Item - 2019.EP3.23

The Board of Governors of Exhibition Place:

1.  Subject to obtaining the necessary City of Toronto authorization, approved an Agreement with the Toronto Event Centre Inc. respecting Article 4 of the Toronto Event Centre Lease, substantially on the terms and conditions set out in Confidential Attachment 1 to the report (May 30, 2019) from the Chief Executive Officer, Exhibition Place, and any such other terms and conditions deemed appropriate by the Deputy City Manager, Corporate Services (the "DCM"), the Chief Executive Officer, Exhibition Place and in a form satisfactory to the City Solicitor.

2.  Authorized the Chief Executive Officer to request the necessary City of Toronto authorities to approve the Agreement with the Toronto Event Centre Inc.

3.  Directed the Chief Executive Officer to report back to the Board at its meeting on September 19, 2019, on compliance with the Agreement with the Toronto Event Centre Inc.

4.  Directed the Chief Executive Officer to not undertake any construction activities on the patio of Toronto Event Centre related to the reinstatement of the sculpture Hercules but report back to the Board at its meeting on September 19, 2019 on the condition of Hercules and the results of the conservation and restoration efforts.  

5.  Directed that Confidential Attachment 1 to the report (May 30, 2019) from the Chief Executive Officer, Exhibition Place, remain confidential in its entirety and not be released publicly as it is about a position, plan or instruction to be applied to negotiations carried on or to be carried on by or on behalf of the Board and the City.

The Board of Governors of Exhibition Place recessed its public session to meet in closed session to consider this item as it relates to a position, plan or instruction to be applied to negotiations carried on or to be carried on by or on behalf of the City of Toronto and the Board of Governors of Exhibition Place.

The Board and Muzik Clubs Inc. ("Muzik") entered into a lease dated February 16, 2004, for premises consisting of the Horticultural Building and a surrounding patio area which lease was subsequently assigned by Muzik to Toronto Event Centre Inc. (the "Tenant") on April 27, 2017, and which expires on February 15, 2024 (the "TEC Lease"). This report recommends that the Board approve entering an Agreement with the Tenant respecting Article 4 of the TEC Lease, on the terms set out in Confidential Attachment 1 (the "Agreement").  If the Board approves the Agreement, the approval of the City would also be required.