International investors hope to see business-savvy mayor in Toronto, observers say

As Toronto looks to elect a new mayor in the coming months, observers say international investors are looking for another business-savvy leader like John Tory to take the helm.

Tory's tenure came to an end on Friday, capping off a turbulent week at Toronto City Hall that started Feb. 10 when he announced his resignation after admitting he had an "inappropriate relationship" with a former staffer.

Although the bombshell news made international headlines, Patrick James, an associate professor of international politics at the University of Southern California, said investors don't care about "an embarrassing, messy extramarital affair" — instead, they're thinking about what lies ahead.

"Your average investor is scratching their head saying, 'I wonder if we will see a strong mayor that continues playing out in a pro-business way,"' said James, who is a Canadian expat.

Tory, 68, is a member of Toronto's business and political elite, and honed that reputation over the course of his business and broadcasting careers before entering politics as a straitlaced moderate conservative. He sits on the advisory committee of the Rogers family trust, which controls Rogers Communications Inc.

Robert Speel, an associate professor of political science in Erie, Pa., who also teaches part time at Toronto Metropolitan University, said the international community wants the city's next mayor to be someone "similar to Tory," who built up a reputation of being friendly with businesses.

"If the next mayor's someone who might be considered unfriendly to businesses, that could potentially have an economic impact on American investment in Toronto," Speel said.

Deputy Mayor Jennifer McKelvie, a relative newcomer to city hall with a background in science, has assumed leadership of the city until a byelection is held to elect a new mayor in the coming months. She has said she will not run for mayor.

But despite her lack of business ties, observers say investors eyeing Toronto for future opportunities won't be affected by McKelvie taking over temporarily. "There's probably trade trips or meetings that are already scheduled, that are on the book that will take place," said Zac Spicer, an associate professor with York University's public policy and administration department.

"I don't think the deputy mayor is going to ... aggressively lobby for new spending, funding or policy items. With that said, a lot of people who were hoping to get the mayor's ear, whether they're thinking about investing in Toronto or from the business community, they're probably going to want to speak with whomever is elected mayor."

City hall also isn't the only institution that attracts businesses to Toronto, Spicer said.

"Toronto Board of Trade, Invest Toronto ... There are a lot of people working away regardless of the mayor's outlook," he said.

The upcoming byelection will likely be competitive and feature many different visions for the city, including high-profile progressive candidates. Some political experts have said it could be the best chance for Toronto's progressive left to elect a mayor in over a decade.

James said investors would typically want to keep the status quo.