Toronto’s legendary El Mocambo is back on the sales block.
Less than five years after former Dragon’s Den star Michael Wekerle re-opened the storied concert venue, court documents show the businessman has defaulted on nearly $56 million in loans tied to the property.
An Ontario court appointed EY, formerly known as Ernst & Young, to oversee the sale of the club and its various assets.
It’s the latest turn for the 77-year-old venue, which has hosted generations of rock royalty, including the Rolling Stones, U2 and the White Stripes.
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Wekerle purchased the property in 2014 for $3.8 million before he spent roughly $35 million on extensive renovations at the multi-level space, which included adding state-of-the-art stage equipment and a recording studio.
After years of delays, the venue re-opened in late 2021 with Canadian alt-rock band Our Lady Peace playing a splashy party hosted by Wekerle.
Court documents filed by lender Waygar Capital Inc. last month say Wekerle had already stopped repaying his debt by the time he re-opened the space. They allege his most recent payment was in June 2021.
Earlier this year, Waygar made filings seeking to put the El Mocambo into receivership, though the courts appointed Fuller Landau Group Inc. as a financial monitor.
Waygar Capital did not respond to a voicemail.
Wekerle did not answer a call and text seeking comment.
While the future ownership of the so-called “El Mo” remains uncertain, the venue still has some upcoming events on its calendar.
Among the assets up for sale are the El Mocambo trademark, registered in both the U.S. and Canada, its famed palm tree graphic design, and a vodka brand under the name.
All bids must be submitted by June 30. The successful bid will be finalized no later than Aug. 15.
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