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HomeMy WebLinkAboutmemo -1CITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM TO FROM : DATE : The Honorable Mayor and Members of the City Comission SUBJECT : C \ -\/-& REFERENCES : Joe + iola ENCLOSURES: Resolution, Purchase and Chie ' dministrator Sale Agreement PH.5 Public Hearing OCT 3 0 2003 FILE Sale of 27 SW North River Drive, Miami, Florida RECOMMENDATION: The administration recommends that the City Commission adopt the attached Resolution rescinding Resolution No. 00-609 authorizing the sale of the property located at 27 SW North River Drive, Miami, Florida (the "Property"), to ICARE Bay Point Schools, Inc., a Florida not for profit Corporation ("ICARE"). This Resolution also approves the sale of the Property to RiverHouse Lofts, Ltd., a Florida Limited Partnership; establishing Two Hundred Twenty -Five Thousand Dollars ($225,000.00) as the amount to be paid to the City of Miami by the aforementioned purchaser for the Property; and further authorizes the City Manager to execute a Purchase and Sale Agreement (the "Agreement"), in substantially the attached form with RiverHouse Lofts, Ltd., and to consummate such transaction in accordance with the terms and conditions of the Agreement, which terms may be amended by the City Manager as may be necessary in order to effect such sale in an expeditious manner. BACKGROUND: On July 20, 2000 the City Commission adopted Resolution No.00-609 authorizing the sale of City -owned Property located at 27 SW North River Drive, Miami, Florida (the "Property") to ICARE Bay Point Schools, Inc., a Florida not for profit corporation ("ICARE") in the amount of $65,000.00 for the purpose of providing a parking lot for adjacent multifamily building that would have provided affordable housing to troubled youths. ICARE did not agree to purchase the Property with the affordable housing deed restrictions. The Department of Economic Development reviewed its inventory of City -owned properties and has found that it is in the best interest of the City to divest itself of this Property as it is not needed for City purpose and currently sits vacant. The Property contains only 4,609 sq. ft., which includes an undedicated right-of-way easement for the bridge (598 sq. ft.) on the south side and an undedicated right-of-way (211 sq. ft.) on the west side. The property is too small to be developed for its own use. Page -2- Re: Sale of 27 SW North River Drive, Miami, Florida The Property currently represents a maintenance cost and liability to the City, and does not generate ad valorem taxes, It is in the best interest of the City to sell the Property, divest itself of the liabilities associated with its ownership, and place the Property on the tax rolls. An independent appraisal was procured by the Department of Economic Development and established One Hundred Fifteen Thousand Dollars ($115,000.00) as the fair market value for the Property. On November 6, 2001, the electorate of the City of Miami approved an amendment to Section 29-B of the Charter of' the City of Miami to create an exception from City requirements for competitive bidding for disposition of non -waterfront City -owned property to an adjacent property owner when the subject property is 7,500 square feet or less, or the subject non -waterfront property is non -buildable. On July 25, 2003, adjacent property owners ICARE and RiverHouse Lofts, Ltd. were advised of the City's intent to sell and asked to submit bids for the purchase of the Property. ICARE's final bid submitted offered to purchase the Property for the sum of Two Hundred Thirty Thousand Dollars ($230,000.00). RiverHouse's final bid submitted offered to purchase the property for the sum of Two Hundred Twenty -Five Thousand Dollars ($225,000.00). RiverHouse plans to build a residential facility and mixed use commercial activities on adjacent parcels and will be utilizing this property in conjunction with this project. Both bids were reviewed and administration has determined that the bid submitted by RiverHouse is in the best interest of the City as the adjacent project is consistent with development plans for the area and is in the long-term best interest of the City. RiverHouse has agreed to provide upon closing, the adjacent property (Lot 11) owner with an access easement for vehicular and pedestrian ingress and egress from either S.W. North River Drive or from Flagler Street, so as to prevent the adjacent property from being landlocked upon the transfer of title to the Property. FINANCIAL IMPACT There is p sitive financial impact to the general fund. JA: C:LB:mv:memoCCRiverLofts.doc