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HomeMy WebLinkAboutCRA-R-21-0044 Bid Waiver Memo 2021-09-1314 0% Ken Russell ` Jason Walker Board Chair Executive Director Omni CRA INTER -OFFICE MEMORANDUM TO: Board Chair Ken Russell and Members of the CRA Board FROM: Jason Walker DATE: September 13, 2021 SUBJECT: 4/5ths Bid Waiver to waive Executive Director competitive negotiation procedures per City Code, authorizing the allocation of Grants funds to 14th Street Development, LLC for a mixed -used development project located within the Omni BACKGROUND: The Omni Redevelopment District Community Redevelopment Agency ("CRA") is responsible for carrying out community redevelopment activities and projects within its redevelopment area in accordance with the 2019 CRA Redevelopment Plan ("Plan"). 14th Street Development LLC, a subsidiary of NR Investments, Inc., ("Developer") submitted a grant proposal request and a Tax Increment Rebate request to the CRA requesting the amount of $15,000,000.00 in grant assistance and 95% of the available developmental Tax Increment (TIF) collected by the Omni CRA to underwrite a portion of the costs to develop a mixed -use project within the Omni CRA. NR Investments, a for -profit entity, possesses a unique approach to this mixed -use development project that will consist of ground floor retail, ground floor commercial space and approximately 398 units of income -restricted housing. The project is estimated to cost approximately $141 Million. The developer will commence construction by June 1, 2022, and substantially complete by October 1, 2024. This proposal anticipates the CRA will be extended through 2047 and as such rents will be restricted until 2047. This proposal is dependent on the successful extension of life and This project also presents a unique approach and opportunity for a local government entity to collaborate on a below -market housing project. This is a way in which local government entities are able to enhance Tax Increment Financing dollars and add equity to fill the gap in financing to achieve housing affordability in the area. OMNI COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF MIAMI 1401 N. Miami Aver 2"' Floors Miami, FL 33136 Tel (305) 679 68681 http://www.miami-cra.org/ RECOMMENDATION In light of the above -mentioned background information, the Grantee's past business successes and the CRA's identified objectives in the CRA's plan to reduce slum and blight, and in consideration of the Executive Director's pledge to allocate grant funding to further the Plan and activate the area, the approval of a bid waiver is recommended. OMNI COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF MIAMI 1401 N. Miami Aver 2"' Floors Miami, FL 33136 Tel (305) 679 68681 http://www.miami-cra.org/