Brandon Donnelly

Daily insights for city builders, delivered every morning at 6 AM ET. I’m Brandon Donnelly — a Toronto-based real estate developer and founder of Globizen. I’ve been writing here since 2013.

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Tag: slate asset management

  • ONE DELISLE: Official launch video

    Last week was the official broker launch for One Delisle. In normal times, we would have packed the house and done a fun in-person event involving food, and probably some negronis. Instead, Lucas, Riz, and I did a livestream from the sales gallery at Yonge & St. Clair.

    That video is now available online (embedded above and here). You’ll have to get past our hair (Lucas and I are both in desperate need of a cut), but otherwise it’s pretty cool. Shoutout to Veronica for pulling everything together and making it awesome.

    If you’d like to schedule an appointment at the sales gallery, send a note to sales@onedelisle.com. Please also feel free to contact me directly (or copy me on the email to the sales team). If you’re interested, I would encourage you to act quickly as demand has been incredibly strong.

  • In support of rubber chicken

    This morning I attended ULI Toronto’s annual “Meet the Chief Planners” event. (Some of my random tweets from the morning can be found here.) Now in its 7th year, it is a great event where all of the chief city planners from around the Greater Golden Horseshoe area come together with professionals from the land use community to network and discuss the future of our cities.

    Normally it happens in the evening over dinner and drinks, which is how I attended last year right before our first lockdown (we were at the elbow bump and foot tap stage of the pandemic). But this year it was of course online.

    First, I would like to say thank you to Multiplex Construction Canada (our partner on Junction House) for the invite. And secondly, I would like to say kudos to Richard Joy and the rest of ULI Toronto for coordinating such a great event with over 400 virtual attendees.

    However, the main point that I would like to make today is that I don’t know how anyone can attend a virtual conference and believe that this is some sort of “new norm.” I don’t know about all of you, but I am ready to go back to rubber chicken dinners and too many glasses of affordably priced wine — pronto.

    I say this not to criticize any of the groups that are working hard today to organize virtual events. I am a big fan of ULI and the work that they do. I would encourage all of you involved in the built environment to join immediately if you’re not already members.

    Instead, I say this as yet another piece of evidence for why I won’t stop writing and talking about the resilience of our cities. Video calls are such an awful substitute for sitting around a table with people and breaking bread. It’s not even close.

    And so as I sat at my home office desk this morning, listening to the conference and eating McDonald’s hotcakes (because, hey, Uber Eats and because, hey, it’s Friday), I couldn’t help but be reminded of how bullish I am on cities and city life. This, I thought to myself, is why cities are such a centralizing force.

    Ultimately, it is also why groups like the Urban Land Institute are so important. It is because our cities matter a great deal and because they’re not going anywhere. If you aren’t sick of me talking about the resilience of cities, you can also find me in this recent RENX article called, “Toronto residential tower boom shows no signs of slowing.”

  • Essential food logistics

    Blair Welch, co-founding partner of Slate Asset Management, was recently interviewed by Don Wilcox of RENX about the company’s recent acquisition of the Commercial Real Estate Business of New York-based Annaly Capital Management. As part of the deal, we also acquired $0.4 billion of grocery-anchored real estate assets across the US. These were purchased by Slate Grocery REIT (TSX: SGR.UN). What some of you maybe don’t know, though, is how we as a company view these kinds of assets as being essential food infrastructure, more so than as being retail assets. So here are a few excerpts from the article and quotes from Blair that explain why, in our view, this distinction matters.

    “We started buying grocery-anchored real estate in a big way in the financial crisis and I think we always looked at grocery-anchored real estate as food logistics, rather than a retail play,” Welch explained. “In the pandemic it’s really proven the local food store, or the spoke in the hub, is just as valuable as the hub itself.”

    Despite an increase in online grocery shopping (to about 10 per cent in the U.S.), people are still going to the stores. Or, at least, (are) getting their products from the local stores. Again, think “food logistics.”

    “That (10 per cent bought online) means 90 per cent is done in store,” Welch observed. “Now, here’s the interesting thing. Over 90 per cent – probably closer to 95 per cent – of the online sales are done at the local store.

    “So what we are saying is over 99 per cent of all the sales are done at the local stores, whether it is click and collect, or someone delivers. You are not changing the distribution pattern.”

    Here are a few more words and a comparison to what Amazon is and has been doing when it comes to food logistics:

    “If I’m Kroger or Walmart if I have to pay $10 (per square foot) for my warehouse what’s the difference if I’m paying $10 for my store? It’s the same cost, they just look at it as a distribution cost,” he said.

    However, those stores are in the middle of most neighbourhoods. Exactly where Amazon wants to be.

    “I think Amazon is an amazing company. I think their acquisition of Whole Foods and others is actually to get closer to the consumer. And the Whole Foods (acquisition) was just under 400 grocery stores in a market of 35,000 stores.

    “If I am Walmart with 5,000 stores or Kroger with about the same under different banners, that infrastructure is extremely valuable.”

    Slate will soon own more of it.

    For the full article, click here.

  • The views from Capital Point

    These are two photos taken from the roof of our Capital Point project (office strata) in Burnaby, BC. They represent the views from about 19 storeys up. In the first photo you can see downtown Vancouver and the mountains that surround it. And in the second photo you can see the Metrotown town center (second largest in the region) and the SkyTrain station that services it. It’s certainly hard to beat British Columbia on a beautiful sunny day.

  • Introducing the One Delisle video series — a renaissance at Yonge and St. Clair

    Today I am excited to share the first episode in a new film series about One Delisle and the surrounding neighborhood of Yonge and St. Clair in midtown Toronto. Created for Slate Asset Management by the award-winning UK filmmakers, Raspberry and Jam, the series is about telling the story of how Studio Gang’s first ever project in Canada came to be. (Hint: It started with a neighborhood and not with an individual building.) Episode one is called “A Renaissance at Yonge and St. Clair” and you can view it over at onedelisle.com. Stay tuned for episode two and for the upcoming launch of One Delisle this spring.

  • We’re all going back to offices — most of us anyway

    I was speaking with a writer from the Globe & Mail today about the future of office. We were half talking about a new AAA strata office building — called Capital Point — that we (Slate) are in the midst of launching in the Metrotown neighborhood of Burnaby, BC. And we were half talking about whether or not we’re all going to return to offices.

    This is one of the great debates of the pandemic but, as I mentioned in my 2021 predictions post, I think it’s overblown. The longer I work from home and spend my entire day on video calls (only to start actual work in the evening), the more I become convinced that this is a suboptimal arrangement for productivity, collaboration, personal motivation, employee morale, and talent retention (among many other things).

    We have complete conviction around great offices in the right locations. That’s why Amazon and whoever else continue to build. They’re rightly looking past this period of dislocation (12-24 months of suck). Again, this is not to say that there won’t be some changes and that certain pre-existing trends haven’t been accelerated, because they have been. But I believe that humans will continue to cluster for work.

    In fact, it’s hard to disentangle cities and offices. Cities are labor markets. It’s where agglomeration economies take hold and where people come to improve their socioeconomic standing in the world (as well as meet people and have fun). To say that we no longer need to come together in person for work is to say, in a way, that we no longer need cities. We can all decentralize.

    That is not a bet that I am prepared to make.

    For more information about Capital Point and to register for the project, click here.

  • We are hiring for the Development team

    Slate Asset Management is hiring.

    We are looking to hire an Associate or Director to join the Development team here in our Toronto office. The full set of responsibilities can be found over here on LinkedIn, but at a high level, we are looking for someone who wants to join an entrepreneurial team and lead — fairly independently — a portfolio of urban infill projects.

    Our approach to development really stems from the broader Slate platform. We are bold and thematic investors who work to create long-term value for our investors and partners. From a development perspective, that translates into an unwavering commitment to design & culture, innovation, and disciplined project execution.

    We pride ourselves on working alongside the world’s best architects and designers, and uncovering opportunities that others may be overlooking. We are proactive and hands-on in everything that we do. We also feel an inherent sense of responsibility for the buildings that we create and we want the work that we do to help improve our cities. We stand behind our product.

    If this sounds like a mission that you can get behind, then I would encourage you to learn more about us at slateam.com and submit an application via LinkedIn. Please note that we are also asking candidates to introduce themselves through a short video.

  • Register your interest for One Delisle

    Toronto will soon be home to One Delisle — the first residential building in Canada designed by visionary architect, Jeanne Gang of Studio Gang.

    Jeanne Gang is known for challenging the stylistic and technical parameters of architecture. Named one of the most influential people in the world by TIME 100 in 2019, Gang is a MacArthur Fellow and a leading advocate for gender equality in the field of architecture and design.

    Gang and her eponymous studio are responsible for some of the world’s most diverse and compelling buildings and spaces. One Delisle, as seen in the rendering above, will break from convention and refresh Toronto’s skyline. The rhythmic exterior maximizes natural light, views, and outdoor living for residents.

    One Delisle was revealed this evening for the first time to a select group of Toronto’s top real estate brokers. Follow #onedelisle on IG for some of the reactions. It was done online via a livestream, which was exceptional for what it was, but is obviously not as great as being in one room together. That time will return.

    At this point, we are thrilled to announce that we are opening up “limited registration” for the project. If you’d like to register your interest, you can do that now at onedelisle.com. However, to register at this phase of the project, you’ll need to pay a one-time fee of C$150.

    Why are we doing that?

    We’re doing it to ensure that those who are genuinely interested in a One Delisle residence get first access to the project when it launches next year. Anyone who registers during this “limited registration” phase will be guaranteed a private appointment at our sales gallery before the general public.

    So what else do you get?

    In addition to first access — including first access to the project’s terrace suites — limited registrants will receive a copy of Studio Gang: Architecture (retail price, US$100), an invitation to our One Delisle Film Series, an invitation to our launch event (including a talk with Jeanne Gang), as well as other exclusive news and updates.

    The other thing I’d like to point out about the project’s website is that the animation you see on the homepage (pictured above) will, in fact, change depending on the time of day wherever you are and when you visit the website.

    This allows you to get a feel for how the architecture might respond to light and shadow throughout the day and how it might be illuminated at night. What you’re seeing above is an artist’s impression of that night view.

    For more information and to register your interest, visit onedelisle.com.

  • One Delisle approved at Community Council

    Back in March of this year, which seems like a very long time ago, I wrote about how One Delisle came to be and how City Planning at the City of Toronto were recommending approval of its development application. Well today I am thrilled to announce that, after two deferrals, these recommendations were adopted (with some amendments) by Toronto and East York Community Council. Though it will still need to go through City Council on July 28, 2020, this milestone is a big deal for the project. It’s now time for the next chapter in this story. So stay tuned. For those of you who are new to One Delisle and would like a bit of background, here is a good place to start.

  • Views from the Junction

    Shot on DJI Mavic Mini