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HomeMy WebLinkAboutR-22-0002City of Miami f Legislation Resolution: R-22-0002 File Number: 11189 City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com Final Action Date: 1/13/2022 A RESOLUTION OF THE MIAMI CITY COMMISSION FINDING THAT THE NOVEL CORONAVIRUS 2019 PANDEMIC HAS CAUSED A FORCE MAJEURE DELAY OF THE PERFORMANCE OF RIVERSIDE WHARF, LLC'S ("TENANT") OBLIGATION TO OBTAIN PERMITS FOR THE PROPOSED DEVELOPMENT OF THE CITY -OWNED PROPERTY LOCATED AT 236 AND 298 SOUTHWEST NORTH RIVER DRIVE, MIAMI, FLORIDA, 33130 ("PROPERTY"), WHICH IS CURRENTLY LEASED TO THE TENANT ("PROJECT"); AUTHORIZING AN EXTENSION OF THE FOUR (4) YEAR DEADLINE TO OBTAIN NECESSARY BUILDING PERMITS CONTAINED IN SECTION 29-B OF THE CHARTER OF THE CITY OF MIAMI, FLORIDA, AS AMENDED, FOR THE PROJECT FOR AN ADDITIONAL EIGHTEEN (18) MONTHS; DIRECTING THE CITY MANAGER TO TAKE ANY AND ALL ACTIONS NECESSARY TO FORMALIZE SUCH EXTENSION; FURTHER AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AMENDMENT TO THE LEASE OF THE PROPERTY BETWEEN THE TENANT AND THE CITY OF MIAMI, IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, SETTING FORTH REVISED DEADLINES FOR PLAN SUBMITTAL, CONSTRUCTION COMMENCEMENT, AND CONSTRUCTION COMPLETION CONSISTENT WITH THE EXTENSION AUTHORIZED HEREIN. WHEREAS, the City of Miami ("City") is the owner of waterfront real property located at 236 and 298 Southwest North River Drive, Miami, Florida, 33130 ("Property"); and WHEREAS, the Property is subject to a Lease Agreement between the City and Riverside Wharf, LLC ("Tenant") dated May 16, 2017 and authorized pursuant to Resolution No. R-15-0530 ("Lease"); and WHEREAS, the Lease was approved by voter referendum on March 15, 2016; and WHEREAS, Section 29-B of the Charter of the City of Miami, Florida, as amended ("City Charter'), provides that "[a]ny lease for the development of improvements of city -owned property which has been approved by voter referendum shall require additional voter referendum approval for a development on City -owned property where the developer has not obtained the necessary building permits within four (4) years of the effective date of the lease" ("29-13 Deadline"); and WHEREAS, Section 29-B of the City Charter also provides that the 29-B Deadline "shall not be applicable when the delay in the performance of any obligation is as a result of force majeure, or litigation that questions the validity of the vote, or the City Commission action to place the question for referendum, then the performance of such obligation shall be extended by the length of the delay"; and City of Miami Page 1 of 3 File ID: 11189 (Revision:) Printed On: 112612022 File ID: 11189 Enactment Number: R-22-0002 WHEREAS, on March 11, 2020, the World Health Organization declared the Novel Coronavirus 2019 ("COVID-19") a pandemic; and WHEREAS, the City declared a State of Local Emergency due to the COVID-19 pandemic on March 12, 2020; and WHEREAS, the effective date of the Lease is May 16, 2017 and the deadline for obtaining the necessary building permits pursuant to the 29-B Deadline expired on May 16, 2021; and WHEREAS, the Tenant has not yet obtained the necessary building permits for the development contemplated and authorized by the Lease; and WHEREAS, the Tenant is requesting an extension of the 29-B Deadline due to force majeure delays caused by the COVID-19 pandemic; and WHEREAS, the determination of whether a force majeure event has caused delays by which the 29-B Deadline may be extended is a factual question addressed on a case -by -case basis: and WHEREAS, the Tenant submitted information concerning the manner in which COVID- 19 caused force majeure delays, including, without limitation, that the preparation and finalization of the plans necessary for permit approvals was significantly impaired by office closures, staffing issues, and safety considerations resulting from COVID-19, as well as the industry -wide impacts of COVID-19, which affected the design of the proposed development; and WHEREAS, based on the information provided, the City would like to authorize a force majeure extension of the 29-B Deadline equal to eighteen (18) months for the Tenant to obtain necessary building permits on or before November 16, 2022; and WHEREAS, the Lease should also be amended to reflect updated deadlines for plan submittal, construction commencement, and construction completion; NOW, THEREFORE, BE IT ORDAINED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are adopted by reference and incorporated as if fully set forth in this Section. Section 2. The City Commission hereby finds that the COVID-19 pandemic caused a force majeure delay to the performance of the Tenant's obligation to obtain permits for the Project pursuant to the 29-B Deadline. Section 3. The 29-B Deadline is hereby extended for the Project for an additional eighteen (18) months from May 16, 2021 to November 16, 2022 due to the force majeure delays caused by the COVID-19 pandemic. Section 4. The City Manager is directed to take any and all actions necessary to formalize the extension to the 29-B Deadline. City of Miami Page 2 of 3 File ID: 11189 (Revision:) Printed on: 112612022 File ID: 11189 Enactment Number: R-22-0002 Section 5. The City Manager is directed and authorized' to negotiate and execute an amendment to the Lease, in a form acceptable to the City Attorney, setting forth revised deadlines for plan submittal, construction commencement, and construction completion consistent with the extension as stated herein. Section 6. This Resolution shall become effective immediately upon its adoption and signature of the Mayor.2 APPROVED AS TO FORM AND CORRECTNESS: 1 i 4inde�k,�Cii y Attor iey 1/3/2022 The herein authorization is further subject to compliance with all legal requirements that may be imposed, including but not limited to, those prescribed by applicable City Charter and City Code provisions. 2 If the Mayor does not sign this Resolution, it shall become effective at the end of ten (10) calendar days from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become effective immediately upon override of the veto by the City Commission. City of Miami Page 3 of 3 File ID: 11189 (Revision:) Printed on: 112612022