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8. Property Acquisition FOR THE KANATA NORTH RECREATION COMPLEX - Acquisition DE TERRAINS POUR LA CONSTRUCTION DU COMPLEXE RÉCRÉATIF |
Committee Recommendation
That Council
approve the fee simple acquisition of a vacant parcel of land consisting of
approximately 6.21 hectares (15.33 acres) owned by Northtech Land Development
Inc., described as Part of Lot 18 and 19, Concession 12, geographic Township of
March, former City of Kanata, shown hatched on the attached Annex “A”, for the
consideration of $4,400,000, subject to final survey and adjustments on closing.
Recommandation du comité
Que le Conseil approuve
l’acquisition en fief simple du terrain vacant qui couvre environ
6,21 hectares (15,33 acres) et qui appartient à Northtech Land
Development Inc., que l’on décrit comme une partie des lots 18 et 19,
concession 12, dans le canton géographique de March, ancienne Ville de
Kanata, et qui est illustré en hachuré à l’Annexe « A » ci‑jointe,
pour une contrepartie de 4 400 000 $, compte tenu du levé
définitif et des ajustements à la clôture.
Documentation
1. Executive Director's report (Business Transformation
Services) dated 27 August 2007 (ACS2007-BTS-RPM-0025).
2. Extract of Draft Minute, 4 September 2007.
Report
to/Rapport au :
Corporate Services and Economic Development Committee
Comité des services organisationnels
et du développement économique
and Council / et au Conseil
27 August 2007/ le 27 août 2007
Submitted by/Soumis par : Stephen Finnamore,
Executive Director, Business Transformation Services/ Directeur exécutif, Service transformation
activités
Contact
Person/Personne ressource : Gordon MacNair, Manager, Real Estate Services
Real Property Asset Management/Gestion des
actifs des biens immobiliers
(613) 580-2424 x 21217,
Gordon.MacNair@ottawa.ca
REPORT RECOMMENDATION
That the Corporate Services and Economic Development Committee recommend Council approve the fee simple acquisition of a vacant parcel of land consisting of approximately 6.21 hectares (15.33 acres) owned by Northtech Land Development Inc., described as Part of Lot 18 and 19, Concession 12, geographic Township of March, former City of Kanata, shown hatched on the attached Annex “A”, for the consideration of $4,400,000, subject to final survey and adjustments on closing.
RECOMMANDATION DU RAPPORT
Que le Comité des services organisationnels et
du développement économique recommande au Conseil d’approuver l’acquisition en
fief simple du terrain vacant qui couvre environ 6,21 hectares
(15,33 acres) et qui appartient à Northtech Land Development Inc., que
l’on décrit comme une partie des lots 18 et 19, concession 12, dans
le canton géographique de March, ancienne Ville de Kanata, et qui est illustré
en hachuré à l’Annexe « A » ci‑jointe, pour une contrepartie
de 4 400 000 $, compte tenu du levé définitif et des ajustements
à la clôture.
BACKGROUND
In 2004, City Council approved the Community and Protective Services Department’s (then People Services Department) Community Infrastructure Framework and the subsequent Recreation and Culture Infrastructure Project Listing (2005). The Framework confirmed the need and validation for a new recreation complex in North Kanata to meet the needs of new residents. A requirement for an indoor pool and ice surfaces was previously identified by the former City of Kanata in its reports entitled “Aquatic Options Feasibility Study” (December 2000) and “City of Kanata Arena Feasibility Study” (December 2000). Neither project had been confirmed or budgeted for by the former municipality and as a result, was incorporated into the Community and Protective Services Department’s Long Range Financial Plan.
In order to incorporate the previously identified and potential recreation components for a proposed multi-use recreation complex in the North Kanata area, staff identified the requirement for a parcel of land with a minimum size of 5.6 hectares (14 acres). This site area includes the projected area required to accommodate the building itself, parking, landscaping and sportsfield components that are typically integrated within a district or community sized recreation complex.
The Community Infrastructure Framework (CIF) set a service level to population of 1 ice surface for every 20,500 citizens. With the addition of the Bell Sensplex and Serco’s public-private partnerships and the addition of an ice surface at Barrett arena, the City’s service level is at 1 ice surface for every 19,941 citizens. Due to the close proximity of the Bell Sensplex to the North Kanata area the addition of ice pads will be focussed more on the inefficient single pad arenas, end of lifecycle facilities inside the greenbelt and completion of phased developments in existing complexes i.e. Goulbourn, thus eliminating the need for a twin pad ice surface component as part of this complex.
The capital budget request of $2.78 million was approved in 2006 to provide funding for the acquisition of lands for the future North Kanata Recreation Complex. A preliminary site search concluded that vacant land values in North Kanata had increased above initial budget estimates. Accordingly, an additional $2 million was approved within the 2007 Capital Budget for the North Kanata Recreation Complex land acquisition, and $1.54 million for preliminary planning of the complex itself.
With the preferred site selected, the complex’s components will be further defined, reflective of community needs and the CIF’s principles whereby compatible facility requirements will be grouped together, offering residents a wide array of programs and services under one roof. The much-needed indoor pool, full-service community centre with gymnasium and on-site outdoor sports fields will make up the core of this complex.
DISCUSSION
In May 2006 an internal working group was formed to evaluate potential sites within the North Kanata area. The working group was tasked with a mandate of locating and acquiring a site to establish a multi-use recreation complex. Mandatory site criteria were established that identified a need for a 5.6-hectare (14-acre) parcel of vacant land within the defined urban boundary (public service area) of Kanata North as shown on the attached Annex “B”.
Potential sites were selected based on four main criteria; access, compatibility, cost and timing to development. Upon weighting these four components it was determined that the preferred site was one that provided a central location within the public service area, access to arterial roads, is serviced by OC Transpo, a compatible use within its existing location by having synergies with adjacent uses, municipal services for immediate development and a price within the existing Council approved budget envelope. This exercise resulted in identifying an initial list of ten (10) potential sites of which four (4) sites met the mandatory criteria and are shown on the attached Annex “C”.
· Site #1 – This site is located in the Northtech Campus at the corner of Terry Fox Drive and Innovation Drive, consists of 5.79 hectares (14.30 acres) of vacant land and is owned by Northtech Land Development Inc. This site is currently severed by existing Goulbourn Forced Road (to be temporarily re-aligned to connect to Innovation Drive) and is encumbered by a hydro easement. This site is zoned for industrial/commercial uses and permits public uses.
· Site #2 – This site is located in the Northtech Campus at Terry Fox and Innovation Drive, is an interior site consisting of 6.21 hectares (15.33 acres) of vacant land and owned by Northtech Land Development Inc. It is encumbered by a hydro easement. It is zoned for industrial/commercial uses and permits public uses.
· Site #4 – This site is located in the Kanata Lakes Community at the corner of Kanata Avenue and Goulbourn Forced Road and consists of 5.34 hectares (13.2 acres) of vacant land and is owned by KNL Developments Inc. The site is zoned for high density residential with local commercial uses towards the street frontage.
· Site #7 – This site is located within the Kanata Research Park on Terry Fox Drive, consists of approximately 5.26 hectares (13 acres) of vacant land and is owned by Kanata Research Park Corporation. The site is zoned as an industrial business park.
The working group weighted and scored the four sites based on each components importance and support of the mandatory criteria, as identified. This exercise resulted in Site #2 scoring 159 points, Site #1 scoring 135 points, Site #4 scoring 122 points and site #7 scoring 119 points.
Site #2 is uniquely positioned centrally in the public service area between the communities of Morgan’s Grant and Kanata Lakes. It is situated approximately 400 metres from Terry Fox Drive and is currently serviced by OC Transpo. The site is slightly irregular in shape, however, does provide for a large rectangular development area. The site is encumbered by a hydro easement on approximately 1.62 hectares (4 acres). As per the development across the street, parking, storm water management and landscaping features can be accommodated within the hydro corridor. The site is adjacent to existing pathway connections within the Trillium Woods natural environment area. The site is fully serviced including an oversized sidewalk along Innovation Drive. Recreational uses are felt to be very compatible with the predominantly daytime office uses that exist today within the business park. Of the four sites that met the mandatory criteria, site #2 was deemed to be the most cost effective. The soils are generally considered stable throughout the site and will be confirmed as part of the City’s due diligence.
Site #2 was ranked higher than the other three sites that met the mandatory criteria and for this reason was chosen as the preferred site for the proposed multi-use recreation complex.
At the request of Community and Protective Services Department, Parks and Recreation Branch, negotiations with NorthTech Land Developments Inc. were undertaken. Site #2 is located at 4101 Innovation Drive in the North Kanata Business Park and is shown on the attached Annex “A”. The parcel consists of 6.21 ha (15.33 acres) of vacant land and is subject to hydro easement. The parcel is currently designated General Urban Area in the City’s Official Plan and zoned Industrial General Special, both supporting recreational, community and public uses.
An independent appraisal was completed on behalf of the City that resulted in an estimated market value rate per hectare range of $617,599/ha to $679,250/ha ($250,000/ac. to $275,000/ac.). A second appraisal completed by Northtech estimated the land value at $741,000/ha ($300,000/ac.). Final negotiations resulted in a settlement being reached at $708,890/ha ($287,000/ac.) resulting in a purchase price of $4,400,000 subject to final survey and adjustments on closing for the 6.21 ha (15.33 ac.) site.
The agreement is conditional on the City respecting the design guidelines for the Northtech Campus as proposed in the Northtech Design Guidelines Manual, dated November 1998 and consultation with the vendor on the exterior design of the proposed complex. This condition is to ensure all buildings within this business park campus are built to a level of quality that will ensure this business park retains its status as one of the premiere business parks in the City.
Upon acquisition of the lands, the preliminary design and public consultation process will begin in order to confirm facility requirements and determine additional facility needs and programming components for the proposed multi-use recreation complex.
This acquisition is recommended for approval.
ENVIRONMENTAL IMPLICATIONS
The acquisition of this property is subject to a Phase 1 Environmental Site Assessment and Geotechnical Study Report being completed to the satisfaction to the City.
CONSULTATION
The Ward Councillor has been consulted and supports this acquisition. Further public consultation will take place to finalize the ultimate use of this site.
FINANCIAL IMPLICATIONS
Funds are available in the 2006/07 Capital Budgets, Order No. 903620 North Kanata Complex Land.
Approved Budget to Date $4,780,000
Total Paid & Committed (4,016)
Balance Available 4,775,984
THIS REQUEST 4,400,000
Balance Remaining $ 375,984
SUPPORTING DOCUMENTATION
Annex “A” – Site Map
Annex “B” – Public Service Area
Annex “C” – Potential Vacant Land Sites
DISPOSITION
Following Council’s approval, the Real Property Asset Management, Legal Services and Surveys Branches will finalize this transaction.
ANNEX A
ANNEX B
ANNEX C
