Motion for Necessary Changes at 2242 & 2246 Lake Shore Blvd. W.

January 27, 2009

 NOTICE OF MOTION

Authorization for City Legal to Make Necessary Changes to Agreements for 2242 and 2246 Lake Shore Boulevard West
Moved by:	Councillor Grimes
Seconded by:	Councillor Saundercook

SUMMARY:

Empire (Beyond the Sea) Ltd. (“Empire”) is the registered owner of the proposed condominium development, known as “Beyond the Sea”. The development proposes two residential condominium buildings, 27 and 36 storeys in height, containing 489 units and 2,081m2 of commercial space at 2242 and 2246 Lake Shore Boulevard West. The condominium development is largely sold out to purchasers with initial Shoring and Excavation construction underway.

Development of the site by the property’s former owner, Fogh Sails Holdings Limited (Fogh Sails) was permitted by an amendment to the Etobicoke Zoning Code in site-specific By-law 95-2003. In February 2003 a Development Agreement and Section 37 Agreement were executed between the City and as a condition of City Council approval. The former owner made commitment to provide the City up to $1 million as a Section 37 contribution. The site was then sold.

To facilitate the development by Empire, the Etobicoke York District Committee of Adjustment has approved two Minor Variance applications (File No’s A579/06 EYK and A278/08EYK), allowing for a number of variances from the by-law. Empire has fulfilled key conditions of the Minor Variance approvals to the satisfaction of City Planning including:

(1) providing financial securities in the amount of $250,000 to the City to accelerate the planned construction of a new traffic signal at Lake Shore Boulevard West and Legion Road in advance of Empire’s project construction; and

(2) payment of $200,000 for public initiatives in the Mimico area including Bonar Creek, Amos Waites Park and general park improvements to the City-owned property immediately north of the subject site. This payment is provided in exchange for using the former parking lot as a temporary construction staging area.

Empire in August 2008 executed a License Agreement proposal with the City’s Facilities and Real Estate Division and paid all required administrative fees and provided requisite insurance for use of this construction staging area on adjacent cityowned land all prior to the project’s construction. These improvements were secured in a Section 37 Agreement concluded in 2006.

On December 18, 2008, the Director, Community Planning Etobicoke York District issued Notice of Approval Conditions for Site Plan Control Application No. 07 152424 WET 06 SA. The Notice of Approval Conditions require Empire to enter into and register a Site Plan Control Agreement with the City including any necessary modifications to the original 2003 Development Agreement and Section 37 Agreement already registered on title, all to the satisfaction of the City Solicitor, at the Owner’s expense.

Empire has to date consistently and cooperatively honoured the previous owner’s commitment to provide up to $1 million in Section 37 benefits, and previously secured City obligations in the original 2003 Development and Section 37 Agreements. These commitments were implemented in advance of the owner’s obligations under the current agreements.

Amendments to the agreements would ordinarily require a staff report and Council approval. Given the advanced approvals of the project already in place, staff are satisfied that the amendments are acceptable. There is urgency in this matter as finalizing the Site Plan Agreement for execution and registration is needed for Empire’s on-going construction financing and purchaser contract agreements for development of the proposed Beyond the Sea condominium on the site.

RECOMMENDATIONS:

 1. That City Council authorize the City Solicitor to finalize the Site Plan Agreement with Empire (Beyond the Sea) Ltd., and make such necessary modifications to the original 2003 Development Agreement and Section 37 Agreement as necessary to secure public benefits including $221,000 for traffic signal improvements at Lake Shore Boulevard West and Legion Road; $200,000 for local park improvements; $250,000 Bonar Creek Wetland improvements; and $50,000 for streetscape improvement in Mimico (all of which have previously been secured) and $279,000 for park or capital improvement in public space within the Mimico community.

Date: January 27 and 28, 2009

Motions Without Notice:

According to Chapter 27, Council Procedures:

Fiscal Impact Statement provided
Should have Fiscal Impact Statement prior to debate Requires two-thirds to waive requirement if Council wishes to debate	*
Should be referred to the Committee/Community Council Requires two‑thirds vote to consider at this meeting
City Clerk, in consultation with the Chair, agrees that the Motion Recommendations are Urgent – (e.g. Health and Safety)	*

* Deputy City Manager and Chief Financial Officer to advise.