POLICY REPORT
URBAN STRUCTURE

TO:

The Standing Committee of Council on Planning and Environment

FROM:

Director of Current Planning in consultation with the General Manager of Engineering Services and Director of Real Estate Services

SUBJECT:

False Creek Flats - CN Lands Subdivision - Park Conveyance Payment-in-Lieu

 

RECOMMENDATION

GENERAL MANAGER'S COMMENTS

COUNCIL POLICY

PURPOSE

This report recommends that the City accept a payment in lieu of park conveyance, regarding the subdivision of Parcel 1, D.L. 2037, Plan LMP 39747 at 300 Terminal Avenue (the CN Rail Yards).

BACKGROUND

In March 2000, the Approving Officer received a preliminary proposal from Canadian National Railway (CN) to subdivide their central yard (Parcel 1) into five parcels (Appendix A). Parcel 1 fronts on Terminal and Industrial Avenues, Station and Cottrell Streets, with a total area of 16.05 ha (39.66 ac). In response to the opportunities presented by the subdivision of such a major parcel, staff in concert with CN have developed a structure plan for the Flats. The plan is comprehensive, and includes connections through the Flats to adjacent communities, achieved in part through the ultimate road dedication requirements of this subdivision. The structure plan has been the subject of a separate report and has been approved by Council.

As shown in Appendix A, the subdivision of the site is proposed to be accomplished in two phases. In phase 1, Parcel 1 is proposed to be subdivided into 4 developable parcels along Terminal Avenue (proposed Lots 1,3,4 and 6), introducing 4 new roads perpendicular to Terminal Avenue and a 6.1 m (20 ft) lane. The proposed lots, road and lane dedications in Phase 1 have a combined area of 3.58 ha (8.84 ac), leaving a large parcel (proposed Lot 7) remaining. As part of the Phase 1 subdivision approval, the City will acquire options to purchase as necessary, to provide for a complete system of internal streets in the future.

Phase 2 would entail the subdivision of the remaining 12.47 ha (30.81 ac.) of rail yard (proposed Lot 7) at some future date, providing various additional parcels.

The road and ultimate park configuration is in accordance with the structure plan.

DISCUSSION

The existing site area of the central yard (Parcel 1) is in excess of 8.094 ha (20.00 acres), therefore the subdivision is subject to provisions of the Vancouver Charter and the Subdivision By-law regarding the conveyance of land for park or recreational purposes. Specifically, section 292 (1)(g) of the Charter sets out that upon subdivision of a parcel of land exceeding 20 acres, the applicant is required to convey to the City up to ten percent (10%) of the total land area included in the subdivision for parkland. Further, it states that Council may accept a payment in lieu of the park conveyance. (Section 292 (1)(g) of the Charter and section 12.1 of the Subdivision Bylaw are detailed in Appendix B)
To satisfy these requirements, staff and the applicant explored various options, including conveyance of 1.605 ha (3.97 ac) of land for park purposes from Parcel 1. However, given the irregular configuration of the site, the continuing operation of the rail yards for the foreseeable future, and the current lease obligations over portions of the site, actual park conveyance would be difficult to achieve.

As an alternative, CN proposed phasing the park conveyance by giving the City one portion within Phase 1 of the subdivision and the remainder within Phase 2. However, it is not definite that CN will abandon the remaining rail yards and the possible time frame could extend to more than 20 years in the future. The City Manager has advised that the City should not enter into a phased park conveyance agreement pursuant to S.12.1.6. of the Subdivision By-law.

In his February 15, 2001 letter of preliminary subdivision approval, the Approving Officer established that the required park land would need to be conveyed from Parcel 1 unless a payment-in-lieu agreement was approved by City Council. To that end, a payment-in-lieu arrangement between the City and CN is proposed in which CN will provide a payment in lieu of park conveyance for an amount equal to the value of ten percent (10%) of Parcel 1, as of the date of the payment.

CONCLUSION

After exploring all options to ultimately secure the park conveyance required in the configuration set out in the structure plan, staff recommend that Council authorise a park land payment-in-lieu as permitted by the Vancouver Charter and the Subdivision By-law.

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APPENDIX A
Page 1 of 1

CN PARCEL 1 SUBDIVISION - PHASES 1 AND 2

APPENDIX B
Page 1 of 1

With regard to the conveyance of land involved in a subdivision for park or recreational purposes, section 292.(1)(g) of the Charter states:

Section 12.1 of the Subdivision By-law contains provisions which closely follow the enabling authority of the Charter but also includes a provision for phased park conveyance. Specifically, Subsection 12.1.6 of the By-law states:

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