Pair of Toronto office towers to be completely transformed

A complex of vintage Toronto office towers will undergo a significant facelift to keep the buildings relevant amid one of the fastest-changing pockets of the city.

The Canada Square office towers just south of Yonge and Eglinton were constructed in phases between 1961 and 1987, and were, for decades, among the largest buildings in the neighbourhood.

However, in the decades since, the complex has aged while the surrounding neighbourhood has exploded with vertical growth, and redevelopment plans have threatened an end to a portion of the complex — at least until a major announcement shared on Monday.

Oxford Properties Group, the global real estate arm of OMERS, and CT Real Estate Investment Trust, in partnership with Canadian Tire Corporation, announced a "transformative investment to retrofit the existing office buildings at Canada Square" in a Monday morning press release.

The announcement reveals that the southern office tower of the complex will now be retained, in addition to the northern office building, which was already planned to be integrated into a new development for the adjacent former TTC bus terminal.

Initial plans for the block-wide redevelopment would have seen both towers razed, and a subsequent proposal in 2023 would have seen just the south building demolished.

Both office towers at 2180 and 2200 Yonge Street will undergo retrofits, refreshing and modernizing the 680,000 square feet of office space. The 18-storey south building will be given internal upgrades and a renewed facade, followed by a complete renovation of the 17-storey north building.

Upgrades are expected to modernize the complex's energy usage with an aim to achieve LEED Certification.

According to the announcement, the retrofit is moving forward alongside a renewed 20-year office lease by anchor tenant Canadian Tire for 550,000 square feet of corporate office space — over 80 per cent of the total complex. 

Canadian Tire has already operated its headquarters at this location for over 50 years, and is now primed to remain for another two decades.

A previous plan for the 2200 Yonge Street site would have only preserved one of the two towers. City of Toronto.

"This is a proud milestone for Canadian Tire and a major reinvestment in a neighbourhood we've called home for more than half a century," said Greg Hicks, President and CEO, Canadian Tire Corporation.

The announcement is a key step forward for the broader redevelopment of the 9.2-acre site above Eglinton Station.

"Canada Square is a crown-jewel property and a generational asset, and this first step in its redevelopment allows us to begin to unlock its full potential," added Kevin Salsberg, President and CEO, CT REIT.