HomeMy WebLinkAboutCAO-15-025 - Boathouse Lease
REPORT TO: Council, Committee of the Whole
DATE OF MEETING: November 16, 2015
SUBMITTED BY: Rod Regier, Executive Director of Economic Development
(519) 741-2200 ext. 7506
PREPARED BY: Rod Regier, Executive Director of Economic Development
(519) 741-2200 ext. 7506
WARD (S) INVOLVED: All
DATE OF REPORT: August 2015
REPORT NO.: CAO-15-025
SUBJECT:Boathouse Lease
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RECOMMENDATION:
That the Mayor and Clerk be authorized to execute an lease amending agreement with
Imbibe Entertainment Inc., William MacTavish and Mark Forwell, said agreement to be
satisfactory to the City Solicitor.
REPORT:
The Boathouse is currently being operated by Imbibe Entertainment Inc., pursuant to a lease
agreement dated February 12, 2014, being authorized by Council on February 3, 2014.
Imbibe Entertainment Inc. is owned by William MacTavish and Mark Forwell. William
MacTavish is also party to this lease as he has personally indemnified the lease. The two
owners have come to amicable terms to separate their interests. Mark Forwell will be
purchasing the shares of William MacTavish and William MacTavish will no longer be involved
in the business.
City approval
Three changes to the lease require Council approval. First, the lease states that William
MacTavish is to be the operator of the Boathouse. Second, there is a change of control of
ownership of the tenant, Imbibe Entertainment Inc., and consent is required by the City or the
lease would be in default. Third, William MacTavish wants to be released from his personal
indemnification, and this indemnification will be transferred to Mark Forwell.
Under the terms of the lease amending agreement, all the operating requirements for the
Boathouse will remain the same. Mark Forwell is fully committed to the original vision of the
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Boathouse as articulated in the lease. He has already taken over as operating head of the
business and is proactively working to improve operations.
As a result, staff are confident that this transaction and the required assignment are in the best
interests of the City of Kitchener and the future of the Boathouse as a viable and strategic
asset for our downtown and cultural industries.
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
This initiative supports the Strategic Priority to develop and nurture a high quality of life and
powerful identity for the City of Kitchener to attract investment and a talented creative
workforce.
FINANCIAL IMPLICATIONS:
The recommendations will have no financial implications for The City of Kitchener.
COMMUNITY ENGAGEMENT:
The current direction for the Boathouse was determined by Council after extensive public
consultation.
ACKNOWLEDGED BY:
J. Willmer, CAO
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