dormerhomes.ca
Highlights As of April 17 , 2019
2019
it’s about
HEART
CONTENTS
OVERVIEW 03
President & CEO Message
03
2018 Milestones
PROJECTS 03
Current Portfolio
03
King 22 Project (Sold)
03
Yonge and Bloomington
03
Yonge and Bond
03
Bayview and Sheppard
03
Land Investment
Masoud H.Dolatabadi President & Chief Executive Officer
Dear Dormer Homes Participants, We are pleased to share with you our “2018 Highlights” document that summarizes the collective accomplishments of Dormer Homes. Thank you for your support and investment in Dormer Homes. We are proud of our progress in 2018 and we are eager to make even more progress in the year ahead. We strive to grow and increase our development activity while achieving the highest results for our shareholders. aI’m happy to report that Dormer Homes continues to consistently achieve positive results amongst the City (Toronto, Richmond Hill, and Aurora) staff, government entities, banks, and other financial institutions by sustaining its successful approach to real estate development.
BY THE END OF 2018 - Obtained Draft Plan of subdivision, approval and rezoning for Dormer Hill. - Completed second submission for SPA and rezoning for Dormer Bond. - Completed purchase of the 3rd lot (2810 Bayview) for Dormer Bay. Looking forward, we are excited for 2019 as we expect to obtain final site plan approval for Dormer Hill, rezoning and site plan approval for Dormer Bond. Currently we are finalizing a contract with construction company as our JV Partner to assist us with the construction of the Dormer Band project as wel as the sales and marketing program.
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MESSAGE FROM PRESIDENT AND CEO
2018 PROJECT MILESTONES
JAN.
APR.
Fuel Tank decommissioned from Aurora property
1st Submission for ZBA and SPA for Dormer Bond Project
DSS (Designated Substance Survey)Completed for Dormer Hill Project
Project Kick off for Dormer Bay Project
Demolition Permits Issued for Dormer Hill Project
Revision of Dormer Bond Feasibility Study
FEB.
MAY.
Fist Submission for OPA, ZBA, DPOS and DPOC for Dormer Hill Project
Hiring of new architect for Dormer Bay project (mid-rise building)
Installation of Barn Swallow Structure for Dormer Hill Project Demolition of the barns and storage hut for Dormer Hill Project
Infiltration testing completed for Dormer Hill Project
MAR.
JUN.
Asbestos removal from existing home for Dormer Hill Project
Aurora General Council Meeting, recommendation report received
Demolition of existing home for Dormer Hill Project First pre-consultation for Dormer Bay
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Completion of Dormer Bay Feasibility Study (mid-rise building)
A Message Can come here
JUL.
OCT.
Fuel Tank decommissioned from Aurora property
1st Submission for ZBA and SPA for Dormer Bond Project
DSS (Designated Substance Survey)Completed for Dormer Hill Project
Project Kick off for Dormer Bay Project
Demolition Permits Issued for Dormer Hill Project
Revision of Dormer Bond Feasibility Study
AUG.
NOV.
Fist Submission for OPA, ZBA, DPOS and DPOC for Dormer Hill Project
Hiring of new architect for Dormer Bay project (mid-rise building)
Installation of Barn Swallow Structure for Dormer Hill Project
Infiltration testing completed for Dormer Hill Project
Demolition of the barns and storage hut for Dormer Hill Project
SEP.
DEC.
Asbestos removal from existing home for Dormer Hill Project
Aurora General Council Meeting, recommendation report received
Demolition of existing home for Dormer Hill Project First pre-consultation for Dormer Bay
Completion of Dormer Bay Feasibility Study (mid-rise building)
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KING AND MCCACHEN PROJECT
A chic new enclave of luxury Towns & Semi-Detached homes that exude style and modernity, Surround yourself with clean-lined, premium appointments and a landscape of ships, bistros, and nature. Luxurious in every sense of the word.
UPDATE Richmond Hill
DRAFT PLAN APPROVAL AND ZONING BY-LAW AMENDMENT
DORMER KING 22
The Final Committee of the whole meeting took place in February. Town of Richmond Hill Council approved the Staff recommendation report to the Zoning By-law Amendment and Draft Plan of Subdivision Applications Subsequently, after the appeal period expired, the Notice of Decision with the Final Approval was issued in March for the Plan of Subdivision and Zoning Amendment.
Completion of Land Assembly
ABATEMENT WORK / ASBESTOS REMOVAL
APRIL 2015
The Abatement / Asbestos removal work started in March. The Clearance certificate was issued in March. The work was a requirement for demolition permits were extended to December.
First Submission
CIVIL ENGINEERING DRAWINGS
OCTOBER 2015
The Final Civil Engineering drawings were summited to the Town in July. This review was required for the Public
approval of Site Servicing work. The first comments were received in September. The revised drawings were
Consultation Meeting
submitted to the Town in October.
APRIL 2017
CERTIFICATE OF AREAS AND FRONTAGES Second Submission
The Lot Frontages and Lot Areas for the proposed development were certified by the surveyor in August.
JUNE 2016
ARCHITECTURAL CONTROL Draft Plan of Subdivision Approval
Our detailed Architectural drawings including elevations and floor plans were submitted for Architectural
FEBRUARY 2017
Control in June. Several revisions were provided over the subsequent months which fully addressed the Town’s Urban Design concerns.
Sale of the Project NOVEMBER 2017
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TRCA APPROVAL The TRCA approval was issued in October.
COST SHARING (ZONIX DEVELOPMENT) In September we attended the Council Meeting for Zonix Kent (Developer immediately to the east of our development). We submitted a written delegation requesting that the Zonix final appr0val be conditional upon the payment of Cost sharing for land and municipal services which would be installed by Dormer king. The Town Council accepted the letter without reservations.
NOVEMBER, PROJECT SOLD After several negotiations, the project was sold unconditionally to King East development with a closing date of January 2018.
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YONGE AND BLOOMINGTON PROJECT
GENERAL COUNCIL MEETINGS The first Aurora Council meeting for 14029 Yonge took place on June 19, 2018. At this meeting, the staff report from City Planning was presented to Aurora Council. The staff report recommended the approval of the Draft Plan of Subdivision and the Rezoning of the property. There were no objections from the public and the report was accepted and approval was recommended to take place at a future Council
Aurora
meeting.
DORMER HILL
A second Council Meeting was held on July 17, 2018. At this meeting, Council voted 5-2 in favour of approval of the Plan of Subdivision for 14029 Yonge St.
OFFICIAL PLAN AMENDMENT AND ZONING APPROVAL
Completion of Land Assembly JULY 2015
OPA 18 (Bylaw 6110-18) and Zoning By-law 6111-18 we enacted by Town Council on July 24, 2018. OPA 18 was subsequently sent to the Region of York for approval as the Upper Tier Municipality. The Region issued its notice of decision to approve OPA 18 on August 30, 2018, with the appeal period ending on
First Submission MARCH 2017
September 19, 2018. The appeal period expired without any appeals.
Public Consultation Meeting MAY 2017
Aurora Town Council approved the Draft Plan of Subdivision (DPOS) and Draft Plan of Condominium
DRAFT PLAN OF SUBDIVISION AND DRAFT PLAN OF CONDOMINIUM
(DPOC) on July 24, 2018. Notices of decision for these applications were issued on September 4, 2018, with the appeal period expiring on September 24, 2018. The appeal period expired without any appeals.
SITE PLAN APPROVAL
Comments Received From Town AUGUST 2017
The Site Plan Approval is estimated for summer of 2019. We are currently preparing the final submission which is anticipated for end of February 2019.
Second Submission COMPLETED FEBRUARY 2018
OFFER TO PURCHASE DORMER HILL We have received several offers for the purchase of the Dormer Hill Project. However, these offers have not firmed up. We will continue to entertain any offers that makes sense to our operations.
Draft Plan Approval APPROVED SEPTEMBER 2018
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YONGE AND BOND PROJECT
MEETING WITH THE CITY OF RICHMOND HILL URBAN DESIGN DEPARTMENT As a result of the 1st submission which took place in Spring of 2018, we received various comments regarding the proposed development. One of the most significant changes came from the Urban Design department which proposed a re-orientation of the internal blocks, an increase of the landscape area at the North East corner of the site and removal of the access to Yonge Street. As a result we met with
Richmond Hill
the Urban Design department in August of 2018. After several revisions and we were able to reach an
DORMER BOND
agreement with Urban Design. We provided more landscaping and re-oriented the internal block as per the Town’s request however, in exchange we were able to maintain the access to Yonge St. and were able to increase the number of units from 115 to 116, and subsequently 120 units.
SECOND SITE PLAN AND REZONING SUBMISSION
Completion of Land Assembly MARCH 2017
Our Second SPA/ZBA submissions took place on December 21st 2018. The second submission was delayed due to the municipal elections which took place in 2018. As a result our second submission was completed in December (First Submission was April 5th 2018).
First Submission Completed APRIL 2017
PUBLIC MEETING The Public Meeting has been confirmed for February 6, 2019. While there are no guarantees, we are expecting a favorable outcome. From a Planning point of view our proposal complies with the Official
Second Submission COMPLETED DECEMBER 2018
Plan as well as the Provincial Policy Statement, however, it remains to be seen if the public raise any concerns with the development.
JOINT VENTURE WITH BUILDER Public Meeting FEBRUARY 2019
We have had several meetings with two Construction companies. After many discussions we have decided to choose a company with a lot of experience in Construction. This company not only has significant experience and excellent track record but also has good relationship with banks and other financial institutions. In this regard, they will assist us in obtaining better financing terms for land and also for future construction loans.
Rezoning Approval ANTICIPATED BY SUMMER 2019
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BAYVIEW SHEPPARD PROJECT
LAND ASSEMBLY At this time, the land assembly for this project consists of 3 lots: 2810, 2812 and 2814 Bayview Avenue. Negotiations for a 4th lot (2816 Bayview) have taken place however no agreement has been reached yet. This lot is not critical to this project however, we will continue to negotiate with its owner and if a deal is made, the addition of the 4th lot will result in an increase to the total GFA and number of units of the
North York
project.
DORMER BAY
CHANGE FROM TOWNHOMES TO APARTMENT CONDO Given the site’s proximity to the subway and Highway 401 we felt that a mid-rise building is a better fit for this location than townhomes and more in line with the PPS (Provincial Policy Statement) which
Completion of Land Assembly XXXX
encourages intensification. After significant analysis and market research we determined that project feasibility can also be increased with a mid-rise building; In addition, the low-rise market has cooled off over the past year however, condo apartments have not.
HIRING OF CONSULTANTS
First Submission APRIL 2019
Most consultant have already been retained. In the summer of 2018 we have retained Kirkor Architects, a renowned architectural firm which has an outstanding track record and has had a lot of activity in the City of Toronto and especially around Bayview Village.
Public Consultation Meeting SUMMBER 2019
CHANGES TO SIZE OF UNITS The initial midrise building was designed with 42 units and 1 level of underground parking. This building had really large units (average of 1,200 Sq. Ft.) After a detailed marketing review concerns were identified about the successful sales and marketing of such large units. The concerns were related to a
Second Submission ANTICIPATED BY SUMMER 2019
high sales price and a low sales absorption rate which could result in difficulties obtaining construction financing. As a result, the building was re-designed with smaller suites resulting in a total of 53 units. This also resulted in the addition of a 2nd level of underground parking which increased construction cost. However, given that underground parking sells for 45,000 per space we will be able to cover the additional cost of construction and the overall project feasibility is increased with this latest revision.
Rezoning Approval ANTICIPATED BY FALL 2019
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PRE-CONSULTATION MEETING The first pre-consultation meeting which occurred in March of 2018 presented the old proposal of 9 townhomes. As such, a second pre-consultation for the mid-rise building took place in August of 2018. City staff were quite receptive to the mid-rise building. They provided a number of comments which our architect has already addressed in the latest revision.
COMPLETED REPORTS As of December 2018, the following reports/plans have been completed:
- Phase I Environmental Site Assessment - Phase II Environmental Site Assessment - Geotechnical Investigation and Chemical Analysis of Soil (Revised) - Hydrogeological Investigation (revision under way) - Market Research Study - Feasibility Study - Topographic Survey - Architectural package - Site Grading and Site Servicing Design
FIRST SUBMISSION AND OTHER PLANNING MATTERS We anticipate the first submission for ZBA and OPA to take place by the end of February 2019 and hope to receive comments within a couple of months. We hope to be scheduled for a Public meeting in summer or fall of 2019 and make a 2nd submission shortly thereafter. We will work diligently to obtain Rezoning and Site Plan Approval as quickly as possible.
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PURCHASE PRICE VS. MARKET
DORMER HOMES PROJECT SUMMARY BY LAND PRICE PURCHASE PRICE VS. CURRENT VALUE
$Million
60
$25,000,000
$55,978,000
$20,385,000.00
50 Land Value Increase % 81
$20,000,000
40
$17,181,828.00 $30,880,000 $14,300,000
$15,000,000
30
20 $9,750,000
$10,000,000
$8,661,198.00
10 $6,350,000
0
$5,400,000 $4,830,000
$5,000,000 Cumulative 2014-2017
Market Value End of 2017
Total land area under development: 924,000 Sq. Ft.
$0 DORMER HILL
Total land value of our investment: $42,000,000 Current market value is $70,000,000 Our portfolio has appreciated by 65%
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PURCHASE PRICE
DORMER BOND CURRENT VALUE
Land Value for Dormer Bond and Dormer Hill based on Appraised Value
Total value of units under development: $165,000,000
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DORMER BAY
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Land Value for Dormer Bay based on $/Buildable comparables from Altus - RealNet Canada Land Value for Elegant Gardens, Jefferson Sideroad and Sunaset Beach based on actual sale price
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DORMER KING (SOLD)
CURRENT PORTFOLIO OVERVIEW Project Name
City
Land Size(Ac)
Project GFA (Sq.Ft)
Number of units
Type
Portfolio by Product
Dormer King
Richmond Hill
2.14
64,686,00
14
Freehold Townhomes (Sold)
6%
Dormer King
Richmond Hill
2.14
8
Semi Detached (Sold)
4%
Dormer Hill
Aurora
4.2
91,180,00
27
Single Detached
12%
Dormer Bond
Richmond Hill
3.17
152,685,00
120
Condo Townhomes
54%
Dormer Bay
toronto
0.44
61,264,00
53
Condo - Apartment
24%
9.95
369,815,00
222,00
Total
PORTFOLIO BY LOCATION
PORTFOLIO BY PRODUCT
4%
100%
54%
160 140 120
6%
100 80
24%
60 40
12%
20 0 Freehold Townhomes (Sold)
Condo Townhomes
Semi Detached (Sold)
Condo - Apartment
Richmond Hill
Aurora
Toronto
Single Detached
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OTHER CORPORATE AFFAIRS NEW INVESTORS / SHAREHOLDERS
OTHER MEETINGS / SEMINARS
In 2018 we have had significant interest from various people
xIn order to stay informed on important market trends and
interested in participating in our projects as shareholders.
other industry developments we have continued to attend
Numerous meetings were held in this regard and as a result
various seminars and events organized by BILD, Altus, TREB
we were successful in absorbing eight new investors which
and the Toronto Board of Trade; In addition, we have attended
resulted in increasing the company’s capital. The increase
the annual Land Development Conference in May of 2018 and
in capital will support ongoing land development costs
the Canadian Real Estate Forums in November 2018. Such
needed to take us to construction stage. In addition, a
events are useful not only for information gathering but also
portion of this capital can be used to acquire new projects
for business networking.
which will increase our land holdings and diversify our
FUTURE PROJECTS
assets further.
We are constantly looking for new projects that make sense to our operations. We continue to work with various Real Estate
PUBLIC RELATIONS
professionals to seek new opportunities (both on and off the market) and at the same time, we are constantly improving our
The 2018 municipal elections were held on October 22, 2018.
in-house capabilities for feasibility analysis and Due Diligence.
In order to maintain good relations with political leaders
As mentioned above the absorption of new investors resulted
Dormer management has been actively involved in supporting
in an increase to overall capital which will be used to secure
the electoral campaigns of various city councilors and mayoral
new projects. Once new land is acquired investors will have the
candidates in Toronto, Aurora and Richmond Hill.
option to further expand project shares as desired.
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FAMILY BUSINESS, FAMILY VALUES 40 YEARS OF PASSION, CARE AND BUILDING EXCELLENCE
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255 Duncan Mill Rd #204, North York, ON M3B 3AH9 T. (647) 429 7090 F. (647) 348 8995
info@dormerhomes.ca dormerhomes.ca