Work is underway on a Town of Markham Intensification Analysis

Since the Spring of 2007, Staff has been analyzing potential intensification opportunities within the Town’s Current Settlement Area guided by senior government growth management and transportation policy directions, the Town’s Official Plan and Council’s comment and direction. In November of 2007, Council included the analysis as part of the Growth Management Strategy to be prepared for Markham.

The intensification analysis is proceeding in the following 5 phases:

Phase 1 – Background Research and Orientation to Height and Density Options

Phase 2 – Techniques and Classification of Intensification Opportunities

Phase 3 - Identification and Modeling of Intensification Potential

Phase 4 – Input to Growth Options

Phase 5 – Finalizing the Intensification Strategy and Implementation Framework

Phase 1 – Background Research and Orientation to Height and Density Options

This phase set out the Provincial and Regional context for intensification as well as the structural elements that currently guide development within Markham. In particular, the initial work addressed the Avenue Seven, Yonge Street and Warden Avenue Regional Transit Corridors and the Regional Centres of Markham Centre and Langstaff Gateway which are to be the focus of higher density, mixed use, urban development in Markham.

In September 2007, Staff provided the Development Services Committee with an overview of background research completed on applying height and density in potential intensification areas within the Town’s Current Settlement Area. At the same time, Staff provided an outline of height and density options to assist the Committee in understanding the potential impact of increased height and density while focusing on the quality of design, function and livability of a more compact urban form. Particular attention was given to increasing lot coverage, especially in support of mid-rise buildings, while still achieving significant density, and on limiting floor plate size for taller buildings to support “point tower” forms.

To be successful and meet community expectations, increases in building height and density must be paired with good urban design. With this in mind, the following considerations for increases in development height and density were identified:

· Height and density are related but distinct, based on factors affecting:

- site organization and building placement, site and building design

- lot coverage (footprint)

- gross floor area (footprint x the number of storeys)

- on-site open space

- parking requirements and location (surface vs. structured vs. underground)

· Increasing lot coverage can reduce building height and still achieve density

· Built Form Principles:

- massing of “slab” building compared with “point tower” form

- limiting heights of slab buildings to mid-rise and reducing floor plate size of tall buildings to achieve point tower forms

- separation distance between buildings

- height of tower components (base/middle/top)

- relationship between building height and street (human scale, views, solar access, good relationship of building to street at 1:1 ratio and canyon effect of slabs at street level above 1:1 ratio) – pedestrian friendly

- transit supportive

- podium forms compared to sheer wall forms or with the use of terracing

- transition of height (gradation of density, replicating built form)

In June, 2007, Staff also provided the Committee with a Density Study, highlighting examples of height and density of residential, office, mixed-use, live-work within Markham and across the GTA. This was followed by a November 2007 tour of GTA intensification areas in North York Centre, North Toronto, East Downtown Toronto/the Distillery, Mississauga City Centre, Port Credit, Etobicoke Centre and Scarborough Centre. These current baseline studies of intensification projects over the last ten years, in Markham and GTA wide, assisted in comparing our preliminary intensification assumptions to existing trends. Council found this type of analysis especially helpful for understanding how different densities could be achieved using different height and coverage scenarios and a variety of built form solutions in Markham.

Recognizing the importance of good urban design for new intensification areas in Markham, particularly where they are adjacent to established low density residential neighbourhoods, Council subsequently authorized funding for a complementary Built Form, Height and Massing Study component of the Intensification Analysis. Among other things, this study (which is underway) will address the development of principles, guidelines and performance standards for the mid rise and high rise buildings that will accommodate the intensification in terms of their location, placement and separation, orientation, lot coverage and building floor plate area, and measures to address the impact on the public realm and adjacent residential neighbourhoods. Most of the Town’s existing residential neighbourhoods have been established at lower densities and residents want reassurance that new development directed to adjacent intensification areas will be appropriate in scale and context.

As part of the intensification analysis, the consultant retained to complete a Built Form, Massing and Height study will also “test” select locations identified for potential intensification. Among other things, this study will focus on pedestrian-friendly, transit oriented development and demonstrate how policies relating to transition and urban design can be introduced in the Town’s secondary plan or more localized studies to ensure that new development adjacent to existing neighbourhoods respects the character and scale of the neighbourhood. Intensification projects also often demand a flexible, site-specific response to implement principles of good building and site design and planning of streets. Therefore, the study will highlight any potential conflict with Region and Town standards, practices and by-laws that may need to be addressed.

The Built Form, Massing and Height Study complements work already underway on Secondary Plans, urban design guidelines, and open space/public realm master plans across the Town at various locations such as Markham Centre, Langstaff Gateway, Cornell Centre, the Yonge/Steeles Corridor and the Highway 7 Precinct Plan between Warden Avenue and the CNR(Uxbridge Subdivision) rail corridor.

Increasing population density in intensification areas must be coupled with public infrastructure that can accommodate the increased activities of additional residents and ensure sufficient amenity space is provided. A further study has been initiated to determine appropriate applications of the provisions of Section 37 of the Planning Act (bonusing for height and density) to secure a range of public benefits in return for increased height and/or density.

Phase 2 – Techniques and Classification of Intensification Opportunities

In April 2008, Staff provided Development Services Committee with a presentation of assumptions and methods applied when considering intensification opportunities. These included several provisos relating to the consideration of intensification:

· Consideration of locations for intensification does not mean that intensification will be approved, or that an entire location may be suitable for intensification;

· The potential to accommodate intensification at a given location does not mean that its realization is a priority for the Town, or that it will be acted on in the market place;

· If the overall potential to intensify exceeds the need or the demand, priorities will need to be established to direct intensification to preferred locations;

· Intensification at locations that have reduced impacts on infrastructure or which justify infrastructure investment are likely to be preferred;

· Intensification needs to be appropriate to the context in which it occurs; the built form of development – its height and density, the change and mix of uses involved, the relationship to surrounding community design and function, etc.; and,

· Intensification must positively impact the Town’s economy and not result in losses in essential economic activity and a reduced range of jobs.

The intensification analysis is focused on the Current Settlement Area and takes into account areas where intensification is unlikely to occur, or to be proposed by the Town, as well as locations where intensification may be proposed by policy or preference to meet Town planning objectives.

A key aspect of identifying intensification potential is the relationship to higher order rapid transit facilities. In this regard, the analysis takes account of the Region of York Intensification Matrix Framework which organizes intensification potential relative to specific policies in the Provincial Growth Plan and the Regional Official Plan. Elements of the Regional Hierarchy are included in the organization of intensification areas in the analysis. In addition to this hierarchy, the Town’s analysis considers:

· locations currently approved for intensification,

· locations that are being studied for intensification,

· greenfield lands that might accommodate intensification,

· development proposals incorporating intensification, and,

· business parks (employment intensification only) and strategic retail sites.

Concurrently, the analysis is confirming locations considered to have “No Potential” for intensification, including established residential areas and components of the Greenway System where intensification is not needed or required.

Using District specific area mapping, Staff completed a preliminary analysis of intensification areas highlighting Urban Growth Centres/Regional Centres, potential Key Development Areas along Avenue Seven, Yonge Street and the Warden Avenue Regional Transit Corridors, and other potential intensification areas in Local Centres and Corridors along Bayview Ave, Steeles Ave , Kennedy Rd, Markham Rd and other Major Corridors and at GO, Viva and subway stations.

This provided a preliminary Town-wide screening assessment of parcel size, coverage and Floor Space Index for existing urban residential, commercial and industrial lands within the urban area with potential intensification areas mapping superimposed on it.

Input was also obtained from Town planning Staff and Councillors on:

· appropriateness of identified intensification area;

· type of development best suited for the area;

· level of intensification, ie. tolerance of increased height and density;

· investigation of both residential and employment intensification opportunities;

· current development proposals; and

· possible timeframes for phasing in of intensification over time.

Phase 3 - Identification and Modeling of Intensification Potential

Potential Benefits of Intensification

Intensification, or increasing the density of development within the Town’s current settlement area can occur in a number of ways:

· through redevelopment of under-utilized lands;

· infill of vacant lands or spaces between existing buildings;

· expansion or conversion of existing buildings; and

· development or redevelopment of large land areas within the Town’s current settlement area (eg. the Markham Centre and Langstaff Gateway lands).

Intensification has a number of potential benefits. More compact and intense development within the Town’s Current Settlement Area may:

· provide for higher density, mixed use and transit supportive development which improves land use efficiency and creates more sustainable communities;

· reduce reliance on the automobile by providing transit supportive densities which make it more feasible to provide efficient public transit;

· result in more efficient use of existing infrastructure and reduce expenditures on servicing of new infrastructure in undeveloped areas of the Town;

· provide for a variety of housing forms to help meet the needs of a growing and diversifying population and offer more affordable housing choices; and

· slow the rate at which land outside of the current settlement area is developed for residential use.

Analysis of Intensification Potential

Part of the work toward developing an intensification strategy for Markham includes an analysis to estimate and identify intensification potential for future residential and employment development. Council has authorized work on an intensification analysis that takes into account:

· community priorities outlined for the Town’s Growth Management Strategy;

· senior government initiatives for growth management and transit infrastructure;

· demographic trends such as an aging population and an increased diversity of households;

· economic trends and land prices that impact market choices; and

· typical constraints to intensification including community acceptance, urban design issues and infrastructure service issues.

Markham’s Intensification Principles

Staff recommend that the following principles be endorsed by the Development Services Committee and be used to finalize a Town of Markham Intensification Strategy:

1. Redefine the Town’s urban structure to manage intensification within the current settlement area without significantly impacting the Town’s existing structure of residential neighbourhoods and business parks.

2. Intensify and improve the mix of development and direct it to designated centres and corridors which are well served and connected by rapid transit to improve land use efficiency and create more sustainable communities.

3. Intensification should coincide with the delivery of high order public transit as a reliable, sustainable travel alternative and result in the creation of mixed use, pedestrian friendly, liveable communities that are transit supportive and incorporate sustainable development practices.

4. Established residential areas and designated employment areas should be protected from residential intensification; preserve identified natural features from all intensification.

5. Focus intensification in areas that have a reduced impact on Town infrastructure, or which justify investment in new and sustainable infrastructure.

6. Intensify development within the Town’s Current Settlement Area and limit land for intensified uses outside of the Town’s Current Settlement Area.

7. Retain employment serving Town residents and businesses in new development and create live-work opportunities through mixed use development.

8. Intensification will need to be prioritized, directed and phased to preferred Intensification Areas.

9. Improve connectivity by providing a street network/public realm that is more conducive to transit, cycling and pedestrian use, to reduce reliance on the automobile as a preferred mode of transportation.

10. Intensification needs to be appropriate to the area context in which it occurs, the built form of development, its height and density, the appropriate mix of uses involved, and the relationship to the surrounding community form and function.

Markham’s Intensification Hierarchy

An Intensification Hierarchy will provide a framework to guide development of a Town of Markham Intensification Strategy. Staff recommends that the Intensification Hierarchy outlined below be endorsed by Development Services Committee.

The intensification analysis takes into account the intensification hierarchy and strategy guide developed by the Region of York, in consultation with local municipalities. This is a policy regime that encourages allotting density in a hierarchical manner with Regional Centres having the highest intensity of development, followed by Regional Corridors, GO stations, Local Centres and Corridors and Local Infill.

In addition to this approach the Town’s analysis considers current Town policy areas and the potential for residential intensification in study locations and current development proposals. The intensification analysis does not consider intensification in established residential areas, identified natural features or residential intensification in designated office and industrial lands.

Where Residential Intensification can be Accommodated in Current Settlement Area

Figure 1, Markham’s Intensification Hierarchy – Intensification Area and Rapid Transit Improvements, depicts the overall context for both residential and employment intensification opportunities within the Town’s current settlement area. It identifies the Current Urban Settlement boundary in purple and a hierarchy of intensification opportunities categorized as Regional Centres which are also provincially designated Urban Growth Centres in pink, Key Development Areas along Regional Transit Corridors in blue, locations on Major Corridors in green, and Local Centres and Corridors in orange and Local Infill in beige. All of these intensification areas are set within the context of the Metrolinx Regional Transportation Infrastructure Plan.

Figure 2, Markham’s Intensification Hierarchy – Residential Intensification Areas, identifies a potential distribution for residential intensification. This distribution will be finalized once the overall proportion of appropriate residential growth to 2031, to be achieved via intensification, has been endorsed by Council. The overall proportion has been the subject of several presentations and reports to Development Services Committee.

Staff has recommended that the proportion should be in the order of 55% of the Town’s residential unit potential built during the period between 2015 and 2031 (in accordance with the Provincial Growth Plan intensification requirement). This proportion would exceed the proportion of 52% proposed for Markham by the Region of York, in order to meet the Region’s minimum 40% intensification requirement, set by the Provincial Growth Plan, and is consistent with the Council’s focus on containing growth within the current settlement area.

Current estimates suggest that a proportion of 55%, applied to a forecast of Town unit development in the period between 2015 and 2031 could represent approximately 23000 to 25000 units. If the potential prior to 2015 is included, the overall intensification potential could be in the order of 30000 units over the entire forecast period from 2006 to 2031. However, these estimates are subject to future economic circumstances, market preferences and development phasing that will affect actual unit production over the entire period to 2031. It is also important to recognize that some intensification areas currently under consideration, in particular the large capacity Urban Growth Centres, could, depending on their phasing, have the potential to continue to develop and contribute additional units, well beyond 2031.

Figure 2 compares the intensification potential of several components of the intensification hierarchy. Comparing the total intensification potential, it shows that the largest proportion of residential intensification units (44%) could be achieved in the two Regional Centres of Markham Centre and the Langstaff Gateway. These Urban Growth Centres are planned for the highest concentration and greatest mix of uses in the Region, a range of housing and employment opportunities, and to be a focus for strategic investment in transit. Both of these centres also contain interfaces for multiple rail and bus transit services, and have been identified as Mobility Hubs in the Metrolinx Regional Transportation Infrastructure Plan. In addition to accommodating a significant share of the Provincial residential intensification target requirements, current planning for these provincially designated Urban Growth Centres will exceed the minimum Provincial density target of 200 people and jobs per hectare by 2031.

The next largest proportion of potential residential intensification units (33%) could be accommodated in the Key Development Areas (KDA’s) along the Avenue Seven and Yonge Street Regional Transit Corridors. These KDA’s include Cornell Centre, the Yonge/Steeles Corridor, Commerce Valley/Galleria, Markville, Woodbine/404 and the Yonge North Corridor. These Regional Corridors are the main arteries of the Regional structure and the preferred routes for higher order rapid transit lines through Markham and connect to the Regional Centres. The Regional Centres and Key Development Areas, both strongly relate to higher order rapid transit service, and together could accommodate as much as 77% of the identified intensification potential.

The balance of the potential residential intensification units (23%) could occur along the Major Corridors of Markham Road, Steeles Avenue and Kennedy Road, where the adjoining pattern of development can accommodate change, and in the Local Centres and Corridors of Fairtree East-Parkview Centre, Milliken Centre (Main Street), Thornhill Centre, Cathedraltown Centre and Cornell North Centre, Kennedy Corridor – Berczy, which contain a mix of activities like Regional Centres but on a smaller scale and serving the adjacent community. Both the Major Corridors and Local Centres and Corridors are served by local transit offering connections to higher order transit and in some cases contain GO stations.

Finally, there is the potential for appropriate local infill and for second suites. Local infill in Markham typically involves small scale ground-related housing development and the creation of new lots by consent. This form of intensification occurs regularly, although its contribution to intensification is relatively small, estimated to be less than 1% of the total.

Local infill might also include redevelopment of some older retail sites and isolated parcels of sufficient size. The most likely candidate sites will adjoin arterial and collector roads which have transit service. Intensification of such sites is likely to be more challenging in terms of finding development forms appropriate to their context, but their intensification may have less impact on infrastructure because of their small scale. It should also be an objective to retain retail and service uses where they currently exist, as a component of any redevelopment, to ensure these continue to serve the surrounding community, supporting complete communities. Again, the potential contribution from local infill is relatively small, but offers more localized opportunities at a more modest scale, to contribute to the evolution of the Town’s housing stock.

Infill, via second suites is encouraged in both Provincial and Regional policy, and is recognized in the Town’s Official Plan. Many existing second suites in Markham have been established without zoning permission or the benefit of comprehensive regulatory procedures. Council is currently considering recommendations from a Subcommittee of the Development Services Committee to establish zoning permission for second suites, subject to conditions and strict regulatory controls.

Most greenfield lands in Markham’s Current Settlement Area have been included in the Province’s Built Boundary and have approved plans and policies in place; some lands are now developed. Some greenfield lands are already subject to policies promoting increased densities, while some may present opportunities to increase densities. Greenfield lands are included in the Intensification Analysis to assess opportunities to meet the Growth Plan density target of 50 jobs and persons per hectare and to assess intensification at appropriate locations. Examples of locations with potential include Cornell Centre, Cornell North Centre, and Fairtree East/Parkview.

Where Employment Intensification can be Accommodated in Current Settlement Area

The focus of employment intensification in the analysis is on established business park areas and strategic retail sites, especially where these relate to Regional Corridors and form part of Key Development Areas or Regional Centres. The analysis assesses the potential for both dispersed employment infill and intensification in Key Development Areas. The analysis does not consider residential intensification in established business parks.

Like residential intensification, employment intensification is market sensitive and driven by the economics of both land development and business operational priorities. Government policies and directions have less direct impact on employment intensification, than in the case of residential intensification. Employment intensification will only occur if it is consistent with the accommodation requirements of businesses, and depends on a decision by a property owner or business to alter current development and business arrangements.

Current estimates by the Region of York suggest that about 65000 additional jobs might be accommodated within Markham’s current settlement area and could contribute to future employment intensification. Employment intensification is being considered as part of the Employment Lands Strategy Study in order to take account of Town growth objectives, employment forecasts, land supply and market trends.

Phase 4 – Input to Growth Options (Staff are currently working on Phase 4)

The results of the analysis of potential residential intensification opportunities indicate that it would be appropriate to direct a share of the total additional residential units identified in the Regional forecast for Markham to intensification locations. As recommended in the February 3, 2009 report “Toward a Markham Growth Management Strategy: Opportunities to Accommodate Growth, this share would be equivalent to at least 55% of the total units added between 2015 and 2031. This proportion would exceed the proportion of 52% proposed for Markham by the Region of York, in order to meet the Region’s minimum 40% intensification requirement, set by the Provincial Growth Plan.

Considering the entire planning period from 2006 to 2031, the analysis suggests that the Town could also meet or exceed 55% intensification throughout the whole 25 year period, if the market for higher density housing is sufficiently strong. However, the analysis also suggests that more of the potential residential intensification opportunities occur later in the forecast period to 2031, and beyond 2031, as the market interest in higher density housing forms is expected to strengthen, over the long term.

Staff is reviewing the February 3, 2009 growth alternatives with the public and will be reporting to the Development Services Committee on the review and analysis of housing and employment growth alternatives and responses received to the alternatives through public engagement.

Phase 5 – Finalizing the Intensification Strategy and Implementation Framework

Once Council has endorsed a Town of Markham Growth Management Strategy (targeted for June 2009), and confirmed a preferred growth alternative for housing and employment growth, Staff will prepare a Town of Markham Intensification Strategy to include:

· Intensification Principles including Building Form, Height and Massing

· Intensification Hierarchy

· Intensification Targets for each identified Intensification Area

· Implementation Strategies or key actions that address planning policy and tools, financial policy and tools, infrastructure policy and investment programs.

The planning policy actions might include area studies and secondary plan reviews that would address, in detail, area specific land use intensification policies and built form, massing and height guidelines; revisions to parkland and parking standards; and the use of various Planning Act tools such as pre-zoning of Intensification Areas, Height and Density Bonusing, Community Improvement Plans, Development Permit Systems, etc.

The financial policy and tools might include the application of Tax Incentives and Tax Increment Financing (TIF) and possible revisions to the Development Charges Act to better account for the cost of establishing a new urban structure and services. A review of current financial policy and tools could form part of the Finance Department’s financial impact analysis linked to the Town’s preferred Growth Management Strategy.

The infrastructure policy and investment programs might explore under which circumstances the Town would be prepared to support the cost of infrastructure front-ending, in which intensification areas it may be appropriate, and what it will take to make it happen. Review of current infrastructure policy and programs relative to intensification can form part of the Markham Strategic Transportation Plan, the Master Servicing Study, the Integrated Leisure Master Plan, Community Safety Plan and the Community Sustainability Plan (Green Print).

DEPARTMENTS CONSULTED AND AFFECTED: