Ontario Land Tribunal
Tribunal ontarien de l’aménagement du territoire
ISSUE DATE: December 11, 2023
CASE NO(S).: OLT-23-000175
PROCEEDING COMMENCED UNDER subsection 6(2) of the Expropriations Act, R.S.O. 1990, c. E.26
Expropriating Authority: City of Toronto
Property Owner: Gurnam and Surjit Multani
Subject: Expropriation/Hearing of Necessity
Description: Determination of Compensation
Property Address: 1430 Gerrard Street E
Municipality/UT: Toronto/Toronto
OLT Case No: OLT-23-000175
OLT Lead Case No: OLT-23-000175
OLT Case Name: Multani v. Toronto (City)
Heard: October 06, 2023, by video hearing
APPEARANCES:
| Parties | Counsel*/Representative |
|---|---|
| City of Toronto | M. Longo* |
| Gurnam & Surjit Multani | Iqbal Multani |
REPORT DELIVERED BY D.S. COLBOURNE AND ORDER OF THE TRIBUNAL
1This is a Report to the Expropriating Authority, The City of Toronto (“City”), following the request by the son, Iqbal, on behalf of the owners of the property for a Hearing of Necessity.
2This inquiry was held pursuant to section 7 of the Expropriations Act, RSO 1990, c. E.26 (the “Act”) to determine whether the proposed taking by the City is “fair, sound and reasonably necessary in the achievement of the objectives of the expropriating authority” as the Act states, or is “reasonably defensible” as the courts have interpreted this test.
3The Hearing was held on October 6, 2023, by video hearing.
4The City proposes to expropriate the property 1430 Gerrard St. E. (“Subject Site”), in order to allow the City and its shelter operator partners to continue operation of transitional housing on a site selected by the City for a configuration, location, and with facilities that have been demonstrated to be well suited for fulfilling this important municipal purpose.
5This is part of the City’s “Emergency Housing Action”, which included the City’s “24-Month COVID-19 Housing and Homelessness Recovery Response Plan” to create 3000 new permanent affordable and supportive housing units. The HousingTO’s objectives are critical, as the City is facing significant and ongoing challenges across the housing continuum and there is a great need for affordable housing in Toronto.
6The City leased part of the subject premises in 2016 to create the temporary home for the Red Door Shelter. The current lease of the premises expires in 2026. The City desires to establish the Subject Site as a shelter on a long-term basis, and to have the certainty that it be kept as such. The City has also considered alternate programming and using the Subject Site as long-term, deeply affordable accommodations.
7The City requires greater certainty relating to the property in order to structure relationships with shelter operators or to be able to offer long-term affordable units.
8The City has already spent significant monies improving kitchen facilities at the premises.
9The City approached the owners to negotiate the purchase of the premises, but no agreement has been reached to date. A complication arose recently with respect to the negotiations as follows: “In a decision dated August 14, 2023 the Ontario Court of Appeal rendered a decision relating to certain mortgage debts owed by the owners of the Subject Site.” At paragraph 3, the Court discusses separate proceeding relating to charges on the Subject Site noting: “The 430 Gerrard St. E. mortgage is secured and registered on five other properties owned by the owners; and there is an aggregate indebtedness for the collective properties of $16,803.73. On May 16, 2023 a court order was issued lifting an interim stay of enforcement proceedings against the various properties.”
10This brings into question the ability of the City to negotiate an extension of its existing lease, and whether title to the property will be under cloud for an undetermined period of time.
11The proposed taking will allow the City to safely and reliably provide affordable rental and transitional housing opportunities.
12The only evidence provided was that of Vicky Lau who is in charge of the housing programme for the City. As set out, she outlined the pressing municipal purpose for transitional housing and longer-term affordable housing. Her testimony was not challenged. There was no other evidence related to the purpose of the inquiry or of any alternatives.
13A representative of Dramel Limited and Melvyn Solmon, both involved in the financing of the property were present online, but made no submissions.
14The owner’s son Iqbal, who requested the Hearing did not give evidence, but directed queries to the witness and counsel related to the allegations of lack of cooperation of the owners.
15Based on the evidence of Ms. Lau I find that the taking is “fair, and reasonably necessary” for the purposes of the City in supporting its housing programme.
“D.S. Colbourne”
D. S. COLBOURNE VICE-CHAIR
Ontario Land Tribunal Website: www.olt.gov.on.ca Telephone: 416-212-6349 Toll Free: 1-866-448-2248
The Conservation Review Board, the Environmental Review Tribunal, the Local Planning Appeal Tribunal and the Mining and Lands Tribunal are amalgamated and continued as the Ontario Land Tribunal (“Tribunal”). Any reference to the preceding tribunals or the former Ontario Municipal Board is deemed to be a reference to the Tribunal.