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HomeMy WebLinkAboutPSD-075-11 lay Leading the Way REPORT PLANNING VI Meeting: GENERAL PURPOSE AND ADMINSTRATION COMMITTEE Date: September 12, 2011 Resolution#: By-law #: N/A Report #: PSD-075-11 File #: RE 6.1.4 Subject: WATERFRONT LAND ACQUISITION 43 WEST BEACH ROAD, BOWMANVILLE RECOMMENDATIONS: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council the following: 1. THAT Report PSD-075-11 be received; 2. THAT the property identified as 43 West Beach Road, Bowmanville, Ontario and being more particularly described as Lot 26 and Part Lot 27, Plan 150, in the Municipality of Clarington, Regional Municipality of Durham, for the purchase price of Two Hundred and Sixty Five Thousand ($265,000.00) Dollars, subject to adjustments; 3. THAT the funds for the purchase, and any associated costs, be charged to account number 110-50-130-850002-7401 Land Acquisition Account; 4. THAT Mayor and the Clerk, on behalf of the Municipality, be authorized to execute an Agreement to acquire the property; 5. THAT Staff be directed to take all necessary actions to complete the transaction; and 6. THAT all interested parties listed in Report PSD-075-11 be notified of Council's decision Submitted by: Reviewed by: _.. Da id . Crome, MCIP, RPP Franklin Wu, Director of Planning Services Chief Administrative Officer 25 August 2011 IL/df CORPORATION OF THE MUNICIPALITY OF CLARINGTON 40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L1 C 3A6 T(905)623-3379 F (905)623-0830 REPORT NO.: PSD-075-11 PAGE 2 1. BACKGROUND 1.1 In 2000 the Municipality completed a Land Acquisition Strategy which was adopted by Council to provide a phased approach to the acquisition of land for a variety of public uses. The Strategy was intended to serve as a guide for land acquisition in accordance with the policies of the Clarington Official Plan. In February 2007 an update to the Land Acquisition Study and Financial Analysis was completed and adopted by Council. The property located at 43 West Beach Road, Bowmanville (Attachment 1) was identified in both studies as a priority waterfront acquisition. 1.2 The Municipality has been purchasing land along West Beach Road since the early 1990s for the purpose of providing public access to the waterfront. Twelve parcels have been purchased in addition to the recently acquired Port Darlington Harbour Company lands. Lands that are adjacent to parcels already owned by the Municipality are considered the first priority for acquisition. 1.3 43 West Beach Road has 29 feet of frontage, a depth of 386.8 feet, and a total lot area of 0.15 acres. It is improved with a frame dwelling unit and has waterfront access. The lot is immediately east of vacant land currently owned by the Municipality and two lots west of the former Port Darlington Harbour Company lands. 1.4 The owners have contacted staff on several occasions over the years with the intent to sell. In February of 2009 Ryan Realty Services Ltd. completed an appraisal report on the property and its fair market value was determined to be $260,000.00. The Owners were firm in their asking price of$320,000.00 in 2009, therefore, staff could not recommend to Council that the property be purchased. 1.5 Recently the property owners reopened negotiations and agreed to a price of $265,000.00. The real estate market has not changed significantly in the past two years, the current offer is considered to be reasonable. 2. CONCURRENCE: The Director of Finance has reviewed this potential acquisition and has confirmed that funding is available. 3. CONCLUSION 3.1 The property has been identified for acquisition in the Land Acquisition Strategy and is adjacent to lands that the Municipality owns. It is identified as one of several parcels required for the full development of the West Beach District Park. 3.2 This property may be sold on the open market if it is not acquired by the Municipality which could result in property improvements that would increase its value and future purchase price. It is recommended that the property be purchased now as the owners are willing to sell at the appraised fair market value. REPORT NO.: PSD-075-11 PAGE 3 CONFORMITY WITH STRATEGIC PLAN The recommendations contained in this report conform to the general intent of the following priorities of the Strategic Plan: Promoting economic development Maintaining financial stability Connecting Clarington Promoting green initiatives X Investing in infrastructure Showcasing our community Not in conformity with Strategic Plan Staff Contact: Isabel Little, Planner Attachments: Attachment 1 — Key Map Attachment 2 — Signed Offer to Sell List of interested parties to be notified of Council's decision: Joanne Cover Cecilia Hanif Attachment 1 To Report PSD-075-11 a a� (D .M 3 o o_ m o O. c M m 0O U c O 0 J M m U ro 0 N CL N V m Z c CL _ w O w 1 L a o :. 0 m OVOU NO1JNnUVO IUOd 'C f�U d p J Attachment 2 To Report PSD-075-11 OFFER-TO SELL The undersigned,Joanne Elizabeth Cover and Cecilia Hanif(the"Vendor"),hereby agrees to and with THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON(the"Purchaser"),to sell the property known as Lot 26,Plan 150,Pt Lot 27,Plan 150,as in NL123378 sh N132203, D504158 t/w N•123378, Municipality of Clarington, Regional Municipality of Durham (the "Property"), for the purchase price of TWO HUNDRED AND SIXTY FIVE THOUSAND DOLLARS----($265,000.00)(the"Purchase Price"),subject to adjustments. ADDITIONALLY,the Purchaser agrees with the Vendor to the following terms and conditions: 1. This transaction is to be completed no later than 5:00 p.m. on . October 27, 2011, (the"Closing Date"), which date may be extended or amended by written agreement of the solicitors for the parties,and.on which date vacant possession of the Property is to be given to the Purchaser. 2. This Agreement of Purchase and Sale may be executed in counterparts and delivery of an executed copy of same by each party to the other shall constitute complete offer and acceptance . thereof. 3. The Vendor represents and warrants to the Purchaser that during the time'the Vendor has owned the Property,the Vendor has not caused any building on the Property to be insulated with insulation containing ureaformaldehyde,and that to the best of the Vendor's knowledge no building on the Property contains or has ever contained insulation that contains ureaformaldehyde. This warranty shall survive and-not merge on the completion of this transaction. 4. Except as provided 1m; paragraph 6 hereof,the Vendor shall discharge all encumbrances ' and restrictions registered against title to the Property at its expense on or before the completion of this transaction. 5. The Purchaser is to be allowed until_October 14,2011(the"Requisition Date's to examine the title to the Property at his own expense and to satisfy itself that there are no outstanding orders or deficiency notices affecting the Property and that.its present use may be lawfully continued. The Vendor hereby consents to governmental agencies releasing to Purchaser details of all outstanding orders affecting the Property. The Vendor agrees to execute and deliver such further authorizations in this regard as Purchaser may reasonably require in this regard. 6. PROVIDED the title is good and free from all registered restrictions,charges,liens and -encumbrances save and except for: (a) any registered restrictions or covenants that run with the land,provided that such are complied with; (b) any municipal agreements and registered agreements with publicly regulated utilities, providing such have been complied with or security has been posted to ensure compliance and completion as evidenced by letter from the relevant municipality or utility supplier;and (c) any minor easement for the supply of domestic utility or telephone services to the- Property or adjacent properties. If on or before the Requisition Date any valid objection to title or to any outstanding work order or deficiency notice and which the Vendor is unable or unwilling to remove,remedy or satisfy and which Purchaser will not waive, this Agreement notwithstanding any intermediate acts or negotiations in respect of such objections,shall,be at an.end and all monies paid shall be returned with interest but without deduction by the Vendor to the Purchaser. Save as toanyvalid objection so made by such day and except for any objection going to the root of the title,the Purchaser shall be conclusively deemed to have accepted Vendor's title to the Property. 7. (a) This Agreement is conditional on the Purchaser;in the Purchaser's discretion,being satisfied on or before the Requisition Date that the environmental condition of the Property will not require remediation measures to be undertaken to make it or any portion of it suitable for use by 4iembers of the public as open space accessible to members of the public.This condition is for the sole benefit of the Purchaser and 2 may be waived by the Purchaser giving the Vendor written notice that it has been waived. (b) Forthwith after the execution of this Agreement, the Vendor shall deliver to the Purchaser without cost to the Purchaser, all reports, studies or written communications that the Vendor has received from any person or has caused to be prepared dealing with the environmental condition of either the Property.The Vendor will permit the Purchaser, its employees, contractors and agents to enter on the . Property to conduct such inspections or tests to determine the environmental condition of the Property during regular business hours,provided that twenty-four (24)hours written notice is given to the Vendor before such entry takes place. 8. The Purchaser shall be credited towards the Purchase Price with the amount,if any,which it shall be necessary for the Purchaser to pay to the Minister of National Revenue in order to satisfy the Purchaser's liability in respect of tax payable by the Vendor under the non-residency provisions of the Income Tax Act by reason of this sale.The Purchaser shall not claim such credit if the Vendor delivers on completion the prescribed certificate or the statutory declaration stating that the Vendor is not then a non-resident of Canada. 9. The Vendor shall deliver on the completion of this transaction additional evidence of compliance of the transaction with the Family Law Act, R.S.O. 1990, c.173, as amended, as the Purchaser,acting reasonably,may require. 10. Except as herein expressly provided,this Agreement shall extend to and be binding upon and enure to the,benefit of the heirs,executors,administrators,successors and assigns of the parties hereto. 11. THIS OFFER TO BE ACCEPTED BY THE Purchaser on or before Oct 4,2011,otherwise it shall become null and void. This offer, when accepted, shall constitute a binding contract of purchase and sale and time in all respect shall be the essence of this Agreement. It is agreed that there is no representation,warranty,collateral agreement or condition affecting this Agreement or the Property other than as expressed herein in writing. 12. If this transaction is subject to Goods and Services Tax(G.S.T.)or Harmonized Sales Tax (H.S.T) then such tax shall be paid in addition to the Purchase Price,The Purchaser hereby confirms that the Purchaser is a registrant under the Excise Tax Act (Canada), (Registration No. 106979800RT0001).The Purchaser covenants to remit as required by the Act any G.S.T.or H.S.T payable in respect of the sale of the Property to the Purchaser and to indemnify the Vendor in respect of any G.S.T.or H.S.T.so payable.The Purchaser is not required to remit to the Vendor G.S.T.on the Closing Date.This covenant shall survive and not merge on the completion of this transaction. 13. If requested by Purchaser,Vendor will deliver any sketch or survey of the Property within Vendor's control to Purchaser as soon as-possible and prior to the Requisition Date. If a discharge of any Charge/Mortgage held by a corporation incorporated pursuant to the Trust and Loan Companies Act (Canada), Chartered Bank, Trust Company, Credit Union, Caisse Populaire or Insurance Company and which is not to be assumed by Purchaser on completion,is not available inregistrable form on completion,Purchaser agrees to accept Vendor's lawyers personal undertaking to obtain,out of the closing funds,a discharge in registrable form and to register same on title within a reasonable period of time after completion,provided that on or before completion Vendor shall provide to Purchaser a mortgage statement prepared by the mortgagee setting out the balance required to obtain the discharge,together with a direction executed by Vendor directing payment to the mortgagee of the amount required to obtain the discharge out of the balance due on completion of this transaction. 14. The Property shall remain at the risk of the Vendor until the completion of this transaction. 15. The Vendor covenants that the Property will be in a clean condition immediately prior to the completion of this transaction.This covenant shall survive and not merge on the completion of this transaction. 16. This Agreement shall be affective to create an interest in the Property only if Vendor complies with the subdivision control provisions of the Planning Act by completion of this 3 transaction, and Vendor covenants to proceed diligently at her expense to obtain any necessary consent by prior to the completion of this transaction. 17. A Transfer/Deed for the Property shall,save for the Land Transfer Tax Affidavit,be prepared in.registrable form at the expense of the Vendor. If requested by the Purchaser,Vendor covenants that the Transfer/Deed to be delivered on completion shall contain the statements contemplated by Section 50(22)of the Planning Act,R.M.1990,c.P.13,as amended. 18. Where each of the Vendor and Purchaser ietain a lawyer to complete this Agreement,and where the transaction will be completed by electronic registration pursuant.to Part II of the Land Registration Reform Act,R.S.O.1990,Chapter 1,4 and the Electronic Registration Act,5.0.1991, Chapter 44 and any amendments thereto,the Vendor and Purchaser acknowledge and agree that the exchange of closing funds,non-registrable documents and other items(the"Requisite Deliveries') and the release thereof to the Vendor and Purchaser will (a)not occur at the same time as the registration of the transfer/deed(and any other documents intended to be registered in connection with the completion of this transaction),and(b)be subject to conditions whereby the solicitor(s) receiving any of the Requisite Deliveries will be requiredto hold same in trust and not release same except in accordance with the terms of a documents registration agreement between the said solicitors,the form of which is as recommended from time to time by the Law Society of Upper Canada.Unless otherwise agreed to by the solicitors,such exchange of the Requisite Deliveries will occur in the applicable Land Titles Office or such other location agreeable to both solicitors. 19. On the closing of the transaction,the Vendor shall provide to the Purchaser,the Purchaser's form of the following documents: a, Undertaking to Re-adjust b. Section 116 of the Income Tax Act/Family Law Act Affidavit C. Declaration of Possession d. Construction Lien Act affidavit 20. Any rents,mortgage interest, and unmetered public or private utility charges and unmetered cost of fuel,as applicable,shall be apportioned-and allowed to the day of completion,the day of completion.itself to be apportioned to the Purchaser. Realty Taxes including local improvement rates shall e adjusted based on area of parcels sold and retained. 21. Time shall in all respects be of the essence hereof provided that the time for doing or completing of any matter provided for herein may be extended or abridged by an agreement in writing signed by Vendor and Purchaser or by their respective lawyers who are hereby specifically authorized to do so. 22. If necessary for registration purposes,the Municipality shall prepare,at its expense,aplan of survey for the Property. 23. Any tender of documents or money may bvmade on the parties or their respective solicitors. 24. This Agreement shall be read with all changes of gender or number required by the context. 25. Any Notice required to be served by the Vendor upon the Purchaser pursuant to the provisions of this Agreement shall be deemed to be good,valid and sufficient service upon the Purchaser if served personally,mailed by pre-paid registered mail or sent by facsimile transmission addressed to: Municipality of Clarington' 40 Temperance Street Bowmanville,Ontario L1C 3A6 Attention:David Crome,Director of Planning Services Facsimile No.(905)623-.0836 4 and any notice required to be served by the Purchaser upon the Vendor pursuant to the provisions of this Agreement shall be deemed to be good,valid and.sufficient service upon the Vendor if served personally,mailed by pre-paid registered mail or sent by facsimile transmission addressed to: Joanne Elizabeth Cover and Cecilia Hanif 8115 Woodline Street Niagara Falls,ON L2H 1C8 or such other telefax number or address of which either party has notified the other party in writing. Any such notice telefaxed or mailed or delivered shall be deemed good and sufficient notice under the terms of this Agreement and if telefaxed or delivered prior to 4:30 p.m.on any business day (excluding Saturdays,Sundays and statutory holidays)shall be deemed to have been received at the time of delivery or transmission and if mailed by pre-paid registered mail,it shall be deemed to have been received on the third business day(excluding Saturdays, Sundays and statutory holidays) following the mailing thereof. Notwithstanding the foregoing,in the event that it may be reasonably anticipated that due to Force Majeure any notice will not be received within the time limit set out above,then such notice shall be sent by an alternate means of transportation which it may reasonably be anticipated will cause the notice to be received reasonably expeditiously by the addressee. 26. For the purposes of this Agreement, the term"Force Majeure"means any delay for the duration of the delay which is imposed by reason of strikes,lockouts,riots,wars or acts of military authority,acts of public enemies,sabotage,epidemics,washouts,nuclear and radiation activity or fallouts,rebellion or civil commotion,fire or explosion;flood,wind,water,earthquakes or other casualty,or an Act of God and any act,omission or event whether of the kind herein enumerated or otherwise not within the control of the parties none of which has been caused by the deliberate default or act or omission by the parties and none of which has been avoidable by the exercise of.' reasonable effort or foresight by the parties. DATED at h/3 F� „ Ontario this day of 12011. JoanA ee Elizabeth Cover ^ IL Cecilia Hanif DATED at Bowmanville,Ontario this day of 2011 THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON Per: Adrian Foster,Mayor Patti L.Barrie,Municipal Clerk We have the authority to bind the Corporation