Item - 2020.EX12.4

Tracking Status

  • City Council adopted this item on January 29, 2020 without amendments.
  • This item was considered by the Executive Committee on January 23, 2020 and adopted without amendment. It will be considered by City Council on January 29, 2020.

EX12.4 - Acquisitions and Expropriation of Air Space Related to Rail Deck Park

Decision Type:
ACTION
Status:
Adopted
Ward:
10 - Spadina - Fort York

City Council Decision

City Council on January 29, 2020, adopted the following:

 

1.  City Council authorize the Executive Director, Corporate Real Estate Management, in consultation with CreateTO, to continue to negotiate an agreement with all applicable parties for the acquisition of the Property Interests, as set out in Appendix A to the report (January 9, 2020) from the Deputy City Manager, Corporate Services and shown approximately in Appendix B  to the report (January 9, 2020) from the Deputy City Manager, Corporate Services, at fair market value and, if unsuccessful, to initiate expropriation proceedings for the Property Interests.

 

2.  City Council authorize the Executive Director, Corporate Real Estate Management, and/or a designate, to serve and publish Notices of Application for Approval to Expropriate Land for the Property Interests, to forward any requests for hearings to the Chief Inquiry Officer, to attend any requested Hearings of Necessity in order to present the City's position and to report the Inquiry Officer's recommendations to City Council for consideration.

 

3. City Council request the Board of Directors of CreateTO to consider any proposed transaction(s) concerning the Property Interests and that the Board of Directors of CreateTO provide recommendations to the Executive Committee on any proposed transaction(s) involving the Property Interests and a strategy for the acquisition of remaining properties in the Rail Deck Park project area.

Background Information (Committee)

(January 9, 2020) Report and Appendices A and B from the Deputy City Manager, Corporate Services on Acquisitions and Expropriation of Air Space Related to Rail Deck Park
https://www.toronto.ca/legdocs/mmis/2020/ex/bgrd/backgroundfile-141659.pdf

Communications (Committee)

(January 22, 2020) E-mail from Hamish Wilson (EX.New.EX12.4.1)
(January 23, 2020) Submission from Ira T. Kagan, Kagan Shastri Lawyers (EX.New.EX12.4.2)
https://www.toronto.ca/legdocs/mmis/2020/ex/comm/communicationfile-100696.pdf

Communications (City Council)

(January 28, 2020) E-mail from Robert Sabato, President, Craft-Kingsmen Rail Corp. (CC.New.EX12.4.3)
https://www.toronto.ca/legdocs/mmis/2020/cc/comm/communicationfile-100909.pdf

Motions (City Council)

Motion to Adopt Item (Carried)

Vote (Adopt Item) Jan-29-2020 2:46 PM

Result: Carried Majority Required - EX12.4 - Adopt the item
Total members that voted Yes: 21 Members that voted Yes are Paul Ainslie, Ana Bail„o, Brad Bradford, Shelley Carroll, Mike Colle, Gary Crawford, Joe Cressy, Paula Fletcher, Michael Ford, Mark Grimes, Cynthia Lai, Mike Layton, Josh Matlow, Jennifer McKelvie, Frances Nunziata (Chair), James Pasternak, Gord Perks, Anthony Perruzza, Michael Thompson, John Tory, Kristyn Wong-Tam
Total members that voted No: 0 Members that voted No are
Total members that were Absent: 5 Members that were absent are John Filion, Stephen Holyday, Jim Karygiannis, Denzil Minnan-Wong, Jaye Robinson
Ruling by Speaker Frances Nunziata
Speaker Nunziata ruled that Councillor Karygiannis was asking questions on a letter pertaining to land that is not part of the Item under consideration.


Point of Order by Councillor Jim Karygiannis

Councillor Karygiannis, rising on a Point of Order, stated that his questions were "part and parcel," because Council might have to join some of the lands.

Ruling by Speaker Frances Nunziata
Speaker Nunziata accepted the Point of Order and requested the City Solicitor to address Council on the matter.

The City Solicitor advised Council that the Item before Council requests instructions regarding one parcel of land, while the correspondence that Members of Council received today is about another parcel of land. The City Solicitor further advised that although the two parcels are in the same vicinity, they are not the same parcel of land.

Speaker Nunziata subsequently ruled Councillor Karygiannis's questions out of order as they were not on the Item before Council.

Declared Interests (City Council)

The following member(s) declared an interest:

Councillor Stephen Holyday - as members of his family have a property interest in the vicinity of the subject of the report.
Written Declaration: https://secure.toronto.ca/council/declared-interest-file.do?id=9115

EX12.4 - Acquisitions and Expropriation of Air Space Related to Rail Deck Park

Decision Type:
ACTION
Status:
Adopted
Ward:
10 - Spadina - Fort York

Committee Recommendations

The Deputy City Manager, Corporate Services recommends that:

 

1.  City Council authorize the Executive Director, Corporate Real Estate Management, in consultation with CreateTO, to continue to negotiate an agreement with all applicable parties for the acquisition of the Property Interests, as set out in Appendix A to the report (January 9, 2020) from the Deputy City Manager, Corporate Services and shown approximately in Appendix B  to the report (January 9, 2020) from the Deputy City Manager, Corporate Services, at fair market value and, if unsuccessful, to initiate expropriation proceedings for the Property Interests.

 

2.  City Council authorize the Executive Director, Corporate Real Estate Management, and/or a designate, to serve and publish Notices of Application for Approval to Expropriate Land for the Property Interests, to forward any requests for hearings to the Chief Inquiry Officer, to attend any requested Hearings of Necessity in order to present the City's position and to report the Inquiry Officer's recommendations to City Council for consideration.

 

3. City Council request the Board of Directors of CreateTO to consider any proposed transaction(s) concerning the Property Interests and that the Board of Directors of CreateTO provide recommendations to the Executive Committee on any proposed transaction(s) involving the Property Interests and a strategy for the acquisition of remaining properties in the Rail Deck Park project area.

Origin

(January 9, 2020) Report from the Deputy City Manager, Corporate Services

Summary

This report provides an update on the status of real estate matters related to the Rail Deck Park project, and seeks authority to initiate expropriation proceedings for just over 3 acres (1.2 hectares) of air space above the Union Station Rail Corridor, south of Front Street West between Spadina Avenue and Blue Jays Way (the "Property Interests"), as set out in Appendix A and shown approximately in Appendix B, for the purposes of the Rail Deck Park project.

 

Negotiations for the acquisition of the Property Interests have been ongoing with the various owners with no success to date.

 

Together with the City's existing 1-acre Northern Linear Park property, the Property Interests would support the development of the first 4 acres of Rail Deck Park. A 4-acre park provides a wide range of programming potential and is roughly the same size as Grange Park in Downtown Toronto.

 

The Property Interests are also adjacent to the Oxford Properties Group Inc. Union Park proposal, which is located to the east of Blue Jays Way. The Union Park proposal provides approximately 3 acres of contiguous park and open space, including 2 acres to be built above the rail corridor. When both projects are completed, they will create a combined park area of approximately 7 acres. The opportunity to assemble a parkland parcel of this scale rarely arises in downtown Toronto, and aligning the design and implementation of a first phase of Rail Deck Park with the Union Park proposal would enhance the public benefits of each proposal.

 

The Property Interests represent a strategic acquisition by the City of Toronto to guide the future development of this area of the rail corridor in a manner consistent with the City's Official Plan policies. Additional air space in the Rail Deck Park project area (ie: between Spadina Avenue and Bathurst Street) will be pursued at a time when staff are confident that they can be acquired at fair market value. 

 

The acquisition of the Property Interests by the City of Toronto is necessary to proceed with joint planning and delivery of Rail Deck Park and the GO Expansion project, as directed by Council in 2017. Agreement between the City and Metrolinx will be required in 2020 for the delivery of capital works related to the Rail Deck Park project that cannot be independently delivered by the City, to meet Metrolinx's procurement and delivery timelines. The City should only enter into an agreement for delivery of capital works if it has a reasonable prospect of acquiring the properties in which they are proposed to be built.

 

This report is the first stage of the expropriation process and authorizes staff to continue negotiations to acquire the Property Interests and, if unsuccessful, to initiate expropriation proceedings, including associated administrative costs. This report does not authorize spending on the Rail Deck Park project beyond the budget approved through previous Council reports.

 

Staff will bring forward a report to Council by the third quarter of 2020 to authorize the next stage of the Rail Deck Park project, including a funding and financing strategy for acquisition of the air space and capital delivery of the project.

Background Information

(January 9, 2020) Report and Appendices A and B from the Deputy City Manager, Corporate Services on Acquisitions and Expropriation of Air Space Related to Rail Deck Park
https://www.toronto.ca/legdocs/mmis/2020/ex/bgrd/backgroundfile-141659.pdf

Communications

(January 22, 2020) E-mail from Hamish Wilson (EX.New.EX12.4.1)
(January 23, 2020) Submission from Ira T. Kagan, Kagan Shastri Lawyers (EX.New.EX12.4.2)
https://www.toronto.ca/legdocs/mmis/2020/ex/comm/communicationfile-100696.pdf

Speakers

Ira Kagan, Kagan Shastri LLP on behalf of Craft Kingsmen Rail Corp.
Hamish Wilson
Michael Walkington, accompanied by 7 students from Orde Street School
Councillor Joe Cressy

Motions

1 - Motion to Adopt Item moved by Mayor John Tory (Carried)
Source: Toronto City Clerk at www.toronto.ca/council