August 25, 2015
TORONTO -A SMALL PART OF A COUNTRY CALLED CANADA
THE CONSCIOUS UNCOUPLING HAS BEGAN
No pain – No gain, If they will build it, they will come. Toronto’s helter-skelter shelter boom, boom bust or who really cares condo development is proving one thing, Its not going to stop till it stops. The official stop sign was posted in 2014 but that was deemed a mirage and unheeded.
The Toronto condo market is over saturated with a glut of condos that have no buyers. Read my lips No buyers. The declared folly is approximately 3000 units were not sold in the past 12 months and the market kept going up – up and away with 15,000 new units unleashed in the past 6 months. Unleashed is a tacit acknowledgment that its a beast. A beast fed by gross inepitude,neglect and massive consumptive greed.
Who is buying or not buying? Asia is in slow mo, molasses moves faster as China says oops, we moved too fast, slow down, steep curves ahead. This is a response to all the craziness in the oil markets, the recession that is a depression in North America and Europe’s- Can-Can of economies that watches Greece do the fandango and sink its economy into a Montezuma’s revenge of debt. All this has caused the world markets to go real slow, as in Sargasso Sea slow.
Nothing is moving as a form of economic lassitude paralysis has arrived. As China’s Black Monday, August 24th 2015 has heralded, that economic song and dance, has dwindled to an epitaph of the past. Rest in Peace or pieces Toronto Condo Market, the canary died in the coal mine of economic mire.
The smoke and mirrors of the Canadian economy and its illusory world are no secret to the international investment world. However it’s a secret to the Torontonians or the Ontarians who are caught up in whatever fever that is passing by. As lemmings hearing the call, the city of Toronto rushes into dire financial straights with the launching of the Pan Am Games. It’s the Jack and the beanstalk faerie tale, magic beans that brings riches which is the goose that laid the golden egg.
The fable that is the Toronto condo market is tied into the fortunes of Bay Street and the banks that have invested, billions. If you ask the financial analysts at TD Canada Trust, Royal Bank, CIBC, Scotia or Desjardin you will receive obtuse quotes. “Toronto is well placed in the world’s market. The real estate bubble is sound” 3rd quarter estimates are Not doing as well as predicted but Canada on a whole is resilient and ahead of other markets.” As you see the hyperbole is all so trumpesque. It was “The Donald” who boasted that the poorest man on the street was wealthier than he was. He was at that time a Billion dollars in debt. So in Toronto its stil party like its 1999.
Toronto’s real estate market and its investors are over 100 billion dollars in debt. The scurrying to get overseas investors in on the Toronto oil sands condo project is floundering as Dubai, Hong Kong, KL and Russian tycoons all are saying no. They have been there before and watched it all crash. Toronto assumes as it’s so entitled a city that Debt realities only exist in countries like Greece. The heart wants want the heart wants and Toronto wants loot and lucre, but in the end it is only pyrite.
Like the infamous Alberta oil sands, the Toronto real estate market should have just stayed in the ground not up in the air. The cry is you can’t beat this deal. 1 million buckeroos gets you waterfront property. A teeny tiny box near a rancid lake, a radioactive power plant, a highly polluted city that is overcrowded and a deteriorating infra structure. You can’t give this property away any more. The Banks and investors are turning blue holding their breath and gonads watching for the first blink. Torontonians spell that as Bling! But in a city where CAMH rules over its inhabitants. Toronto once again can be called Hawg-town. For the uninitiated the Canadian Mental Health association and its denizens of patients roam the streets of down town Toronto, giving this city a dickensque appeal. There is no glitz nor glamour just a cubic zirconia gleam of please sir, can I have some more.
That blink is being called the Canadian election. Canada’s future, all of its future is being decided by the fate of Stephen Harper. The king Pin has run his course but Canada is in taters, scotch taped, bandaged, seemingly a mess. As the debt ratio is so high in Toronto, all the banks and the Ontario government are holding on by the teeth of their knuckle sandwich. Its high stakes poker, whisper snake eyes and blow it a kiss. After all the fall election is weeks away and thus the Condo market will hold strong. Debt is propping them up and to debt we shall part. The pundits in the end say, its almost over. 2017 is soon upon us and Toronto will then pay the piper.
Written by Cristoph De Caermichael
Other Toronto Follies
– THE PAN AM GAMES
The Book of 25 – The Sacred & Profane at a FIRKIN PUB
A real gastronomical treat. Caviar with Poutine. The lovely JESS from the Firkin Kingdom, a caviar virgin sampled the homage to the Sacred as in Caviar with the profane, the world of French fries in Guinness gravy and the earthy flesh of the wild mushrooms… Ahhh simply sublime. Watch Jess’s face as she tastes this treat – The deliciousness registers on her face. I ate that appetisers rapidment – It’s served with egg salad but the fried egg – well it was great. Topped off with a Heineken laced with lime cordial and lime wedges – Ii is wonderful. Enjoy the Sacred and Profane.