Item - 2015.EX5.12

The Executive Committee recommend that:

1.  City Council approve the Terms and Conditions of the Letter of Intent as set out in Confidential Attachment 1 to the report (April 7, 2015) from the General Manager, Shelter, Support and Housing Administration and the Chief Corporate Officer.

2.  City Council authorize the General Manager, Shelter, Support and Housing Administration and the Chief Corporate Officer to undertake further negotiations with 875 Queen Lofts Inc. and to enter into a binding Agreement of Purchase and Sale for the shelter component to be constructed at 875 Queen Street East.

3.  City Council authorize an amendment to Shelter, Support and Housing Administration's 2015 -2024 Capital Budget and Plan to add a new capital project for the purchase and acquisition of the shelter space referred to in Recommendation 2 above with cash flows as identified in Confidential Attachment 2 to the report (April 7, 2015) from the General Manager, Shelter, Support and Housing Administration and the Chief Corporate Officer to be fully funded by the Land Acquisition Reserve Fund - XR1012 ("LARF"), and further that this funding be treated as recoverable debt and repaid from the Shelter, Support and Housing Administration's Operating Budget to the Land Acquisition Reserve Fund over a 25 year period commencing in the year following completion of the purchase.

4. City Council authorize the General Manager, Shelter, Support and Housing Administration, and the Chief Corporate Officer to negotiate, and the City to execute, a long-term below market lease with WoodGreen Red Door Family Shelter for the operation of the shelter within the new complex, on terms and conditions satisfactory to the General Manager, Shelter, Support and Housing Administration and the Chief Corporate Officer, in a form satisfactory to the City Solicitor.

5.  City Council direct that Confidential Attachments 1 and 2 to the report (April 7, 2015) from the General Manager, Shelter, Support and Housing Administration and the Chief Corporate Officer remain confidential under the provisions of the City of Toronto Act, 2006 as they relate to a proposed or pending land acquisition by the City or one of its agencies, boards, and commissions.

6.  City Council authorize the public release of the confidential information contained in Confidential Attachments 1 and 2 to the report (April 7, 2015) from the General Manager, Shelter, Support and Housing Administration and the Chief Corporate Officer following the closing of any purchase transaction.

In June 2014 City Council directed staff to undertake a series of actions to support the WoodGreen Red Door Family Shelter (Red Door) in its efforts to maintain shelter services for families through the redevelopment of the property at 875 Queen Street East. 

This report provides City Council with an update on the work undertaken over the past eight months and a concrete plan to secure a future for Red Door at 875 Queen Street East.  This is a significant accomplishment and will preserve much needed services to vulnerable homeless families and their children.

The report recommends Council approve the City purchasing in the new complex to be constructed at 875 Queen Street East approximately 20,000 square feet to be operated as a shelter by Red Door.   The details of the proposed purchase are set out in the Confidential Attachments to this report. The report further seeks City Council authority to approve an adjustment to the 2015 – 2024 Capital Budget and Plan for Shelter Support and Housing Administration to add a new capital project for the purchase and acquisition of the shelter space at 875 Queen Street East.

It is also recommended that the City approve the capital funding for the purchase of the shelter space, which will be subject to a long-term below market lease to be negotiated with Red Door.