RFP: Development and Operation of Affordable Rental Housing on Block 36 North, City Place/Railway Lands Information Meeting February 11,2016 Request for Proposals for the Development and Operation of Affordable RentRealHousing at 200 Madison Ave. at 200 Madison AveREeRe Agenda 1. Welcome 2. City Priorities for this RFP 3. RFP Highlights 4. Evaluation and Approval Process 5. Questions 2 “ We need to do everything we can to build more affordable housing in Toronto, and we need to do it much faster. The (Open Door Program) will help deliver more affordable housing to people who need it,” Mayor John Tory 3 Block 36N and Open Door Program Block 36 North is the second site to benefit from City’s new Open Door Program City launched Open Door in April 2015 to accelerate creation of affordable housing Program provides: surplus public land; fast-tracked planning approvals; federal-provincial funding for capital costs and expanded City financial incentives Piloted at city owned site 200 Madison Avenue - work underway on 82 new affordable rental homes 4 City Priorities for this RFP To select the best proposal: That will build and operate high-quality purpose built affordable rental housing That provides good value for the funding and incentives offered That ensures construction starts in a timely manner 5 Who Should Apply? Experienced non-profit or private-sector corporations with: Track record developing quality rental housing on time and on budget Experience operating rental housing and providing property management and supports in a portfolio of residential developments Experience overseeing soil remediation and obtaining Ministry of Environment Record of Site Condition 6 The Block 36N Community Block 36N located on northwest corner of Fort York Boulevard and Queen's Wharf Road near Bathurst Street in the dynamic City Place community Area has developed into a residential neighbourhood of 20 high-rise condominiums with some 11,000 people, predominantly young urban professionals More recently, families and older households have begun moving in as community facilities continue to grow Nearby are Library District Condominiums and public library on Fort York Boulevard; to the east is 427-unit TCHC affordable housing building Neighbourhood served by four streetcar lines and GTA-wide transit, such as the Gardiner Expressway and Lakeshore Boulevard 7 RFP Planning Requirements Site is zoned Residential for 6-9 storeys Minor variances anticipated but re-zoning not permitted Site Plan Approval required BLOCK 36N BLOCK 36S RFP Environmental Requirements View looking south west The site requires remediation. 2012 Phase 1 and 2 Environmental Site Assessments (ESA) found contamination in soil, not groundwater New Phase 2 ESA is required given change in provincial standards 9 Legal Agreements The Contribution Agreement (to be issued as addendum) is for 50 years and includes terms and conditions of City funding and incentives, key milestones, the Proponent’s obligations before and after occupancy The Lease with Toronto Community Housing Corporation (to be issued as an addendum) is for 50 years less a day and includes rent at nominal rate provided conditions of the Lease are met Shared Facilities Agreement between Block 36N Proponent, Library District Condominium and Toronto Public Library in Block 36S regarding annual costs for shared use of parking ramp 10 Requirements to be met: City Planning and Ontario Building Code (OBC) Environmental Protection Act AHO Design Guidelines for Affordable Rental Housing City of Toronto Policy and OBC requirements for sprinklers Energy Consumer Protection Act requirement for suite meters City of Toronto Green Standard Tier 1 requirements Investment in Affordable Housing for Ontario – Extension 2014-20 Guidelines for funded units 11 Site Requirements by Proponent Remediation of the site and securing of Record of Site Condition Completion of Stage 4 Archeological Excavation Report Payment of annual shared costs for parking ramp maintenance 12 Residents and Rent Levels The Proponent will be required to allocate 15 of the units for rent-geared-to income tenants All residents must have household income no more than four times total rent by bedroom type No rent may be more than 100% Average Market Rent by bedroom type, including heat, hydro and water IAH-E funded units must have residents that are on, or eligible to be on, City’s housing access list Rent for all IAH-E funded units must average 80% of Average Market Rent or less by bedroom type, including heat, hydro and water 13 Unit Mix and Residents Units should be one-, two- and three-bedroom, no bachelors Two- and three-bedrooms preferred for families with children Mix of resident groups and rents encouraged In addition to OBC visitable suites requirements, minimum 5% of units must be fully accessible 14 RFP Funding Financial assistance includes: Federal-Provincial Capital Funding Investment in Affordable Housing –Extension (IAH-E) funding of $7,000,000 and additional IAH-E, subject to availability; maximum $150,000 per unit City Capital funding As required by Proponent to deliver project viability Up to $1,500,000 for soil remediation costs Up to $500,000 for construction of retaining wall by the City $300,000 for infrastructure costs for completed roads and site servicing 15 City Incentives City incentives include: Development Charge Exemption Building Permit and Planning Fee waiver for private or non-profit Proponent Exemption from property taxes for the term of the Contribution Agreement (50 years) Block 36N site leased at nominal rent from TCHC Fifteen rent supplements 16 Making a Proposal Proponents must respond to all sections as outlined in Section 3.0 Include all items in Submission Checklist in Appendix 12 17 RFP Evaluation Criteria Development Qualifications Management Qualifications Corporate Financial Viability Project Design and Site Concept Capital Funding and Financial Plan Operating Plan Development Plan Community Consultation & Communications Plan 10 10 10 20 20 20 5 5 _____ 100 points Minimum 70% required to be funded 18 Timetable RFP Released - January 29, 2016 Information Meeting - February 11, at 11 am Deadline for Written Questions - March 11 Final Addendum - March 17 RFP Deadline - March 24 (Noon) Executive Committee - May 24 City Council - June 7 19 Following Council Approval City, TCHC and Successful Proponent meet to agree on process going forward Environmental testing and design work begins summer 2016 Contribution Agreement entered into by December 15, 2016 20 Questions, Answers and Addenda Questions and answers from the Information session will be posted on the Affordable Housing Office (AHO) web site as Addendum #1: www.toronto.ca/affordablehousing Additional questions should be submitted in writing and answers will be posted in subsequent Addenda on the AHO web site Deadline for questions is March 11,2016 at 4:30 pm Questions emailed to sgadon@toronto.ca 21 Deadline for Proposals: Friday, March 24, 2016 12:00 noon Deliver to: Sean Gadon, Director Affordable Housing Office Metro Hall, 7th Floor 55 John Street, Toronto, Ontario M5V 3C6 22