A5
ADMINISTRATIVE REPORT
Date: July 5, 1995
Dept. File No. 3213
TO: Vancouver City Council
FROM: Manager of the Housing Centre
SUBJECT: Lease of Caretaker's Suite - 1878 Robson Street
RECOMMENDATION
THAT Council, in accordance with Section 2(3) of the Residential
Tenancy Act, approve a by-law to permit the Belmanor Apartments
Limited to enter into and assign long-term leases of units at 1878
Robson Street and instruct the Director of Legal Services to
prepare the necessary by-law.
GENERAL MANAGER'S COMMENTS
The General Manager of Community Services RECOMMENDS approval of
the foregoing.
COUNCIL POLICY
City policy is to protect the interests of tenants when rental housing
is lost through stratification, redevelopment, or conversion by such
means as long-term leases.
PURPOSE
This report recommends that Council approve a by-law to regularize a 99-
year lease of the former caretaker's suite at 1878 Robson Street.
BACKGROUND
In response to concerns over the loss of rental housing through
conversions to long-term leases, the Province in 1990 amended Section 2
of the Residential Tenancy Act to state that:
"(3) No Landlord, other than an individual who is the
holder of a lease under a tenancy agreement for a
term exceeding 20 years and is the occupier of the
rental unit shall enter into a tenancy agreement for
a term exceeding 20 years, or assign a tenancy
agreement with 20 or more years of its term yet to
run, except with the prior approval, by by-law of
the municipality in which the premises are
located."CARETAKER SUITE AT 1878 ROBSON STREET
Belmanor Apartments located at 1878 Robson Street is owned collectively
by its occupants in a form of tenure predating the Strata Title (now the
Condominium) Act commonly referred to as an 'apartment company'. The
company, incorporated in 1950, is called Belmanor Apartments Limited and
1878 Robson Street is its sole asset.
When the units were originally leased to the first purchasers, the
company retained one unit to rent to a caretaker. In 1991 the
occupant/shareholders of the building wanted to raise funds for
renovations and entered into a long-term lease (longer than 20 years)
with a purchaser. Subsequently, the company became aware that the long-
term lease required the approval of City Council, and they have written
to seek Council approval to enter into the long-term lease under Section
2(3) of the Residential Tenancy Act to regularize the current
arrangement.
It is recommended that Council approve a by-law to permit Belmanor
Apartments Limited to enter into and assign the long-term leases of the
units at 1878 Robson Street. The RTA was drafted to provide
municipalities with the flexibility to permit long-term leases where
justified by individual circumstances. The caretaker unit was never
part of general rental housing stock and is located in an otherwise
owner occupied building. With the advent of property management
companies, live-in caretakers are no longer necessary.
As has been done in the past, a by-law covering the whole building is
recommended, rather than just for the caretaker's suite, to avoid the
need for similar by-laws in the future for the assignment of the long-
term leases in the building. This eliminates uncertainty for future
vendors and purchasers, and administrative costs for the City.
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