Item - 2023.GG8.11

The General Government Committee recommends that:

1. City Council authorize the City to enter into a sublease agreement and a sublicence agreement (collectively, the “Agreements”) with Centennial Park Golf Centre Inc. for the operation of the Centennial Park Golf Course (the “Tenant Operator”) located at the property municipally known as 550 Centennial Park Boulevard, substantially on the terms and conditions set out in Revised Attachment 1 to the revised report (December 5, 2023) from the Acting Executive Director, Corporate Real Estate Management, and the Acting General Manager, Parks, Forestry and Recreation, with such other terms and conditions as may be acceptable to the Acting Executive Director, Corporate Real Estate Management in consultation with the Acting General Manager, Parks, Forestry and Recreation and in a form acceptable to the City Solicitor.

2. City Council authorize the Acting Executive Director, Corporate Real Estate Management and the Director, Transaction Services severally to execute and deliver the Agreements and any related documents contemplated thereunder on behalf of the City of Toronto.

3. City Council authorize the Acting Executive Director, Corporate Real Estate Management, in consultation with the Acting General Manager, Parks, Forestry and Recreation, to administer and manage the Agreements including the provision of any amendments, consents, approvals, waivers, notices, and notices of termination, provided that the Acting Executive Director, Corporate Real Estate Management may, at any time, refer consideration of such matters (including their content) to City Council for its determination and direction.

This report seeks to authorize the City to enter into sublease and sublicence agreements (collectively, the “Agreements”) with Centennial Park Golf Centre Inc. (the “Tenant Operator”) for Centennial Park Golf Course located at 550 Centennial Park Boulevard (the “Subleased and Sublicenced Areas”). The Agreements have an initial term of seven years, with an option, in favour of the City, to extend by four years, and a further option to extend for up to an additional six years, provided the Tenant Operator is not in default of the Agreements and the City extends the existing terms of the head lease and the head licence with the Province of Ontario (the “Province”). The Subleased and Sublicenced Areas are owned by the Province and licenced and leased by the City under two long-term agreements ending December 31, 2030 and December 31, 2034 respectively.

The Tenant Operator was selected through a Request for Proposals (RFP) process conducted by Parks, Forestry, and Recreation in collaboration with Corporate Real Estate Management, as directed by Purchasing and Materials Management Division. The Request for Proposal was issued in summer 2023 to ensure an operator was in place ahead of the 2024 golf season.

The City provides access to high-quality and affordable golf at seven golf courses, five of which are City-operated, and two of which are leased-out to private third-party operators. Centennial Park Golf Course is one of these two golf courses.