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RESOLUTION NUMBER 2003-25112
A RESOLUTION OF THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING
THE TRANSFER OF OWNERSHIP OF 117 SOUTH SHORE
DRIVE FROM THE ESTATE OF JOSEPH S. BARELLA TO
CHALLENGER POINT, LLC, FURTHER APPROVING THE
ATTACHED ASSIGNMENT AND ASSUMPTION
AGREEMENT BETWEEN THE ESTATE OF JOSEPH S.
BARELLA AND CHALLENGER POINT, LLC FOR THE
MULTI-FAMILY HOUSING REHABILITATION PROGRAM
MATCHING GRANT AGREEMENT BETWEEN THE CITY
AND THE ESTATE OF JOSEPH S. BARELLA, DATED JUNE
18, 1999.
WHEREAS, the City has established a program to encourage the rehabilitation of
existing substandard multi-family buildings using funds from the U.S. Department of
Housing and Urban Development (HUD); and
WHEREAS, the Multi-Family Housing Rehabilitation Program (Program) is
administered by the Neighborhood Services Department; and
WHEREAS, on July 16, 1997, the Mayor and City Commission approved and
adopted revised Guidelines for the Multi-Family Housing Rehabilitation Program; and
WHEREAS, on June 18, 1999, the City and Joseph S. Barella entered into a Multi-
Family Housing Rehabilitation Program Matching Grant Agreement for 117 South Shore
Drive; and
WHEREAS, in accordance with the terms of the Multi-Family Housing Rehabilitation
Program Matching Grant Agreement, transfer of ownership of 117 South Shore Drive and
assignment of said agreement require the prior written consent from the City and approval
by the Loan Review Committee; and
WHEREAS, Challenger Point, LLC, has agreed to assume the Multi-Family Housing
Rehabilitation Program Matching Grant Agreement between the City and the Estate of
Joseph S. Barella, for 117 South Shore Drive, dated June 18, 1999; and
WHEREAS, Challenger Point, LLC, has agreed to offer a minimum offive (5) of the
nine (9) residential units at reduced rental rates for the remainder of the five (5) year
affordability period; and
WHEREAS, on January 17, 2003, the City's Loan Review Committee reviewed a
request to transfer ownership of 117 South Shore Drive, from the Estate of Joseph S.
Barella to Challenger Point, LLC, and a request for the assignment to Challenger Point,
LLC of the Multi-Family Housing Rehabilitation Program Matching Grant Agreement
between the City and the Estate of Joseph S. Barella, dated June 18, 1999, and
recommended approval by the Mayor and City Commission; and
WHEREAS, the Administration now requests approval for the transfer of ownership
of 117 South Shore Drive, from the Estate of Joseph S. Barella to Challenger Point, LLC,
and approval of the attached Assignment and Assumption Agreement between the Estate
of Joseph S. Barella and Challenger Point, LLC for the Multi-Family Housing Rehabilitation
Program Matching Grant Agreement between the City and the Estate of Joseph S. Barella,
dated June 18, 1999.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Clerk
hereby approve the transfer of ownership of 117 South Shore Drive from the Estate of
Joseph S. Barella to Challenger Point, LLC, further approving the attached Assignment and
Assumption Agreement between the Estate of Joseph S. Barella and Challenger Point,
LLC for the Multi-Family Housing Rehabilitation Program Matching Grant Agreement
between the City and the Estate of Joseph S. Barella, dated June 18, 1999.
PASSED AND ADOPTED THIS 5th DAY OF
February
,2003.
ATTEST:
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F:INEiGlHouslngISTEVElMuII-Faml117 _SOSH\117 South Shore Dr1ve - Transfar Reso,d
APPROVED AS TO
FORM & LANGUAGE
& FOR EXECUTION
Au 111/0,./1 . I-?.-I- oJ
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CITY OF MIAMI BEACH
COMMISSION ITEM SUMMARY
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Condensed Title:
A resolution approving the transfer of ownership of 117 South Shore Drive from the Estate of Joseph S,
Barella to Challenger Point, LLC, further, approving the Attached Assignment and Assumption Agreement
between the Estate of Joseph S, Barella and Challenger Point, LLC for a Multi-Family Housing
Rehabilitation Prooram Matchino Grant Aoreement. '
Issue:
Shall the City of Miami Beach approve the transfer of ownership of 117 South Shore Drive from the Estate
of Joseph S, Barella to Challenger Point, LLC, further, approve the Attached Assignment and Assumption
Aoreement between the Estate of Joseph S, Barella and Challenoer Point, LLC.
Item Summa IRecommendatlon:
In accordance with the terms of the Multi-Family Housing Rehabilitation Program Matching Grant
Agreement, transfer of ownership of 117 South Shore Drive and Assignment of said agreement require the
prior written consent from the City, Mr, Barella passed away during the past year. Consequently, the
Estate of Joseph S. Barella is seeking to sell the property, The Buyer has agreed to maintain the
aftordability period on the property. The Adm inistration recommends that the Mayor and City Commission
approve the transfer of ownership of 117 South Shore Drive from the Estate of Joseph S. Barella to
Challenger Point, LLC, and approve the attached Assignment and Assumption Agreement between the
Estate of Joseph S. Barella and Challenger Point, LLC for the Multi-Family Housing Rehabilitation Program
Matchin Grant A reement between the Ci and the Estate of Jose h S, Barella, dated June 18, 1999,
Advlso Board Recommendation:
The City's Loan Review Committee, at its meeting of January 17, 2003, reviewed a request to transfer
ownership of 117 South Shore Drive from the Estate of Joseph S, Barella to Challenger Point, LLC, and a
request for the assignment to Challenger Point, LLC of the Multi-Family Housing Rehabilitation Program
Matching Grant Agreement between the City and the Estate of Joseph S, Barella, dated June 18, 1999, and
recommended a roval b the Ma or and Ci Commission.
Financial Information:
Source of Amount , Account Approved
Funds: 1 N\A
D 2
3
4
Finance Dept. Total
City Clerk's Office Legislative Tracking:
I VPG
SI n..()ffs:
Department Director
City Manager
AGENDA ITEM
DATE
c7D
:J-S-03
CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
YN{W,ci"miami-beach,fl,us
COMMISSION MEMORANDUM
To:
Mayor David Dermer and
Members of the City Commission
Date: February 5, 2003
From:
Jorge M. Gonzalez d' ~.A. /c....y---
City Manager ".,.,- ~
A RESOLUTION F THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, APPROVING THE TRANSFER OF
OWNERSHIP OF 117 SOUTH SHORE DRIVE FROM THE ESTATE OF
JOSEPH S. BARELLA TO CHALLENGER POINT, LLC, FURTHER
APPROVING THE ATTACHED ASSIGNMENT AND ASSUMPTION
AGREEMENT BETWEEN THE ESTATE OF JOSEPH S. BARELLAAND
CHALLENGER POINT, LLC FOR THE MULTI-FAMILY HOUSING
REHABILITATION PROGRAM MATCHING GRANT AGREEMENT
BETWEEN THE CITY AND THE ESTATE OF JOSEPH S. BARELLA,
DATED JUNE 18, 1999.
Subject:
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
ANALYSIS
The City administers the Multi-Family Housing Rehabilitation Program through the Housing
and Community Development Division of the Neighborhood Services Department. Since
1981, the City has provided financial assistance to property owners through this Program
resulting in the successful renovation of 1,262 units of rental housing. The Multi-Family
Housing Rehabilitation Program operates with federal funds from the U.S. Department of
Housing and Urban Development (HUD) through the Community Development Block Grant
(CDBG) Program.
The property consists of a two-story, nine (9) unit apartment building, containing six (6)
one-bedroom units, and three (3) two-bedroom units. The building was built in 1949 as an
apartment building in a Post-War Modern style. The building is a concrete block structure
with a total of approximately 5,862 square feet of enclosed space. A review of City records
indicates that there are no City code enforcement liens outstanding, and no unpaid water
bills on the property. Property taxes are reported paid through 2002.
On June 18, 1999, the City and Joseph S. Barella entered into a Multi-Family Housing
Rehabilitation Program Matching Grant Agreement for 117 South Shore Drive.
Subsequently, Mr. Barella passed away during the past year. Consequently, the Estate of
Joseph S. Barella (Owner) is seeking to sell the property. Under the terms of the
February 5. 2003
Commission Memorandum
117 South Shore Drive
Page 2 of 2
Agreement, the City provided $37,000 in Community Development Block Grant (CDBG)
funds toward the rehabilitation of the building. The Owner rehabilitated the property and
committed to provide, for a minimum of five (5) years, five (5) of the nine (9) units at
affordable rates. Currently, the U.S. HUD approved net rents are $566 for a one-bedroom
unit and $709 for a two-bedroom unit. The five (5) year affordability period began on
September 27,2002, and runs through September 26,2007.
In accordance with the terms of the Multi-Family Housing Rehabilitation Program Matching
Grant Agreement, transfer of ownership of 117 South Shore Drive and assignment of said
agreement require the prior written consentfrom the City and approval by the Loan Review
Committee. The Estate of Joseph S. Barella is seeking authorization from the City to
transfer ownership of 117 South Shore Drive and assignment of the Multi-Family Housing
Rehabilitation Program Matching Grant Agreement to the Challenger Point, LLC. The
principal officers of Challenger Point, LLC are Daniel and Keren Bajaroff. The assumption
agreement will be signed and recorded at closing. The assumption agreement commits
the new owner to continue to comply with the afford ability requirements of the City's Multi-
Family Housing Rehabilitation of Program Guidelines.
On January 17, 2003, the City's Loan Review Committee reviewed a request to transfer
ownership of 117 South Shore Drive, from the Estate of Joseph S. Barella to Challenger
Point, LLC, and a request for the assignment to Challenger Point, LLC of the Multi-Family
Housing Rehabilitation Program Matching Grant Agreement between the City and the
Estate of Joseph S. Barella, dated June 18, 1999, and recommended approval by the
Mayor and City Commission.
The Administration recommends that the Mayor and City Commission approve the transfer
of ownership of 117 South Shore Drive, from the Estate of Joseph S. Barella to Challenger
Point, LLC, and approve the attached Assignment and Assumption Agreement between
the Estate of Joseph S. Barella and Challenger Point, LLC for the Multi-Family Housing
Rehabilitation Program Matching Grant Agreement between the City and the Estate of
Joseph S. B rell~te~~e 18, 1999.
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This Instrument Was Prepared By
Record and Return To:
Keren Bajaroff
Challenger Point LLC
1800 Sunset Harbour Dr, # 1
Miami Beach, FL 33139
ASSIGNMENT AND ASSUMPTION AGREEMENT
THIS ASSIGNMENT AND ASSUMPTION AGREEMENT (this "Agreement") is made
this ~ day of January, 2003, by Elizabeth A. Kristin, as Personal Representative of .
the Estate of Joseph Barella ("Original Owner") and Challenger Point LLC, a Florida
Limited Liability Corporation ("Subsequent Owner"),
BACKGROUND
A. The City of Miami Beach, Florida, a municipal corporation pursuant to the laws
of the State of Florida (the "City") and Joseph Barella ("Original Owner") entered
into that certain Multifamily Housing Rehabilitation Program Matching Gant
Agreement dated June 18, 1999, recorded in Official Records Book 18691 at Page
3442 and again in Official Records Book 18691 at Page 3458, Public Records of
Miami-Dade County, Florida (the "Grant Agreement") pertaining to a matching
grant in the amount of$37,000 from the City to the Original Owner for the
rehabilitation of 117 S, Shore Drive, a multifamily apartment project on the real
property located in the City and legally described on Exhibit "A" hereto (the
"Project").
B. Original Owner has died and Elizabeth A. Kristin has been appointed as Personal
Representative of the Estate of Joseph Barella, deceased, by virtue of Letters of
Administration, a true and correct copy of which is recorded in Official Records
Book 20199 at Page 29, Public Records of Miami-Dade County, Florida (current
"Original Owner"),
C. Original Owner desires to sell the Project to Subsequent Owner and Subsequent
Owner desires to purchase the Project.
D.
As a condition precedent to any sale, transfer or assignment of the Project prior to
the termination of the Grant Agreement, written consent and approval for such
sale, transfer or assignment must be received from the City's Loan Review
Committee and Mayor and City Commission,
E,
The City desires assurances that the Project and Subsequent Owner will continue
to comply with the terms and conditions set forth in the Grant Agreement.
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21171PG3552
F. Subsequent Owner desires to give the City assurance that the terms and conditions
set forth in the Grant Agreement will be complied with so that the sale and
transfer of the Project may occur
G. Original Owner desires to assign all its rights, title, duties and obligations under
the Grant Agreement to Subsequent Owner, which desires to assume such rights,
title, duties and obligation.
H. The parties hereto desire to set forth the assignment and assumption in writing.
NOW THEREFORE, in consideration often dollars and other good and valuable
consideration, the sufficiency of which is hereby acknowledged, Original Owner and
Subsequent Owner agree as follows:
1. The above Background is true and correct and incorporated in this Agreement by
this reference.
2, Original Owner hereby assigns to Subsequent Owner and, Subsequent Owner
hereby assumes all right, title, duties and obligations of Original Owner under the
Grant Agreement and shall be deemed a party to the Grant Agreement as if
Subsequent Owner were an original party thereto,
3, This Agreement shall be effective as of the effective date of the transfer of
ownership from Original Owner to Subsequent Owner as evidenced by the
recording of a deed from Original Owner, as grantor, to Subsequent Owner as
grantee (the "Deed") in the Public Records of Miami-Dade County, Florida.
4. The Subsequent Owner shall record this Agreement in the Public Records of
Miami-Dade County Florida as soon as practicable after the recording therein of
the Deed and after its recording and the return thereof shall deliver or cause to be
delivered this original Agreement to the City.
5. It is understood and agreed that the City shall be an intended third party
beneficiary to this Agreement.
6. This Agreement shall be construed in accordance with the laws of the State of
Florida,
IN WITNESS WHEREOF, the parties hereto have hereunto set their hands and seals on
the date and year first above written.
,,---7
Print Name:
The Estate of Joseph Barella, deceased
OFF. REt BK.
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21111PG3553
Print Name:?; ~<2Q &."'7Jl A-".~,i'&'{lli\
Print Name: t."
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Print Name: MO",bI... l <"~<:.,k&1l
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By: izabeth A. Kristi
Title: Personal Representative
Challenger Point LLC,
a Florida Limited Liability Corporation
By! Keren Bajaroff
Title: Secretary
OFF. REC OK.
21171PG3554
STATE OF FLORIDA)
) SS:
COUNTY OF MIAMI-DADE)
The foregoing instrument was acknowledged before me this / tfIIctay of ~. 2003
by Elizabeth A. Kristin, as Personal Representative ofthe Estate of Joseph Barella.
Personally Known _ OR Produced Identification ~
Type ofIdentification Produced r L-. D y. U.p:: /::: ~.2.8 -,;)...).-1 - 3 S- -~ U ~ 0
Print ofSt"",p N"",e, (~{j/ ~
dtu- ~d)?u.ee~
Notary Public, State of,51~ri?a at Large
Commission No.: flIl-2fc:U71.!:>
My Commission Expires: (1a f-~02?Tl/
STATE OF FLORIDA)
) SS:
COUNTY OF MIAMI-DADE)
The foregoing instrument was acknowledged before me this /~day of~2003
by Keren Bajaroff as Secretary of Challenger Point LLC, A Florida Limited Liability
Corporation, on behalf of the company.
Personally Known bR Produced Identification
Type of Identification Produced
tJ! It-
Print of Stamp Name:
(7~~
;)
Notary Public, State of Florida at Large
Commission No.: c.cR~~ ~
My Commission Expires: 8'//2-1 UJ13
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