ADMINISTRATIVE REPORT

                                           Date:  July 15, 1997
                                           Dept. File No. 000 352
                                           CC File No. 5753

   TO:       Vancouver City Council

   FROM:     General Manager of Engineering Services

   SUBJECT:  Proposed Closure of a Portion of the Lane South
             of Kingsway, East of Knight Street


   RECOMMENDATION

        THAT all that portion of the lane south of Kingsway shown hatched
        on the plan attached as Appendix "A", be closed, stopped-up and
        subdivided with the abutting lands subject to the following
        conditions:

        1)   The abutting owners to pay the City $210,786, plus GST if
             applicable, for the area of lane to be closed in excess of the
             area of lane needed to provide a standard width lane outlet to
             King Edward Avenue, in accordance with the recommendation of
             the Manager of Real Estate Services.

        2)   The owners to dedicate those portions of their lands necessary
             to provide a lane outlet to King Edward Avenue suitable to
             meet the circulation needs of traffic expected to use this
             lane, to the satisfaction of the City Engineer.

        3)   The owners to be responsible for the cost of relocating
             existing utilities or providing rights-of-way to contain them,
             to the satisfaction of the City Engineer. 

        4)   The owners to pay the City the additional cost expected to be
             incurred by routing the proposed sewer around the consolidated
             site, rather than through the portion of lane to be closed. 
             The estimated cost for this additional sewer work is $261,000,
             if constructed in 1997.

        5)   The owners to be responsible for the cost of physically
             closing the lane and constructing the new lane outlet, to the
             satisfaction of the City Engineer.

        6)   Proceeds from the sale of this lane to be credited to the
             Streets Capital Property Purchase Account #14/33/0601/999 -
             Property Acquisition Transportation Corridor.

        7)   No legal right or obligation shall be created and none shall
             arise hereafter, until the documents are executed.


   COUNCIL POLICY

   The authority for closing and disposing of streets and lanes is set out
   in the Vancouver Charter.


   PURPOSE

   An application has been received from the owners of the property on the
   east side of Knight Street from Kingsway to King Edward Avenue to
   purchase the portion of  lane separating their holdings, see Appendix
   "A".


   BACKGROUND

   On August 12, 1996, the Development Permit Board approved in principle,
   the Preliminary Development Permit on the subject site.  The proposal at
   that time involved three components. A retail/ commercial building on
   the east side of Knight Street from Kingsway to King Edward Avenue, a
   three storey retail/commercial building on the lot to the east of the
   Toronto Dominion Bank and a residential building on the east side of the
   proposed lane outlet to King Edward Avenue.  The owners  to that point
   in time had been unsuccessful in bringing the TD Bank site into the
   project and consequently, the lane at the rear of the bank site could
   not be considered for closure.

   Subsequent to the Development Permit Board meeting, the owners concluded
   an arrangement with the Toronto Dominion Bank for their site.  This will
   allow the amalgamation of the two building components on Kingsway and
   the closure of the lane at the rear of the bank site.

   DISCUSSION

   The requested lane closure has received the support of the Engineering
   Department because it offers an improvement to traffic flow along Knight
   Street, by eliminating the lane intersection and thereby reducing
   service vehicle conflict with buses.  The lane traffic in the
   re-configured lane is consolidated to the east of the intersection at
   King Edward Avenue where there is less congestion.  In addition, the
   subject lane is not part of a continuous lane system.  The provision of
   the new lane outlet to King Edward with its extra width of 24 feet and
   the provision of corner-cuts to ease the turning of traffic around the
   corner, will provide for existing lane traffic as well as traffic
   destined for the new development.  There are a few utilities in the lane
   and compensation is sought, as set out below, for the additional costs
   the City will face by diverting the lane.

   In addition to the normal requirement to have the owners pay for
   relocation of existing utilities or provide rights-of-way to contain
   them, we are recommending that the developer be responsible for the
   additional costs the City will experience when a new sanitary sewer is
   constructed in the subject lane.  The area is currently served by
   combined sewers.  It is planned that a new sanitary sewer will be
   constructed in the lane south of Kingsway and connect to an existing
   sewer on Knight Street near the intersection, with the lane south of
   Kingsway.  The lane closure and site consolidation requested by the
   owners will require that the new sewer be built now, around the
   consolidated site.  The additional cost for going around the site is
   estimated to be $261,000.

   In December of 1992, Streets Basic Capital was used for property
   acquisition of a portion of the development site fronting Knight Street
   for left-turn bay improvements.  At that time, the subject development
   was not at a stage where a land exchange could be arranged.  The City,
   using Engineering Capital accounts, therefore purchased a section of the
   subject site for the left-turn bay, and it is now appropriate to credit
   the sale proceeds to Engineering Capital accounts.  We recommend that
   funds from the sale of this lane be credited back to the Streets Capital
   Property Purchase Account #14/33/0601/999 - Property Acquisition
   Transportation Corridor.

   CONCLUSION

   The re-routing of the lane is supportable, provided the owners are
   prepared to comply with the conditions of closure set out in the
   recommendation, which they have indicated they are willing to do.


   APPENDIX A on file in City Clerk's Office

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