Item - 2026.CC41.12

City Council on May 20 and 21, 2026, adopted the following:

1. City Council adopt the confidential instructions to staff in Confidential Attachment 1 to the report (May 7, 2026) from the City Solicitor.

2. City Council authorize the public release of the confidential instructions to staff in Confidential Attachment 1 and Confidential Appendices A and B to the report (May 7, 2026) from the City Solicitor.

3. City Council direct that the balance of Confidential Attachment 1 to the report (May 7, 2026) from the City Solicitor remain confidential at the discretion of the City Solicitor, as it is about litigation before the Ontario Land Tribunal and contains advice or communications that are subject to solicitor-client privilege.

The confidential instructions to staff in Confidential Attachment 1 to the report (May 7, 2026) from the City Solicitor were adopted by City Council and are now public as follows:

1. City Council accept the without prejudice settlement offer set out in Confidential Appendix A to the report (May 7, 2026) from the City Solicitor and support a revised proposal that is substantially in accordance with the plans and drawings in Confidential Appendix B to the report (May 7, 2026) from the City Solicitor for the lands municipally known as 1149 and 1153 Queen Street West (together the "Settlement Offer") and subject to the Parts below.

2. City Council authorize the City Solicitor and appropriate City Staff to attend the Ontario Land Tribunal (the "Tribunal") hearing on this matter in support of the Settlement Offer for the lands municipally known as 1149 and 1153 Queen Street West (the "Development Site").

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

a. the final form and content of the draft Zoning By-law Amendment is satisfactory to the Executive Director, Development Review and the City Solicitor;

b. the owner has, at its sole expense:

i. submitted a revised Servicing Report and Stormwater Management Report, Hydrogeological Review, including the Foundation Drainage Report ("Engineering Reports") to the satisfaction of the Director, Engineering Review;

ii. secured the design and provided financial securities in respect of any upgrades or required improvements to the existing municipal infrastructure identified in the accepted Engineering Reports, to support the development, all to the satisfaction of the Director, Engineering Review, should it be determined that improvements or upgrades are required to support the development, according to the Engineering Reports accepted by the Director, Engineering Review;

iii. ensured that implementation of the accepted Engineering Reports does not require changes to the proposed amending By-law or that any required changes have been made to the proposed amending By-law to the satisfaction of the Executive Director, Development Review, including the use of a Holding ("H") By-law symbol regarding any new municipal servicing infrastructure or upgrades to existing municipal servicing infrastructure, as may be required;

c. City Council has approved Rental Housing Demolition Application (file 24 238689 STE 09 RH) under Chapter 667 of the Toronto Municipal Code, pursuant to Section 111 of the City of Toronto Act, 2006, to permit the demolition of the existing rental dwelling units and the owner has entered into, and registered on title to the lands, an agreement pursuant to Section 111 of the City of Toronto Act, 2006, to the satisfaction of the Chief Planner and Executive Director, City Planning and the City Solicitor, securing all rental housing related matters, including tenant relocation assistance, necessary to implement City Council’s decision.

4. City Council authorize the City Solicitor and appropriate City staff to take any necessary and reasonable steps to implement City Council's decision.

Confidential Appendices A and B to the report (May 7, 2026) 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 (May 7, 2026) from the City Solicitor remains confidential at this time in accordance with the provisions of the City of Toronto Act, 2006, as it is about litigation before the Ontario Land Tribunal and contains advice or communications that are subject to solicitor-client privilege. The balance of Confidential Attachment 1 to the report (May 7, 2026) from the City Solicitor will be made public at the discretion of the City Solicitor.