Item - 2022.CC39.7

City Council on February 2 and 3, 2022, adopted the following:

1. City Council adopt the confidential instructions to staff in Confidential Attachment 1 to the report (January 25, 2022) from the City Solicitor.

2. City Council authorize the public release of:

a. the confidential instructions to staff in Confidential Attachment 1 to the report (January 25, 2022) from the City Solicitor; and

b. Confidential Appendices 1 and 2 to the report (January 25, 2022) from the City Solicitor.

3.  City Council direct that the balance of Confidential Attachment 1 to the report (January 25, 2022) from the City Solicitor remain confidential as it contains information that is subject to solicitor-client privilege.

The confidential instructions to staff in Confidential Attachment 1 to the report (January 25, 2022) from the City Solicitor were adopted by City Council and are now public as follows:

1.  City Council accept the Without Prejudice Settlement Offer dated January 21, 2022 for the lands municipally known as 10 – 32 Raglan Avenue in Confidential Appendix 1 to the report (January 25, 2022) from the City Solicitor and as generally shown on the Revised Plans dated January 21, 2022 inclusive in Confidential Appendix 2 to the report (January 25, 2022) from the City Solicitor, subject to Part 2 to 5 below.

2.  City Council authorize the City Solicitor and appropriate City Staff to attend the Ontario Land Tribunal hearing on this matter in support of the Without Prejudice Settlement Offer dated January 21, 2022 for the lands municipally known as 10-32 Raglan Avenue in Confidential Appendix 1 to the report (January 25, 2022) from the City Solicitor and as generally shown on the Revised Plans dated January 21, 2022 inclusive in Confidential Appendix 2 to the report (January 25, 2022) from the City Solicitor.

3.  City Council authorize the Chief Planner and Executive Director, City Planning to enter into an Agreement, pursuant to Section 37 of the Planning Act, in order to secure the following, to the satisfaction of the City Solicitor:

a.  the community benefits to be secured in the Section 37 Agreement are as follows:

i.  prior to the issuance of the first above-grade building permit, an indexed one-time cash contribution in the amount of four-hundred thousand dollars ($400,000.00), to be paid by the Applicant to the City prior to the issuance of the first above-grade building permit for the Site, and to be allocated for future capital improvements to the community space located at the Site, at the discretion of the Chief Planner and Executive Director, City Planning, in consultation with the Ward Councillor;

ii.  the amount of the cash contribution referred to in Part 3.a.i. above shall be indexed upwardly in accordance with the Statistics Canada Non-Residential Construction Price Index for Toronto, or its successor, calculated from the date of execution of the Section 37 Agreement to the date of payment of the funds by the Applicant to the City;

iii.  in the event that the cash contribution in Part 3.a.i. above has not been used for the intended purpose within three (3) years of the Zoning By-law Amendment coming into full force and effect, the cash contribution may be redirected for another purpose, at the discretion of the Chief Planner and Executive Director, City Planning, in consultation with the Ward Councillor, provided that the purpose is identified in the Toronto Official Plan and will benefit the community in the vicinity of the Site;

iv.  the design, construction and conveyance to the City, in an acceptable environmental condition, for nominal consideration and at no cost to the City, a community space of approximately 245.8 square metres, with the location as shown on the Revised Plans and recognizing that small adjustments may be required in the future to ensure adequate exiting requirements for the residential portion of the development, and subject to the following:

A.  the community space shall be delivered to the City in accordance with the City's Community Space Tenancy Policy and finished to Base Building Conditions, with the terms and specifications to be secured in the Section 37 Agreement and the Community Space Term Sheet, all satisfactory to the Executive Director, Social Development, Finance and Administration, the Executive Director, Corporate Real Estate Management, the Chief Planner and Executive Director, City Planning and the City Solicitor, in consultation with the Ward Councillor;

B.  the Base Building Conditions for the community space referenced in Part 3.a.iv.A. above shall include a kitchen, single washroom and janitor’s closet, provided that the owner, in its sole discretion, working with its architect and engineers, and acknowledging the demand and intended use of the above-noted community space, will determine:

1.  the location and design/layout of the kitchen, single washroom and janitor’s closet, with the owner retaining sole discretion for material, fixture and appliance selection; and

2.  the size and location for the stubbed utility connections, location of base building lighting required for non-residential occupancy under the Ontario Building Code, and the location of all electrical outlets and telecom conduits;

C.  prior to the issuance of the first above-grade building permit for the Site, the owner shall provide a letter of credit in the amount sufficient to guarantee 120 percent of the estimated cost of the design, construction and conveyance of the community space and the pedestrian surface easement (as described in Part 3.a.v. below), complying with the specifications and requirements of the Section 37 Agreement, to the satisfaction of the Executive Director, Corporate Real Estate Management, the Executive Director, Social Development, Finance and Administration, the Chief Planner and Executive Director, City Planning and the City Solicitor;

D.  the Community Space Term Sheet, referenced in Part 3.a.iv.A. above and specifications for the community space will include negotiation of the following matters:

1.  the City and future tenant(s) will be solely responsible for the costs of any signage on the exterior of or within the community space, with the owner agreeing to provide structural support and electrical conduit(s) to the City for installation of such signage at a later date;

2.  the owner will provide a sub-metered connection to the building heating and cooling system, as well as HVAC and venting, required to achieve non-residential occupancy requirements of the Ontario Building Code;

3.  an acoustic ceiling to be installed by the City and/or any future tenant as per the specifications of the owner;

4.  the owner and the City agree that concrete floors will be non-finished concrete within ¼-inch flatness over ten (10) feet;

5.  all ancillary uses for the community space, such as garbage and bicycle storage, will be addressed within the footprint of the community space;

6.  the owner agrees to provide a second door to the rear laneway;

7.  the owner, in its sole discretion, shall determine the finish level of the above-noted community space, which shall include landscaping pavers adjacent to the public park and landscaping in accordance with site plan approval requirements along Raglan Avenue, with no additional finishes and/or property delineation required adjacent to the public park; and

8.  the owner shall provide the City with access to one (1) visitor vehicle parking space on a first-come/first-served basis at all times, with no individual car permitted to park for longer than eighteen (18) hours in any continuous period, and with a requirement for any user of such visitor vehicle parking space to attain a parking permit (if available) and check-in with building security;

v.  a surface easement of approximately 136.3 square metres, secured as a public pedestrian walkway, as shown on the Revised Plans, to be registered on title of the future condominium for the exclusive use and enjoyment of any tenant and/or users of the community space, to the satisfaction of the Chief Planner and Executive Director, City Planning;

vi.  an indexed cash payment of one-hundred thousand dollars ($100,000.00), to be paid prior to the first above-grade building permit, to be allocated by the Chief Planner and Executive Director, City Planning for use by the City for local area roadway improvements in the vicinity of the Site, in consultation with the local Ward Councillor;

vii.  an indexed cash payment of fifty thousand dollars ($50,000.00), to be paid prior to the first above-grade building permit, to be allocated for a bike share station in the vicinity of the Site; and

viii.  the conveyance of a new public park, approximately 252.4 square metres, for nominal consideration to the City, as shown on the Revised Plans, in a condition satisfactory to the General Manager, Parks, Forestry and Recreation, free and clear of all physical encroachments and obstructions above and below grade and not encumbered by any easements or interests in land above and below grade, in accordance with all City policies in respect of the environmental condition of lands conveyed to the City; and

b.  the matters to be secured in the Section 37 Agreement as legal conveniences in support of the development are as follows:

i.  the design, construction, and installation of pedestrian lighting, owned and operated by the owner, for the east-west and north-south laneway surfaces along the Site, which shall be secured through the site plan approval process, to the satisfaction of the Chief Planner and Executive Director, City Planning;

ii.  the provision of micro-retail space, as shown on the Revised Plans, which shall be secured through the site plan approval process, to the satisfaction of the Chief Planner and Executive Director, City Planning;

iii.  the owner has submitted the required Rental Housing Demolition application under Chapter 667 of the Toronto Municipal code to demolish the existing residential dwelling units at the Site, and that the owner ensure that the demolition of the existing buildings will be processed pursuant to Chapter 363-6.2 of the Municipal Code;

iv.  the provision of four (4) live/work units that front onto the east-west public lane to the south of the Site, which shall be secured through the site plan approval process, to the satisfaction of the Chief Planner and Executive Director, City Planning; and

v.  the provision of a minimum of ten-percent (10%) three (3)-bedroom units.

4.  City Council instruct the City Solicitor to request the Ontario Land Tribunal to withhold its Final Order on the Zoning By-law Amendment Application until such time as the Ontario Land Tribunal has been advised by the City Solicitor that:

a.  the final form and content of the proposed Zoning By-law amendments are satisfactory to the Chief Planner and Executive Director, City Planning, and the City Solicitor;

b.  City Council has authorized the Rental Housing Demolition application for the Site, under Chapter 667 of the Toronto Municipal Code and pursuant to Section 111 of the City of Toronto Act, as applicable, to demolish the existing rental dwelling units at the Site, and should City Council authorize the application, that the owner has entered into a Section 111 Agreement pursuant to Section 111 of the City of Toronto Act, 2006, as may be necessary, and registered such Agreement on title to the satisfaction of the City Solicitor and the Chief Planner and Executive Director, City Planning;

c.  the City has received an executed Section 37 Agreement securing the benefits outlined in Part 3 above in accordance with the Planning Act before it was amended by Bill 108 and Bill 197, and the Section 37 Agreement has been registered on title to the Site;

d.  the Applicant has submitted a final Pedestrian Wind Study, to the satisfaction of the Chief Engineer and Executive Director, Engineering and Construction Services;

e.  the Applicant has submitted a Transportation Demand Management Plan, which shall include, amongst other measures: 1. a letter of intent from a car-share operator that the proposed 6 car-share spaces are to be provided; and 2. the provision of bicycle repair stations; the Transportation Demand Management Plan along with all other measures shall be prepared and delivered to the satisfaction of the Chief Engineer and Executive Director, Engineering and Construction Services; and

f.  the Applicant has submitted a full set of architectural plans reflecting the settlement offer for the Site, to the satisfaction of the Chief Planner and Executive Director, City Planning.

5.  City Council authorize the City Solicitor to take all necessary steps to implement City Council's decision.

Confidential Appendices 1 and 2 to the report (January 25, 2022) from the City Solicitor are now public and can be accessed under Background Information (City Council).

The balance of Confidential Attachment 1 to the report (January 25, 2022) from the City Solicitor remains confidential in accordance with the provisions of the City of Toronto Act, 2006, as it contains information that is subject to solicitor-client privilege.