Cornwall General Hospital, Cornwall Care Centre, and in the future, a redeveloped residential property?
That’s what information in Ontario Superior Court of Justice documents suggests for the historic building and property at 510 and 520 Second St. E. in Cornwall, which came under new ownership as of June 13.
Land registry records show the building and property was transferred for $2 million from 2416300 Ontario Inc., which operated as the Care Centre, to 16074774 Canada Inc., which incorporated in late May. Documents indicate the directors of the company are Eric Larsy, Antonio Carlini, and president Patrick Moreyoussef.
Lasry was contacted for a comment on the purchase and the company’s plans, but did not respond prior to publication.
On July 8, Moreyoussef sent an email to legal counsel for the City of Cornwall, addressing the fire chief, asking to vary the existing mandatory order that closed the building and required all occupants to vacate in late-March 2023. Cornwall Fire Services’ order, approved by the Ontario Fire Marshal and enforced through an Ontario Superior Court ruling, required the fire-alarm system be repaired or replaced prior to any future occupancy.
“We further confirm with this letter that the undersigned intends to assist and cooperate, however necessary, to expedite this process, so that the undersigned and their professionals may gain access to the property and move forward with their plans for an eventual residential development,” said the communication from Moreyoussef.
“We wish to gain access immediately in order to insure the buildings from liabilities and fire, and stop the penetration of water in the mechanical room. We further confirm with this letter that the properties will not be used in any way as a care centre, recovery home or hospital. The current owners intend to rejuvenate the properties in a way that will benefit both the City of Cornwall and its residents.”
After a hearing on Sept. 19, the court deemed the mandatory order had no further force of effect, following an affidavit from Deputy Fire Chief Leighton Woods in support of the request.
“It is my understanding that the (new owners) of the building intends to take over responsibility for the property and redevelop it into a future residential project. The directors… have indicated a desire to assume liability of the property and willingness to comply with relevant legislation and compliance of the Ontario Fire Code and Ontario Building Code. I have been informed by Patrick Moryoussef that there is no intention to reoccupy the building until appropriate occupancy measures are undertaken and ongoing safety concerns been mitigated to the satisfaction of the authorities having jurisdiction of the matters,” reads a statement in Woods’ affidavit.
Woods’ affidavit noted the Cornwall Fire Services may inspect the building and the property and issue orders for compliance if required in the future, pointing to a property standard bylaw which sets out minimum standards for building and property maintenance, and a vacant building bylaw, which requires the owner undertake measures to protect from unauthorized entry.
After 2416300 Ontario Inc. and Dan Orr vacated the property in April 2023, the City of Cornwall had been paying to keep the property secured. Over time, this moved from on-site security to a remotely monitored security system to ensure no one was able to gain access to the buildings.
Cornwall director of government relations and corporate services Katherine Wells said earlier this week she did not have any information to provide about any costs the city took on to secure the property until it was sold in June.
According to land registry information, the $2-million transfer in June cleared a charge of over $1.5 million for an unpaid loan, interest, and lawyer’s fees that 9448-1462 Quebec Inc. was seeking from former owners Orr and 2416300 Ontario Inc.. The Quebec company took legal action last year claiming the company, under Orr’s direction, had defaulted on payments.
That same registry information shows that as of Sept. 23, the City of Cornwall still has a tax-arrears certificate registered on title valued at $756,273.