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Home My WebLink AboutPD 19-02 104 Ciú¡ o~ REPORT TO COUNCIL FROM: Neil Carroll Director, Planning & Development DATE: April 2, 2002 - Everett Buntsma Director, Operations & Emergency Services REPORT NUMBER: PD 19-02 SUBJECT: City Option To Purchase Lands from Marinwood Holdings South-east of 'Canoe Landing' Condominium Townhouse Development South of Begley Street, Adjacent to Frenchman's Bay City of Pickering RECOMMENDATION: 1. That Council authorize appropriate City of Pickering Staff to proceed with acquisition of the "option lands", legally described as Part of Hillside Drive, Registered Plan 355, Part of By Street, Registered Plan 355, Part of Lots 47, 51, and 52, lots 48, 49, and 50, Registered Plan 355, designated as Parts 7 and 11 on Plan 40R-17911, and comprising approximately 0.4 hectares, as per the Option to Purchase Agreement between the City of Pickering and the Pickering Harbour Company (now Marinwood Holdings), registered as Instrument LT 907950. - ORIGIN: Submission of Development Notice by Marinwood Holdings Limited AUTHORITY: The Option to Purchase Agreement between the City of Pickering and the Pickering Harbour Company. FINANCIAL IMPLICATIONS: The cost to acquire the option lands is $184,000 as per the Option to Purchase Agreement. The Director, Corporate Services & Treasurer has confirmed that the required funds are available from the Parkland Reserve Fund No. 4230. - EXECUTIVE SUMMARY: On April 7, 1999 the City of Pickering entered into an agreement (known as the "Option To Purchase" agreement) with the Pickering Harbour Company respecting a OA-hectare parcel of land (known as the "option lands") located south of the existing "Canoe Landing" condominium project (See Location Map - Attachment #1). Report to Council PD 19-02 Date: April 2, 2002 1 0 5 Subject: Option Lands and Option To Purchase Agreement Page 2 - The agreement provided the City with a ten-year time frame within which an opportunity would exist to acquire the "option lands" at a fixed price of $184,000. The City's opportunity to purchase the "option lands" is activated only upon the owner's (now Marinwood Holdings) submission of a formal "development notice", declaring intent to develop the lands. The notice must also include technical information supporting the viability of servicing the proposed development. The City Clerk received a "development notice" from Marinwood Holdings Limited on February 22, 2002, containing all the required information as per the "Option To Purchase" agreement, and outlining their intent to develop the "option lands" for ten condominium townhouse units (See Applicant's Submitted Plan - Attachment #2). Marinwood Holdings Limited acquired interest in the lands from the Pickering Harbour Company and remain bound by the terms of the agreement signed between the City and the Pickering Harbour Company. Marinwood Holdings Limited is the developer of the existing condominium townhouse project known as "Canoe Landing" abutting the option lands to the north. Based on the date the City Clerk received the development notice, the City of Pickering has until 5:00 pm on June 22, 2002 to provide written notice to Marinwood Holdings Limited exercising its "option to purchase". City staff from the Operations & Emergency Services and the Planning & Development Departments have reviewed the "development notice" and concur that the conceptual development as proposed by Marinwood Holdings Limited appears to be technically feasible. However, considering the strategic location of these lands adjacent to Frenchman's Bay, it is recommended by both Departments that residential development of the lands not be pursued and that the City exercise its option to purchase the lands for public use. These lands will provide a valuable resource to the enhancement of the Waterfront Trail System and to the potential expansion of the Bayshore Tot Lot. It is recommended that Council authorize appropriate City Staff to proceed with acquisition of the "option lands" at the preset price of$184,000. - BACKGROUND: 1.0 History The Pickering Harbour Company submitted a site plan application to the City of Pickering in 1995, proposing to develop a 160 unit complex comprised of 120 apartments and 40 townhouse units on lands which are now occupied by a 60 unit townhouse development known as "Canoe Landing". As part of the original site plan application, the Pickering Harbour Company requested that the City stop up and sell to the Harbour Company a portion of Begley Street. The Legal Department forwarded a Report to Council (Report No. L 39/97) on March 21, 1997 outlining the details of the negotiations and provided a draft by-law to stop up and sell portions of Begley Street and another by-law authorizing the Mayor and City Clerk to execute an "option agreement" respecting certain lands adjacent to Frenchman's Bay. Council endorsed the recommendation and approved the related by-laws. - The creation of the "option agreement" was a result of the negotiations with the Pickering Harbour Company and was based on concerns from members of the community with respect to the potential development of the "option lands" as the zoning of lands permits residential development. Residents indicated their preference that the "option lands" be used for open space\park purposes and that their present views of Frenchman's Bay remain unobstructed. 10,6 Report to Council PD 19-02 Date: April 2, 2002 Subject: Option Lands and Option To Purchase Agreement Page 3 1.1 Option to Purchase Agreement - On April 7, 1999 the City of Pickering entered into an "Option To Purchase" agreement with the Pickering Harbour Company respecting a O.4-hectare parcel of land located south of the existing "Canoe Landing" condominium project (south-west corner of Begley and Bayly Streets). The agreement provided the City with a ten-year time frame within which an opportunity would exist to acquire the "option lands" at a fixed price of $184,000. The City's opportunity to purchase the "option lands" is activated only upon the owner's (now Marinwood Holdings) submission of a formal "development notice", declaring intent to develop the lands. The notice must also include technical information supporting the viability of servicing the proposed development. The City Clerk received the "development notice" on February 22, 2002, from Marinwood Holdings Limited, containing all the required information as per the "Option To Purchase" agreement, and outlining their intent to develop the "option lands" for ten condominium townhouse units (See attachment #2 - Applicant's submitted' plan). The agreement stipulates that the City of Pickering has up to 5 :00 pm on the 120th day following receipt of the development notice to decide whether or not to purchase the "option lands" for the prescribed amount noted above. Based on the date the City Clerk received the development notice, the City of Pickering has until 5:00 pm on June 22, 2002 to provide written notice ("option notice") to Marinwood Holdings Limited exercising its "option to purchase" . - Should the City not exercise its "option to purchase" within the 120 day period, the agreement generally becomes null and void. In the event the City does not exercise its purchase option within 120 days of receipt of the development notice, and in the event the owner has not commenced construction within two years of delivery of the development notice, the City's purchase option will be reinstated for the unexpired period of the option term. It is our understanding that Marinwood Holding Limited fully intends to develop the option lands, should the City not exercise its option to purchase. In addition, the agreement contains specific terms and conditions respecting the sale of the option lands such as, but not limited to, time limits for completing the sale, ensuring that the City receives the option lands with clear title, adjustments to purchase price on account of realty taxes and local improvement rates, and that the option lands are sold clear of all foundations, buildings and structures of any nature or kind. 1.2 Acquisition of "Option Lands" - The City's Operations & Emergency Services and Planning & Development Departments both recommend that Council exercise its option and purchase the lands. The lands are strategically situated adjacent to Frenchman's Bay such that they will provide a valuable resource to the enhancement of the Waterfront Trail System and to the potential expansion of the Bayshore Tot Lot. Portions of the land are anticipated to accommodate a section of the waterfront trail connecting to Bayly Street through Begley Street. Other lands may be added to the Bayshore Tot Lot which is accessed from both Albacore Manor and Tanzer Court. Conceptual plans and designs for the park expansion would occur through future budgets. Purchase of these lands for Park/Open Space purposes assists in achieving an objective of the Pickering Official Plan to maintain a healthy ecological system. Lands used for open space purposes not only maintain ecological health, but also promote physical and mental health of City residents. The transportation policies of the Official Plan state that City Council shall endeavour to pursue and maintain an interconnected system of trails and bikeways within the urban and rural areas including connections to the Lake Ontario Waterfront Trail. Report to Council PD 19-02 Date: April 2, 2002 107 Subject: Option Lands and Option To Purchase Agreement Page 4 1.3 Funds for Acquisition - The City's Director, Corporate Services & Treasurer has confirmed that the funds required to acquire the "option lands" are available in the Parkland Acquisition Account (account number 4230). No land appraisal of the option lands is required as the value of the land has been established within the "Option to Purchase Agreement". A TT ACHMENTS: 1. 2. Location Map Applicant's Submitted Plan Prepared By: Approved 1 Endorsed By: -- Everett Bunt a, .D., C.M.M. Director, Operations & Emergency Services TBljf Attachments Copy: Chief Administrative Officer Recommended for the consideration of Pickering City Council ;I - ,108 A TT ACHMEIIT ~ 10, . REPORT' PO I , ' ~/ ~CAJV,)E LAN! ING \j'J ~ '< '(\\G'(\ AO'\ 'J 0 0 0.. 0:: W > ::; ) J RADOM ~ - SA YSHORE STREET TOT 2.0T ~ -- - 0 <f./ 0 0:: I LU -lIl 0- PARK 0- 0.. Ct:- W > :J FRENCHMAN's -- BAY City of Pickering PROPERTY DESCRIPTION PARTS 7 AND 11, 40R-17911 OWNER MARINWOOD HOLDINGS LTD. ROAD Planning & Development Department APPLICATION No. FOR DEPARTMENT USE ONLY DATE APR. 8, 2002 SCALE 1 :5000 DRAWN BY RC CHECKED BY TB l' PN-3 PA- 0'") C ...-! \ \~ \ I~ .L01 .LO.L 3HOHSA'118 -- ---- ---- ---'- JUS >0 "DOn LSJM I c ( ( ~~ ~f5tH~ ~2""" ,,0:(5 li:õE",«ì ~¡g~li! ~~!;i ~c;¡~ <.>f'" ~9~ >.~~ .,<::>;:;: ß~~ ~,,15 §~~ ~r ",CI.: æ ~ ~