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Exhibit "A"
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14336 Exhibit A -SUB
THIS DOCUMENT IS A SUBSTITUTION
TO ORIGINAL. BACKUP ORIGINAL CAN
BE SEEN AT END OF THIS DOCUMENT.
CITY OF MIAMI, FLORIDA
INTER -OFFICE MEMORANDUM
TO :
FROM:
Members of the Housing and
Commercial Loan Committee
DATE : July 19, 2023
SUBJECT:
George Mensah, Director
Department of Housing & Community Developme ERENCEs :
ENCLOSURES:
Yaeger Plaza Partners, LLC:
Yaeger Plaza
FILE :
BORROWER:
Yaeger Plaza Partners, LLC, a Florida limited liability company created for the development
of the project. It was established on July 26, 2021. Integral Florida is the project sponsor and
will be the General Partner/Managing Partner for the Yaeger Plaza Partners, LLC. Mount
Calvary Baptist Church of Miami Inc, the Yaeger Foundation and Alfred Thomas will
contribute their respective lots and participate in this development as Limited Partners.
Percentage of ownership is subject to Partnership Agreement.
Yaeger Plaza is an assemblage of ten properties comprised of four owners. Mount Calvary
Baptist Church of Miami, Inc that owns 1153 NW 62 St, 1147 NW 62 St, 1141 NW 62 ST and
1135 NW 62 St. (These sites will be provided in the form of a 99 year lease) Carl E Yaeger Jr
Trust. that owns 1177 NW 62 St, 1165 NW 62 St, and 1 155 NW 62 (These sites will be
provided in the form of a 99 year lease), St. Alfred Thomas that owns 1196 NW 63 Si art;
6255 NW 12 Ave.(These sites will be provided in the form of a 99 year lease. City pfrian4V
owns 1199 NW 62 St. Will be conveyed with a right of reverted. .1; c=
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Mt. Calvary Baptist Church is in the heart of Liberty City, and it is a staple of the cOrti runic
with a ministry dedicated serving all people in the spirit of excellence. >-
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Yaeger Foundation is a 50100(3),509(a)(2) not -for -profit organization dedicated to incasi
the public's access to health care, educational, and economic development opportunit{e-$,
Integral Florida is the Florida Division of the Integral Group LLC which is privately held urban
real estate development and investment management company. Founded in 1993, Integral has
distinguished itself by compiling a track record of achievements in implementing residential,
retail, office, institutional and transformed mixed -use projects in urban markets.
PROJECT
Yaeger Plaza located at 1199 NW 62 Street is a new construction of eight -floor Mixed -Income
Mixed -Use development consisting of 16,100 square feet of ground floor and 135 apartments.
Project will provide twenty (20) units of studios approximately 491 square feet, seventy-three
(73) units of one bedroom one bathroom approximately 713 square feet, forty-two (42) units
of two bedrooms two bathrooms approximately 968 square feet. The sixty-eight (68) City units
will range from 50% through 140% of AMI. Sixty-seven (67) will be market units.
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THIS DOCUMENT IS A SUBSTITUTION
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Yaeger Plaza Partners, LLC: Yaeger Plaza
2
July 19, 2023
Yaeger Plaza will also house the Yaeger Clinic, which will provide an affordable primary
health care and provide six (6) retailer commercial spaces.
BACKGROUND
On February 25, 2019, the Housing & Commercial Loan Committee ("Department") issued a
Request for Proposals ("RFP") in HOME Investment Partnerships Program ("HOME") funds;
Community Development Block Grant ("CDBG") funds; State Housing Initiatives Partnership
Program ("SHIP") funds; Affordable Housing Trust Funds ("AHTF") funds; and Miami
Forever General Obligation Bonds ("GOB") for the construction and rehabilitation financing
of multifamily rental housing projects.
On March 28, 2022, Developer submitted a Letter of Request from Integral of Florida for the
conveyance of the City of Miami owned vacant lot located at 1199 NW 62 St to Yaeger
Plaza project. This item will be presented to the City Commission on July 13, 2023.
BORROWER'S REQUEST
On June 7, 2023, the Borrower submitted a letter requesting $3,000,000 in gap financing for
the development of the project. The sixty-eight (68) City units will range from 50% through
140% of AMI. Sixty-seven (67) will be market units.
DEPARTMENTAL RECOMMENDATION
Based on the Borrower's request, the Department has
the allocation of up to $3,000,000 in GOB funds
financing for the development of Yaeger Plaza proje
reviewed and determined recomn endin
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to Yaeger Plaza Partners, LLC`Sni gapo
et.
The following loan terms and conditions shall apply:
1. Use of Funds: City funds will be used for the construction hard costs.
2. City Assisted Units: 68 project units shall be assisted with GOB funds for low and very
low-income households. 14 units will be at 50% AMI, 6 units will be at 60% of AMI,
22 units will be at 80% of AMI and 26 units will be at 140% of AMI.
3. GOB Funding approval. The requested allocation of the GOB funding requested is
subject to City of Miami Commission approval.
4. Maximum Rent Levels: Rents charged on GOB -assisted units will be subject to Florida
Housing Finance Corporation for Multifamily Rental Programs and CWHIP
Homeownership according to the income target proposed by the Borrower. The rent and
income limits are published annually by the US Department of Housing and Urban
Development ("HUD") and Florida Housing Finance Corporation ("FHFC"), Rent
charged on HOME -assisted units will be subject to Low HOME Rents (up to 50 percent
of area of median income).
5. Affordability Period: an affordability period of 30 years will apply commencing from
the date the City approves the closeout of the project.
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Yaeger Plaza, LLC: Yaeger Plaza
3
October 29, 2021
6. Loan Repayment & Interest Rate Terms: This is a deferred loan provided to the
Borrower with no debt service payments required. The property must maintain the
required affordability structure for a period of 30 years. Failure to. comply with these
requirements will result in the full repayment of principal and an agreed upon interest
rate. Full repayment of principal is due at the 30-year maturity at 1% of interest.
7. Draw Disbursements: The City shall not fund any draw request in an amount that
exceeds the City's initial contribution percentage of the entire development cost of the
project.
8. City Incurred Costs: Borrower understands and agrees that $10,000 of the GOB funds
may be used by the City to cover costs incurred by the City on behalf of the project.
9. Increase in Project Costs: If the project costs increase ten percent (10%) or more of the
original budget, and the Borrower is not able to secure additional funding within 60 days
before the project commencement, the project will be subject to recommendation to the
Housing and Commercial Loan Committee for de -obligation of the project funding.
10. Retainage(s): Five percent (5%) of each draw request will be retained until the City has
received as part of the close-out, at the Borrower's sole cost, a Final Cost Certification
prepared by an independent certified public accountant, both in form and substance
acceptable to the City.
11. Commitment Fee: There will be a $5,000 commitment fee.
12. Eligible Project Costs: Eligible project costs will be effective from the date of
environmental clearance.
13. Reporting Compliance: Borrower is subject to compliance reporting requirements in
the process of construction and during the affordability period.
14. Development Benchmark/Scope of Work: The project shall: (a) commence
construction within six (6) months from the Effective DateWtl of the contract; (b) obtain
all certificates of occupancy required for the project within 18 months from the Effectiveay
Date; and (c) have all project units rented within 12 months after the issue of
project's certificate(s) of occupancy, but in no event later than 30 months fioth,.'the
Effective Date. 'r.,;
15. Insurance Requirements: Borrower shall obtain and furnish evidence of insurance
coverage as the City may require in connection with the Project.
16. Affirmative Marketing Plan: Borrower shall provide an Affirmative Marketinlan`-
using HUD's approved form and report to the City annually on all actions taken tV
comply with said plan. Borrower shall comply with the requirements of the affordable
housing notice to City Officials Ordinance #13491.
17. Lottery: Selection of eligible tenants shall be from the results of a tenant lottery, which
shall be conducted with a representative of the City of Miami present. In addition, the
project shall comply with the requirements of the City of Miami Ordinance 13645,
Resident Preference.
18. Project Signage: Borrower shall furnish signage identifying the Project and shall
acknowledge the contribution of the City by incorporating the seal of the City and the
names of the City commissioners and officials in all documents, literature, pamphlets,
advertisements, and signage, permanent or otherwise. All such acknowledgments shall
be in a form acceptable to the City and its costs should be covered under the City
Incurred Cost line item.
Eli The "Effective Date" is the date on which the contract has been signed by the City Manager and attested to
by the City Clerk.
THIS DOCUMENT IS A SUBSTITUTION
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Yaeger Plaza Partners, LLC: Yaeger Plaza
4
July 19, 2023
19. De -obligation of Funds: The City may at its sole discretion de -obligate the funding
approved herein, if by no later than six (6) months from the date of approval of the
City funds, the Borrower has failed to close on all funding commitments represented
herein.
20. Discretionary Action by Administration: Staff shall have the discretion to approve and,
by way of Memorandum, authorize the City Manager to execute any and all documents
needed to further the Project Completion, provided, however, that the lien position nor
the project terms are not materially affected.
21. Project Default: If the City determines that the project is in default, the following
conditions will apply:
• The highest interest rate available under the law will be applicable for the funds
disbursed from date of disbursement.
• The Restrictive Covenant will remain as a restriction on the Project property
throughout the Affordability Period; and
• The borrower, project developer, managing partner(s) of the borrower and/or other
individuals, principals and/or other entities as determined by the City will be
debarred from receiving any City funding for a period of five (5) years.
22. Compliance with Ordinance 41349.1 Notice to Residents, and Ordinance #13645
Resident Preference.
23. Compliance with the provisions of Davis Bacon Act, and regulations, as amended.
HOUSING AND COMMERCIAL LOAN COMMITTEE DECISION:
Approved as Recommended by Staff Yes ❑ No ON/A
To Include Additional Conditions or Restrictions Yes ❑ No ❑ N/A ❑
Disapproved Yes ❑ No ❑ N/A ❑
To Include Further Action Yes ❑ No 0 N/A ❑
Specify any further action, conditions or restrictions:
Chairperson or Representative Stamp Date
SUBSTITUTED
Exhibit A
To Be Distributed