Resolution 2024-33097 RESOLUTION NO. 2024-33097
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, APPROVING, IN SUBSTANTIAL FORM,
AMENDMENT NO.1 TO THE LEASE AGREEMENT DATED OCTOBER 1, 2004
(AGREEMENT), BY AND BETWEEN PARKVIEW POINT CONDOMINIUM
ASSOCIATION, INC (LESSOR) AND THE CITY OF MIAMI BEACH, FLORIDA
(LESSEE); SAID AMENDMENT APPROVING THE ONLY RENEWAL TERM
UNDER THE AGREEMENT FOR A PERIOD OF TEN (10) YEARS,
COMMENCING ON SEPTEMBER 1, 2024 AND EXPIRING ON AUGUST 31,
2034,AND MODIFYING THE ANNUAL USE PAYMENT AMOUNT DURING THE
RENEWAL TERM AS NEGOTIATED BY THE PARTIES; AND FURTHER
AUTHORIZING THE INTERIM CITY MANAGER TO EXECUTE THE
AMENDMENT.
WHEREAS, for several decades, the City has used certain privately-owned
condominium towers for the location and operation of public facilities; and
WHEREAS, on October 15, 2003, the Mayor and City Commission adopted Resolution
No. 2003-25382, approving a Lease Agreement with Parkview Point Condominium Association,
Inc. ("Parkview Point") for an initial term of twenty (20) years, with one (1) renewal option, upon
mutual agreement of the parties, for a term of ten (10)years; and
WHEREAS, the City and Parkview Point executed the Lease Agreement, dated October
1, 2004, with an effective date of September 1, 2004 (the "Agreement"), with the initial term
currently set to expire on August 31, 2024; and
WHEREAS, on April 5, 2024, Parkview Point notified the City of their desire to modify the
annual Use Payment under the Agreement for the renewal term; and
WHEREAS, Park View proposed that for the first year of the renewal term of the
Agreement, beginning on September 1, 2024,the effective Use Payment amount would be Thirty-
Four Thousand One Hundred and Forty Dollars ($34,140.00) per year, payable in quarterly
payments of$8,535.00, and for each successive year the Agreement remains in effect, the Use
Payment would be increased by Four and a Half Percent(4.5%) per year; and
WHEREAS, the requested modifications to the Use Payment are more in line with other
agreements the City currently has in place for the same use in other privately owned
condominiums; and
WHEREAS,the Administration recommends in favor of approving, in substantial form, the
proposed Amendment No.1 to the Agreement, incorporated herein by reference and attached to
the City Commission Memorandum accompanying this Resolution; said Amendment approving
the ten-year renewal term, commencing September 1, 2024 and ending August 31, 2034, and
modifying the Use Payment for such renewal term as negotiated by the parties.
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 hereby approve, in substantial form, Amendment No.1 to the Lease Agreement
dated October 1, 2004 (Agreement), by and between Parkview Point Condominium Association,
Inc. (Lessor) and the City of Miami Beach, Florida (Lessee); said Amendment approving the only
renewal term under the Agreement for a period of ten (10) years, commencing on September 1,
2024 and expiring on August 31, 2034, and modifying the annual Use Payment amount during
the renewal term as negotiated by the parties; and further authorize the Interim City Manager to
execute the Amendment.
PASSED AND ADOPTED this aG day of U 2024.
Steven Meiner, Mayor
ATTEST:
4.A1 JUL — 3 2024
Rafael E. Granado, City Clerk
IHCORP ORATED'
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APPROVED AS TO
FORM &LANGUAGE
R EXECUTION
s/4/ c24-
City Attorney�', Date
, 1
Resolutions -C7 M
MIAMI BEACH
COMMISSION MEMORANDUM ,
TO: Honorable Mayor and Members of the City Commission
FROM: Rickelle Williams, Interim City Manager
DATE: June 26, 2024
TITLE: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH,FLORIDA,APPROVING,IN SUBSTANTIAL FORM,AMENDMENT
NO. 1 TO THE LEASE AGREEMENT DATED OCTOBER 1, 2004 (AGREEMENT),
BY AND BETWEEN PARKVIEW POINT CONDOMINIUM ASSOCIATION, INC.
(LESSOR) AND THE CITY OF MIAMI BEACH, FLORIDA (LESSEE); SAID
AMENDMENT APPROVING THE ONLY RENEWAL TERM UNDER THE
AGREEMENT FOR A PERIOD OF TEN (10) YEARS, COMMENCING ON
SEPTEMBER 1, 2024 AND EXPIRING ON AUGUST 31, 2024, AND MODIFYING
THE ANNUAL USE PAYMENT AMOUNT DURING THE RENEWAL TERM AS
NEGOTIATED BY THE PARTIES; AND FURTHER AUTHORIZING THE CITY
MANAGER TO EXECUTE THE AMENDMENT.
RECOMMENDATION
The Administration recommends that the Mayor and City Commission adopt the Resolution.
BACKGROUND/HISTORY
For several decades, the City has used certain privately-owned condominium towers for the
location and operation of public facilities.
On October 15, 2003, the Mayor and City Commission adopted Resolution No. 2003-25382,
approving a Lease Agreement with Parkview Point Condominium Association, Inc. ("Parkview
Point")for an initial term of twenty(20)years,with one(1)renewal option, upon mutual agreement
of the parties, for a term of ten (10) years. The City and Parkview Point executed the Lease
Agreement, dated October 1, 2004, with an effective date of September 1, 2004 (the
"Agreement"), with the initial term currently set to expire on August 31, 2024.
ANALYSIS
On April 5,2024, Parkview Point notified the City of their desire to modify the annual Use Payment
under the Agreement for the renewal term, attached hereto as Exhibit A. Park View proposed that
for the first year of the renewal term of the Agreement, beginning on September 1, 2024, the
effective Use Payment amount would be thirty-four thousand one hundred and forty dollars
($34,140.00)per year, payable in quarterly payments of$8,535.00, and for each successive year
the Agreement remains in effect.The Use Payment would be increased by four and a half percent
(4.5%) per year.
The requested modifications to the Use Payment are more in line with other agreements the City
currently has in place for the same use in other privately owned condominiums.
FISCAL IMPACT STATEMENT
The fiscal impact is $34,140.00 and has been funded in FY 2024.
Page 484 of 1862
Does this Ordinance require a Business Impact Estimate?
(FOR ORDINANCES ONLY)
The Business Impact Estimate (BIE)was published on . See BIE at:
https://www.miamibeachfl.gov/city-hall/city-clerk/meeting-notices/
FINANCIAL INFORMATION
CONCLUSION
In consideration of the foregoing, the Administration recommends in favor of approving, in
substantial form, the proposed Amendment. No.1 to the Agreement, incorporated herein by
reference,and attached hereby as Exhibit B; said Amendment approving the ten-year renewal
term, commencing September 1, 2024 and ending August 31, 2034, and modifying the Use
Payment for such renewal term as negotiated by the parties.
Applicable Area
North Beach
Is this a "Residents Right to Know" item, Is this item related to a G.O. Bond
pursuant to City Code Section 2-17? Project?
No No
Was this Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481,
includes a principal engaged in lobbying? No
If so, specify the name of lobbyist(s)and principal(s):
Department
Facilities and Fleet Management/ Fire
Sponsor(s)
Co-sponsor(s)
Page 485 of 1862
PHIIKVIEW !? ? !INJ
IV 11 I I NI I
Date: April 5, 2024
Greetings,
•
Parkview Point Condominium Association intents to exercise the renewal option with the City of Miami Beach
for the portion of the roof lease and requests a new financial term for such renewal term to be: starting rent
effective September 1, 2024 at$34,140.00 with annual increases of 4.5%.
Thank you.
On behalf of Parkview Point Board of directors,
Board President- Vuk Dinic
_L-1 az/
Dated
Page 488 of 1862
EXHIBIT B
AMENDMENT NO. 1 TO LEASE AGREEMENT
BETWEEN
THE CITY OF MIAMI BEACH, FLORIDA
AND
PARKVIEW POINT CONDOMINIUM ASSOCIATION, INC
This Amendment No. 1 ("Amendment") to the Lease Agreement, dated October 1, 2004,
by and between Parkview Point Condominium Association, Inc., having its principal office
at 7441 Wayne Avenue, Miami Beach, FL 33141 ("City"or"Lessor"), and the City of Miami
Beach, Florida, a municipal corporation organized and existing under the laws of the State
of Florida, having its principal place of business at 1700 Convention Center Drive, Miami
Beach, Florida 33139 ("Lessee"), is entered into this day of , 2024
(Effective Date):
- RECITALS
, i WHEREAS, pursuant to Resolution No/2003=25382, the.City, as.Lessor, negotiated
arid entered into a Lease Agreement with Lessor;on October-1 2004 (the "Agreement')
for an initial term of twenty (20)years with one (1)additional renewal option for a term of
'ten (10) years;-and -
WHEREAS, the-.Lessor,-and Lessee`are desirous of exercising the first renewal
option and have reached an agreement as to the rent structure during the renewal term,
las more particularly set forth herein; and
_WHEREAS, on'May15, 2024;the Mayor and City Commission adopted Resolution
No. I: ,approving,the only renewal term under the Agreement for
a period of ten (10)years, commencing on September 1, 2024 and expiring on August'31,
2034, and modifying the annual Use Payment under the Agreement for the first year of
the renewal term to $34,140.00, subject to 4.5% annual escalations thereafter.
NOW THEREFORE, in consideration of the mutual promises and conditions
contained herein, and other good and valuable consideration, the sufficiency of which is
hereby acknowledged, Lessor and Lessee hereby agree to amend the Agreement as
follows:
1. ABOVE RECITALS.
The above recitals are true and correct and are incorporated as part of this
Amendment.
2. MODIFICATIONS.
The Agreement is hereby amended (deleted items struck-through and inserted
items underlined)as follows:
Section 3.2 through 3.3 of Article Ill of the Agreement are hereby amended to read
as follows:
Page 489 of 1862
3.2 Beginning with the second year of this Agreement, and for each successive
year that this Agreement shall remain in effect during the initial term, the quarterly Use
Payment for each successive year shall be increased by three 3 percent, 3% or the CPI-
U) ,whichever is less, at commencement of year thereafter.
For the first renewal term of the Agreement, beginning on September 1,2024,the effective
Use Payment shall be Thirty-Four Thousand One Hundred and Forty Dollars($34,140.00),
and for each successive year this Agreement shall remain in effect during the renewal
term, the annual escalation for the Use Payment shall be increased by Four and a Half
Percent (4.5%), as follows:
Year - Term Annual Amount Escalation " Quarterly Amount ,
1 September 1,2024 r$ 34,140.00 4.5% $ 8,535.00
' 2 September 1,2025 $ 35,676.30 4.5% $ 8,919.08
3 September 1,2026 $ 37,281.73 4.5% $ 9,320.43
4 September,l,2027 $ 38,959.41 , 4:5%, $ 9,739.85
5 September.1,2028 $ 40,712.59 4.5%, -- -$-- 10;178.15 -
j 6 September 1,2029 $ , 42,544.65 - 4.5% $ 10,636.16 ' __ _
7 I September`•1,2030 $ 44,459.16 4.5%, $ 11,114.79
. 8 September'1,2031 $ 46,459.82 4.5% , $" 11,614.96.
9 September 1,2032 $ 48,550:51 j 4.5%- $ 12,137.63.
10 September 1,2033 $ 50,735.29' ' 4.5% $. 12,683.82
, 3.3 In additinoU IC alogwiththeOrOe Qyent �nd ] yoter Yril{u, clef
th�Tnreement I essee agrees to nw to 1 essor any applicable sales-tax o an th ,+
;fee or charge Limposed or eviert by any governmental authority Notwithstandingan other
provision in this Agreement to the contrary;' Lessor acknowledges that Lessee is a
•
municipal corporation organized under ther'State of Florida, and.'as such, is exempt'from
'payment..of sales tax in connection'with Ihe Use Payment due under this Agreement:'
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3 RATIFICATION.Except as amended herein, all other terms and conditions of the Agreement shall
remain unchanged and in full force and effect. In the event there is a conflict
between the provisions of this Amendment and the Agreement, the provisions of
this Amendment shall govern.
THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK.
2
Page 490 of 1862
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IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be
executed by their appropriate officials, as of the date first entered above.
FOR LESSEE: CITY OF MIAMI BEACH, FLORIDA
ATTEST:
By:
Rafael E. Granado, City Clerk Rickelle Williams
Interim City Manager
Date
C f 1 t
;FOR LESSOR:, t •i , , PARKVIEW POINT CONDOMINIUM
y - .; ASSOCIATION, INC. r
ti
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1ATTEST: : _
By. 1 s
i Name . - ti Representative
._ :.Print Name Print Name°;`
Date Title
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Page 491 of 1862