ADMINISTRATIVE REPORT Date: July 12, 1995 Dept. File No. 6019A33 TO: Vancouver City Council FROM: General Manager of Engineering Services SUBJECT: Proposal by Marathon Realty Company Limited ("Marathon") to Subdivide Lot 7, District Lot 541 and of the Public Harbour of Burrard Inlet, Plan 13607 ("Lot 7") RECOMMENDATION THAT Council authorize the Director of Legal Services to enter into appropriate agreements on behalf of the City as required to implement the subdivision of Lot 7. GENERAL MANAGER'S COMMENTS The General Manager of Engineering Services RECOMMENDS approval of the foregoing. COUNCIL POLICY There is no applicable Council policy. PURPOSE The purpose of this report is to seek Council's approval to several legal agreements, to be prepared to the satisfaction of the Director of Legal Services, the General Manager of Engineering Services and the Approving Officer, required to implement the proposed subdivision of Lot 7 by Marathon. BACKGROUND In approving Marathon's application for subdivision of Lot 7 into six parcels, on February 25, 1994 the Approving Officer set forth the conditions upon which final approval would be given. The principal conditions of approval are as follows: 1. Conveyance to the City of Lot 1 (site of Howe Street Viaduct), subject to the option to lease back to Marathon of the available space under the Viaduct for a car park, for 99 years for $1.00; 2. Conveyance to the City of Lot 2 (site of Cordova Street Viaduct), subject to the lease back to Marathon of the availab l e space under t h e Viaduct for a c a r park, for 99 years for $1.00; 3. The City to have an option to purchase for $1.00, the land required for the construction of the Northerly Extension Viaduct, subject to the lease back to Marathon of the - 2 - available space under the proposed Viaduct for a car park and loading area, for 99 years for $1.00; 4. The City to have an option to purchase for $1.00, the land required for the construction of the Station Viaduct, subject to the lease back to Marathon of the space under and adjacent to the proposed Viaduct for a car park, if available, and other agreed purposes, for 99 years for $1.00; 5. The lease to Marathon of a portion of the undersurface of Cordova Street between Granville and Seymour (formerly held by Canadian Pacific) for a car park, the lease term to be 99 years for $1.00; and 6. Marathon to create road parcels along the extensions of Cambie and Abbott Streets and to grant the City an option to purchase the area known as the Station Viaduct in order to provide access to the land lying beyond the north boundary of Lot 7 (modified as hereinafter explained). The areas identified in the foregoing items 1 - 6 are illustrated on the attached drawing. With respect to item 6, above, Council was advised on March 14, 1995, in a report from the General Manager of Engineering Services, that Marathon has agreed in principle to convey to the City by way of options to purchase, road parcels for the Station Viaduct, the Cambie Street Extension and the Abbott Street Extension (see plan). These proposed road parcels would cross over the Canadian Pacific Railway Right of Way connecting the City street system with the lands of the Vancouver Port Corporation (in anticipation of future development of the Port lands) to the north of the Right of Way. In later negotiations between Marathon and Canadian Pacific, Canadian Pacific advised the City that because of the numerous railway tracks in the Canadian Pacific Railway Right of Way there was insufficient room to relocate the railway tracks in order to accommodate support structures for viaducts necessary for the extension of Cambie and Abbott streets as intended. As an alternative, Canadian Pacific agreed to continue to accommodate the Station Viaduct (see item 4 above) because of the importance of its location for providing access to the Port lands, but grant the City only rights of way over the railway tracks for pedestrian overpasses connecting Cambie, Abbott and Carrall (a new crossing offered by Canadian Pacific during negotiations) to the Port lands with the option to purchase for $1.00 the lands covered by the rights of way in the future if Canadian Pacific declares the railway lands as "surplus". It is a condition of the grant of the rights of way that the pedestrian overpasses must span the railway tracks unless Canadian Pacific, in its discretion, can make available land within the rights of way to accommodate support structures for the overpasses. Although items 1 - 6 summarize the principal conditions to be addressed through agreements, a subdivision of this size requires a number of supporting documents to safeguard the interests of the parties. The City's rights are over the Canadian Pacific right of way, therefore, Canadian Pacific is a party to the agreements. The agreements and the supporting documents have been prepared to the satisfaction of the Director of Legal Services, the General Manager of Engineering Services and the Approving Officer, as required, and will be registered concurrently with the subdivision plan, once it is approved by the Approving Officer. - 3 - * * * * *