Item - 2017.TE27.10

The Toronto and East York Community Council recommends that:

1. City Council approve the application for a Rental Housing Demolition permit in accordance with Municipal Code Chapter 667 to allow the demolition of 12 existing rental dwelling units located at 263-267 Adelaide Street West subject to the following conditions:

a. The owner shall provide and maintain 12 replacement rental dwelling units, comprised of 4 bachelor, 2 one-bedroom, 2 two-bedroom and 4 three-bedroom units, on the subject site for a period of at least 20 years, without application for condominium registration, conversion or demolition, as generally shown on the plans submitted to the City Planning Division dated July 26, 2017. Any revision to these plans must be to the satisfaction of the Chief Planner and Executive Director City Planning. The replacement rental dwelling units shall be ready and available for occupancy no later than the date that 70 percent of the new dwelling units erected on the site, exclusive of the replacement rental dwelling units, are available and ready for occupancy;

b. The owner shall provide and maintain at least 2 bachelor and 1 two-bedroom replacement rental dwelling units at affordable rents and 2 bachelor, 2 one-bedroom and 2 three-bedroom replacement rental dwelling units at mid-range rents, all for a period of at least 10 years.

The owner shall provide and maintain at least 1 two-bedroom and 2 three-bedroom replacement rental dwelling units which may be offered at unrestricted rents;

c. The owner shall provide ensuite laundry in all replacement rental dwelling units;

d. The owner shall provide tenants of the replacement rental dwelling units with access to all indoor and outdoor amenities on the site at no extra charge. Access and use of these amenities shall be on the same terms and conditions as the remainder of the building without the need to pre-book or pay a fee, unless specifically required as customary practices for private bookings;

e. The owner shall provide vehicle and bicycle spaces on the same proportionate basis as the remainder of the building, for which the maximum monthly parking fee for a returning tenant may not exceed $100, and the maximum monthly parking fee for tenants who are not returning tenants may not exceed $125, with annual increases tied to the Provincial rent increase guidelines, and at least 12 storage lockers to tenants of the replacement rental dwelling units, for which the maximum monthly cost for renting one of the storage lockers may not exceed $15, with annual increases tied to the Provincial rent increase guidelines;

f.  The owner shall provide tenant relocation and assistance to all eligible tenants of the existing rental dwelling units, including the right to return to a replacement rental dwelling unit, as well as tenant compensation equal to the higher of compensation based on length of tenure or to be provided in the form of a rent gap payment equal to the difference between the current rent, which is below market rent for the area, and the asking rent in the downtown market for the duration of construction, all to the satisfaction of the Chief Planner and Executive Director, City Planning;

g. The owner shall enter into and register on title to the site one or more Agreement(s) to secure the conditions outlined in Recommendation 1.a. to f. above to the satisfaction of the City Solicitor and the Chief Planner and Executive Director, City Planning; and

h. The owner shall enter into and register on title to the site, a Section 118 Restriction under the Land Titles Act, to the satisfaction of the City Solicitor agreeing not to transfer or charge the lands, without the written consent of the Chief Planner and Executive Director, City Planning or designate, to assist with the securing of the Section 111 Agreement against future owners and encumbrances of the lands until such time as the City Solicitor determines that its registration on title is no longer required to secure the provisions of the Section 111 Agreement, all to the satisfaction of the City Solicitor and the Chief Planner and Executive Director, City Planning.

2. City Council authorize the Chief Planner and Executive Director, City Planning to issue the Preliminary Approval for the application under Municipal Code Chapter 667 for the demolition of the 12 existing rental dwelling units, at 263-267 Adelaide Street West after all of the following have occurred:

a. Satisfaction or securing of the conditions in Recommendation 1 above;

b. The Zoning By-law Amendment, which was the subject of a settlement at the Ontario Municipal Board, has come into full force and effect;

c. The issuance of the Notice of Approval Conditions for site plan approval by the Chief Planner or their designate, pursuant to Section 114 of the City of Toronto Act, 2006;

d. The issuance of excavation and shoring permits for the approved structure on the subject site; and

e. The execution and registration of one or more Agreement(s) pursuant to the Planning Act securing Recommendation 1. a. to f. above, and any other requirements of the Zoning-Bylaw Amendment.

3. City Council authorize the Chief Building Official to issue a Rental Housing Demolition permit under Municipal Code Chapter 667 after the Chief Planner and Executive Director, City Planning has given preliminary approval, as referred to in Recommendation 2 above.

4. City Council authorize the Chief Building Official and Executive Director, Toronto Building to issue a permit under Section 33 of the Planning Act for the demolition of the 12 residential dwelling units at 263-267 Adelaide Street West no earlier than the issuance of the first building permit for excavation and shoring of the development, and after the Chief Planner and Executive Director, City Planning has given preliminary approval referred to in Recommendation 2 above, which permit may be included in the demolition permit for Chapter 667 under 363-11.1, of the Municipal Code, on condition that:

a. The owner erect a residential building on the site no later than three (3) years from the day demolition of the buildings is commenced; and

b. Should the owner fail to complete the new building within the time specified in the condition outlined in Recommendation 4.a. above, the City Clerk shall be entitled to enter on the collector’s roll, to be collected in a like manner as municipal taxes, the sum of twenty thousand dollars ($20,000.00) for each dwelling unit for which a demolition permit is issued, and that each sum shall, until payment, be a lien or charge upon the land for which the demolition permit is issued.

5. Council authorize the appropriate City officials to take such actions as are necessary to implement the recommendations above, including execution of the Section 111 Agreement.

The Toronto and East York Community Council held a statutory public meeting on October 17, 2017, and notice was given in accordance with the Planning Act.

An application for Rental Housing Demolition and Conversion under Section 111 of the City of Toronto Act (Chapter 667 of the Toronto Municipal Code) has been filed for a Residential Rental Property at 263 Adelaide Street West (12 152672 STE 20 RH). This application seeks approval to demolish 12 residential rental dwelling units and replace the existing rental dwelling units within a new residential building on the subject site.

The property is also subject to a Zoning By-law Amendment application (12 152660 STE 20 OZ) for the development of a 47-storey mixed-use building. The Zoning By-law Amendment application is the subject of a settlement at the Ontario Municipal Board. The final OMB Order is pending until all outstanding matters, including resolution of the rental housing matters and necessary agreements with the City, are secured. 

This report recommends approval of the Rental Housing Demolition permit application under Chapter 667 of the Toronto Municipal Code and the residential demolition permit under Chapter 363 of the Toronto Municipal Code, subject to conditions.