Progress continues at Sugar Wharf, an 11-acre mixed-use development on Queens Quay East in downtown Toronto, although the latest addition is only temporary.

Menkes Developments, in partnership with the City of Toronto and in collaboration with landscape architect O2 Planning and Design, launched the 108,000-square-foot "Park in Progress” earlier this month to create a public space that’s open for community use while a long-term vision is developed for a permanent park.

Although temporary in nature, the new park features grass, meadows, trees, pathways, seating, pickleball courts and an off-leash area for dogs. The final design of the permanent park will be subject to a design competition and is scheduled for completion in 2030.

A much longer-term impact will be made by the buildings already completed in the first two blocks at Sugar Wharf and those that will follow in the final two blocks. 

“At the end of the day, this whole project will be home to over 7,500 residents and probably 4,000 office workers,” Menkes president of high-rise residential Jared Menkes told RENX. “It's connected to the PATH system right into CIBC Square. It's a mini city and it's pretty awesome that everything you need is right here.”

The site, which was purchased from the Liquor Control Board of Ontario (LCBO) for $260 million in 2016, is a 10-minute walk from the financial district and Union Station. It also offers convenient access to the Martin Goodman Trail, Sugar Beach and the Toronto Islands ferry docks.

Sugar Wharf’s first phase

After breaking ground in January 2018, Menkes and partner TD Asset Management Inc. (TDAM) completed the first phase of Sugar Wharf in 2024. 

They’ve so far delivered: more than 1,400 residential units across two 64- and 65-storey condominium towers; a 205-unit affordable purpose-built rental apartment; a 25-storey, 675,000-square foot, class-AAA LEED Platinum-certified office tower; and retail space.

Unlike today, condo sales were strong near the end of the previous decade when the project was launched and just a few penthouse suites remain unsold at Sugar Wharf.

“You need to hit 70 per cent sales to get your construction financing, and we like to hold back some product to sell through construction because there are people who don't know where they're going to be two, three, five or seven years out,” Menkes explained.

“There's been a shift to name brands and a flight to quality for new homeowners, who are opting for brands they know and trust. Obviously we're fortunate enough to be one of those brands with a 70-year history, so we've seen an uptick in people interested in our product over the years.” 

Sugar Wharf’s office space is 95 per cent leased, with the LCBO, Toronto Region Board of Trade, Richardson Wealth and Canada Goose among the primary tenants.

“They're building out model suites for the remaining space, which is really in demand today,” Menkes said. 

In addition to a flagship LCBO store, Sugar Wharf is also home to a Farm Boy grocery store, Unity Fitness Harbourfront and Dark Horse Espresso Bar. Menkes said a few small retail spaces are still available.

Sugar Wharf’s second phase

The city’s eastern waterfront will be home to over 100,000 residents once fully developed, according to Waterfront Toronto.

Many of them will be living and working in Sugar Wharf, where preliminary Phase II plans include: three residential towers with more than 2,600 units, including a purpose-built rental apartment with about 750 market and affordable units; an elementary school being designed in collaboration with the Toronto District School Board; and a children's daycare centre designed in collaboration with the City of Toronto.

“Since the condo market is totally shut down, we don't have an anticipated start date yet,” Menkes said.  “We’re shovel-ready on the first tower.

"We’re ready to begin construction and we're negotiating our agreements with both our municipal and federal partners towards getting the development of the first tower, which will be a rental building.” 

Menkes and TDAM

Toronto-headquartered Menkes is a fully integrated real estate company involved in the construction, ownership and management of office, industrial, retail and residential properties. It’s one of the largest private developers in Canada, with a primary focus in the Greater Toronto Area.

TDAM offers Canadian institutional clients access to alternative investments, including real estate, infrastructure and commercial mortgages. 

“They represent over 200 institutional clients, including registered pension funds, trust endowments and insurance companies,” said Menkes. “They've been such a great partner and believed in the vision of this, and they’ll continue to be a great partner for us.”

Other Menkes residential developments

Menkes completed Adagio — a 25-storey, 202-unit condo at 771 Yonge St. in Yorkville — this year. It has three others on the go, one in Vaughan and two in Toronto:

• Menkes and QuadReal have been completing units at the Festival and Grand Festival condo developments in South Vaughan Metropolitan Centre. About 2,000 of 2,450 units will be delivered by the end of 2025.
• The Whitfield — a 39-storey, 484-unit condo being developed with Core Development Group at 178 Front St. E. in the downtown St. Lawrence neighbourhood — is scheduled for occupancy at the end of February.
• Maison 77 Clarendon — a luxury five-storey, 15-suite condo being developed with Pinedale Properties at 77 Clarendon Ave. in the South Forest Hill neighbourhood — will be delivered next year.

Menkes said the company will break ground on new projects in 2026, but he stressed that not enough is being done by all levels of government to get more housing built.

“We've got to change the conditions of our softening housing market. There's still so much demand and there's still tons of people who want to come to our country and our city," he said. “We're committed to delivering any types of housing, whether it's rental or for sale, but a lot of government policies have been directed towards rental housing.

"We’ve got to remember that home ownership has to be part of the discussion.”