The former Glenway golf course lands in Newmarket were purchased by the developer Marianneville in 2010 for less than $10M. Since then, the old fairways are being progressively replaced by housing. It was the deal of the century which generated a huge profit for the developer who (successfully) gambled on being able to change the land use designation from open space to housing. The Town passed over the chance to buy in 2008 when the then Chief Executive, Bob Shelton, advised councillors that the Town was not in the business of running a golf course. (It should be in the business of preserving and protecting open space.)
Phoney valuation
A phoney valuation allowed the developer to claim a “tax receipt” from the Town of Newmarket, allowing it to offset the donation against tax otherwise owing to the Canada Revenue Agency. The developer would get a proportion of the purported value of the donated land, assessed at $14.2M. This is how charitable donations work in the tax system. Charitable donations of land which are claimed against tax, as described, require a valuation.
Marianneville said it would only donate the land to the Town if it got a tax receipt in return. The gift was conditional. The Town was happy to oblige:
“In consideration of the conveyance of the Lands and Stormwater Management Lands to the Town, (i.e. the donated lands) The Town agrees to provide a tax receipt to the Owner, as permitted under guidelines by the Canada Revenue Agency, reflecting the fair market value (FMV) of the (donated lands) and to place a recognition plaque within the (donated lands) acknowledging the donation of these lands to the Town.”
“The FMV will be determined by an appraisal of the Lands jointly commissioned by the Town and the Owner…”
Extraordinary assumptions 
In arriving at their April 2021 valuation, Bottereo & Associates, make a series of “extraordinary assumptions” based on an analysis which
“relies upon written and verbal information obtained from primary and hearsay sources. Client supplied information was assumed to be correct and was verified where possible.”
It was all smoke and mirrors.
Bottero assumed that if the donated land was
“not to be required for park related purposes it would… support medium density residential development similar to that for the remainder of the Parent Property” (ie the Town House block at Bathurst and Sykes).
One third of the donated land on the western side next to Bathurst would be preserved as open space. There really wasn’t an alternative as this land in the Oak Ridges Moraine is a significant water recharge area.
Stormwater ponds to be filled in
They also assumed the two stormwater ponds in the remaining two thirds could be filled in and developed:
“These are being considered, consistent with the industry norm, on the basis of being otherwise developable.”
This "extraordinary assumption" is a complete fantasy. I have not seen a single document from the Town suggesting the donated land could be used for any other purpose than parkland and open space. But even if the Town were, at some point in the future, to change its use from open space to housing – as predicated by Bottero - then where would the water run-off go if the ponds were filled in? The valuers say they consulted the Town’s Planning Department. Was that question ever put to them or to the Town’s engineers? If not why not?
Ponds to be upgraded 
Next week the Town will be consulting Glenway West residents on plans to “upgrade and retrofit the ponds at 320 Alex Doner Drive”. (Pond 13 also known as 3 shown right).
The work is being done by the Town and the Lake Simcoe Region Conservation Authority presumably in recognition that the ponds are still needed. Public money is being spent to enhance the ponds, not get rid of them. I am authoritatively told that at no stage has the Town ever considered filling them in. Successive reports from engineers and hydrologists never said the ponds were surplus to requirements.
The valuers say town houses could be built on the filled in ponds. But this would clash with the Town’s compatibility policies where new developments are supposed to fit in with adjacent housing forms. Concerns about compatibility were voiced by the Mayor and ward councillor, Christina Bisanz, when the Glenway West development was formally approved by the Town on 2 May 2022.
Open Space purposes
As early as May 2017 the Town was celebrating the promised gift of 16 acres of land
“for park/open space purposes as well as land supporting the existing stormwater management facilities”.
Councillors welcomed the gift of open space.
On 3 February 2020 - over a year before Bottero did their report - the Statutory Public Meeting on the Glenway West development was held.
When the details were finalised in December 2021, Newmarket Today reported the views of Marianneville's Vice-President Joanne Barnett:
The donated lands are around the former 16th hole of the golf course. Barnett said that portion of the property was less suitable for development for houses, but worked for a trail system.
“They supported two stormwater ponds and segued nicely into the woodlot there,” Barnett said. “It was a nice fit.”
Marianneville and the Town jointly commissioned Bottero & Associates to do the valuation but it was the developer’s recommendation and the Town went along with it.
The resulting valuation was completed on 14 April 2021 and the Town issued the tax receipt for $14.2M on 14 December 2021. The Town’s then Treasurer said the tax receipt didn’t cost the Town anything. Just the cost of a sheet of paper. The Town marked the official handover in a news release on 16 December 2021.
Later that month Newmarket Today reported that the Glenway West development was nearing the planning finish line after the land donation.
Deaf Ears
Over the years I’ve raised concerns about the extraordinary assumptions made by Bottero & Associates but these have largely fallen on deaf ears. So far as I know the valuers never asked the Town's planners and engineers if their extraordinary assumptions about filling in the stormwater ponds and building townhouses on the land were even remotely realistic. 
I gave detailed reasons for believing the whole valuation process was flawed in a letter to the Canada Revenue Agency but, other than an acknowledgement, it has disappeared into a big black hole in Ottawa.
I asked the Town’s (then) newly appointed Chief Executive, Ian McDougall, if he would commission a new valuation but he said he would only do so if directed by the CRA.
So there the matter stands.
The developer offloads undevelopable land to the municipality and is allowed to set its charitable donation against tax otherwise owed to the Canada Revenue Agency.
The Town gets much needed open space for free.
And we, the public, bear the cost of upgrading the stormwater ponds that, fancifully, could be filled-in and the land developed for housing if the Town decided in a moment of madness it no longer needed the park and open space..
What is to be done?
If I were a member of Newmarket Council I'd be pressing the Town get in touch with the Appraisal Institute of Canada asking them to look again at their “industry norms” which allow valuers to make “extraordinary assumptions” on matters such as storm water ponds without checking with the municipality first to see if their assumptions are credible and supportable.
So far as the CRA is concerned, I guess Marianneville has now cashed in its tax receipt and, for them, it’s all water under the bridge.
That's the way the system works.
Money for old rope.
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My letter to CRA is here.
Work continues elsewhere in Glenway West: