HomeMy WebLinkAboutExhibit BTitur of 4Riami
EMILIO T. GONZALEZ PhD
City Manager
July 24t1i 2018
La Unidad Cubana, Inc
970 S.W. 1st Street
Room 302
Miami, FL 33130
Re: Rent Adjustment/ room reduction
Square Footage Audit
Research Completed for Sales Tax Exemption
Dear Sir or Madam,
This letter serves as notification of the decision from the Department of Real Estate and Asset
Management accepting the reduction in total square footage after vacating room 300.
On June 15th 2018 La Unidad Cubana, Inc. expressed their desire to vacate room 300 but remain
in room 302. After inspection, the keys were handed over to the City of Miami on July 1st 2018
and room 300 was vacated.
Upon further inspection it was noted that room 300 had a total square footage of 529 not 590 as
incorrectly stated within the agreement. A credit for the difference of 61 total square feet has been
issued dating back to Fiscal Year 2008-09 until present for room 300. Furthermore, an audit of
room 302 resulted in an overage of 115 total square feet. From 1196 to 1081. A credit for the
difference of 115 total square feet has been issued dating back to Fiscal Year 2008-09 until present
for room 302.
The total credit for overage charges for rooms 300 and 302 dating back to Fiscal Year 2008-09 is
in the amount of Thirteen thousand eight hundred dollars and sixty eight cents (S13,800,68).
Please see attached excel sheet for a detailed breakdown of all credits applied.
The rent abatement will take place beginning on July 1st 2018 until October 31st 2019. A partial
credit of $605.77 will be applied to the November 2019 payment. A payment in the amount of
$246.71 will be due on November 1st 2019.
During the rent abatement period, a utility reimbursement to the City of Miami of $100 each month
will be due on the 1st of each month beginning on August lst 2018. These utility reimbursement
payments will cease on November 1st 2019 when regular rent commences at the regular schedule.
DEPARTMENT OF REAL ESTATE AND ASSET MANAGEMENT
DREAM
444 S.W. 2" Avenue, 3" Floor, Miami, Florida 33130 / (305) 416-1450 / Fax; (305) 416-2156
Keep in mind in accordance with your agreement Section 11, as amended by "Second
Amendment" dated 1 October 2008, an annual increase of 3% will continue regardless of any rent
abatement or rent abatement period each year on October 1st, The current rent for room 302 is in
the amount of $803.54 ( 1081square feet * 8.92per sq ft = $9,642.52/12= $803,54) each month
plus Florida State sales tax of 5.8% plus Miami -Dade County sales tax of 1% (6.8% * 803.54=
54.64). The rental rate will increase on October 1st 2018 by 3% bringing the total rent due to 827.65
plus applicable sales tax each month for room 302. On October 1st 2019 the rent will increase by
3% for a total of 852.48 plus applicable sales tax each month for room 302. Please refer to the
spread sheet attached for greater detail.
After diligent research and examination of your most recent annual tax return filed with the IRS,
Annual State Filing Reports and Articles of Incorporation within the State of Florida, it was
determined that you DO NOT QUALIFY for sales tax exemption in the State of Florida.
The findings are final since you filed a tax return in 2017 with form 1120 U.S. Corporation
Income Tax Return. Form 990 Return of Organization Exempt From Income Tax was not
filed nor provided. Furthermore, to qualify for sales tax exemption in the State of Florida form
DR-14 Consumers Certificate of Exemption, pursuant to Chapter 212, Florida Statues was not
provided since La Unidad Cubana, Inc. does not have 501 status with the IRS.
If you have any questions regarding any of these findings, please contact Erick Hurtado, Senior
Project Representative at 305-416-1461 or Email at ehurtado@miamigov,com.
Sincerely,
Daniel Rotenberg
Director
Department of Real Estate and Asset Management
DEPARTMENT OF REAL ESTATE AND ASSET MANAGEMENT
DREAM
444 S.W. 2"°' Avenue, 3" Floor, Miami, Florida 33130 / (305) 416-1450 / Fax: (305) 416-2156
Room 300
rate
6.84 2008-09
7.05 2009-10
7.26 2010-11
7.47 2011-12
7.70 2012-13
7.93 2013-14
8.17 2014-15
8.41 2015-16
8.66 2016-17
8.92 2017-18
2008-09
2009-10
2010-11
2011-12
2012-13
2013-14
2014-15
2015-16
2016-17
2017-18
2008-09
2009-10
2010-11
2011-12
2012-13
2013-14
2014-15
2015-16
2016-17
2017-18
monthly rent/ wrong
old 24.3x24.3 = 590.49
590 rate
336.30
346.39
356.78
367.48
378.51
389.86
401.56
413.61
426.01
438.80
6.84 2008-09
7.05 2009-10
7.26 20010-11
7.47 20011-12
7.70 20012-13
7.93 20013-14
8.17 20014-15
8.41 20015-16
8.66 20016-17
8.92 20017-18
paid per year
4,035.60 2008-09
4,156.67 2009-10
4,281.37 2010-11
4,409.81 20011-12
4,542.10 20012-13
4,678.37 20013-14
4,818.72 20014-15
4,963.28 20015-16
5,112.18 20016-17
5,265.54 20017-18
Difference each year room 300 / for credit
417.24
429.76
442.65
455.93
469.61
483.70
498.21
513.15
528.55
544.40
-4,783:19
monthly rent /correct
re -measured 23x23= 529
529
301.53
310.58
319.89
329.49
339.37
349.56
360.04
370.84
381.97
393.43
should have paid per year
3,618,36
3,726.91
3,838.72
3,953.88
4,072.50
4,194.67
4,320.51
4,450.13
4,583.63
4,721.14
total credit
13, 800.68
Room 302
rate
6.84 2008-09
7.05 2009-10
7.26 2010-11
7.47 2011-12
7.70 2012-13
7.93 2013-14
8.17 2014-15
8.41 2015-16
8.66 2016-17
8.92 2017-18
monthly rent/ wrong monthly rent/correct
old 1195 46x26 =1196 re -measured 23.5x46=1081
1196 rate 1081
681.72 6.84 2008-09 616.17
702.17 7.05 2009-10 634.66
723.24 7.26 2010-11 653.69
744.93 7.47 2011-12 673.31
767.28 7.70 2012-13 693.50
790.30 7.93 2013-14 714.31
814.01 8.17 2014-15 735.74
838.43 8.41 2015-16 757.81
863.58 8.66 2016-17 780.55
889.49 8.92 2017-18 803.96
paid per year
2008-09 8,180.64 2008-09
2009-10 8,426.06 2009-10
2010-11 8,678.84 2010-11
2011-12 8,939.21 2011-12
2012-13 9,207.38 2012-13
2013-14 9,483.60 2013-14
2014-15 9,768.11 2014-15
2015-16 10,061.16 2015-16
2016-17 10,362.99 2016-17
2017-18 10,673.88 2017-18
should have paid per year
7,394.04
7,615.86
7,844.34
8,079.67
8,322.06
8,571.72
8,828.87
9,093.74
9,366.55
9,647.55
Difference each year room 302 / for credit
2008-09 786.60
2009-10 810.20
2010-11 834.50
2011-12 859.54
2012-13 885.33
2013-14 911.88
2014-15 939.24
2015-16 967.42
2016-17 996.44
2017-18 1,025.33
9,017.49
LA UNIDAD CUBANA, INC.
970 SW 1ST STREET, ROOM 302
AS OF
TAX EXEMPT
EXEMPTION DATE
FY '17-'18
Balance Fwd
Oct-17
24-Jul-18
NO
MONTHLY
RENT
Customer # 56663
Square footage recalculated room 302 = 23.5*46=1081
$1,327.08
RENT DUE
$1,327.08
TAXES DUE
$92.90
DATE PAID
CK NO.
RENT PAID
TAXES PAID
BALANCE
RENT DUE
BALANCE
TAXES DUE
LATE FEE
TOTAL PAID
4-Oct-17
5133
$1,250.91
$87.56
$76.17
$0.00
$0.00
$1,338.47
Nov-17
Dec-17
$1,327.08
$1,327.08
$1,327.08
$1,327.08
$92.90
$92.90
8-Nov-17
28-Dec-17
5137
5142
$1,250.91
$87.56
$76.17
$0.00
$0.00
$1,338.47
$1,250.91
$87.56
$76.17
$0.00
$0.00
$1,338.47
Jan-18
Feb-18
Mar-18
$1,327.08
$1,327.08
$1,327.08
$1,327.08
$1,327.08
$1,327.08
$92.90
$92.90
$92.90
29-Dec-17
24-Jan-18
3/9/2018
5143
5144
5150
Apr-18
May-18
Jun-18
Jul-18
Aug-18
Sep-18
TOTAL
$1,327.08
$1,327.08
$1,327.08
$803.54
$803.54
$803.54
$14,354.37
$1,327.08
$1,327.08
$1,327.08
$0.00
$0.00
$0.00
$11,943.75
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$557.37
19-Jun-18
19-Jun-18
9-Jul-18
5165
5166
5167
$1,250.91
$1,250.91
$1,250.91
$1,338.47
$1,338.47
$1,761.35
$87.56
$87.56
$87.56
$76.17
$76.17
$76.17
$0.00
$0.00
$0.00
$0.00
$0.00
$0 00
$1, 338.47
$1,338.47
$1,338.47
Rent Credit
Rent Credit
Rent Credit
$11,943.75
$525.36
-$11.39
-$11.39
-$434.27
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$1,338.47
$1,338.47
$1,761.35
$0.00
$0 00
$0.00
$12,469.11
FY'18-'19
carry over
credit
Oct-18
Nov-18
Dec-18
Jan-19
Feb-19
Mar-19
Apr-19
May-19
Jun-19
Jul-19
Aug-19
Sep-19
MONTHLY RENT RENT DUE
$2,410.63
$827.65
$827.65
$827.65
$827.65
$827.65
$827.65
$827.65
$827.65
$827.65
$827.65
$827.65
$827.65
$9,931.75
TAXES DUE credit due
$0.00 $0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
2,410.63
827.65
827.65
827.65
827.65
827.65
827.65
827.65
827.65
827.65
827.65
827.65
827.65
total credit applied
3,238.28
BALANCE
RENT DUE
4,065.93
4,893.58
5,721.23
6,548.88
7,376.53
8,204.18
9,031.83
9,859.48
10,687,13
11,514.78
12,342.43
FY '19= 20 MONTHLY RENT
carry over
credit
Oct-19
Nov-19
Dec-19
Jan-20
$12,342.43
$852.48
_ $852.48
$852.48
- $852.48
RENT DUE
$0.00
$246.71
$852.48
$852.48
Feb-20
$852.48
$852.48
TAXES DUE
$0.00
$16.78
$57,97
$57.97
$57.97
credit due
12, 342.43
852.48
605.77
total credit applied
13,194.91
13,800.68
BALANCE
RENT DUE
Mar-20
$852.48
$852.48
$57.97
Apr-20
May-20
Jun-20
$852.48
$852.48
$852.48
$852.48
$852.48
$852.48
$57.97
$57.97
$57.97
Jul-20
Aug-20
Sep-20
$852.48
$852.48
$852.48
$852.48
$852.48
$852.48
$57.97
$57.97
$57.97