Fengate PCL Progress Partners MBR LP was selected by the Province of Ontario to design, build, finance and maintain Macdonald Block Reconstruction PPP Project in Toronto which will house Government of Ontario.

The consortium led by Fengate capital and PLC is now preparing to offer CAD 144.5 million (USD 111 million) in two amortizing senior secured bonds to finance the project. Moody's Investors Service has assigned a first-time A3 rating to the bonds.

The Macdonald Block is the administrative centre of the Ontario Government, currently housing approximately 3600 staff. The facility is comprised of 4 towers: Hearst, Ferguson, Hepburn and Mowat and a two-storey podium which acts as a concourse to physically connect the towers. The Macdonald Block has significant heritage value and is an exemplar of the modern movement in its integrated approach to architecture, landscape architecture and public art.

The scope of the reconstruction will be extensive and includes the demolition of all building systems and their replacement with new systems designed for a flexible, modern workplace. The facility will be stripped down to the original building core and shell and will be rebuilt using modern technologies, building systems and materials while preserving the integrity of significant heritage features.

The newly reconstructed building will be required to meet current building, health, safety and accessibility standards, while facilitating a higher more efficient use of space.