The Toronto Community Council reports, for the information of Council, that pursuant to Clause 9 of Report No. 7 of the City Services Committee of the former City of Toronto, titled, AClosing and Conveyancing - Lane East of Yonge Street, Extending Southerly from Wood Street,@ which was adopted by City Council at is meeting on March 23, 1989, notice of its hearing on February 18, 1998, with respect to the proposed enactment of the draft by-law was advertised in a daily newspaper on January 30, February 2, February 9 and February 16, 1998 , and no one appeared before the Toronto Community Council in connection with the foregoing matter.

Bill No.

BY-LAW NO.

WHEREAS by Clause ____ of Toronto Community Council Report No. ____, adopted by Council at its meeting held on ___________, 1998, it is recommended that the public highway known as Salvation Square be stopped up and closed as a public highway and that part of the public highway so stopped up and closed be conveyed to Cadillac Fairview Corporation upon the terms and conditions contained in Clause 8 of Executive Committee Report No. 23, adopted, as amended, by the Council of The Corporation of the City of Toronto at its meeting held on October 6 and 7, 1997.

AND WHEREAS notice of Council's intention to stop up and close the said public lane and to convey part thereof as aforesaid was advertised in a daily newspaper on ______________, 1998.

THEREFORE the Council of City of Toronto enacts as follows:

• The public highway known as Salvation Square, described by W. Kowalenko, O.L.S., City Surveyor, as follows, namely:

[Parts A, B and C on attached sketch]

is hereby stopped up and closed as a public highway.

• The soil and freehold of a portion of the public highway stopped up and closed by Section 1 of this By-law and described by W. Kowalenko, O.L.S., City Surveyor, as follows, namely:

shall be sold to Cadillac Fairview Corporation, subject to and upon the terms and conditions contained in Clause 8 of Executive Committee Report No. 23, adopted, as amended, by Council of The Corporation of the City of Toronto at its meeting held on October 6 and 7, 1997.

• The Mayor and ____________________ are authorized to execute and deliver, and the City Clerk ___________________ is authorized to affix the seal of the City to any documents required to effect the conveyance authorized by Section 2 of this By-law.

ENACTED AND PASSED this day of , 1998, A.D.

Mayor City Clerk

The Executive Committee recommends:

1. That the report (September 29, 1997) from the Commissioner of Corporate Services be adopted; and

2. That a by-law in the form of the draft by-law, as amended by the report (September 29,1997) from the Commissioner of Corporate Services, be enacted.

The Executive Committee advises that pursuant to Clause 35 of Report No. 19 of the Executive Committee, titled AProposed Closing and Conveyancing of Portions of the Public Highways Abutting the Toronto Eaton Centre (Ward 6)@, which was adopted by City Council on August 21, 1997, notice of its hearing on September 15, 1997, with respect to the proposed enactment of the draft by-laws was advertised in a daily newspaper on August 23, 30, September 6, and 13, 1997, and no one addressed the Committee.

The Executive Committee submits the draft by-law:

Bill No.

NO. A BY-LAW

(Passed , 1997)

WHEREAS by Clause __ of Executive Committee Report No. ___, adopted by Council at its meeting held on _______________, it is recommended that portions of the public highways abutting the Toronto Eaton Centre be stopped up and closed as public highways and that the portions of the public highways so stopped up and closed be conveyed to Cadillac Fairview Corporation Ltd. upon the terms and conditions contained in Clause 35 of Executive Committee Report No. 19, adopted by Council at its meeting held on August 21, 1997 and Clause _____ of Executive Committee Report No. _____, adopted by Council at its meeting held on ________________.

AND WHEREAS notice of Council's intention to stop up and close the said public highways and to convey the same as aforesaid was advertised in a daily newspaper on ________________.

THEREFORE the Council of The Corporation of the City of Toronto enacts as follows:

FIRSTLY: (Land Titles Office)

Part of Parcel 1-6 in the Register for Section A-2-A.

SECONDLY: (Land Titles Office)

All of Parcel 6-4 in the Register for Section A-2-A.

The Executive Committee also submits the report (September 29, 1997) from the Commissioner of Corporate Services:

Origin: Executive Committee Report No. 19, Clause 35, adopted by City Council on August 21, 1997 (p:\1997\ug\cps\prp\ex970140.prp)

That City Council set the price for the public highways adjoining the Toronto Eaton Centre to be stopped up, closed and conveyed to Cadillac Fairview Corporation whereby the City is to receive compensation as follows:

A. Yonge Street

1. i) compensation for the lands to be based on a rate of $2,760.00. per square metre; and

ii) total estimated compensation to the City is $2,108,640.00. based on an estimated site area of 764 square metres and to be adjusted when actual area is established by survey.

2. That Clause 35 of Executive Committee Report No. 19, adopted by Council at its meeting held on August 21, 1997 be amended by replacing the lands to be closed and conveyed to Cadillac Fairview Corporation pursuant to Recommendations 4 and 5 thereof (Parcels B, C, D, E, F, 1, 2, 3 and 4 on the sketch attached thereto) with Parcels 3, 4, E, F and that part of Parcel D from the south limit of the Parcel to the north limit, more or less, of the Eaton Tower identified on Appendix AA@ attached hereto.

3. That the draft by-law approved by the Executive Committee at its meeting held on September 15, 1997 be amended to reflect the revised lands to be conveyed to the Cadillac Fairview Corporation.

B. Salvation Square

i) the compensation for the lands to be based on a rate of $2,760.00. per square metre with adjustments to reflect those interests being retained, the interests being conveyed to the City and the maintenance obligation for the passive open space parkland; and

ii) the total estimated compensation to the City is $647,273.00. which has been based on estimated areas of each of Parts A, B, C and D and which is to be adjusted when the actual areas are established by survey.

Background: On September 15, 1997, the Executive Committee conducted a hearing in connection with the stopping up and closing of portions of Yonge Street on the east side of the Toronto Eaton Centre and to authorize the conveyance thereof to Cadillac Fairview Corporation Ltd.

In this connection, the Executive Committee had before it the following:

a. Clause 35 of Executive Committee Report No. 19, titled AProposed Closing and Conveyancing of portions of the Public Highways abutting the Toronto Eaton Centre (Ward 6)@, which was adopted by City Council at its meeting on August 21, 1997.

b. A report dated September 12, 1997, from the Commissioner, Corporate Services, titled AProposal to stop up, close and convey portions public highways adjoining the Eaton Centre (Ward 6)@.

As the matter of compensation will be considered on September 29, 1997, the recommendation of the Executive Committee that a by-law in the form of the draft by-law submitted by the City Solicitor be enacted, will be sent to City Council on October 6, 1997.

As recommended by the Commissioner, Corporate Services in the above-noted report (September 12, 1997), the Executive Committee authorized the Commissioner, Corporate Services, in consultation with the Commissioners of City Works Services and of Urban Development Services, to continue discussions with representatives of Cadillac Fairview Corporation to reach an overall agreement on the compensation for the proposal to stop up, close and convey portions of public highways adjoining the Toronto Eaton Centre, Yonge Street and Salvation Square, and requested a report to the Executive Committee in Camera on September 29, 1997, on the results of these discussions.

Discussions have continued with representatives of Cadillac Fairview Corporation and an agreement has now been reached on the matter of compensation for the public highways to be closed and conveyed. Set out below is a summary of the agreement reached with Cadillac Fairview Corporation on the matter of compensation the City is to receive for public highways adjoining the Toronto Eaton Centre, including Salvation Square and portions of Yonge Street (see attached Appendix AA@).

Salvation Square

The Commissioner, City Works Services will be reporting to City Council on October 6, 1997 on the application to stop up, close and convey Salvation Square and the main terms and conditions and agreed to compensation elements are set out below:

- a frontage of 65.95 feet and a depth of 100.35 feet;

- a total site area of 6,614.8 square feet;

- City to convey Parts A, B and C on attached Appendix AB@ save and except the surface and air rights in Part A;

- existing below grade tunnel connecting Toronto Eaton Centre to the Bell building in Parts A and C to be maintained and the conveyance of the above described lands is to be conditional on Cadillac Fairview Corporation maintaining the tunnel between the Bell building and the Toronto Eaton Centre as provided for in the current Tunnel Agreement.

- Cadillac Fairview Corporation is to be required to provide public pedestrian access over Part B;

Cadillac Fairview Corporation to convey the surface and air rights in Part D to the City;

- Cadillac Fairview Corporation to improve at their costs Parts A and D as part of the construction program for use as public open space;

- the surface and air rights in Parts A and D to be under the City=s jurisdiction but to be maintained in perpetuity by and at Cadillac Fairview>s cost;

- Cadillac Fairview to prepare at their costs a survey reference plan;

- the compensation for the lands to be based on a rate of $2,760.00. per square metre with adjustments to reflect those interests being retained, the interests being conveyed to the City and the maintenance obligation for the passive open space parkland; and

- the total estimated compensation to the City is $647,273.00. which has been based on estimated areas of each of Parts A, B, C and D and which is to be adjusted when the actual areas are established by survey.

Yonge Street:

The main terms and conditions and agreed to compensation elements are set out below:

- City to convey Parcels 3, 4, E, F and that part of Parcel D from the south limit of the Parcel to the north limit, more or less, of the Eaton Tower identified on Appendix AA@ attached;

- compensation for the lands to be based on a rate of $2,760.00. per square metre; and

- total estimated compensation to the City is $2,108,640.00. based on an estimated site area of 764 square metres and to be adjusted when actual area is established by survey.

Mr. David Hamilton, Development Executive of the Cadillac Fairview Corporation Limited, has advised as follows in a letter dated September 24, 1997 on the Toronto Eaton Centre - Salvation Square and Yonge Street Facade land acquisition proposal:

AThe owners of the Toronto Eaton Centre support the initiatives of the City of Toronto to regenerate Yonge Street principally through the Yonge Dundas Redevelopment Project. We understand that this project has recently been expedited in the approval process. In response to the City initiative, the Eaton Centre co-owners are now planning two significant development projects located immediately adjacent to the Toronto Eaton Centre. As you are aware, site plan applications have been made for both the Yonge Street Facade project and the Salvation Square project. Both projects require the closure and conveyance of a portion of the City=s public roads. The attached sketches illustrate the lands under consideration. In summary, the Eaton Centre co-owners proposes to purchase a fee simple interest, including density, of The Yonge Street Facade Lands for approximately $2,109,115.00, and the Salvation Square Lands for approximately $647,273.00. Our proposal is conditional upon The Eaton Centre Co-owners and the City Solicitor reaching mutual agreement on the terms and conditions of all agreements related to this proposal.

Conclusion: I am of the opinion that the price set for the public highways adjoining the Toronto Eaton Centre to be stopped up, closed and conveyed to Cadillac Fairview Corporation is fair and reasonable. The City will receive as compensation for the public highways the approximate sum of $2,755,913.00. from the proceeds of the sale.

The Executive Committee also submits the report (September 12, 1997) from the Commissioner of Corporate Services:

Subject: Proposal to stop up, close and convey portions of public highways adjoining the Eaton Centre (Ward 6)

Origin: Executive Committee Report No. 19, Clause 35, adopted by City Council on August 21, 1997 (p:\1997\ug\cps\prp\ex970114.prp)

That the Commissioner, Corporate Services, in consultation with the Commissioners, City Works Services and Urban Development Services, be authorized to continue discussions with representatives of Cadillac Fairview Corporation, to reach an overall agreement on the compensation for the proposal to stop up, close and convey portions of public highways adjoining the Toronto Eaton Centre, Yonge Street and Salvation Square, and to report to the Executive Committee, in Camera, for the meeting of September 29, 1997, on the results of these negotiations.

Background:

City Council, at its meeting held on August 21, 1997, adopted Executive Committee Report No. 19, Clause 35, with respect to a request from Cadillac Fairview Corporation to stop up, close and convey portions of Yonge Street required for the proposal from Cadillac Fairview Corporation to renovate the Yonge Street frontage and constructing thereon a series of 2 to 3 storey structures attached to the front wall and illuminate/animate signage along portions of the Yonge Street facade. City Council directed the Commissioner, Corporate Services, to report to Executive Committee at its meeting of September 15, 1997 with respect to the matter of compensation for the lands to be closed and conveyed.

Subsequent to the application for the Yonge Street lands, Cadillac Fairview Corporation made a further application to stop, close and convey Salvation Square to form part of a proposed enhanced entrance to the Eaton Centre which includes the development of 20 Salvation Square, the former Salvation Army office building. The Commissioner of City Works Services has advised he is planning to report to the Executive Committee on September 29, 1997/ City Council on October 6, 1997, seeking approval to stop up, close and convey the relevant portions of Salvation Square.

Comments:

Discussions have been conducted on the matter of an overall agreement with Cadillac Fairview Corporation relative to appropriate compensation for t-he Yonge Street frontage and the various interests to be conveyed in Salvation Square. I am not yet in a position to report to the Executive Committee on these matters. Discussions will be finalized and I will be reporting to the Executive Committee in Camera meeting of September 29, 1997 on each of these matters. Representatives of Cadillac Fairview Corporation concur with the contents of this report.

Insert Table/Map No. 1

existing city public highway lands

The Executive Committee also had before it Clause 35 of Executive Committee Report No. 19 titled, AProposed Closing and Conveyancing of Portions of the Public Highways Abutting the Toronto Eaton Centre (Ward 6)@, which was adopted by City Council at its meeting on August 21, 1997, which is included in the additional material and is on file with the City Clerk.

COUNCIL ACTION - OCTOBER 6 AND 7, 1997

Councillor Rae moved that the Clause be amended by adding:

which Council adopted.

Council adopted the Clause, as amended.