P3
                                                        POLICY REPORT
                           DEVELOPMENT AND BUILDING

                                           Date: April 15, 1996
                                           Dept. File No. 94061 ABJ/DT


   TO:       Vancouver City Council

   FROM:     Director of Land Use and Development

   SUBJECT:  Proposed Rezoning of 34 West Pender Street:
             Conditions of Approval


   RECOMMENDATIONS

        THAT the  conditions of approval for the rezoning of 34 West Pender
        Street,  established by  Council  following the  Public Hearing  on
        March 16,  1995, be amended  to delete  conditions (c) (i)  and (v)
        regarding  agreements for  remediation  of soil  contamination  and
        provision  of engineering  services,  respectively, provided  these
        matters  are   addressed  through  the  lease   agreement,  to  the
        satisfaction of the officials cited in the current conditions.

   GENERAL MANAGER S COMMENTS

        The General  Manager of  Community Services RECOMMENDS  approval of
        the foregoing.

   COUNCIL POLICY

   There is no applicable Council Policy.


   PURPOSE

   The  purpose of  this  report is  to  request that  Council rescind  two
   conditions  of  rezoning approval  for  this  City-owned  site,  as  the
   conditions will  be satisfied through subsequent  lease negotiations and
   reported to Council.

   BACKGROUND

   Following  a Public  Hearing  on March  16,  1995, Council  approved  in
   principle  the  application by  VLC Properties  Ltd.  to rezone  34 West
   Pender  Street for the purpose of providing non-market housing, a social
   service centre and some commercial space.   This approval was subject to
   conditions  recommended by staff and  established by Council,  to be met
   prior to enactment of the new zoning.

   DISCUSSION

   All conditions of rezoning approval have been met, with the exception of
   conditions (c) (i), requiring  an indemnification agreement to addresses
   contaminated  soil remediation, and (c) (v), requiring an agreement that
   on-site  and off-site works and services be  installed at no cost to the
   City.  The complete wording of  these conditions is outlined in Appendix
   A.

   Given  that  the City  cannot undertake  agreements  with itself,  it is
   proposed  that the  thrust of the  outstanding conditions be  met in the
   lease agreement with the Chinese Benevolent Association (CBA) and United
   Chinese  Enrichment Services Society (Success), who  wish to develop the
   site  and  are close  to receiving  development  permit approval.   With
   deferral  of  these two  conditions to  be  addressed through  the lease
   agreement, the rezoning by-law can proceed to enactment.

   CONCLUSION

   Staff recommend the prior-to-enactment conditions for the rezoning of 34
   West  Pender  Street  be  amended  to delete  the  conditions  regarding
   remediation of soil contamination and provision of engineering services,
   as both will be dealt with by Council in subsequent lease approvals.

                                     * * *
                                                                APPENDIX A 



   34 West Pender Street - Outstanding Conditions of Rezoning

   (c)  THAT, prior to  enactment of the CD-1 By-law, the  registered owner
        shall, at no cost to the City:

        (i)  execute an  agreement, to be registered  against the property,
             at  the  discretion of  the  Director  of Legal  Services,  in
             consultation with appropriate  Department Heads,  indemnifying
             the  City against any  liability which may be  incurred by the
             City as  a result of any contamination present on the site and
             providing a program of remediation as may  be deemed necessary
             and approved by B.C. Environment, in a sequence of steps to be
             prescribed,  monitored  and  certified  complete  by  such   a
             professional and approved by the Ministry;

        (v)  execute  a service agreement, to the  satisfaction of the City
             Engineer and  the Director  of Legal Services, to  ensure that
             all  on-site  and off-site  works  and  services  necessary or
             incidential to the servicing of the subject site (collectively
             called   the  "Services")   are  designed,   constructed,  and
             installed at  no cost  to  the City,  and that  all  necessary
             street dedications  and  rights-of-way  for the  Services  are
             provided, all to the satisfaction of the City Engineer and the
             Director  of  Legal  Services;  dates  for completion  of  the
             Services,  and  the  length  of  the applicable  warranty  and
             indemnity  periods shall  be to  the satisfaction of  the City
             Engineer.   Without limiting the  discretion of  the said City
             officials, this agreement shall include provisions that:

             (1)  no  Development Permit  in  respect of  any  improvements
                  shall be issued  until the design of all of  the Services
                  is completed to the satisfaction of the City Engineer;

             (2)  no occupancy  of any  buildings or  improvements shall be
                  permitted  until  all  Services   are  completed  to  the
                  satisfaction of the City Engineer; and

             (3)  a  warranty in respect of  the Services  shall be granted
                  for a period of time designated by the City Engineer, and
                  an  indemnity   shall  also   be  given   protecting  the
                  appropriate persons  for a  period of  time designated by
                  the City Engineer.