HomeMy WebLinkAboutSummary FormRE 14
Date: 7/31/08
AGENDA ITEM SUMMARY FORM
';t�'' FILE ID: V I V `7 1/
Requesting Department: Public Facilities /Asset Mgmt
Commission Meeting Date: 9/11/08 District Impacted: 2
Type: ® Resolution ❑ Ordinance ❑ Emergency Ordinance ❑ Discussion Item
D Other
Subject: Resolution authorizing execution of third modification to lease with Parrot Jungle and
Gardens of Watson Island
Purpose of Item:
A Resolution of the Miami City Commission authorizing the City Manager to execute the Third
Modification to Lease and Development Agreement, in substantially the attached form, with Parrot
Jungle and Gardens of Watson Island, Inc. ("Parrot Jungle"), for the purpose of permitting the
construction of additional capital improvements, including a theme hotel and related retail and
entertainment that is ancillary to the existing destination visitor attraction ("Additional Capital
Improvements"), provided the size, type, structure, and marketing, among other things, is of such a
scope, as determined in the reasonable discretion of the City, to be ancillary to the destination visitor
attraction. Said amendment further establishes percentage rent for the Additional Capital Improvements
at an amount equal to 1% of Gross Revenue received by the Subtenant or, if operated by other than a
Subtenant, the operator of the Additional Improvements; further modifying the formula for calculating
the City's Transfer Fee, and with such other terms and conditions as more fully set forth in said
modification.
Background Information:
Budget Impact Analysis.
No Is this item related to revenue?
No Is this item an expenditure? If so, please identify funding source below.
General Account No:
Special Revenue Account No:
CIP Project No:
No Is this item funded by Homeland Defense/Neighborhood Improvement Bonds?
Start Up Capital Cost:
Maintenance Cost:
Total Fiscal impact:
if using or receiving. capitat fu is
Grants Nc4-
Final Approvals
(SIGN AND DATE)
Budget a./
Risk Management NA'
Purehasin i'} Dept. Directo
Chief Cam_ City Manage
Paee 1 of 2
Subject: Resolution authorizing execution of third modification to lease with Parrot Jungle and
Gardens of Watson Island
Background Information:
The City and Parrot Jungle entered into a Lease and Development Agreement on September 2, 1997, as
amended. At this time, Parrot Jungle anticipates constructing a theme hotel and related retail and
entertainment on the Subject Property (the "Additional Improvements") and has requested the City to
modify certain terns of the Lease as they apply to the Additional Improvements.
The City is recommending the approval of this lease modification, subject to the approval of the
Additional Improvements by the Board of Trustees of the Internal Improvement Trust Fund of the State
of Florida ("State Approval"), and subject to the terms and conditions set forth in said modification.
Highlights of the modification are as follows:
Additional Improvements:
Percentage Rent:
Transfer Fee:
Japanese Garden:
Defines Additional Improvements to mean the Leasehold Improvements
consisting of a theme hotel and related retail and entertainment. The
Additional Improvements must be ancillary, but not exclusively, for the
use by patrons of the park, provided the size, type, structure, is of such a
scope, as determined in the reasonable discretion of the City to be
ancillary to the destination visitor attraction.
Establishes Percentage Rent for the Additional Improvements to be an
amount equal to 1% of Gross Revenue received by the Subtenant or, if
operated by other than a Subtenant, the operator of the Additional
Improvements.
Modifies the formula for the payment of a transfer fee to the City to allow
a reduction from the total purchase price of the amount of outstanding
debt secured by leasehold mortgages and less the return of unamortized
equity invested by the owner of the interest being transferred.
Deletes Article XIII, Section 13.9 - Ichimura-Miami Japanese Garden in
its entirety, which article provided for Parrot Jungle to manage the
Japanese Garden. Currently the Parks Department is managing the
garden.
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