Item - 2026.TE32.7

That City Council adopt the recommendations in the report (April 10, 2026) from the Director, Strategic Initiatives Policy and Analysis, with amendments in Parts 1.b. and 1.c. as follows:

1. City Council approve the Rental Housing Demolition application File Number 21 151447 STE 09 RH in accordance with Chapter 667 of the Toronto Municipal Code and pursuant to Section 111 of the City of Toronto Act, 2006 to permit the demolition of 56 existing rental dwelling units located at 221, 225 and 227 Sterling Road, subject to the following conditions:

a. the owner shall provide and maintain 58 replacement rental dwelling units on the subject site for a period of at least 20 years beginning from the date that each replacement rental dwelling unit is first occupied and, during which time, no application may be submitted to the City for condominium registration, or for any other conversion to a non-rental housing purpose, or for demolition without providing for replacement;

b. the replacement rental dwelling units required by Recommendation 1.a. above shall collectively have a total gross floor area of at least 4,436 square metres and be comprised of 38 37 studio units, 12 13 one-bedroom units, 7 two-bedroom units, and 1 three-bedroom unit, as generally illustrated in the plans submitted to City Planning dated February 20, 2026. Any revision to these plans shall be to the satisfaction of the Chief Planner and Executive Director, City Planning;

c. the owner shall, as part of the 58 replacement rental dwelling units required in Recommendation 1.a above, provide at least 21 studio units, 8 one-bedroom units, 1 two-bedroom unit, and 1 three-bedroom unit at affordable rents, defined as gross monthly rent no greater than one times the average City of Toronto rent by unit type, as reported annually by the Canada Mortgage and Housing Corporation and 13 12 studio units, 4 5 one-bedroom units, and 6 two-bedroom units at mid-range rents, defined as gross monthly rent that exceeds Affordable Rent but is no greater than 1.5 times the average City of Toronto rent by unit type, all for a period of at least 10 years beginning from the date of first occupancy of each unit. The rents of the remaining 4 replacement rental dwelling units shall be unrestricted;

d. the owner shall provide a Tenant Assistance Plan for eligible tenants of the existing rental units proposed to be demolished to the satisfaction of the Chief Planner and Executive Director, City Planning;

e. the owner shall provide tenants of all 58 replacement rental dwelling units with access to, and use of, all indoor and outdoor amenities in the proposed 24- and 21-storey buildings at no extra charge. Access to, and use of, these amenities shall be on the same terms and conditions as any other resident of the building without the need to pre-book or pay a fee, unless specifically required as a customary practice for private bookings;

f. the owner shall provide central air conditioning in each replacement rental dwelling unit at no extra charge;

g. the owner shall provide and maintain two common laundry rooms on the second floor of the proposed buildings, as generally illustrated in the plans submitted to City Planning dated February 20, 2026. Any revision to these plans shall be to the satisfaction of the Chief Planner and Executive Director, City Planning;

h. the owner shall provide tenants of all replacement rental dwelling units with access to bicycle and visitor parking on the same terms and conditions as any other resident of the proposed development;

i. the replacement rental dwelling units required in Recommendation 1.a above shall be made ready and available for occupancy no later than the date by which 70% of the new dwelling units in the first phase of the proposed development, exclusive of the replacement rental dwelling units, are made available and ready for occupancy, subject to any revisions to the satisfaction of the Chief Planner and Executive Director, City Planning; and

j. the owner shall enter into, and register on title to the lands, an agreement pursuant to Section 111 of the City of Toronto Act, 2006 to secure the conditions outlined in Recommendations 1.a through 1.i above all to the satisfaction of the City Solicitor and the Chief Planner and Executive Director, City Planning.

2. City Council authorize the Chief Planner and Executive Director, City Planning, to issue Preliminary Approval of the Rental Housing Demolition Permit under Chapter 667 of the Toronto Municipal Code pursuant to Section 111 of the City of Toronto Act, 2006 for the demolition of the 56 existing rental dwelling units located at 221, 225 and 227 Sterling Road after all the following have occurred:

a. all conditions in Recommendation 1 above have been fully secured;

b. Zoning By-law Amendments for application 21 151444 STE 09 OZ have come into full force and effect;

c. the issuance of the Notice of Approval Conditions for site plan approval by the Executive Director, Development Review or their designate, pursuant to Section 114 of the City of Toronto Act, 2006, or as otherwise determined by the Chief Planner and Executive Director, City Planning;

d. the issuance of excavation and shoring permits (conditional or full permit) for the approved development on the site; and

e. the owner has confirmed, in writing, that all existing rental dwelling units proposed to be demolished are vacant.

3. City Council authorize the Chief Building Official and Executive Director, Toronto Building to issue a Rental Housing Demolition Permit under Chapter 667 of the Toronto Municipal Code after the Chief Planner and Executive Director, City Planning, or their designate, has given Preliminary Approval referred to in Recommendation 2 above.

4. City Council authorize the Chief Building Official and Executive Director, Toronto Building to issue a Residential Demolition Permit under Section 33 of the Planning Act and Chapter 363 of the Toronto Municipal Code for 21 151444 STE 09 OZ after the Chief Planner and Executive Director, City Planning has given Preliminary Approval referred to in Recommendation 2 above, which may be included in the Rental Housing Demolition Permit under Chapter 667 pursuant to section 6.2 of Chapter 363, on condition that:

a. the owner removes all debris and rubble from the site immediately after demolition;

b. the owner erects solid construction hoarding to the satisfaction of the Chief Building Official and Executive Director, Toronto Building;

c. the owner erects the proposed building on the site no later than three (3) years from the date that the demolition of the existing rental dwelling units commences, subject to the timeframe being extended at the discretion of the Chief Planner and Executive Director, City Planning; and

d. should the owner fail to complete the proposed building within the time specified in Recommendation 4.c. above, the City Clerk shall be entitled to enter on the collector’s roll, as with municipal property taxes, an amount equal to the sum of twenty thousand dollars ($20,000.00) per dwelling unit for which a demolition permit is issued, and that such amount shall, until payment, be a lien or charge upon the land for which the Residential Demolition Permit is issued.

5. City Council authorize the appropriate City officials to take such actions as are necessary to implement City Council's decision, including execution of the Section 111 Agreement and any other related agreements.

That consideration of the item be deferred until the June 24, 25 and 26, 2026 meeting of City Council. 

That the item be forwarded to City Council without recommendation.