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HomeMy WebLinkAboutCAO-06-058 - Victoria Park Boathouse License AgreementJ ~- Corporate Services Report To: Finance and Corporate Services Committee Date of Meeting: October 23, 2006 Submitted By: Silvia Wright, Manager, Downtown, Community Development Doug Hergott, Manager Facilities Management Shayne Turner, Director of Enforcement Prepared By: Silvia Wright, Mgr, Downtown and Community Development Ward(s) Involved: West-Victoria Park Date of Report: October 23, 2006 Report No.: CAO-06-058 Subject: VICTORIA PARK BOATHOUSE LICENSE AGREEMENT RECOMMENDATION: That the Mayor and City Clerk be authorized to execute a Licence Agreement, subject to the satisfaction of the City Solicitor, between the City of Kitchener and 1639855 Ontario, operator of The Boathouse in Victoria Park, for a period of 5 years, from August 2006 to August 2011. BACKGROUND: At the March 27t" Finance and Corporate Services Committee meeting, the members considered report CAO-06-022, copy attached. The recommendations were adopted by Council on April 3, 2006. At that time the recommendations called for a new Licence Agreement to be entered into with the new operator of The Boathouse Restaurant in Victoria Park rather than the then current operator, Cindy Ward. The previous report proposed that the agreement with the new operator be executed for the remaining term of the previous lease with Cindy Ward, equal to the balance of the original 5-year term at the same rates. Specific to that report was that the new operator, 1639855 Ontario, would install air conditioning as a condition of the lease. The purpose of installing air conditioning was to allow the exterior door facing Victoria Lake to be closed during live music performances. This would attenuate the sound of music carried over the lake in summer towards some adjacent properties. REPORT: The current operator purchased the business from Cindy Ward and agreed to install the air conditioning, completed as of August 2006. In discussions however, Kevin Doyle, indemnifier to the agreement, expressed a concern with investing money for a capital improvement without some assurance of a longer term lease agreement to recover the cost of installation. An extended term would allow the cost of the air conditioning installation to be defrayed over time. The owner has agreed to pay for the air conditioning as a separate monthly fee to the City, amortized over 5 years ($9,500) Since the spring of 2006, the new operator has made significant changes with improved menu, consistent community-based musical entertainment of all genres, and the addition of a summer lunch schedule. The Boathouse is open 6 evenings per week starting at 4 pm, opening at lunch during the summer months. In discussions with staff from various departments, all are in agreement that the Boathouse operation has been a welcome addition to the Victoria Park area. The number of people and families visiting the Boathouse restaurant has increased throughout daylight and evening hours. This 6-day per week operation has created a sense of vitality where pedestrian activity is increased along David and Jubilee Drive. Not only has this created a new venue for people of all ages and tastes, but the feeling of safety is significantly increased in the park while patrons flow in and out of the establishment. From the City's perspective, there are no immediate plans for future utilization of the Boathouse, and staff supports the continued use of the facility by the private sector. As such, staff is suggesting that the new agreement be fora 5 year period beginning in 2006. This operation must however, be balanced with the needs of residents who are adjacent to the park property. Due to the ease with which sound carries over water, the air conditioning allows for the closing of doors at the restaurant during evening performances. The operator has agreed to consistently follow this policy and must continue to do so over the term of the lease. FINANCIAL IMPLICATIONS: The following Fee Schedule has been discussed with the operator and will be incorporated into the agreement: September 2006 to August 2007 - $1,600/month September 2007 to August 2008 - $1,750/month September 2008 to August 2009 - $1,925/month September 2009 to August 2010 - $2,125/month September 2010 to August 2011 - $2,350/month COMMUNICATIONS: No Corporate Communications required. CONCLUSION: This report supports a Licence Agreement, subject to the satisfaction of the City Solicitor, between the City of Kitchener and 1639855 Ontario, operator of The Boathouse in Victoria Park; and Kevin Doyle as the indemnifier on the agreement. The Boathouse restaurant has executed a business investment and plan with positive results. As a business the Boathouse provides vitality, safety and an active link to the downtown area. With air conditioning installed and a payment plan in place, the vitality, safety and adjacent park residents needs are supported for a period of 5 years, from August 2006 to August 2011. Silvia Wright Manager, Downtown & Community Development h. ~ ~.II~ ~~,' _ ~t~ a scvic _ Sri; ° . '~ , sl r' I t 1 ~ n+ -I"{ Z -~ ,.,~,, , r ~:,. ~"a~ ~'' Sample Summer Menu: Salad: Soup: (Check Daily) Boathouse Salad with Sweet Thai Vinaigrette Butternut Squash w/Baileys' Irish creme Watermelon salad Potato with Old Cheddar & Ale Thai Chicken Noodle Sundays $5 Menu Garden Vegetable Soup of the day Caribbean Pork Boathouse Salad Shiitake-Portobello-Oyster mushroom 11b Chicken Wings w/tequila lime sauce Pulled Pork on a Kaiser with fries Appetizers: Baked Jalapeno poppers Shiitake-Portobello-Oyster Mushroom Spring Rolls w/scotch bonnet creme cheese Crab Cakes w/smoked Paprika Aioli Pasta of the Day Southern Chicken Skewers Fresh Cut Fries Vegetable or Blackened Chicken Quesadilla 3 Cheese (smoked provolone, Old Cheddar & Lunch: Ausiago) Nachoes Watermelon Salad Moroccan Shrimp w/Berber Couscous Curried Mango & Peach Yougurt Soup Fresh Cut Fries Roasted Jalapeno Gazpachio Sandwiches: Asian Salmon Salad wrap Egg & Fresh Dill Shaved Rare Roast Beef w/Jack Daniels carmelized onions w/Maple & Rosmary infused Pemeal Bacon, Cranberry Mayo Grilled Vegtable Sandwich w/Curried Mayo Boathouse Muffalota --grilled Chicken, Smoked Ham, Italian Salami w/ Swiss cheese & black olive Tapanade Mains: Pan Seared Tuna w/Australian outback spice Baked Sole with fresh herb & citrus crust Stuffed Chicken Breast (varies) Asian Duck Breast Lamb Ribs Big (8oz) Jerk Burger w/Avocado, lettuce and tomato Lamb Burger Chicken (breast) club w/back bacon Rare Roast Beef Sandwich choice of fries, soup or salad Dessert (check daily): Jack Daniels Apple Crisp Carrot Cake w/Bourbon creme cheese Strawberies w/Sambuca Baileys' Irish creme Cheese Cake Fresh Tropical Fruit Cup w/grand mariner syrup Banana Foster cookies