May 11, 1998
To:Budget Committee
From:City Clerk
Subject:Property Acquisition for Parkland - Canada Lands Company
Ward 13 - Scarborough Bluffs
Recommendations:
The Scarborough Community Council, on May 6, 1998, directed that the Budget Committee be advised that
Scarborough Community Council concurs in the recommendation of the Corporate Services Committee that the
following report be adopted:
(February 12, 1998) from the Commissioner of Corporate Services, recommending that:
(1)the City purchase the lands shown on the attached sketch being Part Lot 28, Concession B, City of
Scarborough, at the price of $332,375.00, based upon an area of 1.076 hectares, with the final price to be adjusted
upon completion of a survey plan, and the purchase to be conditional upon the soil conditions being found
satisfactory;
(2)the City enter into a license agreement with Praxair Limited, permitting the existing pipeline crossing the
property to remain for a period of ten years; and
(3)the appropriate City Officials be authorized and directed to take the necessary action to give effect thereto.
Background:
The Scarborough Community Council had before it a communication (April 6, 1998) from the City Clerk, advising that the
Budget Committee, on April 3, 1998, referred to the Scarborough Community Council, the letter of transmittal (March 30,
1998) from the Corporate Services Committee, wherein the Committee recommended the adoption of the foregoing report
(February 12, 1998) from the Commissioner of Corporate Services.
Interim Contact,
Scarborough Community Council.
Margaret O=Neil
Clause 20(o) of Report No. 4 of the Scarborough Community Council
Copy to:M. Rodrigues, Commissioner of Corporate Services
R.P. Mayr, Director of Real Estate, Scarborough
April 6, 1998
To:Scarborough Community Council
From:City Clerk
Subject:Property Acquisition for Parkland - Canada Lands Company - Ward 13 - Scarborough Bluffs
Recommendation:
The Budget Committee on April 3, 1998 referred the letter of transmittal (March 30, 1998) from the Corporate
Services Committee, regarding the acquisition of property for parkland adjacent to Natal Park, to the Scarborough
Community Council.
Background:
The Budget Committee on April 3, 1998, had before it a letter of transmittal (March 30, 1998) from the the Corporate
Services Committee wherein the Committee on March 30, 1998, recommended to the Budget Committee the adoption of
the report (February 12, 1998) from the Commissioner of Corporate Services.
City Clerk
Barbara Liddiard/rc//cp
Item 45
Attachment
c:Chief Administrative Officer
Chief Financial Officer and Treasurer
Commissioner of Corporate Services
(Letter of Transmittal dated March 30, 1998 addressed to the
Budget Committee from the
Corporate Services Committee)
Recommendation:
The Corporate Services Committee on March 30, 1998, recommended to the Budget Committee the adoption of the report
(February 12, 1998) from the Commissioner of Corporate Services.
Background:
The Corporate Services Committee on March 30, 1998, had before it a report (February 12, 1998) from the Commissioner
of Corporate Services responding to a former City of Scarborough Council directive to purchase additional parkland
adjacent to Natal Park; advising that this report summarizes the negotiations undertaken and the resulting agreement with
Canada Lands Corporation; that the land acquisition is charged to Capital Account No. 67031-00000-00000-481 and
funded from the Parks Reserved Fund No. 70490; and recommending that:
(1)the City purchase the lands shown on the attached sketch being Part Lot 28, Concession B, City of Scarborough, at the
price of $332,375, based upon an area of 1.076 ha, with the final price to be adjusted upon completion of a survey plan, and
the purchase to be conditional upon the soil conditions being found satisfactory;
(2)the City enter into a license agreement with Praxair Limited, permitting the existing pipeline crossing the property to
remain for a period of ten years; and
(3)the appropriate City Officials be authorized and directed to take the necessary action to give effect thereto.
(Report dated February 12, 1998, addressed to the
Corporate Services Committee from the
Commissioner of Corporate Services.)
Purpose:In response to a former City of Scarborough Council directive to purchase additional parkland adjacent to Natal
Park this report summarizes the negotiations undertaken and the resulting agreement with Canada Lands Corporation.
Funding:The land acquisition to be charged to Capital Account #67031-00000-00000-481 and funded from the Parks
(5%) Reserved Fund #70490.
Recommendations:
It is recommended that:
(1)The City purchase the lands shown on the attached sketch being Part Lot 28, Concession B, City of Scarborough at the
price of $332,375, based upon an area of 1.076 ha, with the final price to be adjusted upon completion of a survey plan, and
the purchase to be conditional upon the soil conditions being found satisfactory;
(2)The City enter into a license agreement with Praxair Limited, permitting the existing pipeline crossing the property to
remain for a period of ten years;
(3)That appropriate City Officials be authorized and directed to take the necessary action to give effect thereto.
Background:
In 1991, City of Scarborough Council authorized negotiations with C.N. Rail to purchase approximately 1.21 ha (3 acres)
of land on the south side of the C.N. line between Midland Avenue and Kennedy Road, immediately adjacent to Natal Park.
The negotiations were stalled for a number of years as the land was being conveyed by C.N. Rail to the Canada Lands
Company. The property is a 70m X 200m (1.076 ha, 2.659 acre) parcel which was part of a much larger holding
expropriated by C.N. in the 1920's for track expansion and a rail yard. The plans for a yard were later abandoned and the
surplus was transferred to the Canada Lands Company in the early 1990's. C.L.C. has since been marketing its surplus
properties in the area. The subject is the last parcel in the immediate vicinity.
Natal Park is a 2.99 ha (7.4 acre) local park south of St. Clair Avenue, between Kennedy Road and Midland Avenue. The
subject property was identified as an appropriate addition to Natal Park in 1991, during development of the park.
The Official Plan designation of the property is Neighbourhood Park. In anticipation of a conveyance to the City it was
redesignated in 1997, as part of Official Plan and rezoning applications involving other lands owned by C.L.C. The current
zoning is Single and Two Family Residential.
Comments:
The property is subject to a license agreement between C.L.C. and Praxair which permits two pipelines owned by Praxair
Limited to cross the property. The pipelines, which carry hydrogen and nitrogen, extend approximately 4 kilometres from a
glass manufacturing operation on Warden Avenue to the Praxair facility on Brimley Road. They are located close to the
southern limit of the property, and then cross the property and proceed under the C.N. line. For most of their length the
pipelines are located within various municipal road allowances. They have been permitted to remain there by an agreement
with the municipality since their construction in the early 1960's. Praxair has agreed to add the subject property to the
existing agreement.
A tentative agreement has been reached with Canada Lands Company with respect to the purchase of the property at a price
of $332,375, which is equivalent to $308,882 per ha ($125,000 per acre).
Canada Lands Company is insisting that the City indemnify it with respect to the discovery of any contamination in the
future. Under Ontario law, previous owners can be made to pay damages if found to have contaminated the property.
C.L.C. indicates that the obtaining an indemnification from purchasers is an essential part of their mandate to dispose of
surplus property formerly owned by C.N., and that they have been successful in receiving indemnifications from other
purchasers. Had the property been used for rail purposes, staff would not recommend that such an indemnification be given.
However, there is no indication that tracks were ever installed on any part of the property, nor that it has ever been used for
any purpose other than agriculture. Nevertheless, to protect the City=s interests, staff have insisted that the purchase is to be
conditional upon the City satisfying itself as to the condition of the soils on the property, to ensure that no contamination is
present. The estimated cost of the soil testing is $25,000.
Conclusion:
Purchase of this property will extend Natal Park to its logical boundary at the railway, and will provide needed parkland in
an area which is deficient.. The purchase price is indicative of the market value of the property.
Contact Name:
R. Mayr, AACI, Director of Real Estate, Telephone No. (416) 396-4930, Fax No. (416) 396-4241,
