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HomeMy WebLinkAboutItem #51 - Discussion ItemCITY OF MIAMI, FLORIDA 33 INTER -OFFICE MEMORANDUM TO: The Honorable Mayor and Members of the City Commission FROM: �°'�CarIO Gimenez City Manager DATE: OCT 17 2001 FILE: SUBJECT: Coconut Grove Playhouse REFERENCES: ENCLOSURES: As directed at the City Commission meeting of October 11, this memorandum serves as the requested written report concerning the Coconut Grove Playhouse (Playhouse) and the potential lease and redevelopment of appropriate areas of the site. A few months ago, State Representative Manuel Prieguez suggested to me that the City should consider the surface parking lots adjacent to the Coconut Grove Playhouse for potential redevelopment. The parking lots are part of the larger Playhouse property that is owned by the State of Florida, and is administered by the Governor and Cabinet, sitting as the Board od Trustees of the Internal Improvement Trust Fund (IITF), through the Department of Environmental Protection (DEP). The entire site is leased by IITF to the Department of State, then subleased to the Players State Theater, Inc. the non-profit manager and operator of the professional performance venue. The City of Miami's Off -Street Parking Authority currently has a license agreement to operate a parking concession on the surface lots. Several years ago, the Off -Street Parking Authority was under contract with the State to redevelop the site, but the effort wound up in litigation that was ultimately settled around 1999. Given the expressed need of Center Grove merchants for improvements and activities to serve as catalysts for business in the area, I agreed to consider Representative Prieguez's request. For further information, I was referred to DEP, which gave the City an application for the lease of State land and a "boilerplate" lease agreement. The legislator had also contacted this agency and advised it of the City's interest. DEP, in responding to the wishes of an elected official, understood this to be a priority matter and arranged to schedule, if needed, an item for an October meeting of the IITF. In making those arrangements, the DEP issued a legally required notice to surrounding property owners, informing them of a potential lease with the City. In fact, the City has not, as yet, made application for such lease, but has only begun to study the matter to see if it makes sense. We are first examining pertinent documents (deeds, a property survey, leases, subleases and settlement agreements) received from the State. We've asked our real estate consultant, Barry Abramson, to give us a rough sketch of potential obligations and benefits if the City were to lease the property and then have a private sector develop it under the Unified Developmgnt Project process. As we review the matter, we clearly see the need for a joint effort by the City, the Playhouse and the State to ensure success. We are in touch with representatives of the Playhouse Board and are scheduled to meet during the week of October 15, 2001. Representative Prieguez is aware of the meeting being scheduled with Playhouse Board members and we will continue to keep him informed as discussions proceed. When more comprehensive input is in hand, we will make a recommendation to the City Commission as to whether the City should apply for such a lease and what terms are appropriate. CAG/DB/ I r"