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Toronto Public Library Board Leases

The Administration Committee recommends the adoption of the following report (September 21, 1999) from the City Librarian:

Purpose:

To recommend that City Council consent to certain leasing transactions to be entered into by the Toronto Public Library Board (the "Library Board").

Funding Sources, Financial Implications and Impact Statement:

The Library Board's annual operating budget contains the funding for all leasing costs. Annual revenues from leases where the Library is the landlord are approximately $544,000.

Recommendation:

It is recommended that subject to the necessary funding being approved in the Library Board's operating budget, Council consent, pursuant to section 19 of the Public Libraries Act, to the Library Board entering into certain leases and lease renewals, both as landlord and as tenant, as more particularly set out in the body of this report.

Comments:

The Library Board currently leases space from third parties at a number of locations (20) that serve as public libraries across the City. Most of these locations have been occupied by the Library Board for many years and it is intended that these leases will be renewed as they become due. Attached hereto as Schedule 1 is a summary of the various leases the Library Board has entered into as tenant.

The Library Board also leases space out to various organizations and agencies at two major locations, namely 40 Orchard View Boulevard (Northern District Library) and 40 St. Clair Avenue East (Deer Park Branch) as well as the Toronto Reference Library. While each of these locations house a library there is space in excess of the Library Board's present requirements available. Existing tenants, for the most part, are long-term occupants with relatively short-term leases, e.g., 1 to 2 years. These leases expire at various times and some are open for renewal at the option of the tenants. Attached hereto as Schedule 2 is a summary of the various leases the Library Board has entered into as landlord.

The terms of all leases and lease renewals are submitted to the Library Board for approval and all lease documents are forwarded to the City Solicitor for review and approval prior to being signed by the Library Board. Pursuant to section 19 of the Public Libraries Act, however, City Council's consent is required before the Library Board may enter into lease transactions. Section 19 of the Public Libraries Act provides:

"10. (1) A board may, with the consent of the appointing council or, where it is a union board, the consent of a majority of the councils of the municipalities for which it was established,

(a)acquire land required for its purposes by purchase, lease, expropriation or otherwise;

...

(c)acquire or erect a building larger than is required for library purposes, and lease any surplus part of the building; ...."

In order to expedite lease transactions the Library Board approved the following motion on June 14, 1999:

The Toronto Public Library Board request City Council to approve a blanket consent that would permit the Toronto Public Library Board to undertake its real estate transactions in accordance with section 19 of the Public Libraries Act.

Although on its face, the motion appears to deal with all real estate transactions, this report recommends the adoption of a motion pertaining to leasing transactions only. The parameters of the blanket consent recommended to Council provides the following conditions:

Where the Library Board is the landlord:

(i)the term of the lease, including renewal options, not to exceed 5 years;

(ii)base rent to be negotiated in the range of market value except in the case of non-profit organizations; and

(iii)base rent for the entire term not to exceed $250,000.

Where the Library Board is the tenant:

(i)the term of the lease, including renewal options, not to exceed 10 years;

(ii)base rent to be negotiated in the range of market values or below;

(iii)base rent for the term not to exceed $1 million; and

(iv)funds to cover the lease costs have been approved by Council in the Library Board's operating budget.

The recommendation contained in this report pertains to leases only and has been reviewed by the City's Legal Services Division and the Facilities and Real Estate Division.

Contact Name:

Ann Eddie, Director of Administration, Phone: 393-7091, Fax: 393-7083.

Sid Mowder, Senior Manager - Finance, Phone 397-5946, Fax: 393-7115.

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Schedule 1

Toronto Public Library

Leased Properties

Library is Lessee

 Present

PresentAnnual

LandlordLocationSq. Ft.TermLease RateExpiry

East:

Orlando Corp.Bridlewood5,4451098,01008/31/2002

Cliffcrest Plaza Ltd.Cliffcrest2,800535,70008/31/2002

Monarch Development Corp.Eglinton Square4,716591,96212/31/2003

Revenue Properties Co. Ltd.Guildwood3,010536,12011/30/2003

Milord Realty Inc.Kennedy/Eglinton7,650552,78508/31/2002

590427 Ont. Ltd. et al.Maryvale4,421366,31508/31/2000

Palmar Holdings Ltd.Morningside6,032887,46412/31/2000

Ivanhoe Inc.Steeles5,00910130,23408/31/2001

Canvib Investments Corp.Woodside4,256554,26408/31/2002

North:

Select PropertiesBayview4,2905127,62712/31/2002

Sandbar HoldingsBlack Creek7,3821088,58408/31/2002

Ontario HydroCentennialParking Lot51,99010/31/2002

Bengro Holdings Inc.DownsviewAccess ROW1014,12407/31/2004

Samuel D. BorinsJane/Sheppard3,500569,51010/31/1999

S. Strashin & Sons Ltd.Woodview Park2,812536,10806/14/2002

South:

TTCDanforth/Coxwell9,6175041,58712/31/2037

City of TorontoForest Hill10,438Annual125,256Annual

City of TorontoQueen/Saulter2,700Annual42,120Annual

City of TorontoUrban Affairs13,7301453,000Annual

West:

Lucky Palace Holdings Ltd.Northern Elms2,434Monthly38,69004/30/2000

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Schedule 2

Toronto Public Library

Lease Properties

 SuiteTotal

TenantsLocationNo.Sq. Ft.TermValue

 Vacant40 Orchard View Boulevard1011,900

Ontario Genealogical Society40 Orchard View Boulevard1021,873252,444.00

Winchester Arms40 Orchard View Boulevard1032,125590,312.50

Tractors for our Daily Bread40 Orchard View Boulevard10432028,320.00

Doctors Taylor, Erlich & Cryer40 Orchard View Boulevard2091,150217,982.00

Assoc. of Early Childhood Educ.40 Orchard View Boulevard2111,450120,300.00

Central Learning Centre40 Orchard View Boulevard2131,450250,344.00

Mood Disorders Assoc.40 Orchard View Boulevard215600

A.R.C.H.40 Orchard View Boulevard2171,771249,588.00

Self-Help Resource Centre40 Orchard View Boulevard2191,000118,720.00

Mood Disorders Assoc.40 Orchard View Boulevard2211,582122,148.00

Canadian Info. Tech. College40 Orchard View Boulevard2511,031228,868.00

Vacant40 Orchard View Boulevard252400

Canadian Info. Tech. College 40 Orchard View Boulevard2532,150130,100.00

I.O.D.E. (National)40 Orchard View Boulevard2541,074120,105.28

A.R.C.H.40 Orchard View Boulevard2553,435148,153.00

Delisle Youth Services40 Orchard View Boulevard2562,335145,205.60

Dr. D. Ray Freebury40 St. Clair Avenue East200494213,832.00

Vacant40 St. Clair Avenue East2013,204

John Milton Society40 St. Clair Avenue East202954112,879.00

Toronto Psychoanalytic Society40 St. Clair Avenue East2032,261131,654.00

Toronto Psychoanalytic Society40 St. Clair Avenue East204

I.O.D.E. (Municipal)40 St. Clair Avenue East205763110,300.50

Stevens & Burgess Architects40 St. Clair Avenue East3002,282129,666.00

Stevens & Burgess Architects40 St. Clair Avenue East301

Davidson-Langley Inc. Architects40 St. Clair Avenue East302552214,256.00

Dr. Bernard Fresco40 St. Clair Avenue East303858111,583.00

Dr. Bernard Fresco40 St. Clair Avenue East308

White Pine Therapeutics40 St. Clair Avenue East304650220,345.00

English Speaking Union/J. Lawer40 St. Clair Avenue East306650111,862.50

Targeted Audience Program40 St. Clair Avenue East307972227,216.00

Ontario Assoc. of Children's Mental Health40 St. Clair Avenue East3091,619124,556.50

Ontario Audio Library Services Fairview Library16855.00

Cultural Human Resources Info. Serv.Reference Library320 Monthly4,000 *

Smart TorontoReference Library4,316Monthly40,540 *

*Annual Value

 

   
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