Affordable Housing Committee
|Meeting No.||7||Contact||Candy Davidovits, Committee Administrator|
Tuesday, October 29, 2013
Committee Room 2, City Hall
||Chair||Councillor Ana Bail„o|
|Implementation of Affordable Housing Pilot Project in East Bayfront|
The Affordable Housing Committee recommends to the Executive Committee that:
1. City Council authorize staff to pursue further discussions with Hines and Tridel with the goal of determining the feasibility of proceeding with the pilot project and working with all parties to finalize a definitive proposal for Council's consideration, in accordance with the terms of the Land Development Agreement between the City and Hines Canada Management Company II ULC dated June 28, 2012.
2. City Council approve in principle capital funding of $15 million for the construction of approximately 71 affordable rental homes with total costs estimated at $22.5 million in the Bayside Development which includes $7.5 million in equity and mortgage financing from a non-profit owner operator.
3. City Council request the Director, Affordable Housing Office, to report to Council in 2014 prior to the deadline established in the Land Development Agreement between the City and Hines, dated June 28, 2012, as amended, recommending a course(s) of action with respect to the definitive proposal submitted by Hines/Tridel, including recommendations with respect to:
a. proceeding with the pilot project (based on negotiations with Hines and/or Tridel and an independent financial review to verify the reasonableness of proposed costs, to review the design to identify possible cost reductions and to engage in other due diligence activities and actions as the Director deems necessary);
b. confirming the availability of funding from the federal/provincial Investment in Affordable Housing program 2014-2019 and/or any funds required from the Capital Revolving Reserve Fund for Affordable Housing (XR 1058) and the Development Charges Reserve Fund for Subsidized Housing (XR 2116);
c. obtaining approval to negotiate and enter into an agreement of purchase and sale with Hines/Tridel or such other agreement(s) deemed necessary for the completion of the pilot project;
d. retaining the services of professionals such as architects, project managers, and/or quantity surveyors, as required to oversee the completion of the project;
e. confirming the selection of a non-profit owner and/or operator; and
f. such other actions that are deemed necessary to complete the transaction as contemplated by the report.
|Decision Advice and Other Information|
The Director, Affordable Housing Office, gave a presentation to the Affordable Housing Committee on the Affordable Housing Pilot Project in East Bayfront.
|(October 9, 2013) Report from the Director, Affordable Housing Office, and the Director, Strategic Initiatives, Policy and Analysis, City Planning|
Bayside is one of the first new neighbourhoods to be developed in the East Bayfront. It is comprised of public lands in which Waterfront Toronto has the lead in revitalizing. The Central Waterfront Secondary Plan, the East Bayfront Precinct Plan and the East Bayfront zoning by-law require that 20 percent of all residential units be affordable rental housing or that land sufficient to construct such housing be provided at the same time as the development of the market housing.
In 2010, Council approved entering into agreements with Hines Canada Management Company ULC (Hines) for the development of the Bayside lands. The Land Development Agreement sets out the terms and conditions under which the City and Hines/Tridel are to work together to develop an affordable housing pilot project as one portion of the larger affordable housing requirements, on two sites located at the eastern end of Bayside, which may not be ready for development for possibly as long as 10-15 years. At the time, Council requested that options be pursued to expedite the building of a portion of the affordable housing by having it located in the earlier Phase 1 development located at the west end of Bayside.
In accordance with the terms of that Agreement, the City has received a preliminary proposal for an estimated 71 affordable rental apartments in a market condominium on the R3R4 site, a building which would also include a commercial component. This proposal has the benefit of allowing for the construction of a portion of the affordable rental housing at the same time as, and integrated with, the market housing. This pilot project would represent the first step to fulfilling Council's policy of providing 20 percent affordable housing in Bayside.
While the preliminary proposal, presented by Hines and its residential development partner, Tridel Corporation (Tridel), is only an outline with an estimated number of units and cost, the Land Development Agreement directs the City to approve an allocation of funds for the preliminary proposal in 2013. By approving this report, Council will provide an in principle approval for capital funding required by Hines and Tridel to negotiate a definitive proposal with the City, which will be the subject of a report to Council in May 2014. At that time the final number of units, within a range of 70 – 75 will be specified; as well, the complete capital costs and details of the transaction will be outlined.
|(October 9, 2013) Report from the Director, Affordable Housing Office, and the
Director, Strategic Initiatives, Policy and Analysis, City Planning, on Implementation of Affordable Housing Pilot Project in East Bayfront
(October 29, 2013) Presentation from the Director, Affordable Housing Office, on the Affordable Housing Pilot Project in East Bayfront
|(October 23, 2013) Letter from Meg Davis, Vice President, Development, Waterfront Toronto (AH.New.AH7.3.1)
Councillor Pam McConnell