HomeMy WebLinkAboutPSD-050-03
" "
" . ".. .~,~
UNFINISHED BUSINESS
ClYl-ilJglon
REPORT
PLANNING SERVICES
Meeting:
Date:
Report #:
GENERAL PURPOSE AND ADMINISTRATION COMMITTEE
Monday, May 5, 2003 J) / f 6/ A-if C( - 6 :/
PSD-050-03 File #: ZBA 2003/001 By-law #:
SPA 2003/006
Subject:
APPLICATION FOR REMOVAL OF HOLDING SYMBOL
APPLICANT: 1151223 ONTARIO LIMITED
RECOMMENDATIONS:
It is respectfully recommended that the General Purpose and Administration Committee recommend to
Council the following:
1. THAT Report PSD-050-03 be received;
2. THAT the application by 1151223 Ontario Limited to remove the Holding (H) (ZBA2003/001)
symbol be refused; and
3. THAT all interested parties listed in this report and any delegations be advised of Council's
decision.
Submitted by:
Reviewed by:
av . Crome, MCIP, R.P.P.
Director of Planning Services
~
ranklin Wu,
Chief Administrative Officer
ARlCP/DC/df
May 1, 2003
CORPORATION OF THE MUNICIPALITY OF CLARINGTON
40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L 1 C 3A6 T (905)623- 3379 F (905)623-0830
613
't '8C .t
REPORT NO.: PSD-Q50-Q3
PAGE 2
1.0 APPLICATION DETAILS
1.1 Applicant: Kevin Tunney of Tunney Planning Inc. on behalf of 1151223
Ontario Limited.
1.2 Rezoning: Removal of Holding "(H)" symbol from "Holding-General Industrial
((H) M2)" to "General Industrial (M2)".
1.3 Related Site Plan: An amendment to the existing site plan to add additional 6.6 ha (16
ac) outdoor storage areas for salvage vehicles, remove existing
shelving, and constructing berms and fencing around the perimeter
to permit a salvage auto auction operation on a 10.6 ha (26 ac) site.
1.4 Location: Part Lot 26, Broken Front Concession, former Township of
Darlington.
2.0 BACKGROUND
2.1 At the present time, 1151223 Ontario Limited operates a motor vehicle wrecking yard on
a 4 ha (10 ac.) site at the south end of Osbourne Road (See Attachment 1). The
existing business includes a 552 m2 building, outdoor storage shelving and areas for
storage of salvage motor vehicles. In 2002, the applicant built an 1189 m2 building on
Osbourne Road on a 1.1 ha area of land for the purpose of multi-tenant industrial uses.
2.2 On January 20, 2003, Staff received a request from Kevin Tunney, of Tunney Planning
Inc., on behalf of 1151223 Ontario Limited for the removal of the Holding "(H)" provision
from an industrial property on Osboume Road in Courtice. Attachment 1 shows the
location of the lot currently zoned "Holding-General Industrial ((H)M2)", "General
Industrial (M2)" and "General Industrial Exception (M2-15)".
2.3 On February 6, 2003, the Municipality received an application for site plan approval for
a salvage auto auction dealership. The applicant has indicated that it intends to lease
614
<t ~_,
REPORT NO,: PSD-050-Q3
PAGE 3
the lands to the firm Copart Inc. (Copart). The operation would utilize the existing
building on site for office, workshop and auction space. The proposed site plan includes
an 8.3 ha (20 ac.) storage area for salvage vehicles to be stored until sold. This storage
area comprises 78% of the total site area.
2.4 On April 14, 2003, the Municipality received an application to amend the site plan for the
industrial building to the north. The purpose of this application is to allow the deletion of
the stormwater management pond on that site and provide for centralized stormwater
controls through the expansion of pond on the current site of the motor vehicle wrecking
yard.
2.5 Copart is a salvage auto auction business that operates primarily under contracts from
the insurance industry to dispose of wrecked automobiles, trucks, recreational vehicles,
and heavy motor vehicles (buses, trucks, tractor-trailers). Copart currently auctions
vehicles to auto parts dismantlers, rebuilders, used car dealers, and wrecking yards but
in the future are intending to allow the general public to bid.
Copart currently operates in approximately 100 facilities in 40 states throughout the
United States and currently plans to expand to 125 facilities. As far as staff are aware,
this would be the first Copart operation in Canada. Copart is distinguished by having on-
line internet bidding so that people do not necessarily have to attend the site to
participate in the auction. Copart indicates that approximately 25% of its sales are
through on-line bidding.
3. OFFICIAL PLAN
The Clarington Official Plan designates the subject lands Light Industrial. Light Industrial
Areas are primarily for manufacturing, assembling, processing, fabricating, repairing,
research and development and warehousing. Light Industrial Areas are located in
areas of high visibility and shall be sensitive to and compatible with abutting uses. A key
development criterion is that outside storage is limited to 25% of the gross building floor
area. The proposed development does not conform to the Clarington Official Plan.
615
...... ,.
REPORT NO.: PSD-Q50-Q3
PAGE 4
Prior to lifting a holding symbol, Section 23.4.3 of the Clarington Official Plan indicates
that the following matters have to be addressed and approved to the satisfaction of the
Municipality:
a) services and municipal works;
b) measures to protect natural areas;
c) measures to mitigate the impact of development;
d) submission of technical studies;
e) in a WasteOisposal Assessment Area, the matters referred to in Section 4.8.9 to
4.8.12;
f) execution of appropriate agreements; and/or
g) any other requirements of the Municipality including the implementation of the
policies of this Plan.
These criteria for the lift of the holding symbol will be reviewed in Section 5.11.
4. ZONING BY-LAW
4.1 Zoning By-law 84-63 zones approximately 7.5 ha of the applicant's lands "Holding -
General Industrial ((H)M2)". Most of those lands are the subject of this application.
4.2 Another portion of the site occupied by the motor vehicle wrecking yard is zoned
General Industrial Exception (M2-15) which, as a special exception, permits this use.
The site of the new industrial building immediately north of the motor vehicle wrecking
yard is zoned M2. A portion of the M2 lands planned for a stormwater pond (0.19 ha)
will be incorporated into the salvage auto auction business, with stormwater for the
entire holdings being handled by expanding the existing stormwater pond on site.
4.3 The Zoning By-law permits a number of non-residential uses in an M2 Zone. It
specifically permits a "auction room" which is defined by the By-law to mean "a building
or structure or lands used for the storage of goods and materials which are to be sold
on the premises by public auction, and for the sale of the said goods and materials by
public auction on an occasional basis". If the 'H' symbol is removed from the portion of
the property now zoned (H)M2, the effect of this definition will be to allow most of the
property to be used for open storage purposes for auction items. There is some
question as to whether the proposed salvage auto auction operation, which will hold
616
,
REPORT NO.: PSD-QSO-Q3
PAGE S
auctions on a regular weekly basis, qualifies as being a .public auction on an occasional
basis" within the meaning of the Zoning By-law.
S.O STAFF COMMENTS
5.1 The South Courtice Employment Area is located near the new Courtice Water Pollution
Control Plant. It is anticipated that the plant will be operational in 2006. With this new
plant, water and sanitary sewer services will be extended into the Courtice industrial
area and gradually extended northward. This new plant represents an investment of
over $60 million of public funds in infrastructure and provides a tremendous opportunity
for the Municipality to bring on new serviced industrial lands.
5.2 The South Courtice Employment Area comprises 129 ha (318 ac.). These lands have
1630 m (6,347 ft.) of frontage on Highway 401. The Official Plan designates the
frontage along Highway 401 is designated for Prestige Employment uses and the
southerly portion is designated for Light Industrial uses.
Much of the Courtice frontage on the north side of Highway 401 has developed for dry
industrial uses with buildings of low quality architectural design and outdoor storage. As
such, this impedes the attraction of more prestigious employment uses seeking higher
development standards and controls on outdoor storage. Like other areas in Clarington,
the wide range or mix of industrial uses is not conducive to industries seeking a more
prestigious location.
5.3 In anticipation of servicing for these lands within the next 3 years, staff initiated work
late in 2002 to undertake a Servicing Review for the South Courtice Employment Area.
The objective was to plan for the infrastructure requirements, identify any constraints
and prepare a plan for the development of this area as a business park.
5.4 Shortly after receipt of this application, staff indicated concerns with the type of
development proposed relative to the vision in the Clarington Official Plan. The Zoning
By-law has not been amended to bring it into conformity with the Official Plan. At a
meeting on February 12th, 2003, staff indicated that notwithstanding concems for the
617
\ I ... ,.
REPORT NO.: PSD-QSO-Q3
PAGE 6
proposed use, the site plan application would continue to be processed while this matter
was reviewed further. At a meeting on March 14th, staff advised the applicant of the
servicing review being undertaken for the area but their application would continue to be
processed on a parallel track with the broader planning review of the area. By
proceeding on a parallel approach, the site plan issues could continue to be addressed.
5.5 As a result of the subject application, TSH was asked to complete the review to a
preliminary stage where there could be an understanding of some of the implications of
this application. These are as follows:
. The total costs for municipal infrastructure would be between $18 million and $25
million. The costs of this infrastructure would be shared by the Municipality and all
landowners of the Business Park minus the lands which have previously been
approved for development (I.e. it is very difficult to have a mechanism to have
existing industries participate in a servicing scheme). Approval of dry industrial uses
at this stage increases the development costs for the vacant lands;
. Two stormwater ponds are required to provide stormwater management for the east
and west halves of the South Courtice Employment Area. The conceptual locations
are shown on Attachment 2. Both quality and quantity controls will be required.
These storm water ponds would eliminate the need for private on-site storm water
ponds such as those existing and proposed on the applicants lands. A subwatershed
study needs to be completed to determine the details. Stormwater ponds are
typically installed by the first developer with front-ending agreements with other
landowners.
. The storm sewer system has not been designed at this preliminary stage. However,
it is likely that the storm sewer system servicing the lands north of the subject lands
would need to be constructed around the salvage auto auctions operation to the
storm water pond at considerable additional expense for the upstream developer.
. The salvage auto-auction proposal would appear to interfere with the optimum
transportation network but the preliminary network will be refined in the next stage of
the study.
The approval of a dry industrial use in this location may present a difficult financial
hurdle with respect to the equitable sharing of the cost of municipal services
infrastructure. As such, this proposal is premature.
618
REPORT NO.: PSD-QSO-Q3
PAGE 7
5.6 It is staff's view that the industrial lands in South Courtice could become the premiere
industrial park for the Municipality. With or without ITER, there are enough locational
characteristics including imminent servicing that make these lands critical for future
economic development initiatives. It is staff's view that the proposal for the salvage auto
auction business would be an impediment to attracting key industries that could provide
the cornerstone for a new type of industrial setting in Clarington. In light of staff
concerns, PriceWaterhouseCoopers (PWC) was retained to provide an assessment of
the feasibility of prestige employment uses in this area with the current development
and the implications of the proposal by 1151223 Ontario Limited. The assessment by
PWC forms Attachment 3 to this report.
5.7 With respect to prestige employment uses, PWC concluded that Prestige Industrial
frontage on Highway 401 should be protected for prestige industrial development. The
opportunity to develop Highway 401 frontage is a significant local economic
development opportunity. The Region's Economic Plan for the Millennium indicates that
Durham must create compelling and distinct places which lever on the Region's existing
and emerging key hard and soft infrastructure, target new technology parks and
identifies an Eastern Gateway location in Courtice. The South Courtice Employment
Area affords the Municipality with the opportunity to establish the preferred land use
pattern and standard of development for a prestige or higher order industrial area. The
lands exhibit many, if not all, of the requirements for a successful business park.
5.8 With respect to the salvage auto auction operation, PWC concludes that it is better
suited to a dry industrial area or a more peripheral location in the General Industrial
Area. The expansion of the existing use may seriously impede the Municipality's ability
to market and attract investment to the area and should not be permitted. The early
stages of development set the tone for further investment and establish a precedent for
the area.
5.9 It is staff's view that the salvage auto auction operation would have much the same
impact as a motor vehicle wrecking yard. Salvage motor vehicles are stored on site but
not stacked. Heavy machinery is used to move the salvage motor vehicles into place.
619
,. ...\
REPORT NO.: PSD-OSO-Q3
PAGE 8
There is limited dismantling (broken windows) but fluids are not drained (except
employees are permitted to obtain gas from the tanks). Tow trucks and larger trucks
enter and exit carrying the salvage vehicles. The Copart standard construction provides
for screen fencing to mitigate the visual impact. However, the facilities are much larger
than standard wrecking yards. From the information obtained from interviews, it is
estimated that more than 2,000 motor vehicles could be stored on site at capacity. In
staff's opinion, the salvage motor vehicle auction business does not materially upgrade
the type of land use from a wrecking yard and would be perceived by other potential
industrial users as an undesirable neighbour, thus impeding the marketing of the South
Courtice lands for higher order users.
5.10 The applicant indicated that the salvage auto auction business could be considered
temporary. He proposed that as services are extended into the area, the business
could be relocated and light industrial buildings constructed. Staff do not consider that
this use will be a temporary use. There is a substantial investment in a facility that
makes it unattractive to move unless compelled to by reasons of limitation of size or
location. Neither would appear to be the case here. Even after the recent fire, Dom 's
Auto Wreckers has indicated that they could not consider moving.
5.11 The Clarington Official Plan provides criteria for lifting the holding provision contained in
the Zoning By-law. In staff's view, the lifting of the hold should not be undertaken by
virtue of the following:
i) the lifting of the holding symbol would not "implement" the policies of the Official
Plan but would, in fact, not conform to the policies of the Official Plan;
Ii) The preliminary Servicing Review indicates that the subject site should drain to a
central stormwater pond at the south end of Solina Road. This would eliminate
the need for temporary, individual stormwater ponds on each site. A minor
watershed plan needs to be completed for the storm water management system
for this area, including a financing scheme and the lands acquired to construct
the stormwater management facility;
Iii) Detailed plans and cost sharing arrangements for the extension of municipal
services in the South Courtice Employment Area need to be completed. In staff's
view the proposal is premature.
620
... .' f
REPORT NO.: PSD-QSO-Q3
PAGE 9
5.12 The Municipality's zoning by-law review has been delayed due to other workload
priorities. A draft of the new zoning by-law for Urban Area was completed in 2000.
Municipal staff have been focusing on official plan and zoning provisions to implement
the Oak Ridges Moraine Conservation Act. These amendments are required to be
completed by October 22, 2003.
At the same time, staff have been receiving numerous inquiries regarding the South
Courtice Industrial Lands for uses which do not conform to the Official Plan vision but in
some instances conform to the existing zoning. In order to address this problem and
protect these lands, Staff will be bringing forward immediately an amendment to the
zoning for the South Courtice Employment Area.
5.13 The Business Development Officer of the Board of Trade has reviewed the opinion of
PriceWaterhouseCoopers with respect to the potential opportunity of the South Courtice
Industrial lands. She concurs that the Municipality needs to protect and market an area
of land for higher order industrial users.
6.0 RECOMMENDATIONS
6.1 In considerations of the comments noted above, it is recommended that the application
by 1151223 Ontario Limited to remove the Holding (H) symbol be refused.
Attachments:
Attachment 1 - Key Map
Attachment 2 - South Courtice Industrial Lands
Attachment 3 - PriceWaterhouseCoopers Assessment
List of interested parties to be advised of Council's decision:
Kevin Tunney
Tunney Planning Inc.
340 Byron Street South, Unit 200
Whitby, ON L 1 N 4P8
Bill Labanovich
1151223 Ontario Limited
175 Osbourne Road, P.O. Box 195
Bowmanville, ON L 1 E 2R3
,
621
. ,
ATTACHMENT_1
Lot 26
I
I
I~
10
0::
I
IUJ
I~
I::J
I~ -
IV)
o
1
-k........... '
1"" J~ O~~
r"~{ ""~ ----.::: .S' S ~' , "'"""'"
I I,,,,g,,~, -.......: .......0,. ~ \.J
'=~, -."v b
'~"""", ~ IV
''''''~", ........... e- .........
I I '~~,>, ........ Jj>....................,.
"'~"'~ -.......;. o...~ .. ,.. . .... . ..... .. . . .
"'''''''""" """"'''0---''''' .'..................
I I '>",,,,g:!,,,,,,~,......... ~ - - - - l'
*~~"k ~--- J
(H)M2
r----~ ..............,................... (H)M2 ................
M2
M2-15
l
Courtice Key Map
~~~~~ ,~/~
ZBA 2003-001
Zoning By-law Amendment
~
Owner: 1151223 Ontario Limited
Applicant: Kevin Tunney of
Tunney Planning Inc.
I
622
s::
o
Ui
II)
G)
(.)
s::
o
o
-
s::
e
u-
s::
~
e
aJ
c
o .... en
-o,Q)"
0_
c 0 Q)
0: 0'-
~(/)u..
Cl
a\>'o~
'v'N Il os
~
0
lH~IN>P~ '<t
>- c a\>'o~ 3N~no8So
a:: ~ E:3
,- 0
::> :z: Q) ::l
0 '-' -2<(
u x
00
:::i!:...,
w ::l
U <(
-
~
::>
u
"
c
0
a..
:::i!:
:i:
(/)
I
a'v'o~ J l~noJ
623
c
1.8
00'l
a.. .~
ot::
o
Cl
Cl
C5
a::
Q)
(,)
:e
::l Q)
U(n
"00..
Q)u
(1)0..
8..3:
o
0..
ATTACHMENT 2
:::i!:
:i:
(/)
en
"'0
c:
0
.....J
0
.-
L..
......
en
::J
~ "'0
Q:; c:
i:'!;
~ Q)
~ ()
.-
~ -e
::J
0
()
..c
......
::J
0
(f)
I
.
I
~
[JRICEWAIERHOUSE(aJPERS I
ATTACHMENT 3
April 29, 2003
PricewaterhouseCoopers LLP
145 King Street West
Toronto, Ontario
Canada MSH 1 V8
Telephone +14168691130
Facsimile +1 4168630926
Direct Tel. 416-814-5766
Direct Fax 416-815-5323
Mr. David Crome
Director, Planning and Development
Municipality of Clarington
40 Temperance Street
Bowmanville, Ontario
LlC 3A6
Dear Mr. Crome:
Re: Assessment of Business Park Potential
Highway 401 lands: South Service Road Between Courtice Road and Solina Road
The Municipality of Clarington has requested that PricewaterhouseCoopers LLP undertake a
high level assessment as to the feasibility/viability of lands located on the south side of
Highway 401 between Solina Road and Courtice Road, with frontage on and access to South
Service Road, for higher order industrial uses more particularly prestige industrial. In
addition, Clarington has also requested that we review the implications of a site plan
application by 1151223 Ontario Limited for lands contained within the study area.
The lands in question comprise approximately 320 acres and have been designated as
"Prestige Industrial Area" along Highway 401 and "Light Industrial Area" back to the C.N.R
right-of-way. Zoning on the lands include MI (H) - Light Industrial and M2 (H) - General
Industrial, as well as a number of site specific M2 uses. At present, the lands are largely vacant
but for Mannheim Auto Sales and C1arington RPM Auto Wreckers, a smaller dry industrial
operations. Full servicing to the area is planned for 2006.
In our opinion, to effectively respond to the question of the viability or feasibility of
developing these lands for higher order industrial uses, the municipality must first satisfy itself
with respect to three issues:
. What is the level of support/demand for prestige industrial uses in Clarington and to a
more general extent, Durham Region?
PricewaterbouseCoopers refers to the Canadian fiml of PricewaterhouseCoopers LLP and th~ other member finns ofPricewaterhouseCoopers International
Limited. each of which is a separate and independent legal entilY. - 62 !!
fJR/CEWA1i:RHOusf(aJPERS fI
. Do these lands exhibit the necessary attributes to attract the higher order industrial
users?
. Is the use proposed by Copart Auto Auctions any more problematic than the current
use? Will it detract from the development ofthese lands for Prestige Industrial?
With these questions in mind, our work on behalf ofthe Municipality of Clarington has
included:
. A cursory review of the Region of Durham's investment attraction program as well as
efforts undertaken by the Greater Toronto Marketing Alliance, to attract select or
targeted industries, including the nature of demand that may result;
. A visual inspection of industrial lands along Highway 401 between Pickering and
Clarington's existing industrial areas in order to determine the overall quality and
availabiliy;
. A cursory review ofClarington's market position with respect to its ability to attract
interest in these lands, including plans for a link to Highway 407 and current servicing
plans for the area;
. Discussions with representatives of both the Municipality ofClarington and Board of
Trade as to the level of interest in prestige industrial uses in the municipality in
particular these lands;
. A cursory review of relevant Official Plan policies and Zoning Bylaw provisions as it
relates to employment area policies, specifically their support of prestige industrial uses;
and
" A review ofthe site in the context of the characteristics required for a successful
business park, based on our experience in corporate site selection and investment
attraction.
Background - Demand for Industrial land
In 2000, the Region of Durham undertook the preparation of an Economic Plan for the
Millenium, which was in tended to guide community and economic development efforts for
the first 3-5 years of the millennium. While it acknowledged that Durham Region was lagging
behind its GT A peers in economic development it also suggested that the Region was poised
to benefit from substantial investment in infrastructure and growth. This is particularly
relevant in light of:
625
(2)
[JRICEWATERHOUSE(OOPERS I
. The route location environmental assessment for the extension of Highway 407
eastwards through Durham with north-south connections east ofthe Courtice urban
area due to be completed by 2004 with construction intended to begin thereafter;
. The Federal Government's current intent, in conjunction with the Greater Toronto
Airport Authority, to proceed with an international airport at Pickering with runway
operations due to begin in 2015; and
. The creation of the University of Ontario Institute of Technology in conjunction with
the Durham College campus in North Oshawa with classes set to begin in September
2003.
It was also suggested that in order to advance growth and economic opportunity in the Region
that Durham must create compelling and distinct places which lever on the Region's existing
and emerging key hard and soft infrastructure. In particular it suggested that Durham must
target the creation of new technology parks built around the conjunction of land base with the
Highway 407 link, the 401 and proximity to GM's Autoplex in an "Eastern Gateway" location
in Courtice.
The report also indicated that the challenge of pulling growth to Durham is heightened by the
substantial stock of competitive lands available and currently being designated for
employment expansion elsewhere in the GTA compared to the much longer time frame to
advance serviced industrial lands in Durham. In the context of a shrinking supply of quality,
serviced industrial lands, it was further suggested that Durham needs to protect its remaining
Prestige Industrial frontage on Hwy 401 for prestige industrial development and that careful
consideration should be given to applications for other uses of employment lands. In the
absence of a compelling reason to locate in Durham, competing locations will continue to gain
a greater share ofGTA employment and investment.
Economic development efforts to date in Durham Region have been focused around 7 sectors
- Agriculture/Horticulture, Automotive, Call Centres, Energy, Film, Plastics and Tourism. In
addition to the efforts of the Durham Region the Greater Toronto Marketing Alliance, which is
an investment attraction and marketing organization, of which Durham is a member, targets
companies/firms in the Information Technologies and Telecommunications, Automotive
Manufacturing, Manufacturing, Biomedical, Agribusiness and Call Centres sectors.
Each industry sector will employ specific and select site location factors to determine a
community's or a location's "fit" with respect to the proposed investment/expansion
opportunity. However, while there are many differences in the requirements of industry, there
is also much that they have in common. In many instances what a company will consider in
choosing a location includes:
. Access to a supply of skilled labour;
626
(3)
fJR/cEWA7fRHOUsE(aJPERS I
. Proximity to suppliers or customers;
. Clustering of other industries;
. Availability of serviced industrial land;
. Access to major highways;
. Cost ofland and buildings; and
. An adequate sized parcel of land.
Notwithstanding Durham's efforts to attract investment on the basis of targeted industry
sectors, the opportunity to develop employment/industrial uses along Highway 401 is seen by
many communities as a significant local economic development opportunity. In many
instances the focus or target will be on a wide range of industries that require sites with easy
highway access and the high level of visibility afforded a highway location. In the context of
work completed for another assignment we undertook a high-level review of the type of
activity that has occurred along Highway 401 between Milton and London, Ontario. The
results of this review revealed a high preponderance of:
. Warehouse/distribution/transport companies, more generally defined as logistics firms;
. Automotive parts manufacturers
. Hotels/motels;
. Large format retail;
. Vehicle & transportation equipment sales; and
. Manufacturing operations.
Our visual inspection of the industrial lands along Highway 401 in Durham Region suggests
that the same pattern of development is occurring throughout the Durham Region
communities. What is noteworthy however, is the amount of residential land that has occurred
along Highway 40 I, which overtime has had a significant impact on the amount of available
industrial/employment lands.
While development along Highway 401 in Durham has proceeded, for a variety of historical
and cultural reasons largely, on a west to east basis, there is a significant opportunity to
contribute t%r create an eastern "gateway" to the Region, which is largely missing at this
stage in time. In our opinion, given the long-term timing to advance the development of
industrial/employment lands along Highway 407, demand for serviced industrial land with
good or superior access to Highway 401 will continue. While the selection ofClarington site
for the proposed ITER development will further contribute to the demand for
industrial/employment lands in Durham, the development of the Pickering Airport is seen as
the catalyst for significant growth in the Eastern GTA.
627
(4)
pmCEWAIERHOUSE(aJPERS I
Background - Characteristics of Successful Business Parks
It is widely recognized that in order to provide for expansion and growth in a community, a
municipality must ensure that an adequate stock of serviced industrial land is available that
suits both the requirements of existing industry as well as new prospective industries.
However, there is more to this matter than simply ensuring that land has been designated for
industrial use. The environment for attracting new investment is highly competitive and
communities increasingly must give consideration as to whether their industriallbusiness parks
exhibit the key characteristic required to attract new investment. To this end there are several
key factors that should influence a community's efforts to advance their industrial inventory.
. Full Services
. Superior Highway Access
. Large Acreage
. Flat, Well Drained and a Uniform Shape
. Multiple Entrance Points
. High Visibility
. Isolated from Residential Neighbourhoods
. Separation of Commercial & Neighbourhood Traffic
. Architectural & Landscaping Guidelines
In general, Clarington's existing industrial areas do not exhibit the specific characteristics or
requirements for a successful business park. That is not to suggest that the areas themselves
have not been successful in attracting industry. However, if the intent is to attract a higher-
order industrial user and to provide a business park environment that ensures a higher standard
of development, it may be difficult for the municipality to advance these areas to outside
interests given the competitive environment that exists for investment attraction. A further
consideration with respect to the existing areas is that over time the industrial areas have
developed with a wide range or mix of industrial users that have included outside storage
users, salvage yards, obsolete or vacant industrial buildings and dry industrial uses
interspersed with more prestige manufacturing and office type development.
The 'Courtice lands' afford the municipality an opportunity to establish the land use pattern
and standard of development for a prestige or higher order industrial area, largely in advance
of industrial users to the area. The lands exhibit many ifnot all of the requirements for a
successful business park and benefits from almost 1,630 metres of key frontage along
Highway 401 with easy access to the site from the Courtice Road interchange. Over time
another interchange is planned to the east with links to Highway 407. As well, unlike many of
the industrial areas along Highway 401 through Durham, the CNR rail line runs to the back of
the site and does not impede visibility of the site from Highway 401.
628
(5)
fJR/CEWAIERHOUSE(aJPERS I
Of particular importance to the development ofthese lands will be the timeframe for the
servicing. While currently scheduled for 2006, in conjunction with the construction of a
sewage treatment plant, a key consideration in the marketing or positioning of these lands will
be the timeliness with which full services are provided. Another key consideration or catalyst
for the development of this area will be the nature and type of users that initially locate in this
area. In our opinion this will set the tone for the attraction of further development and
establish a precedent for the area. In keeping with this the comer of South Service Road and
Courtice Road should be treated as a key gateway site for any future business park. It is our
understanding that the Municipality has had a wide variety of serious development enquiries
regarding the future development of these lands, including a current opportunity of some
significance to the Municipality of Clarington.
We appreciate that Clarington is located at the eastern reaches of the GTA, and as such, the
type or scale of prestige industrial users that may be attracted to Clarington will not
necessarily be ofthe sort of industries locating in either Mississauga or Vaughan. However,
we believe that there is considerable opportunity to attract investment to this area. Many
40lcommunities as well as jurisdictions like Kitchener Waterloo or Peterborough have
benefited from the proximity to the GT A and the labour force it represents. As well,
Clarington should be able to provide a lower cost option than many other communities while
continuing to offer a high quality oflife, access to quality labour force and proximity to GTA.
As noted earlier, Clarington has an opportunity to create a gateway location to the Region of
Durham ahead of the demand for employment land that is likely to result with the construction
of both Highway 407 and the Pickering Airport. In addition, the demand for suitable
employment lands in the Region coupled with the lack ofindustriallemployment lands along
Highway 401 is resulting in pressure to develop the "lungs of Durham" between Ajax and
Whitby. As time and opportunity permits it would be prudent to have the Clarington lands
positioned ahead of any efforts to open up this portion of Highway 401 to prestige industrial
uses.
Impact of Site Plan Application
As noted earlier in our correspondence, one of the key considerations with respect to the
viability of the Courtice Lands as a business park for prestige industrial is whether or not the
use proposed by Copart Auto Auctions is any more problematic than the current use and
whether it will detract from the development of these lands for Prestige Industrial.
In our review of the site area we took note of the extent of the Mannheim Auto Sales
operation. While extensive in nature at 50 acres, the use is largely innocuous and to the
average passerby very much resembles a large parking lot - not dissimilar to a GO parking lot
or the nearby GM parking lot. However, the municipality should be mindful of the scale of
operation going forward.
629
(6)
fJR/cEWA7fRHOUsE(OJPERS I
The only other significant use in the area is the focus of the site plan application mentioned
herein. As indicated, an existing auto recyling operation, Clarington RPM, is proposing an
expansion to the current operation and conversion ofthe business to a large salvage auto
auction area. The existing operation gives the appearance of an auto salvage area, is small in
nature and is fenced which serves to mitigate the view of the operation. As well it is located
along the east west extension of Osbourne Road, well away from Highway 401. The effect of
the expanded operation however, would be to permit a significant increase in the number of
salvaged and damaged vehicles/vehicle parts to be stored outside onsite while they wait for
direct or internet sale. In our view this type of operation would be better suited to an area
designated for dry industrial uses or a more peripheral location within a general industrial area
rather than an area intended for prestige or light industrial uses.
We recognize that the proposed business park comprises in excess of 318 acres and that the
uptake and development of these lands will require a long-term commitment on the part of the
municipality. We would be concerned however, that the municipality may seriously impede
its ability to market and attract investment to the area if it permits further expansion ofthe
existing auto recycling operation. While it may be possible to fence and berm the operation in
an effort to mitigate the use, the scale of operation at 26 acres is a concern. A further concern
would be the precedent for the extension of a pattern of development that is not in keeping
with the policies or the intent ofthe municipality's official plan. If the existing use is to
continue at this location it would be appropriate to look at ways to further mitigate the use
from properties along the Highway 401 frontage and include provisions in the Official plan
that limit the operation at its current size. Further consideration should also be given to
including provisions in the Official Plan that designate an area( s) of the municipality for dry
industrial uses. In our opinion this would help to alleviate problems like this in future where
dry industrial uses go into industrial areas in advance of servicing, creating conflicts both from
the perspective ofland use and marketing with prestige and light industrial users.
As noted earlier, Clarington's existing employment areas comprise a wide range and mix of
industrial uses/users. This pattern of development has evolved and changed over time as
demand for industrial land in Clarington shifts and as growth in the Region moves from west
to east. In our opinion, the municipality should make every effort to protect the 'pristine'
nature of the Courtice lands in order to afford the greatest opportunity for attracting a
concentration of prestige industrial development. In this way the municipality positions itself
to be more top mind with respect to investment opportunities to the Region.
630
(7)
[JRICEWAIERHOUSE[aJPERS I
Findings
In summary we have found that:
. Durham's investment attraction efforts are impeded by a lack of available, serviced
industrial land. Prestige Industrial frontage on Hwy 401 should be protected for
prestige industrial development. Careful consideration should be given to applications
for other uses of employment lands
. The opportunity to develop employment/industrial uses along Highway 401 is a
significant local economic development opportunity. This is particularly relevant in
light of the high level of demand, by a wide variety of industries and industrial users,
for sites with easy highway access and the high level of visibility.
. Given the long-term timing to advance the development of industrial/employment
lands along Highway 407, demand for serviced industrial land with good or superior
access to Highway 401 will continue.
. The Courtice Lands, represent a significant opportunity to contribute t%r create an
eastern "gateway" to the Region, which is missing at this stage in time.
. The 'Courtice lands' afford the municipality an opportunity to establish the preferred
land use pattern and standard of development for a prestige or higher order industrial
area, in advance of industrial users to the area.
. The lands exhibit many ifnot all ofthe requirements for a successful business park and
benefits from almost 1,630 feet of key frontage along Highway 401 with easy access to
the site from the Courtice Road interchange.
. The early stages of development of these lands will set the tone for the attraction of
further investment/development and establish a precedent for the area.
. The comer of South Service Road and Courtice Road should be treated as a key
gateway location for any future business park.
. The proposed auto auction operation would be better suited to an area designated for
dry industrial uses or a more peripheral location within a general industrial area rather
then an area intended for prestige or light industrial uses.
. The expansion of the existing use may seriously impede the municipality's ability to
market and attract investment to the area and should not be permitted.
. Consideration should be given to including provisions in the Official Plan/Zoning By-
law that limit the operation to its current size.
. Create a new land use category in the Official Plan to deal with and direct dry
industrial uses in the Municipality.
. The Municipality ofClarington's Zoning Bylaw should be amended, to bring it in line
with the provisions and policies of the Official Plan.
631
(8)
fJR/cEWA7fRHOUsF(OOPERS I
I trust you will find that our remarks adequately address the issues raised in the context ofthe
current application and the longer-term approach the Municipality should adopt with respect to
the development of these lands. Should you wish to discuss this matter further please do not
hesitate to contact me directly at 416-814-5766.
Yours truly,
Lauren E. Millier
Vice-President
Real Estate Advisory Services
(9)
632