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HomeMy WebLinkAboutLEG 04-17�� �� �'1�I�E �1 N�► From Subject: Paul Bigioni Director, Corporate Services & City Solicitor Report to Council Report Number: LEG 04-17 Date: May 15, 2017 Proposed Sale of Lands in Duffin Heights to Madison Communities Limited - File: L-4610-009-16 Recommendation: That the Agreement of Purchase and Sale between The Corporation of the City of Pickering as Vendor and Madison Communities Limited as Purchaser, included as Attachment No. 1 hereto, be approved; 2. That the Mayor and City Clerk be authorized to execute the said Agreement of Purchase and Sale subject to minor revisions acceptable to the Chief Administrative Officer and the Director, Corporate Services & City Solicitor; and 3. That the appropriate City of Pickering officials be authorized to take the necessary actions as indicated in this report. Executive Summary: Madison Communities Limited ("Madison") has offered to purchase approximately 4.29 ha of land owned by the City within the Duffin Heights Neighbourhood. Madison's offer is contained within the Agreement of Purchase and Sale (the "Agreement") included as Attachment No. 1 to this Report. City staff recommend that the City enter into the Agreement. Financial Implications: The Agreement provides that Madison shall pay to the City the purchase price of $23,000,000. The closing date set out in the Agreement is May 26, 2017, and the purchase price must be paid to the City on that date. Discussion: The City is the owner of approximately 4.29 ha of land (the "Lands") suitable for mixed use development within the Duffin Heights Neighbourhood. Pursuant to Council's direction, City staff implemented a process whereby the City entertained offers to purchase the Lands. For that purpose, an Invitation to Submit Offer, together with detailed information concerning the Lands, was published and posted on the City's website. Of the various offers received, City, staff recommend that Council approve the offer submitted by Madison. The purchase price set out in Madison's Agreement is $23,000,000. This price compares favourably to the appraised value of the Lands. The closing date set out in Madison's Agreement is May 26, 2017, and the Agreement provides that the full balance of the purchase price will be paid to the City on the closing date. It is important to note that the Agreement does not provide for vendor take back mortgage financing, so the full amount of the purchase price must be paid to the City on Report LEG 04-17 Subject: Proposed Disposition of Lands in Du�n Heights May 15, 2017 Page 2 closing. The Agreement also contains provisions requiring Madison to compensate the City on closing for servicing costs associated with the Lands which the City has previously paid pursuant to the Duffin Heights Developers Group Cost Sharing Agreement, and further requiring that Madison assume all future servicing cost obligations associated with the Lands. Staff recommend that the City enter into the Agreement. Attachments: ' 1. Agreement of Purchase and Sale befinreen Madison Communities Limited and The Corporation of the City of Pickering Pre are /Approved By: .�. Paul igio i Directo. Cor rate Services & City Solicitor Recommended for the consideration of Pickering City Council � 8� 20�7 Tony Prevedel, P.Eng. Chief Administrative Officer CORP0227-07/01 revised f ATTACHMENT# / TO REPORT# ��� C� `(- - ( '� � .of. j �. Agreement of Purchase and Sale This Agreement made this �j�� day of i"ta�,� ., 2017. Between: The Corporation of the City of Pickering hereinafter called the "Vendo�" and �-1 c��So � �MMJ��.��e. S �� r� �ke� hereinafter called the "Purchaser" Article 1 Interpretation 1.1 Definitions. In this Agreement, unless the context otherwise requires, the terms in quotation marks which are set out below shall have the following respective meanings: (a) "Acceptance Date" means the date on which this Agreement of Purchase and Sale is fully executed by the Vendor and the Purchaser, (b) "AgreemenY' or "This AgreemenY' means this Agreement beiween the Vendor and the Purchaser and includes all schedules annexed hereto and forming part hereof; (c) "Authority" means any federal, provincial, regional, municipal or other govemmental authority having jurisdiction and "Authorities" means any two or more of any Auttioriry; ,(d) "Business Day" means any day other than a Saturday, Sunday or statutory holiday in the Province of.Ontario; ' (e) "City" means The Corporation of the City of Pickering; (fl "Closing Date" means the date on which Closing occurs, which date shall be no later than May 26, 2017 unless extended in accordance with section 6:2 hereof and "Closing" means the completion of this Agreement in accordance with its terms; (g) "Deposit" mean that portion of the Purchase Price, payable by the Purchaser to the Vendor in accordance wifh sections 2.3 (a) and (b); (h) "Prime" shall mean the rate of interest charged by the Canadian Imperial (i) u> ATTACHMENT#___ � ___TO REPORT.# a .of , � Bank of Commerce for loans to its commercial customers in Toronto as at - the Closing Date; "Purchase Price" means the purchase price for the Real Property as set out in section 2.2; "Real Property" means the lands described on Schedule "A".attached hereto; (k) "Requisition Date" means the date that is 20 Business Days prior to the Closing Date; (I) "Utilities" shall mean electricity, local gas, telecommunications services, cable services and other utility services. 1.2 Headings. The division of this Agreement into separate Articles, Sections and Schedules and the insertion of headings are for convenience of reference only and shall not affect the construction or interpretation of this Agreement. 1.3 Entire Agreement. This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and, except as herein stated and in the.instruments and documents to be executed and delivered pursuant hereto, contains all of the representations, warranties, and agreements of the respective parties with respect to the subject matter hereof. There are no verbal representations, undertakings or agreements of any kind between the parties except as set out herein. The Vendor's Invitation to Submit Offer for the Real Property does not form a part of this Agreement. 1.4 Severability. If any covenant, obligation or agreement of this Agreement, or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remainder of this Agreement or the application of such covenant, obligation or agreement to persons or circumstances other than those as to which it is held invalid or unenforceable, shall not be affected thereby. Each covenant, obligation and agreement of this Agreement shall be separately valid and enforceable to the fullest extent permitted by law. 1.5 Governing Law. This Agreement shall be govemed by, and construed in accordance with, the laws of the Province of Ontario and the applicable laws of Canada. 2 ATTACHMENT#__/ __ TO REPORT:# � .of 1:� J-�c � � �-- j � Article 2 Purchase and Sale 2.1 Purchase and Sale. The Purchaser hereby agrees to purchase from thE Vendor and the Vendor hereby agrees to sell to the Purchaser the Real Property on the Closing Date on the terms and subject to the conditions herein contained, for the Purchase Price, subject to the adjustments as provided in this Agreement. 2.2 Purchase Price. The Purchase Price forthe Real Property shall be the sum of Dollars ($pZ3�000� 000.o(a in lawful money of Canada. —�'W �� -� h,� �� � ��p � j� o � ��S 2.3 Payment of Purchase Price. The Purchase Price shall be payable to the Vendor as follows: The Purchase Price shall be payable by: (a) certified cheque payable to the Vendor in the sum of Dollars (� I�J50�o�•0�) in lawful money of Canada representing 5% of the Purchase Price, as a Deposit, the prior receipt of which the Vendor hereby acknowledges; and (b) certified cheque on the Closing Date payable to the Vendor, in the further sum of Dollars ($a►, 850�000.00 ) in lawful money of Canada representing the balance of the Purchase Price, subject to adjustments as provided herein. The Deposit is delivered to the Vendor pending completion or other termination of this Agreement and shall be credited to the Purchase Price on Closing. The Deposit shall be held by the Vendor in a non-interest bearing account. fn the event this Agreement is not completed due to the default of the Purchaser, the Deposit shall be retained by the Vendor, as liquidated damages and not as a penalty without prejudice to the Vendor's rights to any additional or altemative remedies available to it at law or pursuant to this Agreement. 2.4 Adjustments. The Purchase Price shall be adjusted as of midnight on the day preceding the Closing Date on account of realty taxes and payments made under the Duffin Heights Developers Cost Sharing Agreement (the "CSA"). If the final amount of any item to be adjusted in accordance with this section cannot be determined at Closing, then the initial adjustment for such item made at Closing shall be estimated by the Vendor, acting reasonably. In each case, when such a cost or amount is actually determined, the Vendor and Purchaser agree to readjust the amount of the item forthwith. 2.5 Cost Sharing Agreement The Vendor and the Purchaser acknowledge that the Vendor has paid for certain servicing costs related to the Real Property, as ATTACHMENT#. f TO REPORT# � .of. � � � �"� � � - ( �--- required pursuant to the CSA. The amount of servicing costs paid by the Vendor prior to the Closing Date and allocable to the Real Property shall be shown on the statement of adjustments and credited to the Vendor on Closing. If, for any reason, the Trustee under the CSA revises its calculation of the amount of servicing costs paid by the Vendor, or if the City has paid any other.costs allocable to the real property under the CSA on or before the Closing Date, then tFie Vendor and the Purchaser undertake to readjust the amount of such additional costs forthwith. On Closing, the Vendor and the Purchaser shall enter into an agreement, on terrris satisfactory to the Vendor acting reasonably, whereby the Purchaser agrees to: (i) execute the CSA and any subsequent amendments thereto as a Participating Owner (as defined in the CSA), (ii) assume all obligations related to the Real Property under the CSA and (iii) release and indemnify the Vendor from all obligations arising under the CSA with respect to the Real Property. 2.6 Vendor's Condition. This Agreement is conditional upon the approval of the Vendor's Council prior to April 21, 2017. This condition has been included for the sole benefit of the Vendor. If this condition is not fulfilled, then this Agreement shall be null and void notwithstanding any intermediate act or negotiations, and neither the Vendor nor the Purchaser shall be liable to the other for any loss, cost or damages, and the Deposit shall be returned forthwith to the Purchaser without interest or deduction. Article 3 Representations and Warranties 3.1 Warranties. The-Purchaser hereby represents and warrants to the Vendor that, as of the date hereof; (a) the Purchaser is not a non-resident within the meaning of the Income Tax Act (Canada) or the Investment Canada Act (Canada); (ti) this Agreement and its obligations hereunder and the documents and transactions contemplated herein have been duly and validly authorized by all requisite proceedings on the Purchaser's part and constitute the Purchaser's legal, valid, binding and enforceable obligations; (c) the Purchaser will at Closing have the authority and ability to satisfy all financial obligations of the Purchaser contemplated by this Agreement, including full payment of the balance of the Purchase Price, subject to the adjustments, as provided in Section 2.3; (d) the Purchaser is now and at Closing will be a body corporate existing in good standing under the laws of the Province of Ontario with full corporate power, authority and capaciry to enter into this Agreement and carry out the transactions contemplated hereby; and 4 ATTACHMENT# � s .of _TO REPORT# �� � l �- (e) The Purchaser will at Closing have full and absolute right and power to receive a transfer of the Real Property and to enter into any agreements contemplated by this Agreement. • . The Purchaser acknowledges that the Vendor has entered into this Agreement in full reliance on the truth and accuracy of all the Purchasers warranties and representations expressed herein. 32 Limitation: Property Sold "As Is, Where Is". The Purchaser shall purchase the Real Property as it exists, without representation, warranty or condition on the part of the Vendor with respect to fitness, developability, planning approvals, the timing or cost of development, condition, zoning, public highway access, environmental state, soil conditions or physical condition, whether express or implied. The Purchaser acknowledges that it has relied entirely upon its own inspections and investigations with respect to ihe quantity, quality, pianning status, developability, timing and cost of development, environmental state and value of the Real Property. Without limiting the generality of the foregoing, the Purchaser acknowledges that the Vendor accepts no liability whatsoever for the findings, accuracy or other matters contained in the Vendor's Invitation to Submit Offer, any Addenda thereto, or any documents contained or referred to therein or in any reports, plans, memoranda or other documents provided by the Vendor. Article 4 Purchaser's Covenants 4.1 Harmonized Sales Tax. The Purchaser agrees that it will be as at the Closing Date a registrant for Harmonized Sales Tax (H.S.T.) under the F�cise Tax Act, R.S.C. 1985, c. E-15 as amended, and will provide evidence of same in form and substance reasonably satisfactory to the Vendor and its soticitors at the Closing Date, including without limitation, a statutory declaration sworn by a senior officer of the Purchaser confirming the Purchaser's H.S.T. registration number and that such registration continues to be in full force and effect and an indemnity to the Vendor for any H.S.T. (and related penalties, costs, interest, or other amounts) claimed from the Vendor in the event the Purchaser does not pay the H.S.T. payable by it in respect of this transaction. In the event that the Purchaser shall fail to deliver such evidence and such indemniry to the Vendor, then the Purchaser shall pay to the Vendor, in addition to the Purchase Price herein, in accordance with the Purchase�'s obligation to pay and the Vendors obligation to collect H.S.T. under the said Act, an amount equal to thirteen (13%) per cent of the Purchase Price or such other amount as is required pursuant to the said Act on the Closing Date. All sums required to be paid by the Purchaser as set out in this Agreement shall be exclusive of H.S.T. and Purchaser shall pay all such sums together with applicable H.S.T. 42 Assignment. The Purchaser agrees that it shall not assign this Agreement in whole or in part or otherwise grant any of its rights hereunder to any person, firm or corporation without the prior written approval of the Vendor, which approval o � �- r �--- ATTACHMENT# � TO REPORT# ��� O�'- 1�"- (P .of l-� . the Vendor may arbitrarily withhold. Without limiting the Vendors discretion in granting its approval; in the event of any such approved assignment, the Purchaser shall continue to remain liable hereunder and the assignee shall be bound by all of the terms and conditions contained herein. Article 5 Title.Review 5.1 Title Review. The Vendor shall not be bound to produce any abstract of title, title deeds, survey or other evidence of title, other than as may be in the possession of the Vendor. The Purchaser is to be allowed until the Requisfion Date to examine the title at its own expense. If within that time, any valid objection to the title is made in writing to the Vendor which the Vendor is unable or unwilling to remove, remedy or satisfy and which the Purchaser will not waive, this Agreement shall, notwithstanding any intermediate acts or negotiations in respect of such dbjections be null and void, and the Deposit shall be retumed by the Vendor without interest or deduction. Save as to any valid objection so made within such time, the Purchaser shall be conclusively deemed to have accepted. the title of the Vendor to the Real Property. 5.2 Title. The title shall be good and free from all encumbrances, save for any subdivision or development agreements, any easements for drainage, drainage structures, hydro, gas, sewers, water, telephone or like services and rights of entry, easements, covenants and licenses referred to in fhis Agreement or in any Subd'nrision Agreement, Development Agreement, and/or Site Plan Agreement and the permitted encumbrances set out in Schedule "B" attached hereto. Article 6 Closing 6.1 Preparation of Documents. A transfer of the Real Property shall be prepared by the Vendor, provided, however, that any Reference Plan which may be required to create a registrable legal description of the Real Property shall be prepared and deposited at the expense of the Purchaser. All registration charges, land transfer tax, provincial sales-tax and harmonized sales ta�ces (if any) payable in connection with the sale of the Real Property shall be paid by the Purchaser. The Vendor and Purchaser shall deliver, each to the other, an undertaking to readjust all items on the Statement of Adjustments as necessary, and a bring-down certificate with respect to representations and warranties. 6.2 Closing. The Closing shall be held in the Land Registry Office for the Land Titles Division of Durham (No. 40), or if available, by electronic registra6on, on the Closing Date. The Vendor shall have the sole right and option from time to time to extend the Closing Date for a period or periods up to an aggregate of ninety (90) days on giving ten (10) Business Days' notice to the Purchaser. 0 ATTACHMENT# � TO REPORT# �--�' � � ��'� l � �... .of. ( � Article 7 Remedies 7.1 In the event of the Purchasers default, the Vendor may, in its sole and absolute discretion, by notice in wrifing given to the Purchaser, terminate this Agreement. The Vendors right to terminate is in addition to and not in substitution for any other rights or remedies available to the Vendor at law or equity. 7.2 Indemnity and Insurance. The Purchaser shall indemnify and save harmless the Vendor from and against all claims, demands, proceedings, actions, damages, costs and expenses which may be made or brought against the Vendor or which the Vendor may sustain, incur or be put to either directly or indirectly by reason of any breach of this Agreement, the performance or non- performance of any other work on or in respect of the Real Property by the Purchaser or any person for whom the Purchaser is responsible at law. The Vendor shall not be liable in respect of any claim, demand, action or proceeding which may be made or brought against the Purchaser by any subsequent purchaser or owner of the Real Property, and the Purchaser shall indemnify and save harmless the Vendor in respect thereof. The Vendor shall not be liable to any real estate agent or brokerage for any commission or fees, and the Purchaser shall indemnify and save harmless the Vendor in respect thereof. 7.3 No Waiver. No omission by the Vendor or Purchaser to enforce the strict pertormance of their respective rights under this Agreement shall operate as a waiver of any such rights, and no waiver by the Vendor or Purchaser of the pertormance by the other of any covenant or provision of this Agreement shall, of itself, constitute a waiver of any subsequent breach of such covenant or provision or any other covenant or provision. Article 8 General 8.1 Notice. Any notice given hereunder shall be in writing and may be personally delivered, transmitted by facsimile br mailed, provided at the time of mailing there is no postal interruption, and it shall be conclusively deemed to have been delivered immediately upon delivery, or, if transmitted by facsimile, upon transmission or if mailed, on the fourth (4th) Business Day after the date on which such notice shall have been posted by prepaid registered mail to.the recipienYs address. Notice shall be sent as follows or to such other address of which either party may advise the other in accordance with the foregoing: ATTACHNiENT# � TO REPORT# ��� � �— j��-- � .of. � �' To The Vendor. The Corporation of the City of Pickering One The Esplanade Pickering ON L1V 6K7 Attention: Paul Bigioni Director, Corporate Services & City Solicitor Fax No.: 905.420.9685 To The Purchaser. j`� p�� s o(� COMM �n ��� cS ��wt �� ed . 3 (�q ��:.�roCLt �c�� T C�'C��� � O I��0.r i� r�.� v 3 6� Attention: t� ,9 � �` S• r�ge. �f' Fax No.: C�l�b,� �� I,- ti a�.9 8.2 Planning Act. This Agreement shall be effective to create an'interest in land only if the provisions of Section 50 of the Planning Act, R.S.O. 1990, c.P-1 3, as amended from time to time, are complied with by the Vendor on or before completion. 8.3 Tender. The parties waive personal tender and agree that tender shall be validly and effectively made if the tendering party shall attend at the Registry OfFce in which the title to the Real Property is recorded, at 3:00 p.m. on the Closing Date and for the period of one-half hour is ready, willing and able to close. Altematively, �ender may be validly and effectively made upon the designated solicitors for the party being tendered. Payment must be made upon the designated solicitors for the party being tendered. Payment must be made or tendered by certified cheque drawn on any Canadian Bank or trust company. 8.4 GenderlContext. This Agreement and its acceptance are to be read with all changes of gender or number required by the context 8.5 Interpretation. The words "herein", "heretop, "hereunder', "heretofore", °herewith", and similar expressions, refer to this Agreement and not to any clause, section or portion thereof, unless the context or subject matter otherwise so requires. 8.6 Binding Agreement. This Agreement when duly executed by the parties hereto shall constitute a binding contract of purchase and sale and time shall in all respects be of the essence. . 8.7 No Merger. The provisions and covenants of this Agreement shall not merge on the closing of this transaction, nor shall the delivery of transfers or deeds be deemed to satisfy any covenants, agreements, terms or conditions contained in this Agreement. 8 ATTACHMENT# � � TO REPORT# � � C� � �-��' � �--- .of. (' �-- 8.8 Successors. Except as herein expressly provided, this Agreement shall extend to, be binding upon and enure to the benefit of the successors and permiited assigns of the parties hereto. 8.9 Irrevocable. This Agreement has been executed by the Purchaser prior to execution by the Vendor and until executed by the Vendor, this Ag�eement shall constitute an irrevocable offer to purchase by the Purchaser to the Vendor until 4:30 pm on March 20, 2017, after which time, if not executed and delivered by the Vendor such offer shall be null and void. 8.10 Confidentiality. The Purchaser, for itself, its directors, officers, employees, engineers, surveyors, consultants and other advisers, representatives and agents (collectively, °Representatives"), agree that they shall not, except as required by law, disclose to anyone or use for any purpose other than the acquisition and financing of the Real Property any information concerning the Real Property, whether such information was disclosed by.the Vendor or obtained by the Purchaser or its Representatives through their own investigations and inquiries. The Purchaser shall reveal such informaiion onfy to such Representatives (and not to.any other persons) who need to know the same for the purpose of the acquisition. and financing of the Real Property and who are informed of and instructed to comply with the provisions of this Section 8.10. If this Agreement is terminated for any reason whatsoever, and as a precondition to any retum of the Deposit, the Purchaser shall deliver forthwith and cause all of its Representatives to deliver forthwith to the Vendor all documents, records and reports and all other information or data relating to the Real Property, including all copies thereof, which the Purchaser or its Representatives obtained from the Vendor or otherwise obtained in the course of their own investigations, and shall keep and cause its Representatives to keep in strict confidence all such information and all ;discussions between the Vendor and Purchaser with respect to the Real Property and the transaction contemplated by this Agreement. The obligations of the Purchaser under this Section shall survive Closing or any termination of this Agreement. 8.11 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed to be an original and all of which when taken together shall be deemed to constitute one and the same instrument. Counterparts may be executed either in original, electronic pdf or telecopied form and the parties to this Agreement shall adopt any signatures received by email or reaeiving telecopier machine as original signatures of the perties. 8.12 Amendments. No supplement, modification, amendment or waiver of this Agreement shall be binding unless executed in writing by the parties hereto in the same manner as the execution of this Agreement. 8.13 Time. Time shall be of the essence of this Agreement. ATTACHMENT# r TO REPORT# ��C,� p�'" �� % D .of. � � 8.'t4 Schedules. The following schedules are attached hereto and form a part of this Agreement: • Schedule "A" — Legal Description of the Reai Property Schedule °B" — Permitted Encumbrances Schedule °C" — Additional Provisions and Development Proposal [rf any]. In Witness Whereof the Parties Hereto Have Duly Executed This Agreement. Offered by the Purchaser This �(`C� Day Of ,..� 0.�� , 2017. Per: Name: 1"� �v � i�e� Title: �,S,O Per: Name: Title: I/We have authority to bind the Corporation. Accepted by the Vendor this� `f day of /'�,�(�- � , 2017. The Corporation of the City of Pickering David Ryan, May , �t�l� /`�i7.7A�uc � /-{'st� f�Gti-�'e�i '��-F'''-��.) C� C���-�L . � 10 ATTACHMENT# � TO REPORT# dL�C� �i � r�""� j J .of. � �-- Schedule "A" Legal Description of the Real Properiy Firstly, PIN 26383-0802(LT) Part Lot 19 Concession 3, Pickering, Parts 2, 3, 4 and 5 Plan 40R26764; subject to an easement in gross over Parts 6 and 7 Plan 40R28759 as in DR1463116; subject to an easement in gross over Parts 7 and 9 Plan 40R28759 as in DR1463117; City of Pickering Secondly, PIN 26383-1230(LT) Part Lots 19 Concession 3, Pickering; subject to an easement in gross over Part 4 Plan 40R28759 as in DR1463116; City of Pickering �• ATTACHMENT# j TO REPORT# ��� � "-��: � �-- /a .�f 1 �- Schedule "B" Permitted Encumbrances (1) Reservations or exceptions of mines and minerals. (2) Reservations or exceptions in the original grant from the Crown and all statutory exceptions, reservations, limitations, and conditions to title provided for in the Land Tdles Act (Ontario). (3) Liens for taxes, assessments or charges not yet due. (4) Easements, rights-of-way and/or licences now registered (or to be registered hereafter) for the supply and installation of utility services, drainage, telephone services, electricity, fencing, gas, catch basins storm and/or sanitary sewers, water, cable television and/or any other service(s). (5) Municipal or governmental agreements and agreements with publicly regulated utilities, including, without limitation, any development, site plan, subdivision, engineering and/or other municipal agreement (or similar agreements entered into with any governmental authorities) and amendments thereto now registered (or to be registered hereafter) including, without limitation, any agreements and/or documents required as a condition of subdivision and/or site plan approval. (6) Utility Agreements. (7) Duffin Heights Developers Group Cost Sharing Agreement, as amended from time to time. (8) Instrument No. C094360, being a By-law regarding subdivision control. (9) Instrument No. DR429851, being Airport Zoning Regulations, as amended from time to time. (10) Instrument No. DR900023, being a Region of Durham Servicing Agreement. (11) Instrument No. DR1463116, being an easement in favour of the Region of Durham for constructing, operating and maintaining a sanitary sewer. (12) lnstrument No. DR1463117, being an easement in favour of the Region of Durham for constructing, operating and maintaining a watermain. ATTACHMENT# � Schedule "C" Additional Provisions and Development Proposal Due Dilieence Condition & Inspection Period �� 1. "Inspection Period" means the period of thirty days (30) days following the Acceptance Date TO REPORT# ��..� �%�.,� �� o¢. / �- 2. After acceptance of this Agreement, the Purchaser, its planners, engineers, surveyors or ' other agents, shall be allowed to enter the Property from time to time for the purpose of obtaining data, conducting soil tests environmental testing, surveying, and any other purpose required for investigation of the status of the Property. All inquiries, investigations or inspections shall be carried out at the Purchaser's sole cost, risk and expense. The Purchaser shall indemnify the Vendor from any damage caused by its entry and activities on the Property and shall restore the Property to their original condition after entry. 3. The Vendor hereby consents to the release to the Purchaser, its servants, agents or solicitors, of information pertaining to the Property from any municipal, provincial. or other governmental or regulatory authority which may be required by the Purchaser or its agents in connection with investigations to be conducted by the Purchaser or its solicitors hereunder, and the conducting of such inspections that may be required by any such municipal, provincial or other govemmental or regulatory authority in connection therewith. The Vendor will provide within two (2) Business Days of the Acceptance Date, executed authorizations of the Vendor that may be used by the Purchaser in connection with the foregoing inquiries. 4. The Purcliaser may at its option terminate this Agreement within the Inspection Period, if it is not satisfied, in its sole and absolute discretion, with the state of the Property, the . development potential, or any other matter with respect to its investigation of the . Property (which right of termination is herein called the "Due Diligence Condition"). The said termination is to be in writing delivered to the Vendor and upon such termination being exercised, this Agreement shall be null and void and the Purchaser shall be entitled to the retum of its deposits in full together with accrued interest and neither party shall have any further obligations to each other hereunder. The parties acknowledge that notwithstanding that the satisfaction of the conditions in this paragraph are within the sole, absolute and unfettered discretion of the Purchaser that this Agreement is binding in accordance with its terms. If the Purchaser does not waive this right in writing during the Inspection Period, then it shall be deemed to have terminated this Agreement. ATTACHMENT# j TO REPORT# �� �� ( �" j � .of. � -� . **PRELIMINARY CONCEPT** , BASED ON ESTIMATED BOUNDARIES f4.3Ha. Gross t3.5Ha. NET of LOCA� ROADS 292m E 8 m n SfREEf iOWNS ii il � 15u �S.Sm f� �n � E 354m 49 __i_ * SfREEf TOWNS E F 8 Bu OS.5m � �, -�- � E 354m � "� p --� m m SiREE7 TOWNS --�-' N � � � g � Bu �S.Sm �4.Bm = � 'e w asm '�° � � o m xsa„ � --�-�- ,� * sra�r rowns '_ 3 _ � Bu OS.Sm _�E�_ g E tsam * 6 N `° srrt�r rowNs ---Cr- �Sm * au assm tza.em B.Sm f55m � ��� SfFtEEf TOWNS E 9u OS.Sm � E � Porketta 3U.154Ha. 355m * W a � SfREEf lOWNS E � �� o � 9u OS.Sm � t24.8m e.5m E - t&5m OO v� � REPR LANE TOWNS _� �u'' � 17u 04.5m 6.Om REAR LANE �.C±-- 4 E tBSm � REAR UNE NWNS 'N 17u 94.Sm VALLEY FARM ROAD EXTENSION 26m 65 UNITS — STREET TOWNS 57 UNITS — REAR LANE TOWNS � 85 UNITS — STACKED TOWNS 207 UNITS — TOTAL SURFACE PARKING VISTOR PARKING = 0.25/UNIT =52 SPACES � 17 SPACES FOR 5th UNIT STACKED TOWN Q 69 SPACES REQUIRED O 70 SPACES PROVIDED � � U � � m Stoddart, Katherine ATTACHMENT# l TO REPORT# L-��( �`I� j� From: Bigioni, Paul Sent: Friday, May 5, 2017 4:01 PM To: Morris Sosnovitch Cc: Christian Lamanna (christian@madisongroup.ca); Prevedel, Tony Subject: RE: Madison communities p/f Pickering Brock Street Morris, The amendment to section 2.5 of the Agreement of Purchase and Sale set out in your email below is agreed to by the City. Kindly forward your client's waiver of condition. Thank you. Paul Bigioni Direcfor, Corporate Services 8� City Solicitor � Corporate Services Department 905.420.4660 ext. 2048 � 1.866.683.2760 pbiqioni(a�pickerinq.ca � � A� Your City. Right Now. pickerinq.ca PICKERIN� � o�v������ From: Morris Sosnovitch [mailto:msosno@businesslawyers.comJ Sent: Friday, May 5, 2017 3:35 PM To: Bigioni, Paul <pbigioni@pickering.ca> Cc: Christian Lamanna (christian@madisongroup.ca) <christian@madisongroup.ca> Subject: Madison communities p/f Pickering Brock Street Dear Paul We wish to confirm the agreement between the City and the Purchaser to amend clause 2.5 of the Agreement of Purchase and Sale to read as follows; 2.5 Cost Sharing Agreement. The Vendor and the Purchaser acknowledge that the Vendor has paid for certain servicing and land costs related to the Real Property, as required pursuant to the CSA which as of May 5, 2017 are $443,086. There will be no adjustment for the amount of servicing/land costs paid by the Vendor prior to the Closing Date and allocable to the Real Property and the benefit of the same shall be included in the Purchase Price. On Closing, the Vendor and the Purchaser shall enter into an agreement, on terms satisfactory to the Vendor acting reasonably, whereby the Purchaser agrees to: (i) execute the CSA and any subsequent amendments thereto as a Participating Owner (as defined in the CSA), (ii) assume all obligations related to the Real Property under the CSA and (iii) release and indemnify the Vendor from all obligations arising under the CSA with respect to the Real Property. All other terms of the Agreement to remain the same and time to continue of the essence. Please confirm the agreement of the Vendor by return email. Morris Sosnovitch --" �^ '� Direct: 416368.6444 Main: 416368.0600 F�: 416.368.6068 Email: msosno e,businesslawyers.com Website: www.businesslawyers.com �P eAaaisr�as ar�Q so��c�ro�s 1 Toronto Street, Suite 910, PO Box 28, Toronto; ON MSC 2V6 ATTACHMENT# � /(r, .of. _TO REPORT# �� (� ��- � `�- l �- fX7#tRfl(t6tTE �t��AERf,E:�iL EhiPLt3YME�t1 fIWFWCIMG FRR1h&GlitSlT�3G EEASth9is` LtTiC�A71�N . REAL €BTAFE This email may contain confidential or privileged information and is only to be used by the intended recipient. If you receive this in error, please contact the sender and delete this email from your system. ATTACHMENT# 1 TO REPORT# � ��--��- 1 �--.of. ( �— WAIVER OF CONDITION RE: The Corporation of the City�of Pickering (the "Vendor"} sale to Madison Communities Limited (the "Purchaser"} of the property described in PINs 26383-0802 (L'1� and 26383- 1230 (LT} (hereinafter collectiveIy calted the "Property") pursuant to an agreetttent of purc6ase and sale dated March 3, 2017 (hereinafter called the "A,PS") The Purchaser hereby waives the Due DiIigence Condition as se# out in Schedule "C" of the APS between the Vendor and Purchaser dated March 3, 2Q17. Dated at Toronto, this�' day of May, 2017. MADISON Per: Name: Migue Sin; Titte: A.S.O. 1 have authority to bind the MBS:00579967-I - 20170336