Property management

Strathmore: Canada's sale of ambassador's residence no pot of gold

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Strathmore

Lee Berthiaume – October 7, 2011

As the Irish real estate market began to crash in 2008, Canadian foreign affairs officials recommended the government not move ahead with plans to sell Canada's historic ambassadorial residence in Dublin, newly released documents show.

But the government ultimately rejected the advice — and appears to have lost millions of taxpayer dollars in the subsequent deal.

Video: Strathmore Extravagance

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Joanna Gualtieri
Joanna Gualtieri

With the sale of Canada's lavish ambassador's residence in Ireland this 2003 CBC documentary is now topical again. Once valued at up to $35 million, Strathmore sits next door to millionaire rock star Bono's luxury home – but it's much larger.

For years public servants repeatedly recommended that the property be sold, since it was so expensive to run and far beyond the requirements for an official residence. But the minister nixed this plan – in a one-line email. Joanna Gualtieri explains how the system works to perpetuate lavish waste and extravagance.

Foreign Affairs: Decades of Property Management Controversy

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For decades Foreign Affairs has had a deplorable track record in its management of staff accommodations abroad, while its portfolio of properties – often lavishly extravagant and wasteful – has ballooned into billions of dollars.

When the Auditor General criticized the department for its lack of controls, it responded by setting up the Bureau of Physical Resources to ensure that its real estate assets were managed efficiently and in line with Treasury Board rules. But the Bureau found itself powerless in the face of entrenched opposition by senior diplomats accustomed to indulging themselves.

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