RESOLUTION 89-19730 RESOLUTION NO. 89-19730
A RESOLUTION OF THE CITY COMMISSION OF THE
CITY OF MIAMI BEACH AUTHORIZING THE MAYOR AND
THE CITY CLERK TO EXECUTE A LEASE AGREEMENT
BETWEEN THE CITY OF MIAMI BEACH AND DINER
GROUP, INC. FOR THE DEVELOPMENT, CONSTRUCTION
AND OPERATION OF A RESTAURANT ON THE FIRST
FLOOR (NORTH WING) OF HISTORIC CITY HALL
WHEREAS, the City Administration, through the Department of
Purchasing and Property Management, issued a Request for Proposals
(No. 30-88/98) for the Development, Construction and Operation of
a restaurant on the first floor (North Wing) of Historic City
Hall ; and
WHEREAS, a Proposal was received from Diner Group, Inc. ; and
WHEREAS, the proposal from Diner Group, Inc. was reviewed and
approved by the Land Use Committee at its meeting on August 23 ,
1989 ; and
WHEREAS, a Lease Agreement has been recommended by the City
Manager and approved as to form by the City Attorney.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE CITY COMMISSION OF
THE CITY OF MIAMI BEACH that the Mayor and the City Clerk are
hereby authorized to execute the Lease Agreement between the City
of Miami Beach and Diner Group, Inc. , for the Development,
Construction and Operation of a Restaurant on the First Floor
(North Wing) of Historic City Hall.
PASSED AND ADOPTED THIS 20th day of September , 1989 .
ATTEST:
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CITY CLERK -'MAYOR
APPROVED AS TO FORM:
LEGAL DEPARTMENT
DATE:
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OFFICE OF THE CITY MANAGER CITY HALL
ROB W.PARKINS 1700 CONVENTION CENTER DRIVE
CITY MANAGER TELEPHONE: 673-7010
NO. 461-7�
COMMISSION MEMORANDUM
Xq
DATE: September 20, 1989
TO: Mayor Alex Dao
Members of City Comm': ion L
FROM: Rob W. Parki
City Manager Jr,
LEASE AGREEMEN WITH DINER GROUP, INC. FOR THE DEVELOPMENT,
SUBJECT. CONSTRUCTION AND OPERATION OF A RESTAURANT ON THE FIRST
FLOOR (NORTH WING) OF HISTORIC CITY HALL (RFP NO. 30-88/98)
HISTORY
Under Step One of this two step RFP process, the City Administration
invited proposers to submit conceptual proposals and statements of
professional qualifications for the project. Two applicants (Beverly
Hills Cafe, Inc. and Diner Group, Inc. ) submitted proposals under
Step One which met the qualifying criteria. The proposals were
presented in summary tabulation form to the City Commission at its
meeting on February 15 , 1989 , at which time the City Commission
authorized the City Administration to proceed with Step Two of the
RFP process and invite the two qualified proposers to submit more
detailed proposals for the project.
Step Two of the RFP process was issued on April 14, 1989 and called
for detailed proposals to be submitted May 19 , 1989 . One of the two
qualified proposers, Diner Group, Inc. submitted a responsive and
responsible proposal in accordance with Step Two of the RFP process.
After receiving written clarifications on the proposal submitted,
members of the City Administration met with the principals of Diner
Group, Inc. on July 7 , 1989 to discuss the City' s requirements for
the project and the proposer' s interest and plans for project
implementation. Following consultation with the City Attorney ' s
Office, the City Administration forwarded a draft of a proposed lease
agreement to the proposer on August 3 , 1989 . The proposer responded
with interests and concerns which have been addressed in the final
document.
The proposed agreement was reviewed by the Land. Use Committee at its
meeting on August 23 , 1989 and some modifications were suggested
which were subsequently incorporated in the final document. The Land
Use Committee recommended that the City Commission approve the
proposed agreement.
TERMS AND CONDITIONS
The proposed lease provides for a ten year term for construction and
operation of a restaurant in the North Wing of the First Floor of
Historic City Hall, beginning six months after issuance of a building
permit for the scheduled improvements. The proposed agreement also
contains two five year renewal terms.
AGENDA
ITEM
DATE q -R0-461
LEASE AGREEMENT WITH DINER GROUP, INC. FOR THE DEVELOPMENT,
CONSTRUCTION AND OPERATION OF A RESTAURANT ON THE FIRST FLOOR (NORTH
WING) OF HISTORIC CITY HALL (RFP NO. 30-88/98)
September 20, 1989
Page -2-
During the initial term, Diner Group, Inc. would complete
construction improvements on the premises valued at a minimum of
$175, 000 within ten (10) months of execution of the lease. At the
termination of the lease, title to permanent improvements shall vest
with the City, with personal property and supplies remaining the
property of the Lessee.
The City would receive $2 , 500 per month ($30, 000 per annum) beginning
with the start of operations of the ninety-nine seat restaurant.
This rental payment would be adjusted upward annually in accordance
with any increase in the Consumer Price Index (CPI) , with a 2% cap
on any one year' s increase. During the renewal terms, the City would
receive the minimum rent ($2 , 500 per month as adjusted) or a
percentage of gross receipts, whichever is greater, in accordance
with the following schedule:
2 . 5% of gross receipts up to $100, 000
3 . 0% of gross receipts from $100, 001 to $200, 000
3 . 5% of gross receipts over $200, 000.
ADMINISTRATION RECOMMENDATION:
The City Administration recommends that the City Commission approve
the attached Resolution authorizing the Mayor and City Clerk to
execute the lease with Diner Group, Inc. for development,
construction and operation of a restaurant on the first floor of
Historic City Hall on behalf of the City of Miami Beach.
RWP:WHH:HM
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ORIGINAL
RESOLUTION NO. 89-19730
Authorizing the Mayor and the City ty Clerk
to execute a lease agreement between the
City of Miami Beach and Diner Group, Inc.
for the development, construction
P � and
operation of a restaurant on the first
floor (north wing) of Historic City Hall.
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