Davies Howe//S. ,(',j:, n f j] ' $ "; ; Fax: File NO
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1 Davies Howe//S as LANDEVELOPMENTADVOCACVSI LITIGATION Melling n f j] ' $ "; ; Fax: File NO January 8,2018 Ms. Melissa Markham, Planner Township of Lake of Bays Planning Department 1012 Dwight Beach Road, Rural Road #1 Dwight, ON POA 1H0 Dear Ms. Markham: Re: Overview of Ownership Structure in Support of Water Access and Mainland Parking for Langmaid s Island Langmaid s Island Corp. We are counsel to Langmaid s Island Corp. (the Applicant ),the owner of Langmaid s island (the sland"), which is located in the Township of Lake of Bays (the Township ) near the westerly limit of the Lake of Bays, adjacent to the Town of Huntsville (the Town") to the north. In addition to the Island, two mainland parcels of land have been acquired by the Applicant. These are known municipally as 3933 and 4215 South Portage Road (individually, the 3933 Landing" and 4215 Landing"; collectively, the Landings ). The Landings are located in the Town. Separate applications are being submitted to the Town in support of the intended use of the Landings as water access and parking facilities. Purpose of this Letter This letter provides an overview of the proposed legal relationship between the Island and the Landings. its purpose is to provide public authorities and interested persons with a summary description of how the project, as a whole, willwork. The letter has been prepared with the assistance of Mr. Robert A. Miller of Chaitons LLP, the lawyer who assisted in the conception and implementation of the land ownership structure for the re-development of Bigwin Island, also located in the Township. The structure proposed for the Island is modeled on that of Bigwin, with necessary adjustments to account for site and project-specific circumstances.
2 Davies Howe//S P3992 [AND DEVELOPMENTADVOEACV &l T GA'l10N The Proposal The Applicant proposes to create 36 waterfront lots for sing e detached seasonal residential uses, and is submitting the following applications to the Township (collectively, the App ications"): 1. Official Plan Amendment; 2. Development Permit By-law Amendment; and 3. Draft Plan of Subdivision. The Landings have been acquired for the purpose of providing water access and vehicular parking for use by the residents of the proposed lots and their guests. It should be noted that the 3933 Landing has historically been used to gain access to the Island, while the 4215 Landing was recently secured for the same purpose. It has been operating in the Town as the Beauview Cottage Resort. Ownership Structure Purchases of the Proposed Lots The 36 new lots on the Island will all initially be held in freehold ownership by the Applicant, and will be operated by a not for pro?t corporation without share capital (the sland Corporation"). As each individual lot on the Island is sold to an end user, the Applicant willown fewer and fewer lots, until it owns none. Pursuant to each agreement of purchase and sale, each end-user will be contractually obliged to become a member of an incorporated, not for-profitresidents association (the Association"), which will be controlled by the Island Corporation. Each lot owner willbe required to be a member in good standing of the Association by, among other things, paying Association fees and dues, The Landings Ownership of the Landings will remain with the Applicant, and will be operated by a notfor profitcorporation without share capital (the Landings Corporation ). The by-laws of the Landings Corporation will set out its powers and functions. One function of the Landings Corporation, amongst others, will be to continue the resort use that currently exists on the 4215 Landing,
3 Davies Howe/S Page 3 LANDDEVELOPMENT ADVOCACV& LITIGATION The by awsof the Association will require it, the Landings Corporation and/or the Island Corporation to enter into a Shared Facilities Agreement (the SF Agreement ). This will be discussed further below. For the 3933 Landing, duties will include the granting of long-term easements over the parking spots, individual docks and water access, to the extent permitted by the applicable approval authority. For the 4215 Landing, duties will include the granting of long-term easements over the parking area, boat shuttle dock and temporary access clocks, to the extent permitted by the applicable approval authority. These easements will be granted to all Island lot owners, or individual island lot owners, as necessary to ensure that all lot owners have a legal right of access, in perpetuity, from the mainland to the Island. Vehicular parking will likely be provided by way of long-term lease arrangements. A gross easement will be applied to the driveways and driving aisles that service the Landings to ensure all Island lot owners will be able to use the water-access facilities located on the Landings, in perpetuity. Relationship: The Association, Island Corporation and Landings Corporation The Shared Facilities Agreement As noted above, the by aws for the Association, the island Corporation and/or the Landings Corporation (the Parties ) will require that, among other matters, the Parties enter into an SF Agreement, which will be a binding contract. The Applicant (as the developer) will also be a Party, as willa shared facilities manager (the Manager") in the event a third party Manager is appointed by the Association for that purpose (see below). The SF Agreement willaddress the following matters, among others: - management, maintenance and repair of the relevant components of the Landings, e.g. parking areas, docks, driveways (the Shared Facilities ); - description of the Shared Facilities; - how the costs of the Shared Facilities will be apportioned; - the creation of easements; 1 The Landings Corporation may be the same entity as the island Corporation. Davies Howe LLP The Tenth Floor Adelaide 0 Street West - Toronto - Ontario - M5V 3C1
4 Davies Howe/$ Page4 LANDEVEl0PMENTADVOCllCV& LITIGATION 0 insurance requirements; 0 what happens in the event of default by any of the Parties; 0 the creation of a liaison committee among the Parties; and o provision for arbitration of disputes. The Association s Responsibilities The Association willbe responsible for retaining the Manager. The Island Corporation or Landings Corporation may be appointed as the Manager, or it may be a third party. Pursuant to the SF Agreement, the role of the Manager will be to ensure that the Shared Facilities are properly operated and maintained, including without limitation, the 4215 Landing boat shuttle. In addition to appointing the Manager, the Association's responsibilities will include, among other matters: - collecting and accounting for costs of the Shared Facilities among the Parties; - preparing of annual budgets; - arranging for insurance; - convening meetings of the Association; and - applying and enforcing the SF Agreement. Conclusion The Applicant and its consulting team, including Mr. Miller, have collectively turned their minds at this early stage to the matter of how the Landings located in the Town will serve the proposed Island development in the Township. It is our hope that the use of a familiar structure, modeled after the Bigwin Island development, will provide the Township, other public authorities and interested persons with an appropriate level of comfort on this question Davies Howe LLP - The Tenth Floor ~ 425 Adelaide Street West 0 Toronto - Ontario - M5V 3C1
5 Davies Howe/ $ pages LANDEVELOPMENT ADVOCACV &LITIGATION We trust that this is of assistance, but of course welcome inquiries and comments. PY3 Mr. Robert A. Miller, Chaitons LLP Mr, Jim Dyment and Ms. Debra Kakaria, MHBC Ms. Margaret Walton and Mr. Stefan Szczerbak, Mr. Gord Neilsen, Michalski Nielsen Client Planscape
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