Item - 2017.TE23.6

City Council considered Items TE23.6 and TE23.16 together.

The Toronto and East York Community Council recommends that:

1.  City Council amend the Official Plan for the lands at 571 to 597 Bloor Street West, 738 to 782 Bathurst Street, 26 to 38 Lennox Street, 581 to 603 and 588 to 612 Markham Street, substantially in accordance with the draft Official Plan Amendment No. 378, attached as Attachment No. 6 to the report (March 17, 2017) from the Director, Community Planning, Toronto and East York District.

 
2.  City Council amend Zoning By-law 438-86, as amended, for the lands at 571 to 597 Bloor Street West, 738 to 782 Bathurst Street, 26 to 38 Lennox Street, 581 to 603 and 588 to 612 Markham Street substantially in accordance with the draft Zoning By-law Amendment attached as Attachment 1 to the report (April 3, 2017) from the Director, Community Planning, Toronto and East York District;

 
3.  City Council amend Zoning By-law 569-2013, as amended, for the lands at 571 to 597 Bloor Street West, 738 to 782 Bathurst Street, 26 to 38 Lennox Street, 581 to 603 and 588 to 612 Markham Street substantially in accordance with the draft Zoning By-law Amendment attached as Attachment 2 to the report (April 3, 2017) from the Director, Community Planning, Toronto and East York District;

 
4. City Council authorize the City Solicitor to make such stylistic and technical changes to the draft Official Plan Amendment (and/or) draft Zoning By-law Amendments as may be required;

5. Before introducing the necessary bills contemplated in Recommendations 1, 2 and 3 above to City Council for enactment, City Council require the owner(s) to:

 
i.  Enter into Heritage Easement Agreements with the City for the properties at 738, 740, 742, 744 Bathurst Street, 585 Bloor Street West and 581, 583, 585, 587, 588, 589, 590, 591, 592, 593, 594, 595, 596, 597, 598, 600, 602, 610 Markham Street, all to the satisfaction of the Senior Manager, Heritage Preservation Services and the City Solicitor, and in accordance with the Recommendations of  Item TE23.16 headed "Alterations and Removal of a Heritage Property, Intention to Designate under the Ontario Heritage Act and Authority to Enter into Heritage Easement Agreements - 738-746 Bathurst Street, 585 Bloor Street West and 581-597 and 588-606 and 610 Markham Street", with such agreement to be registered on title to the subject properties prior to the earlier of  the coming into force of the Zoning By-law and Official Plan Amendments giving rise to the proposed alterations, or the issuance of any permit for all or any part of the properties, including a heritage permit or a building permit, but excluding permits for such repairs and maintenance and usual and minor works for the existing heritage buildings as are acceptable to the Senior Manager, Heritage Preservation Services; and

 
ii. Provide a Conservation Plan, prepared by a qualified heritage consultant, that is consistent with the conservation strategy set out in the Heritage Impact Assessment for the properties at 738, 740, 742, 744 Bathurst Street, 585 Bloor Street West and 581, 583, 585, 587, 588, 589, 590, 591, 592, 593, 594, 595, 596, 597, 598, 600, 602, 610 Markham Street, all to the satisfaction of the Senior Manager, Heritage Preservation Services, in accordance with the Recommendations of Item TE23.16 headed "Alterations and Removal of a Heritage Property, Intention to Designate under the Ontario Heritage Act and Authority to Enter into Heritage Easement Agreements - 738-746 Bathurst Street, 585 Bloor Street West and 581-597 and 588-606 and 610 Markham Street".

 
6.  Before introducing the necessary bills contemplated in Recommendations 1, 2 and 3 above to City Council for enactment, City Council require the owner(s) to enter into an Agreement(s) pursuant to Section 37 of the Planning Act satisfactory to the City Solicitor, together with satisfactory provisions in the amending By-laws, to secure the following, at the owner's expense, in connection with 571 to 597 Bloor Street West, 738 to 782 Bathurst Street, 26 to 38 Lennox Street, 581 to 603 and 588 to 612 Markham Street, all to the satisfaction of the Chief Planner and Executive Director, City Planning and the City Solicitor, with such agreement to be registered to the satisfaction of the City Solicitor prior to the earlier of the bills coming into force, or the issuance of any permit for all or any part of the properties, including a heritage permit or a building permit, but excluding permits for such repairs and maintenance and usual and minor works for the existing heritage buildings as are acceptable to the Senior Manager, Heritage Preservation Services:
 

i. Prior to issuance of the first above-grade building permit, the owner shall enter into a Contribution Agreement to design, construct, and contribute to affordable rental housing dwelling units, at a minimum value of $4,000,000.00, within the approved development at 571 to 597 Bloor Street West, 738 to 782 Bathurst Street, 26 to 38 Lennox Street, and 581 to 603, with terms being to the satisfaction of thenDirector, Affordable Housing Office and the City Solicitor, in consultation with the Ward Councillor, and shall provide such affordable rental housing dwelling units in accordance with such agreement(s) to be entered into with the City, all to the satisfaction of the Director, Affordable Housing Office, the Chief Planner and Executive Director, City Planning Division and the City Solicitor;

                                                                                                 
ii. Prior to the issuance of the first above-grade permit, the owner will make efforts to the satisfaction of the Affordable Housing Office, in consultation with the Ward Councillor, to secure additional funding and/or beneficial financing arrangements in support of the provision of additional Affordable Housing through federal (CMHC or otherwise), provincial, and/or municipal funding programs (such as “Open Door” or other) so as to increase the provision of Affordable Rental Housing on-site to a target of 20 percent of total dwelling units;

 
iii. The owner will design, construct, equip and finish, a non-profit community and/or cultural space within the approved development, to be leased or conveyed to the City, at no cost to the City within the approved development, with direct access from a public right-of way and/or POPS, at a minimum value of $1,000,000.00.  The City may, at its sole discretion, elect to receive a financial contribution of a minimum of $1,000,000.00 for use towards community and/or cultural space.  Both options shall be to the satisfaction of  the Director, Real Estate Services and the Chief Planner and Executive Director, City Planning, in consultation with the City Solicitor and the Ward Councillor;

 
iv. The owner shall agree to provide the following, to the satisfaction of the General Manager, Transportation Services, the Executive Director, Engineering and Construction Services, the Director, Real Estate Services, the Chief Planner and Executive Director, City Planning, and the City Solicitor, in consultation with the Ward Councillor:
 

a.  Prior to Site Plan Approval, the owner shall submit a plan detailing improvements to the public realm to be implemented in support of the development, which will include, but not be limited to, details regarding hard and soft landscaping, paving and curbing details, sidewalk treatment, outdoor seating, and cycling facilities, and TTC bus/streetcar shelters, located on both public and private lands;
 

b.  The plan required in Recommendation 6.iv.a. above will include a streetscape improvement plan for Markham Street between Lennox Street and Bloor Street West.  The streetscape improvements will be to an enhanced standard beyond the City’s typical streetscape design guidelines in the immediate vicinity of the site, in the area identified as Markham Street, between Lennox Street and Bloor Street West;

 
c.  The owner will construct the approved streetscape improvements required in Recommendation 6.iv.a. and b. above by no later than 2 years following the first residential or commercial occupancy;
 

d.  The owner will maintain all improvements located on private property and those required in Recommendation 6.iv.b. above;
 

e.  Prior to the issuance of the first above grade building permit, the owner shall  provide an indexed letter of credit in the amount of the cost of all works required in Recommendation 6.iv.a. above; and

 
f.  Prior to the issuance of the first above grade building permit, the owner shall provide an indexed letter of credit to the City in the amount of $500,000.00, as security for the completion of the approved enhanced streetscape improvements required in Recommendation 6.iv.b. above.

 
v.  Prior to the issuance of Final Site Plan approval, the owner will convey to the City for nominal consideration, Publicly-Accessible Privately Owned Space (POPS) easements over the proposed re-designed and privately-owned Honest Ed's Alley, and, if necessary, over the proposed privately-owned east-west public access route, to provide public access for use by the general public, which easements shall include provisions for rights of support if necessary, and  insurance and indemnification of the City by the owner, to the satisfaction of Director, Real Estate Services, the Chief Planner and Executive Director, City Planning, and the City Solicitor, in consultation with the Ward Councillor. The public access easements are to be conveyed to the City free and clear of all physical and title encumbrances unless otherwise agreed to by City Planning and the City Solicitor. The owner shall own, operate, maintain and repair the POPS. The owner shall install and maintain a centralized sign, at its own expense, in accordance with the City of Toronto POPS urban design Guidelines, stating that members of the public shall be entitled to use the POPS at any time, 365 days a year, with any changes to terms and conditions being satisfactory to the Chief Planner and Executive Director, City Planning;

 
vi.  The owner will provide public art at the site to a minimum value of $500,000.00 to be secured by way of an indexed letter of credit in the amount of $500,000.00 provided by the owner to the City prior to the issuance of the first above grade building permit. Prior to the issuance of the first above-grade building permit, the owner will submit a plan detailing the possible locations of any public art installations on the site, to the satisfaction of the Chief Planner and Executive Director, City Planning in consultation with the Ward Councillor; 

 
vii. Prior to issuance of the first above grade building permit, the owner shall submit a Wind Study, satisfactory to the Chief Planner and Executive Director, City Planning, including wind tunnel analysis, which identifies recommendations for the pedestrian realm and the outdoor areas of the podiums to mitigate wind impacts year-round, and the owner shall implement and maintain in support of the development all recommended mitigation measures to the satisfaction of the Chief Planner and Executive Director, City Planning;
 

viii. Prior to the earlier of the issuance of the final building permit for any building on the site, or any residential or commercial use of the site within a building constructed on the site east of Markham Street, after the date of this by-law, and in support of the development, the owner shall, at its sole expense, design and construct, at no cost to the City, improvements to the Lennox Street and Bathurst Street intersection intended to facilitate left turn movements, to the satisfaction of the General Manager, Transportation Services;
 

ix.  Prior to any new any residential or commercial use of the site within a building constructed on the site west of Markham Street, the owner will design, construct, provide and thereafter maintain a below-grade pedestrian and maintenance connection beneath Markham Street, (the “Markham Street Maintenance Tunnel”), at its sole expense, and will be responsible for any and all costs related to the relocation of any underground utilities to facilitate the connection, and will provide the City with an indemnity, satisfactory insurance, a security in the form of indexed letters of credit related to the construction and ongoing maintenance of the connection, all to the satisfaction of the General Manager, Transportation Services;

 
x.  The owner will enter into an agreement with the City to secure, at the sole cost of the owner, the design, construction, and ongoing maintenance of the Markham Street Maintenance Tunnel in Recommendation 6(ix), above, to the satisfaction of the General Manager, Transportation Services;
 

xi.  Prior to the issuance of the first above-grade building permit, the owner shall design and construct, at no cost to the City, any required improvements to municipal infrastructure identified in the Functional Servicing and Stormwater Management Report, prepared by Cole Engineering, signed and sealed December 19, 2016, to the satisfaction of the Executive Director, Engineering and Construction Services and the General Manager, Transportation Services;

 
xii.  Prior to the issuance of the first above-grade permit, the owner will submit plans detailing the location of the proposed Neighbourhood Energy Facility, to the satisfaction of the Chief Planner and Executive Director, City Planning and other necessary civic officials, in consultation with the Ward Councillor;

 
xiii.  Prior to the commencement of any excavation and shoring work, the owner will submit a Construction Management Plan, to the satisfaction of the Chief Planner and Executive Director, City Planning, the General Manager, Transportation Services, and the Chief Building Official and Executive Director, Toronto Building, in consultation with the Ward Councillor, and thereafter shall implement the plan during the course of construction.  The Construction Management Plan will include, but not be limited to, the size and location of construction staging areas, location and function of gates, information on concrete pouring, lighting details, construction vehicle parking and queuing locations, refuse storage, site security, site supervisor contact information, a communication strategy with the surrounding community, and any other matters requested by the Chief Planner and Executive Director, City Planning, the General Manager, Transportation Services, in consultation with the Ward Councillor;

 
xiv. Prior to the earlier of the issuance of the final building permit for any building on the site, or any residential use of the site within a building erected on the site after the date of this by-law:

a.  in accordance with Section 42 of the Planning Act, the owner shall convey to the City, an on-site parkland dedication, having a minimum size of 1,150 square metres with a minimum of 22.0 metres of frontage on Markham Street, situated on the west side of Markham Street, south of Bloor Street, as shown generally on the Site Plan, dated May 21, 2015, revised December 19,  2016 drawing number A0.05, prepared by Henriquez Partners Architects, in accordance with the following and all to the satisfaction of the General Manager, Parks, Forestry and Recreation and the City Solicitor;

 
b.  The on-site parkland dedication identified in recommendation 6.xiv.a. shall be conveyed to the City in its entirety in one transaction;
 

c.  Prior to conveyance of the lands to the City, the owner shall be responsible for an environmental assessment of the land and any associated costs or remediation works required as a result of that assessment. Such assessment or remediation shall ensure that the parkland will meet all applicable laws, regulations and guidelines respecting the site to be used for public park purposes, including City Council policies respecting soil remediation of sites. A qualified environmental consultant acceptable to the Executive Director, Engineering and Construction Services shall prepare the environmental assessment. Prior to transferring the parkland to the City, the environmental assessment shall be peer reviewed by an environmental consultant retained by the City at the owner’s expense (the “Peer Reviewer”), and the transfer of the parkland shall be conditional upon the Peer Reviewer concurring within the owner’s environmental consultant that the parkland meets all applicable laws, regulations and guidelines for public park purposes; and,
 

d.  The owner’s environmental consultant shall file a Record of Site Condition (RSC) on the Ontario’s Environmental Site Registry and submit to the General Manager, Parks, Forestry and Recreation the Ministry of the Environment and Climate Change (MOECC) Letter of Acknowledgement of Filing of the Record of Site Condition (RSC) confirming that the RSC has been prepared and filed in accordance with O. Reg. 153/04 and that the MOECC will not audit the RSC at this time or that the RSC has passed an MOECC audit.

 
xv.  The owner acknowledges that the remaining Section 42 parkland dedication requirement not fulfilled through the required on-site land conveyance, as set out under Recommendation 6.xiv. above, shall be satisfied through a cash-in-lieu of parkland payment, to the satisfaction of the General Manager, Parks, Forestry and Recreation. The amount of cash-in-lieu to be paid will be determined at the time of issuance of the first above grade building permit and provided to the City as follows:

a.  The owner shall provide the first 5 percent of the cash-in-lieu funds to the City in the form of a certified cheque, and

 
b.  The owner shall provide the remainder the cash-in-lieu funds in the form of an indexed letter of credit. These remaining monies will be directed towards the Above Base Park Improvements of the on-site parkland dedication. The owner shall construct the Above Base Park Improvements to the amount of the indexed Letter of Credit, or such lesser amount determined by the General Manager of Parks, Forestry and Recreation, with any unused amount directed to park improvements in Wards 19 and 20, all to the satisfaction of the General Manager, Parks, Forestry and Recreation;

 
xvi.  The owner will provide and maintain a minimum of 10 percent of the total number of residential units as three-bedroom units, 20 percent of the total number of residential units as two-bedroom units, and a minimum of 40 percent of the total number of dwelling units, shall be two and three bedroom units, to the satisfaction of the Chief Planner and Executive Director, City Planning;
 

xvii.  The owner agrees that no dwelling units within the development shall form part of an application for Condominium Registration for a minimum of twenty-five (25) years from the date upon which the final new purpose-built rental dwelling unit in the final building to be constructed is occupied;

 
xviii. Prior to Final Site Plan approval for the site or any portion of the site:

a.  The owner shall provide Final Site Plan drawings, including drawings related to and implementing the approved Conservation Plan, all to the satisfaction of the Manager, Heritage Preservation Services;

 
b.  The related site specific Official Plan and Zoning By-law amendments giving rise to the proposed heritage alterations shall be in full force and effect in a form and with content acceptable to City Council, as determined by the Chief Planner and Executive Director, City Planning in consultation with the Manager, Heritage Preservation Services;

 
c.  The owner shall provide a Lighting Plan that describes how the heritage properties will be sensitively illuminated to enhance their heritage character to the satisfaction of the Senior Manager, Heritage Preservation Services and thereafter shall implement such Plan to the satisfaction of the Senior Manager Heritage Preservation Services;

 
d.  The owner shall provide a detailed landscape plan for the subject properties, satisfactory to the Senior Manager, Heritage Preservation Services; and

 
e.  The owner shall have obtained City Council approval for the alterations pursuant to the Ontario Heritage Act;

 
xix.  Prior to the issuance of any permit for all or any part of the site, including a heritage permit or a building permit, but excluding permits for (i)  repairs and maintenance and usual and minor works for the existing heritage buildings, and (ii) such interior alterations that do not affect the exterior buildings features, as are acceptable to the Senior Manager, Heritage Preservation Services:

a.  the related Zoning By-law and Official Plan amendments giving rise to the proposed alterations (the Alterations) to the site shall be in full force and effect in a form and with content acceptable to City Council, as determined by the Chief Planner and Executive Director, City Planning in consultation with the Senior Manager, Heritage Preservation Services;

 
b.  the owners shall have registered the agreements required in Recommendation 5.i. and 6 above being the Heritage Easement Agreements, and the Section 37 Agreements for the site, all to the satisfaction of the City Solicitor;

 
c.  the owner shall have obtained Final Site Plan Approval for the Alterations permitted by City Council for the site, issued by the Chief Planner and Executive Director, City Planning, and with content acceptable to the Manager, Heritage Preservation Services;

 
d.  the owner shall provide full building permit drawings, which implements the approved Conservation Plan and including notes and specifications for the conservation and protective measures keyed to the approved Conservation Plan, including a description of materials and finishes, to be prepared by the project architect and a qualified heritage consultant, all to the satisfaction of the Manager, Heritage Preservation Services;

 
e.  the owner shall provide an Interpretation Plan(s) for the site, to the satisfaction of the Manager, Heritage Preservation Services and thereafter shall implement such Plan to the satisfaction of such Manager, Heritage Preservation Services;

 
f.  the owner shall provide an Letter of Credit, including provision for upwards indexing, in a form and amount and from a bank satisfactory to the Manager, Heritage Preservation Services to secure all work included in the approved Conservation Plan, the approved Lighting Plan and the approved Interpretation Plan;

 
g.  the owner shall provide full documentation of the existing buildings at 599-601 Markham Street and 760 Bathurst Street, including two (2) printed sets of archival quality 8” x 10” colour photographs with borders in a glossy or semi-gloss finish and one (1) digital set on a CD in tiff format and 600 dpi resolution keyed to a location map, elevations and measured drawings, and copies of original drawings as may be available, to the satisfaction of the Senior Manager, Heritage Preservation Services; and

 
h.  The owner shall provide indexed letter(s) of credit, including provision for upwards indexing, in a form and amount and from a bank satisfactory to the Senior Manager, Heritage Preservation Services to secure all work included in the approved Conservation Plan and Interpretation Plan required in accordance with Recommendations 5.ii. and 6.xix.c. above;

 
xx.  Prior to the release of the Letter of Credit required in Recommendation 6.xix..f. above the owner shall:

a.  provide a letter of substantial completion prepared and signed by a qualified heritage consultant confirming that the conservation work and the interpretive work have been completed in accordance with the approved Conservation Plan and the approved Interpretation Plan, and that an appropriate standard of conservation has been maintained, all to the satisfaction of the Senior Manager, Heritage Preservation Services; and

 
b.  provide replacement Heritage Easement Agreement photographs for the site to the satisfaction of the Senior Manager, Heritage Preservation Services;

 
xxi. Notwithstanding the requirements of Recommendation 5 above, prior to the issuance of any heritage permit or building permit for:

a. the removal of rear additions to the properties at 581, 583, 585, 591, 593, 595, 597, 588, 590, 592, 594, 600 and 602 Markham Street, and (ii) the demolition of the buildings on the properties at 599 and 601 Markham Street and 760 Bathurst Street:

I.     The owner shall have registered the heritage easement agreements required in accordance with Recommendation 5.i. above and the section 37 agreement required in accordance with Recommendation 6 above, on title to the subject properties; and

II.    The related Official Plan Amendment and Zoning By-law Amendment giving rise to the proposed alterations shall be in full force and effect in a form and with content acceptable to the City Council, as determined by the Chief Planner and Executive Director, City Planning, in consultation with the Senior Manager, Heritage Preservation Services;

III.    Notice of Approval Conditions for site plan approval for the alterations permitted in Recommendation 6.xix. above shall have been issued by the Chief Planner and Executive Director, City Planning in consultation with the Senior Manager, Heritage Preservation Services;

IV.    The owner shall provide an acknowledgement in writing satisfactory to the Chief Planner and Executive Director, City Planning, acknowledging the owner's acceptance and agreement with the terms of such Notice of Approval Conditions, subject to such amendments as are satisfactory to the Chief Planner and Executive Director, City Planning;

V.     The owner shall provide full building permit drawings, which implement the approved Conservation Plan,  for such alterations and removals including notes and specifications for the protective measures keyed to the approved Conservation Plan, all to the satisfactory to the Senior Manager, Heritage Preservation Services;

VI. The owner shall provide a letter of credit, including provision for upwards indexing, in a form and amount and from a bank satisfactory to the Senior Manager, Heritage Preservation Services to secure the safety of the buildings during such alterations and removals to 581, 583, 585, 591, 593, 595, 597, 588, 590, 592, 594, 600 and 602 Markham Street included in the approved Conservation Plan; and

VII. The owner shall provide full documentation of the existing buildings at 599-601 Markham Street and 760 Bathurst Street, including two (2) printed sets of archival quality 8” x 10” colour photographs with borders in a glossy or semi-gloss finish and one (1) digital set on a CD in tiff format and 600 dpi resolution keyed to a location map, elevations and measured drawings, and copies of original drawings as may be available, to the satisfaction of the Senior Manager, Heritage Preservation Services.

 
b. shoring, excavation and foundation work (the "Foundation Works"), (ii) the removal of portions of the building at 585 Bloor Street West, and (iii) the removal and relocation of the building at 610 Markham Street:

I.   The owner shall have registered the heritage easement agreements required in accordance with Recommendation 5.i. above on title to the properties and the section 37 agreement required in accordance with Recommendation 6, above on title to the subject properties;

II.     The related site specific Official Plan Amendment and Zoning By-law Amendments giving rise to the proposed alterations have been enacted by City Council and have come into full force and effect in a form and with content acceptable to City Council, as determined by the Chief Planner and Executive Director, City Planning, in consultation with the Senior Manager, Heritage Preservation Services;

III.    The owner shall have entered into and registered the related site plan agreement pursuant to S. 114 of the City of Toronto Act, 2006, for the alterations approved in accordance with Recommendation 5 above and implementing the approved Conservation Plan, all to the satisfaction of the City Solicitor and the Chief Planner and Executive Director, City Planning, in consultation with the Senior Manager, Heritage Preservation Services;

IV.     The owner shall have provided full building permit drawings for the Foundation Works, including notes and specifications for the conservation and protective measures keyed to the approved Conservation Plan(s), including a description of materials and finishes, to be prepared by the project architect and a qualified heritage consultant, to the satisfaction of the Senior Manager, Heritage Preservation Services;

 
xxii. The financial contributions, securities and letters of credit required in Recommendations 6 .i., iii., iv., vi., ix., xiv., xv., xix. and xxi. above shall be indexed upwardly in accordance with the Statistics Canada Non-Residential Construction Price Index for Toronto for the period beginning from the date of the execution of the Section 37 Agreement to the date of payment;
 

7.  Prior to the introduction of the Bills for the Official Plan Amendment and Zoning By-Law Amendments to City Council for enactment, the owner shall have entered into an agreement to purchase the public lane known as Honest Ed's Alley (the "Lane") from the City, conditional upon City Council approving the permanent closure of the Lane, and subject to the necessary approvals being granted by the appropriate City authorities to declare the Lane surplus and authorize the sale of the Lane to the owner, all to the satisfaction of the City Solicitor and the Director, Real Estate Services. 

In the event that the public lane known as Honest Ed's Alley is sold to the Owner, City Council direct that the proceeds of sale (the "Lane Proceeds") be directed toward the Section 37 benefit identified in Recommendation 6.iii. above.

 
8.  Prior to the earlier of the issuance of the final building permit for any building on the site, or any residential use of the site within a building erected on the site after the date of the Zoning by-law:

i.  In accordance with Section 42 of the Planning Act, the owner shall convey to the City, an on-site parkland dedication, having a minimum size of 1,150 square metres with a minimum of 22.0 metres of frontage on Markham Street, situated on the west side of Markham Street, south of Bloor Street, as shown generally on the Site Plan, dated May 21, 2015, revised December 19,  2016 drawing number A0.05, prepared by Henriquez Partners Architects, in accordance with the following and all to the satisfaction of the General Manager, Parks, Forestry and Recreation and the City Solicitor;

 
ii.  Prior to conveyance of the lands to the City, the owner shall be responsible for an environmental assessment of the land and any associated costs or remediation works required as a result of that assessment. Such assessment or remediation shall ensure that the parkland will meet all applicable laws, regulations and guidelines respecting the site to be used for public park purposes, including City Council policies respecting soil remediation of sites. A qualified environmental consultant acceptable to the Executive Director, Engineering and Construction Services shall prepare the environmental assessment. Prior to transferring the parkland to the City, the environmental assessment shall be peer reviewed by an environmental consultant retained by the City at the owner’s expense (the “Peer Reviewer”), and the transfer of the parkland shall be conditional upon the Peer Reviewer concurring within the owner’s environmental consultant that the parkland meets all applicable laws, regulations and guidelines for public park purposes; and,

 
iii.  The owner’s environmental consultant shall file a Record of Site Condition (RSC) on the Ontario’s Environmental Site Registry and submit to the General Manager, Parks, Forestry and Recreation, the Ministry of the Environment and Climate Change (MOECC) Letter of Acknowledgement of Filing of the Record of Site Condition (RSC) confirming that the RSC has been prepared and filed in accordance with O. Reg. 153/04 and that the MOECC will not audit the RSC at this time or that the RSC has passed an MOECC audit.

 
9.  City Council approve a development charge credit against the Parks and Recreation component of the Development Charges for the design and construction by the owner of the Above Base Park Improvements to the satisfaction of the General Manager, Parks, Forestry and Recreation. The development charge credit shall be in an amount that is the lesser of the cost to the owner of designing and constructing the Above Base Park Improvements above and beyond the cash-in-lieu funds identified Recommendation 6.xiv. above, as approved by the General Manager, Parks, Forestry and Recreation, and the Parks and Recreation component of development charges payable for the development in accordance with the City's Development Charges By-law, as may be amended from time to time.

 
10.  City Council direct the Zoning Bylaws to include a provision requiring the owner to provide and maintain a minimum of 35 vehicle parking spaces for the exclusive use of visitors to the residential units, between the hours of 6:00 PM and 6:00 AM on Mondays through Thursdays and from 6:00 PM on Fridays until 6:00 AM on Mondays.

 
11.  City Council authorize and direct the Director, Affordable Housing Office, to negotiate and execute an agreement or agreements identified in Recommendation 6.I. and ii. above, with the owner, to secure affordable housing, in a form satisfactory to the City Solicitor.
 

12.  City Council direct the Director, Affordable Housing Office, in consultation with the Chief Planner and Executive Director, City Planning, the City Solicitor, and the Ward Councillor, to report to Toronto and East York Community Council with details on an Affordable Rental Housing Plan for the site pursuant to Recommendations 6.i., ii., and 11 above in the 3rd Quarter of 2017;
 

13.  That prior to Final Site Plan approval pursuant to Section 114 of the City of Toronto Act, City Council direct the Chief Planner and Executive Director, City Planning, to confirm that the 1:50 scale architectural elevation drawings with building materials, colours and finishes are generally consistent with the variation in materiality and street wall articulation as shown generally in the plans dated May 21, 2015, revised December 19,  2016 and March 8, 2017, prepared by Henriquez Partners Architects.

14. City Council direct the Lane Proceeds described in Recommendation 7 above and any funds received pursuant to the financial contribution of a minimum of $1,000,000 described in Recommendation 6.iii. above, be used by the City to enter into an agreement of purchase and sale for a property within the development, or to enter into a lease for a minimum term of 49 years for a space of a minimum of 3,500 square feet within the development, on terms satisfactory to the Chief Corporate Officer, in consultation with the local Ward Councillors as well as with the applicable City Division that is to assume operational management of the property, including, without limitation, the price, location, size, refurbishment specifications, environmental condition, compliance with applicable by-laws and City standards, provided the necessary approvals are obtained from the appropriate City authorities, and in a form satisfactory to the City Solicitor, and request the Director, Real Estate Services to report to the Toronto and East York Community Council with details of a negotiated agreement with the Owner in the 4th Quarter of 2017.

 
15.  City Council authorize the appropriate City officials to take such actions as are necessary to implement the foregoing, including execution of the applicable Section 37 and other Agreements; and,

 
16.  Before introducing the necessary Bills contemplated in Recommendations 1, 2 and 3 above to City Council for enactment; the owner will withdraw appeals regarding By-law 714-2014 regarding the Bathurst Street Study, and By-law 1282-2016 and 1283-2016 regarding the Bathurst-Bloor Four Corners Study, to the satisfaction of the City Solicitor.

17. City Council direct the Chief Planner and Executive Director, City Planning and the owner, in consultation with any necessary civic officials and the Ward 19 and 20 Councillors, to develop a process to consult with the local community as part of the Site Plan process community, including local Residents Associations and Business Improvement Areas, on the following prior to the issuance of Final Site Plan Approval pursuant to Section 114 of the City of Toronto Act: 

i. Construction management plan;

ii. Public realm and landscape plans;

iii. Exterior building design, materiality, and lighting;

iv. Amenity space use and design; and, 

v. On-site and adjacent area traffic management.

18. Prior to the issuance of Final Site Plan approval, City Council require the owner to submit a retail strategy to be reviewed by the local community within the consultation process noted in Recommendation 17 above, and by a qualified third-party peer review consultant and pay all costs associated with the City retaining a third-party peer review consultant to the satisfaction of the Chief Planner and Executive Director, City Planning. 

19. Prior to the issuance of Final Site Plan approval, City Council require the owner to submit a traffic study detailing potential traffic impacts to the surrounding neighbourhoods and any potential improvements the City may undertake to remedy these impacts, to be reviewed by then local community within the consultation process noted in Recommendation 17 above, to the satisfaction of the General Manager, Transportation Services.

20. City Council direct the General Manager, Children's Services, in consultation with the Owner, work to find a local not-for-profit service provider, as well as potential funding and subsidies to operate the 50 childcare spaces within the proposed Day Nursery on the site and report to Toronto and East York Community Council in the 4th Quarter of 2017.

21. City Council redirect any funds from the Lane Proceeds not used in the purchase or lease of community and cultural space as noted in Recommendation 14 above, toward the provision of affordable rental housing units on site pursuant to Recommendation 6.i and/or ii. above.

22. City Council direct the Zoning By-laws shall include provisions securing for the following amendments to the proposal:  

i. The tower portion of the building at the south east corner of Markham Street and Bloor Street West is shifted to the east to provide a minimum setback of 1.8 metres from the Markham St. property line;

ii. The height of the Markham Street tower is reduced by two floors, with corresponding changes to the height of the mechanical penthouses;

iii. The height of the south tower on Bathurst Street and Lennox Street be increased by one floor, with corresponding changes to the heights of the mechanical penthouses; and,

iv. An increase to the gross floor area of 50 square metres to accommodate the above adjustments.

23. City Council direct the full 2m of laneway widening of the Palmerston Avenue Laneway, abutting the new onsite park, be conveyed as additional parkland.

The Toronto and East York Community Council requested the General Manager, Transportation Services, to review and to report back to the June 13, 2017 meeting of Toronto and East York Community Council on the realignment of Permit Parking area 4B and the exclusion of the Mirvish Village development.

The Toronto and East York Community Council held a statutory public meeting on April 4, 2017, and notice was given in accordance with the Planning Act.

On July 10, 2015, the City Planning Division received applications to amend the Official Plan and Zoning By-laws to redevelop a number of properties bordered by Bloor Street West, Bathurst Street, Lennox Street, and Markham Street, as well as a number of properties on the west side of Markham Street, known locally as the site of Honest Ed’s and Mirvish Village.

The proposed development includes a number of base buildings and tall buildings, ranging in height from 26 storeys on Bathurst Street, and stepping down toward the south, north, and west. The proposal comprises a total of 806 rental residential units, which are expected to include a percentage of affordable homes, 15,253 square metres of new non-residential space, a new day nursery, a 4-level underground parking garage, a new publicly accessible market, a new public park, and public realm improvements on Markham Street.

A total of 24 of the 27 listed heritage buildings on the site are being retained and incorporated into the development. A report is proceeding concurrently to Toronto Preservation Board regarding these properties.    

On December 13, 2016, City Council enacted OPA 349, which provides a planning framework for development for lands at the intersection of Bloor Street West and Bathurst Street including the subject site.  OPA 349 is currently under appeal, however the proposed development conforms to the policies of OPA 349. The proposal does not conform to the in-force Official Plan policies as the proposal introduces towers into an area where they are not representative of the existing or planned context. An Official Plan Amendment is proposed   

This report reviews and recommends approval of the applications to amend Zoning By-laws 438-86 and 569-2013 and the Official Plan.

A supplementary report that contains Draft Zoning By-law amendments as well as additional information  regarding the proposed provision of affordable rental housing and community and cultural space within the development will be provided in advance of the April 4, 2017 Toronto and East York Community Council meeting.

On July 10, 2015, the City Planning Division received applications to amend the Official Plan and Zoning By-laws to redevelop a number of properties bordered by Bloor Street West, Bathurst Street, Lennox Street, and Markham Street, as well as a number of properties on the west side of Markham Street, known locally as the site of Honest Ed’s and Mirvish Village.

A Final Report dated March 17, 2017 from the Director, Community Planning, Toronto and East York District, summarizes the proposed development, discusses the relevant policies and planning direction applicable to the site, summarizes community comments and recommends approval of the applications with conditions. 

This report provides supplementary information to the Final Report related to the provision of affordable housing and community and cultural space within the development and includes Draft By-law amendments.

For convenience, the recommendations of the Final Report are restated, with modifications as presented in this Supplementary Report.