March 9, 1999

To:Corporate Services Committee

From:Commissioner of Corporate Services

Subject:205 Yonge Street - Proposed Encroachment Agreement and

Temporary Construction Easement (Ward 24- Downtown)

Purpose:

To obtain authority for the City to enter into an encroachment agreement with 1157123 Ontario Ltd. and a temporary construction easement with 1157123 Ontario Ltd. and Golden Palace Construction Inc.

Financial Implications:

The standard one-time fee of $350.00 will be generated.

Recommendations:

It is recommended that:

(1)authority be granted to enter into a temporary construction agreement with 1157123 Ontario Ltd. and Golden Palace Construction Inc.

(2)authority be granted to enter into an encroachment agreement with 1157123 Ontario Ltd. subject to the terms and conditions as set out in the body of this report;

(3)that the City Solicitor be authorized to prepare the necessary documentation; and

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

Background:

1157123 Ontario Ltd. owns the property at 207 Yonge Street and will be constructing a 13-storey residential building on the site. During construction it is possible the crane used by the owner's constructors, Golden Palace Construction Inc., will infringe on the City's air space above its building at 205 Yonge Street. Accordingly, it would be in order to enter into a temporary construction easement with 1157123 Ontario Ltd. and Golden Gate during the construction phase.

Once the building is constructed, there will be a small gap of approximately two to four inches between the southern wall of the new building and the northern wall of the City-owned building. 1157123 Ontario Limited is requesting to enter into an encroachment agreement with the City to anchor a metal flashing to the City's building.

Comments:

The temporary construction agreement is necessary to facilitate construction at 207 Yonge Street and to provide the City with third party general liability insurance. I am agreeable to the temporary construction agreement subject to the following conditions:

Golden Gate Construction will:

a)provide general indemnity;

b)provide comprehensive general liability, all risks insurance in the amount of $10,000,000.00 per occurrence , and other insurance satisfactory to Chief Financial Officer and Treasurer;

c)not interfere with the City's or its agents use or other business that is carried out at 205 Yonge Street; and

d)obtain all licenses and permits necessary.

The term will be from April 19, 1999 to March 18, 2000.

An encroachment agreement would permit the installation of the proposed metal flashing which would be anchored to the northern wall of 205 Yonge Street and the southern wall of the new building. It would prevent water and dirt from accumulating between the walls and is necessary in order for the owner to secure a full building permit. Heritage Toronto has advised that it has no objection to the flashing being anchored on the City-owned building. I have no objection to the encroachment provided:

1157123 Ontario Ltd. agrees to:

a)payment of a one-time administration fee for $350.00;

b)provide a general indemnity;

c)provide a comprehensive general liability, all risks insurance in the amount of $5,000,000.00 per occurrence, and other insurance satisfactory to Chief Financial Officer and Treasurer;

d)obtain all licenses and permits necessary;

e)maintain the encroachment in a state of good order, condition and repair, to the full satisfaction of the Commissioner of Corporate Services;

f)remove the structure at its own expense upon receiving reasonable notice from the City; and

g)restore the lands at its own expense, affected by the removal to its former condition.

the term of the encroachment shall be for the life of the City-owned building.

any other terms and conditions the City Solicitor may deem necessary.

Conclusion:

I am of the opinion that the requests for a temporary construction easement and an encroachment are reasonable.

Contact Name:

Vinette Brown, Property Manager, Telephone No. 392-7138, Fax No.392-1880, E-mail vbrown@toronto.ca, (cs99046)

Margaret Rodrigues

Commissioner of Corporate Services