Item - 2024.MM18.25

City Council on May 22 and 23, 2024, adopted the following:

1. City Council amend its previous decision on Item 2022.MM45.51, by deleting Part 4:

Part to be deleted:

4. City Council authorize the Executive Director, Housing Secretariat to provide up to $450,000.00 inclusive of Harmonized Sales Tax and disbursements together with any remainder from Part 3 above, from the Capital Revolving Reserve Fund for Affordable Housing (XR1058) to the Kensington Market Community Land Trust, and/or a related corporation to acquire, renovate and operate for a minimum of 99 years an additional affordable rental housing property in Ward 11, University-Rosedale (the "Additional Ward 11 Property"), under the Multi-Unit Residential Acquisition Program, subject to:

a. the successful acquisition of the property by Kensington Market Community Land Trust and/or a related corporation by no later than August 31, 2022 or such other date as is acceptable to the Executive Director, Housing Secretariat;

b. approval of a business case for the property outlining the management plan, management qualifications and financial viability of the project, satisfactory to the Executive Director, Housing Secretariat; and

c. Kensington Market Community Land Trust, and/or a related corporation entering into a municipal housing facility agreement (the "Contribution Agreement") with the City, on terms and conditions satisfactory to the Executive Director, Housing Secretariat.

and replacing it with the following new Part:

4. City Council authorize the Executive Director, Housing Secretariat to provide up to $450,000.00 inclusive of Harmonized Sales Tax and disbursements together with any remainder from Part 3 above, from the Capital Revolving Reserve Fund for Affordable Housing (XR1058) to the Kensington Market Community Land Trust, and/or a related non-profit corporation to acquire, renovate and operate for a minimum of 99 years an affordable rental housing property in Ward 11, University-Rosedale, under the Multi-Unit Residential Acquisition Program, subject to:

a. the successful acquisition of the property by Kensington Market Community Land Trust and/or a related non-profit corporation by no later than June 1, 2025, or such other date as is acceptable to the Executive Director, Housing Secretariat;

b. approval of a business case in respect of the property to be purchased that outlines a management plan, management qualifications and financial viability of the affordable housing project, property acquisition plan, satisfactory to the Executive Director, Housing Secretariat;

c. Kensington Market Community Land Trust and/or a related non-profit corporation entering into a municipal housing facility agreement for housing purposes (the "Contribution Agreement") with the City, on terms and conditions satisfactory to the Executive Director, Housing Secretariat, and in a form acceptable to the City Solicitor.

2. City Council authorize the Executive Director, Housing Secretariat to negotiate and execute on behalf of the City, a Contribution Agreement for 99 years with Kensington Market Community Land Trust and/or a related non-profit corporation to secure the financial assistance being provided and to set out the terms of the operation of the affordable rental housing, on terms and conditions satisfactory to the Executive Director, Housing Secretariat and in a form approved by the City Solicitor.

3. City Council authorize the Executive Director, Housing Secretariat to advance a portion of the City funding to Kensington Market Community Land Trust and/or a related non-profit corporation, for the purposes of providing funds for deposits and other pre-purchase expenses, prior to the proponent entering into a Contribution Agreement.

4. City Council authorize the Executive Director, Housing Secretariat to execute, on behalf of the City, any security or financing documents or any other documents required to facilitate the funding process, including any documents required by a selected not for profit, or its related corporation to complete third party financing and refinancing, when required during the term of the City's agreement with Kensington Market Community Land Trust.

5. City Council authorize an exemption from taxation for municipal and school purposes for the affordable rental housing property referred to in Part 1 above for the 99-year term of the Contribution Agreement.

6. City Council authorize the Controller to cancel or refund any taxes paid after the effective date of a Contribution Agreement.

7. City Council authorize the City Solicitor to introduce the necessary bills to give effect to City Council's decision.

8. City Council authorize the Executive Director, Housing Secretariat, to provide a one-time exemption to Kensington Market Community Land Trust from the Multi-Unit Residential Acquisition Program requirement to acquire a building containing a minimum of six units.