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Toronto City Council · 2025-06-25 · 2025.CC31.4

The filed record

708-712 Kennedy Road - Ontario Land Tribunal Hearing - Request for Directions

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The decision

2025-06-25 · Toronto City Council · amended

As filed

City Council on June 25 and 26, 2025, adopted the following: 1. City Council adopt the confidential instructions to staff in Confidential Attachment 1 to the report (June 11, 2025) from the City Solicitor, as amended by motion 1 by Councillor Parthi Kandavel. 2. City Council authorize the public release of the confidential instructions to staff in Confidential Attachment 1 to the report (June 11, 2025) from the City Solicitor, as amended by motion 1 by Councillor Parthi Kandavel.

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3. City Council direct that the balance of Confidential Attachment 1 to the report (June 11, 2025) from the City Solicitor remain confidential at the discretion of the City Solicitor, as it contains advice that is subject to solicitor-client privilege. The confidential instructions to staff in Confidential Attachment 1 to the report (June 11, 2025) from the City Solicitor, as amended by motion 1 by Councillor Parthi Kandavel, were adopted by City Council and are now public as follows: 1. City Council accept the with prejudice offer to settle dated June 9, 2025, set out in Public Attachment 1 to the report (June 11, 2025) from the City Solicitor and direct the City Solicitor to attend at the Ontario Land Tribunal in support of the settlement, subject to the owner agreeing to modify the amount of non-residential uses provided within the proposed development from a minimum of 1500 square feet to a minimum of 4000 square feet, with such agreement to be provided in writing by July 11, 2025. 2. In the event the owner does not agree to provide a minimum of 4000 square feet of non-residential uses within the proposed development, City Council direct the City Solicitor to attend at the Ontario Land Tribunal in opposition to the revised plans filed with the Ontario Land Tribunal regarding the issue of the amount of non-residential gross floor area being provided. 3. City Council direct the City Solicitor to take the necessary steps to retain external witnesses, as necessary, to support the City's position. 4. City Council instruct the City Solicitor to request the Ontario Land Tribunal to withhold its Order until the City Solicitor has advised that: a. the form and content of the Zoning By-law Amendment is satisfactory to the Executive Director, Development Review and the City Solicitor; b. the Owner has at its sole cost and expense: i. submitted a revised Functional Servicing Report, Stormwater Management Report, and Hydrogeological Review, including the Foundation Drainage Report or addendums ("Engineering Reports"), to the satisfaction of the Director, Engineering Review; ii. secured the design and provision of financial securities for any upgrades or required improvements to the existing municipal infrastructure identified in the accepted Engineering Reports, to support the development, all to the satisfaction of the Director, Engineering Review, should it be determined that improvements or upgrades are required to support the development, according to the accepted Engineering Reports, accepted by Director, Engineering Review; iii. ensured the implementation of the accepted Engineering Reports does not require changes to the proposed amending By-laws or any such required changes have been made to the proposed amending By-laws, to the satisfaction of the Executive Director, Development Review, and the City Solicitor, including the use of a Holding By-law symbol regarding any new or upgrades to existing municipal servicing infrastructure as may be required; iv. submitted a revised Transportation Impact Study or addendum, acceptable to, and to the satisfaction of, the General Manager, Transportation Services and the Director, Engineering Review and that such matters arising from such study, be secured if required; v. submitted a revised Arborist Report or addendum and Tree Protection Plan acceptable and satisfactory to the General Manager, Environment, Climate and Forestry; vi. made revisions to meet the Toronto Green Standard requirements to the satisfaction of the Executive Director, Development Review and the Chief Planner and Executive Director, City Planning; vii. satisfied outstanding comments to the satisfaction of the Toronto and Region Conservation Authority; and viii. submitted a revised Housing Issues Report to the satisfaction of the Chief Planner and Executive Director, City Planning. c. City Council has approved Rental Housing Demolition Application 22 137044 ESC 20 RH under Chapter 667 of the Toronto Municipal Code pursuant to Section 111 of the City of Toronto Act, 2006, to permit the demolition of the ninety-eight (98) existing rental dwelling units on the lands and the Owner has entered into, and registered on title to the lands, an agreement pursuant to Section 111 of the City of Toronto Act, 2006, to secure, among other matters, the following: i. the provision of ninety-eight (98) replacement rental dwelling units consisting of four (4) studio units, forty-four (44) one-bedroom units, and fifty (50) two-bedroom units; ii. the rents of the ninety-eight (98) replacement rental units shall be based on the rents of the existing rental units by their respective bedroom types at the time of application and secured for a period of at least ten (10) years beginning from the date of first occupancy of each replacement rental unit; and iii. the provision of an acceptable Tenant Relocation and Assistance Plan for all Eligible Tenants of the ninety-eight (98) existing rental units proposed to be demolished, addressing the right to return to occupy one of the replacement rental units at similar rents, the provision of rent gap assistance, and other assistance to lessen hardship; the Tenant Relocation and Assistance Plan shall be developed in consultation with, and to the satisfaction of, the Chief Planner and Executive Director, City Planning. 5. City Council authorize the City Solicitor to take all necessary actions to implement City Council's decision. The balance of Confidential Attachment 1 to the report (June 11, 2025) from the City Solicitor remains confidential at this time in accordance with the provisions of the City of Toronto Act, 2006, as it contains advice that is subject to solicitor-client privilege. The balance of Confidential Attachment 1 to the report (June 11, 2025) from the City Solicitor will be made public at the discretion of the City Solicitor.

On the agenda

As the city filed it

On March 11, 2022, the Applicant submitted Zoning By-law Amendment, Site Plan Control, and Rental Housing Demolition applications to permit the redevelopment of 708-712 Kennedy Road with two buildings: a 12-storey mid-rise residential building with frontage on Kennedy Road and a 29-storey residential tower at the Site's southwestern corner. The Site is currently occupied by two four-storey apartment buildings comprising 98 rental dwelling units.

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All 98 rental dwelling units are proposed to be demolished (and replaced) as part of the redevelopment of the Site. On March 22, 2024, the Applicant made a resubmission, which included two residential towers of 21 and 42 storeys, collectively containing 682 residential dwelling units (inclusive of the proposed rental replacements units). On May 21, 2024, the Applicant appealed City Council's non-decision on the Zoning By-law Amendment application to the Ontario Land Tribunal. On October 19 and 20, 2024, City Council adopted the recommendations in the Appeal Report from the Director, Community Planning, Scarborough District, dated September 3, 2024, wherein Community Planning recommended, among things, that the City Solicitor attend the Ontario Land Tribunal in opposition to the Appeal, and that the City Solicitor and appropriate City staff continue discussions with the Applicant to address outstanding issues. On October 18, 2024, the Ontario Land Tribunal held the first Case Management Conference in respect of the Appeal. Hearing dates for the Appeal were set at the first Case Management Conference: a two-week hearing set to commence on July 21, 2025. On February 4, 2025, the City and the Applicant participated in mediation in respect of the Appeal. On May 27, 2025, the Applicant filed revised plans with the Ontario Land Tribunal (the "Revised Plans"). The Revised Plans feature, among other things: a lowered height for the tower at the rear of the Site (Tower B) from 42 storeys to 38 storeys, excluding the mechanical penthouse; confirmation that the tower floorplates of both towers do not exceed 750 square metres (gross construction area); the removal of the wrap-around balconies on both towers; the addition of a connection between the towers; a relocated lobby for Tower B; and updated landscape plans that increase the total soil volume for the Site to meet Toronto Green Standard soil volume requirements. On June 9, 2025, the Applicant submitted a With Prejudice Settlement Offer to the City Solicitor from their lawyers, Goodmans LLP, which is attached as Public Attachment 1. The Settlement Offer will remain open until the end of the City Council meeting scheduled to commence on June 25, 2025. The Settlement Offer proposes, as part of any settlement reached with the City, the provision of a minimum of 1,500 square feet of non-residential uses (in addition to the improvements already made to the development proposal in the Revised Plans), as well as a commitment to request that the Ontario Land Tribunal withhold its final order in this matter until a series of conditions are fulfilled. The City Solicitor requires further directions for upcoming Ontario Land Tribunal hearing scheduled to commence on July 21, 2025. This matter is urgent and should not be deferred.

Staff recommended

The City Solicitor recommends that: 1. City Council adopt the recommendations contained in Confidential Attachment 1 to this report from the City Solicitor. 2. City Council authorize the public release of the confidential recommendations contained in Confidential Attachment 1 to this report from the City Solicitor, if adopted by City Council. 3. City Council direct that all other information contained in Confidential

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Attachment 1 to this report from the City Solicitor is to remain confidential at the discretion of the City Solicitor, as it contains advice which is subject to solicitor-client privilege.

    On the record

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