Item - 2019.PH11.10

The Planning and Housing Committee recommends that:

1. City Council direct the Executive Director, Social Development, Finance and Administration, the General Manager, Shelter, Support and Housing Administration, and the Executive Director, Housing Secretariat, in consultation with the Executive Director, Corporate Real Estate Management, and the Chief Executive Officer, Toronto Community Housing Corporation, report to the Planning and Housing Committee on April 16, 2020 with a proposed neighbourhood revitalization plan including a full community engagement process for the Dundas East and Sherbourne Street area.

2. City Council direct the City Manager, and as sole shareholder, direct the President and Chief Executive Officer, Toronto Community Housing Corporation to provide a business case for the modernization of the Dan Harrison Community Complex to be incorporated in the neighbourhood revitalization plan for the Dundas East and Sherbourne Street community referred to in Recommendation 1, above.

3.  City Council direct the Executive Director, Corporate Real Estate Management, to review publicly owned real estate within the geographic area of the City's Downtown East Action Plan to be incorporated in the neighbourhood revitalization plan for the Dundas East and Sherbourne Street community referred to in Recommendation 1, above.

4.  City Council authorize the Executive Director, Corporate Real Estate Management and CreateTO to initiate negotiations to acquire the properties at 214, 218, 220, 222, 224, 226 and 230 Sherbourne Street and the properties specified in the confidential transmittal from the Planning and Housing Committee (the "Properties") for city building, including affordable and supportive housing purposes, on the basis that any resulting transaction will be subject to approval by Council with a report that identifies the business and city-building case and budgeted funds being available for such purposes.

5.  City Council direct the Executive Director, Housing Secretariat, and the General Manager, Shelter, Support and Housing Administration, in consultation with the Executive Director, Corporate Finance and the Executive Director, Corporate Real Estate Management, to identify funding sources for the acquisition to provide for new affordable and supportive housing as part of the strategy referred to in Recommendation 4, above.

6.  City Council direct CreateTO to examine opportunities to fund the acquisition of the Properties and the properties at 214, 218, 220, 222, 224, 226 and 230 Sherbourne Street and to report to the CreateTO Board on the feasibility of a strategic acquisition no later than the second quarter of 2020, on the basis that any resulting transaction will be subject to approval by Council with a report that identifies budgeted funds being available for such purposes.

7. City Council direct the Executive Director, Corporate Real Estate Management to work with the Chief Executive Officer, CreateTO to identify City owned properties which could be leveraged to contribute to funding the acquisition of the Properties and the properties at 214, 218, 220, 222, 224, 226 and 230 Sherbourne Street and to include those opportunities in the report in 2020.

8.  City Council request CreateTO, in consultation with the Chief Planner and Executive Director, City Planning, to explore opportunities for increasing the density of the potential affordable housing on the Properties and the properties at 214, 218, 220, 222, 224, 226 and 230 Sherbourne Street.

9.  City Council direct that the confidential transmittal from the Planning and Housing Committee remain confidential at this time as it pertains to a proposed acquisition of land by the City of Toronto and authorize the public release of the confidential attachment to this motion following the completion of CreateTO's analysis on the Properties and the closing of any associated transaction(s).

This report recommends that staff develop and present a revitalization plan for the Dundas East and Sherbourne Street neighbourhood to the April 16, 2020 meeting of the Planning and Housing Committee. The area along Sherbourne Street between Gerrard and Queen Streets is identified as a high-need focus area, referred to as the Sherbourne corridor, in the City's Downtown East 2023 Five-Year Action Plan, adopted by City Council in July 2019.

This report also recommends that the Dundas-Sherbourne corridor neighbourhood revitalization plan incorporate the renewed comprehensive strategy requested by City Council in April 2019, for the Toronto Community Housing Corporation ("TCHC") Dan Harrison Community Complex. The Dan Harrison Community Complex is located north-east of Dundas Street East and Sherbourne Street. Dan Harrison provides affordable housing for some 430 residents, with 376 units in 17 rooming houses and two low-rise apartment buildings. City staff and TCHC are currently developing the renewed strategy for the Complex, including a full costing and implementation timeline, to address critical service gaps and security issues for residents.

This report further recommends that the City advance and include the acquisition of the properties at 214, 218, 220, 222, 224, 226 and 230 Sherbourne Street ("214-230 Sherbourne Street") in the Dundas-Sherbourne neighbourhood revitalization plan. The properties at 214-230 Sherbourne Street are privately-owned and roughly 100 metres south west of the Dan Harrison Community Complex. They consist of six vacant lots and one vacant, two and a half storey, designated heritage property.

The 214-230 Sherbourne Street site provides a strategic opportunity to acquire property for the development of much-needed affordable and supportive housing. The development of the site also presents the unique opportunity to unlock the new housing and community revitalization solutions that are needed to address the social, economic and physical challenges facing the Dan Harrison Complex and the local neighbourhood.