HomeMy WebLinkAboutM-97-07301:
CITY OF MIAMI, FLORIDA
INTER -OFFICE MEMORANDUM 40
TO : Edward Marquez DATE : September 26, 1997 FILE
City Manager
SUBJECT : Discussion Item
l (10/14/97) meeting
FROM :qo
REFERENCES:
m
as Regala ENCLOSURES:
Vice -Mayor
I would like a discussion item placed on the agenda for the City Commission meeting, on
October 14, 1997. CODEC Incorporated, a non-profit agency, will discuss affordable
housing for Dade County's low income elderly residents.
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CITY OF MIAMI, FLORIDA 0
INTER -OFFICE MEMORANDUM
TO : Honorable Mayor and DATE OCT - 7 FILE
Members of the City Commission
SUBJECT
Discussion Concerning
CODEC, Inc. Melrose Townhomes
FROM REFERENCES. Project. --Phase III
ffw)dl4Marqez
City Manager ENCLOSURES: City Commission Agenda Item
October 14, 1997
BACKGROUND:
At the September 23, 1997 City Commission meeting, Ms. Vivian Crucet, President of the Melrose
Townhomes Condominium Association, made a personal appearance to address the City
Commission regarding a vacant parcel adjacent to Phase I and II of the Melrose Townhomes
Project. The representative of the Melrose Townhomes Condominium Association addressed the
City Commission in an attempt to ascertain whether the said parcel was owned by CODEC, Inc. or
the City, and who was responsible for maintaining the parcel. A third issue was also discussed
regarding whether Phase III of the Melrose Townhomes Project would be developed by CODEC,
Inc., which would consist of approximately forty-six (46) twnhome units.
As a result, the City Attorney Office and the .City Administration were directed to meet with Ms.
Vivian Crucet on or before Friday, September 26, 1997. On Thursday, September 25, 1997, a
meeting was held with Mr. Jose Fabregas, Executive Director of CODEC, Inc., Ms. Vivian Crucet,
and City staff representing the City Attorney's Office, the Allapattah NET Service Center and the
Department of Community Development. At that meeting, the representative of the Melrose
Townhomes Condominium Association was advised that the subject parcel was owned by CODEC,
Inc. and that as owner, was responsible for maintaining the subject parcel.
At the October 14, 1997 City Commission meeting, Vice -Mayor Tomas Regalado has scheduled a
discussion item concerning CODEC, Inc. and the development of affordable housing in the City and
Dade County. It is also anticipated that there may be additional discussion regarding the potential
of developing Phase III of the Melrose Townhome Project.
RECOMMENDATION:
Per Resolution No. 95-773, adopted by the City Commission at the October 26, 1995 City
Commission meeting, the City Manager and CODEC, Inc. are required to carry out the following
requirements, prior to the commencement of construction on Phase III.
1. Determine the fixed project development cost and unit sale prices;
2. Final amount of City's subsidy to project and overall feasibility of developing Phase
III;
3. Evidence of Dade County Surtax Program funding for Phase III.
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Honorable Mayor and
Members of the City Commission
Page 2
The said resolution further directed the City Manager to bring back his recommendation for City
Commission deliberation and/or approval, relative to the feasibility of developing Phase III of the
Melrose Townhome Project.
It is respectfully recommended that this item be referred to the City Manager for further review, as
per Resolution No. 95-773.
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J-95-1070
10/.26/96
It
RESOLUTION NO. 9 5- 7 7 3
_ A RESOLUTION, RELATING TO. THE 150 UNIT
MELROSE TOWNHOME PROJECT ("PROJECT") BEING
DEVELOPED BY CODEC, INC. , ( "DEVELOPER" )
GRANTING DEVELOPER'S REQUEST FOR OF
PAYVMT ON CITY'S LOAN OF $1,750,000 TO THE
MELROSE TOWNHOMES PROJECT; AUTHORIZING TEE
CITY MANGER TO EXECUTE' INDIVIDUAL PARTIAL
RELEASE OF MORTGAGES TO • CONSUMMATE THE
PURCHASE/MORTGAGE CLC)SINGS ON FIFTY-FOUR (54)
TOWNHOME Ur" UNDER PHASE II OF THE PROJECT;
INSTRUCTIIff THE CITY MANGER TO HBECUTS AN
AGREEMENT, IN A FORM ACCEPTABLE TO TEE CITY
ATTORNEY, WITS THE ESCROW AGENT TO PLACE IN
ESCROW THE CITY'S SEARS OF TAB PROCEEDS FROM"
THE SALE OF EACH TOWNHOME UNIT UNDER PHASE
I I , IN THE AMOUNT OF APPROXIMATELY $5 0 0 , 0 0 0 ;
DIRECTING THE CITY MANAGER AND THE DEVELOPER
TO DETERMINE THE FIXED PROJECT DEVELOPMENT
COST, UNIT SAT PRICES,, FINAL AmouNT OF CITY
SUBSIDY TO THE DEVELOPER, AND THE ECONOMIC
FEASIBILITY FOR THE DEVELOPMENT OF PHASE III
PRIOR TO THE CO24E'NCEMfiNT OF CONSTRUCTION,
SUBJECT TO CERTAIN TERMS AND CO1MITI0NS AS
HEREIN SPECIFIED.
WHEREAS, on October 26, 1995, representatives of Codec,
Inc., made a personal appearance before the City Commission to
discuss the repayment of the City's loan in the amount of
$1,750,000 in connection with the development of the 150 unit
Melrose Townhome Project ("Proj ect R) ; and
WHEREAS;—:_Codec, Inc., has requested financial relief in
connection with the $1,750,000 in City financial- assistance to
the Project due to the increased costs in building materials and
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CITY • COMUSSIO.N
MEETING OF
CCT261995
Resolution N&
-9 5 - 773
modification to the South Florid* Building Code caused
Hurricane Andrew; and
WHSRREAS, it was anticipated that the City of Miami would be
able to recapture approximately $500 , 000 after the close-out of
Phases I, II and III of the Project to fully satisfy the
$1,750,000 loan to Codec, Inc., for land acquisition and
construction financing for the Project; and
WHEREAS, Codec, Inc., has also requested a .partial release
of mortgage from the City in order to consummate the
purchase/mortgage closings on fifty-four .(54) townhome units
under Phase II of the Project;
NOW, THEREFORE, BE IT RESOLVED BY THE.COMMISSION OF THE CITY
OF MIAMI, FLORIDA:
Section 1. The recitals and findings contained in the
Preamble to this Resolution are hereby adopted by reference
thereto and incorporated herein as if fully set forth in this
Section.
Section 2. The City Com=ission hereby approves and
grants the request of Codec, Inc . , for the deferment of payment
on the City's loan of $1,750,000 to the 150 unit Melrose Townhome
Project.
Section-+; The City Manager is hereby authorized to
execute individual partial release of mortgages to -consummate the
purchase/mortgage closings on fifty-four (54) townhome units
developed by Codec, Inc., under Phase II of the Project.
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Sectionle The City Managers hereby instructed tc
executer an agreement, in a form acceptable to the City Attorney,
with the escrow agent responsible for the purchase/mortgage
closings, to place the City's share of the sales proceeds for
each Phase II townhome unit in escrow, in an estimated amount of
$500,000.
Section 5. The City Manager and Codec, Inc., are hereby
directed to determine the fixed project development. cost, unit
sales prices, final amount of the City's subsidy, and the overall
feasibility of developing Phase III prior to commencement of
construction, subject
to
the City Manager bringing back
the
feasibility study for
City
Commission approval once Codec,
Inc.
has secured Dade County surtax funding for Phase III of the
Project.
Section 6. This Resolution shall become effective
ittttnediately upon its..adoption.
PASSED AND ADOPTED this 26th day of October, 1995.
STEPEMN P. CLARK, MAYOR
ATTEST:
—WALTER J .
CITY
' 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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PREPARED AND APPROVED BY:
LINDA K-: KEARSOW
.ASSISTANT C= ATTORNEY
APPROVED AS TO FORM AND CORRECTNESS:
A: OrrnmirONES, II
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