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HomeMy WebLinkAboutCRA-R-13-0053 Cover MemoSEOPW Board of Commissioners Meeting September 12, 2013 SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY INTER -OFFICE MEMORANDUM To: Board Chair Michelle Spence -Jones Date: September 5, 2013 File: 13-00986 and Members of the CRA Board From: Clarence E. Woods, III Executive Director 6t0 Subject: Amendment to Lyric Development Agreement References: Enclosures: Legislation BACKGROUND: The Board of Commissioners of the Southeast Overtown/Park West Community Redevelopment Agency ("CRA") is being presented with the attached Resolution which provides for authorization to execute an amendment with Lyric Development, LLC In connection with the development of Blocks 25 and 36, and approval of proposed variances to the Settlement Agreement between Miami -Dade County, the City of Miami and the CRA, dated May 9, 2013 ("Settlement Agreement"). The Settlement Agreement, and the Declaration of Restrictions for Block 36 between Miaml-Dade County and the CRA, provided certain development requirements for Block 36. On June 25, 2012, the CRA's Board of Commissioners, by Resolution No. CRA-R-12-0043, authorized the Executive Director to execute a development agreement with Lyric Development LLC (the "Developer"), an affiliate of Gatehouse Development Corporation, for the development of mixed -use development on portions of Blocks 25 and 36 (the "Project"). On December 17, 2012, the CRA and the Developer executed a Development Agreement for the Project. The terms of said Development Agreement were in conformance with the development requirements for Block 36. At this time, the Developer wishes to modify and amend certain terms and provisions of the Development Agreement to provide for, among other things, variances to certain development requirements for Block 36, as well as additional funding in the event the CRA's Bond Issue is approved. The proposed material modifications and amendments consist of: (1) the elimination of the Parking Component from the development of Block 36, as well as the CRA's contribution of $3,000,000 towards the development of said component; and (2) in the event the CRA obtains Bond Issue Approval on or before December 31, 2013, the CRA shall provide an additional $7,000,000 for the development of additional affordable housing. The CRA originally agreed to contribute $10,000,000 for the development 98 affordable units. However, with this amendment, the additional funding provided would allow for the development of 60 additional affordable units, thereby bringing the total affordable units to 158, and the total funding contribution for the design and construction of said units to $17,000,000 for Phase I. In accordance with the Settlement Agreement, Miami -Dade County must approve any variances to the development requirements for Block 36. JUSTIFICATION: The 2009 Southeast Overtown/Park West Community Redevelopment Plan, at pages 12 and 14, lists the creation of infill housing, and the development of a variety of housing options as stated redevelopment goals and principles. The Plan also Includes the creation of jobs within the community as a stated redevelopment goal. FUNDING: The funding required by the Amendment would be allocated from the SEOPW Bond Issue.