HomeMy WebLinkAboutR-86-0943J-86-990
11/07/86
RESOLUTION NO.
A RESOLUTION AUTHORIZING THE CITY MANAGER
TO PURCHASE ONE PARCEL OF LAND (PARCEL
25-D/E) LOCATED WITHIN THE SOUTHEAST
OVERTOWN/PARK WEST REDEVELOPMENT AREA AT
THE RATE PREVIOUSLY ESTABLISHED BY THE
CITY COMMISSION AND FURTHER AUTHORIZING
THE CITY ATTORNEY TO PROCEED TO CLOSE ON
THIS PARCEL AFTER EXAMINATION OF THE
ABSTRACT AND CONFIRMATION OF OPINION OF
TITLE.
WHEREAS, the City Commission by Resolution No 82-755
approved in principle the Southeast Overtown/Park West
Redevelopment Plan; and
WHEREAS, the City Commission approved in principle the
Phase I Overtown Transit Station Impact Area proposal for the
i Southeast Overtown/Park West Community Redevelopment Area by
Resolution No. 83-972; and
WHEREAS, the City Commission has declared that the best
method to redevelop Southeast Overtown/Park West is by a Unified
Development Project (Resolution No. 84-893); and
WHEREAS, the City Commission has authorized the City
Manager to initiate the acquisition of properties within the
Southeast Overtown/Park West Community Redevelopment Project Area
(Resolution No. 86-251); and
WHEREAS, the City Commission established procedures for
the acquisition of land through negotiated purchase in the
Southeast Overtown/Park West Redevelopment Area (Resolution No.
85-396); and
CITY COMMISSION
MEETING OF
NOV 1$ 1986
14
S5lUilON Ha.w�+
WHEREAS, further by Resolution No. 85-396, the City Manager
was authorized to enter into agreements to purchase real estate
in the project area pending final Commission ratification for a
price not to exceed the appraised valve of the property to be
acquired, plus a bonus of up to ten percent on the first $50,000
and up to five percent on any amount over $50,000; and
WHEREAS, the City Manager has entered into negotiations with
landowners for purchase of the parcels remaining within Phase I
of the project area that are not presently owned by the City; and
WHEREAS, the City Manager has negotiated an agreement with
land owner and has made a formal offer to purchase a parcel
(Parcel 25-U/E) which is identified and described in Table I
attached hereto and made a part hereof; and
WHEREAS, the negotiated settlement price on this parcel is
higher than that approved by the City Commission; and
WHEREAS, funds from the proceeds of the General Obligation
Housing Bond Funds are available for acquisition; and
WHEREAS, the cost of this parcel to the City would not
exceed estimated costs based on appraised values, commensurate
bonus, schedules, and contingencies previously approved by the
City Commission for all property acquisition within the area
(Resolution Nos. 85-394 and 85-396); and
WHEREAS, the amounts set forth in Table I are reasonable and
in keeping with the costs of acquiring property through the
normal negotiation process; and
-2- 86--9436
NOW THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE
CITY OF MIAMI, FLORIDA:
Section I. This Commission hereby finds, determines, and
declares that the matters set out in the foregoing recitals are
true and correct and they are hereby incorporated by reference as
if fully set forth in this section.
Section 2. The City Manager is hereby authorized to
execute a purchase of the property identified at the costs stated
in Table 1 for anticipated use as part of the Southeast
Overtown/Park West Redevelopment Project subject to the
availability of funds provided for in the foregoing paragraphs.
Section 3. The City Attorney is hereby authorized to
proceed to close on this property after examination of the
Abstract and confirmation of an Opinion of Title.
PASSED AND ADOPTED this 13th day of
November 1986.
ATTEST:
PREPARED AND APPROVED BY:
A CV -7.
APPROVED' A
AND CORRECTNESS
-3-
s f •
CERTIFICATE OF VALUATION
6
Parcel No. 25-D&E
Upon request for valuation by the City of Miami for the Southeast
Overtown/Park West Redevelopment Project, we have made an
investigation and analysis of the following described property:
Parcel No.:
Folio No.:
Legal Description:
25-1.0
01-0102501--10
Lots 9 and 10 (Pt.),
Dade County, Florida
Block 25N of P.B. B-41
We hereby certify that to the best of our knowledge and belief,
except as otherwise noted in this report:
o Neither Real Estate Research Corporation nor any of its
officers has any present or contemplated interest in the
property appraised;
o The undersigned have both personally inspected the property
and surrounding market area-
0
Facts and rationale stated in this report are correct;
o This appraisal was prepared in accordance with and is subject
to the Rules of Professional Ethics of the American Institute
of Real. Estate Appraisers;
o The American Institute of Real Estate Appraisers conducts a
voluntary program of continuing education for its designated
members. MAls and RMs who meet the minimum standards of this
program are awarded periodic educational certification. The
MAI below is currently certified under this program through
September 15, 1987;
o No one other than the undersigned prepared the analyses and
conclusions contained in this report.
o Our opinion of the Market Value of the property appraised as
of December 21, 1984 is:
FORTY-FIVE THOUSAND DOLLARS
( 45, A )
which may be allocated as follows:
Land: $45,000
Improvements: $ 0
Total: S45"- Sp p
Respectfully submitted,
REAL ESTATE RESEARCH CORPORATION
7
Clifford A. Koenig, MAI
Vice President
Robert O. Bernstein
Senior Appraiser
SG-943
TABLE I: DESCRIPTION, IDENTIFICATION, AND COST OF PARCELS -- S.E. OVERTOWN/PARK WEST PROJECT PHASE I
NEGOTIATED SETTLEMENT PRICE
'LC"I` aDIBl�ESS PARCEL LEGAL DESCRIPTION LAND BUILDING FIXTURES SUB TOTAL BONUS TOTAL
I�-�. S,��rowette 25-d/E Lot s and North 100 $79,000 0
POD k.C.,40th St. ft. of lots 9 and O i79,O00 i75,500 i254,500
Kimmi. FL. 10 of Block 2+4 N.
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N.W. 10th ST.
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SOUTHEAST OVEP,TOWN/PARK WEST
PHASE I ACQUISITION STATUS z
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N . Fj N.W, 8th ST,
JUNDER CONTRACT OR PURCHASED s
44
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UNDER CONSIDERATION `,�._ F
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N.W. Ith ST.
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50
CITY OF MIAMI. FLORIDA
INTER -OFFICE MEMORANDUM
TO. Honorable yor-' ! �,� DATE: ,November 7, 1986 FILE:
J-86-990
Lnd Ilemb r of the
City Co mi, Sion SUBJECT Southeast Overtown/Park West
Acquisition Parcel No. 25 D/E
FROM: a REFERENG
Lu is A. Rougher`ity Commission Agenda, Nov.
City Attorney 13, 1986
ENCLOSURES,
RECOMMENDATION:
It is respectfully recommended that the City Commission approve
the attached resolution authorizing the settlement of Parcel 25-
D/E for the amount of $154,500, with funds to be provided from
the 1976 General Obligation Housing Bonds allocated to the
Southeast Overtown/Park West Project.
BACKGROUND:
The Department of Development and the Law Department have
analyzed and reviewed this proposed settlment for parcel No. 25
D/E. On April 11, 1985, the City Commission authorized the City
Manager to initiate the acquisition of the thirty-one privately
owned parcels (comprising 71 properties) in the S.E.
Overtown/Park West Redevelopment area (Resolution No. 85-394).
The City Manager was also authorized to enter into agreements to
purchase real estate in the area, pending final Commission
ratification, for a price not to exceed the appraised value of
the properties to be acquired, along with bonus schedules for all
closings that were expedited (Resolution No. 85-396). In
approving this resolution, the Commission further authorized
appraised values for the parcel and allowed a fifteen percent
contingency for increased land values and reappraisals.
To date, the City Commission has authorized the closing of 29
parcels of the 31 parcels. All of the settlements on these
parcels have been at a value established through M.I.A. appraisal
review by a review appraiser and/or at negotiated value. On
Block 25 seven parcels have already been acquired; two (2)
parcels remain to be acquired (Parcels 25-H b 25 E-D).
l
Honorable Mayor
and Members of the
City Commission
Page 2
As a result of the jury verdict in the Overtown Urban Initiative
Case (Dade County vs Sawyer), the City terminated any additional
acquisition pending completion of the appeal process. A proposed
settlement of Dade County vs Sawyer is being reviewed by you at
the November 13th Meeting. The owner of Parcel 25 E/D has
recently contacted the City concerning a negotiated sale for th'is
parcel. As a result of negotiations, a settlement price of
$154,500 for this 17,500 square foot parcel is being recommended
by City staff.
The original appraisal of this parcel, dated December 21, 1984,
was $79,000. As a result of the jury verdict (Dade County vs
Sawyer), which awarded land values averaging $28 per square foot,
there have been unrealistic expectations of real estate values
created for public acquisitions in the Overtown area. The owner
of this parcel, A. L. Symonette, was a major property owner in
the recent condemnation case. During the last 10 years, the
County has taken numerous parcels owned by this owner, all
through condemnation.
While the proposed negotiated acquisition price is significantly
greater than the appraised value, the proposed settlement price
is equal to or less than that which the City could anticipate if
forced to condemn this parcel. Even with a reasonable jury
verdict, condemnation proceedings result in an average of 30-50%
increase in costs due to Florida Law which mandates that the
condemning body is liable for all legal fees and associated
expenses.
In order to expedite this acquisition, and assume a reasonable
settlement, it is recommended that this acquisition be approved.
Funding for this acquisition will be from the 1976 General
Obligation Housing Bond Funds.
Attachments:
Certificate of Value
Map
Resolution
cc: City Manager
City Clerk