Kingston’s Capitol Condo project is in the process of being downsized.

The proposed 16 storey Capitol condominium in downtown Kingston may not be dead just yet. IN8 Developments, the company behind the controversial building at 223 Princess Street, will be allowed to proceed with a legal challenge of the planning tribunal’s initial rejection of the project. Ontario’s Divisional Court has granted IN8 Developments leave to appeal last year’s ruling that denied the high-rise building.

The first tenant has moved in to True North Square. Thompson Dorfman Sweatman has taken over the top three floors of the 17-storey building at 242 Hargrave St.