HomeMy WebLinkAboutLegislationFile Number: 08-01511
Final Action Date:
A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S),
AUTHORIZING THE CITY MANAGER TO EXECUTE A THIRD AMENDMENT TO
LEASE AGREEMENT, IN SUBSTANTIALLY THE ATTACHED FORM, BETWEEN
THE CITY OF MIAMI ("CITY") AND BEASLEY-REED ACQUISITION
PARTNERSHIP, A DELAWARE PARTNERSHIP ("BEASLEY-REED"), TO EXTEND
IN THEIR LEASE OF APPROXIMATELY 2.2 ACRES OF THE CITY'S PROPERTY
IN VIRGINIA KEY, MIAMI, FLORIDA, TO EXTEND THE COMMENCEMENT OF
THE CITY'S AND BEASLEY-REED'S MUTUAL RIGHT TO TERMINATE THE
LEASE FROM JUNE 3, 2009 TO JUNE 3, 2010, WITH NINETY (90) DAYS PRIOR
WRITTEN NOTICE.
WHEREAS, in 1982, the City of Miami ("City") advertised for and received development
proposals by bid invitation for the lease of approximately three (3) acres of property owned by the City
on Virginia Key, Miami, Florida, for the construction, maintenance, and operation of a broadcast tower
communications facility (Premises"); and
WHEREAS, the proposal presented by WKAT-Hernstadt Broadcasting Corp. was in the best
interest of the public which led to a twenty-five (25) year lease agreement with the City in 1982; and
WHEREAS, the City consented to an assignment and assumption of the lease by
Beasley -Reed Acquisition Corporation ("Beasley -Reed"); and
WHEREAS, Section 29-B of the City Charter provides that the City Commission, by a 4/5ths
affirmative vote, may grant a lessee a one-time extension during the last five (5) years of its lease,
without the necessity of a referendum, for the purpose of funding additional capital improvements,
which extended term shall not exceed twenty five percent (25%) of the original term or ten (10) years,
whichever is less; and
WHEREAS, in May, 2006, the parties negotiated a lease extension calling for a six (6) year
term with an initial rental increase to $150,000, annually, and with Beasley -Reed making certain capital
improvements to the Premises as a condition of the extension; and
WHEREAS, the City also negotiated with Beasley -Reed for a mutual right of early termination
of the lease extension commencing on September 3, 2008, in light of the forthcoming Virginia Key
Master Plan; and
WHEREAS, due to the delays in completing said master plan, the City and Beasley -Reed
("Parties") have negotiated an extension of the Parties' mutual early termination right from a
commencement of September 3, 2008 to June 3, 2009, with ninety (90) days prior written notice; and
WHEREAS, due to unforeseen delays in completing said master plan, the Parties have
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Resolution
File Number: 08-01511
Final Action Date:
A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S),
AUTHORIZING THE CITY MANAGER TO EXECUTE A THIRD AMENDMENT TO
LEASE AGREEMENT, IN SUBSTANTIALLY THE ATTACHED FORM, BETWEEN
THE CITY OF MIAMI ("CITY") AND BEASLEY-REED ACQUISITION
PARTNERSHIP, A DELAWARE PARTNERSHIP ("BEASLEY-REED"), TO EXTEND
IN THEIR LEASE OF APPROXIMATELY 2.2 ACRES OF THE CITY'S PROPERTY
IN VIRGINIA KEY, MIAMI, FLORIDA, TO EXTEND THE COMMENCEMENT OF
THE CITY'S AND BEASLEY-REED'S MUTUAL RIGHT TO TERMINATE THE
LEASE FROM JUNE 3, 2009 TO JUNE 3, 2010, WITH NINETY (90) DAYS PRIOR
WRITTEN NOTICE.
WHEREAS, in 1982, the City of Miami ("City") advertised for and received development
proposals by bid invitation for the lease of approximately three (3) acres of property owned by the City
on Virginia Key, Miami, Florida, for the construction, maintenance, and operation of a broadcast tower
communications facility (Premises"); and
WHEREAS, the proposal presented by WKAT-Hernstadt Broadcasting Corp. was in the best
interest of the public which led to a twenty-five (25) year lease agreement with the City in 1982; and
WHEREAS, the City consented to an assignment and assumption of the lease by
Beasley -Reed Acquisition Corporation ("Beasley -Reed"); and
WHEREAS, Section 29-B of the City Charter provides that the City Commission, by a 4/5ths
affirmative vote, may grant a lessee a one-time extension during the last five (5) years of its lease,
without the necessity of a referendum, for the purpose of funding additional capital improvements,
which extended term shall not exceed twenty five percent (25%) of the original term or ten (10) years,
whichever is less; and
WHEREAS, in May, 2006, the parties negotiated a lease extension calling for a six (6) year
term with an initial rental increase to $150,000, annually, and with Beasley -Reed making certain capital
improvements to the Premises as a condition of the extension; and
WHEREAS, the City also negotiated with Beasley -Reed for a mutual right of early termination
of the lease extension commencing on September 3, 2008, in light of the forthcoming Virginia Key
Master Plan; and
WHEREAS, due to the delays in completing said master plan, the City and Beasley -Reed
("Parties") have negotiated an extension of the Parties' mutual early termination right from a
commencement of September 3, 2008 to June 3, 2009, with ninety (90) days prior written notice; and
WHEREAS, due to unforeseen delays in completing said master plan, the Parties have
File Number 08-01511
negotiated a further extension of the Parties' mutual early termination right from a commencement
June 3, 2009 to June 3, 2010, with ninety (90) days prior written notice;
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 adopted
by reference and incorporated as if fully set forth in this Section.
Section 2. The City Manager is authorized{1} to execute a Third Amendment to Lease
Agreement, in substantially the attached form, between the Parties, to extend in their lease of the
Premises of the City's property in Virginia Key, Miami, Florida, the commencement of the Parties'
mutual right to terminate the lease from June 3, 2009 to June 3, 2010, with ninety (90) days prior
written notice.
Section 3. This Resolution shall become effective immediately upon its adoption and signature
of the Mayor.{2}
APPROVED AS TO FORM AND CORRECTNESS:
JULIE O. BRU ,
CITY ATTORNEY
Footnotes:
{1} The herein authorization is further subject to compliance with all requirements that
may be imposed by the City Attorney, including but not limited to those prescribed by
applicable City Charter and Code provisions.
{2} If the Mayor does not sign this Resolution, it shall become effective at the end of ten
calendar days from the date it was passed and adopted. If the Mayor vetoes this
Resolution, it shall become effective immediately upon override of the veto by the City
Commission.