Item - 2022.TE34.17

City Council on July 19, 20, 21 and 22, 2022, adopted the following:

1. City Council amend the Official Plan for the lands at 316 – 336 Campbell Avenue substantially in accordance with the draft Official Plan Amendment attached as Attachment 5 to the report (June 8, 2022) from the Director, Community Planning, Toronto and East York District.

2. City Council amend Zoning By-law 569-2013 for the lands at 316 – 336 Campbell substantially in accordance with the draft Zoning By-law Amendment attached as Attachment 6 to the report (June 8, 2022) from the Director, Community Planning, Toronto and East York District.

3. City Council authorize the City Solicitor to make such stylistic and technical changes to the draft Zoning By-law Amendment as may be required.

4. City Council authorize the City Solicitor and appropriate City staff to take such necessary steps, as required, to implement City Council's decision.

5. City Council require Campont Developments Limited ("the Owner") to enter into an Agreement pursuant to Section 37 of the Planning Act as follows:

a. the Owner's Section 37 contribution consists of providing and maintaining twenty-one (21) new affordable rental dwelling units on the lands at 316-336 Campbell Avenue (the "Affordable Housing Units"), all to the satisfaction of the Chief Planner and Executive Director, City Planning, in consultation with the Executive Director, Housing Secretariat;

b. the Affordable Housing Units are to be conveyed to Community Affordable Housing Solutions or another non-profit affordable housing provider chosen by the City in its sole discretion (the "Provider") as a stratified freehold parcel;

c. the Affordable Housing Units shall be in accordance with the following:

i. at least one of the Affordable Housing Units shall be a three-bedroom unit with a minimum unit size of 82 square metres with the combined 3 bedroom units having an average size of 82 square metres;

ii. at least eight of the Affordable Housing Units shall be two-bedroom rental units with a minimum unit size of 54 square metres  with the combined 2 bedroom units having an average size of 59.45 square metres;

iii. no more than 12 of the Affordable Housing Units shall be one-bedroom rental units with a minimum unit size of 40.9 square metres  with the combined 1 bedroom units having an average size of 46.1 square metres;

iv. the unit sizes described in Parts 5.c.i. to 5.c.iii. above may vary by a maximum of three percent (3 percent), but only as a result of reasonable adjustments which may be required for the purposes of accommodating final structural or mechanical design; all such adjustments must be made to the satisfaction of the Chief Planner and Executive Director, City Planning and the Executive Director, Housing Secretariat;

v. all units will be located within one contiguous floor within the podium of the development;

vi. the Affordable Housing Units shall be provided and maintained as secured rental housing for a minimum period of 99 years beginning from the date that each such unit is first occupied (the "Affordability Period"); during the Affordability Period, no Affordable Housing Unit shall be registered as a condominium unit or any other form of ownership housing that provides a right to exclusive possession of a dwelling unit, including life lease or co-ownership, and no application shall be made to demolish any Affordable Housing Unit or to convert any Affordable Housing Unit to a non-residential rental purpose; and upon the expiration of the Affordability Period, the Owner shall continue to provide and maintain the units as rental dwelling units, unless and until such time as the Owner has applied for, and obtained, all approvals necessary to do otherwise;

vii. the initial rent (inclusive of utilities) charged to the first tenants of any Affordable Housing Units shall not exceed 100 percent of the average rent for the same bedroom type in the City of Toronto, as reported by Canada Mortgage and Housing Corporation in its most recent annual Rental Market Report, and the project average across the Affordable Housing Units shall not exceed 80 percent of the average rent for the same bedroom type in the City of Toronto, as reported by Canada Mortgage and Housing Corporation in its most recent annual Rental Market Report;

viii. if an Affordable Housing Unit becomes vacant and is re-rented to a new tenant during the Affordability Period, the initial rent (inclusive of utilities) charged to the new tenant shall not exceed 100 percent of the average rent for the same bedroom type in the City of Toronto, as reported by Canada Mortgage and Housing Corporation in its most recent annual Rental Market Report, and the project average across the Affordable Housing Units shall not exceed 80 percent of the average rent for the same bedroom type in the City of Toronto, as reported by Canada Mortgage and Housing Corporation in its most recent annual Rental Market Report;

ix. after the first year of occupancy of any Affordable Housing Units and for the duration of the Affordability Period, the rent (inclusive of utilities) charged to tenants occupying such unit may be escalated annually by not more than the annual provincial rent guideline, regardless of whether such guideline is applicable to the units under the Residential Tenancies Act or any successor legislation governing residential tenancies in Ontario, until the tenancy ends;

x. notwithstanding the annual rent increases permitted in Part 5.c.vii. above, the rent (inclusive of utilities) charged to any tenants occupying an Affordable Housing Unit during the Affordability Period shall not be increased to an amount that exceeds 100 percent of the average rent for the same unit type in the City of Toronto, as reported by Canada Mortgage and Housing Corporation in its most recent annual Rental Market Report, and the project average across the Affordable Housing Units shall not exceed 80 percent of the average rent for the same bedroom type in the City of Toronto, as reported by Canada Mortgage and Housing Corporation in its most recent annual Rental Market Report;

xi. at least six months in advance of any new Affordable Housing Units being made available for rent to the general public, the Owner shall develop and implement a Tenant Access Plan to ensure units are rented to eligible households in consultation with, and to the satisfaction of the Executive Director, Housing Secretariat;

xii. the new Affordable Housing Units shall be made ready and available for occupancy no later than the date by which 70 percent of the new dwelling units in the new building are available and ready for occupancy, or to the satisfaction of, the Chief Planner and Executive Director, City Planning and the Executive Director, Housing Secretariat;

xiii. the Owner shall provide all tenants of the affordable rental dwelling units with access to, and use of, all indoor and outdoor amenities in the building in which such tenant resides at no extra charge; access to, and use of, these amenities shall be provided on the same terms and conditions as any other resident of the building without the need to pre-book or pay a fee, unless specifically required as a customary practice for private bookings;

xiv. access to, and use of, these amenities shall be provided on the same terms and conditions as any other resident of the building in which the Affordable Housing Units are located, without the need to pre-book or pay a fee, unless specifically required as a customary practice for private bookings;

xv. the Owner shall provide all tenants of the Affordable Housing Units with laundry facilities on the same basis as other units within building in which the Affordable Housing Units are located at no extra charge;

xvi. the Owner shall provide all tenants of the Affordable Housing Units with access to permanent and visitor bicycle parking/bicycle lockers on the same terms and conditions as any other resident of the building in which the Affordable Housing Units are located, and in accordance with the Zoning By-law; 

xvii. prior to the issuance of the first building permit for a residential use on any part of the site, including permits for excavation and shoring, the Owner shall enter into a Municipal Housing Facility Agreement with the City (the "Contribution Agreement"), for the Affordable Housing Units that are approved for Open Door incentives, on terms satisfactory to the Executive Director, Housing Secretariat and in a form satisfactory to the City Solicitor; the Owner shall provide such Affordable Housing Units in accordance with such agreement(s);

xviii. the Owner shall enter into an agreement of purchase and sale ("APS") for the conveyance of the Affordable Housing Units to the Provider and the City (with the City as a contingent transferee) at a discounted maximum total purchase price of $6,798,634 prior to the issuance of the first above grade building permit for the development, which agreement of purchase and sale shall be subject to the following terms:

A. the agreement of purchase and sale shall be assignable by the City of Toronto to another non-profit Provider at the City of Toronto's sole discretion; and

B. the City of Toronto shall not be liable to pay any deposit penalty, or liquidated damages to the Owner or the Provider in the event the City terminates the agreement of purchase and sale for any reason, including failure of the Provider to close on the transaction, a lack of funding to complete the transaction, or the City being unsuccessful in identifying an alternate Provider;

xix. the Owner and the Provider will enter into a Shared Facilities Agreement for 99 years, on the following terms: 

A. the Shared Facilities Agreement will allocate costs proportionately based on each party's actual share of the shared facilities;

B. the Owner shall discount 50 percent of the Provider's share of the shared facilities costs under the Shared Facilities Agreement for 99 years;

C. the Owner (including any condominium corporation or other assignee) shall not have the right to unilaterally amend the Shared Facilities Agreement, nor shall the Shared Facilities Agreement be amended to directly or indirectly increase the share of costs that the Provider is responsible for paying under the Shared Facilities Agreement for the 99 year term; and

D. the Shared Facilities Agreement shall otherwise be on commercially reasonably terms; and

xx. if the Provider and Owner fail to enter into the agreement of purchase and sale as required or the conveyance of the Affordable Housing Units to the Provider does not close for any reason, at the sole discretion of the Chief Planner and Executive Director, City Planning, and the Executive Director, Housing Secretariat, the Owner shall provide a cash payment of $5.2 million, indexed upwardly in accordance with the Statistics Canada Residential Building Construction Price Index for Toronto, calculated from the date City Council adopts the Zoning By-law Amendment(s) to the date of payment, in lieu of the twenty-one new affordable rental dwelling units.

6. City Council also direct that the following be secured in the Section 37 Agreement as matters of legal convenience to secure matters required to support the development:

a. the Owner shall provide a minimum of 10 percent of all new units in the proposed development as three-bedroom units;

b. the Owner shall provide a minimum of 25 percent of all new units in the proposed development as two-bedroom units;

c. the Owner shall provide a privately owned publicly accessible open space of a minimum 140 square metres at the southeast corner of the site, whereby as a pre-approval condition to Site Plan Approval for the development, the Owner shall convey to the City, for nominal consideration, easement(s) along the surface of the lands, to the satisfaction of the City Solicitor, which shall constitute the privately owned publicly accessible open space and any required public access easements to connect the privately owned publicly accessible open space to adjacent privately owned publicly accessible open space and/or public rights-of-way, where necessary; and the Owner shall own, operate, maintain and repair the privately owned publicly accessible open space and install and maintain a sign, at its own expense, stating that members of the public shall be entitled to use the privately owned publicly accessible open space at all times of the day and night, 365 days of the year; and the specific location, configuration and design of the privately owned publicly accessible open space shall be determined in the context of a site plan approval satisfactory to the Chief Planner and Executive Director, City Planning, pursuant to section 114 of the City of Toronto Act, 2006, and secured in a Site Plan Agreement with the City;

d. the Owner will construct and maintain the Development in accordance with Tier 1, Toronto Green Standard, and the Owner will be encouraged to achieve Tier 2, Toronto Green Standard, or higher, where appropriate, consistent with the performance standards of Toronto Green Standards applicable at the time of the site plan application for each building on the Development Site;

e. implementation of all recommended mitigation measures included in all reports, studies and plans submitted by the Owner, to the satisfaction of the Chief Planner and Executive Director, City Planning, in consultation with the appropriate City official;

f. as part of the application for Site Plan Control, the Owner shall submit a comprehensive Construction Management Plan for each stage of the construction process, to the satisfaction of the General Manager, Transportation Services, the Chief Building Official and Executive Director, Toronto Building and the Ward Councillor; the Construction Management Plan will include, but not be limited to the following construction-related details: noise, dust, size and location of staging areas, location and function of gates, dates of significant concrete pouring, lighting details, vehicular parking and queuing locations, street closures, parking and access, refuse storage, site security, site supervisor contact information, and a communication strategy with the surrounding community, and any other matters requested by the General Manager, Transportation Services, in consultation with the Ward Councillor; and

g. prior to the issuance of the first above grade building permit, the Owner shall provide an offsite parkland dedication within 500 metres of the development site to the satisfaction of the General Manager, Parks, Forestry and Recreation; if an appropriate site cannot be found, a cash-in lieu payment will be provided instead to the satisfaction of the General Manager, Parks, Forestry and Recreation.

7.  City Council approve the Rental Housing Demolition application (21 138112 STE 09 RH) under Chapter 667 of the Toronto Municipal Code pursuant to section 111 of the City of Toronto Act, 2006, to permit the demolition of nine existing rental dwelling units at 316, 318, 320, 332 and 336 Campbell Avenue:

a. the Owner shall provide and maintain nine replacement rental dwelling units for a period of at least 20 years beginning from the date that each replacement rental unit is first occupied; during such 20 year period, no replacement rental dwelling unit shall be registered as a condominium or any other form of ownership housing that provides a right to exclusive possession of a dwelling unit, including life-lease or co-ownership, and no application shall be made to demolish any replacement rental dwelling unit or convert any replacement rental unit to a non-residential rental purpose; and the nine replacement rental dwelling units shall collectively have a total gross floor area of at least 456.2 square metres and be comprised of one studio unit, three one-bedroom units, and five two-bedroom units;

b. the replacement rental units will be similar in size, by unit type, to the demolished rental units to the satisfaction of the Chief Planner and Executive Director, City Planning; the average replacement rental unit size, by unit type, shall be no less than 97 percent of the average demolished rental unit size, by unit type; and revised floor plans for the replacement units indicating the sizes, and location of the nine replacement rental units will be provided prior to the issuance of Notice of Approval Conditions for Site Plan Approval, to the satisfaction of the Chief Planner and Executive Director, City Planning;

c. at least two of the rental replacement units will have a private outdoor balcony and/or patio;

d. the Owner shall provide and maintain at least one one-bedroom unit and two two-bedroom units at no more than 60 percent of affordable rent, one studio unit and two one-bedroom units at no more than 90 percent of affordable rents and three two-bedroom units at mid-range rents, as currently defined in the Toronto Official Plan, for a period of at least ten years beginning from the date of first occupancy of each unit;

e. the Owner shall provide an acceptable Tenant Relocation and Assistance Plan to all Eligible Tenants, addressing the right to return to occupy one of the replacement rental dwelling units at similar rents, the provision of alternative accommodation at similar rents in the form of rent gap payments, and other assistance to mitigate hardship; the Tenant Relocation and Assistance Plan shall be developed in consultation with, and to the satisfaction of, the Chief Planner and Executive Director, City Planning;

f. the Owner shall provide tenants of all nine replacement rental dwelling units with access to, and use of, all indoor and outdoor amenities in the proposed development, at no extra charge, and on the same terms and conditions as any other resident of the development, without separate entrances or the need to pre-book or pay a fee unless specifically required as a customary practice for private bookings;

g. the Owner shall provide ensuite laundry in each replacement rental dwelling unit within the proposed development at no additional cost to tenants;

h. the Owner shall provide central air conditioning in each replacement rental dwelling unit within the proposed development at no additional cost to tenants;

i. the Owner shall provide and make available for rent a minimum of two vehicle parking spaces to tenants of the replacement rental dwelling units; the terms and conditions for renting parking spots to tenants of the replacement units shall be to the satisfaction of the Chief Planner and Executive Director, City Planning;

j. the Owner shall provide tenants of the nine replacement rental dwelling units with access to all bicycle and visitor parking on the same terms and conditions as any other resident of the proposed development;

k. the Owner shall provide four storage lockers to tenants of the replacement rental dwelling units; the terms and conditions for renting storage lockers to tenants of the replacement units shall be to the satisfaction of the Chief Planner and Executive Director, City Planning;

l. the nine rental dwelling units required in Part 7.a. above shall be made ready and available for occupancy no later than the date by which 70 percent of the new dwelling units in the proposed development, exclusive of the replacement rental units, are made available and ready for occupancy, subject to any revisions to the satisfaction of the Chief Planner and Executive Director, City Planning; and

m. the Owner shall enter into, and register on title to the lands at 316-332 Campbell Avenue, one or more agreement(s) to secure the conditions outlined in Parts 7.a. through 7.l. above, including an agreement pursuant to Section 111 of the City of Toronto Act, 2006, all to the satisfaction of the City Solicitor and the Chief Planner and Executive Director, City Planning.

8. City Council authorize the Chief Planner and Executive Director, City Planning to issue Preliminary Approval of the Rental Housing Demolition Permit under Chapter 667 of the Toronto Municipal Code pursuant to section 111 of the City of Toronto Act, 2006, for the demolition of nine rental dwelling units at 316, 318, 320, 332 and 336 Campbell Avenue after all the following have occurred:

a. all conditions in Part 7 above have been fully satisfied and secured;

b. a tenant consultation meeting, led by City Staff, for eligible tenants has taken place;

c. the Zoning By-law Amendment(s) have come into full force and effect;

d. the issuance of the Notice of Approval Conditions for site plan approval by the Chief Planner and Executive Director, City Planning\or their designate, pursuant to Section 114 of the City of Toronto Act, 2006, or as otherwise authorized by the Chief Planner and Executive Director, City Planning;

e. the issuance of excavation and shoring permits (conditional or full permit) for the approved development on the site;

f. the Owner has confirmed, in writing, that all existing rental dwelling units proposed to be demolished are vacant; and

g. the execution and registration of agreements pursuant to section 37 of the Planning Act and section 111 of the City of Toronto Act, 2006, securing Parts 7.a. through 7.l. above and any other requirements of the Zoning-Bylaw Amendment.

9. City Council authorize the Chief Building Official and Executive Director, Toronto Building to issue a Rental Housing Demolition Permit under Chapter 667 of the Toronto Municipal Code after the Chief Planner and Executive Director, City Planning has given Preliminary Approval referred to in Part 8 above.

10. City Council authorize the Chief Building Official and Executive Director, Toronto Building to issue a Residential Demolition Permit under section 33 of the Planning Act and Chapter 363 of the Toronto Municipal Code for 316-332 Campbell Avenue after the Chief Planner and Executive Director, City Planning has given the Preliminary Approval referred to in Part 8 above, which may be included in the Rental Housing Demolition Permit under Chapter 667 pursuant to section 6.2 of Chapter 363, on condition that:

a. the Owner removes all debris and rubble from the site immediately after demolition;

b. the Owner erects solid construction hoarding to the satisfaction of the Chief Building Official and Executive Director, Toronto Building;

c. the Owner erects the proposed building no later than three years from the date on which the demolition of the existing rental dwelling units commences, subject to the timeframe being extended to the discretion of the Chief Planner and Executive Director, City Planning; and

d. should the Owner fail to complete the proposed development containing the nine replacement rental dwelling units within the time specified in Part 9.c. above, the City Clerk shall be entitled to enter on the collector’s roll, as with municipal property taxes, an amount equal to the sum of $20,000.00 per dwelling unit for which a demolition permit is issued, and that such amount shall, until payment, be a lien or charge upon the land for which the Residential Demolition Permit is issued.

11. City Council authorize the Executive Director, Housing Secretariat to negotiate and execute a Municipal Housing Facility Agreement (the "Contribution Agreement") with Campont Developments Limited (or a related corporation) and/or Community Affordable Housing Solutions (or a related corporation), or a non-profit housing provider approved by the Executive Director, Housing Secretariat, at their sole discretion (the "Provider"), for the provision of Open Door Incentives, for development of 21 Affordable Housing Units at 316-336 Campbell Avenue to secure the financial assistance being provided and set out the terms of the operation of the Affordable Housing Units, on terms and conditions acceptable to the Executive Director, Housing Secretariat, in a form satisfactory to the City Solicitor.

12. City Council approve the provision of financial incentives pursuant to the City's Open Door Affordable Housing Program in relation to the Affordable Housing Units as follows:

a. City Council exempt the 21 affordable rental dwelling units at 316-336 Campbell Avenue from taxation for municipal and school purposes for the 99-year term of the municipal housing facility agreement; and

b. City Council authorize the 21 new affordable rental dwelling units at 316-336 Campbell Avenue to be eligible for waivers of fees for planning applications, building permits and parkland dedication, and for development charges exemptions, unless already paid.

13. City Council direct that existing and/or future Section 45 funds from the development at 1245 Dupont Street, to a maximum of $1,200,000 and subject to receipt, be allocated toward the new affordable rental dwelling units proposed on the lands at 316-336 Campbell Avenue, with such allocation to be determined through the budget process and future reports for City Council's approval.

14. City Council authorize the Executive Director, Housing Secretariat, on behalf of the City, to execute any security or financing documents, or any other documents required to facilitate the delivery of the Affordable Housing Units, including any documents required by the Owner or the Provider to complete pre-development activities, construction and secure construction and conventional financing, where required, including any postponement, confirmation of status, discharge or consent documents where and when required during the term of the Municipal Housing Facility Agreement, as required by normal business practices, and provided that such documents do not give rise to financial obligations on the part of the City that have not been previously approved by City Council.

15. City Council authorize the Controller to cancel or refund any taxes paid after the effective date of the exemption from taxation for municipal and school purposes, as set out in the Contribution Agreement.

16. City Council authorize the City to be a party to the agreements of purchase and sale contemplated to be entered into for the Affordable Housing Units as a contingent transferee, in order to ensure the benefit of the Affordable Housing Units is secured for the intended purposes until the transaction is complete.

17. City Council authorize the Executive Director, Housing Secretariat to execute the agreements of purchase and sale and any other documents required to complete the purchase of the Affordable Housing Units, including an assignment of the agreements of purchase and sale for the Affordable Housing Units to Solutions the Provider.

18. City Council authorize the Executive Director, Housing Secretariat to administer and manage the transaction relating to the Affordable Housing Units in consultation with the Executive Director, Corporate Real Estate Management, including the provision of any consents, approvals, waivers and notices, provided that they may, at any time, refer consideration of any such matters (including their content) to City Council for consideration and direction, all as may be required.

19. City Council determine that the amendments made to the proposed Zoning By-law are minor in nature, and, pursuant to subsection 34(17) of the Planning Act, no further public notice is required in respect of the proposed Zoning By-law.