RESOLUTION 90-20031 RESOLUTION NO. 90-20031
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF MIAMI
BEACH, FLORIDA, AUTHORIZING THE MAYOR AND CITY CLERK TO
EXECUTE A FIRST AMENDMENT TO THE LEASE AGREEMENT BETWEEN
THE CITY OF MIAMI BEACH AND DINER GROUP, INC. , FOR THE
DEVELOPMENT, CONSTRUCTION AND OPERATION OF A RESTAURANT
IN THE FIRST FLOOR (NORTH WING) OF HISTORIC CITY HALL,
PROVIDING FOR AN ALTERNATE PERFORMANCE AND LABOR AND
MATERIALS PAYMENT SECURITY ARRANGEMENT
WHEREAS, pursuant to City Commission Resolution No. 89-19730,
the City of Miami Beach and Diner Group, Inc. ("Lessee") entered
into a Lease Agreement dated September 20, 1989 ("Lease Agreement")
for the development, construction and operation of a restaurant on
the First Floor (North Wing) of Historic Hall; and
WHEREAS, the Lessee has proposed an alternative performance
and labor and materials payment security arrangement to that
provided in the Lease Agreement and has incorporated that
alternative into the attached First Amendment to the Lease
Agreement; and
WHEREAS, the Lessor has accepted the alternative performance
security arrangement proposed by the Lessee.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Clerk are
hereby authorized to execute the First Amendment to the Lease
Agreement with Diner Group, Inc. , providing for an alternative
performance and labor and materials payment security arrangement.
PASSED and ADOPTED this 11th day of July 1990.
ATTEST:
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CITY CLERK FORM APPROVED , MAYOR
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OFFICE OF THE CITY MANAGER CITY HALL
ROB W.PARKINS 1700 CONVENTION CENTER DRIVE
CITY MANAGER TELEPHONE: 673-7010
COMMISSION MEMORANDUM NO. •
DATE: ally 11, 1990
TO: Mayor Alex Daoud and
Members of the Cit CRmmission
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FROM• Rob W. Parkins
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City Manager L
SUBJECT: FIRST AMENDMENT TO LEASE AGREEMENT WITH DINER GROUP, INC.
FOR THE DEVELOPMENT, CONSTRUCTION AND OPERATION OF A
RESTAURANT IN THE FIRST FLOOR (NORTH WING) OF HISTORIC
CITY HALL, PROVIDING FOR AN ALTERNATE PERFORMANCE AND
LABOR AND MATERIALS PAYMENT SECURITY ARRANGEMENT
BACKGROUND INFORMATION:
Pursuant to City Commission Resolution No. 89-19730, approved
September 20, 1989 , the City entered into a 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, located at 1130 Washington Avenue.
In accordance with the lease agreement, Diner Group, Inc. submitted
plans and received approval from the Design Review Board for the
proposed improvements. The construction contract was submitted to
the City and approved, pending approval of performance security and
insurance coverage.
Diner Group, Inc. has requested that an alternative performance
security arrangement in the form of an Escrow Agreement be
permitted instead of the Performance and Labor and Materials
Payments Bonds as specified in the Lease Agreement (See attached
correspondence dated July 3 , 1990) .
Under the proposed Escrow Agreement, a law, firm would hold funds
in escrow sufficient to pay the total construction contract
amount. Disbursements would be made to the Contractor (Camp
Development Corp) upon the written authorization of the Contractor,
Diner and a review agent (Les Beilinson, A. I.A. ) .
ADMINISTRATION RECOMMENDATION:
The City Administration recommends that the City Commission approve
a Resolution authorizing the Mayor and City Clerk to execute the
proposed First Amendment to Lease Agreement between the City of
Miami Beach and Diner Group, Inc. , for development, construction
and operation of a restaurant in the first floor (North Wing) of
Historic City Hall , providing for an alternate performance and
labor and materials payment security arrangement.
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AGENDA - •
ITEM
DATE , (
FIRST AMENDMENT TO LEASE AGREEMENT
THIS FIRST AMENDMENT TO LEASE AGREEMENT, made and entered into this
12th day of September , 1990, by and between the CITY OF
MIAMI BEACH, a municipal corporation, Lessor (hereinafter referred to
as "City") and DINER GROUP, INC. , a Delaware Corporation (hereinafter
referred to as "Lessee") :
WITNESSETH
WHEREAS, pursuant to City Commission Resolution No. 89-19730, the City
and Lessee entered into an Agreement (hereinafter referred to as "Lease
Agreement") dated September 20, 1989 for the development, construction
and operation of a restaurant on the first floor (north wing) of
Historic City Hall ; and
WHEREAS, the parties wish to amend the Lease Agreement to provide for
an escrow agreement as an alternative performance security arrangement
to that provided in the Lease Agreement.
NOW, THEREFORE, in consideration of the mutual covenants contained
herein, and other good and valuable consideration, the receipt of which
is hereby acknowledged, the parties hereby agree as follows:
1. Paragraph 7 . Performance and Labor and Material Payment Bonds:
is hereby amended to add the following sentence: "As an alternative
to the foregoing Performance and Labor and Material Payment Bonds, the
Lessee may substitute the attached Escrow Agreement dated
September 11 , 1990 by and between DINER GROUP, INC. , CAMP
DEVELOPMENT CORP. AND THERREL BAISDEN & MEYER WEISS, P.A. , which is
incorporated herein by reference and made a part hereof for all
purposes. "
2 . The Parties hereby ratify and confirm all other terms and
conditions of the Lease Agreement which remain unchanged.
IN WITNESS WHEREOF, the parties hereto have caused these presents to
be signed by the duly authorized officers and the respective corporate
seals to be affixed this 12th day of September , 1990.
ATTEST: CITY OF MIAMI BEACH
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ESCROW AGREEMENT
This Escrow Agreement made this day of September , 1990, between
DINER GROUP, INC. (DINER); CAMP DEVELOPMENT CORP. (CONTRACTOR);
and THERREL BAISDEN & MEYER WEISS (Escrow Agent).
WHEREAS, DINER has entered into a lease agreement with the City of Miami
Beach (City) for the north wing of the first floor of Historic City Hall; and
WHEREAS, pursuant to said lease agreement DINER has agreed to construct a
full service restaurant on the premises and has further agreed that prior to commencement
of construction, DINER will deposit in escrow an amount covering 110% of the costs of
constructing the improvements; and
WHEREAS, DINER has entered into an agreement with CONTRACTOR to
construct said improvements for the sum of$175,000.00, which contract has been approved
by CITY; and
WHEREAS, the law firm of THERREL BAISDEN & MEYER WEISS has agreed
to serve as Escrow Agent in accordance with the terms hereof.
NOW, THEREFORE, in consideration of the mutual covenants contained herein
and other good and value consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties agree as follows:
1. Escrow Agent hereby acknowledges receipt of the sum of $175,000.00 and a
letter of credit in favor of Escrow Agent in the amount of $17,500 to be held pursuant to
the terms hereof. Any deposits made hereunder by check shall be subject to collection.
Escrow Agent shall deposit the funds received in a separate interest-bearing escrow
account. All interest accruing therein shall inure to the benefit of DINER, and may be
disbursed to DINER from time to time notwithstanding any other provisions of this
agreement. . ,
2. The funds held by Escrow Agent shall be disbursed from time to time in
accordance with written instructions from DINER, CONTRACTOR-and'LES BEILINSON
A.I.A. specifying the amount and manner of disbursement and signed in the manner and
by the persons authorized below.
TIIERREL BAISDEN 8C MEYER WEISS
3. The parties hereby authorize the following persons to sign the aforesaid written
instructions and the signature of each such person also appears hereon:
DINER: Jeffrey F. Combs
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CONTRACTOR: Kay M. Statz
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BEILINSON: Le : -Hinson, A.LA.
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4. The Escrow Agent shall not disburse any funds unless and until it is presented
with joint written notarized instructions signed by the foregoing•persons. The Escrow
Agent shall be completely protected in relying on any signature it reasonably believes to
be valid, and no written instructions other than the ones herein above referred to shall be
required in order to cause disbursements to be made.
5. The letter of credit shall provide that Escrow Agent may draw upon the credit
upon the joint written instructions of Diner and Contractor. Escrow Agent shall disburse
any funds received under the letter of credit in the same manner as set forth above.
6. In the event of doubt as to Escrow Agent's duties or liabilities under the
provisions of this Agreement, the Escrow Agent, may in its sole discretion, continue to hold
the subject matter of the escrow until the parties mutually agree to the disbursement
thereof, or until a judgment of a court of competent jurisdiction shall determine the rights
of theP arties thereto; or Escrow Agent may deposit same with the Clerk of the Circuit
having jurisdiction of the dispute, and upon notifying all parties concerned of such action,
all liability on the part of the Escrow Agent shall fully terminate, except to the extent of
accounting for any items theretofore delivered out of escrow.
7. In the event of any suit between the parties wherein the Escrow Agent is made
apartyby virtue of actingas Escrow Agent hereunder, or in the event of anysuit wherein
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Escrow Agent interpleads the subject matter of this escrow, the Escrow Agent shall be
entitled to recover reasonable attorney's fees and costs incurred.
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THERREL BAISDEN & MEYER WEISS
8. All parties agree that the Escrow Agent shall not be liable to any party or
P
erson whomsoever for misdeliveryof the funds subject to this escrow, unless such
misdeliveryshall be due to willful breach of this Agreement or gross negligence on the
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party of the Agent. Nor shall Escrow Agent be liable for any loss or damage resulting
from the failure, insolvency or suspension of the financial institution in which the subject
of the escrow is held.
9. DINER and CONTRACTOR, jointly and severally, for themselves and their
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successors and assigns, indemnify and hold Escrow Agent harmless from liability or cost
including court costs and attorneys fees, incurred by reason of Escrow Agent having
accepted this Escrow. Escrow Agent shall have a first and prior lien on the Escrow
deposits to secure the performance of this Agreement.
10. All fees and expenses of Escrow Agent shall be paid by DINER.
11. Except as otherwise provided herein, this Escrow Agreement and Escrow Agent's
liability hereunder shall terminate upon disbursement of all funds held by Escrow Agent.
12. This Agreement may not be amended or modified except, in writing, signed by
the parties hereto and with the written consent of City.
IN WITNESS WHEREOF, the undersigned have executed this Escrow Agreement
the day and year first above written.
In Witness Whereof:
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THERREL BAISDEN & MEYER WEISS
OF IGINAL
RESOLJTION NO. 90-20031
Authorizing the Mayor and City Clerk to
executed a First Amendment to the lease
agreement between the City of Miami Beach
and Diner Group, Inc. , for the development
construction and operation of a restaurant
inthe first floor (north wing) of Historic
City Hall, providing for an alternate
performance and labor and materials pay-
ment security arrangement.