Item - 2021.EP17.3

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. substantially on the terms and conditions set out in Confidential Attachment 1 to the report (March 30, 2021) from the Chief Executive Officer, Exhibition Place, and such other terms and conditions as deemed appropriate by the Chief Executive Officer and the Deputy City Manager, Corporate Services (the "DCM") or her delegate, and in a form satisfactory to the City Solicitor (the "Agreement").

2.  Directed the Chief Executive Officer to work with the Deputy City Manager, Corporate Services, to seek Council's approval for the Agreement as set out in Recommendation 1.

3.  Directed that Confidential Attachment 1 to the report (March 30, 2021) from the Chief Executive Officer, Exhibition Place remain confidential in its entirety and not be released publicly as this report 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 meeting to meet in closed session to consider the item as it pertains 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 (the "City") and The Board of Governors of Exhibition Place (the "Board").

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").

At its meeting of June 13, 2019 the Board approved of entering into an agreement with the Tenant respecting Article 4 of the TEC Lease, subject to obtaining the necessary City authorization on the terms set out in Confidential Attachment 1 to the report dated May 30, 2019 from the Chief Executive Officer of the Board (the "CEO"). The Board also directed the CEO to report back on the Tenant's compliance with the agreement.

At its meeting of September 19, 2019 the CEO reported back to the Board as directed and the Board referred the item to the CEO, Exhibition Place with a request to meet with the Tenant and report back to the October 24, 2019 meeting of the Board.

At its meeting of October 24, 2019 the CEO reported back to the Board as directed and the Board, subject to obtaining the necessary City authorization, adopted certain confidential instructions to staff set out in Confidential Attachment 1 to the report dated October 22, 2019 from the CEO.

At its meeting of December 19, 2019, the Board approved, subject to obtaining the necessary City of Toronto authorization, an agreement with the Tenant substantially on the terms and conditions set out in Confidential Attachment 1 to the report (November 29, 2019) from the Chief Executive Officer, Exhibition Place, as amended by the Board in closed session, and on the additional terms and conditions, set out in Confidential Attachment 1 to the supplementary report (December 16, 2019) from the Chief Executive Officer, Exhibition Place, and on such other terms and conditions as deemed appropriate by the Chief Executive Officer and the Deputy City Manager, Corporate Services (the "DCM") or her delegate, and in a form satisfactory to the City Solicitor.

Since the foregoing meeting, Board and City of Toronto staff have undertaken further negotiations with the Tenant. This report recommends that the Board recommend that the necessary City authorities approve the entering into of an agreement with the Tenant, on the terms and conditions set out herein.