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HomeMy WebLinkAboutCRPS-07-033 - Request for Liquor Licence - Holy Spirit Festival Association of K-Wi ..~.._ - - ,~`~~~ 1 (~ffi~: REPORT Report To: Finance & Corporate Services Committee Date of Meeting: June 18, 2007 Submitted By: Rod Regier, Executive Director of Economic Development Prepared By: Terry Boutilier, Senior Business Development Officer and Brownfield Coordinator - 741-2303 Ward(s~ Involved: Ward 4 -South Date of Report: June 12, 2007 Report No.: CAO-07-033 Subject: SALE OF PART LOT 12 RCP 1471 being Parts 16 and 29 on Plan 58R-7426 IN THE HURON BUSINESS PARK -155 WASHBURN DRIVE RECOMMENDATION: That Council accept the Offer to Purchase from Eastforest Homes Ltd. for Part 16 and Part 29 of Plan 58R-7426, being a parcel of land in the Huron Park Business Park -Phase III, having an area of approximately 1.84 acres at a price of $195,000 per acre, for a total purchase price of $358,559.00; and That the Mayor and Clerk be hereby authorized to execute any other necessary documentation required by the City Solicitor to complete the sale transaction. BACKGROUND: Site 147 is the last parcel of City-owned land in the Huron Business Park. It is approximately 1.84 acres is size and zoned B2 (Business Park). In May of 2006 the City re-purchased this parcel at a rate of $80,000 per acre from the previous purchaser who did not proceed with original construction plans. As outlined previously in Staff Report CAO-06-016, re-acquisition and the re-sale by the City of Kitchener (@ $195,000 per acre) results in increased cash flow of $211,600. to the City of Kitchener. REPORT: The City has received an offer to purchase from Eastforest Homes Ltd. for Part 16, and Part 29 of Reference Plan 58R-7426 in the Huron Business Park -Phase III. Eastforest Homes is located on the adjacent lands at 139 Washburn Drive. Eastforest Homes Ltd. plans to expand the uses of its current Head Office to accommodate the growth of their home-building industry. Covenants require a minimum building size of 24,000 square feet, to commence within one year of closing of the Offer. They propose to construct a 30,000 square foot building to include offices, a new home customer-service centre and storage of materials and equipment. The property is subject to site plan control through a Section 41 Development Agreement. Elevation drawings will be reviewed and approved in accordance with the site plan approval process. The proposed closing date is August 22, 2006. A buy back option is included if the purchaser does not commence construction within one year from the date of closing, or if the building is not completed and occupied within two years. The City will refund without interest, 90% of the purchase price. There is a provision to allow the opportunity for a one year extension at the start and completion dates of construction, subject to an additional 10% deposit. The City Solicitor has reviewed the Offer to Purchase. FINANCIAL IMPLICATIONS: 1.8387 acres ~ $195,000/acre = $358,559 COMMUNICATIONS: No public consultation has been undertaken. CONCLUSION: This proposed development will provide Eastforest Homes Ltd. with room for head office expansion in the City of Kitchener to better serve customers. Terry Boutilier, Kathy Weiss Senior Business Development Officer Director, Business Development Rod Regier, Executive Director, Economic Development Attachments: Appendix "A" -Huron Business Park Location Map Cc: Carla Ladd, CAO Lesley MacDonald, Director of Legal Services Fiona McCrea, City Solicitor