Sale Of Gilbert Loop To The City Of Toronto
Meeting Date: March 20, 2002
Subject: Sale Of Gilbert Loop To The City Of Toronto
It is recommended that the Commission:
1. approve the sale of the surplus Gilbert Loop to the City of Toronto for park use for $4,000 with the costs of conveyance to the City’s account; and
2. authorize staff to execute an Agreement of Purchase and Sale in a form satisfactory to the General Counsel; and
The sale of the property will generate net proceeds of $4,000. Annual lease revenue of $200 has not been included in the 2002 Operating Budget.
The Gilbert Loop property is located on the southwest corner of Eglinton Avenue West and Gilbert Avenue consisting of a triangular parcel of approximately 0.40 acres (See Exhibit 1). TTC acquired the property by statute in 1954 and originally used it as a loop for streetcars and buses until the early 1980s.
With the reduction in TTC vehicles using the loop, a requirement for costly resurfacing, the introduction of alternative arrangements, and at the request of the Mayor of York, the Gilbert Loop was declared surplus to TTC operating requirements in 1984.
The proposed construction of the Eglinton Subway Line contemplated the use of the loop for future transit use. In order to protect the lands, the TTC proposed a short-term lease to the City of York.
At its meeting of May 20, 1986, the Commission approved the lease of the Gilbert Loop to the City of York for use as a parkette. The lease was renewed and extended under a series of agreements and presently continues on a month-to-month basis at a nominal net rent of $200 per year.
In 1996 it was determined that the property would not be required as part of the future Eglinton Subway Line and the land was subsequently declared surplus by the Commission at its meeting of July 15, 1997. The Commission authorized the then Metro Toronto Parks and Property Department as TTC’s agent for the disposal of the properties in accordance with the TTC’s procedural By-law No. 2 for the Disposal of Real Property.
At the August 20, 2001 meeting of the City’s Property Management Committee (PMC), Toronto Parks & Recreation’s business case for the acquisition of the property for continued use as a parkette was accepted. PMC authorized the purchase and sale of the property from TTC to the City of Toronto in the amount of $4,000 with the delegation of Council authority to the CAO.
It is TTC’s practice to offer surplus TTC owned property to governmental authorities for expressions of interest prior to disposal to third parties.
The City of Toronto and its predecessors have now invested $120,000 in improvements to the site over the term of the lease.
Based on the configuration, topology, and use as a parkette for the last 16 years, staff are of the opinion that the market value is based on a highest and best use as parkland with a land value of $10,000 per acre. Accordingly, the sale price is valued at 0.40 acres x $10,000 per acre amounting to $4,000.
Since the property is titled to TTC, it has been confirmed that City Council approval is not required for TTC to sell the land and that TTC should receive the benefits.
The property has been surplus to TTC operations for a considerable period. Disposal in this fashion is consistent with TTC practice and TTC Procedural By-law No. 2.
February 27, 2002
Attachment: Exhibit 1 – Sketch of Gilbert Loop