2003-25358 Reso
RESOLUTION NO. 2003-25358
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH APPROVING A SETTLEMENT REGARDING LIENS ON REAL
PROPERTY AT 1433 COLLINS AVENUE OWNED BY "THE BEGINNING L.C."
PROVIDING THAT LIENS IN THE AMOUNTS OF $145,851.00 BE SETTLED
FOR THE AMOUNT OF $5,000.00
WHEREAS, the property located at 1433 Collins Avenue was purchased
in 1999, and renovations began immediately on the property; and
WHEREAS, the front of the building was remodeled with a door and two
windows without prior approvals from the Design Review Board and Planning
Department; and
WHEREAS, the contractor hired by the property owner was delayed in
obtaining the required permits and approval; and
WHEREAS, Notices of Violations were issued, the matter was heard by
the Special Master, and as a result the property (Case JC00000694/
ZV00001506) has accumulated liens in the amount of $145,851.00; and
WHEREAS, the Administration seeks to reduce the inflated liens to an
amount that is reasonable, equitable and can be collected; and
NOW, THEREFORE BE IT DULY RESOLVED BY THE MAYOR AND
CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA that a
settlement for outstanding City liens on the property located at 1433 Collins
Avenue in the amount of $145,851.00 is hereby approved (Special Master case
JC00000694/ ZV00001506) upon payment of the sum of $5,000.00 by "The
Beginning L.C." to the City of Miami Beach; and further that the City Manager
shall be authorized to execute any and all necessary documents to complete
such lien release and settlement subject to the approval of the Special Master.
PASSED AND ADOPTED THIS 18th DAY OF September ,2003
~r ~th-
ity Clerk
APPROVED AS TO
FORM & LANGUAGE
& FOR EXECunON
_~63
CITY "OF MIAMI BEACH
COMMISSION ITEM SUMMARY
~
Condensed Title:
A resolution approving a settlement regarding liens on real property located at 1433 Collins Avenue owned
by "The Beginning L.C." providing that liens in the amount of $145,851.00 be settled for the amount of
$5,000.00.
Issue:
Shall the City Commission approve a settlement regarding liens on the property at 1433 Collins Avenue.
Item Summary/Recommendation:
In 1999, "The Beginning L.C." purchased the property located at 1433 Collins Avenue and known as The
Carlton Hotel for $3,080,000.00. The property is zoned mix-use/entertainment, has three floors, 67 living
units and the current assessed value by the Miami-Dade County Property Appraiser's Office is
$2,594,730.00.
Immediately after the property was purchased, the owners began to renovate the property. The exterior of
the property specifically, the front fac;:ade was renovated which included the installation of a new front door
and two windows on both sides of the door. The contractor hired by the property owner failed to obtain the
required permits and approvals from the Design Review Board. The delay in compliance was due to the fact
that property owner was under the impression that the contractor was attending the Special Master hearings
and working on working on finalizing the permits.
The Administration believes that this is a fair and equitable settlement given the fact that the violation was
non-life threatening and compliance was delayed due to the negligence of the contractor. Additionally, Mr.
Sergio Collatti, registered agent of "The Beginnings L.C." was under the impression that the contractor was
attending the Special Master hearings and working on finalizing the permits. The property owner was forced
to hire another contractor to complete the work and finalize the open permits. Mr. Collatti is requesting the
settlement in order to refinance the mortgage and secure a lower interest rate. Therefore, the Administration
recommends a settlement of $5,000.00.
Advisory Board Recommendation:
I N/A
Financial Information:
Source of Amount Account Approved
Funds: 1 $0.00
D 2
3
4
Finance Dept. Total
Clerk's Office Le islative Trackin
VIVIAN P. GUZMAN
Si n-Ofts:
Department Director
City Manager
AGENDA ITEM
DATE
R~L
01-IJ-OB
CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
www.ci.mlami-beach.fi.us
COMMISSION MEMORANDUM
From:
Mayor David Dermer and
Members of the City Commission
Jorge M. Gonzalez <] ~ y
City Manager ()
Date: September 18, 2003
To:
Subject:
A RESOLUTION APPROVING A SETTLEMENT REGARDING LIENS ON
THE PROPERTY AT 1433 COLLINS AVENUE, MIAMI BEACH, OWNED
BY THE BEGINNING L.C. IN THE AMOUNT OF $145,851 BE SETTLED
FOR $5,000.00 AND FURTHER AUTHORIZING THE MAYOR AND CITY
CLERK TO EXECUTE ANY AND ALL DOCUMENTS NECESSARY TO
EFFECTUATE THE SETTLEMENT.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution
ANALYSIS
In 1999, "The Beginning L.C." purchased the property located at 1433 Collins Avenue and
known as The Carlton Hotel for $3,080,000.00. The property is zoned mix-
use/entertainment, has three floors, 67 living units and the current assessed value by the
Miami-Dade County Property Appraiser's Office is $2,594,730.00.
Immediately after the property was purchased, the owner began to renovate the property.
The exterior of the property specifically, the front fayade was renovated which included the
installation of a new front door and two (2) windows on both sides of the door. The
contractor hired by the property owner failed to obtain the required permits and approvals
from the Design Review Board. As a result, notices of violation were issued to the property
owner. On April 13, 2000, the case was forwarded to the Special Master for non-
compliance and the Special Master ordered a May 16, 2000, compliance deadline or a
$100.00 fine would be imposed.
Due to non-compliance, the case was again referred to the Special Master. At the Special
Master hearing on October 12, 2000, the Special Master increased the daily fine to
$250.00 since compliance was not achieved and ordered the case to be heard on January
11, 2001. At the January 11, 2001 hearing, compliance was still not achieved and the
Special Master increased the daily fine to $400.00 and instructed staff to schedule the case
for a status report hearing on April 12, 2001.
Page 2 of 2
Commission Memorandum
September 18, 2003
On April 12, 2001, the property was still in non-compliance and the Special Master ordered
the case be scheduled for a status hearing on July 12, 2001. At the July 12, 2001 hearing,
the daily fine of $400.00 was stopped and the case was set for hearing on September 26,
2001.
At the September 26,2001 hearing, the Special Master ordered compliance by November
13,2001. If compliance was not achieved, the previous fine of $400.00 per day would be
imposed. The property owner finally complied on April 18, 2002. Compliance was delayed
because of the contractor's failure to obtain the required permits prior to commencing the
renovations.
The Administration believes that this is a fair and equitable settlement given the fact that
the violation was non-life threatening and compliance was delayed due to the negligence of
the contractor. Additionally, Mr. Sergio Collatti, registered agent of "The Beginnings L.C."
was under the impression that the contractor was attending the Special Master hearings
and working on finalizing the permits. The property owner was forced to hire another
contractor to complete the work and finalize the open permits. Mr. Collatti is requesting the
settlement in order to refinance the mortgage and secure a lower interest rate. Therefore,
the Administration recommends a settlement of $5,000.00.
JMG/RCMN~/AC/kC