HomeMy WebLinkAboutBack-Up DocumentsCITY OF MIAMI, FLORIDA
INTER -OFFICE MEMORANDUM
TO :
FROM :
Members of the Housing and November 15, 2024
DATE : FILE :
Commercial Loan Committee
Alfredo
Depart'
sistant Director
ommunity & Economic Development
SUBJECT:
REFERENCES:
ENCLOSURES:
8`I' Street Properties, LLC:
Essence Miami
BORROWER:
8`" Street Properties LLC is a Florida Limited Partnership Company that was established in November
2005 and managed by the Nuri Dorra and Ingrid Dorra. Mr. Nuri Dorra has been a Real Estate
Developer since 1975. His portfolio includes real estate development in Argentina and Florida. Mr.
Dorra 's extensive experience includes the development of single-family homes, townhouses, multi-
family projects, hotel conversions and real estate rehabilitation.
8`I' Street Properties, LLC owns the three (3) lots that will become the new development, Essence
Miami.
PROJECT
Essence of Miami will be a new 8-story mixed use development that will feature residential and
commercial space. The development will be developed on three contiguous sites having a total of
25,563 sq. ft., located at 829 SW 8'I' Street, in the Little Havana neighborhood. The project will provide
eighty-eight (88) rental units, one and two bedrooms for low- income and workforce families and 590
sq. ft. of commercial space. The Project will contain (57) units of one bedroom, one bath and (31) units
of two bedrooms and one bath. All the units will be City -assisted for low-income families at 60% of
AMI and workforce families at 100% of AMI.
The building plans are in the last stages of permitting.
BACKGROUND
On February 25, 2019, the Department of Housing and Community Development ("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 Bonds
("GOB") for the construction and rehabilitation financing of multifamily rental housing projects and
homeownership projects.
On June 10, 2021, the City Commission approved Resolution R-21-0222. The City Commission
authorized the allocation in an amount not to exceed $5M from the proposed Tranche 2 Miami Forever
Affordable Housing Limited Ad Valorem Bonds to the Project provided that the Developer fulfills all
the terms and conditions to be set forth by the Department of Housing and Community Development
and approved the Housing and Commercial Loan Committee, (HCD/HCLC). Pursuant to the Section
8th STREET PROPERTIES, LLC 2 November 15, 2024
ESSENCE MIAMI
18-86 of the Code of the City of Miami, Florida, the Competitive Negotiation Methods and Procedures
were waived by a 4/5th vote of the City Commission.
On July 30, 2021, HCLC approved an allocation up to $5M in Miami Forever Bonds ("GOB") funds
for the development of Essence Project.
On April 27, 2022, the Borrower executed loan documents with the City of Miami for the $5M of GOB
funds.
BORROWER'S REQUEST
On September 19, 2024, the Developer submitted a letter to HCD requesting extending all of the
project's benchmarks: the commencement date from October 27, 2022 to April 27, 2025; and the date
to obtain the certificate of occupancy from October 27, 2023, to April 27, 2027. The project delays
were triggered by unforeseen economic circumstances, escalation of construction costs and interest
rates. Since closing on the original GOB loan in 2022, the developer's construction costs increased by
$9.4M from approximately $15.2M (in 2022) to $24.6M (in 2024).
Given the increase in the development
budget, the developer also obtained $2M
of Surtax Loan funding from Miami -
Dade County, increased its first
permanent mortgage, and put forth their
own equity to absorb the budget
increases.
Liens
1
2
3
N/A
N/A
Permanent Financing
1st Mortgage- Ocean
GOB City of Miami
County Surtax Funds
Developer Equity
Def. Developer Fees
Original Revised
14,000,000 18,500,000
5,000,000 5,000,000
2,000,000
4,000,000 7,697,950
0 1,150,000
23,000,000 34,347,950
Thus, the Developer is requesting that an amendment to the GOB Loan Documents be made to push
back the commencement/Certificate of Occupancy dates; and incorporate the new development budget.
DEPARTMENTAL RECOMMENDATION
HCD has reviewed the developer's request and recommends:
• Extending the date for construction commencement to April 27, 2025
• Extending the date to obtain the certificate of occupancy to April 27, 2027
• Accepting the project's new development budget, and
• Making an amendment to the existing GOB loan agreement to capture these changes. In said
amendment, the City's $5M of GOB funds will remain in the current, 2nd position
• All other prior loan terms remain the same
8`h STREET PROPERTIES, LLC
ESSENCE MIAMI
3
HOUSING AND COMMERCIAL LOAN COMMITTEE DECISION:
Approved as Recommended by Staff
To Include Additional Conditions or Restrictions
Disapproved
To Include Further Action
Specify any further action, conditions or restrictions:
November 15, 2024
Yes ❑ /A 111
Yes No4/A❑
Yes ❑ No 01 /A 111
Yes E No ❑ N/A 111
HOUSING & COMMERCIAL
son or Representative
NOV 1 5 2024
8th Street Properties LLC
Project Analysis: Essence Miami
Market Risk
The market risk for this project is low, given the scarcity of affordable rental units in the City of Miami
for low-income residents.
According to the City of Miami's 2014-2018 Consolidated Plan, city residents have not been able to keep
up with the increasing high cost of living in the Miami area, as such 67% of city residents fit the low -to -
moderate income category and nearly half of city households (46%) are cost -burdened.
The proposed project is a new construction of 8-story mixed use multi -family building that will provide a
total of a eighty eight (88) units. Fifty-seven (57) units will be one bedroom and one bath, 565-723 sq. ft.,
and thirty-one (31) units will be two bedroom and one bath, 845-960 sq. ft
Due to the limited number of new projects coming online at the same time and a medium size of the
subject, the project will be at or near 100% pre -leased upon the completion of the construction.
The construction of this affordable rental building will contribute to alleviate the housing needs of the
most disadvantaged residents and will contribute to the revitalization and stabilization of the area, which
has been a priority redevelopment area for the City of Miami.
Borrower Risk
8th Street Properties LLC is a Florida Limited Partnership Company that was established in November
2005 and managed by the Nuri Dorra and Ingrid Dorra. Mr. Nuri Dorra has been a Real Estate Developer
since 1975. His portfolio includes real estate development in Argentina and Florida. Mr. Dorra"s
extensive experience includes the development of single family homes, townhouses, multi -family
projects, hotel conversions and real rehab.
Project Risk
Essence of Miami will be a new 8-story construction, mixed use development on 829-845-847 SW 8th St
vacant sites that will feature residential and commercial space. The development will be located on three
contiguous sites total of 25,563 sq. ft. The project will provide eighty-eight (88) units, one and two
bedrooms for low- income families and 590 sq. ft. of commercial space. The project will provide one
hundred thirty-five (135) parking spaces, security system, high efficiency elevator, LED lighting, high
efficiency appliances, community room and recreational facilities such as gym, solarium, outside deck
area with BBQs, meeting room, retail office and front desk.
The project will provide an affordable housing for very low, low and workforce income persons, ranging
from 60% to 100% of the area median income.
The borrower has provided the following financial structure: $2,000,000 (Surtax); $5,000,000 (City of
Miami -General Bond Funding); $18,500,000 (Ocean Bank), $3,697,950 (Self Source) and $4,000,000
(Deferred Fees). Total development cost of the project is $34,347,950. Based on the borrower's financial
information the project is viable.
Vacancies are projected at 7% after the stabilization of the project. At this vacancy level the project is
financially feasible, as shown in the attached Pro -Forma.
8th Street Properties, LLC-Essence Miami
Acquisition/Relocation Risk
On February 25, 2019, the City of Miami issued a Request for Proposals ("RFP") inviting qualified
private real estate developers to propose developments of Affordable/Workforce rental housing in the
City of Miami. The goal of this application process is for the City of Miami to establish an Affordable
Housing Development Pipeline intended to address the affordable housing needs.
On June 10, 2021, the City Commission approved Resolution R-21-0222. The City Commission
authorized the allocation in an amount not to exceed $5,000,000 from the proposed tranche 2 Miami
Forever Affordable Housing Limited Ad Valorem Bonds to the Project provided that the Developer
fulfills any and all of the terms and conditions to be set forth by the HCD/HCLC Approvals and fulfills all
requirements in order to be in compliance with the Bond Strategies. Pursuant to the Section 18-86 of the
Code of the City of Miami, Florida, the Competitive Negotiation Methods and Procedures were waived.
Portfolio Risk
The project is located in the City of Miami, District 3. The owner of the sites is 8th Street Properties, LLC.
Project addresses objectives within the City of Miami's Consolidated Plan. The proposed development is
for individuals and families with a gross annual income between thirty (60%) and one hundred (100%)
percent of the Area Median Income (AMI) adjusted for family size. The City of Miami GOB funding will
be used for development cost (hard costs). The project will yield 88 units. The project has a 30-year
Affordability Period. The City's total average investment per unit is $56,818. The Principals have
developed and managed a considerable number of units throughout Miami -Dade County and are currently
in good standing.
Development Budget:
Land $4,000,000
Hard Cost $24,610,000
Soft Cost $5,737,950
Total Development Cost: $34,347,950
See attached the Budget - Cost Allocation.
Project Information:
Project Location: 829-845-847 SW 8th St
Area:
25,563 sq. ft.
8th Street Properties, LLC-Essence Miami
Number of Units: 88
Type of Unit:
1 bed/1 bath: 565-775 sq. ft.
2 bed/1 bath: 845-960 sq. ft.
2 bed/2 bath: 845-960 sq. ft.
Commercial Space: 590 sq. ft.
Amenities:
Project amenities will include parking garage, community room and recreational facilities such as gym,
solarium, outside deck area with BBQs, meeting room, retail office and front desk.
Collateral Subordination:
1st Position- Ocean Bank in the amount of $18,500,000
2nd Position: GOB City of Miami in the amount of $5,000,000
3rd Position: County Surtax loan in the amount $2,000,000
Total Developer's Fee: $1,150,000
Project Feasibility:
Bedrooms
Baths
No. of
Units
Unit
Size
(SF)
Median
Income %
Max
Gross
HC
Rents
Max Net
HC Rents
Annual
Rents
1
1
12
570-775
60%
$1277
$1195
$172,080
1
1
45
565-775
100%
$1916
$1834
$990,360
2
1 or 2
6
845-960
60%
$1531
$1418
$110,604
2
1 or 2
25
845-960
100%
$2298
$2185
$655,500
TOTAL:
88
$1,928,544
8th Street Properties, LLC-Essence Miami
# Units
Type of
Bedrooms
GOB
Funds
invested
per unit
Total Funds
Invested
88
1 and 2
$56,818
$5,000,000
8th Street Properties, LLC-Essence Miami
Applicant: 8 th Street Properties LLC
Land Acquisition ( Paid in full)
Project: Essence MIA
Cost Allocation
TOTAL
$4,000,000 11.65%
Surtax
Paid in Full
GOB City of and/or
Miami Oceon Bank Self Source Deferred
$4,000,000
Hard Costs
Hard Cost (Including Site Work) $21,720,000 88.26% $2,000,000 $4,990,000 $14,207,000 $523,000
Performance Bond $330,000 1.34% $330,000 $0
Appliances $200,000 0.81% $200,000 $0
Constructtion Contigency (5%) $1,610,000 6.54% $1,610,000 $0
General Contractor Fee (5%) $750,000 3.05% $750,000 $0
Total Construction Costs $24,610,000 100% $2,000,000 $4,990,000 $15,817,000 $1,803,000 $O
Soft Costs
Arch Design, Civil Engineering $630,000 10.98% $630,000 $0
Impact, Permit & School Fees $964,950 16.82% $964,950 $0
Appraisals Surveys $50,000 0.87% $50,000 $0
Loan Closing /Financing Fees $458,000 7.98% $458,000 $0
Interest /Carrying Costs $1,825,000 31.81% $1,825,000 $0
Taxes/Insurance $250,000 4.36% $250,000 $0
Soft cost Contingency $400,000 6.97% $400,000 $0
For use by City: City Incurred
Costs $10,000 0.17% $10,000
Developer Fee 86 Overhead (4.67%
Of Hard Cost) $1,150,000 20.04% $1,150,000
Total Soft Costs $5,737,950 100.00% $0 $10,000 $2,683,000 $1,894,950 $1,150,000
Total Development Cost $34,347,950 $2,000,000 $5,000,000 $18,500,000 $3,697,950 $5,150,000
Percent of City Funding to TDC 100.00% 5.82% 14.56% 53.86% 10.77% 14.99%
Total Units 88
Number of City Units 88
Percent of City Units to Total Units 100.00%
City Subsidy Per Assisted Unit $56,818
Total Square Footage 16651 7
Total Cost per S/F $206.27
Total Livable Area
Total Livable aArea of City Assisted
Units
74 753
74 753
Percent of City Area to Total 100.00%
Essence MIA
STABILIZED YEARS
Occupied Revenue Units
Physical Occupancy %
Rent Growth
Vacancy Factor
Expense Growth
NCOME
GROSS RENTAL INCOME
Minus: Vacancy (6%)
(A). INCOME
OPERATING EXPENSES
(B). EXPENSES
NET OPERATING INCOME
DEBT SERVICE COVERAGE
Annual Debt Service for all mortgages
Deferred Developer Fees
(B) Annual Debt Service
Debt Service Ratio
1BA
2BA
Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10
88 88 88 88 88 88 88 88 88 88
94% 94% 94% 94% 94% 94% 94% 94% 94% 94%
6.00% 6.00% 6.00% 6.00% 6.00% 6.00% 6.00% 6.00% 6.00% 6.00%
6.00% 6.00% 6.00% 6.00% 6.00% 6.00% 6.00% 6.00% 6.00% 6.00%
4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00%
$1,162,440 $1,232,186 $1,306,118 $1,384,485 $1,467,554 $1,555,607 $1,648,943 $1,747,880 $1,852,753 $1,963,918
$795,564 $843,298 $893,896 $947,529 $1,004,381 $1,064,644 $1,128,523 $1,196,234 $1,268,008 $1,344,089
$1,958,004 $2,075,484
$2,200,013 $2,332,014
$2,471,935 $2,620,251
$2,777,466 $2,944,114
$3,120,761 $3,308,007
6%
Real Estate Taxes $0
Property Insurance $1,300
General & Admin $1,400
R&M/Contract Services $610
Trash $185
Water & Sewer $300
Electric $200
Reserves $250
$4,245
$0 $0 $0 $0 $0 $0 $0 $0
-$117,480-$124,529-$132,001-$139,921-$148,316-$157,215-$166,648 -$176,647 -$187,246 -$198,480
$1,840,524 $1,950,955
$2,068,012 $2,192,093
$2,323,619 $2,463,036
$2,610,818 $2,767,467
$2,933,515 $3,109,526
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$114,400 $118,976 $123,735 $128,684 $133,832 $139,185 $144,752 $150,543 $156,564 $162,827
$123,200 $128,128 $133,253 $138,583 $144,127 $149,892 $155,887 $162,123 $168,608 $175,352
$53,680 $55,827 $58,060 $60,383 $62,798 $65,310 $67,922 $70,639 $73,465 $76,403
$16,280 $16,931 $17,608 $18,313 $19,045 $19,807 $20,599 $21,423 $22,280 $23,172
$26,400 $27,456 $28,554 $29,696 $30,884 $32,120 $33,404 $34,741 $36,130 $37,575
$17,600 $18,304 $19,036 $19,798 $20,590 $21,413 $22,270 $23,160 $24,087 $25,050
$22,000 $22,880 $23,795 $24,747 $25,737 $26,766 $27,837 $28,950 $30,109 $31,313
$373,560
$388,502
$404,042
$420,204
$437,012
$454,493
$472,673
$491,579
$511,243
$531,692
$1,466,964
$1,562,453
$1,663,970
$1,771,889
$1,886,606
$2,008,543
$2,138,146
$2,275,888
$2,422,273
$2,577,834
$1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000
$115,000 $115,000 $115,000 $115,000 $115,000 $115,000 $115,000 $115,000 $115,000 $115,000
$1,336,000 $1,336,000 $1,336,000 $1,336,000 $1,336,000 $1,336,000 $1,336,000 $1,336,000 $1,336,000 $1,336,000
1.10 1.17 1.25 1.33 1.41 1.50 1.60 1.70 1.81 1.93
$3,506,487
Year 11 YEAR 12 YEAR 13 YEAR 14 YEAR 15 YEAR 16 YEAR 17 YEAR 18 YEAR 19 YEAR 20 YEAR 21 YEAR 22 YEAR 23 YEAR 24 YEAR 25 YEAR 26 YEAR 27 YEAR 28 YEAR 29 YEAR 30
88
948% 948% 948% 948% 948% I 948% I 94% I 948% I 948% I 948% I 948% I 94% I 948% I 948% I 94% I 948% 948% I 94% I 94%
6.00
6.00
4.00
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
6.00%
6.00%
4.00%
$2,081,753 $2,206,658 $2,339,058 $2,479,401 $2,628,165 $2,785,855 $2,953,006 $3,130,187 $3,317,998 $3,517,078 $3,728,103 $3,951,789 $4,188,896 $4,440,230 $4,706,644 $4,989,042 $5,288,385 $5,605,688 $5,942,029 $6,298,551
$1,424,734 $1,510,218 $1,600,831 $1,696,881 $1,798,694 $1,906,615 $2,021,012 $2,142,273 $2,270,809 $2,407,058 $2,551,482 $2,704,570 $2,866,845 $3,038,855 $3,221,187 $3,414,458 $3,619,325 $3,836,485 $4,066,674 $4,310,674
$3,716,876 $3,939,889 $4,176,282 $4,426,859 $4,692,471 $4,974,019 $5,272,460 $5,588,807 $5,924,136 $6,279,584 $6,656,359 $7,055,741 $7,479,085 $7,927,830 $8,403,500 $8,907,710 $9,442,173 $10,008,703 $10,609,225
$0
$0
$0
-$210,389-$223,013-$236,393-$250,577-$265,612-$281,548-$298,441-$316,348-$335,328-$355,448-$376,775-$399,382-$423,344-$448,745-$475,670-$504,210-$534,463 -$566,530 -$600,522 -$636,554
$3,296,098 $3,493,864 $3,703,495 $3,925,705 $4,161,247 $4,410,922 $4,675,578 $4,956,112 $5,253,479 $5,568,688 $5,902,809 $6,256,978 $6,632,396 $7,030,340 $7,452,160 $7,899,290 $8,373,247 $8,875,642 $9,408,181 $9,972,672
$0
$169,340
$182,366
$79,460
$24,098
$39,078
$26,052
$32,565
$0
$176,114
$189,661
$82,638
$25,062
$40,642
$27,094
$33,868
$0
$183,158
$197,247
$85,943
$26,065
$42,267
$28,178
$35,223
$0
$190,484
$205,137
$89,381
$27,107
$43,958
$29,305
$36,632
$0
$198,104
$213,343
$92,956
$28,192
$45,716
$30,478
$38,097
$0
$206,028
$221,876
$96,675
$29,319
$47,545
$31,697
$39,621
$0
$214,269
$230,751
$100,542
$30,492
$49,447
$32,964
$41,206
$0
$222,840
$239,981
$104,563
$31,712
$51,425
$34,283
$42,854
$0
$231,753
$249,581
$108,746
$32,980
$53,482
$35,654
$44,568
$0
$241,024
$259,564
$113,096
$34,300
$55,621
$37,081
$46,351
$0
$250,664
$269,946
$117,619
$35,671
$57,846
$38,564
$48,205
$0
$260,691
$280,744
$122,324
$37,098
$60,159
$40,106
$50,133
$0
$271,119
$291,974
$127,217
$38,582
$62,566
$41,711
$52,138
$0
$281,963
$303,653
$132,306
$40,126
$65,068
$43,379
$54,224
$0
$293,242
$315,799
$137,598
$41,731
$67,671
$45,114
$56,393
$0
$304,972
$328,431
$143,102
$43,400
$70,378
$46,919
$58,648
$0
$317,171
$341,568
$148,826
$45,136
$73,193
$48,795
$60,994
$0
$329,857
$355,231
$154,779
$46,941
$76,121
$50,747
$63,434
$0
$343,052
$369,440
$160,970
$48,819
$79,166
$52,777
$65,971
$0
$356,774
$384,218
$167,409
$50,772
$82,332
$54,888
$68,610
$552,960 $575,078 $598,082 $622,005 $646,885 $672,760 $699,671 $727,658 $756,764 $787,035 $818,516 $851,257 $885,307 $920,719 $957,548 $995,850 $1,035,684 $1,077,111 $1,120,196 $1,165,003
$2,743,138 $2,918,785 $3,105,414 $3,303,700 $3,514,362 $3,738,162 $3,975,907 $4,228,455 $4,496,715 $4,781,653 $5,084,293 $5,405,721 $5,747,089 $6,109,621 $6,494,613 $6,903,440 $7,337,564 $7,798,531 $8,287,985 $8,807,668
$1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000
so so so so so so so
so so so
so so so
so so
so so so
so $o
$1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000 $1,221,000
2.25 2.39 2.54 2.71 2.88 3.06 3.26 3.46 3.68 3.92 4.16 4.43 4.71 5.00 5.32 5.65 6.01 6.39 6.79 7.21
1ABiU(
Building the Next Generation of Communities
Nuri Dorra
Owner
8th Street Properties LLC
786-234-1461
09/19/24
City of Miami
Housing and Community Development
One Flagler Building
14 NE 1 Ave, Second Floor
Miami, FL 33132
Attention Alfredo Duran,
Deputy Director - Housing and Community Development
Request for Extension of Project Benchmarks for Essence MIA
I hope this letter finds you well. I am writing on behalf of 8th Street Properties LLC, the
sponsor of the Essence MIA affordable housing project located at 845 SW 8th Street,
Miami, FL 33130. We are requesting extensions for all of the benchmarks listed in Section
6.1, Article VI, Project Sponsor's Obligations, of the Loan Agreement, originally signed on
January 25th, 2022.
Unfortunately, the project has encountered significant delays due to unforeseen economic
factors beyond our control. Shortly after the agreement was signed, construction costs
escalated by nearly 100%, and lending rates rose to historic highs, currently around 8%.
These challenges created a situation where additional funding was necessary to maintain
the viability of the project.
Despite these obstacles, we remained committed to the project's success. We worked
diligently to secure the necessary funding and were ultimately awarded a Surtax loan of
$2,000,000 from Miami -Dade County. With this funding in place, alongside the
1ABiU(
Building the Next Generation of Communities
commitments from Ocean Bank and the $5,000,000 from the City of Miami, we now have
all the pieces in place to proceed with the project.
The Essence MIA project is mostly ready to move forward, with the plans in the final stages
of permitting. We anticipate beginning construction within the next six months. However, to
account for any potential delays, we respectfully request a 12-month extension on all
project benchmarks. We expect to commence construction in April 2025 and complete the
project by April 2027.
We appreciate your understanding and support as we navigate these challenges. Please
feel free to contact me if you require any further information or clarification.
'hank you for your consideration of this request.
Sin+erely,
Nuri
••wn
8t reet9r`nperties LLC
MIAMIDAD
COUNTY
Daniella Levine Cava
Mayor
May 29, 2024
Barbara Gomez
8th Street Properties, LLC
16426 NE 32nd Avenue
North Miami Beach, FL 33160
Re: Essence MIA
Dear Ms. Gomez:
Public Housing and Community Development
701 NW 1st Court, 16th Floor
Miami, FL 33136-3914
T 786-469-4100 • F 786-469-4199
miamidade.gov
On April 2, 2024, the Board of County Commissioners (BCC) conditionally approved funding for
those affordable multifamily housing developments through Resolution No. R-254-24 that did not
meet the minimum requirements necessary for approval on the 2023 Request for Applications
(RFA) comprised of the Documentary Stamp Surtax (Surtax), State Housing Initiatives Partnership
(SHIP), Home Investment Partnerships (HOME), and Housing Development Assistance Grant
(HODAG) application cycle.
After careful consideration and discussion, the BCC granted a conditional Surtax funding approval
in the amount of $2,000,000 for the proposed Essence MIA development, located in District 5, if
the required thresholds are met and closing of the Surtax loan can be achieved on/or before
September 30, 2024.
To address the deficiencies listed below in your application, PHCD staff will be available from June
3rd through 7th 2024 to provide technical assistance. Failure to schedule and attend this technical
assistance meeting will void the conditional approval.
Required technical assistance items to be addressed:
• Evidence of firm financial commitments
• Sources and Uses
• Updated proforma
Please reach out to Ms. LaWanda Scott -Clark at (786) 469-2113 or
lawanda.scott(cr�miamidade.gov to schedule your technical assistance meeting.
Sincerely,
Alex R. Ballina
Director
Enclosures
OFFICIAL FILE COPY
CLERK OF THE BOARD
OF COUNTY COMMISSIONERS
MIAMI-DADE COUNTY, FLORIDA
MEMORANDUM
Agenda Item No. 8(K)(1)
TO: Honorable Chairman Oliver G. Gilbert, III DATE: April 2, 2024
and Members, Board of County Commissioners
FROM: Geri Bonzon-Keenan
County Attorney
SUBJECT: Resolution authorizing the
County Mayor to award up to
$62,474,342.00 in Documentary
Stamp Surtax and/or State Housing
Initiatives Partnership Funds,
$5,055,162.00 in Home Investment
Partnerships ("HOME") Program
funds and $7,611,995.00 in Housing
Development Assistance Grant
("HODAG") funds for applications in
response to the FY 2023
SURTAX/SHIP/HOME Request For
Applications ("RFA") to develop
affordable multi -family workforce,
faith based, public housing, elderly
and small development rental
housing; authorizing the County
Mayor to execute conditional loan
commitments, amendments, standard
shell contracts, loan documents and
other transactional documents
necessary to accomplish the purposes
set forth herein, to shift funds and
funding sources awarded to a project
to any new affiliated entities created
for the purpose of carrying out a
project, to subordinate and/or modify
the terms of the contracts, agreements,
amendments and loan documents, and
to exercise termination, waiver,
acceleration and other provisions to
award funding set aside for the RFA
Resolution No. R-254-24
The accompanying resolution was prepared by the Public Housing and Community Development Department
and placed on the agenda at the request of Prime Sponsor Commissioner Marleine Bastien.
GBK/jp
fr
Geri Bonzon-Keenan
County Attorney
MDC001
MIAMI•DADE
Memorandum c1=
Date: April 2, 2024
To: Honorable Chairman Oliver G. Gilbert, III
and Members, Board of County Commissioners
From: Daniella Levine Cava !? -
Mayor /i- �Lt�{G( C�ucue_ � Subject: FY 2023 Documentary Stamp Surtax, State Housing Initiatives Partnership, Home
Investment Partnerships and Housing Development Assistance Grant Program
Award Recommendations for Multi -Family Rental, Public Housing, Small
Developments, Faith Based, and Elderly Developments
Executive Summary
The purpose of this item is to seek the Board of County Commissioners' (Board) approval of
funding recommendations for 12 applications in response to the FY 2023 Surtax/SHIP/HOME
Request for Applications (RFA), that met minimum threshold criteria, in an amount up to
$32,506,743.00 in Documentary Stamp Surtax and/or State Housing Initiatives Partnership
(Surtax/SHIP) program funds, $5,000,000.00 in Home Investment Partnerships (HOME)
program funds, and $7,500,000.00 in Housing Development Assistance Grant (HODAG)
program funds. Activities recommended for funding include multi -family rental countywide
developments, faith -based developments, public housing, elderly and small developments.
Additionally, this item seeks Board approval of funding recommendations for 12 applications
in response to the RFA that did not meet the minimum threshold requirements, in an amount
up to $29,967,599.00 in Surtax/SHIP program funds, $55,162.00 in HOME program funds,
and $111,995.00 in HODAG program funds for the development of multi -family rental
countywide developments, faith -based developments, public housing, elderly and small
developments. The award of funds to applications that did not meet the minimum threshold
criteria shall be conditioned upon the applications having met all the RFA criteria within a
timeframe determined by the County Mayor or County Mayor's designee.
Recommendation
It is recommended that the Board of County Commissioners (Board):
1. Approve the proposed funding recommendations for 12 applications in response to
the RFA that met minimum threshold criteria in an amount up to $32,506,743.00
in Surtax/SHIP program funds, $5,000,000.00 in HOME program funds, and
$7,500,000.00 in HODAG program funds. Activities recommended for funding
include multi -family rental countywide developments, small developments, faith -
based developments, public housing and elderly developments, as identified in
Exhibit A to the resolution;
2. Approve the proposed funding recommendations for 12 applications in response to
the RFA that did not meet minimum threshold criteria for the RFA in an amount
up to $29,967,599.00 in Surtax/SHIP program funds, $55,162.00 in HOME
MDC002
Honorable Chairman Oliver G. Gilbert, III
and Members, Board of County Commissioners
Page No. 2
program funds, and $111,995.00 in HODAG program funds, so long as
applications meet the RFA criteria within a timeframe determined by the County
Mayor or County Mayor's designee. Activities recommended for funding include
multi -family rental countywide developments, small developments and elderly
developments, as identified in Exhibit B to the resolution;
3. Authorize the County Mayor or County Mayor's designee to award funds to the
applicants identified in Exhibits A and B to the resolution and to execute all
conditional loan commitments in substantially the form attached to the resolution
as Exhibit C, standard shell contracts, agreements, loan documents, and
amendments to accomplish the purposes set forth in this legislation, and to shift
funds and funding sources awarded to a project to any new affiliated entities created
for the purpose of carrying out a project;
4. Authorize the County Mayor or County Mayor's designee, upon a determination
that such actions are in the best interest of the County, to subordinate and/or modify
the terms of contracts, agreements, amendments and loan documents so long as
such modifications are approved by the County's Attorney's Office as to legal form
and sufficiency and are not substantially inconsistent with this resolution, and to
exercise termination, waiver, acceleration and other provisions in said agreements
and documents.
Scope
This item recommends funding for new construction and/or rehabilitation of affordable
housing developments including, multi -family rental countywide developments, faith -based
developments, public housing, elderly and small developments in multiple locations
countywide. This item has the impact of providing affordable housing located in Commission
districts 1, 2, 3, 5, 6, 9, 10 and 12.
Delegation of Authority
This item requests a delegation of authority to authorize the County Mayor or County Mayor's
designee to fund 12 applications which did not meet threshold criteria, for the FY 2023
Surtax/SHIP/HOME RFA as identified in Exhibit B to the resolution, with the condition that
the County Mayor or County Mayor's designee determine that the applications have met the
RFA criteria within a timeframe set by the County Mayor or County Mayor's designee. This
item requests a delegation of authority to authorize the County Mayor or County Mayor's
designee to execute all conditional loan commitments, standard shell contracts, agreements,
loan documents, subordinations, modifications and amendments pursuant to the proposed
Surtax/SHIP, HOME and HODAG funding recommendations and to accomplish the purposes
set forth in this legislation, to shift funds and funding sources awarded to a project to any new
affiliated entities created for the purpose of carrying out a project, and exercise the termination,
waiver, acceleration, or other provisions set forth therein.
Fiscal Impact/Funding Source
The award of Surtax/SHIP, HOME and HODAG funds will not have a negative fiscal impact
on the County's General Fund.
MDC003
Honorable Chairman Oliver G. Gilbert, III
and Members, Board of County Commissioners
Page No. 3
Track Record/Monitor
Alex R. Ballina, Director, Public Housing and Community Development Department
(Department) will monitor all Surtax/SHIP, HOME and HODAG activities. The Department
will monitor all projects to ensure compliance with Federal, State and County guidelines and
policies.
Background
The RFA was made available on July 10, 2023, with a due date of August 10, 2023 with a total
of $53,742,000.00 in available funding. The public was advised of the application process by
posting notices via the Department's website and through the Department's developers email
distribution list. Prior to the issuance of the RFA, the Department solicited comments on a
draft version of the RFA from the public via an in person Developer Roundtable meeting held
on June 15, 2023.
The RFA provided funding opportunities for multi -family countywide, small developments,
elderly developments, public housing, and housing developed by faith -based organizations. A
total of 29 applications were received in response to the RFA, for a total combined request of
$94,791,220.00. Each of the 29 applications were evaluated on minimum threshold criteria
outlined in the RFA by the Department staff and an outside third -party underwriter.
Applications that met minimum threshold criteria were forwarded to the FY 2023 Housing
Selection Committee to be scored and ranked.
Considering the critical shortage and increasing need of affordable housing stock, the
Department is recommending funding for 24 of the 29 applications, which includes both
applications that did and did not meet threshold criteria, for a combined total of $62,474,342.00
in Surtax/SHIP funding, $5,055,162.00 in HOME funding and $7,611,995.00 in HODAG
funding, outlined in Table 3. The Department is recommending the award of 12 applications
that met threshold criteria and were ranked and scored by a selection committee as outlined in
Table 1. Twelve applications that did not meet threshold criteria, are conditionally
recommended for funding contingent on mandatory attendance at technical assistance
workshops provided by the Department and satisfaction of minimum threshold criteria by the
date of financial closing, in six months or whichever comes first, see Table 2. Funding
recommendations for applicants that did not meet threshold criteria has been adjusted to
maximum subsidy caps of 25% as outlined in the RFA. Delegated authority is being requested
to fund these 12 applications, with the condition that applicants must meet all the RFA criteria
within the given deadline. A threshold analysis of all applications is outlined in Attachment 1.
Table 1. Applicants the Met Minimum Threshold Criteria
Project Name
SURTAX/SHIP
Requested
HOME
Requested
HODAG
Requested
No. of
Units
Recommended
Funding
Amounts
Lil Abner Apartments 3
$5,000,000.00
326
$5,000,000.00
Gallery at Lummus Parc
$5,000,000.00
452
$5,000,000.00
Cordova Estates
$1,300,000.00
190
$1,300,000.00
MDC004
Honorable Chairman Oliver G. Gilbert, III
and Members, Board of County Commissioners
Pa No. 4
Liberty Renaissance
$2,450,000.00
98
$2,450,000.00
Ernie Martin Villas
$4,896,743.00
288
$4,896,743.00
Heritage Village South
$1,500,000.00
$1,500,000.00
$2,000,000.00
116
$5,000,000.00
Residences at Palm
Court
$1,500,000.00
$2,000,000.00
288
$3,500,000.00
Perrine Apartments II
$1,000,000.00
$2,000,000.00
$2,000,000.00
150
$5,000,000.00
Jose Marti Villas
$2,000,000.00
$1,500,000.00
153
$3,500,000 .00
Quail Roost Transit
Village II
$4,960,000.00
124
$4,960,000.00
St. Mary Towers
Apartments
$2,400,000.00
100
$2,400,000.00
Gardens at Casa Familia
$2,000,000.00
50
$2,000,000.00
Totals
$32,506,743.00
$5,000,000.00
$7,500,000.00
2,335
$45,006,743.00
Table 2. Applicants that Did Not Meet Minimum Threshold Criteria
Project Name
SURTAX/SHIP
Requested
HOME
Requested
HODAG
Requested
No. of
Units
Recommended
Funding
Amounts
14th Street Development
$3,000,000.00
398
$3,000,000.00
Essence MIA
$2,000,000.00
88
$2,000,000.00
Viva Building
$2,425,000.00
97
$2,425,000.00
Hibiscus Grove
$5,000,000.00
270
$5,000,000.00
Residential Plaza at Blue
Lagoon
$149,713.00
$299,810.00
15
$167,157.00
Edison Towers II
$2,400,000.00
96
$2,400,000.00
Casa Lynda
$1,500,000.00
21
$1,437,500.00
Bluenest Apartments of
West Perrine
$5,000,000.00
22
$1,716,125.00
Marcia Flats
$2,900,000.00
58
$2,900,000.00
The Morris Residences
$3,690,000.00
40
$3,690,000.00
Blessings Court
$7,082,954.00
39
$5,000,000.00
NoMi Lofts
$600,000.00
5
$398,974.00
Totals
$35,597,954.00
$149,713.00
$299,810.00
1149
$30,134,756.00
Table 3. Total Recommended Funding for Threshold and Non -Threshold Applicants
SURTAX/SHIP
HOME
HODAG
Threshold Applicants
$32,506,743.00
$5,000,000.00
$7,500,000.00
Non -Threshold Applicants
$29,967,599.00
$55,162.00
$111,995.00
Totals
$62,474,342.00
$5,055,162.00
$7,611,995.00
Five (5) of the 29 applications are not being considered for funding and are identified in
Attachment 2. Applications for Royal Pointe and Metro Grande II were not considered
because both applications were fully funded in the FY 2022 Surtax/SHIP/HOME funding
cycle. The three remaining applications were submitted by one developer; Grand Court Lakes
Apartments, Oak Grove Apartments and Park Towers, however these applications did not
MDC005
Honorable Chairman Oliver G. Gilbert, III
and Members, Board of County Commissioners
Page No. 5
include a request for gap financing, which was the basis of the RFA, instead the applicant
requested 100 percent funding for the total project cost.
All funding recommendations for affordable housing developments are conditioned on
receiving a full credit underwriting analysis and subsidy layering review, with a favorable
recommendation, prior to contract negotiations and loan closings. Upon approval of this item,
the Department will issue a conditional loan commitment in substantially the form included as
Exhibit C to the resolution.
A due diligence review was conducted to assess past performance in utilizing County funds
and legal capacity pursuant to Resolution No. R-630-13 to make efficient and transparent use
of funds for much needed housing for County residents. There are no findings to report for the
entities that are recommended for funding.
Cathy Burgos, LW
Chief Community Services Officer
Attachment
MDC006
FY 2023 SURTAX/SHIP/HOME RFA THRESHOLD ANALYSIS
Attachment 1
c
z O
C " d
u.
c N Z
CD al
Q O
m c
a co
l— E N
CI E
>_ a) Z
cU
Leveraging
Organizational
Capacity
Financial Capacity
Track Record
Site Control
Green Certification
Resp Contractor
Affidavit
Funding Request
per Application
Cap
Subsidy per Unit
Funding Cap
TDC limits
Passed
MinimumThreshold
Passed Scoring
Threshold
FY 2023 MULTIFAMILY RENTAL - COUNTYWIDE
14th Street Development, LLC
14th Street Development
Y
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
Y
N
Cordova Estates, LLC
Cordova Estates
Y
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
Y
Y
8th Street Properties, LLC
Essence MIA
N
N
Y
Y
Y
Y
NA
Y
Y
Y
Y
N
NA
RUDG, LLC
Gallery at Lummus Parc
Y
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
Y
Y
2500 W 7th Street, LLC
Viva Building
N
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
N
NA
Metro Grande II Associates, LTD
Metro Grande II
Y
Y
Y
Y
Y
Y
NA
N
Y
N
Y
N
NA
CREI Holdings, LLC
Lil Abner Apartments 3
Y
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
Y
N
EM Vilas, LLC
Ernie Martin Villas
Y
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
Y
Y
Hibiscus Grove, LP
Hibiscus Grove
N
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
N
NA
Liberty Renaissance Apartments,
LLC
Liberty Renaissance
Y
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
Y
Y
YMP Real Estate Management,
LLC
Grand Court Lakes
Apartments
N
N
N
Y
Y
N
NA
Y
N
N
Y
N
NA
YMP Real Estate Management,
LLC
Oak Grove Apartments
N
N
N
Y
Y
N
NA
Y
N
N
Y
N
NA
YMP Real Estate Management,
LLC
Park Towers
N
N
N
Y
Y
N
NA
Y
N
N
Y
N
NA
FY 2023
MULTIFAMILY RENTAL - PUBLIC HOUSING
RUDG, LLC
Residences at Palm Court
Y
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
Y
Y
MDC007
Heritage Village South, Ltd.
Heritage Village South
Y
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
Y
Y
FY 2023 MULTIFAMILY RENTAL - FAITH BASED
Cornerstone Group Partners, LLC
Royal Pointe
Y
Y
Y
Y
Y
Y
NA
N
Y
N
Y
N
NA
St. Mary Towers Apartments,
LLLP
St. Mary Towers
Apartments
Y
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
Y
Y
FY 2023 MULTIFAMILY RENTAL - SMALL DEVELOPMENTS
Sunshine State Development of
South Florida, Inc
Casa Lynda
N
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
N
NA
Palmetto Homes Urban
Development Group, Inc.
Blessings Court
N
Y
N
Y
Y
Y
NA
Y
N
N
Y
N
NA
Bluenest Homes 4, LLC
Bluenest Apartments of
West Perrine
Y
Y
N
Y
Y
Y
NA
Y
Y
N
Y
N
NA
Gardens at Casa Familia, LLC
Gardens at Casa Familia
Y
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
Y
Y
Marcia Flats, LLC
Marcia Flats
Y
Y
Y
Y
N
N
NA
Y
Y
Y
Y
N
NA
1688 Property Owner, LLC-
Ophira Cukierman
The Morris Residences
N
Y
N
Y
Y
Y
NA
Y
Y
N
Y
N
NA
Sunshine State Development of
South Florida, Inc.
NoMi Lofts
N
Y
Y
Y
Y
Y
NA
Y
Y
N
Y
N
NA
FY 2023 MULTIFAMILY
RENTAL -ELDERLY
Assistance to the Elderly, Inc.
Residential Plaza at Blue
Lagoon
N
Y
Y
Y
Y
Y
NA
Y
Y
N
Y
N
NA
Edison Towers II, LLC
Edison Towers II
N
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
N
NA
RUDG, LLC
Jose Marti Villas
Y
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
Y
Y
Perrine Apartments II, Ltd
Perrine Apartments II
Y
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
Y
Y
Quail Roost Transit Village II, Ltd
Quail Roost Transit Village
Y
Y
Y
Y
Y
Y
NA
Y
Y
Y
Y
Y
Y
MDC008
Agency/Entity/
Organization Name
Legal Name
Development Name
Project Location
Comm
Dist.
Development
Type
Construction
Type
No. of
Units
Surtax/SHIP
Funding
Requested
rr
HOME Funding
Requested
HoDAG
Funding
Requested
Score
Total Funding
Recommended
Total
Development
Cost
Applicants Not Recommended for Funding
YMP Real Estate
Management, LLC
YMP Real Estate
Management, LLC., 4500
North State Road 7,
Lauderdale Lakes, FL 33319
Grand Court Lakes
Apartments
280 Sierra Drive, Miami, FL 33179; 30.
2218-004-0020
1
Rehabilitation
Mid -Rise
181
52,737,000
y0
$0
NA
$0
$2,737,000
YMP Real Estate
Management, LLC
YMP Real Estate
Management, LLC., 4500
North Stale Road 7,
Lauderdale Lakes, FL 33319
Oak Grove
Apartments
15401 NE 61h Avenue, Miami, FL 33162
2
Rehabilitation
Mid -Rise
368
$5,000,000
$0
S0
NA
$0
$5,000,000
YMP Real Estate
Management, LLC
YMP Real Estate
Management, LLC., 4500
North State Road 7,
Lauderdale Lakes, FL 33319
Park Towers
777 NW 155th Lane, Miami, FL 33169; 30-
2114-012-0040
2
Rehabilitation
Mid -Rise
210
$3.150,000
$0
$0
NA
$0
$3,150,000
Royal Pointe
Associates, LTD
Royal Pointe Associates,
Ltd., 2100 Hollywood Blvd.,
Hollywood, FL 33020
Royal Pointe
NE Corner of Booker T. Washington Blvd.
and Dunbar Drive, Miami FL 33176/ Folio:
30-2019-001-5250, 30-2019-001-5260, 30-
2019-001-5340, 30-2019-001-5350, 30-
2019-001-5360, 30-2019-001-5420
9
Nw
Construction
Garden Style
102
$1,500,000
SO
$0
NA
$0
$32,846,892
Metro Grande II
Associates, LTD
Metro Grande II Associates,
Lid., 2100 Hollywood Blvd.
Hollywood, FL 33020
Metro Grande II
W 19th Street; NW Comer of W 19th
Street and W 91h Avenue, Hialeah, FL
33010; 04-3013-076-0010
6
New
Construction
High Rise
94
S2,350,000
$0
$0
NA
$0
S39.545,663
NA - These applications did riot meet all of the threshold requirements and were therefore not scored.
MDC009
Date:
To:
From:
Subject:
MIAMI•DADE
Memorandum �o�Nn
March 6, 2024
Honorable Chairman Oliver G. Gilbert, III
and Members, Board of County Commissioners
Alex Ballina, Director
Public Housing and Community Development Department
Request to Process Late Departmental Agenda Item
Please accept this late item request from PHCD for the Fiscal Year 2023 SURTAX/SHIP/HOME
Award Recommendations item to be processed for agenda placement. Although this item has not
met the noticed deadline and has been provided to the Agenda Coordination Office late, it is
important that the item be heard at the March 11th Housing, Recreation, Culture and Community
Development Committee and the April 2nd Board meeting. Due to the current housing affordability
crisis, the department provided additional funding that allowed an increase in the number of
projects funded, which required more time to process. Subsequently, a number of these projects in
this item are scheduled to close by the end of May. If unable to close, the County risks losing
hundreds of much needed affordable housing units, while developers are hit with rising interest
rates on financing needed to fund these projects, coupled with increased construction costs.
The purpose of this item is to seek the Board of County Commissioners' (Board) approval of
funding recommendations for the FY 2023 Surtax/SHIP/HOME Request for Applications (RFA),
for applications that met minimum threshold criteria, in an amount up to $32,506,743.00 in
Documentary Stamp Surtax and/or State Housing Initiatives Partnership (Surtax/SHIP) program
funds, $5,000,000.00 in Home Investment Partnerships (HOME) program funds, and
$7,500,000.00 in Housing Development Assistance Grant (HODAG) program funds. Activities
recommended for funding include multi -family rental countywide developments, faith -based
developments, public housing, elderly and small developments.
Additionally, this item seeks Board approval of funding recommendations for the RFA for 12
applications that did not meet the minimum threshold requirements, in an amount up to
$29,967,599.00 in Documentary Stamp Surtax and/or State Housing Initiatives Partnership
(Surtax/SHIP) program funds, $55,162.00 in Home Investment Partnerships (HOME) program
funds, and $111,995.00 in Housing Development Assistance Grant (HODAG) program funds for
the development of multi -family rental countywide developments, faith -based developments,
public housing, elderly and small developments. The award of funds to applications that did not
meet the minimum threshold criteria shall be conditioned upon the applications having met all the
RFA criteria within a timeframe determined by the County Mayor or County Mayor's designee.
Therefore, please process the item notwithstanding that the 3-day rule may be applicable to it. I
am aware that this item is subject to approval for placement on the agenda by the appropriate
committee chairperson as well as the BCC Chairman, and review by the Office of the County
Attorney.
MDC010
Honorable Chairman Oliver G. Gilbert, III
and Members, Board of County Commissioners
Page 2
Approved by May
Cathy Burgos
or Mayor's Designee Print Name
Nicole Tallman
Approved by Legislative Director or Designee Print Name
c: Geri Bonzon-Keenan, County Attorney
CAOagenda@miamidade.gov
Eugene Love, Agenda Coordinator
2
MDC011
MEMORANDUM
(Revised)
TO:
Honorable Chairman Oliver G. Gilbert, III
and Members, Board of County Commissioners
FROM: Si:'.` onzon-Keenan
County Attorney
DATE:
April 2, 2024
SUBJECT: Agenda Item No. 8(K)(1)
Please note any items checked.
"3-Day Rule" for committees applicable if raised
6 weeks required between first reading and public hearing
4 weeks notification to municipal officials required prior to public
hearing
Decreases revenues or increases expenditures without balancing budget
Budget required
Statement of fiscal impact required
Statement of social equity required
Ordinance creating a new board requires detailed County Mayor's
report for public hearing
No committee review
Applicable legislation requires more than a majority vote (i.e., 2/3's
present , 2/3 membership , 3/5's , unanimous , CDMP
7 vote requirement per 2-116.1(3)(h) or (4)(c) , CDMP 2/3 vote
requirement per 2-116.1(3)(h) or (4)(c) , or CDMP 9 vote
requirement per 2-116.1(4)(c)(2) ) to approve
Current information regarding funding source, index code and available
balance, and available capacity (if debt is contemplated) required
MDC012
Approved Mayor Agenda Item No. 8(K)(1)
Veto 4-2-24
Override
RESOLUTION NO. R-254-24
RESOLUTION AUTHORIZING THE COUNTY MAYOR OR
COUNTY MAYOR'S DESIGNEE TO AWARD UP TO
$62,474,342.00 IN DOCUMENTARY STAMP SURTAX
AND/OR STATE HOUSING INITIATIVES PARTNERSHIP
FUNDS, $5,055,162.00 IN HOME INVESTMENT
PARTNERSHIPS ("HOME") PROGRAM FUNDS AND
$7,611,995.00 IN HOUSING DEVELOPMENT ASSISTANCE
GRANT ("HODAG") FUNDS FOR APPLICATIONS IN
RESPONSE TO THE FY 2023 SURTAX/SHIP/HOME REQUEST
FOR APPLICATIONS ("RFA") TO DEVELOP AFFORDABLE
MULTI -FAMILY WORKFORCE, FAITH BASED, PUBLIC
HOUSING, ELDERLY AND SMALL DEVELOPMENT
RENTAL HOUSING; AUTHORIZING THE COUNTY MAYOR
OR COUNTY MAYOR'S DESIGNEE TO EXECUTE
CONDITIONAL LOAN COMMITMENTS, AMENDMENTS,
STANDARD SHELL CONTRACTS, LOAN DOCUMENTS AND
OTHER TRANSACTIONAL DOCUMENTS NECESSARY TO
ACCOMPLISH THE PURPOSES SET FORTH HEREIN, TO
SHIFT FUNDS AND FUNDING SOURCES AWARDED TO A
PROJECT TO ANY NEW AFFILIATED ENTITIES CREATED
FOR THE PURPOSE OF CARRYING OUT A PROJECT, TO
SUBORDINATE AND/OR MODIFY THE TERMS OF THE
CONTRACTS, AGREEMENTS, AMENDMENTS AND LOAN
DOCUMENTS, AND TO EXERCISE TERMINATION,
WAIVER, ACCELERATION AND OTHER PROVISIONS TO
AWARD FUNDING SET ASIDE FOR THE RFA
WHEREAS, this Board desires to accomplish the purposes outlined in the accompanying
memorandum, a copy of which is incorporated herein by reference,
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY
COMMISSIONERS OF MIAMI-DADE COUNTY, FLORIDA, that:
Section 1. This Board ratifies and adopts the matters set forth in the accompanying
justification memorandum and foregoing recital as if fully set forth herein.
MDC013
Agenda Item No. 8(K)(1)
Page No. 2
Section 2. This Board authorizes the County Mayor or County Mayor's designee to
award up to $62,474,342.00 in Documentary Stamp Surtax and/or State Housing Initiatives
Partnership Funds, $5,055,162.00 in Home Investment Partnerships (HOME) Program funds and
$7,611,995.00 in Housing Development Assistance Grant (HODAG) funds for applications in
response to the FY 2023 SURTAX/SHIP/HOME Request For Applications (RFA), which amounts
consist of: $32,506,743.00 in Documentary Stamp Surtax funds and/or State Housing Initiatives
Partnership (SURTAX/SHIP) funds, $5,000,000.00 in Home Investment Partnerships (HOME)
Program funds and $7,500,000.00 in Housing Development Assistance Grant (HODAG) funds for
applications that met minimum threshold criteria as identified in Exhibit A, and up to
$29,967,599.00 in Documentary Stamp Surtax funds and/or State Housing Initiatives Partnership
(SURTAX/SHIP) funds, $55,162.00 in Home Investment Partnerships (HOME) Program funds
and $111,995.00 in Housing Development Assistance Grant (HODAG) funds for applications that
did not meet minimum threshold criteria as identified in Exhibit B. The award of funds to
applications that did not meet minimum threshold criteria, and which are listed in Exhibit B, shall
be conditioned upon the County Mayor or County Mayor's designee determining that the
applications have met all the RFA criteria within a timeframe determined by the County Mayor or
County Mayor's designee.
Section 3. This Board authorizes the County Mayor or County Mayor's designee to
execute all conditional loan commitments, in substantially the form attached as Exhibit C, standard
shell contracts, agreements, loan documents, amendments and other transactional documents
necessary to accomplish the purposes of this resolution and to exercise the cancellation and other
provisions contained therein, and to shift funds and funding sources awarded to a project to any
new affiliated entities created for the purpose of carrying out a project. The Board further
MDC014
Agenda Item No. 8(K)(1)
Page No. 3
authorizes the County Mayor or County Mayor's designee, upon a determination that such actions
are in the best interest of the County, to subordinate and/or modify the terms of contracts,
agreements, amendments and documents so long as such modifications are approved by the
County Attorney's Office as to legal form and sufficiency and are not substantially inconsistent
with this resolution and to exercise the termination, waiver, acceleration, or other provisions set
forth therein.
The foregoing resolution was offered by Commissioner Eileen Higgins
who moved its adoption. The motion was seconded by Commissioner Kionne L. McGhee
and upon being put to a vote, the vote was as follows:
Oliver G. Gilbert, III, Chairman aye
Anthony Rodriguez, Vice Chairman aye
Marleine Bastien aye Juan Carlos Bermudez aye
Kevin Marino Cabrera aye Sen. Rene Garcia aye
Roberto J. Gonzalez aye Keon Hardemon aye
Danielle Cohen Higgins aye Eileen Higgins aye
Kionne L. McGhee aye Raquel A. Regalado aye
Micky Steinberg aye
MDC015
Agenda Item No. 8(K)(1)
Page No. 4
The Chairperson thereupon declared this resolution duly passed and adopted this 2nd day
of April, 2024. This resolution shall become effective upon the earlier of (1) 10 days after the date
of its adoption unless vetoed by the County Mayor, and if vetoed, shall become effective only upon
an override by this Board, or (2) approval by the County Mayor of this resolution and the filing of
this approval with the Clerk of the Board.
Approved by County Attorney as
to form and legal sufficiency.
Shannon D. Summerset -Williams
Melissa M. Gallo
MIAMI-DADE COUNTY, FLORIDA
BY ITS BOARD OF
COUNTY COMMISSIONERS
JUAN FERNANDEZ-BARQUIN, CLERK
By: Basia Pruna
Deputy Clerk
MDC016
7
App ications that Met Threshold Criteria - Exhibit A
Agency/Entity/
Organization Name
Legal Name
Development Name
Project Location
Comm
Dist.
Development
Type
Construction
Type
No. of
Units
Surtax/SHIP
Funding
Requested
HOME Funding
Requested
HoDAG
Funding
Requested
Score
Total Funding
Recommended
Total
Development
Cost
FY 2023 MULTI -FAMILY RENTAL PROJECTS
Multi -Family Countywide Developments
CREI Holdings, LLC
CREI Holdings, LLC., 11239
NW 4th Terrace,
Sweetwater, FL 33172
Lil Abner Apartments
11239 NW 4th Terrace, Sweetwater, FL
33172; 25-4006-001-2431; 25-4006-067-
0010
12
New
Construction
High Rise
326
$5,000,000
50
$0
152.7
$5,000,000
$85,974,049
RUDG, LLC
Gallery at Lummus Parc,
LLC 2850 Tiger tail Ave,
Suite 800, Miami, FL 33133
Gallery at Lummus
Parc
395 NW 1 Street, Miami , FL 33128 and 25
NW North River Drive, Miami, FL 33128;
01-0110-090-1120, 01-0111.020-1080
5
New
Construction
High Rise
452
$5,000,000
$0
50
152
$5,000,000
$188,171,065
Cordova Estates, LLC
Cordova Estates, LLC, 7735
NW 146 Street, Miami
Lakes, FL 33016, Sle. 306
Cordova Estates
Intersection of SW 336 SI. and SW 172
Avenue (McMinn Road), Florida City, FL
33034; 16-7919-001-0311 (321 E Davis
Pkwy); 16-7919-001-0310 (329 E Davis
Pkwy); 16-7919-001-0312; 16-7919-001-
0313; 16.7919-001-0314; 16-7919-002-
0280; 16-7919-003-0340
9
New
Construction
Garden Style
190
$1,300,000
$0
50
129
$1,300,000
$59,614,151
Liberty Renaissance
Apartments, LLC
Liberty Renaissance
Apartments, LLC., 7735 NW
146 Street, Miami Lakes, FL
33016, Ste. 306
Liberty Renaissance
1305 NW 61 Street, 01-3114-043-0150;
1321 NW 61 Street, 01-3114-043-0160;
1331 NW 61 Street, 01-3114-043-0180;
1341 NW 61 Street, 01-3114-043-0190;
1361 NW 61 Street, 01-3114-043-0200;
1320 NW 61 Street, 01-3114-043-0690;
1370 NW 61 Street, 01-3114-043-0660
Miami FL, 33142
3
New
Construction
Mid -Rise &
Garden Style
98
$2,450,000
SO
$0
118
$2,450,000
$32,868,271
EM Villas, LLC
EM Villas, LLC., 490 Opa
Locks Blvd., Opa Locka, FL
33054
Ernie Marlin Villas
20900 NW 14th Place, Miami Gardens, FL
33169,34-1135-032-0010
Rehabilitation
Garden Style
288
$4,896,743
50
$0
111
$4,896,743
$92,947,575
Totals:
1354
$18,646,743
$0
$0
$18,646,743
Public Housing Developments
Heritage Village South,
Ltd.
Heritage Village South, Ltd.,
161 NW 6th Street, Suite
1020, Miami, FL 33136
Heritage Village South
SW 270 Steel; NE of the intersection of
SW 270th Street and SW 142nd Avenue,
Miami. FL 33032, 30-6934-013-0010; 30-
6934-013-0020; 30-6934-013-0030; 30-
6934-013-0040; 30-6934-013-0050; 30-
6934-013.0060; 30-6934-013-0070; 30-
6934-013-0080; 30-6934-013-0090; 30-
6934-013-0100; 30-6934-013-0110; 30-
6934-013-0120; 30-6934-013-0130; 30-
6934-013-0140; 30-6934-013-0150; 30-
6934-013-0160; 30-6934-013-0170; 30-
6934-013-0180
9
Redevelopment
Garden Style
116
$1,500,000
$1,500,000
$2,000,000
137
$5,000,000
$41.002,797
RUDG, LLC
RUDG, LLC 2850 Tiger tail
Ave, Suite 800, Miami, FL
33133
Residences at Palm
Court
950 NW 95th Street, Miami, FL 33150, 30-
3102-000-0250; 950 and 930 NW 95th
Street, Miami, FL 33150, 30-3102-000-
0240; 860 NW 95th Street, Miami, FL
33150, 30-3102-000-0340
2
Redevelopment
High Rise
288
S0
$1,500,000
$2,000,000
134.7
S3,500,000
S88,100,346
Totals:
404
$1,500,000
$3,000,000
$4,000,000
$8,500,000
Agency/Entity/
Organization Name
Legal Name
Development Name
Project Location
Comm
Dist.
Development
Type
Construction
Type
No. of
Units
Surtax/SHIP
Funding
Requested
HOME Funding
Requested
HoDAG
Funding
Requested
Score
Total Funding
Recommended
Total
Development
Cost
Elderly Developments
Perrine Apartments II,
Ltd
Perrine Apartments II, Ltd,
161 NW 6th Street, Suite
1020, Miami, FL 33136
Perrine Apartments II
Homestead Avenue at the SW of the
intersection of Homestead Avenue and
West Evergreen Street, Miami, FL 33157;
30-5032-035-0020
9
New
Construction
Mid -Rise
150
51,000,000
$2,000,000
$2,000,000
160.3
$5,000,000
550,294,319
RUDG, LLC
RUDG, LLC 2850 Tiger tail
Ave, Suite 800, Miami, FL
33133
Jose Marti Villas
154 SW 17 Avenue, 01-4103-074-0010;
455 SW 1616 Avenue, 01-4102-006-4730;
1820 NW 6th Street, 01-4103-006-0521;
1898 NW 6th Street, 01-4103-006-0580;
527 NW 19th Avenue, 01-4103-006-0580;
519 NW 19 Avenue, 01-4103-006-0600;
423 NW 19th Avenue, 01-4103-006-1250,
1819 and 1821 NW 3rd Street 01-4103-
006-1640
5
Redevelopment
High Rise
153
$2,000,000
$0
$1,500,000
158.3
$3,500,000
$55,287,787
Quail Roost Transit
Village II, Ltd
Quail Roost Transit Village
II, Ltd., 161 NW 6th Street,
Miami, FL 33136, Ste. 1020
Quail Roost Transit
Village II
Homestead Avenue at the NE intersection
of Homestead Avenue and SW 186th
Street, Miami, FL 33157; 30-6005-001-
0290
9
New
Construction
High Rise
124
$4,960,000
$0
50
148.3
54,960,000
$44,510,409
Totals:
427
$7,960,000
52,000,000
$3,500,000
513,460,000
Faith Based Developments
St. Mary Towers
Apartments, LLLP
St. Mary Towers
Apartments, LLLP, 1100 NW
4th Avenue, Delray Beach,
FL 33444
SI. Mary Towers
Apartments
7615 NW 2nd Avenue, Miami, FL 33150;
01-3112-059-0020
3
Rehabilitation
Mid -Rise
100
52,400,000
$0
$0
133.7
52,400,000
$34.894,623
Totals:
100
52,400,000
50
50
52,400,000
Small Developments
Gardens at Casa
Familia, LLC
Gardens at Casa Familia,
LLC., 1550 Douglas Road,
Suite 280, Coral Gables, FL
33134
Gardens al Casa
Familia
North of SW 841h Street and SW 109th
Avenue, Miami, FL, 33173, 30-4031-000-
0170
10
New
Construction
Mid -Rise
50
$2,000,000
$0
50
108.3
$2,000,000
$28,143,527
Totals:
50
52,000,000
50
50
$2,000,000
Total Recommended Funding for Applicants that Met Threshold:
2335
532,506,743
55,000,000
57,500,000
545,006,743
4
6
7
10
11
12
Applications With Conditional Approval - Exhibit B
Agency/Entity/
Organization Name
Development Name
Project Location
Comm
Dist.
Development
Type
Construction
Type
Total
Development
Cost
No. of
Units
Surtax/SHIP
Funding
Requested
HOME
Funding
Requested
HoDAG
Funding
Requested
Total Funding
Requested
Surtax/SHIP
Funding
Recommended
HOME Funding
Recommended
HoDAG Funding
Recommended
Total Funding
Recommended
FY 2023 MULTI -FAMILY RENTAL PROJECTS
Applicants Recommended for Funding But Did Not Meet Threshold
141h Street
Development, LLC
141h Street
Development
1441-1455 N. Miami Avenue North Miami,
FL 33136; 1412-1432 NE Miami Court
North Miami, FL 33136; 25-31 NE 14th
Street North Miami, FL 33136; 01-3136-
005-1140, 01-3136-005-1150, 01-3136-
OO5-7130, 01-3136-005-1090, 01-3136-
005-1070, 01-3136-005-1060, 01-3136-
005-1180, 01-3136-005-1151, 01-3136-
005-1110
3
New
Construction
High Rise
$150.828,918
398
$3,000,000
SO
SO
$3,000,000
$3,000,000
$0
$0
$3,000.000
Bth Street Properties,
LLC
Essence MIA
829 SW Blh Street, Miami, FL 33130-33;
014138-003-2310; 845 SW 8th Slree70l
Miami, FL 33130, 014138-003-2361; 847
SW 81h Street, Miami, FL 33130, 01-4138-
003-2360
5
New
Construction
High Rise
532.973,289
88
$2,000,000
$0
$0
$2.000.000
$2,000,000
$0
S0
52.000,000
2500 W 71h Street,
LLC
Viva Building
2500 W 7th Street, Miami, FL 33125
5
New
Construction
High Rise
531,340,794
97
$2,425.000
$O
SO
$2,425,000
52,425,000
$O
80
$2,425,000
Hibiscus Grove, LP
Hibiscus Grove
9948 W. Hibiscus Street, Miami, FL 33157,
30-5032-004-1820; 30-5032-004-1790; 30-
5032-004-1800; 30-5032-004-1811
9
Nw
Conslr coon
High Rise
$77,565,478
270
$5,000,000
$0
$0
$5,000,000
$5,000,000
$0
$0
$5,000,000
Assistance to the
Elderly, Inc.
Residential Plaza at
Blue Lagoon
5617 NW 7th Street, Miami, FL 33126, 01-
3131-0301-0030
6
Rehabilita0on
Mid -Rise
$668,628
15
SO
$149,713
$299,810
$449,523
$0
S55.162
$111,995
$167,157
Edison Towers'', LLC
Edison Towers II
NW Corner of NW 58th StreetNew and NW 6th
Court, Miami, FL 33127
3
Construction
High Rise
$49,436,191
96
$2,400,000
$0
$0
$2,400,000
$2,400,000
SO
$0
$2,400,000
Sunshine Stale
Development of South
Florida, Inc
Casa Lynda
Southwest Comer of NE 11 Avenue
between NE 126th Street and NE 127th
Street, North Miami, FL 33161; 06-2229-
032-0100, 06-2229-032-0110, 06-2229-
032-0120, 06-2229-032-0130, 06-2229-
032-0140
2
New
Construction
Garden Style
$5,750,000
21
$1,500,000
S0
$0
$1,500,000
51,437.500
SO
$0
$1,437,500
Bluenest Homes 4,
LLC
Bluenest
Apartments of West
Perrine
SW 172nd Street and SW 105th Avenue,
Miami, FL, 33157, 305032-013-0950, 30-
5032-013-0960
9
New
Construction
Garden Style
$6,864,500
22
$5,000,000
$0
$0
$5,000,000
$1.716,125
S0
$0
$1.716.125
Marcia Flats, LLC
Marcia Flats
300E 1st Avenue, Hialeah, FL 33010, 04-
3118-001-1150; 67 E 3rd Street, Hialeah,
FL, 33010, 04-3118-001-1170
6
New
Construction
Mid -Rise
S19,660,429
58
$2.900,000
SO
SO
$2,900,000
$2,900,000
$0
SO
$2,900,000
1688 Property Owner,
LLC-Ophira
Cukierman
The Morris
Residences
1709 and 1719 Jefferson Avenue, Miami
Beach, FL 33139, 02J234-007-0400
5
New
Construction
Mid -Rise
$14,796,269
40
$3,690,000
S0
$0
$3,690,000
$3,690,000
$0
S0
$3,690,000
Palmetto Homes
Urban Development
Group, Inc.
Blessings Court
6293 NW 17th Avenue, Miami, FL 33147,
01-3114-045-0010; 7715 NW 1st Avenue,
Miami, FL 33150, 01-3112-053-0010; 2644
NW 62nd Street, Miami, FL 33150, 30-
3115-039-0090
3
ew
construction
Garden Style
$20,607,954
39
S7.082.954
$0
$0
$7,082,954
$5,000,000
S0
SO
$5,000,000
Sunshine State
Development of South
Florida, Inc.
NoMi Lofts
1046 NE 128 Street, North Miami, FL
33161; 06-2229-036-0220
2
New
Construction
Garden Style
$1,595.897
5
$600,000
SO
$0
$600,000
$398,974
SO
50
$398.974
Totals:
1149
$35,597,954
$149,713
$299,810
$36,047,477
$29,967,599
$55,162
$111,995
$30,134,756
Exhibit C
Miami -Dade County
Conditional Loan Commitment
Date
To: (the "Borrower")
Re: (Project Name/the "Property")
Type:
Dear Borrower:
We are pleased to advise you that on , 2024, the Board of County Commissioners (BCC) approved a
Conditional Loan Commitment for development activity at the above -listed property (the "Property"). The loan
is conditionally committed for the payment of hard construction cost as a portion of the development costs to
construct the affordable housing units on the Property. This Conditional Loan Commitment is made based upon
FY 2023 Request for Applications requesting Documentary Stamp Surtax (Surtax), State Housing Initiatives
Partnership (SHIP), Home Investment Partnerships (HOME) funds. Resolution No. R- 24 conditionally
allocated up to $ of Surtax/SHIP/HOME program funds and is subject to the following terms and
conditions:
Borrower: , or related entity
Project:
Loan Amount:
, a _-unit, style affordable housing community located at in
Miami -Dade County, FL , in Commission District . The development
which will serve households with incomes at and below _% of area median income
("AMI"). See the conditions below regarding applicable AMI for residents based upon
the source of funds for the Loan.
The loan shall be in an amount of not -to -exceed $ as approved by the BCC in
Resolution No. R- -24 for $ and includes all terms and conditions of such BCC
approval, including project scope, activity type and, for federal funds, national objective to
be achieved (the "Loan"). The loan amount may be decreased as determined by the Mayor
or the Mayor's designee, based upon Underwriting (defined below) and information and
documentation provided by Borrower.
Conditions: The Loan is conditioned upon the terms, conditions and requirements set forth below (the
"Conditions"). The County shall not issue a final unconditional loan commitment, enter into
a funding contract, close on the Loan or disburse the Loan funds until all the Conditions are
met.
Collateral:
Upon satisfaction of the Conditions, Miami -Dade County (County) and Borrower will enter
into a funding contract and loan agreement. The Loan shall be evidenced by a promissory
note and secured by a construction/permanent mortgage with assignment of leases and
rents, a collateral assignment of leases and rents, a collateral assignment of construction
documents, a rental regulatory agreement (where applicable), and any other security or
collateral as deemed appropriate by the Mayor or Mayor's designee, in his or her sole
MDCO20
Conditional Loan Commitment
2023 Surtax/SHIP/HOME Request for Applications
Page 2
Interest Rate:
discretion, with approval of the County Attorney's Office. Borrower shall additionally be
required to provide the County with an environmental indemnification agreement, a UCC-1,
title affidavit, partnership affidavit (if applicable), corporate resolution approving the loan
documents, opinion of counsel, certification of borrower to borrower's counsel, and title
policy making the County an insured. The Collateral shall be determined based upon
financial feasibility and subsidy layering underwriting to be performed by County staff in an
internal process and by an independent underwriter and paid for by Borrower
("Underwriting") following review of a current title search. Additional forms of security may
be required if liens, encumbrances, restrictions or covenants exist on the Property which the
Mayor or Mayor's designee determines, in his or her sole discretion, threaten the County's
Collateral. The Mayor or Mayor's designee shall determine, in his or her sole discretion and
in consultation with the County Attorney's Office, whether the Collateral provided by
Borrower is sufficient to close and disburse the Loan.
Loan terms, including interest rates, are those set forth in the FY 2023 Surtax/SHIP/HOME
Request for Applications (RFA), for all funding sources for Multi -family rental projects.
Those terms are 0% interest during construction - years 1 and 2-and % interest -only
payments for years 3-30 from development cash flow, with another _% interest accruing
and due at maturity. Full principal is due at maturity; and as modified prior to closing by the
Mayor or Mayor's designee in accordance with the results of Underwriting.
Repayable: There will be no penalty for prepayment of the Loan (payment of Loan balance before the
end of the repayment term). Repayment terms are those set forth in the FY 2023
Surtax/SHIP/HOME Request for Applications RFA for repaid loan funds in accordance with
Section 17-02 of the Code. Terms are applicable for all funding sources listed in the FY 2023
Surtax/SHIP/HOME RFA. All terms may be modified prior to closing by the Mayor or Mayor's
designee in accordance with the results of Underwriting. The prepayment of any Loan shall
not affect the term of affordability set forth in the Rental Regulatory Agreement or in any of
the other Loan Documents.
Term: The Loan will be for 30 years, or as may be established prior to closing by the Mayor or
Mayor's designee in accordance with the results of Underwriting.
Conditions:
1. Underwriting, as explained above, shall include financial feasibility review, subsidy layering review, and
credit review. Underwriting is performed to protect the County's scarce affordable housing funds and is
performed to ensure that the Project has sufficient financing to be completed timely and that the Project
is not over -subsidized, meaning the Loan is not needed or the Loan Amount is too high. The County
reserves the right to reduce the Loan Amount subject to Underwriting. The County further reserves the
right to refuse to issue a final, unconditional loan commitment to Borrower or to enter into a contract for
the Loan or to close on the Loan in the event that Underwriting determines that the project is financially
unfeasible or otherwise is unfeasible. The costs of Underwriting are to be paid by Borrower.
2. Borrower must prove control of the Property through purchase or lease, as evidenced by a deed or
lease and recorded memorandum of lease in Borrower's name. Absence of any threat of foreclosure,
taking by eminent domain, or pending bankruptcy are additionally required.
3. Borrower must provide the County with written financing commitments showing committed financing for
the entire Development Cost of the Project, including any gaps between the Loan and the overall costs
to develop the Project. The Development Cost of the Project means the total cost of completing the
entire Project, from acquisition to the issuance of Certificate of Occupancy, including but not limited to
the costs for acquisition, design and planning, zoning and variances, financing costs, legal costs,
construction, and permitting. In the event of a dispute as to what amount constitutes the actual
Development Cost, Borrower and County will use the amount determined by Underwriting to be the
Development Cost.
MDCO21
Conditional Loan Commitment
2023 Surtax/SHIP/HOME Request for Applications
Page 3
4. Conformance of the Project with the County legislation approving the Loan.
5. Complete plans and specifications of the Project.
6. Payment and performance bond in the amount of the entire construction budget or otherwise in
conformance with applicable law. Where a payment and performance bond are not required by law, the
Mayor or Mayor's designee may alternatively accept — at the Mayor or Mayor's designee's sole
discretion — a letter of credit in an amount acceptable to the Mayor or Mayor's designee.
7. Appraisal of the Property showing that the value of the Project and Property, when completed, exceeds
the total amount of debt from all sources to be secured by the Project, unless waived by the Mayor or
Mayor's designee.
8. A Phase I environmental report requiring no further action.
9. For CDBG and HOME/HODAG funds, if required, the cost of the HUD environmental assessment must
be paid by the borrower.
10. Such other conditions which are customary and reasonable for a loan of this nature, such as adhering
to all Federal, State and local regulations, ordinances, codes and standards.
11. Meeting all requirements of the State Housing Initiatives Partnership ("SHIP"), Documentary Surtax,
Home Investment Partnerships Program ("HOME"), program, as applicable, and County resolutions and
ordinances governing affordable housing development.
12. The Loan, if SHIP or Surtax funds, may only be used for the development of affordable housing for
residents with household incomes not greater than 140% of AMI. The Loan, if HOME/HODAG or
CDBG funds, may only be used for the development of affordable housing for residents with
household incomes not greater than 80% of AMI.
13. Pursuant to the Miami -Dade Board of County Commissioners' Resolution No. R-34-15, Developers, its
agents and/or representatives, shall provide written notice to the County related to the availability of
rental opportunities, including, but not limited to, the number of available units, bedroom size, and rental
prices of such rental units at the start of any leasing activity; requiring the developer advertise the
information described in newspapers of general circulation.
This Conditional Loan Commitment will expire in six (6) months if not extended by Miami -Dade County. An
extension of this Conditional Loan Commitment may be granted at the sole and absolute discretion of Miami -
Dade County. Any extension granted will be contingent upon compliance with and in accordance with
Resolution No. R-232-14, as applicable and must be signed by the Mayor or Mayor's Designee to be valid. If
the loan does not close prior to the expiration or extension of this Conditional Loan Commitment, the funds will
be subject to recapture and allocated to other projects. This Conditional Loan Commitment is not assignable.
This Conditional Loan Commitment is the sole and complete agreement between the parties as to the terms of
the Loan described herein. The terms of this Conditional Loan Commitment may only be changed in writing in
a document signed by the Mayor or the Mayor's designee. No representations, written or verbal, of Miami -Dade
County employees, or others purporting to act on behalf of Miami -Dade County, may change the terms of this
Commitment.
Miami -Dade County wishes to thank you for your proposal and the opportunity to provide financing for this
development, and we look forward to closing this transaction.
Sincerely,
Miami -Dade County
Daniella Levine Cava, Mayor
Date:
c: Cathy Burgos, Chief Community Services Officer
M DCO22
Conditional Loan Commitment
2023 Surtax/SHIP/HOME Request for Applications
Page 4
Approved as to Form and Legal Sufficiency
Assistant County Attorney
Date
MDCO23
TO:
FROM:
Members of the Housing and
Commercial Loan Committee
George N Et irectt5r
Depart t of Community & Economic Development
REFERENCES:
CITY OF MIAMI, FLORIDA
INTER -OFFICE MEMORANDUM
DATE
SUBJEECT:
ENCLOSURES:
BORROWER:
July 30th, 2021
FILE :
81' Street Properties, LLC:
Essence Miami
8th Street Properties LLC is a Florida Limited Partnership Company that was established in November
2005 and managed by the Nuri Dorra and Ingrid Dorra. Mr. Nuri Dorra has been a Real Estate
Developer since 1975. His portfolio includes real estate development in Argentina and Florida. Mr.
Dorra's extensive experience includes the development of single family homes, townhouses, multi-
family projects, hotel conversions and real estate rehabilitation.
8`I' Street Properties, LLC owns the three (3) lots that will become the new development, Essence
Miami,
PROJECT
Essence of Miami will be a new 8-story mixed use development that will feature residential and
commercial space. The development will be developed on three contiguous sites having a total of
25,563 sq. ft., located at 829 SW 8"' Street, in the Little Havana neighborhood . The project will provide
eighty-eight (88) rental units, one and two bedrooms for low- income and workforce families and 590
sq. ft. of commercial space, The Project will contain fifty-seven (57) units of one bedroom, on bath and
thirty-one (31) units of two bedrooms and one bath. All the units will be City -assisted for low-income
families at 60% of AMI and workforce families at 100% of AMI.
BACKGROUND
On February 25, 2019, the Department of Housing and Community Development ("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 Bonds
("GOB") for the construction and rehabilitation financing of multifamily rental housing projects and
homeownership projects.
On June 10, 2021, the City Commission approved Resolution R-21-0222. The City Commission
authorized the allocation in an amount not to exceed $5,000,000 from the proposed Tranche 2 Miami
Forever Affordable Housing Limited Ad Valorem Bonds to the Project provided that the Developer
fulfills all the terms and conditions to be set forth by the Department of Housing and Community
Development and approved the Housing and Commercial Loan Committee, (HCD/HCLC). Pursuant
to the Section 18-86 of the Code of the City of Miami, Florida, the Competitive Negotiation Methods
and Procedures were waived by a 4/5"' vote of the City Commission.
8TH STREET PROPERTIES, LLC 2 June 25, 2021
ESSENCE MIAMI
BORROWER'S REQUEST
The Borrower submitted a request for Bond funds in the amount of $5M to cover in part the total
development cost of the proposed 88 unit mix use development targeting low income families at 60%
of the area median income and workforce households at 100% of the area median income.
DEPARTMENTAL RECOMMENDATION
Based on the proposal provided by Borrower, the Department recommends allocation up to $5,000,000
in Miami Forever Bonds ("GOB") funds to 8`1' Street Properties, LLC for the development of Miami
Essence project. Funding of GOB dollars shall be contingent on but not limited to the following terms
and conditions.
The following loan terms and conditions shall apply:
1. Project Financing: Evidence of the project securing a construction/permanent loan from Ocean
Bank in the amount of no Less than $14M acceptable to the Department of Housing and
Community Development and the City Attorney's office.
2. Permitting: Evidence that project has secures full construction building permit from the City of
Miami.
3. City Comrraissiorz Approval: Subsequent approval of the project by the City of Miami
Commission approval.
4. Use ofFunds: City fluids will be used for construction hard costs. No City of Miarni GOB funds
shall be disbursed prior to evidence that all project financing as indicated herein has been
secured. All project financing shall close simultaneously.
5. City Assisted Units: Eighty-eight (88) project units shall be assisted with GOB funds for low
income and workforce households.
6. Maximum Rent and Income Levels: Rents charged on City -assisted units are subject to Florida
Housing Finance Corporation State .Housing Initiatives Partnership ("SHIP") program
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").
7. Affordability Period: an affordability period of 30 years will apply commencing from the date
the City approves the closeout of the project.
8. Loan Repayrrment & 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 repaymentof principal is due
at the 30-year maturity.
9. 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.
10. 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
11. 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 Conuuttee for de -obligation of the project funding.
12. 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.
8`t' STREET PROPERTIES, LLC 3 June 25, 2021
ESSENCE MIAMI
13. Commitment Fee: There will be a $5,000 commitment fee.
14. Eligible Project Costs: Eligible project costs will be effective from the date of environmental
clearance.
15. Reporting Compliance: Borrower is subject to compliance reporting requirements in the process
of construction and during the affordability period.
16. DevelopmentBe;w/nnarrks/Scope of Work: The project shall: (a) continence construction within
six (6) months from the Effective Dater' I of the contract; (b) obtain all certificates of occupancy
required for the project within 18 months from the Effective Date; and (c) have all project units
rented within. 12 months after the issuance of project's certificate(s) of occupancy, but in no
event later than 36 months from the Effective Date.
17. Insurance Requirements: Borrower shall obtain and furnish evidence of insurance coverage as
the City may require in connection with the Project,
18. Affirmative Marketing Plan: Borrower shall provide an Affirmative Marketing Plan using
HUD's approved form and report to the City annually en all actions taken to comply with said
plan. Borrower shall comply with the requirements of the affordable housing notice to City
Officials Ordinance #13491.
19. 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.
20, 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.
21. De -obligation ofFunds: 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
22. 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.
23. Compliance with Ordinance #13491 Notice to Residents, and Ordinance #13645 Resident
Preference.
24. Compliance with the provisions of Davis Bacon Act, and regulations, as amended.
25. Project Default: If the City determines that the project is in default, the following conditions
will apply:
e The highest interest rate available under the law will be applicable for the funds disbursed
frorn date of disbursement.
e The Restrictive Covenant will remain as a restriction on the Project property throughout the
Affordability Period; and
s 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.
(II The "Effective Date" is the date on which the contract has been signed by the City Manager and attested to
by the City Clerk.
8TH STREET PROPERTIES, LLC 4 June 25, 2021
ESSENCE MIAMI
HOUSING AND COMMERCIAL LOAN COMMITTEE DECISION:
Approved as Recommended by Staff Yes ❑ No N/A El
To Include Additional Conditions or Restrictions Yes ❑ No ❑ N/A D
Disapproved Yes ❑ No ❑ N/A ❑
To Include Further Action Yes ❑ No ❑ N/A ❑
Specify any further action, conditions or restrictions:
7,chairperson
Stamp Date
8TH STREET PROPERTIES, LLC 4 June 25, 2021
ESSENCE MIAMI
HOUSING AND COMMERCIAL LOAN COMMITTEE DECISION:
Approved as Recommended by Staff Yes No /A E
To Include Additional Conditions or Restrictions Yes [ No NIA E
Disapproved Yes E No [ N/A ❑
To Include Further Action Yes E No [ IA ❑
Specify any further action, conditions or restrictions:
IOUSINC LOAN COMMITtEE
hairperso'or Represeniati e
JUL 3 0 2021
APaRRiaVED—