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HomeMy WebLinkAbout25062AGREEMENT INFORMATION AGREEMENT NUMBER 25062 NAME/TYPE OF AGREEMENT JOSE MARTI VILLAS, LLC DESCRIPTION AGREEMENT TO SUBORDINATE TO RENTAL ASSISTANCE DEMONSTRATION USE AGREEMENT/DECLARATION OF RESTRICTIVE COVENANTS/MATTER ID: 22-3332/#29 EFFECTIVE DATE ATTESTED BY TODD B. HANNON ATTESTED DATE 6/17/2024 DATE RECEIVED FROM ISSUING DEPT. 7/1/2024 NOTE CITY OF MIAMI DOCUMENT ROUTING FORM 9govia ORIGINATING DEPARTMENT: HOUSING AND COMMUNITY DEVELOPMENT DEPT. CONTACT PERSON: Alberto Castellon EXT. 2084 NAME OF OTHER CONTRACTUAL PARTY/ENTITY: Jose Marti Villas, Inc. IS THIS AGREEMENT AS A RESULT OF A COMPETITIVE PROCUREMENT PROCESS? TOTAL CONTRACT AMOUNT: $ FUNDING INVOLVED? TYPE OF AGREEMENT: ❑ MANAGEMENT AGREEMENT O PROFESSIONAL SERVICES AGREEMENT O GRANT AGREEMENT ❑ EXPERT CONSULTANT AGREEMENT O LICENSE AGREEMENT OTHER: (PLEASE SPECIFY): ❑YES ENO ❑ YES ® NO ❑ PUBLIC WORKS AGREEMENT ❑ MAINTENANCE AGREEMENT ❑ INTER -LOCAL AGREEMENT O LEASE AGREEMENT ❑ PURCHASE OR SALE AGREEMENT These are two subordination documents, please see further below. PURPOSE OF THE ITEM (BRIEF SUMMARY): These are two subordination documents- one to subordinate the City's Loan Docs under HUD's RAD agreement (which will pay for vouchers associated with the conversion of the Jose Marti public housing site to a standard, private rental building) and the other, to subordinate our restrictive covenants to the same RAD agreement. HUD's RAD agreement has to be in first position. COMMISSION APPROVAL DATE: FILE ID: ENACTMENT No.: IF THIS DOES NOT REQUIRE COMMISSION APPROVAL, PLEASE EXPLAIN: ROUTING INFORMATION Date PL E PRINT AND SIGN APPROVAL BY DEPARTMENTAL DIRECTOR 6/6/2024 PRINT: SIGNATURE: ,� Alfredo Duran SUBMITTED TO RISK MANAGEMENT N/A PRINT: ANN- ARIE SHARPE SIGNATURE: 1r `t SUBMITTED TO CITY ATTORNEY �V -1-1� %. Z- ?j'Lj 1y PRINT: GEORGE S `u SIGNATURE: APPROVAL BY ASSISTANT CITY MANAGER/CFO PRINT: LARRY SPRI SIGNATURE: RECEIVED BY CITY MANAGER PRINT: ART NO A V. SIGNATURE: RECEIVED BY DEPUTY CITY MANAGER 2 cl PRINT: NATASHA SIGNATURE: COLEBF� n7,, / K-WILLIAMS k,, 1) ONE ORIGINAL TO CITY CLERK, 2) ONE COPY TO CITY ATTORNEY'S OFFICE, 3) REMAINING ORIGINAL(S) TO ORIGINATING DEPARTMENT J j /2�(/ .2 y :. /i g/) (/ �' / / / rl/� (�f c 5 PRINT: TODD . HANNON SIGNATURE: PRINT: ✓ -4- l ' SIGNATURE::1��t PRINT: i./ SIGNATURE: c�,^� PLEASE ATTACH THIS ROUTING FORM TO ALL DOCUMENTS THAT REQUIRE EXECUTION BY THE CITY MANAGER AFTER RECORDING PLEASE RETURN TO: Efrem Levy, Esq. Reno & Cavanaugh, PLLC 455 Massachusetts Ave, NW, Suite 400 Washington, D.C. 20001 Phone: (202) 349-2454 Fax: (202) 349-2455 Recorder's Stamp AGREEMENT TO SUBORDINATE TO RENTAL ASSISTANCE DEMONSTRATION USE AGREEMENT JOSE MARTI VILLAS - DECLARATION OF RESTRICTIVE COVENANTS This Agreement to Subordinate to Rental Assistance Demonstration Use Agreement (the "Subordination") is entered into as of , 2024 by and among CITY OF MIAMI, a municipal corporation of the State of Florida ("City") and JOSE MARTI VILLAS, LLC, a Florida limited liability company (the "Borrower"), collectively, the "Parties." WHEREAS, the Project Owner owns that one hundred forty-six (146) unit (the "Units") multi -family apartment complex with an address of 154 SW 17th Avenue and 455 SW 16th Avenue, Miami FL 33135, commonly known as Jose Marti Villas (the "Project"), and located on the real property described on Exhibit "A" attached hereto; and WHEREAS, in connection with the financing of the Project, the Parties executed the following documents: 1. Declaration of Restrictive Covenants for Affordable Housing Development/Attainable Mixed -Income Housing Development among City and Borrower dated and recorded as of substantially even date herewith in the County Records. 2. Declaration of Restrictive Covenants for Attainable Mixed -Income Housing Development among City and Borrower dated and recorded as of substantially even date herewith in the County Records. Collectively, items 1-2 are hereinafter referred to as the "Subordinate Documents". WHEREAS, the U.S. Department of Housing and Urban Development ("HUD") has authorized the conversion of forty-two (42) of the Units (the "RAD Units"), from public housing to Section 8 assistance under the Rental Assistance Demonstration ("RAD") program, pursuant to Public Law 112-55 and has issued a RAD Conversion Commitment for the Project, dated April 18, 2024 (the "RCC"); and Page 1 of 7 4882-0185-4393, v. 1 WHEREAS, as a condition of the RAD conversion, the Project Owner executed a Rental Assistance Demonstration Use Agreement dated and recorded as of substantially even date herewith (the "RAD Use Agreement") for the benefit of HUD; and WHEREAS, HUD requires as a condition of the RAD conversion that the Parties agree to subordinate the Subordinate Documents to the RAD Use Agreement; NOW THEREFORE, let it be known to all interested parties, that for good and valuable consideration, the receipt of which is hereby acknowledged, the undersigned do hereby agree: 1. So long as the RAD Use Agreement, and all extensions thereto, be in effect, the Subordinate Documents shall in all respects be subordinate to the RAD Use Agreement. 2. This Subordination extends to and continues in effect with respect to any future amendment, extension, renewal, or any other modification of the RAD Use Agreement or the Subordinate Documents. 3. In the event of conflict between the Subordinate Documents and the RAD Use Agreement, the RAD Use Agreement controls, provided that nothing herein shall impair the City's right to require the Project Owner to pay those deferred impact fees in the event of Owner's failure to maintain the Project as an Affordable Housing community to the extent required by the Subordinate Documents. 4. The following amendments to the Subordinate Documents require the prior written consent of HUD: Any amendment to any HUD -required provisions in the Subordinate Documents, an increase in the interest rate, an increase of the total indebtedness, an acceleration of the amortization or payment schedule, and any changes that would preclude or impair a reasonable opportunity to cure any defaults by the Project Owner under the Subordinate Documents. 5. This Subordination will survive bankruptcy and foreclosure. 6. This Subordination may be signed in counterparts. 7. The invalidity, in whole or in part, of any of the provisions set forth in this Subordination, shall not affect or invalidate any remaining provisions. 8. This Subordination and every covenant hereof shall be binding upon the Parties and their respective successors and assigns. This Subordination shall not be modified or amended except by a written instrument executed by all parties hereto and approved in writing by HUD. 9. The parties shall be entitled to electronically sign this Agreement in accordance with the provisions of Section 668.50, F.S., and thereafter deliver it in digital format (whether by Page 2 of 7 4882-0185-4393, v. 1 facsimile, PDF or other email transmission), which signature shall have the same effect as original signature and be binding on the party whose name is contained therein. [SIGNATURE PAGE(S) TO FOLLOW] Page 3 of 7 4882-0185-4393, v. 1 In witness whereof, the Parties have executed this Subordination as of the date first written above. ATTEST: By: CITY: CITY OF MIAMI, a municipal corporation of the State of Florida / cni Arthur Noriega V, CityManager APPROVED: D. g and Community Daniel S. Goldberg, Esq. Dev: opm., repartment Zoning Administrator APPRO ' t AS TO FORM AND CORRECTNESS: George Kl1 Wysong City Attorney ACKNOWLEDGMENT STATE OF FLORIDA COUNTY OF MIAMI-DADE The foregoing instrument was ac�wledged before me by means of physical presence or 0 online notarization, this VI day of Jul , 2024, Arthur Noriega V, as City Manager of CITY OF MIAMI, a municipal corporation of the State of Florida. „dam Printed Name Notary Public, State of Florida ❑ Personally Known or 0 Produced Identification Type of Identification Produced SANDRA GILBERT MY COMMISSION # HH 112572 o°• EXPIRES: April 20, 2025 .•OF r,v,, Bonded Thru Notary Public Underwriters Page 4 of 7 4882-0185-4393,v.1 BORROWER: JOSE MARTI VILLAS, LLC, a Florida limited liability company By: Jose Marti Villas Manager, LLC, a Florida limited liability company, its manager By: STATE OF FLORIDA COUNTY OF MIAMI-DADE 1/ Tony Del Pozzo, Vice President The foregoing instrument ws acknowledged before me by means of* physical presence or ❑ online notarization, this 5 day of ,N.y.r\e_ , 2024, by Tony Del Pozzo as Vice President of Jose Marti Villas Manager, LLC, a Florida limited liability company, the manager of Jose Marti Villas, LLC, a Florida limited liability company. ,Yx7Xtr\L \\e34.6 Printed Name Notary Public, State of Florida Signature 8 Personally Known or ❑ Produced Identification Type of Identification Produced 111 tary Public Sta. • Jazzine C. My Commission • Expires 1/e/2 4882-0185-4393, v. 4 Exhibit A Leasehold estate created by that certain Ground Lease by and between Miami -Dade County, a political subdivision of the State of Florida, as Lessor, and Jose Marti Villas, LLC, a Florida limited liability company, as Lessee, dated , 2024, as evidenced by that certain Memorandum of Ground Lease to be recorded in the Public Records of Miami -Dade County, Florida, as to the following: Parcel 1 TRACT A OF "LITTLE HAVANA FIRST ADDITION", ACCORDING TO THE PLAT THEREOF, RECORDED IN PLAT BOOK 120, AT PAGE 11, OF THE PUBLIC RECORDS OF MIAMI-DADE COUNTY (FORMERLY DADE COUNTY), FLORIDA LESS AND EXCEPT THEREFROM: RIGHT OF WAY (OFFICIAL RECORDS BOOK 11590, PAGE 298): A PORTION OF TRACT A OF "LITTLE HAVANA FIRST ADDITION", ACCORDING TO THE PLAT THEREOF, RECORDED IN PLAT BOOK 120, AT PAGE 11, OF THE PUBLIC RECORDS OF MIAMI-DADE COUNTY (FORMERLY DADE COUNTY), FLORIDA, BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: BEGIN AT THE NORTHEAST CORNER OF SAID TRACT A; THENCE RUN S 01 DEGREE 58'42" E, ALONG THE EAST LINE OF SAID TRACT A, FOR A DISTANCE OF 29.99 FEET; THENCE RUN N 04 DEGREES 28'08" W FOR A DISTANCE OF 30.02 FEET TO THE POINT OF INTERSECTION WITH THE NORTH LINE OF SAID TRACT A; THENCE RUN N 87 DEGREES 57'59" E, ALONG THE NORTH LINE OF SAID TRACT A, FOR A DISTANCE OF 1.30 FEET TO THE POINT OF BEGINNING. Parcel 2 LOTS 8 TO 13, BLOCK 94, OF LAWRENCE ESTATE LAND CO'S SUBDIVISION, ACCORDING TO THE PLAT THEREOF, AS RECORDED IN PLAT BOOK 2, AT PAGE 46, OF THE PUBLIC RECORDS OF MIAMI-DADE COUNTY, FLORIDA. 4882-0185-4393, v. 1