55 to 95 lake shore boulevard east, 33 – 53 freeland ... · 59 lake shore boulevard east, 33 to...

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 1 V.01/11 STAFF REPORT ACTION REQUIRED 55 to 95 Lake Shore Boulevard East, 33 – 53 Freeland Street and 2 and 15 Cooper Street - Official Plan Amendment and Zoning Amendment Application - Request for Direction Report Date: April 3, 2018 To: Toronto and East York Community Council From: Acting Director, Community Planning, Toronto and East York District Wards: Ward 28 – Toronto Centre-Rosedale Reference Number: 16 152742 STE 28 OZ SUMMARY This application for Official Plan and Zoning By-law Amendments for the "LCBO lands" in the Lower Yonge Precinct is to permit a mixed-use development, including a new office/retail building, 5 mixed-use buildings and a public park. The application proposes to divide the property into 4 blocks, with the eastward extension of Harbour Street and the creation of a new north-south street between Cooper Street and Lower Jarvis Street. The proposed total gross floor area is 424,705 metres square, of which approximately 80% is residential and 20% is non-residential. A total of 4,419 residential units are proposed. The municipal addresses are 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street. At its meeting of November 7, 8 and 9, 2017, City Council adopted a Request for Direction report (dated September 29, 2017) from the Director of Community Planning. This report dealt solely with matters related to the appropriate building

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Page 1: 55 to 95 Lake Shore Boulevard East, 33 – 53 Freeland ... · 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street, based on the following matters and

Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 1 V.01/11

STAFF REPORT ACTION REQUIRED

55 to 95 Lake Shore Boulevard East, 33 – 53 Freeland Street and 2 and 15 Cooper Street - Official Plan Amendment and Zoning Amendment Application - Request for Direction Report

Date: April 3, 2018

To: Toronto and East York Community Council

From: Acting Director, Community Planning, Toronto and East York District

Wards: Ward 28 – Toronto Centre-Rosedale

Reference Number: 16 152742 STE 28 OZ

SUMMARY This application for Official Plan and Zoning By-law Amendments for the "LCBO lands" in the Lower Yonge Precinct is to permit a mixed-use development, including a new office/retail building, 5 mixed-use buildings and a public park. The application proposes to divide the property into 4 blocks, with the eastward extension of Harbour Street and the creation of a new north-south street between Cooper Street and Lower Jarvis Street. The proposed total gross floor area is 424,705 metres square, of which approximately 80% is residential and 20% is non-residential. A total of 4,419 residential units are proposed. The municipal addresses are 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street. At its meeting of November 7, 8 and 9, 2017, City Council adopted a Request for Direction report (dated September 29, 2017) from the Director of Community Planning. This report dealt solely with matters related to the appropriate building

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 2 V.01/11

envelopes for the proposed development. Staff have continued to meet with the applicant and are now seeking City Council's direction in relation to the remaining matters related to the development proposal. Staff recommend that Council authorize the City Solicitor, City Planning staff and other appropriate City staff attend the OMB hearing to support the revised redevelopment proposal for 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street at the OMB subject to certain matters being addressed to the satisfaction of the Chief Planner and Executive Director, City Planning, the Executive Director, Engineering and Construction Services and the City Solicitor, as set out in this report. RECOMMENDATIONS The City Planning Division recommends that: 1. City Council authorize the City Solicitor, together with City Planning staff and any

other appropriate staff, to attend before the Ontario Municipal Board in support of a settlement of the Official Plan and Zoning By-law Amendment applications for 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street, based on the following matters and principles of settlement, all to the satisfaction of the Chief Planner and Executive Director, City Planning and the City Solicitor:

a. the applicant's August 18, 2017 plans as described in the report (September 29,

2017) from the Chief Planner and Executive Director, City Planning, subject to any revisions required by the recommendations of this report, to the satisfaction of the Chief Planner and Executive Director, City Planning;

b. the owner shall comply with Zoning By-law 438-86 with respect to the

provision of parking for the retail and offices uses. Parking for the residential component shall be provided as follows:

- Bachelor Units: 0.18 spaces per unit - 1-bedroom Units: 0.30 spaces per unit - 2-bedroom Units: 0.45 spaces per unit - 3+ Bedroom Units: 0.72 spaces per unit

c. a Holding (H) symbol being added to the site specific Zoning Bylaw Amendment for the portion of the subject property identified as Blocks 3 and 4 in Attachment 1 to the report (April 3, 2018) from the Acting Director, Community Planning, Toronto and East York District, requiring the following matters to be provided and their implementation secured through the execution and registration on title of an agreement or agreements pursuant to Section 37 and Sections 51 and/or 53 of the Planning Act, as appropriate, and pursuant to

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 3 V.01/11

Section 114 of the City of Toronto Act, 2006, including any necessary financial securities, all to the satisfaction of the City Solicitor:

i. resolution of sanitary servicing capacity issues, pending implementation

of the necessary capital improvements identified through the Waterfront Sanitary Servicing Master Plan Environmental Assessment Update, all to the satisfaction of the General Manager, Toronto Water and the Executive Director, Engineering and Construction Services;

ii. incorporation of the location, design and provision of the planned on-site

transportation network, including improvements thereto, necessary to support the proposed development, all to the satisfaction of the Chief Planner and Executive Director, City Planning and the General Manager, Transportation Services, and secured in accordance with the recommendations of the Lower Yonge Precinct Municipal Class Environmental Assessment (MCEA);

iii. submission of streetscape plans for all streets surrounding the proposed

development, all to the satisfaction of the Chief Planner and Executive Director, City Planning and the General Manager, Transportation Services, including securing implementation of such plans;

iv. final confirmation and conveyance, or satisfactory securing of the

conveyance, of the required on-site parkland dedication pursuant to Section 42 of the Planning Act, in accordance with the Parks and Open Space policies in the Lower Yonge Precinct Official Plan Amendment, all to the satisfaction of the Chief Planner and Executive Director, City Planning, the City Solicitor and the General Manager, Parks, Forestry and Recreation;

v. the registration of a plan of subdivision and agreements, as appropriate,

providing for amongst other things:

A. the extension of Harbour Street through the site connecting Freeland Street to the proposed newly created street at the eastern edge of the property, including the proposed bi-directional cycle track on the south side of Harbour Street;

B. intersection improvements for both the future Harbour Street and

Freeland Street and Harbour Street and Cooper Street intersections, with the costs of the Harbour Street and Freeland Street Intersection to be shared with the adjacent land owner; and

C. the construction of approximately half of the proposed new street

along the eastern edge of the property, extending between Lake

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 4 V.01/11

Shore Boulevard East and Queens Quay East and municipal services and infrastructure, all at the owner's expense, and including provisions for required conveyances and financial securities;

vi. submission of a Master Functional Servicing Plan for the

Lower Yonge Precinct satisfactory to the Executive Director, Engineering and Construction Services, including securing implementation of such plan;

vii. consent to the designation of the existing LCBO office building and the existing LCBO warehouse building under the Part IV, Section 29 of the Ontario Heritage Act;

viii. provision of a Conservation Plan, prepared by a qualified heritage

consultant substantially in accordance with the approved Heritage Impact Assessment prepared by GBCA Architects dated May 5, 2016, as amended on December 20, 2016 on file with the Senior Manager, Heritage Preservation Services and in keeping with the Standards and Guidelines for the Conservation of Historic Places in Canada, to the satisfaction of the Senior Manager, Heritage Preservation Services;

ix. obtaining approval for alterations to the heritage properties under Section 34 of the Ontario Heritage Act; and

x. entering into and registering on the properties one or more Heritage Easement Agreements with the City for all of the conserved heritage properties to the satisfaction of the City Solicitor, the Chief Planner and Executive Director, City Planning Division and the Senior Manager, Heritage Preservation Services, including securing all matters set forth in the City Council approved Section 34 conditions of approval.

d. securing the provision by the owner at its expense of the following payments

and/or capital improvements, facilities and matters to the City pursuant to Section 37 of the Planning Act, to be included in the zoning by-law amendment, such matters to be secured by the entering into and registration of an Agreement under Section 37 of the Planning Act prior to any Order by the Ontario Municipal Board approving the Official Plan Amendment and Zoning Bylaw, all to the satisfaction of the Chief Planner and Executive Director, City Planning and the City Solicitor, and to include amongst other matters, the timing for the provision of such improvements, facilities and matters, the provision of letters of credit to secure such matters, and where appropriate, insurance and indemnification:

i. the construction, finishing, furnishing and equipping of a non-profit

licensed child care facility to accommodate at least 62 children, including

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 5 V.01/11

infants, toddlers and preschoolers, comprising approximately 930 square metres (10,000 square feet), in accordance with the City's standard requirements relating to interior and outdoor space, outdoor storage, and the provision of parking related to child care-pick-up and drop-off;

ii. affordable rental housing units, comprising at least 10 percent of the

proposed residential gross floor area to be erected on the site, with approximately 50% to be provided in each of Blocks 2 and 4, with details of the location, access, availability of facilities and amenities, number of units, unit sizes, affordability term and rental tenure, which may be secured by means of a term sheet, to the satisfaction of the Chief Planner and Executive Director, City Planning, prior to the issuance of the Ontario Municipal Board order;

iii. conveyance of the required on-site parkland dedication pursuant to

Section 42 of the Planning Act, in accordance with the Parks and Open Space policies in the Lower Yonge Precinct Official Plan Amendment, all to the satisfaction of the Chief Planner and Executive Director, City Planning, the City Solicitor and the General Manager, Parks, Forestry and Recreation. The Section 37 Agreement may include requirements for an escrow conveyance and provisions to ensure the City obtains all of the anticipated Section 42 off-site parkland dedication at the first and earliest possible opportunity, and will include a requirement to enter into a Three Party Agreement between the City, the owner of the site and the owner of the 1-7 Yonge Street property as part of the Section 37 requirements. The Three Party Agreement will be required to be executed and registered prior to the Ontario Municipal Board issuing its Order;

iv. conveyance of approximately 1,591 square metres for parks purposes, at

no cost to the City, being the remainder of Block 3, that is not subject to 1 c. iii. above, generally in accordance with Recommendation 4, below;

v. a $2.2 million contribution for Public Art, with the Public Art Plan to be

implemented in accordance with the method and approach outlined in the Lower Yonge Precinct Plan, dated April 2016;

vi. art on construction hoarding, in accordance with the City's START

(Street Art Toronto) program; and vii. prior to the issuance of the first above-grade building permit for the

second phase of development (Block 4), a cash contribution to be used by the City towards the following capital improvements, all to the satisfaction of the Chief Planner and Executive Director, City Planning in consultation with the local Councillor;

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 6 V.01/11

A. a cash payment of $1,000,000 towards the Jack Layton Ferry

Terminal redevelopment; and

B. a cash contribution currently estimated at $5,200,000 towards the: two-way conversion of Harbour Street between Yonge and York Streets; removal of the Bay Street on-ramp to the eastbound Gardiner Expressway; shortening of the Lower Jarvis off-ramp from the eastbound Gardiner Expressway; and/or re-construction of Lake Shore Boulevard East from Yonge Street to Lower Jarvis Street, all in accordance with the recommendations from the Lower Yonge Precinct Municipal Class Environmental Assessment.

e. the required cash contributions pursuant to Part 1.c.vii. A. and B. above are to

be indexed upwardly in accordance with the Statistics Canada Non-Residential building Construction Price Index for Toronto, calculated from the date of the Section 37 Agreement to the day the payment is made;

f. in the event the cash contributions in Part 1.c.vii A. above has not been used

for the intended purposes within three (3) years of the By-law coming into full force and effect, the cash contribution may be redirected for another purpose, at the discretion of the Chief Planner and Executive Director, City Planning, in consultation with the local councillor, provided that the purpose is identified in the Official Plan and will benefit the community in the vicinity of the lands;

g. the following matters are also recommended to be secured in the Section 37

Agreement and the zoning by-law amendment as a legal convenience to support development, at the owner's expense, all to the satisfaction of the Chief Planner and Executive Director, City Planning and the City Solicitor, and to include amongst other matters, the timing for the provision of such improvements, facilities and matters, the provision of letters of credit to secure such matters, where appropriate, insurance and indemnification, and:

i. the design, provision and maintenance of public realm enhancements on

all streets surrounding the development on the subject property, with the design in accordance with the public realm concept component of the Lower Yonge Precinct MCEA, to be implemented through the site plan approval process, with the exception of Block 3 which costs will be shared by the parties subject to the Three-Party Agreement for securing the required parkland;

ii. the design and construction of the extension of Harbour Street through

the subject property, including the proposed bi-directional, cycling facility along the south side of Harbour Street, with the design both

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 7 V.01/11

conforming to the recommendations from the Lower Yonge Precinct MCEA and to the satisfaction of the General Manager, Transportation Services;

iii. the design, construction, provision and maintenance of above and below-grade PATH connections through the proposed development, including the conveyance at nominal costs to the City of easement(s) for use by the general public, and the commitment of the landowner to facilitate the design, construction, provision and maintenance of a PATH connection from the 1-7 Yonge Street property to the subject property and through the subject property, with connections to all blocks within the development (with the exception of Block 3 which will contain a park) and to include a knock-out panel for a future connection to the 10 Lower Jarvis (Loblaws) property;

iv. the owner shall construct and maintain the development in accordance

with Tier 1 performance measures of the Toronto Green Standard, as adopted by Toronto City Council at its meeting held on October 26 and 27, 2009 through the adoption of Item PG32.3 of the Planning and Growth Management Committee; and

v. the provision and implementation of landscape phasing plans to reflect

interim conditions for each phase of the proposed development, all in accordance with the Lower Yonge Precinct MCEA.

2. City Council instruct the City Solicitor to request that the Ontario Municipal Board

withhold its Order on the Official Plan Amendment and Zoning By-law Amendment pending:

a. receipt of confirmation from the City Solicitor that the final form of the

amendments to the former City of Toronto Official Plan and former City of Toronto Zoning By-law are in a form satisfactory to the Chief Planner and Executive Director, City Planning and the City Solicitor;

b. receipt of confirmation from the City Solicitor of the satisfactory execution and registration of the required Section 37 Agreements; and

c. resolution, including securing, of mitigation measures addressing compatibility

with Redpath Sugar's industrial operations at 95 Queens Quay East. Such measures may be secured in a three party agreement or other satisfactory agreement to the satisfaction of the Chief Planner and Executive Director City Planning and the City Solicitor.

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 8 V.01/11

3. Prior to the issuance of any Ontario Municipal Board Order, City Council direct that the following are required to the satisfaction of the Chief Planner and Executive Director, City Planning and the City Solicitor:

a. satisfactory securing of the conveyance to the City of the proposed on-site

parkland dedication, including the entering into of a Memorandum of Understanding, or such other satisfactory agreement between the City, the owner of the site and the owner of 1-7 Yonge Street, with provisions to bind successors and assigns and with provisions as set out in Recommendation 4 below;

b. confirmation of acceptable terms associated with the required affordable rental

housing contribution, including the location, access, availability of facilities and amenities, number of units, unit sizes, affordability term and rental tenure; and

c. confirmation of the execution of a Child Care Term Sheet with Children's

Services in relation to the required child care centre. 4. City Council require parkland dedication pursuant to Section 42 of the Planning Act

to be conveyed to the City, in the form of an on-site dedication of land on Block 3, with the intention of creating an approximately 1 hectare centralized park within the Lower Yonge Precinct, such dedication to include base park improvements, as required below:

a. the owner will be required to enter into an agreement with the property owner

at 1-7 Yonge Street in order to present a coordinated approach to the clean-up and delivery of parkland to the Parks, Forestry and Recreation Department subject to Official Plan Policy 3.2.3, as well as the City's Policy for Accepting Potentially Contaminated Lands to be Conveyed to the City under the Planning Act. Such agreement shall be a component of the Three Party Agreement, referred to in Recommendation 1.c.iii above; and

b. the owner shall pay for the costs of the parkland dedication and the preparation

and registration of all relevant documents. The owner shall provide, to the satisfaction of the City Solicitor, all legal descriptions and applicable reference plans for the parkland dedication and the park dedication shall include the provision by the owner of base park improvements satisfactory to the General Manager Parks, Forestry and Recreation.

5. City Council authorize the City Solicitor and other City staff to take such actions, as

are required, to give effect to Council's decision. Financial Impact

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 9 V.01/11

There are no immediate financial impacts resulting from the recommendations and attachments contained in this report. There are, however, longer-term financial implications related to the regional transportation improvements and the implementation of the proposed central park, both proposed as part of the Lower Yonge Precinct Plan and Official Plan Amendment. Transportation Improvements The current preliminary cost estimate for the transportation network changes recommended in the Lower Yonge Transportation Master Plan Environmental Assessment (excluding the proposed Church-Cooper tunnel connection) is approximately $127 million. This estimate included infrastructure improvements that would benefit both local and regional users of the transportation network. It did not include the costs associated with soil remediation or property acquisition and is therefore subject to change, possibly above the upper range of this estimate. Of this total cost, approximately $6 to $13 million would be required to be borne by area landowners, including 55-95 Lake Shore Boulevard East, 33-53 Freeland Street, and 2 and 15 Cooper Street, through construction of local roads and improvements through and abutting their properties, during the course of redevelopment. This leaves an outstanding cost of between $114 and $121 million for the regional transportation initiatives, including the removal of the Bay Street on-ramp to the eastbound Gardiner Expressway; the replacement of the Lower Jarvis off-ramp from the eastbound Gardiner Expressway with a new off-ramp at Yonge Street; the conversion of Harbour Street from one-way to two-way operations; and one additional eastbound lane on Lake Shore Boulevard East between Yonge and Lower Jarvis Streets. The Lower Yonge Transportation Master Plan Environmental Assessment also recommended a long term plan for the extension of Cooper Street north to Church Street via a below grade crossing of the rail corridor. This extension is contingent on the redevelopment of an existing Toronto Community Housing Corporation residential building and a Toronto Parking Authority parking facility. The preliminary estimate for the Cooper Street extension is approximately $60 million, not including property acquisition. Given the long-term nature of the Cooper Street extension and that the extension is not required to support build out of the Lower Yonge Precinct Area, the costs are not included in the $114 to 121 million estimate for transportation infrastructure needed to support the Precinct. The MCEA process approved by City Council provides estimates of the proportion of the regional initiatives that should be expected as contributions by landowners in the Lower Yonge Precinct in order to facilitate its orderly development. The proportion of the regional costs associated with this development is $5.2 million. Currently, there are no funds allocated for these works in the Transportation Services 10-year Capital Plan. Future capital funding for transportation improvements within the Lower Yonge Precinct will be considered against other unfunded City priorities as part of future Transportation Services Capital Budget submissions. The zoning by-law amendment and Section 37 Agreement that will be brought forward to the Ontario Municipal Board for the 55-95 Lake Shore

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 10 V.01/11

Boulevard East, 33-53 Freeland Street, and 2 and 15 Cooper Street application will include Holding (H) provisions as appropriate to ensure adequate transportation infrastructure, among other matters, is planned and funded prior to full build-out of the proposed development. Lower Yonge Park A large central park is proposed for the Lower Yonge Precinct. The final size of the park was determined in part through the above-mentioned MCEA process, as part of the final Harbour Street alignment. The applicant has agreed to work with other developers in the Lower Yonge Precinct to create a park approximately 1 hectare in size located on the southwest block of the subject lands (Block 3). Parkland dedication requirements for this development will be secured through an on-site dedication under Section 42 of the Planning Act and in accordance with the Lower Yonge Precinct Plan. In addition, the developer has agreed to provide approximately 1,591 square metres of land within Block 3 (park block) as a Section 37 benefit to achieve the entire block as a park. The various parcels of land in this precinct, including the land proposed for the central park, have documented soil contamination issues that will need to be addressed through the Record of Site Condition regulation under the Environmental Protection Act. This will likely be done through a risk assessment process, and risk management measures (such as cap inspection, limits on excavation, etc). These measures have become more common in dealing with re-purposed brownfields, especially in the Waterfront area. The City of Toronto Policy for Accepting Potentially contaminated Lands to be Conveyed to the City under the Planning Act (adopted February 11, 2015) recognizes and accepts certain “routine” risk management measures. Future financial impacts resulting from planned parks will be reported on as the detailed design is developed and will also be identified through future year Operating Budget submissions. The Deputy City Manager and Chief Financial Officer have reviewed this report and agree with the financial impact information. DECISION HISTORY To date, there have been five staff reports pertaining to the Lower Yonge Precinct. The first two reports provided information and status updates on the progress of work on the Lower Yonge Precinct Plan. These reports were received by Toronto and East York Community Council on November 6, 2012, and February 25, 2014, respectively: http://app.toronto.ca/tmmis/viewAgendaItemHistory.do?item=2012.TE20.46 http://app.toronto.ca/tmmis/viewAgendaItemHistory.do?item=2014.TE30.56 The third staff report to Toronto and East York Community Council, dated August 5, 2014, and adopted by City Council on August 25-28, 2014, summarized the results of Phase 1 of the Lower Yonge Precinct planning process. It provided recommendations to receive the "Lower Yonge Urban Design Report" and the "Lower Yonge Transportation Master Plan

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 11 V.01/11

Environmental Assessment", to endorse the planning and policy directions in the staff report, and to direct City Planning to complete the Lower Yonge Precinct Plan in consultation with Waterfront Toronto, other City Divisions, landowners, community members and other stakeholders: http://app.toronto.ca/tmmis/viewAgendaItemHistory.do?item=2014.TE34.95 A fourth staff report on the Lower Yonge Precinct Transportation Master Plan Environmental Assessment was received by the Public Works and Infrastructure Committee in February 2015. On March 31, 2015, City Council endorsed the recommendations of the Environmental Assessment and authorized the issuance of the Notice of Completion. City Council further directed the preparation of an OPA to secure various planned rights-of-way and to evaluate opportunities for securing protected bicycle lanes on Yonge Street between Queens Quay and Front Street. http://app.toronto.ca/tmmis/viewAgendaItemHistory.do?item=2015.PW2.4 The fifth staff report was a Final Report presented to Toronto and East York Community Council on May 10, 2016 and adopted by City Council on June 7, 2016. Recommendations were made for City Council to: instruct the City Solicitor to request the Ontario Municipal Board to implement the proposed planning framework for the Precinct, including the draft Lower Yonge Precinct Official Plan Amendment; endorse the proposed Lower Yonge Precinct Plan; and direct staff to work with the Ministry of Environment and Climate Change to classify the Precinct as a Class 4 area under Provincial noise guidelines. http://app.toronto.ca/tmmis/viewAgendaItemHistory.do?item=2016.TE16.4 At its meeting of June 10, 2014, City Council consented to the disposition of two rail spurs known municipally as 15 Freeland Street and 15 Cooper Street (Item 42.7). The two rail spurs bisected the lands owned by the Liquor Control Board of Ontario (LCBO). These properties have since been consolidated with the LCBO properties and are included in this application. http://app.toronto.ca/tmmis/viewPublishedReport.do?function=getCouncilDecisionDocumentReport&meetingId=7853 At its meeting of June 8, 2017 Public Works and Infrastructure Committee considered the Lower Yonge Precinct Municipal Class Environmental Assessment Study, and endorsed the preferred designs contained in the report from the General Manager, Transportation Services. City Council adopted the recommendation at its meeting of July 4, 5 and 6, 2017. http://app.toronto.ca/tmmis/viewAgendaItemHistory.do?item=2017.PW22.7 On February 15, 2018 the Notice of Completion of the Toronto Waterfront Sanitary Servicing Master Plan – 2017 Update, Municipal Class Environmental Assessment (EA) Study was issued. The Preliminary Report regarding this application was adopted by Toronto and East York Community Council on October 13, 2016.

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 12 V.01/11

http://app.toronto.ca/tmmis/viewAgendaItemHistory.do?item=2016.TE19.40 The appeal of the City's non-decision on the Official Plan and Zoning Bylaw Amendment application was filed on April 10, 2017. At its meeting of November 7, 2017, City Council adopted a Request for Directions Report which dealt with the building envelops for the proposed development. https://www.toronto.ca/legdocs/mmis/2017/te/bgrd/backgroundfile-107548.pdf At its meeting of February 21, 2018, Toronto and East York Community Council considered a report from the Acting Chief Planner and Executive Director, City Planning titled 'Revised Reasons for Inclusion - 55 Lake Shore Boulevard East'. The report will be considered by City Council at its meeting of March 26 to 28, 2018. http://app.toronto.ca/tmmis/viewAgendaItemHistory.do?item=2018.TE30.17 ISSUE BACKGROUND Lower Yonge Precinct The planning process for the Lower Yonge Precinct study was initiated in 2012 by City Planning in collaboration with Waterfront Toronto. The purpose of the study was to establish a planning context for the comprehensive and orderly development of this underutilized portion of Toronto's waterfront in order to achieve a complete community. It was undertaken with direction provided by the Central Waterfront Secondary Plan for waterfront precinct planning, and was intended to provide similar planning direction to work done previously in the West Don Lands, East Bayfront and Keating Precincts. The Lower Yonge Precinct study was conducted in two phases. The first phase was completed in August 2014 and culminated in three reports adopted by City Council (as referenced in the Decision History section): 1. Lower Yonge Precinct Plan – Proposals Report: This report summarized the

planning process to date, outlined feedback from consultation and provided draft planning and policy directions.

2. Lower Yonge Transportation Master Plan (TMP) Environmental Assessment:

The TMP report summarized phases 1 & 2 (of 4) of the Environmental Assessment process and introduced a preliminary preferred alternative for several local and regional transportation improvements aimed at improving the public realm and creating a transportation network that could accommodate the anticipated redevelopment within and surrounding the Precinct.

3. Lower Yonge Urban Design Report (UDR): Principles and Recommendations:

this report provided recommendations for land use, public realm design, and built form/massing.

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The three reports outlined the vision, objectives, principles and draft policies to guide private and public investment in the Precinct, including:

- a streets and blocks structure plan; - road modifications (including ramps and tunnels), pedestrian connections, and

cycling recommendations; - public realm improvements, including options for parks and open space; - standards for building height and massing; - creating a balance between residential and employment-based development,

and ensuring retention of existing employers; - retention of heritage buildings; and - urban design and public art guidelines.

Phase 2 of the Lower Yonge Precinct planning process involved more detailed refinements of many of the components considered in Phase 1, including built form, land use compatibility, public realm design and the transportation network. Effort was also focussed on key matters such as affordable housing, community services and facilities and required implementation mechanisms. In addition, a consultant was retained to undertake a Noise, Odour and Air Quality Assessment to ensure that the proposed land uses and built form were compatible with the Redpath Sugar refinery at 95 Queens Quay East and to provide recommendations for mitigation. Another consultant was retained to conduct a Municipal Class Environmental Assessment (MCEA) of the various transportation, public realm and servicing initiatives proposed as part of the Precinct planning process. The work on Phase 2, while awaiting conclusion of the MCEA process, essentially concluded with the Final Report dated April 22, 2015 that was considered by Toronto and East York Community Council on May 10, 2016 and adopted by City Council on June 7, 2016. This report included the proposed Lower Yonge Precinct Plan and Official Plan Amendment (OPA), which collectively provide the proposed planning framework for development in the area. Phase 3 and 4 of the MCEA has concluded and with the filing of an Environmental Study Report, the requirements for Phases 3 & 4 (of 4) of the MCEA process have been fulfilled. All phases included several forms of consultation with stakeholders, landowners and the general public. Communications throughout the process were provided in newspapers, on-line and through social media. Proposal Details of the Proposal: A Draft Plan of Subdivision was submitted concurrent with the Official Plan and Rezoning application for the "LCBO lands". The Plan of Subdivision provides for the division of the property into 4 development parcels (shown on the Context Plan in Attachment 1). This is achieved by the continuation east of the extension of Harbour Street, which is already

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proposed to be extended from Yonge Street to Freeland Street as part of the 1 to 7 Yonge Street development proposal to the west of the subject site, and the creation of a new north-south Street between Queens Quay East and Lake Shore Boulevard East, at the eastern edge of the property ("New Street"). The subdivision will create 4 development blocks. The overall development will result in the construction of 5 mixed-use buildings and 1 non-residential building on the 4 blocks. The proposed mixed-use buildings incorporate retail and service uses, potentially a school, a child care centre, and affordable housing, creating a complete community. The proposed total gross floor area is 424,705metres square, of which 342,278 metres square is residential and 82,427 metres square is non-residential. A total of 4,419 residential units are proposed, comprising 127 bachelor, 2,840 one-bedroom, 1,110 two-bedroom and 442 three+-bedroom units. The overall proposal includes 1597 parking spaces, 4782 bicycle parking spaces and 25 loading docks (See Application Data Sheet – Attachment 10). The breakdown of the development by block is as follows: Block 1: At the southeast quadrant of the Site, Block 1 is bounded by the Harbour Street extension to the north, New Street to the east, Queens Quay East to the south and Cooper Street to the west. The proposed development on Block 1 is for a 25-storey non-residential building with retail uses within the 3 storey podium and 22 floors of office. It is proposed that the building will be the new LCBO headquarters and that the retail component will house a flagship LCBO store. The office will be accessed from a lobby that fronts onto Queens Quay East. The LCBO flagship retail store will be accessed from the proposed Harbour Street extension, Cooper Street and directly from Queens Quay East. The total non-residential gross floor area for Block 1 is 59,218m2 with 6,671 m2 being the retail component and 52,547 m2 being the office component. Block 1 includes a one-way vehicular entrance access point off Cooper Street and a two-way vehicular access point along the proposed New Street to the east which will provide access to the below-grade parking levels. Parking will be located in an enclosed at-grade parking area and within a 4-level underground garage. A total of 44 parking spaces are proposed at grade, with the remaining 420 parking spaces encompassed within the underground parking garage. Loading for Block 1 will be located below-grade at the P2 Level, and will be accessed off of New Street via a loading ramp within the Block 2 development and a below-grade tunnel below the Harbour Street extension. The loading area will comprise three Type “A” loading spaces, five Type “B” loading spaces, and five Type “C” loading spaces. In addition, the proposed commercial building will contain 268 bicycle parking spaces with 24 short-term bicycle parking spaces at grade and 136 short-term and 108 long term bicycle parking spaces on the Level 1 Mezzanine of the building. Block 2:

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At the northeast quadrant of the Site, Block 2 is bounded by Lake Shore Boulevard East to the north, New Street to the east, the extension of Harbour Street to the south and Cooper Street to the west. The proposed development on Block 2 will include two mixed-use buildings with heights of 64 and 70 storeys. The mixed-use buildings will have podiums with heights of 11 storeys and 6 storeys. The podiums will include a mix of retail space, amenity space and bicycle storage from the 1st to the 3rd floors and residential units above from the 3th to 11th floors. The proposed mixed-use development on Block 2 will include a total GFA of 129,640 m2 with a total residential GFA of 121,784 m2 and a total non-residential GFA of 7,856 m2. The buildings will contain a total of up to 1,650 residential units in the form of 39 bachelor units, 1,092 one-bedroom units, 354 two-bedroom units, and 165 three-bedroom units. A total of 2,063 m2 of indoor amenity space and 2,145 m2 of outdoor amenity space are proposed. Access to the loading for the entire development and parking for the block will be provided from New Street. The combined buildings will contain 1Type “A”, 4 Type “B”, and 1 Type “G” loading spaces. Parking will be provided in a four level underground garage with a total of 468 parking spaces including 428 parking spaces for residential occupants and 40 commercial parking spaces 10 car share parking spaces are provided in the count which count for 40 spaces in the overall count) In addition 1,693 bicycle parking spaces will be provided with 1485 spaces for residential tenants and 165 spaces for residential visitors and 16 spaces for commercial tenants and 27 for commercial visitors. Block 2 includes a PATH connection though the block to allow for a future PATH connection to the 10 Lower Jarvis Street property. A knock-out panel will be secured at the time of Site Plan Approval. Block 3: Located at the southwest quadrant of the site, Block 3 is bounded by the extension of Harbour Street to the north, Cooper Street to the east, Queens Quay East to the south and Freeland Street to the west. Block 3 will be a public park. An above-grade bridge over Harbour Street to Block 4 will be provided if there is a school within Block 4, as currently proposed. If built, the bridge building may also contain washroom facilities for the school and park. The location and configuration of the Bridge and washrooms building are preliminary and will be finalized in conjunction with the ultimate Park design. The park will have frontages along the proposed Harbour Street Extension to the north, Queens Quay East to the south, Cooper Street to the east and Freeland Street to the west and will be approximately 8,467 m2 in size. Block 4: Located at the northwest quadrant of the Site, Block 4 is bounded by Lake Shore Boulevard East to the north, Cooper Street to the east, the extension of Harbour Street to

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the south and Freeland Street to the west. A mixed-use, multi-tower development that includes three residential towers is proposed for Block 4. Two towers will be located on the north portion of the site incorporated with the existing heritage LCBO Office building with total heights of 90 and 87 storeys. A third tower will be on the south portion fronting onto the new Harbour Street extension, incorporated with the existing heritage LCBO Warehouse building with a height of 77-storeys. The residential towers are proposed to be separated by a planned east-west, private, at-grade mews, located between the existing historic LCBO office and warehouse buildings. The podiums for the proposed buildings are 4-storeys and 6-storeys in height respectively. The south building podium will include on the 1st and 2nd floors a mix of retail space, and at-grade entrances to a proposed school and child care centre, which are proposed to be located on the 2nd and 3rd floors. Residential amenity space and residential units are proposed for the 4th, 5th and 6th floors. The north building podium will include lobby, amenity, bicycle storage and residential units from the 1st to 4th floors, all of which will be contained within the re-integrated LCBO office building. The proposal includes the alteration of the existing heritage warehouse building on Block 4 in order to make way for the Harbour Street extension. The proposed development on Block 4 will included a total GFA of 235,847 m2, a total residential GFA of 220,494 m2 and a total non-residential GFA of 15,343 m2. The 3 buildings will contain a total of up to 2,769 residential units, comprised of 88 bachelor units, 1748 one-bedroom units, 656 two-bedroom units, and 277 three-bedroom units. A total of 7,061 m2 of amenity space is proposed with 3,461 m2 of indoor amenity space and 3,600 m2 of outdoor amenity space. Vehicular access will be off of the proposed private mews. The overall block will contain 1 Type “A” loading space, 4 Type “B” loading spaces, and 1 Type “G” loading space. Parking will be located below-grade in a four-level underground garage containing a total of 665 vehicular parking spaces, including 576 parking spaces for residential occupants and 89 commercial parking spaces (this includes 15 car share spaces). The block will contain a total of 2,837 bicycle parking spaces, including 2,493 bicycle parking spaces for residential tenants, 277 spaces for residential visitors and 26 spaces for commercial occupants and 41 spaces for commercial visitors. It is proposed that Block 4 will be connected by an above-grade PATH connection at the second floor level to the 1-7 Yonge Street development, planned on the block to the west of the LCBO lands. This will provide safe and convenient access for the interface between the proposed community centre and school in the podium levels of both buildings. Blocks 1 and 2 and blocks 2 and 4 will be connected by below-grade PATH connections under Harbour Street and Cooper Street.

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Site and Surrounding Area The subject site is located between Queens Quay East and Lake Shore Boulevard East, midway between Yonge Street and Jarvis Street. The western half of the property, between Freeland Street and Cooper Street is currently occupied by LCBO's headquarters, their warehouse and a retail store. The eastern half of the property is primarily occupied by a large surface commercial parking lot. To the south of the surface parking are two former rail spurs and a triangular portion of the property that is vacant. The property is approximately 45,820 square metres (4.58 hectares) in size, with a frontage of 240 metres on Lake Shore Boulevard East and 230 metres on Queens Quay East. The surrounding uses are as follows: North: Lake Shore Boulevard East, the elevated Gardiner Expressway and the Toronto

rail viaduct. South: The Pier 27 property that is subject of a mixed-use development. Phase 1 of the

development has been constructed. Phase 2 has an approved Official Plan Amendment, Rezoning and Site Plan Approval. The Redpath sugar refinery is also located to the south.

West: The property at 1 to 7 Yonge Street that is the subject of a mixed-use development

proposed on two blocks that is currently before the Ontario Municipal Board. East: Two-storey supermarket with a 2-level parking structure. Provincial Policy Statement and Provincial Plans Section 2 of the Planning Act sets out matters of provincial interest, which City Council shall have regard to in carrying out its responsibilities. The matters include: the orderly development of safe and healthy communities; the adequate provision of employment opportunities; the conservation of features of significant architectural, cultural, historical and archaeological or scientific interest; and the appropriate location of growth and development. The Provincial Policy Statement (2014) provides policy direction Province wide on land use planning and development to promote strong communities, a strong economy, and a clean and healthy environment. It includes policies on key issues that affect communities, such as:

- The efficient and wise use and management of land and infrastructure over the long term in order to minimize impacts on air, water and other resources;

- Protection of the natural and built environment; - Building strong, sustainable and resilient communities that enhance health and

social well-being by ensuring opportunities exist locally for employment;

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- Residential development promoting a mix of housing; recreation, parks and open space; and transportation choices that increase the use of active transportation and transit; and

- Encouraging a sense of place in communities, by promoting well-designed built form and by conserving features that help define local character.

The City of Toronto uses the PPS to guide its official plan and to inform decisions on other planning and development matters. The PPS is issued under Section 3 of the Planning Act and all decisions of Council affecting land use planning matters "shall be consistent with" the PPS. The Official Plan is the most important vehicle to implement the PPS. The Province issued the current PPS in 2014. All Planning decisions made after April 30, 2014 are required to be consistent with the 2014 PPS. However, the 1997 PPS was the applicable PPS when the Central Waterfront Secondary Plan was adopted by City Council in 2003. Decisions made before November 30, 2004 were required to be consistent with the 1997 PPS. In an oral decision dated August 18, 2017, the Ontario Municipal Board confirmed that the 1997 PPS is applicable for the purposes of compatibility with adjacent land uses within the Central Waterfront. The 1997 PPS in section 1.1.3 indicates that long term economic prosperity will be supported by, amongst other things, planning so that major facilities (such as airports, transportation corridors, sewage treatment facilities, waste management systems, industries and aggregate activities) and sensitive lands uses are appropriately designed, buffered and/or separated from each other to prevent adverse effects from odour, noise and other contaminants. The Growth Plan for the Greater Golden Horseshoe (2017) provides a strategic framework for managing growth in the Greater Golden Horseshoe region including:

- Setting minimum density targets within settlement areas and related policies directing municipalities to make more efficient use of land, resources and infrastructure to reduce sprawl, cultivate a culture of conservation and promote compact built form and better-designed communities with high quality built form and an attractive and vibrant public realm established through site design and urban design standards;

- Directing municipalities to engage in an integrated approach to infrastructure planning and investment optimization as part of the land use planning process;

- Building complete communities with a diverse range of housing options, public service facilities, recreation and green space that better connect transit to where people live and work;

- Retaining viable employment lands and encouraging municipalities to develop employment strategies to attract and retain jobs;

- Minimizing the negative impacts of climate change by undertaking stormwater management planning that assesses the impacts of extreme weather events and incorporates green infrastructure; and,

- Recognizing the importance of watershed planning for the protection of the quality and quantity of water and hydrologic features and areas.

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Like other provincial plans, the Growth Plan for the Greater Golden Horseshoe (2017) builds upon the policy foundation provided by the PPS and provides more specific land use planning policies to address issues facing the GGH region. The policies of the Growth Plan take precedence over the policies of the PPS to the extent of any conflict, except where relevant legislation provides otherwise. All decisions by Council affecting land use planning matters are required by the Planning Act, to conform, or not conflict, as the case may be, with the Growth Plan. Staff have reviewed and will continue to review the proposed development for consistency with the PPS and for conformity with the Growth Plan for the Greater Golden Horseshoe. Official Plan The City of Toronto Official Plan was adopted by Council in 2002 and approved by the Ontario Municipal Board (OMB) in 2006. The 2006 OMB Order only partially approved the Official Plan across the City, however, areas covered by the Central Waterfront Secondary Plan (CWSP), were an amendment to the former City of Toronto Official Plan. Therefore, the former City of Toronto Official Plan is in force and effect for the subject property. Although the new City of Toronto Official Plan is not in force for this site, it sets out the overall vision for the City's urban structure and future growth and is considered when reviewing Waterfront planning and development. Within the new City of Toronto Official Plan, these lands are located in the Downtown and Central Waterfront on Map 2 - Urban Structure. Its land use designation is Regeneration Areas (see Attachment 9). The Downtown and Central Waterfront offer opportunities for employment and residential growth. However, as per Section 5.2.1, growth in the Central Waterfront is guided by Secondary Plans, which in this case is the CWSP. The Official Plan policies address the importance of well-designed connections between the core and Central Waterfront. The renewal of the Central Waterfront will create new opportunities for business development, as well as new neighbourhoods with homes for Downtown workers. The Downtown policies also acknowledge the opportunity to add to the supply of office space south of the rail corridor. Policies for Regeneration Areas are intended to provide for a broad mix of commercial, residential, light industrial, institutional and live/work uses in an urban form, in order to revitalize areas that are largely vacant or underused, and to create new jobs and homes. These areas are blocks of land that may be subdivided into smaller areas for a wide variety of mixed-use redevelopment. The Official Plan provides that for each Regeneration Area, a framework for new development will be set out in a Secondary Plan and development should not proceed prior to approval of a Secondary Plan. Parks and Open Space Areas are areas for use as parks, open spaces, natural areas and plazas, and can include compatible community, recreation, cultural, restaurant and

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entertainment facilities. Lands designated Parks and Open Space Areas in the vicinity of Regeneration Areas may be subject to Precinct Implementation Strategies. Heritage Policies in the Official Plan state that properties on the Heritage Register will be conserved and maintained consistent with the Standards and Guidelines for the Conservation of Historic Places in Canada, as revised from time to time and adopted by Council (Policy 3.1.5.4). Section 5.6, Interpretation, provides guidance on the understanding and interpretation of the Official Plan. Policy 1 indicates that the Official Plan should be read as a whole to understand its comprehensive and integrative intent as a policy framework for priority setting and decision making. Further, Section 1.5 – ‘How to Read the Plan’ indicates the Official Plan is to be read as a comprehensive and cohesive whole. The City of Toronto’s Official Plan is available on the City’s website at: http://www1.toronto.ca/wps/portal/contentonly?vgnextoid=03eda07443f36410VgnVCM10000071d60f89RCRD Former Metropolitan Toronto Official Plan As the guiding document for the former City of Toronto Official Plan, the former Metropolitan Toronto Official Plan remains in force for this property. The Plan locates the subject property within the Central Area, which is identified as the pre-eminent centre within the Greater Toronto Area and the primary location for a variety of governmental and economic activities. The Plan provides policy direction for attaining an urban structure that fosters liveability, focuses programs on sustainable community development, enhances the planning process and promotes effective collaboration. Former City of Toronto Official Plan The former City of Toronto Official Plan is in force for 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street. This Plan supports the precinct planning approach and comprehensive level of analysis for precinct areas. It sets out a policy framework, including goals and objectives, for the waterfront in Chapter 14. This includes the primary goal for the waterfront as set out in Policy 14.2: to promote increased and sustainable public enjoyment and use of the area by ensuring that future developments and actions by both the public and private sectors, will help to achieve certain objectives. These objectives include: improving public access to the waterfront, increasing the amount of public parkland across the entire waterfront and enhancing the quality of the waterfront as a place. The general policies for the Bayfront area (Policy 14.21) state that Council shall encourage residential, commercial, institutional and compatible industrial uses in suitable locations in order to increase the area's public character, promote active and varied use of the area by people throughout the year, and assist in meeting Council's housing policies in Section 6 of the Plan. The property at 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street is within the Central Bayfront area of the former City of Toronto Official Plan (see Attachment 10). A set of planning and urban design principles for development

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in both the Central Bayfront and East Bayfront is set out in Policy 14.28. These principles set out the need for further planning and development to address land use, open space, built form and infrastructure. Development is directed to be phased at an appropriate pace. To further this comprehensive planning framework, cooperative arrangements among landowners and public agencies and levels of government are recommended to realize both public and private objectives, including the creation of an appropriate streets and blocks plan. Planning and urban design principles in Policy 14.28 specify that new development in the Central Bayfront will develop at moderate to high intensity. Development is to step down in height to the water and preserve expansive views from the City to the water. Policy 14.28(e) states that new residential development should be permitted in a manner which promotes the housing goals and objectives in Section 6 of the Plan (which includes policies respecting affordable housing policies and housing suitable for families with children). Policy 14.28 (f) sets out the principle that new residential development should ensure the creation of viable neighbourhoods with an appropriate level of community services and facilities and (g) states that redevelopment should be seen as providing opportunities for the introduction of parks and open spaces that serve a regional and a local constituency. Addressing transportation considerations, Policy 14.28 (i) requires redevelopment to be based on a street system that improves connections between the City and Central/East Bayfront, accommodates the Gardiner Expressway in its present location but allows for its restructuring, and establishes Queens Quay East as a significant waterfront boulevard. Other policies include those addressing compatibility with existing industries and environmental issues and recognizing and preserving the area's industrial heritage. Policy (k) (v) notes that the physical form of new development should include Lower Yonge Street as a focal point on Toronto Bay. Section 5 of the former City of Toronto Official Plan contains heritage policies that encourage the preservation and conservation of those sites, buildings and structures, including monuments and bridges, which have been evaluated and identified as being of architectural and/or historical importance. Central Waterfront Secondary Plan The Central Waterfront Secondary Plan (CWSP) was adopted by City Council on April 16, 2003 as an amendment to Part II of the former City of Toronto Official Plan. It was appealed in its entirety, and although large parts of the Plan have now been approved by the OMB, the Plan is not yet approved and in force for the Lower Yonge Precinct. Notwithstanding the above, the CWSP has been used as the guiding policy document for waterfront redevelopment and policy implementation. Similar to the Toronto Official Plan, the subject property lands are designated Regeneration Areas. (See Attachment 11)

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The purpose of the CWSP is to identify key public priorities and opportunities, as well as an implementation process for waterfront revitalization. The document is based on four core principles:

A. Removing Barriers/Making Connections; B. Building a Network of Spectacular Waterfront Parks and Public Spaces; C. Promoting a Clean and Green Environment; and D. Creating Dynamic and Diverse New Communities.

A precinct-level implementation strategy is the tool detailed within the CWSP to provide for comprehensive and orderly development and to implement its policies. As noted, precinct plans and subsequent implementing zoning by-laws have been developed for East Bayfront, West Don Lands, and the Keating Channel Precinct. Prior to the preparation of zoning by-laws or development permit by-laws within Regeneration Areas, the CWSP requires Precinct Implementation Strategies to be prepared in accordance with the policies contained in Section 2.2. As well, the CWSP provides that rezoning of individual sites within Regeneration Areas will generally only be entertained once a context has been established for the evaluation of specific rezoning applications, through the Precinct Implementation Strategies. In addition, area-wide infrastructure requirements are required to have been determined, including a fair and equitable means for ensuring appropriate financial contributions for their provision, prior to the approval of rezoning applications. The CWSP has specific requirements for land use compatibility. Paragraph P27 requires development in Regenerations Areas to have regard for provincial guidelines and for lands to be appropriately buffered and mitigated to prevent adverse effects from noise, odour and other contaminants. Policy P51 states that the Redpath facility is an important feature of the Toronto Waterfront that should be maintained. Further, any development applications and public realm initiatives shall have regard for applicable policies, regulations and guidelines to ensure that compatibility will be achieved and maintained with respect to noise, dust, odour and air quality. The goals of these policies, as stated in P51, are to:

i. prevent undue adverse impacts from the proposed land use on the Redpath lands designated as an Existing Use Area; and

ii. prevent undue adverse impacts on the new land use from the Redpath lands

designated as an Existing Use Area.

Sensitive land uses may be prohibited in the implementing zoning or limited (through massing and siting, buffering and design mitigation measures) in proximity to Redpath lands to ensure compatibility. In addition, noise and air emissions reports shall be required, in support of development approval requests. Such environmental reports are to specify how compatibility will be achieved and maintained.

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The CWSP states that heritage properties listed on the City’s Inventory of Heritage Property will be protected and improved where feasible. Designated heritage buildings will be conserved for creative reuse in their original locations. The Central Waterfront Secondary Plan can be viewed at: https://www1.toronto.ca/City%20Of%20Toronto/Waterfront%20Secretariat/Shared%20Content/Files/CWSP07.pdf

Lower Yonge Precinct Plan and Official Plan Amendment The Lower Yonge Precinct Plan (LYPP) and implementing draft Official Plan Amendment (LYOPA) was endorsed by City Council on June 7/8, 2016. These plans provide the comprehensive planning framework intended to guide development in the Precinct. Both documents set out a common vision for the redevelopment of the Lower Yonge Precinct. The Lower Yonge Precinct will be a vibrant, mixed-use, complete community that derives its character from its waterfront context and the large central park at its heart. A home and workplace for people of all incomes, as well as a destination to visit, Lower Yonge will be a green, sustainable neighbourhood with streets and sidewalks that are inviting to both pedestrians and cyclists. The area will be characterized by mid-rise base buildings framing the public realm at a human scale, and broadly spaced towers ensuring sunlight, good wind conditions and ample views of the sky from all streets and the park. A series of objectives are outlined for how to implement this vision. The OPA then establishes a set of planning policies with graphics, intended to guide future private and public investment, under the following general themes:

1. Public Realm: streets and blocks network, regional transportation improvements; complete streets; active transportation; ground floor animation, parks and open space, privately owned, publicly-accessible spaces (POPS), public art, and transit;

2. Infrastructure: community services and facilities, sustainability/resiliency,

parking/loading, servicing, and travel demand management; 3. Development: land use, compatibility with Redpath Sugar, housing,

affordable rental housing, heritage conservation and archaeology, and built form (including base buildings, articulation, tall buildings, density); and

4. Implementation: municipal approvals (including complete application

requirements, holding provisions, Section 37 agreements and subdivision), municipal class environmental assessment, design review panel, landowner agreements, and monitoring.

The LYPP provides the background and rationale for the OPA, as well as additional measures and details for each of the elements in the OPA. It outlines and highlights the:

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- context for the area; - broader public realm network, including connections to surrounding areas; - clarification of street types; and possibilities for the PATH network; - added recommendations for built form development; - background for the recommended community services and facilities; - provision of affordable rental housing; - sustainability and resiliency ambitions; - goals for economic innovation; - public art plan; and - additional recommendations for phasing and implementation.

The LYPP discusses the area's heritage and archaeological past. As discussed in Section 2.5, conservation of heritage and archaeological resources will play a vital role in creating a special and distinctive waterfront. The LCBO head office and warehouse buildings are both identified as heritage resources and are the last remaining structures in the Precinct from the mid-twentieth century industrial era. The Precinct Plan envisions conservation of the entire LCBO head office building and the majority of the warehouse. The LYPP and draft LYOPA (page 49 of the Final Staff Report) can be found at: http://www1.toronto.ca/wps/portal/contentonly?vgnextoid=bd6ec6f87bdb1410VgnVCM10000071d60f89RCRD The Lower Yonge Official Plan Amendment is an amendment to the Central Waterfront Secondary Plan, which is not yet in force for the subject property. The appeal of the Central Waterfront Secondary Plan is before the Ontario Municipal Board and the Lower Yonge OPA will be incorporated into the CWSP as part of the OMB process. It is anticipated that the CWSP and the LYOPA will be brought into force as an outcome of the OMB process. Zoning The former City of Toronto Zoning By-law 438-86, as amended, is applicable to the 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street properties. The property is zoned IC D3 N1.5 (see Attachment 9) which permits industrial buildings to a maximum density of 3 times the area of the lot. The zoning permits certain non-residential uses, as listed in Section 9 of By-law 438-86 up to 1.5 times the area of the lot. All of the lands within the CWSP area were exempt from inclusion into City of Toronto harmonized Zoning By-law 569-2013. City-wide Tall Building Design Guidelines In May 2013, City Council adopted the updated city-wide Tall Building Design Guidelines and directed City Planning staff to use these Guidelines in the evaluation of all new and current tall building development applications. The Guidelines establish a unified set of

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performance measures for the evaluation of tall building proposals to ensure they fit within their context and minimize their local impacts. Section 1.2 speaks to the need to coordinate the development of larger sites with multiple tall buildings, new internal streets and parks through a Master Plan. The city-wide Tall Building Design Guidelines are available at: http://www1.toronto.ca/city_of_toronto/city_planning/urban_design/files/pdf/tall-buildings.pdf Policy 1 in Section 5.3.2 Implementation Plans and Strategies for City-Building, the Official Plan states that Guidelines will be adopted to advance the vision, objectives, and policies of the Plan. Urban Design guidelines specifically are intended "to provide a more detailed framework for built form and public improvements in growth areas." The Tall Building Design Guidelines serve this policy intent, helping to implement Chapter 3.1 The Built Environment and other policies within the Plan related to the design and development of tall buildings in Toronto. As this project is located within the CWSP, it is not subject to the Downtown Tall Buildings: Vision and Supplementary Design Guidelines (adopted by City Council in July 2012 and consolidated with the city-wide Tall Building Design Guidelines in May 2013). TOcore TOcore: Planning Downtown is an inter-divisional study, led by City Planning, which is updating the planning framework for Downtown and developing a series of infrastructure strategies to support implementation. TOcore is a response to the rapid intensification of Downtown that is placing pressure on physical and social infrastructure assets and occurring in a pattern and at an intensity that threatens to jeopardize the quality of life in the city centre and the economic role that the Downtown plays for the entire city. TOcore's purpose is to ensure growth positively contributes to Toronto’s Downtown as a great place to live, work, learn, play and invest by determining: a) how future growth will be accommodated and shaped, and b) what physical and social infrastructure will be needed, where it will go and how it will be secured. The study area is bounded by Lake Ontario to the south, Bathurst Street to the west, the mid-town rail corridor and Rosedale Valley Road to the north, and the Don River the east. Building on Downtown's existing planning framework and drawing on best practices within City Planning Division, the Downtown Plan is being developed to serve as a blueprint for future growth and infrastructure in the heart of Toronto over the next 25 years. It will provide detailed direction on the appropriate scale and location of future growth. It will also link this growth with infrastructure provision to ensure the creation of ‘Complete Communities’, addressing the requirements under the Provincial Policy Statement (2014) and the Growth Plan for the Greater Golden Horseshoe (2017). A series of infrastructure strategies for transportation, parks and public realm, community services and facilities, water and energy are in development as part of this review.

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On October 5-7, 2016, City Council adopted Official Plan Amendment (OPA) 352 – Downtown Tall Building Setback Area (currently under appeal). The purpose of OPA 352 is to establish the policy context for tall building setbacks and separation distances between tower portions of tall buildings Downtown. At the same meeting, City Council adopted area-specific Zoning By-laws 1106-2016 and 1107-2016 (also under appeal), which provide the detailed performance standards for portions of buildings above 24 metres in height. At its meeting on October 2-4, 2017, City Council considered the Proposed Downtown Plan and directed Staff to undertake stakeholder and public consultation on that document and its proposed policies, leading to a recommendations report and an amendment to Toronto's Official Plan in the second quarter of 2018. Additionally, Council directed Staff to consider the policies contained with the Proposed Downtown Plan in the review of all development applications within the Downtown going forward:

6. City Council request City Planning staff to consider the Proposed Downtown Plan policies, in Attachment 1 to the report (August 18, 2017) from the Chief Planner and Executive Director, City Planning, during the evaluation of current and future development applications in the Downtown Plan area and continue to refine the policies in consultation with stakeholders and the community.

More information on Council direction pertaining to TOcore can be found here: http://app.toronto.ca/tmmis/viewAgendaItemHistory.do?item=2017.PG22.1. Further background information can be found at www.toronto.ca/tocore. Official Plan Amendment 352 – Updating Tall Building Setbacks Downtown On October 6, 2016, City Council adopted Official Plan Amendment 352 – Downtown Tall Building Setback Area. The purpose of OPA 352 is to establish the policy context for tall building setbacks and separation distances between tower portions of a tall building in the Downtown. At the same meeting, City Council adopted area specific Zoning By-laws 1106-2016 and 1107-2016 (also under appeal) which provide the detailed performance standards for portions of buildings above 24 metres in height. Subdivision In response to a policy requirement in the Lower Yonge Precinct OPA, the applicant has submitted a subdivision application to divide the site into four blocks and to provide for the conveyance of the extension of Harbour Street through the site, connecting Freeland Street to Cooper Street and the creation of a new north-south Street between Lakeshore Boulevard East and Queens Quay East. This application is currently under review and will facilitate the orderly development of the public realm and servicing. A report will be brought forward to Community Council for consideration shortly.

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Site Plan Control The subject site and proposed development are subject to site plan control. Site Plan Approval applications have been submitted for Blocks 1 and 2.

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Heritage Conservation 55 Lake Shore Boulevard East is currently listed on the City's Heritage Register. The property contains the LCBO's head office, which is connected to a larger warehouse building built around the same time. South of the office and warehouse is a garage/retail outlet of the same age that was excluded from the reasons for listing. The LCBO office and warehouse buildings were conceived as a complex and constructed in the early 1950's in the post-war modernist style. The complex represents the LCBO's first stand-alone headquarters in the province, and is the last remnant of the mid-century industrial period within the Precinct. Designed by the prominent Toronto architectural firm Mathers and Haldenby, the buildings are stylistically unified with fine details and finishes. As a provincially owned property, the building complex is not currently designated. The recent Council-approved Lower Yonge Precinct Official Plan Amendment and Precinct Plan envision the conservation of the LCBO office building and warehouse in the build-out of the area. With the proposed eastward extension of Harbour Street, however, the southern portion of the warehouse will be demolished. The preservation of the entire warehouse building is not possible with a functional alignment of Harbour Street and also with the proposed location of the proposed park. Heritage Preservation Services staff reviewed the impacts of the alteration and concluded that the warehouse will retain its integrity despite the alterations. Section 3.1.5 of the City of Toronto Official Plan requires that proposed development on a property on the heritage register retain the integrity of the heritage property’s cultural heritage value and attributes, prior to work commencing. Integrity is defined as the measure of the wholeness and intactness of the property’s cultural heritage values and attributes and the extent to which the property includes all elements necessary to express this value. The LCBO office building has a strong presence along Lake Shore Boulevard East and the connected warehouse building currently defines the street wall height along Freeland Street and Cooper Street, effectively framing the public realm. Staff are recommending that parts of the heritage buildings be designated as described above to ensure their ongoing preservation. Prior to the removal of the Holding Symbol on Blocks 3 and 4, the heritage buildings will be designated and City Council will need to approve their alteration. Reasons for the Application The applicant is seeking amendments to both the former City of Toronto Official Plan and former City of Toronto Zoning By-law. Permission for the mixed-use development is not permitted within East Bayfront until such time as the Central Waterfront Secondary Plan (as amended by the Lower Yonge Precinct Plan) comes into full force and effect for the subject property. The proposal does not comply with the existing zoning by-law in that residential development is not permitted and the current zoning allows for a density of 1.5 times the

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area of the lot for industrial uses, whereas a density of 14.5 times the area of the lot is proposed with a mix of commercial and residential uses. Community Engagement On November 28, 2016, approximately 50 people attended a Community Consultation meeting for the applications. Concerns were expressed about the low number of parking spaces proposed and the amount of traffic that would be generated by the development, which could exacerbate existing traffic congestion in the area. There were also questions related to the proposed school location and the affordable housing details. Generally, participants expressed a desire for a strong public realm, a well designed park and the extension of PATH connections into the Lower Yonge Precinct. Design Review Panel The Design Review Panel held their first evaluation of the 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street proposal on November 23, 2016. The Chair then summarized the Panel comments as follows:

- There should be more mid-block porosity at-grade to provide connections throughout the site, and these should be coordinated throughout the precinct to the extent possible;

- Second-level bridge connections are not supported, except over Lake Shore Boulevard, because of their visual impact and potential reduction in pedestrian activity at street level;

- The retail building on the park block is not supported, and any retail pavilion proposed there should be designed as part of the park;

- The design of the park should happen concurrently with the design of the buildings and be led by Waterfront Toronto or the City;

- The heritage mews needs to be re-thought and made into a prime public space; - The public realm plan in the Lower Yonge Precinct Plan needs to be shown on

the drawings, and the relationship between the buildings and the street more strongly conceived;

- Tower heights should step down as per the Precinct Plan; - Tower separation distances should respect the 30 metre minimum as per the

Lower Yonge Precinct Plan; - The towers on the north-west block should be rearranged to open up view

corridors and reduce the infrastructure in the heritage mews; and, - The Queens Quay façade on the south-east block should be conceived as the

primary “front door” of the LCBO store, not Cooper Street, the “stepbacks” on the façade should be eliminated in favour of a continuous streetwall, and the roof overhang should be less monumental to fit into the mixed-use residential neighborhood.

The panel voted unanimously to not support the proposal at this first review.

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The applicant was not willing to attend a second Design Review Panel hearing, although some of the revisions suggested by the Panel were incorporated into the revised submission. The applicant is encouraged to bring forward the Site Plan Approval Application for the second phase of the development to the Panel. Agency Circulation The applications were circulated to appropriate agencies and City divisions. Responses received have been used to assist in evaluating the application and in formulating appropriate standards for inclusion into the draft Official Plan and Zoning By-law Amendments that will be brought forward to the OMB for consideration, should Council endorse the recommendations contained within this report. COMMENTS Ontario Municipal Board Process On April 10, 2017, the owner, Menkes, appealed City Council's failure to make a decision on their OPA application within 180 days (s. 17(40)) and failure to make a decision on their Zoning Bylaw Application within 120 days (s. 34(11)). The OMB has scheduled a date for a third prehearing conference for September 25, 2018 to co-ordinate the approval of the Lower Yonge OPA, which includes the Menkes lands. As part of the ongoing OMB hearing related to other areas within the Central Waterfront Secondary Plan, the City and respective landowners filed Minutes of Settlement with the OMB on June 22-24, 2017 for the properties to the east of the subject site, located at 215 Lake Shore Boulevard East and 178-180 Queens Quay East. The OMB has established a process to resolve outstanding land use compatibility issues between those respective landowners and Redpath Sugar. The 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street development proposal is impacted by similar land use compatibility issues with the introduction of sensitive uses in close proximity to Redpath Sugar. Accordingly, on May 2, 2017 Menkes was made a party to the proceeding with respect to the land use compatibility issues. These land use compatibility issues and Redpath's concerns are subject of a two-week OMB hearing commencing on May 7, 2018. If a settlement between the applicant and Redpath is reached, some of those dates may be able to be used for the purpose of settling this application. This settlement will be incorporated into the Lower Yonge Precinct OPA. Provincial Policy Statement and Provincial Plans Staff are of the opinion that the proposed development application is consistent with the PPS by: accommodating a range and mix of uses; providing opportunities for a diversified economic base; and encouraging compact, mixed-use development that incorporates compatible employment uses. The PPS recognizes the local context is important, and that a well-designed built form contributes toward overall long-term economic prosperity. Policy 4.7 indicates the Official Plan is the most important vehicle for implementation of the PPS. In this context, the Official Plan provides direction on accommodating

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development that builds on the strength of Downtown as the premier employment centre of the GTA. With regard to heritage conservation, Policy 2.6.1 of the PPS indicates significant built heritage resources shall be conserved. The Official Plan further refines the direction of the PPS to require appropriate built form to fit harmoniously into its existing and/or planned context and the conservation of heritage properties. The proposed development conserves the existing Liquor Control Board of Ontario (LCBO) office building and a large portion of the associated LCBO Warehouse building on site, and as such is consistent with the PPS. The site is within the urban growth centre of the built-up area boundary, an intensification area identified in the Growth Plan. Policy 2.2.3.1 states urban growth centres will be planned to accommodate significant employment growth. Policy 2.2.5.2 states major offices will be directed to urban growth centres with existing or planned frequent transit service. This mixed-use development adds over 44,000 square metres of office gross floor area to this emerging mixed-use community. Staff are of the opinion that the proposed development conforms to the Growth Plan. Lower Yonge Precinct Plan and OPA Both the former City of Toronto Official Plan and the Central Waterfront Secondary Plan reference the need for comprehensive precinct planning in Regeneration Areas along the Toronto waterfront. The Lower Yonge Precinct planning process was conducted over a nearly four year period and involved considerable research, analysis, consultation, and collaboration. That planning process culminated with consideration of the Lower Yonge Precinct Plan and OPA to Toronto and East York Community Council on May 10, 2016. The Lower Yonge Precinct OPA includes a maximum net density of 14.5 times the net property area for the lands at 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street. The proposed development generally complies with most of the policies of the Lower Yonge OPA, with priority with respect to the built form being given to the public realm, as discussed in the Request for Directions Report dated September 29, 2017, from the Director of Community Planning adopted by City Council at its meeting of November 7, 8 and 9, 2017. Land Use This proposal consists of a mix of office, retail, residential, institutional and parkland uses and is consistent with the City's goal of creating complete communities. The non-residential gross floor area is approximately 20% of the total gross floor area of the development, with office uses being approximately 14%. The LYPP sets a target of between 25% and 40% for non-residential uses throughout the precinct, to ensure that there are people in the community at all hours of the day and that the day to day needs of future residents can be met within the local area. When combined with the non-residential uses within the neighbouring development at 1-7 Yonge Street, 31% of the total gross floor area is achieved as non-residential.

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The office tower location, on the southeast block will help buffer the more sensitive uses north of Harbour Street from the Redpath Sugar facility on the south side of Queens Quay East. Built Form At its meeting of November 7, 2017, City Council adopted a Request for Directions Report which dealt with the building envelopes for the proposed development. The built form matters were dealt with separately, in advance of an Ontario Municipal Board hearing related to the Central Waterfront Secondary Plan held on November 7, 2017. The report reviewed matters related to: overall height; base building height; building setbacks; stepbacks of the towers from the base buildings; and the tower plates, tower separation and tower area ratio. Staff reviewed the overall massing of the proposed development and found it to be acceptable. The Lower Yonge Official Plan Amendment allows for a maximum density of 14.5 times the net property area. The proposal was evaluated in terms of assessing the proposed density and massing to ensure that key development criteria were met. The performance measures that were given priority were the building setbacks, base building heights and the transition in overall height. Staff worked closely with the applicant and analyzed views not only from the south, but also from the St Lawrence Market, Berczy Park and the Church and Front intersection to ensure that the development would preserve sky views and views to the waterfront. The compliance with the building setbacks and base building heights ensure a comfortable public realm with broad sidewalks and optimum climatic and light conditions. Land Use and Compatibility The Lower Yonge Precinct Plan and OPA prescribe a mix of uses in the area to ensure activity in the area at all times of day. The application proposes a use mix of 80% of the gross floor area dedicated to residential uses and 20% to non-residential uses. Policy 6.1.4 in the OPA, limits residential uses to 75% across the Precinct. The 1-7 Yonge Street development proposal includes a higher proportion of non-residential uses. When combining the residential floor areas of the 2 developments, the residential uses comprise 69% of the gross floor area within the precinct. The proposed non-residential uses are divided among retail, office uses, child care centre and a school. The school and child care centre contribute important institutional use to the Lower Yonge Precinct. The inclusion of the proposed affordable rental residential units will help to ensure that an inclusive community is achieved with the residential uses through a mix of ownership and rental tenure, as well as market and non-market affordability rates. The land use plan outlined on Map J8 in the OPA specifies that only non-sensitive (i.e. non-residential) uses are permitted south of the proposed Harbour Street extension through

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the Precinct. This was imposed to respect the existing Redpath Sugar refinery on the south side of Queens Quay. Sensitive uses (i.e. residential units, school and child care centre) are contemplated on the north side of Harbour Street. These uses would only be permitted in these locations, subject to appropriate mitigation measures being implemented to reduce noise, odour and air quality impacts associated with Redpath Sugar. To provide assurance that the proposed land use plan for the Lower Yonge Precinct is able to be successfully implemented to the satisfaction of the Ministry of the Environment and Climate Change (MoECC), the City retained an external consultant to conduct a Noise, Odour and Air Quality Study. The study focused on assessing the proposed land use and built form provisions to ensure their compatibility with Redpath Sugar and existing transportation corridors (CN Rail, Gardiner Expressway and Lake Shore Boulevard). In response to the noise-related conclusions from the study, staff brought forward the following recommendation in the Lower Yonge Precinct Plan Final Report, dated April 22, 2016, which was adopted by Toronto East York Community Council on May 10, 2016 and considered by City Council on June 7/8, 2016: That City Council directed staff to confirm with the Ministry of Environment and Climate Change that the lands within the Lower Yonge Precinct, identified on Map J1 within the draft Official Plan Amendment attached as Attachment No. 5 to the report dated April 22, 2016 from the Director, Community Planning, Toronto and East York District, should be classified as a Class 4 area under Ministry of Environment (now Ministry of Environment and Climate Change) Environmental Noise Guideline, Stationary and Transportation Sources – Approval and Planning, Publication NPC-300, August 2013. The City Solicitor sent a letter to the Ministry confirming this designation. The Class 4 area designation was introduced by the MoECC for areas that are intended for development with new noise sensitive land uses that are not yet built, and are in close proximity to existing compliant industry. This designation in Lower Yonge enables certain types of mitigation to be possible on the proposed sensitive land uses, while still ensuring the viability of Redpath Sugar. The Lower Yonge Precinct OPA, developed in consultation representatives from Redpath Sugar, contains several policies in Section 6.2 requiring landowners to demonstrate land use compatibility through the submission of their own, site-specific noise, odour and air quality studies. The applicant for 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street has undertaken these studies, which contain the following conclusions:

- Noise: Impacts from transportation noise sources (including road and rail traffic) can be adequately addressed through the specific design of each building façade (using wall and window Sound Transmission Class ratings) and through the installation of noise barriers for outdoor amenity areas. Impacts from stationary noise associated with Redpath Sugar can be addressed

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if the Class 4 classification is implemented by the City, in addition to appropriate mitigation measures.

- Air Quality: The proposed development at 55 to 59 Lake Shore Boulevard

East, 33 to 53 Freeland Street and 2 and 15 Cooper Street is not expected to cause a burden with Redpath's existing operations and MoECC approvals, with the introduction of mitigation measures agreed upon with Redpath.

- Odour: Further discussion is recommended between Redpath and the

applicant to determine, at the site plan control stage, whether mitigation measures should be considered, and if so, the options for implementation.

The City will be undertaking a peer review of these conclusions, in consultation with Redpath Sugar, which will be completed prior to the issuance of the OMB order. It is expected that specific land uses, building orientation, mitigation measures and any other required matters for the 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street proposal will be secured through the Zoning By-law Amendment, Section 37 Agreement, and any other agreements as necessary prior to the issuance of the OMB order or during the site plan control process, as required. Transportation Network The proposal for 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street supports and does not preclude the larger, regional transportation network changes proposed for the Lower Yonge Precinct, namely, the:

- removal of the Bay Street on-ramp to the eastbound Gardiner Expressway; - shortening of the Lower Jarvis off-ramp to the eastbound Gardiner

Expressway; - widening of Lake Shore Boulevard East between Yonge and Lower Jarvis

Streets; - conversion of Harbour Street to two-way operations from Yonge Street to York

Street; - normalization of the Yonge Street/Harbour Street and Yonge Street/Lake Shore

Boulevard intersections; and - Church-Cooper tunnel connection.

The City Council adopted Lower Yonge Precinct MCEA created the preliminary costing and phasing plan for these initiatives, which includes an assessment of the proportion of these costs that could reasonably be expected to be borne by local development. The recommendations in the LYPMCEA outlines when each initiative is required to appropriately accommodate anticipated vehicular, bike and pedestrian volumes. A holding provision is required to be put on the zoning by-law amendment for the property to ensure that development beyond the first phase (Blocks 1 and 2) would be required to conform to the recommendations of the MCEA and not proceed until the provision of this infrastructure is secured in a manner satisfactory to the City.

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Streets and Blocks The Official Plan and Zoning By-law Amendment applications for 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street (as well as the proposed subdivision application) propose to extend Harbour Street east from Cooper Street to a proposed new street between the property and the Loblaws property at 10 Lower Jarvis. The new north south street will extend between Lake Shore Boulevard East and Queens Quay East. The conveyance of these lands to the City will be shared by the 2 adjacent owners. This configuration of proposed streets and blocks is consistent with the Lower Yonge Precinct Plan and Lower Yonge OPA.

Public Realm The Lower Yonge Precinct Plan and OPA propose several significant public realm improvements, all directed to facilitate accommodation of the significant expected population of residents, employees and visitors to the area. The premise is to transform the area from a vehicular-oriented, industrial area into a vibrant, green, pedestrian and cyclist-friendly area befitting its waterfront location. The 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street application proposes to implement all of the recommended public realm enhancements, including:

- creating wide sidewalks of at least six metres along the new Harbour Street extension, Freeland Street, Lake Shore Boulevard East and Queens Quay East, with distinct zones, as noted in Section 4.3 of the Precinct Plan, for furnishing/planting, pedestrian clearways (or throughways), and building frontage zones for retail spillover;

- providing street trees along all streets with sufficient soil volumes to ensure

long-term survival; - a privately-owned publicly-accessible space (POPS) in the form of an east-west

mid-block pedestrian connection between the heritage building on Block 4 that will help to encourage pedestrian activity by increasing permeability through the block; and

- extension of the PATH network into and through the site and to the adjacent

property at 10 Lower Jarvis Street, as per Section 4.6.5 of the Precinct Plan, providing additional pedestrian options within and surrounding the site, and creating a weather-protected linkage to Union Station for employees, residents and visitors.

The cross-section plans and details for each of the streets surrounding and bisecting the site are being designed as part of the public realm concept component of the MCEA. These plans will be incorporated into the site plan drawings for 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street when finalized.

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Open Space/Parkland The Official Plan contains policies to ensure that Toronto's system of parks and open spaces are maintained, enhanced and expanded. Map 8B of the Official Plan shows local parkland provisions across the City. The subject site is in an area with 0 to 0.42 hectares of local parkland per 1,000 people, the lowest quintile of current provision of parkland. The site is in a parkland acquisition priority area, as per Chapter 415, Article III of the Toronto Municipal Code. The proposal includes 4,419 residential units on a net site area of 37,756 m2 with 342,278 m2 of residential GFA and 84,427 m2 of non-residential use. At the alternative rate of 0.4 hectares per 300 units specified in the City Wide Parkland Dedication By-law 1020-2010, the parkland dedication requirement is 58,920 m2 or 195% of the site area. However, for sites that are between 1-5 hectares in size, a cap of 15% of the development site is applied to the residential use. The non-residential uses are subject to a 2% parkland dedication. In total, the parkland dedication requirement is 4,693 m2. The proposed density and scale of this development merits the provision of parkland to support the high number of residents contemplated in the Lower Yonge Precinct. As a result, the applicant will be required to satisfy the whole of its parkland requirement in land, as cash-in-lieu of parkland will not be accepted for this application. The applicant has identified an on-site parkland dedication on Block 3. The Council approved Lower Yonge Precinct Plan directs the acquisition of a consolidated park of approximately 1 hectare be achieved in order to approve a change of use and accommodate the proposed densities outlined within the plan. Consequently, the applicant has agreed to enter into a Three Party Agreement with Pinnacle International (the owner of 1-7 Yonge Street) and the City, to consolidate the applicant's on-site parkland dedication, an off-site parkland dedication for the 1-7 Yonge Street development, and the future requirement for the property at 10 Lower Jarvis Street, which the City will be purchasing. The remainder of the block will be provided to the City at no cost, as a Section 37 contribution, in order to achieve the approximately 1 hectare park identified by the Lower Yonge Precinct Plan and OPA. The estimated park conveyance date is January 2025. The park will not be available for conveyance until such time as the LCBO store, currently on the site, has been relocated to the commercial building that is part of Phase I of this development. Prior to the OMB hearing commencing, the City will require that the owner enter into a Memorandum of Understanding, or other satisfactory agreement, with the City and property owner at 1-7 Yonge street in order to present a coordinated approach to the clean-up and delivery of parkland in accordance with Official Plan Policy 3.2.3, as well as the City's Policy for Accepting Potentially Contaminated Lands to be Conveyed to the City under the Planning Act, approved by Council on February 10, 2015.

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Public Art The applicant has stated that they will be providing a Public Art Program with a total value of $2.2 million, which will follow the recommendations contained within the Public Art Plan in Section 9 of the Lower Yonge Precinct Plan. The proposed approach to public art will be secured through the Section 37 Agreement. At a later date, a separate staff report concerning public art will be brought forward to Community Council outlining the method by which the applicant will commission public art within a publicly-accessible location on the site or elsewhere as a consolidated project in collaboration with Waterfront Toronto and other landowners in the Precinct. Ground Floor Animation In order to increase the amount of pedestrian activity and thereby promote surveillance and enhance safety around the Precinct, a Ground Floor Animation Zone was introduced with the policies in Section 4.5 and the graphic in Map J6 of the Lower Yonge Precinct OPA, as well as through the recommendations in Section 5.2.1 of the Precinct Plan. Portions of the building within the Ground Floor Animation Zone are expected to have frontages and façade design that facilitate activity and visibility, with a high degree of window transparency, a consistent rhythm of entrances and universal accessibility. They will enhance the safety, amenity and animation of adjacent streets and open spaces. Ground floor animations zones are required to contain active uses that will see high volumes of pedestrian activity. Active uses include, but are not limited to: retail uses, restaurants, commercial uses that service the local residents and workers; recreational and arts facilities; institutional uses and building lobbies. The proposed development conforms with the active frontage requirements in the Lower Yonge OPA and Precinct Plan by lining the perimeter of their base buildings on the ground floor with retail and lobbies. Cycling Facilities In response to stakeholder feedback on the Lower Yonge Transportation Master Plan, which proposed sharrows on all streets in the Precinct, considerable effort was made during phase 2 of the precinct planning process to identify improved cycling connections. Map J5 within the Lower Yonge Precinct OPA depicts the anticipated cycling network within and surrounding the Precinct, the design of which has been finalized through the MCEA. The owner of a 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street is expected to implement the portion through their property of the bi-directional, cycling facility that is proposed to be extended from York Street to Lower Jarvis Street along the south side of Harbour Street. This will be secured in the Subdivision Agreement and the approved Site Plan drawings. The proposal meets the required number of bike parking spaces on the site, in addition to providing the proposed shower/change facilities for the office uses on the Block 1.

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Community Service and Facilities Section 5.1 of the Lower Yonge Precinct OPA identifies the inclusion of a child care centre integrated into the development site. The applicant has proposed a 62-space facility located within Block 4 of the proposed development, on the 1st and 2nd floor adjacent to Freeland Street. The size of the 62-child child care centre is approximately 930 square meters (10,000 square feet). The owner will be required to design, construct and fully furnish, the child care centre, which will be operated by a not-for-profit service provider to be determined at a later date. The child care centre will be located adjacent to the potential Toronto District School Board elementary school. The proposal includes on-site outdoor play space of sufficient size to meet the requirements of the Day Nurseries Act. The applicant shall enter into a term sheet which typically requires the owner to enter into a lease agreement with the City for three 25-year terms and one 24-year term for a total of 99 years; and such facility shall be free of all rent, the cost of all utilities and municipal services supplied to the facility, caretaking costs, repair and maintenance costs, property damage, liability insurance, realty taxes and local improvement charges. In addition, the applicant will make a one-time cash contribution of an amount to be determined to the Child Care Facility's replacement reserve fund, and a one-time cash contribution, of an amount to be determined, to start-up costs to defray operational deficits during the first year of operation. All of the details on the design and other specifications, including the inclusion of an on-site drop off and pick-up area for parents will negotiated at the time of Site Plan Approval. Toronto District School Board The development application, locates a Toronto District School Board (TDSB) School within the podium of the southern building located on Block 4 on the 3rd floor. Access to the school is proposed with a lobby on Freeland Street. The Lower Yonge Precinct Plan identified the site as a desirable location for a TDSB school. Although there is outdoor play space proposed on the rooftop for the younger children, the school has indicated that they are pursuing the shared use of the park on Block 3 as the primary outdoor space for the school. This space would be used during the school day for morning drop off, recess, lunch hour and evening pick up, as well as use at other times as deemed appropriate based on programming needs. Parks, Forestry and Recreation staff are concerned with the school being the primary user of the park and that the expectations of the TDSB are that the park design may be akin to a typical school yard. The TDSB should continue discussions with parks staff to determine whether the shared use of the park will be permitted, and if so, under what conditions. The TDSB has advised that they are concerned with children crossing the street multiple times a day to the park and have therefore requested that a pedestrian bridge be provided over Harbour Street. Staff expressed concern with the inclusion of a bridge over Harbour Street. However the TDSB are of the opinion that a bridge is necessary to accommodate the safe passage of children to the park on the south side of Harbour Street. In a letter

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dated July 24, 2017, City Planning advised the TDSB that a footbridge over Harbour Street would reluctantly be considered, provided that the bridge was designed in a way to be as light and unobtrusive as possible and that the portion of the bridge descending into the park be in a location and manner that recognizes the potential shared uses of the park space, including the possible incorporation into the bridge structure of typical parks associated uses (i.e. washrooms and storage), should the Parks, Forestry and Recreation Department agree to the shared use of the park. Housing Policy 39 of the Central Waterfront Secondary Plan states that the overall goal for the Central Waterfront is that affordable rental housing and low-end-of-market housing shall comprise 25 % of all housing units within the Central Waterfront. In order to achieve the City's housing goal, the Lower Yonge Precinct Plan and OPA have prioritized the delivery of affordable rental housing in the form of built residential units, rather than as land or cash in lieu of affordable rental housing. The ratios of affordable rental housing requirements outlined in Policy 6.3.5 of the OPA are intended to reflect variations in the cost to both the City and the developer of delivering housing through each of the three options (land, cash-in-lieu or units). The 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street application proposes the provision of 10% of the residential gross floor area for affordable rental units, in accordance with Policy 6.3.5a)(i). The units are proposed to be located in two separate phases. Approximately 50% of the affordable units will be provided in the podium of Block 2, which will be constructed in the first phase of the development. The remaining, approximately 50%, will be provided within the existing LCBO office buildings and the lower portion of one of the northern towers of Block 4, as part of the second phase of the development. Staff have provided initial feedback that the general approach to provision of affordable rental housing units within the proposed development is acceptable, subject to resolution of the following matters, among others:

- final design of the rental portion of the development; - unit design that addresses the objectives of the Growing Up guidelines; and - access and design of amenity space for the rental units.

The precise location, access, availability of facilities and amenities, number of units, unit sizes, affordability term and rental tenure will be secured through the Zoning By-law Amendment, Section 37 Agreement and Site Plan Agreement. The owner will also work with the City to develop a strategy for renting the units to eligible households. Another important objective of a dynamic waterfront is the creation of neighbourhoods that are attractive for many different types of households from a wide range of incomes and demographics, particularly families with children, seniors and downtown workers. Policy 6.3.2 of the Lower Yonge Precinct OPA requires a mix of units to provide this diversity, specifying that 25% of the units be in the form of two-bedroom units or larger including 10% of units being three bedrooms or larger throughout the residential development. The current proposal conforms to this policy objective.

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Amenity Space The proposed indoor residential amenity space is being provided at a rate of 1.25 square metres per unit for the market units and 2 square metres per unit for the affordable rental units. The outdoor amenity space is being provided at a rate of 1.48 square metres per unit. This is below the typical City standard of 2 square metres per unit for both indoor and outdoor amenity space. The amount of outdoor amenity space available to be used as outdoor amenity space for the development has been reduced due to the outdoor play space required by both the child care centre and the school, which will be provided on the rooftop within Block 4. In addition, outdoor amenity space is not currently shown on top of the existing LCBO office building, which will be converted to residential uses. Additional space may be able to be added in this location, if deemed appropriate by Heritage staff. This will be addressed through the future Site Plan Approval application. Similarly to the outdoor amenity space, the location of both a school and a child care centre within the podium of the heritage building on Block 4 limits the amount of space available for the provision of indoor amenity space. The provision of 5,524 m2 (59,460 ft 2) of indoor amenity space is significant and of sufficient size to provide for a wide variety of types of amenity space within the development to accommodate the various amenity needs in the development. This will be secured at the time of Site Plan Approval. In addition, a commercial gym with an area of 3,800 square metres (40,900 square feet) will be located on the second floor within Block 2. The applicant has confirmed that this tenant has been chosen. Unit owners within Block 2 will be provided with memberships to the gym as part of the ongoing requirements, to be managed by the condominium corporation. This will be secured through the Condominium Approval. It is expected that there will be a number of residents purchasing units in the proposed residential towers who will have young children and/or dogs. Staff have requested the applicant to provide suitable common amenity spaces that cater to families with children and residents with dogs. This will be dealt with at the site plan control stage. Toronto Green Standard and Sustainability On October 27, 2009 City Council adopted the two-tiered Toronto Green Standard (TGS). The TGS is a set of performance measures for green development. Tier 1 is required for new development. Tier 2 is a voluntary, higher level of performance with financial incentives. Achieving the Toronto Green Standard will improve air and water quality, reduce green house gas emissions and enhance the natural environment. The applicant is required to meet Tier 1 of the TGS and Policy 5.2.1 of the Lower Yonge Precinct OPA strongly encourages applicants to achieve Tier 2. The applicant has advised that they will not be pursuing Tier 2. The site specific zoning by-law will secure performance measures for the following Tier 1 development features:

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- provision of 26 car-share spaces; - designated shower/change facilities for the office tower; - weather protection for the majority of building frontages; and - provision of native species for all street trees and landscaped areas.

The following Tier 1 performance measures will be secured through the Subdivision Approval process:

- provision of an erosion and siltation control plan in accordance with conservation authority guidelines; and

- retention of the first 5 millimetres from each rainfall event, as addressed in the applicant's Stormwater Management Report.

Other applicable TGS performance measures will be secured through the site plan approval process, including the provision of appropriate soil volumes for all trees, bird-friendly design features, light pollution mitigation measures and enhanced solid waste collection facilities. In addition, the office building on Block 1 will be utilizing district energy. At this time, it is not proposed to connect Blocks 2 and 4; however, this may be revisited at the Site Plan Approval stage. District energy could take the form of deep lake water cooling, geo-thermal heating or any other emerging technology. In accordance with policy 5.2.2 of the Lower Yonge Precinct OPA, the applicant will be required to submit an energy strategy upon submission of the first site plan control application. The energy strategy will identify opportunities for energy conservation, including peak demand reduction, greenhouse gas emission reduction and improved resilience to power disruptions. The applicant will be encouraged to pursue these opportunities through consideration of: upper-level tower orientation, amount of glazing and materiality, and on-site renewable energy production. Tree Preservation There are a total of 29 trees on the subject property which are 30 centimetres in diameter and protected by the City's street protection by-law. The majority are Ash trees in poor to fair condition. All of the trees are proposed to be removed. Retention of the trees is not possible due to the need to undertake soil remediation on all 4 blocks of the development, including the new park. New trees will be planted in accordance with the Public Realm Plan for the Lower Yonge Precinct, which is currently being finalized by Waterfront Toronto staff. Opportunities for additional tree planting will be explored at the Site Plan Approval stage for each block and through the design of the park. Traffic Impact, Access, Parking, Loading The Lower Yonge Precinct MCEA, adopted by City Council at its meeting of July 4, 5 and 5, 2017 included modelling analyses that evaluated how the proposed local and regional

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transportation network improvement can appropriately accommodate the proposed development in the Precinct. The MCEA provides for the staged implementation of the proposed network improvements. It also provides a recommendation for those improvements that should be allocated specifically to the landowners in the Precinct. Staff recommend that a holding provision be placed upon the zoning for block 4 of the 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street development to ensure that all required transportation network improvements will be provided or secured when required. The current proposal has vehicular access from Freeland Street and the new street at the eastern edge of the property, to minimizing vehicular/pedestrian/cyclist conflict on Harbour Street and Cooper Street. The exception is a one way driveway from Cooper Street to the parking area for the LCBO store customers. This will dramatically improve the public realm experience for this important section of waterfront redevelopment. The proposed parking supply of 1,597 spaces, including car-share spaces, has not adequately been justified and is below the number currently acceptable to Transportation Services staff. In addition, some additional information is required to confirm that the parking space sizes and the ramp slopes comply with the requirements of the zoning by-law. Staff are recommending that residential parking be provided at the following rate, in accordance with the provision of parking on the neighbouring property at 1-7 Yonge Street and that the office and that the retail and office parking be provided at a rate in accordance with Zoning by-law 438-86.:

1. Bachelor Units: 0.18 spaces per unit 2. 1-bedroom Units: 0.30 spaces per unit 3. 2-bedroom Units: 0.45 spaces per unit 4. 3+ Bedroom Units: 0.72 spaces per unit

The development will include 15 loading spaces for Blocks 1 (three Type A, four Type B and eight Type G), and 12 loading spaces will be provided for Blocks 2 and 4 (two Type A, eight Type B and two Type C). Access to the majority of the loading for the 3 development blocks has been consolidated with one access point within Block 2. Tunnels will be provided underneath both Cooper Street and Harbour Street to provide access to each of the blocks. Blocks 1 and 4 will each include small loading spaces to facilitate residential moves and customer loading for the LCBO store (e.g. restaurant clients). The consolidation of the access to the larger loading spaces to one access point will minimize the movements of large trucks throughout the precinct. Servicing Toronto Water has issued a notice of completion for the update to the 2012 Waterfront Sanitary Servicing Master Plan Environmental Assessment (WSSMP 2017), which determined the preferred servicing strategy to meet current and future needs to 2041. The Environmental Assessment is currently in the 30-day review period. If no request is made to the MOECC for an order to comply, the City may proceed with the project(s) outlined in the WSSMP 2017 Update Report.

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While implementation of the WSSMP is being undertaken, a holding provision will be imposed in the site-specific zoning by-law amendment for 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street to restrict development on Block 4 until such time that the additional capacity is achieved. This holding provision would removal would be subject to City Council approval, following the agreement by the General Manager of Toronto Water. Staff have determined that there is sufficient existing capacity for Phase 1 of this development (Block 1 and 2) and it would therefore be able to proceed, based on sanitary servicing capacity, and does not require a holding provision. Economic Impact The application proposes the relocation of the existing LCBO head office into the proposed new office building on Block 1 of the development. The office building will also include other office tenants. Therefore, existing employment on site will be maintained and expanded. The proposal to add 52,547 square metres (565,611 square feet) of commercial office space and 6,671 square metres (71,806 square feet) of retail space, results in a net gain of 44,372 square metres (477,616 square feet) of commercial space and 4,438 square metres (47,770 square feet) of retail space that exists on the site today. It is estimated that approximately 4,500 jobs will be provided for within in the new development, which includes the retention of existing jobs in the LCBO head office and retail store, which will be relocated in the new office building. Creating space of this magnitude, in close proximity to Union Station with PATH connections, an enhanced public realm and a revitalized transportation network, is an important factor for employment generation and the creation of the complete community that was an integral component of the vision for the Lower Yonge Precinct. As identified in the land use section above, the Lower Yonge Precinct Plan and OPA have also undertaken significant measures to ensure that the existing Redpath Sugar refinery, and its 300 employees, can continue its operations in compatibility with the proposed redevelopment. Implementation and Holding Provisions The redevelopment of the 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street site will involve consideration of the applications for Official Plan Amendment and Zoning By-law (from City Council and the OMB), Subdivision (from City Council and staff), Site Plan Control and Building Permit. Further discussion/resolution of the following matters needs to occur prior to the OMB issuing an order to bring into force site-specific by-laws for the development:

- MCEA matters, particularly the confirmation of the Harbour Street alignment and apportioning of regional transportation initiative costs to landowners;

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- outstanding items outlined in the memo from Development Engineering, dated October 13, 2017, with respect to Transportation, Toronto Water and Development Engineering comments that have not yet been addressed;

- proposed on-site parkland dedication; - entering into a term sheet respecting the design and implementation details

associated with the proposed child care centre; - entering into a term sheet respecting the design and implementation details

associated with the proposed affordable rental housing; and - acceptance of the conclusions of the noise, odour and air quality studies

conducted for the proposed development addressing compatibility with Redpath Sugar's industrial operations and further discussion with Redpath Sugar regarding the proposed mitigation approaches and necessary agreements.

The following holding provisions are expected to be included with the zoning for Phase 2 of the proposed development (Blocks 3 and 4 as depicted on Attachment 1):

- the submission of a revised Master Functional Servicing Plan for the Precinct, as required by Policy 5.4.3 of the Lower Yonge Precinct OPA;

- confirmation of sanitary servicing capacity, in accordance with the conclusions and implementation of the recommendations following completion of the Waterfront Sanitary Servicing Master Plan EA update;

- a contribution to the provision of existing and planned transportation networks, off-site, to support the development, in accordance with the MCEA;

- the location, design and provision of existing and planned transportation networks, on-site, to support the development, in accordance with the MCEA;

- submission of streetscape plans for all blocks; - the heritage designation of the buildings to be preserved, including City

Council approval of the alterations to the heritage buildings; - confirmation of the implementation mechanisms by which the central park will

be secured; and/or - registration of a plan of subdivision and necessary agreements to secure the

required municipal services and transportation infrastructure. It is also anticipated that agreements among landowners, potentially including the City as a signatory, will be required for implementation of some of the redevelopment matters, including but not limited to the:

- proposed central park; - MCEA matters; - mitigation measures associated with Redpath Sugar; - the proposed PATH connections; and - public art.

Specific details on conditions for lifting the holding provisions will be outlined in the Zoning By-law Amendment to be considered by the OMB.

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Ontario Municipal Board As mentioned in the Decision History section, the proposed Official Plan and Zoning By-law Amendment applications have been appealed and consolidated at the OMB. The applicant is also party to the OMB hearings related to the Central Waterfront Secondary Plan, which includes the Lower Yonge OPA. A pre-hearing related to the Lower Yonge Official Plan Amendment was held on March 8, 2018. A second pre-hearing has been scheduled for September 25, 2018. In addition, a hearing relating to land use compatibility issues with the Redpath is currently scheduled for May 7 to 18, 2018. It is expected that the full two weeks will not be necessary to deal with compatibility issues and that one or more of those dates may be converted to a settlement hearing related to this application. Staff are recommending that a settlement be pursued between the City of Toronto and Menkes in support of the revised development proposal for 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street described herein, and subject to the outstanding matters raised in this report being addressed to the satisfaction of the Chief Planner and City Solicitor. Further, staff have no objection to this OMB hearing proceeding prior to the Lower Yonge Precinct OPA being approved by the OMB, provided the 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street proposal is settled to the satisfaction of the Chief Planner and City Solicitor, as provided for in this report. The applicant has confirmed that they will not be contesting any of the policies in the Lower Yonge Precinct OPA. Section 37 Section 37 of the Planning Act allows the City to grant increased density and/or height in exchange for community benefits. Community benefits can include (among other capital facilities): parkland, affordable rental housing, community or child care facilities, streetscape improvements on the public boulevard not abutting the site; and other works detailed in policy 5.1.1.6 of the Official Plan. The community benefits must bear a reasonable relationship to the proposed development, including at a minimum, an appropriate geographic relationship and the addressing of the planning issues associated with the development. (e.g. local shortage of parkland, provision of new community facilities). Section 5.1.1.4 of the Official Plan allows Section 37 of the Planning Act to be used for all developments with a gross floor area of more than 10,000 square metres and when the zoning by-law amendment increases the permitted gross floor area by at least 1,500 square metres and/or increases the height significantly or where the applicant agrees to provide such benefits. The community benefits recommended to be secured in the Section 37 Agreement are as follows:

i. the construction, finishing, furnishing and equipping of a non-profit licensed child care facility to accommodate at least 62 children, including infants, toddlers and

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preschoolers, comprising approximately 930 square metres (10,000 square feet), in accordance with the City's standard requirements relating to interior and outdoor space, outdoor storage, and the provision of parking related to child care-pick-up and drop-off

ii. affordable rental housing units, comprising at least 10 percent of the proposed

residential gross floor area to be erected on the site, with approximately 50% to be provided in each of Blocks 2 and 4, with details of the location, access, availability of facilities and amenities, number of units, unit sizes, affordability term and rental tenure to be resolved prior to the Ontario Municipal Board order being issued;

iii. conveyance, including if necessary the satisfactory securing of the conveyance,

of the required on-site parkland dedication pursuant to Section 42 of the Planning Act, in accordance with the Parks and Open Space policies in the Lower Yonge Precinct Official Plan Amendment, all to the satisfaction of the Chief Planner and Executive Director, City Planning, the City Solicitor and the General Manager, Parks, Forestry and Recreation. Such conveyance may include requirements for an escrow conveyance and provisions to ensure the City obtains all of the anticipated section 42 off-site parkland dedication at the first and earliest possible opportunity, and may include a requirement for a Three Party Agreement between the City, the owner of the site and the owner of the 1-7 Yonge Street property as part of the Section 37 requirements. A Three Party Agreement would be required to be executed and registered prior to the Ontario Municipal Board issuing its Order;

iv. conveyance of approximately 1,591 m2 for parks purposes, at no cost to the

City, being the remainder of Block 3, that is not subject to 1 c. iii. Above;

v. a $2.2 million contribution for Public Art, with the Public Art Plan to be implemented in accordance with the method and approach outlined in the Lower Yonge Precinct Plan, dated April 2016;

vi. art on construction hoarding, in accordance with the City's START (Street Art

Toronto) program; and

vii. a cash contribution to the City prior to the issuance of the above-grade building permit for the second phase of development (Block 4), with the contribution to be used by the City towards the following capital improvements, all to the satisfaction of the Chief Planner and Executive Director, City Planning in consultation with the local Councillor;

a. a cash payment of $1,000,000 towards the Jack Layton Ferry Terminal

redevelopment; and

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b. a cash contribution currently estimated at $5,200,000 towards the: two-way conversion of Harbour Street between Yonge and York Streets; full upgrade of Yonge Street from Queens Quay to Front Street; removal of the Bay Street on-ramp to the eastbound Gardiner Expressway; shortening of the Lower Jarvis off-ramp from the eastbound Gardiner Expressway; and/or re-construction of Lake Shore Boulevard East

from Yonge Street to Lower Jarvis Street, all in accordance with the recommendations from the Lower Yonge Precinct Municipal Class Environmental Assessment.

c. such cash contributions to be indexed upwardly in accordance with the

Statistics Canada Non-Residential building Construction Price Index for Toronto, calculated from the date of the Section 37 Agreement to the day the payment is made; and

d. in the event the cash contribution in Part 1.c.vii a. above has not been

used for the intended purposes within three (3) years of the By-law coming into full force and effect, the cash contribution may be redirected for another purpose, at the discretion of the Chief Planner and Executive Director, City Planning, in consultation with the local councillor, provided that the purpose is identified in the Official Plan and will benefit the community in the vicinity of the lands.

The following matters are also recommended to be secured in the Section 37 Agreement and the zoning by-law amendment as a legal convenience to support development, at the owner's expense, all to the satisfaction of the Chief Planner and Executive Director, City Planning and the City Solicitor, and to include amongst other matters, the timing for the provision of such improvements, facilities and matters, the provision of letters of credit to secure such matters, where appropriate, insurance and indemnification:

i. the design, provision and maintenance of public realm enhancements on all streets surrounding the two development blocks on the subject property, with the design in accordance with the public realm concept component of the Lower Yonge Precinct MCEA, to be implemented through the site plan approval process, with the exception of Block 3, which costs will be shared by the parties subject to the three party Agreement for securing the required parkland;

ii. the design and construction of the extension of Harbour Street through the

subject property, including the proposed bi-directional, cycling facility along the south side of Harbour Street, with the design of both conforming to the recommendations from the Lower Yonge Precinct MCEA to the satisfaction of the General Manager, Transportation Services;

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iii. the design, construction, provision and maintenance of above and below-grade PATH connections through the proposed development, including the conveyance at nominal cost to the City of easement(s) for use by the general public, and the commitment of the landowner to facilitate the design, construction, provision and maintenance of a PATH connection from the 1-7

Yonge Street property, to the subject property and through the subject property, with connections to all blocks within the development (with the exception of Block 3 which will contain a park) and to include a knock-out panel for a future connection to the 10 Lower Jarvis (Loblaws) property;

Conclusion The applicant has made significant revisions to this application since it was first submitted in May 2016, to respond to staff, agency/division concerns. The proposed development will be a focal point on the Toronto Inner Harbour and along Queens Quay. The current proposal contains a number of significant features that make it not only supportable from a land use planning perspective, but also highly desirable in revitalizing the Lower Yonge Precinct from an under-utilized post-industrial area, into a beautiful, vibrant, complete community. The proposed application includes:

- the creation of a large public park; - significant public realm improvements; - cycling and mid-block pedestrian connections; - sustainability measures; - a 930 square metre (10,000 square foot) child care centre; - the dedication of 10% of the residential gross floor to affordable rental

housing; - 25% two-and three-bedroom residential units; - a built form that responds to the recommendations and policies contained

within the Lower Yonge Precinct Plan and OPA; - an appropriate mix of residential, retail, office and institutional uses; - PATH connections to 1-7 Yonge and through the development to the property

at 10 Lower Jarvis Street; - compatibility with existing industry; and - creation of substantial new office space.

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Subject to the outstanding matters addressed in this report being finalized and secured in a manner satisfactory to the Chief Planner and City Solicitor, the applications for 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street would represent good planning and could be supported. This report provides the planning rationale to City Council to authorize the City Solicitor, City Planning staff and any other City/Agency staff, to support resolution of all matters at the OMB appeal of the Official Plan and Zoning By-law Amendment applications, subject to the recommendations of this report. CONTACT Leontine Major, Senior Planner Tel. No. (416) 397-4079 E-mail: [email protected] SIGNATURE _______________________________ Lynda H. Macdonald Acting Director, Community Planning Toronto and East York District (P:\2018\Cluster B\pln\TEYCC\32697519001.doc) – ca ATTACHMENTS Attachment 1: Context Plan Attachment 2: Roof Plan Attachment 3: South Elevation Block 2 and 4 Attachment 4: South Elevation Block 1 Attachment 5: West Elevation Block 1 Attachment 6: Official Plan Attachment 7: Former City of Toronto Official Plan Attachment 8: Central Waterfront Secondary Plan Attachment 9: Zoning Attachment 10: Project Data Sheet

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Attachment 1: Context Plan

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Attachment 2: Roof Plan

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Attachment 3: South Elevation Block 2 and 4

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Attachment 4: South Elevation Block 1

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Attachment 5: West Elevation Block 1

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Attachment 6: Official Plan

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Attachment 7: Former City of Toronto Official Plan

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 57 V.01/11

Attachment 8: Central Waterfront Secondary Plan

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 58 V.01/11

Attachment 9: Zoning

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Staff report for action – Request for Direction - 55 to 59 Lake Shore Boulevard East, 33 to 53 Freeland Street and 2 and 15 Cooper Street 59 V.01/11

Attachment 10: Project Data Sheet

Application Type Official Plan Amendment & Rezoning

Application Number: 16 152742 STE 28 OZ

Details OPA & Rezoning, Standard Application Date: May 9, 2016 Municipal Address: 55 LAKE SHORE BLVD E Location Description: PLAN 754E PT BLK B **GRID S2812 Project Description: This appplication is for an OPA/Rezoning application on the former LCBO lands to permit a

mixed-use development, including a new office/retail building, 5 mixed-use buildings and a public park. The applications proposes to divide the property into 4 blocks, with the eastward extension of Harbour Street and the creation of a new north-south street between Cooper Street and Lower Jarvis Street.

Applicant: Agent: Architect: Owner:

SHERMAN BROWN Architects Alliance and B+ H

MENKES 55 LAKESHORE INC.

PLANNING CONTROLS

Official Plan Designation: Regeneration Areas Site Specific Provision: NA Zoning: IC D3 N1.5 Historical Status: Listed Height Limit (m): Site Plan Control Area: Yes PROJECT INFORMATION Site Area (sq. m): 45825 Height: Storeys: 90 Frontage (m): 233 Metres: 298 Depth (m): 210 Total Ground Floor Area (sq. m): 15065 Total Total Residential GFA (sq. m): 340296 Parking Spaces: 911 Total Non-Residential GFA (sq. m): 80649 Loading Docks 12 Total GFA (sq. m): 420945 Lot Coverage Ratio (%): 33 Floor Space Index: 9.2 DWELLING UNITS FLOOR AREA BREAKDOWN (upon project completion) Tenure Type: Condo Above Grade Below Grade Rooms: 0 Residential GFA (sq. m): 340296 0 Bachelor: 170 Retail GFA (sq. m): 0 0 1 Bedroom: 2571 Office GFA (sq. m): 0 0 2 Bedroom: 1168 Industrial GFA (sq. m): 0 0 3 + Bedroom: 460 Institutional/Other GFA (sq. m): 5755 0 Total Units: 4369 CONTACT: PLANNER NAME: Leontine Major, Senior Planner TELEPHONE: (416) 397-4079