Capital Pointe completion date pushed back another year

The real estate company behind a multimillion-dollar skyscraper in Regina says the project will reach ground level by September 2018 and be finished by spring 2020. 

Last year, a spokesperson for Fortress Real Developments told CBC News the Capital Pointe hotel and condominium project was anticipated to reach the ground level by November 2017 and be move-in ready by spring 2019. 

Before that, it expected the excavation that started in 2016 on the site, located at the corner of Albert Street and Victoria Avenue, would be finished by summer 2017. 

"The project is behind schedule due to a number of 'excusable' delays it has encountered previous to (eg: moving of SaskTel main electrical trunk line) and since commencement of construction, which have now been resolved," Fortress spokesperson Jenni Byrne wrote in an email to CBC this week. 

"This excavation work has been an extraordinary construction project in its own right in Regina, with the five levels of underground parking that will be provided for building residents. The timeline for completion of the project is 18-20 months from construction reaching grade."

The developer has until March 2018 to achieve "meaningful construction" on the site otherwise its foundation and site services permit expires.

City hall administration recently advised councillors — some of whom have expressed frustration at the construction delays — that the city cannot compel the real estate company to finish construction.

$20M spent on project

At 27 storeys, Fortress says Capital Pointe will be the tallest building in the city.  The developer says it will offer 186 luxury condo units and include a hotel with 140 suites. 

The company says it has a construction budget of $105 million, and $20 million has been spent on the project thus far. 

"This is the amount that has been required to complete the current work, and as is customary in the industry, financing will be drawn upon as the project moves through construction," Byrne said in an email to CBC. 

Last week, the Financial Services Commission of Ontario issued $1.1 million in fines following an investigation into mortgage companies involved in the financing of Fortress projects.

In addition to meting out fines, the commission ordered one of the brokerages involved with Fortress, as well as four individual brokers, to stop all mortgage brokerage business. One of the brokers is Vince Petrozza, chief operating officer for Fortress. All of these parties consented to the revocation. 

CBC asked Fortress if the decision would affect Capital Pointe.

The company responded: "Fortress is not a party to the settlement or the subject of any of the orders. The settlement and orders involve mortgage brokerages and brokers. Fortress is not a mortgage brokerage or administrator. Fortress is a real estate developer and development consultant. Fortress does not believe that the settlement and orders will harm its business and look forward to continuing to work on Capital Pointe."