Sale of Surplus Land at 3001 McCowan Road
South of McNicoll Avenue, Former City of Scarborough
Ward 18 - Scarborough Malvern
The Scarborough Community Council recommends:
(1)that the recommendation contained in the following report be struck out;
(2)that the land located at 3001 McCowan Road, described as Part of Lot 22, Concession 4, be removed from the
surplus pool, due to the fact that servicing of this land will cost in excess of $800,000.00, as estimated by the Works
and Emergency Services Department, and its development would therefore be uneconomical; and
(3)that this land be designated as "Parkland".
The Scarborough Community Council submits the following report (June 2, 1999) from the Commissioner of
Corporate Services:
Purpose:
To authorize the disposal of the City surplus property known as 3001 McCowan Road.
Funding:
Revenue in the amount of $150,100.00, less broker's commission of 4 per cent, plus GST, and any expenses incurred by
the City incidental to the closing of the transaction will be received.
Recommendations:
It is recommended that:
(1)the Commissioner of Corporate Services or the Executive Director of Facilities and Real Estate be authorized to
accept the offer from Stephen Yeung in the amount of $150,100.00 to purchase the vacant land located at 3001 McCowan
Road, described as Part of Lot 22, Concession 4, City of Toronto (Formerly City of Scarborough), designated as Part 2 on
Plan 64R-11539;
(2)the City Solicitor be authorized to complete this transaction according to the terms and conditions of the Agreement of
Purchase and Sale; and
(3)the appropriate City officials be authorized and directed to take the necessary action to give effect thereto.
History:
The subject property was acquired through a negotiated acquisition as part of a larger parcel for storm water management
purposes and is no longer required for that purpose. The former City of Scarborough Council declared 3001 McCowan
Road, measuring approximately 132 feet by 135 feet, as surplus and directed staff to dispose of same (Report No. 8, Clause
8 of the Administrative Committee adopted by the Council of the former City of Scarborough on May 5, 1996).
Originally, attempts to dispose of the property were unsuccessful, partly because of the zoning designation "Agricultural
Uses" and partly because of the lack of municipal services; sanitary sewers are available some 800 feet to the south at the
intersection of McCowan Road and Big Red Avenue. The Official Plan designation of the property is "Community
Facilities", limited to uses such as churches, outdoor sport facilities, garden centre, veterinarian clinic without outside
kennels and a waste management information centre.
Comments:
The property was listed on the Toronto Real Estate Board's Multiple Listing Services with Re/Max Goldenway Realty Inc.
in February 1999 at an asking price of $149,000.00. The information package provided to all prospective purchasers
indicated that offers would be received by the listing broker until April 26, 1999. Purchasers were also advised to exercise
due diligence in satisfying themselves as to the condition of the property including zoning, and other issues prior to
submitting an offer. Three (3) offers to purchase were submitted and are summarized as follows:
Prospective
Purchaser
Stephen Yeung
Sudhir Sadana
Surinderpal Singh
Price
Offered
$150,100.00
$115,000.00
$89,500.00
Deposit
$15,010.00
$10,000.00
$8,950.00
Condition
Balance to be paid on closing
Balance to be paid on closing
Balance to be paid on closing.
Staff has reviewed the above offers and recommend the highest offer be accepted as summarized below:
Property Address:3001 McCowan Road
Legal Description:Part of Lot 22, Concession 4, referred to as Part 2 on Plan 64R-11539, City of Toronto (formerly
City of Scarborough)
Approximate Lot Size:40.234 metres (132 feet) fronting onto McCowan Road
41.148 metres (135 feet) depth
Location:East side of McCowan Road, south of McNicoll Avenue,
Improvements:None
Occupancy Status:Vacant
Recommended Sale Price:$150,100.00
Deposit:$15,010.00 (held by the listing agent in trust pending completion of the transaction)
Purchaser:Stephen Yeung
Irrevocable Date:July 23, 1999
Closing Date:August 23, 1999
Terms:Cash on closing, subject to the usual adjustments
Listing Broker:Re/Max Goldenway Realty Inc.
Selling Broker:Tradeworld Realty Inc.
Commission:Four (4) per cent, plus G.S.T., payable on closing of the transaction.
It is noted that at the request of the local Councillor (Councillor Balkissoon), and with the concurrence of the
Commissioner of Corporate Services and the Chief Administrative Officer, this report on the sale of 3001 McCowan Road
is being directed to Scarborough Community Council.
Conclusion:
Completion of this transaction as detailed above is considered fair and reasonable and reflective of market value.
Contact Name:
Neubert Li, Real Estate Administrator, (416) 396-7422, Fax No. (416) 396-4241, E-mail Address:
li@city.scarborough.on.ca (scc99071.wpd)