HomeMy WebLinkAboutAgenda Item Summary FormAGENDA ITEM SUMMARY FORM
File ID: #12311
Date: 07/15/2022
Commission Meeting Date: 07/28/2022
Requesting Department: Department of Real
Estate and Asset Management
Sponsored By:
District Impacted: District 2
Type: Resolution
Subject: Amend Lease Agrmt. Grove Bay Investment Group
Purpose of Item:
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 and
Grove Bay Investment Group, LLC in a form acceptable to the City Attorney. Amending
the Lease to authorize the construction of temporary food and beverage establishments
and related provisional structures within the location designated for a formal restaurant
for a maximum of seven (7) years in exchange for increased percentage rent applicable
to such provisional structures, with additional terms and conditions as more particularly
set forth in the amendment.
Background of Item:
The City of Miami ("City") is the owner of certain real property located generally at 3385
Pan American Drive, Miami, Florida 33133 ("Property"); and Grove Bay Investment
Group, LLC ("Grove Bay") was awarded Request for Proposal No. 12-13-001 - Lease of
City -Owned Waterfront Property for Marina/Restaurant Uses ("RFP"). Pursuant to the
RFP, the City and Grove entered into that certain Lease Agreement, effective as of
October 24, 2013 ("Lease"), with respect to the Property.
The Lease provides that Grove Bay shall construct a Formal Restaurant on a portion of
the Property designated in Grove Bay's original proposal to the RFP and that the
percentage rent applicable to the Formal Restaurant shall equal five percent (5%) of
gross revenues therefrom.
Grove Bay has requested that the City permit the construction of temporary food and
beverage establishments and related provisional structures (collectively, "Provisional
Structures") at the location of the Formal Restaurant for a maximum of seven (7) years
prior to constructing the permanent Formal Restaurant ("Provisional Use Period").
Grove Bay has agreed to pay increased percentage rent for the Provisional Structures
as follows: five percent (5%) of gross revenues up to ten million ($10,000,000), seven
and one half percent (7.5%) of gross revenues between ten million ($10,000,000) and
fifteen million ($15,000,000), and ten percent (10%) of gross revenues exceeding fifteen
million ($15,000,000) (collectively, "Provisional Percentage Rent").
Budget Impact Analysis
Item is Related to Revenue
Item has NOT an Expenditure
Item is NOT funded by Bonds
Total Fiscal Impact:
0
Office of the City Attorney
Office of Management and Budget
Office of Management and Budget
City Manager's Office
City Manager's Office
Legislative Division
OMNI Community Redevelopment
Office of the City Attorney
City Commission
Legislative Division
Office of the Mayor
Office of the City Clerk
OMNI Community Redevelopment
Office of the City Attorney
Office of the City Clerk
Reviewed B
Jacqueline Lorenzo
Pedro Lacret
Marie Gouin
Larry M. Spring
Arthur Noriega V
Valentin J Alvarez
Agency
Victoria Mendez
Nicole Ewan
Valentin J Alvarez
Mayor's Office
City Clerk's Office
Agency
Victoria Mendez
City Clerk's Office
Department Head Review
Budget Analyst Review
Budget Review
Assistant City Manager Review
City Manager Review
Legislative Division Review
Isiaa Jones
Approved Form and Correctness
Completed
Completed
Completed
Completed
Completed
Completed
ACA Review
Completed
Meeting Completed
Legislative Division Review Completed
Signed by the Mayor Completed
Signed and Attested by the City Clerk Completed
Isiaa Jones ACA Review
Approved Form and Correctness with Modification(s)
Rendered Completed
07/15/2022 4:26 PM
07/15/2022 6:11 PM
07/18/2022 9:06 AM
07/18/2022 9:25 AM
07/18/2022 10:19 AM
07/18/2022 12:18 PM
Completed
07/19/2022 8:02 PM
07/28/2022 9:00 AM
07/29/2022 5:18 PM
08/05/2022 1:57 PM
08/05/2022 2:15 PM
Completed
Completed
08/30/2022 8:54 AM
City of Miami
Legislation
Resolution
Enactment Number: R-22-0276
City Hall
3500 Pan American Drive
Miami, FL 33133
www.miamigov.com
File Number: 12311 Final Action Date:7/28/2022
A RESOLUTION OF THE MIAMI CITY COMMISSION AUTHORIZING THE CITY
MANAGER TO NEGOTIATE AND EXECUTE AN AMENDMENT TO THE LEASE
AGREEMENT ("LEASE"), BETWEEN THE CITY OF MIAMI ("CITY") AND GROVE BAY
INVESTMENT GROUP, LLC ("GROVE BAY"), IN A FORM ACCEPTABLE TO THE
CITY ATTORNEY, AMENDING THE LEASE TO AUTHORIZE THE CONSTRUCTION
OF TEMPORARY FOOD AND BEVERAGE ESTABLISHMENTS AND RELATED
PROVISIONAL STRUCTURES (COLLECTIVELY, "PROVISIONAL STRUCTURES")
WITHIN THE LOCATION DESIGNATED FOR THE FORMAL RESTAURANT FOR A
MAXIMUM OF SEVEN (7) YEARS IN EXCHANGE FOR INCREASED PERCENTAGE
RENT APPLICABLE TO SUCH PROVISIONAL STRUCTURES; ALSO REQUIRING
THAT A CERTIFICATE OF OCCUPANCY OR TEMPORARY CERTIFICATE OF
OCCUPANCY FOR THE FORMAL RESTAURANT IS OBTAINED WITHIN TWO
YEARS AFTER THE 7 YEAR TEMPORARY USE AUTHORIZATION PERIOD; WITH
ADDITIONAL TERMS AND CONDITIONS AS MORE PARTICULARLY SET FORTH IN
THE AMENDMENT.
WHEREAS, the City of Miami ("City") is the owner of certain real property located at
3385 Pan American Drive, Miami, Florida 33133 ("Property"); and
WHEREAS, Grove Bay Investment Group, LLC ("Grove Bay") was awarded Request for
Proposal No. 12-13-001 - Lease of City -Owned Waterfront Property for Marina/Restaurant Uses
("RFP"); and
WHEREAS, pursuant to the RFP, the City and Grove Bay entered into that certain Lease
Agreement, effective as of October 24, 2013 ("Lease"), with respect to the Property; and
WHEREAS, the Lease provides that Grove Bay shall construct a Formal Restaurant on
a portion of the Property designated in Grove Bay's original proposal to the RFP and that the
percentage rent applicable to the Formal Restaurant shall equal five percent (5%) of gross
revenues therefrom; and
WHEREAS, Grove Bay has requested that the City permit the construction of temporary
food and beverage establishments and related provisional structures (collectively, "Provisional
Structures") at the location of the Formal Restaurant for a maximum of seven (7) years prior to
constructing the permanent Formal Restaurant ("Provisional Use Period"); and
WHEREAS, within 2 (two) years after the Provisional Use Period Grove Bay shall also
ensure that they obtain a Certificate of Occupancy or Temporary Certificate of Occupancy for
the formal dining restaurant; and
WHEREAS, Grove Bay has agreed to pay increased percentage rent for the Provisional
Structures as follows: five percent (5%) of gross revenues up to ten million ($10,000,000),
seven and one half percent (7.5%) of gross revenues between ten million ($10,000,000) and
fifteen million ($15,000,000), and ten percent (10%) of gross revenues exceeding fifteen million
($15,000,000) (collectively, "Provisional Percentage Rent");
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 as if fully set forth in this Section.
Section 2. The City Manager is authorized' to negotiate and execute an amendment to
the Lease, in a form acceptable to the City Attorney, amending the Lease to authorize the
construction of the Provisional Structures within the location designated for the Formal
Restaurant for Provisional Use Period, and within 2 (two) years after the Provisional Use Period
Grove Bay shall also obtain a Certificate of Occupancy or Temporary Certificate of Occupancy
for the formal dining restaurant in exchange for the Provisional Percentage Rent, with additional
terms and conditions as more particularly set forth in the Amendment.
Section 3. This Resolution shall become effective immediately upon its adoption and
signature of the Mayor.2
APPROVED AS TO FORM AND CORRECTNESS:
ndez, City Httor ey 7/19/2022
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.
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.