Griffintown project put on hold

Developer Devimco has pushed back the controversial redevelopment of Montreal’s Griffintown neighbourhood until 2010.
The company has decided to hold off on raising the $400 million needed to finance the first phase of the $1.3 billion project, blaming the delay on the instability in global money markets.
The Southwest borough sector’s redevelopment is now scheduled to begin in May or June 2010, as opposed to September 2009 as was originally planned.
News of the delay was particularly upsetting for the City of Montreal who has long been a supporter of the project.
“The City of Montreal obviously wishes the project could have been realized sooner rather than later, but no one could foresee a financial crisis in October,” said Christian Lalonde, Griffintown project manager for the City.
Lalonde remains positive the redevelopment will go through because Devimco recently announced they have already raised $210 million from various investors to purchase property and build connections for roads and sewers.
“If the investors are continuing to support the project, it means the developer is serious,” said Lalonde.
According to Lalonde, the developer has also promised to buy three local properties to the tune of $13 million. In October, Devimco’s offers to buy land covered 86 per cent of Griffintown’s territory, an increase of 14 per cent since April, said Lalonde.
Despite garnering many supporters, the project has its share of critics who think the development threatens to destroy one of Montreal’s last authentic neighbourhoods. Christopher Gobeil lives and works in Griffintown, and has opposed the project ever since he was asked to sell his home to make way for the redevelopment.
“I think the delay is probably good because the more times they delay it, the more likely it is the entire project will fall apart,” said Gobeil.
According to Gobeil, Devimco is using the financial crisis as a cover up for the project’s shortcomings.
“The investors are looking at the project and finding it just doesn’t make sense. They’re blaming it on credit markets, but they couldn’t raise money before the credit market collapse. If it was that great a project it wouldn’t have trouble finding investors,” said Gobeil.
During a public consultation held last April, Devimco and the City of Montreal presented a revised redevelopment plan in an attempt to appease their detractors.
The new plans included an increase in the requirements for subsidized housing and green space, additional criteria for building sustainability, and a longer list of heritage buildings to be preserved.
“The meeting was a joke. It was an excuse to make their towers higher from 60 to 70 metres. They were calling paved pedestrian pathways green spaces. It’s a joke,” said Gobeil.
Gobeil said that if anything the consultation led to a worse project, and increased opposition.
They should’ve consulted with residents before the plans were made, maybe then they would have a project with the needs of all Montrealers in mind, and not the needs of a shopping centre,” said Gobeil.
The plans for Griffintown’s facelift include 3,900 housing units, approximately 6,000 parking spots, a one-million-square-foot outdoor shopping centre and numerous parks and squares to be built over an eight-year period.
Calls to Devimco’s media relations office were not returned by press time.