Alphabet Inc.’s urban development organization Sidewalk Labs has reportedly canceled plans to develop a “smart district” in Toronto due to economic concerns brought on by the coronavirus pandemic.
In a blog post Thursday, Sidewalk Labs CEO Daniel Doctoroff said that the company would no longer pursue plans to assist in the development of 12 acres of Toronto’s waterfront Quayside community, a project that would have resulted in a new high-tech district featuring state-of-the-art amenities.
“It is with great personal sadness and disappointment that I share that Sidewalk Labs will no longer pursue the Quayside project,” Doctoroff wrote.
“For the last two-and-a-half years, we have been passionate about making Quayside happen — indeed, we have invested time, people, and resources in Toronto, including opening a 30-person office on the waterfront,” he continued.
“But as unprecedented economic uncertainty has set in around the world and in the Toronto real estate market, it has become too difficult to make the 12-acre project financially viable without sacrificing core parts of the plan we had developed together with Waterfront Toronto to build a truly inclusive, sustainable community.”
Doctoroff’s announcement means an end to a planned $1.3 billion renovation to the district, which would have installed features such as public Wi-Fi, illuminated sidewalks and sensors monitoring vehicle and foot traffic, as well as sustainable housing projects.
The plan was first announced in 2017 and has faced criticism for years from some residents who disapprove of the planned changes or were wary of privacy concerns that arose with the project.
Waterfront Toronto, a local board managing development of the city’s waterfront real estate, reacted with disappointment Thursday following Sidewalk Labs’s announcement.
“While this is not the outcome we had hoped for, Waterfront Toronto offers thanks and appreciation to Sidewalk Labs for its vision, effort, and the many commitments that both the company and its employees have made to the future of Toronto,” said Waterfront Toronto Chairman Stephen Diamond.