HomeMy WebLinkAbout26138AGREEMENT INFORMATION
AGREEMENT NUMBER
26138
NAME/TYPE OF AGREEMENT
GALLERY AT LUMMUS PARC, LLC
DESCRIPTION
ARPA LOAN AGREEMENT/NEW CONSTRUCTION OF RENTAL
PROJECT/MATTER ID: 24-2614/#76
EFFECTIVE DATE
ATTESTED BY
TODD B. HANNON
ATTESTED DATE
5/26/2026
DATE RECEIVED FROM ISSUING
DEPT.
5/28/2026
NOTE
CITY OF MIAMI
DOCUMENT ROUTING FORM
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ORIGINATING DEPARTMENT: Housing and Community Development
EXT. 1971
DEPT. CONTACT PERSON: Maria T. Ason
NAME OF CONTRACTUAL PARTY/ENTITY: Gallery at Lummus Parc, LLC
IS THIS AGREEMENT TO BE EXPEDITED/RUSH:
TOTAL CONTRACT AMOUNT: $ 3,000,000.00
TYPE OF AGREEMENT:
❑ MANAGEMENT AGREEMENT
0 PROFESSIONAL SERVICE AGREEMENT
❑ GRANT AGREEMENT
❑ EXPERT CONSULTANT AGREEMENT
❑ LICENSE AGREEMENT
YES — NO
FUNDING INVOLVED? YES J N
0 PUBLIC WORKS AGREEMENT
0 MAINTENANCE AGREEMENT
❑ INTER -LOCAL AGREEMENT
0 LEASE AGREEMENT
0 PURCHASE OR SALE AGREEMENT
; JOTHER (PLEASE SPECIFY): Pre -development ARPA Loan Agreement Project
PURPOSE OF ITEM (DETAILED SUMMARY/ ADD ADDITONAL PAGES IF NECESSARY): Execute 3 original ARPA Loan Agreement:
for the Gallery at Lummus Parc project.
COMMISSION APPROVAL DATE: FILE ID: ENACTMENT No.:
IF THIS DOES NOT REQUIRE COMMISSION APPROVAL, PLEASE EXPLAIN: HCLC approval dated 9/20/24; 7/29/25 and 3/25/26
ROUTING INFORMATION
DATE
PLEASE PRINT AND ,IGN
APPROVAL BY DEPARTMENT DIRECTOR/
DESIGNEE
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PRINT: VICTOR TU NEWADE"
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SIGNATURE.
APPROVAL BY RISK MANAGEMENT
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PRINT: DAVID RUIZ JD ICU�
SIGNATURE:. /
APPROVAL BY CITY ATTORNEY
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PRINT: G • RGE*. WYS o NG III
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SIGNATURE: i
APPROVAL BY ASSISTANT CITY MANAGER
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PRINT: ERICA P 'SS •
SIGNATURE:
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APPROVAL BY DEPUTY CITY MANAGER
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PRINT: NATASHA COLEBROOK-WILLIAMS
SIGNATURE
APPROVAL BY CITY MANAGER
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PRINT:
SIGNATUif .
APPROVAL BY CITY CLERK
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PRINT: TODD B. N N
SIGNATURE:
PLEASE ATTACH THIS ROUTING FORM TO ALL DOCUMENTS THAT REQUIRE
EXECUTION BY THE CITY MANAGER
ARPA LOAN AGREEMENT FOR
GALLERY AT LUMMUS PARC, LLC
This American Rescue Plan Act of 2021 ("ARPA") Loan Agreement (this "Loan
Agreement" or "Agreement") for Gallery at Lummus Parc is dated as of this day of
, 2026, by and between the CITY OF MIAMI, a municipal corporation of the State of
Florida (hereinafter the "City" or "Lender"), and GALLERY AT LUMMUS PARC, LLC, a
Florida limited liability company (hereinafter the "Project Sponsor" or "Borrower" or
"Subrecipient"). Lender and Borrower are sometimes jointly referred to as "Parties."
FUNDING SOURCE:
United States Department of the Treasury, through its final
rule, 31 CFR Part 35, that implements the Coronavirus
State Fiscal and Local Fiscal Recovery Funds established
under the American Rescue Plan Act of 2021
AMOUNT: Three Million and 00/100 Dollars ($3,000,000.00) in ARPA
funds
RESOLUTION:
PROJECT NAME:
PROJECT TYPE:
PROJECT SPONSOR:
LAND OWNER:
TERM OF THE AGREEMENT:
AFFORDABILITY PERIOD:
ARPA ASSISTED UNITS:
PROPERTY ADDRESS:
The City of Miami Housing and Commercial Loan
Committee approval on September 20, 2024, July 29, 2025,
March 25, 2026 and May 6, 2026.
Gallery at Lummus Parc
New Construction of a Rental Project
Gallery at Lummus Parc, LLC, a Florida limited liability
company
Miami -Dade County, a political subdivision of the State of
Florida
See Section 1.20
Thirty (30) years commencing on the Close -Out of the
Project
Eighty (80) of the residential units shall be ARPA Assisted
Units for eligible individuals; Seventy -Two (72) of the
ARPA Assisted Units shall be allocated for Low Income
Households; Eight (8) of the ARPA Assisted Units shall be
allocated for Workforce -Income Households.
395 NW 1 St, Miami, FL 33128 (Folio Number: 01-0110-
090-1120)
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ORACLE NUMBER:
IDIS NUMBER:
EXHIBITS ATTACHED:
Exhibit "A"
Exhibit "B"
Exhibit "C"
Exhibit "D"
Exhibit "E"
Exhibit "F"
Exhibit "G"
Exhibit "H"
Exhibit "I"
Exhibit "J"
Exhibit "K"
Exhibit "L"
Schedule A
Legal Description
Scope of Work /Project Schedule
Budget
Form of Disbursement Agreement
Affirmative Marketing Procedures and Responsibilities
Form of Leasehold Mortgage and Security Agreement
Form of Declaration of Restrictive Covenants
Form of Rent Regulatory Agreement
Signage Requirements
Additional Insurance Requirements
Anti -Human Trafficking Affidavit
ARPA Consultant Approval
Schedule of Permitted Senior Financing
RECITALS
WHEREAS, the Project Sponsor is the developer of the real property described in Exhibit
"A." The Project Sponsor is constructing an affordable housing project that will be known as
Gallery at Luminus Parc that will increase the supply of rental housing units including units for
Low Income and Workforce -Income Individuals and Households, by providing additional
affordable rental units.
WHEREAS, on September 20, 2024, and as amended on July 29, 2025, and on March 25,
2026, and on May 6, 2026, the City's Housing and Commercial Loan Committee ("HCLC")
approved an allocation of ARPA funds in the amount of Three Million and 00/100 Dollars
($3,000,000.00) to Project Sponsor for the Project's hard and soft construction cost; and
WHEREAS, the City and the Project Sponsor intend and agree that the ARPA Funds be
subject to the terms and conditions of this Agreement.
NOW THEREFORE, in consideration of the mutual covenants and obligations herein
contained, and subject to the terms and conditions hereinafter stated, the Parties understand and
agree as follows:
ARTICLE I
DEFINITIONS
The City and the Project Sponsor hereby agree that the capitalized terms used herein shall
have the meanings set forth below unless the context requires otherwise:
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1.1 Affordability Period:
1.2 Affordable:
1.3 Close -Out of the Project:
1.4 Contract Records:
The period of time that the Assisted Units must
remain Affordable, in compliance with 31 CFR Part
35. The Affordability Period for this Project will be
thirty (30) years, commencing on the Close -Out of
the Project.
A project . or unit that satisfies the affordability
requirements set forth in this Loan Agreement, the
Covenant, and the Rent Regulatory Agreement.
The date on which the Project has obtained all of the
required Certificate(s) of Occupancy and all ARPA
Assisted Units have been leased to eligible ARPA
tenants.
Any and all books, records, documents, information,
data, papers, letters, materials, electronic storage
data and media, whether written, printed,
computerized, electronic or electrical, however
collected or preserved which are or were produced,
developed, maintained, completed, received or
compiled by or at the direction of the Project Sponsor
or any Project contractor or subcontractor relating to
the use of the ARPA Funds in carrying out the duties
and obligations required by the terms of this
Agreement, including, but not limited to, financial
books and records, ledgers, drawings, maps,
pamphlets, designs, electronic tapes, computer
drives and diskettes or surveys.
1.5 Effective Date: The date on which the Agreement has been signed by
the City Manager and attested to by the City Clerk.
1.6 ARPA:
United States Department of the Treasury's final
rule, 31 CFR Part 35, that implements the
Coronavirus State Fiscal and Local Fiscal Recovery
Funds established under the American Rescue Plan
Act of 2021
1.7 HUD: The United States Department of Housing and Urban
Development.
1.8 ARPA Assisted Units,
or Assisted Units:
Eighty (80) of the Project's total two hundred fifty-
seven (257) residential apaitiiient units, will be
ARPA Assisted Units for households/individuals.
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1.9 ARPA
Loan Documents, or
Loan Documents:
1.10 ARPA
Funds, or, the Loan:
1.11 ARPA Program:
They are restricted for households with incomes at or
below one hundred twenty percent (120%) and
eighty percent (80%) of the median income for the
area, as determined by HUD with adjustments and
certain exceptions as provided in 31 CFR Part 35.
Seventy -Two (72) of the ARPA Assisted units shall
be allocated for Low Income Households at or below
eighty percent (80%) of the median income for the
area as determined by HUD with adjustments and
certain exceptions as provided in 31 CFR Part 35;
Eight (8) of the ARPA Assisted Units shall be
allocated for Workforce -Income Households at or
below one hundred twenty percent (120%) of the
median income for the area as determined by HUD
with adjustments and certain exceptions as provided
in 31 CFR Part 35. The payable rents on the ARPA
Assisted Units are subject to the Covenant and the
Rent Regulatory Agreement. Further restrictions
apply to the ARPA Assisted Units as provided in this
Agreement, the Covenant, the other ARPA Loan
Documents and the Legal Requirements, as
applicable. The ARPA Assisted Units shall remain
Affordable throughout the Affordability Period.
This Agreement and all other documents that may
now or hereafter evidence or secure the loaned
ARPA Funds together with other documents
executed in connection therewith or presented by the
Project Sponsor to the City in connection therewith
or herewith, including but not limited to Exhibits D,
F, G, H, and the Note, and all amendments,
extensions and renewals to any of the foregoing.
The loan in the amount of Three Million and 00/100
dollars ($3,000,000.00) from the City to the Project
Sponsor for the Project's construction costs.
United States Depaitiiient of the Treasury's final
rule, 31 CFR Part 35, that implements the
Coronavirus State Fiscal and Local Fiscal Recovery
Funds established under the American Rescue Plan
Act of 2021.
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1.12 ARPA Requirements: The requirements contained in this Agreement, 31
CFR Part 35 and any other requirements imposed by
the City.
1.13 Legal Requirements: All federal, state and local laws, regulations and
requirements relating or pertaining to the ARPA
Loan and/or the Project, and any requirements
imposed by the City.
1.14 Low -Income
Household: A household with annual income that does not
exceed eighty percent (80%) of the median income
for the area, as determined by HUD with adjustments
and certain exceptions as provided in 31 CFR Part
35.
1.15 Workforce -Income
Household:
1.16 Project:
1.17 Property:
A household with annual income that does not
exceed one hundred twenty percent (120%) of the
median income for the area, as determined by HUD,
with adjustments and certain exceptions as provided
in 31 CFR Part 35.
Gallery at Lummus Parc is new construction
consisting of a 28-floor residential building located
at 395 NW 1 Street, Miami, Florida 33128. The
project will have a total of two hundred fifty-seven
(257) units. Eighty (80) ARPA Assisted Units shall
be occupied by eligible tenants, as described herein,
and shall be comprised of eighty (80) one
bedroom/one bathroom apartment units. The
building on the Property shall be constructed in
accordance with the Project Schedule/Scope of Work
and the plans and specifications, attached hereto and
incorporated herein as Exhibit "B", that will provide
affordable housing opportunities in accordance with
HUD income guidelines.
The real property, located at 395 NW 1 Street Miami,
Florida 33128, in the County of Miami -Dade, State
of Florida, on which the Project is being constructed,
as legally described in Exhibit "A," attached hereto
and incorporated herein.
1.18 Permitted Senior Financing: See Section 5.17.
1.19 Rent Regulatory Agreement: See Exhibit "H"
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1.20 Term:
1.21 The Covenant:
The period commencing on the Effective Date hereof
and ending at the expiration of the Affordability
Period, unless this Agreement is terminated sooner
as provided for herein.
A Declaration of Restrictive Covenants to be
recorded in the Public Records of Miami -Dade
County, Florida to ensure that the ARPA Assisted
Units will qualify and remain Affordable during the
Affordability Period.
1.22 Treasury: United States Department of the Treasury
1.23 The Note:
1.24 The Mortgage
The Promissory Note of even date herewith
evidencing the Loan, executed by the Project
Sponsor in favor of the City.
The Leasehold Mortgage and Security Agreement
collateralizing the Loan, executed by the Project
Sponsor, a copy of which is attached hereto and
incorporated herein as Exhibit "F."
ARTICLE II
ARPA FUNDS
Upon satisfaction of all conditions set forth herein, the City shall disburse the ARPA Funds
to the Project Sponsor for the purposes herein set forth.
2.1 Use of Funds. The Gallery at Lummus Parc Project is new construction
consisting of a 28-floor residential building located approximately at 395 NW 1 Street, Miami,
Florida 33128. The Project consists of a total of two hundred fifty-seven (257) units. Eighty (80)
units will be ARPA Assisted Units which shall be occupied by Workforce -Income and Low -
Income Households for a period of thirty (30) years, commencing at the Close -Out of the Project.
The ARPA Funds shall be used for certain development costs and for construction hard
costs of the Project, in accordance with the Scope of Work/Project Schedule attached hereto and
incorporated herein as Exhibit "B" and the Budget attached hereto and incorporated herein as
Exhibit "C."
2.2 Disbursement. The ARPA Funds shall be disbursed in accordance with the Budget
attached hereto and incorporated herein as Exhibit "C" and in the manner set forth in that certain
Disbursement Agreement, of even date herewith, which is entered into by the City and the Project
Sponsor (the "Disbursement Agreement"), a copy of which is attached hereto and incorporated
herein as Exhibit "D". The Project Sponsor shall not request disbursement of ARPA Funds until
ARPA Funds are needed for payment of eligible costs. The amount of each request for
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disbursement must be limited to the amount needed for the payment of eligible costs. The Project
Sponsor agrees and affirms that any expenditure of the ARPA Funds will be in compliance with
the requirements of 31 CFR 35.
Project Sponsor acknowledges and affirms that Ten Thousand and 00/100 Dollars
($10,000.00) of the ARPA Funds was awarded to the Project for, and may be used by the City to
cover, certain costs incurred by the City in connection with the Project.
2.3 Repayment of ARPA Funds. Repayment by the Project Sponsor of principal,
accrued interest, and other costs and charges set forth in the ARPA Loan Documents shall be
repaid as follows:
A. The principal of the Loan, as evidenced by the Note, shall bear zero percent (0%) interest
from the Effective Date of this Agreement until the seventh (7th) anniversary date following the
Close -Out of the Project. Beginning on the seventh (7th) anniversary date following the Close -Out
of the Project, the principal of this Promissory Note shall bear interest at the rate of 0.8333% per
annum simple interest. Beginning on year eight (8) after the Close -Out of the Project, Borrower
shall make annual interest -only payments in accordance with the terms and conditions of the Note.
B. The Project Sponsor shall not agree to any transaction or agreement that will create
additional mandatory superior payments without the City's prior written approval other than the
Permitted Senior Financing as set forth on Schedule "A" attached hereto and made a part hereof.
C. Notwithstanding any provision herein to the contrary, in the event that the Project
Sponsor shall:
(i)
Meet all of its obligations hereunder and under all of the ARPA Loan
Documents executed in connection herewith;
(ii) Commence construction of the Project within six (6) months from the
Effective Date of this Agreement;
(iii) Obtain all required certificates of occupancy for the Project, within eighteen
(18) months from the Effective Date;
(iv) Rent eighty (80) ARPA Assisted Units to Low -Income and Extremely Low -
Income Households in accordance with the requirements of this Agreement,
within twelve (12) months after the issuance of certificates of occupancy
for the Project, but in no event later than thirty-six (36) months from the
Effective Date
(v) Throughout the Affordability Period, rent the ARPA Assisted Units to Low -
Income Households and Workforce -Income Households in accordance with
the requirements of this Agreement, the Covenant, the Rent Regulatory
Agreement and the other ARPA Loan Documents; and
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(vi) Throughout the Affordability Period, comply with all applicable ARPA
Requirements and all applicable requirements hereof and in the other ARPA
Loan Documents;
then, in such event, the City may, in its sole and absolute discretion, cancel all remaining
indebtedness on the Loan, cancel the ARPA Note (and deliver, or cause to be delivered, the
cancelled original ARPA Note to the Project Sponsor), and satisfy the Mortgage (and prepare and
record a satisfaction of the Mortgage in the Public Records of Miami -Dade County, Florida).
D. Notwithstanding any provision herein to the contrary, the amount of the ARPA Funds
disbursed hereunder, together with all interest accrued thereon, shall become due and payable upon
the occurrence of an Event of Default as described in Article VII below and the continuance of
such Event of Default beyond the applicable cure period, if any.
2.4 Commitment Fee: Project Sponsor agrees to pay the City a $5,000.00 commitment fee
prior to the disbursement of any ARPA Funds.
ARTICLE III
DISBURSEMENT REQUIREMENTS
3.1 CONDITIONS OF DISBURSEMENT OF ARPA FUNDS.
The City shall not be obligated to disburse the ARPA Funds unless and until the City has
received the following:
3.1.1 Title Insurance. A title insurance commitment issued by a title insurance company
acceptable to the City identifying the City's insurable interest and the Project
Sponsor's leasehold interest in the Property, together with copies of all instruments
which appear as exceptions therein. The title commitment and policy shall be
issued without exceptions, except for those exceptions permitted by the City, and
shall include such affirmative coverage as the City shall require.
3.1.2 Survey. An original current survey of the Property made by a registered surveyor
satisfactory to the City and the title company and containing such certifications as
the City and the title company may require.
3.1.3 Zoning. Evidence that the Property and the proposed improvements comply with
all applicable zoning ordinances.
3.1.4 ARPA Program. Evidence of the Project Sponsor's satisfactory compliance with
all of the applicable requirements of the ARPA Program, pursuant to 31 CFR Part
35, as hereinafter detailed.
3.1.5 Corporate Documents.
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(a) The operating agreement, or its equivalent, and a good standing certificate
for the Project Sponsor and its Manager, certified by the appropriate
governmental authority.
(b) Resolutions, and incumbency certificates, or, in the case of a partnership,
their equivalent, for the Project Sponsor and its Manager certified by the
Corporate Secretary or other authorized signer, authorizing the
consummation of the transactions contemplated hereby, all satisfactory to
the City.
(c) Evidence satisfactory to the City that Project Sponsor or any member of
such entity, is qualified to receive funds under the ARPA Program in
accordance with the ARPA Requirements. As of the date of this Agreement
the Project Sponsor is in compliance with this requirement.
3.1.6 Insurance Policies. The Project Sponsor shall be required to obtain and furnish
evidence of insurance coverage the City may reasonably require during the Term
of this Agreement, as set forth on Exhibit "J" attached hereto and made a part
hereof All such policies shall provide the City with a mandatory written notice of
cancellation or material change from the insurer not less than thirty (30) days prior
to any such cancellation or material change, and all such policies shall be written
by insurance companies satisfactory to the City.
Failure of the Project Sponsor to submit all required evidence of the specified insurance
coverage fourteen (14) calendar days prior to the start of Project shall delay the disbursement of
the ARPA Funds.
3.1.7 Operative Documents. This Agreement, the Covenant, and all other ARPA Loan
Documents, duly and lawfully executed by the Project Sponsor and in recordable
form, where appropriate.
3.1.8 Appraisal. A current appraisal of the Property made by a member of the American
Institute of Real Estate Appraisers.
3.1.9 List of Contractors and Subcontractors. A list of all of the Project Sponsor's
subcontractors and contractors as of the date of execution of this Agreement, and
copies of all contracts in excess of $100,000 for the performance of services or the
supply of materials in connection with the Project to be funded pursuant to this
Agreement.
3.1.10 Compliance with ARPA Requirements. All other documents required by the
ARPA Program evidencing compliance with ARPA Requirements.
3.1.11 Intentionally Deleted.
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3.1.12 Evaluation of Project Costs. The evaluation of the Project's costs as prepared by
an independent engineer/general contractor, engaged by the Project Sponsor, that
supports the total projected construction costs of the Project.
3.1.13 First Source Hiring Agreement. N/A
3.1.14 Historic Preservation Review. N/A
3.1.15 Environmental Report. The Project Sponsor shall submit all information requested
by the City with respect to the Project including, but not limited to, a Phase I
Environmental Assessment Report, in a form acceptable to the City.
3.1.16 Audit Report. The Project Sponsor shall submit audit reports, as are required herein,
to the City.
3.1.17 Personnel Policies and Administrative Procedure Manuals. The Project Sponsor
shall submit detailed documents describing the Project Sponsor's internal
organizational structure, property management and procurement policies and
procedures, personnel management, accounting policies and procedures, etc. Such
information shall be submitted to the City within thirty (30) days of the execution
of this Agreement and prior to the disbursement of any funds hereunder.
3.1.18 Certificate Regarding Lobbying. Such Certificate Regarding Lobbying as may be
requested by the City.
3.1.19 Certificate Regarding Debarment, Suspension, and Other Responsibility Matters.
Such Certificate Regarding Debarment, Suspension and Other Responsibility
Matters as may be requested by the City.
3.1.20 Public Entity Crime Affidavit. Such Public Entity Crime Affidavit as may be
required by the City.
3.1.21 Environmental Clearance: See section 3.1.15.
3.1.22 Anti -Human Trafficking. The Project Sponsor confirms and certifies that it is not
in violation of Section 787.06, Florida Statutes, and that it does not and shall not
use "coercion" for labor or services as defined in Section 787.06, Florida Statutes.
The Property Owner shall execute and submit to the City an Affidavit, of even date
herewith, in compliance with Section 787.06(13), Florida Statutes, attached an
incorporated herein as Exhibit "K".
3.1.23 All other documents reasonably required by the City.
3.1.24 The Project Sponsor shall be in full compliance with the requirements of previously
funded City projects that are either under construction or in their affordability
periods, including, but not limited to, the requirements of applicable Office of
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Management and Budget ("OMB") Circular(s) and any other reporting and
insurance requirements imposed by the City for those projects.
ARTICLE IV
ARPA PROGRAM REQUIREMENTS
The Project Sponsor shall comply with all applicable requirements of ARPA including, but
not limited to, the following ARPA Requirements:
4.1 GENERAL.
4.1.1 The Project Sponsor shall maintain current documentation that its activities
qualify under the ARPA Requirements.
4.1.2 The Project Sponsor shall ensure that any expenditure of the ARPA Funds
will be in compliance with the requirements of 31 CFR Part 35.
4.1.3 The Project Sponsor shall comply with all the non-discrimination
requirements of 31 CFR §35.6.
4.1.4 The Project Sponsor shall comply with the affirmative marketing
requirements specified in Exhibit "E" attached hereto and incorporated
herein.
4.1.5 The Project Sponsor shall comply with all applicable provisions of 31 CFR
Part 35, including, but not limited to: (i) all applicable displacement,
relocation and acquisition requirements; (ii) ARPA conflict of interest
provisions, in addition to the conflict of interest provisions specified under
Section 6.7 of this Agreement; and (iii) shall carry out each Project activity
in compliance with all other applicable Federal laws and regulations.
4.1.6 The Project Sponsor shall ensure that, upon Close -Out of the Project and
throughout the Affordability Period, the Project meets the same property
standards contained in 24 CFR §92.251 and the lead -based paint
requirements of 24 CFR §92.355 and 24 CFR Part 35, subparts A, B, J, K,
M and R.
4.1.7 Throughout the Affordability Period the Project Sponsor shall comply with
all Project housing quality standards reasonably imposed by the City.
4.1.8 The Project Sponsor agrees that throughout the Affordability Period, Rents
and tenant incomes for the ARPA Assisted Units shall be monitored by the
City.
4.1.9 The Project Sponsor shall comply with all applicable labor requirements
pursuant to federal, state, and local laws, rules, and regulations.
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4.1.10 Attendance at citizen participation committees/meetings, provided the
Project Sponsor is provided reasonable notice of such committees/meetings.
4.1.11 The Project Sponsor shall, to the greatest extent possible, give Low -Income
residents opportunities for training and employment.
4.1.12 The Project Sponsor shall ensure that the selection of eligible tenants to
occupy the ARPA Assisted Units shall be from the results of a tenant lottery
and comply with the requirements of the City of Miami Resident Preference
Ordinance, as described in Section 12.6 of this Agreement.
4.1.13 The Project Sponsor shall ensure and maintain documentation that
conclusively demonstrates that each activity assisted in whole or in part with
ARPA Funds is an eligible activity under ARPA
4.2 REAL PROPERTY.
4.2.1 Any real property that was acquired or unproved in whole or in part with
ARPA Funds received from the City shall be either:
(a) Used to complete one of the ARPA eligible activities as required by and
defined in 31 CFR Part 35 for such period of time as determined by the City,
based on the eligible activity.
(b) If not used in accordance with paragraph (a) above, then that shall constitute
an Event of Default and Project Sponsor shall pay to the City an amount equal
to the amount of ARPA Funds disbursed at the time of default plus accrued
interest from the time of the default.
4.2.2 All real property purchased in whole or in part with funds for this
Agreement with the City, or transferred to the Project Sponsor after being
purchased in whole or in part with funds from the City, shall be listed in the
property records of the Project Sponsor and shall include: a legal
description; size; address and location; owner's name if different from the
Project Sponsor; information on the transfer or disposition of the property;
and a map indicating whether property is in parcels, lots, or blocks and
showing adjacent streets and roads. The property records shall describe the
programmatic purpose for which the property was acquired and identify the
ARPA activity that will be completed. If the property was improved, the
records shall describe the programmatic purpose for which the
improvements were made and identify the ARPA activity that will be
completed.
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4.3 PERSONAL PROPERTY.
4.3.1 Definitions.
(a) Personal Property. Personal Property of any kind except real property:
1) Tangible. All personal property having physical existence.
(b)
(c)
2) Intangible. All personal property having no physical existence such
as patents, inventions and copyrights.
Non -expendable Personal Property. Tangible personal property of a non-
consumable nature, with a value of $500.00 or more per item, with a normal
expected life of one or more years, not fixed in place, and not an integral
part of a structure, facility, or another piece of equipment.
Expendable Personal Property. All tangible personal property other than
non -expendable property.
4.3.2 Requirements. The Project Sponsor shall comply with the non -expendable
personal property requirements stated below:
(a) All non -expendable personal property purchased in whole or in part with
funds from this and previous contracts with the City shall be listed in the
property records of the Project Sponsor and shall include: a description of
the property; location; model number; manufacturer's serial number; date of
acquisition; funding source; unit cost; property inventory number;
information on its condition; and information on the transfer, replacement,
or disposition of the property.
(b) All non -expendable personal property purchased in whole or in part with
funds from this and previous contracts with the City shall be inventoried
annually by the Project Sponsor in an inventory report submitted to the City
when and as requested by the City. The inventory report shall include the
elements listed in Paragraph 4.3.2(a), above.
(c) Ownership of all non -expendable personal property purchased in whole or
in part with funds given to the Project Sponsor pursuant to the terms of this
Agreement shall vest in the City.
4.4 DISPOSITION. The Project Sponsor shall obtain the prior written approval of the City for
the disposition of real property, expendable personal property and non -expendable personal
property purchased in whole or in part with ARPA Funds, and shall dispose of all such property
in accordance with instructions from the City. Those instructions may require the return of all
such property to the City, subject to the terms of the subordination agreements related to the
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financing of the Project to which both Borrower and City are parties (collectively, "Subordination
Agreement").
4.5 GENERAL CONTRACTORS, SUBCONTRACTS, AND ASSIGNMENTS.
4.5.1 The Project Sponsor shall ensure that all Project general contractors and
subcontracts and assignments funded with the ARPA Funds:
(a) Identify the full, correct, and legal name of all parties;
(b) Describe the activities to be performed;
(c) Present a complete and accurate breakdown of its price component;
(d) Incorporate a provision requiring compliance with all applicable regulatory
and other requirements of this Agreement, and with any other conditions
and/or approvals that the City may deem necessary. The requirements of
this subparagraph apply to general contractors and subcontracts and
assignments in which parties are engaged to carry out any eligible
substantive programmatic service, as may be defined by the City, set forth
in this Agreement. The City shall in its sole and absolute discretion
determine when services are eligible substantive programmatic services and
subject to the audit and record -keeping requirements described in this
Agreement; and
(e) Incorporate the language of the Certificate Regarding Lobbying executed in
connection herewith.
4.5.2 The Project Sponsor shall incorporate in all consultant contracts and other contracts
with general contractors and subcontractors the following provision:
"[The Project Sponsor] is not responsible for any insurance or other fringe
benefits, e.g., social security, income tax withholding, retirement or leave benefits,
for [the Consultant] or employees of [the Consultant], that are normally available
to direct employees of [the Project Sponsor]. [The Consultant] assumes fill
responsibility for the provision of all insurance and fringe benefits for
himself/herself/itself and employees retained by [the Consultant] in carrying out
the Scope of Services provided in this contract."
4.5.3 The Project Sponsor shall be responsible for monitoring the contractual
performance of all subcontractors and general contractors.
4.5.4 The Project Sponsor shall submit to the City for its review and confirmation any
contract with general contractors or subcontractors engaging any party who agrees
to carry out any substantive programmatic activities for any work in excess of
$10,000.00, to ensure its compliance with the requirements of this Agreement. The
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City's review and confirmation shall be obtained prior to the release of any ARPA
funds for the Project Sponsor's subcontractor(s) and general contractor(s).
4.5.5 The Project Sponsor shall receive written approval from the City prior to either
assigning or transferring any obligations or responsibility set forth in this
Agreement.
4.5.6 Approval by the City of any contract with subcontractors or general contractors or
assignment shall not under any circumstances be deemed to be the City's agreement
to incur any obligations in excess of the total dollar amount agreed upon in this
Agreement.
4.5.7 The Project Sponsor and its general contractors and subcontractors shall comply
with Chapter 18/Article X of the Code of the City of Miami, Florida, as amended
("City Code"), entitled "Finance/Living Wage Requirements for Service Contracts
and City Employees", if applicable, the Copeland Anti -Kick Back Act, the Contract
Work Hours and Safety -Standards Act, the Lead -Based Paint Poisoning Prevention
Act, the Residential Lead Based Paint Hazard Reduction Act of 1992 (and
implementing regulations at 31 C.F.R. Part 35) and any other applicable laws,
ordinances and regulations.
4.5.8 If the City requests it in writing, the Project Sponsor shall submit to the City, for
written prior approval, all proposed Solicitation Notices, Invitations for Bids, and
Requests for Proposals.
4.6 REPORTING OBLIGATIONS.
4.6.1 The Project Sponsor shall submit the following as required by the City:
4.6.1.1 Progress Reports. The Project Sponsor shall submit monthly and
quarterly status reports and projected completion dates to describe
the progress made by the Project Sponsor in achieving each of the
objectives identified in Exhibit "B" attached hereto. The Project
Sponsor shall also submit an Earned Income Report in such form as
may be required by the City. Both the Progress Report and the
Earned Income Report shall be provided to the City on a monthly
and quarterly basis until Close -Out of the Project.
4.6.1.2 Inventory Report. The Project Sponsor shall furnish such reports on
the Project real property, as specified in Paragraph 4.2 hereof, as
may be requested by the City.
4.6.13 Affirmative Action Plan. The Project Sponsor shall report to the
City such information relative to the equality of Project employment
opportunities as and when requested by the City.
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4.6.1.4 Assurance of Compliance with Section 504 of the Rehabilitation
Act. The Project Sponsor shall report on its compliance with
Section 504 of the Rehabilitation Act, whenever requested by the
City.
4.6.1.5 Affirmative Marketing Plan and Report. The Project Sponsor shall
report to the City, annually, on all actions taken to comply with the
affirmative marketing requirements provided in Exhibit "E"
attached hereto.
4.6.1.6 List of Subcontractors. The Project Sponsor shall provide a list of
all Project contractors and subcontractors, and copies of all contracts
in excess of $100,000 for the performance of services or the supply
of materials in connection with the Project.
4.6.1.8. Audits, Other Information and Records.
(i)
The Project Sponsor shall submit to the City an audit
conducted by an independent certified public accountant or
firm of independent certified public accountants in
accordance with generally accepted auditing standards,
including audited financial statements and a report on
compliance with laws and regulations based on the audit of
financial statements. Two copies of each such audit must be
delivered to the City no later than six (6) months following
the end of each Project Sponsor fiscal year.
Each such audited financial statement is to be for the
twelve (12) months ending December 31 and shall
include:
a. Comparative Balance Sheet with prior year and
current year balances;
b. Statement of revenue and expenses;
c. Statement of changes in fund balances or equity;
d. Statement of cash flows; and
e. Notes
The financial statements shall be accompanied by a
certification of the Project Sponsor as to the accuracy of
such financial statements.
A late fee of $500.00 will be assessed by the City for failure
to submit any of the required audited financial statements
or the certification each year as required.
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At the request of the City, the Project Sponsor shall also
furnish to the City, within thirty (30) days of a request by
the City, unaudited financial statements of the Project
Sponsor, certified by the Project Sponsor's principal
financial or accounting officer, covering such financial
matters as the City may request, including without
limitation, monthly statements with respect to the Project.
(ii) The Project Sponsor shall maintain all Contract Records in
accordance with generally accepted accounting principles,
procedures, and practices, which records shall sufficiently
and properly reflect all revenues and expenditures of funds
provided directly or indirectly by the City pursuant to the
terms of this Agreement.
(iii) The Project Sponsor shall ensure that the Contract Records
shall be at all times subject to and available for full access
and review, inspection or audit by the City and federal
personnel and any other personnel duly authorized by the
City.
(iv) The Project Sponsor shall include in all Project contracts
with subcontractors or general contractors, each of the
record keeping and audit requirements detailed in this
Agreement. The City shall in its sole discretion determine
when services are subject to the audit and recordkeeping
requirements described above.
The Project Sponsor shall submit to the City all reports described in this Section 4.6, and
all other reports that the City may reasonably require, in such form, manner and frequency as the
City may require to monitor the progress of the Project and the Project Sponsor's performance and
compliance with this Agreement, the Rent Regulatory Agreement, the other ARPA Loan
Documents and all Legal Requirements.
4.6.1.9 Affordability Report. On February 1 (or on such other date that the City shall
authorize in writing) of each year during the Affordability Period, the Project Sponsor shall provide
a report describing the previous year's compliance with the affordability requirements set forth
herein. The Affordability Report shall be accompanied by such substantiating documentation as
the City shall request.
4.6.2 Federal, State and County Laws and Regulations.
4.6.2.1 The Project Sponsor shall comply with all applicable provisions of
federal, state, county and City laws, regulations, rules and
administrative requirements, such as OMB Circular No. A-122,
OMB Circular No. A-110, OMB Circular No. A-21, and OMB
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Circular No. A-133, which are incorporated herein by reference, as
they may be revised from time to time.
4.6.2.2 The Project Sponsor shall comply with all applicable federal laws
and regulations such as: 31 CFR Part 35, as may be amended from
time to time; 24 CFR Part 85, Section 504 of the Rehabilitation Act
of 1973, as amended, which prohibits discrimination on the basis of
handicap; Title VI of the Civil Rights Act of 1964, as amended,
which prohibits discrimination on the basis of race, color, or national
origin; the Age Discrimination Act of 1975, as amended, which
prohibits discrimination on the basis of age; Title VIII of the Civil
Rights Act of 1968, as amended, and Executive Order 11063 which
prohibits discrimination in housing on the basis of race, color,
religion, sex, or national origin; Executive Order 11246 which
requires equal employment opportunity; and with the Energy Policy
and Conservation Act (Pub. L. 94-163) which requires mandatory
standards and policies relating to energy efficiency.
4.6.2.3 If the amount payable to the Project Sponsor pursuant to the terms
of this Agreement is in excess of $100,000.00, the Project Sponsor
shall comply with all applicable standards, orders, or regulations
issued pursuant to the Clean Air Act of 1970 (42 U.S.C. 7401 et.
seq.), as amended; the Federal Water Pollution Control Act (33
U.S.C. 1251), as amended; Section 508 of the Clean Water Act (33
U.S.C. 1368); Environmental Protection Agency regulations (40
CFR Part 15); and Executive Order 11738.
ARTICLE V
REPRESENTATIONS AND WARRANTIES
OF THE PROJECT SPONSOR
The Project Sponsor represents and warrants to the City as follows:
5.1 Organization and Existence. The Project Sponsor is a Florida limited liability
company, duly organized, validly existing and in good standing under the laws of the State of
Florida, and has full power and authority to conduct its business as presently conducted, to receive
the ARPA Funds, and to own, operate and develop the Project. Project Sponsor shall maintain its
existence as a limited liability company and authority to conduct its business under the laws of the
State of Florida.
The Project shall comply with all applicable ARPA Requirements, as may be amended
from time to time. The Project Sponsor has full power and authority to perform the provisions
hereof and of its agreements and undertakings with the City and to perform the transactions
contemplated hereby, and such execution and performance have been duly authorized by all
necessary corporate or other approvals and actions.
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5.2 Correctness of Documents. The cost estimates, Budget, settlement disclosure,
schedules, and all other documents furnished to the City in accordance with the ARPA Program,
this Agreement, and/or the other ARPA Loan Documents, are true and correct in all material
respects as of the date of this Agreement and accurately set forth the facts contained therein and
neither misstate any material fact nor, separately or in the aggregate, fail to state any material fact
necessary to make the statements made therein not misleading.
5.3 Absence of Proceedings, Actions and Judgments. As of the date of this Agreement,
there are no conditions, circumstances, events, agreements, documents, instruments, restrictions,
actions, suits or proceedings pending or, to Project Sponsor's knowledge, threatened against or
affecting the Project Sponsor, the Project or the Property which could adversely affect the Project
Sponsor's ability to comply with the ARPA Program, complete or operate the Project or to perform
its obligations hereunder or which would constitute an Event of Default hereunder or under the
other ARPA Loan Documents regardless of the giving of notice or the passage of time or both.
There are no outstanding or unpaid judgments or arbitration awards against the Project Sponsor.
5.4 Non -Default. The Project Sponsor is not in default or violation with respect to any
Legal Requirement, nor is it in default under or in material breach of any instrument or agreement
to which it is a party or by which it otherwise may be bound. The execution and delivery of this
Agreement and the other ARPA Loan Document, the consummation of the other transactions
contemplated hereby, and the development of the Project as contemplated hereby and by the other
ARPA Loan Document: (i) to the best of the Project Sponsor's knowledge, do not and will not
conflict with or result in violation of any Legal Requirement or in the breach or default under any
indenture, contract, agreement or other instrument to which the Project Sponsor is a party or by
which it may be bound; and (ii) have been duly authorized by all necessary actions and approvals,
whether corporate or otherwise.
5.5 Valid Obligations. This Agreement and all of the other ARPA Loan Documents,
when executed and delivered, shall constitute the duly authorized, legal, valid and binding
obligations of the Project Sponsor and will be enforceable in accordance with their respective
terms.
5.6 Marketable Title. The Project Sponsor has good and marketable leasehold title
to=the Property, subject only to: (a) the exceptions and other matters set forth in that certain Title
Insurance Commitment (Order Number 12984278) issued by Fidelity National Title Insurance
Company, effective as of May 4, 2026, at 11:00 pm, as endorsed. (collectively, the "Title
Commitment and Exceptions"); and (b) from time to time, the granting of utility and similar
easements on a non -material portion of the Property to utility and similar service providers for the
installation and maintenance of utility and similar service equipment and components.
5.7 Compliance. The completion and use of the Project in accordance with the Scope
of Work will comply fully with all Legal Requirements, and with all limitations on the use of the
Project, or any other condition, grant, easement, covenant, or restriction, whether recorded or not.
All necessary approvals, permits and licenses for the construction, operation, and use of the Project
have been unconditionally obtained and are in full force and effect, or if the present state of
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construction of the Project does not allow such issuance, then such approvals, permits and licenses
will be issued when the Project is completed.
5.8 Encroachments. When completed in accordance with the Scope of Work, the
Project will not encroach upon any building line, setback line, side yard line or other recorded or
visible easements or other easements of which the Project Sponsor is aware which exists (or which
the Project Sponsor has reason to believe may exist) with respect to the Project other than set forth
in the Title Commitment and Exceptions.
5.9 Scope of Work. The Scope of Work is complete in all respects, and contains all
details requisite for the Project which, when built and equipped in accordance therewith, shall be
ready for the intended use and occupancy thereof.
5.10 Leases. There are no leases, tenancies, licenses or agreements for use of any part
of the Property other than as specifically disclosed to and approved by the City, which, for
avoidance of doubt (and which the City hereby acknowledges and agrees), are limited to the leases
for the rental of each ARPA Assisted Unit each which may be entered into from time to time.
5.11 Pending Assessments. The Project Sponsor has no knowledge of any pending or
proposed governmental action that would impair the operation or value of the Project or result in
a special assessment against the Project.
5.12 Waste. The Project Sponsor shall not commit or suffer waste or negligence on the
Project.
5.13 Fraud. No fraud by the Project Sponsor has occurred in the qualification of the
Project, the Project Sponsor and/or the Property under the ARPA Program, the negotiation of this
Agreement and the other ARPA Loan Documents, nor in the transactions contemplated hereby.
5.14 No Casualty. No part of the Property and/or the Project has been damaged or has
been subjected to condemnation or other proceedings, and, to the best of the Project Sponsor's
knowledge and belief, no such proceedings have been threatened.
5.15 No Changes. There have been no material adverse changes in projected costs and
expenses of or from the Project or in the occupancy of the Property or any other features of the
transactions contemplated hereby as submitted to the City.
5.16 Compliance with Laws and Regulations. The Project Sponsor will comply at all
times with all Legal Requirements. The Project Sponsor will comply at all times with the ARPA
Requirements affecting the ownership, use, construction, lease and operation of the Project.
5.17. Other Project Financing. The Project Sponsor has not applied for nor received, and
does not otherwise have available, in connection with the Project any other senior
financing/funding, except for those funds, loans and/or loan commitment previously identified in
writing to, and approved by, the City as set forth on the attached Schedule A ("Permitted Senior
Financing").
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5.18 Reaffirmation. Each of the representations and warranties set forth in this Article
shall be true at all times and the Project Sponsor's acceptance of the ARPA Funds hereunder by
the Project Sponsor shall be deemed to be a reaffirmation of each of the representations and
warranties given in this Agreement.
ARTICLE VI
PROJECT SPONSOR'S AND OWNER'S OBLIGATIONS
6.1 Scope of Work. The Project Sponsor shall perform the Scope of Work as set forth
herein and on Exhibit "B" attached hereto.
Project Sponsor shall: (a) meet all of its obligations hereunder and under all of the ARPA
Loan Documents executed in connection herewith, (b) commence construction within six (6)
months from the Effective Date of the contract, (c) obtain all certificates of occupancy required
for the Project within eighteen (18) months after the Effective Date; (d) rent all eighty (80) ARPA
Assisted Units to Low -Income Households and Workforce -Income Households in accordance
with the requirements of this Agreement within twelve (12) months after the issuance of the
certificates of occupancy for the Project, but in no event later than thirty-six (36) months from the
Effective Date; (e) throughout the Affordability Period, rent the ARPA Assisted Units to Low -
Income Households and Workforce -Income Households in accordance with the requirements of
this Agreement, the Rent Regulatory Agreement, and the other ARPA Loan Documents; and (f)
throughout the Affordability Period, comply with all applicable ARPA Requirements and all
applicable requirements hereof and in the other ARPA Loan Documents with regard to the ARPA
Assisted Units.
The tenant's portion of rents charged for ARPA Assisted Units shall be limited as set
forth in the Rent Regulatory Agreement executed in connection herewith.
6.2 Reporting Obligations. The Project Sponsor shall submit to the City all reports as
described in Section 4.6 hereof, and all other reports that the City may reasonably require, in such
form, manner, and frequency as the City may reasonably require to monitor the progress of the
Project and the Project Sponsor's performance and compliance with this Agreement and all Legal
Requirements.
6.3 Retention of Records. The Project Sponsor shall retain all Contract Records for
five (5) years after the expiration of the Affordability Period (hereinafter referred to as the
"Retention Period") subject to the limitations set forth below:
(a) If the City or the Project Sponsor has received or given notice of any kind
indicating any threatened or pending litigation, claim or audit arising out of
the activities relating to the Project or the Scope of Work or under the terms
of this Agreement, the Retention Period shall be extended until such time
as the threatened or pending litigation, claim or audit is, in the sole and
absolute discretion of the City, fully, completely and finally resolved.
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(b) The Project Sponsor shall allow the City or any person authorized by the
City full access to and the right to examine any of the Contract Records
during the required Retention Period.
(c) The Project Sponsor shall notify the City in writing, both during the
pendency of this Agreement and after its expiration or termination, as part
of the final closeout procedure, of the address where all Contract Records
will be retained.
(d) All books of account and supporting documentation shall be kept by the
Project Sponsor at least until the expiration of the Retention Period. The
Project Sponsor shall maintain records sufficient to meet the requirements
of ARPA. All records and reports required herein shall be retained and
made accessible as provided hereunder.
6.4 Provision of Records. All of the Contract Records are subject to the provisions of
Chapter 119, Florida Statutes, commonly referred to as the "Public Records Law". The Project
Sponsor shall provide to the City, upon request, all Contract Records. The requested Contract
Records shall become the property of the City without restriction, reservation, or limitation on
their use and shall be made available by the Project Sponsor at any time upon request by the City.
The City shall have the unlimited right to all books, articles, or other copyrightable materials
developed in the performance of this Agreement, including, but not limited to, the right of royalty -
free, non-exclusive, and irrevocable license to reproduce, publish, or otherwise use, and to
authorize others to use, the Contract Records for public purposes. Should Project
Sponsor determine to dispute any public access provision required by Florida Statutes, then
Project Sponsor shall do so at its own expense and at no cost to the City.
IF PROJECT SPONSOR HAS QUESTIONS REGARDING THE APPLICATION OF
CHAPTER 119, FLORIDA STATUTES, TO PROJECT SPONSOR'S DUTY TO PROVIDE
PUBLIC RECORDS RELATING TO THIS AGREEMENT AS A PUBLIC CONTRACT,
PLEASE CONTACT THE CITY'S CUSTODIAN OF PUBLIC RECORDS AT TELEPHONE
NUMBER 305-416-1800, EMAIL: PUBLICRECORDS@MIAMIGOV.COM, AND MAILING
ADDRESS: PUBLIC RECORDS C/O OFFICE OF THE CITY ATTORNEY, 9TH FLOOR,
MIAMI RIVERSIDE CENTER, 444 S.W. 2ND AVENUE, MIAMI, FLORIDA 33130 OR THE
CITY'S DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT'S
CUSTODIAN OF RECORDS AT 2ND FLOOR, 14 NORTHEAST 1ST AVENUE, MIAMI,
FLORIDA 33132.
If the Project Sponsor receives funds from, or is under regulatory control of, other
governmental agencies and those agencies issue monitoring reports, regulatory examinations, or
other similar reports, the Project Sponsor shall provide a copy of each such report and any follow-
up communications and reports to the City immediately upon such issuance unless such disclosure
is a violation of those agencies' rules.
6.5 Prior Approval. Except for encumbering the Property as required to obtain the
permitted financing as set forth in Section 5.17 of this Agreement and Schedule A attached, and
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the recording of customary utility and cable easements relating to the normal operation of the
Property the Project Sponsor shall obtain the City's prior written approval prior to undertaking any
of the following with respect to the Project and/or the Property:
(a) Except for the admission of the investor member of the Project Sponsor
(which shall occur after the date of this Agreement), Permitted Senior
Financing, and Permitted Subordinate Financing, the sale, assignment,
pledge, transfer, hypothecation or other encumbrance or disposition of any
proprietary or beneficial interest in the Project Sponsor, the Project, the
Property, or the Project Sponsor's estate in the Property, or any change in
the operating control of the Project Sponsor, which shall require the prior
approval of the City's HCLC or the City Commission, as appropriate.
Notwithstanding the foregoing, (i) the investor member of Project Sponsor
shall be permitted to remove a manager in accordance with the terms of the
Borrower's operating agreement; provided that City consent shall be
required for any substitute manager, which consent shall not be
unreasonably withheld, conditioned or delayed, and (ii) the City
acknowledges and consents to the collateral assignment of the manager's
membership interest in the Project Sponsor in favor of the lenders of the
Permitted Senior Financing, and such lenders' enforcement of such
collateral assignment. Nothing herein shall be construed as restricting the
transfer of the investor member's interest, either directly or indirectly, in the
Borrower at any time. Additionally, Lender hereby consents to the transfer
of any investor member ownership interests in the Borrower and copies of
the transfer or amendment documents to Borrower's organizational
documents shall be delivered to Lender.
(b) Except in the case of repair or replacement caused by normal wear and tear,
and otherwise due to casualty or condemnation in accordance with the terms
of this Agreement, the disposition of any real property or any expendable
personal property or non -expendable personal property as defined in
Paragraph 4.3.1.
(c) Any proposed Solicitation Notice, Invitation for Bids or Request for
Proposals relating to the use of the ARPA Funds.
(d) The disposal of any Contract Records during the Retention Period.
6.5.1 Director of Housing and Community Development of the City of Miami shall have the
discretion to approve and authorize, by way of Memorandum to the City Manager, the execution of
necessary documents to further Project Close -Out, provided, however, that no material terms are
affected.
6.6 Monitoring. The Project Sponsor shall permit the City and other persons duly
authorized by the City to inspect all Contract Records, facilities, goods, and activities of the Project
Sponsor that are in any way connected to the activities undertaken pursuant to the terms of this
Agreement, and/or to interview any clients, employees, subcontractors, or assignees of the Project
23
Sponsor. Following such inspection or interviews, the City will deliver to the Project Sponsor a
report of its findings. The Project Sponsor will rectify all deficiencies cited by the City within the
period of time specified in the report, or provide the City with a reasonable justification for not
correcting the deficiencies. The City will determine, in its sole and absolute discretion, whether
or not the Project Sponsor's justification is acceptable. At the request of the City, the Subrecipient
shall transmit, within thirty (30) days, to the City written statements of the Subrecipient's official
policies on specified issues relating to the Subrecipient's activities relating to the use of the ARPA
Funds. The City will carry out monitoring and evaluation activities, including visits and
observations by City staff. The Subrecipient shall ensure the cooperation of its employees and its
Board members in such efforts. Any inconsistent, incomplete, or inadequate information, either
received by the City or obtained through monitoring and evaluation by the City, shall constitute
an Event of Default under this Agreement.
6.7 Conflict of Interest.
A. The Project Sponsor is aware of the conflict of interest laws of the City of Miami
(Code of the City of Miami, Florida, Chapter 2, Article V), of Miami -Dade County, Florida (Code
of Miami -Dade County, Florida, Section 2-11.1), and of the State of Florida (as set forth in Florida
Statutes), and with the ARPA Program conflict of interest rules, all as amended, and agrees that it
will fully comply in all respects with the terms thereof and any future amendments.
B. The Project Sponsor covenants that no person or entity under its employ, presently
exercising any functions or responsibilities in connection with this Agreement, has any personal
financial interests, direct or indirect, with the City. The Project Sponsor further covenants that, in
the performance of this Agreement, no person or entity having such conflicting interest shall be
utilized in respect to the Scope of Work or services provided hereunder. Any such conflict of
interest(s) on the part of the Project Sponsor, its employees or associated persons or entities must
be disclosed to the City.
C. The Project Sponsor shall disclose any possible conflicts of interest or apparent
improprieties of any party hereto under or in connection with the Legal Requirements, including
the standards for procurement.
D. The Project Sponsor shall make any such disclosure to the City in writing and
immediately upon the Project Sponsor's discovery of such possible conflict. The City's
determination regarding the possible conflict of interest shall be binding on all parties.
E. No employee, agent, consultant, elected official or appointed official of the City,
exercising any functions or responsibilities in connection with the City's ARPA Program or this
Agreement, or who isin a position to participate in the decision -making process or gain inside
information regarding ARPA-assisted activities, has or will have any personal financial interest,
direct or indirect, in this Agreement, the proceeds hereunder, the Project or the Project Sponsor,
either for themselves or for those with whom they have family or business ties, during their tenure
or for one year thereafter.
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6.8 Related Parties. The Project Sponsor shall report to the City the name, purpose for.
and any other relevant information in connection with any related -party transaction. The term
"related party transaction" includes, but is not limited to, a transaction or relationship between the
Project Sponsor and a for -profit or nonprofit subsidiary or affiliate organization, an organization
with an overlapping board of directors, and an organization for which the Project .Sponsor is
responsible for appointing memberships. The Project Sponsor shall report this information to the
City upon forming the relationship, or if already formed, shallreport such relationship prior to or
simultaneously with the execution of this Agreement. Any supplemental information shall be
promptly reported to the City no later than in the next required Progress Report, as described above.
6.9 Publicity and Advertisements. The Project Sponsor shall ensure that all publicity
and advertisements prepared and released by the Project Sponsor, such as pamphlets and news
releases, related to activities funded by this Agreement, and all events carried out to publicize the
accomplishments of any activities funded by this Agreement, recognize the City as one of its
funding sources.
6.10 Additional Funding. The Project Sponsor shall not procure any other financing in
connection with the Project or the Property without the prior written consent of the City, other than
those financings disclosed to the City in writing as of the date hereof, which, for avoidance of
doubt, are provided for in Section 5.17 of this Agreement.
6.11 Reversion of Assets. The Project Sponsor shall return to the City upon the
expiration or termination of this Agreement any ARPA Funds on hand, any funds or accounts
receivable attributable to the ARPA Funds, and any overpayments due to unearned funds or costs
disallowed pursuant to the terms of this Agreement that were disbursed to the Project Sponsor by
the City. Any funds not earned by the Project Sponsor prior to the expiration or termination of
this Agreement, as described and provided for in OMB Circular No. A-122, shall be retained by
the City.
6.12 Repayment of Funds Procedures. If, after notice and the expiration of any
applicable cure period, for any reason during the Affordability Period any ARPA Assisted Unit
fails to comply with the Affordability requirements hereof and pursuant to 31 CFR Part 35, the
Project Sponsor shall repay to the City all funds received by the Project Sponsor pursuant to this
Agreement, and interest thereon as provided in the ARPA Note.
The Parties acknowledge and agree that the Three Million and 00/100 Dollars ($3,000,000.00)
ARPA Funds being disbursed must be drawn by September 30, 2026, and all ARPA Funds will be
reimbursed by December 31, 2026. If the ARPA Funds are not spent by September 30, 2026, then
the Project Sponsor must repay to the City all funds received by the Project Sponsor pursuant to
this Agreement. Such payment shall be due and payable within thirty (30) days of written notice
to Project Sponsor.
6.13 Affirmative Marketing. The Project Sponsor shall comply with the affirmative
marketing requirements and procedures provided on Exhibit "E" attached hereto and made a part
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hereof. Project Sponsor shall comply with the requirements of the affordable housing notice to
City Officials in City of Miami Ordinance #13491.
6.14 Section 3 Clause.. The Project Sponsor shall comply, to the extent applicable, with
the requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended
(12 U.S.C. 1701u):
(A) The work to be performed under this contract is subject to the requirements of
Section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701u
(Section 3.) The purpose of Section 3 is to ensure that employment and other economic
opportunities generated by HUD assistance or HUD -assisted projects covered by Section 3, shall
to the greatest extent feasible, be directed to low income and very low income persons, particularly
persons who are recipients of HUD assistance for housing.
(B) The parties to this contract agree to comply with HUD's regulations in 24 CFR Part
75, which implement Section 3. As evidenced by their execution of this contract, the parties to
this contract certify that they are under no contractual or other impediment that would prevent
them from complying with the Part 75 regulations.
(C) The contractor agrees to send to each labor organization or representative of
workers with which the contractor has a collective bargaining agreement or other understanding,
if any, a notice advising the labor organization or worker's representative of the contractor's
commitments under this Section 3 clause, and will post copies of the notice in conspicuous places
at the work site where both employees and applicants for training and employment positions can
see the notice. The notice shall describe the Section 3 preference, shall set forth minimum number
and job titles subject to hire, availability of apprenticeship and training positions, the qualifications
for each; and the name and location of the person(s) taking applications for each of the positions;
and the anticipated date the work shall begin.
(D) The contractor agrees to include this Section 3 clause in every subcontract
subject to compliance with regulations in 24 CFR Part 75, and agrees to take appropriate action,
as provided in an applicable provision of the subcontract or in this Section 3 clause. The contractor
will not subcontract with any subcontractor where the contractor has notice or knowledge that the
subcontractor has been found in violation of the regulations in 24 CFR Part 75.
The contractor will certify that any vacant employment positions, including training
positions, that are filled (1) after the contractor is selected but before the contract is executed, and
(2) with persons other than those to whom the regulations of 24 CFR Part 75 require employment
opportunities to be directed, were not filed to circumvent the contractor's obligations under 24
CFR Part 75.
(F) Noncompliance with HUD's regulations in 24 CFR Part 75 may result in
sanctions, termination of this contract for default, and debarment or suspension from future HUD
assisted contracts.
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(G) With respect to work performed in connection with Section 3 covered Indian
housing assistance, Section 7(b) of the Indian Self -Determination and Education Assistance Act
(25 U.S.C. 450e) also applies to the work to be performed under this contract. Section 7(b) requires
that to the greatest extent feasible (i) preference and opportunities for training and employment
shall be given to Indians, and (ii) preference in the award of contracts and subcontracts shall be
given to Indian organizations and Indian -owned Economic Enterprises. Parties to this contract
that are subject to the provisions of Section 3 and Section 7(b) agree to comply with Section 3 to
the maximum extent feasible, but not in derogation of compliance with Section 7(b).
6.15 Signage, Acknowledgement, Publicity. During the Term of this Agreement, the
Project Sponsor 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 in accordance with Section 6.9 hereof. All such acknowledgments shall
be in a form acceptable to the City, as provided on Exhibit "I" attached hereto and made a part
hereof
All publicity and advertisements prepared and released by the Project Sponsor related to
the Project, such as pamphlets and news releases, and all events carried out to publicize the Project,
shall recognize the City as one of the Project's funding sources.
6.16 Costs Incurred By the City. Notwithstanding any other provision of this
Agreement, the Project Sponsor understands and agrees that $10,000.00 of the ARPA Funds were
awarded to the Project for, and were used by the City to cover, costs incurred by the City on behalf
of the Project. Such costs may include, but are not limited to, environmental advertising costs,
recording fees, and project delivery.
6.17 Affirmative Action. The Project Sponsor shall not discriminate on the basis of race,
color, national origin, sex, religion, age, sexual orientation, marital or family status or
handicap/disability in connection with its performance under this Agreement or in connection with
the occupancy of any ARPA Assisted Unit. Age discrimination and discrimination against minor
dependents are also not permitted.
6.18 Compliance with Safety Precautions. The Project Sponsor shall allow City
inspectors, agents or representatives the ability to monitor its compliance with safety precautions
as required by federal, state or local laws, rules, regulations and ordinances. By performing these
inspections the City, its agents, or representatives are not assuming any liability by virtue of such
laws, rules, regulations and ordinances. The Project Sponsor shall have no recourse against the
City, its agents, or representatives for the occurrence, non-occurrence or result of such
inspection(s), and shall obtain the affirmative acknowledgment of the Project Sponsor, for the
benefit of the City, that the Project Sponsor shall have no recourse against the City, its agents, or
representatives for the occurrence, non-occurrence or result of such inspection(s).
Simultaneously with the submission of the first draw request to the City, the Project
Sponsor shall contact the City's Risk Management Department Safety Unit in writing to coordinate
such inspection(s).
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The Project Sponsor shall affirmatively comply with all applicable provisions of the
Americans with Disabilities Act ("ADA") in the course of providing any work, labor or services
funded by the City, including Titles I and II of the ADA (regarding nondiscrimination on the basis
of disability) and all applicable regulations, guidelines and standards. Additionally, the Project
Sponsor shall take affirmative steps to ensure nondiscrimination in the employment of disabled
persons.
6.19 Draw Requests. Each Request for Disbursement of hard costs must be signed by
the Project Sponsor, the Architect for the Project and the Contractor, and each Request for
Disbursement of construction costs must be signed by the Project Sponsor, as more fully set forth
in the Disbursement Agreement. Five percent (5%) of each draw request will be retained until the
City has received as part of the Close-out of the Project, at the Project Sponsor's sole cost, a Final
Cost Certification prepared by an independent certified public accountant, which must be
acceptable to the City in both form and substance.
6.20 Insurance Proceeds. Notwithstanding anything to the contrary contained herein or
in the other ARPA Loan Documents, and subject to any Permitted Senior Financing loan
documents or the Subordination Agreement, the Project Sponsor may make insurance proceeds
available for the restoration and repair of the Property and the Project if all of the following
conditions are met: (i) the Project Sponsor is not in breach or default of any provision of the
Mortgage or any other loan document between the Project Sponsor and Lender; (ii) the Project
Sponsor determines that there will be sufficient funds, through insurance proceeds and
contributions by the Project Sponsor, to (a) restore and repair the Property and the Project to a
condition as close as reasonably possible to what previously existed, and (b) meet all operating
costs and other expenses, payments for reserves and loan repayment obligations relating to the
Property and the Project until completion of the restoration and repair of the Property and/or the
Project to a condition as close as reasonably possible to what previously existed; (iii) the Project
Sponsor determines that the rental income of the Project, after restoration and repair to a condition
as close as reasonably possible to what previously existed, will be sufficient to meet all operating
costs and other expenses, payments for reserves and loan repayment obligations relating to the
Project, and (iv) the Project Sponsor has received the City's written concurrence with such
determination.
6.21 Condemnation Proceeds. Notwithstanding anything to the contrary contained
herein or in the other ARPA Loan Documents, and subject to the terms of the Subordination
Agreement, the Project Sponsor may make proceeds of condemnation available for the restoration
and repair of the Property and the Project if all of the following conditions are met: (i) the Project
Sponsor is not in breach or default of any provision of the Mortgage or any other ARPA Loan
Document; (ii) the Project Sponsor determinesthat there will be sufficient funds, through
condemnation proceeds and contributions by the Project Sponsor, to (a) restore and repair the
Property and the Project to a condition as close as reasonably possible to what previously existed,
due consideration given to the portion of the Property and the Project taken, and, (b) meet all
operating costs and other expenses, payments for reserves and loan repayment obligations relating
to the Project until completion of the restoration and repair of the Property and the Project to a
condition as close as reasonably possible to what previously existed, due consideration given to
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the portion of the Property and the Project taken; and (iii) the Project Sponsor determines that the
rental income of the Project, after restoration and repair of the Property and the. Project to a
condition as close as reasonably possible to what previously existed, due consideration given to
the portion of the Property and the Project taken, will be sufficient to meet all operating costs and
other expenses, payments for reserves and loan repayment obligations relating to the Project, and
(iv) the Project Sponsor has received the City's written concurrence with such determination.
6.22 Recording. The Project Sponsor must pay all costs of the recording of the Loan
Documents. Such costs related to the recording of the Loan Documents may be included in the
Itemized Budget submitted to the City.
6.23 Closing of Permitted Senior Financing. The Project Sponsor shall close on the
Permitted Senior Financing within six (6) months following the Effective Date.
ARTICLE VII
DEFAULT
7.1 The happening of any one or more of the following events continuing beyond any
applicable notice and cure period shall constitute an Event of Default:
(a) In the event any of the ARPA Assisted Units fail to remain Affordable at
any time during the Affordability Period, the Project Sponsor's failure to
initiate action to cure such non-compliance within five (5) business days of
receipt of knowledge of same.
(b)
If any term, condition or representation contained in this Agreement or any
of the other ARPA Loan Documents is materially untrue, substantially
inaccurate or incomplete when made, or, if there is a material
misrepresentation of fact or fraud contained in any document(s) submitted
in support of this Agreement, provided, however, that in the City's sole
discretion, the removal of the manager by the investor member may cure
such default.
(c) The substantial discontinuance of the construction of the Project for a period
of thirty (30) days which discontinuance is, in the sole determination of the
City, without satisfactory cause. Force majeure events such as a pandemic,
natural disaster, terrorism, supply or labor shortages, strikes and acts of god
shall be deemed satisfactory cause.
(d) Except for Permitted Senior Financing, Permitted Subordinate Financing
and for permitted transfers as set forth in each of Sections 5.6, 5.17, and 6.5
of this Agreement, the sale, assignment, pledge, transfer, hypothecation or
other encumbrance or disposition (except due to repair or replacement for
normal wear and tear, and as a result of casualty or condemnation in
accordance with this Agreement) of any proprietary or beneficial interest in
the Project Sponsor's estate in the Property, or any change in operating
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control of the Project Sponsor, without the prior approval of the City's
HCLC or the City Commission, as appropriate.
(e) In the event that the City reasonably determines that the Project is not being
constructed in a good and workmanlike manner in accordance with the
Scope of Work or that the Project Sponsor is failing to comply promptly
with any requirement or notice of violation of law issued by or filed by the
City or any department of any governmental authority having jurisdiction
over the Project Sponsor or the Property.
(f)
(g)
Failure by the Project Sponsor to comply with any material term, provision,
obligation, or covenant of this Agreement or any of the ARPA Loan
Documents, or the occurrence of an event of default under any of the other
ARPA Loan Documents after notice and reasonable opportunity to cure.
Any change in zoning requirements or zoning classification of the Property
initiated by the Project Sponsor, which in the City's sole discretion would
materially interfere with the completion of construction of the Project or the
ultimate operation of the Project as contemplated herein.
(h) In the event that the City reasonably determines that there exists an event of
default under and pursuant to the terms of any other agreement or obligation
of any kind or nature whatsoever of the Project Sponsor to the City, direct
or contingent, whether now or hereafter due, existing, created or arising.
Project Sponsor declares bankruptcy and/or becomes insolvent, which shall
result in immediate acceleration of the Loan's repayment in full.
Project Sponsor fails to comply with Section 6.1, 6.23 or 2.3(A) of this
Agreement.
ARTICLE VIII
REMEDIES
8.1 Upon the occurrence of any Event of Default, which continues beyond any
applicable notice and cure period, the City shall have the absolute right to refuse to disburse any
undisbursed portion of the Loan.
The City shall provide written notice of the occurrence of an Event of Default to the Project
Sponsor and its investor member, after which the Project Sponsor shall have thirty (30) days to
cure said default (except for the events described in Section 7.1 (b), and (d) above for which the
aforementioned cure period shall not apply).
In the event a default which is permitted to be cured cannot practicably be cured within
thirty (30) days, the Project Sponsor shall have such additional time as may be required to effect a
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cure, so long as (a) the cure is commenced within thirty (30) days and is diligently prosecuted and
(b) the lack of a cure during such continuing cure period has no material adverse effect on the
Project. The City agrees to accept a cure of any default committed by the Project Sponsor, which
cure is tendered or effected by Project Sponsor's investor member, as if such cure had been
tendered or effected by the Project Sponsor.
If an Event of Default shall continue uncured for a period of thirty (30) consecutive days
following written notice thereof to the Project Sponsor (except for the events described in Section
7.1 (b) above for which the aforementioned cure period shall not apply and except for cures which
are continuing as provided in the preceding paragraph), and subject to the provisions of the last
paragraph of this Section, the City shall have the absolute right, at its option and election and in
its sole discretion to, subject to the Subordination Agreement:
(a) Specific Performance. Institute appropriate proceedings to specifically
enforce performance of the terms and conditions of this Agreement;
(b)
Recapture of ARPA Funds. Demand that the Project Sponsor reimburse the
City for the ARPA Funds disbursed to the Project Sponsor pursuant to this
Agreement. The Project Sponsor shall reimburse City in the amount of the
ARPA Funds disbursed to the Project Sponsor pursuant to this Agreement,
subject to any limitations contained in the ARPA Note and/or Mortgage
concerning Borrower's or Project Sponsor's liability for amounts due under
the ARPA Loan Documents.
(c) Other Remedies. Exercise any other right, privilege or remedy available to
the City as may be provided by applicable law, or in any of the other ARPA
Loan Document.
It is understood and agreed that the occurrence of an event of default under Section 7.1 (b)
or (d) shall immediately entitle the City to exercise any of the above described remedies without
the need to give the Project Sponsor notice thereof or the opportunity to cure.
The rights and remedies of the City hereunder shall be cumulative and not mutually
exclusive, and the City may resort to any one or more or all of said remedies without exclusion of
any other. No party other than the City, whether the Project Sponsor or a material man, laborer,
subcontractor, general contractor, or supplier, shall have any interest in the ARPA Funds withheld
because of a default hereunder, and shall not have any right to garnish or require or compel that
payment thereof be applied toward the discharge or satisfaction of any claim or lien which any of
them may have.
8.2 In addition to any other remedies provided for herein or in any of the other Loan
Documents, upon the occurrence and during the continuance of an Event of Default:
(a) All sums outstanding under the Note shall bear interest at the highest rate allowable
by law from the date of disbursement, without notice to the Project Sponsor or any
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guarantor or endorser of the Note and without any affirmative action or declaration
on the part of the City;
(b) The Covenant shall remain as a restriction on the Property throughout the
Affordability Period; and
(c) The Project Sponsor, Project developer, manager(s) of the Project Sponsor, 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.
ARTICLE IX
INDEMNIFICATION
9.1 The Project Sponsor shall indemnify, hold harmless, and defend the City, its officers,
agents, directors, and/or employees, from liabilities, damages, claims, suits, losses, judgments, and
costs, including, but not limited to reasonable attorney's fees, to the extent caused by the
negligence, recklessness, negligent act or omission, or intentional wrongful misconduct of Project
Sponsor and persons employed or utilized by Project Sponsor in the performance of this
Agreement. Project Sponsor shall, further, hold the City, its officials and/or employees, harmless
for, and defend the City, its officials and/or employees against, any civil actions, statutory or
similar claims, injuries or damages arising or resulting from the permitted work, even if it is alleged
that the City, its officials and/or employees were negligent. These indemnifications shall survive
the term of this Agreement. In the event that any action or proceeding is brought against the City
by reason of any such claim or demand, the Project Sponsor shall, upon written notice from the
City, resist and defend such action or proceeding by counsel satisfactory to the City. The Project
Sponsor expressly understands and agrees that any insurance protection required by this
Agreement or otherwise provided by the Project Sponsor shall in no way limit the responsibility
to indemnify, keep and save harmless and defend the City or its officers, employees, agents and
instrumentalities as herein provided.
The indemnification provided above shall obligate the Project Sponsor to defend, at its own
expense, to and through appellate, supplemental or bankruptcy proceeding, or to provide for such
defense, at the City's option, any and all claims of liability and all suits and actions of every name
and description which may be brought against the City whether performed by the Project Sponsor,
or persons employed or utilized by Project Sponsor.
This indemnity will survive the cancellation or expiration of the Agreement. This
indemnity will be interpreted under the laws of the State of Florida, including without limitation
and interpretation, which conforms to the limitations of §725.06 and/or §725.08, Florida Statutes,
as applicable.
The Project Sponsor agrees and recognizes that the City shall not be held liable or
responsible for any claims which may result from any actions or omissions of the Project Sponsor
in which the City participated either through review or concurrence of the Project Sponsor's
actions. In reviewing, approving or rejecting any submissions by the Project Sponsor or other acts
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of the Project Sponsor, the City in no way assumes or shares any responsibility or liability of the
Project Sponsor or Sub -contractor under this Agreement.
ARTICLE X
TERMINATION
The Project Sponsor acknowledges that this Agreement may be terminated if the Project
Sponsor materially fails to comply with the terms contained herein.
10.1 Termination Because of Lack of Funds. In the event the City does not receive
from its funding source funds to finance this Agreement, or in the event that the City's funding
source de -obligates the funds allocated to finance this Agreement, the City may terminate this
Agreement upon not less than twenty-four (24) hours prior notice in writing to the Project Sponsor.
Said notice shall be delivered by certified mail, return receipt requested, or by in person delivery
with proof of delivery. The City shall determine, in its sole and absolute discretion, whether or
not funds are available.
10.2 Termination for Breach. The City may terminate this Agreement, in whole or in
part, in the event the City reasonably determines that the Project Sponsor is not making (or causing
to be made) sufficient progress with regard to the construction of the ARPA Assisted Units
(thereby endangering its ultimate performance under this Agreement) or is not materially
complying with any material term or provision of this Agreement, following the giving of notice
and the expiration of the applicable cure periods.
The City may terminate this Agreement, in whole or in part, in the event that the City
reasonably determines that there exists an event of default under and pursuant to the teilns of any
other agreement or obligation of any kind or nature whatsoever of the Project Sponsor to the City,
direct or contingent, whether now or hereafter due, existing, created or arising, which event of
default has continued beyond any applicable cure period.
10.3 Upon the occurrence of an Event of Default and the expiration of any cure period
(in those circumstances for which a cure period is otherwise provided in this Agreement), and
unless the Project Sponsor's breach is waived by the City in writing, the City may, by written
notice to the Project Sponsor, terminate this Agreement upon not less than twenty-four (24) hours
prior written notice. Said notice shall be delivered by certified mail, return receipt requested, or
by in person delivery with proof of delivery. Waiver of breach of any provision of this Agreement
shall not be deemed to be a waiver of any other breach and shall not be construed to be a
modification of the terns of this Agreement. The provisions hereof are not intended to be, and
shall not be, construed to limit the City's right to legal or equitable remedies.
ARTICLE XI
SUSPENSION
11.1 The City may, for reasonable cause, and after all applicable notice and cure periods,
suspend the Project Sponsor's authority to obligate funds under this Agreementor withhold
33
payments to the Project Sponsor, pending necessary corrective action by the Project Sponsor, and
may include:
(a) Ineffective or improper use of the ARPA Funds by the Project Sponsor;
(b) Failure of the Project Sponsor to comply with any term or provision of this
Agreement;
(c) Failure of the Project Sponsor to submit any documents required by this
Agreement; or
(d) The Project Sponsor's submittal of incorrect or incomplete documents.
11.2 The determinations and actions described in paragraph 11.1 above may be applied
to all or any part of the activities funded pursuant to this Agreement.
11.3 The City will notify the Project Sponsor in writing of the type of action taken
pursuant to this Article, by certified mail, return receipt requested, or by in person delivery with
proof of delivery. The notification will include the reason(s) for such action, any conditions
relating to the action, and the necessary corrective action(s).
ARTICLE XII
MISCELLANEOUS
12.1 Enforcement Methods. As a means of enforcing compliance with the ARPA
Program, the City may utilize any enforcement measures it deems necessary.
12.2 Renegotiation, Modification or Subordination. Modification of provisions of this
Agreement shall be valid only when in writing and signed by the Parties. The parties agree to
modify this Agreement if the City determines, in its sole and absolute discretion, that federal, state,
and/or local governmental revisions of any applicable laws or regulations, or increases or decreases
in budget allocations, make changes to this Agreement necessary. The City shall be the final
authority in determining whether or not funds for this Agreement are available due to federal, state
and/or local governmental revisions of any applicable laws or regulations, or increases or decreases
in budget allocations. The City acknowledges and agrees that the Loan and all of the Loan
Documents (including, but not limited to; the Mortgage) shall be subordinate to the e Permitted
Senior Financing.
Notwithstanding anything to the contrary set forth in this Agreement or any of the
other Loan Documents, Lender acknowledges that the Loan and the Loan Documents and the
rights of Lender with respect thereto or thereunder shall be subordinate, in right or payment and
priority, to the rights conferred upon the holder of any Permitted Senior Financing under the
documents governing its Permitted Senior Financing, all in accordance with the terms set forth in
the Subordination Agreement.
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12.3 Right to Waive. The City may, for good and sufficient cause, as determined by the
City in its sole and absolute discretion, waive provisions of this Agreement or seek to obtain such
waiver from an appropriate authority. Waiver requests from the Project Sponsor shall be in
writing. A waiver shall not be construed to be a modification of this Agreement.
12.4 Budget and ARPA Eligibility Activity Title Revisions. Revisions to the Budget
shall be made in writing, and approved in writing by the City; however, such revisions shall not
necessitate an amendment hereto unless the amount of the ARPA Loan to be granted hereunder is
changed, or unless otherwise required by the City.
A revision to the ARPA eligibility activity titles under which this Agreement's objectives
are classified shall not require an amendment hereto.
12.5 Disputes. In the event an unresolved dispute exists between the Project Sponsor
and the City, the City shall refer the issue, including the views of all interested parties and the
recommendation of the City, to the City Manager, his designee, or such other official of the City
who shall be authorized to exercise the authority of the City Manager in this regard (the "City
Manager") for determination. The City Manager will issue a determination within thirty (30)
calendar days of receipt of a written request for resolution of the dispute and so advise the City
and the Project Sponsor. In the event additional time is necessary, the City Manager will notify the
interested parties within the thirty (30) day period that additional time is necessary. The Project
Sponsor agrees that the City Manager's determination shall be final and binding on all parties,
subject only to judicial review.
12.6 Headings. The article and paragraph headings in this Agreement are inserted for
convenience only and shall not affect in any way the meaning or interpretation of this Agreement.
12.7 Proceedings. The Agreement shall be construed in accordance with the laws of the
State of Florida and any proceedings arising between the parties in any manner pertaining or
relating to this Agreement shall, to the extent permitted by law, be held in Miami -Dade County,
Florida.
12.8 Notices and Contact. All notices under this Agreement shall be in writing and
addressed as follows:
To City:
With Copy To:
City of Miami
Department of Housing and
Community Development
444 S.W. 2nd Avenue
Miami, FL 33130-1910
Attn: Victor Turner, Director
George K. Wysong III
City Attorney
City of Miami
444 S.W. 2nd Avenue
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To Project Sponsor:
With Copy to:
Miami, FL 33130-1910
Gallery at Lummus Parc, LLC
2850 Tigertail Avenue, Suite 800
Miami, FL 33133
Attention: Tony Del Pozzo
Brian J. McDonough, Esq.
Stearns Weaver Miller Weissler Alhadeff & Sitterson, P.A.
150 West Flagler Street, Suite 2200
Miami, FL 33130
Except as otherwise provided in this Agreement, notice shall be deemed given upon hand
delivery or five (5) business days after depositing the same with the U.S. Postal Service. The
address or designated representative of the parties may be changed by notice given in accordance
with this section.
12.9 Conflicts with Applicable Laws. If any provision of this Agreement conflicts with
any applicable law or regulation, only the conflicting provision shall be deemed by the Parties to
be modified, or to be deleted if modification is inappropriate, to cause the provision to be consistent
with the law or regulation. However, the obligations under this Agreement, as modified, shall
continue and all other provisions of this Agreement shall remain in full force and effect.
12.10 Entire Agreement. This Agreement and its Exhibits and Schedules described as
follows contain all the terms and conditions of the Agreement between the parties:
Exhibit "A"
Exhibit "B"
Exhibit "C"
Exhibit "D"
Exhibit "E"
Exhibit "F"
Exhibit "G"
Exhibit "H"
Exhibit "I"
Exhibit ,"J"
Exhibit "K"
Exhibit "L"
Schedule A
Legal Description
Scope of Work /Project Schedule
Budget
Form of Disbursement Agreement
Affirmative Marketing Procedures and Responsibilities
Form of Leasehold Mortgage and Security Agreement
Form of Declaration of Restrictive Covenants
Form of Rent Regulatory Agreement
Signage Requirements
Additional Insurance Requirements
Anti -Human Trafficking Affidavit
ARPA Consultant Approval
Permitted Senior Financing
12.11 WAIVER OF JURY TRIAL. NEITHER THE PROJECT SPONSOR NOR ITS
SUBCONTRACTOR(S), NOR ANY OTHER PERSON LIABLE FOR THE
RESPONSIBILITIES, OBLIGATIONS, SERVICES AND REPRESENTATIONS HEREIN,
NOR ANY ASSIGNEE, SUCCESSOR, HEIR OR PERSONAL REPRESENTATIVE OF THE
PROJECT SPONSOR, THE PROJECT'S GENERAL CONTRACTORS AND
SUBCONTRACTORS OR ANY OTHER PERSON OR ENTITY SHALL SEEK A JURY TRIAL
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IN ANY LAWSUIT, PROCEEDING, COUNTERCLAIM OR ANY OTHER LITIGATION
PROCEDURE BASED UPON OR ARISING OUT OF THIS AGREEMENT, OR THE
DEALINGS OR THE RELATIONSHIP BETWEEN OR AMONG SUCH PERSONS OR
ENTITIES, OR ANY OF THEM. NEITHER THE PROJECT SPONSOR NOR THE PROJECT' S
GENERAL CONTRACTORS AND SUBCONTRACTORS, NOR ANY OTHER PERSON OR
ENTITY WILL SEEK TO CONSOLIDATE ANY SUCH ACTION IN WHICH A JURY TRIAL
HAS BEEN WAIVED WITH ANY OTHER ACTION. THE PROVISIONS OF THIS
PARAGRAPH HAVE BEEN FULLY DISCUSSED BY THE PARTIES, AND THE
PROVISIONS HEREOF SHALL BE SUBJECT TO NO EXCEPTIONS. NEITHER PARTY TO
THIS AGREEMENT HAS IN ANY MANNER AGREED WITH OR REPRESENTED TO ANY
OTHER PARTY THAT THE PROVISIONS OF THIS PARAGRAPH WILL NOT BE FULLY
ENFORCED IN ALL INSTANCES.
12.12 HCLC Award Memoranda. The award memoranda and decisions of the HCLC
dated September 20, 2024, July 29, 2025, March 25, 2026, and May 6, 2026 ("Award
Memoranda") are hereby incorporated by reference. To the extent of any conflict between the
Award Memoranda and the ARPA Loan Documents and when interpreting the intent of the ARPA
Loan Documents, whichever provision is strictest will control.
12.13 Governing Law and Venue. This Agreement shall be construed and enforced
pursuant to the laws of the State of Florida, excluding all principles of choice of laws, conflict of
laws and comity. Any action pursuant to a dispute under this Agreement must be brought in Miami -
Dade County and no other venue. All meetings to resolve said dispute, including voluntary
arbitration, mediation, or other alternative dispute resolution mechanism, will take place in this
venue. The parties both waive any defense that venue in Miami -Dade County is not convenient.
12.14 Change of Circumstance. Notwithstanding anything to the contrary contained herein,
in the event that the federal rules, regulations, protocols, laws, and/or guidance regarding ARPA
(collectively, "Protocols") change from the current Protocols, the City may take any of the
following actions in its sole and absolute discretion, and Project Sponsor hereby accepts whichever
action, if any, the City decides to take: (a) require an amendment to the applicable Loan Documents
to conform to the amended Protocols, or (b) waive in writing where possible applicable changes
derived from the Protocols.
In the avoidance of doubt, in the event that the City decides to pursue Section 12.14(a),
the Covenant and Rent Regulatory Agreement shall continue to encumber the Property for entire
Affordability Period.
12.15 Increase in Project Costs. In the event that the Project's costs increase by ten percent
(10%) or more of the Budget that is attached as Exhibit "C", and Project Sponsor is unable to
secure the requisite funding to cover the additional expense within 60 days before the Project's
construction commences, then the City is permitted to recommend to HCLC that the ARPA Funds
should be de -obligated for this Project.
12.16 Tenant Lottery. The selection of eligible tenants to occupy the ARPA Assisted Units
shall be from the results of a tenant lottery, which shall be conducted with a representative of the
37
City of Miami present. In addition, the Project Sponsor and the ARPA Assisted Units shall comply
with the requirements of the City of Miami Ordinance #13645 regarding Resident Preference.
12.17 Costs, Including Attorney's Fees. In the event litigation, arbitration, or mediation,
between the Parties, arises out of the terms of this Agreement, each party shall be responsible for
its own attorney's fees, costs, charges, and expenses through the conclusion of all appellate
proceedings, and including any final settlement or judgment.
12.18 Binding Nature. The Borrower's obligations pursuant to this Agreement shall be
binding upon and inure to the respective heirs, personal and legal representatives, trustees and
successors and assigns of the Parties hereto, including each and every such Party's past and present
parent, subsidiary, affiliate or predecessor entities, any and all entities by which or under a name
by which any Party has been known or has done business, and any and all of his, hers, its and/or
their respective past and present officers, commissioners, directors, principals, trustees,
administrators, agents, attorneys, accountants, insurers, reinsurers, servants, employees,
shareholders, members, managers, partners, heirs, and representatives.
12.19 Counterparts and Electronic Signatures. This Agreement may be executed in
any number of counterparts, each of which so executed shall be deemed to be an original, and such
counterparts shall together constitute but one and the same Agreement. The parties shall be entitled
to sign and transmit an electronic signature of this Agreement (whether by facsimile, PDF or other
email transmission), which signature shall be binding on the party whose name is contained
therein. Any party providing an electronic signature agrees to promptly execute and deliver to the
other parties an original signed Agreement upon request.
12.20 The Parties agree that the Loan will be non recourse except that the exceptions to
non -recourse liability applicable to any Permitted Senior Financing shall also apply to this Loan.
12.21 The Borrower has represented that no Florida documentary stamps or intangible
taxes are required to paid on the Note or the Mortgage. The Borrower hereby agrees to indemnify
and to defend and hold the Lender and all of its affiliates, successors, and assigns harmless against
any and all documentary stamp taxes and intangible taxes, if any, imposed assessed or claimed as
a result of or arising out of: (i) Lender's acceptance and/or ownership of the Note or Mortgage (or
any other loan document pertaining to the loan referenced to therein); or (ii) the execution or
delivery of the Note and the Mortgage (or any other loan document pertaining to the loan referred
to therein) (it being understood that any reference herein to documentary stamp taxes and
intangible taxes include any and all penalties, interest and attorneys' fees incurred by the Lender
in connection therewith), and the Borrower agrees to pay any and all such documentary stamp
taxes or intangible taxes upon demand. In the event of a failure by the Borrower to pay such
documentary stamp taxes and intangible taxes upon demand and should the Lender elect to pay
the same, all such charges shall be secured by the lien of the Note and the Mortgage and shall bear
interest at the Default Rate, as provided in the Note, from the date of advance by the Lender until
paid by the Borrower. The provisions of this Section shall survive repayment of the Notes and the
satisfaction of the Note and Mortgage so long as a claim may be asserted by the State of Florida
or any of its agencies.
[Signature Pages to Follow]
38
IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed by their
undersigned officials as duly authorized.
WITNESSES:
Signature:
Print Name:
Address: 2850 Tigertail Avenue, Suite 800,
Miami, Florida 33133
Signature:
Print Name:
Address: 2850 Tigertail Avenue, Suite 800,
Miami, Florida 33133
STATE OF FLORIDA
COUNTY OF MIAMI-DADE
PROJECT SPONSOR:
GALLERY AT LUMMUS PARC,
LLC, a Florida limited liability
company
By: Gallery at Lummus Parc
Manager, LLC, a Florida limited
liability company, its manager
By:
Print Name: Tony Del Pozzo
Title: Vice President
ACKNOWLEDGMENT
The foregoing instrument was acknowledged before me by means of El physical presence or O
online notarization, this day of , 2026 by Tony Del Pozzo as Vice President of
Gallery at Lummus Parc Manager, LLC, a Florida limited liability company, the manager of
Gallery at Lummus Parc, LLC, a Florida limited liability company. He is personally known to
me or has produced as identification.
(NOTARY PUBLIC SEAL)
39
Signature of Person Taking
Acknowledgment
(Printed, Typed, or Stamped Name of Notary
Public)
Serial Number, if any
IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed by their
undersigned officials as duly authorized.
WITNESSES:
Signature:
Print Name: Ni(IvoS 440.46 !'0
Address: 2850 Tigertail Avenue, Suite 800,
Miami, Florida 33133
Signature:
Print Name:
Address: 2850 Tigertail Avenue, Suite 800,
Miami, Florida 33133
STATE OF FLORIDA
COUNTY OF MIAMI-DADE
PROJECT SPONSOR:
GALLERY AT LUMMUS PARC,
LLC, a Florida limited liability
company
By: Gallery at Lummus Parc
Manager, LLC, a Florida limited
liability company, its manager
By:
Print N191
ame: Tony Del Pozzo
Title: Vice President
ACKNOWLEDGMENT
The foregoing instrument was acknowledged before me by means of Q"physical presence or O
online notarization, this ( ia`y of event , 2026 by Tony Del Pozzo as Vice President of
Gallery at Lummus Parc Manager, LLC, a Florida limited liability company, the manager of
Gallery at Lummus Parc, LLC, a Florida limited liability company. He is personally known to
me or has produced as identification.
(NOTARY PUBLIC SEAL)
10.P': VANESSAPILOTO
ah
;: �`
Fr MY COMMISSION # HH 751619
Q EXPIRES: February 18, 2030
'• Fla
OF •'
40
\,cthottvt ,104N)
Signature of Person Taking
Acknowledgment
(Printed, Typed, or Stamped Name of Notary
Public)
Serial Number, if any
IN WITNESS WHE F the, Parties have caused this Agreement to be executed by their
undersigned offf lau9Aut orized.
ATTEST:
By:
David Rui
Interim D ecto of Risk Management City Attorney NAZ*-Z44f
CITY OF MIAMI, a municipal corporation of the
State of Florida
Jame " eye j�''!J ` anager
APPROVED AS TO FORM AND
CORRECTNESS:
APPROVED AS TO
DEPARTMENTAL REQUIREMENTS:
By:
Victor Turner
Director of the Department of Housing and
Community Development
By:
George K. W jlsong III
41
EXHIBIT "A"
LEGAL DESCRIPTION OF THE PROPERTY
Lessee's interest in that certain Ground Lease by and between Miami -Dade County, a political
subdivision of the State of Florida, as Lessor, and Gallery at Lummus Parc, LLC, a Florida
limited liability company, as Lessee, dated February 28, 2023, as amended, as evidenced by that
certain Memorandum of Ground Lease to be recorded in the Official Records of Miami -Dade
County, over the following described lands:
LOTS 16,17 ALND 18, LESS THE EAST 20.00 FEET OF SAID LOT 18 IN BLOCK 109--N
OF A.L. KNOB TO 4'S MAP OF MIAMi, ACCORDING TO TIIE PLAT THEREOF
RECORDED IN PLAT BOOK B AT PAGE 41 OF THE. PUBLIC RECORDS OF DADE
COUNTY, FLORIDA; LESS THAT PORTION TBEREOF DEEDED TO 'lam CITY OF NAM
BY WARRANTY DEED DATED NOVEMBER 4, 1939 RECORDED IN DEED BOOK 2013
AT PAGE 480 (CLERK'S FILE NO. M-51118), ACCORDING TO TIDE PUBLIC RECORDS
OF DADE COUNTY, FLORIDA.
EXHIBIT "B"
SCOPE OF WORK /PROJECT SCHEDULE
WORK SCOPE / DEVELOPMENT SCHEDULE
Gallery at Lummus Parc
The Gallery at Lummus Parc project will be the new construction of a mixed -income 28-
story residential rental building at 395 NW 1 St in the Downtown neighborhood. The
project will provide a total of 257 residential units consisting of 42 studio/one-bathroom
units; 128 one-bedroom/one-bathroom units; and 87 two-bedroom/two-bathroom units.
Eighty (80) units will be City -assisted units for households ranging from 80% AMI to
120% AMI. A podium garage will house approximately 195 parking spaces.
Estimated Date
Building Permitting (Permit Ready) August 2026
Start of Construction September 2026
Construction Completion December 2027
Commence Affirmative Marketing September 2027
Initial Lease -Up (Leasing Activities Commence) October 2027
Stabilized Occupancy February 2028
EXHIBIT "C"
BUDGET
Applicant Name: Gallery at Lummus Parc, LLC
CITY OF MIAMI
DEPARTMENT OF COMMUNITY DEVELOPMENT
COST ALLOCATION REPORT: NEW CONSTRUCTION AFFORDABLE RENTAL HOUSING
Project Name: Gallery at Lummus Parc
Financing Sources: Specify Name
Total
Project
%
City
ARPA
Tax Exempt
Mortgage
Taxable
Mortgage
QOZ
Investor
FHFC Sail
Miami Dade
County
Surtax
Equity
Investment
Deferred
Developer
Fees
Deferred
Reserves
Land Acquisition
974,458
1%
974,458
Hard Costs
Construction (Incl. Site work) (ARPA Pre
Developr)
68,254,650
53%
3,000,000
53,432,953
3,500,000
8,321.697
Construction Parking Garage
5,890,950
5%
5.890,950
Construction contingency
3,558,570
3%
3,558,570
Construction, Concrete/Soil Test
0
0
Appliances
0
0
Demolition
291,060
0%
291,060
Total Hard Costs
77,995,230
60%
3,000,000
59,323,903
3,500,000
291,060
11,880,267
0
0
0
0
Soft Costs
Arch Design, Civil Engineering
3,590,329
3%
3,590,329
Impact & School Fees
960,412
1%
960,412
Permits / Fees
845,110
1%
845,110
Legal
165,000
0%
165,000
Appraisal / Surveys
80,442
0%
80,442
Insurance: Construction Period
2,525,257
2%
994,769
1,530,488
Marketing /Advertising
151,847
0%
151,847
Loan Closing / Financing Fees
2,630,776
2%
2,082,720
548,056
Interest Reserve
9,215,850
7%
6,058,867
239,703
2,917,280
Other Development Soft Costs
7,212,892
6%
5,171,709
2,041,183
Equity Syndication Costs
399,705
0%
399,705
Reserves and Escrows
2,538,197
2%
994,527
1,543,670
Developer's Fees & Overhead
18,923,836
15%
1,058,269
2,067,056
15,798,511
Soft Cost Contingency
721,192
1%
721,192
Total Soft Costs
49,960,845
39%
0
17,701,638
0
4,794,940
960,895
5,000,000
4,161,191
15,798,511
1,543,670
Total Project Cost
128,930,534
100%
3,000,000
78,000,000
3,500,000
5,086,000
12,841,162
5,000,000
4,161,191
15,798,511
1,543,670
EXHIBIT "D"
FORM OF DISBURSEMENT AGREEMENT
DISBURSEMENT AGREEMENT FOR
GALLERY AT LUMMUS PARC, LLC
This Disbursement Agreement for American Rescue Plan Act of 2021 ("ARPA") funds
("Agreement") is made as of this day of , 2026 by and between GALLERY
AT LUMMUS PARC, LLC, a Florida limited liability company (hereinafter the "Project
Sponsor"), and the CITY OF MIAMI, a municipal corporation of the State of Florida (hereinafter
the "City").
RECITALS
WHEREAS, the Project Sponsor is developing a project known as Gallery at Lummus Parc
(the "Project"), that will increase the supply of rental housing units Low -Income and Workforce -
Income Households in the community; and
WHEREAS, on September 20, 2024, and as amended on July 29, 2025, and on March 25,
2026, and on May 6, 2026, the City's Housing and Commercial Loan Committee ("HCLC")
approved an allocation of ARPA Funds in the amount of Three Million and 00/100 Dollars
$3,000,000.00 (the "ARPA Funds") to Project Sponsor for Project's construction costs; and
WHEREAS, the funding commitment of the City to the Project Sponsor for the ARPA
Funds is more fully described in that certain ARPA Loan Agreement of even date herewith (the
"ARPA Agreement"); and
WHEREAS, the Project Sponsor and the City desire to establish the mechanism whereby
the Project Sponsor will apply to receive the ARPA Funds;
NOW, THEREFORE, for and in consideration of the Project Sponsor's construction and
development of the Project and the reciprocal agreements set forth herein, the Project Sponsor and
the City agree as follows:
ARTICLE I
DISBURSEMENT PROCEDURE
1.1 The ARPA Agreement establishes the conditions to the City's obligation to loan
the ARPA Funds to the Project Sponsor. The Project Sponsor may not request disbursement of
funds pursuant to this Agreement until such funds are needed for the reimbursement of eligible
costs.
Provided the City is obligated to disburse the ARPA Funds pursuant to the terms of ARPA
Agreement and this Agreement, the City will disburse such funds in accordance with this Article
I.
1.2 The Project Sponsor shall submit draw requests for the ARPA Funds, which draw
requests will be submitted not more frequently than one (1) time per month. The Project Sponsor
will submit or cause to be submitted the following documentation to the City for the City's review
for sufficiency, prior to any disbursement of ARPA Funds by the City:
(a) Hard Costs:
(i) A written request for disbursement ("Request for Disbursement"), in a form
acceptable to the City, setting forth such details concerning construction of the Project as the City
shall require, including: the amount paid to date to the General Contractor constructing the Project
(the "Contractor") and pursuant to the contract for the construction of the Project between the
Page 1 of 6
Project Sponsor and the Contractor (the "Construction Contract"); the amounts, if any, paid
directly by the Project Sponsor to subcontractors of the Contractor and material men; the amount
then currently payable to the Contractor, broken down by trades; the amounts paid on account of
the Contractor's construction fee; and the balance of the construction costs which will remain
unpaid after the payment of the amount currently payable.
(ii) Any Request for Disbursement must be submitted to the City by no later
than the thirtieth (30th) day of each month. Each Request for Disbursement must be signed by the
Project Sponsor, the Architect for the Project and the Contractor.
(iii) Applications for receiving ARPA Funds for reimbursement of hard costs
will include a Memorandum of Advance and such architectural documents as the City may require.
The City Inspector, as described in Section 1.3 hereof, shall be required to certify with each draw
request: the amount of work on the Project that has been completed; the good and acceptable
workmanship of the Contractor and its subcontractors; compliance with approved final plans and
specifications of the Project; and such other matters as the City may require. Lien waivers/releases
shall be submitted to the City Inspector for review and approval before each disbursement. If the
City requires that its title insurance policy be updated, the Project Sponsor shall also submit to the
title insurance company all lien waivers/releases in connection with each proposed draw. All costs
associated with the title insurance company updating the title insurance policy shall be paid by the
Project Sponsor.
(b) Soft Costs:
(i) A Request for Disbursement, in a form acceptable to the City, together
with: (a) copies of any invoices of those costs for which the Project Sponsor is requesting
disbursement, and (b) copies of the Project Sponsor's checks in payment of each soft cost for which
disbursement is being requested.
(ii) Within thirty (30) days of the date of each Request for Disbursement,
the Project Sponsor shall submit to the City copies of its cancelled checks confirming final
payment of each cost included in such Request for Disbursement.
Project Sponsor.
(c)
(iii) Each Request for Disbursement of soft costs must be signed by the
Such other information and documents as the City may reasonably require.
(d) Each Request for Disbursement shall constitute a representation and certification
by the Project Sponsor and the Contractor to the City that:
(i) The materials have been physically incorporated into the Project,
free of liens and security interests, and that the construction of the Project to date has been
performed substantially in accordance with the drawings and specifications and in a first-class
workmanlike manner;
(ii) All governmental licenses and permits required by the Project as
then completed have been obtained and are available for inspection by the City;
Page 2 of 6
(iii) The Project as then completed does not violate any law, ordinance,
rule, regulation, or order or decree of any court or governmental authority; and
(iv) No Event of Default has occurred and is continuing and, to Project
Sponsor's knowledge there is no continuing default under the Construction Contract.
(v) The Project Sponsor, the Contractor and each subcontractor has
complied with all applicable Federal, state and local laws and regulations relating to labor
standards.
(vi) Such other information and documents as the City may reasonably
require.
1.3 The City Inspector will review the work that is incorporated into the Project and for
which each Request for Disbursement of the ARPA Funds is submitted. The City Inspector will
review and approve the final plans and specifications for the Project and will review and approve
the draw requests based on the percentage of work completed. The City Inspector's reviews,
approvals, and conclusions shall be for the sole benefit of the City.
All construction change orders must receive the prior written approval of the City
Inspector. Change orders that have not received the prior written approval of the City Inspector
shall not be approved for payment/ reimbursement by the City.
1.4 Within ten (10) working days of its receipt of a Request for Disbursement delivered
pursuant to Section 1.2 hereof and without attempting to verify the completeness of same, the City
will notify the City Inspector of the need to inspect the progress of construction work at the Project
(the "Notification") and shall forward to the City Inspector the Request for Disbursement that has
been delivered by the Project Sponsor.
1.5 The City Inspector shall complete its inspection and submit its report to the City
within five (5) working days of receipt of the Notification.
1.6 If the City finds the materials submitted by the Project Sponsor and the report of
inspection by the City Inspector to be satisfactory to the City and in accordance with the ARPA
Agreement, the City shall fund to the Project Sponsor the sum requested by the Project Sponsor or
such lower sum as the City deems appropriate.
1.7 The City shall fund disbursements of the ARPA Funds by no later than fourteen
(14) working days after it has received both the Request For Disbursement, in the form required
by Section 1.2 hereof, and the inspection report of the City Inspector, in the form required by
Sections 1.2 and 1.3 hereof.
1.8 The City shall retain five percent (5%) of the ARPA Funds allocated to the Project
Sponsor (the "Allocation Retainage") until it has received confirmation that the project has been
issued a Certificate of Occupancy or temporary Certificate of Occupancy, and at the Project
Sponsor's sole cost, a Final Cost Certification prepared by an independent certified public
accountant, both in form and substance acceptable to the City.
1.9 The City reserves the right to refuse to fund any disbursement request(s) in the
event that the City determines that the Project and/or the Project Sponsor are not in compliance
with any local, state or federal law or requirement, including but not limited to the United States
Department of the Treasury's final rule, 31 CFR Part 35, that implements the Coronavirus State
Page 3 of 6
Fiscal and Local Fiscal Recovery Funds established under the American Rescue Plan Act of 2021,
or an material provision of the ARPA Loan Documents.
1.10 Disbursements for other than hard costs, if permitted pursuant to the ARPA
Agreement, shall be made in accordance with the City of Miami Department of Housing and
Community Development Disbursement of Funds Checklist.
1.11 All ARPA Funds must be drawn down by September 30, 2026, in accordance with
ARPA regulations.
ARTICLE II
MISCELLANEOUS
2.1 This Agreement may only be amended in writing by all the parties hereto.
2.2 This Agreement, the ARPA Agreement and the other documents executed by the
parties in connection therewith constitute the entire agreement between the parties hereto and no
other agreements or representations, unless incorporated in this Agreement, shall be binding upon
any of the parties hereto.
2.3 All capitalized terms not defined herein shall have the meanings provided in the
ARPA Agreement.
2.4 In the event litigation, arbitration, or mediation, between the parties hereto, arises
out of the terms of this Agreement, each party shall be responsible for its own attorney's fees, costs,
charges, and expenses through the conclusion of all appellate proceedings, and including any final
settlement or judgment.
2.5 Counterparts and Electronic Signatures. This Agreement may be executed in any
number of counterparts, each of which so executed shall be deemed to be an original, and such
counterparts shall together constitute but one and the same Agreement. The parties shall be entitled
to sign and transmit an electronic signature of this Agreement (whether by facsimile, PDF or other
email transmission), which signature shall be binding on the party whose name is contained
therein. Any party providing an electronic signature agrees to promptly execute and deliver to the
other parties an original signed Agreement upon request.
IN WITNESS WHEREOF, this Agreement has been executed by the Project Sponsor and
the City on the date first above written.
[Signature Page Follows]
Page 4 of 6
PROJECT SPONSOR:
GALLERY AT LUMMUS PARC,
LLC, a Florida limited liability
company
By:_ Gallery at Lummus Parc
Manager, LLC, a Florida limited
liability company, its manager
By:
Print Name: Tony Del Pozzo
Title: Vice President
ACKNOWLEDGMENT
STATE OF FLORIDA
COUNTY OF MIAMI-DADE
The foregoing instrument
�,was , acknowledged before me by means of CYphysical presence or El
online notarization, this 1 ?lay of Apr, l , 2026 by Tony Del Pozzo as Vice President of
Gallery at Lummus Parc Manager, LLC, a Florida limited liability company, the manager of
Gallery at Lummus Parc, LLC, a Florida limited liability company. He is personally known to
me or has produced as identification.
(NOTARY PUBLIC SEAL)
VANESSA PILOTO
MY COMMISSION # HH 751619
EXPIRES: February 18, 2030
a
Signature of Person Taking
Acknowledgment
(Printed, Typed, or Stamped Name of Notary
Public)
140.15
Serial Number, if any
Page 5 of 6
ATTEST:
CITY OF MIAMI, a municipal corporation
} of the State of Flori a
_air=`'''.✓
Todd aH`nnon
City Clerk
Date: 5 at) I 'aND a�
APPROVED AS TO FORM
AND CORRECTNESS:
By:
George K. ysong III areWr
City Attorney iki? ,
Page 6 of 6
# 14503107 v2
EXHIBIT "E"
AFFIRMATIVE MARKETING PROCEDURES AND RESPONSIBILITIES
Note to all applicants/respondents: This form was developed with Nuance, the official HUD software for the creation of HUD forms.
HUD has made available instructions for downloading a free installation of a Nuance readerthat allows the user to fill-in and save this
form in Nuance. Please see http://portal.hud.00v/hudportal/documents/huddoc?id=nuancereaderinstall.odf for the instructions. Using
Nuance software is the only means of completing this form.
Affirmative Fair Housing
Marketing Plan (AFHMP) -
Multifamily Housing
U.S. Department of Housing
and Urban Development
Office of Fair Housing and Equal Opportunity
OMB Approval No. 2529-0013
(exp.12/31/2016)
1 a. Project Name & Address (including City, County, State & Zip Code)
Gallery at Lummus Parc
395 NW 1 ST, Miami FL 33128
25 NW North River Drive, Miami FL 33128
lb. Project Contract Number
lc. No. of Units
255
1d. Census Tract
fie. Rousing/Expanded Housing Market Area
Housing Market Area: Miami -Dade County
Expanded Housing Market Area: Miami -Fort
Lauderdale -Pompano Beach, FL (MSA)
If. Managing Agent Name, Address (including City, County, State & Zip Code), Telephone Number & Email Address
TRG Management Company, LLP; 2200 North Commerce Parkway, Suit 100, Weston, FL 33326
Phone: 305- 460-9900/Amilo@relatedgroup.com
lg. Application/OwnerlDeveloper Name, Address (including City, County, State & Zip Code), Telephone Number & Email Address
Gallery at Lummus Parc, LLC / Albert Milo, Jr / 2850 Tigertail ave, Suite 800, Miami, FL 33133
Phone: 305-460-9900 / amilo@relatedgroup.com
l
lh. Entity Responsible for Marketing (check all that apply)
El Owner ✓0 Agent ❑ Other (specify)
Position, Name (if known), Address ( including City, County, State & Zip Code), Telephone Number & Email Address
1 is To whom should approval and other correspondence concerning this AFHMP be sent? Indicate Name, Address (including City,
State & Zip Code), Telephone Number & E-Mail Address.
2a. Affirmative Fair Housing Marketing Plan
Plan Type:
Initial Plan
Reason(s)-for current update: f
Date of the First Approved AFHMP:
2b. HUD -Approved Occupancy of the Project (check -all that apply)
Elderly El Family
Mixed (Elderly/Disabled) Disabled
2c. Date of Initial Occupancy
09/01/2027
2d: Advertising Start Date
Advertising must begin at least 90 days prior to initial or renewed occupancy for new
construction and substantial rehabilitation projects.
Date advertising began or will begin 106/01/2027
For existing projects, select below the reason advertising will be used:
To fill existing unit vacancies
To place applicants on a waiting list ❑✓ (which currently has
To reopen a closed waiting list 0 (which currently has
individuals)
individuals)
Previous editions are obsolete
Page 1 of 8
Form HUD-935.2A (12/2011)
3a. Demographics of Project and Housing Market Area
Complete and submit Worksheet 1.
3b. Targeted Marketing Activity
Based on your completed Worksheet 1, indicate which demographic group(s) in the housing market area is/are feast likely to apply for the
housing without special outreach efforts. (check all that apply)
White 0 American Indian or Alaska Native []Asian
Native Hawaiian or Other Pacific Islander Hispanic or Latino
❑Families with Children Other ethnic group, religion, etc. (specify)
Black or African American
Persons with Disabilities
4a. Residency Preference
Is the owner requesting,a residency preference? If yes, complete questions 1 through 5.
If no, proceed to Block 4b.
(1) Type
(2) Is the residency preference area:
The same as the AFHMP housing/expanded housing market area as identified in Block le?
Please Select Type
No
Please Select Yes or No
The same as the residency preference area of the local PHA in whose jurisdiction the project is located?
(3) What is the geographic area for the residency preference?
Please Select Yes or No
N/A
(4) What is the reason for having a residency preference?
N/A
(5) How do you plan to periodically evaluate your residency preference to ensure that it is in accordance with the non-discrimination
and equal opportunity requirements in 24 CFR 5.105(a)?
N/A
Complete and submit Worksheet 2 when requesting a residency preference (see also 24 CFR 5.655(c)(1)) for residency
preference requirements. The requirements in 24 CFR 5.655(c)(1) will be used by HUD as guidelines for evaluating
residency preferences consistent with the applicable HUD program requirements. See also HUD Occupancy
Handbook (4350.3) Chapter 4, Section 4.6 for additional guidance on preferences. - -
4b. Proposed Marketing Activities: Community Contacts
Complete and submit Worksheet 3 to describe your use of community
contacts to market the project to those least likely to apply.
4c. Proposed Marketing Activities: Methods of Advertising
Complete and submit Worksheet 4 to describe your
proposed methods of advertising that will be used to
market to those least likely to apply. Attach copies of
advertisements, radio and television scripts, Internet
advertisements, websites, and brochures, etc.
Previous editions are obsolete Page 2 of 8 Form HUD-935.2A (12/2011)
5a. Fair Housing Poster
The Fair Housing Poster must be prominently displayed in all offices in which sale or rental activity takes place (24 CFR 200.620(e)).
Check below all locations where the Poster will be displayed.
❑✓ Rental Office Real Estate Office El Model Unit D Other (specify)
5b. Affirmative Fair Housing Marketing Plan
The AFHMP must be available for public inspection at the sales or rental office (24 CFR 200.625). Check below all locations
where the AFHMP will be made available.
�✓ Rental Office 0 Real Estate Office 11 Model Unit ❑ Other (specify)
5c. Project Site Sign
Project Site Signs, if any, must display in a conspicuous position the HUD approved Equal Housing ppportunity logo, slogan, or statement
(24 CFR 200.620(f)). Check below all locations where the Project Site Sign will be displayed. Please submit photos of Project signs.__
Rental Office Real Estate Office - fl Model Unit Ej Entrance to Project 1DOMer (specify)
The size of the Project Site Sign will be 3' x
5'
The Equal Housing Opportunity logo or slogan or statement will be
4'
x
4'
6. Evaluation of Marketing Activities
Explain the evaluation process you will use to determine whether your marketing activities have been successful in attracting
individuals least likely to apply, how often you will make this determination, and how you will make decisions about future marketing
based on the evaluation process.
TRG Management will review our waiting list and current resident demographics and compare these to the census demographics
for our community. In doing so, we will determine if those populations least likely to apply to the property are now more
represented on the waiting list as well as the current residents and will evaluate our marketing efforts if improvements are
necessary.
Advertisements for available units will be placed in the Miami Herald and the Miami Times to target Asian and Black or African
American residents.
For American Indian or Alaskan Native residents, a monthly letter will be sent to Seminole Tribe of Florida in order to market to
that community. _ .. .
For Native Hawaiian or Pacific,lslander residents, a monthly letter will be sent to the AsianPacifc Islander American Public
Affairs in order to market to that community.
There will be opportunities for residents of the targeted population in Gallery at Lummus Parc. The non -subsidized units will be
available to the general public and marketing/outreach will be provided as indicated below.
Previous editions are obsolete
Page 3 of 8
Form HUD-935.2A(12/2011)
7a. Marketing Staff
What staff positions are/will be responsible for affirmative marketing?
Property Manager, Regional Manager and Compliance Manager.
7b. Staff Training and Assessment: AFHMP
(1) Has staff been trained on the AFHMP?
(2) Has staff been instructed in writing and orally on non-discrimination and fair housing policies as required by
24 CFR 200.620(c)?
(3) If yes, who provides instruction on the AFHMP and Fair Housing Act, and how frequently?
Yes
Yes
At least once a year or more if needed. Outside compliance in-house training.
(4) Do you periodically assess staff skills on the use of the AFHMP and the application of the Fair Housing
Act?
Yes
(5) Ifyes, how and how often?
Review the AFHMP annually to ensure it is. up to date and that all staff are aware of their responsibilities regarding marketing
the property.
7c. Tenant Selection Training/Staff
(1) Has staff been trained on tenant selection in accordance with the project's occupancy policy, including any residency preferences?
NYes
(2) What staff positions are/will be responsible for tenant selection?
Property Manager and Regional Manager.
7d. Staff Instruction/Training:
Describe AFHM/Fair Housing Act staff training, already provided or to be provided, to whom it was/will be provided, content of training,
and the dates of past and anticipated training. Please include copies of any AFHM/Fair Housing staff training materials.
Employees are trained by private companies at least once a year, outsourced by TRG Management Company and on-line training
seminars.
Previous editions are obsolete -
Page 4 of 8
Form HUD-935.2A (12/2011)
8. Additional Considerations Is there anything else you would like to tell us about your AFHMP to help ensure that
your program is marketed to those least likely to apply for housing in your project? Please attach additional sheets, as
needed.
TRG Management Company mandates that all employees attend continuing education classes to ensure Fair Housing and Equal
Opportunity requirements are met and to acquire the skills necessary to implement adequate AFHMP and tenant selection
procedures.
9. Review and Update
By signing this form, the applicant/respondent agrees to implement its AFHMP, and to review and update its AFHMP
in accordance with the instructions to item 9 of this form in order to ensure continued compliance with HUD's Affirmative Fair
Housing Marketing Regulations (see 24 CFR Part 200, Subpart M). I hereby certify that all the information stated herein,
as well as any information provided in the accompaniment herewith, is true and accurate. Warning: HUD will prosecute
false claims and statements. Conviction may result in criminal and/or civil penalties. (See 18 U.S.C. 1001, 1010, 1012;
31 U.S.C. 3729, 3802).
Signature of person submitting this Plan & Date of Submission (mm/dd/yyyy)
Name (type or print)
Tony Del Pozzo
Title & Name of Company
Vice President - Gallery at Lummus Parc
For HUD -Office of Housing Use Only
Reviewing Official:
For HUD -Office of Fair Housing and Equal Opportunity Use Only
Approval n Disapproval
Signature & Date (mm/dd/yyyy)
Signature & Date (mm/dd/yyyy)
Name
(type
or
print)
Title
Name
(type
or
print)
Title
Previous editions are obsolete Page 5 of 8
Form HUD-935.2A (12/2011)
Public reporting burden for this collection of information is estimated to average six (6) hours per initial response, and four (4) hours for
updated plans, including the time for reviewing instructions, searching existing data sources, gathering and maintaining the data
needed, and completing and reviewing the collection of information. This agency may not collect this information, and you are not
required to complete this form, unless it displays a currently valid Office of Management and Budget (OMB) control number.
Purpose of Form: All applicants for participation in FHA subsidized and unsubsidized multifamily housing programs with five or more
units (see 24 CFR 200.615) must complete this Affirmative Fair Housing Marketing Plan (AFHMP) form as specified in 24 CFR
200.625, and in accordance with the requirements in 24 CFR 200.620. The purpose of this AFHMP is to help applicants offer equal
housing opportunities regardless of race, color, national origin, religion, sex, familial status, or disability. The AFHMP helps
owners/agents (respondents) effectively market the availability of housing opportunities to individuals of both minority and non -minority
groups that are least likely to apply for occupancy. Affirmative fair housing marketing and planning should be part of all new
construction, substantial rehabilitation, and existing project marketing and advertising activities.
An AFHM program, as specified in this Plan, shall be in effect for each multifamily project throughout the life of the mortgage (24 CFR
200.620(a)). The AFHMP, once approved by HUD, must be made available for public inspection at the sales or rental offices of the
respondent (24 CFR 200.625) and may not be revised without HUD approval. This form contains no questions of a confidential nature.
Applicability: The form and worksheets must be completed and submitted by all FHA subsidized and unsubsidized multifamily _
housing program applicants..
INSTRUCTIONS:
Send completed form and worksheets to your local HUD Office, Attention: Director, Office of Housing
Part 1: Applicant/Respondent and Project
Identification. Blocks la, 1b, lc, 1g, lh, and li are self-
explanatory.
Block 1d- Respondents may obtain the Census tract
number from the U.S. Census Bureau
(htto://factfinder2.census.00vlmain.html) when
completing Worksheet One.
Block le- Respondents should identify both the housing
market area and the expanded housing market area for
their multifamily housing projects. Use abbreviations if
necessary. A housing market area is the area from
which a multifamily housing project owner/agent may
reasonably expect to draw a substantial number of its
tenants. This could be a county or Metropolitan Division.
The U.S. Census Bureau provides a range of levels to
draw from.
An expanded housing market area is a larger
geographic area, such as a Metropolitan Division or a
Metropolitan: Statistical Area, which may provide
additional demographic diversity in terms of race, color,
national origin, religion, sex, familial status, or disability.
Block 1f- The applicant should complete this' block only if
a Managing Agent (the agent cannot be the applicant) is
implementing the AFHMP.
Previous editions are obsolete
Part 2: Type ofAFHMP
Block 2a- Respondents should indicate the status of the
AFHMP, i.e., initial or updated, as well as the date of the
first approved AFHMP. Respondents should also provide
the reason (s) for the current update, whether the update is
based on the five-year review or due to significant changes
in project or local demographics (See instructions for Part
9).
Block 2b- Respondents should identify all groups HUD has
approved for occupancy in the subject project, in
accordance with the contract, grant, etc.
Block 2c- Respondents should specify the date the project
was/will be first occupied.
Block 2d- For new construction and substantial
rehabilitation projects, advertising must begin at least 90
days prior to initial occupancy. In the case of existing
projects, respondents should indicate whether the
advertising will be used to fill existing vacancies, to place
individuals on the project's waiting list, or to re -open a
closed waiting list. Please indicate how many people are
on the waiting list when advertising.begins.___.___.
Page 6 of 8 Form HUD 935.2A (12/2011)
Part 3 Demographics and Marketing Area.
"Least likely to apply" means that there is an
identifiable presence of a specific demographic
group in the housing market area, but members of
that group are not likely to apply for the housing
without targeted outreach, including marketing
materials in other languages for limited English
proficient individuals, and alternative formats for
persons with disabilities. Reasons for not applying
may include, but are not limited to, insufficient
information about housing opportunities, language
barriers, or transportation impediments.
Block 3a - Using Worksheet 1, the respondent
should indicate the demographic composition of the
projects residents, current project applicant data,
census tract, housing market area, and expanded housing
market area.. The applicable housing market area
and expanded housing market area should be indicated
in Block le. Compare groups within rows/across columns on
Worksheet 1 to identify any under -represented group(s)
relative to the surrounding housing market area and expanded
housing market area, i.e., those group(s) "least likely to apply"
for the housing without targeted outreach and marketing. If there
is a particular group or subgroup with members of a protected
class that has an identifiable presence in the housing market area,
but is not included in Worksheet 1, please specify under "Other."
Respondents should use the most current demographic
data from the U.S. Census or another official source such
as a local government planning office. Please indicate the
source of your data in Part 8 of this form.
Block 3b - Using the information from the completed
Worksheet 1, respondents should identify the
demographic group(s) least likely to apply for the
housing without special outreach efforts by checking
all that apply.
Part 4 - Marketing Program and Residency Preference (if
any).
Block 4a - A residency preference is a preference for
admission of persons who reside or work in a specified
geographic area (see 24 CFR 5'.655(c)(1)(ii)). Respondents
should indicate whether a residency preference is being
utilized, and if so, respondents should specify if it is new,
revised, or continuing. If a respondent wishes to utilize a
residency preference, it must state the preference area (and
provide a map delineating the precise area) and state the
reason for having such a preference. The respondent must
ensure that the preference is in accordance with the non-
discrimination and equal opportunity requirements in 24 CFR
5.105(a) (see 24 CFR 5.655(c)(1)).
Previous -editions are obsolete Page 7of8 Form HUD-935.2A (12/2011)"
Respondents should use Worksheet 2 to show how the
percentage of the eligible population living or working in the
residency preference area compares to that of residents of the project,
project applicant data, census tract, housing market area, and
expanded housing market area. The percentages would be the same as
shown on completed Worksheet 1.
Block 4b - Using Worksheet 3, respondents should describe
their use of community contacts to help market the project to those
least likely to apply. This table should include the name of a
contact person, his/her address, telephone number, previous
experience working with the target population(s), the
approximate date contact was/will be initiated, and the specific
role the community contact will play in assisting with affirmative
fair housing marketing or outreach.
Block 4c --Using Worksheet 4, respondents should describe
their proposed method(s) of advertising to market to those
least likely to apply. This table should identify each media
option, the reason for choosing this media, and the language
of the advertisement. Altemative format(s) that will be used to reach
persons with disabilities, and logo(s) that will appear on the
various materials (as well as their size) should be described.
Please attach a copy of the advertising or marketing material.
Part 5 — Availability of the Fair Housing Poster, AFHMP,
and Project Site Sign.
Block 5a - The Fair Housing Poster must be prominently
displayed in all offices in which sale or rental activity takes
place (24 CFR 200.620(e)). Respondents should indicate all
locations where the Fair Housing Poster will be displayed.
Block 5b -The AFHMP must be available for public inspection
at the sales or rental office (24 CFR 200.625). Check all of the
locations where the AFHMP will be available.
Block 5c -The Project Site Sign must display in a conspicuous
position the HUD -approved Equal Housing Opportunity logo,
slogan, or statement (24 CFR 200.620(f)). Respondents should
indicate where the Project Site Sign will be displayed, as well
as the size of the Sign and the size of the logo, slogan, or
statement. Please submit photographs of project site
signs: -`-
-
Part 6 - Evaluation of Marketing Activities.
Respondents should explain the evaluation process to be used
to determine if they have been successful in attracting those
individuals identified as least likely to apply. Respondents
should also explain how they will make decisions about future
marketing activities based on the evaluations.
Part 7- Marketing Staff and Training.
Block 7a -Respondents should identify staff positions that
are/will be responsible for affirmative marketing.
Block 7b - Respondents should indicate whether staff has been
trained on the AFHMP and Fair Housing Act.
Please indicate who provides the training and how frequently.
In addition, respondents should specify whether they periodically
assess staff members' skills in using the AFHMP and in applying
the Fair Housing Act. They should state how often
they assess employee skills. and how they conduct the
assessment.
Block 7c - Respondents should indicate whether staff has been
trained on tenant selection in accordance with the project's
occupancy policy, including residency preferences (if any).
Respondents should also identify those staff positions that
are/will be responsible for tenant selection.
Block 7d - Respondents should include copies of any written
materials related to staff training, and identify the dates of past
and anticipated training.
Part 8 - Additional Considerations.
Respondents should describe their efforts not previously
mentioned that were/are planned to attract those individuals
least likely to apply for the subject housing.
Part 9 - Review and Update.
By signing the respondent assumes responsibility for
implementing the AFHMP. Respondents must review their
AFHMP every five years or when the local Community
Development jurisdiction's Consolidated Plan is updated, or
when there are significant changes in the demographics of the
project or the local housing market area. When reviewing the plan,
the respondent should consider the current demographics of the
housing market area to determine if there have been demographic
changes in the population in terms of race, color, national
origin, religion, sex, familial status, or disability. The respondent will
then determine if the population least to likely to apply for the housing
is still the population identified in the AFHMP, whether the advertising
and publicity cited in the current AFHMP are still appropriate, or
whether advertising sources should be modified or expanded. Even if
the demographics of the housing market area have not
changed,,the respondent should determineifthe. outreach
currently. being performed is reaching those it is intended to
reach as measured by project occupancy and applicant data. If
not, the AFHMP should be updated. The revised AFHMP must
be submitted to HUD for approval. HUD may review whether the
affirmative marketing is actually being performed in
accordance with the AFHMP. If based on their review,
respondents determine the AFHMP does not need to be
revised, they should maintain a file documenting what was
reviewed, what was found as a result of the review, and why
no changes were required. HUD may review this
documentation.
Notification of Intent to Begin Marketing.
No later than 90 days prior to the initiation of rental
marketing activities, the respondent must submit notification
of intent to begin marketing. The notification is required by the
AFHMP Compliance Regulations (24 CFR 108.15). The
Notification is submitted to the Office of Housing in the HUD Office
servicing the locality in which the proposed housing will be located.
Upon receipt of the Notification of Intent to Begin Marketing from
the applicant, the monitoring office will review any previously
approved plan and may schedule a pre -occupancy conference.
Such conference will be held prior to initiation of sales/rental
marketing activities. At this conference, the previously
approved AFHMP will be reviewed with the applicant to
determine if the plan, and/or its proposed implementation,
requires modification prior to initiation_ of marketing in order to
achieve the'objectives of the AFHM regulation and lan.
OMB a;pprovai of:the AFHMP includes approval of this
notification procedure as part of the AFHMP. The burden hours
for such notification are included in the total designated for this
AFHMP form.
1 2: ':,, ; Previous editions are obsolete Page 8 of 8 : - Form HUD-935.2A (12/2011) : 7
Worksheet 1: Determining Demographic Groups Least Likely to Apply for Housing Opportunities
(See AFHMP, Block 3b)
In the respective columns below, indicate the percentage of demographic groups among the, project's residents, current project
applicant data, census tract, housing market area, and expanded housing market area (See instructions to Block le). If you are a new
construction or substantial rehabilitation project and do not have residents or project applicant data, only report information for census
tract, housing market area, and expanded market area. The purpose of this information is to identify any under -representation of
certain demographic groups in terms of race, color, national origin, religion, sex, familial status, or disability. If there is significant
under -representation of any demographic group among project residents or current applicants in relation to the housing/expanded
housing market area, then targeted outreach and marketing should be directed towards these individuals least likely to apply. Please
indicate under -represented groups in Block 3b of the AFHMP. Please attach maps showing both the housing market area and the
expanded housing market area.
Demographic
Characteristics
Projects
Residents
..�
Project's
Applicant Data
Census Tract Housing Market Area
Expanded
Housing Market
Area
%White >
N/A
N/A.
32%
1
12.7%
:.. ...:.
30.3%°,.:
..:
% Black or African
American
N/A
N/A
15.1%
14.3%
20.2%
% Hispanic or Latino
N/A
N/A
75.8%
'69.1%
45.3%
%Asian
N/A
N/A
0.9%
1.5%
2.4%
% American Indian or
Alaskan Native
N/A
N/A
0.8%
0.1%
0.1%
% Native Hawaiian or
Pacific Islander
•
N/A•
N/A
0%
10%
0%
%Persons
with
Disabilties
N/A
N/A
26%
10.3%
11.3%
% Families with Children
under the age of 18
N/A
N/A 10.7%
31.9%
29.2%
Other (specify)
Worksheet 2: Establishing a Residency Preference Area (See AFHMP, Block 4a)
Complete this Worksheet if you wish to continue, revise, or add a residency preference, which is a preference for admission of persons
who reside or work in a specified geographic area (see 24 CFR 5.655(c)(1)(ii)). If a residency preference is utilized, the preference
must be in accordance with the non-discrimination and equal opportunity requirements contained in 24 CFR 5.105(a). This Worksheet
will help show how the percentage of the population in the residency preference area compares to the demographics of the project 's
residents, applicant data, census tract, housing market area, and expanded housing market area. Please attach a map clearly
delineating the residency preference geographical area.
Demographic
Characteristics
Project's
Residents
(as determined
in Worksheet 1)
Project's
Applicant Data
(as determined
in Worksheet 1)
Census Tract
(as determined
in Worksheet
1)
Housing Market
Area (as
determined
in Worksheet 1)
Expanded
Housing Market
Area
(as determined in
Worksheet 1)
Residency
Preference Area
(if applicable)
% White
% Black or African
American
Hispanic or
Latino
-
% Asian
% American Indian
or Alaskan Native
% Native Hawaiian V
or Pacific Islander
% Persons with
Disabilities
% Families with
Children under the
age of 18
•
i
-"
Other (specify)
Worksheet 3: Proposed Marketing Activities —Community Contacts (See AFHMP, Block 4b)
For each targeted marketing population designated as least likely to apply in Block 3b, identify at least one community contact
organization you will use to facilitate outreach to the particular population group. This could be a social service agency, religious
body, advocacy group, community center, etc. State the names of contact persons, their addresses, their telephone numbers, their
previous experience working with the target population, the approximate date contact was/will be initiated, and the speck role they
will play in assisting with the affirmative fair housing marketing. Please attach additional pages if necessary.
Targeted Population(s)
Community Contact(s), including required information noted above.
American Indian or Alaskan Native
Seminole Tribe of Florida
Attn: Mittchell Cypress - President
6300 Sterling Road, Hollywood, Florida 33024; Phone: 954-966-6300
Founded in 1957. Monthly letter will be sent.
Asian
,
-
Asian American Justice Center
Attn; Jiny Kim - Vice President, Policy and Programs
NW DC Phone:
1620 L Street #1050, Washington, 20036; 202-296-2300 ext. -141-
Founded in 1991. Monthly letter will be sent.
Native Hawaiian or Pacific Islander
Asian Pacific Islander American Public Affairs
Attn: Matusamy Swami - President
P.O. Box 770322, Orlando, FL 3287; Phone: 916-928-8988
Founded in 2001. Monthly letter will be sent.
Black or African American
African American Cultural Society
Attn: Edmund G. Pinto, Jr.
P.O. Box 350607 Palm Coast FL 32135., Phone 386-447-7030
Founded in 1991. Monthly letter will be sent.
Worksheet 4: Proposed Marketing Activities — Methods of Advertising (See AFHMP, Block 4c)
Complete the following table by identifying your targeted marketing population(s), as indicated in Block 3b, as well as
the methods of advertising that will be used to market to that population. For each targeted population, state the
means of advertising that you will use as applicable to that group and the reason for choosing this media. In each block,
in addition to specifying the media that will be used (e.g., name of newspaper, television station, website, location of
bulletin board, etc.) state any language(s) in which the material will be provided, identify any alternative format(s) to be
used (e.g. Braille, large print, etc.), and specify the logo(s) (as well as size) that will appear on the various materials.
Attach additional pages, if necessary, for further explanation. Please attach a copy of the advertising or marketing
material.
Targeted Population(s)--.
Methods of Advertising .
Targeted Population:
Targeted Population:
Targeted Population:
Newspaper(s)
Tenants that qualify under
Miami HeraldlMiami Times
the program requirements
Radio Station(s)
TV Station(s)
Electronic Media
Tenants that under
TRG Management Website
qualify
the program requirements
Bulletin Boards
Brochures, Notices, Flyers
Other specify)
Tenants that
Resident Referral
qualify under
the program requirements
EXHIBIT "F"
FORM OF LEASEHOLD MORTGAGE
Prepared by, and after recording, return to:
Raymond Pereira, Esq.
Assistant City Attorney, City of Miami
444 S.W. 2nd Avenue
Miami, FL 33130-1910
Tel: (305) 416-1800
After recording return to:
Maria T. Ason
Contract Compliance Analyst
City of Miami
Department of Housing and Community Development
444 S.W. 2nd Avenue
Miami, FL 33130-1910
Property Address: 395 NW 1 St, Miami, Florida 33128
Note to Recorder: This mortgage is given to secure the fmancing of housing under Part V of Chapter 420 of the
Florida Statutes and is exempt from taxation pursuant to Section 420.513 Florida Statutes.
LEASEHOLD MORTGAGE AND SECURITY AGREEMENT FORGALLERY AT
LUMMUS PARC, LLC
THIS LEASEHOLD MORTGAGE AND SECURITY AGREEMENT (hereinafter
referred to as the "Mortgage"), is executed and delivered the day of , 2026 by
and GALLERY AT LUMMUS PARC, LLC, a Florida limited liability company whose address
is 2850 Tigertail Avenue, Suite 800, Miami, FL 33133 (hereinafter called "Mortgagor"), to the
CITY OF MIAMI, a municipal corporation of the State of Florida, with offices at 444 S.W. 2nd
Avenue, Miami, Florida 33130-1910 (hereinafter called "Mortgagee").
RECITALS
WHEREAS, on September 20, 2024, and as affirmed and amended on July 29, 2025, and
on March 25, 2026, and on May 6, 2026, the Mortgagee approved an allocation of Three Million
and 00/100 Dollars ($3,000,000.00) in American Rescue Plan Act of 2021 ("ARPA") funds for
construction of affordable residential apartment units ("Project"); and
WHEREAS, Mortgagor has delivered to Mortgagee that certain ARPA Promissory Note
for Gallery at Lummus Parc, LLC, of even date herewith, made by Mortgagor in favor of
Mortgagee (as the same may be amended, restated, replaced, supplemented or otherwise modified
from time to time, and together with any and all renewals, replacements, extensions, modifications,
substitutions, future advances and any other evidence of indebtedness evidenced by said
Promissory Note) (the "Note"), which Note evidences the indebtedness in the amount of Three
Million and 00/100 Dollars ($3,000,000.00) (the "Loan").
NOW THEREFORE, in consideration of the making of the Loan by Mortgagee and the
covenants, agreements, representations and warranties set forth in this Mortgage:
WITNESSETH THAT:
Page 1 of 14
FOR GOOD AND VALUABLE CONSIDERATION, as set forth in the above recitals
that are hereby incorporated by reference, the receipt and sufficiency of which are hereby
acknowledged, and also in consideration of the aggregate sum named in the Note, in the original
principal amount of Three Million and 00/100 Dollars ($3,000,000.00), the Mortgagor does
grant, bargain sell, alien, remise, release, convey and confirm unto the Mortgagee, its leasehold
interest in that certain tract of land which the Mortgagor is now seized and possessed and in actual
possession, situate in Miami -Dade County, State of Florida, located at 395 Northwest 1 Street,
Miami, Florida 33128 , legally described as follows:
SEE EXHIBIT "A" ATTACHED HERETO
TOGETHER WITH all structures and improvements now and hereafter located thereon,
the rents, issues and profits thereof, all furniture, furnishings, fixtures and equipment now located
thereon, and also all gas and electric fixtures, heaters, air conditioning, equipment, machinery,
motors, baths, tubs, sinks, water closets, faucets, pipes and other plumbing and heating fixtures,
refrigerators, blinds, and other window treatments, which are now or may hereafter pertain to or
be used with, in or on said premises, and which, even though they be detached or detachable, are
and shall be deemed to be fixtures and accessions to the freehold and a part of the realty, and all
additions thereto and replacements thereof, which real property, improvements and personalty
shall hereinafter collectively be referred to as the "Mortgaged Property".
TO HAVE AND TO HOLD the same, together with all tenements and hereditaments and
appurtenances, unto the Mortgagee in the leasehold estate.
The Mortgagor does covenant with the Mortgagee that Mortgagor is indefeasibly seized of
a leasehold estate in the Mortgaged Property; that the Mortgagor has full power and lawful right
to convey the leasehold estate in Mortgaged Property as aforesaid; that the Mortgaged Property is
free from all encumbrances except as specified on Exhibit "B" hereto; that the Mortgagor will
make such further assurances to perfect the leasehold estate to the Mortgaged Property in the
Mortgagee as may reasonably be required; and that the Mortgagor does hereby fully warrant the
leasehold title to the Mortgaged Property, and will defend the same against the lawful claims of
all persons whomsoever.
PROVIDED ALWAYS, that if the Mortgagor shall pay unto the Mortgagee or otherwise
perform and fulfill its obligations with respect to the indebtedness and obligations evidenced by
the Note, and shall perform, comply with and abide by each and every one of the stipulations,
agreements, conditions and covenants of the Note, this Mortgage and the Loan Agreement of even
date herewith (the "Agreement" or "Loan Agreement") and the other loan documents executed in
connection herewith and therewith (hereinafter collectively referred to as "the Loan Documents"),
then this Mortgage and the estate thereby created shall cease and be null and void.
AND THE MORTGAGOR HEREBY COVENANTS AND AGREES AS
FOLLOWS:
1. PERFORMANCE OF NOTE AND MORTGAGE. The Mortgagor shall
pay or otherwise fully perform its obligations with respect to the payment of all and singular the
principal, interest and other sums of money payable by virtue of the Note and this Mortgage, or
either, promptly on the days when the same severally become due and payable, and shall perform,
Page 2of14
comply with and abide by each and every of the stipulations, agreements, conditions and covenants
set forth in the Note, this Mortgage and the Loan Documents.
2. TAXES AND OTHER CHARGES. The Mortgagor shall pay when due
and payable and before any interest, charge or penalty is due thereon, without any deduction,
defalcation or abatement, all taxes, assessments, levies, liabilities, obligations, encumbrances,
water and sewer rents and all other charges or claims of every nature and kind which may be
imposed, suffered, placed, assessed, levied, or filed at any time against this Mortgage, the
Mortgaged Property or any part thereof or against the interest of the Mortgagee therein, or which
by any present or future law may have priority over the indebtedness secured hereby either in lien
or in distribution out of the proceeds of any judicial sale, without regard to any law heretofore or
hereafter to be enacted imposing payment of the whole or of any part upon the Mortgagee; and
insofar as any such tax, assessment, levy, liability, obligation or encumbrance is of record, the
same shall be promptly satisfied and discharged of record and the original official document (such
as, for instance, the tax receipt or the satisfaction paper officially endorsed or certified) shall be
placed in the hands of the Mortgagee no later than such dates; provided, however, that if, pursuant
to this Mortgage or otherwise, the Mortgagor shall have deposited with the Mortgagee before the
due date thereof sums sufficient to pay any such taxes, assessments, levies, water and sewer rents,
charges or claims, and the Mortgagor is not otherwise in default, they shall be paid by the
Mortgagee; and provided further, that if the Mortgagor in good faith and by appropriate legal action
shall contest the validity of any such items or the amount thereof, and shall have established on its
books or by deposit of cash with the Mortgagee, as the Mortgagee may elect, a reserve for the
payment thereof in such amount as the Mortgagee may require, then the Mortgagor shall not be
required to pay the item or to produce the required receipts: (a) while the reserve is maintained;
and (b) so long as the contest operates to prevent collection, is maintained and prosecuted with
diligence, and shall not have been terminated or discontinued adversely to the Mortgagor. The
Mortgagor shall furnish the Mortgagee with annual receipted tax bills evidencing payment within
ninety (90) days from their initial due date.
3. INSTALLMENTS FOR INSURANCE, TAXES AND OTHER CHARGES.
Without limiting the effect of Paragraphs 2 or 5 hereof, and subject to the terms of the
Subordination Agreement, the Mortgagee may require the Mortgagor to pay to the Mortgagee,
monthly with the monthly installments of principal and interest, an amount equal to one -twelfth
(1/12) of the annual premiums for the insurance policies referred to hereinabove and the annual
real estate taxes, water and sewer rents, any special assessments, charges or claims and any other
item which at any time may be or become a lien upon the Mortgaged Property prior to the lien of
this Mortgage; and on demand from time to time the Mortgagor shall pay to the Mortgagee any
additional sums necessary to pay the premiums and other items, all as estimated by the Mortgagee.
The amounts so paid shall be used in payment thereof if the Mortgagor is not otherwise in default
hereunder. No amount so paid shall be deemed to be trust funds but may be commingled with
general funds of the Mortgagee, and no interest shall be payable thereon. If, pursuant to any
provision of this Mortgage, the whole amount of the unpaid principal debt becomes due and
payable, the Mortgagee shall have the right, at its election, to apply any amount so held against the
entire indebtedness secured hereby. At the Mortgagee's option, the Mortgagee from time to time
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may waive, and after any such waiver may reinstate, the provisions of this Paragraph requiring
monthly payments.
4. ATTORNEYS' FEES AND COSTS. Subject to Paragraph 11, in the
event litigation, arbitration, or mediation, between the parties hereto, arises out of the
terms of this Mortgage, each party shall be responsible for its own attorney's fees, costs,
charges, and expenses through the conclusion of all appellate proceedings, and including
any final settlement or judgment.
5. INSURANCE. The Mortgagor shall keep the buildings and improvements
now or hereafter erected on the Mortgaged Property continuously insured under a policy or policies
providing coverage on an "all risk" basis, in a sum not less than full insurable value, including
flood insurance if applicable and requested by the Mortgagee, in a company or companies
acceptable to the Mortgagee. Subject to the terms of the Subordination Agreement, the policy or
policies of insurance shall be held by and be payable to the Mortgagee. In the event any sum of
money becomes payable under such policy or policies, the Mortgagee shall have the option to
receive and apply the same on account of the indebtedness secured by this Mortgage or to permit
the Mortgagor to receive and use it, or any part thereof, for other purposes, without thereby waiving
or impairing any equity lien or right under or by virtue of this Mortgage. In the event the
Mortgagor fails to procure and maintain the insurance coverage required hereby, the Mortgagee
may procure and pay for such insurance or any part thereof, without waiving or affecting its option
to foreclose this Mortgage, or any right thereunder. Each and every such payment made by the
Mortgagee shall be secured by this Mortgage; shall be due and payable on demand; and, shall bear
interest from the date each such payment is made at the maximum rate permitted by law.
Notwithstanding any provision contained herein, Mortgagee will not exercise its option to receive
and apply the insurance funds to the indebtedness if there has not been an event of default under
the Loan Documents and Mortgagor demonstrates there are sufficient funds to rebuild, repair or
restore the improvements on the Mortgaged Property. The foregoing rights of Mortgagee are
subject to the rights of the Permitted Senior Lenders (as defined below) under the documents
governing any Permitted Senior Financing (collectively, the "Permitted Senior Financing
Documents").
6. CARE OF THE MORTGAGED PROPERTY. The Mortgagor shall exercise
reasonable care in the maintenance of the Mortgaged Property, and shall not permit, commit or
suffer any waste, impairment or deterioration of the Mortgaged Property or any part thereof. In
the event the Mortgagor fails to keep the Mortgaged Property in good repair, the Mortgagee may
make such repairs as it may deem necessary in its sole discretion for the proper preservation
thereof, and the full amount of each such payment shall be due and payable with interest at the
maximum rate permitted by law on demand, and shall be secured by the lien of this Mortgage.
7. EXISTING/OTHER MORTGAGES AND OBLIGATIONS. Any default in
the payment or terms and conditions of any existing or other mortgage(s) which encumber the
Property, or any modification of, and/or acceptance of future advances from, any existing or other
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mortgage(s), other than in connection with the Permitted Senior Financing, without notice and
prior written approval of Mortgagee, shall constitute a default hereunder and the Mortgagee, at its
option, may declare all sums due and payable and accelerate the entire indebtedness.
The Mortgagee may, at its option, and without waiving its right to accelerate the
indebtedness hereby secured and to foreclose the same, pay either before or after delinquency any
or all of those certain obligations required by the terms hereof to be paid by the Mortgagor for the
protection of the Mortgage security or for the collection of the indebtedness hereby secured. All
sums so advanced or paid by Mortgagee shall be charged into the mortgage account, and every
payment so made shall bear interest from the date thereof at the delinquent rate specified in the
Note, and become an integral part thereof, subject in all respects to the terms, conditions and
covenants of the aforesaid Promissory Note, and this Mortgage, as fully and to the same extent as
though a part of the original indebtedness evidenced by said Note and secured by this Mortgage,
excepting however, that said sums shall be repaid to the Mortgagee within fifteen (15) days after
demand by the Mortgagee to the Mortgagor for said payment.
S. INSPECTION. The Mortgagee, and any persons authorized by the
Mortgagee, shall have the right at any time, upon reasonable notice to the Mortgagor, to enter the
Mortgaged Property at a reasonable hour to inspect and photograph its condition and state of repair,
subject to the rights of tenants under the terms of their leases.
9. ACCELERATION OF MATURITY. That (a) in the event of any breach of
this Mortgage or default on the part of the Mortgagor, which is not cured within thirty (30) days
following written notice from the Mortgagee, or if such default cannot practicably be cured within
thirty (30) days, then within such additional time as may be required to effect a cure, so long as (i)
the cure is commenced within thirty (30) days and is diligently prosecuted and (ii) the lack of a
cure during such continuing cure period has no material adverse effect on the Mortgaged Property,
or (b) in the event any of said sums of money herein referred to be not promptly and fully paid
within fifteen (15) days next after the same severally become due and payable, without demand or
notice; or (c) in the event each and every stipulation, agreement, condition and covenants of the
Note, the Loan Agreement, this Mortgage, or any of the Loan Documents, are not duly, promptly
and fully performed, discharged, executed, effected, completed, complied with and abided by,
subject to any applicable notice and cure periods as may be provided in the Agreement; or (d) in
the event the Mortgagor shall fail, within ten (10) days written notice by the Mortgagee to execute
a Mortgagor's certificate in favor of any assignee or prospective assignee of the Mortgagee's
interest hereunder which certificate shall contain such acknowledgments, affirmations, and
covenants as may be reasonably required to enable the Mortgagee to assign their interest
hereunder, or (e) upon the rendering by any court of last resort of a decision that an undertaking
by the Mortgagor as herein provided to pay taxes, assessments, levies liabilities, obligations and
encumbrances is legally inoperative or cannot be enforced, or (f) in the event of the passage of any
law changing in any way or respect the laws now in force for the taxation of mortgages or debts
secured thereby, or the manner of collection of any such taxes, so as to materially adversely affect
this Mortgage or the debt secured hereby; or (g) in the event there exists an event of default under
and pursuant to the terms of any other obligation of any kind or nature whatsoever of the Mortgagor
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to the Mortgagee, direct or contingent, whether now existing or hereafter due, existing, created or
arising, then in either or any such event, the said aggregate sum mentioned in said Note then
remaining unpaid, with interest accrued, and all other fees and charges due in connection therewith,
and all monies secured hereby shall become due and payable forthwith, or thereafter, at the option
of the Mortgagee or successor mortgagee hereof, as fully and completely as if all of the sums of
money were originally stipulated to be paid on such day, anything in the Note and/or in this
Mortgage to the contrary notwithstanding; and thereupon or thereafter, at the option of the
Mortgagee or successor mortgagee hereof, without notice or demand, suit at law or in equity,
therefore, or thereafter begun, may be prosecuted as if all money secured hereby had matured prior
to its institution.
10. INTENTIONALLY DELETED.
11. DEFENSE OF MORTGAGED PROPERTY AND MORTGAGE. If any
action or proceeding shall be commenced by any person other than the Mortgagee, and the
Mortgagee is made a party, or in which it shall become necessary for the Mortgagee to defend or
take action to uphold or defend the lien of this Mortgage, all sums paid or incurred by the
Mortgagee for the expense of any litigation, including court costs and reasonable attorneys' fees
incurred in any trial, appellate, and bankruptcy proceedings, to prosecute or defend the rights and
liens created by this Mortgage shall be paid by the Mortgagor, together with interest thereon at the
maximum rate permitted by law from the date thereof, and any such sum and interest thereon shall
be a claim upon the Mortgaged Property, attaching or accruing subsequent to the lien of this
Mortgage, and shall be secured by the lien of this Mortgage.
12. CONDEMNATION. In the event the Mortgaged Property or any part
thereof shall be condemned under the power of eminent domain, and subject to the terms of the
Subordination Agreement and the Permitted Senior Financing Documents, the Mortgagee shall
have the right to demand that all damages awarded for such taking be paid to the Mortgagee and
shall be entitled to receive same, up to the aggregate amount then remaining unpaid on the Note
and this Mortgage, and any such sums shall be applied to the payments last payable thereof.
13. SUBROGATION. To the extent of the indebtedness of the Mortgagor to the
Mortgagee as described in the Note, the Mortgagee shall be subrogated to the lien and the rights
of the owners and holders of each and every mortgage, lien or other encumbrance on the
Mortgaged Property which is paid or satisfied, in whole or in part, out of the proceeds of the Note.
The respective liens of such mortgages, liens or other encumbrances shall be and are hereby
security for the Note, as if they had been regularly assigned, transferred, and delivered unto the
Mortgagee, notwithstanding the fact that the same may be set aside and canceled of record. It is
the intention of the parties hereto that the prior mortgages, liens or other encumbrances will be
satisfied and canceled of record by the holders thereof at or about the time of the recording of this
Mortgage.
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14. APPOINTMENT OF RECEIVER. At any time while a suit is pending to
foreclose or to reform this Mortgage or to enforce any claims arising hereunder, the Mortgagee
may apply to a court of appropriate jurisdiction for the appointment of a receiver, and such court
shall forthwith appoint a receiver of the Mortgaged Property, including all and singular the income,
profits, rents, issues and revenues from whatever source derived. The receiver shall have all the
broad and effective functions and powers in anywise entrusted by a court to a receiver, and such
appointment shall be made by such court as an admitted equity and as a matter of absolute right to
the Mortgagee without reference to the adequacy or inadequacy of the value of the Mortgaged
Property, or to the solvency or insolvency of the Mortgagor or the Defendants. All income, profits,
rents, issues and revenues collected by the receiver shall be applied by such receiver according to
the lien of this Mortgage, and the practice of such court. The foregoing rights of Mortgagee are
subject to the rights of the Permitted Senior Lenders under the Permitted Senior Financing
Documents.
15. NO TRANSFER OF MORTGAGED PROPERTY. It is expressly agreed
that should the Mortgagor convey title to the Mortgaged Property, or any legal or equitable interest
therein, except as set forth in the ARPA Loan Agreement, to any person, firm or corporation or
shall permit or create any further encumbrances upon the Mortgaged Property, except as set forth
in the ARPA Loan Agreement, without the prior written approval of the Mortgagee to such
conveyance or encumbrance, all sums outstanding under the Note and secured by this Mortgage
shall become immediately due and payable, at the option of the Mortgagee.
16. LEASES AFFECTING MORTGAGED PROPERTY. The Mortgagor
shall comply with and observe its obligations as landlord under all leases affecting the Mortgaged
Property or any part thereof. Upon request, the Mortgagor shall furnish promptly to the Mortgagee
executed copies of all such leases now existing or hereafter created. The Mortgagor shall not
accept payment of rent more than one (1) month in advance without the prior written consent of
the Mortgagee. Nothing contained in this Section or elsewhere in this Mortgage shall be construed
to make the Mortgagee a mortgagee in possession unless and until the Mortgagee actually takes
possession of the Mortgaged Property either in person or through an agent or receiver. To the
extent not provided by applicable law, each lease of the Mortgaged Property, shall provide that, in
the event of the enforcement by the Mortgagee of the remedies provided for by law or by this
Mortgage, the lessee thereunder will, if requested by the Mortgagee or by any person succeeding
to the interest of the Mortgagee as the result of said enforcement, automatically become the lessee
of any such successor in interest, without any change in the terms or other provisions of the
respective lease; provided, however, that said successor in interest shall not be bound by (i) any
payment of rent or additional rent for more than one (1) month in advance, except prepayments in
the nature of security for the performance by said lessee of its obligations under said lease not in
excess of an amount equal to one (1) month's rental, or (ii) any amendment or modification in the
lease made without the consent of the Mortgagee or any successor in interest. Each lease shall
also provide that, upon request by said successor in interest, the lessee shall execute and deliver
an instrument or instruments confirming its attornment.
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17. ASSIGNMENT OF RENTS, ISSUES AND PROFITS. The Mortgagor does
hereby bargain, sell, transfer, assign, convey, set over and deliver unto the Mortgagee, as security
for the payment and performance of all the terms and conditions of the Note and this Mortgage,
and any and all amendments, extensions and renewals thereof, all leases affecting the Mortgaged
Property or any part thereof now existing or which may be executed at any time in the future during
the life of this Mortgage, and all amendments, extensions and renewals of said leases and any of
them, and all rents and other income which may now or hereafter be or become due or owing under
the leases, and any of them, on account of the use of the Mortgaged Property, it being intended
hereby to establish a complete transfer of the leases hereby assigned and all the rents and other
income arising thereunder and on account of the use of the Mortgaged Property unto the
Mortgagee, with the right, but without the obligation, to collect all of said rents and other income
which may become due during the life of the Note and this Mortgage. The Mortgagor agrees to
deliver to the Mortgagee upon demand such leases as may from time to time be designated by the
Mortgagee. Although it is the intention of the parties that this shall be a present assignment, it is
expressly understood and agreed, anything herein contained to the contrary notwithstanding, that
the Mortgagee shall not exercise any of the rights or powers herein conferred upon it until a default
shall occur under the terms and provisions of the Note and this Mortgage or an Event of Default,
as such term is defined in the ARPA Loan Agreement ("Event of Default"), shall occur and be
continuing after any applicable notice and/or cure periods, but upon the occurrence of any default or
Event of Default, and after any applicable notice and or cure periods have lapsed, the Mortgagee
shall be entitled, upon notice to the tenants, to all rents and other amounts then due under the leases
and thereafter accruing, and this Mortgage shall constitute a direction to and full authority to the
tenants, lessees or other occupants of the premises (hereinafter collectively referred to as the
"Tenants") to pay all said amounts to the Mortgagee without proof of the default relied upon. The
Tenants are hereby irrevocably authorized to rely upon and comply with any notice or demand by
the Mortgagee for the payment to the Mortgagee of any rental or other sums which may be or
thereafter become due under the leases, or for the performance of any of the Tenants undertakings
under the leases and shall have no right or duty to inquire as to whether any default under this
Mortgage has actually occurred or is then existing.
18. MORTGAGE CONSTITUTES SECURITY AGREEMENT. This Mortgage
also constitutes a security agreement as defined under the Uniform Commercial Code. The
Mortgagor hereby grants to the Mortgagee a security interest in and to all furniture, furnishings,
equipment, machinery, and personal property of every nature whatsoever now owned or hereafter
acquired by the Mortgagor located upon the Mortgaged Property together with all proceeds
therefrom and as further described in an exhibit to the Security Agreement of even date herewith,
if any. The Mortgagor shall execute any and all documents as the Mortgagee may request,
including, without limitation, financing statements pursuant to the Uniform Commercial Code as
adopted by the State of Florida, to preserve and maintain the priority of the lien created hereby on
property which may be deemed personal property or fixtures. The Mortgagor hereby authorizes
and empowers the Mortgagee to execute and file on behalf of the Mortgagor all financing
statements and refiling and continuations thereof as the Mortgagee deems necessary or advisable
to create, preserve or protect said lien. The Mortgagor and Mortgagee expressly agree that the
filing of a financing statement shall never be construed as in anywise derogating from or impairing
the express declaration and intention of the parties hereto that all such personalty located on or
utilized in connection with the real property encumbered by this Mortgage shall at all times and
Page 8 of 14
for all purposes, in all proceedings both legal and equitable, be deemed a part of the real property
encumbered by this Mortgage.
19. CARE OF PROPERTY.
(a) (a) The Mortgagor shall preserve and maintain the Mortgaged Property in good
condition and repair. Except for: (i) repairs or replacements for ordinary wear and tear or in the
ordinary course of management of the Mortgaged Property; (ii) tenant or similar improvements
and upgrades; and (iii) repairs, replacements, or other restorations in the event of a casualty or
condemnation that are performed in accordance with the Loan Agreement, the Mortgagor shall not
remove, demolish, alter or change the use of any building, structure or other improvement
presently or hereafter on the Land constituting any part of the Mortgaged Property without the
prior written consent of the Mortgagee. The Mortgagor shall not permit, commit or suffer any
waste, impairment or deterioration of the Mortgaged Property or of any part thereof, and will not
take any action which will increase the risk of fire or other hazard to the Mortgaged Property or to
any part thereof. The Mortgagor shall comply with all applicable local, state, and federal
regulations in regards to the Property.
(b) Except as otherwise provided in this Mortgage, no fixture, personal property or
other part of the Mortgaged Property shall be removed, demolished or altered, without the prior
written consent of the Mortgagee. The Mortgagor may sell or otherwise dispose of, free from the
lien of this Mortgage, furniture, furnishings, equipment, tools, appliances, machinery, fixtures or
appurtenances, subject to the lien hereof, which may become worn out, undesirable or obsolete,
only if they are replaced immediately with similar items of at least equal value which shall, without
further action, become subject to the lien of this Mortgage.
20. MORTGAGE SECURES INDEBTEDNESS. It is expressly agreed and
understood that this Mortgage secures the indebtedness and the obligation of the Mortgagor to the
Mortgagee with respect to the Note, as the same is evidenced by the Note, and all renewals,
extensions and modifications thereof. This Mortgage shall not be deemed released, discharged or
satisfied until the entire indebtedness evidenced by the Note is paid in full.
21. MORTGAGEE'S REMEDIES CUMULATIVE. The Mortgagor agrees
that all rights of the Mortgagee hereunder shall be separate, distinct, and cumulative, and that none
shall be in exclusion of the other, and that no act of the Mortgagee shall be construed as an election
to proceed under any provision of covenant herein to the exclusion of any other, notwithstanding
anything herein to the contrary.
22. FUTURE ADVANCES. Pursuant to the laws of the State of Florida, this
Mortgage shall secure not only the existing indebtedness evidenced by the Note, but also such
future advances as may be made by the Mortgagee to the Mortgagor in accordance with the Note,
this Mortgage, or any other Loan Document executed in connection herewith, whether or not such
advances are obligatory or are to be made at the option of the Mortgagee, or otherwise, and as are
Page 9 of 14
made within twenty (20) years from the date hereof, to the same extent as if such future advances
were made on the date of the execution of this Mortgage. The total amount of indebtedness that
may be so secured may decrease or increase from time to time, but the total unpaid balance so
secured at one time shall not exceed one and a half times the face amount of the Note, plus interest
thereon, and any disbursements made for the payment of taxes, levies or insurance on the
Mortgaged Property with interest on such disbursements at the rate designated in the Note to apply
following a default thereunder.
23. INDEMNIFICATION. The Mortgagor hereby protects, indemnifies,
defends, and saves harmless the Mortgagee, its officers, directors, agents and employees, from and
against any and all liabilities, obligations, claims, damages, penalties, causes of action, costs and
expenses (including without limitation, reasonable attorneys' fees and expenses) imposed upon,
incurred by or asserted against the Mortgagee or any of such persons by reason of (a) ownership
of any interest in the Mortgaged Property or any part thereof, (b) any accident, injury to or death
of persons or loss of or damage to property occurring on or about the Mortgaged Property or any
part thereof or the adjoining sidewalks, curbs, vaults and vault space, if any, streets or ways, (c)
any use, disuse or condition of the Mortgaged Property or any part thereof, or the adjoining
sidewalks, curbs, vaults and vault space, if any, or any streets or ways, (d) any failure on the part
of the Mortgagor to perform or comply with any of the terms hereof or of any of the Loan
documents executed in connection herewith, or any inaccuracy in any representation or warranty
made by the Mortgagor herein or in any of the Loan Documents executed in connection herewith,
(e) any necessity to defend any of the right, title or interest conveyed by this Mortgage, (f) the
performance of any labor or services or the furnishing of any materials or other property in respect
of the Mortgaged Property or any part thereof, (g) any subsidence or erosion of any part of the
surface of the Mortgaged Property, including any shoreline or any bank of any river, stream, creek,
lake, ocean or other water source, or (h) the location or existence of asbestos or any toxic or
hazardous waste, chemicals, materials or substance on, at, in or under the Mortgaged Property or
any part thereof. If any action, suit or proceeding is brought against the Mortgagee, or any of its
officers, directors, agents or employees, for any such reason, the Mortgagor, upon the request of
such party, will, at the Mortgagor's expense, cause such action, suit or proceeding to be resisted
and defended by counsel satisfactory to the Mortgagee or such person. Any amounts payable to
an indemnified party under this Section which are not paid within ten (10) days after written
demand therefor shall bear interest at the default rate of interest provided in the Note from the date
of such demand, and such amounts, together with such interest, shall be indebtedness secured by
this Mortgage. The obligations of the Mortgagor under this Section shall survive any defeasance
of the Mortgage.
24. HAZARDOUS MATERIALS. The Mortgagor agrees that it will not use,
generate, store or dispose of Hazardous Materials on the Mortgaged Property. For purposes hereof,
"hazardous materials" include (but are not limited to) materials defined as "hazardous waste"
under the Federal Resource Conservation and Recovery Act and similar state laws, or as
"hazardous substances" under the Federal Comprehensive Environmental Response,
Compensation and Liability Act and similar state laws. Hazardous materials include (but are not
limited to) solid, semi -solid, liquid or gaseous substances which are toxic, ignitable, corrosive,
carcinogenic or otherwise dangerous to human, plant or animal health and well-being. Examples
Page 10 of 14
of hazardous waste include paints, solvents, chemicals, petroleum products, batteries,
transformers, and other discarded man-made materials with hazardous characteristics. The
Mortgagee shall have all remedies at law and equity for failure of the Mortgagor to carry out the
foregoing obligation, including but not limited to specific performance, damages, reasonable
attorneys' fees and court costs. This provision shall survive payment of the Note and termination
of this Mortgage.
25. REPRESENTATIONS AND WARRANTIES. In order to induce the
Mortgagee to make the Loan evidenced by the Note, the Mortgagor represents and warrants that
as of the date of this Mortgage: (a) there are no actions, suits or proceedings pending or threatened
against or affecting the Mortgagor or any portion of the Mortgaged Property, or involving the
validity or enforceability of this Mortgage or the priority of its lien, before any court of law or
equity or any tribunal, administrative board or governmental authority, and the Mortgagor is not
in default under any other indebtedness or with respect to any order, writ, injunction, decree,
judgment or demand of any court or any governmental authority; (b) the execution and delivery of
the Note, this Mortgage and all other Loan Documents do not and shall not (i) violate any
provisions of any law, rule, regulation, order, writ, judgment, injunction, decree, determination or
award applicable to the Mortgagor or any other person executing the Note, this Mortgage or other
Loan Documents, nor (ii) result in a breach of, or constitute a default under, any indenture, bond,
mortgage, lease, instrument, credit agreement, undertaking, contract or other agreement to which
the Mortgagor or such other person is a party or by which either or both of them or their respective
properties may be bound or affected; (c) the Note, this Mortgage and all other Loan Documents
constitute valid and binding obligations of the Mortgagor and any other person executing the same,
enforceable against the Mortgagor and such other person(s) in accordance with their respective
terms; (d) there is no fact that the Mortgagor and any guarantor(s) of the Loan have not disclosed
to the Mortgagee in writing that could materially adversely affect their respective properties,
business or financial conditions or the Mortgaged Property or any other collateral for the Loan; (e)
the Mortgagor and any guarantor(s) of the Loan have duly obtained all permits, licenses, approvals
and consents from, and made all filings with, any governmental authority (and the same have not
lapsed nor been rescinded or revoked) which are necessary in connection with the execution and
delivery of this Mortgage and any other Loan Document, the making of the Loan, the performance
of their respective obligations under any Loan Document, or the enforcement of any Loan
Document; and that all such representations and warranties shall survive theclosing of the Loan
and any bankruptcy proceedings.
26. SEVERABILITY OF INVALID PROVISIONS. In the event any
provision of the Note and or this Mortgage should be held unconstitutional, illegal or
unenforceable for any reason, such provision shall not affect, alter, or otherwise impair any other
provision of the Note and or this Mortgage.
27. NO WAIVER. It is expressly agreed and understood that a waiver by the
Mortgagee of any right or rights conferred to it hereunder with regard to any one transaction or
occurrence shall not be deemed a waiver of such right or rights to any subsequent transaction or
occurrence. It is further agreed that any forbearance or delay by the Mortgagee in the enforcement
Page 11 of 14
of any right or remedy hereunder shall not constitute or be deemed a waiver of such right or
remedy.
28. GOVERNING LAW AND VENUE. This Mortgage shall be construed and
enforced pursuant to the laws of the State of Florida, excluding all principles of choice of laws,
conflict of laws and comity. Any action pursuant to a dispute under this Mortgage must be
brought in Miami -Dade County and no other venue. All meetings to resolve said dispute,
including voluntary arbitration, mediation, or other alternative dispute resolution
mechanism, will take place in this venue. The parties hereto both waive any defense that
venue in Miami -Dade County is not convenient.
29. HEADINGS. The headings of the articles, sections, paragraphs and
subdivisions of this Mortgage are for convenience and ease of reference only, and are not to be
considered a part hereof, and shall not limit or otherwise affect any of the terms or provisions
hereof.
30. GENDER AND NUMBER. In this Mortgage and the Note it secures, the
singular shall include the plural and the masculine shall include the feminine and neuter.
31. PARTIES BOUND; NO ORAL MODIFICATIONS. Each and every of the
terms, covenants and conditions contained herein shall be binding upon the parties hereto and their
successors, heirs, assigns and devisee. This Mortgage is not subject to modification other than by
a written document or instrument executed by the party or parties to be charged with such
modification.
32. CAPITALIZED TERMS. All capitalized terms not defined herein shall have the
meanings provided in the Loan Agreement and the Exhibits thereto.
33. SUBORDINATION. Notwithstanding anything to the contrary set forth in this
Mortgage or any of the other ARPA Loan Documents, Mortgagee acknowledges that the ARPA
Loan and the ARPA Loan Documents and the rights of Mortgagee with respect thereto or
thereunder shall be subordinate, in right or payment and priority, to the rights conferred upon the
holder of any Permitted Senior Financing (together with their respective assignees, successors,
agents, trustees or nominees, a "Permitted Senior Lender") under the documents governing its
Permitted Senior Financing, all in accordance with the terms set forth in one or more subordination
agreements to be entered into by the Lender and the Permitted Senior Lenders.
34. WAIVER OF TRIAL BY JURY. THE MORTGAGOR HEREBY
KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVES THE RIGHT TO A
TRIAL BY JURY WITH RESPECT TO ANY LITIGATION BASED HEREON OR ARISING
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OUT OF, UNDER OR IN CONNECTION WITH, THIS MORTGAGE, OR ANY OF THE LOAN
DOCUMENTS OR THE FINANCING CONTEMPLATED HEREBY, OR ANY COURSE OF
CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN) OR
THE ACTIONS OF ANY PARTY HERETO. THIS PROVISION IS A MATERIAL
INDUCEMENT FOR THE MORTGAGEE EXTENDING THE LOAN SECURED BY THIS
MORTGAGE.
35. COMPLIANCE. The Mortgagor shall comply with all applicable local, state,
and federal regulations in regards to the Property, including but not limited to the United States
Department of the Treasury's final rule, 31 CFR Part 35, that implements the Coronavirus State
Fiscal and Local Fiscal Recovery Funds established under the American Rescue Plan Act of 2021.
SIGNATURE ON FOLLOWING PAGE
Page 13 of 14
IN WITNESS WHEREOF, the Mortgagor has hereunto set its hand and seal the day and year
first above written.
WITNESSES:
Signature:'
Print Name: Mao la% Gc,S c O
Address: 2850 Tigertail Avenue, `Suite 800,
Miami, Florida 33133
Signature:
Print Name:
NUM fttaact
Address: 2850 Tigertail Avenue, Suite 800,
Miami, Florida 33133
PROJECT SPONSOR'S ADDRESS:
Gallery at Lummus Parc LLC
2850 Tigertail Avenue, Suite 800
Miami, FL 33133
Attention: Tony Del Pozzo
STATE OF FLORIDA
COUNTY OF MIAMI-DADE
Mortgagor:
Gallery at Lummus Parc, LLC, a
Florida limited liability company
By: Gallery at Lummus Parc Manager, LLC,
a Florida limited liability company, its
manager
By: L9Jf1/
Print Name: Tony Del Pozzo
Title: Vice President
ACKNOWLEDGMENT
The foregoing instrument was acknowledged before me by means of Lei physical presence or O
online notarization, this ofr , 2026 by Tony Del Pozzo as Vice President of
Gallery at Lummus Parc Manager, LLC, a Florida limited liability company, the manager of
Gallery at Lummus Parc, LLC, a Florida Limited liability company. He is personally know`
me or has produced as identification.
(NOTARY PUBLIC SEAL)
t ` VANESSA PILOTO
?* 6uii :*E MY COMMISSION # NH 751619
EXPIRES: February 18, 2030
Signature of Person Taking
Acknowledgment
(Printed, Typed, or Stamped Name of Notary
Public)
Ikk151(01 ct
Serial Number, if any
Page 14 of 14
Exhibit A
Legal Description Of The Property
Lessee's interest in that certain Ground Lease by and between Miami -Dade County, a political
subdivision of the State of Florida, as Lessor, and Gallery at Lummus Parc, LLC, a Florida
limited liability company, as Lessee, dated February 28, 2023, as amended, as evidenced by that
certain Memorandum of Ground Lease to be recorded in the Official Records of Miami -Dade
County, over the following described lands:
LOTS 15, 16, 17 AND 18, LESS THE EAST 20.00 EMT OF SAM LOT 18 IN BLOCK 109-N
OF A.L. KNOWLTON'S MAP OF Nil.A.141, ACCORDING TO TIE PLAT THEREOF
RECORDED IN PLAT BOOK B AT PAGE 41 OF THE PUBLIC RECORDS OF DADE
COLN t Y, FLORIDA; LESS TEAT PORTIONTBEREOF DEEDED TO TIE CITY OF IlEAMI
BY WARRAN' TY DEED DATED NOVEMBER 4, 1939 RECORDH ) IN DEED BOOK 2013
AT PAGE 480 (CLERK'S FILE NO. M-51118), ACCORDING TO THE PUBT.TC RECORDS
OF DADE COUNTY, FLORIDA.
Exhibit B
Permitted Encumbrances on the Mortgaged Property
All permitted encumbrances on the Property are described in Title Insurance Order No.
12984278 issued by Fidelity National Title Insurance Company, effective as of May 4, 2026 at
11:00 p.m.
EXHIBIT "G"
FORM OF COVENANT
Prepared by, and after recording, return to:
Raymond Pereira, Esq.
Assistant City Attorney, City of Miami
444 S.W. 2nd Avenue
Miami, FL 33130-1910
Tel: (305) 416-1800
After recording return to:
Maria T. Ason
Contract Compliance Analyst
City of Miami
Department of Housing and Community Development
444 S.W. 2nd Avenue
Miami, FL 33130-1910
Property Address: 395 NW 1 St, Miami; Florida 33128
DECLARATION OF RESTRICTIVE COVENANTS
FOR GALLERY AT LUMMUS PARC, LLC
This Declaration of Restrictive Covenants for Gallery at Lummus Parc (the "Covenant")
made this day of , 2026 by GALLERY AT LUMMUS PARC, LLC, a Florida
limited liability company (hereinafter referred to as "Project Sponsor"), is in favor of the CITY
OF MIAMI, a municipal corporation of the State of Florida (hereinafter referred to as the "City").
Project Sponsor and the City are sometimes collectively referred to as the "Parties" and singularly
referred to as "Party."
RECITALS
WHEREAS, the Project Sponsor is the owner of a leasehold estate in the property legally
described in Exhibit A, attached hereto and incorporated herein ("Property"); and
WHEREAS, the Project Sponsor hereby agrees and covenants that the Property shall be
subject to the provisions, covenants, and restrictions contained herein; and
WHEREAS, this Covenant is made for the express benefit of the City, and it shall remain
in full force and effect until released by the City; and
WHEREAS, the City has loaned Three Million and 00/100 Dollars ($3,000,000.00) in
American Rescue Plan Act of 2021 ("ARPA") funds to Project Sponsor ("Loan") in order to
construct the Project, as more particularly described below; and
WHEREAS, the Project Sponsor is developing a project that will, among other things,
increase the supply of rental housing units for Low -Income and Moderate -Income Households in
the community to be known as the Gallery at Lummus Parc (hereinafter referred to as the
"Project"), which will consist of the new construction of a 28-floor mixed -income residential
building located at 395 Northwest 1 Street, Miami, Florida 33128; and
WHEREAS, the Project consists of a total of two hundred fifty seven (257) residential
apartment units, of which eighty (80) will be ARPA Assisted units (the "ARPA Assisted Units")
developed on the Property and are subject to the terms, covenants, and restrictions contained in
this Covenant; and
Page 1 of 7
WHEREAS, the City's allocation of funds for the Project is subject to that certain ARPA
Loan Agreement for Gallery at Lummus Parc ("Loan Agreement" or "ARPA Loan Agreement")
and other loan documents of even date herewith between the City and the Project Sponsor
(collectively the "Loan Documents"); and
WHEREAS, Project Sponsor desires to make a binding commitment to assure that the
ARPA Assisted Units and the Property in general are maintained and operated in accordance with
the provisions of the Loan Documents and this Covenant; and
WHEREAS, Project Sponsor, as a condition for receiving the Loan funds, is required to
record in the Public Records of Miami -Dade County, Florida, this Covenant obligating the Project
Sponsor, its successors, and assigns to maintain and operate the Property in accordance with the
Loan Documents; and
WHEREAS, the Project Sponsor hereby declares that this Covenant shall be and is a
covenant running with the Property and, unless released by the City, is binding on the Property for
the entire Affordability Period, and is not merely a personal covenant of the Project Sponsor; and
NOW THEREFORE, Project Sponsor voluntarily covenants and agrees that the ARPA
Assisted Units and the Property in general shall be subject to the following restrictions that are
intended and shall be deemed to be covenants running with the land and binding upon Project
Sponsor, and its heirs, transferees, successors and assigns as follows:
TERMS:
Section 1. Recitals: The recitals and findings set forth in the preamble of this Covenant
are hereby adopted by reference thereto and incorporated herein as if fully set forth in this Section.
Section 2. Use of Property: There shall be a total of eighty (80) ARPA Assisted Units in
the Project that shall remain Affordable for eligible tenants. Seventy -Two (72) of the eighty (80)
units shall remain Affordable to Low Income Households and Eight (8) of the eighty (80) units
shall remain affordable to Moderate Income Households, for the period of time commencing on
the date of the Close -Out of the Project and ending thirty (30) years thereafter (the "Expiration of
the Affordability Period"). The eighty (80) ARPA Assisted Units shall solely of one -bedroom
apartment units. "Low Income Households" shall mean a household whose annual income does
not exceed eighty percent (80%) of the median income for the area, as determined by the U.S.
Department of Housing and Urban Development ("HUD") and "Moderate Income Households"
shall mean a household whose annual income does not exceed one hundred twenty percent (120%)
of the median income for the area as determined by HUD.
Section 3. Term of Covenant: This Covenant is a covenant running with the land. This
Covenant shall remain in full force and effect and shall be binding upon the Project Sponsor, its
successors, transferees, and assigns from the Effective Date until the Expiration of the
Affordability Period. The Affordability Period of this Project will be thirty (30) years commencing
on Close -Out of the Project. Upon the Expiration of the Affordability Period, this Covenant shall
immediately lapse and be of no further force and effect without the necessity of any other written
document or instrument. Notwithstanding the foregoing, upon the Expiration of the Affordability
Period, the City shall prepare for recording an instrument evidencing the expiration of and other
termination of this Covenant in the Public Records of Miami -Dade County, Florida.
Section 4. Prohibited Conveyances: Except as provided in the Loan Documents, including
the Permitted Senior Financing, the Project Sponsor covenants and agrees not to encumber or
Page2of7
convey its interest in the Project, Property, or any portion thereof, without City's prior written
consent as required by the Loan Agreement, except for those encumbrances and/or conveyances as
authorized under the ARPA Loan Agreement. For the purposes of this Covenant, any change in
the ownership or control of the Project Sponsor, which is not permitted under the Loan Documents,
shall be deemed a conveyance of an interest in the Project. Notwithstanding the foregoing, the
City's prior written consent shall not be required for the conversion of any Permitted Senior
Financing bond loan to a permanent loan.
Section 5. Repayment Upon Default: The Project Sponsor covenants and agrees that in the
event (i) of the sale or conveyance of any interest in the Project and/or the Property without City's
prior written consent as required by the Loan Documents (except as otherwise provided in the
Loan Documents or the foreclosure or assignment in lieu of foreclosure under the Permitted Senior
Financing), or (ii) that the Project Sponsor ceases to exist as an organization, the Project Sponsor
shall immediately make payment to the City in an amount equal to the full amount of Loan funds
disbursed and outstanding, with interest thereon as provided in the Note, all Program Income (as
defined in 2 CFR Part 200.307(e)(2)) derived from or in connection with the Project, the Property
and/or the Loans, and all unpaid fees, charges and other obligations of the Project Sponsor due under
any of the ARPA Loan Documents.
Section 6. Inspection and Enforcement: It is understood and agreed that any official
inspector of the City shall have the right any time during normal working hours to enter and
investigate the use of the Property to determine whether the conditions of this Covenant are in
compliance, subject to the rights of residential tenants under their leases.
Section 7. Amendment and Modification: This Covenant may be modified, amended, or
released as to any portion of the Property by a written instrument executed on behalf of the City
and the Project Sponsor, or their respective successors -in -interest. Should this instrument be
modified, amended or released, the City Manager shall execute a written instrument in recordable
form to be recorded in the Public Records of Miami -Dade County, Florida, effectuating and
acknowledging such modification, amendment, or release.
Section 8. Definitions: All capitalized terms not defined herein shall have the meanings
provided in the ARPA Loan Agreement.
Section 9. Severability: Invalidation of one of the provisions of this Covenant by judgment
of Court shall not affect any of the other provisions of the Covenant, which shall remain in full
force and effect.
Section 10. Recordation: This Covenant shall be filed of record among the Public Records
of Miami -Dade County, Florida, at the sole cost and expense of the Project Sponsor.
Section 11. Deed Restriction/Covenant Running with the Land. Any and all requirements
of the laws of the State of Florida that must be satisfied in order for the provisions of this Covenant
to constitute a deed restriction and covenant running with the land shall be satisfied in full, and
any requirements or privileges of estate are intended to be satisfied, or in the alternate, an equitable
servitude has been created to insure that these restrictions run with the land. For the term of this
Covenant, each and every contract, deed, or other instrument hereafter executed conveying the
Property or portion thereof shall expressly provide that such conveyance is subject to this
Covenant, provided, however, that the covenants contained herein shall survive and be effective
Page3of7
regardless of whether such contract, deed, or other instrument hereafter executed conveying the
Property or portion thereof provides that such conveyance is subject to this Covenant.
Section 12. Governing Law and Venue. This Covenant shall be construed and enforced
pursuant to the laws of the State of Florida, excluding all principles of choice of laws, conflict of
laws and comity. Any action pursuant to a dispute under this Covenant must be brought in Miami -
Dade County and no other venue. All meetings to resolve said dispute, including voluntary
arbitration, mediation, or other alternative dispute resolution mechanism, will take place in this
venue. The Parties both waive any defense that venue in Miami -Dade County is not convenient.
Section 13. Floating Units. ARPA-Assisted Units shall be designated as "Floating Units,"
meaning that the total number of ARPA-Assisted Units in the Project is fixed for the Affordability
Period but the Project Sponsor may from time to time change the designation of individual units
from a ARPA-Assisted Units to unassisted units so long as the aggregate number of units remains
the same and are of comparable size by square foot and amenities.
Section 14. Costs, Including Attorney's Fees. In the event litigation, arbitration, or
mediation, between the Parties, arises out of the terms of this Covenant, each Party shall be
responsible for its own attorney's fees, costs, charges, and expenses through the conclusion of all
appellate proceedings, and including any final settlement or judgment.
[Signature Page Follows]
Page 4 of 7
IN WITNESS WHEREOF, the Project Sponsor has caused this Declaration of Restrictive
Covenants to be executed by its duly authorized officers and the corporate seal to be affixed hereto
on the day and year first above -written.
WITNESSES: PROJECT SPONSOR:
Signature:
Print Name: Nicko `a , C 0
Address: 2850 Tigertail Avenue, Suite
800, Miami, Florida 33133
Signature:
Print Name:
Address: 2850 Tigertail Avenue, Suite
800, Miami, Florida 33133
STATE OF FLORIDA
COUNTY OF MIAMI-DADE
GALLERY AT LUMMUS PARC, a
Florida limited liability company
By:
By: Gallery at Lummus Parc Manager,
LLC, a Florida limited liability
company, its manager
911V
Print Name: Tony Del Pozzo
Title: Vice President
Date:
ACKNOWLEDGMENT
The foregoing instrument was acknowledged before me by means of [physical presence or ❑
online notarization this 1.3dy of(y \ , 2026 by Tony Del Pozzo, as Vice
President of Gallery at Lummus Parc Manager, LLC, a Florida limited liability company, the
manager of Gallery at Lummus Parc, LLC, a Florida limited liability company, who is personally
known to me or has produced as identification.
(NOTARY PUBLIC SEAL)
i
VANESSA PILOTO
MY COMMISSION # NH 751619
EXPIRES: February 18, 2030
Signature of Person Taking
Acknowledgment
(Printed, Typed, or Stamped Name of Notary
Public)
� l
51 Cola
Serial Number, if any
Page 5 of 7
A 1"1'ESTED:
odd B. H
City Clerk
APPROVED AS
REQUIREM
D id Ruiz
Interim Direc
J7
t.
N 1,_ f?
k Management
Approved by Housing and Community
Development Department:
or Turner
ector
STATE OF FLORIDA )
COUNTY OF MIAMI-DADE )
r,ITY OF MIAMI, a unicipal
rporation of the S �, to of Florida
James Rey
City M
APPROVED AS TO FORM AND
CORRECTNESS:
/.
George K. Wysong
City Attorney 9Q ivZ4'26
ACKNOWLEDGMENT
The foregoing instrument was acknowledged before me bymeans of IP h sical presence or O online
PY
notarization, this day day of \\\G , a) by James Reyes, as City Manager for the City of Miami,
a municipal corporation of the St e of on behalf of the municipal corporation. He is personally
known to me or has produced as identification.
(NOTARY PUBLIC SEAL)
SANDRA GILBERT
MY COMMISSION # HH 623478
EXPIRES: April 20, 2029
(Printed, Typed, or Stamped Name of Notary Public)
Title or Rank
Serial Number, if any
Page 6 of 7
Exhibit A
Legal Description Of The Property
Lessee's interest in that certain Ground Lease by and between Miami -Dade County, a political
subdivision of the State of Florida, as Lessor, and Gallery at Lummus Parc, LLC, a Florida
limited liability company, as Lessee, dated February 28, 2023, as amended, as evidenced by that
certain Memorandum of Ground Lease to be recorded in the Official Records of Miami -Dade
County, over the following described lands:
LOTS 15,16, 17 Al _ 18, LESS TEE EAST 20.00 FEET OF SAID LOT 18 IN BLOCK 109 N
OF A.L. KNOB ,TON'S MAP OF MAMI, ACCORDING TO THE PLAT THEREOF
RECORDED Lis7 PLAT BOOK B AT PAGE 41 OF THE PUBLIC RECORDS OF DADE
COUNTY, FLORIDA; LESS THAT PORTION T EREOF DEEDM TO THE CITY OF IZAMI
BY WARRANTY DEED DATED NOVEMBER 4, 1939 RECORDED IN DEED BOOK 2013
AT PAGE 480 (CLERK'S FEE NO. M-51118), ACCORDING TO THE PUBLTC RECORDS
OF DADE COUNTY, FLORIDA.
Page 7 of 7
#14503106 v5
EXHIBIT "H"
RENT REGULATORY AGREEMENT
Prepared by, and after recording, return to:
Raymond Pereira, Esq.
Assistant City Attorney, City of Miami
444 S.W. 2nd Avenue
Miami, FL 33130-1910
Tel: (305) 416-1800
After recording return to:
Maria T. Ason
Contract Compliance Analyst
City of Miami
Department of Housing and Community Development
444 S.W. 2nd Avenue
Miami, FL 33130-1910
Property Address: 395 NW 1 St, Miami, Florida 33128
RENT REGULATORY AGREEMENT FOR
GALLERY AT LUMMUS PARC
THIS RENT REGULATORY AGREEMENT ("Regulatory Agreement") is entered into
this day of , 2026, between GALLERY AT LUMMUS PARC, LLC, a Florida
limited liability company (hereinafter referred to as "Borrower") and the CITY OF MIAMI, a
municipal corporation of the State of Florida (hereinafter referred to as the "City").
The execution of this Regulatory Agreement by the Borrower is in connection with the
loan of American Rescue Plan Act of 2021 ("ARPA") funds, (the "Loan"), secured by certain loan
documents to be executed in connection therewith (the "Loan Documents"), for the construction
of a total of two hundred fifty seven (257) residential apartment units. Eighty (80) of the residential
apartment units will be occupied by eligible residents ("ARPA Assisted Units"), in that certain
project known as Gallery at Lummus Parc (the "Project"). The Project will be a 28-floor residential
building located at 395 NW 1 St Miami, Florida 33128 (hereinafter referred to as the "Property"
or the "Project").
In accordance with the requirements set forth in (i) that certain ARPA Loan Agreement
executed by the Borrower and the City for the ARPA Funds (the "Agreement"), and (ii) the other
Loan documents of even date therewith between the Borrower and the City, eighty (80) of the total
two hundred fifty-seven (257) Project units are considered "ARPA Assisted" and all of the ARPA
Assisted Units are subject to the restrictions provided herein. The eighty (80) ARPA Assisted Units
shall be "floating" units, meaning that they are not specifically designated units, but that any eighty
(80) of the total two hundred fifty-seven (257) Project units shall be, at any one time, in compliance
with ARPA and the requirements set forth herein.
Borrower hereby agrees to the following terms, conditions and covenants until the end of
the Affordability Period:
(1) Occupancy Requirements. The ARPA Assisted Units shall be made available to
tenants who qualify under the occupancy requirements of the United States
Department of the Treasury's final rule, 31 CFR Part 35, that implements the
Coronavirus State Fiscal and Local Fiscal Recovery Funds established under the
American Rescue Plan Act of 2021 ("Regulation"). The ARPA Assisted Units are
Page 1 of 10
subject to the restrictions provided therein and herein, including, but not limited to,
the following:
Seventy -Two (72) of the ARPA Assisted Units shall be occupied by Low -Income
Households. Low -Income Households have annual incomes that do not exceed eighty
percent (80%) of area median income, as determined by the U.S. Department of
Housing and Urban Development ('HUD") and adjusted for family size. Eight (8) of
the ARPA Assisted Units shall be occupied by Workforce -Income Households.
Workforce -Income Households have annual incomes that do not exceed one hundred
twenty percent (120%) of area median income, as determined by HUD and adjusted for
family size.
(2) Maximum Rent Levels. The rents charged on all of the ARPA Assisted Units shall
be subject to the Regulation and to the requirements set forth in the table below. Gross
monthly rent charged on ARPA Assisted Units occupied by tenants identified as
Workforce Income and Low -Income are subiect to the rent maximums as follows:
No. of
ARPA
No. of
Bedrooms
AMI
Category
Rent
Maximum*
Assisted
Units
72
1
80%
$1,859
8
1
120%
$2,788
The foregoing maximum rents include tenant paid utilities. Maximum rents will
be reduced for the amount of the applicable HUD Utility Allowance for any utilities
paid by the tenant. In no event will the monthly rent on an ARPA Assisted Unit exceed
thirty percent (30%) of the applicable percentage of area median income set forth in
Paragraph 1 above. Rents shall not be adjusted for changes in income or HUD
published maximums until lease renewal. Notwithstanding anything in the foregoing
to the contrary, in the event that an ARPA Assisted Unit is occupied by a participant of
the Section 8 Voucher Program, and the applicable Section 8 office permits rents higher
than the Rent Maximum outlined above, the rents may be as allowed by the Section 8
office, provided that the resident's portion of the rent does not exceed the thirty percent
(30%) of the applicable percentage of area median income set forth in Paragraph 1
above. In the event that the ARPA Assisted Units are also benefitted from a federal or
state rent subsidy program, then the rents outlined above may be set at the applicable
rent standard established by that rent subsidy program in compliance with 24 CFR 252
(b)(2).
f3) Income Re -certification. Tenant income for ARPA Assisted Units shall be certified
by the Borrower annually on the anniversary of eachtenant's lease and maintained in
the tenant file, subject to inspection by the City, in accordance with this Regulatory
Agreement.
(4) Deposits and Pre -payments. Borrower shall not require, as a condition of occupancy
or leasing of any ARPA Assisted Unit, any other consideration or deposit from the
Page 2 of 10
g.
tenant, except for the prepayment of one month's rent and plus a security deposit not
to exceed one additional month's rent.
(5) Prohibited Lease Provisions. The Borrower's leases for ARPA Assisted Units shall
not contain any of the following provisions:
a. Agreement to be sued. A tenant lease may not contain a provision whereby
the tenant agrees to be sued, admits guilt or consents to judgment in favor
of the landlord in a lawsuit brought in connection with the lease.
b. Agreement regarding treatment of property. A tenant lease may not contain
a provision whereby the tenant agrees that the landlord may take, hold or
sell personal property of the tenant household without notice and a court
decision. This prohibition does not apply to personal property remaining in
the ARPA Assisted Unit after the tenant has moved out.
c. Waiver of notice. A tenant lease may not contain a provision whereby the
tenant agrees that the landlord may institute a lawsuit without notice to the
tenant.
d. Waiver of legal proceedings. A tenant lease may not contain a provision
whereby the tenant agrees that the landlord may evict the tenant or a
household member without instituting a civil court proceeding in which the
tenant has the opportunity to present a defense or before a court decision on
the rights of the parties.
e. Waiver of a jury trial. A tenant lease may not contain a provision whereby
the tenant agrees to waive any right to a jury trial.
f. Waiver of right to appeal a court decision. A tenant lease may not contain a
provision whereby the tenant agrees to waive the tenant's right to appeal or
otherwise challenge in court a court decision in connection with the lease.
Agreement to pay legal costs, regardless of outcome. A tenant lease may
not contain a provision whereby the tenant agrees to pay attorney's fees or
other legal costs even if the tenant wins the court proceeding brought by the
landlord against the tenant. The tenant, however, may be obligated to pay
costs if the tenant loses.
h. Excusing owner from responsibility. A tenant lease may not contain a
provision whereby the tenant agrees not to hold the landlord or the
landlord's agents legally responsible for any action or failure to act, whether
intentional or negligent.
(6) Annual Reporting. Each year, on the anniversary of the issuance of the certificate
of occupancy/certificate of completion for the Project, and at other times at the request
of the City, the Borrower shall furnish occupancy reports in a form approved by the
City, and shall provide the City with such other information as may be requested by the
City relative to income, expenses, assets, liabilities, contracts, operations, and condition
of the Project and/or the ARPA Assisted Units.
Page 3 of 10
(7) Inspections. The Borrower agrees to submit the ARPA Assisted Units to an annual
re -inspection to insure continuing compliance with all applicable housing codes,
federal and local housing quality standards and regulatory requirements. The Borrower
will be furnished a copy of the results of each inspection within thirty (30) days of
completion, and will be given thirty (30) days thereafter to correct any identified
deficiencies or violations.
At any time other than an annual inspection, the City may, in its discretion,
inspect any ARPA Assisted Unit. The Borrower and the tenant will be provided with
the results of the inspection and the time and the method of compliance and corrective
action that must be taken.
(8) Record -keeping. The Property, including the ARPA Assisted Units, equipment,
buildings, plans, offices, apparatus, devices, books, contracts, records, documents, and
other papers relating thereto shall at all times be maintained in reasonable condition for
proper audit and shall be subject to examination and inspection at any reasonable time
by the City. Borrower shall keep copies of all written contracts and other instruments
which affect the ARPA Assisted Units, all or any of which may be subject to inspection
and examination by the City. Specifically, the foregoing includes all records,
calculations and information necessary to support tenant occupancy eligibility and
monthly rental charges in addition to all leases and written notices to tenants with
respect to the terms of this Regulatory Agreement, as required by this Regulatory
Agreement.
(9) Default. Upon the occurrence of a violation of any provision of this Regulatory
Agreement, the City shall give written notice thereof to the Borrower, by registered or
certified mail, addressed to the Borrower's address as stated in this Regulatory
Agreement, or to such other address(es) as may subsequently, upon appropriate written
notice thereof to the City, be designated by the Borrower. In the case of a Borrower
which is a corporation or partnership, notices may also be sent by the City to the address
of the corporation's chief executive officer or to all general partners, as applicable, at
the City's discretion. If such violation is not corrected to the City's satisfaction, within
thirty (30) days after the date such notice is mailed, or within such further time as the
City reasonably determines is necessary to correct the violation, without further notice
the City may declare a default under this Regulatory Agreement and under the Loan
Agreement and the Loan Documents executed in connection therewith, and may
proceed to initiate any or all remedies at law or in equity provided for in the event of a
default under such agreements and Loan Documents.
All notices under this Regulatory Agreement shall be in writing and addressed as
follows:
To Borrower:
With Copy to:
Gallery at Lummus Parc, LLC
2850 Tigertail Avenue, Suite 800
Miami, FL 33133
Attention: Tony Del Pozzo
Brian J. McDonough
Stearns Weaver Miller Weissler Alhadeff &
Sitterson, P.A.
Page 4 of 10
150 West Flagler Street, Suite 2200.
Miami, FL 33130
To City: City of Miami
Department of Housing and
Community Development
444 S.W. 2nd Avenue
Miami, FL 33130-1910
Attn: Victor Turner, Director
With Copy To: George K. Wysong III
Office of the City Attorney, City of Miami
444 S.W. 2nd Avenue
Miami, FL 33130-1910
(10) Fines. Upon the occurrence of a violation of any provision of this Regulatory
Agreement, and regardless of the nature of the violation, the City will assess a flat
monthly fine in the amount of Fifty Dollars and no/cents ($50.00) per ARPA Assisted
Unit that is the subject of such violation up to a maximum of Five Thousand Dollars
and no/cents ($5,000.00) per month, for each month the violation is not corrected, and
pay same over to the City. The remedy for violation provided in this section of this
Regulatory Agreement is cumulative with any and all remedies at law or in equity
provided in the event of a default under this Regulatory Agreement and/or the Loan
Documents.
(11) Tenant Notice. Borrower agrees during the term of this Regulatory Agreement, to
furnish each tenant of a ARPA Assisted Unit, at the execution or renewal of any lease
or upon initial occupancy, if there is no lease, with a written notice in the following
form:
The rent charged for your apartment and the services included
in that rent are subject to a Rent Regulatory Agreement
between the landlord and the City of Miami, for the term of the
Affordability Period. A copy of the Rent Regulatory Agreement
will be made available by the landlord to each tenant upon
request.
If there is no lease for a ARPA Assisted Unit, Borrower shall maintain a file copy
of such notice delivered to the tenant, with a signed acknowledgement of receipt by the
tenant. All such notices to tenants will be made available for inspection upon request
by the City.
(12) No Conflict with Loan Documents. The provisions of this Regulatory Agreement
are in addition to, and do not amend, alter, modify, or supersede in any respect, the
provisions of the mortgage and/or any of the other Loan Documents executed in
connection with the Loan.
(13) Partial Invalidity. The invalidity of any paragraph or provision of this Regulatory
Agreement shall not affect the validity of the remaining paragraphs and provisions
hereof.
Page 5 of 10
(14) Term. This Regulatory Agreement shall be effective until the Expiration of the
Affordability Period. On the Expiration of such period, this Regulatory Agreement
shall immediately lapse and be of no further force and effect without the necessity of
any other written document or instrument. Notwithstanding the foregoing, upon such
Expiration, the Borrower shall be permitted to prepare and record an instrument
evidencing the expiration of and other termination of this Regulatory Agreement in the
Public Records of Miami -Dade County, Florida.
(15) Definitions. All capitalized terms used herein and not otherwise defined shall have
the meanings provided in the Regulation and/or in the Loan Documents.
(16) Exclusion of Commercial Spaces. Notwithstanding anything to the contrary in this
Regulatory Agreement or in the Loan Agreement, it is expressly understood and agreed
that the Regulation and all other terms, conditions, restrictions, and requirements of
this Regulatory Agreement shall exclude, and shall not apply to, or otherwise restrict
or affect, the operation, maintenance, leasing, improvement, base rent and other
additional rent determination and collection, and all other aspects of the Borrower's
management, leasing, and ownership of all or any portion of the commercial and retail
spaces located in the Project, if applicable.
(17) Severability. Invalidation of one of the provisions of this Regulatory Agreement
by judgment of Court shall not affect any of the other provisions of the Covenant, which
shall remain in full force and effect.
(18) Recordation. This Regulatory Agreement shall be filed of record among the
Public Records of Miami -Dade County, Florida, at the sole cost and expense of the
Borrower.
(19) Governing Law and Venue. This Regulatory Agreement shall be construed and
enforced pursuant to the laws of the State of Florida, excluding all principles of choice
of laws, conflict of laws and comity. Any action pursuant to a dispute under this
Regulatory Agreement must be brought in Miami -Dade County and no other venue.
All meetings to resolve said dispute, including voluntary arbitration, mediation, or
other alternative dispute resolution mechanism, will take place in this venue. The
parties both waive any defense that venue in Miami -Dade County is not convenient.
(20) Attorney's Fees. In the event litigation, arbitration, or mediation, between the
parties hereto, arises out of the terms of this Regulatory Agreement, each party shall be
responsible for its own attorney's fees, costs, charges, and expenses through the
conclusion of all appellate proceedings, and including any final settlement or judgment.
(21) Counterparts and Electronic Signatures. This Regulatory Agreement may be
executed in any number of counterparts, each of which so executed shall be deemed to
be an original, and such counterparts shall together constitute but one and the same
Regulatory Agreement. The parties hereto shall be entitled to sign and transmit an
electronic signature of this Regulatory Agreement (whether by facsimile, PDF or other
email transmission), which signature shall be binding on the party whose name is
contained therein. Any party hereto providing an electronic signature agrees to
promptly execute and deliver to the other parties an original signed Regulatory
Agreement upon request.
Page 6 of 10
[Signature Page Follows]
Page 7 of 10
THIS REGULATORY AGREEMENT has been executed and delivered as of the day and
year first above written.
WITNESSES:
Signature:
Print Name: Nit 14S 6(04pc,r0
Address: 2850 Tigertail Avenue, Suite
800, Miami, Florida 33133
Signature:
Print Name: AaJ M jMt1w.4
Address: 2850 Tigertail Avenue, Suite
800, Miami, Florida 33133
STATE OF FLORIDA
COUNTY OF MIAMI-DADE
PROJECT SPONSOR:
GALLERY AT LUMMUS PARC,
LLC, a Florida limited liability
company
By: Gallery at Lummus Parc
Manager, LLC, a Florida limited
liability company, its manager
By:
Print Name: Tony Del Pozzo
Title: Vice President
ACKNOWLEDGMENT
The foregoing instrument wad; acknowledged before me by means of ® physical presence or El
online notarization, this aof Nrk , 2026 by Tony Del Pozzo as Vice President of
Gallery at Lummus Parc Manager, LLC, a Florida limited liability company, the manager of
Gallery at Lummus Parc, LLC, a Florida limited liability company. He is personally known to
me or has produced as identification.
(NOTARY PUBLIC SEAL)
VANESSA PILOTO
MY COMMISSION # NH 751619
EXPIRES: February 18, 2030
DIAJAPA
Signature of Person Taking
Acknowledgment
(Printed, Typed, or Stamped Name of Notary
Public)
)SV\15Up V 1
Serial Number, if any
Page 8 of 10
ATTEST:
City Clerk
Date: 5 f a.<3ciS.D
APPROVED AS TO FORM
AND CORRECTNESS:
/1. W
GeorgeQ(. WysonIII
City Attorney yic)*7,k b H,
CITY:
CITY OF MIAMI, a municipal corporation
of the State of Florida
By:
City
Page 9of10
Exhibit A
Legal Description Of The Property
Lessee's interest in that certain Ground Lease by and between Miami -Dade County, a
political subdivision of the State of Florida, as Lessor, and Gallery at Lummus Parc, LLC, a
Florida limited liability company, as Lessee, dated February 28, 2023, as amended, as evidenced
by that certain Memorandum of Ground Lease to be recorded in the Official Records of Miami -
Dade County, over the following described lands:
LOTS 15,, 16,17 AND 18, LESS TEE EAST 20.00 FEET OF SAID LOT 18 IN BLOC. 109-N
OF A.L. KNOWLTON'S MAP OF AIWA ACOORDLMG TO THE PLAT THEREOF
RECORDED IN PLAT BOOK B AT PAGE 41 OF THE E PLtBLJC RECORDS OF DADE
COUNTY, FLORIDA; LESS THAT PORTION 'HEREOF DEEDED TO THE CITY OF MAW
BY WARRANTY DFxD DATED NOVE 1BER 4, 1939 RECORDED IN DEED BOOK 2013
AT PAGE 480 (CLERK'S FILE NO. M-51118), ACCORDING TO TIE PUBLIC RECORDS
OF DADE COUNTY, FLORIDA.
Page 10 of 10
EXHIBIT "I"
SIGNAGE REQUIREMENTS
Building
Better
Neighborhooc
Mayor Eileen Higgins
NAME OF PROJECT
SECOND LINE
THIRD LINE
Eileen Higgins
Mayor
Miguel Angel Gabela
District 1
Damian Pardo
District 2
Rolando Escalona
District 3
Ralph "Rafael" Rosado
District 4
Project Construction C
$1,234,567
City Contribution:
$1,234,567
www.miami.gov
(305) 416-2080
•
O.
•
EXHIBIT "J"
INSURANCE REQUIREMENTS
INSURANCE REQUIREMENTS FOR A CERTIFICATE OF INSURANCE -
CONSTRUCTION REQUIREMENTS - GALLERY AT LUMMUS PARC
I. Commercial General Liability
A. Limits of Liability
Bodily Injury and Property Damage Liability
Each Occurrence $1,000,000
General Aggregate Limit $ 2,000,000
Products/Completed Operations $ 1,000,000
Personal and Advertising Injury $1,000,000
B. Endorsements Required
City of Miami listed as an Additional Insured
Contingent and, Contractual Liability
Explosion, Collapse and Underground Hazard
Primary Insurance Clause Endorsement
Extended Completed Operations Endorsement proving 3 years
coverage extension following project completion, including City as
additional insured
Including Crane and Rigging Liability, as applicable
II. Business. Automobile Liability
A. Limits of Liability
Bodily Injury and Property Damage Liability
Combined Single Limit
Any Auto
Including Hired, Borrowed or Non -Owned Autos
Any One Accident $ 1,000,000
B. Endorsements Required
City of Miami included as an additional insured
III. Worker's Compensation
Limits of Liability
Statutory -State of Florida
Waiver of subrogation
Employer's Liability
A. Limits of Liability
$1,000,000 for bodily injury caused by an accident, each accident.
$1,000,000 for bodily injury caused by disease, each employee
$1,000,000 for bodily injury caused by disease, policy limit
IV. Umbrella Policy (Excess Follow Form)
A. Limits of Liability
Bodily Injury and Property Damage Liability
Each Occurrence $10,000,000
Aggregate $10,000,000
City of Miami listed as an additional Insured.
Coverage is excess follow form over all liability policies contained herein.
V. Professional Liability/Errors & Omissions
Any licensed design professional work such as that provided by architects,
engineers, construction consultants, etc., shall maintain professional liability
insurance:
Each Claim
Policy Aggregate
$2,000,000
$2,000,000
If claims made, retro Date applies prior to contract inception.
Coverage is to be maintained and applicable for a minimum of 3 years following
contract completion.
VI. Payment and Performance Bond
City listed as Obligee
VII. Builders' Risk
$TBD
Causes of Loss: All Risk -Specific Coverage Project Location
Valuation: Replacement Cost Total Cost of Renovation
Deductible: $250,000 All other Perils
$1,000,000 Water Damager
5% Maximum on Wind/Hail, Earth Movement and Flood
A. Coverage Extensions:
City of Miami listed as loss payee
Including Storage and transport of materials, equipment, supplies of any kind to be
used on or incidental to the project.
Equipment Breakdown for testing of al mechanized, pressurized, or electrical
equipment.
VIII. Safety/claims and deductibles
Safety and loss control shall be exercised at all times by the Contractor for the protection of all
persons, employees, and property. Any hazardous conditions must be promptly identified,
reported, and action taken to mitigate as soon as possible.
Notice of claims/accidents/incidents associated with this agreement shall be reported to the
Contractor's insurance company and to the City's Risk Management department as soon as
practical.
The Contractor has the sole responsibility for all insurance premiums and shall be fully and solely
responsible for any costs or expenses as a result of a coverage deductible, co-insurance penalty, or
self -insured retention; including any loss not covered because of the operation of such deductible,
co-insurance penalty, self -insured retention, or coverage exclusion or limitation.
The above policies shall provide the City of Miami with written notice of cancellation or
material change from the insurer in accordance with policy provisions.
Companies authorized to do business in the State of Florida, with the following qualifications,
shall issue all insurance policies required above:
The company must be rated no less than "A-" as to management, and no less than "Class V"
as to Financial Strength, by the latest edition of Best's Insurance Guide, published by A.M.
Best Company, Oldwick, New Jersey, or its equivalent. All policies and /or certificates of
insurance are subject to review and verification by Risk Management prior to insurance
approval.
INSURANCE REQUIREMENTS FOR A CERTIFICATE OF INSURANCE—
ARPA LOAN AGREEMENT FOR GALLERY AT LUMMUS PARC
I. Commercial General Liability
Limits of Liability
Bodily Injury and Property Damage Liability
Each Occurrence $1,000,000
General Aggregate Limit $ 2,000,000
Products/Completed Operations $ 1,000,000
Personal and Advertising Injury $1,000,000
Endorsements Required
City of Miami listed as an additional insured
Contingent and Contractual Liability
Premises and Operations Liability
Primary Insurance Clause Endorsement
TI. Business Automobile Liability
Limits of Liability
Bodily Injury and Property Damage Liability
Combined Single Limit
Any Auto
Including Hired, Borrowed or Non -Owned Autos
Any One Accident $ 300,000
Endorsements Required
City of Miami included as an additional insured
III. Worker's Compensation
Limits of Liability
Statutory -State of Florida
Waiver of subrogation
Employer's Liability
B. Limits of Liability
$1,000,000 for bodily injury caused by an accident, each accident.
$1,000,000 for bodily injury caused by disease, each employee
$500,000 for bodily injury caused by disease, policy limit
The above policies shall provide the City of Miami with written notice of cancellation or
material change from the insurer not less than (30) days prior to any such cancellation or
material change, or in accordance to policy provisions.
Companies authorized to do business in the State of Florida, with the following qualifications,
shall issue all insurance policies required above:
The company must be rated no less than "A-" as to management, and no less than "Class
V" as to Financial Strength, by the latest edition of Best's Insurance Guide, published by
A.M. Best Company, Oldwick, New Jersey, or its equivalent. All policies and /or
certificates of insurance are subject to review and verification by Risk Management prior
to insurance approval.
INSURANCE REQUIREMENTS —LEASEHOLD MORTGAGE AND
SECURITY AGREEMENT —FOR GALLERY AT LUMMUS PARC
I. Commercial General Liability
Limits of Liability
Bodily Injury and Property Damage Liability
Each Occurrence $1,000,000
General Aggregate Limit $ 2,000,000
Products/Completed Operations $ 1,000,000
Personal and Advertising Injury $1,000,000
Endorsements Required
Mortgagee listed as an additional insured
Primary Insurance Clause Endorsement
Hired and Non Owned Auto Included
II. Worker's Compensation
Limits of Liability
Statutory -State of Florida
Waiver of subrogation
Employer's Liability
A. Limits of Liability
$1,000,000 for bodily injury caused by an accident, each accident.
$1,000,000 for bodily injury caused by disease, each employee
$1,000,000 for bodily injury caused by disease, policy limit
Letter may be provided if less than (4) employees
III. PROPERTY
Commercial Property Insurance covering the Building and Business Personal Property owned by
Borrower. Commercial property insurance shall, at a minimum, cover the perils insured under the
ISO Special Causes of Loss Special Form (CP 10 30), or a substitute form providing equivalent
coverages written on an All Risk or Direct Physical Loss or Damage basis with no coinsurance,
including wind and named storm coverage and hail not to exceed 5% deductible depending on
market conditions, along with earth movement and flood. Coverage should be included for debris
removal, and demolition and increased cost of construction that are caused by legal requirements
regulating the construction or repair of damaged facilities or subject property, including an
ordinance and law endorsement, in an amount of not less than the replacement cost of the property
insured and leasehold improvements (exclusive of foundation and excavation costs), trade fixtures
and floor coverings. In addition, the policy should afford coverage for sprinkler leakage, extended
coverage including vandalism and malicious mischief, as well as coverage for business income
relative to loss of rents, along with boiler and machinery coverage, if applicable. The amount of
insurance shall equal the full estimated replacement cost of all real and business personal property
owned by Borrower.
The Mortgagee shall be included as loss payee under the commercial property insurance.
IV. Umbrella Liability
Each Occurrence
Policy Aggregate
$2,000,000
$2,000,000
Mortgagee listed as additional insured. Coverage is excess follow form
over the liability policies contained herein.
The above policies shall provide the City of Miami with written notice of cancellation or
material change from the insurer not less than (30) days prior to any such cancellation or
material change, or in accordance to policy provisions.
Companies authorized to do business in the State of Florida, with the following qualifications,
shall issue all insurance policies required above:
The company must be rated no less than "A-" as to management, and no less than
"Class V" as to Financial Strength, by the latest edition of Best's Insurance Guide,
published by A.M. Best Company, Oldwick, New Jersey, or its equivalent. All policies
and /or certificates of insurance are subject to review and verification by Risk
Management prior to insurance approval.
EXHIBIT "K"
ANTI -HUMAN TRAFFICKING AFFIDAVIT
1. The undersigned affirms, certifies, attests, and stipulates as follows:
a. The entity/individual is a nongovernmental entity authorized to transact business
in the State of Florida (hereinafter, "nongovernmental entity").
b. The nongovernmental entity is either executing, renewing, or extending a contract
(including, but not limited to, any amendments, as applicable) with the City of
Miami ("City") or one of its agencies, authorities, boards, trusts, or other City
entity which constitutes.a governmental entity as defined in Section 287.138(1),
Florida Statutes (2025).
c. The nongovernmental entity is not in violation of Section 787.06, Florida Statutes
(2025), titled "Human Trafficking."
d. The nongovernmental entity does not use "coercion" for labor or services as
defined in Section 787.06, Florida Statutes (2025).
2. Under penalties of perjury, pursuant to Section 92.525, Florida Statutes, I declare the
following:
a. I have read and understand the foregoing Anti -Human Trafficking Affidavit and
that the facts, statements and representations provided in Section 1 are true and
correct.
b. I am an officer, a representative, or individual of the nongovernmental entity
authorized to execute this Anti -Human Trafficking Affidavit.
FURTHER AFFIANT SAYETH NAUGHT.
Nongovernmental Entity/Individual: Gallery at Lummus Parc, LLC
Name: Tony Del Pozz9k Title: Vice President
Signature:
Office Address: ` 2850 Tigertail Ave.. Suite 800.
Miami, Florida 33133
Email Address: tony c�ji relatedgroup.com Main Phone Number: 305-460-9900
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EXHIBIT "L"
SCHEDULE A
PERMITTED SENIOR FINANCING
1. Bond Loan from Florida Housing Finance Corporation ("FHFC" or "Governmental
Lender") in the approximate amount of [$78,000,000] (the "Bond Loan"), to be assigned
to [Fiscal Agent] ("Fiscal Agent"). The Bond Loan will be funded with proceeds form a
separate loan to be made to the Governmental Lender by [Greystone Servicing Company
LLC] ("Greystone") in its capacity as Funding Lender in the approximate amount of
[$78,000,000] (the "Funding Loan"). The Bond Loan will convert to a Permanent Loan
from Greystone upon the purchase of the Funding Loan by [Greystone].
2. Construction Loan from Greystone in the approximate amount of [$3,500,000].
3. Investor Equity Loan from [QOZ Investor] in the approximate amount of [$6,386,000]
4. Florida Housing Finance Corporation ("FHFC") SAIL funds in the original principal
amount of [$12,750,000], evidenced by a Promissory Note and secured by a Leasehold
Mortgage from Borrower in favor of FHFC.
5. Miami -Dade County ("County") Surtax funds in the original principal amount of
$5,000,000, evidenced by a Promissory Note and secured by a Mortgage and any other
related security documents both from Maker in favor of the County.
#14503110 v6