HomeMy WebLinkAboutR-85-0752i
I 7/2/85 RESOLUTION No. " 52_
A R98OLUTI ON AUTHORIZING THE CITY MANAGER TO
PREPARE AND SUBMIT AN APPLICATION FOR
ASSISTANCE TO THE U,S, DEPARTMENT OP HOUSING
AND URBAN DEVELOPMENT, UNDER THE URBAN
DEVELOPMENT ACTION GRANT PROGRAM, VOR USE AS
SUBORDINATE FINANCING OF CONDOMINIUMS, MULTI=
VAMtLY RENTAL UNITS, AND COMMERCIAL SPACE
WITHIN THE SOUTHEAST OVERTOWN/PARK WEST
REDEVELOPMENT PROJECT AND FURTHER AUTHORIZING
1 THE CITY MANAGER TO TAKE ACTIONS NECESSARY TO
SECURE RECEIPT OF THE GRANT; AND FURHTER,
UPON APPROVAL OF SAID GRANT BY HUD, TO ACCEPT
THE SAME AND NEGOTIATE THE NECESSARY
IMPLEMENTING CONTRACTS AND AGREEMENTS.IN COM-
PLIANCE WITH CITY CODE REQUIREMENTS.
WHEREAS, the City Commission by Resolution No. 82-755
approved in principle the Southeast Overtown/Park West Redevel-
opment Plan; and
WHEREAS, the City Commission approved in principle the Phase
I Overtown Transit Station Impact Area proposal for the Southeast
Overtown/Park West Community Redevelopment Area by Resolution No.
83-9729 ; and
WHEREAS, the Commission by Resolution No.;83-977 has
previously authorized the City Manager to prepare and submit
applications for assistance to the U.S.Department of Housing and
Urban Development for Phase I of the Southeast Overtown/Park
West Project: and
WHEREAS, the City Commission has declared that the best
method to redevelop Southeast Overtown/Park West is by a Unified
Development Prpject (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 (Reso-
lution No. 85-394)1 and
WJJ9REAB, the City Commission established procedures for the
acquisition of land througli negotiated purchase in the 8o►ithe4st
Qv@rtown/P4rk West Redevelopment Area (Resoluti�4 Up. 85-►396) s and
CITY +C+ MMISRON
VETiNQ OF
JUL is 08
WHgRgAS, the City Commission has already authorized the
City Manager to purchase and eight parcels Within Phase l of the
Southeast Overtowh/Park West Redevelopment Area (hereinafter
referred to as "Project") (Resolution No. 85=664)# and
WHEREAS, private developers have been selected for all
parcels Within Phase I of the Project; and
WHEREAS, the success of the Project would produce a public
benefit; and
WHEREAS, the Federal Government has established the Urban
Development Action Grant Program to provide financial assistance
to governmental entities to assist in the financing of private
development efforts in which a public benefit will be achieved; and
WHEREAS, it has been determined that gap financing
assistance over and above the previously arranged development
incentives is necessary to assist privately undertaken commercial
and residential development within the project area; and
WHEREAS, it would be beneficial to the Southeast
Overtown/Park West Community Redevelopment Project to receive
assistance under the Urban Development Action Grant Program.;
NOWT THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY
OF MIAMI, FLORIDA:
Section 1. The City Commission authorizes the City Manager
to prepare and submit an application to the U.S. Department of
Housing and Urban Development, under the Urban Development Action
Grant Program, for subordinate financing of residential
condominiums, multi -family residential rental units, parking
facilities and commercial space within the Southeast
Overtown/P4rx West Redevelopment Project,
Section 2. The City Commission authorizes the City Manager
to ta%o any actions necessary, including but not limited to
attending public hearings, to secure receipt of this Urb,4n
Development Action Gr4nt*
t
Section 3. The City Mahac3er# as Chief Adthinistfative
Officer for the City of Miami, upon approval of the above Grath
by HUI) is hereby allthorigod to adcept the grant and, Upon receipt
of same, negotiate the necessaty contradts and agreeiiientS to
implement the Urban Development Action Grant Program in d6ffipliande
with City Code roquiretitehtg.
PASSED AND ADOPTED this 18th day of _�ujy.... 1985.
ATTEST!
l MaUriee
! RALPH G. ONCIE MAURICE A. FERRE, MAYOR
c _ ITY CLERK
APPROVEJ)"AS TO FORM
PREPARED AND APPROVED BY: AND COItRECTNtSS
OBERT N. SECHENr LUCIA A. DOUGHERTY
/1 ASSISTANT CITY ATTORNEY CITY ATTORNEY
1
7777
dItY 6P MIAMI, IcLOOIBA
IN'PIM4PPICE MEMORANDUM
ta. The Honc)rable Mayor Wit. �ru ly 3, lg>35 ftt
and Meffiborg of the City Col M96ion
busAct:
Public Hearing for Urban
bevelopiftent Action Grant
Application- 5,8, Overtown/
s:
Sergio Pereira park West July 18, 1585
City Manager
Nc�oups:
It is recoittlended that the City
Commission approve the attached
resolution authorizing the City Manage^
to prepare and submit an application for
`
assistance the U.S. .Department o.._
,_to
Hous r,g and Urban Development under t e
urban Development Action Grants Program
for phase I of the Southeast
overtown/park West project; and further;
upon approval of the grant by ' HUb, to
accept the same and negotiate_ the
necessary implementing contracts and
agreements.
The City of Miami is requesting an Urban Development Action
Grant of $11,667,400 to be used as gap financing for the
development of 441 units of rental housing, 336 units of for -
sale housing, 118,200 square feet of commercial space and
supportive parking for 928 cars. The developmentwilloccur
as part of the initial stage (Stage I) of Phase I of the
Southeast Overtown/Park West Redevelopment Project. Stage Z
ti
represents a private commitment of over $53 million.
The Stage I development programs proposed for UDAG assistance,
listed by individual developer, are shown on Table 1. It is
anticipated that construction would take place over a three-year
period (1985-88) .
The requested subsidies for each developer commitment shown on
Table are necessary to make the development programs more
economically feasible during early stages of ,the project.
r,
The feasibility gap is created by development costs that require
rents and sales prices that are: (a) too high to be affordable to
}
rentor:a and homebuyers in the low- and moderate -income ranges and
Y
w.
(b) too high to attract a necessary front-end complement of
>'
middle income rentore and homebuyers, given the present negative
image of the area.
8 ! 52
r,
n
;r
July i9sS
Mayor and City LOtAmi as i of
The subsidies are needed to
insure that a sufficient
thh.tutfiteooYioepteatsueoe§st
nuber of
cal
of its are built and OCCUP'dd
the new -town
at
In
50
units
miss needed tip make
is believed to
be a �initui� of 456 to
(This mount
line in the first
year of fatket n�Y)
,.
omin n
g
will be PutsuOd if Ub,G
assistance i
Altei?�atve funditi� sources
not mace available,
s€ P
Pn
t
y
OF-
ku i
{G
t
f
r
May6r anti City
'C6ffiffiie6i6n
July 3, 1085
TABLE i
4
UDAd
APPLICATION
STAGE
I DRV8LOPMENT
PROGRAM LIsTRD
by DEVELOPER
DEVELOPER/
PROGRAM
PRIVATE DVMT
UDAO SUBSIDY
PARCEL
COMMITMENT*
COST ESTIMATE
REQUESTED
Can/Amorican
350 Units (It)'
$18, 368, 000
$5, 250► 000
(Parcel 37)
30,000 (Comm)
�.;
395 Spaces (P)
Circa/n/S
60 Units (C)
15, 238, 540
2, 277,400
(Parcel 56)
91 Units (2)
63, 200 (Comm)
.
215 Spaces (P)
Cruz Dev Co
221 Units (C) "
17, 217, 000
3► 315► 000
(Parcel 36)
25,000 (Comm)
3
248 Spaces (P)
Indian River
50 Units (C)
2t475,000
825,000
(Parcel 46)
Spaces (P)
TOTAL
441 Units (R)
53, 298, 540
11, 667, 400
331 Units (C)
118, 200 (Comm)
�9
928 Spaces (P)
w
NFL
* (R) _ Rental, (C) _ Condominium,
(Comm) =
Square Feet
:
Commercial Space, (P) = Parking.
J {t it
r
85-7 2