Item - 2021.PH25.13

The Planning and Housing Committee recommends that:

1. City Council endorse, in principle, amending the zoning regulations for 150 Dunn Avenue to permit the construction of the modular housing proposal by way of a request to the Minister of Municipal Affairs and Housing to make a Minister's Zoning Order for the lands municipally known as 150 Dunn Avenue, pursuant to Section 47 of the Planning Act, and request the Chief Planner and Executive Director, City Planning to report to the September 30, 2021 City Council meeting on the final recommended proposal and the relief to the zoning by-law required to permit the proposed development.

The Planning and Housing Committee:

1. Requested the Chief Planner and Executive Director, City Planning, and the Executive Director, Housing Secretariat, to report on the results of the community engagement process and the final recommendations to the September 30, 2021 meeting of City Council.

This report presents a proposed modular housing development for 74, 82, 130, 150, 160, and 162 Dunn Avenue, 1-17 Close Avenue, and 74 and 78 Springhurst Avenue ("150 Dunn Avenue"), outlines the community engagement process underway and recommends that Council endorse, in principle, the use of a Minister's Zoning Order to provide any necessary relief from the in-force zoning by-law regulations to permit the proposal. This proposal is one of the sites under the Rapid Housing Initiative (RHI) and will create approximately 51 supportive homes for people experiencing homelessness in partnership with the University Health Network (UHN) Gattuso Centre for Social Medicine and the United Way of Greater Toronto (UWGT). The other sites currently advancing under the RHI program include 222 Spadina Avenue and 877 Yonge Street.

The City is committed to working with local communities to provide accurate and timely information about the project, answer questions and collect their feedback and input, including ideas for how to support and welcome the new residents into the neighbourhood. There will be a number of opportunities for residents to learn more about the new homes with supports planned at 150 Dunn Avenue. The first virtual community meeting is targeted for June 16th. Corporate Real Estate Management (CREM) is currently preparing a Site Plan Approval application submission in conjunction with the retained modular housing supplier.

At its meeting of October 27, 2020 City Council adopted Item MM25.32 - Implementation of the Federal Rapid Housing Initiative (RHI) authorizing staff to: enter into an agreement with Canada Mortgage and Housing Corporation to secure the City's allocation of $203.3 million through this program, and identify projects that can be made available for occupancy within twelve (12) months, in accordance with the terms and conditions of the Rapid Housing Initiative (RHI). City Council also approved approximately $59 million in pre-approved City Open Door incentives to support the creation of up to 800 affordable rental units under the program, to maximize the RHI opportunity and exceed the minimum unit requirement set out under the RHI. Further, on October 27, 2020 City Council adopted Item PH17.4 - Creating New Supportive Housing Opportunities in Partnership with the University Health Network and United Way of Greater Toronto, and directed staff to report on report back by the second quarter of 2021 with recommendations to activate the site with new supportive or affordable housing opportunities.

The creation of modular affordable rental housing with support services is a key element of the HousingTO 2020-2030 Action Plan, which has an approval target of 18,000 supportive homes, including the creation of at least 1,000 modular homes, over the next ten years. To date, 100 modular homes are completed through Phase One at 11 Macey Avenue (Ward 20 - Scarborough Southwest) and 321 Dovercourt Road (formerly 150 Harrison Street) (Ward 9 - Davenport). Additional modular supportive housing proposals are underway that are targeted for completion by Spring of 2022.

The 150 Dunn Avenue site is owned by the University Health Network and is currently developed with a 4 storey rehabilitation establishment known as the Bickle Centre, a 4 storey long term care facility, and a series of detached houses. The site is also subject to an application for a 6 storey extension to the existing Lakeside Long-term Care Centre (application number 19 112609 STE 04 OZ).

A portion of the site fronting onto Dunn Avenue has been identified as suitable for construction of modular housing to create new affordable rental housing (see Attachment 1). The target completion and occupancy date for the site is spring 2022. Based on the conceptual site plans prepared for the site, relief to the existing zoning provisions would be required. The required relief will be finalized following community feedback and completion of detailed building and site design.

Staff have assessed the review and approval process timelines for the required Planning Act applications relative to the urgency in creating affordable and supportive housing in the city. In consideration of this urgency and Council's request to prioritize planning and building approvals for affordable housing, this report recommends that City Council endorse in principle the use of a Minister's Zoning Order to provide the necessary relief to permit the construction of modular housing at this site. The Planning Act gives the Minister of Municipal Affairs and Housing the power, by order, in respect of any lands in Ontario, to exercise any of the powers conferred on Council to zone lands and modify the zoning regulations for a given site. A Minister's Zoning Order would enable the City to more quickly implement the modular housing proposals.