ADMINISTRATIVE REPORT

Date: October 25, 1999
Author/Local:/ C. Gray/7207
RTS No. 1071
CC File No. 5053

Council: November 2, 1999

TO:	Vancouver City Council
FROM:	Director of the Housing Centre
SUBJECT:	Renovation and Redevelopment of Mole Hill

RECOMMENDATION

A. THAT Council give approval in principle to the partnership between the City, BC Housing, the Vancouver/Richmond Health Board, the Mole Hill Community Housing Society, and the Dr. Peter AIDS Foundation to renovate and redevelop Mole Hill as set out in the Memorandum of Understanding attached as Appendix A, with final approval to be subject to report back to Council in early 2000 (as this is a grant, 8 votes of Council are required).

B. THAT Council authorize the expenditure of $25,000 from Contingency Reserve to pay the cost of a land survey for Mole Hill.

GENERAL MANAGER’S COMMENTS

The General Manager of Community Services RECOMMENDS approval of A and B.

COUNCIL POLICY

Council policy supports the redevelopment of Mole Hill for heritage preservation, affordable housing, and community services in the context of Nelson Park.

Grants require the approval of two-thirds (8 votes) of Council.

PURPOSE

This report seeks Council approval for a partnership between BC Housing, the Vancouver/Richmond Health Board, the Mole Hill Community Housing Society, the Dr. Peter AIDS Foundation and the City that would see Mole Hill redeveloped for:
· at least 120 units of housing developed under BC Housing programs and sponsored by the Mole Hill Community Housing Society, and
· a centre combining services plus 24 units of supported housing for persons with AIDS/HIV sponsored by the Dr. Peter AIDS Foundation and funded by the Vancouver/Richmond Health Board, the Ministry of Health, and BC Housing.

BACKGROUND

Mole Hill is the block bounded by Comox, Thurlow, Pendrell and Bute. As noted on Figure1, it is located across Comox from Nelson Park and across Thurlow from St. Paul’s Hospital. The City owns, 32 of 39 lots, 3.3 acres, within this block (Block 23, DL 185). Two of the City lots are vacant, one is occupied by the YMCA operated childcare, and the remaining 29 lots are occupied by 28 houses, all built before 1909. One of these is Watson House, a restored Heritage ‘A’ house, that is a Special Needs Residential Facility. The other 27 City-owned houses are occupied by 168 rental units managed by the City’s Real Estate Services. Currently 68 of the units are rented. The rest are vacant and awaiting the site’s redevelopment. The block is zoned RM-5B now.
Figure 1

On April 2,1996, Council adopted policies to guide the future redevelopment of Mole Hill, and initiated a community based planning process to prepare a concept plan for the block. These policies:
· named the block “Mole Hill”,
· kept the City’s lands in long term City ownership,
· secured the existing tenants’ rights to be accommodated in the future redevelopment,
· gave priority to rental housing for low and modest income households,
· preserved the heritage listed buildings and existing scale,
· allowed community uses to be included in the redevelopment, and
· restricted City funding for the redevelopment to revenues generated by the project.

Following the April 1996 adoption of the policies for Mole Hill, an extensive community consultation process was undertaken to develop a concept plan that would achieve these policies.

On June 3, 1997, Council set aside the Thurlow and Comox corner for the Dr. Peter AIDS Foundation who want to develop a centre that would provide services and supportive housing for persons with AIDS/HIV.

On October 28, 1997, Council adopted planning principles and a concept plan for the renovation and redevelopment of Mole Hill. These are attached to Appendix A. One of the motions passed by Council was to seek funding for the redevelopment through Provincial or Federal programs. Another motion allocated $50,000 to the next phase of planning for the Mole Hill redevelopment.

On April 23, 1999, the City and Province announced the 1998-2000 Non-Market Housing Partnership. One of the projects included in the partnership was the redevelopment of Mole Hill, phased over 3 years, with development of an implementation plan in 1998 followed by rehabilitation of the houses in 1999 and 2000.

On June 16, 1999, the Province announced that it was doubling the funding for non-market housing for 1999 and 2000, and that the intent was to allocate most of the funding in 1999. This allows the redevelopment of Mole Hill to be accelerated. On October 7, 1999, Council (In Camera) approved the projects to be developed under the 1999-2000 City/Province Non-Profit Housing Partnership. Mole Hill was one of these projects.

PARTNERSHIP PROPOSAL

A Memorandum of Understanding between BC Housing, the Vancouver/Richmond Health Board, the Mole Hill Community Housing Society, the Dr. Peter AIDS Foundation and the City is attached as Appendix A. It sets out the terms of the proposed partnership that would see Mole Hill redeveloped for:

· at least 120 units of housing developed under the Provinces HOMES BC Program, with approximately half the units to serve low income singles and half the units to serve a mix of low and modest income families; and

· a centre that will provides services and supportive housing to persons with AIDS/HIV, to be funded by the Ministry of Health, with services to be provided by the Vancouver/Richmond Health Board, and 24 units of supportive housing to be funded by BC Housing.

The redevelopment would be undertaken in accordance with Council’s policies adopted in April 1996. The current tenants would be accommodated, the heritage character of the houses retained and preserved, the YMCA’s childcare retained, Dr. Peter AIDS Foundation would be accommodated, and a mix of housing serving a range of incomes (60% core-need and 40% low-end of market rental), and household types (singles, couples and families, and independent and supportive housing) would be provided. The City’s Mole Hill lands would be redeveloped comprehensively, with the lane and Comox St., to create greenways, community gardens, and open space to complement Nelson Park to the north while ensuring adequate vehicular access to the development.

The major impacts of the introduction of provincial funding for the housing are financial. It is proposed that the City lease its lands for 60 years to the Mole Hill Community Housing Society and the Dr. Peter Foundation for a nominal prepaid rent. The October 1997 concept plan would have generated approximately $4 Million in net revenue to the City. This recognized the risk the City would be taking with the heritage renovation of the houses.

Under the proposed partnership, the City would lease the site for 60 years at nominal prepaid rents, and in return the Province would be taking on the risks associated with renovations, as well as providing the long term subsidies required to accommodate low and modest income singles and families. The City’s lands and houses would be redeveloped for a 60 year life span, and the City would get the site back at the end of the lease term. Under the October 1997, concept plan, the estimated $4 million in net income would have been generated by 9 houses that would have been leased for 99 years each. This leasehold ownership component is no longer required. The City would be eligible for a heritage bonusor density transfer that would be generated from developing the site at a lower density than permitted by the existing zoning.

If Council gives approval in principle to the proposed partnership, a detailed implementation plan will be developed for the whole site. The implementation plan would be reported to Council in the spring, at which time final approval from Council, along with final funding commitment from the Province, will be sought. At the same time that the implementation plan for the whole site is brought forward, the plan for the relocation of the existing tenants, and the first phase of the redevelopment would be presented to Council. It will identify the specific houses to be renovated in the first phase of the redevelopment, and set out the precise housing program for those houses.

Development of the implementation plan will be supported by City staff from Planning (Central Area and Heritage), Real Estate Services, Engineering, Parks, and the Housing Centre. Public consultation will be undertaken with the various interests that have participated in the planning for Mole Hill to date, as well as with the public at large. The results of the public consultation will be reported to Council together with the implementation plan.

Assuming Council and the Province give final approval to the project in the spring, construction of the first phase would commence in the summer of 2000.

When the concept plan for Mole Hill was approved in October 1997, Council set aside $50,000 for the next stage of planning work. At this time, $25,000 is requested with funding from contingency reserve for the preparation of a detailed land survey of the site that would accurately locate the houses, property lines, and other important features such as trees. The remaining $25,000 will likely be allocated to ensuring habitable suites are available for temporary relocations.

CONCLUSION

This report recommends approval-in-principle of a proposed partnership between the City, Province, Mole Hill Community Housing Society, and Dr. Peter AIDS Foundation for the redevelopment of Mole Hill. Approximately 140-150 housing units in total would be developed under provincial housing programs. A day centre to serve persons with AIDS/HIV would be developed as well. The City would lease the land for 60 years at a nominal prepaid rent to the sponsors, and the Province (BC Housing and Ministry of Health) and Vancouver/Richmond Health Board would provide the construction funding and operating subsidies. The 60 year leases at a nominal rent is a grant that requires 8 votes of Council to be approved.

- - - - -

APPENDIX A

October 25, 1999

MEMORANDUM OF UNDERSTANDING

between

BC Housing Management Commission (BC Housing),
the Vancouver/Richmond Health Board (the V/RHB),
the City of Vancouver (the City),
the Mole Hill Community Housing Society (the MHCHS), and
the Dr. Peter AIDS Foundation (DPAF).

This memorandum sets out the understanding between BC Housing, the V/RHB, the City, the MHCHS, and the DPAF, (the Partners) for the renovation and redevelopment of the City-owned Mole Hill lands for non-market housing and community uses, including the Dr. Peter Centre.

CURRENT STATUS

Site

The City owns 32 lots in the block bounded by Comox, Thurlow, Pendrell and Bute (Block 23, DL 185) (Mole Hill) with a total area of 131,069 sq. ft. as well as the lane between Pendrell and Comox. The location of the City’s lots is noted on Appendix A. There are 7 lots that the City does not own located in this block as well. Thirty (30) of the City’s lots are occupied by 28 houses and a childcare facility, and the remaining 2 lots are vacant. All of Mole Hill is considered to be a major heritage site in the city.

The City’s Houses

The City’s houses were all built before 1909, and 20 are listed on the City’s Heritage Inventory as having heritage merit of differing degrees, with ‘A’ having the greatest heritage value. The address and the heritage status of each house, is shown on Appendix B. The City has compiled an evaluation of each of the houses, including plans, which it has provided to BC Housing, the MHCHS and the DPAF. One house, Watson House at 1125 Pendrell St. is occupied by a Special Needs Residential Facility. The other 27 City-owned houses (the Houses) contain 168 units (45 sleeping/housekeeping rooms; 69 studios, 32 1-bedroom units; 19 2-bedroom units; and 3 3-bedroom units).

The Tenants

As of August 18, 1999, there were 68 units in the Houses rented and occupied by tenants. The rental of the units in the Houses, and the day-to-day management of the City’s Mole Hill property is currently provided by the Real Estate Services Division of the City.

City Policy

On April 2, 1996, Council adopted a set of policies to guide the renovation and redevelopment of Mole Hill. On October 28, 1997, Council adopted a set of directions and concept plan to implement these policies. These policies and directions are attached as Appendix C. The intent of these policies is for Mole Hill to be renovated and redeveloped as a heritage precinct, in the context of Nelson Park to the north, that will provide homes affordable to a variety of household types with a range of incomes.

THE PROJECT

The Partners propose to renovate and redevelop all of the City’s Mole Hill lands and the Houses, with the exception of Watson House and the YMCA Childcare that occupies the West Half of Lot  4 (the Project). The Project will be developed in accordance with the City’s policies adopted on April 2, 1996 and will generally implement the concept plan adopted by Council on October 28, 1997. The City will make all information, reports and plans that have been collected or were prepared during the development of the policies and directions available to the Partners. The renovation and redevelopment of the Houses will retain their heritage character, and any infill development will be compatible with the heritage character of Mole Hill. There are two components to the Project: non-profit housing to serve singles, couples, and families, and supportive housing and a day centre for persons with HIV/AIDS.

1) Non-Profit Housing for Singles and Families

The renovation and redevelopment of 26 of the Houses and possibly one of the vacant City lots in Mole Hill (West Half of Lot 17) would be undertaken through BC Housing’s Non-Profit Housing Program with conditional unit allocations to be provided in 1999 and 2000. The lots in this component of the Project would have a site size of approximately 118,100 sq. ft. and the 26 houses have a gross floor area of approximately 106,894 sq. ft.. The lane between Pendrell and Comox is included in this component of the project.

a) Program

The non-profit component of the Project will be a mix of studio, 1, 2 and 3-bedroom units, and may include sleeping and housekeeping rooms, though self-contained units have priority. At least 120 units will be developed with the total number of units and the unit mix to be determined through the detailed design process. Approximately half the 120 units will be designed for low-income singles and the other half for families. The low-income singles units will primarily serve individuals in core need. The remainder of the non-profit housing component of the Project will generally accommodate a mix of 20% deep and 20% shallow core-need households, who will pay the shelter component of GAIN or 30% of their gross income on rent, and 60% households able to pay a low-end of market rent.

b) Sponsor

MHCHS would be the sponsor for the non-profit housing component of the Project (the MHCHS project).

c) Tenants

All of the existing tenants in the Houses will be given the opportunity to continue to live in Mole Hill during construction, and after completion of the MHCHS project they will have the right to move into a unit in the MHCHS project appropriate to their household size, according to BC Housing’s criteria, and paying no more than the shelter component of GAIN or 30% of their gross household income on rent.

MHCHS will prepare a tenant relocation plan, and will manage the temporary and permanent relocation of the tenants. The City’s Tenant Assistance Program will provide support. The cost of the developing the tenant relocation plan, and the cost of relocating the tenants, will be covered by the budget for the MHCHS project. The City will ensure that habitable units are available in the Houses for any tenant needing to be temporarily relocated. The City will provide MHCHS with the tenant and rent roll for the Houses.

The City will lease the main floor of 1160 Comox to the MHCHS on a month to month basis and at nominal rent for the duration of the project for use as the MHCHS project office.

d) Budget

The houses will be renovated and redeveloped to last 60 years with normal maintenance and repair, noting that major building components will be replaced over the course of the 60 years. BC Housing commits to spending the Maximum Unit Price (MUP) budget for 120 units, less the land component of MUP, on the Houses.

e) Lane

The lane between Pendrell and Comox may be developed as a ‘greenway’. The cost of any improvements to the lane will be paid for through the budget for the MHCHS project. Pedestrian access by the public as well as vehicular access to the 7 lots that the City does not own will be maintained.

f) Lease

The City will lease the site for the MHCHS project at a nominal prepaid lease rent for a 60 year term. The lease will require that the heritage character of the Houses be maintained.

g) Survey

The City will prepare a survey of its Mole Hill lands that will locate all the Houses and any other structures currently on the property, and will locate all the trees. The survey will show the building grades for each lot as well. The City will pay for the cost of the survey.

2) Dr. Peter Centre

The DPAF proposes to develop the other vacant City-owned lot (Lot 1) and one house (1110 Comox) for a day centre and supportive housing to serve persons with HIV/AIDS (the DPAF project). The DPAF project would have a total site size of 12,969 sq. ft. and the house at 1110 Comox has a gross floor area of 4,613 sq. ft.

a) Program

The DPAF project will consist of a new building on Lot 1 and a renovation of the house at 1110 Comox. The new and renovated buildings may be linked to create the day centre. The DPAF project will be located on Lot 1 and the East ½ of Lot 2. The DPAF will develop a 15,000 - 20,000 sq. ft. day centre on the lots with 24 units of supported housing above.

b) Sponsor

The DPAF will be the sponsor and operator of the supportive housing and the day centre.

c) Funding

BC Housing will provide a 1999/2000 conditional allocation of funding for the 24 units of supportive housing. The capital costs for the day centre would be funded by the Ministry of Health, with the V/RHB funding the operating costs for the day centre and any services for the residents of the 24 units of supportive housing. If the funding from the Ministry of Health and the V/RHB is not confirmed when the block plan and first phase of the project is presented to City Council (scheduled for February 2000), the City may reallocate the DPAF site to other uses and BC Housing may reallocate the 24 units of supportive housing.

d) Lease

The City will lease the site to the DPAF for a nominal prepaid lease rent for a term of 60 years. The lease will require that the heritage character of the house at 1110 Comox be maintained.

RELATED ISSUES

Operation of the Houses During Redevelopment

The City’s Real Estate Services will continue to set and collect rents, and maintain the Houses, until the tenants are finally relocated and the renovations and redevelopment completed. The City will maintain the Houses as would a prudent landlord expecting to undertake major renovations and upgrades. Any major repairs to the Houses will be reviewed with BC Housing and the MHCHS, or in the case of 1110 Comox, with the DPAF, before they are undertaken.

Heritage Designation

The City intends to designate the Houses as heritage, and to rezone its Mole Hill lands to the density ultimately approved for the project. The City intends to sell the heritage bonus density generated by the Project to recover some of the foregone land value of the site. All the proceeds of the sale of the heritage bonus density will be the City’s.

The Mole Hill Childcare Centre

The childcare currently located on the West Half of Lot 4 is operated by the YMCA. It occupies a portable owned by the BC Building Corporation. The childcare centre is not part of the Project, and it may remain in its current location, but the development of the implementation plan for the Project will identify how the childcare centre can be accommodated if and when the portable is replaced with a permanent structure that would satisfy the 1999 childcare licensing requirements.

Watson House

Watson House at 1125 Pendrell is currently occupied by a Special Needs Residential Facility that provides accommodation for 6 young people. It is operated by Life Choices and is expected to continue in operation in Mole Hill.

Privately Owned Mole Hill Properties

The Project does not include the 7 lots that are not owned by the City. The City does not intend to acquire these properties as part of the Project. The implementation plan will assume that they remain privately owned and continue to be occupied by the existing structures.

PROCESS

Project Management

The MHCHS and BC Housing will co-ordinate the Project. The Society have retained Terra Housing Consultants as their project manager. BC Housing will provide Project Development Funding for the development of the implementation plan and phased design, and will oversee the project development.

City Team

The City will establish a team consisting of representatives from Central Area Planning, Heritage, Parks, Engineering, Real Estate Services, Social Planning and chaired by the Housing Centre to assist BC Housing, the MHCHS and the DPAF, and ensure that the City’s policies and objectives for the renovation and redevelopment of Mole Hill are achieved.

Architect

Hotson/Bakker Architects will be the architects for the Project. They will develop an implementation plan for the block (the Block Plan) that co-ordinates the MHCHS and DPF projects with the other uses in Mole Hill, and ensures the heritage and other community objectives for the block are achieved. Sean McEwen, working in partnership with Hotson/Bakker Architects, is the project architect for the MHCHS project. The DPAF will select an architect for their project to work with MHCHS’s architects.

Public Consultation

The Partners will consult with the tenants of the Houses, Watson House, the YMCA, the owners/residents of the privately owned Mole Hill lots, with the neighbours in the general area, and with groups with city-wide and specific interests, such as heritage and parks. Hotson Bakker Architects will manage the public consultation for the Partners.

Design/Project Development

The first stage of the Project would see the:
- development of the Block Plan for the Project which implements the City’s policies within the parameters of BC Housing’s program, and the Ministry of Health’s and V/RHB guidelines, and integrates the Project within the Mole Hill context,
- refinement of the housing program for the MHCHS project, and detailed design of the first phase of the MHCHS project identifying the houses to be renovated, the number and type of units etc.
- development of the tenant relocation program,
- refinement of the program and design for the DPAF project,

- public consultation related to the development of the implementation plan,
- preparation of project budgets for both the MHCHS and DPAF projects,
- conditional allocation of Homes B.C. funding for the MHCHS project and the 24 units of supportive housing for the DPAF project, and
- confirmation of capital and operating funding for the Dr. Peter Project from the Vancouver/Richmond Health Board, and
The Block Plan, budgets etc. will be reported to City Council for Council approval, together with the lease terms for the MHCHS and DPAF projects, and to BC Housing for Project Commitment.

If City Council approves the concept plan etc., BC Housing provides Project Commitment, and the Ministry of Health and V/RHB confirm their funding the renovation and redevelopment of the DPAF project, the renovation and redevelopment of the first phase of the MHCHS project and development of the DPAF project would commence. The existing tenants of the Houses would be accommodated in the first phase of the MHCHS project. The MHCHS and DPAF projects could be developed independently, and the first phase of the MHCHS project may proceed in advance of the DPAF project.

Design development of the second phase of the MHCHS project will proceed if and when Council gives final approval to the Block Plan and to the first phase of the development.

Copies of all reports, documents and plans developed for the MHCHS and DPAF projects or any related work will be shared by the Partners.

Schedule

Council approval of MoU October 1999
Homes BC Conditional Allocation October 1999
Conceptual Design etc. October 1999 - January 2000
Report to Council for Block Plan February 2000
Development Permit for First Phase March 2000
Building Permit May 2000
Tender Close/Project Commitment June 2000
Construction Start June 2000

This Memorandum of Understanding will be presented to City Council, to the Board of BC Housing, the board of the MHCHS, the board of the DPAF, and to the V/RHB Board for their approval, and is subject to their approval.

Until all legal documents are fully executed on terms and conditions satisfactory to the City’s Director of Legal Services and BC Housing’s solicitors, no legal rights or obligations will arise or be created.

For BC Housing For the City of Vancouver

__________________ ___________________
Peter Robinson Cameron Gray
General Manager Director of the Housing Centre

____________ ____________
Date Date

For the Vancouver/Richmond Health Board

__________________
Rick Rogers

____________
Date

For the Mole Hill Community Housing Society For the Dr. Peter AIDS Foundation

__________________ ___________________

____________ ____________
Date Date

APPENDIX B

Heritage Status of the City’s Mole Hill Houses

Address	Date of Construction	Heritage Status
1110 Bute	1908	B
1122 Bute	1908	B
1110 Comox	1906	B
1114 Comox	1907	B
1120 Comox	1904	A
1122 Comox	1904	A
1136 Comox	1907	B
1140 Comox	1907	B
1146 Comox	1904	none
1154 Comox	1906	none
1160 Comox	1888	A
1164 Comox	1894	A
1170 Comox	1894	A
1103 Pendrell	1907	none
1125 Pendrell	1897	A
1127 Pendrell	1904	B
1129 Pendrell	1889	B
1137 Pendrell	1889	B
1147 Pendrell	1891	none
1157 Pendrell	1899	none
1159 Pendrell	1899	B
1163 Pendrell	1899	B
1169 Pendrell	1898	B
1173 Pendrell	1898	A
1107 Thurlow	1903	none
1113 Thurlow	1903	none
1119 Thurlow	1903	C

APPENDIX C
Page 1 of 5

MOLE HILL COUNCIL RESOLUTIONS

1. Council Resolutions - April 2, 19961

A. That the block between Comox and Pendrell Streets, from Bute to Thurlow Streets, be named “Mole Hill”.

B. That the Mole Hill lands be recognized as a City resource and that the land not be sold in whole or part. Further that leasehold arrangements can be considered.

C. That all existing residents will be accommodated on site as renovation takes place.

D. That the City’s existing policy of mixed communities will be maintained. Further that priority be given to housing for low-end of market rental.

E. That the City-owned heritage listed buildings (“A”, “B” and “C”) be retained. Further that the city’s existing heritage policies will apply. And further that, in the event that buildings are moved or infill occurs, the existing scale and streetscape of Mole Hill should be respected.

F. That revenues for renovation of the housing will be generated from the site. Further that transfer of density policy may be used to achieve value from the unused development potential of the site.

G. That the policies of CityPlan will be used as the basis for demonstration options, including innovative infill, new forms of housing, community gardens, greenways, etc. Further that land and or street closures may be considered.

H. That other options for use of the buildings and land will be considered, such as day care, hospices, parks and other facilities that meet City needs.

I. That staff will be asked to develop options for a labour training program as the site is renovated.

J. That staff report back on a public planning process.

APPENDIX C
Page 2 of 5

2. Proposed Dr. Peter Centre - Site Reservation2

On June 3, 1997, City Council unanimously approved:

A. THAT Council reserve for one year all of Lot 1, Block 23, D.L. 185 and the rear 13.85 metres of the west and east half of Lot 2 Block 23, D.L. 185 as shown on Appendix A of the Administrative Report dated May 26, 1997, for the Dr. Peter Centre Project, recognizing this is a maximum area and the Centre may only require Lot 1 once funding, programming and massing have been finalized.

3. Planning Principles and Concept Plan for Mole Hill3

On October 28, 1997, Council endorsed the following:

A. Planning Principles

1. As a priority, monies generated by the site, including long term leases, should be used on the site including Comox Street and the lane. This should continue until renovations and unit upgradings are completed. In addition, staff should investigate other potential sources of funding.

2. Produce a reasonable return on the block, including some consideration of heritage density.

3. Renovations to preserve City asset and minimize costs over long term, recognizing heritage value where practical. Equivalencies should be sought under the building by-law.

4. All renovations to respect heritage exteriors and be as sensitive as possible to heritage features in the interiors.

5. Upgraded units to provide as many self-contained units as possible given physical constraints.

APPENDIX C
Page 3 of 5

6. All existing tenants accommodated on site.

7. A minimum of 96 units for low income and low end of market rental.

8. Accommodate Dr. Peter Centre on site.

9. Construction of a new daycare facility with a minimum of 25 spaces plus 28 spaces of family daycare, some of which will be located in existing houses.

10 (a) Maintaining the listed heritage houses on their current sites.

10(b) Retaining additions, subject to ability to provide upgraded accommodation without excessive costs.

11. Maximize the number of housing units on the block in existing structures and in new infill buildings on both the side and rear of existing sites, within the limits defined by the livability of the units, the heritage character and scale of the block; objectives for housing, social and economic diversity; and as a model for CityPlan infill initiatives. Where possible, a minimum distance of 16 feet should be achieved from existing buildings.

12. Housing Diversity - provide a variety of housing types and sizes in existing buildings, concentrating on providing larger units (suitable for families) in new infill.

13. Social Diversity - provide housing opportunities for a wide range of people of all ages, with special attention for families and children.

14. Economic Diversity - preserve at least half of the housing for lower incomes, but also provide housing opportunities for middle and higher income groups, as consistent with the City’s policy of mixed communities.

15. All new development should respect the scale and be sympathetic to the character of the existing houses.

16. Consolidated with Principle 11.

17. Substantial trees should be retained in place if possible, or replaced with more traditional species if endangered by new development.

18. Where possible, try to maintain open space around the mid-block of the lane and around the vacant “green-link” to the park.

APPENDIX C
Page 4 of 5

19. In open areas, priority should be given to community and heritage gardens.

20. Incorporated the City Greenway on Comox Street.

B. That the Concept Plan based on the amended principles be adopted by Council as the basis for the next phase of planning.

C. That the adoptions of (A) and (B) above, constitute the end of Phase I of the planning of Mole Hill and that Phase II commence immediately, involving the Mole Hill Working Group and the general public in further refining the plan and implementation strategies.

D. That funding for Phase II of Mole Hill planning, in the amount of $50,000 as described in the Policy Report dated July 21, 1997, be approved;

Further that the 1997 portion of this, in the amount of $25,000, come from Contingency Reserve Fund and the balance be included in the 1998 departmental operating budget.

E. That to expedite the first phase of the Mole Hill childcare development already approved by Council (i.e. the new construction of a childcare facility and an infill family dwelling unit suitable for licensed family childcare) being undertaken by the B.C. Wood Specialities Group, and to extend the useful life of the existing two adjacent houses, Council authorize the Manager of Real Estate and Director of Facility Development in consultation with staff from Heritage Planning to proceed with required service and life safety building upgrade work, basic maintenance, and minor heritage “revealing” work to the exteriors of the existing houses at 1129 and 1137 Pendrell;

Further that Council direct staff to work with B.C. Wood Specialities Group to explore sources for donated materials which will facilitate the current and future exterior heritage work in Mole Hill.

F. That Engineering and Planning staff report back on the treatment of the public lane, taking into consideration infill sites, services, pedestrian use, and vehicular access.

Further that Recommendation G of the Mole Hill Working Group, which reads as follows, be approved:

THAT Council and the Working Group explore partnerships with other non-market and private industry agencies. These partnerships could be for demonstration, innovation, and skill-training projects which will bring in equity and expertise and may have transferability to other city-wide initiatives, i.e. CityPlan or the Southeast Shore of False Creek.4

APPENDIX C
Page 5 of 5

G. That Appendix B, Page 3 of 3 be amended by reducing the number of units in the lease option by four houses and adding them to the rental option. (ie. Low-end-of-market Rental Reno’s from 55 to 83 units, Market Single-Family/Multiple Conversion Dwellings from 26 to 18 units)

H. That Council again request the Federal and Provincial Governments and GVHC to work with the City towards achieving low-income and lower-end market rental housing on this site to the degree possible.

* * * * *

(c) 1998 City of Vancouver

1 Regular Council Meeting Minutes of April 2, 1996

2 Administrative Report entitled “Proposed Dr. Peter Centre - Site Reservation” dated May  26, 1997.

3 Appendix B of the Policy Report dated July 21, 1997 with some amendments as stated in the City Clerk’s memo dated October 30, 1997.

4 Page 2 of the Extract from of minutes of Vancouver City Council October 28, 1997.