Toronto’s famed El Mocambo has been sold as owner defaults on debt.
The renovated El Mocambo is a wonderful place. And it took $30 million to make it that way–and therein lies the problem, Owner Michael Wekerle, the Dragon’s Den guy, bought it, fixed it up brilliantly, and was immediately hit by COVID. His business plan for the place couldn’t recover.
On August 5, the Ontario Superior Court of Justice approved the sale of the Elmo’s assets to a new company controlled by Cyrus Madon, the executive vice chair of Brookfield Asset Management. This completes a transaction that began back in April when Wekerle defaulted on a debt of over $32 million.
Fear not, though. The Elmo will continue to operate under the direction of Mike Chalut. He had this to say in a press release:
“This is an exciting day for the El Mo team. The El Mocambo isn’t just a venue — it’s a living, breathing part of Toronto. With the support of our new ownership, we can push even further in championing Canadian artists, building unforgettable experiences and creating space for cultural and community to thrive.”
There are a few more details to iron out, but it’s expected that the sale will go through in a few weeks.
