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HomeMy WebLinkAboutExhibit BCITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM TO: Arthur Noriega V DATE: February 11, 2025 City Manager SUBJECT: District 4 - 5350 Flagler Street, LLC — Ground Lease FROM: Victor Turner Director ��5 BACKGROUND Due to the continuous decrease of available affordable housing in the City of Miami in the last few years, the City Commission authorized R-23-0519 on November 16th, 2023 the acquisition of the property located on 5350 West Flagler Street for use as development site of the "Flagler Villas Phase 2" project in the amount of Five Million and 00/100 Dollars ($5,000,000.00) using Miami Forever Limited Ad Valorem Bonds funds ("MFB Funds"). The Flagler Villas Phase 2 project will be the new construction of a 8-story mid -rise multifamily building consisting of a total of 98 units located at 5350 W. Flagler Street in the Flagami neighborhood. Approximately (90) units will be one-bedroom/one-bathroom and (8) units will be two-bedroom/one- bathroom targeting elderly households at or below 30% of the area median income. On November 21, 2024, 5350 Flagler Street, LLC, submitted to the city a Letter of Request for the development of affordable rental housing project for low-income seniors. The proposed project is contingent upon successful remediation of existing environmental conditions and an award of ninety-eight (98) units under the Faircloth to RAD program by Miami -Dade County and HUD. Related Urban ("RUDG, LLC," "Related," or the "Developer"), led by Mr. Albert Milo, is a vertically integrated organization with extensive experience in the development of affordable housing that created 5350 Flagler Street, LLC, a Florida limited liability company, for the development of this affordable elderly rental housing project for low-income seniors at 5350 West Flagler Street. As the Developer is familiar with the needs of the community, and has the ability to secure project vouchers necessary to make the project affordable to low-income seniors, they are uniquely qualified to develop and manage this affordable rental low-income seniors for 99 years. Transferring site control to the Developer via a ground lease will allow them to accelerate the development process in a timely manner which cannot happen with procurement process, which could take over 30-40 days. RECOMMENDATION In light of the above, approval of a waiver of the formal requirements of competitive sealed bidding methods as not being practicable or advantageous to the City as set forth in the City Code of Ordinances, as amended, specifically Section 18-85 (A), and the affirmation of these written findings and the forwarding of the same to the City Commission for ratification by a fourth -fifths vote is respectfully requested. —DS QUU ,PPROVED / DISAPPROVED ,--DocuSigned by: artquAr Nbricir, '-850CF6C372DD42A... Arthur Noriega V February 13, 2025 I 11:27:05 EST City Manager