909 Burrard - Street Loading Agreement for IGA Store

ADMINISTRATIVE REPORT

Date: June 24, 2002
Author/Local: RGM/7347

RTS NO. 02835

CC File No. 1203

Council: July 9, 2002

TO:

Vancouver City Council

FROM:

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

SUBJECT:

909 Burrard - Street Loading Agreement for IGA Grocery Store

RECOMMENDATION

THAT Council authorize the Director of Legal Services to enter into a Loading Area Agreement, on terms acceptable to the Director of Legal Services and the General Manager of Engineering Services, for a portion of Barclay Street adjacent to the lands located at 1000 Barclay Street (legally described as Strata Lot 1 and Strata Lot 3, both District Lot 185, Plan LMS 45) to provide for an exclusive on-street loading area to facilitate the operation of a grocery store;"

POLICY

There is no Council policy directly applicable to this matter.

BACKGROUND

On March 18, 2002 the Development Permit Board reviewed a change of use to allow an IGA grocery store as a tenant in the 909 Burrard Street Development. This use would normally be an outright approval ; however, the proposed tenant, HY Louie, requested City approval for a exclusive on-street loading area, as a limited number of vehicles required to serve the grocery store could not use the existing loading zone under the building due to pre-existing physical constraints. The Development Permit Board granted approval for the change of use to accommodate the grocery store and as part of the approval stated:

`THAT the Board ADVISE the General Manager of Engineering Services that it would support the approval of the application to create a loading area on Barclay Street, subject to the terms of the Loading Area Agreement, generally as set out in Appendix I (Attached), but with any other terms and conditions that he may impose including specific reference to the current operator of the grocery store as the only tenant allowed to enjoy the on-street loading; the provision of a contact person to deal with residents' complaints and a mediation process to resolve those complaints on an ongoing basis; and the agreement reflect the length of the ten year lease with IGA, .....'

The agreement in the form of a covenant is being prepared by staff. This agreement covers City concerns about the use and neighbourliness, and gives IGA the assurance it requires for loading to make the investment in the grocery store at this location. This includes provisions to limit the number and type of vehicles, and the time of day the area can be used. The agreement has provisions to ensure pedestrians are respected and the agreement can be cancelled with notice if the City requires the space for significant Civic purposes and for non compliance. There is also a $20,000 annual fee, for compensation for lost meter revenue from the four parking meter spaces which would be removed.

This agreement is highly unusual; however, the Grocery store has strong community and Planning support, and it is RECOMMENDED that the Director of Legal Services be granted authority to enter into this agreement on behalf of the City.

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Attachment

Appendix I - Recommended Loading Area Agreement Terms

DEVELOPMENT PERMIT APPLICATION NO. DE406328
LOADING AREA AGREEMENT PROPOSED TERMS
909 BURRARD STREET

1.1 As a condition of the approval of the on street loading space by the General Manager of Engineering Services, the owner (the "Owner") of Strata Lots 1 and 3 (the "Lands") and the Operator of the grocery store shall enter into an agreement with the City whereby the Operator shall be granted exclusive use of a loading area on Barclay Street (the "Loading Area") on terms and conditions acceptable to the Director of Current Planning in consultation with the General Manager of Engineering Services and the Director of Legal Services, which agreement shall address, without limitation, the following issues:
(a) the agreement (the "Agreement") shall, at the option of the Director of Legal Services, include a grant by the Owner of a Section 219 Covenant in favour of the City to be registered against the Lands securing the obligations contained in the agreement. The term of the Agreement shall be 5 years commencing upon the issuance of an Occupancy Permit for the Grocery Store. The City may suspend the Operator's right to use the Loading Area in case of emergency, for repair and maintenance purposes or for occasional use of City streets for purposes deemed necessary by the General Manager of Engineering Services. The Operator's use of the Loading Area may be terminated by the City in the event of default or upon termination of the use as a grocery store, after written notice;
(b) the rental for the Loading Area shall be determined by the General Manager of Engineering Services;
(c) the Operator shall provide a baseline study, to the satisfaction of the General Manager of Engineering Services, for the purposes of establishing the amount and flow of pedestrian and vehicular traffic currently using Barclay Street between Thurlow Street and Burrard Street;
(d) prior to commencement of use of the Loading Area, and thereafter during the term of the Agreement, the Operator shall use its ongoing reasonable best efforts to encourage suppliers to make deliveries using vehicles which are capable of using the on-site underground loading facilities. The Operator shall, from time to time, upon request of the Director of Current Planning, provide evidence to the satisfaction of the Director of Current Planning that such efforts have been made, and are ongoing;
(e) the Loading Area shall be used only by delivery vehicles which are incapable of using the on-site underground loading areas;
(f) the Operator shall provide to the Director of Current Planning, from time to time, upon request, a complete, up-to-date list of those suppliers using the Loading Area, together with aschedule showing the daily number of deliveries by each supplier;
(g) the maximum number of delivery vehicles permitted to use the Loading Area shall be as follows:
(i) a maximum of 7 vehicles of any type per calendar day;
(ii) a maximum of 14 semi-trailer (articulated) vehicles per calendar week; and
(iii) a maximum of 40 vehicles of any type, including those listed in (i) and (ii) above, per calendar week;
provided that the maximum number of vehicles permitted to use the Loading Area shall be reviewed on or before the anniversary date of the commencement of the Agreement (the "Anniversary Date") and may, in the sole discretion of the Director of Current Planning, in consultation with the General Manager of Engineering Services, be amended;
(h) the Operator shall use reasonable best efforts to ensure that any conflicts between pedestrians and delivery activity in the Loading Area are minimized and that delivery activity yields to pedestrian activity;
(i) the use of the Loading Area shall be limited to the hours of 9:00 a.m. to 5:00 p.m., Monday through Friday and 10:00 a.m. to 5:00 p.m. on Saturdays, Sundays and statutory holidays;
(j) the Loading Area shall not be used for garbage or recycling pick up;
(k) the Operator shall refuse to accept the delivery of any goods or supplies from the Loading Area where the delivery is not in compliance with the Agreement. The Operator shall ensure that its employees and suppliers are aware of the Operator's obligations in this regard;
(l) all vehicles using the Loading Area shall shut off their engines during occupation of the Loading Area, except as necessary for the operation of equipment such as lifts or refrigeration units;
(m) no storage of any goods, supplies, equipment or materials shall be permitted on the Loading Area. The Operator shall keep the Loading Area clean and tidy at all times and all landscaping surrounding the Loading Area shall be maintained as approved pursuant to the Development Permit to the standards expected on a residential street and to the satisfaction of the Director of Current Planning;
(n) the Operator shall ensure that there is, at all times, during operating hours of the grocery store a designated individual who shall be charged with the responsibility of managing the Loading Area and enforcing the terms of this Agreement in respect thereto;
(o) the Operator shall acknowledge that the use of the Loading Area may result in impacts on surrounding residents and businesses and shall, on or before the Anniversary Date each year, review all delivery arrangements and undertake to use reasonable best efforts to reduce, over time, the size and number of deliveries from the Loading Area. Such yearly review shall be made available to the General Manager of Engineering Services upon request;
(p) the Loading Area shall be used only in compliance with the terms of the agreement;
(q) costs for road and curb repair, signage and line painting on the Loading Area shall be the responsibility of the Operator; and
(r) such other terms and conditions that may be imposed by the Director of Current Planning, the General Manager of Engineering Services, and the Director of Legal Services.

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TO:	Vancouver City Council
FROM:	General Manager of Engineering Services in consultation with the Director of Current Planning and the Director of Legal Services
SUBJECT:	909 Burrard - Street Loading Agreement for IGA Grocery Store