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20130228 AAAfter-action February 28, 2013 MBCC Commission Workshop City of Miami Beach Prepared by the City Clerk’s Office Page No. 1 F:\CLER\HATL\Folio4.2\aa20130228.doc Commission Workshop City Hall, Commission Chambers, 3rd Floor, 1700 Convention Center Drive February 28, 2013 Mayor Matti Herrera Bower Absent Vice-Mayor Michael Góngora Absent Commissioner Jorge R. Exposito Chaired the Meeting Commissioner Jerry Libbin Commissioner Edward L. Tobin Commissioner Deede Weithorn Commissioner Jonah Wolfson Interim City Manager Kathie G. Brooks City Attorney Jose Smith City Clerk Rafael E. Granado Visit us at www.miamibeachfl.gov for agendas and video "streaming" of City Commission Meetings. ATTENTION ALL LOBBYISTS Chapter 2, Article VII, Division 3 of the City Code of Miami Beach entitled "Lobbyists" requires the registration of all lobbyists with the City Clerk prior to engaging in any lobbying activity with the City Commission, any City Board or Committee, or any personnel as defined in the subject Code sections. Copies of the City Code sections on lobbyists laws are available in the City Clerk's Office. Questions regarding the provisions of the Ordinance should be directed to the Office of the City Attorney Special note: In order to ensure adequate public consideration, if necessary, the Mayor and City Commission may move any agenda item to the alternate meeting date, which will only be held if needed. In addition, the Mayor and City Commission may, at their discretion, adjourn the Commission Meeting without reaching all agenda items. MIAMI BEACH CONVENTION CENTER MASTER PLANNING WORKSHOP Meeting called to order at 3:16 p.m. Welcome statements from Commissioner Exposito. Commissioner Exposito explained that each presenter would have approximately 30 minutes to make their presentation, and thereafter the Commissioners will have an opportunity to make comments and ask questions, then finally he will take comments from the public. Commissioner Exposito asked that anyone from the public who speaks, to please remember to sign the sign-in sheet and state for the record their name. Introduction/Opening Comments by Jeff Sachs of Strategic Advisory Group, representing the City. Mr. Sachs provided an update as to where we are on the process. The teams began their work on January 1, 2013, and the City quickly assembled the first Community meeting at the end of January to listen. They listened very intently, and that session and that feedback from the community have generated a preliminary design statement that they are ready to present today. Last night they presented the preliminary design to the community, and obtained community feedback. It is an evolving process, so none of this is set in stone or done. They will come back again at the end of March 2013, and present further thought through Master Plans, again getting feedback from both the community and the City Commission. Ultimately, the Commission is set to select one of the teams to enter into further negotiations in early June 2013. After-action February 28, 2013 MBCC Commission Workshop City of Miami Beach Prepared by the City Clerk’s Office Page No. 2 F:\CLER\HATL\Folio4.2\aa20130228.doc Developer Presentations: Click to view Presentation made by South Beach ACE. (Tishman Group) Click to view Presentation made by Portman CMC. 3:18 p.m. South Beach ACE, the team led by Tishman Hotel and Realty, proposed an underground parking area to hide idling trucks and buses, an issue that residents have complained about. Above the parking lot would be a rolling green space, and views of the Collins Canal would be incorporated. Architect Rem Koolhaas, part of the South Beach ACE team, called the current Convention Center a "serious problem" in the middle of the "idyllic" Miami Beach. His team’s design aims to correct that. Mr. Tishman’s proposal also preserves the current Jackie Gleason Theater. Residents have debated whether the theater, which is not designated historic, deserves to be preserved. The Tishman proposal would essentially remove a back wall of the theater to create a two-stage amphitheater. South Beach ACE, stressed that the concepts presented were only preliminary ideas. South Beach ACE focused on creating thriving green areas and ways to connect the Convention Center with abutting neighborhoods; things that residents at a prior public meeting asked of the developers. 3:46 p.m. Portman-CMC, the team led by Portman Holdings, proposed several scenarios. In one, a diagonal plaza would be adjacent to the corner of the current Convention Center property, creating a string of parks to connect the Convention Center to the existing Miami Beach Botanical Garden and SoundScape at New World Center. The design focused on creating shade through both the buildings and landscaping, which is nonexistent now. “This place is a black hole in terms of green, in terms of trees. They aim to change that," said Jamie Maslyn Larson, a Partner of Theyst 8, the company collaborating with Portman to landscape the project. Theyst 8 also worked on Miami Beach’s SoundScape Park, which features free outdoor movies and audio and video feeds of performances at the adjoining New World Symphony. Portman-CMC has not made a decision about whether the Jackie Gleason Theater would stay, but spoke to preserving the legacy of Gleason himself. The team launched a website to get more resident feedback about its proposal. Portman-CMC, stressed that the concepts presented were only preliminary ideas. Portman-CMC focused on creating thriving green areas and ways to connect the Convention Center with abutting neighborhoods; things that residents at a prior public meeting asked of the developers. Comment/Feedback by Commissioners Commissioner Weithorn stated that both teams listened to the public well. Commissioner Weithorn stated that she had questions, and proceeded to list them: 1. What type of traffic studies each team had in mind; do these studies deal with arterial roads, as well as those roads around the site (she does not want to solve one set of problems and create another)? 2. How will they deal with parking replacement? 3. As to future traffic – mass transit component – future possibility of what will work in Miami Beach. 4. As this is a P3, Public/Private partnership, how much thought has each team given as to how it will work? Is it design/build; or design, build, maintain; or design, build, maintain, operate? How far along in the process are the two teams, to determine these types of decisions. 5. With the project cost anticipated to be between $300 to $500 million, the teams stated that those amounts were not enough; is that not enough to build it; or not enough financing to make it work? She would like someone to explain that. After-action February 28, 2013 MBCC Commission Workshop City of Miami Beach Prepared by the City Clerk’s Office Page No. 3 F:\CLER\HATL\Folio4.2\aa20130228.doc The Tishman Group responded to Commissioner Weithorn. 4:23:40 p.m. As to traffic, they have engaged an Italian Company called Mobility in Change, and they actually will be studying traffic holistically; they are first starting with locations of parking; second, by pedestrian activity. They actually had the company during the Boat Show studying traffic before, during and after the Boat Show. They are interested in looking at traffic both when they have an event and when there is no event. They are looking holistically with pedestrian activities, because traffic in general, and especially the traffic they saw during the Boat Show is challenging for pedestrians as well. They are creating a traffic model where they will show a video that shows the traffic flow during both events and when events are not scheduled, and the improvements being made to 17th Street to make it more crossable, as well as the big issue they see to the north with many trucks using Purdy Avenue as a throughway. They also think there is a great deal of management needed during event time, beyond whatever they do to fix the traffic. In terms of parking, it is important to spread the parking across the site, so as not to create a bottleneck in any given area. Their traffic studies extend all the way to West Avenue to the Beach all the way to the East, up through Commissioner Exposito’s neighborhood and Bayshore, and past Lincoln Road. Part of this is to get people out of their cars and onto their feet/bikes, as soon as possible. Because of lack of connectivity, people are getting back in their cars, instead of walking the few blocks to their next destination. When you stand on the P-Lot, you would never know where the connectivity exists within the City. They are looking at it holistically, and they think by the end of March 2013, they will have an initial response to problem. Commissioner Exposito asked, in terms of the cost, could they provide an estimate of the cost and any, something that was not address, if there are any proposals for possible mass transit, and additionally he asked for the plans for maintenance for the design built for the purpose of keeping the building operational and up to date. The Tishman Group responded to Commissioner Exposito. As far as the design built side and the operational side, they have the ability on the construction side, to do a design built, as far as the design maintenance; they would do that as well. On the operational side, they have not made a decision yet, but are leaning towards an overall operation of the center as well. In reference to the operation of the hotel, they feel that one group is better than two. There are issues as to who controls that space. It is basically what the City and the Convention Center Authority would like to do. Commissioner Exposito stated that if they are not prepared at this point, to answer his questions, that it is acceptable. Commissioner Weithorn stated that the other group did not respond to the traffic question and stated to give themselves some time to make a decision and she asked if anybody wanted to address her question as to future mass transit connectivity. The Tishman Group responded. He stated that he failed to mention that Mobility in Change is also one of the world’s leaders in terms of mass transit and light rail technologies involved in mass transit. They are looking at a possible hub; they do not know the specifics as to how people will be getting across the bay into Miami Beach. They think there are a lot of opportunities of setting this site up for whatever the future will bring to the site. They do think that the more parking there is, the more cars will come to the beach. Tim Plummer with David Plummer and Associates stated that he is not from Italy but from Coral After-action February 28, 2013 MBCC Commission Workshop City of Miami Beach Prepared by the City Clerk’s Office Page No. 4 F:\CLER\HATL\Folio4.2\aa20130228.doc Gables. He has done more traffic studies in Miami Beach than anybody in the state. They will be taking a major look at the traffic, and at the end of March will be looking at the arterial surrounding the area. They will be using TSM (Transportation Management Techniques) to work with the existing system, and that includes mass transit and the proposed street car system, the South Beach Circulator, pedestrian connections, bikes and how to get the traffic in and out. One of the key elements for the vehicular traffic is to not concentrate all the parking in one place. Valet stations will also be looked at. They will look at the situation with great care and will need to come up with innovating solutions to the traffic. They also need to look at how to move individuals, staying at other hotels in Miami Beach, in and out of the project while leaving their cars parked in the garage. Mr. Tishman responded to the financing question. An innovational Convention Center requires certain things to be done for it to be a world class Convention Center. They have taken a wish list from the Convention Center management team, and looked at what else needs to be done because you do not want to spend all this money and find out that you will not have a world-class Convention Center. The first part is to compile that list and cost it out. The second part is to look at how to finance it. They are looking at distinctive ways of financing and also looking at all the options mentioned. They can just build, or they can build and operate. The other part is to publicly finance. You will be financing the sources of revenues that you have and what the project may generate, which leaves an insecure amount to raise the capital. They will come back with both of the options for the Commission to make a decision. They are in the process of looking at two scenarios in terms of the budget. One is Exhibit F, which was the request submitted by City Staff. They are also looking to price out their initial thoughts. They will present this next week at the staff meeting. Basically, the process starts with the construction side. They look at the different scopes of the two plans; they look at what the trade costs, and they build off of that. You need to look at all the costs, not just construction cost. You need to layer in the architectural fees, all the indirect costs, insurance, financing, etc. Next week, they will go in details over the two plans, the cost structure and all the elements of the different costs. Commissioner Libbin stated that he prefers to do it one at a time. He asked Mr. Portman to come up. He asked if the $300 to $500 million includes the cost of the hotel. Mr. Portman responded that no, that is only the cost of a world-class Convention Center. He added that the hotel and all the other buildings will be separate. Commissioner Libbin asked what is included in the $300 to $500 million. Mr. Portman stated that the $300 to $500 million distinction depends if they want a superficial kind of job or a great job. Commissioner Libbin stated that he wants a great job. Mr. Portman stated that it is early, but they are in that range. They have analyzed the building from top to bottom and have a good idea of what is needed. They will need to know what to add to make it beautiful. It becomes a qualitative question as well as a functional question. Commissioner Libbin stated that he is trying to understand if the numbers include only the Convention Center or if it includes the Convention Center and other spaces but not the hotel. Does it include the big fountains or other buildings? He asked what elements are included in that number Mr. Portman stated that the number includes the Convention Center itself, and some associated parking. It includes the additional associated program areas. After-action February 28, 2013 MBCC Commission Workshop City of Miami Beach Prepared by the City Clerk’s Office Page No. 5 F:\CLER\HATL\Folio4.2\aa20130228.doc Commissioner Libbin asked how many total parking spaces are envisioned. Mr. Portman stated that for the entire complex there are a total of 4,000 to 4,400 parking spaces, given the zoning requirements per use. This number could be reduced by combination of uses. This will take further study and discussion with the City’s parking officials. Commissioned Libbin requested for Mr. Portman to explain the exit and entry points to the garage, and where the garage will be. Mr. Portman stated that the drawing could explain it better and continued to explain it verbally. The 17th Street Garage may remain or may be torn down and built on top of the retail component. They are not sure of this yet. The ingress and egress will be off of 17th Street. The north part of the Convention Center will hold 1,800 to 2000 cars where now the service parking lot is. The northern part is currently being used as the service entrance on the north side of the building. On top of that, there will be housing facing the north. That access will be from 20th Street and also from Convention Center Drive. There will be parking distributed around the site. There will be parking behind the residential zone, parking behind additional office space, and parking to replace or on top of the retail, either by renovating the building to add retail to the ground floor or to add a new building. The intention is to take most of the parking adjacent to the site to make the connection off of 20th Street. The whole idea is to disperse the parking. There will be parking encapsulated within the hotel itself. They are looking at options for the truck traffic. One of the options is to enclose the truck traffic into a structure concealed in the Convention Center. The thing to remember is that the trucks will be coming at the off hours. Commissioner Libbin asked what the proposed height of the hotel is. Mr. Portman stated that the goal is to keep the height down. The urban tradition in Miami Beach is low and small scale. There are several hotel configuration options right now. It will be on the corner of 17th Street and Washington Avenue. They are looking at hotel configurations that push back from the edges and to respect the scale of the Soundscape space and the synagogue. They are looking at hotels ranging from 12 to 17 stories. Commissioner Libbin asked how many residential units are being anticipated. Mr. Portman stated that they are trying to respect the scale of the residential units on the Collins Neighborhood and the Palmer area, and by that they mean keeping everything to five or six stories. The street escape will become the neighborhood and the Convention Center happens to be behind those walls. The number of units will be from 350 to 500 units. Commissioner Libbin asked for the projected square footage of new retail, restaurant, etc. Mr. Portman stated that what they have right now is single story or possible two stories retail stores and about 200,000 square feet of new retail, and that includes everything, the hotel, the garages, etc. It was explained that if the 200,000 square feet include two story shops that square footage could increase. Commissioner Libbin asked if they have given thought or could they consider incorporating into the mix a film studio. The Portman Group told Commissioner Libbin that it makes sense and they have discussed it, but they have not been able to investigate in details. Commissioner Libbin asked the Tishman Group the same question. They responded that the film studio was one of their ideas. He stated that due to the occupancy of the Convention Center some of the space could be used for other uses. They are diligently working on film studios. There have been several conversations with film groups, including those in Latin America, which will like to use this facility. There could also be film festivals at the Convention Center or outside of the Center. This is a huge opportunity that they will bring back. It is also ideal to have the filming done After-action February 28, 2013 MBCC Commission Workshop City of Miami Beach Prepared by the City Clerk’s Office Page No. 6 F:\CLER\HATL\Folio4.2\aa20130228.doc during times when the Convention Center is not busy. The idea is to bring uses so that the Convention Center will be occupied 24/7. The current footprint they are considering is about 60,000 to 80,000 square feet of retail. He does not think it is to their advantage to create competing retail with Lincoln Road. There will be food but not necessarily restaurants of the types you see on Lincoln Road. In reference to the residential units he explained that the unit count differs whether they do rental or for sale housing, but they will be proposing the economics of the two, since the economics of the “for sale” housing is superior to the rental. They will be bringing this back. The unit count will be 350 to 400 units. Commissioner Libbin asked for the height of the hotel. The Tishman group stated that the hotel will have 800 rooms and that is what they bring because this is what the City has asked. The hotel will be on the southwest corner of the Convention Center. They have placed the ballroom on top of the Convention Center connected to the hotel. The height of the hotel could be brought down to 17 or 18 stories. The height will be more in the center of the project. They would like to finish their massing studies before they are prepared to recommend on this and are looking at a strong architectural element; they are not looking at a standard looking Convention Center hotel. The hotel will be an architectural statement in this project. Commissioner Libbin requested the slide with the view from Lincoln Road and Pennsylvania Avenue. He asked if they could really make that alley look like a boulevard. Can they really make something like the way it is shown on the slide? It was explained that the retail is the way it currently exists. He added that what is different is that the glass is not a clear glass, but a frosted glass and you cannot really see what is in that garage. This is very preliminary but the idea is to create a line of retail that is set back, and there will be a wider sidewalk. Commissioner Tobin thanked both presenters for doing a good job. He added that they did a lot of research and brought in a financial person to negotiate a letter of intent. These are complicated negotiations but they have hired the best people needed to help this process. He already spoke to both presenters that traffic is extremely important. He asked that the presenters do not forget the children in this project. They have given the presenters the message that we do not want something so dense or a mass of concrete but a light project. He added that in the Portman presentation the west side of the Convention Center looked on one instance that it was an entry way and on another instance it looked as loading. He would like clarification. For the Tishman Group, he noted that on the west side it looked like a beautiful open space and we are putting a hotel there. He added that the critical construction needs to let us continue with the Convention Center while you are constructing. He added that our present structure cannot maintain a big hotel, so that there will have to be some sort of demolition, or in some way firming up that west side piece. He commented in reference to the residential that this is public land, so there may need to be 99 year leases because a voter’s referendum will be more complicated. Commissioner Exposito stated that he does not want to be presented with something great and when they like it be told that it is an upgrade. He requested to be provided with a cost basis for what they will be showing. Commissioner Weithorn added that in reference to cost, for those elements that we are not used to maintaining, that they should give us those costs/expectations. For those elements that are new and unique, it is important that we know the cost of maintaining them. Commissioner Exposito thanked everyone for the comments and input. It is imperative that both groups provide us with an idea of a traffic plan taking into account and giving us their recommendation in terms of implementation, integration of a mass transit system, or how else we can solve this problem. He does not mean any disrespect, but he found that the traffic issues shown today are somewhat myopic. He requested when they come back to enhance the traffic study, to tell us where the flow is going to be because it affects the entire City and not just the After-action February 28, 2013 MBCC Commission Workshop City of Miami Beach Prepared by the City Clerk’s Office Page No. 7 F:\CLER\HATL\Folio4.2\aa20130228.doc immediate surrounding areas to the Convention Center. He does not want to continuously look at a Convention Center but look at the entire City and make sure that they are addressing the traffic pattern and the implementation of a possible mass transit. Frank Del Vecchio stated that he has three connected questions, the decision making time table, the content of the 2013 referendum, and whether one or two teams will be negotiated with. They have a timetable that only goes to June 5, 2013, and that on June 5 is the selection of the final proposer, letters of intent and Master Plans. There are five months between June 5 and the referendum on November 5. He is guessing that not all of the materials that will be required are going to be ready by June 5. He wishes that for the next meeting, teams, the City Attorney, and City staff will focus on what other meetings should be held, and what the steps are. In reference to the content of the referendum, he stated that for both teams the options and assumptions are going to be dependent on costs and acceptance of the items proposed on the Master Plan. As you know, a referendum is required on the sale or lease of public land for more than ten (10) years and all of the fifty two (52) acres is public land. As to the teams, he spoke as to the formal request for qualification and to discuss all the possibilities. The Commission should consider keeping open the final selection to a date that maybe even after the November Election. He added that both presentations were spectaculars. Linda Rosenberg, a resident of Bay Shore Neighborhood, stated that there are many exciting ideas, and she appreciates the hard work of both teams. She thinks it is important that traffic be of primary concern. She appreciates everyone addressing it, and suggested including all the causeways in the traffic studies. This project should not be a detriment to any of the neighborhoods surrounding the project. The idea of a film studio and bringing more jobs makes a lot of sense to her. Rick Olivadoti stated that a picture is worth a thousand words. He stated that there was not a lot of thinking out of the box as far as people coming from different directions to this project. The fact is that this project opens everything up to Lincoln Road, and creates a path in connecting all the elements that currently exists. He is requesting taking the Master Plan and looking at what is being done and what is being connected. Jeff Feldman commended both groups on a job very well done. He is excited about the prospect. He has not heard, from either side, what will be the economic impact to our City with the programming that both sides are hoping to bring. What is the positive economic impact to the community? What type of conventions and programming will be brought, compared to what we have now? Please try to include this on the following presentations. Commissioner Exposito gave the website for this project, and announced the next meeting is March 27, 2013 at 7:00 p.m. The website is: http://www.miamibeachfl.gov/news/scroll.aspx?id=58484 Commissioner Weithorn explained that the meeting was changed to 7:00 p.m. at her request. Due to the Passover Holiday, the meeting will start after sundown in respect to Jewish residents. Rafael E. Granado, City Clerk, read the dates and times of the following meetings. Upcoming Public and Commission Meeting Dates: March 27, 2013 at 7:00 p.m. – Commission Workshop & Public Community Meeting, Miami Beach Convention Center, Hall C, Flamingo Ballroom May 13, 2013 at 6:00 p.m. – Public Community Meeting, Miami Beach Convention Center, Hall C, Flamingo Ballroom After-action February 28, 2013 MBCC Commission Workshop City of Miami Beach Prepared by the City Clerk’s Office Page No. 8 F:\CLER\HATL\Folio4.2\aa20130228.doc May 15, 2013 at 10:00 a.m. and 2:00 p.m. City Commission Workshop, Miami Beach City Hall, 3rd Floor Commission Chambers June 5, 2013, item time to be determined, City Commission Meeting, Miami Beach City Hall, 3rd Floor Commission Chambers Commissioner Exposito requested that, moving forward; Mr. Sachs talk to both teams and address the issue of the return on the investments. Commissioner Weithorn suggested that he speak to the members of the Bureau also. She requested addressing the Bureau for any statistics on the subject. Commissioner Libbin stated that we have seen studies by others as to whether to do the Convention Center with or without the hotel. The Commission needs this information. Commissioner Exposito thanked everyone for attending. He thanked the teams for a great presentation, and encouraged them to keep up the good work. Meeting adjourned at 5:26:10 p.m.