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HomeMy WebLinkAboutAgenda Item Summary FormAGENDA ITEM SUMMARY FORM File ID: #13458 Date: 02/08/2023 Commission Meeting Date: 03/09/2023 Requesting Department: Department of Real Estate and Asset Management Sponsored By: District Impacted: District 5 Type: Resolution Subject: Bid Waiver - Dolores, But You Can Call Me Lolita, LLC Purpose of Item: A Resolution of the Miami City Commission, with attachment(s), by a Four -Fifths Affirmative vote, after an advertised public hearing, ratifying, approving, and confirming the City Manager's recommendation and finding, attached and incorporated as Exhibit "A", that competitive negotiation methods and procedures are not practicable or advantageous to the City of Miami; waiving the requirements for said procedures; authorizing the City Manager to negotiate and execute a Lease Agreement ("Agreement"), in a form acceptable to the City Attorney, between the City of Miami ("City") and Dolores, But You Can Call Me Lolita, LLC. ("Tenant") for the continued use of the City Owned property located at 100 South Miami Avenue, Miami, Florida for the purpose of operating a restaurant, for a monthly use fee of $74,139.58 plus fees and annual percentage increases, for an extended term of six (6) years and three (3) months, with terms and conditions to be more specifically set forth in said agreement; further authorizing the City Manager to negotiate and execute all other necessary documents, including amendments and modifications to said agreement, all in a form acceptable to the City Attorney, as may be necessary to effectuate the uses contemplated herein. Background of Item: The City entered into that certain Lease Agreement dated March 3, 1998 with Alamilla and Associates, Inc ("Alamilla"), (i) as assigned by Assignment & Assumption of Lease Rights dated February 20, 1998 by and between Alamilla and Firehouse IV of Miami, Inc., a Florida corporation ("Firehouse"), which assignment was approved by Landlord pursuant to that certain Consent by Landlord dated March 3, 1998, (ii) as amended by Amendment to Lease Agreement dated February 6, 2001, by and between Landlord and Firehouse, (iii) as assigned by Assignment & Assumption of Lease Rights dated June 6, 2002, by and between Firehouse and New Spanish Concepts, LLC, a Delaware limited liability company ("New Spanish"), which assignment was approved by Landlord pursuant to that certain Consent by Landlord dated June 2, 2002, (iv) as amended by Second Amendment to Lease Agreement dated June 13, 2002, by and between Landlord and New Spanish ("Second Amendment"), (v) as amended by Amendment No. 3 to Lease Agreement dated August 1, 2003, by and between Landlord and New Spanish, (vi) as amended by Amendment No. 4 to Lease Agreement dated March 19, 2007, by and between Landlord and New Spanish, and (v) as assigned by Assignment & Assumption of Lease Rights dated June 7, 2007, by and between New Spanish and Tenant (collectively, as so assigned and amended, the "Lease") for the leasing, management and operation of a restaurant on City -owned property, legally described on Exhibit A, attached hereto and made a part hereof, commonly known as 1000 South Miami Avenue, Miami, Florida (such property, together with the building and improvements located thereon, are hereinafter referred to as the "Premises"). The Tenant has exercised the second and last renewal option under the Lease and as such the Lease is set to expire on March 2, 2023 ("Lease Expiration Date"). Tenant is requesting that Landlord extend the Lease Expiration Date to June 2, 2029 (i.e. an additional period of six (6) years and three (3) months) (the "Lease Extension") in order to amortize the cost of certain capital improvements that Tenant has or is planning to perform on the Premises, which are more particularly described on Exhibit B, attached hereto and incorporated herein by reference (the "Capital Improvements"). Pursuant to Section 29-B of the City Charter of the City of Miami, Tenant is making this request for a final one-time Lease Extension within the last five (5) years of the Lease Expiration Date for period of time that does not exceed twenty-five percent (25%) of the original term of the Lease. Budget Impact Analysis Item is Related to Revenue Item is NOT funded by Bonds Total Fiscal Impact: Reviewed B Department of Real Estate and Asset Management Review Completed 02/08/2023 8:14 AM Office of Management and Budget Pedro Lacret Office of Management and Budget Marie Gouin City Manager's Office Larry M. Spring City Manager's Office Arthur Noriega V Legislative Division Valentin J Alvarez OMNI Community Redevelopment Agency Victoria Mendez Office of the City Attorney City Commission City Commission Office of the Mayor Office of the City Clerk Legislative Division OMNI Community Redevelopment Agency Office of the City Attorney Victoria Mendez Office of the City Clerk City Clerk's Office Nicole Ewan Nicole Ewan Mayor's Office City Clerk's Office Valentin J Alvarez Andrew Frey Budget Analyst Review Budget Review Assistant City Manager City Manager Review Legislative Division Review Isiaa Jones Department Head Completed Completed Completed Completed Completed ACA Review Approved Form and Correctness Completed Meeting Completed Meeting Completed Signed by the Mayor Completed Signed and Attested by the City Clerk Completed Legislative Division Review Completed Isiaa Jones ACA Review Approved Form and Correctness with Modification(s) Rendered Completed 02/08/2023 4:42 PM 02/08/2023 5:04 PM 02/08/2023 5:08 PM 02/08/2023 5:59 PM 02/09/2023 11:03 AM Completed 02/13/2023 4:58 PM 02/23/2023 9:00 AM 03/09/2023 9:00 AM 03/13/2023 12:03 PM 03/13/2023 12:12 PM 03/16/2023 5:31 PM Completed Completed 04/04/2023 3:31 PM City of Miami Legislation Resolution Enactment Number: R-23-0110 City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com File Number: 13458 Final Action Date:3/9/2023 A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), PURSUANT TO SECTION 29-B (A) OF THE CHARTER OF THE CITY OF MIAMI (" CITY CHARTER"), BY A FOUR -FIFTHS AFFIRMATIVE VOTE, PURSUANT TO SECTION 18-85 OF THE CODE OF THE CITY OF MIAMI, FLORIDA, AS AMENDED ("CITY CODE"), AFTER AN ADVERTISED PUBLIC HEARING, RATIFYING, APPROVING, AND CONFIRMING THE CITY MANAGER'S RECOMMENDATION AND FINDING, ATTACHED AND INCORPORATED AS EXHIBIT "A", THAT COMPETITIVE NEGOTIATION METHODS AND PROCEDURES ARE NOT PRACTICABLE OR ADVANTAGEOUS TO THE CITY OF MIAMI; WAIVING THE REQUIREMENTS FOR SAID PROCEDURES; AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE A LEASE AGREEMENT ("AGREEMENT"), IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, BETWEEN THE CITY OF MIAMI ("CITY") AND DOLORES, BUT YOU CAN CALL ME LOLITA, LLC. ("TENANT"), GRANTING A LESSEE OF CITY - OWNED PROPERTY A ONE-TIME EXTENSION DURING THE LAST FIVE YEARS OF ITS LEASE, WITHOUT THE NECESSITY OF A REFERENDUM, FOR THE PURPOSE OF FUNDING ADDITIONAL CAPITAL IMPROVEMENTS; FOR AN EXTENDED TERM NOT TO EXCEED TWENTY-FIVE PERCENT OF THE ORIGINAL TERM OR TEN YEARS, WHICHEVER IS LESS; FOR FAIR MARKET VALUE, FOR THE CONTINUED USE OF THE CITY OWNED PROPERTY LOCATED AT 100 SOUTH MIAMI AVENUE, MIAMI, FLORIDA, FOR THE PURPOSE OF OPERATING A RESTAURANT, FOR A MONTHLY USE FEE OF SEVENTY FOUR THOUSAND ONE HUNDRED THIRTY NINE DOLLARS AND FIFTY EIGHT CENTS ($74,139.58) PLUS FEES AND ANNUAL PERCENTAGE INCREASES, FOR AN EXTENDED TERM OF SIX (6) YEARS AND THREE (3) MONTHS, WITH TERMS AND CONDITIONS TO BE MORE SPECIFICALLY SET FORTH IN SAID AGREEMENT; FURTHER AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE ALL OTHER NECESSARY DOCUMENTS, INCLUDING AMENDMENTS AND MODIFICATIONS TO SAID AGREEMENT, ALL IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, AS MAY BE NECESSARY TO EFFECTUATE THE USES CONTEMPLATED HEREIN. WHEREAS, the City of Miami ("City") entered into that certain Lease Agreement dated March 3, 1998 with Alamilla and Associates, Inc ("Alamilla"), (i) as assigned by Assignment & Assumption of Lease Rights dated February 20, 1998 by and between Alamilla and Firehouse IV of Miami, Inc., a Florida corporation ("Firehouse"), which assignment was approved by Landlord pursuant to that certain Consent by Landlord dated March 3, 1998, (ii) as amended by Amendment to Lease Agreement dated February 6, 2001, by and between Landlord and Firehouse, (iii) as assigned by Assignment & Assumption of Lease Rights dated June 6, 2002, by and between Firehouse and New Spanish Concepts, LLC, a Delaware limited liability company ("New Spanish"), which assignment was approved by Landlord pursuant to that certain Consent by Landlord dated June 12, 2002; and WHEREAS, Consent by Landlord dated June 12, 2002 was amended by Second Amendment to Lease Agreement dated June 13, 2002, by and between Landlord and New Spanish ("Second Amendment"), (v) as amended by Amendment No. 3 to Lease Agreement dated August 1, 2003, by and between Landlord and New Spanish, (vi) as amended by Amendment No. 4 to Lease Agreement dated March 19, 2007, by and between Landlord and New Spanish, and (v) as assigned by Assignment & Assumption of Lease Rights dated June 7, 2007, by and between New Spanish and Tenant (collectively, as so assigned and amended, the "Lease") for the leasing, management and operation of a restaurant on City -owned property, legally described on Exhibit A, attached hereto and made a part hereof, commonly known as 1000 South Miami Avenue, Miami, Florida (such property, together with the building and improvements located thereon, are hereinafter referred to as the "Premises"); and WHEREAS, Tenant has exercised the second and last renewal option under the Lease and as such the Lease is set to expire on April 1, 2023 ("Lease Expiration Date"); and WHEREAS, Section 29-B of the Charter of the City of Miami ("City Charter") specifies that the City may by 4/5ths affirmative vote; "grant a lessee of city -owned property a one-time extension during the last five years of its lease, without the necessity of a referendum, for the purpose of funding additional capital improvements" ; and WHEREAS, the City Charter also specifies that, "the extended term shall not exceed twenty-five percent of the original term or ten years, whichever is less."; and WHEREAS, the City Charter also specifies that, "The granting of such an extension is subject to the lessee paying fair market rent as determined by the city at the time of such extension and not being in default of its lease with the city nor in arrearage of any monies due the city"; and WHEREAS, pursuant to Section 29-B (a) of the City Charter, Tenant is making this request and the City Manager is recommending for approval a final one-time Lease Extension within the last five (5) years of the Lease Expiration Date for period of time that does not exceed twenty-five percent (25%) of the original term of the Lease, to extend the Lease Expiration Date to June 2, 2029 (i.e. an additional period of six (6) years and three (3) months) (the "Lease Extension") for the purpose of funding additional capital improvements that Tenant at the city owned property and that the Tenant is planning to perform on the Premises, which are more particularly described on Exhibit B, attached hereto and incorporated herein by reference (the "Capital Improvements"). 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', pursuant to Section 29-B of the City Charter, to negotiate and execute the Agreement, in a form acceptable to the City Attorney, between the City and Tenant, for use of approximately 9,365 per square feet of property located at 100 South Miami Avenue, Miami, Florida, for a monthly use fee of Seventy Four Thousand One Hundred Thirty Nine Dollars and Fifty Eight Cents ($74,139.58), Ninety Five Dollars ($95.00) per 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. square foot plus fees with annual increases, for an extended term of six (6) years and three (3) months, with terms and conditions as more specifically set forth in said Agreement. Section 3. Pursuant to Section 18-85(a) of the City Code, by a four -fifths (4/5ths) affirmative vote, after an advertised public hearing, the City Manager's written findings, attached and incorporated as Exhibit "A," that competitive negotiation methods and procedures are not practicable or advantageous, and waiving the requirements for said procedures, are hereby ratified, approved, and confirmed. Section 4. This Resolution shall become effective immediately upon its adoption and signature of the Mayor.2 APPROVED AS TO FORM AND CORRECTNESS: nd` City Att©r ey 2/13/2023 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.