Delays and a $1.2 billion debt end Toronto's flagship Apple Store hopes

Apple cutout outside Apple Store
(Image credit: Future)

Hopes of a flagship new Apple Store coming to Toronto in Canada appear to be over after it was confirmed that Apple has pulled out of the deal.

The store was supposed to be part of a luxury condo and retail development at Yonge and Bloor Streets. Set to be the tallest building of its kind in the country, The One now finds itself at the center of a storm after the project was placed into receivership with debts of around (CAD) $1.6 billion or around (USD) $1.2 billion.

The One was supposed to feature an 85-story hotel, condo, and retail development but it missed its expected completion date of December 2022.

(Not) The One

CityNews and iPhone In Canada report that Apple terminated its lease with the company now seeking millions of dollars in damages over the failed development.

Court documents say that “The Project recently lost its anchor retail tenant, and no replacement anchor tenant has been secured,” with Apple being that tenant.

The store, which should have been ready long before the iPhone 15 rolled around this past September, now will never see the arrival of any iPhones at all.  CityNews reports that "so far, concrete columns and walls have only been poured up to the 40th floor with a projected completion date of March 2025, according to court documents filed by lender KEB Hana Bank, a South Korea-based financial institution.

The project was originally under the stewardship of Sam Mizrahi and Jenny Coco but it's now been handed over to receivers Alvarez and Marsal Canada Inc. There will be a relatively small pot of money with which the project will be able to continue, but Apple will seemingly not be part of it even if the building ever manages to open its doors.

The COVID-19 pandemic and supply chain issues are being blamed as the leading causes for the construction's delays and failures.

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Oliver Haslam

Oliver Haslam has written about Apple and the wider technology business for more than a decade with bylines on How-To Geek, PC Mag, iDownloadBlog, and many more. He has also been published in print for Macworld, including cover stories. At iMore, Oliver is involved in daily news coverage and, not being short of opinions, has been known to 'explain' those thoughts in more detail, too. Having grown up using PCs and spending far too much money on graphics card and flashy RAM, Oliver switched to the Mac with a G5 iMac and hasn't looked back. Since then he's seen the growth of the smartphone world, backed by iPhone, and new product categories come and go. Current expertise includes iOS, macOS, streaming services, and pretty much anything that has a battery or plugs into a wall. Oliver also covers mobile gaming for iMore, with Apple Arcade a particular focus. He's been gaming since the Atari 2600 days and still struggles to comprehend the fact he can play console quality titles on his pocket computer.