ADMINISTRATIVE REPORT

Date: January 30, 2002
Author/Local: S. Harvey 6001

RTS No. 02520

CC File No. 5104

Council: February 19, 2002

TO:	Vancouver City Council
FROM:	Director of Social Planning, in consultation with the Directors of Real Estate and Legal Services
SUBJECT:	Lease of 5288 Joyce Street: Collingwood Neighbourhood House

RECOMMENDATION

THAT Council approve a 5 year lease, commencing May 1, 2001, on the site and improvements at 5288 Joyce Street, legally described as Lot 1, Block A, D.L. 37, Plan 12815, to Collingwood Neighbourhood House Society ("CNHS"), at a nominal rent of $1.00 (one dollar) per annum, under the terms generally described in this report and on terms satisfactory to the Director of Real Estate Services and Director of Legal Services.

GENERAL MANAGER'S COMMENTS

The General Manager of Community Services RECOMMENDS approval of the foregoing.

COUNCIL POLICY

In June 1993, City Council agreed that City-owned purpose-built social service of cultural facilities are to be kept as assets of the Capital Fund, and that the annual rent for leased Capital Fund properties is to be one dollar. The lease of City assets below market value constitutes a grant and as such requires eight affirmative votes.

On July 7, 1994, City Council approved, in principle, that Collingwood Neighbourhood House Society be the lessee and operator of the Collingwood Village amenities.

PURPOSE

The purpose of this report is to request Council approval for a further 5 year lease to Collingwood Neighbourhood House Society for the social services facility at 5288 Joyce Street.

BACKGROUND

On June 24, 1993, Council approved rezoning the Joyce/Vanness industrial area to CD-1. As a condition of rezoning, the developer (VLC Properties Ltd.), was required to provide 25,000 square feet of community amenities, which includes a neighbourhood house, a 69 space child daycare facility and a community gym.

In July 1994, City Council designated Collingwood Neighbourhood House Society as the lessee and operator of the facility which was completed in 1995. The building was leased to them for 5 years, commencing November 1, 1995 at a nominal rent and they have been in good standing during the term of the lease; they are presently overholding on a monthly tenancy.

DISCUSSION

Staff recommend a lease to CNHS, on the same general terms as the expired lease, which include:

Term: 5 years
Rent: $1.00 per year
Services: CNHS to provide to the satisfaction of the City, social and recreational services including the operation of the neighbourhood house, childcare centre and gym.
Repairs: CNHS is responsible for all repairs, except major ones which are the responsibility of the City.
Insurance: CNHS is responsible for carrying full liability and property insurance.
Subleasing: Only for short term, non-commercial rental (to permit use by community groups).

CONCLUSION

Staff recommend a nominal lease for 5 years to CNHS as they have been performing to the satisfaction of the General Manager of Community Services under the terms of the previous lease.

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(c) 1998 City of Vancouver