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HomeMy WebLinkAboutAgenda Item Summary FormAGENDA ITEM SUMMARY FORM File ID: #7760 Date: 08/13/2020 Commission Meeting Date: 09/24/2020 Requesting Department: City Manager's Office & Department of Real Estate and Asset Management Sponsored By: District Impacted: Type: Resolution Subject: Terminate Lease Agreement - Saint James Community Development Corporation Purpose of Item: A RESOLUTION OF THE MIAMI CITY COMMISSION, AUTHORIZING THE CITY MANAGER TO EXECUTE AN AMENDMENT TO TERMINATE A PORTION OF A LEASE AGREEMENT BETWEEN THE CITY OF MIAMI ("CITY") AND MIAMI-DADE COUNTY ("COUNTY") DATED MAY 15, 2007 ("LEASE"), TO CARVE OUT CITY - OWNED PROPERTY LOCATED AT 1785 NORTHWEST 35TH STREET ("PROPERTY") AND PROVIDE A FORMAL NOTICE OF PARTIAL LEASE TERMINATION TO THE COUNTY; FURTHER AUTHORIZING THE CITY MANAGER TO EXECUTE A QUITCLAIM DEED ("DEED") TO CONVEY THE PROPERTY TO SAINT JAMES COMMUNITY DEVELOPMENT CORPORATION OF MIAMI, INC. ("ST. JAMES"), PURSUANT TO SECTION 29-B(A) OF THE CHARTER OF THE CITY OF MIAMI, FLORIDA, AS AMENDED, FOR THE PURPOSE OF REDEVELOPING THE PROPERTY INTO WORKFORCE AND AFFORDABLE HOUSING (INTENDED PURPOSE"); CONTAINING A REVERTER PROVISION WITH TERMS MORE PARTICULARLY DESCRIBED IN SAID DEED; FURTHER AUTHORIZING THE CITY MANAGER TO EXECUTE ALL DOCUMENTS AND AMENDMENTS, IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, AS DEEMED NECESSARY TO CONSUMMATE THIS CONVEYANCE. Background of Item: The City of Miami ("City") is the fee simple owner of the property located at 1785 Northwest 35th Street, Miami, Florida ("Property"). The City and Miami -Dade County ("County") entered into a lease agreement dated November 1, 1971, which allowed the transfer of the City's Library Systems to the County. The lease agreement provided for the County to lease, operate, and maintain ten (10) library facilities from the City. Two (2) of the library facilities originally leased to the County were discontinued as library locations. The lease agreement was renewed between the City and the County on May 15, 2007, for the County to continue to lease, operate, and maintain, the remaining eight (8) library facilities and extend the term of the lease agreement ("Lease"). The City will provide A formal notice of partial lease termination to the County to carve out the Property (A/K/A Allapattah Library - 1799 NW 35 ST) pursuant to Section 13 of the Lease. Section 29-B(a) of the Charter of the City of Miami, Florida, as amended, provides that the requirements for competitive bidding shall not apply when conveying property to implement housing programs or projects which are intended to benefit persons or households with low and/or moderate income, the criteria of which to be provided for by federal and/or state law or by the city commission. The City will convey the Property to Saint James Community Development Corporation of Miami, Inc. ("St. James") for the redevelopment of the Property into workforce and affordable housing ("Intended Purpose"). If the Property ceases to be used by St. James for the Intended Purpose, all property rights shall automatically revert to the City without any further action or proceeding. Budget Impact Analysis Item is NOT Related to Revenue Item has NOT an Expenditure Item is NOT funded by Bonds Total Fiscal Impact: N/A Real Estate and Asset Management Aldo Bustamante Office of Management and Budget Office of Management and Budget City Manager's Office City Manager's Office Legislative Division Department of Fire -Rescue Office of the City Attorney Office of the City Attorney City Commission Legislative Division Department of Fire -Rescue Office of the City Attorney Office of the City Attorney City Commission Office of the Mayor Office of the City Clerk Office of the City Clerk Reviewed B Pedro Lacret Christopher M Rose Fernando Casamayor Arthur Noriega V Valentin J Alvarez Daniel Diaz Barnaby L. Min Victoria Mendez Todd B. Hannon Valentin J Alvarez Daniel Diaz Barnaby L. Min Victoria Mendez Nicole Ewan Mayor's Office City Clerk's Office City Clerk's Office Department Head Review Completed 08/13/2020 1:14 PM Budget Analyst Review Completed 08/17/2020 11:29 PM Budget Review Completed 08/25/2020 6:18 AM Assistant City Manager Review Completed 08/25/2020 11:28 AM City Manager Review Completed 08/25/2020 1:28 PM Legislative Division Review Completed 08/28/2020 9:53 AM ACA Review Completed 08/28/2020 10:20 AM Deputy Attorney Review Completed 08/28/2020 12:45 PM Approved Form and Correctness Completed 08/31/2020 9:33 PM Meeting Completed 09/10/2020 9:00 AM Legislative Division Review Completed 09/11/2020 2:41 PM ACA Review Completed 09/13/2020 9:10 AM Deputy Attorney Review Completed 09/14/2020 7:25 AM Approved Form and Correctness Completed 09/15/2020 4:38 PM Meeting Completed 09/24/2020 9:00 AM Unsigned by the Mayor Completed 09/28/2020 6:38 PM Signed and Attested by the City Clerk Completed 09/28/2020 6:47 PM Rendered Completed 09/28/2020 6:47 PM City of Miami Legislation Resolution Enactment Number: R-20-0295 City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com File Number: 7760 Final Action Date:9/24/2020 A RESOLUTION OF THE MIAMI CITY COMMISSION AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AMENDMENT TO THE LEASE AGREEMENT BETWEEN THE CITY OF MIAMI ("CITY") AND MIAMI-DADE COUNTY ("COUNTY") DATED MAY 15, 2007 ("LEASE"), IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, TERMINATING A PORTION OF THE LEASE TO CARVE OUT THE CITY -OWNED PROPERTY LOCATED AT 1785 NORTHWEST 35TH STREET ("PROPERTY") AND PROVIDING FORMAL NOTICE OF PARTIAL LEASE TERMINATION TO THE COUNTY; FURTHER AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE A QUITCLAIM DEED ("DEED"), IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, TO CONVEY THE PROPERTY TO SAINT JAMES COMMUNITY DEVELOPMENT CORPORATION OF MIAMI, INC., OR AN AFFILIATE ENTITY MEETING THE CITY MANAGER'S APPROVAL AT TIME OF CONVEYANCE ("ST. JAMES"), PURSUANT TO SECTION 29-B(A) OF THE CHARTER OF THE CITY OF MIAMI, FLORIDA, AS AMENDED, FOR THE PURPOSE OF REDEVELOPING THE PROPERTY INTO WORKFORCE AND AFFORDABLE HOUSING; CONTAINING A REVERTER PROVISION WITH TERMS MORE PARTICULARLY DESCRIBED IN SAID DEED; FURTHER AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE ANY AND ALL NECESSARY DOCUMENTS AND AMENDMENTS, ALL IN FORMS ACCEPTABLE TO THE CITY ATTORNEY, AS DEEMED NECESSARY TO AMEND THE LEASE AND/OR CONSUMMATE THE CONVEYANCE. WHEREAS, the City of Miami ("City") is the fee simple owner of the property located at 1785 Northwest 35th Street, Miami, Florida ("Property"); and WHEREAS, the City and Miami -Dade County ("County") entered into a lease agreement dated November 1, 1971, which allowed the transfer of the City's Library Systems to the County ("Lease"); and WHERAS, the Lease provided for the County to lease, operate, and maintain ten (10) library facilities from the City; and WHEREAS, two (2) of the library facilities originally leased to the County were discontinued as library locations; and WHEREAS, the Lease was renewed between the City and the County on May 15, 2007 for the County to continue to lease, operate, and maintain the remaining eight (8) library facilities and extend the term of said Lease; and WHEREAS, the City desires to provide the County with a formal notice of partial Lease termination in order to carve out the Property (A/K/A Allapattah Library) pursuant to Section 13 of the Lease; and WHEREAS, Section 29-B(a) of the Charter of the City of Miami, Florida, as amended ("City Charter"), provides that the requirements for competitive bidding shall not apply when conveying property to implement housing programs or projects which are intended to benefit persons or households with low and/or moderate income, the criteria of which are to be provided for by federal and/or state law or by the City Commission; and WHEREAS, the City will convey the Property to Saint James Community Development Corporation of Miami, Inc., or an affiliate entity meeting the City Manager's approval at the time of conveyance ("St. James"), for the redevelopment of the Property into workforce and affordable housing ("Intended Purpose"); and WHEREAS, the Intended Purpose includes the development of no less than one hundred fifty (150) affordable units, which will greatly benefit the residents of the City; and WHEREAS, the proposed project will have an affordability period in perpetuity; and WHEREAS, any such agreements entered into with St. James will require that the Property revert to the City if the development is not started within twenty-four (24) months of the date of closing; the project is not completed within forty-eight (48) months as evidenced by a Certificate of Occupancy or Temporary Certificate of Occupancy, as applicable, which requirement may be amended by the Director of the Department of Housing and Community Development ("Director"); and the units in the development are solely rented or sold to low- income/workforce-income households; and WHEREAS, to convey said Property, the City must receive from St. James (i) evidence that St. James has received all necessary permits needed to construct the units, (ii) evidence that financial commitments from the lender(s) have been received, (iii) any mortgages obtained by St. James on the Property will be subject to the approval of the Director, and (iv) the closing of the conveyance will occur simultaneously with the closing of the construction financing by the lender, if any; and WHEREAS, if the Property ceases to be used by St. James for the Intended Purpose, all property rights shall automatically revert to the City without any further action or proceeding; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION 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 herein as if fully set forth in this Section. Section 2. The City Manager is hereby authorized1 to negotiate and execute an amendment to the Lease, in a form acceptable to the City Attorney, terminating a portion of the Lease to carve out the Property pursuant to Section 13 of the Lease and providing formal notice of partial lease termination to the County. Section 3. Pursuant to Section 29-B(a) of the City Charter, the City Manager is further authorized1 to negotiate and execute a quitclaim deed, in a form acceptable to the City Attorney, to convey the Property to St. James for the Intended Purpose with the deed containing a reverter provision with terms more particularly described therein. 1 The herein authorization is further subject to compliance with all legal requirements that may be imposed, including but not limited to those prescribed by applicable City Charter and City Code provisions. Section 4. The City Manager is further authorized' to negotiate and execute any and all other necessary documents, all in forms acceptable to the City Attorney, as deemed necessary to amend the Lease and/or consummate the conveyance. Section 5. This Resolution shall become effective immediately upon its adoption and signature of the Mayor.2 APPROVED AS TO FORM AND CORRECTNESS: 2 If the Mayor does not sign this Resolution, it shall become effective at the end of ten 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.