Land Disposition
Land Disposition
The City of Kawartha Lakes manages the sale of unopened road allowances and unopened shoreline road allowances under its Property Disposition By-law, in accordance with the Municipal Act, 2001. Property owners may apply to purchase adjacent City-owned land to expand their lot, legalize encroachments, or facilitate development.
Process Summary
- Submit an Application – Complete the online application and review the associated costs before submission.
- Land Management Review – Applications are reviewed by the Land Management Team, which meets six times a year. If approved, a non-refundable deposit is required to proceed. If declined by Land Management Team, applicants may request a deputation before Council
- Public Notice - The City publishes a notice to ensure transparency
- Council Approval – A report is presented to Council for approval. Council may direct the sale at set rates per square foot or require an appraisal for fair market value.
- Utility Consultation – Realty Services consults utility companies to determine if easements are required
- Survey & Purchase Agreement – A land survey is completed. A non-refundable deposit in the amount of the quote provided by the surveyor. An Agreement of Purchase and Sale is prepared for review and execution
- Final Approval & Closing – A by-law is passed by Council authorizing the sale. The sale is finalized through solicitors
Key Considerations
- Applicants are responsible for all costs incurred, including deposits, surveys, appraisals (if required), and legal fees.
- The process typically takes 12 to 18 months.
- If the applicant withdraws, they remain responsible for costs incurred up to that point.
Understanding the Land Purchase Process
The City of Kawartha Lakes has adopted a property disposition by-law in accordance with the Municipal Act, 2001. Some reasons people would like to proceed through the process to purchase the adjacent unopened road/shoreline road allowance to their property might be as a lot addition or to legalize an encroachment. The encroachment may influence a Planning Department Application or could be to further the enjoyment of their property.
1. Application Submission
The initiation of the process to purchase an unopened road, or shoreline road allowance is through submitting an application to Realty Services. Prior to submitting an application to Realty Services, please review the general costs associated with this application. The application is advanced to the Land Management Committee meeting for consideration. The Land Management Team has six scheduled meetings a year and matters can be deferred (if the agenda has a high volume of requests) to the following meeting. Realty Services will receive the minutes from the Land Management Team meeting and send a letter outlining the decision made.
2. Land Management Review & Decision
In the event the Land Management Team declines your request, you have the option to proceed with a deputation. The deputations are scheduled through the Clerks Department.
In the event the Land Management Team has no objection to your request, you will receive a letter from Realty Services outlining the next steps and the expected costs associated with the process.
3. Public Notice
Realty Services will require a deposit (non-refundable) to proceed with the public notice. This deposit will be credited towards the final closing costs, or against the costs incurred to date if the applicant decides to no longer proceed with the transaction. The purpose of the public notice is to ensure the public is formally made aware of the City of Kawartha Lakes’ intent to dispose of a public asset in an open and transparent venue. This process provides the public with the opportunity to advise Council of any reason they feel Council should consider prior to disposing of an asset or how it would effect the enjoyment of their property. This portion of the process provides the applicant with acknowledgement from Council. Staff is not able to bind Council. Realty Services will complete a Report to Council providing the background of the matter, outlining the Land Management Team’s recommendation and request permission to proceed with the sale.
4. Council Approval & Pricing
Council has directed Realty Services to proceed with disposing of unopened road/shoreline allowance at a set price. The current set price is $2.50 per a square foot of interior road allowance, $3.50 per a square foot of shoreline road allowances adjacent to a river and $9.00 a square foot of shoreline road allowances adjacent to lakes. The City of Kawartha Lakes’ land is an asset and from time to time Council may decide to proceed to dispose of the unopened road/shoreline allowance through fair market value. If Council decided to proceed in this direction, the applicant would be responsible for the additional expense of an appraisal. In the event, an appraisal is required, Realty Services would request quotes and request a non-refundable deposit, in the amount quoted by the appraiser. Upon receiving the non-refundable deposit, Realty Services will retain the appraisal company and will receive an estimated date of completion from the appraiser.
5. Utility Consultation & Survey
During the public advertising, Realty Services is completing a utility consultation. The utility consultation is necessary to preserve any interest in the unopened road/shoreline road allowance. The interest is preserved through retaining an easement in favour of the appropriate utility company prior to closing of the sale. If an easement is requested by the utility company, this will not change the set rate outlined within disposition by-law.
Realty Services will proceed with obtaining quotes from Ontario Land Surveyors to obtain a deposited reference plan. Staff will require a non-refundable deposit from you, in the amount quoted from the surveyor, prior to proceeding with retaining the surveyor. Upon receiving the deposit, Realty Services will proceed to retain the Ontario Land Surveyor and an estimated completion time is provided.
6. Agreement of Purchase and Sale
Realty Services will complete the agreement of purchase and sale. The agreement of purchase and sale will be sent to you for you/your solicitor’s review. Once you are comfortable, you will execute and return the agreement of purchase and sale with your solicitor’s contact information.
7. Final Approval & Closing
Once the agreement of purchase and sale is received, Realty Services will proceed to bring a by-law to Council, which will provide the City of Kawartha Lakes with the permission to be able conclude the sale. This is the last opportunity in the regular procedure for Council to decline the sale. The applicant is obligated to pay all outstanding funds Realty Services has incurred from their sale to date.
Realty Services sends the fully executed agreement of purchase and sale to the solicitor to arrange a closing date with the applicant’s solicitor and complete the transaction.
The entire sale process is estimated to take between twelve to eighteen months to complete this process. In the event the applicant decides to cancel the process at any time, the applicant is responsible for all costs incurred (up to the date of cancellation) by Realty Services for their transaction.
Costs
Realty Services operates on a cost-recovery basis. While staff provide estimated costs for transactions, these are based on averages and may vary. Deposits are required throughout the process before incurring expenses, allowing applicants to manage costs before the City commits to expenditures.
If an applicant terminates a transaction (whether a sale or agreement), they remain responsible for all costs incurred up to that point. All requests begin with a non-refundable application fee of $145.00, which is adjusted annually based on the Consumer Price Index (CPI).
Costs for a Disposition of Land (Sale)
In addition to the application fee, applicants must cover all costs incurred by the City related to their request. These may include:
- Legal fees
- Public notification expenses
- Survey/reference plan costs
- Appraisal fees (if required)
- Other miscellaneous expenses
For a shoreline or road allowance sale, estimated costs (excluding the purchase price) typically include:
- Legal fees: $2,000 – $2,500
- Public advertising: $500 – $2,500
- Reference plan (survey): $3,500 – $8,000
- Appraisal fee: $2,000 – $3,000
- City staff time expense: $1,500
Currently, the City does not require newspaper advertising due to limited circulation. Additionally, Council has set a fixed rate for shoreline/road allowances and landlocked lot additions, eliminating appraisal costs in most cases. However, Council may require an appraisal at its discretion, which would be the applicant’s responsibility.
Set Prices for Shoreline/Road Allowances and Landlocked Lot Additions
Per By-Law 2018-020 (download) (as amended), the following rates apply:
Road Allowances (Shoreline/Interior)
- Interior road allowances: $2.50 per sq. ft.
- Shoreline road allowances (rivers): $3.50 per sq. ft.
- Shoreline road allowances (lakes): $9.00 per sq. ft.
Landlocked Lot Additions
- For farm additions: $1,500 per acre (minimum)
- For other lots: $1.00 per sq. ft.
Additional Considerations
Costs may increase due to factors such as title issues or parcel size/type. Applicants must also cover their own legal fees. HST applies where applicable. A $35.00 fee applies to any NSF (non-sufficient funds) cheques.
License/Encroachment Agreement
Applicants are responsible for all City-incurred costs, including:
- OLS drawing: $3,500 – $8,000
- Deposit: The deposit will be the amount of the quote received from the OLS
- Certificate of Insurance
If an applicant terminates the request after the OLS drawing is obtained, they must still cover this cost. Applicants must also retain their own legal representation at their own expense. A $35.00 fee applies to any NSF cheques.
How Can I Pay the Application Fee/Deposit?
A non-refundable fee (as set out in the Consolidated Fees and Charges By-Law 2018-234 (download), as amended) must accompany each request that is submitted to the Realty Services division. The fee can be paid by cheque or bank draft, made payable to "The City of Kawartha Lakes" and mailed to:
The City of Kawartha Lakes
Realty Services
26 Francis Street
P.O. Box 9000
Lindsay, ON K9V 5R8
Please note a fee will be applied to any N.S.F cheques.
The fee can also be paid by debit or credit card at any municipal service centre. Hours and locations of the service centres can be found online.
Do I Need a Lawyer?
For a Sale
The City of Kawartha Lakes has its own legal counsel, but they represent the City’s interests only and cannot provide legal advice to purchasers. Buyers must retain their own lawyer to handle the transfer, sign the Transfer/Deed, and ensure compliance with Ontario land registration requirements. A purchaser’s lawyer typically reviews the Agreement of Purchase and Sale, conducts a title search, and checks for any outstanding encumbrances or issues with the property.
For a License Agreement
The City’s legal counsel represents only the City and cannot provide legal advice to adjacent property owners (Licensees). Licensees must retain their own lawyer to review the agreement and provide legal advice on their behalf.
Contact Us
Kawartha Lakes
P.O. Box 9000, 26 Francis Street
Lindsay, ON, K9V 5R8
Telephone: 705-324-9411
Toll free at 1-888-822-2225
After-hours emergencies: 1-877-885-7337