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HomeMy WebLinkAboutSubmittal-Memorandum-Historic Overtown Folklife District Stakeholderstoric Overtown Folklife District Stakeholders MEMORANDUM City of Miami Commissioners From: Don D. Patterson, Board Secretary Historic Overtown Folklife District Improvements Association (HOFDIA) Date: December 13, 2007 Re: Historic Overtown Folklife District - Sawyer's Walk Community Benefits Agreement (CBA) For your consideration, please find the attached initial CBA document signed on October 26, 2006. Also note (as a work in process) an enforceable Community Benefits Agreement between Crosswinds at Poinciana LLC and Historic Overtown Folklife District Improvements Association. This agreement will represent a legally binding commitment to the Historic Overtown Folklife District and Overtown community. For a period of nearly two years, a tremendous effort was put forth by neighborhood Stakeholders to ensure that necessary remedies are agreed upon within the attached Community Benefits Agreements. This agreement addresses the immediate impacts of the project on this historic neighborhood by providing access to housing at a greater variety of income levels, to ensure neighborhood safety, and in support of the District theme of Arts & Entertainment; all for the benefit of the greater Overtown community. We've identified problems, and have arrived at an agreement to implement practical solutions that will ultimately benefit both the community and the developer. As a result, we have come together as Stakeholders and engaged citizens in support of the Sawyers Walk Project. On behalf of Stakeholders of this historic neighborhood, we ask you recognize this work by voting, without hesitation, in favor of the Sawyers Walk Project. Thank You SUBMTTED INTO THE PUBLIC RECORD FOR JTEMjt2ON is -is v� 245 NW Eighth Street, Miami, FL 33136 1 T 305.373.7233 F 305.373.8915 1 BAMEDevelopment.org )°60144yr';" 1 }uberr?.li r:1E` I`�I.ai"ot' is Uvc r'tJ(.YI Ec(V (1IT�� OVERTOWN COMMUNITY BENEFITS AGREEMENT The historic Overtown neighborhood has experienced many years of neglect, disinvestment and a rip in the social fabric of the community. in spite of these things, the community has maintained a strong sense of its culture and history. Adjacent to downtown Miami, Overtown is experiencing the development pressures evident in linear downtowns" — areas with massive, high -end condominium development and upscale retail, leaving little opportunity for neighborhoods to avoid rapid gentrffication. To that end, the Historic Overtown Folkge District Improvement Association or hereinafter, The Districr, hereby enters into this Community Benefits Agreement with the Crosswinds Communities, Inc., in the wake of the development of the "Sawyer's Walk" Project in the southeast Overtown neighborhood. EXECUTIVE SUMMARY Members of the Historic Overtown Folklife District Improvement Association began meeting in January of 2006 to discuss proposed residential and commercial developments within the district_ In part, this was to ensure the enhancement of the quality of life, security and economic vitality of this historic section of Overtown in the City of Miami. In anticipation of major redevelopment projects that have been proposed for the area on public and private property, the group developed a list of projects, activities and programs that would benefit the indigenous community at large_ It is anticipated that all of these activities would be paid for by contributions from the public, private and philanthropic sectors through a permanent trust fund and seeded specifically by those investor/developers who will execute new development projects within the district, as well as from community investments and contributions In support of this effort, Crosswinds Communities, Inc. hereby agrees to the following as minimum community contributions, derived from the financial benefits received by the developers as a result of the "Sawyer's Walk" development project • • • To partner and/or support minority owned financial/mortgage company participation in lending process To collaborate with Overtown Folklife District community developers for affordable housing and economic development opportunities To partner and/or support a neighborhood full service property management entity participation in project To strengthen linkage with workforce development intermediaries to allow for skills & employment training program (e.g., heavy equipment operation) To make multi -year contribution to the Overtown Folklife Village District Improvement Association for operational support To make contribution toward Lyric Theater operations Submitted Into the public recor=ction with item Z l 1 on 11:11:21. Priscilla A. Thompson City Clerk • To develop tenant counseling and housing finance program for Overtown residents in cooperation with MMAP and other subsidy programs • To support locating parking within the area for ILA #1416 Additionally, Crosswinds Communities, inc., hereby agrees to embrace the principles of economic development, housing quality and choice, job creation, youth development and education, and cultural and historical preservation goals for the Overtown Folk Life Village community. it is anticipated that existing Overtown residents will benefit directly and indirectly from these initiatives. Signed at Miami, Florida, this "7lib day of October, 2006. Crosswinds Communities, Inc. //1(//1 ', I / Historic Overtown Follife District Improvement Association SUBMflTED NTO THE FUBLtC RECORD FOR tTEMz n ON ro HISTORIC OVERTOWN FOLKLIFE DISTRICT COMMUNITY BENEFITS AGREEMENT "ADDED LANGUAGE" "CROSSWINDS" agrees to participate in the subject development contingent upon and subject to the establishment of a Business Improvement District, as outlined in the Historic Overtown Folklife District Community Benefits Agreement being formed. The totality of this Agreement is contingent upon legal review\by "Crosswinds". Additionally, this Agreement is contingent upon "Crosswinds" ability to obtain financing. AGREED: lib- rman, Crosswinds SUBMTTED INTO THE PUBLIC RECORD FOR ITEMjzjjONJ-O7 . Submitted Into the public recorpj in connection witIA item y2 I 1 on 12- 3 ,. I Priscilla A. Thompson Historic Overtown Folklife District City Clerk Community Benefits Agreement THIS AGREEMENT made and entered into this day of 2007, by and between members of the Historic Overtown Folklife District Improvement Association, Incorporated, hereinafter called (the "HOFDIA") and Crosswinds at Poinciana LLC hereinafter called (the "Developer"). The purpose of this document is to establish a formal "Community Benefits Agreement" with the Developer to ensure the enhancement of the quality of life, safety, and economic vitality of this historic Overtown neighborhood in the City of Miami. This document provides a line item description of community benefit activities, programs, and infrastructure which will be funded by all development projects utilizing public lands and/or financing within the District. In exchange for using public land and/or financing, the Community Benefits Agreement will serve to communicate a Developer's financial commitment to support public benefits and improved infrastructure within the District as identified in Exhibit "B". The Developer and HOFDIA agree to work in conjunction with the City of Miami to support a Business Improvement District (BID) for the District. Assessments established by the BID will be used to improve the District; benefiting the neighborhood and the developer by providing ongoing services to maintain safety and improved quality of life for our residents, our businesses and visitors. As it relates to the Sawyer's Walk project, the Developer of Sawyer's Walk agree to contribute benefits above and beyond those required in the Settlement Agreement dated January 27th 2005 and as Amended August 1, 2007. Additionally, in exchange for the use of public lands the Community Benefits Agreement will act formally as an insert (supplement or addendum) to that original document. WITNESSETH WHEREAS, the HOFDIA is a recognized entity of the State of Florida; and WHEREAS, the HOFDIA has responsibility for maintaining and enhancing the safety, culture and history of the District, and will act as steward and administrator of all program commitments provided; and WHEREAS, the HOFDIA is authorized to enter into agreements with the Developer for the performance of its duties and responsibilities for the benefit of above and beyond the baseline of services provided by the City and County; and WHEREAS, the District will derive certain benefits and Developer will derive certain benefits from this Agreement as administered by the HOFDIA; and WHEREAS, this Agreement to support the District and the Developer (pursuant to Paragraph A below) shall survive any transfer of ownership. HOFDIA Community Benefits Agreement - October 1, 2007 Page I 1 of 7 NOW THEREFORE, the parties agree as follows: A. THE DEVELOPER SHALL: 1. Tender an initial amount into the Trust Fund equal to $1,000.00 per unit for market rate residential and affordable residential at $500.00 per unit. 2. Tender an Initial amount into the District Trust Fund equal to $2.00 per square foot for all commercial/retail uses 3. Tender an annual amount into the Trust Fund equal to $50.00 per unit for all residential units. 4. Tender an annual amount into the District Trust Fund equal to $1.00 per square foot for all commercial/retail uses. 5. Tender an annual contribution of no less than $75,000.00 into the District Trust Fund upon commencement of construction, which shall be deducted from the total contribution requirement. 6. Trust Fund contributions shall be made by the Developer upon sale/closing of individual residential units and certificate of occupancy of all commercial/retail space. Refer to Exhibit "A" for all assessment calculations. Submitted Into the public recor in connection with item Z 11 on1Z-1��Q1 Priscilla A. Thompson City Clerk B. THE HOFDIA SHALL: 1. Establish and manage trust fund resources for the benefit of providing ongoing services to maintain improved quality of life for all residents, businesses and visitor of this historic community. 2. Upon securing an appropriate funding level, conduct a search, select and hire a qualified candidate as Business Improvement District Executive Director to oversee the Trust Fund and manage the day to day operations of the District's existing and proposed community improvements. 3. Determine potential development impacts, negotiate, and oversee implementation of items delineated in subsequent Addendum attachment. 4. Expend trust fund resources for the specific enhancement of safety security, and beautification of Business Improvement District. C. COMMUNITY BENEFITS: The Community Benefits Agreement provides a Trust program designed to enhance life quality within and around the Project area. The Trust program will focus on three areas for public benefit; 1) Community Redevelopment, 2) Cultural Arts, and 3) Youth Enhancement. To help sustain the Trust, the Developer will put forth a financial commitment for these programs, based on permitted project data and requires an initial assessment, and annual assessment contributions. HOFDIA Community Benefits Agreement - October 1, 2007 Page 12 of 7 BID funding is used to improve the Historic Folklife District and to provide ongoing services to maintain safety the quality of life for residents, businesses and visitors. BID funding is secured through District development activities and has Initial and Annual Assessment contributions as follows: Initial Assessments: shall be made by the Developer upon sale/closing of individual residential units and certificate of occupancy of all commercial/retail space. It is understood that contributions are in support of the Community Benefits Agreement, which provides for the Business Improvements District (BID) and the Community Redevelopment, Cultural Arts, and Youth Enhancement Trust Funds. Annual Assessments: are required after the first year and subject to a CPI adjustment, but not to exceed 3%. Each Trust Fund shall be responsible for the activities listed below that respective Trust Fund. The following represents a non-exclusive listing of the Trust Funds and their activities: Community Redevelopment Trust Fund 1. Joint Venture with District community -based organizations District projects, and support a sales strategy to provide priority access of affordable units to Overtown residents of their families, as well as local businesses, and churches of the community 2. Develop a Crime Prevention Initiative Program specifically designed to address the issues of drugs and violence in the community 3. Sponsor employment and housing recruiting programs responsible for linking Overtown residents with housing and economic development opportunities created by the Project 4. In partnership with District community -based organizations, and other business development resources (i.e., Empowerment Trust, MMAP, Miami -Dade Urban Task Force, Beacon Council, Miami -Dade -Chamber) to establish a business development program for attracting preferred tenants to commercial spaces to the Project and District 5. In support of commercial/retail components of the projects, establish partnership agreements with District community -based organizations to make available economic development funding resources, such as New Market Tax Credits, submitted Into the pubkc coion HOFDIA Community Benefits Agreement - October 1, 2007 eitremrn ikconneoncti2= with e 13 of 7 Priscilla A. Citylerk EDGE, Tax Incremental Financing, Bond Financing, etc; savings will be used to support other program efforts for redevelopment in Overtown 6. Partner through formal agreement(s) with District stakeholders to promote the development of a Business Improvement District (BID). Funds in the Trust shall be used to improve the District and to provide ongoing services to maintain safety the quality of life for residents, businesses and visitors 7. Create wireless technology infrastructure for the entire District 8. Establish and fund the creation of a community -based full service property management entity, for benefit of the Project and the entire District 9. Establish and fund a job placement entity for Overtown residents and sponsor capacity building programs to provide mentoring in a variety of areas of real estate development; i.e., project manager (PM), land development PM, construction PM, sales manager, internships, and other related disciplines 10. Support the District's "Main Street" community program efforts; to include the sponsorship of a designated program manager as required 11. Establish and fund the creation of a Community Development Financial Institution (CDFI) to establish relationships with financial institutions, providing programs for funding low -to -moderate income homebuyers for all JV project affordable housing units being made available for low -to -moderate income families, 12. Establish and fund a special trust fund to provide subsidy financing for current and former Overtown residents desirous of purchasing homes in the District. 13. Incorporate, encourage, and support environmentally sensitivity programs for development; to include but not limited to: requirements to earn LEED certification, Enterprise "GreenCommunities" concepts for green development and building, and "low impact development" sustainable community techniques 14. Establish and fund a marketing program aimed at improving the image of the District and the Overtown community Submitted Into the public recordin connection with item Z I/ on [2- j -0 The Cultural Arts Endowment Priscilla A. Thompson Establish and fund: City Clerk 15. Annual sponsorship of community events, scholarships, and other theater, museum, and cultural arts activities throughout the greater Overtown community HOFDIA Community Benefits Agreement - October 1, 2007 Page 1 4 of 7 16. The development of a Purvis Young gallery/program in the Folklife Village 17. Public Art in Overtown - "Art in Public Places"; Historic Overtown Folklife District theme and historical makers throughout the District 18. Not -for -profit entities in promoting the Historic Overtown Folklife District and Village concept as a unique cultural tourism destination throughout Miami -Dade County, the southeast region, the United States, Canada, the Caribbean 19. Churches exhibits interested in participating in the Black Heritage Tour Program 20. The development and publication of a quarterly Community Newsletter 21. Maintenance reserve account for the Lyric Theater 22. Maintenance reserve account for the Black Police Officer Precinct Museum Youth Enhancement Trust Fund Establish and Fund: 23. New Providence Lodge, Inc. Masonic Youth Program 24. Community Library/Computer Lab(s) 25. Summer Camp, Cub Scouts, Brownies for area residents 26. Tutoring programs for community residents 27. Internship and scholarship programs for Overtown residents 28. Partnership agreement with Miami -Dade Public Schools to work with a local area school for the purpose of creating a program to encourage and benefit Overtown student(s) achievement. One Year from the date of this Agreement, the District shall review and update the Agreement as appropriate. IN WITNESS WHEREOF, this Agreement is executed as of the date set forth above. Signed, sealed and delivered in the presence of, and by: Crosswinds Communities, Incorporated/ Crosswinds at Poinciana LLC Submitted Into the public Signature: record in connection with Bernie Glieberman, President it!?m PZ I l an IZ' 1'3 -o1 Pr aciita A. Thompson Historic Overtown Folklife District Improvement Association Representative City Clerk Signature: Print Name: HOFDIA Community Benefits Agreement - October 1, 2007 Page 15 of 7 ADDENDUM Historic Overtown Folklife District Community Benefits Agreement THIS ADDENDUM made and entered into this Day of 2007, by and between members of the Historic Overtown Folk District Improvement Association, Incorporated, hereinafter called (the "HOFDIA") and Crosswinds Communities, Incorporated hereinafter called (the "Developer"). In and a part of the "Community Benefits Agreement" with the Developer in exchange for public lands in Overtown to develop Sawyer's Walk (the "Project") the Developer will acknowledge this ADDENDUM and shall have the full force and effect of the above referenced Community Benefits Agreement. The purpose of this document is to address the immediate and direct physical impacts the Project will have on existing businesses, institution, and infrastructure within the community. In order to remedy adverse affects arising from the Project: Poinciana Village A.) Construction will not run on 24 hour work schedule and Poinciana Village Community Association (PVCA) or designated representative must be informed of all activity. B.) PVCA will be included in the "new construction" development plans to update the current perimeter fence, perimeter fence lighting, security systems, landscape sprinkler system, visitor parking, entrance/exit gate and lush landscape. C.) Create a working agreement that encourages new buildings to form a joint association D.) The Developer will work with PVCA to establish for joint utilization of parking and recreational facilities on Block 46 E.) Create a Monument/Fountain area to honor the legacy of Dr. Sawyer. Others (BAME, Greater Bethel, Longshoremen, City of Miami) F.) Establish a partnership agreement with BAME Development Corporation as fee developer and guarantor to develop 140-unit (+/-) affordable/workforce housing and commercial retail within the District G.) For the benefit of Greater Bethel, the Lyric Theater, and the International Longshoremen Association, it is the intent of the Developer to enter into a partnership to develop parking facilities for a combined total of no less than 300 spaces. Parties to the partnership represent that funding for the development of parking facilities shall be procured in large part through a public/private partnership for project financing, and not from any one of the parties, which shall make up the partnership. Submitted Into the public r@COr in connection ith HOFDIA Community Benefits Agreement - October 1, 2007item2 " � On %(i age I 6 of 7 Priscilla A. ClClerk Instead, financing shall include the resources of a variety of public agencies; i.e. Miami CRA, City of Miami, Miami Dade County, etc. H.) The Developer will incorporate the District architectural design guideline for buildings, landscape, hardscape, and community signage throughout the Project, and all are subject to HOFDIA review and acceptance, prior to public agency reviews and approval. I.) The developer will comply with all the terms and agreements included in the latest version of the settlement agreement between the developer and the SEOPW CRA and City of Miami. Compliance with respect to the number of affordable units is as follows: 160 units to be provided with pricing capped for those buyers whose incomes do not exceed 140% of the city of Miami Area Median Income who are current and former Overtown residents; 50 units provided to the CRA in lieu of payment for land to the CRA; and up to an additional 62 units to be made available to the City of Miami. IN WITNESS WHEREOF, this Agreement is executed as of the date set forth above. Signed, sealed and delivered in the presence of, and by: Crosswinds at Poinciana LLC/Crosswinds Communities, Incorporated Signature: Bernie Glieberman, President Historic Overtown Folklife District Improvement Association Representative Signature: Print Name: SUBMITTEDINTO 'THE FUBLICRECOD IrEleil ON oi HOFDIA Community Benefits Agreement - October 1, 2007 Page 17 of 7 Projected BID Assessments Proposed Development Projects 1 Folklife Village -MU 2 Jazz Village Project -MU 3 3rd Avenue Commons -MU 4 Bethel Arms Apt -MU 5 Land Trust Pads -MU 6 Sawyer's Walk -MU 7 Blk 25 - Comm/retail/resid 8 Blk 36 - Institute/resid-MU 9 Park Avenue Lofts -MU 10 Park Shore Comm/Retail Total HISTORIC OVERTOWN FOLKLIFE DISTRICT BUSINESS IMPROVEMENT DISTRICT ASSESSMENT SCHEDULE (Value at Build Out) $55,000,000 $32,000,000 $35,000,000 $16,000,000 $24,600,000 $260,000,000 $200,000,000 $200,000,000 $27,000,000 $12,200,000 $861,800,000 Projected Total Residential Units Devmt. % at Build Out Mkt+Affdble Market Units 6.38% 250 0 3.71% 130 0 4.06% 142 60 1.86% 65 0 2.85% 100 0 30.17% 1050 728 23.21% 300 150 23.21% 100 0 3.13% 120 60 1.42% 0 0 100.00% 2257 998 % of Total BID assessment are calculated as follows: Initial Assessment Residential = $1,000.00 mkt or $500.00 Affdble Initial Assessment Commercial/Retail = $2.00/s.f. Annual Assessments = $50/unit + Commer-Retail $1.00Is.f. Affordable Units 250 130 82 65 100 322 150 100 60 0 1259 56% *Business Improvement District Assessments The "Initial Assessments" required upon plan approval are in support of the Community Benefits Agreement BID assessments are used to improve the Historic Folklife District and to provide ongoing services to maintain safety the quality of life for residents, businesses and visitors. The BID will conduct annual budget reviews and determine funding allocation for three community benefit trust programs; Community Redevelopment, Cultural Arts, and Youth Enhancement Trust Funds. Annual BID Assessments are required after the first year and subject to a CPI adjustment, not to exceed 3% annually. MU - Indicates Mix -use Residential/retail/commercial development 11/8/2007 Projected Economic Development Commercial Retail S.F. 20,000 30,000 25,000 15,000 10,000 75,000 150,000 67,500 30,000 50,000 472,500 EXHIBIT - A Business Improvement District Assessments* Initial BID Assmt. Residential $125,000 $65,000 $101,000 $32,500 $50,000 $889,088 $225,000 $50,000 $90,000 $0 $1,627,588 Initial BID Assmt. Comm./Retail $40,000 $60,000 $50,000 $30,000 $20,000 $150,000 $300,000 $135,000 $60,000 $100,000.00 Annual BID Assessment $32,500 $36,500 $32,100 $18,250 $15,000 $127,500 $165,000 $72,500 $36,000 $50,000 $945,000 $585,350 Submitted Into the pubtiC record in l on 12 connection with item �..._._. Priscilla pson , City Cie* Park Avenue Lofts -MU SAWYER'S WALK - BID ASSESSMENT SCHEDULE Exhibit "B" Overtown Folklife District Boundary Village Boundary Sawyer's Walk Development Area Folklife District Boundaries The Folklife District is bound by 6th Street to the south, 11th Street to the north, and 1st and 3rd Avenues east and west, and parts of 5th Avenue along the west. The "Sawyer's Walk" project by Crosswinds Communities is situated at the southern portion of the District. Submitted Into the public recorj in connection with item a l i on (Z- I l Priscilla A. Thompson City Clerk