- What The Palace Arms Hotel redevelopment project earned a $124m construction loan
- Why A joint venture is converting the historic Toronto property into a mixed-use apartment building
- What next 219 purpose-built rental units are planned including affordable suites
A group of companies planning to redevelop the historic Palace Arms Hotel in Toronto’s downtown core has secured a $124m construction loan, Green Street News can reveal.
A joint venture — involving Greenwin, a development and management firm, Intentional Capital, which specializes in purpose-built multi-residential buildings and asset manager Windsor Private Capital — had announced a plan in October 2023 to redevelop the iconic 134-year-old hotel.
Canada Life Assurance Co. was the lender for the conventional construction loan, which was funded on Nov. 18. Oakbank Capital Group brokered the deal. The loan-to-cost was 75%.
The redeveloped Palace Arms will see a 16-storey mixed-use rental building plus a mechanical level and one level of underground parking erected at 950 King Street West. The JV has pledged to preserve and rehabilitate the property’s existing principal three-storey facades, heritage brick masonry, window openings, variegated roof lines and masonry chimneys.
The Palace Arms, in the King West neighbourhood, is currently vacant. It was used as a rooming house at various points since the 1970s.
The new building will feature a mix of 219 single, double and three-bedroom purpose-built rental units. It will also incorporate 40 purpose-built rental units assessed at below market rates. Retail space is also planned.
Amenities planned for the site include a gym, coworking space, a party room, automated parcel management system, bicycle lockers, a pet wash, yoga studio, rooftop patio and children’s play area.
950 King Street West is 21 m from the closest TTC streetcar stop, at Strachan Avenue. Liberty Village, Trinity Bellwoods Park and Toronto’s financial district are within walking distance.
