Disposition (Sales) Process
Any property within the Infrastructure Ontario portfolio that is no longer required for the delivery of government programs and services, is circulated to provincial ministries and agencies to determine if there is a continued government need for the property.
If no provincial government need is identified, the property is considered surplus and is circulated concurrently to other levels of government, registered eligible not-for-profit corporations, public colleges and universities, school boards and eligible indigenous communities. If any of these entities express interest in the property, IO may proceed to negotiate with the interested party for a sale at market value. This is called a Direct Sale.
Government of Ontario approval is required before any property is sold. This approval is obtained by an Order In Council (OIC).
Note regarding Not-for-Profit Corporations
As of April 1, 2013, eligible not-for-profit corporations that provide a public benefit are included in the circulation of surplus government real estate. To gain access to the circulation, not-for-profit corporations must meet established eligibility criteria and apply to the Ontario Nonprofit Network, which is responsible for maintaining the registry of eligible not-for-profit corporations. Eligible not-for-profit corporations that demonstrate financial and organizational capacity may express an interest in purchasing surplus government property at market value prior to the property being place on the open market for sale. Refer to the Ontario Nonprofit Network website for further information.
Occasionally, properties in the provincial portfolio that are no longer required for the delivery of government programs and services are non-viable parcels of land that are for example land-locked or cannot be developed on their own. In these cases, the abutting property owners may be interested in these specific parcels. In such circumstances, a sale at market value to the abutting property owner could take place. This is called a Direct Sale.
If a property is no longer required by the Province, and no other level of government, eligible not-for-profit organization, public college or university, school board or indigenous community has expressed an interest in acquiring it through the circulation process, the property may be marketed to the public by an external real estate broker, through an open and competitive process. This is called an Open Market Sale.
Prior to any sale, IO conducts its normal due diligence on the property.
IO’s due diligence requirements may include, but is not limited to, the following activities:
- Market Value Appraisals
- Title Opinions
- Environmental Site Assessments
- Archaeological Reports
- Planning Reports
- Heritage Studies – Land & Building
- Duty to Consult with First Nations
Properties that are identified as Open Market Sales are listed for sale on IO’s website, and are generally marketed for at least 30 days prior to accepting any offers. You can contact the property’s Broker directly or the IO Sales Manager for information on the property you may have an interest in.
The Government of Ontario announced on December 4, 2018 that it is reducing red tape and accelerating sales of surplus government property, making IO’s process more efficient. The properties identified in the announcement are in varying stages of circulation, due diligence and marketing.
Search the Surplus Properties Sales Program database to learn more about properties currently listed for sale.