Midtown:

It’s Becoming More Complicated

 

Summer has officially arrived, schools are closing, and Oakville families are preparing for their summer vacations.  Unfortunately, the Midtown drama is not taking a summer vacation and effect it is becoming more intense, riskier and complex.

 

This newsletter summarizes the current situation with respect to the development of Midtown and identifies the key areas of concern that all residents need to understand, and be engaged in.

 

Distrikt: Keeps the Pressure On

 

The developer Distrikt, continues to be the major player in Midtown and is of concern as demonstrated by their application in March to build two more skyscrapers, measuring 45 and 61 stories in height. Distrikt has now filed applications to build 11 skyscrapers in Midtown which are depicted in the following chart.

The unit profile in the above chart has been prepared, using information provided by Distrikt in their various development applications, which can be accessed here.

 

Distrikt is proposing that their 11 skyscraper towers contain 6,302 units. Estimating the possible number of people that could be living in these towers requires making assumptions about the number of people that could be living in each unit.  The following chart shows the various population estimates based on a range of people per unit assumptions that are currently being used in population forecasting. As you can see Distrikt is hoping to add somewhere between 11,000 and 19,000 people on 3.9 hectares in middle of a suburban community. The levels of density Distrikt wants create on these 3.9 hectares are extreme, as will be the levels of crowding and congestion they will create.

 


The commercial risks are real

 

The concentration risk continues to grow as Distrikt files more applications. The challenge of managing a development project of this size and complexity raises an important question – can Distrikt convert these proposed skyscrapers and unit configurations into sales and a commercial success, or could Oakville have it’s own construction collapse similar to “The One” mess in Toronto.

 

According to a recent article in The Toronto star” as of May, the GTA had the highest number of condos for sale since October 2020, with 8,183 apartment units on the market. Meanwhile, investors have been wary of buying pre-construction, with sales dropping 74% this year compared with the 10 year average according to commercial consultant Altus.  The commercial real estate market is not much better. According to an article in The Globe and Mail “Toronto is one of the few Canadian cities where office vacancies are still on the rise. The percentage of space available to lease in the financial district was 17 per cent as of late April”.

 

And while interest rates have started to come down, they are likely to remain high in the immediate future, thereby suppressing demand and increasing costs for developers.

 

Distrikt’s development applications do not look like a formula for creating a livable and complete community and they raise questions as to whether these applications could even be a commercial success.

 

But Distrikt keeps filing development applications and appeals to the Ontario Land Tribunal – which presents significant risks for Oakville and its residents and for any future residents of Midtown who are desperate enough to want to live in such an overcrowded development .

 

Current Status Of The OPA For Midtown

 

The Town has been working for over a year on developing a new Official Plan Amendment (OPA) that would set key planning parameters (eg height and density) and guide the development of Midtown – which is desperately needed.  During this time, Town staff and their consulting advisors continued to propose high-rise, high density concepts for Midtown, which citizens and Residents Associations including CMGRA have constantly opposed as leading to excessive population growth in too small an area. The Residents Associations urged Council to seriously explore low to mid rise alternative concepts that would meet provincial requirements, supply much need additional housing and create a truly livable community.

 

On April 22, 2024 a public statutory meeting was held at which Town staff and their consulting advisors presented a new Draft Midtown Oakville OPA, which Council did not support. Instead Council introduced and approved a petition for a Special Council Meeting to be held on June 3 and directed staff to prepare a report for that meeting containing certain information, that included:

 

  • A revised concept for Midtown Oakville, based on a maximum population of 35,000 people and jobs.

 

  • A Land Use schedule with a FSI (floor space index) for each precinct as well as maximum building heights in each precinct.

 

  • Details on how to incorporate a mix of building heights, unit sizes, affordable housing, sustainable construction, and green development standards into Midtown Oakville.

 

  • A transportation/mobility report, including potential phasing of transportation infrastructure.

 

  • A financial report estimating the infrastructure costs and the estimated contributions from various stakeholders.

 

On June 3, 2024 Council received a staff report containing what staff believed was the information requested in Council’s petition on April 22, 2024. After hearing from several public delegations, including CMGRA, Council directed staff to further consider the comments provided by Members of Council and the public, and prepare another report on the requested information and concept for Midtown.

 

In other words, Council is still struggling to get council members, the Town’s planning staff and residents aligned and on the same page.

 

Distrikt’s View Of The Relevance Of An OPA

 

Distrikt’s view of the relevance of an OPA for midtown is clearly stated in their development application for 157 and 165 Cross Avenue, Z.1614.83, OPA 1614.83 and 24T-24002/1614.

 

“It is our opinion that an Official Plan Amendment is

not required to permit the proposed development and

in particular, the proposed heights and density. With respect to the proposed tower heights, it is noted that the in-force Official Plan policies specifically provides that for the purposes of bonusing in Midtown Oakville, there is no prescribed building height limit, and no Official Plan amendment shall be required to increase building height as a result of bonusing.”

 

Distrikt’s views and actions clearly demonstrate the urgent need for a robust and compelling OPA for Midtown.  The current OPA is outdated and will not pride required direction to ensure that Midtown is somewhere that people will want to live and forms a new and important part of Livable Oakville. We have to get this revised OPA done soon and done right.

 

The situation becomes even more complicated

 

To further complicate matters on planning for Midtown and the area around the Oakville GO train station  it was announced at the June 3 meeting by the Town’s Chief Administrative Officer CAO that the town had received a letter from the Ministry of Infrastructure formally notifying the Town of Oakville and the Region of Halton that a potential Transit-Oriented Communities Program (TOC) is under exploration within the municipality and that the Ministry wants to establish key principles for governance and next steps for engagement between the Province, the town and the region. Council directed staff to engage in discussion with Infrastructure Ontario regarding the TOC Program and report back to Council with more information.

 

This action by the Ministry of Infrastructure, could pose a serious disruption and possibly replace or undermine the efforts of the Town to develop a new OPA that is acceptable to us as residents and taxpayers .  The language of the letter suggests this is a top down, Ministry led initiative to develop either all of Midtown or a portion of it.  Recent events suggest that this initiative will further reduce the role of the Municipality and residents in controlling or influencing how their communities create the much needed housing for a growing population.

 

A working group will be established shortly with stakeholder engagement to commence in August.  Our Ward 3 councilors have put on the record that Council wants clarity on how Council will be updated on the working group’s efforts and most importantly, that their expectation is that the Town vigorously advocate on behalf of the public in how TOC and Midtown go forward.

 

Conclusion

 

The development of Midtown is becoming more involved and there are many unanswered questions and important issues that need to be addressed urgently– all during summer vacation time.

 

The residents’ associations are working closely together in responding to these developments. We will keep you posted on progress and issues as they arise. However, we will need your input and support. The development of Midtown with the increasing direct involvement of the Province is becoming more complex, more volatile, and more difficult to navigate while the risks are escalating.