ADMINISTRATION REPORT REPORT

Date: January 22, 1999
Author/Local: JFranko/7102
RTS No. 00479
CC File No. 5311

TO:	Vancouver City Council
FROM:	Subdivision and Strata Title Coordinator
SUBJECT:	Approval of Strata Title Conversion - 1641 Commercial Drive

RECOMMENDATION

THAT the application to convert the previously-occupied buildings at 1641 Commercial Drive (Lot H, Block 63, D.L. 264A, Plan 20354) to strata title ownership be approved in principle, but that pursuant to Section 9(1) of the Condominium Act, the Certificate of Approval (Form 10) shall not be issued unless the following condition has been met within one year of the date of this approval:

Completion of all work required by the City Building Inspector, under the required trades permits, at no cost to the City, in order that the previously-occupied buildings substantially comply with all relevant City by-laws.

GENERAL MANAGER’S COMMENTS

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

COUNCIL POLICY

Council policy is reflected in the City’s Strata Title and Cooperative Conversion Guidelines, which outline factors which Council will consider in reviewing applications for converting previously-occupied buildings to strata title or cooperative ownership.

PURPOSE

Council approval is required for an application to convert the previously-occupied buildings at 1641 Commercial Drive (Lot H, Block 63, D.L. 264A, Plan 20354) to strata title ownership.

BACKGROUND

The site is zoned C-2C and is developed with the complex commonly referred to as the “Il Mercato Shopping Centre”, which was constructed in 1986, in accordance with development and building permits issued at that time. The complex is comprised of a stand-alone restaurant (McDonald’s) on the westernmost portion of the site; and three buildings on the remainder of the site, which are connected by a galleria. One of the buildings is a large grocery store, the other two contain various retail, restaurant, office and financial institution uses. These buildings are built over one level of underground parking.

The site location is shown in Figure 1, below.

Figure 1

The owners propose to register a single strata plan over the entire development, creating 29 commercial strata lots. The entire parking garage will be designated as Common Property.

The shopping centre is fully tenanted with commercial tenants. In accordance with Council’s policy with regard to commercial rather than residential tenants, the tenants were notified in writing of this application, but their comments were not solicited.

Only one of the tenants (McDonald’s) responded to the notification. Initially, the company’s representative indicated that McDonald’s did not support the strata title conversion, on the basis of potential conflicts with their existing lease arrangements. Subsequently, discussions between the applicant and McDonald’s solicitor ensued. The parties resolved to review the lease to ensure that the conversion will not impact negatively on McDonald’s status. On the basis of the applicant’s written commitment to McDonald’s to ensure all rights and provisions of the existing lease will be protected, McDonalds’ solicitor has indicated his client has withdrawn their objection to the strata title conversion.

STAFF ANALYSIS

In addition to Planning Department staff, the City Engineer and the City Building Inspector have reviewed this application. As the building contains only commercial tenancies, the Manager of the Housing Centre was not asked to comment.

The City Engineer has no servicing or dedication requirements for this site.

The City Building Inspector reports that the buildings have a number of deficiencies that must be rectified, under trades permits, before they will substantially comply with all relevant City By-laws. Upgrading is required to meet code specifications of the: Building, Electrical, Plumbing, Fire and Sprinkler By-laws. Subject to the work being completed to his satisfaction, the City Building Inspector has no objections to the strata titling of these buildings.

CONCLUSION

Based on the foregoing, and on the applicant’s compliance with the City’s Strata Title and Cooperative Conversion Guidelines, the Subdivision and Strata Title Coordinator supports this application.

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(c) 1998 City of Vancouver