Province grilled over Therme's credentials to build luxury spa at Ontario Place

CBC

16-04-2025

Critics are once again slamming the provincial government's plan to build a luxury spa on the former site of Ontario Place — this time over allegations that the company set to run the multi-billion-dollar project misrepresented itself and exaggerated its experience in order to secure the deal.
Those claims are part of a New York Times story, based on corporate filings in three countries and interviews with a dozen people involved in Therme's operations, which found that the company falsely presented itself as having operated as many as half a dozen spas in Europe, when in reality it had only built and operated just one.
The report also says that as the European company was pitching its vision for the prime lakefront property, it was losing money and had less than $1.6 million in equity.
CBC News has not independently verified those findings and has reached out to Therme for comment.
At Queen's Park Wednesday, Liberal MPP John Fraser said the reporting was "stunning" — as it uncovered a company with one small spa, a million dollars in equity, and an "interconnected web of shell companies."
"Yet somehow they convinced the premier that they had a global track record. It didn't just stretch the truth, it led the premier down the garden path — and Infrastructure Ontario signed right off on it," Fraser said.
"So why did the premier greenlight a 95-year-deal with a company that inflated its portfolio and couldn't pass a basic financial sniff test?"
WATCH | What the AG report on Ontario Place found:
Ontario Place redevelopment not 'fair, transparent or accountable,' auditor general finds
4 months ago
Duration 4:49
According to the province's auditor general, the process for selecting new tenants for Ontario Place wasn't transparent or fair. CBC's Lorenda Reddekopp breaks down some of the key findings from the scathing section of the annual report.
In response, Minister of Infrastructure Kinga Surma said that Therme passed the financial test conducted by Infrastructure Ontario, which she called a "world-renowned, arms-length agency."
Pressed in further questions, Surma repeatedly pivoted to talking about the number of jobs that would be created both through construction and operation of the spa.
Surma also said the province has "done this dance already," when it comes to questioning the project, mentioning audits and a recent review.
In a report from late last year, the province's auditor general found that the cost of the redevelopment of Ontario Place has ballooned by more than $1.8 billion, and the process for selecting new tenants for the prized lakefront property wasn't transparent or fair.
Fraser asked Wednesday if Premier Doug Ford would throw out this deal, like he did when he cut ties with Elon Musk's Starlink, or when the province backed away from its redevelopment plans for The Greenbelt.
"No, we will not," Surma responded, again lauding Infrastructure Ontario's credentials.
Green Party Leader Mike Schreiner, however, called on the province to do exactly that, in addition to exploring a "made in Ontario solution" for the space.