Hearn Lease Details Revealed

The Toronto Star reported on September 21, 2011 http://bit.ly/r6vwxt , the details of a “secret” long term lease between Ontario Power Generation (“OPG”) and Studios of America, an entity involving Mario Cortellucci, a well-known GTA developer and builder and certain American investors, for the massive Hearn generating plant in the south part of the Port Lands, with a term for 20 years plus a number of extensions.  The lease was entered into in 2002, without any public RFP process and without any input from Waterfront Toronto or TPLC, the City’s Portland Corporation to see if there was a better use for the site in conjunction with the Portlands long term development.   This is yet another example of different government agencies or crown corporations failing to co-operate together for the greater benefit of the City.  While OPG is free to maximize its revenues from real estate that it owns, the Hearn plant is such a significant building and takes up such a major part of the Portlands, it is most unfortunate that  OPG would not have had serious discussions with the City, Waterfront Toronto and TPLC to work out the best plan for the use of this site.  This was certainly not due to the lack of interest and efforts of the City and TPLC.   Instead, a major building and site within the Portlands have now been tied up for 20 plus years with another private developer, having had no material input from the various government agencies and corporations that might have put this property to a much better use.