Toronto's betting on a bailout — the budget depends on it

Plus, the victim of last month's "swarming" attack, and buyers wanting out of their condo deals  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌   ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌   ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌   ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌   ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌   ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌   ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌   ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌   ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌   ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌   ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

First Up   By Manuela Vega   Good morning. Here’s the latest on Toronto’s 2023 budget, the homeless man killed in a “swarming” attack and high mortgage rates in the pre-construction market.       DON’T MISS Rick Madonik/The Star   toronto city hall Toronto’s 2023 budget is hiking property taxes while hoping for a $2-billion bailout Toronto property owners can expect to pay seven per cent more in taxes this year, while water and garbage fees increase by three per cent, Alyshah Hasham and David Rider report. Transit fares, meanwhile, will rise by 10 cents for most commuters. Despite the increases, Toronto’s budget hinges on the provincial and federal governments providing a nearly $2-billion bailout for the city’s pandemic budget shortfall — which comes with no guarantees. “Because the mayor is assuming that money is going to come, this budget looks a lot better than what Torontonians will actually experience,” said Coun. Gord Perks, a longtime budget watcher. Here’s what you need to know. Edward Keenan’s take: It’s the largest property tax hike in the megacity’s history — and it’s still not enough. Another angle: John Tory’s reckless budget strategy is risking Toronto’s future as a tradeoff for short-term gain. Go deeper: Under the controversial new “strong mayor” provincial legislation, Tory has the power to veto amendments to the budget unless they are supported by two-thirds of city council — effectively allowing him to pass the budget he wants.   Paige Taylor White/The Star   crime Toronto police have identified the man who was killed in an alleged “swarming” attack last month It was 59-year-old Ken Lee, known to some as “Kenney,” who died in the swarming and stabbing attack last month that saw eight teenage girls arrested, Toronto police have revealed. Lee died near the Strathcona shelter hotel, where he had previously stayed and where staff remember him as a sweet and quiet man. On Tuesday, his name was added to the Toronto Homeless Memorial among 14 others who died in the same month, Victoria Gibson and Ben Mussett report. Here’s what we know about the case. More: “It’s a great shame that we have a city that has this amount of loss on a monthly basis gone completely ignored — no system changes, no challenges, no contest to this amount of loss, of grief, of families that have now a hole,” said the director of the Church of the Holy Trinity, which preserves the memorial, Zach Grant. Watch for: Several of the girls will face bail hearings in the coming weeks. One girl has already been released on bail with two sureties. The identities of all eight accused cannot be released under the Youth Criminal Justice Act.   Lance McMillan/The Star   real estate Agents are reporting a surge in home buyers desperate to get out of deals With interest rates soaring, more and more pre-construction real estate buyers are worried they won’t be able to close their purchase. As a result, some realtors are noticing an increase in assignment sales, a legal transaction in which an original pre-construction condo buyer transfers the rights and obligations of the agreement to another buyer, Clarrie Feinstein reports. With condo prices dropping since the February 2022 peak, one expert tells the Star some buyers are willing to get out of the deal at whatever price necessary. Take a closer look at the impact of changing prices and interest rates on the market. By the numbers: The Bank of Canada raised its overnight lending rate seven times in 2022 to help cool inflation. From March 2022 to January 2023, mortgage rates went from historic lows of 1.5 per cent to over six per cent. More: High interest rates have deterred investors from buying pre-construction units, which could see some projects put on pause (75 per cent of units need to be sold before a developer begins to build the condo project).       WHAT ELSE   Biden is finally touching down in Canada in March. Here’s what his timing signals about American politics and his relationship with Trudeau.   The hungry are taking matters into their own hands, just as they did in the economic collapse of the ’70s or the Dirty Thirties. Dr. Matt Strauss won’t miss public health — and vice versa. Haldimand-Norfolk needed real expertise and didn’t get it.   He was on his way to a haircut. This Toronto drive-by victim is being remembered as loving father and skilled chef. A court has overturned the murder convictions against an Ontario man who gave two women HIV that killed them.   Sex trafficking survivors will train 2,200 Peel police officers to spot the next victims. Here’s how the program works. How a compound found in a sea sponge in B.C. could prevent COVID-19 infections.   A TV reporter’s “vulnerable moment” set off a sad spectacle of the anti-vax rage machine. Looking for a home? This is what $1 million can get you in Toronto and the GTA.   Toronto’s Don Alfonso 1890 has been ranked the second best Italian restaurant in the world. A low-cost airline has launched a new service from Hamilton to European destinations. Here’s what you need to know.   Ontario consumer insolvencies jumped 23 per cent in a year, thanks to this “perfect storm” of factors.       ICYMI The Age/Toronto Star Many NATO countries have stopped using animals for military training. Not Canada. New documents reveal the toll of violent training exercises.       CLOSE-UP Paige Taylor White/The Star   PEGASUS STUDIO: Kaeja d’Dance co-founders Karen and Allen Kaeja rehearse their new routine. They are among several dance companies “searching desperately for spaces” that are conducive to dance rehearsal — and affordable. Here’s a closer look at the risk the city’s art scene is facing.     Thank you for reading. You can reach me and the First Up team at firstup@thestar.ca. I’ll see you back here tomorrow.     If you're not enjoying these emails, please tell us how we can make them better by emailing newsletterfeedback@thestar.ca. Or, if you'd prefer, you can unsubscribe from this newsletter by clicking the first link below.   Unsubscribe From This Newsletter Sign Up for More Newsletters and Email Alerts View in Browser Toronto Star Newspapers Limited. One Yonge Street, 4th Floor, Toronto, ON M5E 1E6. 416-367-2000 PRIVACY POLICY