Winnipeg mayor, inner circle approve extension for True North’s Portage Place purchase decision

Posted on June 26, 2024 by Peggy

Mayor Scott Gillingham and his inner circle agreed to give the real estate arm of the organization that owns the Winnipeg Jets more time to decide whether to buy Portage Place.

The executive policy committee held a special meeting to vote on the extension Wednesday morning.

True North Real Estate Development will have three more months to exercise its option to buy the downtown shopping mall, but it asked for an extension before embarking on a multi-year redevelopment that includes a medical tower and apartments.

The company estimates the purchase and redevelopment of the mall, which would see a 12-storey medical tower rise above the east side of Portage Place and a 15-storey residential tower above the west, would cost approximately $650 million.

The city’s senior manager of economic development told the executive policy committee there is nothing specific holding up the deal. Matt Dryburgh said it’s a complicated transaction and there are a number of details to be finalized.

True North Real Estate Development president Jim Ludlow released a statement on Tuesday, saying the time is needed to complete reviews and get the necessary approvals.

The full city council will vote on the extension Thursday.

Premier Wab Kinew says he supports the extension. Liberal member of Parliament Dan Vandal says he is reviewing the request.