I'm not huge on the density transfer thing; I'm perfectly content to support the greater density/height you envision, I''m just not a fan of monetizing density permissions even as much as we do now.
I think what's best for the City should be the focus, not the monetary interests of developers.
***
In terms of park space, I don't see any value to that on this small site.
I'm all for widening the sidewalk sufficiently to allow for quality street trees, with integrated seat walls, but otherwise, parks/pops don't make much sense to me here.
If any area parks were to be expanded; for the immediate area, I might consider, buying the properties on the left below, beside the 'Maple Leaf Forever' cottage, to give that park more visibility from the street; although the current entrance is quite quaint.
As a second choice, a bit further afield, taking some money to further acquisitions in the 'Small's Creek' system would be nice.
Small's Creek is now a small trickle of water; but was once more robust, flowing from just north of Danforth, through what is now East Lynn Park, southward, ultimately, to the Lake.
From:
https://upload.wikimedia.org/wikipe...Goads-Map.jpg/250px-Smalls-Pond-Goads-Map.jpg
Today, the 'creek' is still above ground just north of the railway corridor, then south to roughly Gerrard, disappears into a pipe, before a brief reappearance opposite to the rear of the No Frills on Coxwell.
Moncur Park, and Orchard Park are part of the historic Creek system.
I have this nuts idea that we could fully re-daylight the creek one day; and in furtherance of that, slowly buying up the missing links and adding them to the park system would further that goal.
I've used the 'distance' measure function in Google to draw a white line showing the approximate route of the creek (still in pipes, in tact).