Item - 2017.EX26.17

The Executive Committee recommends that:

1.  City Council authorize the Director, Affordable Housing Office, to negotiate, enter into and execute on behalf of the City, an agreement and any other documents deemed necessary, with Margaret's Housing and Community Support Services Incorporated to fund  pre-development and due diligence work in relation to the modernization of two properties at 13-15 and 17-19 Winchester Street, on terms and conditions satisfactory to the Director, Affordable Housing Office, and in a form satisfactory to the City Solicitor.

2.  City Council authorize the Director, Affordable Housing Office to pay for the services obtained through Recommendation 1 above from the Capital Revolving Reserve Fund for Affordable Housing (XR1058), to a maximum of $200,000.00 inclusive of HST and disbursements.

3.  City Council direct the Director, Affordable Housing Office to report to the Affordable Housing Committee in the fourth quarter of 2017 on the project status, the operating and capital budgets required to complete modernization and the funding details.

This report results from the efforts of the City of Toronto to work with Toronto Community Housing Corporation ("TCHC") to modernize and re-purpose certain housing assets.  The deteriorated and mainly vacant rooming houses located at 13-15 and 17-19 Winchester Street have been identified as an opportunity to be modernized to provide 35 single-room occupancy rental apartments for vulnerable low-income women (See photos in the Appendix).

This report recommends the City provide up to $200,000 from the Capital Revolving Reserve Fund for Affordable Housing to Margaret's Housing and Community Support Services Incorporated  ("Margaret's") for pre-development activities and due diligence to support the modernization of 13-15 and 17-19 Winchester Street into single-room occupancy rental homes.  These activities include, but are not limited to, securing and managing consultants, determining capital cost requirements, obtaining heritage, engineering, and other necessary reports needed to determine the detailed capital cost for the modernization.

Both properties are owned by Toronto Community Housing Corporation and listed in the City's Inventory of Heritage Properties. They have been operated as rooming houses by Toronto Community Housing Corporation, with support services provided to residents by several community agencies. 

This report proposes that the Director of the Affordable Housing Office report to the Affordable Housing Committee no later than the end of 2017 on the due diligence to be conducted by Margaret’s and the Affordable Housing Office, and on the project status and the operating and capital budgets required to complete modernization.  The report will also identify funding sources for the modernization, including potential contributions from the provincial supportive housing program, "Home For Good", the federal/provincial Investment in Affordable Housing Program (2014) Extension and City sources.