Item - 2019.EX9.10

The Executive Committee recommends that:

 1. City Council direct that Confidential Attachment 1 to the supplementary report (October 22, 2019) from the  City Solicitor and the Executive Director, Corporate Finance remain confidential at the discretion of the City Solicitor, as it contains information that is subject to solicitor-client privilege.

City Council on October 2 and 3, 2019, referred Motion MM10.35 to the Executive Committee.

The lands municipally known as 30 Tippett Road are being developed in accordance with the City of Toronto's vision for the Tippett Road Regeneration Area, including the provision of 50 affordable purpose-built rental units and 50 affordable ownership units as part of the Investment in Affordable Housing Program. This iteration of the Investment in Affordable Housing Program began in 2014 and expires at the end of this year. The federal and provincial component of funding is time-limited and will be surrendered by the City if it is not utilized by the end of the year. Tippett South Inc. is under contract to deliver the loan funding for the City. The funding is secured from the Province by way of an agreement of purchase and sale with eligible purchasers, and all units are now under firm and binding agreements of purchase and sale.

The mortgage approvals for all firm and binding agreements of purchase and sale for the 50 affordable ownership units were issued under a pricing model that reflects current development charge rates. If these units are subject to the scheduled development charge rate increase on November 1, 2019, these units' price will increase and the mortgages will not hold.

On March 28, 2019, City Council enacted a Zoning By-law amendment to permit a 13-storey condominium building (340 units) and a 16-storey rental apartment building (176 units), for a total of 516 residential units, at 30 Tippett Road (South Lands).  As part of the total residential units, there are 50 affordable rental units and 50 affordable ownership units proposed in the buildings.

EX 9.10 recommends that City Council authorize the execution of a development charge agreement between the City and the owner of 30 Tippett Road, to allow all of the development charges for the 30 Tippett Road project to be paid before such charges would otherwise be payable and at rates available prior to November 1, 2019, the date on which development charge rates are to increase. The report also contains a recommendation that City Council require the One Million Nine Hundred and Fifty Thousand Dollars ($1,950,000.00) community benefit payment under Section 37 of the Planning Act be paid prior to the issuance of the first below grade building permit for the development, whereas both the registered Section 37 Agreement and the Zoning By-law amendment require the payment to be made prior to the issuance of the first above grade building permit.  

This report has been written in consultation with the Executive Director, Housing Secretariat and the Chief Planner and Executive Director, City Planning.