Item - 2024.EX11.5

The Executive Committee recommends that:

1. City Council refuse Imagination, Manufacturing, Innovation and Technology incentives for the following applications:

- 21 Don Roadway-Building 1A- CF EHL (21 Don Roadway) Holdings Inc. (Cadillac Fairview);

- 21 Don Roadway-Building 1B- CF EHL (21 Don Roadway) Holdings Inc.  (Cadillac Fairview); and

- 21 Don Roadway-Building 2A- CF EHL (21 Don Roadway) Holdings Inc. (Cadillac Fairview).

This report provides recommendations on Imagination, Manufacturing, Innovation, and Technology program applications for three proposed projects in East Harbour, an area of land on the east side of the Don River in Ward 14 (Toronto – Danforth).

The three Imagination, Manufacturing, Innovation, and Technology program applications were submitted by Cadillac Fairview on August 11, 2020, and are subject to the South of Eastern Community Improvement Plan, By-law 1324-2012, which was the bylaw in effect at the time of application.

Under this Community Improvement Plan, Imagination, Manufacturing, Innovation, and Technology applications for projects with an estimated construction value above $150 million require City Council approval. Due to the potential financial implications to the City of approving an Imagination, Manufacturing, Innovation, and Technology incentive for a project with a construction value exceeding $150 million, the City contracted with Hemson Consulting Ltd. to provide a third-party review of the subject applications.

Among other factors, staff’s assessment of the applications considers Hemson’s analysis (Attachment 2); the City’s aggregate investment in East Harbour and the surrounding area (in flood protection, transit, roads, and community infrastructure); Toronto’s fiscal position and priorities; and changes to land use planning permissions in East Harbour resulting from the issuance of Minister’s Zoning Order 329/22 (MZO).

For the reasons detailed in this report, staff recommends refusal of the three applications.

This report was prepared by the Economic Development and Culture division in consultation with City Planning, Legal Services, and Finance and Treasury Services divisions.