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HomeMy WebLinkAboutSEOPW-CRA-2002-12-16-Discussion Item 10ITEM I Q CITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM To: Chairman Arthur E. Teele, Jr. and Date: December 3, 2002 File: Members of the CRA Board Subject: Ward Rooming House From: Ms. Annette Lewis References: Acting Executive Directo Enclosures: Support Documentation RECOMMEDATION: It is respectfully recommended that the CRA Board authorize the lifting of restrictions, as placed by SEOPW Resolution No. 00-133, that limits expenditure to the cost of acquisition of the Ward Rooming House, located at 249 NW 2ND Avenue JUSTIFICATION On December 18th 2000, the Board of Directors authorized the acquisition of the Ward Rooming House located at 249 NW 2nd Avenue via Resolution No. 00-133. With the passing of said resolution, the Board also restricted the use of funds solely for costs related to its acquisition. The Ward Rooming House is a recognized historical site within the existing Redevelopment Plan. In order to move forward with the restoration of the site, the removal of restriction placed by Resolution 00-133 is required to meet this end. t "64" ,,r ITEM 10 RESOLUTION NO. SEOPW/CRA R- A RESOLUTION OF THE BOARD OF DIRECTORS OF THE SOUTHEAST OVERTOWN PARK WEST (SEOPW) COMMUNITY REDEVELOPMENT AGENCY AUTHORIZING THE LIFTING OF THE RESTRICTION, AS PLACED BY SEOPW NO. 00-133, THAT LIMITS EXPENDITURES TO THE COST OF ACQUISTION OF THE WARD ROOMING HOUSE LOCATED AT 249 NW 2ND AVENUE. WHEREAS, the CRA desires to move forward on the planning and development of the historic site of the Ward Rooming House located at 249 NW 2nd Avenue; and WHEREAS, SEOPW Resolution 00-133 placed restrictions on the type of expenditures for the Ward Rooming House the release of restrictions on the expending of funds except for those required to acquire the site hinders said planning and development. NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE SOUTHEAST OVERTOWN PARK WEST COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are incorporated herein as if fully set forth in this Section. Section 2. The Board of Directors of the CRA authorize the lifting of the restriction, as placed by SEOPW Resolution No. 00-133, that limits expenditures to the cost of acquisition of the Ward Rooming House located at 249 NW 2nd Avenue CUSSED M M Section 3. This resolution shall be effective immediately upon its adoption. PASSED AND ADOPTED this 16`h day of December, 2002. Arthur E. Teele, Jr., Chairman Priscilla Thompson Clerk of the Board APPROVED AS TO FORM AND CORRECTNESS: Alejandro Vilarello CRA General Counsel _L'ERK'S UFFIC:t ILL;I U I U JdI1 lr vIIu.vv�, SEOPW/CRA RESOLUTION NO. SEOPW/CRA 0 133 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE COMMUNITY REDEVELOPMENT AGENCY ("CRA") APPROVE THE PURCHASE OF THE WARD ROOMING HOUSE LOCATED AT 249 NW 2ND AVENUE, SUBJECT TO MINOR TITLE DEFECTS LISTED ON EXHIBIT "A", FOR A PURCHASE PRICE NOT TO EXCEED $27,500 PLUS CLOSING COSTS, WHEREAS, the City of Miami approved and Adopted the Southeast Overtown/Park West Community Redevelopment Plan pursuant to Resolution Nos. 82-755 and 85-1247 (the "Redevelopment PIan"); and WHEREAS, the CRA is responsible for carrying out community redevelopment activities and projects in the Southeast Overtown/Park West Redevelopment Area (the "Redevelopment Area") established pursuant to the Redevelopment Plan; and WHEREAS, the CRA desires to approve the purchase of the Ward Rooming House located at 249 NW 21nd Avenue, subject to title defects listed on Exhibit "A" attached hereto in an amount not to exceed $27,500.00 plus closing costs, with the express understanding that except for the cost to secure the property, no further, funds will be expended to improve the property without further action of the Board. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are incorporated herein as if fully set forth in this Section, Section 2. The Board of Directors of CRA hereby approves the purchase of the Ward Rooming House located at 249 NW 2nd Avenue subject to the title defects listed on Exhibit "A" for a purchase price not to exceed $27,500.00 plus closing costs, with the express understandingAhat except for the cost to secure the property, no further funds will be expended to improve the property without further action of the Board. Section 3. The resolution shall be effective upon its adoption. PASSED AND ADOPTED on this 18th day of December, 2000. D t saorww& 0 0 -- 13 3 Chairman Teele: All right. Item Number 7. Mr. Director, you want to explain just a moment? Dipak Parekh (Executive Director, CRA): Yes. Commissioner, the Board gave approval to purchase this property about over six months ago, and further authorized the staff later to enter into an agreement. The members of the Ward Rooming House did not want to enter into a lease. They would like to sell that particular property. We had a few title defects, which we would like to work with Holland and Knight to sort them out. And at this moment in time, staff is recommending that we purchase the property, pending resolution of those title defects. Board Member Sanchez: And second -- Chairman Teele: Moved by Commissioner Gort. Board Member Sanchez: Second. Chairman Teele: Seconded by Commissioner Sanchez. Board Member Sanchez: Pending the title litigation. Chairman Teele: No. We're moving forward without that. Board Member Sanchez: No. The Director said that. No? Vice Chairman Winton: Mm-mmm. Mr. Parekh: No. We're purchasing -- Vice Chairman Winton: First. Mr. Parekh: We would like to purchase the property and then have a resolution by Holland and Knight after we have purchased it. Vice Chairman Sanchez: OK. Second. Vice Chairman Winton: How big is this site? How many square feet? Chairman Teele: It's directly in front of the Dorsey House. It's a two-story burnt out building that the City of Miami has issued two demolition orders on. And we're standing in the way of demolition of that building, because of its historic nature. And it really is just, in my judgment, a total disconnect. Is Frank Rollason here? Frank, you need to come up and explain, because the owners agreed to allow this house to be demolished. Is that right, Frank? 24 CRA 12/18/00 Frank Rollason (Assistant City Manager): Originally, they did. Then there were some problems. Chairman Teele: And I objected strongly to you, because, I mean, we have destroyed enough historic properties in this City, as far as I'm concerned, in the black community for a lifetime. Mr. Rollason: Right. And the objective now is to try to save it. And this has been why we've held off on the demolition. Chairman Teele: And just so it's real clear, the cost of saving this structure is probably going to be in the vicinity of three hundred? Mr. Parekh: Around that. Chairman Teele: Three hundred thousand dollars ($300,000). Vice Chairman Winton: Right. Board Member Sanchez: To restore it? Chairman Teele: To restore. Vice Chairman Winton: So how big is the site? Mr. Parekh: Fifty by a hundred. Chairman Teele: It's very small. Mr. Rollason: Right. Most of it's going to have to be rebuilt according to sketches and photos from earlier times. A lot of it's gone. Chairman Teele: It's been gutted by a fire from drug use. Mr. Rollason: Right. Chairman Teele: And the building should have been demolished probably six months ago, but for the Building and Zoning Department recognizing there are some historic issues that we wanted to try to save. Vice Chairman Winton: So once we buy it, are we going to secure the property, or are we going to start on refurbishing the property, restoring the property? I mean, what's -- what-- I've lost track of what our mission is here with this property. Mr. Parekh: Well, our mission is to repair the, per the five year plan, which has been approved by the Board, is to convert this to its historical stage when it was there originally. What this means is that it will allow the CRA to purchase the property, and furthermore, start rehabbing that entire property. We may have to demolish a number of parts of it and save the parts, which would convert into an historical entity. ED 25 CRA 12/18/00 Mr. Rollason: Right. What the Building Department will look for is for it to be made safe and secured. And from that point, you can go forward with a plan to refurbish it. Chairman Teele: I don't mean to be disrespectful, Mr. King, but -- Mr. King, Mr. King, I don't mean to be disrespectful to you, sir, but, you know, this project is one of the projects that I think you all are going to be responsible for. And these -- we've been having a five minute discussion on this, and this is part of our issue. We've got to get everybody to stay focused on when Board Members are speaking what they want to do. And I think the issues that Commissioner Winton is raising about the Ward Rooming House are directly germane to you, sir. So I would appreciate very much if you'd work with us on this one. Vice Chairman Winton: If our plan -- and is it in our budget to begin the rehab? Is that already in our budget? Mr. Parekh: Yes. Vice Chairman Winton: OK. Mr. Parekh: It's been in for the last two years (inaudible). Vice Chairman Winton: So we've got money budgeted to begin the refurbishing of this particular property. Mr. Parekh: Yes, sir. Vice Chairman Winton: From legal counsel, if we close on this property and we begin refurbishing the property and we can't clear title -- Board Member Sanchez: No, no, he's not going to do that before he clears title. Mr. Bloom: Our recommendation to CRA staff is to acquire the property, to secure it, so we don't have the issue of demolition... Board Member Sanchez: To clear title first. (INAUDIBLE COMMENT BY MR. BLOOM) Vice Chairman Winton: Very good. Chairman Teele: Look, I don't want to fight over this one, but I'm going to say this. Everybody needs to understand, this is a historic property. And I don't want to say something that undoes the deal. But we're going to use CDBG (Community Development Block Grant) funds. We could provide a grant in the full amount to the existing owners for this project. See, historic properties are totally different from any other properties when you talk about this. So the need to secure control is not the same as in a commercial piece of property, because, Johnny, the truth of the matter is if the owners of the property were builders, or developers or something, the easiest thing for us to do would be to give them a three hundred thousand SSED 26 CRA 12/18/00 1, „ dollars ($300,000) grant for the restoration of this. But knowing how -- you know, dollars and accountability issues, I'm not prepared to sign off on something like that. Vice Chairman Winton: Right. Chairman Teele: So I just wanted to make it -- This is historic. But we'll do whatever a majority of the Board does. We'll bring it back here. But the important thing to understand is two things. This property is very historic. It was built -- I forget the -- we have not done the full research on it, but 1925, 1925, I'll take that. And the Cola Net (phonetic) was built when? Vice Chairman Winton: The what? off Chairman Teele: '27 or '26. The Cola Nk. '23? The Cola Net was built in '23. So somewhere between '23 and -- these buildings all go back to the 1920's when Overtown and 9th Street was really the golden part of this. If we don't move on this building, the same thing is going to happen to this building that is happening to the Cola Net. And what is happening to the Cola Net is an absolute human tragedy of monumental proportion as it relates to a historic piece of property that we can't do anything about. So we got trees that have been growing up inside this building now, and we've had two fires in the building. And so that's what this is all about, just trying to hold onto it. And so I would really appreciate if we could buy the building. I assume that you all have a deal with the owners. Is that right? Mr. Parekh: Yes. Chairman Teele: You know that personally, sir? Mr. Parekh: Yes. We have discussed this with the owner, and they'd rather enter into a buying arrangement [Note: Audio technical difficulty caused a few seconds to be missed in the recording]. (Continuing) would rather try to sell it or go ahead with the CRA on this project. Board Member Sanchez: Mr. Attorney, Mr. Bloom, have you looked at the titles, the defects? Can they be cleared? William Bloom (Legal Counsel, CRA): We're talking about the -- Board Member Sanchez: The title defects. Mr. Bloom: -- the wording. I think it's just a question of again tracking down some heirs. Board Member Sanchez: But it could be cleared, to the best of your knowledge? In other words, you know, we could go ahead and purchase the Ward Rooming House; we could clear the title and then move on the restoration? Mr. Bloom: There's no reason to believe that -- Vice Chairman Winton: -- that we cannot. DISCUSSED 27 CRA 12/18/00 Mr. Bloom: -- (Inaudible.) Again, it's one of these situations (inaudible). Board Member Sanchez: That's not the question. I'm asking, have you looked at the title defects, and could they be taken care of? Mr. Bloom: What I'm saying to you is we've looked at the title. We came back with a list of people having an interest in of the property. Vice Chairman Winton: That's the issue, not the defects. Mr. Bloom: Of all those people, maybe 70 to 80 percent have already signed the documents. The others weren't there to sign the documents (inaudible). Board Member Sanchez: OK. (INAUDIBLE COMMENT BY MR. BLOOM) Board Member Sanchez: OK. We won't start remodeling until we clear the title. Chairman Teele: We won't start remodeling or anything other than securing until we bring it back to this Board. Vice Chairman Winton: Right. Board Member Sanchez: So move. Chairman Teele: For an action. I'll concede that. All right. And I really hope that you all with get with Community Development and with the lawyers, and explain individually to each Board Member why there is no risk in doing the development, because the intent is to preserve the property. And we could do it any number of three ways. The easiest way is to give three hundred thousand dollars ($300,000) to the previous owners, which we don't want to do, because that's not what the planning document that B&A (Bermello, Ajamil) did in this two years ago. This has been floating around. Moved. And is it seconded? Board Member Sanchez: With those conditions. Vice Chairman Winton: Yes. Chairman Teele: With the conditions that it will return to this Board -- Vice Chairman Winton: Second. Chairman Teele: -- before anything is done prior to -- other than securing the building. Further discussion? All those in favor, say "aye." The Board (Collectively): Aye. 28 c"[DOXISSED Chairman Teele: All right. The following resolution was introduced by Board Member Sanchez, who moved for its adoption: RESOLUTION NO. SEOPW/CRA 00-133 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE COMMUNITY REDEVELOPMENT AGENCY ("CRA") APPROVING THE PURCHASE OF THE WARD ROOMING HOUSE LOCATED AT 249 N.W. 2ND AVENUE WITH MINOR TITLE DEFECTS IN AN AMOUNT NOT TO EXCEED $27,500.00 AND ANY ENCUMBRANCES, AND OTHER CLOSING COSTS. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Vice Chairman Winton, the resolution was passed and adopted by the following vote: AYES: Board Member Wifredo Gort Board Member Tomas Regalado Board Member Joe Sanchez Chairman Arthur E. Teele, Jr. Vice Chairman Johnny L. Winton NAYS: None ABSENT: None IFD 29 CRA 12/18/00 PLANNING DISCUSSED