HomeMy WebLinkAbout08-00372 BackupC4 Bilzin Sumberg
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Steven J. Wernick, Esquire
email: swernick(a�bilzin.com
March 18, 2008
VIA HAND DELIVERY
James Villacorta, Executive Director
City of Miami
Community Redevelopment Agency
49 N.W. 5tn Street
Miami, Florida 33128
Re: The Omni — Economic Incentive Agreement Term Sheet
Dear Mr. Villacorta:
Our firm represents the owners of the Omni Mall and Hotel (the "Omni"). As you know
the Omni has proposed a 100% performance -based economic incentive, which will be
considered by the Board of Commissioners of the Omni Redevelopment District Community
Redevelopment Agency at the March 31, 2008 meeting. Enclosed is a Term Sheet detailing the
key terms of the proposed economic incentive. Please share this information with the Board of
Commissioners prior to the meeting.
Thank you for your consideration. Please feel free to contact me if you have any
questions or concerns.
Steven J. Wernick
Enclosure
cc: Clarence Woods, Assistant Director,
City of Miami Community Redevelopment Agency
H. Bert Gonzalez, Office of Commissioner Marc Sarnoff
MIAMI 1520281.1 7652127221
3/18/08
BILZIN SUMBERG BAENA PRICE & AXELROD LLP
200 S. Biscayne Boulevard, Suite 2500, Miami, FL 33131.5340 Tel 305.374.7580 Fax 305.374.7593
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Omni Redevelopment District Community Redevelopment Agency
City of Miami
Economic Incentive Agreement
TERM SHEET
The Owner of the Omni Mall and Hotel (the "Omni") has submitted to the Omni Redevelopment District
Community Redevelopment Agency ("CRA") a request for a 100% performance -based economic
incentive for redevelopment of the employment center known as the Omni. This proposal has no up -front
funding. This term sheet represents the essential terms of an Economic Incentive Agreement. to be
considered by the Board of Commissioners at the March 31, 2008 CRA Meeting.
Owner
Estimated Investment by Owner
Estimated Employment
CRA Enhancement
Annual Incentive
Term
Local Hiring Bonus
Downtown Miami Mall, LLC
Downtown Miami Hotel, LLC
(c/o Argent Ventures, LLC)
$142,000,000
Office
Retai 1
Hospitality
Construction
Omni Management
Total
1,000jobs
290-350 jobs
55jobs
500-600 jobs
7 jobs
1852 — 2012 jobs
CRA continues to receive 100% of the ad valorem
taxes generated by the base year property value and
35% of the ad valorem taxes generated by the
incremental increase in property value over and above
the base year value.
Omni receives a tax rebate of 65% of ad valorem taxes
generated by the incremental increase in property value
over and above the base year value after certifying
performance.
10 years
Omni receives a 2.5% bonus for every 5% of
employees that reside within the boundaries of the
SEOPW CRA, the Omni CRA, an Enterprise Zone or
Empowerment Zone (10% max).
Omni receives a 1-year bonus if at least 33% of
employees reside within the boundaries of the SEOPW
CRA, the Omni CRA, an Enterprise Zone or
Empowerment Zone (5 years max).
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Quality Wage Bonus Omni receives a 10% bonus if at least 20% or more of
employees earn more than 115% of the median income
in the City of Miami.
Commitment to Training Omni commits to hosting job training workshops
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