2014-28808 Reso RESOLUTION NO. 2014-28808
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE
FINANCE AND CITYWIDE PROJECTS COMMITTEE; APPROVING AND
AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AMENDMENT
NO. 1 TO THE LEASE BETWEEN THE CITY AND MIAMI-DADE COUNTY
("TENANT"), DATED JULY 269 20119 FOR THE DEMISED PREMISES LOCATED
ON THE FIRST FLOOR AT 833 6TH STREET, MIAMI BEACH, FLORIDA; SAID
AMENDMENT RENEWING THE LEASE FOR THE SOLE REMAINING RENEWAL
TERM OF FIVE (5) YEARS, RETROACTIVELY COMMENCING OCTOBER 1,
2014 AND ENDING SEPTEMBER 30, 2019; ADDING PERFORMANCE
BENCHMARKS TO THE TENANT'S REQUIREMENTS UNDER THE LEASE;
INCREASING THE ADDITIONAL RENT FROM $7.68 PER SQUARE FOOT TO
$8.81 PER SQUARE FOOT, $9.94 PER SQUARE FOOT AND $11.07 PER
SQUARE FOOT FOR YEARS 1, 2 AND 3 OF THE RENEWAL PERIOD,
RESPECTIVELY; AND REDUCING THE SIZE OF THE DEMISED PREMISES
FROM 2,076 SQUARE FEET TO 691 SQUARE FEET.
WHEREAS, on September 9, 2009, the Mayor and City Commission passed Resolution No.
2009-27186, approving lease agreements between the City and 1) Jewish Community Services of
South Florida, Inc.; 2) Little Havana Activities and Nutrition Centers of Dade County, Inc.; 3) Miami-
Dade County ("Tenant"); and 4) UNIDAD of Miami Beach, Inc.; all agreements being for the use of
South Shore Community Center, located at 833 6t" Street, Miami Beach, Florida ("South Shore
Community Center Leases"); for an initial term of four years and three hundred sixty four days, all
ending on September 30, 2014, with an additional five year renewal term, at the City's sole
discretion; and
WHEREAS, in considering exercising the sole five year renewal period for all the South Shore
Community Center Leases, the Administration noted that the base rents for all of the lease
agreements were below market rental rates and that only a portion of the operating expenses were
being passed through to the tenants, and requested direction from the Finance and Citywide
Projects Committee (FCPC) at its May 20, 2014 meeting; and
WHEREAS, the FCPC considered this matter and recommended: 1) not to increase the Base
Rent of $1.20 annually, and 2) increase the operating expenses ("Additional Rent") to $11.06 per
square foot, in accordance with the total cost of the 2013 operating expenses (with the exception of
the cost of insurance) to the tenants; and
WHEREAS, in accordance with the agreements, the City provided timely notice to all the
tenants, of the City's intention to increase the Additional Rent; however, some tenants expressed
objection to the increase, citing financial constraints; and
WHEREAS, the Administration submitted the South Shore Community Center renewal issues
for reconsideration by the FCPC, at its September 24, 2014 meeting and subsequently at its
October 10, 2014 meeting, and the FCPC recommended: 1) to increase the Additional Rent, to
$11.06 per square foot, incrementally during the initial three (3) years of the renewal term,
increasing the Additional Rent for year one to $8.81 per square foot, year two to $9.94 per square
foot, and year three to $11.07 per square foot; and 2) to incorporate performance benchmarks as a
condition of the lease renewal; and
WHEREAS, the City and Tenant entered into a lease, dated September 9, 2009 (the "Lease")
for the premises at the South Shore Community Center, consisting of 2,076 square feet on the first
floor("Demised Premises"); and
WHEREAS, the City and Tenant wish to renew the Lease, pursuant to Section 2.2 of the
Lease, for the sole remaining renewal term of five (5) years, retroactively commencing October 1,
2014 and ending September 30, 2019, pursuant to Amendment No. 1 to the Lease, including the
recommendations of the FCPC; and further amending the Lease to decrease the size of the
Demised Premises from 2,076 square feet to 691 square feet; and
WHEREAS, the Administration recommends that the City Commission adopt the
recommendations of the FCPC, from its September 24, 2014 and October 10, 2014 meetings, and
approve Amendment No. 1 to the Lease, substantially in the form attached hereto and incorporated
herein as Exhibit 1".
NOW, THEREFORE, BE IT DULY RESOLVED THAT THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA, hereby accept the recommendation of the Finance
and Citywide Projects Committee and approve and authorize the Mayor and City Clerk to execute
Amendment No. 1 to the Lease between the City and Miami-Dade County ("Tenant"), dated July
26, 2011, for the Demised Premises located on the first floor at 833 6th Street, Miami Beach,
Florida; said Amendment renewing the Lease for the sole remaining renewal term of five (5) years,
retroactively commencing October 1, 2014, and ending September 30, 2019; adding performance
benchmarks to the Tenant's requirements under the Lease; increasing the additional rent from
$7.68 per square foot to $8.81 per,square foot, $9.94 per square foot and $11.07 per square foot
for years 1, 2 and 3 of the renewal term, respectively; and reducing the size of the Demised
Premises from 2,076 square feet to 691 square feet.
PASSED and ADOPTED this o2 day of 2014.
ATTEST: ,
Rafael �ado,.. ,i �tI TIC Philip Le n ` day r
T:\AGEN(M22--g-14\�1 S,q t#WShorer(5omm1nity Center\South Shore RE DC(10-29-14).docx
:IN(,ORF GRATcD:
1 � i
APPROVED AS TO
FORM & LANGUAGE
&FOR EXECUTION
City Attorney Dote
AMENDMENT NO. 1 TO LEASE AGREEMENT
This Amendment No. 1 to Lease Agreement is entered into this day of
2014 by and between the CITY OF MIAMI BEACH, a Florida
municipal corporation, (hereinafter referred to as "City" or "Landlord"), and MIAMI-
DADE COUNTY, a political subdivision of the State of Florida (hereinafter referred to as
"Tenant").
WITNESSETH:
WHEREAS, on September 9, 2009, the Mayor and City Commission passed
Resolution No. 2009-27186, approving a Lease Agreement between the City and
Jewish Community Services of South Florida, Inc. for the use of approximately 2,076
square feet of City-owned property, located on the 1s' floor of the South Shore
Co'' ity Center (a/ w the 6t" Street Com unity Center or the "B ildin"), I co ated at
833 xth Street, Miami Beach,, Florida, 33139; said lease hawing an initial term of four
(4) years and 3`64 days, comme sing retroactively on October 2, 2009, and ending on
September 30, 210.14; and
WHEREAS, on ®ctober 2E9, 2104,, the Mayor and City Commission adopted
Resolution No. 2014- accepting the recommendation of the Finance and
Cit>yuuide Projects Committee nd approvinand authorizing the Mayor and City Clerk to
exec te the foil owin Amendmertt�No. 1 to fhe Lease A reement; and
g g
NOW TH'EREFO'RE, the , ipy an Tenant, for and in consideration of the mutual
covenants, agreements and un.derta 5 cgs herein contained, do by these p iesents
mutt' covenant and agree to annd the Lease Agrment as follows:
1. Paragraph 3, on Page 1 of the Lease Agreement, shall be amended (deleted
items StFUGk th-o gh and inserted items underlined) as follows:
2,076 691 rentable square feet of air-conditioned office space located on the 1 St
floor of the South Shore Community Center located at 833 Sixth Street, Miami
Beach, Florida 33139, and as more specifically delineated in "Exhibit 1".
(Demised Premises), attached hereto and incorporated herein.
2. Paragraph 4, on Page 1 of the Lease Agreement, shall be amended (deleted
items and inserted items underlined) as follows:
To have and to hold unto the said Tenant for a term of
days five (5) years, commencing retroactively on novaeF 2, 2009 October 1,
2014, subject to the passage of the resolution of the Miami-Dade County Board
of County Commissioners (the "Board") approving this Lease Agreement (the "
Commencement Date") and terminating on Se-pte.m.—be r 30 2 September 30,
2019.
EftsiT
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3. Article I, entitled "Use of Demised Premises", on Pages 1-2 of the Lease
Agreement, shall be amended (deleted items and inserted items
underlined) as follows:
Tenant shall be required to meet certain performance benchmarks more
specifically described as follows:
1. Number of low-income residents accessing services through the South
Beach Community Service Centers: 2,130 annually
2. Low-income households emergencies resolved such as rent, mortgage,
relocation, food and clothing: 85 annually
3. Low-income households receiving relocation security deposit assistance:
56 annually
4. Low-income households receiving LIHEAP regular utility assistance: 1,265
annually
5. Low-income households receiving LIHEAP Crisis utility assistance: 662
annually
6. Households receiving Care To Share utility assistance: 62 annually
All recipients shall be Miami Beach residents. The above figures are subject to
change based on funding amounts provided by Federal Grants and State Grants.
4. Article XXVIII, entitled " Additional Rent (Operating Expenses)", on Pages 2-3 of
the Lease Agreement, shall be amended (deleted items and
inserted items underlined) as follows:
In addition to the Base Rent, as set forth in Section 3.1, Tenant shall also pay the
following Additional Rent as provided below:
TenaF;t shall pay One Theusand Eight HundFed Sixty SeveR Dellam and 18/100
are defined as follows
Throughout the first year of the Term, Tenant shall pay Five Hundred Seven
Dollars and 31/100 ($507.31) per month, for its proportionate share of "Operating
Expenses" which are defined below. Throughout the second year of the Term,
Tenant shall pay Five Hundred Seventy Two Dollars and 38/100 ($572.38) per
month, for its proportionate share of Operating Expenses. Throughout the third
year of the Term, Tenant shall pay Six Hundred Thirty Seven Dollars and 45/100
($637.45) per month, for its proportionate share of Operating Expenses.
Thereafter, the Operating Expenses shall be subject to adjustment pursuant to
below.
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"Operating Expenses" shall mean the following costs and expenses incurred in
operating, repairing, and maintaining the Common Facilities (as hereinafter
defined) and shall include electrical service, water service, sewer service,
stormwater costs, maintenance and repairs costs, and janitorial service to the
Building (including the Demised Premises).
"Common Facilities" shall mean all Building areas, spaces, equipment, as well as
certain services, available for use by or for the benefit of Tenant and/or its
employees, agents, servants, volunteers, customers, guests and/or invitees.
Commencing the fourth year of the Term, irrespective 1rr=0n'9Gtiye of the items
listed above, amounts due by Tenant, associated with Common Facilities
Operating Expenses, will be determined based on Tenant's pro-rata share of the
items, more specifically described in "Exhibit XXVIII", which is hereby made a
part of this Lease Agreement. Pro-rata share shall mean the percent which the
Demised Premises bears to the total square footage of leasable space within the
Building, which share is hereby agreed to be sri)de (16%) 5.451%. Tenant
agrees and understands that the costs incurred for Operating Expenses may
increase or decrease and, as such, Tenant's pro-rata share of Operating
Expenses shall increase or decrease accordingly.
5. Article XVII, entitled "Option to Renew", on Page 8 of the Lease Agreement, shall
be deleted in its entirety.
6. Except as otherwise specifically amended herein, all other terms and conditions
of the Lease Agreement by and between the Landlord and Tenant shall remain in
full force and effect. In the event there is a conflict between the provisions
provided herein and the Lease Agreement, the provisions of this Amendment No.
1 to Lease Agreement shall govern.
[The remainder of this page has been intentional) left blank]
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IN WITNESS WHEREOF, this Amendment has been duly executed by the
parties hereto as of the day and year first written above.
Attest: CITY OF MIAMI BEACH, FLORIDA
Rafael Granado, CITY CLERK Philip Levine, MAYOR
Attest: MIAMI-DADE COUNTY, FLORIDA
Signature Carlos A. Gimenez, Mayor
Print Name
Signature
1
Print Name
CORPORATE SEAL
(affix seal here)
F:\RHCD\$ALL\ECON\$ALL\ASSET\6STREET.CTR\LEASES\MDCAA\MDCCAA-First Amendment DRAFT(10-10-14).docx
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EXHIBIT 1
Demised Premises
liP T
S
O V
corded UP
STORAGE aaEt RAmat
133 SF 276 SF m
r <„
Miam Dade 1
. l rx AAA 2
Senim Ride `'F
- • • y 445SF �� _♦
KITMEN
• •"- - i,1
r J J J J
••••+- •" ,cs Senwr Meals p
J r STORAGE
J . ass sf Un" COUNry c"
° cour+rr caA
•J J . 1,385 SF 464 SF
. o
•+• ♦ .
J • J r p;S eSenw meals 1T SF
• ALMITORIUM
2,792 SF u
• u
KWAUW.AL
Loam• r— �
xs serdm Ueth 1
• MVIIAMAL I STORAGE 9
2065F. 1965E +. r
5 SF
ua
i
.r.J •.J• .+. - SH
8336 th Street
1st Floor
I
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EXHIBIT XXVIII
Additional Rent (Operating Expenses)
South Shore Community Center
833 6th Street
2013 Fiscal Year Operating Expenses(Total without Insurance)
Per Leasable
Total Square Foot
Cost Cost
Utilities Electricity 49,263 3.89
Water 3,454 0.27
Sewer 2,951 0.23
Stormwater(estimate) 2,500 0.20
Subtotal $ 58,172 $ 4.59
Maintenance Janitorial 33,189 2.62
Elevator 1,428 0.11
Cooling Tower Treatment 1,644 0.13
Fire Services 362 0.03
Pest Control 642 0.05
Repairs& Maintenance 44,691 3.53
Subtotal $ 81,962 $ 6.47
Insurance Property Insurance
Hurricane Exposure
Subtotal $ - $ -
Total Annual Operating Expenses $ 140,135 $ 11.06
Building Square Footage Distribution
1st Floor 2nd Floor Total
Leasable Area 8,850 3,826 12,676
Common Area 4,198 990 5,188
Total 13,048 4,816 17,864
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