Sale of Surplus Spadina Property

at 19 Gloucester Grove

(Ward 28 - York Eglinton)

The Corporate Services Committee recommends the adoption of the following report (November 23, 1998) from the Commissioner of Corporate Services:

Purpose:

To authorize the disposal of the property municipally known as 19 Gloucester Grove.

Funding Sources, Financial Implications and Impact Statement:

Revenue of $275,320.00, less closing costs and the usual adjustments, subject to the revenue sharing agreement with the Province pursuant to Clause No. 1 of Report No. 25 the former Metropolitan Corporate Administration Committee, approved on December 4, 1996.

Recommendations:

It is recommended, subject to Provincial concurrence, that:

(1)the Commissioner of Corporate Services be authorized to accept this offer in the amount of $275,320.00 as detailed herein;

(2)Council, pursuant to Clause No. 14 of Report No. 27 of the former Metropolitan Management Committee adopted on September 28, 1994, waive the minimum required deposit of 10 per cent. of the purchase price;

(3)authority be granted to direct a portion of the sale proceeds on closing to fund the outstanding balance of Costing Unit No. CP300J56166;

(4)the City Solicitor be authorized and directed to take the appropriate action, in conjunction with Province of Ontario Officials and/or agents, to complete the transaction on behalf of the Corporation and he be further authorized to amend the closing date to such earlier or later date as he considers reasonable; and

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

Council Reference/Background/History:

The Province of Ontario is the owner of 19 Gloucester Grove, subject to a ninety-nine year lease in favour of the City of Toronto. By its adoption of Clause No. 1 of Report No. 3 of The Corporate Administration Committee on February 12 and 13, 1997, Metropolitan Council declared the property surplus pursuant to By-law No. 56-95 and authorized its disposal. The procedures with respect to By-law No. 56-95 have been complied with, a utility canvass has been completed and no requirements have been identified.

Comments and/or Discussion and/or Justification:

Pursuant to the February 12 and 13, 1997 authority, the property was listed with Prudential SadieMoranis Realty on October 29, 1998 at an asking price of $309,900.00, subsequently reduced to $284,900.00, and offered through the Multiple Listing Service of the Toronto Real Estate Board. The following offers were received:

PurchaserPurchase PriceDepositTerms

Joshua Sugar$275,320.00$25,000.00 (bank draft)Non conditional

Bill Iuele and Jennifer Pitt$267,000.00$12,000.00 (bank draft)Non conditional

The highest offer is recommended for acceptance:

Property Address:19 Gloucester Grove.

Legal Description:Part of Lots 106, 107, 108 and 109, Registered Plan 2339, City of Toronto, together with and subject to rights-of-way.

Approximate Lot Size:8.08 metres (26.5 feet) fronting onto Gloucester Grove,

30.48 metres (100 feet) depth.

Easement:N/A.

Location:South side of Gloucester Grove, west of Strathearn Road, south of Eglinton Avenue West.

Improvements:Detached, 3 bedroom 2 storey brick dwelling.

Occupancy Status:Vacant.

Recommended Sale Price:$275,320.00.

Deposit:$25,000.00 (bank draft).

Purchaser:Joshua Sugar.

Closing Date:February 25, 1999.

Terms:Cash on closing, subject to the usual adjustments.

Listing Broker:Prudential Sadie Moranis Realty.

Selling Broker:Royal LePage R.E.S. Johnston & Daniel Div.

Commission:Four (4) per cent, plus G.S.T., payable on closing of the transaction.

By the adoption of Clause No. 5 of Report No. 9 of The Corporate Services Committee, Council at the meeting held on July 8, 9 and 10, 1998, directed that comparable sales data be provided in future reports of property sales. Appendix "A", identifies three comparable properties located in the vicinity that have recently sold. While comparable sales information can be included as part of the staff report, this property was listed for sale on the TREB multiple listing service and the forces of the market place have determined the true market value.

Conclusion:

Completion of this transaction detailed above is considered fair and reasonable and reflective of market value.

Contact Name:

Michelle deVey, Valuator Negotiator, Real Estate Services, (416)392-8160, Fax No.:(416) 392-4828, E-Mail Address: michelle_devey@metrodesk.metrotor.on.ca.

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Appendix "A"

19 Gloucester Grove - Comparable Sales

The following three addresses represent recent comparable sales of properties that are quite similar to the residence which forms the subject matter of this report. These three properties consist of six room detached, two storey dwellings with 3 bedrooms.