HomeMy WebLinkAboutR-88-0159J-88-171
2/18/88
RESOLUTION NO. 99"4,5Q
A RESOLUTION EXTENDING THE DEADLINE FOR
INITIATION OF CONSTRUCTION TO JUNK 15, 1988;
ESTABLISHING A CONSTRUCTION PERIOD OF NO MORE
THAN THIRTY-SIX (36) MONTHS; SETTING A
PROVISION TO LET THE DEVELOPER SHOW
JUSTIFIABLE CAUSE AS TO ITS INABILITY TO
COMPLETE THE PROJECT ON TIME AND REQUIRING A
PENALTY OF $1,000 EACH DAY THE PROJECT IS
LATE FOR PARCEL NO. 46 OF THE SOUTHEAST
OVERTOWN/PARS WEST, PHASE I REDEVELOPMENT
PROJECT; SAID TIME REQUISITES TO BE MADE PART
OF THE LAND DISPOSITION AGREEMENT BETWEEN THE
CITY OF MIAMI AND INDIAN RIVER INVESTMENTS OF
MIAMI, INC. FOR CONSTRUCTION OF 85 UNITS;
FURTHER DECLARING THAT IF SAID CONSTRUCTION
COMMENCEMENT DEADLINE IS NOT MET, INDIAN
RIVER INVESTMENTS OF MIAMI, INC. LOSES ITS
DEVELOPMENT RIGHTS IN PARCEL 46 OF SAID
PROJECT.
WHEREAS, the City Commission by Resolution No. 82-755
approved, in principle, the Southeast Overtown/Park West
Redevelopment Plan; and
WHEREAS, the City Commission by Resolution No. 84-893
authorized the City Manager to issue a Request for Unified
Development Project Proposals for Phase I of the Southeast
Overtown/Park West Redevelopment Project; and
WHEREAS, proposals were received and evaluated by a
certified public accounting firm and by a selection review
committee appointed by the City Commission; and
WHEREAS, the City Manager considered the findings of the
certified public accounting firm and the evaluations of the
selection review committee and recommended development entities
and proposals for acceptance for the Phase I development parcels;
CITY COMMISSION
MEETING OF
FEB 18 1988
)N No. 9"
40 '0
WHEREAS, the City Commission by Resolution No. 85-393
approved the City Manager's recommendation of Indian River
Investments of Miami, Inc. as the development entity to develop
Parcel No. 46, of the Phase I Redevelopment Area in accordance
with the development proposal submitted and in compliance with
the Unified Development Project procedures as set forth in the
City of Miami Charter, Section 53(o); and
WHEREAS, the City Commission by Resolution No. 88-393, and
directed the City Manager to negotiate a land disposition
agreement with Indian River Investments of Miami, Inc. and to
present the negotiated agreement to the City Commission for
approval; and
WHEREAS, the City Commission by Resolutions No. 86-110
approved the land disposition agreement with Indian River
Investment of Miami, Inc.; and
WHEREAS, due to unforeseen financial and administrative
obstacles, it has been impossible for Indian River Investments of
Miami, Inc. to start construction on Parcel No. 46;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY
OF MIAMI, FLORIDA:
Section 1. Indian River Investments of Miami, Inc. is
hereby required to initiate construction of 88 units by
June 18, 1988, in Parcel No. 46 for the Southeast Overtown/Park
West Phase I Redevelopment Project, said construction to be
completed in thirty-six (36) months or by July 1991; said time
requisites to be made part of the land disposition agreement
between the City of Miami and Indian River Investments of Miami,
Inc.
Section a. The City Commission hereby requires that
Indian River Investments of Miami, Inc. pay a penalty of $1,000
for each day the project is not completed after July 1991; said
penalty to be imposed if said developer can't show justifiable
cause as to its inability to complete the project on time.
-2-
Ar•
Section 3. The City Commission hereby declares that if
Indian River Investments of Miami, Inc. has not commenced
construction by June 15, 1988, its development rights for Parcel
No. 46 in Phase I of the Southeast Overtown/Park West
Redevelopment Project are null and void.
Section 4. The execution of the land disposition
agreement between the City of Miami and Indian River Investments
of Miami. Inc. will be subject to the following requirements:
a. The City must obtain a satisfactory residual
reuse appraisal specifying that the rental
payments due under the agreement are not less
than fair value for the uses in accordance
with the Southeast Overtown/Park West
Redevelopment Plan.
b. The City Manager must review each development
entity's Minority Participation Plan to
insure that all major subcontractors have
been identified and that sufficient evidence
have been provided concerning efforts to meet
the City 's minority participation goals for
the Southeast Overtown/Park West Community
Redevelopment Project.
PASSED AND ADOPTED this 18th day Of February ,1988.
SVIER L. SIIAREZ YOR
ATTES 1
MATTY HIRAI, CITY CLERK
PREPARED AND APPROVED BY: APPROVE]? AS TO FORM AND
CORRE ESS:
c)
ROBERT F. CLARB CI IIGHERTY
CHIEF DEPUTY CITY ATTORNEY CITY ATTO
MS:ar:bss:M639
- 3 -
CITY OF MIAM1. FLORIDA
so
INTER -OFFICE MEMORANDUM
TO Honorable Mayor and Members DATE -
of the City Commission
SUBJECT:
FROM REFERENCES:
Cesar H. Odio
ENCLOSURES:
City Manager
RECOMMENDATION:
January 27, 1988 RILE:
Cortimencement of Construction
for Indian River of Miami,
Inc., Southeast Overtown/
Park West -Phase A.
February 11, 1988
City Commission Meeting
it is respectfully recommended that the Miami City Commission
approve the attached resolution establishing the deadline for the
initiation of construction to be June 15, 1986 for Parcel No. 46
of the Southeast Overtown/Park West -Phase I, Land Disposition
Agreement between the City of Miami and Indian River Investments
of Miami, Inc.; and further declaring that if said construction
dateline is not met, Indian River Investments of Miami, Inc.,
looses its development rights in Parcel 46 of said project. The
Department of Development recommends this extension based on
efforts made by the developer to secure financing to initiate
this project. A status report on this development project is
attached herein.
BACKGROUND:
The Department of Development recommends the establishment of a
deadline to initiate construction on Parcel 46 in order to
coincide with the commencement of Phase I construction for the
other parcels in the Southeast Overtown/Park West Redevelopment
Project. The Miami City Commission (Resolutions 85-393 and 65-
478) and Dade County (Resolution R-999-c35) selected Phase I
developers for the Southeast Overtown/Park West Project.
Pursuant to this approval the City initiated the acquisition of
71 remaining parcels in the 28+ acre Phase I redevelopment area.
The relocation and demolition of the last structure occurred in
July 1987. During the last 3 years the City has aggressively
worked to assist the developers with additional support for their
projects. These eftoits have resulted in the following financial
support for the project:
$5,600,OU0 -
UDAG Grant-
Cruz Development and
Associates,
LTD.
$4,500,000 -
UDAG Grant-
Can -American Realty
Corporation
$1,500,000 -
Dade County
Surtax Loan- Cruz
Development
and Associates
$1,078,000 -
Dade County
Surtax Loan-
Circa/Burness/Sawyer, a General
Partnership
50- /
96-i5s.
1� A
Honorable Mayor and Members
of the City Commission
January 27, 1986
Page 2
$7,500,000 - CD Float- Circa/Barness/Sawyer, General
Partnership
$ 5000000 - CD Float Loan- Indian River Investments
$1,000,000 - Surtax Homeownership Loan- Indian River
Investment
- Favorable Consideration 1986 Tax Act
The Miami City Commmission approved the dispospition agreements for
Indian River by Resolution No. 86-11U adopted February 13, 1986;
Can American by Resolution No. 86-952, adopted November 25, 1986;
Circa/Barness/Sawyer by Resolution No. 87-141.1, adopted February
12, 1987; and Cruz Development & Associates, LTD.,Resolution No.
87-141, adopted also on February 12, 1987.
In approving the development agreements, the City Commission
required that Circa/ Barness/sawyer. a General Partnership, Cruz
Development and Associates, LTD., and Can -American Realty
Corporation, initiate construction within one year of the date of
Commission approval which was February 12, 1987. The other
developer, Indian River Investments of Miami, Inc., is expected
to initiate construction in a timely manner. As of this date the
status of the Phase I development projects is as follows:
Developer:
Circa/Barness/Sawyer, a General Partnership
Development:
The Odessa - Parcel 55 East
Status:
Bidding is currently underway and the project is
being reviewed for FHA Co -Insurance by Poller
Mortgage/R.J. McClendon Co. -A favorable reply
anticipated. Ground Breaking is scheduled for
late March/early April.
Developer:
Can -American Realty Corporation
Development:
Park Place West
Status:
Plans have been completed to the Design
Development Phase and the developer is negotiating
for Equity Financing with a local investor. The
successful conclusion of this will allow related
aspects of the projects financing to take place
and Ground Breaking is therefore anticipated in
May 1988.
Developer:
Cruz Development and Associates, Ltd.
Development:
Biscayne View Apartments
Status:
Negotiations (which include the amount of the
mortgage) are currently underway with FHA for
completion of FHA Insurance for the entire
project. Assuming a successful conclusion Ground
Breaking is anticipated in March 1988.
K
938-iS9
Honorable Mayor and Members
of the City Commission
January 27, 1988
Page 3
Developer: Indian River Investments of Miami, Inc.
Development: Poinciana Village
Status: Bids from subcontractors are anticipated February
22, 1988. Assuming a favorable outcome Ground
Breaking will be scheduled for late February or
early March 1988.
As a result of the changes in the real estate syndication market
stemming from the new 1986 Tax Act and a reluctance of the local
banks to participate in this project, it was necessary for the
Phase I developer to obtain FHA guaranteed financing which has
slowed their progress in moving forth with construction.
Based on the efforts made by the developer, the complexity of
this project and investments made by the developer to date it is
recommended that the date to initiate construction for Parcel 46
be established to be June 15, 1988, for Indian River Investments
of Miami, Inc.
Attachment
Proposed Resolution
K?
98-159
SOUTHEAST OVERTOWN / PARK WEST REDEVELOPMENT PROJECT
MONTHLY STATUS REPORT FOR JANUARY /1988
Developers INDIAN RIVER INVESTMENTS
OF MIAMI
INC. -
Contact
Person: Robin C. Weitzel
Telephone: (305) 372-1383
Name of
Development: Poinciana Village
Parcel
Numbers 46
I. BACKGROUND INFORMATION
A.
Number of Units in Phase I:
12
B.
Type of Residential Units /
Mix:
Type (Number) Square
footage
Proposed Sales Price
1. Studio ----
2. One Bedroom ----
3. Two Bedroom (7) 1044
63,000 -
4. Three Bedroom (3) 1394
78,000 _
-
5. Other (1) 5 Bedroom Customized
Unit
C.
Commercial Square footage:
0
_ D.
Number of Parking Spacess
22
E.
Tenant Amenities:
--
Type-
Number
Location
1. Service
Hook up for clothes
-
washer/dryer
i
each unit.
Dishwasher
1
each unit.
Garbage disposal
1 -
each unit.
2. Recreational
Pool (future phase)
1
common area.
98-159. 1
Indian River
Monthly Status Report
January /1988
Page two
II. PRUJECT IMPLEMENTATION
A. 1. Source and Status of Financing:
a) Indian River Investments, LTD will provide �50U,UUO
in construction financing.
2. Agreements:
a) Disposition Agreement - developer awaiting
information regarding F.H.A. Requirements and
Security Bond.
Be Planning and Design Issues:
Architects: Name/Address/Phone
Adolfo Albaisa
Pancoast/Albaisa Architects
2964 Aviation Ave.
Miami, F1.
442-1193
Engineers:
Ms. Irene Fraga
Fraga Engineers
.3940 Loquat• Ave.
Coconut Grove
• 444-8210
Ramon Donnell
DeZarraga, Donnell & DuVuesne
131 Madeira Ave.
Coral Gables
445-8995
Landscape Architects:
Other
98--159
Indian River
Monthly Status Report
January / 1988
Page three
Status/Schedule of Plans and Specifications:
(monthly status report must be accompanied by one set of dated
progress prints)
STATUS PROPOSED COMPLETION
DATE
Schematic Design:
Complete
Design Development:
Complete
Construction Documents:
Complete
Preparation of description
of Bid Items underway
Feb.
8, i988
Dry -Run for Building Permits:Commenced Oct./87
Design Review -Development
& Planning Depts:
In Progress
Special Zoning/Permitting Req:
Class D special
parking
Permit in hand
Class C permit
required.
Invitations for bids sent
to Minority Subcontractors:
;uiticipated
Feb.
8, 1988
Bids Received:
Feb.
22, 1988
Ground Breaking:
Anticipated
late February
Commencement of Construction:
March/1988
Beneficial Occupancy:
August/1988
Completion of Construction:
September/1988
Commencement of Second Phase:
Anticipated
October/1988
A
98-159