Minto
The Minto Group is working to pivot from an Ottawa based family-run dynasty to countrywide corporate juggernaut. Since 1955 Minto has been owned and controlled by 3 generations of the Greenberg family. This makes them one of the richest families in Canada with an estimated wealth of $1.57 billion. In July of 2018, the Minto Group raised $230 million for their stock market launch in order to set up their new Real Estate Investment Trust (REIT). This was done in order to free up money for the financially struggling Greenberg family that owns Minto Group. Apparently being worth $1.57 Billion was just not cutting it for the Greenbergs. “The REIT was formed in part to allow Minto’s founding family, the Greenbergs, to do some estate planning.”
Before “going public” Minto was already notorious in Toronto and the surrounding area. For years, tenants here have been dealing with Minto’s financial strategy of ignoring repairs and maintenance while seeking significant rent increases. Hundreds of tenants in Flemingdon Park responded to these pressures by organizing with their neighbours and going on rent strike. Their demands were for basic repairs and for Minto to drop their above-guideline rent increases. The Minto Group applied for a rent increase of 6.6%, 4.8 per cent above the 1.8 per cent guideline set by the province.
Roger Greenberg
Executive Chairmen
Roger Greenberg inherited Minto from his uncle Irving in 1991. Founded in 1955 by brother Irving, Gilbert, Lorry and Louis Greenberg, it became one of Toronto’s largest real estate development companies. Roger is said to have, “ruled the company with a firm hand.”
Minto is known as a “family-run business.” In 2018, the Greenberg family was #74 on the list of the 100 richest people in Canada, with a net worth of $1.57 billion. Roger’s family owns a phenomenal amount of property. When Irving died, his son and Roger’s cousin Dan Greenberg, inherited “Canada’s largest privately-owned rental community,” home to over 8,000 tenants in Ottawa’s west end Bayshore neighbourhood. Another family member, Stephen Greenberg owns Osgoode Properties, “one of eastern Canada’s largest owners of residential rental apartments” with around 10,000 units.
Michael Waters
Chief Executive Officer
“At the time of the IPO, which raised $230 million, the REIT’s collection of apartments was very much Ottawa focused. But under the tutelage of REIT chief executive Michael Waters, the trust has rapidly diversified into other cities. As of August 1, the Ottawa apartments made up just 45 per cent of the total compared with 71.5 per cent at the IPO while Toronto properties now constitute 30 per cent compared with less than 20 per cent.”
In the first quarter of 2020, Minto REIT increased its profitability by 65%. The post-COVID rental market looks lucrative for Minto as well. They have a captive revenue stream and deep enough pockets to scoop up more properties and increase their market share.
Buildings Owned by Minto in Toronto
111 Pacific Avenue
39 Niagara Street
750 York Mills
61 Yorkville Ave
150 Roehampton Ave
1235 Marlborough Court
620 Martin Grove Road
177 Jameson Ave
11-25 Sherwood Ave
2700 Aquataine Ave
16 The Links Road
37 Lord Seaton Road
199 Upper Canada Drive
1229 Marlborough Court
7 Richgrove Drive
21 Richgrove Drive
2777 Kipling Avenue
205 Morningside Drive
207 Morningside Drive
31-35 St. Dennis Drive
Recent Controversies
Minto is currently trying to bypass city of Toronto regulations that protect low income tenants in licensed rooming houses. Minto is appealing the City of Toronto’s decision to decline their application to demolish a building that houses around 100 tenants and erect in its place a 350 unit luxury condo. The decision to decline Minto’s proposed development was due to Minto violating City of Toronto planning policy mandating Minto to “provide acceptable tenant relocation and assistance plan to lessen hardship, or allow tenants a right-to-return”.
Recently Minto announced they would delay rent increases for April, May, or June and offer rent repayment schemes for tenants unable to pay rent due to COVID-19. These repayment schemes, however, are just debt traps for tenants. They also identified that a $100 million dollar mortgage refinancing for one Minto REIT property and their existing savings led to Minto REIT having $196 million available to cover any foreseeable costs. Despite having access to almost $200 million, they have still refused to provide any rent relief for tenants during the COVID-19 crisis.
Plans for post-COVID evictions
Minto also runs several private equity investment funds under Minto Capital, which has a $2.9 billion portfolio. According to Minto Capital: “Fund II is a traditional private equity fund model where … assets will be repositioned or developed and then harvested, with all capital returned to investors over an anticipated 7-year time frame.” This delivers returns of 14% to 17%.
Properties held by the fund include 2777 Kipling Avenue, 205 and 207 Morningside Drive in Scarborough, and 31-35 St. Dennis Drive in Toronto.” “Repositioned or developed and then harvested” is landlord-speak for evictions. It means they will push tenants out and get new tenants in at higher rents.
Nowhere is this made more clear than in Minto’s 2020 Q1 report in which they take credit for “71 suites were repositioned in Q1 2020… generating an annual average rental increase of $3,492 per suite.”… “Significant value creation remains in the 2,039 suites to be repositioned.”
Finally, “Repositioning of suites is on hold in Ontario until government restrictions are lifted. We intend to get this program running again safely as soon as regulations permit.” “Repositioning” is “on hold” while the government has enforced a temporary eviction moratorium. Once COVID-19 is over, Minto plans to evict tenants as quickly as they are able. They have identified over 2,000 units as targets for these evictions.
Tenant Testimonials
“In general they suck. Service requests take forever to to fulfilled (i am still waiting on a leaked tap service request). Buzzer codes take 3 weeks to be set up (and still doesnt work properly). Garage is a mess. roofs literally leak. No one to contact for any kind of communication etc.etc. Will move out the 1st opportunity we get.”
“I wish I have read a review about Minto before moving in to one of the worst apartments I ever been. We just moved in a month ago at Etobicoke, a newly built which looks great at exterior but the management is the worst I ever had experience. Don't be deceived by the exterior furnishings..it's like a rotten eggs.. u wouldn't know unless u cracked it...don't be a victim like us...”
“This is review for the aquitaine location. Got tons of problems on the first day I moved in … there was this hole where the smoke detector was supposed to be and she blindly said that there was one. There was no hot water in the shower. The flush didn’t work, and still doesn’t work properly until now (5th day). There was no bulb on the fixture in the storage (the agreement said that they are supposed to provide bulbs when we first move). The drawers in the kitchen looked like they were taken from some garbage, and they are very loose and could fall out easily. There was nail sticking out in the cupboard … That’s so not funny Minto, I thought you were a big company which is supposed to have good management. I was given a hard time to apply for this unit and this is what I got. The rent is pretty high too.”
In the News
Share your Minto stories with us.
Tenants across the city are organizing together against rent increases, disrepair and disrespect. Tell us about your experiences as a Minto tenant and join your neighbours.
