Wesleyville

Aerial view of Wesleyville lands

This web page provides information about the lands at Wesleyville, current and potential future uses of the land, the process that has been undertaken by staff and Council, information about the purchase agreement, future opportunities for engagement with our communities, and next steps.

Current status

Settlement Reached with Province for Wesleyville Lands Purchase

November 15, 2022

The Municipality of Port Hope and the Province have amicably settled all matters arising out of the termination of the Agreement of Purchase and Sale with respect to the lands located at 2655 Lakeshore Road (Wesleyville) in the Municipality of Port Hope.

“We look forward to having further discussions with the Province related to this property and the potential it has for our community and Northumberland County,” states Bob Sanderson, Mayor of the Municipality of Port Hope.

Per the terms of the agreement, the Municipality will not be providing further comment at this time.

Update on the Wesleyville Lands Purchase - April 1, 2022

The Municipality received notification from Ontario Power Generation (OPG) that the province has stopped the sale of the Wesleyville lands in the Municipality of Port Hope from proceeding.

This notification is a last-minute change and was unexpected for Council and staff, who have been preparing for the closing of the sale, which was scheduled for Thursday, March 31, 2022.

In their letter, the province advised that the lands merit assessment by a newly proposed provincial initiative called the Centre of Realty Excellence (CORE).

The CORE program is intended to create consistency across the public sector for prudent management of government property. The program seeks to determine priority underutilized and/or surplus properties aligned with key programs, including affordable housing and long-term care.

To our knowledge, this proposed program does not yet have a governance model, framework, or timeline for implementation.

We have a binding, unconditional purchase and sale agreement with OPG in place, approved by OPG Board of Directors and Port Hope Council.

For the past two years, we followed proper process and due diligence to reach the binding agreement. We negotiated a fair deal in good faith.

Right now, we have a lot of questions. We want to be open and transparent with the community and we are sharing what information we have, which is limited.

We have reached out to the province to understand their concerns and to demonstrate how our strategic plan aligns with the mandate of the CORE program.

We continue to be committed to purchasing the lands and have extended an invitation to the province to work with them through the CORE process. We still believe this is a real opportunity for Port Hope.

We are eager to work with the province to find a way to get back on the path we planned together with OPG – a path that Council supported unanimously and that is best for Port Hope’s future.

“I was very surprised by the abrupt change of plans for this land purchase, since the agreement was approved by both parties,” states Bob Sanderson, Mayor of the Municipality of Port Hope. “We followed a proper process, signed a binding agreement, and shared the good news story with our community. We are disappointed with this outcome.”

Read the Staff Report to learn more Review the staff presentation

This purchase is the most significant investment in Port Hope’s history. It will be a long-term project that will take decades to complete, with input from the community on how to use the land.

About the land

The lands include 1334 acres on what is commonly known as Wesleyville. They include:

4 km of Lake Ontario shoreline
700 acres: sensitive natural and cultural heritage features that cannot be developed (53%)
634 acres: potentially developable (47%)
260 acres: developed industrial currently being used by OPG and other tenants

View the Tenant Map

Aerial view of Wesleyville lands The Wesleyville property consists of five individual land parcels, as shown by this map. The parcels are split by Lakeshore Road and end at the CN and CP Railways to the north. There is a unique water lot into Lake Ontario that could be used in the future if needed, as a potential secondary drinking water system.

Wesleyville shoreline

Wesleyville agricultural lands

Wesleyville commercial lands

Wesleyville cultural assets

Aerial image of Wesleyville forest and farmland

Wesleyville forest and farmlands

The opportunity for Port Hope

Buying the land presents a unique opportunity for the Municipality of Port Hope. The land includes four kilometres of Lake Ontario shoreline, which is an unheard-of prospect for any municipality.

More than half the lands could be available for parks, recreation, green space and the protection of significant natural and cultural features. More than 600 acres could be developed for residential, commercial and employment lands.

The purchase offers something for everyone. The purchase also aligns with community priorities and elements of Port Hope’s Strategic Plan including environmental, recreational, natural heritage protection, intentional growth, and a stronger economy.

As well, Port Hope is historic and important to many people. The Wesleyville project will allow us to address growth pressures. The purchase will also supply the Municipality with tax revenue in the future that will help us achieve some of our strategic priorities.

Current and potential future land uses

Currently, the lands include a mix of zoning: general employment, power generation, and environmental protection. Much of it is untouched, but OPG and other tenants are using a 260-acre developed industrial area. These tenants include Bromley Fabricators Inc. and Peterborough Equipment Ltd. OPG also uses some of the site for fire training.

The Site is part of the Williams Treaties area and territory of Mississaugas, a subtribe of the Anishinaabe-speaking First Nations peoples, which includes: Alderville First Nation; Hiawatha First Nation; and Scugog Island First Nation.

The Wesleyville Village area has five buildings of historic significance and contain heritage designated properties which fall within Northumberland County’s Official Plan’s Natural Heritage System Plan.

One of the province’s largest smokestacks is located on the property. The OPG structure has never been used.

Potential uses:

The Municipality could use the lands for a variety of purposes. For example, more than half the lands could be used for parks, recreation, green space, and the protection of significant natural and cultural features. Over 600 acres could potentially be developed for residential, commercial, and employment lands.

A comprehensive and long-term planning and community consultation process will determine how the lands will be used in the future.

Process to date

A land purchase of this type is complex and involves many steps and negotiations between levels of government. It takes time to get it right. It is normal and important that land acquisition discussions are kept confidential until an agreement is reached. Confidential meetings protect both the seller and purchaser. They also ensure the Municipality can negotiate and get fair value for taxpayers’ dollars.

For Port Hope, the negotiations and due diligence mitigates risks and ensures, if a sale were to proceed, that the purchase will be in the best interest of the community.

The Province and OPG support this purchase.

Project timelines
Date	Project progress
Late 2019/Early 2020	Initial conversations about the potential land sale.
Winter/Spring 2020	Property appraisals, due diligence, and negotiations with staff and OPG.
July 2020	Council agreed in principle to proceeding with the acquisition process.
Fall/Winter 2020 to Spring 2021	Negotiations, legal, land use analysis and property appraisal, ongoing consultation with Council.
June 2021	Council signed conditional Agreement of Purchase and Sale to proceed with Site acquisition. 150-day due diligence period begins.
Summer 2021 to February 2022	Due diligence including: liability and risk, title search, financing, budget and operating cost impacts, planning matters, and building, infrastructure and environmental site assessments.
February 1, 2022	Committee of the Whole votes unanimously to present the Agreement of Purchase and Sale at Council on February 15, 2022, for their final consideration.
February 15, 2022	Council approves going forward with the purchase of the property.
March 31, 2022	The Municipality of Port Hope takes official possession of the lands.
2023	Public engagement targeted to begin.

Read the Staff Report

Review the staff presentation

About the purchase agreement

As with any property sale, the agreement details not only the cost to buy the lands, but also the conditions of the sale.

Agreement highlights include:

Purchase price of $18.6 million based on a 3rd party appraisal of the land and the buildings
Seven-year lease back to OPG of the developed 260-acre industrial area. During this time, OPG will be responsible for the area and buildings.
Five-year period during which the Municipality cannot sell any parts of the land, without sharing a portion of the profits with OPG.
The Municipality bears environmental risks on the property – similar to other OPG property sales.
Municipality accepts accountability for the buildings as they are and where they are located.
More details can be found in the report.

On February 15, Council determined that the agreement and its terms are reasonable and to be a good value and investment for Port Hope, given the amount of waterfront lands and the many opportunities the property presents for the environment and for the community.

Hearing from the community

The Municipality will need the community’s help to shape the vision for how the land will be used. It will be a long-term process over decades, and the Municipality intends to seek thoughtful input from Port Hope residents, businesses, landowners, Indigenous communities, and community groups along the way.

A public engagement plan will be developed. First engagement is not likely to start until 2023.

Next steps

Staff are now preparing more detailed plans related to master planning next steps, public engagement, a long-term financial management plan, and revenue projections to ensure all work continues to align with the Strategic Plan and our vision for the future.

Questions?

We have compiled a list of questions that you may have about this land acquisition. We may not have anticipated all of your questions, but we will continue to add to this list when additional frequently asked questions arise.

FAQ's

The table below will be updated as the project progresses to include and address questions and comments from the public and media.

Frequently Asked Questions
Question	Answer
Why is the Municipality purchasing land?	Buying the land presents a unique opportunity for the Municipality. The land includes four kilometres of Lake Ontario shoreline, which is an unheard-of prospect for any municipality. More than half the lands could be available for parks, recreation, green space and the protection of significant natural and cultural features. More than 600 acres could be developed for residential, commercial and employment lands. The purchase will offer something for everyone. The purchase also aligns with community priorities and elements of Port Hope’s Strategic Plan including environmental, recreational, natural heritage protection, intentional growth, and a stronger economy. As well, Port Hope is historic and important to many people. The Wesleyville project will allow us to address growth pressures. The purchase will also supply the Municipality with tax revenue in the future that will help us achieve some of our strategic priorities.
Why wasn’t the community engaged before the Committee of the Whole meeting on February 1?	Council’s role is to implement the Strategic Plan and its priorities. We initiated this purchase and have taken it this far because it aligns with what we promised the community in terms of taking action on intentional growth, waterfront enhancement, housing and heritage and environmental protection. These lands will help us achieve each of these priorities. It is normal and important that Council meetings to discuss the negotiations to purchase land are confidential. This ensures the Municipality can negotiate a fair value for your taxpayers’ dollars. If negotiations are done in public, they could affect our bargaining position and negotiating strategy. This could result in a higher price or that conditions will be included that are not beneficial to the Municipality or the community.
Can the community comment on the Municipality’s decision to purchase the land?	As is the usual process, the public had the opportunity to provide feedback and ask questions between the Committee of the Whole meeting on February 1 and the Council meeting on February 15. The public is welcome to share comments, questions, and feedback with Council, as always.
Has the Municipality already decided how the land will be used?	No. This is a long-term project that will take decades to reach its full potential. Decisions about land use will only happen after extensive consultation with the community that will take place over many years and include various consultation phases. While there are a variety of possible mixed uses for the land, there are no specific plans for development at this stage. The only focus currently is on acquiring the land.
Will residents have a say in how the land is used?	Absolutely. The community will help to shape the vision for how this land will be used. As noted in the staff report to Council, the community engagement activities are planned to begin in 2023 and will continue in the decades to come.
Why wait until 2023 to begin community consultation?	After the purchase agreement is signed, the Municipality needs time to work with the County and Province to determine how planning will proceed and to ensure it aligns with the County’s Municipal Comprehensive Review process currently underway. As well, the Municipality will start the process to hire experienced consultants with extensive expertise in effective public engagement and consultation.
Can we afford to buy such a large plot of land?	A third-party appraised the land. The purchase price in the proposed agreement is $18.6 million. At a cost of $14,000 per acre, staff believe this is an extremely good value and investment for Port Hope, given the amount of pristine waterfront lands and the many opportunities the property presents. The Municipality will receive a $20 million low-interest loan through Infrastructure Ontario’s (IO) Municipal financing programs. For the first seven years, the Municipality will receive $530,000 in annual lease payments from OPG and the other tenants on the site. Port Hope will also receive some tax revenue during this time. Staff also anticipate that years from now portions of the land will be available for sale for residential and commercial use. The resulting revenues will help to off-set the cost of purchasing the land.
Will my property taxes go up?	The Municipality is expecting to generate revenue from buildings on the land that will be leased as part of the agreement. This means that an increase in property taxes related to this project is not expected in the near future. Longer term, it is difficult to make predictions about property taxes, especially given the variety of possible land uses and the potential for future revenue generation.
What does purchasing the land mean for our economy?	The land purchase will give Port Hope the ability to plan for future significant land use for decades to come. The Municipality will be able to protect the environmental features and consider opportunities to develop portions of the land for commercial, employment, retail, cultural, recreation and residential uses. All of these options will contribute to the local economy. Based on the agreement, a portion of the lands (approximately 260 acres) will be leased back to Ontario Power Generation for 7 years, for the continued operation of its buildings and industrial areas. The revenue from this lease will offset some of the carrying costs.
What impact will the land purchase have on the Municipality’s growth?	Port Hope is growing. The potential use of these lands aligns with the growth priorities in the Strategic Plan and will help the Municipality grow intentionally with input from the community. They will also help us shift growth away from Port Hope’s core.
Is any of the land contaminated?	The majority of the lands are considered low risk for contamination. The main focus of assessment was with the Power Generation Plant (which was never used for that purpose) and the tenant occupied buildings. OPG retained Golder, an environmental engineering consulting firm, to conduct Phase I and II Environmental Site Assessments on the property. The Municipality retained the environmental firm, Terraprobe, to conduct a peer review of the Golder’s ESA work. Terraprobe also conducted more extensive environmental tests. Based on the due diligence work, staff concluded that there are no known significant physical or environmental risks on the site. However, some minor remediation may be needed in parts that are of low risk depending on how the land will be used.
How is the land currently zoned?	Currently, the land is comprised of a mix of zoning including general employment, power generation, and environmental protection. Any rezoning will include proper planning processes, extensive community and Indigenous consultation.

I Want To...

Get in touch

Apply and Register

Pay

Get Involved

Wesleyville / OPG Lands Acquisition