Item - 2016.EX16.43

Tracking Status

  • City Council adopted this item on October 5, 2016 without amendments.
  • City Council considered this item on July 12, 2016 and postponed its consideration to a later date. Consult the text of the decision for further information on the deferral.
  • This item was considered by Executive Committee on June 28, 2016 and was adopted with amendments. It will be considered by City Council on July 12, 2016.

EX16.43 - Muzik Clubs Lease Terms and Conditions

Decision Type:
ACTION
Status:
Adopted
Wards:
14 - Parkdale-High Park, 19 - Trinity-Spadina

City Council Decision

City Council on October 5, 6 and 7, 2016, adopted the following:

 

1.  City Council approve the following amendments to the Muzik Clubs Lease and any other terms that may be required by the Chief Executive Officer, Exhibition Place and the City Solicitor, on the condition that Muzik Clubs also agrees to amend the Muzik Clubs Lease to allow the removal of the Garden of the Greek Gods (referred to in the Lease as the "Existing Statuary") from the Leased Premises at the Board's expense:

 

a.  amend sections 5.1 and 5.2 of the Muzik Clubs Lease to allow Muzik Clubs to host banquets provided that if Muzik Clubs, in any one year, contracts to hold more than thirty (30) banquets, Muzik Clubs will provide notice to the Liberty Grand Entertainment Group ("Liberty"), and Liberty will have the right to cater such banquets, in accordance with Liberty’s price listing so that the amended sections of the Muzik Clubs Lease will be substantiality as provided in Appendix A to the report (June 14, 2016) from the Chief Executive Officer, Exhibition Place.

 

2.  City Council authorize the Board of Governors to:

 

a.  confirm in writing to Muzik Clubs Inc. that, in respect of trade and consumer shows, although the prohibition in the Muzik Clubs Lease will remain, the current practice of the Landlord allowing Muzik Clubs to host occasional trade and consumer shows with the prior consent of the Landlord in appropriate circumstances and in the Landlord's sole discretion will continue, provided that as a condition for this ongoing cooperation, Muzik Clubs Inc. must refrain from marketing itself as a venue for trade and consumer shows, or any other uses not permitted by the terms of the Muzik Clubs Lease; and

 

b.  establish a procedure whereby any consent will be submitted to the Business Development Committee and then to the Board of Governors for approval, provided however that in the case of urgent matters, the Chief Executive Officer, Exhibition Place will have the authority to give or withhold consent.

 

3.  City Council direct that Confidential Attachment 1 to the report (June 14, 2016) from the Chief Executive Officer, Exhibition Place remain confidential as it contains advice and information that is subject to solicitor-client privilege.

 

Confidential Attachment 1 to the report (June 14, 2016) from the Chief Executive Officer, Exhibition Place remains confidential in its entirety in accordance with the provisions of the City of Toronto Act 2006, as it contains advice and information that is subject to solicitor-client privilege.

Confidential Attachment - The receiving of advice that is subject to solicitor-client privilege

Background Information (Committee)

(June 14, 2016) Report and Appendices A to E from the Chief Executive Officer, Exhibition Place on Muzik Clubs Lease Terms and Conditions
https://www.toronto.ca/legdocs/mmis/2016/ex/bgrd/backgroundfile-94352.pdf
Confidential Attachment 1 - City Solicitor Report dated March 14, 2016 re Muzik Clubs Lease

Communications (Committee)

(June 21, 2016) E-mail from Gabrielle Gaedecke (EX.Supp.EX16.43.1)
(June 27, 2016) E-mail from Michael Smart (EX.Supp.EX16.43.2)
(June 28, 2016) E-mail from Mary Flynn-Guglietti, McMillan LLP (EX.New.EX16.43.3)
https://www.toronto.ca/legdocs/mmis/2016/ex/comm/communicationfile-61778.pdf
(June 28, 2016) E-mail from Jeff Duns (EX.New.EX16.43.4)
(June 27, 2016) Letter from Councillor Mike Layton (EX.Supp.EX16.43.5)
https://www.toronto.ca/legdocs/mmis/2016/ex/comm/communicationfile-61842.pdf

Communications (City Council)

(July 7, 2016) E-mail from Michael I. Binetti, Afflect Greene McMurtry LLP (CC.Main.EX16.43.6)
(July 10, 2016) Submission from Lorna Tomassoni (CC.Main.EX16.43.7)
(July 11, 2016) Letter from Kathy Sutton (CC.Main.EX16.43.8)
(October 3, 2016) Letter from Kathy Sutton (CC.Supp.EX16.43.9)

Motions (City Council)

Motion to Adopt Item (Carried)

Vote (Adopt Item) Oct-05-2016 2:44 PM

Result: Carried Majority Required - EX16.43 - Adopt the item
Total members that voted Yes: 36 Members that voted Yes are Maria Augimeri, Ana Bailão, Jon Burnside, John Campbell, Christin Carmichael Greb, Josh Colle, Gary Crawford, Joe Cressy, Vincent Crisanti, Janet Davis, Glenn De Baeremaeker, Justin J. Di Ciano, Frank Di Giorgio, Sarah Doucette, John Filion, Michael Ford, Mark Grimes, Michelle Holland, Stephen Holyday, Norman Kelly, Mike Layton, Chin Lee, Giorgio Mammoliti, Josh Matlow, Pam McConnell, Mary-Margaret McMahon, Denzil Minnan-Wong, Frances Nunziata (Chair), Cesar Palacio, James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, David Shiner, Michael Thompson, John Tory
Total members that voted No: 2 Members that voted No are Paul Ainslie, Jim Karygiannis
Total members that were Absent: 6 Members that were absent are Shelley Carroll, Paula Fletcher, Mary Fragedakis, Joe Mihevc, Ron Moeser, Kristyn Wong-Tam

EX16.43 - Muzik Clubs Lease Terms and Conditions

Decision Type:
ACTION
Status:
Deferred
Wards:
14 - Parkdale-High Park, 19 - Trinity-Spadina

City Council Decision

City Council on July 12, 13, 14 and 15, 2016, deferred consideration of Item EX16.43 until the October 5 and 6, 2016 City Council meeting.

Confidential Attachment - The receiving of advice that is subject to solicitor-client privilege

Background Information (Committee)

(June 14, 2016) Report and Appendices A to E from the Chief Executive Officer, Exhibition Place on Muzik Clubs Lease Terms and Conditions
https://www.toronto.ca/legdocs/mmis/2016/ex/bgrd/backgroundfile-94352.pdf
Confidential Attachment 1 - City Solicitor Report dated March 14, 2016 re Muzik Clubs Lease

Communications (Committee)

(June 21, 2016) E-mail from Gabrielle Gaedecke (EX.Supp.EX16.43.1)
(June 27, 2016) E-mail from Michael Smart (EX.Supp.EX16.43.2)
(June 28, 2016) E-mail from Mary Flynn-Guglietti, McMillan LLP (EX.New.EX16.43.3)
https://www.toronto.ca/legdocs/mmis/2016/ex/comm/communicationfile-61778.pdf
(June 28, 2016) E-mail from Jeff Duns (EX.New.EX16.43.4)
(June 27, 2016) Letter from Councillor Mike Layton (EX.Supp.EX16.43.5)
https://www.toronto.ca/legdocs/mmis/2016/ex/comm/communicationfile-61842.pdf

Communications (City Council)

(July 7, 2016) E-mail from Michael I. Binetti, Afflect Greene McMurtry LLP (CC.Supp.EX16.43.6)
(July 10, 2016) Letter from Lorna Tomassoni (CC.Supp.EX16.43.7)
(July 11, 2016) Letter from Kathy Sutton (CC.New.EX16.43.8)

Motions (City Council)

1a - Motion to Amend Item moved by Councillor Mike Layton (Withdrawn)

That City Council amend Executive Committee Recommendation 1 by deleting the words "the removal of" and inserting the words "the Board, at its sole discretion and any time during the Term of the Lease, to remove" and "provided the Board works with Muzik Clubs on the specific timing of the removal to minimize disruption to the Muzik Club's operations and the Board restores the Leased Premises to the same standard as the existing patio area of the Leased Premises" so that it now reads as follows:

 

1. City Council approve the following amendments to the Muzik Clubs Lease and any other terms that may be required by the Chief Executive Officer and City Solicitor, on the condition that Muzik Clubs also agrees to amend the Muzik Clubs Lease to allow the Board, at its sole discretion and any time during the Term of the Lease, to remove the Garden of the Greek Gods (referred to in the Lease as the "Existing Statuary") from the Leased Premises at the Board's expense, provided the Board works with Muzik Clubs on the specific timing of the removal to minimize disruption to the Muzik Club's operations and the Board restores the Leased Premises to the same standard as the existing patio area of the Leased Premises:

 

a. amend sections 5.1 and 5.2 of the Muzik Clubs Lease to allow Muzik Clubs to host banquets provided that if Muzik Clubs, in any one year, contracts to hold more than thirty (30) banquets, Muzik Clubs will provide notice to the Liberty Grand Entertainment Group ("Liberty"), and Liberty will have the right to cater such banquets, in accordance with Liberty’s price listing so that the amended sections of the Muzik Clubs Lease will be substantiality as provided in Appendix "A" of the report (June 14, 2016) from the Chief Executive Officer, Exhibition Place.


Motion to Withdraw a Motion moved by Councillor Mike Layton (Carried)

That Councillor Mike Layton be permitted to withdraw his motion 1a.


1b - Motion to Defer Item moved by Councillor Mike Layton (Carried)

That consideration of the item be deferred until the October 5 and 6, 2016 City Council meeting.

Vote (Defer Item) Jul-14-2016 6:41 PM

Result: Carried Majority Required - EX16.43 - Layton - motion 1b - Defer the item
Total members that voted Yes: 30 Members that voted Yes are Paul Ainslie, Maria Augimeri, Jon Burnside, John Campbell, Christin Carmichael Greb, Raymond Cho, Gary Crawford, Joe Cressy, Vincent Crisanti, Glenn De Baeremaeker, Frank Di Giorgio, Sarah Doucette, John Filion, Paula Fletcher, Mary Fragedakis, Mark Grimes, Michelle Holland, Stephen Holyday, Norman Kelly, Chin Lee, Giorgio Mammoliti, Josh Matlow, Mary-Margaret McMahon, Joe Mihevc, Denzil Minnan-Wong, Frances Nunziata (Chair), Anthony Perruzza, Jaye Robinson, David Shiner, Kristyn Wong-Tam
Total members that voted No: 3 Members that voted No are Janet Davis, Mike Layton, Gord Perks
Total members that were Absent: 11 Members that were absent are Ana Bailão, Shelley Carroll, Josh Colle, Justin J. Di Ciano, Jim Karygiannis, Pam McConnell, Ron Moeser, Cesar Palacio, James Pasternak, Michael Thompson, John Tory

EX16.43 - Muzik Clubs Lease Terms and Conditions

Decision Type:
ACTION
Status:
Amended
Wards:
14 - Parkdale-High Park, 19 - Trinity-Spadina

Confidential Attachment - The receiving of advice that is subject to solicitor-client privilege

Committee Recommendations

The Executive Committee recommends that:

 

1.  City Council approve the following amendments to the Muzik Clubs Lease and any other terms that may be required by the Chief Executive Officer and City Solicitor, on the condition that Muzik Clubs also agrees to amend the Muzik Clubs Lease to allow the removal of the Garden of the Greek Gods (referred to in the Lease as the "Existing Statuary") from the Leased Premises at the Board's expense:

 

a.  amend sections 5.1 and 5.2 of the Muzik Clubs Lease to allow Muzik Clubs to host banquets provided that if Muzik Clubs, in any one year, contracts to hold more than thirty (30) banquets, Muzik Clubs will provide notice to the Liberty Grand Entertainment Group ("Liberty"), and Liberty will have the right to cater such banquets, in accordance with Liberty’s price listing so that the amended sections of the Muzik Clubs Lease will be substantiality as provided in Appendix "A" of the report (June 14, 2016) from the Chief Executive Officer, Exhibition Place.

 

2.  City Council authorize the Board of Governors to:

 

a.  confirm in writing to Muzik Clubs Inc. that, in respect of trade and consumer shows, although the prohibition in the Muzik Clubs Lease will remain, the current practice of the Landlord allowing Muzik Clubs to host occasional trade and consumer shows with the prior consent of the Landlord in appropriate circumstances and in the Landlord's sole discretion will continue, provided that as a condition for this ongoing cooperation, Muzik Clubs Inc. must refrain from marketing itself as a venue for trade and consumer shows, or any other uses not permitted by the terms of the Muzik Clubs Lease; and

 

b.  establish a procedure whereby any consent will be submitted to the Business Development Committee and then to the Board of Governors for approval, provided however that in the case of urgent matters, the Chief Executive Officer of Exhibition Place will have the authority to give or withhold consent.

 

3.  City Council direct that Confidential Attachment 1 of the report (June 14, 2016) from the Chief Executive Officer, Exhibition Place remain confidential as it contains advice and information that is subject to solicitor-client privilege.

Origin

(June 14, 2016) Report from the Chief Executive Officer, Exhibition Place

Summary

This report provides information in relation to the lease agreement between the Board of Governors of Exhibition Place and Hypnotic Clubs Inc. (successor to Muzik Clubs Inc.) (the "Muzik Clubs Lease") and other leases for the grounds. Specifically, it recommends amendments to the "Use" provisions in the Muzik Clubs Lease.  Leases with terms that are longer than four (4) years are approved by both the Board of Governors and City Council and the Muzik Clubs Lease which is 20 years falls into this category.  Revisions to the "Use" clauses in the Muzik Clubs Lease would be considered an amendment to a substantive term that would have been part of the terms in the Letter of Intent for the Muzik Clubs Lease approved by City Council.

Background Information

(June 14, 2016) Report and Appendices A to E from the Chief Executive Officer, Exhibition Place on Muzik Clubs Lease Terms and Conditions
https://www.toronto.ca/legdocs/mmis/2016/ex/bgrd/backgroundfile-94352.pdf
Confidential Attachment 1 - City Solicitor Report dated March 14, 2016 re Muzik Clubs Lease

Communications

(June 21, 2016) E-mail from Gabrielle Gaedecke (EX.Supp.EX16.43.1)
(June 27, 2016) E-mail from Michael Smart (EX.Supp.EX16.43.2)
(June 28, 2016) E-mail from Mary Flynn-Guglietti, McMillan LLP (EX.New.EX16.43.3)
https://www.toronto.ca/legdocs/mmis/2016/ex/comm/communicationfile-61778.pdf
(June 28, 2016) E-mail from Jeff Duns (EX.New.EX16.43.4)
(June 27, 2016) Letter from Councillor Mike Layton (EX.Supp.EX16.43.5)
https://www.toronto.ca/legdocs/mmis/2016/ex/comm/communicationfile-61842.pdf

Speakers

Mary L. Flynn-Guglietti, McMillan LLP
Councillor Mike Layton

Motions

1 - Motion to Amend Item moved by Councillor Mary-Margaret McMahon (Carried)

That Recommendation 1 be amended by adding: "on the condition that Muzik Clubs also agrees to amend the Muzik Clubs Lease to allow the removal of the Garden of the Greek Gods (referred to in the Lease as the “Existing Statuary”) from the Leased Premises at the Board’s expense:" so it reads:

 

1.  City Council approve the following amendments to the Muzik Clubs Lease and any other terms that may be required by the Chief Executive Officer and City Solicitor on the condition that Muzik Clubs also agrees to amend the Muzik Clubs Lease to allow the removal of the Garden of the Greek Gods (referred to in the Lease as the 'Existing Statuary') from the Leased Premises at the Board's expense:

 

a.  amend sections 5.1 and 5.2 of the Muzik Clubs Lease to allow Muzik Clubs to host banquets provided that if Muzik Clubs, in any one year, contracts to hold more than thirty (30) banquets, Muzik Clubs will provide notice to the Liberty Grand Entertainment Group ('Liberty'), and Liberty will have the right to cater such banquets, in accordance with Liberty’s price listing so that the amended sections of the Muzik Clubs Lease will be substantially as provided in Appendix 'A'.


2 - Motion to Adopt Item moved by Councillor Denzil Minnan-Wong (Carried)

Vote (Adopt Item) Jun-28-2016

Result: Carried Majority Required
Total members that voted Yes: 7 Members that voted Yes are Ana Bailão, Gary Crawford, Michelle Holland, Mary-Margaret McMahon, Denzil Minnan-Wong, Jaye Robinson, Michael Thompson
Total members that voted No: 4 Members that voted No are Paul Ainslie, Frank Di Giorgio, James Pasternak, John Tory (Chair)
Total members that were Absent: 2 Members that were absent are Cesar Palacio, David Shiner

3 - Motion to Amend Item moved by Councillor Paul Ainslie (Redundant)

That City Council receive the item for information.


4 - Motion to Amend Motion moved by Mayor John Tory (Withdrawn)

That Councillor McMahon's motion be amended by adding after "expense"

 

"including reasonable expenses to be incurred in connection with the restoration of that section of the leased premises where the existing statuary is presently located, such expenses to be approved by the Board of Governors in advance" so that the motion now reads:

 

1. City Council approve the following amendments to the Muzik Clubs Lease and any other terms that may be required by the Chief Executive Officer and City Solicitor on the condition that Muzik Clubs also agrees to amend the Muzik Clubs Lease to allow the removal of the Garden of the Greek Gods (referred to in the Lease as the 'Existing Statuary') from the Leased Premises at the Board's expense, including reasonable expenses to be incurred in connection with the restoration of that section of the leased premises where the existing statuary is presently located, such expenses to be approved by the Board of Governors in advance:

 

a. amend sections 5.1 and 5.2 of the Muzik Clubs Lease to allow Muzik Clubs to host banquets provided that if Muzik Clubs, in any one year, contracts to hold more than thirty (30) banquets, Muzik Clubs will provide notice to the Liberty Grand Entertainment Group ('Liberty'), and Liberty will have the right to cater such banquets, in accordance with Liberty’s price listing so that the amended sections of the Muzik Clubs Lease will be substantially as provided in Appendix 'A'.


5 - Motion to Withdraw a Motion moved by Mayor John Tory (Carried)

That Motion 4 by Mayor Tory be withdrawn.


6 - Motion to forward item Without Recommendations moved by Councillor James Pasternak (Redundant)

That:

 

1.  the item be forwarded to City Council without recomendation; and

 

2.  the Chief Executive Officer, Exhibition Place report directly to Council on the cost of removal and relocation of the statuary, and the ongoing cost of maintenance of the statuary once relocated.

Source: Toronto City Clerk at www.toronto.ca/council