Price tag of Toronto's futuristic new market building soars to over $200 million

While the long-awaited redevelopment of Toronto's St. Lawrence Market North building has officially opened up for its Saturday farmers' markets, despite years of delays and technical issues, the multi-million dollar project is now at the centre of a legal dispute, which could balloon its price tag to $203 million.

The contractors behind the building's construction are suing the City of Toronto for $83 million, alleging that they have not been fully paid for the work.

The claim was filed on March 12 in the Ontario Superior Court of Justice by a joint venture of Buttcon Ltd. and Atlas Corporation. The companies claim they are owed for labour, materials, supervision, and services delivered throughout the project, and also allege that the City is in breach of contract.

None of these claims have been proven in court, and the City of Toronto has yet to file a statement of defence.

The contractors are seeking a lien on the St. Lawrence Market for the $83 million they allege remains unpaid, as well as an additional $9 million, citing cost overruns caused by "delays, disruptions, and impacts" they attribute to the City.

This recent legal action is the latest complication to hit the high-profile revitalization, which has been in planning and development for 20 years. Originally approved by City Council in 2008 with a projected cost of $75 million, the redevelopment has more than doubled in cost over time.

The Button and Atlas joint venture signed a $91.8 million contract in 2019 to construct the building, and by that time, the total budget approved by Toronto for the project was $116 million. In July 2024, another payment to the contractors, totalling $9.5 million, was authorized to cover increased costs, including those associated with the global pandemic, to ensure the building's completion.

The "unforeseen" costs included "errors and omissions" made by an architect overseeing the project, as well as updated workplace standards and IT requirements.

In its claim for lien, the contractors put the total contract price for the revitalized building at a mind-boggling $203 million, a figure first reported in the Toronto Star on Thursday.

The five-storey, multi-use building sits at the northwest corner of Front Street East and Jarvis Street, and includes a ground-floor Market Hall, municipal court services, provincial courts, and parking.

Hundreds of visitors attended the building's first official farmers' market on Saturday, including Mayor Olivia Chow and Councillor Chris Moise.

The futuristic building will be open seven days a week, year-round, to host local markets, events, and trade shows. A larger community celebration is planned for the building's opening on May 10.