HomeMy WebLinkAboutR-01-0168J-01-104
2/14/01
RESOLUTION NO. 0 1 16 8
A RESOLUTION OF THE MIAMI CITY COMMISSION,
WITH ATTACHMENTS, BY A FOUR-FIFTHS (4/5 THS)
AFFIRMATIVE VOTE, RATIFYING, APPROVING AND
CONFIRMING THE CITY MANAGER'S ACTION IN
AUTHORIZING THE ACQUISITION OF THE FIRST
MORTGAGE INTEREST ON THE FIVE (5) PROPERTIES
LOCATED WITHIN THE CITY'S MODEL CITY
HOMEOWNERSHIP ZONE AS DESCRIBED IN
"EXHIBIT A," FROM FOUR (4) FINANCIAL
INSTITUTIONS INCLUDING EASTERN NATIONAL
BANK, COMMERCE BANK, N.A., HAMILTON BANK AND
INTERNATIONAL FINANCE BANK; AUTHORIZING THE
ALLOCATION OF HOME INVESTMENT PARTNERSHIPS
("HOME") PROGRAM FUNDS, IN THE AMOUNT OF
$150,000, FOR SAID PURPOSE; FURTHER
AUTHORIZING THE CITY MANAGER, IN
COLLABORATION WITH THE CITY ATTORNEY TO TAKE
SUCH ACTIONS AS MAY BE NECESSARY, INCLUDING
THE EXECUTION OF ALL DOCUMENTS, IN A FORM
ACCEPTABLE TO THE CITY ATTORNEY, FOR SAID
ACQUISITION.
WHEREAS, the City of Miami holds a second mortgage on
certain properties owned by Miami Limited II described in
Exhibit "A" attached hereto, and located at 1501 Northwest
59th Street, 1270 Northwest 60th Street, 1320 Northwest
61St Street, 1321 Northwest 61St Street and 1370 Northwest
613t Street (the "Properties") ; and
WHEREAS, four (4) financial institutions, including Eastern
National Bank, Commerce Bank, N.A., Hamilton Bank and
CITY C014MISSION
mrri d ; be,
FFD 1 5 2001
Resolution, NP.
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International Finance Bank held a first mortgage on the
Properties having a principal balance of $1,838,436; and
WHEREAS, the Properties are located in the City's
designated Model City Homeownership Zone and the City's
acquisition of the Properties will play an integral part in the
City's Comprehensive Neighborhood Revitalization Strategy for
the Model City Revitalization District; and
WHEREAS, on June 26, 2000, a written offer was made by the
City to purchase the first mortgage position held on the
Properties for $103,000, and such offer was accepted; and
WHEREAS, in October 2000, the first mortgage holder(s)
terminated the transaction with the City; and
WHEREAS, in December 2000, to avoid any potential
litigation, the first mortgage holder(s) re -opened negotiations
with the City and a new purchase price of $150,000 was agreed
upon by both parties; and
WHEREAS, due to the urgent need to take immediate action,
it was determined that it was advantageous and necessary for the
City Manager to authorize HOME funds in the amount of $150,000
to be used to complete the purchase of the first mortgage
position and to protect the City's interest in the Properties;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE
CITY OF MIAMI, FLORIDA:
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01- 168
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. By a four-fifths (4/5th,) affirmative vote,
the City Manager's action in authorizing the acquisition of the
first mortgage interest on the five (5) properties located
within the City's Model City Homeownership Zone as described in
"Exhibit A," attached and incorporated, from four (4) financial
institutions including Eastern National Bank, Commerce Bank,
N.A., Hamilton Bank and International Finance Bank, is ratified,
approved and confirmed, and the allocation of Home Investment
Partnerships ("HOME") Program Funds, in the amount of $150,000,
is authorized for said purpose.
Section 3.
The City Manager,
in collaboration with
the
City Attorney is
authorizedL/ to take
such actions as may
be
necessary, including the execution of all documents, in a form
acceptable to the City Attorney, for said acquisition.
1 The herein authorization is further subject to compliance with
all requirements that may be imposed by the City Attorney,
including but not limited to those prescribed by applicable City
Charter and Code provisions.
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01- 168
Section 4. This Resolution shall become effective upon
its adoption and signature of the Mayor./
PASSED AND ADOPTED this 15th day of February , 2001.
JOE CAROLLO, MAYOR
In accordance with Miami Cosa;, Sec. 2-30, since the Mayor did not indicate
this legislation by s;gijiri in the de j, . "'I of
designated place provided, said legislEii.ion no ,,=
beconnes effective with. the elapse of ten (10) days from the date of commission a :tion
regarding same, without the Mayor exercising a vote.
ATTEST:_
.� Walter J. Foeman, Ci y'Clerk
WALTER J. FOEMAN
CITY CLERK
CTNESS:t,/
zi If the Mayor does not sign this Resolution, it shall become
effective at the end of ten 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.
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01- 168
CITY OF MIAMI, FLORIDA 13
INTER -OFFICE MEMORANDUM
TO: Honorable Mayor and Members
of the City Commission
FROM: z
City Manager
RECOMMENDATION:
DATE : JAN 3 0 2001 FILE:
SUBJECT: Resolution Ratifying, Approving and
Confirming City Manager's Action to
Acquire Miami Limited II Housing Project
REFERENCES:
City Commission Agenda Item
ENCLOSURES: Meeting of February 15, 2001
It is respectfully recommended that the City Commission adopt the attached resolution, by a
4/5`hs affirmative vote, ratifying, approving and confirming the City Manager's action to allocate
$150,000 in Home Investment Partnership Program (HOME) funding to acquire the first
mortgage interest held by a consortium of four (4) banks on properties included in the Miami
Limited II Housing Project, consisting of five (5) multi -family apartments buildings located in
the Model City Homeownership Zone.
The attached resolution further authorizes the City Manager and the City Attorney to take all the
appropriate legal actions necessary to consummate the acquisition of the subject properties.
BACKGROUND:
At its meeting of September 14, 2000, the City Commission adopted Resolution No. 00-757
which authorized the City Manager to acquire the first mortgage position of the Miami Limited II
housing project, consisting of five (5) substandard apartment buildings, from a consortium of
four (4) banks, which include Eastern National Bank, Commerce Bank, N.A. Hamilton Bank and
International Finance Bank (Consortium). The subject properties are located in the Model City
Homeownership Zone at the following addresses:
1501 NW 59`h Street
1270 NW 60'' Street
1320 NW 61S` Street
1321 NW 61s' Street
1370 NW 61S` Street
The attached legislation further authorized the City Manager to acquire the subject properties and
allocated an amount not to exceed $103,000 utilizing Home Investment Partnership Program
(HOME) funding.
In October 2000, negotiations between the City and the Consortium were terminated after the
Consortium received offers to purchase the subject loan from other interested parties. In
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December 2000, in order to avoid any potential legal litigation regarding the City's prior
purchase offer, the Consortium re -opened negotiations with the City and a new purchase price of
$150,000 was agreed upon by both parties.
The attached resolution ratifies, approves and confirms the City Manager's action in authorizing
the expenditure of $150,000 in Home Investment Partnership Program funding to acquire the
subject properties prior to securing City Commission approval in order to protect the City's
second mortgage position.
DB/GCW/JBH
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EXHIBIT "A"
ADDRESS: LEGAL DESCRIPTION: FOLIO NUMBER:
1501 Northwest 59th Lots 19 & 20, Block 01-3114-035-2430
Street 13, Orange Heights,
according to the
Plat as recorded in
Plat Book 14, at
Page 62, of the
Public Records of
Dade County,
Florida.
1270 Northwest 60th Lots 4 & 5, Block 6, 01-3114-043-0970
Street of Orchard Villa
Extension, according
to the Plat as
recorded in Plat
Book 17, at Page 55
of the Public
Records of Dade
County, Florida.
1320 Northwest 61st Lots 6 to 9 Inc., 01-3114-043-0690
Street Block 4, of Orchard
Villa Extension,
according to Plat as
recorded in Plat
Book 17, at Page 55
of the Public
Records of Dade
County, Florida.
1321 Northwest 61st Lots 29 & 30, Block 01-3114-043-0160
Street 1, of Orchard Villa
Extension, according
to the Plat as
recorded in Plat
Book 17, at Page 55
of the Public
Records of Dade
County, Florida.
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1370 Northwest 61st Lots 3 through 5 01-3114-043-0660
Street Inc., Block 4, of
Orchard Villa
Extension, according
to the Plat as
recorded in Plat
Book 17, at Page 55
of the Public
Records of Dade
County, Florida.
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