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PLANNING & ECONOMIC DEVELOPMENT COMMITTEE MINUTES
APRIL 26, 1999CITY OF KITCHENER
The Planning and Economic Development Committee met this date commencing at 3:54 p.m. under
Councillor C. Weylie, Chair, with the following members present: Mayor C. Zehr and Councillors Jake
Smola, J. Ziegler, K. Taylor-Harrison, T. Galloway, J. Haalboom and John Smola.
Councillor M. Yantzi entered the meeting shortly after its commencement.
Officials present: Ms. C. Ladd, L. MacDonald, J. Jantzi and Messrs. J. Gazzola, B. Stanley, J. Shivas, D.
Mansell, R. Mattice, J. Witmer and L. W. Neil.
1.Delegation - John Whitney
-Presentation of Whitney & Company 1999 Market Report
The Committee, with its agenda this date received a copy of the Whitney and Company 1999
Market Report which provides a summary of the state of the components of the area real estate
market. The report pertains to the four cities of Canada’s Technology Triangle (CTT) which is
made up of the area including Kitchener, Waterloo, Cambridge and Guelph and provides: a
market overview that references the Economic Development Corporation and assessments of the
land market, the industrial market, the office market with special reference to science and
technology, design / build opportunities, the retail and entertainment market, the investment
market and the multi-residential market.
Mr. John Whitney appeared as a delegation to present his firm’s annual report by referencing
specific issues. A PowerPoint presentation was then made for the Committee covering the
sections within the 1999 report and Mr. Whitney stressed the following:
The need for packaging property and the need for re-evaluating the packaging approach to
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meet changing circumstances.
The strength of land sales in the CTT and the impact of development charges on small
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developers.
A strong market is anticipated for 1999 and it was critically important to support design /
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build activities in the marketplace.
The office market is being favourably impacted to the extent that the high vacancy rate is
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starting to reduce significantly with the call centre market being a fast growing component.
In reference to the design / build need he noted that one of the problems for the area was
that there was no longer local developers such as those that existed in the past. Mayor C.
Zehr questioned what the City needed to do to capture this market and Mr. Whitney
advised that the City should work to establish a comfort level for investors and work to fully
understand the marketplace. In response to Councillor Galloway, Mr. Whitney advised that
it was his belief that development charges become a comparison mechanism between
municipalities for investors contemplating a project and the subsequent return on their
investment through affordable rental rates.
Councillor J. Haalboom questioned what comments Mr. Whitney could provide in regard to vacant
older buildings and their adaptive re-use. Mr. Whitney responded that creative adaptive re-use of
such buildings was a very difficult undertaking and suggested that the City undertake one or two
small projects and then evaluate the results before taking on larger tasks. Councillor J. Haalboom
also questioned what Mr. Whitney meant by security for investors. He advised that it represented
many things such as a stable government environment, safety for capital, and availability of
infrastructure such as public transit and adequate parking. Councillor Jake Smola questioned if
the City’s $75,000.00 per acre selling price for industrial land was competitive. Mr. Whitney
advised that it was but that it was necessary to look at the competitive advantages of other areas.
As well, he indicated that it was necessary to continuously evaluate land portfolios and the lot
sizes being offered for sale. He noted that if the City was intending to remain in the industrial land
supply market it should commit to it in a big way. Councillor John Smola questioned what the
importance of Highway # 7 was to prospective investors and Mr. Whitney advised that it was his
view the development community would see the Highway as an important link within the larger
geographic area. However he stated that a bigger issue in consideration of a new Highway # 7
was the perception of flip-flopping on the matter by local government.
PLANNING & ECONOMIC DEVELOPMENT COMMITTEE MINUTES
APRIL 26, 1999- 66 -CITY OF KITCHENER
1.Delegation - John Whitney
-Presentation of Whitney & Company 1999 Market Report (CONT’D)
In response to Councillor C. Weylie regarding increased use of the Waterloo Regional Airport, Mr.
Whitney stated that it was an extremely important feature in the economic structure of the area.
Councillor J. Haalboom questioned the potential of developing industrial land in the south west
section of Kitchener and Mr. Whitney advised that it would be a must to have another access
interchange to Highway # 401 to accommodate such industrial development. Councillor T.
Galloway commented that the City has an opportunity to enter into a servicing agreement for lands
on Victoria Street East at the Grand River and Mr. Whitney stated that there was a definite need to
be very creative and package the Victoria Street location to promote its saleability. Councillor
Galloway questioned if Kitchener should be trying to compete against its member municipalities in
the CTT or targeting other markets. Mr. Whitney recommended that Kitchener’s approach be to
create something that is not here by considering locational and amenity issues to promote
development interest among investors from outside of the CTT. Finally, Councillor M. Yantzi
questioned what Mr. Whitney thought the role of the municipality should be and he responded that
the municipality should understand and look after the sum of all of the parts of the economic
development of equation.
2.BPS 99/65-HURON BUSINESS PARK, PHASE lll
-OFFER TO PURCHASE - SITE 150
-DRAGO STIPLOSEK - SOUTH WARD
The Committee was in receipt of Business and Planning Services staff report BPS 99/65 dated
April 22, 1999. The report deals with an Offer to Purchase from Mr. Drago Stiplosek with respect
to site 150 in Huron Business Park as well as an Option to Purchase from Mr. Stiplosek with
respect to site 151.
Ms. J. Jantzi presented details of the report, noting that a 10% deposit was submitted with the offer
to purchase and a 5% deposit was submitted with the option to purchase site 151.
Councillor T. Galloway inquired as to whether Mitchell Plastics had an interest in the lands and
Ms. J. Jantzi explained site alterations had taken place in the area to accommodate Mitchell
Plastics expansion.
On motion by Councillor J. Ziegler -
It was resolved:
“That the City accept the Offer to Purchase from Drago Stiplosek with respect to lands
composing Part 2 on Reference Plan 58R-9683. The subject lands have an area of about
1.23 acres on Washburn Drive and the purchase price is calculated at $75,000 per acre
for a total purchase price of $92,250; and further,
That the City accept the Option to Purchase from Drago Stiplosek with respect to lands
composing Part 3 on Reference Plan 58R-9683 (Site151). The subject lands have an area
of about 1.23 acres on Washburn Drive and the purchase price is calculated at $75,000 per
acre; and further,
That the Mayor and Clerk are hereby authorized to execute any other necessary
documentation required by the City Solicitor.”
3.Report-LANCASTER CORPORATE CENTRE
-OFFER TO PURCHASE - LOT 3C
-IAN COOK - BRIDGEPORT - NORTH WARD
Ms. J. Jantzi requested that consideration of an offer to purchase lot 3C in the Lancaster
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Corporate Centre submitted by Ian Cook be dealt with at the May 3 Council meeting.
On motion by Councillor T. Galloway -
It was resolved:
“That consideration of an Offer to Purchase Lot 3C in Lancaster Corporate Centre
PLANNING & ECONOMIC DEVELOPMENT COMMITTEE MINUTES
APRIL 26, 1999- 67 -CITY OF KITCHENER
3.Report-LANCASTER CORPORATE CENTRE
-OFFER TO PURCHASE - LOT 3C
-IAN COOK - BRIDGEPORT - NORTH WARD (CONT’D)
submitted by Ian Cook be referred to the May 3, 1999 Council meeting.”
4.BPS 99/59-828 KING STREET WEST
-EXTENSION OF DEADLINE TO FULFILL CONDITIONS
-ZONE CHANGE APPLICATION ZC 97/39/K/ZJ (CITY INITIATED)
-WATERLOO REGION DISTRICT SCHOOL BOARD
- BRIDGEPORT-NORTH WARD
The Committee was in receipt of Business and Planning Services staff report BPS 99/59 dated
April 9, 1999. The report deals with a request from the City’s Traffic and Parking Division for an
extension to Council’s approval to allow for finalization of conditions. It was pointed out in the
report that conditions of zoning approval require submission of a site plan application for a
commercial parking facility which has not yet been received as the School Board and the City are
in the process of negotiating a lease agreement to provide parking on the lands.
Mr. B. Stanley briefly explained the purpose of the report.
On motion by Councillor J. Ziegler -
It was resolved:
“That City Council support an extension to the deadline for fulfilling the conditions of
approval for Zone Change Application 97/39/K/ZJ – 828 King Street West (Waterloo
Region District School Board) to October 21, 1999.”
5.BPS 99/62-1998 ANNUAL REPORT
-DELEGATED APPROVAL AUTHORITY
The Committee was in receipt of Business and Planning Services staff report BPS 99/62 dated
April 15, 1999.
It was noted in the report that the City is required to provide the Region with an annual statistical
report on the number and status of plans of subdivision, plans of condominium and part lot control
exemption by-laws and the number and type of units permitted by the approvals for the preceding
year. As well, in accordance with Kitchener’s ‘Delegation By-law’, the Assistant General Manager
of Business and Planning Services is required to provide summary reports quarterly to inform
Council of all applications approved.
Mr. B. Stanley briefly commented on the report referenced above.
On motion by Mayor C. Zehr -
It was resolved:
That Council receive Business and Planning Services staff report BPS 99/62 (1998 Annual
“
Report - Delegated Approval Activity) for information; and further,
That BPS 99/62 be submitted to the Regional Municipality of Waterloo in fulfillment of
Clause 22.1 of the Administrative Agreement regarding Delegated Authority.”
6.ADJOURNMENT
On motion, the meeting adjourned at 4:47 p.m.
L.W. Neil, AMCT
Assistant City Clerk