Item - 2015.EX10.20

Tracking Status

  • City Council adopted this item on December 9, 2015 with amendments.
  • This item was considered by the Executive Committee on December 1, 2015 and adopted without amendment. It will be considered by City Council on December 9, 2015.
  • See also By-law 755-2016

EX10.20 - New Affordable Non-Profit Housing Opportunity on Homewood Avenue

Decision Type:
ACTION
Status:
Amended
Ward:
27 - Toronto Centre-Rosedale

City Council Decision

City Council on December 9 and 10, 2015, adopted the following:

 

1.  City Council authorize the Chief Corporate Officer to negotiate the acquisition of the Properties with the owner/vendor at a maximum purchase price as outlined in Confidential Attachment 1 to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer, in consultation with the Director, Affordable Housing Office, and authorize the City to enter into an agreement of purchase and sale substantially on the terms outlined in Appendix A to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer, and on such other terms and conditions and such related documents as may be acceptable to the Chief Corporate Officer, in consultation with the Director, Affordable Housing Office, and in a form satisfactory to the City Solicitor.

 

2.  City Council amend the 2015 Shelter, Support and Housing Administration Capital Budget by adding a new capital project called "63 and 65 Homewood Avenue Acquisition" as outlined in Confidential Attachment 1 to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer, if Real Estate Services is successful in entering into an Agreement of Purchase and sale for the Properties including all fees and disbursements, to be fully funded by Section 37 (XR3026) as outlined in the Confidential Attachment 1 to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer, when the negotiations are successfully completed.

 

3.  City Council adopt the confidential instructions to staff in Confidential Attachment 1 to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer.

 

4.  City Council authorize the Chief Corporate Officer to administer and manage the transaction, in consultation with the Director, Affordable Housing Office, including the provision of any consents, approvals, waivers and notices, provided that she may, at any time, refer consideration of any such matters (including their content) to City Council for its consideration and direction if Real Estate Services is successful in entering into an Agreement of Purchase and sale for the Properties.

 

5.  City Council authorize the City Solicitor to complete the contemplated transaction on behalf of the City, including paying any necessary expenses, amending the closing, due diligence and other dates, and amending and waiving terms and conditions, on such terms as she considers reasonable if Real Estate Services is successful in entering into an Agreement of Purchase and sale for the Properties.

 

6. City Council authorize the public release of Confidential Attachment 1 to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer once negotiations have been successfully completed and the transaction has closed.

 

Proposal Call

 

7.  City Council authorize the Director, Affordable Housing Office to issue an open and transparent competitive proposal call to non-profit affordable rental housing providers and to select the best proponent, in his sole discretion to lease, renovate and operate the Properties.

 

Lease

 

8.  City Council authorize the Chief Corporate Officer, in consultation with the Director, Affordable Housing Office to negotiate and enter into a lease for the Properties for a term of up to 50 years and for nominal rent with the non-profit affordable rental housing operator selected through the process set out in Part 7 above, together and any other agreements or documents required to give effect to Council's decision.

 

Renovation

 

9.  City Council authorize the Director, Affordable Housing Office to recommend to the Municipal Property Assessment Corporation that the Properties be exempt from taxation for municipal and school purposes.

 

10.  City Council authorize the Director, Affordable Housing Office to designate the Properties as social housing for the purpose of allowing all or part of the Properties relief from normal parking standards.

 

11.  City Council authorize the Director, Affordable Housing Office, to negotiate and enter into, on behalf of the City, a municipal capital facility agreement with respect to the operation and the new affordable rental housing, on terms and conditions satisfactory to the Director and in a form approved by the City Solicitor.

 

12.  City Council authorize the City Solicitor to execute any documents required to register security for the capital renovation funding and to postpone, confirm the status of, and discharge the security when and if necessary.

 

Confidential Attachment 1 to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer remains confidential in its entirety at this time in accordance with the provisions of the City of Toronto Act, 2006, as it pertains to a proposed or pending land acquisition by the City of one of its agencies or corporations.  Confidential Attachment 1 to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer will be made public once negotiations have been successfully completed and the transaction has closed.

Confidential Attachment - A proposed or pending acquisition or sale of land for municipal or local board purposes

Background Information (Committee)

(November 17, 2015) Report and Appendices A and B, from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer on New Affordable Non-Profit Housing Opportunity on Homewood Avenue
https://www.toronto.ca/legdocs/mmis/2015/ex/bgrd/backgroundfile-86047.pdf
Confidential Attachment 1 - Acquisition of 63 and 65 Homewood Avenue

Motions (City Council)

1 - Motion to Amend Item moved by Councillor Ana Bail„o (Carried)

That City Council delete Executive Committee Recommendation 6:

 

Recommendation to be deleted

 

6.  City Council direct that Confidential Attachment 1 to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer remain confidential as it pertains to a proposed or pending land acquisition by the City or one of its agencies, boards, and commissions.

 

and adopt instead the following new recommendation 6:

 

6. City Council authorize the public release of Confidential Attachment 1 to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer once negotiations have been successfully completed and the transaction has closed.


Motion to Adopt Item as Amended (Carried)

20a - New Affordable Non-Profit Housing Opportunity on Homewood Avenue

Confidential Attachment - A proposed or pending acquisition or sale of land for municipal or local board purposes
Background Information (Committee)
(November 26, 2015) Letter from the Affordable Housing Committee on New Affordable Non-Profit Housing Opportunity on Homewood Avenue
https://www.toronto.ca/legdocs/mmis/2015/ex/bgrd/backgroundfile-86213.pdf
(November 17, 2015) Report and Appendices A and B, from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer on New Affordable Non-Profit Housing Opportunity on Homewood Avenue
https://www.toronto.ca/legdocs/mmis/2015/ex/bgrd/backgroundfile-86210.pdf
Confidential Attachment 1 - Acquisition of 63 and 65 Homewood Avenue
(November 12, 2015) Report from the Director, Affordable Housing Committee on New Affordable Non-Profit Housing Opportunity on Homewood Avenue - Notice of Pending Report
https://www.toronto.ca/legdocs/mmis/2015/ex/bgrd/backgroundfile-86208.pdf

EX10.20 - New Affordable Non-Profit Housing Opportunity on Homewood Avenue

Decision Type:
ACTION
Status:
Adopted
Ward:
27 - Toronto Centre-Rosedale

Confidential Attachment - A proposed or pending acquisition or sale of land for municipal or local board purposes

Committee Recommendations

The Executive Committee recommends that:

 

1.  City Council authorize the Chief Corporate Officer to negotiate the acquisition of the Properties with the owner/vendor at a maximum purchase price as outlined in Confidential Attachment 1 to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer, in consultation with the Director, Affordable Housing Office, and authorize the City to enter into an agreement of purchase and sale substantially on the terms outlined in Appendix A to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer, and on such other terms and conditions and such related documents as may be acceptable to the Chief Corporate Officer, in consultation with the Director, Affordable Housing Office, and in a form satisfactory to the City Solicitor.

 

2.  City Council amend the 2015 Shelter, Support and Housing Administration Capital Budget by adding a new capital project called "63 and 65 Homewood Avenue Acquisition" as outlined in Confidential Attachment 1 to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer, if Real Estate Services is successful in entering into an Agreement of Purchase and sale for the Properties including all fees and disbursements, to be fully funded by Section 37 (XR3026) as outlined in the Confidential Attachment 1 to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer, when the negotiations are successfully completed.

 

3.  City Council adopt the confidential instructions to staff in Confidential Attachment 1 to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer.

 

4.  City Council authorize the Chief Corporate Officer to administer and manage the transaction, in consultation with the Director, Affordable Housing Office, including the provision of any consents, approvals, waivers and notices, provided that she may, at any time, refer consideration of any such matters (including their content) to City Council for its consideration and direction if Real Estate Services is successful in entering into an Agreement of Purchase and sale for the Properties.

 

5.  City Council authorize the City Solicitor to complete the contemplated transaction on behalf of the City, including paying any necessary expenses, amending the closing, due diligence and other dates, and amending and waiving terms and conditions, on such terms as she considers reasonable if Real Estate Services is successful in entering into an Agreement of Purchase and sale for the Properties.

 

6.  City Council direct that Confidential Attachment 1 to the report (November 17, 2015) from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer remain confidential as it pertains to a proposed or pending land acquisition by the City or one of its agencies, boards, and commissions.

 

Proposal Call

 

7.  City Council grant and authorize the Director, Affordable Housing Office to issue an open and transparent competitive proposal call to non-profit affordable rental housing providers and to select the best proponent, in his sole discretion to lease, renovate and operate the Properties.

 

Lease

 

8.  City Council authorize the Chief Corporate Officer, in consultation with the Director, Affordable Housing Office to negotiate and enter into a lease for the Properties for a term of up to 50 years and for nominal rent with the non-profit affordable rental housing operator selected through the process set out in Recommendation 7 above, together and any other agreements or documents required to give effect to the foregoing.

 

Renovation

 

9.  City Council authorize the Director, Affordable Housing Office to recommend to the Municipal Property Assessment Corporation that the Properties be exempt from taxation for municipal and school purposes.

 

10.  City Council authorize the Director, Affordable Housing Office to designate the Properties as social housing for the purpose of allowing all or part of the Properties relief from normal parking standards.

 

11.  City Council authorize the Director, Affordable Housing Office, to negotiate and enter into, on behalf of the City, a municipal capital facility agreement with respect to the operation and the new affordable rental housing, on terms and conditions satisfactory to the Director and in a form approved by the City Solicitor.

 

12.  City Council grant authority to the City Solicitor to execute any documents required to register security for the capital renovation funding and to postpone, confirm the status of, and discharge the security when and if necessary.

Origin

(November 17, 2015) Report from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer

Summary

In October 2015 City Council directed staff to conduct due diligence on the acquisition and renovation of 63 and 65 Homewood Avenue (the "Properties").  The opportunity to purchase the Properties arose out of a development application on a related site that did not proceed.  Since that time the owner has approached the City with an interest in selling the existing 20-room bed and breakfast, which the City would have converted to affordable rental housing.

 

This report outlines the opportunity to convert the Properties to affordable rental housing and outlines the acquisition and renovation costs and funding sources; seeks authority to negotiate the purchase of the Properties for affordable rental housing purposes; and outlines next steps, including authority for staff to conduct a request for proposals process for a non-profit housing group to renovate, lease, and operate the Properties. The Properties are shown on the location map attached hereto at Appendix "B".

Background Information

(November 17, 2015) Report and Appendices A and B, from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer on New Affordable Non-Profit Housing Opportunity on Homewood Avenue
https://www.toronto.ca/legdocs/mmis/2015/ex/bgrd/backgroundfile-86047.pdf
Confidential Attachment 1 - Acquisition of 63 and 65 Homewood Avenue

Motions

1 - Motion to Adopt Item moved by Councillor David Shiner (Carried)

That the recommendations from the Affordable Housing Committee [EX10.20a] be adopted.

20a - New Affordable Non-Profit Housing Opportunity on Homewood Avenue

Confidential Attachment - A proposed or pending acquisition or sale of land for municipal or local board purposes
Origin
(November 26, 2015) Letter from the Affordable Housing Committee
Summary

In October 2015 City Council directed staff to conduct due diligence on the acquisition and renovation of 63 and 65 Homewood Avenue (the "Properties").  The opportunity to purchase the Properties arose out of a development application on a related site that did not proceed.  Since that time the owner has approached the City with an interest in selling the existing 20-room bed and breakfast, which the City would have converted to affordable rental housing.

 

This report outlines the opportunity to convert the Properties to affordable rental housing and outlines the acquisition and renovation costs and funding sources; seeks authority to negotiate the purchase of the Properties for affordable rental housing purposes; and outlines next steps, including authority for staff to conduct a request for proposals process for a non-profit housing group to renovate, lease, and operate the Properties. The Properties are shown on the location map attached hereto at Appendix "B".

Background Information
(November 26, 2015) Letter from the Affordable Housing Committee on New Affordable Non-Profit Housing Opportunity on Homewood Avenue
https://www.toronto.ca/legdocs/mmis/2015/ex/bgrd/backgroundfile-86213.pdf
(November 17, 2015) Report and Appendices A and B, from the Deputy City Manager, Cluster A and the Deputy City Manager and Chief Financial Officer on New Affordable Non-Profit Housing Opportunity on Homewood Avenue
https://www.toronto.ca/legdocs/mmis/2015/ex/bgrd/backgroundfile-86210.pdf
Confidential Attachment 1 - Acquisition of 63 and 65 Homewood Avenue
(November 12, 2015) Report from the Director, Affordable Housing Committee on New Affordable Non-Profit Housing Opportunity on Homewood Avenue - Notice of Pending Report
https://www.toronto.ca/legdocs/mmis/2015/ex/bgrd/backgroundfile-86208.pdf
Source: Toronto City Clerk at www.toronto.ca/council