Toronto Tesla Dealership to be Razed for Residential Complex

Toronto Testa Dealership to be Razed for Residential Complex

A recently opened Tesla dealership in Etobicoke could soon be replaced by one of the area’s largest residential redevelopment proposals, highlighting how quickly land use priorities are shifting across Toronto. The dealership at 5500 Dundas Street West, which opened at the start of 2024, is now slated for potential demolition as part of a block-long mixed-use residential project proposed by property owner First Capital REIT.

The proposal underscores growing pressure to intensify well-located sites along major corridors, even those that have only recently been developed. For contractors, designers, and trades, the plan represents a significant multi-building construction opportunity that would transform a low-rise commercial property and expansive surface parking into a dense urban residential complex.

Site Context and Existing Conditions

The subject property is located between Billingham Road and Paulart Drive along Dundas Street West, a corridor that functions as a transition zone between industrial lands to the south and established low-rise residential neighbourhoods to the north. While the existing use as an automotive dealership is new, the surrounding area has been identified as a candidate for long-term intensification due to its size, frontage, and proximity to transit and services.

Other large-scale redevelopment concepts have been explored nearby, including a previously proposed intensification of Cloverdale Mall. That plan was ultimately shelved amid a slowdown in the condominium market, but it illustrates broader development interest in the district.

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Proposed Development Overview

First Capital REIT is proposing to demolish the Tesla dealership and redevelop the entire site with a residential complex extending the full length of the city block. The plan calls for two mid- to high-rise buildings rising 14 and 16 storeys, with heights reaching approximately 57.1 metres and 63.3 metres.

Architectural design for the project is being led by Superkul, with massing and scale intended to mediate between the surrounding low-rise housing and the more employment-oriented lands to the south. The proposal reflects a contemporary urban residential approach that prioritizes density along major arterial roads.

Residential Program and Unit Mix

The development would introduce approximately 560 new residential units to the Etobicoke neighbourhood. Planning documents indicate that the final tenure of the units has not yet been determined, leaving open the possibility of condominium, purpose-built rental, or a hybrid model.

The proposed unit mix is designed to accommodate a broad demographic range, including families, young professionals, and seniors. Notably, 40 percent of the units are planned as larger formats with two or more bedrooms. This includes 149 two-bedroom units and 73 three-bedroom units, a mix that responds to ongoing demand for family-sized housing within the city.

From a construction perspective, delivering larger unit layouts can influence structural spans, mechanical distribution, and façade articulation compared to projects dominated by studios and one-bedroom suites.

Retail, Open Space, and Parking Components

In addition to residential uses, the proposal includes approximately 1,000 square metres of street-facing retail space along Dundas Street West. This commercial frontage is intended to activate the public realm and support pedestrian activity along the corridor.

The site plan also incorporates a 313 square metre privately owned, publicly accessible open space. While modest in size, such spaces often require careful coordination between landscape architects, structural engineers, and civil contractors to ensure durability, accessibility, and integration with underground parking structures.

BlogTo reports that parking is proposed at a scale that reflects both residential demand and the site’s auto-oriented context. Plans include over 300 vehicle parking spaces and approximately 430 bicycle parking spaces. Delivering this level of parking will require significant below-grade construction, including:

 - Excavation

 - Shoring

 - Waterproofing

 - Structural concrete work

Demolition and Construction Considerations

If approved, the first phase of work would involve demolition of the existing Tesla dealership building and removal of surface parking areas. Despite the building’s recent construction, demolition will still require environmental assessments, utility coordination, and careful staging along a busy arterial road.

Subsequent construction would likely proceed in phases, with extensive foundation and below-grade work preceding vertical construction. Given the scale of the project, contractors can expect a multi-year build involving tower cranes, concrete forming cycles, façade installation, and complex mechanical and electrical systems.

Construction Trades Involved

A redevelopment of this scale is expected to engage a wide range of construction trades, including:

  • Demolition and site remediation contractors

  • Excavation, shoring, and foundation crews

  • Structural concrete forming and placing trades

  • Structural steel and miscellaneous metals

  • Masonry and façade installation specialists

  • Mechanical, electrical, and plumbing contractors

  • Fire protection and life safety system installers

  • Elevator and vertical transportation contractors

  • Interior framing, drywall, and finishing trades

  • Roofing and building envelope specialists

  • Landscaping and hardscape contractors

A Signal of Shifting Land Use Priorities

The proposed redevelopment at 5500 Dundas Street West reflects how rapidly land use priorities are evolving across Toronto, particularly along major corridors in Etobicoke. Even newly constructed single-use commercial buildings are increasingly viewed as interim uses when sites have the capacity to support significant residential density.

For the construction industry, the proposal signals continued demand for high-rise residential expertise once market conditions support new starts. If the project advances through approvals, it would represent a major addition to the city’s housing pipeline and a substantial source of construction activity in Toronto’s west end.

 

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Posted by Judy Lamelza

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