Item - 2022.CC43.23

City Council on May 11 and 12, 2022, adopted the following:

1. City Council adopt the confidential instructions to staff in Confidential Attachment 1 to the supplementary report (May 10, 2022) from the City Solicitor.

2. City Council authorize the public release of:

a. the confidential instructions to staff in Confidential Attachment 1 to the supplementary report (May 10, 2022) from the City Solicitor; and

b. Confidential Appendices 1 and 2 to the supplementary report (May 10, 2022) from the City Solicitor.

3. City Council direct that the balance of Confidential Attachment 1 to the supplementary report (May 10, 2022) from the City Solicitor remain confidential as it contains information that is subject to solicitor-client privilege.

4. City Council direct that Confidential Attachment 1 to the report (May 4, 2022) from the City Solicitor remain confidential, as it contains information that is subject to solicitor-client privilege.

The confidential instructions to staff in Confidential Attachment 1 to the supplementary report (May 10, 2022) from the City Solicitor, were adopted by City Council and are now public as follows:

1. City Council accept the Without Prejudice Settlement Offer dated April 29, 2022 for the lands municipally known as 1134-1140 Yonge Street in Confidential Appendix 1 to the supplementary report (May 10, 2022) from the City Solicitor and as generally shown on the Revised Plans dated April 5, 2022 in Confidential Appendix 2 to the supplementary report (May 10, 2022) from the City Solicitor, subject to Parts 2 to 6 below.

2. City Council authorize the City Solicitor and appropriate City Staff to attend the Ontario Land Tribunal hearing on this matter in support of the Without Prejudice Settlement Offer dated April 29, 2022 for the lands municipally known as 1134-1140 Yonge Street in Confidential Appendix 1 to the supplementary report (May 10, 2022) from the City Solicitor and as generally shown on the Revised Plans dated April 5, 2022 in Confidential Appendix 2 to the supplementary report (May 10, 2022) from the City Solicitor.

3. City Council accept the conveyance, to the City, of an off-site parkland dedication of the lands known municipally as 211 Avenue Road, pursuant to section 42 of the Planning Act, and that any remaining balance be provided as a cash-in-lieu payment to the City; the parkland dedication is to be conveyed according to the following conditions:

a. the lands shall be conveyed to the City as soon as possible, but no later than prior to the issuance of first above-grade building permit for the Site, subject to the Owner satisfying the pre-conditions to conveyance, pursuant to the City's policies for parkland dedication; and

b. for the purposes of determining whether any remaining cash-in-lieu is payable:

A. the total value of the off-site parkland dedication would include all hard and soft costs associated with the purchase and conveyance of 211 Avenue Road, including:

1. all hard costs, including the cost of acquiring the land (including land transfer tax), environmental remediation (if any), demolition of existing buildings, and base park improvements; and

2. all soft costs (including reasonable legal fees, consultant fees and project management expenses) and permit fees; and

B. the total value of the off-site parkland dedication based on the items outlined in clause A. above are subject to indexing based on the Construction Price Index between the date the parkland is conveyed to the City and the issuance of the first above-grade building permit for the development.

4. City Council authorize the Chief Planner and Executive Director, City Planning to enter into an Agreement, pursuant to Section 37 of the Planning Act, in order to secure the following, to the satisfaction of the City Solicitor:

a. the community benefits to be secured in the Section 37 Agreement are as follows:

i. prior to the issuance of the first above-grade building permit, an indexed one-time cash contribution in the amount of two million, six-hundred-and-fifty thousand dollars ($2,650,000.00), to be paid by the Applicant to the City prior to the issuance of the first above-grade building permit for the Site, and to be allocated towards projects in the general vicinity of the Site, at the discretion of the Ward Councillor, in consultation with the ABC Residents’ Association;

ii. the amount of the cash contribution referred to in Part 4.a.i. above shall be indexed upwardly in accordance with the Statistics Canada Non-Residential Construction Price Index for Toronto, or its successor, calculated from the date of execution of the Section 37 Agreement to the date of payment of the funds by the Applicant to the City; and

iii. in the event that the cash contribution in Part 4.a.i. above has not been used for the intended purpose within three (3) years of the Zoning By-law Amendment coming into full force and effect, the cash contribution may be redirected for another purpose, at the discretion of the Chief Planner and Executive Director, City Planning, in consultation with the Ward Councillor, provided that the purpose is identified in the Toronto Official Plan and will benefit the community in the general vicinity of the Site; and

b. the matters to be secured in the Section 37 Agreement as legal conveniences in support of the development are as follows:

i. the Owner shall provide a minimum of 10 percent of the new residential dwelling units in the development as dwelling units containing at least three bedrooms and a minimum of 15 percent of the new residential dwelling units in the development as dwelling units containing at least two bedrooms, to the satisfaction of the Chief Planner and Executive Director, City Planning;

ii. the Owner shall construct and maintain the development in accordance with Tier 1 of the Toronto Green Standard and the Owner will be encouraged to achieve Tier 2 of the Toronto Green Standard;

iii. prior to Site Plan approval for the proposed development of the Site, and in relation to the heritage properties municipally known as 1134 and 1140 Yonge Street, the Owner shall:

a. prepare a Construction Mitigation Plan for the proposed development of the Site to the satisfaction of the Chief Planner and Executive Director, City Planning, in consultation with the Ward Councillor;

b. provide final site plan drawings substantially in accordance with the approved heritage Conservation Plan, to the satisfaction of the Senior Manager, Heritage Planning, Urban Design, City Planning;

c. obtain final approval for the necessary zoning by-law amendment(s) required for the subject property, with such amendment(s) having come into full force and effect;

d. provide a Heritage Lighting Plan that describes how the exterior of the heritage property will be sensitively illuminated to enhance its heritage character to the satisfaction of the Senior Manager, Heritage Planning, Urban Design, City Planning and thereafter shall implement such Plan to the satisfaction of the Senior Manager, Heritage Planning, Urban Design, City Planning;

e. provide an Interpretation Plan for the Site, to the satisfaction of the Senior Manager, Heritage Planning, Urban Design, City Planning and thereafter shall implement such Plan to the satisfaction of the Senior Manager, Heritage Planning, Urban Design, City Planning; and

f. submit a Signage Plan for the proposed development to the satisfaction of the Senior Manager, Heritage Planning;

iv. prior to the issuance of any permit for all or any part of the Site, including a heritage permit or a building permit, but excluding building permits for a temporary sales office and permits for repairs and maintenance and usual and minor works for the existing heritage building as are acceptable to the Senior Manager, Heritage Planning, Urban Design and City Planning, the Owner shall:

a. provide building permit drawings, including notes and specifications for the conservation and protective measures keyed to the approved heritage Conservation, including a description of materials and finishes, to be prepared by the project architect and a qualified heritage consultant, to the satisfaction of the Senior Manager, Heritage Planning; and

b. provide a Letter of Credit, including provision for upwards indexing, in a form and amount and from a bank satisfactory to the Senior Manager, Heritage Planning, Urban Design, City Planning, to secure all work included in the approved Conservation Plan, Heritage Lighting Plan and Interpretation Plan; prior to the release of the Letter of Credit, the Owner shall:

1. provide a letter of substantial completion prepared and signed by a qualified heritage consultant confirming that the required conservation work and the required interpretive work has been completed in accordance with the Conservation Plan, Heritage Lighting Plan and Interpretation Plan and that an appropriate standard of conservation has been maintained, all to the satisfaction of the Senior Manager, Heritage Planning, Urban Design, City Planning; and

2. provide replacement Heritage Easement Agreement photographs to the satisfaction of the Senior Manager, Heritage Planning, Urban Design, City Planning;

v. the Owner shall pay for and construct any improvements to the municipal infrastructure, at its sole expense, in connection with the Functional Servicing and Stormwater Management Reports or other reports accepted by the Chief Engineer and Executive Director, Engineering and Construction Services, should it be determined that upgrades to such infrastructure are required to support the development; and

vi. if a residential tenant resides in the existing building on 211 Avenue Road at the time of the Owner acquiring the property, the Owner shall make financial compensation to such tenant based on the following, upon provision of vacant possession:

a. a payment in the amount of 3 months’ rent in accordance with the Residential Tenancies Act;

b. a payment based on tenure, in accordance with the following:

i. if the tenant’s length of tenure is less than 5 years, 5 months’ rent;

ii. if the tenant’s length of tenure is at least 5 years but less than 10 years, 6 months’ rent;

iii. if the tenant’s length of tenure is at least 10 years but less than 15 years, 7 months’ rent;

iv. if the tenant’s length of tenure is at least 15 years but less than 20 years, 8 months’ rent;

v. if the tenant’s length of tenure is at least 20 years but less than 30 years, 10 months’ rent; or

vi. if the tenant’s length of tenure is at least 30 years, 12 months’ rent; and

c. payment for moving expenses in the amount of $1,500.

5. City Council authorize the City Solicitor to require the Applicant to complete the following matters prior to the Ontario Land Tribunal hearing and, in the event that one or more of these matters has not been completed by the Applicant, City Council further authorize the City Solicitor to request, at the City Solicitor's discretion, the Ontario Land Tribunal to withhold its final Order until such time as the Ontario Land Tribunal has been advised by the City Solicitor that the outstanding matters have been completed or to request that the Tribunal impose as part of the Zoning By-law Amendment a Holding (H) Symbol be placed on the Site until such time as the outstanding matters have been completed, all to the satisfaction of the City Solicitor:

a. the final form and content of the proposed Official Plan amendment and Zoning By-law amendments are satisfactory to the Chief Planner and Executive Director, City Planning, and the City Solicitor;

b. a permit has been granted pursuant to Section 33 of the Ontario Heritage Act for the required alterations to the heritage property at 1134 and 1140 Yonge Street to implement the Without Prejudice Settlement Offer;

c. the Owner has entered into a Heritage Easement Agreement with the City for the properties at 1134 and 1140 Yonge Street, to the satisfaction of the Senior Manager, Heritage Planning, Urban Design, City Planning including execution and registration of such agreement on title to the satisfaction of the City Solicitor;

d. the Owner has provided a detailed Conservation Plan, prepared by a qualified heritage consultant, that is consistent with the conservation strategy set out in the Heritage Impact Assessment prepared by ERA Architects dated April 27, 2022, to the satisfaction of the Senior Manager, Heritage Planning, Urban Design, City Planning;

e. the City has received an executed Section 37 Agreement securing the benefits outlined in Part 4 above in accordance with the Planning Act before it was amended by Bill 108 and Bill 197, and the Section 37 Agreement has been registered on title to the Site;

f. the Owner has addressed all outstanding issues raised by Urban Forestry, Tree Protection and Plan Review as they relate to the development, to the satisfaction of the Supervisor, Tree Protection and Plan Review;

g. the Owner has provided updated Functional Servicing and Stormwater Management Reports, all to the satisfaction of the Chief Engineer and Executive Director, Engineering and Construction Services; and

h. the Owner has submitted a full set of architectural plans reflecting the settlement offer for the Site, to the satisfaction of the Chief Planner and Executive Director, City Planning.

6. City Council authorize the City Solicitor to take all necessary steps to implement City Council's decision.

Confidential Appendices 1 and 2 to the supplementary report (May 10, 2022) from the City Solicitor are now public and can be accessed under Background Information (City Council).

The balance of Confidential Attachment 1 to the supplementary report (May 10, 2022) from the City Solicitor remain confidential in its entirety in accordance with the provisions of the City of Toronto Act, 2006, as it contains information that is subject to solicitor-client privilege.

Confidential Attachment 1 to the report (May 4, 2022) from the City Solicitor remains confidential in its entirety in accordance with the provisions of the City of Toronto Act, 2006, as it contains information that is subject to solicitor-client privilege.