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The City of Toronto plans to spend almost $10M leasing and renovating 233 Carlton St, a building worth about $2M, owned by the parents of the WE co-founders through a numbered company. https://www.canadalandshow.com/kielburger-family-real-estate-empire-and-recent-deal-with-city-of-toronto/
The building used to be WE's headquarters. Marc Kielburger spoke to the City about the property before the lease was agreed. Brenda Ha, a personal concierge, negotiated the deal for the parents. An expert told me the deal looks fair.
WE's CFO helped the parents set up two numbered companies that hold real estate. He signed off on one company's most recent annual return. The parents' personal real estate portfolio was worth about $24M in 2018, about $6M now.
Some locals assumed Mayor John Tory, who vacationed in Kenya with the Kielburgers and was a witness at Craig Kielburger's wedding, was involved in the 233 Carlton deal. He wasn't. WE has called Tory's sister, an RBC executive, a “Founding Family Champion.”
RBC is one of WE's Canadian Founding Partners. A story by @pwaldieGLOBE yesterday says the bank is now reconsidering its relationship with WE Charity. https://www.theglobeandmail.com/politics/article-major-sponsors-review-ties-to-we-charity-telus-drops-multiyear/
The same company that owns the old WE HQ owned 329 Queen St E, before selling it to the ME to WE Foundation for $2.6M in 2019. WE told @VanmalaS the parents purchased the property at the foundation's request because the “organization did not have sufficient funds at the time."
Weeks before the 233 Carlton deal, the City acquired 218 Carlton, which WE previously used as office space. It was transferred to the City for $2 as part of an arrangement with a condo developer. WE had recently sold it to the developer's numbered company for $2.75M.
