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HomeMy WebLinkAboutCRPS-08-171 - CIT Financial Ltd. to Convey Lands at 560 Bingemans Centre Dr Pursuant to Restrictive CovenantsREPORT Report To: Committee of the Whole Date of Meeting: October 27, 2008 Submitted By: Lesley MacDonald, Director of Legal Services and City Solicitor Prepared By: Lesley MacDonald, Director of Legal Services and City Solicitor Ward(s) Involved: Ward 1: Bridgeport -Centre -John Smola Date of Report: October 23, 2008 Report No.: CRPS - 08-171 Subject: Request Council Approval for Cit Financial Ltd. to convey lands at 560 Bingemans Centre Drive Pursuant to Restrictive Covenants; Part Lot 122, G.C.T. and Part Lot 123 G.C.T. being Parts 1 & 4, Plan 58R-15289 RECOMMENDATION: "That, on October 22, 2008, the property described as Part Lots 122 & 123 G.C.T. being Parts 1 & 4 on Plan 58R-15289, and municipally known as 560 Bingemans Centre Drive, Kitchener complied with the restrictions set out in Instrument No. WR206780 being an Application to Annex Restrictive Covenants, and further, That the Mayor and Clerk be authorized to execute any documentation approved by the City Solicitor to show consent to the conveyance of the property municipally known as 560 Bingemans Centre Drive from Cit Financial Ltd. " BACKGROUND: The subject property was purchased from the City of Kitchener on April 13, 2006. Restrictive Covenants were registered against the title of the property by Instrument No. WR206780. As part of the title control restrictions, Paragraph 2(f) states that no transfer or resale of the property can take place within six years from the date of closing without the approval of the City of Kitchener. The City received a request from the owner of 560 Bingemans Centre Drive seeking Council's approval to sell the subject property in the spring of 2008 and a Resolution was passed on February 4, 2008. The property is currently being leased by Broda Enterprises through a twenty (20) year lease. The day-to-day business of the current tenant will not change. It is the intention of the potential purchaser to have the current business operations continue on the subject property with business and employment opportunities proceeding under normal working conditions. 2 REPORT: The appropriate staff have reviewed the request and the subject property complies with the restrictions set out in Instrument No.1NR206780, an Application to Annex Restrictive Covenants and staff have indicated that they have no concerns with respect to the proposed conveyance. FINANCIAL IMPLICATIONS: N/A COMMUNICATIONS: N/A CONCLUSION: In view of the fact that a building was constructed and the current tenant of the property is intending to continue conducting business on the property, staff recommends that Council grant the approval for the proposed conveyance. If Council enacts the above recommendation, it would be appreciated if the Clerk would forward a certified copy of Council's resolution as well as the confirmatory by-law to the undersigned. Respectfully submitted, Lesley MacDonald, Director of Legal Services And City Solicitor /tr