Authority to amend the Section 37 Agreement for 844 Don Mills Road, 1150 and 1155 Eglinton Avenue East to exempt CMHC, CMHC approved lenders and subsequent transferees from certain Section 37 Obligations - by Deputy Mayor Denzil Minnan-Wong, seconded by Councillor Ana Bailão

AT 5787415. The current owner intends to convey Block 5A to a not-for-profit housing provider for the construction, provision and operation of an affordable rental housing building. It is possible that the Canada Mortgage and Housing Corporation or an approved lender designated by Canada Mortgage and Housing Corporation in accordance with the National Housing Act (Canada) will finance the development of Block 5A. Canada Mortgage and Housing Corporation has requested that in the event that it, or an approved lender, becomes owner of Block 5A that they, their transferees and thereafter subsequent transferees, be exempt from the Section 37 obligations other than those directly pertaining to Block 5A and the construction, provision and operation of the affordable rental housing within that Block. An amendment to the Section 37 Agreement is required to facilitate this request.

add the following definitions to the Section 37 Agreement: "Approved Lender" means a lender designated as an approved lender by CMHC in accordance with the National Housing Act (Canada) and the regulations thereunder that is a mortgagee of the Affordable Rental Housing Units to be provided on Block 5A pursuant to a certificate of insurance issued by CMHC. "CMHC" means Canada Mortgage and Housing Corporation established by the Canada Mortgage and Housing Corporation Act, R.S.C. 1985, c. C-7, as amended; and b. add the following paragraph, following section 14.2: "Notwithstanding anything in this Agreement to the contrary, CMHC, an Approved Lender, any transferee from CMHC or an Approved Lender, or any subsequent successors in title to Block 5A will only be responsible for obligations specifically pertaining to Block 5A, and will not otherwise be bound as Owner under this Agreement, where any of such persons becomes the Affordable Rental Housing Owner. For clarity, for the purpose of this paragraph, subsequent successors in title to Block 5A only pertains to Affordable Rental Housing Owners that follow CMHC, an Approved Lender or their transferees on title." 2. City Council direct the City Solicitor to prepare such amendments to the registered Section 37 Agreement and any other such amendments determined necessary to implement City Council's decision on this matter, on terms satisfactory to the Chief Planner and Executive Director, City Planning and in a form satisfactory to the City Solicitor.