RESOLUTION 90-20087 RESOLUTION NO. 90-20087
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 CONTRACT FOR SALE AND PURCHASE BETWEEN THE
CITY OF MIAMI BEACH AND MIAMI CHILD' S WORLD,
INC. , TO EXTEND THE CLOSING DATE TO JANUARY
31, 1991 IN CONSIDERATION OF PAYMENT OF A FEE
TO THE CITY OF $40,000, PAYABLE $10,000
MONTHLY.
BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF MIAMI
BEACH:
WHEREAS, on January 18, 1990, the City of Miami Beach ("City")
entered into a contract for sale and purchase (the "Contract") with
Miami Child's World, Inc. (the "Buyer") for property located at
1511 N.E. 207 Street, Miami, Dade County, Florida, and commonly
known as the "Ojus Property" ; and
WHEREAS, the Contract provided for a closing date of no later
than June 29, 1990, with an option to extend by the Buyer until
September 28, 1990, which the Buyer has exercised; and
WHEREAS, the Buyer has requested that the closing date be
extended to January 31, 1991, and in consideration of the City
extending the closing date, the Buyer wishes to pay the City a non-
refundable fee of $10, 000 per month for the months of October,
November, December, 1990 and January, 1991, for a total of $40, 000.
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 Contract
for sale and purchase between the City of Miami Beach and Miami
Child's World, Inc. , to extend the closing date to January 31, 1991
in consideration of payment of a fee to the City of $40, 000,
payable $10, 000 monthly.
PASSED and ADOPTED this 5th day of Septetber , 1990.
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VICE-MAYOR
ATTEST: FORM APPROVED
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LEGAL DEPT.
CITY CLERK By
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OFFICE OF THE CITY MANAGER CITY HALL
ROB W.PARKINS 1700 CONVENTION CENTER DRIVE
CITY MANAGER TELEPHONE: 673-7010
NO.
COMMISSION MEMORANDUM 14��-
DATE: September ,5 1990
TO: Mayor Alex Daoud - •
Members of th: ity Commi .j.
d FROM: Rob W. Par ' s
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City Manager
SUBJECT: STATUS REPORT - CONTRACT OF SALE OF OJUS PROPERTY TO
MIAMI CHILD'S WORLD, INC.
HISTORY AND BACKGROUND
Pursuant to City Commission Resolution No. 83-17483 the City and
Miami Child's World, Inc. entered into a lease agreement for the
use of the 143 .75 acre Ojus property, a portion of which (46 acres)
is the site of an inactive landfill used by the City from 1938 to
1977.
In the Fall of 1989, the Lessee proposed a mechanism for purchase
of the property for further development. The City selected an
appraiser to complete a current appraisal of the value of the
property. That appraisal resulted in a finding that the fair
market value of the property, without consideration of the costs
of clean-up, closure, monitoring and testing requirements for the
landfill or the values of the Urban Land Forest or state
concurrency was $8, 745, 000.
Concurrently a Closure and Cost Estimate Study was undertaken by
ECOS: Environmental Planning and Design Group, Inc. The resulting
•
estimated cost of closing the Landfill was $3 , 114 , 850, including
permits and construction.
Pursuant to City Commission Resolution No. 90-19861, the City and
Miami Child's World, Inc. entered into a Contract for Sale and
Purchase of the property.
TERMS OF THE CONTRACT FOR SALE AND PURCHASE
Under the contract, Miami Child's World, Inc. agreed to purchase
the entire Ojus property for the Total Appraisal Purchase Price of
$8,745, 000, with said Price discounted for the value of the Urban
Land Forest and concurrency. A deposit of $50, 000, previously
held under the lease was transferred from the City' s Bid Bond
Account to a separate Trust Account upon execution of the Contract
of Sale.
Closing was scheduled on or before June 29, 1990, with one
extension permissible upon payment of an additional, non-refundable
fee of $15, 000. 00. At closing, the Buyer agreed to pay the City
$5, 000, 000. 00 (applying the $50, 000 deposit toward this amount) .
Mortgage notes will also be supplied at closing totalling
$3, 114,850. 00: a first mortgage on the G.U. Interim zoned property
and a second mortgage on the I.U. Zoned property.
Once paid, this amount ($3 , 114 , 850) will be held in an interest
bearing Trust Account for the purpose of financing the cost of 90
closing the Landfill. In the event the costs of closing the
AGENDA
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Developer
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August 26, 1990
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Mr . Rob Parkins
City Manager
City of Miami Beach
1700 Convention Center Dr .
Miami Beach, FL 33139
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Re: Ojus Property
Dear Mr . Parkins:
Reference is made to the closing on thepurchase of the
Ojus
tract which was anticipated on or about September
P 30 , 1990 .
Since entering into the Contract for Sale on the 0 ° us tract ,
Miami Child ' s World , Inc . has been actively pursuing the
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financing and development of the property . We have been
• negotiating the financing with major financial institutions and
have pursued the sale of a portion of the land for industrial
development. The Dade County School Board has also explored the
acquisition of 30 acres for a school site.
Current conditions in the financial market reflect the tremendous
problems in the banking and savings and loan industry as well as
recessionary conditions in many parts of the country. The, near-
war conditions in the Mideast have further exacerbated obtaining
financing in the foreseeable future . As such , favorable
financing for projects of this nature are not viable at this
time.
Under the circumstances , Miami Child' s World, Inc . requests an
extension of the closing for a period of up to eighteen months at
which time greater stability in the financial markets and more
favorable conditions should exist.
As consideration for the closing extension, Miami Child' s World,
Inc. will pay $5,000 , on a monthly basis, until such time as the
closing is consummated.
92
7121 Collins Avenue, Miami Beach, Fla. 33160 (305) 935-2557 (305) 944-514 .
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Mr . Rob Parkins
City Manager
August 28, 1990
Page two
Let me assure
you of Miami Child ' s World , Inc . ' s continued
interest in the acquisition of the Ojus tract and our continuino
pursuit of a viable financing and developmentro ram.
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Sincerely yours,
V° 1'61 s
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Frank Guarino 4.4(
President
FG:as
cc: Ira Giller
Harold Rosen
Bill Harrison
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FIRST AMENDMENT TO CONTRACT OF SALE AND PURCHASE
THIS First Amendment to Contract for Sale and Purchase made
and entered into this 27th day of September, 1990, by and between
the City of Miami Beach, a Florida municipal corporation,
hereinafter called the "City" or "Seller" and Miami Child' s World,
Inc. , a Florida corporation, hereafter called the "Buyer" .
WITNESSETH
WHEREAS, on January 18, 1990, the City of Miami Beach entered
into a contract for sale and purchase (the "Contract") with Miami
Child' s World, Inc. for property located 1511 N.E. 207 Street,
Miami, Dade County, Florida and commonly known as the Ojus
Property; and
WHEREAS, the Contract provided for a closing date of no later
than June 29, 1990, with an option to extend by the Buyer until
September 28, 1990, which the Buyer has exercised; and
WHEREAS, the Buyer has requested that the closing date be
extended to January 31, 1991, and in consideration of the City
extending the closing date, the Buyer wishes to pay the City a non-
refundable fee of $10, 000 per month for the months of October,
November, December, 1990 and January, 1991; and
1
WHEREAS, the City and the Buyer wish to amend the Contract to
provide for the above extension and payments.
NOW THEREFORE, in consideration of the mutual covenants hereby
exchanged and ten dollars and other good and valuable
consideration, the receipt of which is hereby acknowledged, City
and Buyer hereby agree as follows:
1. Paragraph 3B on pages 6 and 7 of the Contract is hereby
amended to read as follows:
CLOSING AND CONVEYANCE.
B. Closing
The closing shall take place at the
offices of Buyer' s Lender in Dade County,
Florida no later than 5: 00 p.m. , June 29, 1990.
Buyer shall have the option to extend the date
of closing until September 28 , 1990 by
notifying City in writing on or before 5: 00
p.m. , June 29, 1990 by hand-delivery and
payment to City the sum of fifteen thousand and
00/100 ($15, 000) dollars in the form of a
cashier' s check drawn on a local banking
institution in Dade County, Florida. Payment
shall represent a non-refundable extension fee
and Buyer will not receive a credit towards the
purchase price at closing. Buyer shall have
2
the further right to extend the date of closing
to January 31, 1991 by notifying the Seller in
writing on or before 5: 00 p.m. on September 28,
1990 by hand-delivery and making payment to the
City on or before 5: 00 p.m. September 28, 1990
of the sum of ten thousand and 00/100 ($10, 000)
dollars in form of a cashier's check drawn on
a local banking institution in Dade County,
Florida, and $10, 000 on or before 5: 00 p.m. on
November 1, 1990, December 1, 1990 and January
1, 1990, for a total of $40, 000. The failure
of Buyer to make any $10, 000 payment within
five (5) days of the due date shall constitute
a default, and notwithstanding any other term
in the Contract, City shall have the right to
terminate the Contract without further notice,
and Bu er shall thereb forfeit its •ood faith
deposit. The foregoing payments shall
represent a non-refundable extension fee and
Buyer will not receive a credit towards the
purchase price at closing.
2 . This First Amendment shall supercede the Contract, and
in the event of any inconsistency between the terms and conditions
of the contract and this First Amendment, this First Amendment
shall prevail. All other terms and conditions of the Contract are
3
hereby ratified and confirmed.
IN WITNESS WHEREOF, we have hereunder set out hands and seals,
this 27th day of September, 1990.
Signed, Sealed and Delivered
in the presence of: CI lg/ A I ACH
(y/
Lwatex- A:244-te
(,) VICE-MAYOR
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Attest:
as to CITY
FORM APPROVED In44� ��� �t-✓
LEGAL DEPT. CITY CLERK
By t7.0°I0 010,taN.,
// ) j/ Date 7//ay(50 MIAMI CHILD'S WORLD, INC.
By:�C�� '�• K J. RINO, PRES.
Attest:
as to BUYER
'IAN J. GI E? , yECRE'?'AkY
4
STATE OF FLORIDA)
) SS
COUNTY OF DADE )
BEFORE ME, the undersigned authority, personally appeared
Abe Hirschfeld, Vice Mayor of the City of Miami Beach and Elaine M.
Baker, City Clerk of the City of Miami Beach, who upon first being
duly sworn and cautioned acknowledged executing the foregoing
Contract for Sale and Purchase for the purposes therein expressed.
SWORN TO AND SUBSCRIBED before me this _ t day of
r' , t r p; 1' , , 1990. / ----/ r'
My Commission Expires: ' -e-`-a `r-.�...-., •- ..
-�.•1•• r.. r.,\ NOTARY PUBLIC - State of
► 3 Florida
L .: ' is (_.: ;;W ii;':ti 'i: )e
STATE OF FLORIDA)
) SS
COUNTY OF DADE )
BEFORE ME, the undersigned authority, personally appeared
Frank J. Guarino and Brian J. Giller, who upon first being duly
sworn and cautioned acknowledged executing the foregoing Contract
for Sale and Purchase for the purposes therein expressed.
SWORN TO AND SUBSCRIBED before me this /,9 day of
4 1990.
My omm�.ssion Expires:
RY P I - State o±
IMAM, ruttuC SIATr e► FLORIDA Florida
BY CONAISSIO$ EXP. RAT 11,1191
BOWED TNNY $E/EIAL IRS. MIO.
5
.
OtUGINA.L
RESOLUTION NO. 90-20087
Authorizing the Mayor and City Clerk to
execute a first amendment to the contract
for sale and purchase between the City
of Miami Beach and Miami Child's World,
Inc. , to extend the closing date to
January 31, 1991 in consideration of
payment of a fee to the City of $40,000,
payable $10,000 monthly.