Report to: Development Services Committee                                 Report Date:  April 21, 2009  

 

 

SUBJECT:                          RECOMMENDATION REPORT

                                            Box Grove Developments Inc.

                                            Applications for Official Plan and Zoning By-law Amendments to permit single retail premises with a maximum floor area of 18,000 m² and a minimum floor area of 93 m², and additional use permissions for a shopping centre at 500 Copper Creek Drive, Box Grove Community

                                            File: OP 08-121619 and ZA 08-121691

PREPARED BY:               East District Team

 

 

RECOMMENDATION:

1)                  That the staff report dated April 21, 2009  entitled “RECOMMENDATION REPORT, Box Grove Developments Inc., Applications for Official Plan and Zoning By-law Amendments to permit single retail premises with a maximum floor area of 18,000 m² and a minimum floor area of 93 m², and additional use permissions for a shopping centre at 500 Copper Creek Drive, Box Grove Community, File: OP 08-121619 and ZA 08-121691”, be received;

 

2)                  AND THAT the applications by Box Grove Developments Inc. for Official Plan and Zoning By-law amendments, be refused.

 

3)                  And that Staff be authorized and directed to do all things necessary to give effect to this resolution.

 

EXECUTIVE SUMMARY:

The applications are for a 12.62 hectare (31.2 acre) site located at the southwest corner of Highway 407 and the future Donald Cousens Parkway, within the Box Grove community.  The lands are designated and zoned as Business Corridor Area (BC).

 

The proposal is to develop a retail shopping centre anchored by a large format Walmart store with a gross floor area of 17,013 m² which would contain an integrated supermarket component of approximately 3,700 m². The centre is also proposed to contain a number of freestanding retail/commercial buildings, some of which would include second storey offices, located along the public roads and along a ‘main street’ within the site.  The development is proposed to have a total gross floor area of approximately 34,000 m².  The proposed site plan and coloured renderings are attached at the end of this report (Figures 4-11).

 

Lands within the Industrial – Business Corridor Area designation are typically located along major road frontages, adjacent to industrial areas.  The intent of the designation is to provide a mix of high quality business opportunities for industrial and commercial uses that require the exposure offered by such locations in order to accommodate the business and service needs of companies and employees, and to accommodate, at appropriate locations, certain uses that also serve the general public.  As part of a Town Commercial Policy Review undertaken in 2004, the policies of the Business Corridor Area designation were modified (OPA 132) to better reflect the intent and planned function of the designation.  The primary change involved a reduction in the permitted size of individual retail stores from 6,000 to 1,000 m² with permission for computer and office supply stores to be a maximum of 3,000 m².  The policy also clarified that retail uses are not intended to accommodate the needs of the general public as their primary function.  At the time of this review, interim site specific policies (which were the same as the original policies) were applied to the subject lands having regard for ongoing applications which were received in September, 2003.  This included the 6,000m² retail store cap size within the Industrial - Business Corridor Area and prohibition of uses such as “retail and industrial uses involving accessory outdoor storage and/or display of merchandise.” 

 

There are Commercial designations within the Town’s Official Plan which do permit large format stores in excess of 6,000 m².  These designations include Commercial - Major Commercial Area and Commercial - Retail Warehouse Area (see Appendix A).  The planned function of these designations is to provide a “large-scale, multi-use, multi-purpose centre or area offering a diverse range of retail, service, community, institutional and recreational uses serving a major portion of the municipality and/or a broader regional market.” 

 

The Town’s Official Plan - Section 3.4.4.5 – Large Scale Retail Development, further states that for any development where the proposal involves an amendment to the Official Plan/Zoning by-law, or proposes one or more retail premises in excess of 10,000m², or where the total gross leaseable area of retail premises is in excess of 30,000m², that a study/comprehensive municipal review may be required at the discretion of Council. 

 

The applicant has submitted a market assessment by Altus Clayton entitled Market Assessment of a Proposed Walmart Anchored Commercial Centre – Box Grove Community, Town of Markham dated June 2, 2008 (Appendix E).  The assessment recognizes that the size cap on individual stores to 6,000m² limits the potential for retail uses. The study claims that the proposed Walmart will not negatively impact any emerging or existing retail development in the vicinity; however staff believes the assessment lacks detail on the impact the entire commercial development will have on existing and planned commercial development and on employment lands in the area.  The assessment indicates that there will be enough projected population in the market study area (Box Grove and Cornell communities) at the anticipated build out in 2031, to support the proposed development, but potential impacts during the interim period are not addressed.  It is the opinion of staff that the market assessment provided by the applicant is insufficient in providing detailed information regarding the entire proposal and its impacts, and that additional information should be provided.  Concerns with the market assessment have also been raised by an existing supermarket (Longos) in the Box Grove area (Appendix F). Council may wish to direct a peer review of the market assessment, at the applicant’s expense, if deemed appropriate.

 

The current proposal to accommodate a single premise that is almost three times the size currently permitted is a major departure from the planned function and built form intent of the Industrial – Business Corridor Area designation.  This proposal is more in keeping with the planned function of the Major Commercial Area or Retail Warehouse Area designations of the Official Plan.  However, were redesignation of the lands from Industrial to Commercial to be considered, a conflict with the minimum 42.5 hectares of employment lands required in the Box Grove Secondary Plan would result, which may have employment land conversion implications with respect to Provincial and Regional policies. 

 

It has been the policy objective of Markham Council and staff to create high quality neighbourhoods and districts, including retail and service commercial uses, properly sized, distributed and integrated into the areas served.  The applications must be considered not only relative to the specific amendments sought to the Town’s Official Plan policies and zoning regulation, but also in the context of the purpose and intent of the Town’s commercial policies and community design objectives.  The applications as submitted are not felt to be in keeping with the intended pattern of development on the Box Grove employment lands, and could diminish the Town’s ongoing efforts to achieve integrated, pedestrian friendly retail uses in the market study area identified by the applicant (Box Grove and Cornell).

 

Staff have been consistent in our expectations to see this large, strategically located site develop as a high quality, mixed-use, business environment.  While retail uses are permitted, so too are a wide variety of employment uses, and the clear intent of the store size cap is to regulate the types of uses permitted on the site, and clearly not permit large format retailers such as Walmart. The Economic Development Department has stated that the remaining industrial lots to the west of this site are of moderate size and are unable to accommodate the same scale of industrial-office employment as this site can afford.  Staff believe the location of this site provides a unique opportunity to create a dynamic synergy between the future Business Park lands to the west and east, the future transportation hub proposed on the east side of Donald Cousens Parkway, and the adjacent Business Park Area lands in Cornell to the north, making this area a prime location for businesses to locate.

 

In the context of the current Growth Management Strategy, a primary objective of Markham Council and staff is to intensify development within the existing urban area, in order to limit outward expansion. With respect to employment lands, this pertains to intensification and redevelopment of existing employment districts, and higher density/intensity use of currently designated but undeveloped employment lands, such as the subject lands in the Box Grove employment area. The subject lands have potential for more intensive employment use than reflected in the current applications for a retail shopping centre.

 

At the statutory Public Meeting held on December 2, 2008, various concerns with respect to traffic, completion of road infrastructure etc. were raised by Committee as well as the Legacy Community Ratepayers Association.  Staff and the applicant subsequently met with the ratepayers to discuss the issues.  A letter outlining the Association’s requirements and expectations is attached at the end of this report as Appendix G.   This letter and its contents are more appropriately addressed at the site plan stage if the current Official Plan Amendment and Rezoning applications move forward to approval.

 

The proposal is supported by a number of documents submitted by the applicant: a planning justification report (Appendix D), a market assessment (Appendix E), a traffic impact study, and environmental sustainability initiatives (Appendix H).  Some of the potential benefits of the proposal as identified by the applicant include:

 

  • Committing to provide additional second floor offices if market demands
  • Incorporate a strong architectural feature at an appropriate location
  • Enhance the landscaping 
  • Provide an improved Walmart façade
  • Provide a ‘main street’ along the main spine of the entrance to the site to encourage pedestrian activity within the site 
  • Providing 550 trees as part of the Trees for Tomorrow initiative
  • Providing various sustainability initiatives, including a ‘white roof’ on the Walmart building and rain water infiltration techniques. 

 

Issues raised by a nearby retail tenant and the Legacy Ratepayers Association, can be reviewed through the site plan approval process, should Council see fit to approve the OPA and zoning applications.

1. Purpose                     2. Background                      3. Discussion                        4. Financial        

 

5. Others (HR, Strategic, Affected Units)                                   6. Attachment(s)

 

PURPOSE:

The purpose of this report is to provide background information and a staff recommendation regarding the applications by Box Grove Developments Inc. for Official Plan and Zoning By-law amendments to permit a shopping centre, including a large format retail store, at the southwest corner of Highway 407 and Donald Cousens Parkway.

 

BACKGROUND:

Property and Area Context

The subject property is approximately 12.62 hectares (31.18 acres) in area and is vacant.  The property has been cleared and graded as part of the development process of draft approved plan of subdivision 19TM-030012.  Located on the north-west corner of Copper Creek Drive and the future Donald Cousens Parkway, the area context is as follows (Figures 2 and 3):

 

  • To the north of the subject lands is Highway 407, and beyond that are lands designated Business Park Area in the Cornell community. 
  • To the south across Copper Creek Drive are lands within an approved residential plan of subdivision. 
  • To the east, across the future Parkway, are future employment lands designated Business Park Area.  These lands have been identified in the Secondary Plan as a potential site for a regionally scaled transportation gateway, intended to become a transfer point among various modes of local, regional and interregional transit facilities.   
  • To the west is a tributary of the Rouge River, and beyond the tributary are low density residential lands under construction, as well as additional lands designated Business Park Area north of Copper Creek Drive.

 

The proposal is to develop a shopping centre anchored by a large format retail store, with limited office uses

The proposal is to develop a shopping centre anchored by a Walmart store of over 17,000 m² which will contain an integrated supermarket component of approximately 3,700 m². The centre is also proposed to contain a number of freestanding retail/commercial buildings along the public roads (Copper Creek Drive and Donald Cousens Parkway) as well as a group of retail/commercial buildings along the ‘main street’ or spine off the southerly entrance to the site (Figure 4).  The shopping centre would have a total gross floor area of approximately 34,000 m².  The proposed breakdown of the gross floor area as submitted on March 13, 2009 is as follows:

 


Proposed Building

Retail/Commercial GFA

Office GFA

Building A (Walmart)

17,013 m² (183,125 ft²)

Nil

Building B

465 m²  (5,000 ft²)

Nil

Building C

1,756 m ² (18,900 ft²)

1,338 m² (14,400 ft²)

Building D

1,282 m² (13,800 ft²)

Nil

Building E

1,853 m² (19,950 ft²)

1,435 m² (15,450 ft²)

Building F

1,488 m² (16,020 ft²)

Nil

Building G

500 m² (5,382 ft²)

Nil

Building H

515 m² (5,540 ft²)

Nil

Building I

3,429 m² (36,910 ft²)

Nil

Building J

2,740 m² (29,500ft²)

Nil

 

The applicant has provided colour renderings in support of their proposal attached at the end of this report (Figures 5-11).

 

The applicant has indicated that the development, if approved, will occur in two phases. The first phase is expected to include all of the buildings except the two buildings adjacent to and parallel to the Donald Cousens Parkway (retail buildings I & J).

 

The two southern ‘main street’ buildings are proposed to have second storey offices while the two northerly buildings along this spine are proposed to be single storey buildings with a two storey architectural treatment that would step down towards the north.    The two buildings in the second phase, located along the Parkway, are also proposed to be single storey buildings with a two storey appearance, although the applicant has noted that these buildings could be built with actual second storeys, subject to future market demand.

 

The applicant is proposing to retain the current Industrial – Business Corridor Area Official Plan designation of the subject lands, and is requesting site specific amendments to the Official Plan and Zoning By-law to accommodate the shopping centre.  A site plan application has also been submitted and is currently under review and will be dealt with separately.

 

The Planned Function of the Industrial - Business Corridor Area designation

In the early 1990s, a need was identified to re-evaluate the Town’s planning policies related to the emerging trend in the retail sector towards large format “big box” stores.  The land use impacts of large format retail stores were of concern, resulting in a need to further define the planned function of Commercial and Industrial land use designations.  Council directed staff to undertake a Town-wide Commercial Use Policy study which formed the basis of Official Plan Amendment 26, which was approved by Council in 1995.  OPA 26 generally established the Town’s current Commercial and Industrial policies, some of which have since been amended as discussed below.

 

In 2004, the Town undertook a further review of the commercial policies established by OPA 26, to review the performance of the policies since 1995.  This was in part due to concerns that development applications were not adhering to the planned function of certain designations such as the Business Corridor Area designation.  Based on the findings of this review certain changes were proposed for the policies of certain designations, including the Business Corridor Area designation.

 

The planned function of the Business Corridor Area category of the Industrial designation has always been to primarily serve companies and employees in the employment district.  It was not intended to be a location for major retail uses, and large format stores over 6,000m² were specifically not permitted.  The policy framework does not envision permitting retail and industrial uses involving accessory outdoor storage and/or display of goods, or very large retail stores which require substantial parking areas generating considerable traffic.  Also, individual retail premises of less than 300 m² are only permitted subject to specific criteria such as their location within a mixed-use centre that is generally a multi-storey building and where the total gross floor area devoted to retail uses does not exceed the total floor area devoted to other permitted uses.  Moreover, the policy framework has always called for development requirements which lead to a streetscape that projects an image of quality business environment; a streetscape where large surface parking areas, for instance, are contained within structures or screened from public streets by multi-storey buildings located in close proximity to the property line adjoining the public street.

 

In order to ensure that the primary development focus of this designation is maintained, the 2004 Commercial Policy Review recommended that the planned function be clarified by clearly stating that ‘retail uses are not intended to accommodate the needs of the general public as their primary function’. The study also recommended that the maximum store size cap be reduced from 6,000m² to 1,000m² of gross floor area with the exception of computer and office supply stores which may be up to a maximum of 3000 m² (gross floor area).  These recommendations were incorporated into the Business Corridor Area policies of the Official Plan through an amendment adopted by Council in 2005 (OPA 132), and approved by the Ontario Municipal Board in a decision dated August 18, 2005.

The limitation in gross floor area provides guidance for the intended form of retail to take place within each particular category of industrial and commercial designation, given that different forms of retail perform different functions, have different location criteria and land use and traffic impacts.  The Commercial - Retail Warehouse Area and Major Commercial Area designations were introduced through OPA 26 in 1995, and provide designations with planned functions intended to accommodate major retail development and large format stores as well as retail uses involving outdoor storage and or display of merchandise for sale.  Schedule ‘H’ – Commercial/Industrial Categories is attached as Appendix A. 

 

To understand the impact of the size and scale of the proposed shopping centre (33,814m2) and Walmart store (17,013m2), comparisons can be made to similar existing developments in the Markham.  For example, the Woodside Plaza on Highway 7 east of Woodbine Avenue, has a combined retail and commercial gross floor area of 32,275 m2, including a Home Depot with 12,113m2 of gross floor area.   The Armadale Square shopping centre on Markham Road south of 14th Avenue has a total gross floor area of 26,473 m2, with the largest premise being a Canadian Tire with a gross floor area of 8,512 m2.  The more recent Costco store on the east side of Markham Road in this area has a gross floor area of 14,404 m2. The proposed Walmart anchor tenant at the subject location would be the single largest big box retail store within the Town in terms of gross floor area.

 

Interim Site Specific Official Plan policies apply to the subject lands

In 2005 when the Business Corridor Area policies were being updated as noted above, subdivision and rezoning applications were under review for the subject lands.  Through discussions with the applicants, the original Business Corridor Area policies were allowed to continue, pending the completion of the applications submitted by Box Grove Hill Developments.  In this way, the new Business Corridor Area policies were able to come into effect Town-wide, save for sites under development review.

 

Thus, while the subject lands are designated Industrial – Business Corridor Area in the Markham Official Plan, these lands are specifically identified under Section 3.5.6.3.1 – Interim Site Specific Policies (Appendix B).  The planned function as identified in this section refers to:

 

 locations for a mix of high quality business activities in corridors along major road frontages, primarily adjacent to industrial areas.  Business Corridor Areas are intended for industrial and commercial uses that require the exposure offered by such locations in order to accommodate the business and service needs of companies and employees, and to accommodate at appropriate locations certain businesses that may also serve the general public.”  

 

This interim policy limits the size of individual retail premises to a maximum of 6,000 m² and the minimum size of freestanding retail premises to 300 m².  Retail premises of less than 300m2 are permitted only as part of a mixed-use, multi-storey centre.  In addition, other restrictions with regard to outdoor storage and display, circumstances under which retail premises that are less than 300 m² can be accommodated, development requirements such as screening large parking areas etc. still continue to apply.    

 

Box Grove Secondary Plan contains a minimum requirement for Employment lands

The Box Grove Secondary Plan (OPA 92) was approved by Council in June 2002 and amended by OMB Order dated March 15, 2004.  OPA 92 designates the subject lands for Industrial (Business Corridor) purposes, provides that the total net site area for employment lands (Business Park Area and Business Corridor Area) shall be a minimum of 42.5 net hectares (105 acres), and states that this employment land area shall not be reduced without an amendment to the Secondary Plan.  The Secondary Plan provides that in addition to office and industrial employment opportunities the employment lands are also intended to provide appropriate locations for retail, service and similar uses.   

 

The site is adjacent to a Regional Gateway as identified by the Province

It should be noted that the Secondary Plan also identifies the Business Park Area lands immediately to the east of this site as a Regional Gateway location.  This area has been identified by the Province as a potential site for a regionally scaled transportation gateway, or “mobility hub” intended to become a transfer point among various modes of local, regional and interregional transit facilities.  The regional transportation plan recently approved by Metrolinx (The Big Move – Transforming Transportation in the Greater Toronto and Hamilton Area) identifies the area as a convergence point for future GO Rail service (Havelock line) and rapid transit services along Highway 407 and Highway 7 (Appendix C).

 

OPTIONS/ DISCUSSION:

Site-specific Official Plan amendment to the Business Corridor Area designation has been requested

The requested amendments to the Official Plan to accommodate the shopping centre include the following:

 

  • Increase the maximum permitted gross floor area for a single retail premise from 6,000m² to 18,000 m²;
  • Decrease the minimum permitted gross floor area for a single retail premise from 300m² to 93 m² with a maximum combined net floor area for such premises of 2,340 m² or approximately 7% of the gross floor area of the shopping centre;
  • Permit direct vehicular access to the Donald Cousens Parkway;
  • Permit a supermarket, outdoor garden centre and outdoor storage as accessory uses to a retail store with a gross leaseable area greater than 14,000m²; and
  • Permit restaurants and take-out restaurants in any building, including free standing buildings.

 

The initial proposal included an automotive repair component which is prohibited in the Business Corridor Area designation.  The application has since been amended to delete this proposed use. 

 


A Secondary Plan amendment is not proposed

As the applicant is proposing to accommodate the shopping centre through a site specific amendment to the Official Plan, the Business Corridor Area designation within the Box Grove Secondary Plan would remain unchanged and the lands would still be included as part of the required 42.5 net hectares of employment lands, albeit employment accommodating primarily retail uses rather than industrial/office related uses.

 

The Box Grove Secondary Plan does not contain a Commercial – Major Commercial Area or Retail Warehouse Area designation, as it did not contemplate individual retail premises  greater than 6,000 m² in size.  Commercial/retail locations were envisioned to be provided within the context of the Business Corridor Area and Community Amenity Area designations, and in the area designated as the Village Centre.  It was anticipated that some shopping opportunities would occur at either end of the Box Grove community, albeit not over the 6,000 m² store size cap.  Areas to accommodate large format retail stores in the eastern portion of Markham are located at Highway 48 and 14th Avenue, McCowan Road and Highway 7, and Major Mackenzie Drive and Markham Road (see Retail Warehouse Area and Major Commercial Area categories in Appendix A). 

 

Staff believe that the proposed development is more characteristic of the Town’s Commercial policy designations, such as Retail Warehouse Area or Major Commercial Area, due to the size, scale and proposed uses of the proposed shopping centre. However, redesignation of these lands to Commercial would have further impact on the minimum 42.5 hectares of net employment lands to be provided within the Box Grove Secondary Plan area, and could not be supported.  Moreover, a redesignation from Industrial to Commercial may have employment land conversion implications, contrary to Provincial and Regional policies. 

 

The applicant is also proposing an amendment to the Zoning By-law

The lands are zoned ‘Business Corridor’ in By-law 177-96, as amended.   Permitted uses include a range of employment/industrial uses, and institutional and service uses, including freestanding restaurants.  Retail stores are also permitted subject to an individual premise having a minimum net floor area of 300 m² and a maximum net floor area of 6,000 m². 

 

The proposed amendments would change the minimum and maximum permitted floor area for a single retail premise to 93m² and 18,000 m² respectively.  Permission for outdoor storage/display of merchandise for sale, and free standing restaurants, has also been requested.  A supermarket is proposed to be integrated within the Walmart building, and for clarification purposes the applicant has requested that a supermarket be added as a specific permitted use.  In addition, the applicant is also proposing to reduce the parking requirement for the shopping centre by applying a standard of 1 parking space per 22 m² of floor area whereas the by-law requires parking at a rate of 1 space per 18 m².  The standard of 1 parking space per 22 m² has been applied to more than one large scale shopping centre in the Town but such reductions in parking would normally be supported by a parking study.  A parking study has not been submitted for this application. 

 

The application does not comply with the Interim Site Specific Policy or the Planned Function of the Business Corridor Area designation

As noted earlier, the planned function of the Business Corridor Area designation under the interim site specific policy specifically states:

 

“This category identifies locations for a mix of high quality business activities in corridors along major road frontages, primarily adjacent to industrial areas.  Business Corridor Areas are intended for industrial and commercial uses that require the exposure offered by such locations in order to accommodate the business and service needs of companies and employees, and to accommodate at appropriate locations certain businesses that may also serve the general public.  A high level of urban design is required to maintain the positive business image of the industrial area.”

 

The intent was not to provide primarily retail uses to accommodate the needs of the general public as the primary function. The interim policies continue to limit the maximum size of individual retail premises to 6000 m², provide that retail premises of less than 300 m² are only permitted subject to specific criteria, prohibit retail and industrial uses involving accessory outdoor storage and/or display of merchandise, provide that large surface parking areas should not be highly visible from public streets, and provide that development on lands fronting onto or adjoining major arterial roads shall generally consist of multi-storey buildings located in close proximity to public streets.  From these restrictions and requirements it is clear that siting, massing and scale of built form elements and use permissions were all intended to contribute to development within the Business Corridor Area that projects an image of a quality business environment which, even when it contains uses serving the general public, would reflect its primary function of accommodating the business and service needs of nearby companies and employees.  Offices, light industrial uses, convention centres, research and training centres, data processing and other employment related uses are also permitted as primary uses.

 

Clearly the proposed development, which is essentially a shopping centre with large surface parking areas, outdoor storage and display of merchandise, and which contains a single premise that is three times the maximum permitted gross floor area, is not in keeping with the interim site specific policies or the intended planned function of the Business Corridor Area designation.

 

It has been suggested by the applicant that the gross floor area limitation is artificial as the merchandise sold at the proposed 18,000 m² store is no different than what could be sold collectively at three 6,000 m² stores within one large building.  They have also noted that neither the Official Plan nor the current zoning of the property caps the total maximum gross floor area of retail permitted at this site.   However, the 6,000 m² cap on individual premises was originally intended to limit the function, size and scale of retail uses, which is consistent with the planned hierarchy of retail centres in the Town’s Official Plan.  Large stores, and certainly a store of 18,000 m², perform a broader commercial/retail function and likely serve regional population markets as well.  The Commercial hierarchy outlined in the Town’s Official Plan directs such large format stores to other land use categories, in particular, the Retail Warehouse Area and Major Commercial Area designations.

 

The Town has consistently envisioned these lands to develop as a high quality, mixed use, business development. 

The Town has consistently envisioned this site to be part of a larger emerging employment district within the Box Grove and Cornell communities (see Figure 12). The Economic Development Department has expressed significant concerns related to the proposal.  They believe the proposed development will result in the loss of a significant piece of employment land that has potential to serve as a prestige industrial and/or office site, of which the Town has a limited supply.  The remaining Business Park Area lands in Box Grove adjacent to this site are of limited lot depth and area compared to the subject lands, and are unable to accommodate the same scale of industrial/office employment as the subject lands.

 

The location of the subject lands at the interchange of the Donald Cousens Parkway and Highway 407, and adjacent to the proposed Havelock/407 Regional Transportation Gateway provides a unique opportunity for additional employment capacity for the Town of Markham within the Box Grove community.  These lands are also adjacent to the planned Cornell Centre Business Park lands located immediately to the north.

 

Growth Management Strategy – Intensification of Employment Lands

The Town of Markham is undertaking a comprehensive review of growth management options to comply with Provincial and Regional policies arising from the Provincial Growth Plan.

 

A primary objective of Markham Council and staff is to intensify development within the existing urban area, in order to limit outward expansion.

 

With respect to employment lands, this pertains to intensification and redevelopment of existing employment districts, and higher density/intensity use of currently designated but undeveloped employment lands, such as the subject lands in the Box Grove employment area.

 

The subject lands have potential for more intensive employment use than reflected in the current applications for a retail shopping centre.

 

Town policies and urban design vision promote smaller scale retail uses integrated into the communities served

It has been the policy objective of Markham Council and staff to create high quality neighbourhoods and districts, including retail and service commercial uses, properly sized, distributed and integrated into the areas served.  This is consistent with the Town’s New Urbanism planning principles, including such matters as mixed land use, compact urban form, transit oriented development, pedestrian friendly streetscapes and an emphasis on the public realm. 

There are numerous references in the Official Plan and in this report to Council’s objective of limiting the size of individual retail premises, and directing larger format retail stores to the appropriate categories and locations (Retail Warehouse and Major Commercial Areas).

 

Master Plans and Secondary Plans adopted by the Town, including the Box Grove and Cornell Secondary Plans in this vicinity, outline detailed land use designations and policies which guide the location, scale and built form of retail uses.

 

Town staff in a 2004 policy report (Council’s Strategic Priorities – 2004-2006, dated April 13, 2004) clearly enunciated a vision for integrating population serving retail into communities and neighbourhoods based on New Urbanism Principles.  The report indicates that quality communities are well planned neighbourhoods and are “designed to include pedestrian friendly activity centres which serve as focal points where residents can choose to gather to shop, socialize, learn or be entertained.”  This initiative listed specific action items including specifically pursuing small neighbourhood retail focus/community gathering places, in central locations, in new communities and also to shift “planning policies to discourage auto-oriented big-box retail development and encourage pedestrian friendly retail activity and mixed land uses at community focal points.” 

 

The applications must be considered not only relative to the specific amendments sought to the Town’s Official Plan policies and zoning regulation, but also in the context of the purpose and intent of the Town’s commercial policies and community design objectives.  The applications as submitted are not felt to be in keeping with the intended pattern of development on the Box Grove employment lands, and could diminish the Town’s ongoing efforts to achieve integrated, pedestrian friendly retail uses in the market study area identified by the applicant (Box Grove and Cornell).

 

The Region of York considers the application to be a local planned function issue.

The Region of York has provided a letter stating that the “protection of industrially designated employment lands is important for the economic competitiveness of York Region including the employment lands located in close proximity to the 400 series highways”.  The letter, however, notes that the Business Corridor Area designation permits retail uses and the amount of retail use is limited only to the size of the individual premise.  The Region recognizes that there may be a ‘planned function’ issue but notes that this needs to be assessed in the context of the Markham Official Plan and Secondary Plan.  Therefore, the Region believes the application is a local policy consideration and has exempted the proposal from Regional approval. 

 

The Region also states that “since retail uses, and the cumulative affect of the retail coverage permissions on the employment lands, are already permitted by Markham’s Official Plan for the subject lands, in Regional staff’s opinion, the actual increase in the individual unit size does not constitute an employment land conversion under the Provincial Growth Plan for the Greater Golden horseshoe (2006)”. 

 

The applicant has submitted a Planning Rationale in support of the applications

As part of the original application, the applicant submitted a Planning Justification Report prepared by KLM Planning Partners Inc, dated June 9, 2008 (Appendix D).  Since the submission of that report, the applications have been revised.  In summary, the planning rationale submitted by the applicant claims that since the Industrial - Business Corridor Area designation permits retail uses on the site, there is no need to redesignate the lands to a Commercial designation, thus the applications are consistent with the Provincial Policy Statement, and Places to Grow Plan, and the Region of York Official Plan.  The report further claims that with the exception of the proposed floor area restrictions applicable to retail premises, the proposed development conforms to the Town of Markham Official Plan, and therefore the proposed amendment should be considered minor in nature.

 

The rationale also identifies that one existing Walmart and three additional Walmart stores are proposed within the Town of Markham, and one existing Walmart currently exists just north of Markham in Stouffville.  It is submitted that the number of stores will significantly reduce the potential for Walmart to be considered a destination for anywhere outside the immediate communities.

 

The planning rationale provided by the applicant maintains that the size limitation on a single premise is an artificially imposed number.  At present, a developer can construct several 6,000m² retail pads on the site, in excess of a total gross floor area of 20,000 m².  In response, staff remain consistent in our interpretation of the planned function of the site.  While retail uses are permitted, so too are a wide variety of employment uses, and the clear intent of the store size cap is to regulate the types of uses permitted on the site, and clearly not permit large format retailers such as Walmart.

 

The applicant has submitted a Market Assessment

In support of the proposal, the applicant has submitted a report by Altus Clayton entitled Market Assessment of a Proposed Walmart Anchored Commercial Centre – Box Grove Community, Town of Markham dated June 2, 2008 (refer to Appendix E).  The assessment recognizes that the size cap on individual stores to 6,000m² limits the potential for retail uses on the site and limits potential development options.  However, the assessment states that the proposed development could be supported by the planned population at the projected 2031 build out of the market study area (Box Grove and Cornell communities).  Furthermore, it is the opinion of Altus Clayton that Walmart serves a similar market function to a series of smaller retail stores under the floor space limit of 6,000 m², and that locating the Walmart development on these lands will not negatively impact any emerging retail development in the vicinity, and will further encourage employment uses to locate within close proximity of this development.

 

Staff is of the opinion that the market assessment lacks detail on the impact the entire commercial development will have upon existing and planned commercial developments in the Box Grove and Cornell communities.  The assessment specifically addresses the proposed Walmart, but does not address the other uses proposed on the site.  The market assessment states that at anticipated build out of Box Grove and Cornell by 2031, there should be enough projected population to support the proposed development, but does not address the interim effects of the development on existing and planned commercial developments in and around this site, prior to the 2031 projected build out.

 

While Planning staff are not subject matter experts with respect to market impact studies, it appears that further analysis may be required to adequately address the impact of the proposal on the Town’s planned commercial structure.  The Town’s Official Plan states that any development with a gross leaseable area of 10,000m², or a group of proposed retail stores in excess of 30,000 m², may require a study/comprehensive municipal review at the discretion of Council, to assess the impact of the proposal on the capability of the Town’s planned commercial structure to provide a full range of activity to serve the Town’s residents, employees and businesses.  The Official Plan notes that the study may be required in instances where the proposal is of such a significant scale in the context of the planned function of the affected category of commercial use that Council deems a study to be appropriate. Council may choose to authorize a peer review of the market assessment, at the applicant’s expense, if deemed appropriate. 

 

The applicant has submitted a Traffic Study in support of the application

The applicant has also submitted a traffic impact study in support of the application.  The study entitled “Traffic Impact Study/Site Plan Review” by URS Canada Inc., dated May 2008 has been reviewed by the Transportation and Engineering Department.  In summary, the study recommends:

 

  1. Traffic lights to be installed at the future intersection of Donald Cousens Parkway and Copper Creek Drive once the road network is complete.
  2. Future traffic lights to be installed at the future intersection of Copper Creek Drive and the future residential subdivision to the south of the site.
  3. Dedicated turning lanes onto Donald Cousens Parkway.
  4. Right-in and right-out turning restrictions from Donald Cousens Parkway as well as along Copper Creek Drive.

 

Subsequent to the original submission, URS Canada Inc provided additional information regarding trip generation data, and staff is now satisfied with the study. 

 

A letter has been submitted by a Longos representative

Staff received a letter dated March 17, 2009 from Miller Thompson on behalf of the Longos supermarket which is located within the Box Grove shopping centre located to the west.  In the letter, concerns were expressed regarding the adequacy of the market assessment provided by the applicant in support of the application.  They suggest that the  request to alter the existing provisions of the Industrial – Business Corridor Area requires a more comprehensive and detailed rationale to support the proposed changes, and a more detailed market impact analysis, which should be peer reviewed.  The letter is attached as Appendix F.

 


A Public Meeting was held on December 2, 2008

A statutory Public Meeting was held by Development Services Committee on December 2, 2008, to consider the proposed Official Plan and Zoning By-law Amendments.  Specific concerns were raised by Committee members and area residents related to traffic impacts on neighbouring communities, the completion of road infrastructure in the vicinity, and the type of employment the proposal would generate.

 

Traffic impacts on neighbouring communities

Committee and representatives from the Legacy Ratepayers Association stated concerns with the potential increase of traffic along 14th Avenue as a result of this development.  The representatives of the Legacy Community Ratepayers Association stated that the Legacy and Box Grove communities currently experience significant traffic congestion primarily along 14th Avenue and that the proposal will add to the traffic congestion in the area.  They requested a meeting with the developers and requested a comprehensive review of 14th Avenue traffic and that traffic volume assessments be performed following the completion of the proposed development.   

 

Completion of road infrastructure

The Committee discussed the importance of the completion of the transportation network, with specific reference to the completion of Donald Cousens Parkway (DCP) and Copper Creek Drive.  The anticipated timing for road infrastructure in the Box Grove area includes:

 

  • Donald Cousens Parkway - proposed to be delivered in mid 2010
  • Construction of the ramps to Highway 407 - proposed to be delivered in mid 2009
  • Widening of 14th Avenue - proposed in 2015
  • Construction of Copper Creek to Donald Cousens Parkway  - proposed in mid 2010

 

Type of employment generated in the area

Committee expressed concerns related to the type of employment generated by this proposal, indicating that part-time, low wage employment is not sustainable.  Since the Public Meeting, the applicant has committed to adding additional second floor offices on certain retail pads to increase the amount and variety of employment opportunities.  A breakdown of the proposed uses and gross floor area has been provided under the proposal section of this report.

 

Staff and the applicant met with the Legacy Community Ratepayers Association

On February 20, 2009, the applicant and Town staff met with representatives of the Legacy Ratepayers Association to further address their concerns related to the timing of road infrastructure, impacts of traffic, access to the proposed development, and the timing of the opening of Walmart in relation to the timing of road completions in the area.

 

It was discussed that the construction drawings for the Donald Cousens Parkway have been approved and are currently under review by the Region.  It was also determined that the timing of the Donald Cousens Parkway is anticipated to generally coincide with the scheduled opening of the proposed Walmart in May 2010.  Other issues discussed included the timing of construction of the ramps to Highway 407, the widening of 14th Avenue, turning lanes from the proposed development, and traffic light installations along Copper Creek Drive.

 

The representatives of the Ratepayers Association also requested that a 1-2 year traffic monitoring plan be implemented after the opening of the proposed development, and adjustments be made to reflect any problems that may arise.  Staff agreed that while the assumptions provided in the traffic study were reasonable, a traffic monitoring plan would be required.

 

The Legacy Community Ratepayers Association recently submitted a letter formalizing their requirements and expectations, which is attached as Appendix G.   It is felt that this letter and its contents are more appropriately addressed at the site plan stage, if the current Official Plan Amendment and Rezoning applications move forward to approval.

 

Notwithstanding the planned function issue, the applicant maintains the proposed development has merit

The applicant maintains that the proposed development will provide additional commercial and retail services to meet the needs of the emerging community in the eastern portion of Markham.  The applicant submits that the subject lands, located at the intersection of a 400 series highway and a proposed major arterial road, are well situated to accommodate a high traffic generating development.  Easy access to these major roads is expected to reduce the traffic impact on local roads.  The applicant is also suggesting that the close proximity of future transit stops at the intersection of Donald Cousens Parkway and Copper Creek Drive will encourage customers and employees to take transit to the site.  In addition, to encourage alternative transportation opportunities, the applicant will provide bicycle racks as part of the site plan.  The location of these along the ‘main street’ and throughout the site can be expected to encourage people to cycle to the site.

 

The applicant has committed to provide additional second floor offices to increase the amount and variety of employment opportunities (subject to demand) and to incorporate a strong architectural feature at an appropriate location (possibly at the northern terminus of the ‘main street’) and enhance the landscaping.  With specific regard to the proposed Walmart building, the applicant has provided some improvements to the façade treatment, and proposes a higher quality design suitable to the neighbouring communities.

 

Walmart has also indicated that they will provide a variety of sustainable features in their building and the site around the building.  The applicant has provided a complete list of sustainability initiates attached as Appendix H, including:

 

  • A ‘white roof’ on the Walmart;
  • Rooftop rainwater infiltration;
  • Stormwater infiltration into underground storage facilities for the 5 year storm event;
  • Construction of an energy efficient Walmart by implementing various technologies to reduce energy consumption; and
  • Wider landscape buffers to permit groundwater infiltration.

 

An effort has been made to address the ‘heat island’ effect of the extensive asphalt parking areas by providing additional tree planting within the parking areas. The landscape plan proposes a total of approximately 550 trees on the site.  This is a significant number of trees for the site and it exceeds the Trees for Tomorrow target of 1 tree for every 5 parking spaces by providing approximately 1 tree for every 3.5 parking spaces.  Additional work would be required with the applicant to ensure the impact of the large parking lot is mitigated through appropriate planting.

 

The applicant also proposes that the ‘main street’ approach to the design of the retail/office buildings along the main spine of the entrance to the site will provide encouragement to the residents to walk to and within the development.  The intent of the design of this ‘main street’ is to provide a focus and draw attention away from the large format retail building at the rear of the property.  If the current applications were to proceed to approval, staff would need to work with the applicant to ensure the proposed site plan components and the sustainability initiatives being proposed by Walmart will be incorporated on all other buildings across the site, and the impact of the parking and Walmart building be mitigated through building location, orientation and design.

 

CONCLUSION:

The requested amendments to the Industrial – Business Corridor Area designation and the applicable zoning by-law would significantly deviate from the planned function of the Business Corridor Area lands, and cannot be supported by staff.  Staff recommend denial of the proposal.  In the event Council chooses to approve the current applications for the Official Plan and Zoning By-law amendment, staff will continue to work with the applicant to address the comments of the Legacy Community Ratepayers Association and move the site plan application forward.

 

FINANCIAL CONSIDERATIONS AND TEMPLATE: (external link)

Not Applicable.

 

HUMAN RESOURCES CONSIDERATIONS

Not Applicable.

 

ALIGNMENT WITH STRATEGIC PRIORITIES:

Key strategic priorities of Council should be considered in the review of this proposal including: Economic Development, Growth Management, Transportation/Transit, Environment and Sustainable Development practices.

 

BUSINESS UNITS CONSULTED AND AFFECTED:

The applications were circulated to all Town departments and external agencies and their comments have been incorporated into this report. 

 


RECOMMENDED BY:  

 

 

 

_______________________________                             ______________________________

Biju Karumanchery, M.C.I.P, R.P.P                                                   Valerie Shuttleworth, M.C.I.P, R.P.P

Senior Development Manager                                                           Director of Planning and Urban Design          

 

 

 

_ ______________________________

Jim Baird, M.C.I.P, R.P.P

Commissioner of Development Services

 

 

 

FILE PATH:

Amanda\File OP 08 121619\Documents\Recommendation Report-Revised

 

ATTACHMENTS:

Figure 1 – Location Map

Figure 2 – Area Context and Zoning

Figure 3 – Air Photo 2007

Figure 4 – Site Plan

Figure 5 – Site Plan Detail – Main Street and Primary Entrance

Figure 6 – Walmart Elevations

Figure 7 – Perspective – View of Main Street from Copper Creek Drive

Figure 8 – Perspective – View of Main Street

Figure 9 – Elevations for Retail Buildings C, D, E, and F

Figure 10 – Elevations for Retail Buildings I and J

Figure 11 – Commercial Centre Details

Figure 12 – Emerging Employment District (Box Grove and Cornell Communties)

 

Appendix A – Town of Markham Official Plan Schedule ‘A’- Commercial/Industrial Categories

Appendix B –     Town of Markham Official Plan – Business Corridor Area policies, including Interim Site Specific Policies

Appendix C –     Metrolinx, Schedule 1:  15-Year Plan for the Regional Rapid Transit and Highway Network

Appendix D –     Planning Justification Report by KLM Planning Parnters Inc

Appendix E –     Market Assessment of a Proposed Walmart Anchored Commercial Centre by Altus Clayon (Executive Summary)

Appendix F –     Letter from Miller Thompson (Longos representative)

Appendix G –     Letter from the Legacy Ratepayers Association

Appendix H –     Walmart Sustainability Initiatives

 

 

APPLICANT/AGENT:                      David Stewart

                                                            Box Grove Developments Inc.

                                                            270 Chrislea Road

                                                            Woodbridge, Ontario  L4K 8A8

                                                            Telephone:  905-856-5800 Fax:  905-856-8508         

                                                            Email:  dstewart@tacc.com  

 

Figure 1 – Location Map