Developers cancel another sold-out condo project in Toronto
Dozens of would-be Toronto condo owners are out three years' worth of interest on their deposits this week after developers cancelled yet another sold-out residential project "due to unforeseen circumstances."
The Star reports that buyers who had secured space within the sold-out, soon-to-be-built "On The Danforth" condo building back in 2016 recieved letters this week from the firm behind the project, DIAM Developments.
DIAM, based in Brampton, told the buyers of all 135 units in the unbuilt 10-storey building that they'd be getting refunds due circumstances outside their control.
Citing construction costs, delays and financing problems, the company said in its letter that there was "no option but to cancel the sale of the proposed units" at 2359 Danforth Avenue.
Citing the cancellations of Gupta Group's Icona Condos, Liberty Development Corporation's Cosmos Condos and Castlepoint Numa's Museum Flats (among other high-profile developments in fast-appreciating areas of town) Torontonians are saying "Another one? really?"
Yup, another one, and while buyers will get their deposits back, they won't get back any interest on their money or any time they could have spent looking for another place to buy.
@fordnation Another #Condo development cancelled. Disgusting! Can the @OntarioPCParty please introduce stricter rules to better protect #homebuyers? Just returning the deposit isn't good enough! https://t.co/3DWfHrtVqy— Sean Cooper (@BurnYrMortgage) March 20, 2019
"So they take everyone's money, do next to nothing, then give it back years later with NO interest?" wrote a member of the Danforth East Community Association Facebook group in response to the news.
"And they still have the property and may build there again, with another condo? With no penalty?" he continued. "That's a scam, plain and simple."
It's a sentiment that many others expressed in the days following all of the aforementioned cancelled condo projects.
This time around, at least locals can say they saw it coming. The building was originally projected to be finished by 2017. A crane that has been sitting beside a big empty hole at the construction site was dismantled and taken away in January.
Join the conversation Load comments