Sale of Surplus Spadina Project Property at

48 Heathdale Road - (Ward 28 - York Eglinton)

The Corporate Services Committee recommends the adoption of the following report (October21, 1998) from the Commissioner of Corporate Services:

Purpose:

To authorize the disposal of the property municipally known as 48 Heathdale Road.

Funding Sources, Financial Implications and Impact Statement:

Revenue of $465,000.00, less closing costs and the usual adjustments, subject to the revenue sharing agreement with the Province pursuant to Clause No. 1 of Report No. 25 of the former Metropolitan Corporate Administration Committee, approved on December 4, 1996.

Recommendations:

It is recommended, subject to Provincial concurrence that:

(1)the Commissioner of Corporate Services be authorized to accept this offer in the amount of $465,000.00 as detailed herein;

(2)Council, pursuant to Clause No. 14 of Report No. 27 of the former Metropolitan Management Committee adopted on September 28, 1994, waive the minimum required deposit of 10 per cent. of the purchase price;

(3)authority be granted to direct a portion of the sale proceeds on closing to fund the outstanding balance of Costing Unit No. CP300J56192;

(4)the City Solicitor be authorized and directed to take the appropriate action, in conjunction with Province of Ontario Officials and/or agents, to complete the transaction on behalf of the Corporation and he be further authorized to amend the closing date to such earlier or later date as he considers reasonable; and

(5)the appropriate City officials be authorized and directed to take the necessary action to give effect thereto.

Council Reference/Background/History:

The Province of Ontario is the owner of 48 Heathdale Road, subject to a 99 year lease in favour of the City of Toronto. By its adoption of Clause No. 1 of Report No. 3 of The Corporate Administration Committee on February 12 and 13, 1997, Metropolitan Council declared the property surplus pursuant to By-law No. 56-95 and authorized its disposal. The procedures with respect to By-law No. 56-95 have been complied with, a utility canvass has been completed and no requirements have been identified.

By its adoption of Clause No. 4 of Report No. 9 of The Corporate Services Committee on July 8, 9, and 10, 1998, Toronto Council authorized that properties listed in Schedule "A", including the subject property, be sold to Schedule "A" purchasers at market value determined as of the date of expression of their interest and should be further subject to an option to purchase at that purchase price (unadjusted).

Comments and/or Discussion and/or Justification:

Pursuant to the February 12 and 13, 1997 authority, negotiations were conducted with the tenant, Dr. John Fenn, and the following offer was received:

Property Address:48 Heathdale Road.

Legal Description:Part of Parcel 1-2, Section MX-6, being Lot 169, Plan M-367 designated as Lot 4, Plan MX-75, City of Toronto (formerly City of York).

Approximate Lot Size:15.24 metres (50 feet) fronting onto Heathdale Road,

40.56 metres (133.08 feet) depth.

Location:North side of Heathdale Road.

Improvements:Detached, 2-storey brick dwelling.

Occupancy Status:Tenanted.

Date Interest Expressed:February 12, 1997.

Recommended Sale Price:$465,000.00.

Deposit:$23,250.00.

Purchaser:Dr. John Fenn.

Closing Date:January 13, 1998.

Terms:Cash on closing, subject to the usual adjustments and registration of an option to purchase.

It is noted this is a sale to the existing tenant and is based on a market value appraisal as of the date the tenant expressed written interest. By the adoption of Clause No. 5 of Report No. 9 of The Corporate Services Committee, Council at the meeting held on July 29, 30 and 31, 1998, directed that comparable sales data be provided in future reports of property sales. Appendix "A" identifies three comparable properties located in the vicinity that sold at the time of the effective date of the appraisal.

Conclusion:

Completion of this transaction detailed above is considered fair and reasonable and reflective of market value as of February 12, 1997.

Contact Name:

Mr. R. Mayr, AACI, Phone No.: (416) 396-4930, Fax No.: (416) 396-4241, E-Mail Address: mayr@city.scarborough.on.ca.

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Appendix "A"

48 Heathdale Road - Comparable Sales

The following three addresses represent comparable sales of properties as of the effective date that are quite similar to the residence which forms the subject matter of this report. These three properties consist of 2-storey brick dwellings on ravine lots located on the north side of Heathdale Road.

Approximate

AddressLot SizeSale PriceDate of Sale

8 Heathdale Road50 x 144$525,000.00March 6, 1997

12 Heathdale Road 50 x 153$525,000.00December 17, 1996

56 Heathdale Road56.25 x 130$470,000.00November 8, 1996

(A copy of the map, attached to the foregoing report, was forwarded to all Members of Council with the November 9, 1998, agenda of the Corporate Services Committee and a copy thereof is also on file in the office of the City Clerk.)