Q&A: Sam Mizrahi, the developer who snagged Toronto’s most coveted piece of real estate
There’s not a developer in Canada who wouldn’t pay dearly for the rights to the southwest corner of Yonge and Bloor, and last fall, Sam Mizrahi, a businessman best known until five years ago for his upscale dry cleaning company, became the lucky real estate investor to snag it. If Mizrahi gets what he says he wants, the coming condo tower—which he calls “The One,” after its iconic address, One Bloor West—will be an 80-storey skyscraper designed by the famed British architect Norman Foster. The development, of course, has already caused controversy: the site’s former occupant for 114 years, the men’s clothing store Stollerys, was quickly dismantled just a few days after the city approved a demolition permit, even as councillor Kristyn Wong-Tam moved to have the building evaluated for heritage designation. We met up with Mizrahi to talk about the new development, the value of historical preservation and the future of Toronto.
A few years ago you were known mostly for your dry cleaning business. Now you own one of the most coveted pieces of real estate in the country. How did that happen so fast?
I’ve often been asked what the similarities are between those two businesses. It’s about addressing niches. With Dove Cleaners, we created a premium, high-end, attention-to-detail business. The real estate market that I’ve gone into is the same niche market. It’s the same customer as the Dove customer.
There were many, many people who wanted to get their hands on the Stollerys site. How did you do it?
The process took close to 11 months. The one thing that I did differently was to understand what the property owners felt and wanted, besides the financial aspect of the transaction. There’s more to it than just money. When you have people who have owned the property for 114 years, it becomes a very emotional decision. It’s not just the numbers. It’s a matter of sharing the same value system. You have to have a great deal of empathy.
How did you build the relationship?
I met with them constantly. I would walk from my office over to Stollerys and I’d go upstairs and I would sit and have coffee. We’d talk about the past, the present and the future. And sometimes we’d talk about nothing related to the property. We’d just talk about life in general. Personal conversations. It became a trusted friendship, and that can’t be artificial. You can’t fake that. So every item that was important, we were able to mutually sit down as friends and figure it out together.
What were some of the biggest concerns that they had?
The biggest concern was emotion, especially for [Stollerys president] Ed Whaley. His identity was that store. For Ed, it was a very difficult, emotional decision, one that has been on his mind for many years. Simplicity was very important to him. In the old world, things were simple. It was about handshakes. I subscribed to that value system, and Ed knew that. It’s about doing what you say and fulfilling your promises. I gained a friend out of it. It wasn’t just a transaction.
Demolition began while Kristyn Wong-Tam was taking the first steps toward having Stollerys declared a heritage building. Was that a coincidence?
You can’t just get a demolition permit in 48 hours. It takes weeks and months. We had met with the city in the fall of 2014, and they were aware of what our plans were. Kristyn Wong-Tam was aware that we had purchased the site and were going to redevelop it. The city has had over 100 years to look at this and say, “This is the most prominent corner in the city.” We were transparent about our plans. There was nothing secretive about it. So I was very surprised to see the position that was taken literally 48 hours before the demolition was to commence. It wasn’t something I was warned about. The first time I heard about it was in the media. I was never given a hint of it. And we had legal permits. We abided by the governance and all the rules of the buildings department. Why take a position like that when the city had already cleared everything?
The demolition started on a weekend. Is that a common practice?
You start it on a weekend because of traffic and because it’s a winter day. I wouldn’t start it on a weekend in the summer. It was the most efficient time to minimize the impact to the corner, because most people aren’t out on a cold winter day, and you don’t have the traffic of Monday to Friday.
You always see preservationists standing up when a development like this is proposed. What do you make of them?
I agree with them most of the time. I believe in preservation. I mean, look at the architecture of some of the things I’ve built. 133 Hazelton is an old-world building. It speaks to the same values that the preservationists speak to. So I’m a champion of that. And had I thought that there was any merit in any of the architecture at Stollerys, I would have either incorporated it or not been the guy to come in and redevelop it. All of these ideals are subjective. Beauty is in the eye of the beholder. I have kept a couple of the limestone pieces in honour of the family, and I will put something together, a monument of some sort, to honour Stollerys and what it was.
Tell me about the decision to get Norman Foster on board.
I met with architects in New York, London, France and Canada, and we looked at many different ways we could develop this corner in a way that would put Toronto on the international architecture stage. It’s a matter of fitting a new building in the context of what is being built around it and what is going to be built. Retail is the most significant component of this development. This is the nexus of the retail core in Toronto, if not Canada. We wanted PATH connections and TTC connections. And the new retail format asks for uncontaminated space, which means you don’t have columns or pillars running through it. The residential aspect is going to be unlike anything that Toronto has seen. Very few could have achieved all of those checkmarks. Foster understood how to.
What do you make of the mass development that’s happening in Toronto these days? Do you like what you see?
I applaud what’s happening in Toronto. I trumpet what’s happening in Toronto. I think we’re very blessed and we have to be very grateful for how Toronto is transforming and maturing into an international city. We’re a mosaic of cultures. We’re like the UN. We’re very diverse with very sophisticated palates. I think the growth we’re seeing, and the number of cranes that are up, is a testament to how successful Toronto has been.
But we have so many condos going up that look the same and are cheaply built.
That’s about attention to detail. If you have quality-control issues, you’re just not paying attention to those details. I’m somewhat of a micromanager. I get very passionate about the details. I’m involved in everything, right down to the colour of the mortar that goes in the brick, right down to the caulking colour, right down to the details of the hinges on the doors. Most of the time they’re formula-built buildings. I’ve found that very few buildings have soul to them, and we want to bring that to Yonge and Bloor.
Can you get into any specifics as to what we’ll see there?
We’ll be submitting our plans in the first week of March. What you’re going to see is an iconic structure that will be 80 storeys tall. You’re going to see an exoskeletal building. There will be jewellery on the building that creates an artistic weave. You’re going to have something that’s never been done before in Toronto and doesn’t look like any other building in Toronto—or Canada, for that matter.
Jennifer Keesmaat once said that she’s not interested in welcoming “ego architecture” to this city. Is that a valid concern here?
It would be if you had a different type of applicant or developer. We’re not interested in creating something that is not tasteful, or that’s not timeless. Ego is one of those things you hang at the door.
Do you think Toronto’s development boom can last? What’s going to happen in the next five or 10 years?
A lot of that is predicated on the immigration that’s coming to Toronto and Canada. I believe the reason we’ve remained buoyant is because as the world unravels and other regions in the world become less tasteful to live in, Canada is the new safe haven. Canada is the new Switzerland. As long as we continue to see the immigration flow in, we’ll continue to see Toronto grow.
“The one thing that I did differently was to understand what the property owners felt and wanted, besides the financial aspect of the transaction. There’s more to it than just money. When you have people who have owned the property for 114 years, it becomes a very emotional decision. It’s not just the numbers. It’s a matter of sharing the same value system. You have to have a great deal of empathy.”
…. so at the first opportunity, and under the cover of darkness, I sent a demo crew to smash in all the windows on the second floor and start full demo before the local Councillor could secure a heritage permit for the property. You see in the cleaning business, this is how we display our values.
your comment is RACIST! flagged
“The city has had over 100 years to look at this and say, “This is the most prominent corner in the city.” We were transparent about our plans. There was nothing secretive about it. So I was very surprised to see the position that was taken literally 48 hours before the demolition was to commence.” Funny how heritage becomes more important with the passage of time. And what of transparency? There was no application made – he just has an architect.
As for the heritage piece, the Historic Yonge Street Heritage Conservation District Study which I could find with google in seconds and includes this property says “areas with significant heritage resources may not be redevelopment sites whereas there may be sites where heritage could be respectfully incorporated into redevelopment or new development subject to detailed review” – a review that was underway. Yet, he hides behind a provincial demolition rule allowing for commercial demolitions without consultation.
Did he tell the City he was demolishing the site in 2014 at the alleged meeting? If so, this failing is on their hands as well.
Bai
also racist #fordvoter
Puh-leese! I live in the area and watched the demo crew working frantically through the night. When they first started, they had barely cordoned off the area as they ran in and out smashing things. Almost immediately, they went after the details that could be considered of historic value, taking a crowbar to carvings and knocking out the arches framing the windows. Obviously as a developer, he does not want the project held up with red tape, but don’t pretend it was a normal demolition process.
As far as the historical value, this building was a strange and unpleasant mash-up of styles, but the 2nd floor that they quickly dismantled would have added something if preserved. Hopefully, they will capture the spirit of older Toronto in the new design, something that is all but absent but for a few pockets downtown.
CANADA IS FULL. WE DON”T NEED ANY MORE PEOPLE. THANKS FOR ASKING.
LOL, if you say so. Also, here, this might help you out going forward:
http://dictionary.reference.com/browse/racism
this comment is RACIST! flagged
The fact that there is still a question about the legitimacy of the demolition reflects poorly on Toronto Life. How are you going to get an interview with the developer and not be able to back up or contradict the truth of his statements? This isn’t reporting, it’s basically giving him free reign for good PR. And I for one think Stollery’s was barely a value-add in terms of architecture, most of the building had that ghastly 70’s glass up top and their old-school sale signage at the bottom. What little detailed stonework there was is actually average relative to what you see going through U of T a few blocks down. That being said, there should be no question as to Mizrahi’s approach and motivations. The people of this city care about the landmark space and have a right to know.
Sounds to me like he did everything by the book – and that, as usual, nobody cared until it was too late to change anything. A Norman Foster building on that site should be a lot more interesting than some faux-Gothic.
Apparently, Canada is “full” of racist, closed-minded, idiots. And we sure as h**l don’t need any more of *those*!
I just love how pple go from talking about this monstrosity to racism when pple point out the relevant issue of immigration or population numbers. This city is over populated and the massive immigration #s will only make this worse. I am seeing more homelss pple and more young pple begging on the streets of this city more than ever and more pple will mean more competition for existing jobs. Not to mention a lot of the pple who live and move here are extremely racist and intolerant towards those who are of different cultures. Canada has no idea what damage it is causing to itself when cities decimate or allow the destruction of their own history in the name of the mighty dollar for those who do not care about any of it. parts of BC are also falling under this same curse.
Saw him being interviewed after the decision was made and he did not give a crap about any historical significance. He’s not Canadian so what does he care?
Most of the racists I encounter in Toronto are ethnic. so don’t get it twisted!
That all u got!?!
Hey Jon Sufrin, why don’t you ask the former owners of Stollerys for their opinion on their “good friend?” Or at least get any other opinion from someone else involved in the transaction, rather than just a puff piece that reads as a PR press release? Even if the Stollerys building was pretty ugly (which it was), there are a lot of limestone pieces missing from this puzzle.
… The city has had over 100 years to look at this and say, “This is the most prominent corner in the city.” We were transparent about our plans. There was nothing secretive about it. So I was very surprised to see the position that was taken literally 48 hours before the demolition was to commence….
That also is very true – why wasn’t the city more proactive long ago about this corner. Why would it have taken steps to preserve or get this building listed long before Stollerys even sold it. It appears he did everything correct and it was simply too late. Perhaps the answer lies in the fact that – really – this building while old, and while it had some craftsmanship, it was not anything amazing.
… said your girlfriend when you took off your pants and she saw your schwanz for the first time
heh, “are ethnic”. RACIST
flagged
….Canada has no idea what damage it is causing to itself… Sentient Canada does – it comes down to few vote and those that do vote are often (but not always) reactionary voters and we end up with dictatorships like the Harper government that says in each and every sentence – “Canadians want…” not unlike how you just said it – and yet Canadians don’t want. We are too complacent and not organized and rarely speak up. As for you stating how you love how people get off topic – well again – you just did too and you used this forum to rant on about the increase in homelessness, people begging, racism, bla bla bla – so your point was?
the previous owners haven’t complained about the demolition. Sounds like they understood what was going to happen and approved of it
but the Historic Yonge Street Heritage Conservation District Study was not acted on. The city had the info and approved the permit. I can’t see how there is a complaint after the fact.
if you feel the design was not worth preserving, isn’t it a contradiction that the developer would face the potential of an after the fact historical designation? What if he did get wind of a move to designate a non historical building as historical? Of course he would move first. If it was historical, it should have been designated a long time ago. After the transaction has happened is dirty pool by the historical society.
your picture is RACIST! flagged
your opposition to the fair inclusion of ALL images on the internet is RACIST! flagged
your flagging of my comment due to the fact that I’m a minority is RACIST! flagged
our constant flagging of each other’s comments is STASIS! flagged
The complaint is that he demolished a building without even putting forward a proposal. The Study is still underway, precisely to identify which sites should be preserved…partly to avoid commercial demolition permits from allowing developers to circumvent the process that is in place for virtually every other area re-zoning application.
The Study says “Hey, we think this may be of value and will report back soon”. The Province’s rules say “If it’s commercial, you cannot deny the demolition permit”. The community says “We would like to have a say”. To be clear, the developer listened to the one that let him walk away from dealing with either of the others later.
under way??? in 2015??? if they can’t get their act together, it’s likely not worth saving (Stolleries certainly wasn’t). Just another group who wants control over other peoples properties.
dude, just shut up already. go read a book or something, adults are talking here.
No, the present year is 2015, but the study was holding public meetings in the spring of 2014 and was in the works well before that.
Would adding exclamation marks to the end of my sentences help!!?I know consulting with the community is a radical idea for you, but I guess that makes us the communist capital of the world, where one is (impossibly?) expected to hold a meeting with the neighbourhood before demolishing an iconic corner.
if the corner is so “iconic”, how did they not notice until a year ago? how long should they be able to hold up business while they “study” an issue?
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the whole idea is ridiculous at this point.
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besides, there was virtually nothing worth saving. what if Stollery had done the demolition? Would you complain then?
Well, if you ever have attended a community meeting, you will hear that the department is years behind and not even able to keep up with new development applications. I would say that with a report likely due this year, waiting was perfectly possible.
Yes, people would be upset regardless of who tore it down, if there was no notice, consultation, or community engagement. People seem to get hung up with the idea that if you can find a loophole, your ethics are forgiven.
so cruel! Also against free speech laws. flagged
your face. flagged.
Alright, it’s silly to have a theoretical discussion of an issue. If there was something to save, it would have been done. If there is a study that is behind schedule, it’s not the building owners fault, nor is it the purchasers fault. If you are so upset about the building, what did you do to have it designated? It seems one councillor started to move on the issue AFTER it was slated for demo. It’s pretty clear that there was nothing terribly significant there.
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what do you think is ethical about delaying someone from selling their property? Funny set of ethics if you think it’s your place to stop their transaction while you stare at your navel
your schwanz. flagged. only a tiny flag needed to cover it
Well if u were really having a look at my response it pertains to the high increase in pple providing more competition for existing jobs thus leading to homelessness cause many pple cannot find work. And my comment about racism pertains to how ludicrous it is that the race card is used so easily on so many topics when many pple no matter what colour they are are racist
U r a such a dumbass, I can tell your other comments and the ridiculous pic in your profile. What girlfriend? I am a female and my bf’s penis is just fine! Go read a book or something!
Lots of minorities are vicious racists so don’t get it twisted!
now you’re just embarrassing yourself. This conversation ended weeks ago. Just let it go already.
It’s a free country, frog faced fool!! U have more comments here than a lot of other pple so u need a hobby!!
BREAKING NEWS: Woman who apparently has no personal identity and thinks she’s Rihanna or something continues to embarrass self on local message board with pointless comments
I, as well as many in the community, requested special heritage attention and an area plan to get ahead of the development pressures. There are many properties in this area on Yonge Street that could go at any time. We got it, though you’ve noted that it started too late to stop the demolition.
I guess I don’t know what else to say. We advocated, got the best we could hope for with the funding restrictions at the City, but will be told we haven’t done enough on Toronto Life forums?
As for ethics, there is nothing wrong with selling a property. Again: I believe that what people are concerned with is the demolition of a commercial site under review which, if residential, would have to go through some kind of planning process that includes the community. Ethics aren’t legislated. While that may make me a nut-bar by some standard, I’m not in the habit of forgiving everything permissible by the law and calling those who haven’t enacted laws yet ‘navel-gazers’.
If you read my comment, you’ll see we are in agreement. I’m just pointing out that he is avoiding commenting on that issue, stating that the evening rush demo was just business as usual.
Just what Toronto needs, another huge,expensive and ugly box made of…wait for it….glass and steel. A sad sad day for Toronto if this development gets approved (which it certainly will seeing that city counsel approves most development). Just one more reason NOT to go downtown. At least Mizrahi will make a few billion more. Oh, and I’ve been to Switzerland and calling Canada the next Switzerland in an insult to the Swiss, they don’t tear down 120 year old buildings and replace them with crap.
Rianna, that sounds racist, if he is not a Canadian having worked his butt off in and for this country neither are you who ever you are, the only ones that can claim to be real Canadians are the Native people of this country. Don’t forget you came after also.