HomeMy WebLinkAbout444-2003 RDA Reso RESOLUTION NO. 444-2003
A RESOLUTION OF THE CHAIRMAN AND MEMBERS OF THE
MIAMI BEACH REDEVELOPMENT AGENCY (RDA) ADOPTING
THE RECOMMENDATION OF THE FINANCE AND CITYWlDE
PROJECTS COMMITTEE AND AUTHORIZING THE EXECUTIVE
DIRECTOR OF THE RDA TO EXERCISE THE RDA'S OPTION TO
PURCHASE THE 5,000 SQUARE FOOT SPACE WITHIN "THE
COURTS" PROJECT (FIK/A THE COBB PROJECT) FOR
$275,000, PURSUANT TO PARAGRAPH 4 OF THE FOURTH
EXTENSION AND CLARIFICATION AGREEMENT, DATED JULY
26, 2000; SAID $275,000 PAYABLE IN TEN (10) YEARLY
INSTALLMENTS OF $27,500; CONTRIBUTING THE SPACE TO
THE CITY OF MIAMI BEACH FOR USES INCLUDING A LIBRARY
AND SUCH OTHER PUBLIC USES AS PERMITTED AND AS
MUTUALLY AGREED TO BY THE PARTIES, PURSUANT TO
PARAGRAPH 4 OF THE FOURTH EXTENSION AND
CLARIFICATION AGREEMENT; AND FURTHER AUTHORIZING
THE EXECUTIVE DIRECTOR TO EXECUTE A LETTER
AGREEMENT MODIFICATION OF PARAGRAPH 4 OF THE
FOURTH EXTENSION AND CLARIFICATION AGREEMENT
INCLUDING A LIST OF PRE-APPROVED PUBLIC USES FOR THE
SPACE AND A REMEDY IF THE DEVELOPER IS NOT READY TO
VACATE THE SPACE BY SEPTEMBER, 2004.
WHEREAS, on June 20. 1986, the City of Miami Beach. and the former Dade County, now
known as Miami-Dade County, entered into an Agreement governing the relocation of existing libraries;
and
WHEREAS, the South Shore Library is currently located at 225 Washington Avenue (the
"Library"); and
WHEREAS, pursuant to the Fourth Extension and Clarification Agreement, dated July 26, 2000
(the "Fourth Extension"), between the City, the RDA, and The Courts at South Beach Limited, a Florida
limited partnership f/Ida Cobb Partners South Beach, Ltd. (the "Parties"), it was acknowledged that it
was the original intent of the Parties to allow the RDA to purchase a commercial condominium space(s)
of approximately 5,000 square feet, for the sum of $275,000, and contribute the space to the City of
Miami Beach for use as a Library facility within The Courts Project at 131 Alton Road; and
WHEREAS, the Parties also acknowledged that the intent to so utilize this commercial space for
a library may no longer be feasible or desirable due to other library facilities that have been constructed
in the general area and the inability or unwillingness of Miami-Dade County to allow and/or support the
maintenance of another library at the subject location; and
WHEREAS, the Parties also recognized that there may be other public needs of the City that
can be met through the acquisition of the Library space; and
WHEREAS, the Parties agreed that the RDA shall have the option to obtain ownership of what
was previously identified as the "Library facility" for any other public purpose, such as, but not limited to,
a police sub-station or administrative fire or police office facilities, or such other public usage that is
mutually agreed to by the Parties; and
WHEREAS, the Parties agreed that the RDA shall have the option, but not the obligation, to
purchase the 5,000 square foot space for the sum of $275,000; and such option is to be exercised, in
writing, by the RDA no later than March 31, 2003; and
WHEREAS, upon said written notice, the RDA shall have one hundred eighty (180) days to
close; and
WHEREAS, the Fourth Extension stipulates that once the option is exercised, the RDA shall
pay $275,000 in 10 yearly installments starting with the first installment at the time of notice of exercise
of the option, and with each additional installment of $27,500 to be paid on the anniversary date of the
exercise of the option; and
WHEREAS, in the Fourth Extension and Clarification Agreement, the Parties further agreed that
in the event the RDA does not exercise its option to purchase the Library facility, the Developer, The
Courts at South Beach, Ltd., may, at its sole option, convey said facility to a not-for-profit corporation or
not-for-profit organization that will utilize said facility for the benefit of the goals of said organization, and
if the Developer chooses to utilize the Library as commercial space, provided said commercial space
remains within the overall Project F.A.R., as set forth in the Fourth Extension, Developer shall pay to
the RDA the sum of $520,000, to be paid in 10 yearly installments of $52,000, which shall, in part,
constitute a credit for the Developer towards any parking impact fees that may be applicable for the use
of the facility for this commercial purpose and in lieu of providing any additional parking for the Project;
and
WHEREAS, in the event the Developer chooses to utilize the Library facility as commercial
space within the overall Project, the Developer shall make its initial payment of $52,000 to the RDA at
the time it notifies the RDA of the exercise of such option and every year, thereafter, on the anniversary
date of the exercise of said option; and
WHEREAS, on September 19, 2002, the Finance and Citywide Projects Committee passed a
motion to recommend to the City Commission to exercise the option to purchase the 5,000 sf space for
$275,000, payable in 10 yearly installments of $27,500, subject to the limitations of public use for the
facility; and, to allow the City Manager to negotiate with the Developer the terms of how long the sales
center could stay at said site; and
WHEREAS, the Developer, has requested to be allowed to remain in the facility, which it is now
using as a sales center, until September 2004; and
WHEREAS, as part of the City and the RDA's agreement to allow the Developer the extended
use of the facility, the first installment payment will be due on the date of the closing of the transaction,
September 30, 2004, with additional installments to be paid henceforth over the next nine years on the
anniversary date of the closing; and
WHEREAS, the Fourth Extension and Clarification Agreement states that the designated space
is offered to the RDA "as is" and "where is"; however the Developer is willing to perform the
retrofit/build-out of the 5,000 square foot space if the City/RDA allows it to continue using the space as
its sales center until September 2004.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE CHAIRMAN AND MEMBERS OF THE
MIAMI BEACH REDEVELOPMENT AGENCY, FLORIDA, that the recommendation of the Finance and
Citywide Projects Committee be adopted, and that the Executive Director of the RDA is hereby
authorized to exercise the RDA's option to purchase the 5,000 square foot space within ~the Courts"
project (f/k/a the Cobb Project) for $275,000, pursuant to Paragraph 4 of the Fourth Extension and
Clarification Agreement, dated July 26, 2000, said $275,000 payable in ten (10) yearly installments of
$275,000; contributing the space to the City of Miami Beach for uses including a library and such other
public uses as permitted and as mutually agreed to by the Parties, pursuant to Paragraph 4 of the
Fourth Extension and Clarification Agreement; and further authorizing the Executive Director to execute
a Letter Agreement Modification of Paragraph 4 of the Fourth Extension and Clarification Agreement
between the City, the RDA, and The Courts at South Beach, Limited, a Florida limited partnership f/Ida
Cobb Partners South Beach, Ltd., including a list of pre-approved public uses for the space and a
remed~lif the developer is not ready to vacate the space by September, 2004.
/ ~N~ADOPTED this 26th day of February, 2003.
SECRETARY
F:~)DHP~$ALL~Anna~South Pointe~CourtsResoAsModified.doc
APPROVED AS TO
FORM & LANGUAGE
& FOR EXECUTION
Rt~le~&l~'~ment Ag en,~/,,( _ Dele
General Coun~eil~'~"
REDEVELOPMENT AGENCY
COMMISSION ITEM SUMMARY
Condensed Title:
A resolution adopting the recommendation of the Finance and Citywide Projects Committee and authorizing
the Executive Director to exercise the RDA's option to purchase the 5,000 square foot space within "The
Courts" Project (f/k/a The Cobb Project) for $275,000, pursuant to paragraph 4 of the Fourth Extension and
Clarification Agreement, dated July 27, 2000, said $275,000 payable in ten (10) yearly installments of
$27,500; contributing the space to the City of Miami Beach for uses including a library and such other public
uses as permitted and as mutually agreed to by the Parties, and further authorizing the Executive Director to
execute a Letter Agreement Modification of Paragraph 4 of the Fourth Extension and Clarification Agreement
between the City, the RDA, and The Courts at South Beach, Limited, a Florida Limited Partnership f/k/a
Cobb Partners South Beach, Ltd.
Issue:
Shall the Chairman and Members of the Redevelopment Agency accept the recommendation of the Finance
and Citywide Projects Committee and authorize the Executive Director of the RDA to exercise the RDA's
option to purchase the 5,000 square foot space within The Courts project for $275,000; and further authorize
the Executive Director to execute a Modification of Paragraph 4 of the Fourth Extension and Clarification
Agreement between the City, the RDA, and the Courts at South Beach, Limited, a Florida limited partnership
f/k/a Cobb Partners South Beach, Ltd. that 1) extends the time for the closing of the transaction to
September 17, 2004, instead of within 180 days of March 31, 2003; 2) delays the payment of the first
installment in the amount of $27,500 until the closing date on September 17, 2004, with each additional nine
installments of $27,500 to be paid on the anniversary date of the exercise of the closing of the transaction;
and 3) allows the Developer to remain in the facility and continue its sales center use until April 2004,
provided that Developer perform the retrofitJbuild-out of the 5,000 square foot space.
Item Summary/Recommendation:
IAdopt the resolution.
Advisory Board Recommendation: I
The Finance and Cityw de Projects Committee recommended that the Administration exercise the RDA's
opt on to purchase the 5 000 square foot space for $275,000 payable in 10 yearly installments of $27,500,
subject to the limitations of public use for the facility; and, to allow the City Manager to negotiate with the
Developer the terms of how long the sales center could stay at said site.
rlnan~;lal i [ITUI IIIdl, lUI I,
Source of : AccoU~
Finance Dept.
City Clerk's Office Legislative Tracking:
I Christina M. Cuervo/Anna Parekh
h-Offs:
F:\DDH P~ALL~,nna\South Pointe\CourtsRDAsummary.d°e/
AGENDA ITEM '-~ ~---"'
DATE. ~2-~
CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
www.ci.miami-beach.fl.u s
REDEVELOPMENT AGENCY MEMORANDUM
To:
From:
Subject:
Date: February 26, 2003
Chairman and Members of the Board
Of the Miami Beach Redevelopment Agency
Jorge M. Gonzalez
Executive Directorv/ ~
A RESOLUTION OF THE CHAIRMAN AND MEMBERS OF THE MIAMI BEACH
REDEVELOPMENT AGENCY ADOPTING THE RECOMMENDATION OF THE
FINANCE AND ClTYVVIDE PROJECTS COMMITTEE AND AUTHORIZING THE
EXECUTIVE DIRECTOR OF THE RDA TO EXERCISE THE RDA'S OPTION TO
PURCHASE THE 5,000 SQUARE FOOT SPACE WITHIN "THE COURTS"
PROJECT (F/K/A THE COBB PROJECT) FOR $275,000, PURSUANT TO
PARAGRAPH 4 OF THE FOURTH EXTENSION AND CLARIFICATION
AGREEMENT, DATED JULY 26, 2000, SAID $275,000 PAYABLE IN TEN (10)
YEARLY INSTALLMENTS OF $27,500; CONTRIBUTING THE SPACE TO THE
CITY OF MIAMI BEACH FOR USES INCLUDING A LIBRARY AND SUCH OTHER
PUBLIC USES AS PERMITTED AND AS MUTUALLY AGREED TO BY THE
PARTIES, PURSUANT TO PARAGRAPH 4 OF THE FOURTH EXTENSION AND
CLARIFICATION AGREEMENT; AND FURTHER AUTHORIZING THE EXECUTIVE
DIRECTOR TO EXECUTE A LETTER AGREEMENT MODIFICATION OF
PARAGRAPH 4 OF THE FOURTH EXTENSION AND CLARIFICATION
AGREEMENT BETWEEN THE CITY, THE RDA, AND THE COURTS AT SOUTH
BEACH, LIMITED, A FLORIDA LIMITED PARTNERSHIP F/K/A COBB PARTNERS
SOUTH BEACH, LTD,
RECOMMENDATION:
Adopt the Resolution.
ANALYSIS:
Pursuant to the Fourth Extension and Clarification Agreement dated July 26, 2000 (the "Fourth
Extension"), between the City, the RDA, and the Courts at South Beach Limited, a Florida limited
partnership f/k/a Cobb Partners South Beach, Ltd. (the "Parties"), it was acknowledged that it was
the odginal intent of the Parties to allow the RDA to purchase a commercial condominium space(s)
of approximately 5,000 square feet, for the sum of $275,000, and contribute the space to the City of
Miami Beach for use as a Library facility within the Courts project at 131 Alton Road. The Parties
also acknowledged that the intent to so utilize this commercial space for a librery may no longer be
feasible or desirable due to other library facilities that have been constructed in the general area and
the inability or unwillingness of Miami-Dade County to allow and/or support the maintenance of
another library at the subject location. However, the Parties also recognized that there may be other
public needs of the City that can be met through the acquisition of the Library space. As a result,
the Parties agreed that the RDA shall have the option to obtain ownership of what was previously
identified as the Library facility for any other public purpose, such as, but not limited to, a police sub-
station or administrative fire or police office facilities, or such other public usage that is mutually
agreed to by the Parties.
February 26, 2003
RDA - Commission Memorandum
The Courts Project- Exercise Option for Purchase of 5,000sf
Page 2 of 4
The Fourth Extension also states that the Parties agree that the RDA shall have the option, but not
the obligation, to purchase the 5,000 square foot space for the sum of $275,000; and such option
is to be exercised, in writing, by the RDA no later than I~larch 31, 2003. Upon said written
notice, the RDA shall have one hundred eighty (180) days to close.
In the Fourth Extension, the Parties further agreed that in the event the RDA does not exercise its
option to pumhase the facility, the Developer may, at its sole option, convey said facility to a not-for-
profit corporation or not-for-profit organization that will utilize said facility for the benefit of the goals
of said organization. If the Developer chooses to utilize the Library space as commemial space,
provided said commercial space remains with the overall Project F.A.R., as set forth in the Fourth
Extensions, Developer shall pay to the Agency the sum of $520,000, to be paid in 10 yearly
installments of $52,000, which shall, in part, constitute a credit for the Developer towards any
parking impact fees that may be applicable for the use of the facility for this commemial purpose and
in lieu of providing any additional parking for the Project. In the event the Developer chooses to
utilize the Library space as commercial space within the overall Project, the Developer shall make its
initial payment of $52,000 to the RDA at the time it notifies the RDA of the exercise of such option
and every year, thereafter, on the anniversary date of the exercise of said option.
As a result, on September 19, 2002, the Finance and Citywide Projects Committee passed a motion
to recommend to the City Commission to exercise the option to purchase the 5,000 sf space for
$275,000, payable in 10 yearly installments of $27,500, subject to the limitations of public use for the
facility; and, to allow the City Manager to negotiate with the Developer the terms of how long the
sales center could stay at said site.
The Fourth Extension stipulates that once the option is exercised, the RDA shall pay $275,000 in 10
yearly installments starting with the first installment at the time of notice of exercise of the option,
and each additional installment of $27,500 is to be paid on the anniversary date of the exercise of
the option. However, the Developer has requested to be allowed to remain in the approximately
3,000 square foot portion of the facility which it is now using as a sales center, until April 2004.
Therefore, it is proposed that the City and the RDA agree to allow the Developer the extended use
of the facility, in exchange, the RDA's payment of the first installment will be extended
(approximately 12 months) to be due on the date of the closing, which the Developer has requested
to be September 17, 2004 (instead of at the time the option is exercised), with additional
installments to be paid henceforth over the next nine years.
The Fourth Extension also states that the designated space was offered to the RDA "as is" and
"where is". However the Developer has already performed substantial enhancements to the space
for its use as a sales center and is willing to perform the retrofit/build-out of the 5,000 square foot
space as consideration for the City/RDA allowing the Developer to continue using the approximately
3,000 square foot space as its sales center until Apdl 2004. Not including the significant
improvements performed to date, the Developer is projected to invest an additional approximately
$86,000 to finalize the retrofit (equivalent to $17/sf, again not including the improvement previously
performed).
Of the 5,000 square foot facility, the Library is projected to utilize approximately 3,000 square feet,
and the City Administration has expressed its desire to utilize approximately 2,000 square feet for
other public uses as permitted and as mutually agreed to by the Parties. (See attached Library Floor
Plan).
February 26, 2003
RDA - Commission Memorandum
The Courts Project-Exercise Option for Purchase of 5,000sf
Page 3 of 4
Following conversations with the Developer, and in light of the City's desire to reserve space in the
facility, the Executive Director has drafted the attached Letter Agreement Modification to the
Developer that sets forth necessary understandings between the Parties, which are as follows:
· Notify the Developer, by March 31, 2003, of the RDA's intention to exercise the option to
purchase;
· Extend the time for the closing of the transaction so that the closing may be delayed until
September 17, 2004, instead of within 180 days of March 31,2003;
· Delay of payment of the first installment in the amount of $27,500 until the closing date on
September 17, 2004, with each additional nine installments of $27,500 to be paid on the
anniversary date of the exercise of the closing of the transaction; and
· Allow the Developer to remain in the facility and continue its sales center use until Apdl 2004,
provided that Developer perform the retrofit/build-out of the 5,000 square foot space.
As far as the Library space is concerned, it should be noted that according to an Agreement dated
June 20, 1986, between Miami-Dade County and the City of Miami Beach, the City may relocate
existing libraries with the understanding that the:
· City pays the relocation costs of the library and its contents;
· County Director of Libraries approves the new location;
· County is responsible to supplement the collection by materials purchased from the County
library fund;
· County maintains interior, exterior, plant and equipment of the leased premises;
· City maintains the grounds; and
· County pays for utilities.
The Developer has informed us that the condominium association fee for the 5,000 square foot
commercial space is currently $1,763.64 per month and covers maintenance of the common areas,
exterior property insurance (not intedor space), and water charges. This amount will be prorated
between the Library and the City space in accordance with square footage and the 1986 Agreement
between the City and the County.
The Administration has met with Miami-Dade County Library officials to determine the build-out
requirements and estimated costs to relocate the South Shore Library. The Director of the Miami-
Dade Public Library System, Marketing, Media Relations and Support Services, has verbally
approved the subject location and has stated, that while the additional expenses to be incurred in
conjunction with the relocation are not currently budgeted, a commitment is being made to secure
funding for Fiscal Year 2004/2005. The new Library is projected to open by October, 2004.
Attached is a letter agreement that sets forth the understanding of the parties as it relates to
relocation.
Since it is proposed that the Developer is funding the renovation costs of the build-out, the City's
obligation in connection with the relocation of the library is limited to the purchase price of $275,000
and the future ongoing pro-rata share of the annual maintenance fee (currently $1,763.64 per
month, divided according to final square footage calculations, currently being estimated at 60% for
the library, and 40% for the City).
As to the future use of the existing library building within Washington Park, the Administration has
preliminarily evaluated relocating the Little Havana Activities & Nutrition Center, Rainbow
Intergenerational Child Care Facility that operates at the 6th Street Community Center and which will
be displaced dudng renovation of the 6th Street facility. While this is a preliminary alternate use, it is
February 26, 2003
RDA - Commission Memorandum
The Courts Project- Exercise Option for Purchase of 5,000sf
Page 4 of 4
recommended that a Community Design Workshop (CDW) process be conducted to allow
community input for the future use of the facility.
RECOMMENDATION:
Adopt the Resolution authorizing the Executive Director of the RDA to exercise the RDA'S option to
purchase the 5,000 square foot space and further authorize the Executive Director to execute a
Letter Agreement Modification of Paragraph 4 of the Fourth Extension and Clarification Agreement
between the City, the RDA, and the Courts at South Beach, Limited, a Florida Limited Partnership
f/k/a Cobb Partners South Beach, Ltd.
JMG/CMC/AP
F:\DDHP~ALL~An na\South Pointe\CourtsFeb26memo.doc
Enclosures:
1 ) Draft Letter Agreement Modification to Developer
2) Draft letter to County Library Director
Miami Beach Redevelopment Agency
1700 Convention Center Drive, Miami Beach, FI. 33139
http:\~ci.miami-beach.fl.us
Miami Beach Redevelopment Agency
Telephone (305) 673-7193
Facsimile (305) 673-7772
March 31, 2003
Mr. Alan M. David
Vice President Administration
The Courts at South Beach, Ltd.
20803 Biscayne Boulevard
Suite 200
Aventura, Florida 33180
Re: City Option to Purchase 5,000 sf space at 131 Alton Road
Dear Mr. David:
Enclosed is an original, fully executed, Letter Agreement regarding the modification of Paragraph
4 of the Fourth Extension and Clarification Agreement, wherein the Miami Beach Redevelopment
Agency has exercised its option to purchase a 5,000 commercial condominium space located at
131 Alton Road.
A second fully executed original is being provided to the City Clerk's office for filing.
It has been a pleasure working with you in this matter.
Sincerely,
Anna Parekh
Redevelopment Coordinator
Encls.
Cc: Christina M. Cuervo, Assistant City Manager
Robert Parcher, City Clerk
Raul Aguila, First Assistant City Attorney
Alexandra Rolandelli, Senior Capital Projects Coordinator
Miami Beach Redevelopment Agency
1700 Convention Center Drive, Miami Beach, FI. 33139
http:\'ci.miami-beach.fl.us
Miami Beach Redevelopment Agency
Telephone (305) 673-7193
Facsimile (305) 673-7772
March 25, 2003
Courts at South Beach Limited,
a Florida limited partnership
f/k/a Cobb Partners South Beach, Ltd.
20803 Biscayne Boulevard
Suite 200
Aventura, Florida 33180
Attn: Alan M. David
Re:
Modification of Paragraph 4 of Fourth Extension and Clarification Agreement
between the Miami Beach Redevelopment Agency, the City of Miami Beach,
and the Courts at South Beach Limited, a Florida limited partnership
f/k/a Cobb Partners South Beach, Ltd., dated July 26, 2000
Dear Mr. David:
This Letter Agreement shall serve to modify and amend the understanding between the Miami
Beach Redevelopment Agency, the City of Miami Beach, and the Courts at South Beach Limited,
a Florida limited partnership f/k/a Cobb Partners South Beach, Ltd., with respect to Paragraph 4
of that certain document entitled Fourth Extension and Clarification Agreement, dated July 26,
2000, with respect to the Agency's right to exercise its option to purchase the Library facility, as
defined therein, and the parties' respective obligations thereto. The terms of this Letter
Agreement shall only serve to amend and supplement Paragraph 4 of the Fourth Extension but,
where in conflict therewith, the terms of this Letter Agreement shall prevail and govern the
understanding between the Parties with respect to the Agency's option to purchase the Library
Facility.
The Miami Beach Redevelopment Agency is exercising its option to purchase a 5,000 commercial
condominium space located at 131 Alton Road, (the "Facility") in accordance with Paragraph 4 of
that certain Fourth Extension and Clarification Agreement dated July 26, 2000 (the "Fourth
Extension"), by and among the Miami Beach Redevelopment Agency (the "RDA"), the City of
Miami Beach (the "City"), and the Courts at South Beach Limited, a Florida limited partnership
f/k/a Cobb Partners South Beach, Ltd. (the "Develope¢'), as same is herein amended by the
Parties thereto.
The Fourth Extension allowed for the RDA to purchase the commercial condominium space and
contribute the space to the City of Miami Beach for use as a Library facility. The Parties also
acknowledged that the intent to so utilize this commercial space for a library may no longer be
feasible or desirable due to other library facilities that have been constructed in the general area
and the inability or unwillingness of Miami-Dade County to allow and/or support the maintenance
The Courts at South Beach Limited
March 25, 2003
Page 2
of another library at the subject location. However, the Parties also recognized that there may be
other public needs of the City that can be met through the acquisition of the Library space. As a
result, the Parties agreed that the RDA shall have the option to obtain ownership of what was
previously identified as the Library facility for any other public purpose, such as, but not limited to,
a police sub-station or administrative fire or police office facilities, or such other public usage that
is mutually agreed to by the Parties.
On February 26, 2003, the RDA Board adopted Resolution No. 444-2002, which authorized the
acquisition of the space, provided that a pre-approved list of public uses be identified prior to the
acquisition, and that terms be identified for the event that your organization is not able to vacate
the space by September, 2004.
Therefore, a community meeting was held on March 13, 2003, during which the community
indicated a preference for the entire 5,000 sf space to be utilized as a library facility.
This Letter Agreement shall also confirm your meeting with members of my staff on March 17,
2003, during which the following list of pre-approved public uses were identified:
· Public purposes outlined in the Fourth Extension and Clarification Agreement dated July
26, 2000 between the City, the RDA, and the Courts at South Beach Limited, a Florida
limited partnership f/Ida Cobb Partners South Beach, Ltd., such as a police sub-station or
administrative fire or police office facilities;
· Office space for cultural organizations and/or organizations which serve as arts
incubators;
· A library facility.
The Fourth Extension stipulates that once the option is exercised, the RDA shall pay $275,000 in
10 yearly installments starting with the first installment at the time of notice of exercise of the
option, and each additional installment of $27,500 is to be paid on the anniversary date of the
exercise of the option. However, the Developer has requested to be allowed to remain in the
facility which it is now using as a sales center and complete the build-out and close the
transaction by September 30, 2004. Therefore, as part of the City and the RDA's agreement to
allow the Developer the extended use of the facility, the first installment payment will be due on
the closing date, September 30, 2004, with additional installments to be paid henceforth over the
next nine years.
Also, the Fourth Extension states that the designated space was offered to the RDA "as is" and
"where is". However, because the City will allow the Developer to continue using the space as its
sales center until September 2004, the Developer agreed to perform the retrofit/build-out of the
5,000 square foot space by September 30, 2004, at its sole cost and expense as outlined below.
Therefore, the RDA's exercise of the option to purchase the facility is contingent upon the
aforementioned and the following understandings between the Parties:
· An extension of time for the closing of the transaction is granted so that the closing may
be delayed until September 30, 2004, instead of within 180 days of March 31, 2003;
· Payment of the first installment in the amount of $27,500 is delayed until the closing date
on September 30, 2004, with each additional nine installments of $27,500 to be paid on
the anniversary date of the exercise of the closing of the transaction;
Page 2 of 4
The Courts at South Beach Limited
March 25, 2003
Page 3
The Developer may remain in the Library facility and continue its sales center use until
September 30, 2004, provided that the Developer performs the retrofit/build-out of the
5,000 square foot space, at its sole cost, pursuant to the attached permitted Lighting and
Electrical Drawing #LE2, dated November 11, 1994, as modified, and which will also
include three extra electrical drops, demolition of the demising wall, sprinklers, HVAC,
conduits with pull strings for computer and data lines;
· Developer will procure the design, preparation of construction documents, and/or
permitting fees and the City will pay the costs in connection therewith;
· If Developer's obligations have not been met by September 30, 2004, and the Developer
has not achieved final completion of the retrofit and/or vacated, then from October 1,
2004 until Developer achieves final completion of the retrofit and vacates the space, a
penalty in the amount of $7,000 per month (equivalent to approximately $17 per square
foot annually) will apply.
Should you agree with the preceding terms and conditions of this Letter Agreement Modification,
please have a duly authorized representative of the Courts at South Beach Limited, a Florida
limited partnership f/k/a Cobb Partners South Beach, Ltd., acknowledge and execute in the space
provided below. A fully executed copy will be provided to the duly authorized representative. All
other terms and conditions of the Fourth Extension and Clarification Agreement, dated July 26,
2000, shall remain in full force and effect.
THE COURTS AT SOUTH BEACH
LIMITED f/k/a Cobb Partners South Beach,
Ltd., a Florida limited partnership
By: PACIFIC INTERNATIONAL
SOUTH BEACH, INC., a Florida
ALAN DAVID, Vic~ident
STATE OF FLORIDA )
)SS
COUNTY OF MIAMI-DADE )
BEFORE ME, the undersigned authority duly authorized in the State and County aforesaid to take
acknowledgments, personally appeared ALAN DAVID, well known to me or who presented identification in
the form of , the Vice President of PACIFIC INTERNATIONAL SOUTHBEACH, INC., a
Florida corporation, a General Partner, and who took an oath, acknowledging that he executed the above and
foregoing document as his free act and deed, for an on behalf of said corporation as its duly authorized
representative, for the purposes set forth therein, and that the seal affixed thereto is the true and correct seal
of said Agency.
IN WITNESS WHEREOF, I have hereunto set my hand and.arid my official seal, in the State and
County aforesaid, on this.~_~ day of /~ ~2,4;~....._., 20
Page 3 of 4 Nb~
The Courts at South Beach Limited
March 25, 2003
Page 4
ATTEST:
MIAMI BEACH REDEVELOPMENT AGENCY
Executive Director
STATE OF FLORIDA )
)ss
COUNTY OF MIAMI-DADE )
BEFORE ME, the undersigned authority duly authorized in the State and County aforesaid to take
acknowledgments, personally appeared JORGE M. GONZALEZ, well known to me or who presented
identification in the form of . J_/~. , the Executive Director of the Miami Beach Redevelopment
Agency, and who took an oath, acknowledging that he executed the above and foregoing document as his
free act and deed, for an on behalf of said Agency as its duly authorized representative, for the purposes set
forth therein, and that the seal affixed thereto is the true and correct seal of said Agency.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal, in the State and
County aforesaid, on this Z.'7 day of ~ ,2003.
Name /-~ ~,~, C.
Notary Public, State of Florida at Large
F:\D D H P~$ALL~Anna\South Pointe\CourtsMarch251tr.doc
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Lighting & Electrical
Drawing ~LE2 dated
11/11/94 as modified
2/25/03
11-.io~