Vancouver City Council |
CITY OF VANCOUVER
Administrative Report
Date:
June 28, 2004
Author:
K. Turnbull
Phone No.:
873-7156
RTS No.:
04373
CC File No.:
5753
Meeting Date:
July 20, 2004
TO:
Vancouver City Council
FROM:
General Manager of Engineering Services in Consultation
with the Director of Real Estate ServicesSUBJECT:
Proposed Lease of a Portion of Coal Harbour Seawalk
RECOMMENDATION
THAT Council close, stop-up and lease to the abutting owner (the "Lessee") the surface of all that portion of Coal Harbour Seawalk adjacent to 1673 Bayshore Drive, being Lot T of the Public Harbour of Burrard Inlet, Plan LMP12980 as shown in heavy outline on the plan attached hereto as Appendix "B", for use as a "lobby" area for the adjacent restaurant (The Point Bar and Grill), subject to the conditions as noted in Appendix "A".
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 Lot T of the Public Harbour of Burrard Inlet, Plan LMP12980 a portion of Coal Harbour Seawalk to accommodate the lobby area for the restaurant.
BACKGROUND
On November 5, 1993 Plan LMP12980 dedicated as road the Coal Harbour Seawalk. Plan LMP12980 also created Lot T. On June 24, 2002 the Development Permit Board approved DE404739 to construct a two-storey Restaurant/Marine Pub on this lot subject to various conditions. The application also proposed to build an "enclosed lobby area" which encroaches onto City road. The subject portion of road is shown heavy outlined on Appendix "B".
Condition A.2.1. of the Development Permit Board approval stated that:
"arrangements shall be made, to the satisfaction of the General Manager of Engineering Services and the Director of Legal Services, for all encroachments over Right-of-Way (being the road, Coal Harbour Seawalk).
A standard Encroachment Agreement will be required for the decorative portions of the building façade and roof that encroach over the Right-of-Way (road). Those areas for the exclusive use of the proposed Restaurant/Pub i.e. the entrance foyer and the additional deck area may require a lease with the City."
This report deals solely with the entrance foyer and lobby area.
DISCUSSION
The current owner had sought to validate the "lobby" encroachment by the City's standard encroachment agreement. As the lobby area will form a habitable and integral part of the restaurant the City's standard encroachment agreement is not an acceptable method to secure the private use of the area. The Director of Real Estate Services has therefore entered into negotiations for a lease over the afore-mentioned area.
The annual rental, as recommended by the Director of Real Estate Services to be $750.00 inclusive of property taxes as if levied plus GST and PST as applicable.
The design of the Restaurant/Pub is such that it is on a platform connected by bridges to the seawall walkway forming Coal Harbour Seawalk. The area to be leased extends onto Coal Harbour Seawalk by 3.05 metres (10 feet) and is well clear of pedestrian traffic along the Seawalk.
The decorative building façade, restaurant deck structure, access ramps and utility services encroaching onto City Street are all validated by Encroachment Agreements registered on the title of Lot T.
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.
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APPENDIX "A"
14484308. The term of the lease to be 20 years, with a 1 year notice of cancellation upon Council resolution, and a rent review every 5 years;
14484309. The initial rental to be $750.00 annually 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;
14484310. The use of the lease area to be limited to the lobby and waiting area for the restaurant;
14484311. The lease area to be a maximum depth of 3.05 metre (10 feet) onto Coal Harbour Seawalk as to in no way interfere with pedestrian traffic flow along the "seawalk";
14484312. The lessee to supply an as-built survey plan prepared by a B.C. Land Surveyor once construction is complete;
14484313. 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;
14484314. 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 inspection and maintenance of any shoreline protection works;
14484315. 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;
14484316. The lease agreement to be to the satisfaction of the Director of Legal Services and the General Manager of Engineering Services and may contain other terms and conditions to the satisfaction of the Director Legal Services, and the General Manager of Engineering Services.
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