Outspoken T.O. developer eyes Lister
December 19, 2007
Andrew Dreschel
The Hamilton Spectator
(Dec 19, 2007)
The man once dubbed the "Condo King" of Toronto is looking at getting involved in Hamilton's two most significant but stalled downtown redevelopment projects -- the Lister Block and the Royal Connaught Hotel.
High-profile developer Harry Stinson says he wants to buy the Lister and convert the vacant eyesore in the core into a retail and residential showcase.
"I'm interested in it certainly as a potential project, if it's available," said Stinson.
"My preference is ownership. My preference is to say, 'What's the number, guys?'"
Stinson says he's already had "informal" talks with Joe Mancinelli of Labourers' International Union of North America, which bought the decaying landmark at James and King William for $1.6 million in 1999.
"I would say they're cordial and he's open to discussion," said Stinson, "and I would say the conversations have been far more constructive than I expected."
Stinson toured the inside of the Lister yesterday.
But in an interview,
Mancinelli insisted the building is not for sale.
Mancinelli says the issue with the Lister is not ownership. It's whether the city, which is supposed to be the anchoring tenant, will sign a lease that's more expensive than anticipated because of the high cost of renovating the heritage building.
Mayor Fred Eisenberger has said a higher lease could be "problematic" for the city's continued participation.
"A change in ownership won't change those numbers," said Mancinelli. Nonetheless,
Mancinelli is meeting with Stinson today.
Mancinelli says if the city walks away from the Lister project, he might consider bringing Stinson on board in an expanded partnership to find a new solution. But
Mancinelli says the focus of today's meeting is to talk about the possibility of Stinson helping the consortium that's renovating the Connaught on King East, in which LIUNA is a key stakeholder.
That project has fallen on hard times since a group of local investors bought the 1916 landmark hotel for $4.5 million in 2005.
Mancinelli says the Connaught group is changing its plans because it's been unable to find financial backers to pay for the massive renovations.
"The financial institutions will not fund a five-star hotel in Hamilton, that's the bottom line."
Instead, the consortium is looking at redesigning the project and pitching it to a more realistic market.
"Financial institutions want to see new numbers, a new plan. And I'm sure with the new plan we're coming out with, including two condo towers on the southeast corner of the property ... financing won't be an issue anymore."
Mancinelli says Stinson could play a "significant role" because of his own experience in creating the landmark condo-hotel, 1 King West, in downtown Toronto.
That building is now entangled in receivership and legal battles. Stinson, 54, is embroiled with theatre baron David Mirvish, who largely financed the project.
The conflict has not only tarnished Stinson's golden reputation, it's taken a financial toll.
In March, he filed for bankruptcy protection as a result of the $12-million dispute with Mirvish.
In September, a Toronto Star reporter asked Stinson if he was broke.
"Of course I am, but so is the United States," he replied.
Last month, the successful realtor turned visionary developer made a splash in Hamilton when he was invited by local architect John Mokrycke to address a United Way fundraiser.
Since then, Stinson hasn't been shy about sharing his impressions or interest in downtown development.
He maintains the Lister and Connaught are crucial "bellwether buildings" for what is or is not happening in the core.
He sees momentum downtown, grass creeping through the stones.
"But I think it needs some catalytic event that people will say, 'OK, now it's really worth thinking about fixing up my facade, or selling my building, or converting my parking lot.'"
Stinson says a redeveloped Lister and Connaught have the potential to send an "enormous message."
Given his own financial difficulties, it's not clear whether Stinson pictures himself as a creative spark, a magnet for other investors, or a hands-on visionary.
Regardless, Mancinelli argues the Connaught is still a "blockbuster" project. And that the plan for Lister -- which would see the city move a department into the restored building and access a $7-million provincial grant in the process -- remains the best proposal.
"I'm still convinced that the project we have is viable. All we need to do is fine-tune the numbers to make sure it works for us and the city."
http://www.thespec.com/News/Local/article/298465
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