Item - 2026.GG27.15

The General Government Committee recommends that:

1. City Council authorize the Executive Director, Corporate Real Estate Management, on behalf of the City, in consultation with the General Manager, Parks and Recreation, to negotiate and enter into a lease amending and extending agreement for 20-years with the Toronto and Region Conservation Authority and Evergreen, in respect of a portion of the property municipally known as 550 Bayview Avenue (the "Lease Amendment and Extension Agreement"), as shown in Appendix B to the report (February 23, 2026) from the Executive Director, Corporate Real Estate Management, and the General Manager, Parks and Recreation, and substantially on the terms and conditions set out in Appendix A to the report (February 23, 2026) from the Executive Director, Corporate Real Estate Management, and the General Manager, Parks and Recreation, as amended below, and on such other or amended terms and conditions that are acceptable to the Executive Director, Corporate Real Estate Management, or their designate, in consultation with the General Manager, Parks and Recreation, and in a form satisfactory to the City Solicitor:

 a. Amend Appendix A by adding the following new bullet points within the "Operating Costs" row:

City Obligations regarding Snow Removal and Washroom Maintenance:

- The City will be responsible for snow removal in those portions of the Leased Premises comprising the west parking lot and along the walking path area from the west parking lot to the edge of the Don Valley Brick Works Park lands (formerly referred to as the Western Quarry Garden Lands).

- The City will also be responsible for maintenance of the public washrooms within the Don Valley Brick Works Park and related walkways, including the Don Valley Brick Works Washroom, located in the western building along the pathway into the park.

2. City Council authorize the Executive Director, Corporate Real Estate Management, on behalf of the City, in consultation with the General Manager, Parks and Recreation, to negotiate and enter into a new nominal licence agreement for 20-years with the Toronto and Region Conservation Authority and Evergreen, in respect of a below grade portion of the property municipally known as 550 Bayview Avenue (the "Licence Agreement"), as shown in Appendix B to the report (February 23, 2026) from the Executive Director, Corporate Real Estate Management, and the General Manager, Parks and Recreation, and substantially on the terms and conditions set out in Appendix C to the report (February 23, 2026) from the Executive Director, Corporate Real Estate Management, and the General Manager, Parks and Recreation, and on such other or amended terms and conditions that are acceptable to the Executive Director, Corporate Real Estate Management, or their designate, in consultation with the General Manager Parks and Recreation, and in a form satisfactory to the City Solicitor.

3. City Council authorize severally each of the Executive Director, Corporate Real Estate Management, and the Director, Real Estate Services, to negotiate and execute the Lease Amendment and Extension Agreement and Licence Agreement, and any related or ancillary agreements on behalf of the City.

The purpose of this report is to seek authority for the City to enter into an amending and extending lease agreement between the City, as manager of the lands, the Toronto and Region Conservation Authority as owner of the lands and Evergreen as tenant, for a portion of 550 Bayview Avenue as described in Appendix B (the "Leased Premises"), for a 20-year term and on the major terms identified in Appendix A (the "Lease Amendment and Extension Agreement").

Authority is also being sought for the City to enter into a nominal, non-exclusive licence agreement between the City, Toronto and Region Conservation Authority and Evergreen for the stratified below grade lands underneath Leased Premises included in the Lease Amendment and Extension Agreement, for the purposes of permitting Evergreen to use those lands for underground geothermal infrastructure, for a 20-year term (concurrently with the Lease Amendment and Extension Agreement) on the major terms identified in Appendix C (the "Licence Agreement").

The current lease agreement dated October 5, 2007, as amended, is set to expire on March 2, 2030. Staff are recommending approval for the Lease Amendment and Extension Agreement and Licence Agreement ahead of the existing agreement expiry to ensure Evergreen can continue to secure the funding necessary to program, manage, operate, and maintain the Brick Works. Evergreen relies on a vast array of philanthropic support and partnerships, in addition to grant funding and operating revenues, which is difficult to secure without a long-term lease.

In addition to extending the term, the Lease Amendment and Extension Agreement seeks to update the current agreement entered pre-construction. The Lease Amendment and Extension Agreement will amend terms as appropriate and remove terms no longer applicable to reflect a fully operational, mature public site. It will simplify the relationship with Evergreen and consolidate related and ancillary agreements where possible that were entered into in response to evolving needs. Other related agreements that cannot be consolidated will be extended to run concurrently with the Lease Amendment and Extension Agreement and Licence Agreement.