Item - 2011.TE4.3

The Toronto and East York Community Council recommends that:

1.         City Council refuse the application for a permit under Municipal Code Chapter 667 (Section 111 of the City of Toronto Act) to demolish rental housing at 7 Austin Terrace.

2.         City Council approve the application under Municipal Code Chapter 363 (Section 33 of the Planning Act) to demolish the residential building subject to the following conditions that:

a.         Prior to the issuance of the demolition permit, the owner receive a demolition permit under the Ontario Heritage Act.

b.         The owner shall provide and maintain at least six residential rental units, at least three of which shall have affordable rents and three which shall have mid-range rents on the subject property.

c.         Prior to the issuance of the demolition permit, the owner shall enter into one or more agreements with the City of Toronto to secure the conditions as detailed in Recommendation 2 in the report January 27, 2011, from the Acting Director, Policy and Research and the Director, Community Planning, Toronto and East York District, that may be registered on title to the property to the satisfaction of the City Solicitor and the Chief Planner and Executive Director, City Planning Division.

d.         Prior to issuance of the demolition permit, the owner shall provide the City with a Letter of Credit to secure the rental replacement units satisfactory to the City Treasurer and City Solicitor, in the amount of $913,440, to be increased annually after submission by an amount that is indexed in accordance with the Non-Residential Construction Price Index for the Toronto CMA.

e.         Prior to the issuance of the demolition permit, the owner shall register a Section 118 Restriction under the Land Titles Act, to the satisfaction of the City Solicitor, restricting all transfers or charges of any part of the lands without the written consent of the Chief Planner and Executive Director, City Planning Division or his designate, to ensure that the rights and responsibilities under any agreement with the City shall be enforceable against subsequent owners and encumbrancers of the lands.

f.          Prior to the issuance of the demolition permit, the site plan has been approved pursuant to Section 114 of the City of Toronto Act, 2006.

g.         Prior to the issuance of the demolition permit, the owner provide plans showing how they will replace the existing rental housing units in accordance with the building permit issued on November 16, 2009.

h.         Prior to the issuance of the demolition permit, the owner amend the building permit application issued on November 16, 2009, if necessary, to be consistent with the foregoing conditions.

3.         If any of the conditions of the Municipal Code Chapter 363 (Section 33 of the Planning Act) application are appealed to the Ontario Municipal Board, City Council require the City Solicitor and City staff to appear before the Ontario Municipal Board in support of City Council’s position.

On August 14, 2009, the applicant submitted an application to demolish existing rental housing at 7 Austin Terrace under Chapter 667 of the Toronto Municipal Code and Section 111 of the City of Toronto Act.  On the same day, the applicant made an application to demolish residential housing under 363 of the Toronto Municipal Code and Section 33 of the Planning Act.  These applications propose to demolish a ten unit residential building, of which nine units are rental housing.  The owner is proposing to demolish the building in order to construct eight townhouse units and a six-unit rental replacement apartment building.  The demolition of residential rental housing is prohibited under Chapter 667 of the Toronto Municipal Code unless a permit has been issued under Section 111 of the City of Toronto Act.

Under Municipal Code Chapter 363, where there are six or more residential units, a report on the proposed demolition is forwarded to Community Council for consideration and recommendation to City Council.  If a building permit has been issued to erect a new building on the site of the residential property sought to be demolished, Council must issue a demolition permit, but may impose conditions.  This report recommends issuance of the demolition permit pursuant to Section 33 of the Planning Act and Municipal Code Chapter 363 subject to conditions.

This report also reviews and recommends refusal of the Rental Housing Demolition application under Section 111 of the City of Toronto Act as the proposed development and rental replacement plan does not fully conform to the Official Plan housing policies.  The proposed development also requires the demolition of the existing building, which City Council has notified it intends to designate under the Ontario Heritage Act.