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HomeMy WebLinkAboutR-91-0021J-91-59 1/10/91 (M 90-934 12/6/90) RESOLUTION NO. y 1 - 21 A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT, IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, WITH EDWARD J. GERRITS, INC., GENERAL CONTRACTORS, TO PROVIDE A LOAN IN THE AMOUNT OF $500,000 AT TWO PERCENT (2%) INTEREST RATE FOR A PERIOD OF SEVENTEEN (17) YEARS TO BE SECURED BY A SECOND MORTGAGE ON THE PROPERTY DESCRIBED IN THE AGREEMENT AND BY CORPORATE GUARANTEE OF EDWARD J. GERRITS, INC., AND LIMITING ANY FIRST MORTGAGE ON SAID PROPERTY TO A MAXIMUM AMOUNT OF $400,000, WITH ALL DISBURSEMENTS TO BE MADE IN THE FORM OF DRAWS AS THE FUNDS BECOME NECESSARY FOR A NEW CORPORATE FACILITY IN THE CITY OF MIAMI TO REPLACE THE COMPANY BUILDING DESTROYED IN THE WYNWOOD CIVIL DISTURBANCE OF DECEMBER 16, 1990, AND TO THEREBY HELP RETAIN THIS PROMINENT BUSINESS IN THE WYNWOOD NEIGHBORHOOD OF THE CITY, WITH FUNDS THEREFOR ALLOCATED FROM THE TARGET AREA MINI-UDAG LOAN POOL FUNDS OF THE COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM. WHEREAS, the City Cornmissien is desirous of providing assistance to the businesses affected by the recent civil disturbance in the Wynwood neighborhood; and WHEREAS, one of the largest buildings destroyed in the Wynwood disturbance belonged to Edward J. Gerrits, Inc., General Contractors; and WHEREAS, Edward J. Gerrits, Inc., General Contractors, requires financial assistance in order to reestablish its business in the Wynwood neighborhood; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The City Manager is hereby authorized to enter into an agreement/, in a form acceptable to the City Attorney, with Edward J. Gerrits, Inc., General Contractors, to provide a loan in the amount of $500,000 at two percent (2%) interest rate 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. CITY COIF MSSION MEEETIT,iC OF - J AN 10 1" for a period of (17) seventeen years secured by the corporate guaranty of Edward J. Gerrits, Inc., for the purpose of assisting in the construction of a new corporate facility at 3465 Northwest 2nd Avenue, Miami, Florida, located in the Wynwood neighborhood, which facility was destroyed in the civil disturbance of December 16, 1990. Section 2. The Agreement shall specify that the loan contemplated herein shall be secured by a second mortgage on property to be more particularly described in said Agreement and such property shall at no time be encumbered by a first mortgage that would exceed $400,000, and all disbursements of loan proceeds shall be in the form of draws to ensure that such proceeds will be used for the purpose herein intended. Section 3. Funds for the herein loan are hereby allocated from the Target area Mini-UDAG Loan Pool funds of the Community Development Block Grant Program. Section 4. This Resolution shall become effective immediately upon its adoption. PASSED AND ADOPTED this 17jay ,�1991. IER L. SU , MAYOIA ATTEST �- MATTTHIRAI, CITY CLERK BUDGETARY APPROVAL: MANOHAR S. DEPARTMENT DIRECTOR FINANCIAL APPROVAL: Z�:Z��L � I CARL E. GARCIA, DIRECTOR DEPARTMENT OF FINANCE PREPARED AND APPROVED BY: RAFAEL 0. .DIAZ / 11 CHIEF ASSISTANT CITY ATTORNEY ROD/pb/M1976 COMMUNITY DE DEP APPROVAL: A, DIRECTOR COMMUNITY DEVELOPMENT APPROVED AS TO FORM AND CORRECTNESS: JOR E L. FE ANDEZ CIT ATTORN 91 21