Downtown Update

[thistleclub]

Scotiabank owns the low-rise commercial building on the northeast corner of King and James streets that houses a cash-for-gold store, a convenience store, a pizza place and a discount shoe store.

Reminds me of an instalment of the Spec’s Lament for a Downtown Series, Don’t Bank on It (Rick Hughes, Mar 21 2001):

A Spectator review of all downtown commercial sales completed in 2000 supports a common complaint of people trying to get projects off the ground: The banks won't put money on the line when it comes to downtown ventures....

The Spectator used land registry records to review all the commercial sales in the core in 2000. Of the 25 sales examined, the $10-million sale of 100 Main St. E., formerly Century 21, is the only one with big bank financing. Purchaser Homestead Land Holdings Ltd. obtained a mortgage from the Toronto Dominion Bank.

Trust companies show up in three sales. Canada Trust financed the purchase of a King Street East storefront by a Toronto commercial broker, and Equitable Trust Company took on two properties, one of them the sale of the Eaton Centre to Fercan Developments.

Those sales suggest that in the rare instances where the big financial institutions are present, they back large-scale, out-of-town developers with deep pockets and pre-existing financial relationships.

Bankers insist, however, there is no carte blanche rejection of downtown lending.

"There is no blacklist on the core of Hamilton," said Al Peckham, commercial sales manager for the Royal Bank in Hamilton and also a member of the Downtown Partnership.

Bankers say each case is reviewed on its own merits.

And the result?

The combination of high taxes, old buildings, a high vacancy rate, low rents and difficult resale apparently all add up to an emphatic "No" when it comes to a bank loan.

"While there is not an explicit veto for lending in terms of properties in downtown Hamilton, in point of fact, because very few of them would qualify under the normal parameters ... for a loan, most of them don't get bank financing," said John Dolbec, a former commercial banker and now executive director of the Hamilton and District Chamber of Commerce.

"Obtaining financing from a bank for commercial real estate investments in downtown is a major problem," he said.

"Right now, lending to properties in downtown Hamilton is considered to be highly risky."

The combination of high taxes, old buildings, a high vacancy rate, low rents and difficult resale apparently all add up to an emphatic 'No' when it comes to a bank loan.

The banks say their decisions are simply a reflection of the harsh economic conditions that exist in the core.

Bob Chambers, senior manager of commercial banking for the Bank of Montreal, says getting a loan for downtown is a matter of proving a solid business case.

"What we're doing is assessing risk and the ability of the owner to repay the bank loan. If it isn't there, it isn't there."

Listed in Municipal Property Assessment Corporation records as 1-3 ½ King St. E., the structure was assessed at $368,000 on Jan. 1, 2012.

Apparently this is one corner that downtown hasn't turned.

[flar]

Listed in Municipal Property Assessment Corporation records as 1-3 ½ King St. E., the structure was assessed at $368,000 on Jan. 1, 2012.

That seems about right. But of course if you asked about buying some of these decrepit buildings downtown the price suddenly goes up to something totally unreasonable.

[CaptainKirk]

Originally Posted by Dr Awesomesauce

Best I could find. You can see, even in the 1950s, this building was coated in that sweet, sweet stucco.

source

1893

[ScreamingViking]

Originally Posted by CaptainKirk

So there actually is a nice building at 11-15 King St. E., though the thirds at 13 and 15 are covered in that awful screen of cladding and fabric

[Dr Awesomesauce]

^Yeah, but I think that cladding has done irreparable damage to it. Hopefully one day we'll find out! Betcha RBC owns that one.

[Dr Awesomesauce]

BTW, some great photos there of King and James. I'm not sure when that corner building went up but I've read MacNab was involved. I'd guess it was already 60+ years old at the time of that last pic.

[lucasmascotto]

Food co-op finds its home
The Hamilton Spectator
By: Unknown

The Mustard Seed Co-op has a home.

The local group, which bills itself as Hamilton's only co-operative grocery store, will be publicly announcing its location Friday. They've promised to set up downtown.

The co-op's goals are to be provide an affordable and accessible food choice, support local and sustainable food, and paying a living wage to staff and fair prices to producers, said founding member Emma Cubitt.

Though the co-op will be open to everyone, members get an ownership share and voting rights and will also have access to special discounts and sales. The membership fee is $100.

The group also sees educating the public about co-ops and local food as one of its mandates. It has hosted film screenings, and set up booths at festivals.

For more information go to http://mustardseed.coop.

[urban_planner]

I really hope someone will come along soo and fix up the North West Corner of King William and John.

[KDP]

I wish someone would fix the Urban Alley building up. It doesn't even need much work, it just needs to be cleaned up. Replace/clean the windows and sand and repaint the wood and that building would be 100x nicer.

[CaptainKirk]

Originally Posted by KDP

I wish someone would fix the Urban Alley building up.

Been hearing that's in the works.

[drpgq]

Yeah it was there a lot longer ago than 2001. Maybe it was there when the Eaton's Centre opened up whenever that was.

[matt602]

Originally Posted by drpgq

Yeah it was there a lot longer ago than 2001. Maybe it was there when the Eaton's Centre opened up whenever that was.

Early 1990's, I think?

[ScreamingViking]

Originally Posted by urban_planner

I really hope someone will come along soo and fix up the North West Corner of King William and John.

That building has to be one of the worst downtown now. I was surprised (and yet not surprised) at its condition when I walked by and took a closer look at it this summer.

[SteelTown]

After a long and arduous location search, The Mustard Seed Board of Directors is thrilled to announce our retail store location at 460 York Boulevard (Locke St.North & York Blvd.). We have leased a 4,000sf retail space that will ideally meet the needs of our growing membership, while benefiting our local and broader communities. We could not be more pleased that this space will become the home of The Mustard Seed Co-op.



http://mustardseed.coop

[durandy]

Originally Posted by SteelTown

After a long and arduous location search, The Mustard Seed Board of Directors is thrilled to announce our retail store location at 460 York Boulevard (Locke St.North & York Blvd.). We have leased a 4,000sf retail space that will ideally meet the needs of our growing membership, while benefiting our local and broader communities. We could not be more pleased that this space will become the home of The Mustard Seed Co-op.



http://mustardseed.coop

weird, a strip mall with streetfront parking for a urban food co-op?

[ihateittoo]

it was previously a korean grocery - I am not sure when/if it went out of business, but I think it's a good re-use. They wanted parking and space, so it fits right into their plan.

[matt602]

Not a hugely urban format but I agree, it's nice. They seem to be incorporating some bicycle parking into the part under the awning too.

[markbarbera]

Originally Posted by ihateittoo

it was previously a korean grocery - I am not sure when/if it went out of business, but I think it's a good re-use. They wanted parking and space, so it fits right into their plan.

It is/was Grace Food Market, probably the best place to find Japanese and Korean foods in Hamilton. I hope it is relocating and not closing down. It's kinda sad to see one downtown grocery replacing another. I would much rather have seen an increase in options instead of a shuffling of the deck.

[ihateittoo]

I agree, it was the best asian grocery dedicated to korean and japanese products that we had in the city and it's was sad to hear it was going. I had heard far more rumours about it moving into an empty storefront in the west end of downtown. I hope that either a) they relocate (if they didnt close down their business) or b) it opens the market for another korean grocery to open in the downtown.

Anyway, i still think its good news all-in-all.

[ScreamingViking]

Given the co-op business model, I have to wonder if they couldn't find space more central to downtown that was affordable?

This site may be a great compromise between location, price, size, and accessibility via various modes of transportation. Also, it would appear to be closer to more of the store's market (i.e., people who have joined the co-op) based on the map on their website... there is a cluster of members west of Queen St. and north of King in Strathcona, with a lot more southward from Kirkendall into Durand.

Still a great thing for York Blvd. There's been a lot of kerfluffle over the plans to increase density along York (justified, IMO) but not a lot of talk about retail and other business developments. Something like this is a great addition to the street.