29 Basin Street - Update to Ground Lease Amendments

The Basin Studios project is an approximately $300 million, purpose-built, state-of-the-art film, television, and digital media hub in Toronto's Port Lands. The development encompasses over 485,000 square feet of new purpose-built studio and support space, including 12 new sound stages. The project site involves an approximately 8.9-acre property owned by Toronto Port Lands Company at 29 Basin Street (the "29 Basin Property") and 5-acre property owned by the Tenant at 75 Basin Street (the "75 Basin Property"). The proposed changes to the Ground Lease amending terms are summarized in Confidential Attachment 1. These changes are requested in response to current and ongoing challenges faced by the project since 2021, which have been exacerbated by a renewed protectionism of the US film industry since the arrival of the second Trump Administration, adding additional uncertainty to the investment environment for new film studio development in Toronto. CreateTO and City staff are satisfied that the proposed amendments will support the viability of the project in the future and do not introduce any new financial liabilities or risks to the City. The recommendations within this report support the commitments of key City of Toronto strategies that support economic and cultural development, notably the Action Plan for Toronto's Economy, the Action Plan for Culture in Toronto, and the Mayor's Action Plan in Response to US Tariffs.

2. City Council direct that the confidential information contained in Confidential Attachment 1 remain confidential in its entirety, as it contains information about a position, plan, or instruction to be applied to negotiations carried on or to be carried on by or on behalf of the Board of Directors of Toronto Port Lands Company.