, the company studied attracting more residents. bourhood’s transformation and ments will be making a billion- very high percentage … of the the idea of building more offices, As the growth feeds on itself, why they are collectively betting dollar commitment to the neigh- people in this community who but the costs of construction new office space is being built for billions of dollars on the area. bourhood over the next five to are either single or couples that weren’t economical. Now, rents companies that want to tap into “We feel that this is the begin- ten years. “We’re big believers don’t have kids.” are increasing and tenants are the growing pool of nearby resi- ning for Yonge and Eglinton,” says that, if you look back ten years Investors are also snapping up hungry for more space. dents. And condo builders are Todd Cowan, a partner at CD Cap- from now, it’s going to be one of many of the new condo units. This, the developers say, is the looking for ways to appeal to the ital, which has teamed up with those moments where if you’re And that’s pushing apartment new reality here. “There are a area’s vast population of renters. Freed Developments for a big not in, you’re going to say ‘Geez, landlords to improve their offer- number of projects that are high- The impact of these changes condo development push there. I wish I had invested there,’ ” Mr. ings, even though the rental mar- profile – they look large unto will be substantial, say developers “Yonge and Eglinton needed Cowan says. ket is tight right now. Mr. Wager themselves,” says Mr. Sherriff- who are becoming increasingly something to give it a kickstart, Chris Sherriff-Scott, senior vice- says that Shiplake’s 1965 apart- Scott. “But if you look at them in active in the area. Five of them and we think that this commit- president at Minto, remembers ment building at 45 Dunfield Ave. terms of the community as a gathered recently at Grano, a res- ment for the LRT line is what real- when the area was losing its mojo is turning over units in two to whole, there wasn’t anything taurant on Yonge Street that’s a ly created the impetus,” Mr. during the ‘90s. “It was actually in three days when they become happening here for close to 25 local mainstay. Over coffees and Cowan says. decline,” he says. “When do peo- vacant. Nonetheless, “now we’re years. Its time has come.”

19 MICROSOFT G SEARCHES FOR A ONE-SIZE- FITS-ALL SOLUTION

PAGE 3

WEDNESDAY, MAY 8, 2013 SECTION B ...... Media

DISCIPLINED INVESTING, DEPENDABLE RESULTS Report on Business Coveragekjharrison.com

EDITOR: DEREK DeCLOET ...... In Toronto’s Crowded Skyline, Sees Gold S&P/TSX DOW S&P 500 DOLLAR GOLD OIL GCAN 10-YR 12,464.11 (+10.19) 15,056.20 (+87.31) 1,625.96 (+8.46) 99.56 (+0.24) 1,448.80 (-19.20) 95.62May, (-0.54) 20131.817% (+0.022)

COMPETITION INVESTING B12 • REPORT ON BUSINESS G THE GLOBE AND MAIL • WEDNESDAY, MAY 8, 2013

CD CAPITAL’S PROJECTS In Toronto’s ...... Fears of fare war hit airlines crowded TORONTO BUCHAREST HUNGARY & ROMANIA WestJet’s plans to add capacity send shiver through sector – even as record results roll in skyline,

...... Peter Munk GUY DIXON TORONTO The Calgary-based carrier will gins, if airlines are unable to fill Despite those results, the share BRENT JANG VANCOUVER launch its regional subsidiary the extra seats or have to slash price of WestJet declined more sees gold ...... WestJet Encore in late June, just ticket prices to do so. than 7 per cent, down $1.85 to WestJet Airlines Ltd. is heading as Air Canada introduces its new Analysts pushed the company $22.87 Tuesday on the Toronto to the runway with an expanded low-cost leisure carrier Rouge on the capacity question during a Stock Exchange. Air Canada’s ...... 155 Redpath Sixty Colborne Ma Condos Victoria City Centre EuroMiniStorage fleet, raising concerns that the this summer. first-quarter conference call, in stock price also fell sharply, off TARA PERKINS A 470-unit residential condomin- A 300-unit residential condomin- A 150-unit residential condomini- A 350,000-square-foot shopping 2,000-unit, self-storage facilities REAL ESTATE REPORTER ium project located in the Yonge- ium project, with retail space on um project located between two centre in northwest Bucharest that CD Capital says have “set the surge in capacity will lead to a Such extra capacity has the which WestJet unveiled record 7.6 per cent. Eglinton neighbourhood. the ground level, located in the green spaces 10 minutes from with direct subway access; it also standard for self-storage in Hun- renewed industry price war. potential to corrode profit mar- earnings. WestJet, Page 12 ...... historic St. Lawrence Market area downtown Montreal and served has 1,900 parking spaces. gary and Romania.” adjacent to the downtown busi- by two Métro stations...... Peter Munk says he’s largely out ness core. Source: CD Capital of the real estate game, but he is ...... GLOBAL ECONOMY putting his money in one surpris- FROM PAGE 1 ing spot – Toronto condos. The 85-year-old founder and Condos: ‘For me, it’s a significant amount of money for real estate’ chairman of Barrick Gold Corp. – DOWN UNDER’S DOWNTURN ...... and former head of real estate gi- “I’m not particularly invest- perial Bank of Commerce econ- ant Trizec Properties, which was 9 ing in condo projects, I’m omist Benjamin Tal. investing with a man who I He estimates that about 31,000 sold to think is absolutely tops,” he households will form annually Corp. in 2006 for more than added. in the Greater Toronto Area The developer that Mr. Munk over the next few years; if that’s $5-billion – is now spending some is backing is CD Capital, headed the case, then the projected in- of his personal wealth on financ- by Todd Cowan and Jordan crease in homes in the region Dermer. CD Capital’s projects in- would suggest overbuilding, he ing condo projects in Canada’s clude the 300-unit Sixty Col- said. most populous city. borne project near the St. Mr. Tal expects that the mar- Lawrence Market, which is yet ket will face its real test in 2014, It’s a contrarian move. Policy to be built but launched last when as many as 35,000 units makers in Ottawa, including year, and 155 Redpath, near the could be completed, up from intersection of Yonge Street and the average over the past dec- Finance Minister Jim Flaherty and Eglinton Avenue, which is just ade of about 15,000. That would Bank of Canada Governor Mark launching. CD Capital has be uncharted territory, he said. teamed up with Freed Develop- However, he expects that Carney, have suggested that they ments and more projects are on many projects in the city will think too many condos are being the way. Mr. Munk is one of a wind up being delayed. That’s in number of wealthy individuals part because “financing is built in Toronto’s core. providing financing for the becoming an issue with the rap- Research firm Urbanation Inc. buildings. id pace of development causing Mr. Cowan and Mr. Dermer many lenders to think twice said Monday that 2,728 new con- were both previously executives before extending credit.” dos were sold in the city during at Trizec Properties and went on He estimates that condo devel- to be top executives at a joint opers are currently facing a the first three months of this year, venture it created, TriGranit De- $2-billion to $3-billion financing velopment, whose major share- gap, one that’s mainly having down 29 per cent from the prior holders included Mr. Munk and an impact on second-tier players quarter and 55 per cent from the British financier Nathaniel Roth- and luxury condo developers. schild. Mr. Cowan became CEO Barrick Gold founder Peter Munk says he believes in Toronto’s future. FERNANDO MORALES/THE GLOBE AND MAIL “The biggest risk that we are first quarter of 2012. Some devel- of TriGranit, which developed facing is that those investors opers have shelved project plans more than 10 million square PETER MUNK’S REAL ESTATE ADVENTURES their experience to use – along that have been buying condo- feet of properties in Central and with the relationships they had miniums, given the fact they amid the sales downturn, and the Eastern Europe from 1997 to For someone who says he’s Exotic locales developed with people such as won’t be able to see the same number of new buildings that 2006, when he and Mr. Dermer not a real estate guy, Peter Mr. Munk and the Rothschilds – increase in rent, maybe they left the company and returned Munk has built an extensive Mr. Munk is no stranger to to work at home. will bail out,” Mr. Tal said. opened in the first quarter of this to Canada to start CD Capital. career in the property market. ventures in far-flung locations. “The vision is to turn CD Cap- For his part, Mr. Munk, a jet- year was the lowest since the Mr. Munk declined to say how Here are some of his ventures: He and business partner David ital into one of Canada’s great- setter who is behind the devel- much he has invested in CD ...... Gilmour built a hotel empire est developers over the next 10 opment of the world’s largest third quarter of 2009. The num- Capital buildings. “For me, it’s a Big return in the South Pacific. In 1981, to 20 years,” Mr. Cowan said. superyacht marina at Porto ber of unsold units in projects significant amount of money for Mr. Munk and his partners While Toronto condo buildings Montenegro, said he also be- real estate,” he said. “I’m not Mr. Munk’s holding company sold Southern Pacific Hotel are no longer selling out over- lieves in Toronto’s future. that are going ahead has climbed really a real estate investor.” acquired real estate firm Tri- Corp. for $130-million (U.S.). night, the market’s long-term “Look at Beijing, look at all to 18,845, up 21 per cent from a “I can’t recall having met a zec Corp. for $750-million in ...... prospects are strong, he and Mr. the money. I’ve got friends who young executive with the poten- 1994, followed by an aggres- The next Monaco Dermer said. “We think the city have got kids there, tremendous year ago. tial and track record, at his age, sive buying spree that in- is backed by a very strong rental job opportunities, and the kids But Mr. Munk, who believes in of Todd Cowan,” Mr. Munk cluded the purchase of Mr. Munk has a vision for Tiv- market and continued inward will come back because they added. “When he says condo, I ’s Sears Tower. In 2002, at, a coastal town in Montene- migration,” Mr. Dermer said. He can’t breathe the air,” he said. Toronto’s long-term future, is invest in condo.” the company renamed itself gro: He wants to make it the added that the Yonge and Eglin- “You go to London – one of my unfazed. Mr. Cowan was 28 when he Trizec Properties and became next Monaco. He and a group ton area, which will be served daughters lives there, and it’s so moved from Canada to Budap- a real estate income trust. of investors are transforming by a new light-rail transit line, is overpriced that it’s sick-making. “That’s the wonderful thing est in 1996 to help get TriGranit Four years later, it was pur- the industrial port into a luxu- ripe for development. New York has got tremendous about the markets; if all of us had off the ground. The company chased for $4.8-billion (U.S.) ry marina/playground for the But other investors are in- attractions, but it’s also got a continues to be one of the larg- by Brookfield Properties Corp. superrich known as Porto creasingly reluctant to make the hell of a lot of problems. Look A strong currency, triple-A credit rating and a commodities-heavy economy – the same view, we couldn’t afford est fully integrated real estate and buyout firm Blackstone Montenegro, where weekly bet that Mr. Munk is making. at the traffic – I have an office to buy anything,” Mr. Munk said firms in Europe. Mr. Cowan, Group. At the time, Trizec’s rates for apartments range be- Toronto has more high-rise real there and you can’t go across. who took a year off when he portfolio included 61 U.S. tween €850 and €10,000 estate buildings on the go than “Toronto is absolutely unique. Australia looks a lot like us. But as Tavia Grant reports, the country’s cooling growth in an interview. “It’s wonderful to moved back to Canada, said he office towers. Mr. Munk netted ($1,100 to $13,000). any other city in North America It’s not flawless, but it’s so have opposing views.” and Mr. Dermer wanted to raise more than $320-million (Ca- ...... and with nearly 60,000 units much better than the possible and Tuesday’s surprise interest-rate cut doesn’t mean Canada will follow suit. PAGE 13 their families in this country, nadian) from the sale. Matt Lundy under construction, activity is at alternatives … Condos, Page 12 and felt that they could put a record high, said Canadian Im- “I will die here.”

FROM PAGE 1 FROM PAGE 1 BROADCASTING MARKET WATCH Rogers: Traditional TV a key driver of profit WestJet: Fare wars are feared 20

Cable’s channel changer: The fight to be Netflix North The Dow at 15,000 ...... The product could compete content online. WestJet is stoutly defending gears up to attract leisure travel- Despite another record for 9 with similar offerings from Mr. Purdy spoke about the pro- 9 its expansion, with chief ex- lers, notably through starting ...... companies such as Bell Media ject in the midst of hearings into ecutive officer Gregg Saretsky say- Rouge, the extra capacity is the index, investor confidence and Videotron, which has already It’s my belief that all major BCE’s $3-billion purchase of ing the economy will be strong expected to put downward pres- STEVE LADURANTAYE as Netflix Inc. flix’s success by offering popular Communications Inc. is develop- remains lukewarm. developed and marketed a [broadcasters] will roll out a Astral Media Inc. Executives enough to support the additional sure on ticket prices. A familiar French-language Netflix alterna- from both BCE and Astral argued capacity. “So we’re putting a little pattern has emerged in the air- MEDIA REPORTER The streaming video service – titles over the Internet for a low ing a service that would give sub- Page 14 tive available in Quebec and On- Netflix competitor. to the CRTC that the deal was bit of our foot to the accelerator line industry – just as carriers ...... tario. necessary for the companies to because of the continued strong find a measure of financial health which now has close to two mil- cost. scribers access to movies and David Purdy ...... The companies don’t intend to compete with so called “over-the- macroeconomic environment through higher ticket prices, they Canadian television providers are lion Canadian subscribers paying But that competition has been television shows and is also con- get out of traditional television, Rogers’ vice-president of digital top” providers such as Netflix. and the results that we’re enjoy- then aim to increase market which is a key driver of profits television products Cord cutting – in which custom- ing,” Mr. Saretsky said during a share by adding seat capacity, planning to cut their own cords, $7.99 a month for access – is fac- slow to materialize in Canada, sidering developing television Investing Q&A with 12 million Canadian house- ers cancel their subscription in conference call on its better-than- effectively driving down airfares with several of the country’s larg- ing intensifying competition in which has helped Netflix almost series solely for digital distrib- holds paying for some level of favour of online alternatives – is expected first-quarter results. and squeezing already thin mar- service. But they want to sign up “Our underlying fundamental increasing in Canada, but is still He said the airline ran its planes gins for operations. est media companies developing the United States by well-funded double its number of subscribers ution to enhance the product’s John Heinzl takes your questions former subscribers who have opt- thesis is there will be more than in its infancy compared to coun- too full last year, giving up poten- WestJet’s first-quarter profit was subscription-based services to cable and technology companies here in the last year. appeal. in a live chat today at noon (ET). ed out of traditional subscription one Internet TV competitor,” tries such as the United States. tial customers it could have won $91.1-million or 68 cents a share, Rogers Rogers, Page 12 tgam.ca/DqLX packages while at the same time Evercore analyst Alan Gould said. But the cable and satellite com- had there been more capacity. compared with $68.3-million or compete with online rivals such that are trying to replicate Net- That’s about to change: reinventing themselves for a “Internet TV is growing rapidly panies are increasingly concerned “We’re going to do whatever we 49 cents in the same period a year more digital future. and Netflix is the clear leader in that customers will find content can to bring the right amount of ago, better than most analysts ...... “It’s my belief that all major the market; however, we are elsewhere, and they want to de- capacity to the marketplace, and had expected. [broadcasters] will roll out a Net- highly skeptical of Netflix reach- velop their own alternatives be a fierce competitor ourselves.” WestJet executives said they be- Connect with us: @globebusiness facebook.com/theglobeandmail linkedin.com/company/the-globe-and-mail flix competitor,” said David Pur- ing even the low end of the 60-90 before customers can walk away Mr. Saretsky said the capacity lieve that the current second dy, vice-president of digital million subscribers that manage- and spend their money with a WestJet is bringing to the market quarter will also be strong, des- television products at Rogers. ment has projected [worldwide].” competitor. should enable the airline to still pite the added cost of more seats “It’s a common strategy to try Netflix had no comment. The companies argue that Ca- generate a sustainable 12-per-cent flown with the new WestJet and figure out how to roll out Rogers already offers its cable nadian companies must be able return on invested capital. Encore. But the added capacity products that allow viewers to subscribers online access to to compete, because a portion of Air Canada and WestJet are in has some observers worried binge watch and to offer all-you- much of its programming. But it the money they generate from growth mode. WestJet’s seat ca- about the prospects for further can-eat movie services.” wants to develop a separate prod- subscribers goes back to Cana- pacity climbed to two billion strong results. officemaxcanada.com In the United States, a handful uct that would allow those who dian productions. BCE has pre- available seat miles (ASMs) last “So investors are thinking, of companies are looking to steal don’t subscribe to its cable pack- viously said it intended to month, up 7.4 per cent from a ‘Well, your load factor is falling, WHAT’S IN A NAME? business from Netflix with their age to pay for vast collections of develop a Canadian Netflix, but year earlier. Air Canada’s year- but you’ve got this huge amount own offerings. Amazon.com has movies and archived seasons of needs to buy Astral to make it over-year capacity for April rose 1 of capacity growth. Are you going launched a video-streaming serv- popular television shows. It could happen. per cent to 5.3 billion ASMs across to be able to fill that capacity ice, joining television and tele- compete with Netflix to buy Ca- “Netflix is just one prominent its system worldwide, with do- profitably?’ ” said Robert Koko- communications powerhouses nadian rights in some cases, or example of the kind of scale mestic ASMs up 3 per cent. nis, president of aviation consult- such as Comcast and Verizon. share rights when Netflix isn’t the being brought to bear on Cana- Both airlines have been posting ing firm AirTrav Inc., who also OfficeMax GRAND&TOY There is speculation that as more exclusive carrier. da’s industry, challenges to our impressive traffic numbers. West- said the selloff in WestJet stock competitors fight to secure rights Companies such as BCE Inc., business that we believe we must Jet’s April load factor, or the pro- was an overreaction. It’s the coming together of experience and expertise, a trusted Canadian brand strategically aligns with its parent to online programming, the price Rogers and Videotron are partic- meet head-on by expanding our portion of seats filled by paying ...... of such services will increase ularly well suited to launch serv- own scope and scale,” said Astral customers, was 82.7 per cent, With files from The Canadian Press exponentially and make it more ices because they also own chief executive officer Ian Green- while Air Canada enjoyed an ...... company OfficeMax, a global leader in office solutions. From product and supply chain leadership, to sustainability difficult for low-cost offerings television stations, making it eas- berg. “That’s what this transac- April load factor of 82.1 per cent. WestJet (WJA) best practices, now, more than ever we are committed to meeting the constantly evolving needs of our customers such as Netflix to compete. ier for them to access exclusive tion enables.” As Montreal-based Air Canada Close: $22.87, down $1.85 no matter where they are doing business — whether down the street or coast to coast.

Better together. Media Coverage Machines Begin Tunnelling for Eglinton Crosstown LRT June, 2013

21 New Release of Suites

NEW RELEASE OF SUITES STARTING FROM $209,900

22 Top Performers Pricing

EXCLUSIVE EVENT PRICING AVERAGE $620 /SF

SUITES STARTING AT $553 /SF

FOR LIMITED TIME ONLY

30 Top Performers Pricing

CLIENTS WHO BUY A UNIT AT 155 REDPATH RECEIVE RECEIVE A TARGETED PRICE APPRECIATION OF BETWEEN $20 – $50/SF TO THE COMPETITION WHICH ARE AVERAGING $662/SF FOR UNSOLD INVENTORY

34 Purchaser Incentives FREE MAINTENANCE FOR A YEAR*

n Extended Deposit Structure: $5,000 on signing Balance to 5% – 30 days 5% – 90 days 5% – 180 270 days 5% – 365 720 days

n Development Charges Capped STUDIO, 1BR & 1BR+Den = $5,500 2BR = $7,500

n $0 Assignment Fee 36 * Maintenance calculated as a credit on closing Sound Investment 2013 Rental Analysis (using actual MLS figures)

Total Carrying Costs: Mortgage, Maintenance Monthly $0.49psf, Principal 80% Mortgage Property Tax 2013 Paid Down Price 20% Down Mortgage (3%, 25yr @ $0.875 of Estimated by Tenant Unit Type ($615psf) Payment Balance Annualized) Purchase Price rent per unit end of Year 1 Year 1 ROI

1 BR $319,800 $63,960 $255,840 $1210.75 $1,689.55 $1,670 $6,997 9.4%

1 BR + Den $386,835 $77,367 $309,468 $1,464.54 $2,054.83 $1,850 $8,463 8.9%

2 BR (1Bath) $434,190 $86,838 $347,352 $1,643.83 $2,505.77 $2,375 $9,500 9.7%

2 BR (2Bath) $488,900 $97,780 $391,120 $1,850.96 $2,596.48 $2,560 $10,694 9.4%

37 Sound Investment

2017 Rental Projection Analysis (assuming 4% per year rent increases from 2013 to 2017 Occupancy Date)

Total Carrying Costs: Mortgage, Maintenance Monthly $0.49psf, Principal 80% Mortgage Property Tax 2017 Paid Down Price 20% Down Mortgage (3.5%, 25yr @ $0.875 of Estimated by Tenant Unit Type ($615psf) Payment Balance Annualized) Purchase Price rent per unit end of Year 1 Year 1 ROI

1 BR $319,800 $63,960 $255,840 $1,277.33 $1,770.77 $1,953 $6,542 18.2%

1 BR + Den $386,835 $77,367 $309,468 $1,545.08 $2,143.29 $2,164 $7,913 15.3%

2 BR (1Bath) $434,190 $86,838 $347,352 $1,734.23 $2,405.17 $2,778 $8,882 20.2%

2 BR (2Bath) $488,900 $97,780 $391,120 $1,952.75 $2,698.27 $2,995 $9,998 18.6%

Notes: - Buildings used in this CMA: 2181 & 2191 Yonge Street, 25 Broadway, 70 Roehampton. - Lease prices reflect transactions from the past six months. - No bachelor suites were rented in the subject buildings. 2013 Rental figure is approximate. - Rental rate estimates are based on average lease prices in subject buildings. - Parking not included in any of units used in this CMA (2BR + 2Baths used in CMA had a parking space included, $175 subtracted to reflect a parking fee adjustment). - The 4% increase in rental rate year over year is compounded, therefore, true increase in rent is approximately 17% over 4 year term. 38 Grant Goldfarb Broker of Record & Owner Lifestyles Realty Source Inc. [email protected] 416-831-8310 x 201