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HomeMy WebLinkAboutCRA-R-25-0055 Exhibit A,tlisi Omni C R A INTER -OFFICE MEMORANDUM Isiaa Jones Executive Director TO: Board Chair Damian Pardo and Members of the CRA Board FROM: Isiaa Jones Executive Director DATE: September 25t", 2025 SUBJECT: 4/5ths Bid Waiver Additional Grant Funding of Twelve Million Dollars for the 14th Street Development Project BACKGROUND: The Omni Redevelopment District Community Redevelopment Agency (CRA) is responsible for implementing redevelopment initiatives within its designated boundaries, as outlined in the CRA Redevelopment Plan ("Plan"). On September 13, 2016, the CRA adopted the City of Miami's procurement ordinance to guide the acquisition of goods and services. 14th Street Development LLC, a subsidiary of NR Investments, Inc., has submitted a grant proposal requesting Twelve Million and 00/100 Dollars ($12,000,000.00) to support a mixed -use project within the CRA boundaries. The development, known as the "14th Street Development," will consist of a 31-story building with approximately 398 residential units. The Developer and CRA propose to fully restrict these units across a range of income levels for 27 years after Temporary Certificate of Occupancy (TCO) or Certificate of Occupancy (CO) (60% to 140% of the Area Median Income, as published annually by the United States Department of Housing and Urban Development), replicating the successful model of the UNI Tower project. This initiative aligns with the CRA's goals of providing diverse, high -quality, and centrally located affordable housing options, promoting community stability, and supporting economic vitality within the district. JUSTIFICATION: The CRA previously approved funding for the Project under CRA Resolution No. CRA-R-21-0044, consistent with the Plan's objectives to incentivize diverse housing, attract downtown workers, and eliminate slum and blight through strategic redevelopment. Since the original resolution, the Project has experienced significant increases in overall costs due to inflation, labor and material expenses, and financing conditions. The additional grant funding will ensure the Project remains financially viable while meeting the CRA's commitment to deliver high -quality, affordable, and workforce housing opportunities. This request is consistent with the CRA's redevelopment goals. RECOMMENDATION: The Executive Director seeks authorization to negotiate and execute amendments to the Economic Incentive Agreement, Forgivable Project Loan Agreement, Rent Regulatory Agreement, and all supporting documents, in a form acceptable to the General Counsel, to allocate the additional funding. FUNDING: The additional funding shall be in an amount not to exceed Twelve Million and 00/100 Dollars ($12,000,000.00), contingent upon the issuance of the CRA's Tax Increment Revenue Bonds, Series 2026.