In-camera Council meeting released decisions and reports
January 15, 2019

Neighbourhood Energy Expert Panel

The related report remains sensitive and will not be release at this time.

• Decision

2017 Commercial Leasing Activity

For information only, the related report refers.

3030 Victoria Drive Lease and Operating Agreement

A. THAT Council approve Atira Women’s Resource Society (“Atira”) as the selected non-profit partner to operate the one-family dwelling located at 3030 Victoria Drive and legally described as PID: 012-069-612, Lot 9 of Lot C, Block 168, District Lot 264A, Plan 3886 (“the House”);

B. THAT Council authorize the Director of Real Estate Services to negotiate and execute a lease with Atira Women’s Resource Society (“Atira”) for the House on terms and conditions outlined in this report including:

• a nominal lease payment;
• a five year span with the option to extend for up to three additional five year terms at the City’s discretion;
• The inclusion of an Early Termination by Landlord clause such that after year five, the City may terminate the lease with a one-year notice to accommodate opportunity for park redevelopment.
• a requirement that monthly rent not exceed 30% of household income;
• reporting requirements, including an annual rent roll;
• all revenues generated from the project to be reinvested to:

i. fund an Operating Reserve, and/or
ii. maintain and enhance offered services throughout the life of the project, and/or
iii. fund payment of identified capital maintenance or replacement costs;

• the operator to provide insurance required by the City of Vancouver, and
• such other terms and conditions which is satisfactory to the Director of Real Estate Services, the Director of Legal Services, and Director of Finance and the General Manager of Arts, Culture and Community Services.

As the nominal lease of s. 17(1) is below the applicable 10-year market lease rate of approximately s. 17(1) for the House, recommendation B constitutes a grant valued at approximately s. 17(1) and approval requires eight affirmative votes of Council.

C. THAT Council approve a multi-year capital project budget of up to s. 17(1) for the rehabilitation works at the House; source of funding to be Development Cost Levies (DCLs) allocated to Replacement Housing to be added to the 2015-2018 Capital Plan for Affordable Housing grants. Expenditures for 2019 and subsequent years will be managed as part of the annual budget process;

D. THAT no legal rights or obligations shall arise or be created by A through C above unless and until all legal documentation has been executed and delivered by respective parties.

The Administrative Report dated December 4, 2018 , refers.

Lease of City-owned Property at 120-8383 Manitoba Street

THAT Council authorize the Director of Real Estate Services to negotiate and execute a lease (the "Lease") with Kent Metal Products Ltd. (the "Tenant") for premises at 120-8383 Manitoba Street as shown on Appendix A of the Administrative Report dated January 7, 2019, entitled “Lease of City-owned property at 1208383 Manitoba Street” (the “Premises”), located at a City-owned property situated at 8383 Manitoba, legally described as

 

PID:             009-165-096

Legal:          Block 15 District Lot 311 Plan 11689

 

on the following terms and conditions:

 

Lease Area:            Approximately 17,500 square feet plus exterior ground space surrounded by an existing fence.

 

Term:                      Seven (7) years commencing July 1, 2019, and ending on

                                June 30, 2026.

 

Possession Date:   March 1, 2019

 

Fixturing:                 s. 17(1) rent free (with the exception of utilities, maintenance, and insurance charges) commencing on the Possession Date, in which to install its Tenant’s fixtures.

 

Total Rent:          Total Rent inclusive of operating costs is as follows:

Year 1                  s. 17(1) / month (s. 17(1) PSF / year)

Year 2                  s. 17(1) / month (s. 17(1) PSF / year)

Year 3                  s. 17(1) / month (s. 17(1) PSF / year)

Year 4                  s. 17(1) / month (s. 17(1) PSF / year)

Year 5                  s. 17(1) / month (s. 17(1) PSF / year)

Year 6                  s. 17(1) / month (s. 17(1) PSF / year)

Year 7                  s. 17(1) / month (s. 17(1) PSF / year)

                                plus GST. 

 

Use:                         Manufacturing, fabrication and finishing of metal products, storage, and ancillary office.

 

Renewal Option:     Two (2) further options to renew for four (4) years each (the “First Renewal Term” and “Second Renewal Term”, respectively) on the same terms and conditions save and except the Total Rent, to be negotiated at market rates.

 

Termination:            The Landlord may terminate the lease at any time and for any reason after the 18th month of the First Renewal Term, upon providing the Tenant with 18 months notice.

 

Other Terms           

and Conditions:       The Lease will be based on the City’s current standard form of lease for commercial tenants.  Terms and conditions of the Lease are to be to the satisfaction of the Directors of Legal and Real Estate Services, it being noted that no legal right or obligations shall arise or be created until the Lease is fully executed by both parties.

 

All rents to be credited to the Property Endowment Fund (PEF).

 

The Administrative Report dated January 7, 2019 , refers.

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