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HomeMy WebLinkAboutR-87-0663r fi J-87--645 7/7/87 RESOLUTION NO, A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE AMENDMENT NO. 2, IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, TO THE SEPTEMBER 13, 1979 AGREEMENT BETWEEN THE CITY OF MIAMI AND MIAMI CENTER ASSOCIATES, LTD. ("MCA") WHICH PROVIDES FOR THE TRANSFER OF CERTAIN MCA SPACE TO THE CITY IN EXCHANGE FOR CERTAIN CITY SPACE AT THE MIAMI CONVENTION CENTER AFTER MCA�S CONVERSION OF ITS RETAIL SPACE INTO EXHIBITION SPACE, AND PROVIDING FOR ADDITIONAL COMPENSATION TO MCA IN THE FORM OF A SUM NOT TO EXCEED $3,000000, ALLOCATED FROM MONIES MADE AVAILABLE BY THE MIAMI SPORTS AND EXHIBITION AUTHORITY, PAYABLE UPON THE COMPLETION OF THE EXCHANGE OF SPACE. WHEREAS, certain retail space in the City of Miami/University of Miami James L. Knight International Center ("Convention Center") is currently leased to Miami Center Associates, Ltd. ("MCA") pursuant to an Agreement dated September 13, 1979; and WHEREAS, the Convention Center facility and the downtown area would greatly benefit from increased exhibition space, which will enhance and complement the economy of downtown Miami by bringing more events, programs and shows to the Convention Center; and WHEREAS, pursuant to the terms and conditions of Amendment No. 2 to said Agreement, MCA shall buyout from its existing tenants approximately 21,106 square feet of retail space in the Convention Center and convert such space to exhibition space which shall then be transferred and conveyed to the City; and WHEREAS, the City will, in exchange, transfer to MCA 15,408 square feet of City meeting room space, which meeting rooms are identified within Amendment No. 2, exclusive of the furniture and property situated therein; and WHEREAS, the Miami Sports and Exhibition Authority ("Authority"), pursuant to Resolution No. 87-160, adopted February 12, 1987, has made available $3,000,000 as additional compensation to MCA, in the form of a Stipulated Lump Sum for CITY COMMISSION MEETING OF JUL 9 1987 RESOLUTION No. 8 Pik,' payment of. MCA's services, duties, responsibilities and conveyances pursuant to Amendment No. 2; and WHEREAS, MCA has agreed that it shall perform or cause to be performed the work involved which constitutes the buyout of retail subtenants, the conversion and transfer of space to be exchanged by MCA for payment of the Stipulated Lump Sum made available by the Authority and the City's transfer of its space to MCA; and WHEREAS, the Authority and the City Manager reserve and retain the right to consider, review, comment upon and, in their discretion, approve MCA's programming, schematic design, development and construction documents for the work for which MCA is responsible; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The findings and recitals contained in the preamble of this Resolution are hereby adopted by reference and 4 incorporated herein as if fully set forth in this section. Section 2. The City Manager is hereby authorized to enter into Amendment No. 2 to the September 13, 1979 Agreement with Miami Center Associates, Ltd. ("MCA"), in a form acceptable to the City Attorney, which Amendment provides for the transfer of certain MCA space to the City in exchange for certain City space at the Miami Convention Center after MCA's conversion of its retail space into exhibition space, said Amendment providing for additional compensation to MCA in the form of a sum not to exceed $3,000,000, allocated from monies made available by the Miami Sports and Exhibition Authority. PASSED AND ADOPTED this 9th day of July , 1987. ATTE XAVIER L. S f MA HIRAI, CITY CLERK -2- 8'; °" btu C-4 PREPARED AND APPROVED BY: RAFAEL E. SUAR Z-RIVA ASSISTANT CITY ATTORNEY APPROV D AS TO FORM AND CORRECTNESS: UC A A. DOUGfIERTY CITY ATTORNEY RSR/yv/M474 i CITY OI' MIAMI. I:LORIbA INTER-OFIICE MEMORANDUM TO Bono of t FROM T.I a4' City Attorney nd Members ssion y bATE July 9 • 1987 FILE SUNJECT City Commission Meeting July 8, 198 REFERENCES Agenda Items #16, #45, #62 (2) ENCLOSURES For your information, Agenda Item #16 which accepts a bid for a demolition contract involves a demolition order from the Unsafe Structures Hoard which was not appealed through regular channels. However, a petition for a Temporary Restraining Order (TRO) has been filed in connection with this demolition activity; nevertheless, we recommend your adoption of this resolution in order to expedite the removal of this health hazzard in the event of a favorable conclusion to the TRO proceedings. For clarity, the resolution draft form distributed for Agenda Item #45 (Miami Convention Center/MCA Space Exchange) at today's meeting has been slightly modified and the original of the attached approved substitute resolution is being delivered to the City Clerk. No change whatever has been made in the substance of the draft form copy previously distributed. Due to a lack of factual recitals within the resolution draft form in connection with Agenda Item #62 (North District Police Substation/Architect), we have incorporated more comprehensive background and supporting information in the attached approved resolution. Our request for this additional material necessitated a redrafting of this item and we are delivering the original of the attached approved substitute resolution to the City Clerk. LAD:RFC:bss:M044 ec: Cesar H. Odio, City Manager Natty Hirai, City Clerk 8 -66 -3 CITY OF MIAMI. FLORIDA INTER -OFFICE MEMORANDUM to: Honorable Mayor and Members DATE: JUN 3 i 1987 PILE: of the City Commission sueJEcr: Amendment #2 Miami Convention Center Lease & Agreement FROM: Cesar H. O d i o REFERENCES: City Manager ENCLOSURES: RECOMMENDATION: It is respectfully recommended that the City Commission adopt the attached resolution authorizing the City Manager to execute Amendment #2 to the September 13, 1979 lease and agreement between the City and Miami Center Associates Ltd. (MCA), in a form acceptable to the City Attorney which provides for the exchange of certain MCA retail space to the City for certain City space at the Miami Convention Center after MCA's conversion of this space into exhibition space with funding allocated from monies made available by the Miami Sports and Exhibition Authority. BACKGROUND: In September 1986 the City Commission authorized Amendment #,1 to the existing Lease and Agreement between the City of Miami and Miami Center Associates, Ltd., for the Convention Center with the principal objective of converting the present retail area into an exhibition space. This Amendment expired in May and since that time the staff has been working with MCA on a second Amendment to accomplish the same objectives as set forth in the original Amendment. In order to create maximum flat floor exhibition space on the main level, MCA will turn over the existing retail space to the City in exchange for City -owned meeting rooms on the 1st and 3rd level. Under Amendment #1, it would have been the City's obligation to accomplish all the work including design and construction. Amendment #2 makes it MCA's sole responsibility to complete the conversion to the City's requirements and satisfaction before any payment is made by the City. Further, under the terms of this amendment, the City is guaranteed that the cost to the City will not exceed $3 million which includes the buy out of the existing retail leases. It is planned to combine the present retail space and adjacent City spaces to create the new exhibition area, a new ticket office and new administrative offices. When the project is accomplished, the City will receive over 28,000 sq. ft. of exhibition space suitable for exhibits, meetings, and banquet use plus another (approx.) 10,000 sq. ft. of renovated area for exhibit related functions and administrative offices. IL15-1 8 _66�`� Honorable Mayor and Members of the City Commission Page 2 This agreement has already been submitted to the Miami Sports and Exhibition Authority and received their formal approval on June 23, 1987. In addition, this agreement has been submitted to Florida National Bank, Miami, Florida, Trustee for the Convention Center Revenue Bonds. It is a requirement of the Trust Indenture that the City receive certification from an outside consultant that the agreement does not violate any of the provisions of the Trust Indenture, and certification is also required from the City Attorney. Both of these requirements have been met and the City expects to receive the Trustee's formal written approval. Presumira that we are able to continue on our present schedule the City should have the use of this new facility by early 1988 Attachments: Proposed Resolution Amendment #2 Z 8 -6(; - _.A