Item - 2020.EP13.3

The Board of Governors of Exhibition Place:

1. Subject to obtaining the necessary City of Toronto authorization for the transaction, and subject to Branded Cities Company Canada obtaining the necessary approvals set out in Part 2, approved an agreement with Branded Cities Company Canada substantially on the terms and conditions set out in the report and in Confidential Attachment 1 to the report (June 10, 2020) from the Chief Executive Officer, Exhibition Place, and such other terms and conditions as may be satisfactory to the Chief Executive Officer, the Deputy City Manager, Corporate Services, or her designate, and in a form satisfactory to the City Solicitor (the "New Agreement").

2. Permitted Branded Cities Canada to submit an application to the City for the necessary approvals, including, but not limited to, any by-law amendments or permits, including a site specific amendment to Municipal Code Chapter 694 Signs, General, required to permit the proposed installation as more particularly set out in Appendix B to the report (June 10, 2020) from the Chief Executive Officer, Exhibition Place.

3. Directed that the confidential information contained in Confidential Attachment 1 to the report (June 10, 2020) from the Chief Executive Officer, Exhibition Place remain confidential and not be released publicly as it contains financial information that belongs to the Board of Governors of Exhibition Place and has monetary value or potential monetary value.

This report recommends entering into a ten (10) year sign agreement with Branded Cities Company Canada ("BCC") (formerly, "Clear Channel Outdoor Company Canada") for two digital signs at Lakeshore Boulevard which are proposed to replace the two existing static displays billboards signs. The agreement is conditional on obtaining the necessary City approvals, including any amendments, if applicable, to the City's Municipal Code Chapter 694, Signs, General. The agreement is to be effective on the date the new signs are installed and becomes operational, which is anticipated to be prior to the expiry of BCC current agreement.

The current 15-year agreement with BCC is set to expire on July 31, 2022. BCC wrote and met with staff from both Exhibition Place and City Corporate Real Estate Management ("CREM") to indicate its desire to continue its relationship with Exhibition Place and subsequently provided a financial proposal and New Agreement terms.

Staff from Exhibition Place and CREM have been in discussions and negotiations with BCC since September 2019, and this report recommends that the Board approve the terms and conditions that are reflected in this report, and forward these for the necessary City of Toronto authorization for approval.

At its meeting of June 24, 2020, the Board considered a ten (10) year sign agreement with BCC for two digital signs at Lakeshore Boulevard which are proposed to replace the two existing static displays billboards signs to be effective on the date the new signs are installed and becomes operational. The Board Decision was to defer consideration of this item (EP11.10) to its September 18, 2020 meeting with the request that the Chief Executive Officer, Exhibition Place report back, in consultation with the City of Toronto's Sign By-Law Unit, with an early analysis on the compatibility of the proposed signage with the City's by-laws.

Exhibition Place and CREM staff have consulted with City's staff from the Sign By-Law Unit on the compatibility of the proposed signage, and staff from the Sign By-Law Unit  will be attending the September 18, 2020 Board meeting and will be available to answer questions.

The current sign is already established at its location and by leaving it in place, with the proposed modifications, it will provide a consistent revenue stream over the ten (10) years term. Given the current COVID-19 pandemic situation and the uncertainty of both the Board and City financial constraints/challenges for 2020 and the next few years, the benefit from the installation of the new signage is an important source of revenue.