HomeMy WebLinkAboutM-77-0620�
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Josebb t«^ Ofassid
city Manager
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Richard �^ �oomoe-, Direotot ,
P1aooiog Department
months now we have had conversations with Merrill
�o� some moo possibility n� an extended lease on
8te�eno ooncecnioq the I�»ss at D�oue� Key* �he
the property which they currently occupy decisions. Since
conversations resulted from several recentideb Grove Key
�e�
the city has entered into a 30-year lease with Marina and . %Io^oty Trainer, Merrill Stevens has ouDzeaoed coo-
^^_^^ "~ similar arrangement. III addition,
aiderable iore-e=` fighting a Pro�-
& rrill Stevetnc some �ine yearo has been g from the
e assessment on the proDec�y vbiob thelease e�ty tax asse the City had an obligation to
City. Since �be� claimed tha�t�ceproperty the city had taken
participation in the taxes on an adversary role with the county
in the Merrill Stevens case -
The Circuit Court has ruled that �h= property is indeed subject
to lease hold interest tax and recent conversations with the
that it is his intention to tax
county Tax Assessor indicates a t the City
the lease hold interest and to send a bill jointlyo�oe current
and Merrill Stevens based on the remaining term fuliab�lit�
lease.It appears that the City miqbt have some tax certain opera -
since
h County 1ras Asoesaor's position i� that cec d
sl»oe tile i� particular, the maintenance
and
tioon at mezcill Stevens, o� the property as
broberaqe activities are a propriet«cy use
Opposed to the marina and storage aspects which are a "public
purpose" use of the property.
There are a complicated set of issues involved with Merrill term
Stevens neqntiatioos, and those related in part to the long
Plan
objeotivns n� the City as expressed in the Dinner K�eyMaster.
It is tbe City's dcsiro to �evelp marina faoilzci esru" odonr^-a�ed
With only ey
services a� Dinner Key, eight ears to " de-o
�
oer Merrill Stevens' position is that they sire a
existing lease, o new lease in order to provide a full service marina facility -
III addition it tbe "prnpriutory"operatiooa of Merrill Stevens
to a lease bold tax which the City may be re -
are to be subject i� is e�eol oa likely that Merrill Stevens wou
ld
goirod to share,
� tile improve
of their
make substantial monetary commitments o
pro perty,
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111111 • I 11111ENompoi,
disc Rs dfat§s .o
Merrill Stevens has indicated their desire to enter into lee
negotiations with the City for a 30 year lease based on the
following criteria:
1. That circulation in and around Merrill Stedens would be
incorporated into an overall design scheme for Dinner
Key which would provide public access from Peacock Park
to the so-called Boatshed property.
2. The amount of Bayshore Drive frontage would be reduced in
order to reduce the amount of potential tax exposure of
the property.
3. Substantial improvements would be made to the remaining
leased property including; a) additional piers and boat
slips, b) a new restaurant with a capacity of approximately
250 seats, c) landscaping and building improvements.
4. Agreement in a new lease speaking specifically to the issue
of taxes and responsibility for taxes.
5. A recognition in a new lease that the City will receive some
portion of any prior year's assessment for taxes due on the
property and provide for a commensurate reduction in the lease
revenues due the City.
It is my recommendation that the City Commission consider the attached
resolution for adoption at their July 28th meeting.
M*'.A : bk
7/22/77
RESOLUTION NO.
A RESOLUTION AUTHORIZING THE CITY MANAGER TO
NEGOTIATE A NEW LEASE WITH MERRILL STEVENS
AND TO SUBMIT A PROPOSED LEASE; TO THE CITY
COMMISSION AT THE EARLIEST POSSIBLE DATE.
WHEREAS, the City of Miami is desirous of implementing
the goals and objectives contained in the Dinner Key Master Plan
adopted in principle in 1973; and
WHEREAS, Merrill Stevens currently occupies and has
lease on property within the Dinner Key area; and
WHEREAS, services and facilities provided by Merrill
Stevens are in the public interest and serve a public purpose;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE
OF MIAMI, FLORIDA:
Section 1. That the City Manager is hereby authorized
negotiate a lease with Merrill Stevens based on the following
minimum criteria:
a. That substantial improvements will be
made to the lease property including landscaping and
building improvements, the addition of piers and docks
and construction of a full -service
b. That the circulation
property will be incorporated into
restaurant;
system on the leased
an overall circulation
system for the Dinner Key area; and the amount of
Bayshore Drive frontage be reduced in general agreement
with Exhibit A attached; and
c. That the issue or property tax liability
both past and future be resolved through lease negotiations
Section 2. That the City Manager is hereby authorized to
a proposed lease to the City Commission at the earliest
possible date.
PASSED AND ADOPTED this day o _ 1979.
ATTEST;
RALPH C, ONCIE, CITY CLERK
MAVRICE A. FERRE, MAYO R
1
MUM= AND APPRoVn
L-
MICHEL E. ANDERSON
ASSISTANT CITY ATTORNEY
APPROVED AS TO FORM AND CORRECTNESS:
ORGE
CITY A
KNOX, JR.
RNEY