93-20945 Reso RESOLUTION NO. 93-20945
A RESOLUTION OF THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA,
AUTHORIZING THE CITY MANAGER AND THE CITY
ATTORNEY TO PROCEED WITH NEGOTIATIONS FOR A ,
SECOND AMENDMENT TO MARINA LEASE AGREEMENT; TO
NEGOTIATE WITH THE MIAMI BEACH HOUSING
AUTHORITY FOR ACQUISITION OF THE GOODMAN
TERRACE PARCEL; AND AUTHORIZING AN EXTENSION
TO THE FIRST AMENDMENT TO MARINA LEASE
AGREEMENT FOR A PERIOD NOT TO EXCEED FORTY-
FIVE DAYS, SAID PERIOD COMMENCING ON OCTOBER
23, 1993, AND ENDING ON DECEMBER 7, 1993.
WHEREAS, on June 24, 1983, the City entered into a Lease
Agreement with Carner-Mason Associates ("Carner-Mason") , for the
purpose of leasing land for the construction and development of the
Miami Beach Marina (the "Marina Lease") ; and
WHEREAS, pursuant to a foreclosure of a mortgage on the Marina
Lease, Tallahassee Building Corporation ("Lessee") acquired the
interest in the Marina Lease previously owned by Carner-Mason; and
WHEREAS, on October 23, 1991, the City and Lessee entered into
a First Amendment to Marina Lease Agreement (the "First
Amendment") , agreeing to modify certain terms and conditions of the
Marina Lease; and
WHEREAS, ,pursuant to the First Amendment, on or before the
date which is two years after the date of execution of the First
Amendment (or October 23, 1993) or within thirty days after receipt
of all necessary permits for the construction of the Dry Stack
Facility for the Miami Beach Marina, the Lessee must elect to
either terminate the Marina Lease or proceed with its plans, as
required by the First Amendment, to complete the final design and
permitting, as well as construction of, the Dry Stack Facility (the
"Second Election Date") ; and
WHEREAS, Lessee has been proceeding over the last year in
obtaining the necessary approvals to construct the aforestated Dry
Stack Facility; and
WHEREAS, `Lessee's proposal for the Dry Stack Facility has been
met with great concerns on the part of the Miami Beach Housing
Authority which, when combined with other significant economic
factors, has prompted Lessee to explore with the City the
possibility of foregoing its right to build the Dry Stack Facility,
as currently required by the Marina Lease if the long term parking
needs of the Marina can be met on the Dry Stack site and the Marina
uplands; and
WHEREAS, pursuant to the terms of the First Amendment, the
City is also required to provide up to 1, 000 parking spaces and a
pedestrian overpass for the Miami Beach Marina needs, upon the
development of the Marina uplands, and this requirement, while
previously negotiated as part of the First Amendment, is, in light
of the currently critical parking situation within the City,
proving to be a burden and hardship for the City; and
WHEREAS, in conjunction with the aforestated factors, the City
is desirous of acquiring the Goodman Terrace Parcel from the Miami
Beach Housing Authority; and
WHEREAS, the Administration and City Attorney's office have
determined that the aforestated issues should be presently
addressed with the Lessee, and that a Second Amendment to the
Marina Lease Agreement be negotiated to adequately resolve same;
and
WHEREAS, in order to provide the Administration and City
Attorney's Office with sufficient time within which to meet with
the Lessee and negotiate mutually agreeable terms and conditions
for a Second Amendment to the Marina Lease Agreement, an extension
of the Second Election Date, as prescribed by the First Amendment
and as summarized herein above, would be necessary, said extension
commencing on October 23, 1993 and continuing for a period not to
exceed forty-five days, and ending on December 7, 1993 ; and
WHEREAS, during the aforestated forty-five day extension
period, all terms and conditions of the Marina Lease and First
Amendment would remain in full force and effect, provided that all
parties thereto will be excused and released from any defaults,
either implied or expressed, under both Agreements, as a result of
any delays in all matters related to the construction of the Dry
Stack Facility during the aforestated negotiating period.
NOW THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and
City Commission herein authorize the City Manager and City Attorney
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•
to proceed with negotiations for a Second Amendment to Marina Lease
Agreement; to negotiate with the Miami Beach Housing Authority for
acquisition of the Goodman Terrace parcel; and further authorize an
extension to the First Amendment to Marina Lease Agreement as
outlined above for a period not to exceed forty-five days, said
period commencing on October 23, 1993 , and ending on December 7,
1993 .
PASSED and ADOPTED this 2d day of ctober ,
1993 . 7
ATjT�E-S/T: /�
ITY CLERK
c:\wp51\1d\marina2amd.res
FORM APPROVED
LEGAL DEPT.
By
Date 1 � y ) '^- �3
3
CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139
OFFICE OF THE CITY MANAGER TELEPHONE: (305) 673-7010
FAX: (305) 673-7782
COMMISSION MEMORANDUM NO. 590 93
TO: Mayor Seymour Gelber and DATE: October 20, 1993
Members of the City Commission
FROM: Roger M. Canto
City Manage
SUBJECT: AUTHORIZATION TO PROCEED WITH SECOND AMENDMENT TO MARINA
AGREEMENT, TO NEGOTIATE WITH THE HOUSING AUTHORITY ON THE
GOODMAN TERRACE PARCEL AND TO EXTEND THE FIRST AMENDMENT
TO MARINA AGREEMENT FOR 45 DAYS
ADMINISTRATION RECOMMENDATION:
It is recommended that the Mayor and City Commission and the
Redevelopment Agency Board authorize the Administration to
negotiate a second amendment to the Marina Agreement consistent
with terms as outlined in the body of this memorandum; and,
further, that the Administration and City Attorney' s Office be
authorized to negotiate with the Miami Beach Housing Authority for
the purchase of the Goodman Terrace property at appraised value,
and that the present first amendment to the Marina Agreement be
extended for 45 days.
BACKGROUND:
The current Agreement with the Marina operators stipulates that the
operators are to .construct a dry stack building of at least 250
berths on the property south of the Marina core building adjacent
to and just north of the Rebecca Towers property but caps the
operator' s required capital investment at no more than $3 . 0
million. The operators have proceeded, over the last year, in
obtaining the necessary approvals to construct the dry stack
facility. The proposal has been met with great concern on the part
of the Housing Authority. As a result of this concern and other
factors, the operators are exploring with the City the possibility
of foregoing the right to build a dry stack storage facility if the
long-term parking needs of the Marina can be met on the dry stack
storage site and/or Marina upland.
Under the present agreement, the City also has a liability of
providing 1, 000 spaces along with a pedestrian overpass for the
Marina needs off-site upon the development of the Marina uplands .
While this requirement was set several years ago, the
Administration and City Attorney' s Office feel this is the proper
time to also deal with this issue by constructing a parking garage
on the site of the dry stack.
Finally, the City has been very. interested in acquiring the Goodman
Terrace parcel from the Housing Authority so that land assembly
could be facilitated for major new developments in South Pointe.
161
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AGENDA L�
ITEM
DATE l 0 - 9 3
ANALYSIS:
The Administration and City Attorney' s Office are proposing that a
second amendment to the Agreement be developed which attempts to
meet all three needs. Elimination of the dry stack would respond
to the issues and concerns raised by the Housing Authority. It
would create an opportunity to develop a parking garage on-site
which could be sized to meet the realistic needs of the Marina. It
is also an opportunity to negotiate the actual number of spaces
downward to save the City additional money, above and beyond the
savings that would accrue from not having to acquire another
parking site and build a pedestrian overpass. Finally, because the
needs of the Housing Authority would be satisfied, the City would
not want to conclude this until the Housing Authority has agreed to
the sale of the Goodman Terrace property, the construction of the
parking garage, and other related issues.
Extension, of the present agreement with. the Marina for a 45 day
period would be necessary as it presently requires delivery of the
$3 . 0 million dry stack guaranty on October 23, 1993 . This
extension would allow the completion of this agreement and would
not default either party because of delays related to the of the
dry stack.
The following conceptual changes are proposed for the Commission' s
consideration in drafting the second agreement.
1. The Marina operators would relinquish the lease-hold on the .
parcel south of the core building as well as the right to
build the dry stack.
2 . The City would begin construction within one year of approval
of this Agreement for a 650 to 800 space multi-story garage
that the City would operate.
3 . The garage would have at least 7, 500 square feet of retail
shell space on the water side which would be leased and
finished by the Marina operator. The current Marina lease
terms for retail to the City would apply to this space as well
(including formula for rent income to the City) .
4 . The total parking requirement for the Marina property would be
reduced from 1, 000 spaces to approximately 650 spaces provided
that those spaces could be reasonably restricted for use
within the Marina uplands development .
5 . The City would provide a negotiated amount of permits to the
non-transient Marina slip users at a cost not to exceed
comparable residential parking permit costs in other parts of
the City. This revenue shall be used towards the retirement
of any debt issued for the construction of the garage.
The City would use its best efforts to obtain access north of the
core building to provide expanded entry, drop off and fueling
facilities for the Marina. There are some other issues that will
need to be resolved including the location of the fueling
facilities, service and delivery needs of the core building.
CONCLUSION:
The Administration and City Attorney' s Office are proposing, if
approved by the City Commission and the Redevelopment Agency Board,
that an agreement could be brought back at the December 1, 1993,
meeting assuming that the Housing Authority has also agreed to the
sale of the Goodman Terrace parcel in that time frame. The South
Pointe Advisory Board will continue to be kept informed of progress
in these negotiations.
RMC:jph
Attachment 162
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