Item - 2022.PA28.11

The Board of Directors of Toronto Parking Authority:   

1. Directed that Confidential Attachment 1 to the report (February 4, 2021) from the President, Toronto Parking Authority, remain confidential in its entirety, as it contains positions, plans, procedures, criteria or instructions to be applied to negotiations to be carried out by the Toronto Parking Authority.

Toronto Parking Authority has a commercial and residential rental portfolio comprised of 35 units accounting for over 7,000 square metres (m) across 17 properties. The tenancies are varied in use including retail, office, car wash operations and residential. The entire rental portfolio generated a Gross Revenue of $693,809 in 2020.

Toronto Parking Authority 's rental portfolio has grown over the past 35 years. Intended to animate the streetscape and attract parking demands, retail units were built between 1980 and 2000 into above grade parking structures. Toronto Parking Authority has also grown its rental portfolio through the acquisition of properties in areas where high future parking demands have been projected. This strategy was primarily employed during the 2010’s when properties were acquired and held with interim rental units in place while the sites were prepared for the future development or expansion of car parks.    

The management of commercial and residential tenancies falls outside of the core services that Toronto Parking Authority delivers and has been identified for centralization under Corporate Real Estate Management through the City-wide Real Estate Model.  Although implementation of the centralized real estate model is in progress, the timing in which Toronto Parking Authority's rental portfolio will be assumed by Corporate Real Estate Management remains unclear.

The purpose of this report is to provide Toronto Parking Authority Board of Directors with an update on the status of Toronto Parking Authority's rental property portfolio including an overview of the portfolio’s holdings, a review of the key issues impacting Toronto Parking Authority's management of the rental property portfolio and an overview of new opportunities. Future updates will be provided on a semi-annual basis moving forward.