ADMINISTRATIVE REPORT
Date: June 6, 2000
Author/Local: J. Jessup/7432
RTS No. 01309CC File No. 5053/5104
P&E: June 22, 2000
TO:
Standing Committee on Planning and Environment
FROM:
Director of the Housing Centre, in consultation with the Manager of Real Estate Services, the Directors of Current Planning and Community Services, and the General Manager of Engineering Services
SUBJECT:
Block Plan, Lease Terms, Tenant Relocation Program and Other Arrangements for the Mole Hill Non-Market Housing Project
RECOMMENDATIONS
A. THAT Council approve in principle the Mole Hill Block Plan generally as described in the "Mole Hill Block Plan - Final Draft" by Hotson Bakker and S.R. McEwen Associated Architects dated March 1, 2000 on file in the City Clerk's Office, and as outlined in this report, with report back to Council on implementation details at the appropriate time.
B. THAT Council approve placing the Mole Hill Community Housing Society (the "Society") on the City's list of approved non-profit sponsors and co-op resource groups for developing non-market housing on City-owned sites.
C. THAT Council approve the lease of the Phase I City-owned properties at 1114, 1120, 1122, 1136, 1140 and 1146 Comox Street and 1127, 1129, 1137 and 1139 Pendrell Street, legally described as THE WEST ½ OF LOT 2, THE EAST ½ OF LOT 3, THE WEST ½ OF LOT 3, THE EAST ½ OF LOT 5, THE WEST ½ OF LOT 5, THE EAST ½ OF LOT 6, THE WEST ½ OF LOT 18, AND THE WEST ½ OF LOT 16, BLOCK 23, DISTRICT LOT 185, PLAN 92; AND, PARCEL G, DISTRICT LOT 185, GROUP 1, NEW WESTMINSTER DISTRICT PLAN LMP33885, for 60 years atnominal rent to the Society, in accordance with the terms and conditions described in this report, including additional terms and conditions on maintaining the houses as a City heritage resource to the satisfaction of the Director of Planning, and other terms and conditions to the satisfaction of the Directors of the Housing Centre and Legal Services. (The grant implied by nominal rent was previously approved by Council unanimously and by the required majority at their meeting of November 2, 1999).
D. THAT the Director of Community Services in consultation with the Director of the Housing Centre, be instructed to report back to Council when the Phase II lease is to be considered by Council, on the design, capital cost and funding of a permanent facility for the Pendrell YMCA Day Care Centre proposed to be incorporated into the house and gardens at 1164 Comox Street.
E. THAT no legal rights or obligations are hereby created and none shall arise hereafter except upon execution of all the legal documents required by all of the parties.
GENERAL MANAGER'S COMMENTS
The General Manager of Community Services RECOMMENDS approval of Recommendations A, B, C, D, and E.
COUNCIL POLICY
On November 2, 1999, Council resolved unanimously and by the required majority:
"THAT Council give approval in principle to the partnership between the City, B.C. Housing, the Vancouver/Richmond Health Board, the Mole Hill Community Housing Society, and the Dr. Peter AIDS Foundation to renovate and redevelop Mole Hill as set out in the Memorandum of Understanding attached as Appendix A to the Administrative Report dated October 25, 1999, with final approval to be subject to report back to Council in early 2000."
PURPOSE AND SUMMARY
The purpose of this report is to seek Council approval in principle of the Mole Hill block plan, and the general lease terms for Phase I of the non-market housing project which is to be developed there.
Council's development principles, B.C. Housing's funding commitment and public open house results support renovation of the City-owned Mole Hill houses and the conceptual plan proposed for the block as described in this report. Phase I of the Mole Hill non-market housing project will contain a total of 68 units with a high proportion of studio and one-bedroom units. While Phase I will accommodate existing mostly single Mole Hill tenants, much of the housing in Phase II will be designed to accommodate couples and families with children. Overall, about half the tenants will be low income with the other half being moderate income households. The block plan minimizes vehicular presence in the interior of the block. It proposes narrowing the lane, incorporating traffic calming measures in the design of the lane, and significantly reducing on-site parking requirements in the lane. This will make way for pedestrian oriented open space in the interior of the block for walkways, community gardens, child play areas and other residential and community amenities. Funding for the Phase I non-market housing project is secure. Although the Province has committed to funding Phase II as well, details of that funding are still being worked out. An August, 2000 construction start is anticipated for Phase I. Report back on implementation details for the block plan and Phase II of the non-market project is anticipated before the end of the year.
BACKGROUND
Council-Approved Development Principles. Since 1997, Council has approved the following development principles for Mole Hill:
· Renovate the 26 City-owned houses as part of a non-market housing project;
· Retain the 20 heritage listed houses;
· Retain the 6 non-listed houses if cost-effective;
· Lease the project to the Mole Hill Community Housing Society for 60 years at nominal rent;
· Give priority for residency in the project to existing tenants;
· Design a significant number of units to accommodate families with children;
· Provide a mix of housing;
· Find a permanent location for the Pendrell YMCA Day Care Centre;
· Reserve a development site for the Dr. Peter Centre; and,
· Develop the 1100 Block Comox Street as part of a City greenway.B.C. Housing Funding Commitment. The October 25, 1999, Memorandum of Understanding between the City and its development partners, approved by Council at its meeting of November 2, 1999, committed B.C. Housing to:
· Renovate 26 of the houses and possibly develop one of the vacant City lots (WEST ½ OF LOT 17) with infill housing;
· Develop at least 120 units though the B.C. Housing non-profit housing program with the actual number and mix of units to be determined through detailed design analysis;
· Spend up to the maximum unit price (MUP) budget for 120 units less the land component of MUP on the houses;
· Design one half of the units to accommodate singles, and the other half to accommodate couples and families with children;
· Singles units to be occupied primarily by individuals in core need; and,
· Couples and families with children units to be occupied by a mix of 20% deep core need, 20% shallow core need, and 60% low-end-of-market renters.The letter of October 15, 1999 from the Minister to the Society officially confirmed that the Society "has been awarded a 1999-2000 HOMES BC conditional allocation for a 120 unit project on Comox Street and Pendrell Street in Vancouver".
PUBLIC OPEN HOUSE RESULTS
On January 18, 2000 an open house was held at Central Presbyterian Church, 1155 Thurlow Street, from 4:00 to 8:00 PM on the proposed redevelopment of Mole Hill. On display at the open house were several schematic presentations including a description of the rehabilitation strategy for the first 10 houses, an overview of the block plan, and a floor-by-floor layout of one of the houses (1139 Pendrell) as a case study. Visitors to the open house were asked to fill in a comment form to record their response to the preliminary concepts presented. About 150 visitors attended the open house. Thirty-four (34) comment forms were received. The complete report from Tandem Consulting which organized and facilitated the open house is on file in the City Clerk's Office. The following impressions are those of the consultant and taken directly from the report.
Rehabilitation of Houses. "Responses were very positive with people commenting on the value of restoring the heritage houses on the block for a mix of different housing types, including social/affordable housing. Several respondents mentioned that they appreciated the retention of homes on the site for current residents".
Planning Concepts for Overall Block. "The following ideas were put forward regarding the mix of proposed uses and the overall design of the block:
· The emphasis should be on low cost, affordable housing, but with a mix of other housing types provided as well.
· Community gardens should be provided on the site as well as trees, shrubs and flowers.
· There should be fewer cars on the site, and visitor parking provided.
· Space for greenways should be provided.
· The site should be pedestrian friendly and wheelchair accessible.
· The site should be a tourist attraction."Use of the Lane. "A number of respondents favoured the closure of the lane between Comox and Pendrell Streets with community uses being encouraged there instead. Several people felt that having the lane for community use would strengthen the broader community of the West End by providing a place for people from the community to meet and interact. Uses suggested for the lane included community gardens, plantings, pedestrian walkways and a park. If traffic is allowed in the lane, it was suggested that there should be some traffic calming to reduce the volume, and that parking should be limited".
Options for Comox Street. "Most of the respondents preferred keeping Comox Street open to traffic to some degree".
Other Comments. "Overall, visitors to the open houses were supportive of the proposals and the overall vision being put forward for rehabilitation of the houses and redevelopment of Mole Hill. In particular, restoring the heritage houses for affordable housing, providing community uses in the lane, providing greenway links, and connections to Nelson Park were mentioned as positive features".
HERITAGE COMMISSION COMMENTS
At their meeting of January 31, 2000, the Vancouver Heritage Commission reviewed the development permit application for the 10 Phase I Mole Hill houses, 9 of which are listed on the Heritage Register and resolved:
· "THAT the Vancouver Heritage Commission expresses considerable pleasure at the proposal for Mole Hill; and
· "THAT as was resolved at its meeting of December 6, 1999, the Vancouver Heritage Commission supports the Mole Hill project in principle; and
· "THAT the Vancouver Heritage Commission supports in principle the Phase 1 design direction for Mole Hill; and
· "THAT the Vancouver Heritage Commission's support for the Mole Hill project is conditional on the architects following the recommendations outlined in the Sub-committee's report dated January 26, 2000, and is also conditional upon the development design being reviewed by the VHC and Mole Hill Sub-committee; and
· "THAT the Vancouver Heritage Commission recommends the preparation of an ongoing maintenance plan for Mole Hill; and
· "THAT the Vancouver Heritage Commission recommends that the entire group of 26 buildings at Mole Hill be proposed for designation at the end of Phase 2 of the project.Design development refers to the project architects' response to the Planning Department's prior-to conditions to issuance of the development permit for Phase I. Design development of the Phase I plans is now nearing completion and will be reviewed by the Heritage Commission sometime in June. The on-going maintenance plan for the Mole Hill heritage houses will be incorporated into the City lease to the Society as is noted in Recommendation C. At the completion of Phase II, the Director of the Housing Centre in consultation with the Director of Current Planning will report back to Council on the designation of the 26 City-owned houses in the Mole Hill block.
THE BLOCK PLAN
This section describes the Mole Hill block plan. The block plan is defined and details of implementation outlined. An overview of the block, phasing and mix of the non-market housing project, and key elements of the block plan are discussed.
The Block Plan Defined. The proposed block plan is a conceptual plan or a vision of what the interior of the block would look like and how it would function. Staff are endorsing the block plan as practical, workable and financially viable. Council approval would mean that the general direction indicated in the block plan has Council support. But this should notimply that the housing project and the block plan can sidestep City regulatory approval processes. Development permits and building permits must be applied for and prior to conditions met before permits will be issued. Reducing the lane right-of-way, locating garbage and recycling depots in the lane, eliminating the pole line on the north side of the lane, must be reviewed by Engineering staff before being approved. Fire access must be reviewed by the Chief Fire Prevention Officer before being approved. In short, staff support and Council approval in principle of the block plan does not in any way lessen or limit the City's regulatory or discretionary powers of approval.
Design, Cost, Funding and Timing of the Block Plan. The detailed design work that is necessary to turn the block plan from concept into reality will by and large be incorporated into the development permit application for Phase II which is anticipated sometime in the Fall of this year. The cost of implementing the block plan will be included in the non-market housing project capital budget. Every non-market housing project has a portion of the capital budget set aside for residential amenities and on-site improvements, including landscaping. The cost of the block plan will be prorated between the Phase I and Phase II capital budgets.
A copy of the detailed block plan prepared by the project architects, Mole Hill Block Plan -Final Draft, is on file in the City Clerk's Office.
Overview. Mole Hill is a 4.0 acre block of RM-5B zoned land near the easterly boundary of the West End. The block is delineated on the north by Comox Street, on the east by Thurlow Street, on the south by Pendrell Street and on the west by Bute Street. Nelson Park is located immediately to the north across Comox Street. St. Paul's Hospital is located immediately to the east across Thurlow Street.
Of the 37 legal parcels in the Mole Hill block, 30 parcels are owned by the City and the remaining 7 parcels are owned by private parties. Six of the privately-owned lots contain houses. One of the privately-owned lots contains a 7-storey apartment called Strathmore Lodge completed in 1912.
Of the 30 lots owned by the City, 28 lots contain 28 houses. A single lot on Comox Street contains a portable day care centre. And, a double lot at the corner of Comox and Thurlow Streets, reserved for the Dr. Peter Centre, is vacant.
Of the 28 houses owned by the City, one house at 1110 Comox is reserved for the Dr. Peter Centre. And, one house at 1125 Pendrell (Watson House) is leased to Life Choices, a private contractor funded by the Ministry for Children and Families, which runs a Special Needs Residential Facility (SNRF) for young people there. The remaining 26 houses, operated by the City's Real Estate Services Division as multiple conversion dwellings (MCD's), contain a total of 168 residential units. Sixty-three of these units are currently occupied by tenants. It is these 26 City-operated houses on 25 City-owned lots which are the focus of the Mole Hill non-market housing project.
Non-Market Housing Project. It is proposed that the Mole Hill non-market housing project be developed in two phases. Phase I will encompass 10 houses on 9 lots: 1114, 1120, 1122, 1136, 1140 and 1146 Comox; and 1127, 1129, 1137 and 1139 Pendrell. The houses at 1129 and 1137 Pendrell are on the same lot.
Phase I will deliver a total of 68 dwelling units consisting of 19 studio, 34 one-bedroom, 12 two-bedroom and 3 three-bedroom units. The emphasis in the first phase on singles accommodation reflects the need to house existing tenants, most of whom are single-person households, in the first phase.
Phase II will encompass the remaining 16 houses on 16 lots. It is proposed that the house at 1164 Comox be designed as a permanent facility for the Pendrell YMCA Day Care Centre which is now temporarily located in a portable facility on the lot between 1125 and 1136 Comox. In addition to the day care centre, there could be one or two housing units located on the main and second floors of the house.
Table 1
Mole Hill Housing Mix
Units
Proposed Phase I
Phase II Estimate
Total
Studio
19
12
31 (19%)
One-Bedroom
34
42
76 (48%)
Two-Bedroom
12
31
43 (27%)
Three-Bedroom
3
6
9 (6%)
Total
68 (43%)
91 (57%)
159 (100%)
With the possible addition of one or two housing units at 1164 Comox, the remaining 15 houses will constitute, in the main, Phase II of the Mole Hill non-market housing project. Preliminary design analysis of the 15 houses suggests that a total of 91 dwelling units, consisting of 12 studio, 42 one-bedroom, 31 two-bedroom, and 6 three-bedroom units, can be achieved there. The unit mix proposed for Phase II reflects the need to balance the predominantly singles accommodation proposed for Phase I, with a greater proportion of family oriented units in Phase II. However, at this stage, it must be emphasized that thePhase II housing mix is preliminary and subject to change. Table 1 above summarizes the Mole Hill Phase I and II housing mix.
Block Plan Elements. Key elements of the Mole Hill Block Plan are:
(1)
The Lane;
(7)
Pendrell YMCA Day Care Centre;
(2)
Comox Street;
(8)
Community Gardens;
(3)
Parking Requirements;
(9)
Residential Amenities;
(4)
Fire and Garbage Access;
(10)
Dr. Peter Centre;
(5)
Hydro Pole Consolidation;
(11)
Watson House.
(6)
Mid-Block Walkway;
These elements are illustrated in Appendix A.
The Lane. Between Comox and Pendrell Streets, the lane is a 33-foot right-of-way, standard for the West End. A 20-foot right-of-way is standard for the rest of the City.
It is proposed that the lane right-of-way be reduced in width from 33 to 20 feet. The reallocated lane could be leased, licensed or placed under an encroachment agreement for use by the Society. The result would be to create 6.5 feet of useable space at the rear of the properties on either side of the lane.
The lane would remain open to two-way traffic. Some form of traffic calming would be incorporated into the design of the lane. Use of the reallocated lane by the Society would be restricted to passive uses, such as landscaping and parking. Privately-owned property adjoining the lane would be unaffected.
Support of the General Manager of Engineering Services is required in order to implement this aspect of the block plan. Project architects will make application in the normal manner to the General Manager of Engineering Services to request use of the lane surplus. Because the lane is an important utility corridor serving St. Paul's Hospital, several branches of Engineering Services must review the application. Implementation details will be reported to Council for approval at the time Council considers Phase II lease terms.
Comox Street. The 1100 block Comox Street is part of a designated City-wide greenway called the "Parkway". The Parkway begins in Stanley Park and runs eastward to connect with the B.C. Parkway. The block plan proposes two-way traffic with some traffic calming for the lane. Staff anticipate that this will have little if no impact on Comox Street.
Parking Requirements. Part of the rationale for reducing the width of the lane is to allow parking stalls to be clustered in pods of 4 to 12 stalls off the lane while maximizing the amount of open space remaining for walkways, community gardens, child play areas and other passive outdoor residential and community activities. In total, 32 parking stalls are proposed for project residents and visitors in this manner.
Development permit parking requirements for Mole Hill are determined by applying the Parking By-law, including considerations for relaxation relating to hardship and heritage. While there are presently 80 parking spaces on-site, only 10 spaces are reserved for use by residents of the City's 63 occupied residences. A canvass by the site manager determined that, in fact, the residents own 12 vehicles. Allowing for a minimal visitor component, we may ascertain a demand of about one parking space per four dwellings. On this basis, the built-out block (including Phase II) would need 20 spaces for the low income urban singles component of 80 units. For the remaining 80 units intended for couples and families, some 40% (32 units) are expected to be for core need occupants, with a projected demand for 16 parking spaces (By-law rate). Finally, the low end of market units constituting the remaining 48 units, assessed at the West End standard of one space per 80 square metres gross floor area, would require approximately 36 spaces, for a total of 72 spaces required.
Requiring sufficient parking to satisfy all of the demand would compromise the ability to achieve the amenities along the lane envisioned in the block plan. Relaxation of the parking requirement may be supported on grounds of the hardship imposed in achieving the vision for Mole Hill, and in connection with the tremendous efforts in heritage preservation being made. Like other West End residents, Mole Hill tenants may apply for a resident parking permit which will allow them to park on Comox, Thurlow, Pendrell and Bute Streets (and anywhere else in the West End) in parking areas reserved for residents. While many vehicle owners will find parking on the adjacent street, residents and neighbours must be prepared to accept parking spillover from the block, should only the 32 spaces proposed be provided.
Fire and Garbage Access. Primary fire access will be from Pendrell and Comox Streets, and secondary fire access from the lane. Two garbage and recycling depots are proposed to be located in the easterly and westerly portions of the lane on the south side. Arrangements for fire access and garbage collection will be reviewed by Fire Prevention and Engineering staff respectively for approval.
Hydro Pole Consolidation. It is proposed that the pole line on the north side of the lane, which carries telephone and cable services, be removed and that these services be relocated to the hydro pole line on the south side of the lane. Hydro, telephone and cable lines will be undergrounded from the base of the poles to the foundation of the houses. Relocating the telephone and cable lines from the poles on the north side to the poles on the south side ofthe lane is estimated to cost about $30,000 and will be included on a pro rata basis in the Phase I and Phase II non-market housing project capital budget. The cost of undergrounding hydro, telephone and cable lines from the base of the poles to the foundation of the houses will also be included in the project capital budget. Engineering staff will review the feasibility of this work and advise on undergrounding costs in the Phase II block plan implementation report to Council.
Mid-Block Walkway. It is proposed that a mid-block walkway, running in a north/south direction through the Mole Hill block from Pendrell Street across the lane to Comox Street, be created. This would be a public walkway through City-owned property secured through a public right-of-way (ROW) of approximately 15 feet in width located between the houses on either side. The walkway itself would be open to public access, although the houses on either side would be partially fenced and gated. Provision of the walkway would facilitate access for Mole Hill residents and West End neighbours to the community gardens in the lane, the day care centre in the house at 1164 Comox Street, and Nelson Park to the north.
If experience suggests the need for stepped-up security, the Comox and Pendrell Street entrances to the walkway could be gated and, if necessary, the gates locked. However, the initial proposal is to have the entrances ungated. This is in the hope that a fully occupied Mole Hill project will create the level of people presence and eyes on the street necessary to ensure that the interior open space is safe and secure for Mole Hill residents, including seniors, disabled and children.The Pendrell YMCA Day Care Centre. Known to many as the Pendrell Street Day Care because of its original location at 1133 Pendrell, this 25 space licensed day care centre, operated by the YMCA, is currently located in a portable facility on Comox Street. It is proposed that the centre be permanently located in the basement and main floor of the City-owned house at 1164 Comox Street. The remainder of the house could be used for either additional housing units or child minding services such as an out of school or latchkey program. This house has been chosen because it is located on a double lot with enough outdoor space to satisfy the requirements of the Child Care Design Guidelines and because it is on Comox Street opposite Nelson Park. Further, it is proposed that two family day cares be established in a two-bedroom unit at 1160 Comox and a three-bedroom unit at 1154 Comox, thereby creating a day care precinct in the north westerly sector of the block.
The Provincial operating grant for the 25 space day care centre is secure. However, it is estimated that the capital cost of permanently incorporating the centre into the house at 1164 Comox would cost about $500,000. It is proposed that the City's Director of Community Services actively pursue this proposal with the Mole Hill Development Team, the YMCA, the Community Facilities Licensing Office of the Vancouver/Richmond Health Board, in themonths to come with a view to reporting back to Council on design, cost and funding when Council considers the lease terms for Phase II of the Mole Hill non-market housing project.
Community Gardens. It is proposed that in the rear yards behind the houses at 1140, 1136 and 1120 Comox Street and behind the houses at 1139 and 1137 Pendrell Street, community garden plots will be located for use by Mole Hill residents and West End neighbours. A community garden tool shed is proposed in the rear yard of 1146 Comox Street. The Society will manage the community gardens and allocate the gardens plots on a first come first served basis. It is proposed that approximately half the plots be designated for Mole Hill residents with the remaining half assigned to West End neighbours. The Society would have the flexibility of modifying the allocation in response to the demand for garden plots from these two constituencies. Further, should membership be undersubscribed by Mole Hill residents and West End neighbours, membership would be opened to residents of the rest of the city. A modest membership fee would be charged equally to all community garden members to cover the Society's cost of managing and maintaining the gardens.
Residential Amenities. Assuming an average of 1.5 residents per household, a non-market housing project of approximately 160 households could generate a residential community at Mole Hill of about 240 people. In order to support such a community, a range of residential amenities are proposed including a laundry, a multipurpose meeting room, a car repair garage and a woodworking shop. The laundry and multipurpose meeting room would be located in the ground floor of the house at 1157 Pendrell. The car repair garage and woodworking shop would be located in the existing garages behind 1170 and 1154 Comox Street. A car wash area would be located adjacent to the repair garage.
Dr. Peter Centre. The present Dr. Peter Centre, temporarily located in St. Paul's Hospital Comox Building planned for demolition, provides a day program and 10 residential rooms for people living with HIV/AIDS. The Centre provides unique support services to those facing life-threatening health deterioration.
It is proposed that the Centre be relocated to the north east corner of the Mole Hill block including the vacant Lot 1 at the south west corner of Comox and Thurlow, and the existing heritage house at 1110 Comox immediately to the west of Lot 1. The new Centre will include the present day program and 24 supported living units for individuals with HIV/AIDS. A 4-storey building on Lot 1 will include the day program and housing units. The renovated house at 1110 Comox will include offices and some of the day program amenities.
The Ministry of Health provides the funding to cover the staff cost of operating the day program and the Vancouver/Richmond Health Board (VRHB) funds the staffing of the current 10-person Residence. VRHB has advised the Dr. Peter AIDS Foundation (Foundation) that it anticipates staff funding to accommodate an additional 14 residents will be available by the time the new Centre is scheduled to open.
The Ministry of Health will provide an estimated $3.6 million in capital funding for the day program and the residential rooms. B.C. Housing will provide an estimated $2.0 million in capital funding for the supportive housing units, and the on-going shelter subsidy necessary to ensure that tenants in those units pay no more than 30% of income for rent. The Foundation is contributing $1.5 million in capital funding. The City will provide a 60-year lease of Lot 1 and the house at 1110 Comox to the Foundation at nominal rent. B.C. Housing announced its conditional allocation of 24 supportive housing units on December 1, 1999. The Ministry of Health has included the Dr. Peter Centre in its 2000/2001 capital submission to Treasury Board. The Foundation is awaiting confirmation of funding approval from the Ministry. The Director of the Housing Centre will report back to Council at the appropriate time for approval of lease terms.
Watson House. Located at 1125 Pendrell and occupying two lots, Watson House is currently leased on a month to month basis to Life Choices, a private contractor funded by the Ministry of Families and Children, as a special needs residential facility for six young people. No changes are proposed with regards to the present arrangements for Watson House.
Private Owners. Six private parties own seven of the 37 lots in the Mole Hill block. The private owners were invited to the Mole Hill open house in January. They were also invited to an on-site meeting in April to discuss a draft of this report. As follow-up, those private owners who did not attend the on-site meeting were contacted personally to advise them of the block plan and to obtain their support. As a result of this consultation, City staff believe there is general agreement among private owners on the housing renovations and the block plan.
PHASE I LEASE TERMS
The Mole Hill non-market housing project is to be implemented in two phases. This will allow the 63 tenants still living at Mole Hill to stay in alternate accommodation on site during renovations. Further, because the site is densely packed with houses, the practical logistics of renovating all of the 26 houses at the same time would have been difficult.
The 10 Phase I houses include 6 houses on Comox Street (1114, 1120, 1122, 1136 1140 and 1146 Comox) and 4 houses on Pendrell Street (1127, 1129, 1137 and 1139 Pendrell). The 10 houses in Phase I are located on 9 lots as the houses at 1129 and 1137 Pendrell Street are located on one lot. No site consolidation is proposed at this time.
B.C. Housing has approved Proposal Development Funding (PDF) sufficient to take Phase I up to construction start. Given the proposed unit mix, Phase I of Mole Hill generates a total Maximum Unit Price (MUP) budget, excluding land, of $7,406,000. Renovation costs and development fees will require all of the MUP budget. Final commitment would occur once the construction contract is signed and the lease for Phase I is registered.
Standard Charge Terms ST941002 registered in the Land Title Office on January 7, 1994 contain the general lease terms for non-market housing projects where the City owns the land and B.C. Housing provides the subsidy. Only those lease terms unique to a particular project are put forward for Council approval as project details become clear and construction start approaches. Council has already approved in principle a 60-year lease of the Mole Hill lands to the Society at nominal rent. Additional terms and conditions proposed for Phase I include:
· The lease to commence within 180 days of the date of Council approval of this report or such later date as may be approved by the City Manager;
· The lease may be cancelled unilaterally by the City should construction not have begun within 12 months of the date of commencement of the lease;
· Since the Mole Hill houses are a City heritage resource, the houses are to be renovated and maintained in accordance with terms and conditions which would normally be included in a Heritage Revitalization Agreement, but which in this case will be incorporated into the lease to the satisfaction of the Director of Planning; and,
· Other terms and conditions to the satisfaction of the Directors of the Housing Centre and Legal Services.
TENANT RELOCATION PROGRAM
At present, there are 63 tenancies in the 26 City-owned houses which are part of the Mole Hill non-market housing project. All of these tenancies are now located in the 16 Phase II houses. Previously, 20 of these tenancies had been located in the 10 Phase I houses.
In February, March and April of this year, 20 vacant units in the Phase II houses were identified for relocation of the 20 tenancies then located in the Phase I houses. The 20 vacant units in the Phase II houses were upgraded at a total cost to the City of about $80,000 or $4,000 per unit. The upgrade included a new stove and fridge, new carpet, new paint, new window blinds, and a new door lock for each unit. All shared bathrooms were thoroughly cleaned and any necessary repairs completed. In the last two weeks of April, all 20 tenancies in the Phase I houses were relocated to the upgraded units in the Phase II houses. Eleven of the 20 tenancies were given a rent increase effective August 1st. The purpose of the increase was to bring the rents in line with average market SRO (Single Room Occupancy) rents in the city (about $325 per month). In no case, did the rent increase result in rent being in excess of 30% of tenant income which is the B.C. Housing guideline for core need households .
Moving tenants from the 10 Phase I houses will allow detailed inspection of the houses in the next few months which is necessary to complete the working drawings and, ultimately, permit the comprehensive renovations to be undertaken later this summer. Once renovations to the Phase I houses are completed, many of the Mole Hill tenants now living in the Phase II houses, will be relocated to their permanent new apartments in Phase I.
Relocations are being co-ordinated by the Society. The tenant relocator hired by the Society to assist existing tenants with their moving, and the cost of moving the tenants' furniture and belongings, is funded by B.C. Housing. A part-time community development worker hired by the Society to provide support to existing tenants during this transition period, is funded by the Vancouver Foundation, the VanCity Community Foundation and the Co-operators' Group.
Once existing tenants are relocated to their new permanent apartments, the B.C. Housing operating agreement will require that low income tenants pay the B.C. Benefits maximum shelter allowance if on welfare or 30% of gross household income for rent.
PHASE II IMPLEMENTATION
Phase II of the Mole Hill non-market housing project will address the 16 remaining City houses previously used for residential purposes. Detail design and funding availability will determine the number and mix of units as well as the balance between low and moderate income households that can be achieved.
The funding initially provided by B.C. Housing was for 120 units. It now appears that a total of about 160 units can be developed in the 26 City-owned houses on the Mole Hill site. The Council report on implementation of the block plan and Phase II lease terms will address the funding required to complete the project and potential funding sources.
CONCLUSION
Phase I of the Mole Hill non-market housing project will result in the renovation of 10 City-owned houses, 9 of which are on the Heritage Inventory, and the creation of 68 dwelling units for low income singles as well as some couples and families with children. The proposed block plan, although modest in scope, will meet the needs of project residents as well as satisfy City policy requirements. Staff will report back on the progress of Phase I, block plan implementation details, and Phase II lease terms in the Fall of this year.
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