The buyer is Westbank Properties, which built the Shangri-La hotels in Toronto and Vancouver.
David Mirvish, who confirmed the sale Sunday night, says the deal will close later this year.
He is the current owner of the property and son of the late Edwin (Honest Ed) Mirvish, who founded the store on the corner of Bloor and Bathurst streets more than 70 years ago.
David Mirvish told the Toronto Star that Westbank will rent the site and surrounding properties back to him for the next two to three years, while it decides what to do with the 1.8-hectare parcel.
The financial details of the sale were not disclosed, but the Star says when Mirvish began looking for a buyer in July, the reported asking price was $100 million.
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