HomeMy WebLinkAboutR-91-0214J-91-212
3/6/91
RESOLUTION NO. 91 w 214
A RESOLUTION, WITH ATTACHMENTS, RELATING TO
THE DEVELOPMENT OF A 52 UNIT AFFORDABLE
HOMEOWNERSHIP HOUSING PROJECT PLANNED FOR
DEVELOPMENT ON THE CITY -OWNED FERN ISLE
NURSERY SITE BY THE ALLAPATTAH BUSINESS
DEVELOPMENT AUTHORITY; RATIFYING, APPROVING
AND REAFFIRMING RESOLUTION NO. 88-569,
ADOPTED ON JUNE 9, 19881 WHEREBY THE CITY
COMMISSION APPROVED IN PRINCIPLE, THE
AFOREMENTIONED NOT -FOR -PROFIT CORPORATION AS
THE PROJECT SPONSOR TO UNDERTAKE THE
DEVELOPMENT OF TWO (2) MEDIUM DENSITY
RESIDENTIAL PROJECTS ON THE FERN ISLE NURSERY
SITE, ALSO KNOWN AS TRACTS "B" AND "C";
FURTHER RATIFYING, APPROVING AND REAFFIRMING
MOTION NO. 89-172, ADOPTED FEBRUARY 9, 1989,
WHEREBY THE CITY COMMISSION ACCEPTED A
PURCHASE OFFER FROM THE ALLAPATTAH BUSINESS
DEVELOPMENT AUTHORITY IN THE AMOUNT OF THREE
HUNDRED TWENTY FIVE THOUSAND DOLLARS
($325,000) FOR TRACTS "B" AND "C" SITUATED AT
THE SOUTHERN MOST PORTION OF THE FERN ISLE
NURSERY SITE; ESTABLISHING SEVENTY FIVE
THOUSAND DOLLARS ($75,000) AS THE
REIMBURSEMENT AMOUNT TO BE PAID TO THE CITY
FOR TRACT "C" WHERE THE PROPOSED 52 UNIT
TOWNHOUSE PROJECT WILL BE CONSTRUCTED;
AUTHORIZING THE CITY MANAGER TO EXECUTE A
PURCHASE AND SALE AGREEMENT FOR CONVEYANCE OF
TRACT "C", WHICH IS MORE PARTICULARLY AND
LEGALLY DESCRIBED IN THE ATTACHED EXHIBIT
"A", TO THE ALLAPATTAH BUSINESS DEVELOPMENT
AUTHORITY FOR THE DEVELOPMENT OF SAID HOUSING
PROJECT, SUBJECT TO CERTAIN TERMS AND
CONDITIONS AS SET FORTH THEREIN; FURTHER
AUTHORIZING THE CITY MANAGER TO EXECUTE A
MEMORANDUM OF AGREEMENT, IN SUBSTANTIALLY THE
ATTACHED FORM, BETWEEN THE CITY OF MIAMI AND
THE ALLAPATTAH BUSINESS DEVELOPMENT AUTHORITY
IN CONNECTION WITH THE PROPOSED TOWNHOUSE
PROJECT.
WHEREAS, in the City of Miami, a severe housing shortage
exists within the affordability range of low and moderate income
families and individuals; and
WHEREAS, the City Commission recognizes that participation
of both the public and private sectors is necessary to further
the development of housing in the City of Miami within the
affordability range of low and moderate income families and
individuals, including the elderly; and };
ATTACHMENTS'
CONTAINED
MAR 14
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WHEREAS, in April of 1988, representatives of the Allapattah
Business Development Authority made a personal appearance before
the City Commission to request conveyance of a portion of the
City -owned Fern Isle Nursery Site consisting of approximately 3.4
acres, for the development of two (2) medium density residential
housing projects affordable to low and moderate income families
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and individuals, including the elderly; and
WHEREAS, in June of 1988, through Resolution No. 88-569, the
City Commission approved in principle, granting development
rights to the Allapattah Business Development Authority for the
purpose of undertaking the development of two (2) medium density
residential housing projects on the Fern Isle Nursery Site; and
WHEREAS, through Resolution No. 88-569, the City Commission
also directed the City Manager to convey title for that portion
of the Fern Isle Nursery Site required for residential use by the
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project sponsor, predicated on a land reimbursement provision
that provides a fair return to the City for the value of the
land, which conveyance is expressly permitted, under City Charter '
Section 29B; and
WHEREAS, through Motion No. 89-172, the City Commission
accepted a purchase offer of $325,000 from the Allapattah
Business Development Authority for two (2) parcels of land on the
Fern Isle Nursery Site; and
WHEREAS, through Resolution No. 89-563, the City Commission
amended Section.3 of Resolution No. 88 -569, adopted June 9, 1988,
which assigned a value of $250,000 as the reimbursable amount to
the City for Tract "B" on which a proposed elderly_ housing
ro ect would.be constructed; p j r and
WHEREAS; through Resolution No. 89-563, the. City Commission:
established $75 000 as the purchase price for Tract "C", $75"000 �
being the difference between the total purchase price of $325,000
and the $250,000 purchase price for Tract ''B and agreed. to
+convey Tract."C".to the Allapattah Business Development Authority
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orthe purpose of : developing a fifty-two. (52) unit townhouse 3
projecti and a .
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WHEREAS, the Allapattah Business Development Authority has
secured approximately $1+481,500 in construction and permanent
financing from Metropolitan Dade County through the County's
Documentary Surtax program for the development of the proposed
townhome project; and
WHEREAS, the project sponsor has also tentatively secured
approximately $1,484,859 in private financing from Northern Trust
Bank to assist in the financing of the proposed housing project;
and
WHEREAS, it is imperative that construction be underway on
the proposed townhome project on or before May 31, 1991;
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 Commission hereby ratifies and
a reaffirms Resolution No. 88-569, adopted June 9, 1988, wherein
the City, Commission approved in principle, the selection of the
Allapattah Business Development Authority as the sponsor for two
(2) medium density residential housing developments planned on
Tracts "B" and "C" of the City -owned Fern Isle Nursery Site.
Section 3. The City Commission hereby ratifies and
reaffirms. Motion No. 89-172, adopted February 9, 1989, wherein
_the City Commission approved in principle an amount of $325,000
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as the purchase price for .Tracts "B" and "C" of the City -owned
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-Fern Isle Nursery Site to be paid by the Allapattah Business
Development.Authority in connection with the development of two
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(2)-medium density residential housing projects planned.
Section 4. The City Commission hereby establishes $75,000
as the reimbursement amount to be paid by the Allapattah Business
Development Authority to the City for Tract "'C", the southern
most portion of the Fern Isle Nursery site in connection with the
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construction of the fifty-two (52) unit townhome project
Af fqr ahle • to low and moderate income fa
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Section 5. The City Manager is hereby authorized to execute
a purchase and sale agreement and to convey the vacant parcel of
land known as Tract "C" of the Fern Isle Nursery Site to the
Allapattah Business Development Authority in connection with the
development of the proposed 52 unit townhome project, subject to
certain terms and conditions as set forth in the attached
Memorandum of Agreement between the City of Miami and the
Allapattah Business Development Authority. The City Manager is
hereby authorized to execute the aforementioned Agreements
between the City of Miami and the Allapattah Business Development
Authority in connection with the proposed townhome project.
Section 6. This Resolution shall become effective
immediately upon its adoption.
PASSED AND ADOPTED this 14th day of March ,
EXHIBIT" q�'.
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FE I LE NIJ���I�Y E
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--51MLITY EASEMttiT 1.660 ACRES I
MEMORANDUM OF AGREEMENT
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BETWEEN
TUB CITY OF HIAMI
AND
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! ALLAFATTAH BUSINESS DEVELOPMENT AUTHORITY, INC,
This Agreement is entered into by and between the CITY OF
MIAMI, Dade County, a Municipal Corporation of the State of
Florida (The -CITY") and ALLAPATTAH BUSINESS DEVELOPMENT
AUTHORITY, INC. (ABDA) a Florida not -for -profit corporation (the
-PROJECT SPONSOR") whose address is 2515 Northwest 20th Street,
Suite 2-A, Miami, Florida 33142 (Telephone No. 635-3561).
WITNESSETH
WHEREAS, the CITY, in cooperation with the PROJECT SPONSOR,
is implementing a project to increase the supply of privately
owned housing affordable to low and moderate income families and
individuals in the City of Miami (the "PROGRAM"); and
WHEREAS, in June of 1988, through Resolution No. 88-569,`the'
City Commission approved in principle, for the Allapattah
Business Development Authority, Inc. to undertake the development
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of a medium density residential complex,on the Fern Isle Nursery'
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Site; and
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WHEREAS, the Miami City Commission, through Resolution No.
88-569, also directed the City Administration to submit a plan
amendment to the State of Florida for reclassification of the
Fern Isle Nursery Site and any other requirements necessary to
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move the proposed development forward; and
WHEREAS, the Miami City Commission, through Resolution No.`
88-569, also directed the City Manager to convey title for that
portion of the Fern Isle Nursery Site required for residential
use b theProject Sponsor,, ;subject to certain terms and
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conditions as contained therein; and
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WHERHASt in , 1991, through Resolution No.
91--1 the Miami City Commission established $75#000,00 as the
purchase price for the Property and agreed to convey the subject
Property to the Project Sponsor for the purpose of developing a
fifty-two (52) unit townhome project for sale to low and moderate
income families subject to the below described terms and
conditions; and
WHEREAS, the PROJECT SPONSOR is a Florida not -for -profit#
community based development corporation which has as one of its
primary purposes the development of new housing that ig
affordable to low and moderate income families.
NOW, THEREFORE, in consideration of the mutual covenants and
promises contained herein, and subject to the terms and
conditions to be performed by the CITY and the PROJECT SPONSOR,
the parties understand and agree as follows:
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SECTION 1 - DEFINITIONS
The words and. terms not elsewhere defined in this Agreement
shall
have the following meaning:
1.1
DEPARTMENT - Shall mean the City of Miami's Department of -
Development and Housing Conservation.
1.2
LOW INCOME FAMILIES/INDIVIDUALS - Shall mean families and
persons, including the elderly, whose gross incomes do not
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exceed 80% of the median income for the Metropolitan Dade
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County Primary Metropolitan Statistical Area (hereinafter
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referred to as "PMSA").
1.3
MODERATE INCOME FAMILIES/INDIVIDUALS - Shall mean families
and persons, including the elderly, whose gross incomes do
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not exceed 140% of the median income for the PMSA and whose
gross incomes do not fall below 81% of the median income
for the PMSA.
1.4
PROGRAM- Shall mean a program to increase the supply of
privately:
owned homeownership :.housing units affordable.. to
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famines and individuals of low and moderate income known js
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as the Affordable Housing Development Program, _.
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1.5 PROPOSAL - Shall mean the proposal submitted to the City of
Miami by Allapattah Business Development Authority, Inco
for the development of Tracts "B" and "C" of the City -gowned
Fern tale Nursery,
1.6 PROJECT DEVELOPMENT SITE - Shall mean the site generally
located at Northwest 14th Street between Northwest 22nd
Avenue and Northwest 27th Avenue, Miami, Florida, and
legally described in Exhibit "A" attached hereto and made a
part hereof, formerly known as the Fern Isle Nursery Site.
1.7 PROJECT SPONSOR - Allapattah Business Development
Authority, Inc., a Florida not -for -profit corporation.
SECTION 2 — TERM OF AGREEMENT
The term of this Agreement shall be from
1991 through , 19
SECTION 3 — PROJECT DESCRIPTION
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b) Metropolitan bade County Documentary Surtax Program
funds for the purpose of providing interim construction
financing and second mortgage permanent financing to
homebuyers in the amount of $1,482,000.
c) Northern Trust Bank shall provide first mortgage
construction financing of approximately $1,485,000.
d) Homes for South Florida, Inc. and other private
financial institution(s) shall provide permanent, fixed
rate, first mortgage funding of approximately
$1,485,000.
The specific roles and responsibilities of the CITY and
PROJECT SPONSOR in implementing and developing this housing
project under the Program are defined in Sections 4 and 5
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of this Agreement.
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SECTION 4 - PROJECT SPONSOR SCOPE OF SERVICES
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The PROJECT SPONSOR shall have the following roles and
responsibilities in implementing the Project:
4.1
THE PROJECT - The Project to be constructed by the PROJECT
SPONSOR shall be substantially in accord with that
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contained in the Proposal submitted to the CITY and with
the requirements set forth therein. The Project shall
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consist of fifty-two (52) dwelling (townhome) units`
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constructed as follows:
a) BUILDING TYPE - The Project shall consist of structures
situated on the Project Development Site in accordance
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with the site plan attached hereto as Exhibit "B" and
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made a part hereof.
b) DWELLING UNIT MIX - The Project shall consist of:
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11 Type A, 2 bedroom, 2 bath units
11 Type B, 2 bedroom, 1 1/2 bath units
10 Type C, 3 bedroom, 2 bath units
20 Type D, 3 bedroom, 2 bath units
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c)
bEbblN� UNl'T StB - The dwelling units to be
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constructed shall contain the following minimum net
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square footages:
UNIT NO OIL SIZE
TYPE BEDROOMS SQUAB, P99
A 2 904 _
g 2 954
C 3 lt226
D 3 1,260
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d)
DWELLING UNIT FLOOR PLANS - The dwelling units to be
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constructed shall be constructed substantially in
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accordance with the preliminary floor plans contained
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in the PROJECT SPONSOR'S Proposal.
e)
DWELLING UNIT AMENITIES - The dwelling units to be
constructed shall each contain the following amenities:
- Refrigerator
- Wall to Wall Carpet
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- Central Air Condition (except Kitchen.and Bath)
- Stove with Range
- Washer and Dryer Connection
f)
PROJECT PARKING - The Project shall contain seventy-
five (75) parking spaces or will comply with City Code.
4.2
PAYMENT FOR PROJECT DEVELOPMENT SITE - The payment method
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and
terms of compensation to the CITY for the purchase of
the
Project Development Site are provided hereunder;
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a)
The PROJECT SPONSOR shall reimbursethe, CITY in. the
amount° of Seventy -Five Thousand ,Dollars ($75,000) for
Tract ."Cu..-as. defined i n Exhibit "A" , that port .ran; - pf
..Development Site ;w.here =the townhome 1proj.ect
.the,,Project
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sha11 be situated. Said amount to be_. paid: at..the. =time
of the ,conveyance of the Project Development site _tWK
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the PROJECT SPONSOR in the ,form of, a non -interest
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bearing, non -recourse Promissory ,Note in- the atgount: �f
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$75,g00, secured by a Purchase Money Third Mortgage
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described in the Contract.for Sale and Purchase by and
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between the CITY and the PROJECT SPONSOR, a true copy
of which is attached hereto as Exhibit "C" and is
hereby made a part of this Agreement,
4.3 PROJECT DEVELOPMENT COSTS - Means an amount, provided in
reasonable detail to the CITY by the PROJECT SPONSOR, equal
to the aggregate of all costs and expenses actually
incurred by the PROJECT SPONSOR for the purpose of and
properly allocated to the initial development and
construction of the townhome project as designated in
accordance with the development costs contained in the
proposal submitted to the CITY, including but not limited
to the following:
FERN ISLE CONSTRUCTION BUDGET SUMMARY
Hard Cost $1,935,163
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5.2
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SITE CL8A9ANCgZIN'T2RIM _PROPRRTY RAINT98ANC9 The CITY will
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be responsible for site clearance and interim property
maintenance of the Project Development Site prior to
conveyance of the Site to the PROJECT SPONSOR by the CITY.
5.3
PROJECT DEVELOPMENT SITE DISPOSITION - The CITY will convey
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good > and marketable, fee simple, absolute title to the
Project Development Site to the PROJECT SPONSOR, at or
prior to the construction loan closing, provided all CITY
provisions and requirements have been compiled with by the
PROJECT SPONSOR.
5.4
ADMINISTRATING AGENCY: CITY - The Department of Development
and Housing Conservation will act on behalf of the CITY in
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monitoring and coordinating the development of the Project,
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except as otherwise determined by this Agreement.
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SECTION 6 - PROJECT IMPLEMENTATION SCHEDULE
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6.1
PROJECT SPONSOR will submit plans to the CITY which shall
consist of final working drawings and specifications
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including, but not limited to, the following information:
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a) Definitive architectural drawings;
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b) Definitive foundation and structural drawings;
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c) Definitive electrical and mechanical drawings and final
specifications, within sixty (60) days after the
issuance to the PROJECT SPONSOR of firm construction x
a.
and Permanent first mortgage home purchaser financing
commitments for the Project.
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The CITY shall review the definitive working drawings and U
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specifications and shall: promptlyprovidePROJECT SPONSOR
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with its approval or disapproval, and shall further,, in the
event of disapproval, set forth in detain its reasons for
anydisapproval within thirty (30) days after each .receipt.:
_ 6.3
The PROJECT SPONSOR shallcompletethe Project and obtain;a
C rti.ficate of Occupancy no later than ;twenty-four (24)
months from the, date the Project Development Site is
conveyed by the CITY, to the event the PROJECT SPONSOR
does not secure a Certificate of Occupancy within twenty-
four (24) months from the date of conveyance, the CITY may
at its option exercise through legal remedies cause the
Project Development Site and all improvements constructed
thereon by the PROJECT SPONSOR to revert back to the CITY.
6.4 For the purpose of any of the provisions of this Agreement,
neither of the parties, nor any successor in interest,
shall be considered in breach of or in default of any of
its obligations in the event of unavoidable delays in the
performance of such obligations because of delays
SECTION g - AUDIT RIGHTS
CITY reserves the right to audit the records of PROJECT
SPONSOR at any time during the performance of this Agreement and
for a period of one (1) year after final payment is made under
this Agreement.
SECTION 10 - AWARD OF AGREEMENT
PROJECT SPONSOR warrants that it has not employed or
retained any person employed by the CITY to solicit or secure
this Agreement and that it has not offered to pay, paid or agreed
to pay any person employed by the CITY any fee, commission
percentage, brokerage fee or gift of any kind contingent upon or
resulting from the award of this Agreement.
SECTION 11 - CONSTRUCTION OF AGREEMENT
This Contract shall be subject to and governed by the laws
of the State of Florida, both substantive and remedial.
SECTION 12 - SUCCESSORS AND ASSIGNS
This Agreement shall be binding on and shall inure to the
benefit of, the parties to it and their respective heirs, legal
representatives, successors and permitted assigns.
SECTION 13 - INDEMNIFICATION
PROJECT SPONSOR shall indemnify and save the CITY harmless
from and against any and all claims, liabilities, losses and
causes of-< action which may arise out of PROJECT SPONSOR's
activities -under this Agreement, including all other acts or
omissions to act on the part of the PROJECT SPONSOR, including
any person acting for or on its behalf, and from and against any
orders, judgments or decrees which may be entered and from and
against all costs-, attorneys' fees, expenses and liabilities
incurred in the defense of any such claims, or in the
investi ation-thereof,
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SECTION 14 CONFLICT OP INTEREST
a) PROJECT SPONSOR covenants that no person under its employ
who presently exercises any functions or responsibilities
in connection with this Agreement has any personal
jfinancial interests, direct or indirect, with the CITY.
PROJECT SPONSOR further covenants that, in the performance
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of this Agreement, no person having such conflicting
interest shall be employed. Any such interests on the part
of the PROJECT SPONSOR or its employees, must be disclosed
in writing to the CITY.
b) PROJECT SPONSOR is aware of the conflict of interest laws
of the City of Miami (City of Miami Code Chapter 2, Article
V), Dade County, Florida (Dade County Code Section 2-11.1)
and the State of Florida, and agrees that it shall fully
comply in all respects with the terms of said laws.
SECTION 15 - INDEPENDENT CONTRACTORS
The parties hereto are independent contractors. No other
relationship, legal or otherwise, shall be deemed to have been
created by this Agreement, including without limitation, a
partnership, joint venture, employer/employee or principal/agent
relationship. PROJECT SPONSOR and its employees and agents shall
not attain any risks or benefits under the Civil Service or
Pension Ordinances of the CITY, or any rights generally afforded
classified or unclassified employees of the CITY; further he/she
shall not be deemed entitled to the Florida Workers' Compensation
benefits as an employee of the CITY.
SECTION 16 - NONDISCRIMINATION
PROJECT SPONSOR agrees that it shall not discriminate as to
race, sex, color,- creed, national origin, or handicap in
connection with its performance under this Agreement.
Further that no otherwise qualified individual shall solely
by reason of his/her race, sex, color, creed, national origin or
hand, c - .,, be excluded from the part icipatiQn ; in, be
deniedv
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benefits of or be subject to discrimination under any program or
activity receiving federal financial assistance.
SECTION 17 - MINORITY PROCUREMENT COMPLIANCE
PROJECT SPONSOR acknowledges that it has been furnished a
copy of Ordinance No. 10538, the Minority Procurement Ordinance
of the City of Miami, and agrees to comply with all applicable
substantive and procedural provisions herein, including any
amendments thereto.
SECTION 18 - DEFAULT PROVISION
In the event either party fails timely to perform this
Contract the other party may proceed in law or in equity to
enforce its rights hereunder.
SECTION 19 - ENTIRE AGREEMENT
This Contract and the "Contract for Sale and Purchase"
(Exhibit "C") which has been executed simultaneously with this
Contract (a copy constitute the entire Agreement between the
parties hereto pertaining to the subject matter contained herein:.
No supplement, modification, or amendment of this Contract shall
be binding unless executed in writing by all authorized
representatives of the parties.
The "Contract for Sale and Purchase"
(Exhibit " C") is a
separate agreement governing the conveyance of title from the
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CITY to the, PROJECT SPONSOR of the Project Development Site
whereas -the terms of this Agreement govern the construction and
sale of —housing on the Site. A breach of this -Agreement does
not, by itself, imply a- breach of the Contract for Sale and
Purchase.'
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SECTION 2p
AMENDMENTS
No amendments to this Agreement shall be binding on either
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party unless in writing and signed by both parties.
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SECTION 21 a- INSURANCE
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The PROJECT SPONSOR shall purchase and maintain throughout
the period of this Agreement, and extensions or renewals thereof,
primary insurance as protection to the CITY. The following list
of insurance requirements shall not relieve or limit the
liability of the PROJECT SPONSOR, but are merely minimum
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requirements.
a) Commercial General Liability, Comprehensive General
Liability or its equivalent, on an occurrence form with a
minimum limit of $1,000,000 per occurrence; $2,000,000
aggregate, premises, operations, bodily injury, property
damage, endorsed for independent contractors, contractual
liability, broad form property damage on a replacement cost
basis until the point of sale and other endorsements as may
become applicable.
b) All Builder's Risk policy on a replacement cost basis to be
furnished to and approved in writing by the Department,
prior to the construction loan closing.
c) Business auto policy with a minimum limit of $300,000.00
combined single limit covering bodily injury, property
damage on all owned, non -owned and hired vehicles used on
the project development, site if applicable.
d) Except for Worker's Compensation, all policies shall, be
endorsed to name the CITY as an additional insured to the
extent of the CITY's interest arising from this Agreement.
.; To provide that failure of the Project Sponsor to comply
.I with any of the policy provisions will not void coverage
;y
for:the.CITY.
e) The -required insurance shall be so written that the
.' policy(s) may not be cancelled, non -renewed or adversely
t.` changed without thirty (30) days advance written notice to
the City of Miami being delivered to the Office of the Risk
,s
Management Division, Insurance Coordinator, 174 East
Flagler Street, 7th floor, Miami, Florida 33131.
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f) A current certificate of insurance showing present-day
required coverage shall be supplied to the Department prior
to commencement of activities under this Agreement.
Policies, forms and endorsements shall be provided upon
request to the CITY within five (5) working days.
g) Insurance policies required above shall be issued by
companies authorized to do business under the laws of the
State of Florida. The company must be rated no less than A
as to management, and not less than Class VII as to
financial strength, in accordance with the latest edition
of Best's Key Rating Guide, published by Alfred M. Best
Company, Inc., Oldwick, New Jersey.
h) Receipt of any documentation of insurance by the CITY or by
any of its representatives which indicates less coverage
than required does not constitute a waiver of the PROJECT
SPONSOR's obligation to fulfill the insurance requirements
herein.
i)
The City Manager or his designee, may at his
sole
discretion modify the insurance requirements of
this
Agreement as is/are needed to protect the CITY.
SECTION 22 — GENERAL CONDITIONS
a)
All notices or other communication given pursuant to
this
Contract shall be in writing and shall be delivered by
personal service, or by regular mail addressed to the
party
as herein or as the same may be changed from time to
time.
Such notice shall be deemed to.be given on the day on
which
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is personally served or on the date of actual receipt,
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whichever is earlier.
FOR PROJECT SPONSOR
Mr. Carlos Luis Brito, Executive Director
Allapattah Business Development Authority, Inc.
2515_Northwest 20th Street, Suite 2-A
Miami, Florida 33142
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POR CITY OF MtAMI
Jeffery B. Hepburn, Assistant Director
Department of Development and Housing Conservation
Dupont Plata Center, Suite 401
9
300 Biscayne Blvd. tray
Miami, Florida 33131
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b) Title and paragraph headings are for convenient preferences =
and are not a part of this Agreement.
c) No waiver of any of the provisions of this Agreement shall
be deemed to or shall constitute, a waiver of any other
provision, whether or not similar, nor shall any waiver
constitute a continuing waiver. No waiver shall be binding
unless executed in writing by the party granting the
waiver.
d) In the event that any provision of this Agreement is found
to be legally unenforceable, such provision shall be deemed
modified to the extent necessary in order to conform with
such laws, or if not modifiable to conform with such laws,
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BIGNAT"Wor. CITY
CITY OF MIAMI, FLORIDA
BY:
CESAR Hr ODIO
CITY MANAGER
ATTEST:
MATTY HIRAI
APPROVED AS TO INSURANCE
REQUIREMENTS:
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SEAL
APPROVED AS TO FORM
AND CORRECTNESS:
INSURANCE COORDINATOR
JORGE L. FERNANDEZ
LAW DEPARTMENT
CITY ATTORNEY
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EXHIBIT `A*
LROAL DESCRIPTION OF PROPHAT'Y
FERN ISLE GARDENS,
thereof, as recorded
the Public records of
TRACT C, according to the Plat
in Plat Book 139 at Page 52, of
Dade County, Florida.
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BETWEEN
City of Miami (Seller)
and
Allapattah Business Development Authority, Inc* ('Buyer)
This Agreement is entered into by and between the CITY OF
MIAMI, Dade County, a Municipal Corporation of the State of
Florida (hereinafter referred to as the "SELLER") and ALLAPATTAH
BUSINESS DEVELOPMENT AUTHORITY, INC., a Florida not -for -profit
Corporation (hereinafter referred to as the "BUYER") whose
address is 2515 Northwest 20th Street, Suite 2-A, Miami, Florida
4
33142, (Telephone number 635-3561) .
W I T N H S S E T H
WHEREAS, the CITY, in cooperation with the BUYER, is
_
developing a housing project to increase the supply of privately
owned housing affordable to low and moderate income families and
individuals in the City of Miami area; and
WHEREAS, in June of 1988, through Resolution No. 88-569, the
City Commission approved in principle, the development of two (2)
-
medium density residential developments on the City -owned Fern
Isle Nursery Site (PROJECT); and
WHEREAS, the Miami City Commission, through Resolution; No.
88-569, also directed the City Manager to convey title for that
portion, of the property. required for residential use by the
BUYHRr subject, to certain terms and conditions as contained
therein; and
WHEREAS, the Miami City Commission, through Motion No,09T
172, accepted .an offer. from the Allapattah Business Development
rx
Authority,. Inc, i.n ,th,e . amount of $375,000 for Tracts "B" and :"C".,
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situated at the ;southern most portion:of the City -owned Fern Isle
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Nursery Site, said Tracts to be used for the development of
Affordable housing by Allapattah Business Authority, inc.$ And
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WHEREAS* in June of 1989# through Resolution No. 89-569# the
Miami City Commission established $75#000 as the purchase price
for Tract "C" and agreed to convey the property to the BUYER for
the purpose of developing a fifty-two (52) unit townhome project
for sale; and
WHEREAS# the BUYER desires to purchase Fern Isle Gardens,
Tract "C".
NOW THEREFORE, in consideration of the mutual covenants
contained herein# the BUYER and SELLER hereby agree that the
SELLER shall sell and the BUYER shall buy Fern Isle Gardens#
Tract "C", upon the following terms and conditions WHICH INCLUDE
the Standards for Real Estate Transaction (Attachment ■B') that
are attached hereto and are hereby made a part of this Agreement.
I - DESCRIPTION
The legal description of the property that is the subject
matter of this Contract is found in Attachment 'A" which is
attached hereto and hereby made a part of.this Agreement.
II - PURCHASE PRICE
PURCHASE PRICE . . . . . . . . . . . . . . . . . . . . $75 # 000
The Purchase Price shall be paid with Purchaser's Promissory
- Note to be secured by a Purchase Money Mortgage encumbering the
ro ert p p y (the Note and Mortgage are hereinafter jointly referred
j
to as , ,the ; "MORTGAGE") in favor of SELLER, the terms . and
conditions to be ..as follows:
i) the Mortgage shall not bear interest and shall mature
two (2) years from the .date of conveyance of the deed
3
iay the SELLER,_ on which date the entire unpaid
principal balance shall be ,due and payable'1n.fulli.-
1it) there shall be no penalty. p y- or premium for partial or
n'
total payment prior to the date of maturitys
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there shall be a thirty (30) day grace period after
receipt of written notice with respect to any defaults
other than the payment of principal when due and ten
(10) day grace period after receipt of written notice
for any defaults in the payment of principal when due;
IV) there shall be no personal liability upon the Mortgagor
and the Mortgagee shall look solely to the property
pledged under the Mortgage as security for the payment
of the amount secured thereby;
v) the Mortgagee shall, without the payment of additional
consideration, subordinate the lien of the Mortgagee to
both:
a) a first mortgage construction loan not exceeding
the amount of $1,872,184 to be given by Homes for
South Florida or other private lending
institution(s); and
b) a:second mortgage construction loan in an amount of
not less than $500,000 and not more than $1,000,000
f
to be given by Dade County Surtax Program.
vi)
Partial Releases shall be granted from the encumbrance
of the Mortgage,, provided it is not then in default,
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upon the payment of $1,442.31 for each of the fifty-two
a
(52) units.
III - CONTINGENCIES
The
SELLER.shall convey the property to the BUYER only after
all .of Ahe ,following; contingencies have been satisfied:
.,All property disposition requirements imposed by state
law --upon municipalities must be satisfied.
2)
The BUYER must submit plans to the SELLER which::shall
consist of..final working drawings and specifications.:
including (without limitations) the following
informations
a) psfiitve architectural drawings;
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b) Definitive foundation and structural drawings;
c) Definitive electrical and mechanical drawings and
final specifications
within sixty (60) days from the execution hereof. The
SELLER shall review these definitive working drawings
and specifications and shall promptly provide the BUYER
notice of its approval or disapproval. In the event of
disapproval, the SELLER shall promptly set forth in
detail its reasons for the disapproval. These reasons
shall be given to BUYER not more than thirty (30) days
after receipt of the documents by SELLER. The SELLER's
approval of these definitive working drawings and
specifications is a precondition to closing. Such
approval shall not be unreasonably withheld or delayed.
3) The BUYER shall have received the commitment(s) for the
construction and permanent financing for the total
development of the property. The BUYER shall present to
the SELLER such evidence of these commitments as may be
reasonably satisfactory to the SELLER. The SELLER's
approval of these commitments 'is a precondition to
closing. Such approval shall not be unreasonably
withheld or delayed.
IV - TITLE EVIDENCE -
Within fifteen (15) days from the date of this Contract, the
SELLER shall, at its expense, deliver to the BUYER or his or her
attorney, in accordance with Standard A, either (check either.l`
or 2 below)f
X 1) an abstract of title, or,
2) a title insurance commitment with fee owner's title
policy, premium to be paid by the SELLER at closing.
V CLOSING DATE AND OCCUPANCY
This transaction shall be closed and the deed and other
closing papers delivered either before or simultaneously with the
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closing on the construction loan(s) for the construction of the
residential units on the property• SELLER warrants that there
are no parties in possession of the property other than SELLER.
SELLER agrees to deliver possession of the property at time of
closing unless otherwise stated herein.
VI - RESTRICTION, EASEMENTS, LIMITATIONS
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The BUYER shall take title subject to: zoning restrictions,
prohibitions, and other requirements imposed by governmental
authority; restrictions and matters appearing on the plat or
otherwise common to the subdivision; public utility easements of -
record; taxes for the year of closing and subsequent years (see
Attachment "B", Section I, "Prorations" regarding proration of
the taxes for the current year); and the construction loan
mortgages and purchase money mortgage. Provided, however, that
there exists at closing no violation of the foregoing and the
2) Neither party shall assign this Agreement, or any interest
therein, without the prior written consent of the other
party.
3) In the event that any provision of this Agreement is found
to be legally unenforceable, such
unenforceability
shall
not
prevent enforcement of any
other provision
of
this
Agreement.
4) This Agreement shall be binding on, and shall inure to the
benefit of, the parties to it and their respective heirs,
legal representatives, successors and permitted assigns.
5) No waiver of any of the provisions of this Contract shall be
deemed to, or shall constitute, a waiver of any other
provision, whether or not similar, nor shall any waiver
constitute a continuing waiver. No waiver shall be binding
the last one of the BUYER or SELLER has signed this
Agreement.
10) All notices or other communication given pursuant to this
Contract shall be in writing and shall be delivered by
personal service, or by regular mail addressed to the party
at the address indicated herein or as the same may be
changed from time to time. Such notice shall be deemed to
be given on the day on which is personally served or on the
date of actual receipt, whichever is earlier.
FOR BUYER:
Mr. Carlos Luis Brito, Executive Director
Allapattah Business Development Authority, Inc.
2515 Northwest 20th Street, Suite 2—A
Miami, Florida 33142
FOR SELLER:
Jeffery B. Hepburn, Assistant Director
Department of Development and Housing Conservation
Dupont Plaza Center, Suite 401
300 Biscayne Blvd. Way
Miami, Florida 33131
11)':
This, Contract shall be subject to and governed by the laws
f
of the State of Florida, both substantive and remedial.
12)
The BUYER understands that the SELLER's offer of sale has
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been approved by the Miami City Commission by Resolution No.
dated , 1991.
13)
Both parties agree to comply with all applicable laws,
ordinances, and codes of federal, state and local
government.
14)
Titleand paragraph headings are for convenient references
and are not a part of this Agreement*?.
15)
Typewritten or handwritten provisions inserted herein or
'
hereto
attached as addenda shall control all printed
provisions of this Contract in conflict herewith.
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IN ` tVNESS gi#S1 OPp the parties hereto have caused this
Agreement to be executed in their respective names on the dates
shown below.
SIGNATURE OF BUYER
Date:
SIGNATURE OF SELLER
BY: ALLAPATTAH BUSINESS
DEVELOPMENT AUTHOR-ITYt INC.i a
Florida Not -For -Profit
Corporation
By:
Orlando Urra, Presi ent
Attest:
Ada Fermin, Corporate Secretary
(SEAL)
CITY OF MIAMI, A MUNICIPAL CORPORATION OF THE STATE OF FLORIDA
By:
;
Cesar H. Odio, City Manager
(DATE)
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Attest:
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Matty Hirai, City Clerk
(SEAL)
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Approved as to Form and
Correctness:
a-
Jorge L. Fernandez'
City Attorney
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ATTACHMENT .A*
LHCAL DESCRIPTION
FERN ISLE GARDENS, TRACT C, according to the Plat thereof, as
recorded in Plat Book 139 at Page 52, of the Public Records of
Dade County, Florida.
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ATTACHNSNT `B"
STANDARDS FOR MAL $STATE TRANSACTIONS
A) EVIORSCE .OF_ TITLE
An abstract of title prepared by a reputable abstract firm
purporting to be an accurate synopsis of the instruments
affecting title to the Property recorded in the public
records of the County wherein the Property is located which
shall commence with the earliest public records, or such
later date as may be customary in the County.
Seller shall convey a marketable title, subject only to
liens, encumbrances, exceptions or qualifications set forth
in this Contract and those which shall be discharged by
Seller at or before closing. Marketable title shall be
determined according to applicable Title Standards adopted
by authority of the Florida Bar and in accordance with law.
Upon closing of this transaction the abstract shall become
j property of the Buyer, subject to the right of retention
thereof by the first mortgagee until fully paid.
Buyer shall have ten (10) days from the date of receiving
evidence of title to examine same. If title is found
defective, Buyer shall, within three (3) days thereafter,
notify Seller in writing specifying defect(s). If said
defect(s) render title unmarketable Seller will have 120
days from receipt of notice within which to remove said
defect(s), and if Seller is unsuccessful in removing them
within said time, Buyer shall have the option of either
accepting the title as it then is, or demanding a refund of
all monies paid hereunder which shall forthwith be returned
to Buyer- and thereupon Buyer and Seller shall be released,
as to one another, of all further obligations under this
Contract.
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B) SURVEY:
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Buyer, at Buyer's expense, within the time allowed for
delivery of evidence of title and examination thereof, may
have the Property surveyed and certified by a registered
Florida surveyor. If the survey shows any encroachment on
the Property or that improvements intended to be located:on'
the Property in fact encroach on setback lines, easements,
lands of others, or violate any restrictions, contract
covenants, or applicable governmental regulations, Buyer
shall have the option of either accepting the Property as
it, is; or terminating.. this Agreement with no. further
obligation on its part.to purchase the Property.
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C) INGRESS-,ANDEGRESS
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Seller warrants that there is ingress and egress to the
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Property sufficient for the intended use as described in
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this t Contr;act.
D) LIENS
Seller : shall,. both as to the Property and Personalty,:.being
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scald hereunder, furnish to Buyer at t ime ' of closing,.. an
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affidavit attesting. to the absence, unless otherwise
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for herein, of any financing
provide statements, claims
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of lien or potential lienor known to Seller and further
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I attesting that there have been no improvements or repairs
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to the Property for ninety (90) days immediately preceding
the date of closing, if the Property has been improved, or
repaired within said time, Seller shall deliver releases or
waivers of mechanic's liens, executed by all general
j contractors, subcontractors, suppliers and materialmen, in
addition to Seller's lien affidavit setting forth the names
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of all such general contractors, subcontractors, suppliers
{ and materialmen and further reciting that in fact all bills
! for work to the Property or Personalty which could serve as
a basis for a mechanic's lien or a claim for damages have
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been paid or will be paid at closing.
E) PLACE OF CLOSING
Closing shall be held in the county wherein the Property is
located, at the office of the attorney or other closing
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agent designated by the Seller.
G) TIME
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Time is of the essence of this Contract. Any reference
herein to time periods of less six (6) days shall in the
computation thereof exclude Saturdays, Sundays and legal
holidays and any time period provided for herein which
shall end on a Saturday, Sunday or legal holiday shall
extend to 5:00 P.M. of the next full business day.
H) PRORATIONS
Taxes, assessments, rent, interest, insurance and other ;
expenses and revenue of the Property shall be prorated {
through the day to the closing. Cash at closing shall be
increased or decreased as may be required by said
prorations. All prorations will be made through the day
prior to closing. Taxes shall be prorated based on the
current year's tax. If closing occurs on a date when the
current year's millage is not fixed, and current year's`
assessment is available, taxes will be prorated based upon
such assessment and the prior year's millage. If the
current year's assessment is not available, then taxes will
be prorated on the prior year's tax; provided, however, if
there are completed improvements on the Property by January
1st of the prior year, then taxes shall be prorated based
upon the prior year's millage and at an equitable
assessment to be agreed upon between the parties, failing
which, request will be made to the County Property
Appraiser for an informal assessment taking into
consideration homestead exemption, if any. However, any I
tax prorations based on an estimate may at the request of;
either the Buyer or the Seller be subsequently readjusted
upon receipt of tax bill on condition that a statement to
that effect is set forth in the closing statement.
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I) SPECIAL ASSESSMENT LIENS
Certified, confirmed and ratified special assessment liens
i; as of the date of closing (and not as of Effective Date)
are to be paid by the Seller. Pending liens as of the date �
;. of closing shall be assumed by Buyer, provided, however,
that if the improvement has been substantially completed
as of Effective Date, such pending lien shall be considered`
e
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as certified, confirmed and ratified and Seller shall, at s
closing, be charged an amount equal to the last estimate by
the public body of assessment for the improvement.
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CONTRACT NOT RECORDABLE PERSONS BOND; NOTICE
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Neither this Contract nor any notice thereof shall be
recorded in any public records. This Contract shall bind
and inure to the benefit of the parties hereto and their
successors in interest. Whenever the context permits,
singular shall include plural and one gender shall include
all. Notice given by or to the attorney for any party #
shall be as effective as if given by or to said party.
CONVEYANCE
Seller shall convey title to the Property by warranty deed.
Seller shall retain a right of reversion in the property as
follows: if the "Project" (as defined in the Memorandum of
Agreement) is not completed within thirty-six (36) months 'r
of the conveyance of the Property, the Seller may enter and
terminate the estate being conveyed.
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D!"I`Y OF NiIAMI, FLORIDA
INfil OFFIC9 M9MOAANDUM
Honorable Mayor and Members ��� � l
TO ` DATE :
�gg� FILE
of the City Commission
I
Resolution
Relating to
sua,ECT: Allapattah
Business
Development
Authority;
Affordable
Townhome
FR6M :Cesar H. od i o
REFERENCEV:r o f ec t
City Manager
City Commission Agenda
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ENCLOSURES: Item March
14, 1991
RECOMMENDATIONt
It is respectfully recommended that the City Commission adopt the
attached resolution related to the development of a 52 unit }
affordable townhome project planned for development on the City -
owned Fern Isle Nursery Site by the Allapattah Business Development
Authority. The attached resolution ratifies and reaffirms
Resolution No. 88-569, adopted by the City Commission on June 9,
1988, whereby the City Commission approved in principle, the
aforementioned not -for -profit corporation as project sponsor to '
undertake the development of two (2) medium density residential
housing projects on Tracts "B" and "C" of the Fern Isle Nursery
Site, affordable to low and moderate income families and 1
individuals. The attached resolution further ratifies and
reaffirms Motion No. 89-172, adopted February 9, 1989, whereby the
City Commission approved the purchase offer of $3251,000 from the
Allapattah Business Development Authority for Tracts "B" and "C"
situated on the subject property. The attached resolution further
establishes $75,000 as the reimbursement amount to be paid to the
City for the parcel of land identified as Tract "C" where the
proposed townhome project will be constructed. The attached
resolution further authorizes the City Manager to execute a
purchase and sale agreement for conveyance of the said parcel, in
addition to the attached Memorandum of Agreement between the City
of Miami and the Allapattah Business Development Authority, subject
{ to certain terms and conditions as enumerated therein.
BACKGROUND:
t
-;' The Department of Development and Housing Conservation recommends
ratification of the attached resolution in connection with the
development of a 52 unit townhome project planned for development
on the City -owned Fern Isle Nursery Site by the Allapattah Business
Development Authority. The said resolution further ratifies and
reaffirms Resolution No. 88-569, whereby the City Commission
approved in principle, the Allapattah Business Development'
Authority. as project sponsor for the development of two (2) medium
s density affordable housing projects planned on Tracts "B" and "C"
of` -the Fern Isle Nursery Site. Moreover, the attached resolution'
further ratifies and reaffirms Motion No. 89-172, whereby the City
Commission approved the purchase offer of $325,000 from the
} Allapattah Business Development Authority for Tracts "B" and "C"
situated on the Fern Isle Nursery Site.
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Allapattah 'business Development Authority
Affordable Townhome project
Page ..- 2
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The attached resolution further establishes $75,000 as the
reimbursement amount to be paid by the Allapattah Business :{
Development Authority for the parcel of vacant land identified as ;g
Tract "C" where the proposed 52 unit townhome project is planned. �?
The attached resolution further authorizes the City Manager to
execute a purchase and sale agreement for conveyance of Tract "C",
in addition to the execution of the attached Memorandum of
Agreement between the City of Miami and Allapattah Business
Development Authority, subject to certain terms and conditions as
enumerated therein.
E
At its June 9, 1988 meeting, through Resolution No. 88-5691, the
City Commission approved the selection of the Allapattah Business }'
Development Authority as the project sponsor for the development of I.
two (2) medium density residential housing projects on the City -
owned Fern Isle Nursery Site.
Since June of 1988, the Allapattah Business Development Authority
has been working diligently on moving the construction of the
proposed 52 unit townhome project forward. To date, the project
sponsor has secured a preliminary commitment for $1,484,859 in ¢j
construction financing from Northern Trust Bank and $1,484,859 in -i
permanent first mortgage financing from Homes for South Florida,
Inc. for the prospective homebuyers of the proposed townhome
project. Moreover, approximately $1,481,500 in interim
construction and permanent financing commitments has also been
secured from Metropolitan Dade County through the County's
Documentary Surtax Program for the prospective homebuyers. In
addition, 39 of the 52 units have already been "presold" to
potential qualified buyers.
The attached resolution ratifies and reaffirms Resolution No. 88-
569, adopted June 9, 1988 and Motion No. 89-172, whereby the City #'
Commission designated Allapattah Business Development Authority as
project sponsor of the proposed housing project(s) and established
$325#000 as the purchase price for Tracts "B" and "C" situated on
the City -owned Fern Isle Nursery Site. The attached resolution
further establishes $75,000 as.the reimbursement amount to be paid
by the project sponsor for Tract "C" and authorizes the City b
Manager to execute a'purchase and sale agreement, inadditionto a
fi Memorandum of Agreement between the City of Miami and Allapattah
Business Development Authority.
Based on the deadline established by the Dade County Documentary
-� Surtax Advisory Council,, it is imperative that construction
commence on this housing project on/or before May 31, 1991. In an
effort to expedite the commencement of construction on the proposed
52 unit townhome project, City Commission ratification' of the
attached resolution is recommended.
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