Sale of Portion of Fennimore Park -

Part of Block "A", Plan 6450, North York -

North York Humber

 The North York Community Council recommends the adoption of the following report (March 3, 1998) from the Commissioner of Corporate Services:

 Purpose:

 To declare the lands surplus to the needs of the City and that the appropriate notice be given that the City intends to sell the property.

 That the City accept the AOffer To Purchase@ from 12008128 Ontario Limited, attached as Appendix AB@.

 Financial Implications and Impact Statement:

 The AOffer to Purchase@ provides for the sale of City lands at a purchase price of $30,000.00.

 Recommendations:

 It is recommended that:

 (1)Council declare that the subject lands are surplus to the needs of the City and the appropriate notice be given that the City intends to sell this property;

 (2)the City accept the AOffer to Purchase@ from 12008128 Ontario Limited, attached as Appendix AB@ and the Deputy Commissioner of Finance and Deputy Treasurer and the City Clerk be authorized to execute same;

 (3)proceeds from the sale be credited to account No. 007-435-000-8340; and

 (4)the appropriate City officials be authorized to do all things necessary to finalize this matter.

 Background:

 The owner of 325 Eddystone Avenue (the adjoining industrial property), in July 1993, requested to purchase or lease 18,062 square feet of the adjoining parkland. In order to accommodate extra truck loading and turning, existing parking needed to be relocated, resulting in the request for land.

 On October 6, 1993, by Resolution No 93-36, Council recommended a 30 year lease at a rent of $12,400.00 per annum along with fencing and buffering; all of which was conditional upon approval of a minor variance. On October 20, 1993, by Resolution No. 93-37, Council approved a $30,000.00 up front payment, an annual rental of $10,416.00, no rental payments for the first three years and a maximum leased area of .32 acres (13,939 square feet).

On May 12, 1995, the Ontario Municipal Board found in favor of the City, concerning the minor variance to the Official Plan as required to implement the proposed lease. Approval was conditional upon (i) site plan approval, (ii) a 1.0 metre high chain link fence along the perimeter at the expense of the company.

 The owner approached staff with a view to purchase a substantially reduced area, from 13,939 square feet to 2,230 square feet. Parks and Recreation staff indicated a preference to selling the reduced area rather than leasing the larger area.

 Comments:

 Based on recent sale transactions for industrial land in this area, the valuation of this land is $10,000.00. However, given the strategic importance of this parcel to the purchaser he has offered to pay $30,000.00. A portion of the purchase price, approximately $2,800.00, will be use to fence the site.

 We are of the opinion that the purchase price is fair and above the market value of the land.

 Contact Name:

 Rudi Pestl, Telephone: 395-6846, Fax: 395-6703 (cs98026.wpd)

 The North York Community Council reports having received the following communication (April 21, 1998) from the City Clerk forwarding Clause No. 5 of Report No. 3 of the Corporate Services Committee, headed ASale of Portion of Fennimore Park, Part of Block AA@, Plan 6450, North York File No. 93-044-40 LA29 - North York Humber@:

 City Council, at its meeting held April 16, 1998, had before it Clause No. 5 of Report No. 3 of the Corporate Services Committee, headed ASale of Portion of Fennimore Park, Part of Block AA@ Plan 6450, North York File No. 93-044-40 LA29 (North York Humber - Ward 6)@.

 Council directed that the aforementioned Clause be struck out and referred to the North York Community Council for consideration.

 (A copy of Appendix B referred to in the foregoing report, the location map and Schedule A attached to the foregoing report is on file in the office of the City Clerk.)