Many major buildings near the Mimico GO Station are in limbo as receivership action is underway against the developer.
Receivership proceedings have begun against Vandyk Properties leaving a number of major South Etobicoke developments in limbo, including a massive one at the Mimico GO Station.
A formal receivership order dated March 5 appointed msi Spergel Inc. as receiver over all “assets, undertakings, and properties” related to the Mississauga-based company, including a two-storey commercial property at 10 Neighbourhood Lane.
The Neighbourhood Lane property includes tenants as Stonegate Community Health Centre, Trilogy Physiotherapy West and an IDA Pharmacy.
Home Trust Company is alleging that Vandyk-Backyard Humberside Limited is in default of a $10 million loan, and requested the company be placed under receivership, which the court obliged.
Some of these towers near the Mimico GO Station are affected as receivership action is taken against Vandyk Properties.
Last November KingSett Mortgage Corporation and Dorr Capital Corporation requested that a receivership order be granted for five Vandyk developments: UPtowns and Heart Lake in Brampton, The Ravine and Lakeview DXE Club in Mississauga and Grand Central Mimico in Toronto.
At that time, KingSett and Dorr alleged that Vandyk owed more than $203 million related to those five projects.
As of late January eight sites connected to the Vandyk Group had been declared insolvent, according to The Globe and Mail.
Some of the developments on hold is a 20-storey condo at 327 Royal York Road that is in proximity to the Mimico GO Station and parking facilities.
These condos on Newcastle Street are in limbo as a new developer is found.
That development was planned to house 190 residential units, 114 one-bedroom suites, and 76 two-bedroom layouts.
Also affected is a 39-storey tower at 23 Buckingham Street, near Royal York Road and Gardiner Expressway.
That condo was slated to accommodate 606 residential units, 48 one-bedrooms, 310 one-bedroom-plus-den, 115 two-bedroom, 70 two-bedroom-plus-den and 63 three-bedroom layouts.
Vandyk’s proposal had called for two high-rise buildings at 28 and 30 storeys and a mid-rise two-storey base. The first floor of the base would have contained retail shops, with a grocery store on the second floor.
Metrolinx is scrambling to find another developer to complete the Mimico GO Station and for other area projects.
Vandyk Properties is a privately owned real estate development and investment management company with over 40 years of expertise in the North American real estate property sector.
The company and its investors once held a real estate portfolio representing $1 billion in completed value creation and $4.5 billion in owned assets under development.
The action has left Metrolinx scrambling to find another company to finish off development projects at the Mimico GO Station.