September 30, 1998

To:Toronto Community Council

From:Andrew Koropeski, Director, Transportation Services District 1, Works and Emergency Services

Subject:Proposed closing of portions of Gould Street and Victoria Street, and the public lane O'Keefe Lane, east of Yonge Street, extending between Gould Street and Dundas Street East - Yonge Dundas Redevelopment Project. (Downtown)

Purpose:

To authorize the stopping-up and closing of portions of Gould Street and Victoria Street, and the public lane O'Keefe Lane, east of Yonge Street extending between Gould Street and Dundas Street East, to accommodate the construction of the building on Parcel A of the Yonge Dundas Redevelopment Project.

Funding Sources, Financial Implications and Impact Statement:

There are no financial implications with respect to the stopping-up and closing of the subject portions of Gould Street and Victoria Street or the public lane. However, the City will realize revenues from the sale of the south portion of O'Keefe Lane and the fees for the granting of encroachment agreements over the north portion of O'Keefe Lane and the subject portions of Victoria and Gould Streets, pursuant to the financial terms established by Council's previous approval, at its meeting of July 8, 9 and 10, 1998, of Clause 26 in Report No. 10 of the Strategic Policies and Priorities Committee.

Recommendations:

Subject to the conditions set out in Clause 26, as amended, in Report No. 10 of the Strategic Policies and Priorities Committee approved by City Council at its meeting of July 8, 9 and 10, 1998 and the acquisition by the City of Premises Nos. 311 to 327 (inclusive) Yonge Street:

1. That the portions of Gould and Victoria Streets, shown in heavy outline on the attached Plan SYE2892, and O'Keefe Lane, shown as PARTS 1, 2 and 3 on the attached Plan SYE2852-1, be stopped-up and closed;

2.That access be retained by the City over O'Keefe Lane, for the operation, use, inspection, repair, maintenance, reconstruction or alteration of the City's underground facilities;

3. That the public hearing required to be held pursuant to the terms of the Municipal Act be held by the Corporate Services Committee; and

4. That the appropriate City Officials be authorized to take the necessary action to give effect to the foregoing recommendations, including the introduction in Council of any Bills that might be required, and provide notice to the public.

Background:

The former Toronto City Council, at its special meeting of May 6, 1997, in considering Minute S16.2, directed, among other things, the Commissioner of City Works Services to initiate the street and lane closing process as may be required to undertake the Yonge Dundas Redevelopment Project. The closing of portions of Gould Street and Victoria Street, shown in heavy outline on the attached Plan SYE2892, and the closing of O'Keefe Lane, shown as PARTS 1, 2 and 3 on the attached Plan SYE2852-1, are necessary to accommodate the new structure as well as the building support columns which are required immediately adjacent to the existing Ryerson parking garage to support the proposed cinema complex.

City Council, at its meeting of July 8, 9 and 10, 1998, adopted, as amended, Clause 26 in Report No. 10 of the Strategic Policies and Priorities Committee, and in doing so authorized the Yonge Dundas Redevelopment Project to proceed.

A separate report has been submitted to the Corporate Services Committee by the Commissioner of Corporate Services to authorize the sale of the south portion of O'Keefe Lane and the granting of encroachments over the north portion of O'Keefe Lane and the subject portions of Gould Street and Victoria Street to PenEquity Management Corporation.

Comments:

The City of Toronto has entered into an agreement with PenEquity Management Corporation to develop a portion of the block bounded by Yonge Street, Gould Street, Victoria Street and Dundas Street East, known as Parcel "A". This block also includes the portions of Gould Street and Victoria Street to be closed, as shown in heavy outline on the attached Plan SYE2892, and the portion of O'Keefe Lane to be closed, as shown as PARTS 1, 2 and 3 on the attached Plan SYE2852-1.

The development of Parcel "A" involves the acquisition by the City of Premises Nos. 311 to 327 Yonge Street, and the air rights over the Ryerson parking garage which is situated to the east of O'Keefe Lane. The Yonge Street properties, together with the air rights over the Ryerson parking garage, will be developed as an urban entertainment centre containing retail, restaurant and entertainment uses including a cinema "megaplex" with up to 30 screens.

Works and Emergency Services staff have assessed the proposal to close the subject portions of Gould Street, Victoria Street and O'Keefe Lane and consider the closings technically feasible. Of course, the closing is contingent upon the City obtaining free and clear title to the abutting lands, identified as Premises Nos. 311 to 327 Yonge Street.

The City of Toronto currently maintains the following municipal services within the portion of O'Keefe Lane to be closed:

- 425 mm storm sewer

- 5 catch basins

- 2 sewer maintenance structures

The storm sewer must be maintained to serve the properties north of the proposed development, although staff are currently assessing the feasibility of reconstructing the northern portion of the sewer, thereby allowing the southern section of the sewer within the proposed building complex to be abandoned. With respect to Gould and Victoria Streets, easements must be granted to Bell Canada, Toronto Hydro and Rogers Cable to maintain their respective utilities within these lands.

The City Solicitor advises that a new procedure to deal with the closing and sale of public highway lands is being developed. As the new procedure, including a formal delegation by Council to one of the Standing Committees to hold the requisite public hearing, has not yet been established, it is recommended that the Corporate Services Committee hold the public meeting in this matter.

Notice of the proposed closing of Gould Street and Victoria Street has been given pursuant to the screening process set out in Schedule 'B' of the Class Environment Assessment for Municipal Road Projects under the Environmental Assessment Act. The proposed closing of O'Keefe Lane is pre-approved in accordance with Schedule "A" of the Class Environmental Assessment for Municipal Road Projects.

Contact Name and Telephone Number:

John Mende, Manager

Development and Transportation

392-7713

Director

JM/sah

Attachments

(p:\1998\ug\cws\ipt\to980191.ipt) - sah