The City of Toronto is demanding compensation from the developer of a new office tower in the heart of downtown, claiming that contractors damaged a sewer line while building the new landmark.

Construction is wrapping up for Cadillac Fairview's new 46-storey TD Terrace development at 160 Front Street West, but the City of Toronto is threatening to sue if the developer does not compensate the city for a sewer line that was allegedly damaged during construction.

An October 13 report for action addressed to the City's General Government Committee from the City Solicitor cites 160 Front, along with a smaller construction project at 45 Bulwer Street.

The City report is a key step toward "litigation or potential litigation that affects the City or one of its agencies, boards and commissions."

The report states that it is "claiming damages against the owners, contractors, and consultants for a construction project at 160 Front Street West," and notes that the potential lawsuit is "in respect of City-owned sewers that the City claims were damaged by adjacent construction work."

The City Solicitor has recommended that further details of the lawsuit remain confidential, "as it contains advice about litigation or potential litigation that affects the City of Toronto and contains advice or communications that are subject to solicitor-client and litigation privilege."

Cadillac Fairview's 160 Front Street West was recently rebranded as TD Terrace, named for its anchor tenant banking institution that will occupy a large share of the tower.

The building's design from Chicago-based Adrian Smith + Gordon Gill (AS+GG) with local firm B+H Architects features a curving profile and distinct rounded crown.

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Construction of the tower began in 2019 and is now rapidly approaching completion, scheduled for the end of 2023. An official opening is expected to follow in spring 2024.