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HomeMy WebLinkAboutPSD-074-02 - - ---. - . . -....., ClfJI-ilJgton REPORT PLANNING SERVICES DEPARTMENT Meeting: Date: Report #: COUNCIL Monday, June 24, 2002 PSD.074-02 File: RE 20.1 By-law #: Subject: OPTION TO PURCHASE FUTURE DETENTION POND SITE FROM MACOURTICE DEVELOPMENTS INC. Recommendations: It is respectfully recommended to Council the following: 1. THAT Council approve the request made by Claret Investments Ltd. and 1361189 Ontario Limited (collectively the "Owner") that Council exercise the Municipality's rights under paragraph 2.16 of the Subdivision Agreement between the Municipality, Macourtice Developments Inc. and Canada Trustco Mortgage Company dated September 3, 1991 and registered in the Land Registry Office as Instrument No. NL34844 to exercise an Option to Purchase the Future Detention Pond Site as Part 1 on Plan 40R-13921 subject to the Owner entering into an agreement with the Municipality satisfactory to the Director of Planning Services to indemnify the Municipality against all costs associated with the exercise of the Option to Purchase and complete the resulting contract of purchase and sale, as more particularly described in the letter from the Municipality's Solicitor to the Owner dated June 18, 2002 contained in Attachment 2; 2. THAT Council authorize the Mayor and Municipal Clerk on behalf of the Municipality of Clarington to enter into the agreement with the Owner which is referred to in Recommendation No.1. 3. THAT Council pass a by-law to authorize the Mayor and Municipal Clerk on behalf of the Municipality of Clarington to exercise the Option to Purchase the Future Detention Pond Site shown as Part 1 on Plan 40R-13921 from Macourtice Developments Inc. in accordance with paragraph 2.16 of the Macourtice Subdivision Agreement. 4. THAT all interested parties listed in this report and any delegations be advised of Council's decision. Submitted bY:~' ~~ David J. Crome, M.C.I.P .P.P. Director, Planning Services Reviewed by:(jt~-=-~ Franklin Wu Chief Administrative Officer IL*BN*DJC*sh June 20,2002 CORPORATION OF THE MUNICIPALITY OF CLARINGTON 40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L 1C 3A6 T (905) 623-3379 F (905)623-0830 REPORT NO.: PSD-074-02 PAGE 2 1.0 BACKGROUND 1.1 A Subdivision Agreement was made between the Municipality of Clarington and Macourtice Developments Inc. ("Macourtice") on September 7, 1991. It was registered as Instrument No. NL3844 in the Land Registry Office ("Macourtice Subdivision Agreement"). This Subdivision Agreement applies to the lands within draft Plan of Subdivision 18T-86073. These lands are located to the south and east of Courtice Road and Nash Road ("Macourtice Lands"). The Macourtice Lands are shown on the Key Map contained in Attachment 1. 1.2 The Macourtice Lands are downstream of other development lands owned by other persons. The development lands include lands within draft Plans of Subdivision 18T- 92014 and 18T-94027 which are owned by Claret Investments Ltd. ("Claret") and 1361189 Ontario Limited ("1361189"). 1.3 The East Macourtice Tributary Creek Drainage Study, dated November, 1990, as approved by the Municipality's Director of Engineering Services ("Study"), identifies the site of a future stormwater management detention pond to be located on the Macourtice lands ("Future Detention Pond Site"). It will serve the management of stormwater drainage from up-stream development in the sub-watershed area. The Future Detention Pond Site is shown as Part 1 on Reference Plan of Survey 40R-13921. 1.4 In paragraph 2.16 of the Macourtice Subdivision Agreement, the parties acknowledged that the Future Detention Pond Site will be required to implement the recommendations of the Study. Accordingly, Macourtice granted to the Municipality an irrevocable option to purchase ("Option") the Future Pond Site at any time within 15 years following September 3, 1991 at the "Appraised Purchase Price" of the Site. A procedure is set out for the determination of the Appraised Purchase Price and the exercise of the Option. 1.5 When the Option has been exercised by the Municipality in accordance with paragraph 2.16 of the Macourtice Subdivision Agreement, the resulting agreement of purchase and sale between the Municipality and Macourtice will have the content set out in Schedule "X" to the Subdivision Agreement. Copies of paragraph 2.16 and Schedule "X" are contained in Attachment 2 REPORT NO.: PSD-074-02 PAGE 3 1.6 The first step that must be taken by the Municipality before exercising the Option is set out in paragraph 2.16(3) of the Macourtice Subdivision Agreement. The Municipality must first appoint a qualified land appraiser to prepare his professional opinion of the purchase price of the Future Detention Pond Site in accordance with the provisions of paragraph 2.16 of the Subdivision Agreement. 1.7 Claret and 1361189 have requested that the Municipality exercise the Option to purchase the Future Detention Pond Site at their cost. These companies will agree to front-end all costs associated with the exercise of the Option and the completion of the resulting agreement of purchase and sale. A letter from the Municipality's Solicitor to Claret and 1361189 dated June 18, 2002 details the requirement that staff recommend to Council in this regard. By letter dated June 19, 2002 addressed to the Director of Engineering Services, Claret and 1361189 agreed with these requirements. Copies of both letters are contained in Attachment 3. 2.0 CONCLUSION AND RECOMMENDATIONS 2.1 It is recommended that Council approve the request of Claret and 1361189 that the Municipality proceed under paragraph 2.16 of the Macourtice Subdivision Agreement to exercise the Option, subject to the execution of an agreement by Claret and 1361189 with the Municipality satisfactory to the Director of Planning Services setting out the specific requirements of the Municipality which shall be consistent with the intent of the letters contained in Attachment 3. 2.2 It is also recommended that staff be authorized to engage a qualified land appraiser to prepare an appraisal of the Future Detention Pond Site in accordance with paragraph 2.16 of the Macourtice Subdivision Agreement. 2.3 It is further recommended that Council pass a by-law to authorize the exercise of the Option to Purchase the Future Detention Pond Site in accordance with paragraph 2.16 of the Macourtice Subdivision Agreement. 2.4 The Director of Engineering Services concurs with this Report. REPORT NO.: PSD-074-02 PAGE 4 Attachment 1 - Key Map Attachment 2 - Paragraph 2.16 and schedule "X" from Macourtice Subdivision Agreement Attachment 3 - Letter from Dennis Hefferon to Claret Investments Ltd. and their reply dated June 19, 2002 addressed to the Director of Engineering Services Interested parties to be notified of Council and Committee's decision: Mr. Bill Mason WDM Consultants 20 Clematis Road Willowdale, Ontario M2J 4X2 Claret Investments Limited 97 Athol Street East Oshawa, Ontario L 1 H 1 J8 1361189 Ontario Limited 97 Athol Street East Oshawa, Ontario L1H 1J8 " LOT 28 NASH ROAD f....: ~ ~ j.;:: s ~ f....: V) eJ J..;: ~ ~ ~ ~ ~ (J'j DRIVE Q ~ Q:: ~ j::: ~ 8 AY Z HIGHWr- ATTACHMENT 1 I I Macourtice Lands ~ Future Detention Pond Site Courtice Key Map N Z o (f) (f) w () z o () J , , Page 19 (2) On a final Plan of Subdivision implementing Plan 18T-86073 approved pursuant to the Planning Act, 1983 being registered against the title to anyone (1) or more portions - ~f the Lands, the registered finaJ Plan of Subdivision shall be deemed to be substituted for the red-lined draft Plan of Subdivision 18T-86073 for the pwposes of this Agreement All amendments necesswy to this Agreement shall be considered to have been made to it and to the descriptions and references contained in it, including without limiting the generality of the foregoing. Schedules "B", "E", "F', "G", 'N", "0", 'P" and "Q", in order to replace the descriptions and references to the red- lined draft Plan of Subdivision 18T-86073 with descriptions and references to and that are consistent with such registered final Plan of Subdivision. 2.14 Nollncatlon of Owner If any notice or other document is required to be or may be given by the Town or by any official of the Town to the Owner under this Agreement, such notice shall be mailed by first class prepaid post or delivered to: The Owner: Macourtice Developments Inc., 3100 Steeles Avenue East, Suite 301 Markham, Ontario, 13R 8T3 or such other address of which the Owner has notified the 'fawn in writing. Any such notice so mailed or delivered sball be deemed good and sufficient notice under the terms of this Agreement and sball be effective from the date which it is so mailed or delivered. 2.15 Successors This Agreement shall enure to the benefit of and be binding on the Parties hereto, and their respective successors and assigns. 2.16 Ontlon to Purchase Land for Stormwater Detenllon Pond (1) The Parties bereby acknowledge that on the day as of which this Agreement is made, the portion of Block 77 shown on draft Plan of Subdivision 18T-86073 whicb is shown as Part 1 on Plan of Survey deposited of record in the Land Registry Office for the Land TItles Division of Newcastle (No. 10) as Plan lOR- (the ''Future Detentlon Pond Site") will be required to be improved as a stormwater detention pond and associated facilities' in order to implement the recommendations contained in tbe 'East (Macourtice) Tributary Creek Master Drainage Study" prepared by G.N Semas & Associates Ltd., draft dated November, 1990 as finally approved by and on file with the Director. ATTACHMENT 2 Page 20 (2) The Owner bereby grants to the Town an irrevocable option to purcbase (the "Option') 'the Future Detention Pond Site In fee simple absolute, free and clear of all encumbrances and restrictions. The Option shall be exercised by the Town giving written notice that it bas been exercised to the Owner at any time within thirty (30) days following the day on whicb the "Appraised Purchase Price" (as bereafter defined) becomes fInaJ and binding between the Parties to this Agreement pursuant to either paragrapb 2.16(4) or paragrapb 2.16(6) ("the "Option Exercise Day") provided that if wrillen notice of the exercise of the Option is not given as aforesaid prior to the expiry of the fifteen (15) year period whicb commences on the day as of which this Agreement is made, the Option shall terminate on the expiry of sucb fifteen (15) year period. The consideration which shall be payable In cash or by certified cheque on the "Completion Date" (as hereafter defined) of the resulting agreement of purchase and sale of the Future Detention Pond Site is the Appraised Purchase Price whicb bas become final and binding between the parties to this Agreement pursuant to either paragraph 2.16(5) or 2.16(6) less the amount of the "Stormwater Management Contribution" (as bereafter defined) referred to In paragraph 5.28(1) of this Agreement. On the exercise of tbe Option as aforesaid, the Owner and the Town shall be deemed thereupon to bave entered Into a binding agreement of purchase and sale of the Future Detention Pond Site containing the terms and conditions set out In Scbedule "X" bereto, Including the term that it sball be completed on the day (tbe "Completion Date") whicb is the day of expiry of the fifteen (15) day period wbich commences on the Option Exercise Day. (3) Prior to exercising the Option to purchase the Future Detention Pond Site, the Director sball appoint In writing a qualified land appraiser (the 'Town's Appraiser") to prepare his professional wrillen opinion of the purchase price (the "Appraised Purchase Price") that a wlllIng seller would pay to a willing vendor for the Future Detention Pond Site with all of Its advantages and disadvantages determined as of the date (the "Valuation Date") on which tbe appraiser is appointed by the Director provided that it shall be assumed that no park contributions will be required to be made under tbe Planning Act, 1983 in respect of the development of the Future Detention Pond Site. The appraiser so appointed shall be Instructed to give his wrillen opinion to the Director and to the Owner no later than thirty (30) days following the Valuation Date. Forthwith after making the appointment, the Director shall sive the Owner wrillen notlce of the appointment of the Town's Appraiser pursuant to this paragrapb 2.16(3). (4) Prior to the expiry of thirty (30) days following the occurrence of the Valuation Date, the Owner may appoint another qualified land appraiser (the "Owner's Appraiser") to provide his wrillen opinion of the Appraised,Purchase Price which sball be based , , Page 21 on the same considerations as those set out in paragraph 2.16(3) and which written opinion shall be given both to the Owner and the Director prior to the expiry of thirty (30) da)'ll followina the occurrence of the Valuation Date. Forthwith after maIdnti: the appointment, the Owner Ihall give the Director written notice of the appointment of the Owner's Appraiser pursuant to this paragraph 2.16(4). (5) In the event that the Owner has not notified the Director in writing prior to the expiry of thirty (30) da)'ll following the occurrence of the Valuation Date that it accepts the Appraised Purchase Price determined by the Town's Appraiser and either the Owner has not appointed an appraiser pursuant to this paragraph 2.16(4), or the written opinion of the Owner's Appraiser has not been given to the Director as is required by paragraph 2.16(4), the Owner and the Town shall be deemed to have accepted the Approved Purchase Price determined by the Town's Appraiser and it shall be final and binding between the parties to this Agreement. (6) In the even! that (1) the Owner appoints the Owner's Appraiser pursuant to paragraph 2.16(4), (2) the Owner's written opinion of the Appraised Purchase Price is given to the Director and to the Owner within the period provided in paragraph 2.14(4), (3) the Owner's Appraiser in his written opinion has determined the Appraised Purchase Price for the Detention Pond Site to be an amount at leut twenty (20%) percent higher than the amount of this Appraised Purchase Price determined in the written opinion of the Town's Appraiser, no later than the expiry of five (5) days following the giving of the written opinion of the Owner's Appraiser to the Director in accordance with paragraph 2.16(4), the Owner may give written notice to the Director requiring the Director to appoint another quaJjfied appraiser (the '"Third Appraiser") to give a third written opinion as to the Appraised Purchase Price. The Third Appraiser shall be independent from the Town's Appraiser and the Owner's Appraiser appointed pursuant to paragraphs 2.16(3) and 2.16(4), respectively. Forthwith after appointing the Third Appraiser the Director shall give the Owner written notice of his appointment. The Third Appraiser's written opinion shall be based on the same considerations as those set out in paragraph 2.16(3). In preparing it the Third Appraiser shall also have regard for the written opinions of the Town's Appraiser and the Owner's Appraiser referred to in paragraphs 2.16(3) and 2.16(4) respectively. The written opinion of the Third Appraiser shall be given to the Director and to the Owner prior to the expiry of thirty (30) da)'ll following the appointment of the Third Appraiser pursuant to this paragraph 2.16(6). The written opinion of the Third Appraiser of the Appraised Purchase Price of the Future Detention Pond Site shall be final and binding between the parties to this Agreement. (7) All appraisals referred to in paragraph 2.16 shall be prepared at the Owner's cost. Forthwith after written notice is given to the Owner by the Director, the Owner shall Page 22 reimburse the Town for any expenditures made by the Town in respect of any sucb appraisal. -- ARTICLE 3. FINANCIAl. 3.1 Pavment or Taxes Prior to the date of execution of this Agreement, the Owner shall pay all municipal taxes outstanding against the Lands, as set out in Schedule "C' hereto. In addition, the Owner shall pay any municipal taxes which may become due in respect of the whole or any one or more ponions of the Lands after the date of executioo of this Agreement in accordance with the law. 3.2 Pavment of Local IJIlol'Ovement Ch8~S Prior to the date of execution of this Agreement, the Owner shall pay all charges with respect to local improvements assessed against the said Lands as set out in Schedule "C' hereto. Such charges shall include the Town's share of any local improvements which serve the said Lands and shall include the commuted value of such charges including charges falling due after the date of the execution of this Agreement. 3.3 Pavment or Drainap Charye. Prior to the date of the execution of this Agreement, the Owner shall pay all drainage charges assessed under the Drainage Act, R.S.O. 1980, c.126, and the Tile Drainage Act, R.S.O. 1980, c.5oo against the Lands, as set out in Schedule "C' hereto, including the commuted value of such charges falling due after the date of execution of this Agreement. 3.4 PaYment or DevelQpment Levies (1) The Owner shall pay all "Development Levies' (as defined in Schedule "0") in the amounts and at the times set out in Schedule "0" hereto. For greater certainty, prior to the issuance of any building permit in respect of any lot(s) or block(s) on the Lands, the Owner shall pay all remaining Development Levies assessed against such lot(s) or block(s). (2) Without derogating from paragraphs 4.11(15), 5.27(5) 5.28(1), 5.28(3), 5.29(1) and 5.29(2), the Parties acknowledge and agree the provisions of this Agreement, including but not limited to, paragraph 3.4 and Schedules "0", "0", 'P", "P-l" and"P- 2" are not intended nor shall they be considered to have the effect of exempting the Page -ttt I L'( SCHEDULE "X" THIS SCHEDULE IS SCHEDULE "X" to the Aireement which has been authorized and approved by By=law No. 91.3 of the Corporation of the Town of Newcastle enacted and passed on the 14th day of Janultl}', 1991. TERMS OF AGREEMENT OF PURCHASE AND SATE OF FUTURE DETENTION POND SITE Without derogating from paragraph 2.16 of this Aireement, the Aireement of Purchase and Sale arising from the exercise of the Option shall continue the following tenos and conditions: f 1. Taxes and rent shall be apportioned between the parties and allowed to the Completion Date, as same may be extended pursuant to the terms of this Schedule. 2. The Town shall be permitted until the Completion Date, as same may be extended pursuant to the tenos of this Schedule, to search title to the Future Detention Pond Site. Title to the Future Detention Pond Site shall be free and clear from all restrictions, charges, liens and encumbrances except as specifically provided for in this Aireement and save and except for: (a) any registered 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 a letter from the relevant municipality or regulated utility; and (b) any minor easements for the supply of domestic utility or telephone services to the property or adjacent property. 3. If, within the time provided, any valid objection to title is made in writing to the Owner or the Owner's solicitor and which the Owner is unable to remove, remedy or satisfy by the Completion Date and which the Town will not waive, then the Town, at its option, from time to time, may extend the Completion Date, by giving notice in writing to the Owner or the Owner's Solicitor setting forth such extended Completion Date: provided that the last of such extended Completion Dates is not more than ninety (90) days following the original Completion Date. Until the extended Completion Date(s), the Owner shall seek to reserve or satisfy all such objections to title in good faith and diligently. S<ive as to any valid objection so made and, except for any objection going to the root of title, the Town shall be conclusively deemed to have accepted the Owner's title to the Future Detention Pond Site. ' Page -ttt" (2- ) 4. If the Owner bas been unable to remove, remedy or satisfy any valid objection to title by the Completion Date, and as same may have been extended pursuant to the terms of this Schedule. then the Town, at its option, may deliver a Notice of Exprop!'~tion pursuant to the ElIprnprintions Act. and the Owner agrees not to dispute such Notice of Expropriation. The Town may thereafter register a Plan of Expropriation and the Owner agrees that, notwithstanding the date of registration of such Plan of Expropriation, the compensation payable to the Owner and any encumbrancers sball be the Appraised Purchase Price less the amount of the Stormwater Management Contribution and the Owner shall not clalm any interest on such compensation or make any claim for injurious affection. 5. The Option shall run with and bind the Future. Detention Pond Site and sball be binding upon the Owner's successors and assigns. 6. The Option is conditional upon compliance with the provisions of Section 49 of the Plannitt~ Act 1983. 7. No reference to or exercise of any specific right or remedy by the Town shall prejudice or preclude it from any other remedy in respect thereof, wbether allowed at law or in equity or expressly provided in this Agreement. No sucb remedy shall be exclusive or dependent upon any other such remedy but the Town may, from time to time. exercise anyone or more such remedies independently or in combination. 8. The Town shall be credited towards the Appraised Purchase Price with the amount, if any, whicb sha1J be necessary for tbe Town to pay to the Receiver General of Canada in order to satisfy the Town's liability in respect of tax payable by the Owner under the non-residency provisions of tbe Income Tax Act by reasons of the exercise , of the Option. The Town shall not claim such credit if the Owner delivers, on the Completion Date, the prescribed Certificate or a Statutory Declaration that the Owner is not then a non-resident of Canada. 9. The Transfer/Deed, save for the Land Transfer Tax Affidavit, shall be prepared in registerable form at the expense of the Vendor. 10. Without derogating from Article 8 of this Agreement, time shall, in all respects, be of the essence hereof, provided that the time for doing or completing any matter provided for herein may be extended or abridged by an agreement in writing signed by the Town and the Owner or by their respective solicitors who are expressly appointed in this regard. Any tender of documents or money may be made upon the Town or the Owner or upon their respective solicitors and money may be paid or tendered by cheque certified by a Chartered Bank or Trust Company. II. The Option and the completion of this transaction shall be governed by the laws of the Province of Ontario. JUN 20'02 10:38 FR ROBINS APPLEBY TAUB . TO?~ZlU 90~0g3"0'P. 02/04 ATTACHMENT 3 'l';' Z Claret Investments Limited 1361189 Ontario Limited 401 Spinnaker way Toro.nto Ontario L4K 4N4 Telephone: (905) 660 1277 Facsimile: (9OS) 8lIO-7104 EmiR sidneyfreecln1an@on.IiDn.com Jwr 192002 1\IIt A.S,Qmnclla DiI'IlClor of ~cI--~.og Services M1lni.~ otClariDglOll 40T~ Slreet BllWIll8lM11e, OIl Lie 3M RE:Mlmic:lpe1i1y of C111riDstoD: Opcion to pllldLue b1oc:Il; 77 011 dJlIft piau ot sulxlivlsiOD 181'-16013 rrOI1\ MlIeoll11ia DcvclOllJftCllI$ lnc lor the purpote: of 4 fllUltC SlormWlllCr dctClltion )lOIld 10 imp/Cnlall the approved _llMac:ouniCCJ tribuwy <:mek cI:ainaee SIIIdy. daied. November. 1990, Dear Mr CanncDa, Wllh IcfezellCelOa IcIluflom 1be TOII/lt'ssolIdlorMr. Denzds C.ll'efl'eroDclaled.JIlJlC Ill. 2002aeopy or whleh is llI1IlC><C:d hc:rcto, we ClOnIlnn IJIId undco1llkc 10 rront cu4 Ole CO$l$ otlhe MIlllicipu1ity in tm.lDIIttcr u oulllDed in Ille k1Iet. Thi~ andcr1aIcillg 'I ill eollllidl;ntioo. of lhe Town l:Xcrcislns tbc: o,pdOll to JlURbasc the IaDds ftlr 1bc future detcntiOll pond, as oul1irled In Mr licll"eron'llCller lllacco,daIIcc: wilh IJIc relcvanl.JlIlVIIisiollS orlhc subdiYi5ion agzeemem bel\,'eaa the TOWll aad Macouni... whidl pzolIidcs a JlRlCCdUle for "" daing. Yours JU< 19 'l!J2 16:33 PAGE. B:2 JUN 20'02 10:38 FR ROBINS APPLEBY TAUB . TO - -' P.03/04 DENNIS C. HEFFERON Barrister & Solicitor Telephone (416) 360-3326 Facsimile (416) 868-0306 E-mail: dhelferon@robapp.com SuIte 2500 130 Adelaide Street West Torontol Ontario M5H 2M2 June 18,2002 BY FAX Claret Investments Limited 1361189 Ontario Limited 220 Spinnaker Way Concord, ON L4K 2E5 Attention: Mr. Sidney Freedman Dear Mr. Freedman: Re: Municipality of Clarington: Option to Pu.rcllase Block 77 on draft Plan of Subdivision 18T-86073 from Macourtice Developments Inc. for the Purpose of a Future Stormwater Detention Pond to Implement the Approved East (Macourtice) Tributary Creek Drainage Study, Dated November, 1990 I am writing to confirm our telephone conversation. I understand that Claret Investments Limited ("Claret") and 1361189 Ontario Limited ("1361189") own certain lands within draft Plan of Subdivision 18T-92014. Claret and 1361189 also own certain lands within draft Plan of Subdivision 18T-94027. Both Plans of Subdivision are upstream of the Future Stormwater Detention Pond and Associated Works referred to above. The Municipality has an option to purchase ("Option") the site of the Pond and Associated Works from Macourtice Developments Inc. ("Macourtice") pursuant to paragraph 2.16 of a Subdivision Agreement made between the Municipality, Macourtice and Canada Trustco Mortgage Company dated September 3,1991 and registered in the Land Registry Office for the Land Titles Division of Durham (No. 40) as Instrument No. NL34844 ("Subdivision Agreement"). In our telephone conversation, you confinned that Claret and 1361189 will agree with the Municipality to front-end the costs of the Municipality in exercising the Option and in completing the purchase of Block 77 on draft Plan of Subdivision 1ST -86073 for the purpose of the Future Stonnwater Detention Pond and Associated Works in consideration of the Municipality agreeing to exercise the Option in accordance with the provisions of paragraph 2.16 of the Subdivision Agreement and to complete the purchase transaction. The costs of the Municipality include but are not limited to the payment of: the purchase price of the lands which are subject to the Option, including all taxes and registration fees pursuant to the Agreement of Purchase and Sale referred to in paragraph 2.16 and Schedule "X" of the Subdivision Agreement; and the Municipality's reasonable legal costs incurred in J~ .20'02 10:39 FR ROBINS APPLEBY TAUB . . TO 7382~19056230830 P.04/04 Page 2 connection with this matter including the exercise of the Option and the implementation of the Agreement of Purchase and Sale. Claret and 1361189 will pay the Municipality by certified cheque an amount equal to the purchase price of the lands, taxes and registration fees no later than three business days before the date of completion of the Agreement of Purchase and Sale. ChlIet and 1361189 will pay all other costs of the Municipality provided for above within 30 days after an invoice is sent to them either by prepaid registered mail or by fax to the above address and telefax number or other address and telefax numbers of which you inform the Municipality's Director of Planning Services in writing. If it is determined by the Municipality's Director of Engineering Services that owners other than Claret and 1361189 will benefit from the Stormwater Detention Pond and Associated Works, and if Claret and 1361189 apply to the Municipality for the making of a front-ending agreement under the Development Charges Act, 1997, the Director will recommend to Council that the costs of acquisition of the lands which are the subject of the Option or an appropriate portion thereof as determined by the Director in his absolute discretion will be included in the costs of the Stormwater Management Works which are to be shared by all benefiting owners. Would you please respond by letter confirming that on behalf of Claret and 1361189 you agree with the content of this letter and will co~ply with it. Please address your letter to: Mr. A.S. Cannella Director of Engineering Services Municipality of Clarington 40 Temperance Street Bowmanville, ON LIC 3A6 Fax: 1-905-623-9282 and copy it to me by fax to: 416-868-0306. Yours very truly, L~ DCH:bg Detmis C. Hefferon c. Mr. W. Manson Mr. A.S. Cannella Mr. N. Clark Mr. D. Crome ** TOTAL PAGE.004 **