The long-empty former General Hospital building in Sault Ste. Marie, Ontario, is finally coming down, with exterior demolition now well underway at 941 Queen Street East. Mayor Matthew Shoemaker shared drone footage this week showing crews actively taking apart lower sections of the rear building facing the waterfront. The work officially began on June 10, 2026, and the city says the whole job should be done by October, opening the door for new development on the prime waterfront site.
The building has sat derelict for roughly 15 years, ever since the new Sault Area Hospital opened in March 2011. Over that time, it became known for broken windows, frequent break-ins, and hundreds of visits by police and bylaw officers. “It was just becoming a hub of unwanted activity in our downtown,” Mayor Matthew Shoemaker said, describing why getting the property cleaned up was so important.
Before the exterior walls could start coming down, a lot of work happened inside. According to the city, Green Infrastructure Partners (GIP) hauled out 380 loads of debris, weighing about 4,007 tonnes, since fall 2025. Asbestos abatement had to be completed first, which took longer than expected because of the building’s poor condition.
The city bought the site for $4.75 million in October 2024 and then sold the rest of the property to GIP for $1 plus other considerations, while the former Renal Building was sold separately to Ruscio Construction for $2 million. Under the deal, GIP must demolish the building within 12 months, submit a master plan for development within 36 months, and secure building permits for construction within five years from the closing date. The city expects to recover its investment in six to 12 years through new tax revenue from whatever gets built, whether it’s housing, shops, or both.
Mayor Shoemaker said he has seen early concepts for the property, including multi-residential highrises, public space, and continued community access to the waterfront. GIP, which was founded by former Saultite Patrick Dovigi and local developer Dave Ruscio, is leading the project. For residents who have waited more than a decade to see something done with the prominent but troubled site, the sight of heavy machinery on the property is a welcome change.
