HomeMy WebLinkAboutMemoCITY OF MIAMI, FLORIDA
INTER -OFFICE MEMORANDUM
TO :
Honorable Mayor and Members January 4, 2010
DATE:
of the City Commission
FROM : Pedro G. Hernandez, P.
City Manager
SUBJECT:
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REFERENCES:
ENCLOSURES:
Update Report — Status of
Flagstone Island Gardens
FILE :
This is in response to the Commission's directive on December 22, 2009 regarding an update on
the status of the Flagstone Island Gardens ("Flagstone") negotiations and extension of use of the
Agreement to Enter Into Ground Lease ("Agreement to Enter") for the development at Watson
Island.
On December 29, 2009 Judge Pedro Echarte signed a Stipulation and Agreed Order that excluded
from the scope a Writ of Garnishment, said Writ had been entered in a lawsuit by Lillian Ser
against Flagstone Island Gardens, LLC, the escrow deposit having been held to secure the rights
of the City of Miami under the Agreement to Enter. Upon execution of that Order, the City
Attorney's Office took a copy of it to the offices of Shutts & Bowen LLP and the City obtained
the escrowed funds held in trust by that firm. The trust account check in the amount of
$501,883.32 was thereafter immediately deposited into the City of Miami General Fund Account.
This money is to be used to bring current the monies owed by Flagstone for the extension period
granted under the Third Amendment to the Agreement to Enter for Consideration for Use
payments.
Pursuant to the directive for further negotiations, we had scheduled a meeting with Flagstone for
December 29, 2009. Prior to the meeting we were informed by Flagstone's Counsel that
Flagstone was not prepared to meet with City staff. The meeting was rescheduled with Flagstone
for January 4, 2010 at which time we were informed that Flagstone would have to reschedule a
new meeting date to be determined.
I will continue to regularly update the Commission on our progress and the status of the
negotiations.
LAB