Correspondence (b): Letter dated June 13, 2018 from BC Housing

RE: 94 Talcott Road, View Royal

This is to confirm BC Housing’s intentions with respect to the transition of a portion of the premises at 94 Talcott Road for use by Our Place Society for a Therapeutic Recovery Community upon a successful rezoning for this use, and the signing and PRHC approval of a lease of premises between Our Place Society and PRHC.

As per the proposed lease, BC Housing will provide the funds necessary to pay the Our Place portion of assessed taxes on the property for the year 2018, 2019 and 2020 as a Grant In Lieu of Taxes. Should the property be reassessed or be exempted from taxes by virtue of its new use for the years 2018, 2019 or 2020, BC Housing will provide a grant to Our Place Society to ensure that the municipality receives a minimum transition payment of $152,000 for those three years either via the amount charged as bona fide GILT, a separate grant in the event the property is exempted entirely, or a combination of the GILT and a separate grant and the portion payable by the other occupant at the property in the event the calculated GILT payment is reduced below $152,000.

Again, this commitment from BC Housing to both Our Place and the municipality of View Royal is contingent upon a fully executed and unconditional lease between PRHC and Our Place Society. It is our intention that the contents of this letter will be approved by PRHC Board and BC Housing Commission Executive concurrent with the Lease.

I trust this provides the clarification you and the municipality are seeking.

Sincerely,

Michael Flanigan Vice President, Development & Asset Strategies

Pc: Dawn Christenson, Director of Finance, View Royal