Tower Renewal Tower Renewal

Tower Renewal

Toronto Towers

• Concrete slab, multi-residential apartment buildings

•Built between 1950’s and 1980’s

•8 stories or more

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Three Interlocking Objectives

EconomicGoal:

To significantly enhance the health of the

economy and labour-market both of local communities and of Toronto as a whole.

EnvironmentalGoal:

To achieve high environmental and other performance standards in Toronto’s concrete

frame apartment buildings.

Social / CulturalGoal:

To enable apartment neighbourhoods to grow into vibrant, sustainable places

that meet the social and cultural needs and wishes of

residents.

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• Environment – Energy savings 50%+– Water savings 20%+– Waste Diversion increase by 30%– GHG emission reduction up to 5% of overall

• Economy – City wide investment in renewal projects – 1,000s of person years of employment created– Potential to support green industry development

• Community– Safety audits– Community use space– Tenant engagement

Feasibility StudyOutcomes

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City Wide Implementation

The proposed plan for bringing Tower Renewal to buildings across the city has three parts:

• A Sustainable Towers, Engaged People (STEP) program: process to create change in their buildings and take on increasingly bigger projects.

• A Financing Option: an option that will make more comprehensive projects possible.

• A Community Revitalization: determine how Tower Renewal can assist with community development projects.

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Five STEP process

Five step process, intended to incrementally build the capacity of Tower Renewal participants.

Foundation Stage

Step One: Learning and Planning

Step Two: Action

Step Three: Maximizing Outcomes

Step Four: Leadership

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STEP Components

SAFETY

WATER

ENERGY

WASTE

COMMUNITY

OPERATIONS 7

Targeted Participation

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Financing Considerations

• Major Projects at minimum have a cost of $4 million per building (STEP 3 and STEP 4 projects)

• Payback periods of 10 to 20 years

• When competing with current investment opportunities currently a typical owner’s return rate on equity is a 3 year simple payback

• To encourage projects to occur we need to provide financing from a source that does not compete with typical investment opportunities

Financing Mechanism Structure

new City “Conservation

Board”

Service Providers -retrofits

-training

-monitoring

Contracts with Conservation Board for services

Pay Fees based on utility savings

Designs what Project will include

Hires and Pays for

- Initial retrofits

- On going work

Funding from Capital Markets

If fee is unpaid, defaulted amount to property tax, then

returned to Corporation

Services

City Finance

Dept. Payments on Principle and Interest

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Community Revitalization

Now, Apartment Neighbourhoods are:- typically paid little attention for

investment - not considered to be desirable - often isolated

But, these places are:- Home to most of Toronto (those that

live directly in the apartments and those in the surrounding areas)

- Good, solid investments- Have lots of potential

Tower Renewal

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How do we:• Get people interested in investing in the

neighbourhoods

• Make sure the investment is done in a way that protects and enhances the quality of life of the people who live there

Big Picture

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Eleanor McAteer

416-392-9716

emcatee@toronto.ca

www.TowerRenewal.ca