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THE CORPORATION OF THE CITY OF WINDSOR
POLICY
Service Area:
Office of the City Solicitor
Policy No.:
Department:
Legal
Approval Date: February 3, 2014
Division:
Real Estate
Approved By:
CR 30/2014
Effective Date: February 3, 2014
Subject:
DISPOSAL OF LAND
Procedure Ref.: Municipal Act 2001, c. M. 25, s. 270. (1)
Pages:
Replaces: Dealings With Real Property Policy
Prepared by
Mike Stamp
Date: December 17, 2007
DEFINITIONS
Appraisal: a valuation of the Market Value of Land that is satisfactory to the Manager
of Real Estate Services.
CAO is the City's Chief Administrative Officer
CITY: The Corporation Of The City Of Windsor
Disposal: the sale, transfer, conveyance or exchange of the fee simple interest in Land.
Land: includes buildings and other improvements thereon.
Market Value: the most probable price which Land should bring in a competitive and
open market as of a specified date under all conditions requisite to a fair sale, the buyer
and seller each acting prudently, knowledgeably and in their own best interests and
assuming the price is not affected by undue stimulus.
Other Land Interests: a granting of an interest in Land that is not a Disposal, such as
easement, leases, encroachments etc.
Special Project: Land to be used for development or other opportunity, as determined
by Council.
Surplus: Land which is not required for municipal purposes, as determined by Council.
Viable Land: a parcel of Land, which, on its own, would be eligible for a building
permit.
1.
POLICY
1.1 Surplus Land will be considered for Disposal so as to achieve the best interest
of the City.
2.
PURPOSE
2.1 To abide by section 270. (1) of the Municipal Act, 2001 requiring
municipalities to "adopt and maintain policies with respect to... sale and other
disposition of land."
2.2 To promote consistent, transparent and equitable processes in Disposals in a
manner consistent with the best interest of the City.
3.
SCOPE
3.1 Subject to section 3.2, this Policy is applicable to all City operations involving
Disposals, including any agencies, boards or commissions whose financial
operations are accounted for within the City's financial statements.
3.2 This Policy is not applicable to any Disposals where:
3.2.1
The transaction is governed by any federal legislation or legislation
of the Province of Ontario (examples include tax sales and
expropriation by the province);
3.2.2
The transaction is completed in accordance with Council direction,
or the approval of the CAO as authorized through delegation AND
the legal entity obtaining ownership or interest in the Land is any
government authority including but not limited to the federal
government, Ontario provincial government, crown agencies,
school boards having jurisdiction within the City limits and the
Essex Region Conservation Authority;
3.2.3
The Disposal is being done by a corporation AND the City is the
sole shareholder of that corporation;
3.2.4
The City is transferring Land to a corporation, in which the City is
the sole shareholder AND the transaction is completed in
accordance with Council direction or CAO approval as authorized
through delegation;
3.2.5
The property is deemed to be a Special Project AND the
transaction is completed in accordance with Council direction or
CAO approval as authorized through delegation as applicable;
3.2.6
Any other City policy that may supersede this policy;
3.2.7
A closed street or alley is conveyed to an abutting property owner
AND the transaction is completed in accordance with Council
direction or CAO approval as authorized through delegation, as
applicable, or the Street and Alley Closing policy; or,
3.2.8
The transaction involves Other Land Interests AND it is completed
in accordance with Council direction or CAO approval as
authorized through delegation, as applicable, or other approved by-
laws or policies.
3.2.9
Other agreements authorized by Council such as a development
agreement.
4.
RESPONSIBILITY
4.1 City Real Estate Staff will:
4.1.1
periodically review listings of all City-owned Land to determine
which Land may be considered Surplus;
4.1.2
circulate potentially Surplus Land to City staff for comment and
input;
4.1.3
make recommendations to Council about declaring Lands surplus
and seek Council's authority to offer the Land for sale;
4.1.4
pursue Disposals per this policy and make recommendations to
Council, or the CAO as authorized through delegation;
4.1.5
retain qualified Multiple Listing Services ("MLS") brokers or
agents to assist, as appropriate, with the Disposal;
4.1.6
obtain independent property Appraisals for Land in keeping with
any requirements imposed by any applicable legislation, by-law, or
this policy;
4.1.7
report the details of any Disposal to the appropriate departments
and to the Chief Financial Officer and City Treasurer or as he or
she may further delegate for the purposes of maintaining accurate
corporate records; and
4.1.8
in consultation with other City staff and departments, initiate any
changes to existing policies, procedures or recommendations
addressing Disposals.
4.2 City Finance Division staff, under the direction of the Chief Financial
Officer and City Treasurer or as he or she may further direct, will prepare and
maintain all data bases and records with respect to City Land.
4.3 Other City staff will receive and review proposed Disposals of City Land
circulated by City Real Estate Staff, and within twenty (20) business days of
such circulation will provide comment, information and input as to whether
the Land being proposed for Disposal may be considered Surplus.
5.
DISPOSAL RULES
5.1
Notifications and Authority
5.1.1
Disposals require Council approval unless the transaction meets
the criteria of delegated authority under Schedule "A", Property
Transactions in By-Law 2008-2008, in which case the transaction
must comply with such criteria.
5.1.2
Notification of the intention to declare Land surplus and the
authority to offer the Surplus Land for sale will be printed in the
"Civic Corner" of the Windsor Star;
5.2 Property Values
5.2.1
For Land with an estimated Market Value of fifty thousand dollars
($50,000) or more, at least one independent Appraisal will be
obtained.
5.2.2
Disposal will be at Market Value, or equivalent consideration,
unless Council or the CAO as authorized through delegation,
directs otherwise.
5.3 Method of Disposal
5.3.1
Subject to direction from City Council all Surplus Land will either
be listed on the MLS of the local Real Estate Board or offered for
sale by City Real Estate staff, save and except:
5.3.1.1 Land, which has a Market Value as determined by the
Manager of Real Estate Services of less than $25,000 in
which case City Real Estate Staff will offer the Land for
Disposal on the City web site and place a "for sale sign" on
the Land if feasible and advertise in the Windsor Star as
deemed appropriate by the Manager of Real Estate Services;
5.3.1.2 Landlocked Land of any size, which may be sold directly to
the abutting property owner(s), provided the Land is sold at
no less than the Market Value established by either City
Real Estate Staff or by an independent Appraisal. If more
than one abutting property owner wishes to acquire the
landlocked Land, City Real Estate Staff will contact the
abutting owners to determine whether a consensus can be
arrived at in splitting the Land amongst interested abutting
owners. In the event that a consensus cannot be arrived at,
all interested abutting property owners will be requested to
provide Administration with an offer for the whole
landlocked parcel or
5.3.1.3 Land, which is not Viable Land and which cannot be
rendered Viable Land by means of consent under the
Planning Act may be sold directly to the abutting property
owner(s) for lot consolidation purposes at the value
established by City Real Estate Staff taking into
consideration all relevant factors, but in any event for no
less than on a cost-recovery basis. If more than one abutting
property owner wishes to acquire the Land City Real Estate
Staff will contact the abutting owners to determine whether
a consensus can be arrived at in splitting the Land amongst
interested abutting owners. In the event that a consensus
cannot be arrived at, all interested abutting property owners
will be requested to provide Administration with an offer for
the whole parcel.
5.3.2
All Viable Land will be marketed for a period of at least ten (10)
business days prior to the review and consideration of any offer to
purchase except as otherwise provided in this policy.
5.3.3
City Real Estate Staff will confirm whether there is any right for a
former owner to repurchase the Land under the Expropriations Act
and advise Council of same in the report required under 5.1.1.
5.3.4
All offers to purchase Land from the City by means of an
Agreement of Purchase and Sale must be accompanied by a
deposit in an amount determined by the Manager of Real Estate
Services but in any case not less than one thousand dollars
($1,000).
5.3.5
Unless otherwise directed by Council, all Disposals will be on a
cash basis. If the City Solicitor determines that exceptional and
specific circumstances exist that would warrant consideration of a
Disposal on something other than a cash basis, the City Solicitor
will present the exceptional and specific situation to Council for
determination.
5.4 Land Transactions
5.4.1
Disposals will be done in a manner consistent with accepted
conveyancing practices, and in accordance with all applicable
federal and provincial legislation and municipal by-laws and
policies.
5.4.2
The City Solicitor or designate, has the authority to extend or
abridge the closing date or extend or abridge the timeframes on
any conditions previously approved by Council, or CAO as
authorized through delegation, on any Disposal provided such
extension or abridgement does not change the original intent of the
approved Disposal.
5.5 Unserviced Land
5.5.1
Land located in areas lacking municipal services will be retained
by the City until such time as services are available except as
provided in 5.5.2.
5.5.2
In the event of a special circumstance involving the potential
Disposal of unserviced Land, City Real Estate Staff will bring the
issue to Council for consideration.
5.6 Parkland and Natural Environmental Areas
5.6.1
There will be no Disposal of Parkland without Council approval.
5.6.2
Subject to section 5.6.1, Disposal of Parkland and other Land
having significant natural features requires satisfaction of Official
Plan requirements and, if applicable, the implementation of
appropriate measures to protect the significant natural features.
5.7 Heritage Properties
5.7.1
There will be no Disposal of Land designated under Part IV or Part
V of the Ontario Heritage Act (a "Heritage Property") without
Council's prior approval. The local Heritage Committee will be
consulted of any Heritage Property being made available for
Disposal.
6.
RECORDS, FORMS AND ATTACHMENTS
6.1 Filing and retention of records related to Disposals will be in accordance with
legislative requirements, guidelines of governing and professional bodies and
City policy.