Collapsed mall owner was willing to sell mall at a loss

The public inquiry in Elliot Lake has heard mall owner Bob Nazarian was willing to take a loss on the troubled Algo Centre to get rid of it.

Today, the inquiry heard from a Barrie businessman who tried to buy the mall on several occasions in the years just prior to the deadly roof collapse last summer.

Ron McCowan eventually reached an agreement to purchase the mall for $5.7 million in 2011 — less than the $6.2 million Nazarian paid when he acquired the mall from Retirement Living in 2005.

Some witnesses have already testified that Nazarian told them he was duped when he bought the mall because he felt some of the issues with the mall were not disclosed to him.

The deal with McCowan eventually fell through and Nazarian still owned the mall at the time of the deadly collapse in which killed two women and injured dozens of others.

He will appear at the public inquiry next month.

On Friday, the commission heard from Engineer Robert Wood.  During his testimony, inquiry counsel said Wood had a conversation with McCowan.

Evidence showed Wood told the developer the roof was in urgent need of repair, and it would cost $1.5 million to fix it.

Wood denied these claims, however.

Wood has been charged by the Ontario Ministry of Labour in connection with the collapse and was stripped of his professional engineering licence in November 2011 after admitting to misconduct unrelated to the mall.

The public inquiry established in July 2012 by the Ontario government has been underway in Elliot Lake since March.

It was created to report on events surrounding the mall roof's collapse, the deaths of Lucie Aylwin and Doloris Perizzolo, the injuries to others and the emergency management and response.

The hearings are expected to conclude with testimony from former premier Dalton McGuinty on Sept. 12.

Elliot Lake inquiry schedule