Choice Properties Real Estate Investment Trust and Wittington Properties Limited announced its plans to redevelop the crumbling building, which sits on 3.5 acres of land at the northeast corner of Lakeshore and Bathurst.
The mixed-use site will include seven storeys of retail and office space totaling 245,000 square feet, including a 50,000 square foot Loblaws store, as well as two condominium towers: one at 37 storeys and another at 41 storeys.
The building dates back to 1928, and its 100,000 bricks will be removed, cleaned and catalogued so they can be reused in the reconstruction.
"With respect for the historical nature of the site, we are dismantling a heritage designated building brick by brick, stone by stone," Choice Properties CEO John Morrison told reporters Wednesday morning.
The project, named the West Block, is scheduled to be completed by spring 2019.
The building served as head office and warehouse for Loblaw from 1928 until the 1970s. It was also once home to the Daily Bread Food Bank's warehouse and distribution centre, but the organization relocated in 2000.
The building was declared a heritage property in 2001.