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HomeMy WebLinkAboutR-19-0404City of Miami Resolution R-19-0404 Legislation City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com File Number: 6374 Final Action Date: 10/24/2019 A RESOLUTION OF THE MIAMI CITY COMMISSION PURSUANT TO SECTION 29-B(A) OF THE CHARTER OF THE CITY OF MIAMI, FLORIDA, AS AMENDED, AUTHORIZING THE CITY MANAGER TO SELL, WITH AFFORDABLE HOUSING RESTRICTIONS AND AUTOMATIC REVERTER PROVISIONS, CERTAIN CITY OF MIAMI-OWNED PROPERTIES LOCATED IN THE CITY OF NORTH MIAMI, FLORIDA, TO KB FINANCIAL GROUP, LLC, A FLORIDA LIMITED LIABILITY COMPANY ("KB"), FOR THE TOTAL AMOUNT OF $825,000.00 FOR THE DEVELOPMENT OF AFFORDABLE HOUSING PROJECTS WITH SIX (6) UNITS SET ASIDE TO BE USED FOR HOUSING FOR PERSONS WITH AIDS; FURTHER AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE ANY AND ALL NECESSARY DOCUMENTS, INCLUDING AMENDMENTS, EXTENSIONS, AND MODIFICATIONS, ALL IN FORMS ACCEPTABLE TO THE CITY ATTORNEY, FOR THE COMPLETION OF SAID TRANSACTION. WHEREAS, on May 8, 2008, pursuant to Resolution No. 08-0252, the Miami City Commission authorized the acceptance of a conveyance from MOVERS, Inc. to the City of Miami ("City") of certain properties located within the City of North Miami, Florida ("Properties"); and WHEREAS, multiple unsuccessful attempts were made to obtain a purchaser for the acquisition, rehabilitation, and operation of the Properties; and WHEREAS, on August 8, 2019, KB Financial Group, LLC, a Florida Limited Liability Company ("KB"), submitted a Letter of Interest for the purchase of the Properties for the total amount of Eight Hundred Twenty -Five Thousand Dollars ($825,000.00); and WHEREAS, KB proposes to rehabilitate the Properties and use them exclusively for Affordable Housing as defined in Section 2-416 of the Code of the City of Miami, Florida, as amended ("Affordable Housing"), with six (6) units set aside for housing for persons with AIDS ("HOPWA"); and WHEREAS, the Affordable Housing will be rehabilitated/constructed on the Properties and will be made available for HOPWA eligible residents whose annual income is under eighty percent (80%) of area median income ("AMI") as published annually by the United States Department of Housing and Urban Development ("HUD") for a minimum of ten (10) years; and WHEREAS, the proceeds of the sale will be used for eligible HOPWA activities; and WHEREAS, the affordable housing restrictions and automatic reverter provisions contained in the conveying instruments require the Properties to automatically revert to the City if (i) the Properties are not fully developed within twenty-four (24) months of the date of closing City of Miami Page 1 of 3 File ID: 6374 (Revision:) Printed On: 4/25/2025 File ID: 6374 Enactment Number: R-19-0404 as evidenced by a Certificate of Occupancy, where the twenty-four (24) month requirement may be amended by the Director of the Department of Housing and Community Development ("Director") by a written communication and (ii) the Properties are not solely used for Affordable Housing with six (6) HOPWA units set aside for housing for persons with AIDS; and WHEREAS, the addresses of the Properties cannot be disclosed for confidentiality purposes pursuant to 24 CFR 574.440; and WHEREAS, the Properties shall be for the development of Affordable Housing in accordance with Section 29-B(a) of the Charter of the City of Miami, Florida, as amended ("City Charter"); and WHEREAS, the City shall require the following in order to convey the Properties to KB: (i) evidence satisfactory to the Director that financial commitments from the lender or lenders have been received; (ii) any mortgages obtained by KB on the Properties will be subject to the approval of the Director; and (iii) the closing of the Properties occurs simultaneously with the closing of the construction financing by the lender(s), if any; and WHEREAS, the City's Administration recommends the sale of the Properties, with affordable housing restrictions and automatic reverter provisions, to KB for a total amount of $825,000.00 for the development of Affordable Housing, with six (6) HOPWA units to be used for housing for persons living with AIDS; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISISON 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. Pursuant to Sections 29-B(a) of the City Charter, the sale of the Properties, with Affordable Housing restrictions and automatic reverter provisions, to KB in the total amount of $825,000.00 for the development of Affordable Housing projects with six (6) units set aside to be used for housing for persons with AIDS is authorized.' Section 3. The City Manager is authorized' to negotiate and execute any and all necessary documents, including amendments, extensions, and modifications, all in forms acceptable to the City Attorney, for the completion of said transaction. Section 4. This Resolution shall become effective immediately upon its adoption and signature of the Mayor.2 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 (10) 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 3 File ID: 6374 (Revision:) Printed on: 4/25/2025 File ID: 6374 Enactment Number: R-19-0404 APPROVED AS TO FORM AND CORRECTNESS: z, i y ttor ey ) 9/17/2019 City of Miami Page 3 of 3 File ID: 6374 (Revision:) Printed on: 4/25/2025