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Canada is selling an old house in New York for $13 million, surpassing the cost of a new luxury apartment.

Canada is selling an old house in New York for $13 million, surpassing the cost of a new luxury apartment.

By Mounira Magdy

Published: August 16, 2024

Canada is selling its former residence in Manhattan, which housed its consulate general in New York.

The 12-room, five-bedroom apartment located on Park Avenue was listed on Thursday for more than $13 million, and this amount is expected to surpass the purchase price of a new $9 million apartment in Manhattan located on Billionaires' Row.

The Canadian Global Affairs Ministry said the new apartment is smaller and more suitable, stating that the old unit, purchased in 1961 and last renovated in 1982, needed updates to electrical, heating, ventilation, and plumbing.

A spokesperson for the Canadian Global Affairs Ministry said in a statement that the new apartment did not comply with Canada's Accessible Canada Act of 2021, which mandates barrier-free environments.

The ministry stated that the new apartment will save Canadian taxpayers millions of dollars and reduce ongoing maintenance costs and property taxes while supporting future program needs.

However, opposition Conservatives accuse Prime Minister Justin Trudeau and his "lavish Liberal government" of believing that doubling the cost to taxpayers and purchasing a new luxury apartment for $9 million instead of making renovations was a better deal.

Concerns about the Park Avenue apartment were first raised in 2014.

After seven years, the Canadian Global Affairs Ministry approved renovation work at a cost of $1.8 million, but the project was delayed due to the COVID-19 pandemic, according to recent documents submitted to the House of Commons Government Operations and Estimates Committee.

The Canadian Global Affairs Ministry stated in a message to the committee that months after appointing a new Consul General in New York, new issues concerning the old residence were identified.

This included accessibility problems, a lack of separation between family and work space, and restrictions on events imposed by the cooperative.

The message stated that the approved renovation project would not have resolved these "fundamental" issues, and renovation costs had risen to $2.6 million.

Brittany Fletcher, a spokesperson for the ministry, said Thursday: "Given the high renovation costs necessary to update electrical, heating, ventilation, and plumbing, Global Affairs Canada recommended moving to a new, smaller, more suitable and economical apartment."

The Canadian government also owns a second apartment in the Park Avenue building in Manhattan, which is still occupied by Bob Rae, Canada's ambassador to the United Nations.

In searching for a new official residence for the Consul General in New York, the ministry worked with a local broker and reviewed 21 different residences, ranging in price from $8 million to $21 million, as shown in the documents.

The government ultimately settled on a new luxury apartment in the Steinway Tower, a building known to be the slimmest skyscraper in the world, located just steps from Central Park.

The official residence will be used for diplomatic activities including receptions and outreach, official briefings, and hospitality events such as discussions with business and political leaders.

It will be used by Tom Clark, a former journalist who was appointed Consul General of Canada in New York in February 2023.

Opposition Conservatives accuse of wasting millions on a new luxury apartment for the "Prime Minister's media friend" while Canadians are stuck with the bill as they "struggle to afford a basic roof over their heads or food on their tables."

Michael Barrett, the opposition ethics critic, said: "For Justin Trudeau and his well-connected Liberal allies, life has never been this easy while he continues to punish everyday Canadians with his costly policies."

Global Affairs Canada was forced to acknowledge that it was behind the recent purchase after some New York real estate rumors reported that the residential apartment deal was made on behalf of King Charles himself.

Records show it was listed for over $6.6 million and sold last month to "His Majesty the King in Right of Canada."

This led some local media in New York to report on a royal purchase, then Global Affairs Canada moved to correct the record.

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