The URL can be used to link to this page

Home My WebLink AboutM-98-0257TO FROM CITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM Honorable Mayor and Members of the City Commission Jose Garcia -Pedrosa City Manager DATE: SUBJECT REFERENCES: ENCLOSURES: 21 January.26, 1998 FILE Discussion Item Request from Bakehouse Arts Complex On September 30, 1997, the City received a request from the Bakehouse Arts Complex for $25,000.00 of emergency funding as matching funds to an award from the Miami -Dade Cultural Affairs Council, for the immediate repairs to the structural columns and beams supporting the main gallery. The complex has been cited as unsafe by the Building and Zoning Department. This request was subsequently denied by the City Manager's Office under former City Manager Edward Marquez. On November 17, 1997, the Bakehouse Arts Complex submitted another request to the Office of the Mayor, Xavier Suarez. According to officials of the Bakehouse Arts Complex, failure to acquire these funds will jeopardize the future operations of this cultural center. Funds in the amount of $25,000.00 have been identified and are available to comply with this request. The City Commission approved $25,000.00 for the Youth of America, Inc. on October 21, 1997, pursuant to Resolution 97-747, for the purpose of providing commercial facade services in the Model City neighborhood. Youth of America, Inc. has subsequently informed the City that it does not intend to accept the award or enter into a City contract. Therefore, these funds are available to assist the Bakehouse Arts Complex. shared-memosvh>mayorcc3 9 98- 257 T H E B A K E H (D U S E A Workplace For Artists Boars} of Directors Dr. R,Men Appel Yrr.avda•nr Larry Mierwh /..•a Vice Yrerrdenr Helen L. Kalten _nd Vice President Peley Cox Secyrrary Jean Waldhers reasurr. Pols Reydhurd Erecwive Dirrcror Karen Albritton Faith Atlas L. Frank Cordem Guy Forchion Rosie Gordon -Wallace Russell Hicken Ton Luyk Olga Melin Helene Pancoast Suzanne Saliehs Claire savitt November ' l 7, 1997 Mayor Xavier Suarez City Of Miami 3500 Pan American Dr Miami, F1 33133 Dear Mayor Suarez. A RT .COMPI_ EX, I NC 561 N W. 32nd Street Miami. Florida 33127 Telephone : 305/576 - 2828 Fax : 305/576 - 2828 First, let me congratulate you on your election victory and return to office. P, I am writing to you in my capacity as President of the Board of Directors of the Bakehouse Art Complex - The Bakehouse is celebrating its tenth anniversary and is -a- success story which you helped initiate. I am writing to advise you of an emergency situation which now exists involving the deteriorating state of the beams and columns in the Bakehouse Gallery. Like many buildings bunt in the 1920's, they were constructed with beach sand. .In September we requested emergency fimding from the City of Miami Community Development Office for $25,000 as a match for funds from the Metro -Dade Cultural Affairs Council for this project. The staff of the Cities' Community Development Office, approved the request, and had prepared the documentation for approval, however, a week ago the administration turned down the request suggesting the Bakehouse seek CDBG funds from the county. What was an urgent situation in September has become an emergency. The Gallery has been closed and, in fact, has been condemned by the Department of Building and Zoning. I would like to reconfirm that all preparations have been made to begin the repairs immediately: the engineering studies are complete, the plans for the repairs are already approved by the Building Department, the contractor is ready to get the -permit and the Metro's Cultural Affairs Department is providing matching funds. 1111 11 NKI I111 at —1 \If I 1 . .N11•I 1 1, 'Ir, al 1 1 \ I N I \I \N 1 1 ♦-,I . 1 1 •1 4 \ 1 1. 1— M ]��]V. . ♦25,71, ,\ (2) I am writing to ask your help in placing our fimd request on the community calendar for December 9. (The calendar for November 25 is already filled.) Thank you very much. Sincerely yours, Rober�ApfelDDS, sident 98- 25-7 0-09 11 : 45 Bs:4:EHOLSE APT COMPLEx 2024 P.2 THE BAKEHOLJSE ART COMPLIEX,INC. 561 N.W. 32ad Saws A workplace For Arrisrs Miami. Florida 33127 Telophone : 303/576 - 2322 Fax : 305/576 - 2229 1r. ffapocn A00 September 30, 1997 PMWWCW Commissioner Wifredo (Willy) Gort Leery lk&wmh JAW %CC PMAtA~ City of Miami 14141601- Ko"a 35M Pan American Drive Miami, FL 33133 rwp c" Dear Commissioner Gort: Sam *Owd..:s """"" The Bakehouse Art Complex is no longer one of Miami's best kept secrets. As " w a;- obwo W%VdW the enclosed list of grants indicates, the vision of the founders to create a space that offers low-cost wonting and exhibition facilities for artists has received Koff" AJWiUM private and public support. s igh AAA" c left However, The Bakehouse is facing an emergency that requires immediate action. The columns and beams in the gallery, origin► built in 1924. have to be Oise k replaced as soon as possible. Like most buldfts of the period, they wore constructed with beach sand, and the salt content has eroded the steel supports. s.'"R The gallery is the focus of the monthly Second Sunday Open House which brings dozens of art collectors, visitors, and tourists to Wynwood, a _ neighborhood located in an Enterprise Zone. Cbsing the gallery indefirwtelj while funds are procured, wiN greatly affect over 50 artists who regularly exhbit as well as a growing audience that attends The Bakehouse Exhibitions. Given the urgency of this request, it is not possible to wait until CDOG funds for 1996 are allocated. Since the City of Miami is amending the Community Development Block Grant Program, we ask you to consider our request to reprogram twenty five thousand dollars (525.000) that vAl .,Mdfunds already awarded by Metro -Dade Cultural Affairs Council for this urgent project. Or could the funds be allocated from the S1'000,000 designated for the Downtown Development Authority? Enclosed you will find a copy of the engineering study that gives detailed information on the most cost efficient solution for this problem. The City of Miami Building Department has already approved the plans for the repairs. Please help Miami's only "Workplace for Artists' and one of the country's most innovative inner-city cultural projects during this major emergency. Thank you for you continued support. Si rely. ROBERT APFEL. DDS POLA RE DBURD President Executive Director 98- 25"7 a^scCigousE . n-r COn.4rLCx is . NON rnOe'IT vlSl.i.L.�RTS AND EDVC/,.T70NwL ORGnN/2.+TOW .. ♦..-.. ate.. ►. vn...... .... -.,..��. .o..<.. ,...s..�.. ... .... Tuesday, October 21, 1997 REPAIR OR BAKEHOUSE ART COMPLEX 561 NW 32 ST MIAMI FL 33 I27-3749 Iff ffliami - FIRST NOTICE C;P1� rty ManagerUEZ RE: 561 NW 32 ST Folio:O 1 -3125-020-0630 DEVONSHIRE PARK SUB PB 5-21 LOTS I THRU 13 BLK 7 LOT SIZE 88920 SQ FT 'OR 12635-356 0985 5 Dear Owner(s): Section 202.2 of the South Florida Building Code sets criterion by which a building is evaluated to determine whether or not it is unsafe, constitutes a fire hazard, or is otherwise dangerous to human lifer or public welfare. An inspection of the above revealed that it is in violation of Section 202.2 and the following defects have been found: UNSAFE CONDITION AT MAIN EXHIBITION HALL; DAMAGES AND SIGNS OF FAILURE AT MAIN BEAM AND SEVERAL STRUCTURAL COLUMNS. REQUIRING REPAIRS AS SOON AS POSSIBLE. " You are, therefore, requested to repair or detpolish this structure: Please contact the Building Code Compliance Section, Building and Zoning Department, P.O. Box 330708, Miami, Florida, or by phone at (305)4I6-11 13, and advise of your intentions. If either a demolition or building permit is not obtained or we do not hear from you by Friday, October 31, 1997, it will be necessary to move toward demolition of your building in accordance with the detailed procedure in the South Florida Building Code. Very truly yours, Ruben Avila Assistant to the Director Codc Compliance cc: Rafael Portuondo, U.S. H.U.D. J. CEDRIC L. MAR 98 2-57 r)FPART..mFNT nF ni:it niNr. x 'nNINCi444 S W end Avenue. 4th Floor/&141m,. FL 33130//(305141b-1100 City National Bank O F F L O R 1 D A February 18, 1998 Dr. Robert Apfel, President The Bakehouse Art Complex, Inc. 561 Northwest 32nd Street Miami, Florida 33127 Re: $225,000 Mini -Permanent Mortgage Loan on land and improvements located at 539 and 561 Northwest 32nd Street, Miami, Florida (the "Property") Dear Dr. Apfel: This letter will serve as a modification to our March 3, 1997 Commitment Letter, to grant The Bakehouse Art Complex, Inc., a Florida not for profit Corporation ("Borrower") a Loan to be secured by a first mortgage on the above referenced property. To the extent that the terms of this letter conflict with the terms in our March 3, 1997 Commitment Letter, the terms within this letter shall govern: Section 8 on Page 2 is amended to include two additional guarantors: Repayment of $60,000 of the Loan shall be unconditionally guaranteed by the parties listed below, whose guarantees shall be limited by the amounts next to their name. The total amount of the foregoing guarantee shall be reduced dollar -for -dollar with each reduction of the principal balance of the loan, with the amount guaranteed by each guarantor being reduced on a pro rata basis in accordance with the relative amount of his or her guarantee. r $ 10,000 me $ 10,000 $ 10,000 $ 10,000 'la�eE $ 5,000 1 $ 5,000 $ 5,000 $ 5,000 25 W. Flagler Street, Miami, Florida 33130 305-577-7333 305-577-7460 Fax 98- 257 www. citynational. com Bakehouse Art Complex, Inc. February 18, 1998 Page 2 First paragraph following Section 13 on Page 7 is modified to read: "This commitment letter carries an expiration date of March 31, 1998 in the event this loan does not close on or before said date. In the event this commitment is not accepted by Borrower on or before February 26, 1998 it shall be automatically withdrawn and of no effect." Additional conditions to closing are as follows: 1. Receipt of the Borrower's Statements of Financial Condition for the fiscal year ending July 31, 1997 and for the four months ending November 30, 1997, in original form, complete with accountant's supporting notes, and certified to bank. The Borrower's operating cashflow for the four month period ending November 30, 1997 must be sufficient to cover debt service on the Loan for a four month period by a ratio of no less than 1.20 to one. 2. Lender will holdback from the loan proceeds at closing an amount equal to 125V (one hundred twenty five percent) (the "Cleanup Holdback") of the total cost (the "Cleanup Cost") necessary to cure the recommendations addressed in the Limited Phase Two Environmental Site Assessment report prepared by Ambient Technologies, Inc. dated October 8, 1997. The Cleanup Cost must be clearly stated in a written, fully executed legally binding contract (the "Cleanup Contract") between Borrower and a licensed contractor acceptable to Lender. The Cleanup Contract must be subject to the procurement of all necessary permits and applicable inspections resulting in the submittal to Lender of absolute proof that the Cleanup Contract has been completed in accordance with all applicable laws and that the Property is in unconditional compliance with applicable prevailing law. 3. Lender will holdback from the loan proceeds at closing an amount equal to the total cost necessary to cure the wood - destroying organism infestation at the Property (the "Termite Funeral Cost"). The Termite Funeral Cost must be clearly stated in a written, fully executed legally binding contract (the "Termite Funeral Contract") between Borrower and a licensed contractor. 98- 257 Bakehouse Art Complex, Inc. February 18, 1998 Page 3 4. Lender will holdback from the loan proceeds at closing an amount equal to the total cost (the "Structural Repair Cost") necessary to cure the existing structural deficiencies at the Gallery section of the Property. The Structural Repair Cost must be clearly stated in a written, fully executed legally binding contract (the "Structural Repair Contract") between Borrower and a licensed contractor. S. Lender acknowledges that the purpose of the Loan is to refinance a first mortgage loan with an approximate principal balance of $208,000 from Beal Bank, a Texas State Savings Bank ("Beal Bank"). At closing, Lender will pay Beal Bank an amount equal to the Loan amount less the sum of the Cleanup Holdback, the Termite Funeral Cost, and the Structural Repair Cost (the "Holdback"). Beal Bank will thereupon subordinate its lien in an amount equal to the Holdback to the Lender's first mortgage. Lender will remit the Holdback directly to Beal Bank in a single payment subject to the receipt of paid invoices for the Cleanup Contract, Termite Funeral Contract, and Structural Repair Contract, in addition to receipt of the Borrower's express written request. Beal Bank must agree to this Holdback procedure in writing prior to closing, and provide a Satisfaction of its Mortgage Lien immediately upon acceptance of the Holdback. 6. Borrower shall submit to Lender complete, fully executed copies of the Cleanup Contract, Termite Funeral Contract, and Structural Repair Contract. 7. Borrower shall submit to Lender the Phase Two Environmental Site Assessment report prepared by Ambient Technologies, Inc., in original form and to be certified to Lender prior to closing on this Loan. 8. Borrower shall submit to Lender written verification from all applicable Federal, State, and local governments and applicable private entities, that sufficient resources (the "Grant Funds") are available to the Borrower for the costs necessary to complete the Cleanup Contract, Termite Funeral Contract, and Structural Repair Contract. 98- 257 Bakehouse Art Complex, Inc. February 18, 1998 Page 4 9. Lender will take by assignment the Grant Funds as additional collateral, if allowed by law. 10. Written proof from a licensed roofing contractor and certified to Lender that all roofing systems of the Property are in acceptable condition. If the terms of this letter are acceptable, please sign and return this original document. Very truly yours, CITY NATIONAL BANK OF FLORIDA By: Todd G. Feinberg Assistant Vice President /tf ACCEPTED THIS ,�O DAY OF 1998. Bakehouse Art Complex, Inc., a Florida not for profit Corporation By: Robert Apfel, P sident 98- 25.7