Vancouver City Council |
CITY OF VANCOUVER
Administrative Report
Date:
June 16, 2004
Author:
K. Turnbull
Phone No.:
873-7156
RTS No.:
04328
CC File No.:
5104
Meeting Date:
July 6, 2004
TO:
Vancouver City Council
FROM:
General Manager of Engineering Services in Consultation
with the Director of Real Estate ServicesSUBJECT:
Proposed Lease of Portions of Granville Street
RECOMMENDATION
THAT Council close, stop-up and lease to the abutting owner (the "Lessee") the surface of all those portions of Granville Street adjacent to 1502 West 3rd Avenue, being Lots 16, 17, 18 and the North 25 feet of Lot 19, Block 240, District Lot 526, Plan 18153 as shown hatched and cross-hatched on the plan attached hereto as Appendix "A", subject to the conditions as noted in Appendix "B".
It should be noted that no legal right or obligation is created and none shall arise until execution of the lease.
COUNCIL POLICY
The authority for closing and disposing of streets and lanes is set out in the Vancouver Charter.
PURPOSE
The purpose of this report is to obtain Council authority to close, stop-up and lease to the abutting owner of Lots 16, 17, 18 and the North 25 feet of Lot 19, Block 240, District Lot 526, Plan 18153 two portions of Granville Street for the display of motorcycles, scooters, and similar small vehicles and power equipment.
BACKGROUND
Carter Honda has leased the adjoining City-owned property to the south of 1502 West 3rd Avenue (Lot D, Block 240, District Lot 526, Plan 18153). The original lease was for a three year term and expired on May 31, 1998. The lease was subsequently renewed for a five year term with a six (6) month notice of cancellation. Beyond the use of Lot D, Carter Honda has regularly used City sidewalks for the display and sale of motorcycles and other goods, all without permission from the City. The area being used for the display of motorcycles and other goods has continually grown and is encroaching further onto Granville Street. We have now received a request from Carter Honda to lease the portions of Granville Street as shown hatched and cross-hatched on the plan attached hereto as Appendix "A", in addition to the City-owned Lot D.
DISCUSSION
Granville Street at this location is directly under the Granville Street Bridge and is constructed as a standard 66-foot street, but is legally 80 feet wide. As such there is an extra wide boulevard on the west side of the constructed portion of Granville Street. The area east of the Carter Honda site and the City-owned Lot D is paved and has been used for parking motorcycles for some time.
On May 22, 2003 the Permits and Licenses Group filed inspection report IR353477 which comments on the use of the Granville Street Boulevard without permission. On June 19, 2003 a letter was received from Carter Honda requesting comments under what terms and conditions the City would lease the portion of Granville Street.
After some consideration and review of conditions in the area, it was deemed reasonable that subject area could continue to be used for parking motorcycles, subject to appropriate arrangements.
It is noted that this is a heavy pedestrian area in particular with the traffic to Granville Island. The lease area sought by Carter Honda was significantly larger than now recommended in this report. There were safety concerns identified in the internal review of the matter, which are now addressed by restricting the areas as described here-in. We have a minimum clearance of nine (9) feet between the building and the hatched lease area along Granville Street is to remain clear at all times for pedestrian traffic. Furthermore, any goods including cars, which are only to be in the area adjacent to Lot D, are to be set behind wheelstops or otherwise one metre inside the cross-hatched lease area.
To give the applicant use of the area and provide the City with appropriate indemnities, it is necessary to close, stop-up and lease the subject area. The Director of Real Estate Services has negotiated a lease with terms and conditions generally as described in the Recommendation.
CONCLUSION
The proposed lease will provide for the indemnification of the City and will require that the Lessee be responsible for the maintenance of the lease area. The future use of the lease area will be assured through the cancellation provisions in the lease, and the City will receive market rent for the use of City street. It is therefore recommended that Council approve the lease subject to the conditions set out in this report.
- - - - -
APPENDIX A
City of Vancouver Engineering Services Plan
APPENDIX "B"
84541036. The term of the lease to be 5 years, commencing on June 1, 2003, with an immediate notice of cancellation should the terms of the occupation be violated and a six (6) month notice of cancellation otherwise;
84541037. The rental to be $1,500.00 per month inclusive of property taxes as if levied, plus GST and PST as applicable in accordance with the recommendation of the Director of Real Estate Services;
84541038. The rental to be reviewed on the 30th month of the lease, in accordance with the recommendation of the Director of Real Estate Services;
84541039. The lease area to be used only for the display of goods for sale. The hatched area being restricted to small items including motorcycles, scooters, and similar small vehicles and power equipment. All displayed goods to be less than five feet in height;
84541040. The display of goods to occur only during regular business hours, and not when the business is closed or any time on Sundays or statutory holidays;
84541041. The Lessee to be responsible for the cost of a land survey to mark out and quantify the lease areas hatched and cross-hatched;
84541042. The Lessee is to maintain the lease area, including marking the lease area in a manner satisfactory to the General Manager of Engineering Services;
84541043. The City and utility companies are to have the right of entry at any time, to the lease area for the purpose of installing, maintaining and repairing utilities above and below the lease area, including any and all work on the bridge structure and columns;
84541044. No signage or advertising in the lease area and in particular on the bridge columns;
84541045. All material displayed is to be done, such that it is at all times at least one (1) metre inside the Granville Street curb and in a manner, on all sides of the goods display area, that all business can occur within the lease area. No business is to be conducted on the adjacent City sidewalks;
84541046. The Lessee to assume full responsibility for liabilities, loss and damages from their occupancy or use of the lease area, and to insure the proposed lease area with a comprehensive general liability insurance policy to the satisfaction of the Director of Real Estate Services and the Director of Risk Management;
84541047. Upon expiry or termination of the lease, the Lessee is to be responsible for the restoration of the lease area to the satisfaction of the General Manager of Engineering Services;
84541048. The lease to contain the City's standard bridge proximity language and to be to the satisfaction of the Director of Legal Services, the Director of Real Estate Services and the General Manager of Engineering Services and may contain other terms and conditions to the satisfaction of the Director of Legal Services, the Director of Real Estate Services and the General Manager of Engineering Services; and
84541049. The Lessee shall not assign or sublet without written consent from the City, which consent may not be unreasonably withheld.
* * * * *