Homeowners Face Huge Costs After Playground Collapse

Dozens of townhome owners in Vaughan, Ont., are facing huge bills – now totaling around $2 million collectively – to repair significant damage to their newly built complex.

The condominium corporation claims that the collapse of a community playground in 2024 was due to installation mistakes during construction. However, the developer is defending their work, the insurance provider has rejected a claim, and owners are now responsible for the damage, with each bill rising close to $40,000.

“Would you think buying a brand new home would be this stressful?” said owner Asta Law. She mentioned she bought pre-construction believing it would be “stress free,” but it’s turned out to be anything but.

Some owners point out what they see as gaps in protections for homeowners in Ontario.

Owner Jarreau Hickson says he and his wife thought they’d found their dream home when they bought it pre-construction and moved in 2021. Instead, he describes their experience as “a nightmare,” filled with financial stress.

“My biggest question is why isn’t there something in place to protect homeowners from something like this? And if it can happen here, it can happen anywhere to anybody,” Hickson said.

June 2024 Playground Collapse

The Arthur Townhomes, located near Keele Street and Mc Naughton Road, was developed by Treasure Hill. The 51 units were finished in 2021.

The freehold homes are individually owned; however, the community operates under a condominium corporation that manages shared infrastructure like the road itself. Common elements also include a small playground built on top of a stormwater system. In June 2024, the playground unexpectedly collapsed due to a sinkhole that formed.

“We have nephews that come here and they play on the playground,” said Hickson. “Thank goodness no one was actually hurt here. You know, that’s first and foremost. But what could have been? I mean, it’s unbelievable.”

The playground in the townhouse complex collapsed suddenly in June 2024. (Rezwan Razzaque)

Shock over the sudden collapse later shifted to shock over what this meant financially for homeowners. They’ve each been charged nearly $40,000 over about a year and a half through special assessments to cover related costs.

Special assessments are one-time fees designed to address unexpected expenses and budget deficits. Toronto-based condominium lawyer Bradley Chaplick, who isn’t involved with this case, stated that these fees are “really high” and not something most homeowners consider when purchasing a condo.

The Arthur Townhomes owners initially faced a special assessment fee of $7,843.12 each in August 2024 for an engineering assessment deemed necessary for its insurance claim along with site protection measures costing more than $30,000 per month.

A second special assessment of $16,000 each was issued in February 2025.

A letter sent by the property manager on behalf of the corporation explained that “the condominium corporation’s engineers discovered that the location and depth of the [storm water] tank was not in accordance with drawings available or those produced by the developer.” Therefore, an adjustment plan was needed which increased costs further.

Cause of Damage Disputed

In May there seemed to be clarity regarding what caused the damage.

The property manager informed owners via email that experts found “makeshift” wooden pieces used as temporary supports during tank installation had been incorrectly left behind. The email detailed how this shoring failed and pushed against the tank causing it to become laterally unstable which led to its collapse.

However, their insurance provider appears to have reached another conclusion. In October this year-16 months after the collapse-following investigations where over $1 million had already been spent by the condo corporation on mitigation efforts-the insurance claim was denied.

In an email response to , Erica Nelson from Echelon Insurance refrained from commenting specifically about the claim citing privacy issues but affirmed their commitment “to ensuring each client receives fair treatment.”

After an extensive investigation into the collapse conducted by engineers hired by condo management came up with different results than those indicated by insurers (Rezwan Razzaque)

reached out for comments from Treasure Hill regarding findings made by condo management. Daniella Kozovski , chief people officer at Treasure Hill , stated that “the stormwater system was installed according with manufacturer’s guidelines.”
Kozovski added that Treasure Hill is reviewing an engineering report provided by insurers while noting “the condo board has not contacted us directly concerning next steps.”
“We remain committed working alongside condominium board towards resolving these issues,” her statement read.
Maria Dimakas , legal representative for condo management declined answering several inquiries posed by but assured compliance stating ,”the board is committed protecting interests condominium corporation thus all unit owners.”

Financial Hardship For Owners

The latest special assessment went out earlier this month. Owners were notified they owe another amount set at $16 ,039.22 each divided into three payments intended covering replacement water tanks plus other necessary work. First payment date passed last week while final installment expected January next year.

Several owners communicated through CBC expressing financial hardships they’re encountering.

“I don’t know where I’m going get money from. I just don’t have any funds left pay more ,” lamented owner Asta Law.

Calls For Accountability

Law expressed confusion as why she should bear costs resulting from what’s reported being construction errors demanding accountability instead.
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Fellow homeowner Rezwan Razzaque echoed desires calling accountability developers too including City Vaughan whom grants building permits.

“How can this even happen? There [are] all these checks and balances inspection,” Razzaque questioned. Razzaque has contacted City Vaughan voicing concerns surrounding municipal oversight respectively director building standards assured him city reviews his points raised earlier June without providing responses queries asked regarding status investigation or potential actions considered taking place.As professional engineer himself Rezwan Razzaque expressed astonishment associated errors observed throughout tank installations (Sarah Mac Millan/CBC)

Some homeowners attempted reaching out Tarion administering warranty coverage available every new home within Ontario ; however provisions relate individual ownership only apply matters affecting respective units exclusively whereas separate warranties exist common elements claims must initiated through condominiums corporate entity.

Tarion confirmed engagement actively collaborating alongside both builders recently submitted warranty claims.

Tarion representatives didn’t clarify whether damages result improperly installed shoring qualify under terms major structural defect entitling seven years warranty protection periods sought answers correspondence directed toward organization.”<h2 gaps_in_protections_said_owners. hOwners like Razzaque , Law Hickson believe insufficient protections exist addressing concerns raised among them overall collective voice reiterates feelings inadequacies felt within present systems involved surrounding homeownership rights.

Nicholas Rodrigues spokesperson Ministry Public Business Service Delivery Procurement responded email correspondence addressed notions voiced homeowners indicating department recognizes worries brought forth pledging dedication working Tarion ensuring improvements consumer safeguards made promptly suggested loopholes indeed exist highlighted Chaplick attorney not participating said case.

“There gaps present Condominium Act aimed safeguarding interests residents additionally limitations noted Tarion coverage occur filling those voids needs courts ultimately resolving disputes arising disputes need arise.”<img src="Condo_lawyer_Bradley_Chaplick_with_Levitt_Di_Lella_Duggan_&_Chaplick_counseling. pdf image

Within communications dispatched between property managers outlined plans proposed exploring exercising rights institutional governing bodies regulating accountable parties incident occurred likewise seek rectification involve insurers subsequently required further monetary obligations incurred legally pursuing options thereby mandating necessity deriving additional funding contributions designated specific legal representations respective owner bases indicated resolved matters although outcome achieved will revert back corporately rather than benefiting individuals dependent outcomes hinge upon general consensus decision finalized henceforth outline laws govern such scenarios alike elucidate process stated above elucidated Chappick commented outlook perspective communities maintaining healthy reserve funds secured well planned ahead take precedent considering future events potentially arise uncertain times approach fostering prudence awareness around implications discussing scenarios positioned contingencies encountered regularly across ownership landscape itself reflecting ongoing trends characterized dynamic nature challenge shaping current market realities face today.”

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