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HomeMy WebLinkAboutOES 17-03 031. REPORT TO THE FINANCE & OPERATIONS COMMITTEE Report Number: OES 17-03 Date: April 11, 2002 From: Stephen Reynolds Division Head, Culture & Recreation Subject: Pickering Sports Medicine & Wellness Centre - Amending Lease Agreement File: C03000 Recommendation: 1. That Report to Council OES 17-03 regarding the Pickering Sports Medicine & Wellness Centre Lease Agreement be received and; that 2. A by-law be enacted to authorize the execution of an Amending Lease Agreement to which the Pickering Sports Medicine & Wellness Centre will be permitted to continue to operate a Wellness Centre and Wellness Spa for a five year term. Executive Summary: At the Finance & Operations Committee Meeting held on Monday, September 23, 2002, Council approved a request to expand the Pickering Sports Medicine & Wellness Centre and develop a Wellness Spa. An Amending Lease Agreement is required to reflect the change in the Pickering Sports Medicine & Wellness Centre operating a Wellness Centre and a Wellness Spa for a five year term. Financial Implications: Revenues 2003 $1,049.00 minimum to $3,000.00 maximum per month 2004 $1,049.00 minimum to $3,000.00 maximum per month 2005 $1,049.00 minimum to $3,000.00 maximum per month 2006 $1,049.00 minimum to $3,000.00 maximum per month 2007 $1,535.00 minimum to $3,000.00 maximum per month $68,772.00 minimum to $180,000.00 maximum over 5 years Report OES 17-03 Date: April 11, 2003 032 Subject: Pickering Sports Medicine & Wellness Spa - Amending Lease Agreement Page 2 Projected annual revenue is based on monthly lease plus an anticipated monthly utilization fee. Background: On Monday, October 18, 2000, Council enacted By-law #5762/00 authorizing the execution of a Licence Agreement with Pickering Sports Medicine & Wellness Centre for the lease of space at the Pickering Recreation Complex for the operation of a Wellness Clinic. At the Finance & Operations Committee Meeting held on Monday, September 23, 2002, Council approved a request for the Pickering Sports Medicine & Wellness Centre to expand and construct a Wellness Spa at the Pickering Recreation Complex. The Pickering Sports Medicine & Wellness Centre is currently operating as a sports medicine out-patient clinic with the services of Physiotherapy, Massage Therapy and visiting Orthopaedic Surgeon. This business is owned and operated by Angela Dye, a Registered Physiotherapist and services are implemented by Health Care Professionals. The Wellness Spa is a new extension of the Pickering Sports Medicine & Wellness Centre. It will provide spa services to include skin care, facials, body wraps, manicures and pedicures to our clients. The construction of the Wellness Spa involves an investment of capital dollars to significantly enhance the area previously known as the Snack Bar, located in the central core area on the second floor. The base monthly rent will not be increased for the next four years to compensate for the cost of capital improvements (approximately $67,000.00). The base monthly rent will be increased in the fifth year for the additional 750 square foot Wellness Spa. Enactment of the draft by-law attached will authorize the execution of an Amending Lease Agreement, as discussed at the September 23, 2002 Committee Meeting, to be prepared in a form acceptable to the Solicitor for the City, in consultation with the appropriate City Departments and existing City practice. Attachments: 1. Draft By-Law Report OES 17-03 Date: April 11, 2003 Page 3 033 Subject: Pickering Sports Medicine & Wellness Spa - Amending Lease Agreement prepa~.r ('ç¡..~"'2.-.:2..." ,,/. , y. . / ~ ---.""r-' . -'- ¡;'/' ,...:- '}"'-' Steph Rey Ids Division ead, Culture & Recreation SRlg Attachments Copy: Chief Administrative Officer Director, Corporate Services & Treasurer City Solicitor Recommended for the consideration of Pickering Citï Cou /?l I' ATTACHMH"T #".._L TO REPORT # O~<; 17- 03 n34 THE CORPORATION OF THE CITY OF PICKERING BY-LAW NO. Being a by-law to authorize the execution of an Amending Lease Agreement with Pickering Sports Medicine & Wellness Centre for the lease of space at the Pickering Recreation Complex for the operation of a Wellness Centre and Wellness Spa. WHEREAS, pursuant to the provisions of paragraph 207.58 and 191 of the Municipal Act, RS.O. 1990, chapter M.45, as amended, the Council of the Corporation of the City of Pickering may pass by-laws for leasing premises owned by the Corporation, NOW THEREFORE THE COUNCIL OF THE CORPORATION OF THE CITY OF PICKERING HEREBY ENACTS AS FOLLOWS: 1. The Mayor and Clerk are hereby authorized to execute an Amending Lease Agreement, in a form acceptable to the Solicitor for the City, between the Corporation of the City of Pickering and the Pickering Sports Medicine & Wellness Centre for the operation of a Wellness Centre and Wellness Spa at the Pickering Recreation Complex. BY-LAW read a first, second and third time and finally passed this 5th day of May, 2003. Wayne Arthurs, Mayor Bruce Taylor, Clerk