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HomeMy WebLinkAboutexhibits I-PEXHIBIT I POINCIANA/SAWYER'S WALK RELEASE KNOW ALL MEN BY THESE PRESENTS that SAWYER'S WALK, LTD., a Florida limited partnership ("Sawyer's Walk") and POINCIANA VILLAGE OF MIAMI, LTD., a Florida limited partnership ("Poinciana") [INSERT NAMES OF PARTNERS OF EACH] (Sawyer's Walk and Poinciana, and their respective partners, are collectively referred to as the "first party") and CITY OF MIAMI, a Florida municipal corporation (the "City") and SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY, an agency of the State of Florida (the "CRA') (the City and the CRA are collectively referred to as the "second party"), for and in consideration of Ten and 00/100 Dollars ($10.00), and other good and valuable consideration, received from or on behalf of the, as more particularly described in the Settlement Agreement dated as of 2005 by and between Poinciana, Sawyer's Walk, the CRA and the City (the `Settlement Agreement"), the receipt and adequacy of which is hereby acknowledged, remises, releases, acquits, satisfies, and forever discharges the said second party and their officers, directors, commissioners, agents and employees, of and from all, and all manner of action and actions, cause and causes of action, suits, debts, dues, sums of money, accounts, agreements, promises, damages, judgments, executions, claims and demands whatsoever, in law or in equity, which said first party ever had, now has, or which said first party hereafter can, shall or may have, against said second party, for, upon or by reason of any matter, cause or thing whatsoever, from the beginning of the world to the date of these presents relating to or arising out of, directly or indirectly: (i) that in response to a request for proposals (the "RFP") issued by the City with respect to that certain real property located in Miami -Dade County, Florida more particularly described on Exhibit "A" attached hereto and made a part hereof (the "Poinciana Village Project"); (ii) the response to the RFP submitted by Indian River Investments of Miami, Inc., a Florida corporation ("Indian River"), acting in the capacity of general partner on behalf of Poinciana; (iii) the selection of Poinciana as a successful proposer to the RFP by the City for the Poinciana Village Project; (iv) the approval by the City Commission of Poinciana as the successful proposer with respect to the RFP and Poinciana Village Project; (v) the Southeast Overtown/Park West Lease and Development Agreement dated June 15, 1988, as amended by Amendment No. 1 dated February 17, 1989, as amended by Amendment No. 2, dated July 13, 1989, as amended by Amendment No. 3, dated January 11, 1990, as amended by an Amendment dated September 23, 1998; and as assigned from the City to the CRA by that certain Assignment of Leases dated January 9, 1996 (collectively the "Poinciana Lease"); (vii) RFP issued by the City with respect to that certain real property located in Miami -Dade County, Florida, more particularly described on Exhibit "B", attached hereto and made a part hereof (the "Sawyer's Walk Project"); (viii) the sole response to the RFP Page 1 of 4 submitted by Sawyer's Walk with respect to the Sawyer's Walk Project; (ix) the City of Miami Resolution No. 91-509 selecting Sawyer's Walk as the developer of the Sawyer's Walk Project; (x) matters raised and the matters that could have been raised in the action styled Southeast Overtown/Park West Community; Redevelopment Agency v. Poinciana Village of Miami, Ltd., Case No. 02-06846 CA. 9, pending in the Circuit Court of the Ilth Judicial Circuit in and for Miami -Dade County, Florida; and (xii) matters raised and the matters that could have been raised in the action styled The City of Miami vs. Sawyer's Walk, Ltd., Case No. 00- 28860 CA 9, pending in the 11th Judicial Circuit in and for Miami -Dade County, Florida. This Release shall not release the second party from its obligations under the Settlement Agreement, which obligations are not subject to this Release. The Release shall not release the CRA from its obligations under (i) the Amended and Restated Southeast Overtown/Park West Lease and Development Agreement dated by and between the CRA and Sawyer's Walk; (ii) the First Source Hiring Agreement dated by and between the CRA and Sawyer's Walk; (iii) Trailer License Agreement dated by and between CRA and Sawyer's Walk; and (iv) the Covenant Running with the Land dated by and between the CRA and Sawyer's Walk, which obligations are not subject to this Release. First party hereby represents and warrants that they are fully competent and able to understand the terms of this Release, that first party is not relying upon any statements or representations (whether express or implied) of the second party, their employees and attorneys regarding this Release and that first party is entering into this Release under their own free will believing that this Release to be in their best interest. The terms of this release are contractual and not a mere recital. This Release shall be governed by and construed in accordance with the laws of the State of Florida. First party understands that the second party admits no liability of any sort by reason of the matters raised and the matters that could have been raised in the action styled Southeast Overtown/Park West Community Redevelopment Agency v. Poinciana Village of Miami, Ltd., Case No, 02-06846 CA 9, pending in the Circuit Court of the 11th Judicial Circuit in and for Miami -Dade County, Florida and in the action styled The City of Miami vs. Sawyer's Walk, Ltd., Case No. 00-28860 CA 9, pending in the llth Judicial Circuit in and for Miami -Dade County, Florida and that said settlement in compromise is made to terminate further controversy respecting all claims that the first party has heretofore asserted or that the first party, or their representatives, might or could have asserted in connection therewith. Page 2 of 4 IN WITNESS WHEREOF, we have hereunto set out hand and seal this day of , 2005. —` WITNESSES: SAWYER'S WALK LTD. a Florida limited partnership Print Name: By: Name: Print Name: Title: Print Name: Print Name: Print Name: Print Name: Print Name: Print Name: Print Name: Print Name: Partners of Sawyer's Walk, Ltd. By: Name: By: Name: By: Name: POINCIANA VILLAGE OF MIAMI, LTD., a Florida limited partnership By: Name: Page 3 of 4 Print Name: Print Name: Print Name: Print Name: Print Name: Print Name: Partners of Poinciana Village of Miami, Ltd. By: Name: By: Name: By: Name: Page 4 of 4 # 1828482_v2 EXHIBIT "A" LEGAL DESCRIPTION Page 5 of 4 EXHIBIT J CITY/CRA RELEASE KNOW ALL MEN BY THESE PRESENTS that CITY OF MIAMI, a Florida municipal corporation (the "City") and SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY, an agency of the State of Florida (the "CRA') (the City and the CRA are collectively referred to as the "first party"), for and in consideration of Ten and 00/100 Dollars ($10.00), and other good and valuable consideration, received from or on behalf of the SAWYER'S WALK, LTD., a Florida limited partnership ("Sawyer's Walk") and POINCIANA VILLAGE OF MIAMI, LTD., a Florida limited partnership ("Poinciana") (INSERT NAMES OF PARTNERS OF EACH) (Sawyer's Walk and Poinciana, and their respective partners, are collectively referred to as the "second party"), as more particularly described in the Settlement Agreement dated as of , 2005 by and between Poinciana, Sawyer's Walk, the CRA and the City (the `Settlement Agreement"), the receipt and adequacy of which is hereby acknowledged, remises, releases, acquits, satisfies, and forever discharges the said second party and their officers, directors, commissioners, agents and employees, of and from all, and all manner of action and actions, cause and causes of action, suits, debts, dues, sums of money, accounts, agreements, promises, damages, judgments, executions, claims and demands whatsoever, in law or in equity, which said first party ever had, now has, or which said first party hereafter can, shall or may have, against said second party, for, upon or by reason of any matter, cause or thing whatsoever, from the beginning of the world to the date of these presents relating to or arising out of, directly or indirectly: (i) that in response to a request for proposals (the "RFP") issued by the City with respect to that certain real property located in Miami -Dade County, Florida more particularly described on Exhibit "A" attached hereto and made a part hereof (the "Poinciana Village Project"); (ii) the response to the RFP submitted by Indian River Investments of Miami, Inc., a Florida corporation ("Indian River"), acting in the capacity of general partner on behalf of Poinciana; (iii) the selection of Poinciana as a successful proposer to the RFP by the City for the Poinciana Village Project; (iv) the approval by the City Commission of Poinciana as the successful proposer with respect to the RFP and Poinciana Village Project; (v) the Southeast Overtown/Park West Lease and Development Agreement dated June 15, 1988, as amended by Amendment No. 1 dated February 17, 1989, as amended by Amendment No. 2, dated July 13, 1989, as amended by Amendment No. 3, dated January 11, 1990, as amended by an Amendment dated September 23, 1998; and as assigned from the City to the CRA by that certain Assignment of Leases dated January 9, 1996 (collectively the "Poinciana Lease"); (vii) RFP issued by the City with respect to that certain real property located in Miami -Dade County, Florida, more particularly described on Exhibit "B", attached hereto and made a part hereof (the "Sawyer's Walk Project"); (viii) the sole response to the RFP submitted by Page 1 of 4 Sawyer's Walk with respect to the Sawyer's Walk Project; (ix) the City of Miami Resolution No. 91-509 selecting Sawyer's Walk as the developer of the Sawyer's Walk Project; (x) matters raised and the matters that could have been raised in the action styled Southeast Overtown/Park West Community Redevelopment Agency v. Poinciana Village of Miami Ltd , Case No. 02-06846 CA 9, pending in the Circuit Court of the 11th Judicial Circuit in and for Miami -Dade County, Florida; and (xii) matters raised and the matters that could have been raised in the action styled The City of Miami vs. Sawyer's Walk, Ltd., Case No. 00-28860 CA 9, pending in the 11th Judicial Circuit in and for Miami -Dade County, Florida. This Release shall not release the second party from its obligations under the Settlement Agreement, which obligations are not subject to this Release. The Release shall not release Sawyer's Walk from its obligations under (i) the Amended and Restated Southeast Overtown/Park West Lease and Development Agreement dated by and between the CRA and Sawyer's Walk; (ii) the First Source Hiring Agreement dated CRA and Sawyer's Walk; (iii) Trailer License by and between the and between CRA and Sawyer's Walk; and (iv) the ,Covenant Runningwith he Land dated the by and between the CRA and Sawyer's Walk, which obligations are not subject to this Release. First party hereby represents and warrants that they are fully competent and able to understand the terms of this Release, that first party is not relying upon any statements or representations (whether express or implied) of the second party, their employees and attorneys regarding this Release and that first party is entering into this Release under their own free will believing that this Release to be in their best interest. The terms of this release are contractual and not a mere recital. This Release shall be governed by and construed in accordance with the laws of the State of Florida. First party understands that the second party admits no liability of any sort by reason of the matters raised and the matters that could have been raised in the action styled Southeast Overtown/Park West Community Redevelopment Agency v. Poinciana Village of Miami, Ltd., Case No. 02-06846 CA 9, pending in the Circuit Court of the 11th Judicial Circuit in and for Miami -Dade County, Florida and in the action styled The City of Miami vs. Sawyer's Walk. Ltd., Case No. 00-28860 CA 9, pending in the 11th Judicial Circuit in and for Miami -Dade County, Florida and that said settlement in compromise is made to terminate further controversy respecting all claims that the first party has heretofore asserted or that the first party, or their representatives, might or could have asserted in connection therewith. Page 2 of 4 Priscilla A. Thompson WITNESSES: CRA: IN WITNESS WHEREOF, we have hereunto set out hand and seal this day of , 2005. WITNESSES: CITY: CITY OF MIAMI, a Municipal Print Name: corporation of the State of Florida By: Print Name: ATTESTATION: APPROVED FOR LEGAL SUFFICIENCY: City Clerk City Attorney Print Name: SOUTHEAST OVERTOWN/ PARK WEST COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF MIAMI Print Name: ATTESTATION: Priscilla A. Thompson, Clerk of the Board By: Frank K. Rollason Executive Director APPROVED FOR LEGAL SUFFICIENCY William R. Bloom Special Counsel to the CRA Page 3 of 4 # 1922764 v3 EXHIBIT "A" LEGAL DESCRIPTION Page 4 of 4 EXHIBIT K 1 Commercial General Liability insurance on a commercial general liability coverage form with "broad form" coverage, or its equivalent, including contractual liability, products and completed operations, personal injury, and premises coverage against those sums that the insured becomes legally obligated to pay as damages in connection with any and all claims, demands or actions, bodily injury, death or property damage occurring in the Property, the limits of which shall not be less than One Million Dollars ($1,000,000) per occurrence combined single limit for bodily injury and property damage. 2. Pollution/Environmental Impairment Liability insurance coverage to be provided by Poinciana's and Sawyer's Walk's contractors performing the Inspections on a claims basis (provided that such policy period must be for a minimum of six (6) years from and after the date of the Inspections) with limits of One Million Dollars ($1,000,000) per occurrence, providing coverage for the damage caused by spillage of any fuel, petroleum, products or any other "hazardous substances," "hazardous materials" or "toxic substances" (as defined in any and all state, local, or federal laws, rules, regulations and orders pertaining to environmental, public health or welfare matters), whether those substances are solid, liquid or gaseous. Said policy of insurance shall also provide coverage for the cost 52 of cleanup of the affected area and for the removal, transportation and safe disposal of any contaminated area. 3. Automobile Liability insurance covering all owned, non -owned, and hired vehicles used in conjunction with Inspections of the Property. The policy or policies of insurance shall contain such limits as may be reasonably requested by the City from time to time but not Less than One Million Dollars ($1,000,000). Worker's Compensation insurance in the amounts and types required by Chapter 440, Florida Statutes. 4. The Limits set forth in paragraphs (1), (2), (3) and (4) above shall be issued by an Insurance Company maintaining an "A" rating and Financial Strength of "7". 53 EXHIBIT L Reverter Legal Description LOTS 1 THROUGH 12, INCLUSIVE, BLOCK 45, NORTH CITY OF MIAMI, ACCORDING TO THE PLAT THEREOF, AS RECORDED IN PLAT BOOK "B", PAGE 41 OF THE PUBLIC RECORDS OF MIAMI-DADE COUNTY, FLORIDA. AND LOTS 1 THROUGH 12, INCLUSIVE, BLOCK 56, NORTH CITY OF MIAMI, ACCORDING TO THE PLAT THEREOF, AS RECORDED IN PLAT BOOK "B", PAGE 41 OF THE PUBLIC RECORDS OF MIAMI-DADE COUNTY, FLORIDA, # 2574187_0 • • • r EX�3�BTT M County Sett1ement A5reement MIAMI-DADE COUNTY, a political subdivision of the State of Florida, VS. Plaintiff, IN THE CIRCUIT COURT OF THE 11TH JUDICIAL CIRCUIT OF FLORIDA IN AND MIAMI-DADE COUNTY. GENERAL JURISDICTION -DIVISION. CASE NO. 01-13810 (CA-08) CITY OF MIAMI, Florida, a Florida Municipal corporation,and SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY, an agency 'of the State of Florida, 1 Defendants. sErtummiT ACfiREEMENT Florida Bar No.180724 Plaintiff, MIAMI-DADE COUNTY, a political subdivision of die State of Florida, and the Defendants, CITY OF MIAMI, Florida, a Florida municipal corporation and SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY, an agency of the State of Florida, Defendants, agree to the following terms in EXHIBIT A OFFICE Of COUNTY ATYW NLY. MIAMI-DADC COUNTY. FLORIDA 11LCPHONs 130N1 37111-5151 Miami -Dade County vs.City of Miami Case No. 01-13810 Page No. 2 • full and complete settlement of the above -designated quiet title suit; 1. The CITY OF MIAMI. and SOUTHEAST OVERTOWN/PARK WE:S T COMMUNITY REDEVELOPMENT AGENCY willexecute quit claim deeds to M IAMI- DADE COUNTY in the forms attached hereto as Exhibits 1 and 2 of this Settlement Agreement and made a part hereof for those certain lots of Block 36 of P.W. Resubdivision, Plat Book 'B' at Page 34 and for Lots 1 through 12of Blocks 4 Sl1T and 56N of A. L. Knowlton's Map of Miami, Plat Book 'B' at Page 41 (the "P Said �'�• Property being the subject of this quiet title suit and more particularly described on Exhibit s A to thequit claim deeds attached as Exhibits 1 and 2 to this Agreement. 2• The quit claim deeds will be held by Mianti-Dade County General Services D Administration (GSA) in escrow for a;ieriod o f four (4) years,. said ... Period to begin August. 1, 2003 and end not later than August 1, 2007. 3. Unless the CITY` bF MIAMI and/or SOUTHEAST OVERTOWN PARK WEST CO REDEVELOPMENT AGENCY shall have or caused to have Commenced construction of development on all of the Property by August 1, 2007 then GSA shall file the escrowed quit claim deeds in the public records of Miami -Dade County, Florida and the fee simple title to the Property shall be deemed legally quieted in MIAMI- DADE COUNTY without further order of the Court. Alternatively, should the Y CITY OF MIAMI and SOUTHEAST OVERTOWN/PARK WEST CO MMUNITY REDEVELOPMENT AGENCY have commenced or caused to have commenced convict Of COUNTY ATTORNEY. MIAMI-DADE COUNTY. FLORIDA TELEPHONE 13051 375-5151 • Miami -Dade County vs.City of Miami Case No. 01-13810 Page No. 3 construction of development on all of the Property, the quit claim deeds will be deemed null and void and of no further legal force or effect and the deeds shall be stricken throve!' and returned to the office of the city attorney together with a copy of this settlement agreement. In such event MIAMI-DADE COUNTY shall provide the city a document, in a recordable form, that provides that the terms of the reverter provisions have been satisfied and the reversionary interest of MIAMI DADE COUNTY is extinguished without further order of the Court. 4. The phrase "comrnenced construction of development" shall meanthat all • required constructionanddevelopment permits have been issued on a complete set or set; of plans for a specific project or projects of one or more constructed floors of residential, �ttal, commercial, retail, office or mixed us4 on all of the Property, and that actual physical construction work is taking place on a continuing basis on all oldie Property. 5. In the event that any development on the Property requires payment for the Property, solely as a result of the sale of the. fee simple interest in the Pro to the Property, CITY OF MIAMI and/or SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY from the chosen developer(s), then the CITY OF M - IAMI and/or SOUTHEAST OVERTOVVN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY shall, prior to entering into any development agreement(s) for the Prop erty, submit said proposed agreement(s) to the Board of County Conunissioners for its approval prior to entering into said agreement. Upon delivery of the proposed development ODIC[ Or COUNTY ATTb11NEY. MIAMI-DADE Comm 1.OillDA TEL(PHONE (.7OS, 375.51 S • 1 • Miami Dade County vs.City of Miami Case No. 01-13810 Page No.:4 agreement(s) to the County Manager, the time period identified in paragraph 3 herein shall be tolled only up to .the time the Board of County Commissioners shall approve the sale under the proposed development agreement(s). 7. Resolutions of the Board of County Commissioners of Miami -Dade County, the Commission, of the City of Miami and the SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY approving this settlement are attached hereto and incorporated herein by reference. DATED .this day of July, 2003. ROBERT A. GINSBURG Miami -Dade County. Attorney: Stephen P. Clark Center Suite 2810, III N.W. First Street Miami, Florida 33128-1993 B Thomas Goldstein Assistant County Attorney Attorney for Plaintiff CITY OF MIAMI ATTORNEY'S OFFICE 444 S.W. 2nd Avenue, Suite 945 Miami, Florida 33130 By: Charles C. Mays cornet OIL COUNTY ATIontar." MIAMI-DAD[ COUNTY. FLORIDA T`LCPRONE (3051 D75-1101 Miami -Dade County vs. FEC Case No..9940100 Page No. 5 Assistant City Attorney City of Wand, Florida THOMPSON COBURN LLP One Firstar Plate Suite 3100 St. Louis, MO 63101 i, Esquire or Southeast Ovettawl. ark West Community Redevelopment AgerleY n:approved R:879-03 Loners of copy. Exhibit.3. approved �t €�vv� � �on No.� ammunity v t Agency ofthe State of 'F1 de, n. atUiMi -J :adc County, Florida, A certified :copy:of said resolution Is attached hereto as Exhibit- 5. Orrice OF COUNTY AITONNNY, MIAMI'DADR COUNTY. FLORsoA TaLtPNONC 1305) a70•5151 z E+ H F4 1I x - URBAN VILLAGE - "FOLKUKE VILLAGE (BLOCKS F & G) HIGHUGHT AFRICAN AND CARIBBEAN IMMIGRANT HISTORICAL TIES TO NEIGHBORHOOD - BOUTIQUE HOTEL ACTIVITIES NW 2ND & NW 8TH BY PLACING RESTAURANT ON CORNERS - COMMERCIAL CENTERED ADJACENT TO LYRIC AND 8TH CORRIDOR - CLOSURE OF NW 10TH ALLOWS FOR DEVELOPABLE PARCEL ON BLOCK 25 - PARK INCLUDES INTERPRATIVE WALK FOCUSING ON THE HISTORY OF OVERTOWN NEIGHBORHOOD EXHIBIT 0 THIS INSTRUMENT PREPARED BY: William R. Bloom, Esq. Holland & Knight LLP 701 Brickell Avenue Miami, Florida 33131 Space Above This Line For Recording Data COVENANT RUNNING WITH THE LAND AGREEMENT THIS COVENANT, made this day of 2005 by and between (hereinafter referred to as "Developer"), and the SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY, an agency of the State of Florida (hereinafter referred to as "the CRA"). RECITALS A. The CRA solicited proposals pursuant to that certain request for proposal, dated , 200 (the "RFP"), for the sale of that certain real property which is more particularly described in Exhibit "A", attached heretoand incorporated herein by this reference (the "Property"), which Property is to be sold subject to the terms of that certain Amended and Restated Southeast Overtown/Park West Lease and Development Agreement (the "Lease") dated as of , 200_ by and between the CRA and Sawyer's Walk, Ltd., a Florida limited partnership. Subject to conforming to the terms of the Settlement Agreement within 30 days of the Effective Date of the Settlement Agreement. (the "Lease') dated as of , 200_ by and between the CRA and Sawyer's Walk, Ltd., a Florida limited partnership. B. The RFP provides that the Property is to be conveyed by the CRA subject to the terms and conditions of the Lease and this Covenant. C. The Developer was selected by the CRA as the successful respondent to the RFP. D. Simultaneously with the execution of this Covenant, the CRA is conveying fee simple title to the Property to Developer and Developer has accepted the conveyance of the Property from the CRA, subject to the Lease and subject to the covenants, obligations and requirements as more particularly set forth in this Covenant, which the CRA and the Developer agree shall constitute covenants running with the land as hereinafter provided. NOW THEREFORE, in consideration of the foregoing and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the CRA and the Developer hereby agree as follows: ARTICLE I RECITALS Section 1.1 Recitals. The Recitals to this Covenant are true and correct and are hereby incorporated by reference and made a part hereof. 2 ARTICLE II EXHIBITS AND DEFINITIONS Section 2.1 Exhibits. Attached hereto and forming a part of this Covenant are the following Exhibits: Exhibit "A" — Legal Description for Property Exhibit "B" -- Development PIan Exhibit "C" — Overtown Area Exhibit "D" — First Source Hiring Agreement Exhibit "E" — STE Program Exhibit "F" — PMTE Program Exhibit "G" — Overtown Project Area Exhibit "H" — Reverter Property Exhibit "I" — Subsidized Units Section 2.2 Defined Terms. As used herein, the term: "Affordable Housing Reports" has the meaning ascribed to it in Section 8.9. "Affordable Housing Requirement" has the meaning ascribed to it in Section 8.1. "Affordable Units" has the meaning ascribed to it in Section 8.1. "Block(s)" means those City Blocks which are comprise the Land which are identified on the Development Plan. "CBO" has the meaning ascribed to it in Section 8.12. "Certificate of Final Completion" has the meaning ascribed to it in Section 6.4. "City" means the City of Miami. "Completion" shall have the meaning ascribed to it in Section 6.5. 3 "Completion Date" shall have the meaning ascribed to it in Section 6.5. "Construction Budget" shall have the meaning ascribed to it in Section 6.1.2. "Construction Contract" has the meaning ascribed to it in Section 6.1.3. Section 6.1.1. Section 6.1.4. "Construction Plans" has the meaning ascribed to it in "Construction Schedule" has the meaning ascribed to it in "County" means Miami -Dade County, a political subdivision of the State of Florida. "CRA" means the Southeast Overtown/Park West Community Redevelopment Agency. "CRA Board" shall mean the Board of Directors of the CRA. "CRA Default" shall have the meaning ascribed to it in Section 12.3. "Developer" has the meaning , and, except as otherwise expressly limited elsewhere in this Covenant, all references to the Developer shall include the successors and assigns of the Developer. "Developer Default" shall have the meaning ascribed to it in Section 12.1. "Developer Improvements" shall have the meaning ascribed to it in Section 4.1. "Development Plan" has the meaning ascribed to it in Section 4.1. "Effective Date" means the date this Covenant is last executed by Developer and the CRA. "Executive Director" means the Executive Director of the CRA. "First Source Hiring Agreement" shall have the meaning ascribed to it in Section 9.1. "Incremental TIF" has the meaning ascribed to it in Section 11.1. "Interlocal Agreement" shall mean the agreement between the County and the City required by the Board of County Commissioners of the County approving the selection of the developer for the Project. "Loan Commitment" shall have the meaning ascribed to it in Section 6.1.6. "Minority Participation Reports" has the meaning ascribed to it in Section 7.3. "Minority Participation Requirements" has the meaning ascribed to it in Section 7.2.1. "MUSP" has the meaning ascribed to it in Article 17 of Ordinance 11000, as amended, of the Zoning Ordinance of the City of Miami, Florida. in Section 7.4. Section 6.5. Section 8.6. Section 11.1. Section 8.12. "Non -Compliance Funds" has the meaning ascribed to it "Non -Compliance Fee" has the meaning ascribed to it in "Overtown Area" has the meaning ascribed to it in "Overtown Project Area" has the meaning ascribed to it in "Overtown Residents" has the meaning ascribed to it in 5 "Phase" means a portion of the Project to be developed at the same time by the Developer as identified on the Development Plan. "Phase I" means the first Phase of the Project as identified on the Development Plan, which shall contain four hundred (400) units. "Phase Proiect Schedule" shall have the meaning ascribed to it in Section 4.1. "Project Schedule" has the meaning ascribed to it in Section 4.1. "Proiect" means the improvements to be constructed by Developer consisting of approximately one thousand fifty (1,050) Residential Units and approximately seventy five thousand (75,000) square feet of retail and office space, with a variety of housing products which will be developed in accordance with the Development Plan. "PMTE Program" has the meaning ascribed to it in Section 10.2. "Residential Units" shall consist of apartments, townhouses, lofts, live/work units (Le., commercial units which are bundled with a residential unit) (the "Live/Work Units"), which will be constructed in mid -rise structures and high-rise structures on the Property. "Reverter Property" shall mean the property which is more particularly described on Exhibit "H" attached hereto and made a part hereof, which is -subject to a right of reverter in favor of the Miami -Dade County. Section 8.1. Section 10.1. Section 8.2. "SHIP Funds" has the meaning ascribed to it in "STE Program" has the meaning ascribed to it in "Subsidized Units" has the meaning ascribed to it in "Surtax Funds" has the meaning ascribed to it in Section 8.1. "Unavoidable Delay" has the meaning ascribed to it in Section 14.1. ARTICLE III RESTRICTIVE COVENANTS Section 3.1 Use Prohibitions of the Property. The Property shall not be used for any unlawful or illegal business, use or purpose, or for any business, use or purpose which is immoral or disreputable (including, without limitation, "adult entertainment establishments") or extra -hazardous, or in such manner as to constitute a nuisance of any kind (public or private), or for any purpose or in any way in violation of the certificates of occupancy, the MUSP or other similar approvals of applicable governmental authorities or the Development Plan, as same may be amended from time to time, pursuant to the terms of this Covenant. Section 3.2 No Discrimination No covenant, lease, agreement, conveyance or other instrument shall be affected or executed by Developer, or any of its successors or assigns, whereby the Property or any portion thereof is restricted by Developer, or any successor in interest, upon the basis of race, color, religion, sex, national origin or handicap in the sale, lease, use or occupancy thereof. Developer will comply with all applicable state and local laws, in effect from time to time, prohibiting discrimination or segregation by reason of race, color, religion, sex, national origin or handicap in the sale, lease or occupancy of the Property. 7 ARTICLE IV DEVELOPMENT RESTRICTIONS Section 4.1 Development Plan. Development of the Property (the "Developer Improvements") shall be limited to the construction approximately one fifty thousand (1,050) Residential Units on the Property, consisting of townhomes, lofts, Live/Work Units, which Residential Units will be constructed in mid -rise structures and high-rise structures and approximately seventy five thousand (75,000) square feet of retail and office space, in accordance with the detailed development plan for the Project which is attached hereto as Exhibit "B" and made a part hereof (the "Development Plan"). The Development Plan includes (i) the site plan for the entire Project; (ii) the Block by Block breakdown of the Project, including without limitation, the number, type, style and size of units to be constructed in each Block; (iii) the Phasing Plan for the Project, including the number, type, style and size of units to be included in each Phase; (iv) the Project schedule for the overall Project (the "Project Schedule"); (v) the Project schedule with respect to each Phase (the "Phase Project Schedule"); and (vi) the breakdown of the Affordable Units and the Subsidized Units to be included in each Phase of the Project, which includes a breakdown of the square footage and unit mix of the Affordable Units and the Subsidized Units. Developer shall be required to develop the Reverter Property as part of Phase I of the Project prior to commencing development on any other portions of the Project. Section 4.2 Conformity of Plans. Any and all construction plans and all work by Developer with respect to the Property and the construction of the Developer Improvements shall be in strict conformity with the Development Plan, all applicable governmental approvals, the MUSP, the Miami Charter and Code, applicable building codes, and all other applicable state, county and local laws and regulations. Section 4.3 Amendment to Development Plan. Any and all amendments to the Development Plan shall be submitted to the Executive 8 Director for review and approval. The Developer shall provide to the Executive Director such additional backup information as the Executive Director may reasonably request to enable the Executive Director to analyze and approve the amendment to the Development Plan. The Executive Director shall have fifteen (15) days from the receipt of the proposed amendment to the Development Plan to review and approve same. The failure of the Executive Director to respond within the fifteen (15) day period shall be deemed denial. The Executive Director may approve all proposed amendments to the Development Plan which are less than five percent (5%) provided same do not change the overall character of the Project (i.e. an increase or decrease in the number of units by up to five percent (5%) or an increase or decrease in the square footage of the Project by up to five percent (5%) which changes do not substantially change the character or site plan for the Project). Any changes in excess of five percent (5%) shall be submitted to the CRA Board for approval, in which event CRA shall have ninety (90) days from the receipt of the proposed amendment to the Development Plan to take CRA Board action. The failure of the CRA Board to take action within ninety (90) days shall be deemed denial of the requested change to the Development Plan. ARTICLE V PROJECT SCHEDULE Section 5.1 Project Schedule. Developer shall develop the Project in accordance with the Project Schedule, subject to extension as a result of Unavoidable Delays. Section 5.2 Extensions of Project Schedule. Any and all amendments to the Project Schedule, other than those occurring as a result of Unavoidable Delays, shall be submitted to the Executive Director for review and approval. The Developer shall provide to the Executive Director such additional back- up information as the Executive Director may reasonably require to enable the Executive Director to analyze the request for an extension to the Project 9 Schedule, other than as a result of Unavoidable Delays. Any proposed extension to the Project Schedule shall be submitted to the CRA Board for approval, which approval may be granted or denied in the sole discretion of the CRA Board. ARTICLE VI CONDITIONS FOR DEVELOPMENT OF PHASE Section 6.1 Requirements to be Satisfied Prior to the Development of each Phase. Prior to commencing construction of the Developer Improvements with respect to each Phase of the Project, Developer shall comply with each of the following requirements with respect to such Phase: 6.1.1 Construction Plans. For purposes of this Covenant, with respect to each Phase, the "Construction Plans" shall consist of final working drawings and specifications, including without limitation, the following information: a. Final site plan for the Phase; b. Floor by floor layouts of each building included in the Phase; c. Exterior elevations of each building included in the Phase; and d. Final landscape plans for the Phase. With respect to each Phase, Developer shall submit to the Executive Director three (3) sets of the Construction Plans for review and approval. The Executive Director shall have fifteen (15) days from receipt of the Construction Plans to notify Developer of its approval or disapproval, setting forth in detail its reasons for any disapproval. The Executive Director's right to disapprove the Construction Plans submitted shall be limited to matters depicted on the Construction Plans which: (i) do not conform to the Development Plan, as same may be amended; (ii) do not conform to previously approved Construction Plans; or (iii) are in violation of this Covenant or of governmental ordinances, codes, plans or regulations. If 10 no response from the Executive Director is delivered to the Developer within fifteen (15) days after the submission of such Construction Plans, or any resubmission thereof as hereinafter provided, the Construction Plans shall be deemed approved, except that no violations of applicable laws, ordinances, codes, regulations of this Covenant shall be deemed waived thereby. In the event of disapproval, Developer shall promptly resubmit the Construction Plans to the Executive Director, altered to address and/or satisfy the grounds for disapproval. Any resubmission shall be subject to the review and approval by the Executive Director in accordance with the procedures outlined herein for the original submission until same have been approved by the Executive Director. The Executive Director and the Developer shall in good faith attempt to resolve any disputes regarding the Construction Plans. No approval by the Executive Director of any Construction Plans, pursuant to this Section, shall relieve the Developer of any obligation it may have pursuant to applicable law to file such Construction Plans with any department of the City or any other governmental authority having jurisdiction or to obtain a building or other permit or approval required by applicable law. The Developer acknowledges that the approval given by the Executive Director, pursuant to this Section, shall not constitute an opinion or agreement by the CRA that the Construction Plans are structurally sufficient or in compliance with any laws, codes, or other applicable regulations and no such approval shall impose any liability on or waive any rights of the CRA. The Developer agrees that it shall provide to the CRA copies of all plans and specifications used in the construction of the Developer Improvements upon completion of each Phase of the Project. 6.1.2 Phase Construction Budget. Developer shall submit to the Executive Director for its review and approval, a detailed budget reflecting all hard and soft costs anticipated to be incurred by Developer in connection with the development of the respective Phase (the "Construction Budget"). The Developer shall provide to the Executive Director such 11 additional backup information as the Executive Director may reasonably request to enable the Executive Director to analyze the Construction Budget. The Executive Director shall have fifteen (15) days after receipt of the Construction Budget to approve same, which approval shall not be unreasonably withheld. If no response from the Executive Director is delivered to the Developer within fifteen (15) days after submission of the Construction Budget, same shall be deemed approved. In the event of disapproval, the Executive Director shall specify the specific reasons for such disapproval. In the event of disapproval, the Developer shall resubmit the Construction Budget to the Executive Director, amended to address and/or satisfy the grounds for disapproval specified by the Executive Director. Any resubmission shall be subject to agreement and approval by the Executive Director in accordance with the procedure outlined above for the original submission until same is approved by the Executive Director. The Executive Director and Developer shall in good faith attempt to resolve any disputes regarding the Construction Budget. 6.1.3 Construction Contract. Developer shall submit to the Executive Director for its review and approval the construction contract for the respective Phase (the "Construction Contract"), which shall include the schedule of values for the Phase. The Developer shall provide to the Executive Director such additional backup information as the Executive Director may reasonably request to enable the Executive Director to analyze and approve the Construction Contract. The Executive Director shall have fifteen (15) days after receipt of the Construction Contract to approve same, which approval shall not be unreasonably withheld. The Executive Director shall approve any Construction Contract that is substantially similar in form to the Construction Contract for Phase I, which has been approved by the Executive Director. If no response from the Executive Director is delivered to the Developer within fifteen (15) days after submission of the Construction Contract, same shall be deemed 12 approved. In the event of disapproval, the Executive Director shall specify the specific reasons for such disapproval. In the event of disapproval, the Developer shall resubmit the Construction Contract to the Executive Director revised to address and/or satisfy the grounds for disapproval specified by the Executive Director. Any resubmission shall be subject to agreement and approval by the Executive Director in accordance with the procedure outlined above for the original submission until same is approved by the Executive Director. The Executive Director and Developer shall in good faith attempt to resolve any disputes regarding the Construction Contract, 6.1.4 Construction Schedule. Developer shall submit to the Executive Director for its review and approval the specific schedule for development of such Phase (the "Construction Schedule"). The Developer shall provide to the Executive Director such additional backup information as the Executive Director may reasonably request to enable the Executive Director to analyze the Construction Schedule. The Executive Director shall have fifteen (15) days after receipt of the Construction Schedule to approve same, which approval shall not be unreasonably withheld. If no response from the Executive Director is delivered to the Developer within fifteen (15) days after submission of the Construction Schedule, same shall be deemed approved. The Executive Director's right to disapprove the Construction Schedule shall be limited to matters which do not conform with the Project Schedule. In the event of disapproval, the Executive Director shall specify the specific reasons for such disapproval. In the event of disapproval, the Developer shall resubmit the Construction Schedule to the Executive Director, altered to address and/or satisfy the grounds for disapproval specified by the Executive Director. Any resubmission shall be subject to agreement and approval by the Executive Director in accordance with the procedure outlined above for the original submission until same is approved by the Executive Director. The 13 Executive Director and Developer shall in good faith attempt to resolve any disputes regarding the Construction Schedule. 6.1.5 Minority Participation. Developer shall submit evidence to the Executive Director evidence of compliance with the Minority Participation Requirements of Sections 7.2.1, 7.2.2, 7.2.3 and 7.2.4 with respect to the Phase. The Developer shall provide to the Executive Director such additional backup information as the Executive Director may reasonably request to enable the Executive Director to confirm compliance with the Minority Participation Requirements. The Executive Director shall have fifteen (15) days after receipt of the minority participation documentation to approve same, which approval shall not be unreasonably withheld. If no response from the Executive Director is delivered to the Developer within fifteen (15) days after submission of the minority participation documentation, same shall be deemed approved. The Executive Director shall approve the minority participation documentation if it evidences compliance with requirements of Sections 7.2.1, 7.2.2, 7.2.3 and 7.2.4. In the event of disapproval, the Executive Director shall specify the specific reasons for such disapproval. In the event of disapproval, the Developer shall resubmit the minority participation documentation to the Executive Director, revised to address and/or satisfy the grounds for disapproval specified by the Executive Director. Any resubmission shall be subject to approval by the Executive Director in accordance with the procedure outlined above for the original submission until same is approved by the Executive Director. The Executive Director and Developer shall in good faith attempt to resolve any disputes regarding compliance with the Minority Participation Requirements. Notwithstanding the Executive Director's approval of the minority participation documentation, the Developer shall be required to comply with the Minority Participation Requirements set forth in Sections 7.2.1, 7.2.2, 7.2.3 and 7.2.4. 14 6.1.6 Loan Commitment. Developer shall have provided to the Executive Director a loan commitment prepared by an institution evidencing that Developer has obtained a construction loan commitment for the development of the respective Phase (the "Loan Commitment"), which shall be in form and substance acceptable to the Executive Director and evidence reasonably satisfactory to the Executive Director that Developer has sufficient equity available to meet the equity requirements of the Loan Commitment (the "Equity Requirement"). The Developer shall provide to the Executive Director such additional backup information as the Executive Director may reasonably request to enable the Executive Director to analyze and approve the Loan Commitment and the Equity Requirement documentation. The Executive Director shall have fifteen (15) days after receipt of the Loan Commitment and Equity Requirement documentation to approve same, which approval shall not be unreasonably withheld. The Executive Director shall approve the Loan Commitment and Equity Requirement documentation if it is substantially equivalent to the documentation submitted and approved by Executive Director with respect to Phase I. If the Executive Director does not respond to the Developer within fifteen (15) days after Developer's submission of the Loan Commitment and Equity Requirement documentation, same shall be deemed approved. In the event of disapproval, the Executive Director shall specify the specific reasons for such disapproval. In the event of disapproval, Developer shall resubmit the Loan Commitment and Equity Requirement documentation to the Executive Director, altered to address and/or satisfy the grounds for disapproval specified by the Executive Director. Any resubmission shall be subject to approval by the Executive Director in accordance with the procedure outlined above for the original submission until same is approved by the Executive Director. The Executive Director and Developer shall in good faith attempt to resolve any disputes regarding the Loan Commitment and Equity Requirement documentation. 15 Section 6.2 Phase I. The CRA acknowledges and agrees that the CRA has approved the Construction Contract, the Budget, the Loan Commitment, the Equity Requirement, the Construction Contract, Minority Participation documentation and the Construction Schedule with respect to Phase I. Section 6.3 Progress of Construction. Developer shall not commence construction of the Developer Improvements for any Phase until all of the requirements of Section 6.1 are satisfied for such Phase. Upon the satisfaction of all the requirements set forth in Section 6.1, the Developer shall promptly commence construction of such Phase. Until completion of construction of the respective Phase, Developer shall keep the Executive Director apprised of the progress of Developer with respect to such development and construction. During such period, the work of Developer shall be made available for inspection by representatives of the Executive Director. Developer shall provide suitable work space and utilities for the representative of the CRA, at Developer's sole cost and expense. Section 6.4 Certificate of Final Completion. Promptly after the completion of each Phase of the Developer Improvements in accordance with the terms of this Covenant and the issuance of certificates of occupancy for all units included in the respective Phase and the issuance of a certificate of completion for all commercial space included in the respective Phase by the City, the Executive Director will furnish Developer with an appropriate instrument certifying the completion of the Developer Improvements in such Phase (the "Certificate of Final Completion"). With respect to each Phase, the Certificate of Final Completion shall be in such form as will enable it to be recorded in the Public Records of Miami -Dade County, Florida. If the Executive Director shall refuse or fail to provide Developer with the Certificate of Final Completion in accordance herewith, the Executive Director shall, within fifteen (15) days after written request by Developer, provide Developer with a written statement specifying in adequate detail any deficiencies in the Developer Improvements for the respective Phase in 16 accordance with the provisions of this Covenant, and what measures and actions, in the opinion of the Executive Director, are necessary for the Developer to take or perform in order to obtain such certification. Section 6.5 Penalties for Non -Compliance with Project Schedule. In the event that the Developer is not able to complete a Phase within six (6) months of the scheduled completion date for such Phase in accordance with the Construction Schedule, as extended for Unavoidable Delays, as evidenced by the issuance of the Certificate of Final Completion (the "Completion Date"), Developer shall pay to the CRA a non-compliance fee of $10,000.00 per month (the "Non -Compliance Fee") for each month after the Completion Date until the Completion Date is achieved. For purposes of this Section, a Phase shall be deemed complete ("Completion") when temporary certificates of occupancy have been issued for all of the Residential Units included in the respective Phase and certificates of completion have been issued for all commercial space included in the respective Phase and the issuance of a Certificate of Final Completion. The Non -Compliance Fee shall be paid monthly on the first day of each and every month until the Completion is achieved. The Non -Compliance Fee shall be prorated for partial months. The Non -Compliance Fee shall apply on a Phase by Phase basis. Section 6.6 Termination of Restriction. Upon Completion of construction of all Phases of the Project in accordance with the approved Development Plan, as evidenced by the issuance of Certificates of Final Completion for each Phase, the provisions of this Article VI shall be of no further force and effect. ARTICLE VII MINORITY PARTICIPATION Section 7.1 Minority and Women Participation and Equal Opportunity. The Developer agrees that, during the course of construction of the Developer Improvements, Developer will: 17 7.1.1 Take definitive action in the recruitment, advertising and to attract and retain minority and female contractors and subcontractors; 7.1.2 Provide a reasonable opportunity in the recruitment, advertising and hiring of contractors and subcontractors residing within the CRA Redevelopment Area and within the City of Miami; 7.1.3 Take reasonable definitive action in retaining employees regardless of race, color, place of birth, religion, national origin, sex, age, marital status, veterans and disability status; 7.1.4 Maintain equitable principles in the recruitment, advertising, hiring, upgrading, transfer, layoff, termination, compensation and all other terms, conditions and privileges of employment; 7.1.5 Monitor and review all personnel practices to guarantee that equal opportunities are being provided to all employees regardless of race, color, place of birth, religion, national origin, sex, age, marital status, veterans and disability status; 7.1.6 Post in conspicuous places, availability to employees that applicants for employment, notices in a form to be provided to the Executive Director, setting forth this non-discrimination clause; and 7.1.7 In all solicitations and advertisements for employment placed by or on behalf of Developer, state that all applicants will receive consideration for employment without regard to race, creed, color or national origin. Section 7.2 Participation Requirements. 7.2.1 Construction. Developer agrees to comply with the following minority and female participation requirements (the "Minority Participation Requirements") with respect to construction: 28% Black participation 8% Female participation 15% Hispanic participation 18 7.2.2 Design. Developer agrees to comply with the following minority and female participation requirements with respect to design: 10% Black participation 5% Female participation 10% Hispanic participation 7.2.3 Property Management. Developer agrees to comply with the following minority and female participation requirements with respect to property management: 28% Black participation 8% Female participation 15% Hispanic participation 7.2.4 Sales and Marketing. Developer agrees to comply with the following minority participation requirement with respect to its sales and marketing staff 20% Black participation Section 7.3 Report Requirements. The Developer shall provide on an annual basis such documentation as the Executive Director may reasonable request to evidence compliance with the Minority Participation Requirements with respect to construction, design and property management during the preceding year (the "Minority Participation Reports"). To the extent of any disputes between Developer and the Executive Director with respect to the compliance with the Minority Participation Requirements, the dispute shall be submitted to arbitration for resolution, which resolution shall be binding upon the parties. Section 7.4 Penalties for Non -Compliance. To the extent that Developer fails to comply with the Minority Participation Requirements on a phase by phase basis in each category described in Section 7.2, Developer shall pay to the CRA as a penalty Five Thousand and No/100 Dollars ($5,000.00) for each percentage point below the requirement set forth in Sections 7.2.1, 7.2.2, 7.2.3 and 7.2.4, in each respective category Developer 19 fails to meet the applicable Minority Participation Requirement (the "Non - Compliance Funds"). The Non -Compliance Funds shall be calculated by the Executive Director and shall be due within thirty (30) days from the date of Developer's receipt of written statement from the Executive Director stating the amount of Non -Compliance Funds due. To the extent of any dispute between the Executive Director and Developer with respect to compliance with the Minority Participation Requirements, the dispute shall be submitted to arbitration for resolution, which resolution shall be binding upon the parties. The CRA covenants and agrees to utilize any Non -Compliance Funds paid to CRA pursuant to this Section for a job training program for residents of the CRA Redevelopment Area. Section 7.5 Report Requirements. Developer shall submit to the Executive Director, on an annual basis, such documentation as the Executive Director may reasonably request to evidence of compliance with the Minority Participation Requirements with respect to each of the categories described in Section 7.2 during the preceding year (the "Minority Participation Reports") on a Phase by Phase basis. The Developer shall provide to the Executive Director such additional backup information as the Executive Director may reasonably request to enable the Executive Director to confirm compliance with the Minority Participation Requirements. To the extent of any disputes between the Developer and the Executive Director with respect to the compliance with the Minority Participation Requirements, the dispute shall be submitted to arbitration for resolution, which resolution shall be binding on the parties. Section 7.6 Termination. The Minority Participation Requirements of Sections 7.2.1 and 7.2.2 shall terminate upon Completion of all Phases of the Project. Section 7.7 Impossibility to Perform. Developer acknowledges that the Minority Participation Requirements are mandatory requirements and not an obligation to utilize best efforts. In the event that Developer, in good 20 faith, believes that it is impossible to satisfy some or all of the Minority Participation Requirements for any given year as a result of there not being a sufficient number of minority and female job candidates available to comply with the Minority Participation Requirements for that year, Developer may request that the City Manager reduce the applicable Minority Participation Requirements, in the applicable category, for that year provided that Developer is able to provide to the City Manager irrefutable evidence that there was not a sufficient number of minority and/or female job candidates available during the respective year to comply with the applicable Minority Participation Requirements. The decision of the City Manager shall be binding on Developer and the CRA with respect to the year in question. Section 7.8 Professionals. Developer shall utilize its best efforts to employ African American and other minorities to provide professional services to Developer in connection with the Project, including, without limitation, lawyers and accountants. Developer shall utilize its best efforts to cause existing professionals employed by Developer to joint venture with African Americans and other minorities to expand minority participation in the Project in connection with the provision of professional services. ARTICLE VIII AFFORDABLE HOUSING Section 8.1 Affordable Housing Requirement. Developer shall sell not less than twenty percent (20%) of the Residential Units comprising the Project (the "Affordable Units") to: (a) qualified buyers whose gross income is between 80.01% and 120% of the Miami -Dade County mean income at a purchase price which will enable the purchaser to have a housing debt ratio of not greater than thirty five percent (35%) and a gross income to total debt ratio of less than forty five percent (45%) and to a purchaser who has a total net worth not to exceed Fifty Thousand and no/100 Dollars ($50,000.00) as set forth in Section 8.9; or (b) to purchasers whose gross income is between 21 80.01% and 120% of the Miami -Dade County mean income and who qualify for SHIP Funds, as hereinafter defined, HOME Funds, as hereinafter defined, Surtax Funds, as hereinafter defined, and/or any similar federal, state or county programs available for affordable housing, pursuant to the applicable criteria for whatever loan program is used to finance the acquisition of the unit (collectively the "Affordable Housing Requirement"). None of the Live/Work Units shall be Affordable Units; however, the Live/Work Units shall be included in the total number of Residential Units, which is utilized to calculate the number of Affordable Units that Developer is required to provide. By way of example, if the Project includes 1,050 Residential Units, including 150 Live/Work Units, Developer shall be required to provide 210 Affordable Units notwithstanding the fact that none of the Live/Work Units shall be designed as Affordable Units. The Affordable Units which are sold to satisfy the Affordable Housing Requirement shall be reasonably distributed in each block comprising a portion of the Project and shall be identified in the Development Plans submitted to the CRA for approval and shall be comprised of a mix virtually identical to the unit mix (based upon the number of bedrooms, type of units and square footage) of the respective Residential Units, excluding the Live/Work Units, which are to be sold at market rates in each block of the Project and which shall in all other respects be completed with the same fit and finish as the other units in such block of the Project which are to be sold at market rates. Developer shall be required to satisfy the Affordable Housing Requirement notwithstanding the unavailability of governmental subsidies. Developer acknowledges and agrees that Developer is required to satisfy the Affordable Housing Requirement irrespective of Developer's ability to obtain Miami -Dade County surtax funds ("Surtax Funds"), Community Development Department funds ("HOME Funds") and/or State Housing Incentive Program ("SHIP Funds"). Developer further acknowledges that the City and the CRA have made no representations to Developer regarding the availability of housing subsidy 22 funds including Surtax Funds, HOME Funds, SHIP Funds or other sources of funds and Developer assumes the risk as to whether housing subsidies will be available for the Project. Residential Units sold to Overtown Residents, as hereinafter defined, shall be deemed to comply with the Affordable Housing Requirement. Section 8.2 Subsidized Units. Developer shall construct fifty (50) units as part of the Project, comprising a portion of the Affordable Units, comprised of a mix of units virtually identical to the unit mix (based upon the number of bedrooms, type of unit, and square footage) of the respective Residential Units, excluding the Live/Work Units, which are to be sold at market rates in each block of the Project, which Subsidized Units are to be conveyed to the CRA, or its designee, upon completion of construction of the prospective phase of the Project and which units are to be resold by the CRA, or its designee, to qualified purchasers whose gross income is not greater than eighty percent (80%) of the Miami -Dade County median income (the "Subsidized Units") or (b) a purchase price which qualifies for use of SHIP Funds, HOME Funds, Surtax Funds, and/or any similar federal, state or County programs available for affordable housing, pursuant to the applicable criteria for whichever loan program is utilized to finance the acquisition of the unit. The Subsidized Units conveyed by Developer to the CRA, or its designee, shall be deemed to comprise a portion of the Affordable Units and shall in all respects be identical to the Affordable Units and shall in all respects be completed with the same fit and finish as the other Residential Units in such block of the Project which are to be sold at market rates. Section 8.3 Implementation. Developer agrees to (i) engage an affordable housing consultant, which consultant shall be subject to the approval of the Executive Director, which approval shall not be unreasonably withheld or delayed, to assist Developer in implementing a program to comply with the Affordable Housing Requirement; and (ii) retain a full-time 23 recruiter and loan processor to identify and qualify potential purchasers of the Affordable Units to be sold by Developer and Subsidized Units to be sold by the CRA, or its designee, and implement the program developed by Developer to satisfy the Affordable Housing Requirement until Developer's obligations regarding the Affordable Housing Requirements have been satisfied Section 8.4 Housing Subsidies. The CRA covenant and agree to utilize its good faith efforts to obtaining Surtax Funds, HOME Funds, SHIP Funds and other housing assistance with respect to the Subsidized Units. Section 8.5 Assistance Program. The CRA agrees to work with the Collins Center, the Knight Foundation and other not -for -profit organizations to develop a program to make the Subsidized Units viable. Section 8.6 Affordable Units. Developer shall first offer the Affordable Units to residents of the area of the City of Miami which is more particularly described in Exhibit "C", attached hereto and incorporated herein (the "Overtown Area"), and then to other residents of the City prior to making the Affordable Units available to other residents of Miami -Dade County. Section 8.7 Overtown Residents. The CRA, or its designee, shall first offer the Subsidized Units to existing residents of the Overtown Area and then to former Overtown Residents, before offering the Subsidized Units to other residents of the City of Miami. Section 8.8 Reporting Requirements and Compliance. 8.8.1 Reporting Requirements. From and after the issuance of the first certificate of occupancy for any residential unit comprising a portion of' the Project until the satisfaction of the Affordable Housing Requirement, Developer shall be required to submit to the Executive 24 Director on an annual basis, Phase by Phase reports evidencing compliance with the Affordable Housing Requirement (the "Affordable Housing Reports"). The Affordable Housing Reports shall consist of a certification to the CRA from the financial institution that performed the underwriting with respect to the Affordable Unit which shall include the following: (A) Purchaser of an Affordable Unit or Subsidized Unit not utilizing SHIP Funds, HOME Funds or Surtax Funds: (i) certification that the income for the purchaser for the previous six (6) months is less than the maximum income threshold. (ii) the total net worth of the purchaser does not exceed Fifty Thousand and no/100 Dollars ($50,000.00) inclusive of all gifts. (iii) there are no financial guarantees or other independent support for the loan. (iv) the purchaser is not the beneficiary of any trust. (v) that the purchase price will enable the purchaser to have a housing debt ratio of not greater than thirty five percent (35%) and a gross income to total debt ratio of less than forty five percent (45%). (B) Purchaser's utilizing SHIP Funds, HOME Funds and/or Surtax Funds: (i) certification that the income for the purchaser for the previous six (6) months is less than the maximum income threshold. (ii) that the purchaser has satisfied the criteria for SHIP Funds, HOME Funds, Surtax Funds and/or similar federal, state or county programs available for affordable housing, as 25 applicable, with respect to the financing of the acquisition of the unit. 8.8.2 Disputes. To the extent of any disputes between Developer and the Executive Director with respect to whether the purchasers of the units meet the applicable requirements of Sections 8.1, 8.2 and this Section 8.8, the dispute will be submitted to arbitration for resolution, which resolution shall be binding on the parties. Section 8.9 Penalties for Non -Compliance. To the extent that Developer fails to comply with the Affordable. Housing Requirement on a phase by phase basis as determined in accordance with Section 8.8 above, then in such event, Developer shall pay to the CRA, as a penalty for non- compliance with the Affordable Housing Requirement with respect to each comparable unit required to bring Developer into compliance, one hundred twenty-five percent (125%) of the difference between the average sales price that Developer is currently offering the applicable unit for sale to the general public of the type unit(s) in question, Less the maximum purchase price that a purchaser earning one hundred percent (100%) of the Miami -Dade County mean income would be able to pay for such a unit at a purchase price which will enable the purchaser to have a housing debt ratio of not greater than thirty-five percent (35%) and a gross income to total debt ratio of less than forty-five percent (45%) and to a purchaser with a total net worth not to exceed Fifty Thousand and no/100 Dollars ($50,000.00) as set forth in Section 8.8 (e.g., the average sale price for a two bedroom unit less the maximum price that a purchaser whose gross income is one hundred percent (100%) of the Miami -Dade County mean income would be able to pay for a two bedroom unit at a purchase price which will enable the purchaser to have a housing debt ratio of not greater than thirty-five percent (35%) and a gross income to total debt ratio of less than forty-five percent (45%) and to a purchaser with a total net worth not to exceed Fifty Thousand and no/100 Dollars ($50,000.00) as set forth in Section 8.8 multiplied by one hundred twenty-five percent 26 (125%)), but in no event less than Twenty Thousand and No/00 Dollars ($20,000.00) per unit. The penalty with respect to any phase of the Project shall be due and payable one hundred eighty (180) days after the issuance of a temporary certificate of occupancy for the last Residential Unit included in the applicable phase. Section 8.10 Deed Restrictions. All of the Affordable Units, other than the Subsidized Units, shall be conveyed subject to a deed restriction which will restrict the ability to sell the units except to a purchaser who meets the Affordable Housing Requirements of Section 8.1 and 8.9, as applicable, for a period of ten (10) years from the date of closing of each respective unit (the "Deed Restriction"). Any violation of the Deed Restriction shall require the purchaser to pay to the CRA, or its designee, Twenty Thousand and No/100 Dollars ($20,000..00) as a result of the violation of the Deed Restriction. The CRA agrees to impose the same Deed Restriction, which will restrict the ability to sell the Subsidized Units except to a purchaser who meets the Affordable Housing Requirements of Sections 8.2 and 8.8, as applicable, for a period of ten (10) years from the date of closing of each respective unit. The Deed Restriction shall provide that any violation of the restriction shall require the purchaser to pay to the CRA, or its designee, Twenty Thousand and No/100 Dollars ($20,000.00) as a result of the violation of the Deed Restriction. Section 8.11 Overtown Residents. Developer shall utilize its best efforts to sell twenty percent (20%) of the Residential Units comprising the Project to residents of the Overtown Area or former residents of the Overtown Area or their family members (collectively "Overtown Residents") at market rates. Developer shall utilize real estate professionals as well as community based organizations such as churches and community development corporations (collectively "CBO") located within or concentrated on serving the Overtown Area to identify Overtown Residents. Any Overtown Residents, as certified by a CBO, or who are otherwise established to the 27 reasonable satisfaction of the Executive Director to be Overtown Residents based upon school records, birth records, tax records or other documentation, who purchase a unit shall be counted as complying with the Affordable Housing Requirement notwithstanding that the criteria for Affordable Housing has not been complied with. The provisions of Section 8,10 shall not apply to the sale of any units to Overtown Residents. Section 8.12 Prosperity Based Initiative. In connection with the sales and marketing of the Units, Developer covenants and agrees to utilize its best efforts to work with African American realtors to reach out and market the Project to African Americans to relocate to the Overtown community. This effort shall include the sale of Affordable Units as well as market rate units to African Americans. ARTICLE IX FIRST SOURCE HIRING AGREEMENT Section 9.1 FIRST SOURCE HIRING AGREEMENT. Developer and the CRA have entered into a first source hiring agreement for the Property which is attached hereto as Exhibit "D" and incorporated herein by reference (the "First Source Hiring Agreement"). Developer covenants and agrees to comply with the requirements of the First Source Hiring Agreement. ARTICLE X EMPLOYMENT TRAINING PROGRAM Section 10.1 Construction. Developer, in coordination with the South Florida Work Force or such similar entity involved in job creation and training, shall participate in an existing program or establish a Skills Training and Employment Program which is described on Exhibit "E" attached hereto and made a part hereof (the "STE Program"). The obligations of the Developer with respect to the STE Program shall terminate upon completion of construction of the Project in accordance with the 28 Development Plan and the issuance of Final Certificates of Completion with respect to all Phases of the Project. Section 10.2 Property Management. Developer, in coordination with the South Florida Work Force or such similar entity involved in job creation and training, shall participate in an existing program or establish a Property Management Training and Employment Program which is described on Exhibit "F" attached hereto and made a part hereof (the "PMTE Program"). The obligations of the Developer with respect to the PMTE Program shall terminate two (2) years after the completion of construction of the Project in accordance with the Development Plan and the issuance of Final Certificates of Completion with respect to all Phases of the Project. ARTICLE XI TAX INCREMENT FUNDS [THIS ARTICLE MAY BE REMOVED FROM THE COVENANT IN THE EVENT THE CITY ATTORNEY DETERMINES THE PROPOSED USE OF INCREMENTAL, TIF IS NOT IN ACCORDANCE WITH APPLICABLE LAW] Section 11.1 Incremental Increase in Tax Increment Funds. Subject to Sections 11.2, 11.3, and 11.5 below, the CRA covenants and agrees to make available to Developer one hundred percent (100%) of the incremental increases in tax increment funds actually received by the CRA from the County and the City, generated by the increase above the assessed value for the Property and any improvements constructed thereon over and above the assessed value for the Property set forth in the Miami -Dade County ad valorem property tax rolls for the year 2005 ("Incremental TIF") for qualifying uses under applicable laws for use of tax increment funds until September 30, 2013. The CRA covenants and agrees to make the Incremental TIF available to Developer within sixty (60) days of the CRA's actual receipt of the Incremental TIF from the County and the City to be utilized by Developer for qualifying uses permitted under applicable law for 29 use of tax increment funds with respect to the Project, and at the election of Developer, within the Overtown Project Area. Developer acknowledges that the County and the City withhold from the tax increment funds an administrative fee and funds for the Children's Trust. Section 11.2 Use of Incremental TIF. Developer acknowledges and agrees that the Incremental TIF may only be utilized in accordance with qualifying uses under applicable law for use of tax increment funds and that Developer shall not be entitled to, and the CRA will not disburse any of the Incremental TIF to Developer unless and until Developer has been able to establish to the CRA and, to the extent required by law ` or the Interlocal Agreement, the County, that the use of said funds for the use proposed by Developer is permissible under applicable law. Developer shall submit to the CRA and, to the extent required by law or the Interlocal Agreement, the County, any and all documentation that the CRA and/or the County may request to establish that the proposed use of the Incremental TIF qualifies for such use under applicable law. Developer further acknowledges that all Incremental TIF shall be used solely in connection with the development of the Project or within the Overtown Project Area. Section 11.3 Failure to Qualify. To the extent that Developer is not able to establish to the CRA, and to the extent required under applicable laws or the Interlocal Agreement, the County, that its proposed expenditures of the Incremental TIF qualifies for use of the Incremental TIF under applicable laws with respect to some or all of the Incremental TIF, the CRA agrees to make such portions of the Incremental TIF funds which Developer is unable to utilize under applicable law governing the use of tax increment funds available for use by any governmental agency which can legally use the Incremental TIF funds in connection with the Project, which entity is identified to the CRA by Developer and which entity requests the funds from the CRA. If Developer is unable to identify such an entity which wants to utilize the Incremental TIF in connection with the Project, the CRA shall be 30 entitled to utilize that portion of the Incremental TIF for which Developer is unable to qualify for use in connection with the Project for improvements within the Overtown Project Area and the CRA shall not be required to make such funds available to Developer. Section 11.4 Extension of the CRA. Developer acknowledges that it will have no right to receive any Incremental TIF after the expiration of the CRA which is to incur by September 30, 2013. In the event that the duration of the CRA is extended, Developer acknowledges that notwithstanding the extension of the term of the CRA, the CRA is not obligated to pay to Developer any Incremental TIF generated from and after September 30, 2013. In the event the term of the CRA is extended beyond September 30, 2013, Developer shall have the right to request that the CRA pay to Developer all or a portion of the Incremental TIF generated by the Project after September 30, 2013, which request shall be treated like that of any other property owner within the CRA Redevelopment Area. The Executive Director shall present such request to. the CRA Board for consideration with the recommendation that the Executive Director deems appropriate under the circumstances. The CRA Board shall not be obligated to approve the request or be under any obligation to Developer as a result of the payment of the Incremental TIF to Developer prior to September 30, 2013. Section 11.5 Subordination of Incremental TIF. Developer acknowledges and agrees that the obligation of the CRA to make the payments to Developer contemplated by Section 11.1 are junior and subordinate to the obligations of the CRA to pay debt service with respect to the $11,500,000.00 City of Miami, Florida, Community Redevelopment Revenue Bonds, Series 1990, the obligations of the CRA with respect to the Grand Central Project, and the obligations of the CRA to pay debt service on any bonds issued in the future by the CRA or the City on the CRA's behalf. The CRA covenants and agrees that the debt service coverage ratio on any new bonds issued in the future by the CRA or the City on the CRA's behalf, 31 which are secured by tax increment funds based upon the estimated tax increment funds shall not exceed One Hundred Twenty -Five Percent (125%). Under no circumstances shall the CRA be obligated to make payments to Developer from its general revenues or any other sources if tax increment revenues are unavailable after the CRA makes all required payments under any obligations which are senior to the Incremental TIF. Section 11.6 Change in Use of Incremental TIF. Developer shall not be permitted to change the use of the Incremental TIF without the consent of the Executive Director and the City Attorney, which consent shall not be granted unless the City Attorney is satisfied that the new use proposed for the Incremental TIF is a permissible expenditure under applicable laws governing the use of tax increment funds. Section 11.7 Indemnification. Developer covenants and agrees to indemnify, defend and hold the CRA harmless from any loss or damage that the CRA may sustain, including attorney fees and costs, as a result of the actual use of the Incremental TIF differing from the proposed use of the Incremental TIF. ARTICLE XII VIOLATION OF COVENANT Section 12.1 Violation by Developer. Developer shall be in default under this Covenant (a "Developer Default") in the event that the Developer fails to comply with any of the covenants, conditions and agreements which are the obligation of the Developer under this Agreement, and the continuance of such failure for a period of thirty (30) days after notice thereof, in writing, from the CRA to the Developer (which notice shall specify the respects in which the CRA contends that Developer has failed to perform any such covenants, conditions and agreements), or such longer time as is reasonably required (not to exceed one hundred twenty (120) days) if the default, by its nature, cannot be cured within the thirty (30) day period, provided Developer shall have commenced the curative action within the 32 thirty (30) day period and thereafter shall have continued diligently to prosecute all actions necessary to cure such default until completion, but in no event beyond one hundred twenty (120) days after notice thereof from the CRA. Section 12.2 Remedies for Developer Default. Upon the occurrence of a breach of a Developer Default, the CRA may pursue all remedies available at law or in equity as a result of such Developer Default, including without limitation, specific performance, without waiving any action for damages resulting from Developer's breach of this Covenant. Section 12.3 Violation by CRA. The CRA shall be in default under this Covenant (a "CRA Default") in the event that the CRA fails to perform any of the covenants, conditions and agreements of this Covenant which are to be performed by the CRA and the continuance of such failure for a period of thirty (30) days after written notice from the Developer to the CRA (which notice shall specify the respects in which Developer contends that the CRA has failed to perform any of such covenants, conditions and agreements) or such longer time as is reasonably required (not to exceed one hundred fifty (150) days) if the Default, by its nature, cannot be cured within thirty (30) days period, provided the CRA shall have commenced the curative action within the thirty (30) day period and thereafter shall have continued diligently to prosecute all actions necessary to cure such default until completion, but in no event beyond one hundred fifty (150) days notice thereof from the Developer. Section 12.4 Remedies for CRA Default. Upon the occurrence of a CRA Default, the Developer may pursue all remedies available at law or in equity as a result of such CRA Default, including, without limitation, specific performance, without waiving any action for damages resulting from the CRA's breach of this Covenant. ARTICLE XIII ARBITRATION 33 Section 13.1 Panel. A panel of arbitrators ("Arbitration Panel") shall be established when required by this Covenant. (a) The appointments to the panel shall be made in the following manner: (i) The CRA shall name one member; (ii) Developer shall name one member; and (iii) The aforesaid members shall promptly name a third member. (b) Every member of the Arbitration Panel must be either an attorney in good standing licensed to practice law in the State of Florida for at least fifteen (15) years; a retired State of Florida or U.S. District Court Judge; a CPA with at least fifteen (15) years experience; a developer with like kind experience as the Developer; a MAI certified appraiser licensed in the State of Florida; or any other person stipulated to by Developer and the CRA. (c) If either party shall fail to designate a member within fifteen (15) days after a written request so to do by the other party, then such other party may request the Chief Judge of Circuit Court of the Eleventh Judicial Circuit in and for Miami -Dade County, Florida to designate a member, who when so designated shall act in the same manner as if he had been the member designated by the party so failing to designate an arbitrator. If the two members are unable to agree upon a third member within ten (10) days from the last date of designation, such third member shall be designated by the Chief Judge of Circuit Court of the Eleventh Judicial Circuit in and for Miami -Dade County, Florida, upon the request of either of the two members. ARTICLE XIV UNAVOIDABLE DELAY Section 14.1 Unavoidable Delay. For the purpose of any of the provisions of this Covenant, the term "Unavoidable Delay" shall mean a delay in the performance of such obligation which has a reasonably demonstrable 34 effect on the Project due to area wide strikes, area wide lockouts, acts of God, inability to obtain labor or materials due to governmental restrictions, enemy action, civil commotion, fire, unavoidable casualty, hurricanes, unusual weather conditions, earthquakes or other natural catastrophes, and governmental or court imposed moratorium or injunction which materially effects Developer's construction of the Developer Improvements and other similar causes beyond the reasonable control of the party (specifically excluding said parties solvency or financial condition and typical ordinary delays in obtaining permits and other approvals from governmental authorities). In the event of the occurrence of any such Unavoidable Delay, the time or times for the performance of the covenants, provisions and agreements of this Covenant, shall be extended for the period of delay actually caused by the Unavoidable Delay; provided, however, that the party seeking the benefit of the provisions of this Section shall, within ten (10) days after such party shall have become aware of such Unavoidable Delay, give written notice to the other party, stating the event purportedly constituting the Unavoidable Delay and as soon as reasonably possible thereafter provide written notice to the other party of the additional period of time required for any performance as a result of the Unavoidable Delay. The failure to provide such notice shall constitute the waiver of the right of that party to claim that an Unavoidable Delay has occurred. Any dispute between the Developer and the CRA as to whether an Unavoidable Delay has occurred and/or the duration of the delay caused by the Unavoidable Delay shall be decided by arbitration pursuant to Article XIV of this Covenant at the request of either party. ARTICLE XV MISCELLANEOUS PROVISIONS Section 15.1 Notice. Any notice required or permitted to be given under this Covenant shall be delivered either by hand, by registered or certified mail, postage prepaid, return receipt requested, or delivered by a 35 nationally recognized overnight delivery service and addressed as described below; notices shall be deemed effective only upon receipt or refusal of delivery. If to the Developer: c/o With a copy to: , Esq. If to the CRA and Executive Director: SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY Attention: Executive Director 49 N.W. 5th Street Suite 100 Miami, Florida 33128 With a copy to: Jorge L. Fernandez, City Attorney City of Miami 444 SW 2nd Avenue, Suite 945 Miami, Florida 33130 William R. Bloom, Esq. Holland & Knight LLP 701 Brickell Avenue Suite 3000 Miami, Florida 33131 James H. Villacorta, Esq. 49 N.W. 5th Street Suite 100 36 Miami, Florida 33128 Section 15.2 Estoppel Certificates. The CRA and Developer shall at any time and from time to time, within thirty (30) days after written request by the other, execute, acknowledge and deliver a certificate to the party which has requested the same or to any prospective Mortgagee, assignee or subtenant designated by Developer. The certificate shall state (i) that the Covenant is in full force and effect and has not been modified, supplemented or amended in any way, or, if there have been modifications, that this Covenant is in full force and effect as modified, identifying such modification Covenant, and if this Covenant is not in force and effect, the certificate shall so state; (ii) that this Covenant, as modified, represents the entire Covenant between the parties as to the covenants running with the Property, or, if it does not, the certificate shall so state; (iii) the dates on which the term of this Covenant commenced and will terminate; (iv) that all conditions under this Covenant to be performed by the CRA or Developer, as the case may be, have been satisfied and, as of the date of such certificate, there are no existing defenses or offsets which the CRA or Developer, as the case may be, has knowledge against the other party preventing enforcement of this Covenant by such other party, or, if any conditions contained in this Covenant and required to be performed by a party have not been satisfied or if there are any defenses or offsets, the certificate shall so state. The party to whom any such certificate shall . be issued may rely on the matters therein set forth and thereafter the party issuing the same shall be estopped from denying the veracity or accuracy of the same. Any certificate required to be made by the CRA pursuant to this paragraph may be made on its behalf by the Executive Director. Section 15.3 Waiver of Jury Trial. THE PARTIES HEREBY KNOWINGLY, IRREVOCABLY, VOLUNTARILY AND INTENTIONALLY WAIVE ANY RIGHT EITHER MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY ACTION, PROCEEDING OR COUNTERCLAIM BASED 37 ON, ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS COVENANT OR ANY AMENDMENT OR MODIFICATION OF THIS COVENANT, OR ANY OTHER COVENANT EXECUTED BY AND BETWEEN THE PARTIES IN CONNECTION WITH THIS COVENANT, OR ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER VERBAL OR WRITTEN) OR ACTION OF ANY PARTY HERETO. THIS WAIVER OF JURY TRIAL PROVISION IS A MATERIAL INDUCEMENT FOR THE CRA AND THE DEVELOPER TO ENTER INTO THE SUBJECT TRANSACTION. Section 15.4 Covenants to Run with the Land. All covenants, agreements, conditions and undertakings contained herein shall extend and inure to the benefit of and be binding upon the parties hereto and their respective successors and assigns and shall be construed as covenants running with the Property. Wherever in this Covenant reference is made to any of the parties, it shall (unless expressly provided to the contrary in such reference) be held to include and apply to, wherever applicable, also the successors and assigns of each party. Section 15.5 Attorneys' Fees and Expenses. In the event of any litigation between the parties, all expenses, including reasonable attorneys' fees and court costs at both the trial and appellate levels, incurred by the prevailing . party, shall be paid by the non -prevailing party. The term "attorneys' fees," as used in this Covenant, shall be deemed to include, without limitation, any paraprofessional fees, investigative fees, administrative costs and other charges billed by the attorney to the prevailing party (including any fees and costs associated with collecting such amounts). Section 15.6 Administrative Expenses. Developer covenants and agrees to reimburse the CRA, on a quarterly basis, for all out of pocket costs and expenses incurred by the CRA from and after the execution of this Covenant through the completion of construction of the Project and the sale 38 of the Affordable Units, in connection with overseeing and monitoring the activities of Developer, pursuant to the terms of this Covenant, and the documents executed in connection herewith, which costs and expenses shall not exceed Seventy Five Thousand and No/100 Dollars ($75,000.00) per year. The CRA shall submit to Developer, evidence of such out of pocket expenses not more often than quarterly. Developer shall reimburse the CRA for such expenses within thirty (30) days of receipt of such documentation, subject to the annual reimbursement limitation of Seventy Five Thousand and No/100 Dollars ($75,000.00) per year. If there is a dispute between Developer and the Execution Director regarding any such expenses, the dispute shall be submitted to the City Manager for resolution. The decision of the City Manager shall be binding on the parties. Any payment not made by Developer within thirty (30) days of when due shall bear interest at eighteen percent (18%) per annum until paid. Section 15.7 Severability. If any of the provisions of this Covenant or the application thereof to any person or situation shall, to any extent, be held invalid or unenforceable, the remainder of this Covenant and the application of such provision to persons or situation other than those as to which it shall have been held invalid or unenforceable, shall not be affected thereby and shall continue valid and be in force to the fullest extent permitted by law. Section 15.8 Caption. The Covenant headings and captions contained in this Covenant are for convenience and reference only and in no way define, limit or describe the scope of intent of this Covenant. Section 15.9 Construction. All pronouns and any variations thereof shall be deemed to refer to the masculine, feminine, or neuter, singular or plural, as the identity of the party or parties may require. Section 15.10 Governing Law. The validity of this Covenant and all of its terms or provisions, as well as rights and duties of the parties hereunder shall be interpreted and construed in accordance with the laws of the State of Florida. Venue shall be in Miami -Dade County, Florida. 39 Section 15.11 Termination of the CRA. Upon the termination of the CRA, all rights and obligations of the CRA under this Covenant shall automatically transfer to the City and upon such transfer all references in this Covenant to the CRA shall be deemed references to the City and all references to the Executive Director shall be deemed references to the City Manager. Section 15.12 Cooperation. The parties to this Covenant hereby covenant and agree to utilize their good faith efforts to cooperate with each other to carry out the spirit and intent of this Covenant. Section 15.13 Amendments. This Covenant may not be amended, modified, altered or changed in any respect except by further agreement in writing duly executed by all parties hereunder and their respective mortgagees. No amendment, modification, alteration or change to this Covenant shall be binding upon any holder of any mortgage unless approved in writing by such mortgagee. Such approval shall not be delayed, charged for or unreasonably withheld. [SIGNATURE PAGES TO FOLLOW[ 40 IN WITNESS WHEREOF, Developer and the CRA have executed this Covenant as of the day and year first above written. Signed in the presence of: DEVELOPER: By: Print Name: Its: By: Print Name: Title: CRA: SOUTHEAST OVERTOWN / PARK WEST COMMUNITY REDEVELOPMENT AGENCY, an agency of the State of Florida By: Print Name: Frank Rollason Title: Executive Director Print Name: ATTEST: Priscilla A. Thompson Clerk of the Board 41 APPROVED AS TO LEGAL APPROVED AS TO INSURANCE SUFFICIENCY: REQUIREMENTS: Holland & Knight LLP, as Insurance Manager special counsel STATE OF FLORIDA ) )SS COUNTY OF MIAMI-DADE ) Sworn to (or affirmed) and subscribed before me this day of 200, by , the of , the of , a , on behalf of the and the , who is personally known to me or has produced as Identification. (SEAL) Notary Public -State of Commission Number: STATE OF FLORIDA ) )SS COUNTY OF MIAMI-DADE ) Sworn to (or affirmed) and subscribed before me this day of , 200_, by Frank Rollason, as Executive Director for Southeast Overtown/Park West Community Redevelopment Agency, who is personally known to me or has produced as Identification. (SEAL) Notary Public -State of Commission Number: # 1700723_v9 42 ARQUITECTONICA 550 Brickef Avenue, Suite 200 Miami, Florida 33131 305.372.1812 TEL 305.372.1175 FAX www.argint.com THE DESIGNS INDICATED N TMESE CROAKS ARE PROPERTY Of ARQUITECTONICA WiERKVIO UCILLLOOPYRIONi'8RESERVED2004, Q 2004 AROURECTONICA afrESSOUONN,..Inc CRQSS1NDS C 0 MM UP11TIES 11.29.04 OVERTOWN MASTERP LAN Overtown Masterplan - Capacity Study 1/27/2005 Block 2 Level LIveI Work 6 Levels (above) subtotal 6 Level Midrtse (above) Stacked 2 Level Live/Work Commercial ,subtotal Tower 15/17 Levels (GSF) Mldrtse 8 Levels (GSF) 107,400 107,400 156,400 158,430 Live/Work 2 Levels (GSF) Commercial (GSF) Untt Count Subtotal Area (GSF) Required Parking Provided Parkis_._^ Street 1 Garage 1 Levels 71,600 111.11111.11.1111.11111.1111111111111 71,600 42,000 147,600 2 Level Live/Work - 252,000 8 Level Mtdrise (above) 16 Level Tower (above) Commercial 315,000 234,000 2,280 2,250 5,400 subtotal 315,000 234,000 252,000 5,400 28 84 112 128 20 186 71,600 107,400 179,000 158,400 42,000 2,250 308,250 , 35 105 140 158 26 233 8 8 140 237 98 252,000 120 668 808,400 703 887 192 270 234,000 315,000 6,400 240 338 5 4 I 2 Level Live/Work - 108,000 42 108,000 53 - 2376 Level Midrise (above) Stacked 2 Level Live/W Commerotal subtotal Block 46 45 55 56 TOTAL 15 Tower 55 ark Reeks. FAR Allowable 4,3 2.0 4.0 2.0 Avail. Lot Area (GSF) 77,000 122,500 215,250 122,600 537,250 162,000 182,000 Resid. Area Allowable 331,100 246,000 861,000 245,000 1,682,100 42,000 150,000 Resld. Area Provided 179,000 308,000 801,000 312,000 1,598,000 1.2 GSF/FL Units/Floor Untt Slze Pub Unit Size GSF 21,000 17 1,235.29 1,029.41 2 Level LW+B Midrlse 45 26,400 21 1,257.14 1,047.82 2 Level LW+B Midrise 58 27,000 21 1,255.71 1,071.43 2 Level LW+B Mldrlse 55 39,000 32 1,218.75 1,016.63 2 Level LW 45 21,000 10 2,100.00 1,750.00 2 Level LW 68 21,000 10 2,100.00 1,760.00 2,250 2,260 Coral Area Provided 2,260 5,400 2,250 9,900 132 20 194 Available Acres 1.53 2.07 3.44 2.07 9.11 162,000 42,000 2,260 314,250 Units Provided 112 188 558 194 1,060 165 25 243 Density (du/ac) 73 90 182 94 115 237 Average Unit 8 GSF 1,598 1,845 1,436 1,808 1,622 Izs IVSF 11