HomeMy WebLinkAboutLegislationCity of Miami
Legislation
Resolution
City Hall
3500 Pan American
Drive
Miami, FL 33133
www.miamigov.com
File Number: 08-00602 Final Action Date:
A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S),
AUTHORIZING THE CITY MANAGER TO EXECUTE THE THIRD AMENDMENT
("THIRD AMENDEMENT'), IN SUBSTANTIALLY THE ATTACHED FORM, TO THE
AGREEMENT TO ENTER INTO GROUND LEASE ("AGREEMENT TO ENTER"),
BETWEEN THE CITY OF MIAMI ("CITY") AND FLAGSTONE ISLAND GARDENS,
LLC ("FLAGSTONE"), WITH SUCH CHANGES, INSERTIONS, AND FURTHER
AMENDMENTS AS MAY BE APPROVED BY THE CITY MANAGER AFTER
CONSULTATION WITH THE CITY ATTORNEY, TO PROVIDE FOR: (1) AN
EXTENSION TO THE LEASE DEADLINE REFERRED TO IN SECTION 6.2.1 OF
THE AGREEMENT TO ENTER TO FEBRUARY 1, 2010; (2) AN EXTENSION TO
THE OUTSIDE DATE REFERRED TO IN SECTION 6.2.3 OF THE AGREEMENT
TO ENTER TO FEBRUARY 1, 2010; (3) FLAGSTONE MEETING ANY AND ALL OF
THE REFERENCED CONDITIONS PRECEDENT ON A COMPONENT BY
COMPONENT BASIS; (4) FLAGSTONE PAYING THE CITY IN CONSIDERATION
OF USE ("CONSIDERATION OF USE") THE SUM OF TWO HUNDRED
THOUSAND DOLLARS ($200,000), PAYABLE IN EQUAL MONTHLY
INSTALLMENTS OF $16,666.66, FOR USE OF THE PROPERTY, AND
COMMENCING ON THE FIRST DAY FOLLOWING JULY 31, 2009, AND ENDING
ON THE DAY PRECEDING THE POSSESSION DATE, FLAGSTONE PAYING TO
THE CITY SEVENTY FIVE THOUSAND DOLLARS ($75,000), FOR EACH MONTH
EXERCISED AS PART OF THE EXTENSION PERIOD GRANTED
CONSIDERATION FOR USE; AND (5) ESTABLISHMENT OF CERTAIN
MILESTONES IN THE TIMELINES FOR OTHER DEVELOPMENT MATTERS,
WITH THE TERMS AND CONDITIONS AS MORE PARTICULARLY SET FORTH
IN SAID THIRD AMENDMENT.
WHEREAS, the City of Miami ("City") is the owner of certain real property located on Watson
Island at approximately 1050 MacArthur Causeway, Miami, Florida; and
WHEREAS, Flagstone Island Gardens, LLC ("Flagstone") has an Agreement to Enter Into Ground
Lease ("Agreement to Enter") with the City, dated January 1, 2003; and
WHEREAS, the Agreement to Enter has certain conditions that must be met for the future
execution of a long-term ground lease with Flagstone; and
WHEREAS, the City and Flagstone agreed upon and entered into that certain First Amendment to
Enter Into Ground Lease and Amendment to Form of Ground Lease dated December 2, 2004 (the
"First Amendment To Agreement To Enter"); and
WHEREAS, the City and Flagstone agreed upon and entered into that certain Second Amendment
to Enter Into Ground Lease dated December 8, 2006 (the "Second Amendment to Agreement to
Enter"); and
City of Miami Page 1 of 2 Printed On: 6/2/2008
File Number: 08-00602.
WHEREAS, Flagstone experienced delays in obtaining financing due to the downturn in the real
estate market requiring adjustments to the Lease Deadline referred to in Section 6.2.1 of the
Agreement to Enter and to the Outside Date referred to in Section 6.2.3 of the Agreement to Enter;
and
WHEREAS, the parties have negotiated the attached Third Amendment to the Agreement to Enter
(the "Third Amendment") to provide for an eighteen (18) month extension to the Outside Date and the
Lease Deadline and modification of certain other conditions precedent as set forth below;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI,
FLORIDA:
Section 1. The recitals and findings contained in the Preamble to this Resolution are adopted by
reference and incorporated as if fully set forth in this Section.
Section 2. The City Manager is authorized{1} to execute the Third Amendment, in substantially the
attached form, to the Agreement to Enter, between the City and Flagstone, with such changes,
insertions, and further amendments as may be approved by the City Manager after consultation with
the City Attorney, to provide for: (1) an extension to the Lease Deadline referred to in Section 6.2.1 of
the Agreement to Enter to February 1, 2010; (2) an extension to the Outside Date referred to in
Section 6.2.3 of the Agreement to Enter to February 1, 2010; (3) Flagstone meeting any and all of the
referenced conditions precedent on a component by component basis; (4) Flagstone paying to the City
in consideration of use ("Consideration of Use") the sum of two hundred thousand dollars ($200,000),
payable in equal monthly installments of $16,666.66, for use of the property, and commencing on the
first day following July 31, 2009, and ending on the day preceding the Possession Date, Flagstone
paying to the City seventy five thousand dollars ($75,000), for each month exercised as part of the
extension period granted Consideration for Use; and (5) establishment of certain milestones in the
timelines for other development matters, with terms and conditions as more particularly set forth in
said Third Amendment.
Section 3. This Resolution shall become effective immediately upon its adoption and signature of
the Mayor.{2}
APPROVED AS TO FORM AND CORRECTNESS:
JULIE O. BRU
CITY ATTORNEY
ocY
Footnotes:
{1} The herein authorization is further subject to compliance with all requirements that may be
imposed by the City Attorney, including but not limited to those prescribed by applicable City Charter
and Code provisions.
{2) If the Mayor does not sign this Resolution, it shall become effective at the end of ten calendar days
from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become
effective immediately upon override of the veto by the City Commission.
City of Miami Page 2 of 2 Printed On: 6/2/2008