HomeMy WebLinkAboutCRA-R-07-0010 7- cover memoSEOPW & Omni Boards of Commissioners Meeting
February 26, 2006
Item #7
SOUTHEAST OVERTOWN/PARK WEST
AND OMNI
COMMUNITY REDEVELOPMENT AGENCIES
INTER -OFFICE MEMORANDUM
t o Board Chair Michelle Spence -Jones Date: February 16, 2007 File: 07-00271
and Members of the CRA Board
From: James H. Vifacort
Executive Director
Subject: Resolution Authorizing Reimbursement of
Tax Credit Application Fees in Connection
with Development of Block 36
References:
Enclosures: Supporting Documentation,
Legislation
BACKGROUND:
The attached resolution authorizes the reimbursement of $10,285,75 in costs associated with preparation
and filing of a tax credit housing application in connection with the development of the Lyric Promenade
project on Block 36 in Overtown. On July 19, 2004 the Southeast Overtown/Park West Community
Redevelopment Agency issued a Request for Proposals for the development of Block 36 in Overtown.
On February 18, 2005, the Board of Commissioners authorized negotiations with the Overtown Folklife
Village Development Corporation, an affiliate of the Black Archives History and Research Foundation,
Inc., and its co -developers Brickell Ventures, LLC, and Carlisle Development Group, LLC. Negotiations
continued through November 22, 2006. Block 36 is subject to a reverter provision in favor of Miami -Dade
County that requires construction on the property to begin by August 1, 2007.
JUSTIFICATION:
To assure that tax credit housing could be included in the project and meet the time frame mandated by
the reverter. the Carlisle Development Group, LLC ("Carlisle") was required to submit a tax credit
application prior to obtaining site control. Demonstration of site control is a requirement for completion of
a tax credit application. If an applicant does not have site control when the application is submitted it
must be obtained during the specified cure period. Carlisle notified the CRA of its intention to seek
reimbursement of the costs of the tax credit application if the negotiations did not result in the transfer of
site control by the end of the tax credit application cure period. At the December 18, 2006 Board of
Commissioners meeting the Lyric Promenade developers advised the Board that due to changes in the
real estate market the project described in its response to the Request for Proposals was no longer
economically viable. As a result, negotiations ceased and the tax credit application was terminated.
FUNDING SOURCE:
S10,285.75 from SEOPW TIF Fund, entitled "Construction in Progress," Account Code No.
10050.920101. 670000.0000.00000.
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