HomeMy WebLinkAbout91-42
AMENDED JJY
'15-1.4
BY-LAW #........If....
THE CORPORATION OF THE TOWN OF NEWCASTLE
BY-LAW 91-42
being a by-law to authorize the entering into
of an agreement between Markborough Properties
Inc., West Bowmanville Developments Limited and
the Town of Newcastle
WHEREAS the Council of the Town of Newcastle deems it expedient
to enter into an agreement with Markborough Properties Inc., and
West Bowmanville Developments Limited as per Resolution #C-635-
90, as amended by Resolution #C-636-90, passed on September 24,
1990;
NOW THEREFORE THE COUNCIL OF THE TOWN OF NEWCASTLE ENACTS AS
FOLLOWS:
1. THAT the Mayor and Clerk be authorized to execute on behalf
of the Corporation of the Town of Newcastle, and seal with
the Corporate Seal, an agreement between Markborough
Properties Inc., West Bowmanville Developments Limited and
the Corporation of the Town of Newcastle, made as of the
26th day of November 1990.
By-law read a first and second time this 11th day of March 1991
By-law read a third time and finally passed this 11th day of
March 1991
MAYOR
~
THIS AGREEMENT made as of this 26th day of November, 1990.
BETWEEN:
MARKBOROUGH PROPERTIES INC. and
WEST BOWMANVILLE DEVELOPMENTS LTD.
(hereinafter called the "Owners")
OF mE FIRST PART
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THE CORPORATION OF THE TOWN OF NEWCASTLE
(hereinafter called the "Town")
OF mE SECOND PART
WHEREAS:
a) The Owners own in fee simple certain lands (the "Lands") which comprise
approximately 26.7 acres located at the south-easterly comer of Green Road and
Highway No.2 in the Town of Newcastle;
b) The Lands are more particularly described in Schedule "A" attached hereto;
c) At its meeting on September 24, 1990, the Town Council passed Resolution
#C-635-90 as amended by Resolution #C-636-90 (a consolidated copy of which is
attached hereto as Schedule "B") by which Official Plan Amendment Application 88-
87/D IN (Revised) submitted by the Owners to permit the development of a
shopping centre incorporating certain retail floor space (the "Development") was
recommended to the Region of Durham for approval through an appropriate
amendment to the Durham Regional Official Plan and the Town of Newcastle
Official Plan (collectively called the "Proposed Official Plan Amendment") subject
to certain conditions including the making of this Agreement, Rezoning Application
DEV 88-89 (Revised) was approved, and the passing of the amending zoning by-
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law ( the "Zoning Amendment") was deferred pending satisfaction of certain
conditions relating thereto;
d) The Town has paid for the cost of installing a water main (the "Service") to serve the
Town's Recreational Centre located at the north-westerly comer of Regional Road
No. 57 and Highway No.2 and the Service includes sufficient capacity to service
additional development lands including the Development of the Lands;
e) The Parties hereto have agreed that the Owners' fair share of the cost incurred by
the Town of providing sufficient capacity in the Service to serve the Lands is
THREE HUNDRED THOUSAND ($300,000.00) DOLLARS and have allocated
this share of the cost to the Lands. The Parties have also agreed that the sum of
lHREE HUNDRED THOUSAND ($3~,OOO.OO) ~~s will be paid by the
Owners to the Town as set out in this Agreement; ~, r(J ~
NOW THEREFORE THIS AGREEMENT WITNESSETH that in consideration of
the premises and the covenants hereinafter expressed and the sum of TWO DOLLARS
($2.00) of lawful money of Canada, now paid by each party to the other (the receipt
whereof by each party is hereby acknowledged), the Parties hereto hereby covenant and
agree to and with the other as follows:
1. The Owners' fair share of the costs incurred by the Town of providing sufficient
capacity in the Service for the development of the Lands is nIREE HUNDRED
THOUSAND ($300,000.00) DOLLARS payable as follows:
a) The sum of ONE HUNDRED AND J:'frTY THOUSAND ($150.000.00)
DOLLARS shall be paid by the Owners to the Town in cash or by certified
cheque for the Town's use absolutely prior to the day on which the Council
of the Regional Municipality of Durham (the "Regional Council ") adopts the
Proposed Official Plan Amendment; and
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b)
The Owners shall pay to the Town the sum of ONE HUNDRED AND
tl1"TY THOUSAND ($150,000.00) DOLlARS plus the "Escalated Amount"
(as hereinafter defined) no later than the date of expiry of the ten (10) day
period commencing on the "Date of Final Approval etft- of the Zoning
Amendment" (as hereinafter defined).
..
2. Prior to the day on which the Regional Council adopts the Proposed Official Plan
Amendment, the Owners shall deposit the "Letter of Credit" (as herein defined) with the
Town's Treasurer. The Letter of Credit shall be drawn on a Canadian Chartered Bank
incorporated under Schedule "A" of the Bank Act R.S.C. 1970 c. It shall be in the amount
of ONE HUNDRED AND FIFI'Y THOUSAND ($150,000.00) DOllARS. It shall be
unconditional and irrevocable, and have a term of at least one (1) year. It shall provide
that it or a Renewal of it, as the case may be, is automatically renewed unless the Bank on
which it is drawn has notified the Town in writing that the Bank will not renew the Letter
of Credit, or the Renewal thereof currently in force, as the case may be, not less than thirty
(30) days before the day on which it or the Renewal of it is to expire. In the event that the
Town is notified that the Bank will not renew the Letter of Credit, or a Renewal thereof,
as the case may be, the Town may require the Bank to pay the amount of the Letter of
Credit or the Renewal of it to the Town, in which case the Town may deposit the amount
received from the Bank in a reserve account which is interest bearing pending occurrence
of the earlier to occur of the Date of Final Approval Day of the Zoning Amendment and
the "Date of Unwinding of this Agreement" (as hereinafter defined),
3(a). In the event that the Date of Final Approval of the Zoning Amendment occurs and
the Letter of Credit, or the Renewal thereof, as the case may be, remains outstanding, the
Town shall return the Letter of Credit or the Renewal thereof, as the case may be, to the
Own.ers undrawn upon and without deduction, forthwith after the day. on which the Owners
pay the Town the sum of ONE HUNDRED AND tltTY THOUSAND ($150,000.00)
DOLlARS together with the Escalated Amount in accordance with paragraph 1(b) hereof.
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3(b). In the event that the Letter of Credit, or the Renewal thereof, as the case may be,
has been drawn upon by the Town, on the Date of Final Approval of the Zoning
Amendment, the Town may appropriate the amount so drawn upon together with any
interest that has accrued thereon to the Town's own use absolutely. The Town shall credit
the amount so appropriated to the Owners' account in reduction of the sum of ONE
HUNDRED AND l'frTY TIIOUSAND ($150,000.00) DOllARS plus the Escalated
Amount which is required to be paid by the Owners to the Town pursuant to paragraph
l(b) hereof and give the Owners notice of the amount of the credit and the amount of the
deficiency, if any, between the credited amount and the amount required to be paid
pursuant to paragraph l(b). Forthwith after such notice is given, the Owners shall pay the
amount of any deficiency in cash or by certified cheque to the Town.
3(c) In the event that the Date of Unwinding of this Agreement occurs, if the Letter of
Credit, or the Renewal thereof,as the case may be, has not been drawn upon the TOWIl,! ~
__.....~... /<r'I... ,
Letter of Credit or the Renewal thereof, then in effect, shall be ~ forthwith by 'dIeT
to the Owners undrawn upon. In the event that the Date of Unwinding of this Agreement
occurs and the Letter of Credit, or the Renewal thereof, as the case may be, has been
drawn upon by the Town, the amount so drawn upon together with any interest, if any,
which in fact has been earned by the Town thereon shall be paid forthwith by the Town
to the Owners without deduction and the Town shall thereupon be released from any
further liability to the Owners arising out of this Agreement or any payment made by the
Owners pursuant to this Agreement.
3(d) For the avoidance of doubt, whether or not the Date of Unwinding of the Agreement
occurs, the Town is not under any duty to the Owners to return the whole or any portion
of the sum of money paid to the Town pursuant to paragraph lea) hereof, to the Owners.
4(a) For the purposes of this Agreement the term the "Date of Final Approval of the
Zoning Amendment" means the first day upon which the Zoning Amendment actually and
notwithstanding any deeming provisions contained in the Planning Act, 1983 S.O. 1983 c.l
first comes into force and effect as a result of one of the following events occurring:
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i) Where neither a notice of appeal is filed by any person in respect of one or
more of the provisions of the Zoning Amendment nor an application to Court
is made in which the validity of the Zoning Amendment is called into
question, the expiry of the fifteen (15) day period following the day on which
the Proposed Official Plan Amendment is approved pursuant to the Planning
Act, 1983.
ii) Where a notice of appeal to the Ontario Municipal Board is filed in
accordance with the Planning Act, 1983, but an application to Court is not
made in which the validity of the Zoning Amendment is called into question,
the later to occur of the date of expiry of the thirty (30) day period following
the day on which the Order of the Municipal Board dismissing the appeal is
entered, the order of the lieutenant Governor in Council dismissing the
appeal is made and the day on which the Proposed Official Plan Amendment
is approved pursuant to the Planning Act, 1983.
ill) Where an application to Court is made in which the validity of:
1. the Proposed Official Plan Amendment or the Official Plan
Amendment to give effect thereto, as the case may be, or the Zoning
Amendment, or
2) the proceedings before the Town Council or a Committee thereof, or
the proceedings before the Regional Council or a Committee thereof
in respect of any of the Zoning Amendment and/or the Proposed
Official Plan and Official Plan Amendment to give effect thereto, or
3) the approval of the Proposed Official Plan Amendment or the
proceedings, decision or order of the Ontario Municipal Board or the
lieutenant Governor in Council by the Proposed Official Plan
Amendment is approved,
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is called into question, either the date on which the "Final Disposition" of such application
to the Court is made if the result is that the Official Plan Amendment to implement the
Proposed Official Plan Amendment and the Zoning Amendment come into force and effect,
or if the Court remits the matter back to the Town Council or the Council of the Regional
Municipality of Durham, the Ontario Municipal Board or the lieutenant Governor in
Council, the date of Final Disposition of such matter by such body, board or person.
4(b) For the purpose of this Agreement, the term "Final Disposition" means:
i) The entry of an Order of a Court which finally disposes of an application to
such Court; or
ii) If following an application to a Court as referred to in this Agreement, the
Court remits the Proposed Official Plan Amendment and/or the Proposed
Zoning Amendment to the Ontario Municipal Board or the lieutenant
Governor in Council, the entry of an Order of the Ontario Municipal Board
or the making of an Order by the lieutenant Governor in Council which
finally dismisses an appeal from the Zoning Amendment and/or finally
approves the Proposed Official Plan Amendment.
5) For the purposes of this Agreement, the term the "Date of Unwinding of this
Agreement" means the earlier to occur of:
i) The day on which a decision or Order to reject the Proposed Official Plan
Amendment or to allow an appeal from the enactment of the Zoning
Amendment whether made by the Ontario Municipal Board or the lieutenant
Governor in Council, becomes final and binding; and .
ii) December 31, 1995 if by such date, either or both of the Proposed Official
Plan Amendment and the Zoning Amendment have not been adopted and
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enacted by the Regional Council and the Town Council, respectively and the
Date of Final Approval of the Zoning Amendment has not occurred.
6) For the purposes of this Agreement the term the "Escalated Amount" means the
aggregate of the amounts in excess of the sum of ONE HUNDRED AND t'frTY
THOUSAND ($150,000.00) DOLLARS (the "Initial Amount") which result from increasing
the Initial Amount by an amount (the "Increase") which is (are) determined, calculated and
compounded on a monthly basis not in advance, at a rate equal to the rate of which thirty
(30) day Government of Canada Bills are quoted, as provided by the Bank of Canada, in
effect on the first business day of each month which includes all or part of the period of
calculation in question, applied to an amount equal to the Initial Amount plus such
Increases by which the Initial Amount has been increased pursuant to this paragraph 6 up
~'"'~ to ~~c1uding the date on which the calculation in question is made, provided that in the
"r Owner's discretion the rate of increase applied in making each such calculation shall not
.~. ~ exceed fifteen percent (15%) per annum calculated and compounded on a monthly basis
~ not in advance. The first increase shall be determined, calculated and compounded on the
day which is the date of commencement of the calendar month which is at least thirty (30)
days after the day on which the Proposed Official Plan Amendment is adopted by the
Regional Council.
7(a) Any notices to be given under this Agreement shall be delivered to the Parties at
the respective addresses. The respective addresses of the Parties for such purposes
presently are as follows:
The Corporation of the Town of Newcastle
c/o The Clerk
40 Temperance Street
Bowmanville, Ontario
LtC 3A6
Markborough Properties Inc.
1 Dundas Street West
Suite 2800
Toronto, Ontario
MSG 212
Attention: Vice President
Development, Shopping Centres
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West Bowmanville Developments Ltd.
250 Consumers Road
Suite 403
North York, Ontario
M2J 4V6
Attention: President
7(b) Except in the event in the interruption in the postal service, any notices to be given
under this Agreement shall be delivered in person, delivered by ordinary mail where receipt
has been acknowledged, or sent by prepaid, registered mail addressed to the Parties at the
respective addresses as set out in paragraph 7(a). In the event that a notice is delivered
in person, the party receiving such notice shall forthwith indicate receipt of the notice by
signing a form of acknowledgment of receipt and in that event the notice sball be deemed
to have been received on the date on which the form of acknowledgment of receipt was
signed. In the event that the Party refuses to sign an acknowledgment of receipt of the
notice, the person delivering the notice may swear an affidavit or statutory declaration of
service, and the notice shall be deemed to have been received on the date of service as set
out in such affidavit or declaration, as the case may be. In the event that a notice is sent
by prepaid registered mail or by ordinary mail where receipt has been acknowledged, it
shall be deemed to have been received on the second clear business day following the day
on which the notice was sent.
7(c) In the event of any interruption in the postal service, notice shall be given to any
Party at its respective address as set out in paragraph 7(a), either in person or by special
courier in the manner as set out in paragraph 7(a). The Party receiving the notice shall
indicate the receipt of it by signing a form of acknowledgment of receipt and the notice
shall be deemed to have been received on the date on which the form of acknowledgment
was signed. In any event that any party refuses to sign an acknowledgment of receipt of the
notice, the person delivering the notice may swear an affidavit of notice or statutory
declaration and the notice shall be presumed to have been received on the date of service
as set out in such affidavit or statutory declaration, as the case may be.
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8) The Parties hereto agree that the Town has the capacity and authority under law to
make this Agreement for the benefit of the ratepayers of the Town.
9) Time shall be the essence of this Agreement.
THE PARTIES hereto have executed this Agreement.
SIGNED, SEALED AND DELIVERED
In the Presence of
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Se etary
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SCHEDULE "A"
Description of the Lands
Part of Lot 16, Concession 1, Town of Newcastle, more particularly described as
Parts 1,2, 3, 4 & 5 of a draft plan of survey prepared by JD. Barnes Ref. #90-25-
476-02
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SCHEDULE "B"
Resolution of Council of the Town of Newcastle C-63S-90 as amended by Resolution
C-636-90
THAT Report PD--282-90 be received;
THAT Official Plan Amendment Application 88-87/D/N (Revised) submitted by
Markborough Properties and West Bowmanville Developments be recommended to
the Region of Durham for approval through an appropriate amendment to the
Durham Regional Official Plan and the Town of Newcastle Official Plan which
would permit the development of a 21,400 sq. In. (230,000 sq. ft.) shopping centre
on the subject property and which would also incorporate the 3,200 sq. In. (33,900
sq. ft.) of retail floor space permitted under the adjacent local central area
designation, subject to the owners entering into an agreement with the Town with
respect to the payment of $300,000 as their share of the provision of water supply
services including an escalation clause;
THAT Rezoning Application DEV 88-99 (Revised) submitted by Markborough
Properties and West Bowmanville Developments to permit the development of the
proposed shopping centre be approved;
THAT the amending by-law be passed subsequent to the owners meeting the
following conditions:
a) Official Plan Amendment Application 88-87/D/N being approved by the
Region of Durham;
b) The owners satisfy the requirements of the Ministry of Transportation with
respect to transportation and access issues. This condition is applicable in the
event Highway No.2 is transferred to the Region or the Town;
c) The owners enter into an agreement with the Town of Newcastle, satisfying
all requirements, site planning, financial and otherwise of the Town of
Newcastle;
THAT any delegation and those persons listed in Report PD-282-90 be advised of
Council's decision, and a copy of Report PD-282-90 be forwarded to the Region of
Durham Planning Department.