C4B-Ref- FCWPC - Purchase Air Rights For 6940 Abbott Ave For Future Parking GarE MIAMIBEACH
Clty ol Mloml Beoch. 1700 Convention Center Drive, Miomi Beoch, Florido 33139, www.miomibeochfl.gov
COMMISSION MEMORANDUM
TO: Mayor Philip Levine and Members
FROM: Jimmy L. Morales, City Manager
DATE: September10,2014
i,
SUBJECT: REFERRAL TO THE FINANCE UAND CITYWIDE PROJECTS COMMITTEE A
DISCUSSION REGARDING POTENTIAL PURCHASE OF AIR RIGHTS FOR 6940
ABBOTT AVENUE FROM AT&T FOR FUTURE DEVELOPMENT OF A PARKING
GARAGE IN THE NORTH BEACH TOWN CENTER.
BACKGROUND AND ANALYSIS
On December 10, 2008, the Mayor and City Commission adopted Resolution No. 2008-26960
approving the scope and authorizing the issuance of a Request for Letters of lnterest (RFLI) for
the development of public parking to serve two neighborhoods in North Beach, said areas
generally defined as the North Beach Town Center from 69 to 72 Street between Collins
Avenue and lndian Creek Drive/Dickens Avenue, and the Collins Avenue Commercial District
between 63 and 69 Street.
The Finance and Citywide Projects Committee, at its November 18, 2008 meeting, authorized
the Administration to once again approach City National Bank to explore a joint development
agreement or a land swap for one of the preferred parking garage sites identified in the North
Beach Town Center Plan (adopted July, 2007). ln addition, the Committee recommended that
the Administration should issue a Request for Letters of lnterest to identify alternative sites
and/or developers who may be interested in the construction of a parking garage project in the
area bounded by 72 Street, Collins Avenue, 63 Street and lndian Creek Drive/Dickens Avenue.
The Administration subsequently held numerous discussions with representatives from City
National Bank and the real estate broker who represents the bank. The talks ended because
City National was engaged in developing numerous new branch bank locations in new market
areas and were not ready to consider development proposals for the 71 Street properties.
BACKGROUND
On July 11, 2007, Mayor and City Commission adopted Resolution No. 2007-26600, adopting
the North Beach Town Center Plan as the official Neighborhood Plan for the area bounded by
73'd Street, the Atlantic Ocean, 69th Street and lndian Creek; and authorizing the Administration
to prepare draft legislation and capital improvement projects, as appropriate, to promote
implementation of the Plan. This was the culmination of a lengthy planning process that
included the following steps:
The concept for encouraging development of a "Town Cente/' for North Beach originated in a
three-day charrette in July 2001, which included visioning sessions for the 71 Street commercial
corridor and the 72no Street parking lot. The residents' priorities for a successful Town Center
included a variety of cultural activities, outdoor gathering places and expanded retail offerings.
Agenda ltem C{B
oate ?-Oy'l43
Commission Memorandum
September 10,2014
Finance and Citywide Projects Committee Referral - 6940 Abbott Avenue
Page 2 of 4
ln a follow-up workshop in December 2003, participants strongly supported the idea of providing
parking as an incentive to attract development to the Town Center.
The City of Miami Beach Parking Study, completed by Walker Parking Associates, lnc. in 2004,
identified a demand for up to 964 for additional parking spaces by 2008 and 1,312 spaces by
2013 in the North Beach Town Center area, and confirmed the feasibility of a city-owned
parking structure on one of several alternative sites in the Town Center area. The highest
ranking sites each included land owned by the City and land owned by City National Bank.
Subsequently, the Administration and the consultant conducted further analysis of potential sites
for a parking garage and added a site located at 6600 Collins Avenue, which is outside of the
Town Center. lt is important to note that the City has retained Walking Parking Associates
again to update the 2004 parking study and the City anticipates having the updated data in time
for the Committee discussion.
On June 8, 2005, the Mayor and City Commission accepted the report of the Finance and
Citywide Projects Commission Committee concerning the Parking System Proposed Capital
Budget, instructing the Administration to hold discussions with City National Bank to swap land
for a parking structure in the North Beach Town Center. The Administration held several
meetings with representatives from City National Bank, who expressed some limited interest in
the project, but negotiations stalled.
The Planning Department presented the 2007 update of the North Beach Town Center Plan at a
community workshop on April 25, 2007 , attended by nearly 100 persons. On May 22,2007, the
Planning Board held a public hearing and unanimously adopted a resolution recommending to
the Mayor and City Commission that they adopt the North Beach Town Center Plan as the
official Neighborhood Plan for the area bounded by 73'd Street, the Atlantic Ocean, 69th Street
and lndian Creek; and that they authorize the Administration to prepare draft legislation and
capital improvement projects as appropriate to promote implementation of the Plan.
On June 11,2007, the Land Use and Development Committee held a public discussion of the
North Beach Town Center Plan and voted 2-0 to recommend the Plan to the full Commission,
with the understanding that any amendments to the Land Development Regulations will be
reviewed by the Committee and the Commission prior to referral to the Planning Board. The
Committee stipulated that proposed amendments to the parking regulations, intended to provide
incentives for new private sector development in the Town Center, should be contingent on
construction of sufficient public parking.
Again in 2010, the City issued an RFLI seeking letters of interest for a mixed-use project with
parking, retail and office space that would act as a catalyst for further redevelopment in North
Beach. The City received eleven (11) responses to the RFLI and several were specifically for
Town Center, but chose not to proceed with the RFLI.
ANALYSIS
As previously stated, the 2004 Walker Parking study identified a demand for up to 964
additional parking spaces by2008 and 1,312 spaces by 2013 in the North Beach Town Center
area. Again, the Walker Parking Study is currently being updated, but it will be important for the
City to seek opportunities to construct significant parking structures in this area. The best
opportunities for such construction will be for the City to partner with property owners adjacent
to existing City parking lots. Such partnership would provide sufficient space for parking
We ore committed to providing excellent public service ond sofety to oll who live, work, ond ploy in our vibronf , tropicol, historic communtfy'.
44
Commission Memorandum
September 10,2014
Finance and Citywide Projecb Committee Referral - 69t10 Abbott Avenue
Page 3 of 4
structures given the area needs of such facilities and will allow retail or other activation of the
ground floor. Such retail activation will insure an unobstructed visual experience for pedestrians
and passing motorists.
The highest likelihood for a partnership would be in the Town Center/71't Street Corridor area.
The potential is high here as City National Bank owns a number of developable/redevelopable
lots in this area, many of which are adjacent to existing city surface parking lots. lf and when
these lots are sold, the buyer(s) will want to maximize the development potential of each lot. lf
they can partner with the City to provide parking for their projects in a new parking structure
rather than on-site, and if the City can realize a net gain in public parking spaces after
accounting for additional need due to the new development, such partnerships will make sense
and will most likely come to fruition.
The City was recently approached by a representative of AT&T regarding their interest in selling
the air rights to the property they own located at 6940 Abbot Avenue and staff has had
preliminary discussions. AT&T has expressed an interest in working with the City to use/re-use
of the subject property. Attached is a property detail report from the Property Appraiser's
website. The lot size is approximately 25,000 square feet with a listed market value of
$1,993,002, however an appraisal would need to be procured if directed to proceed with
negotiations. This property is located between Abbott Avenue and Byron Avenue south of City
Lot P-80 (lot adjacent to Prima Pasta) and City National Bank also owns seven (7) parcels
adjacent to this property.
lf the City were to proceed with AT&T, the following is a list of general requirements, subject to
AT&T approval and prior to any negotiation between the City and AT&T:
. 11,000 sq. ft. of office space containing bathrooms, lounge area, and inside storage.. t500 sq. ft. of outside storage.. Secured perimeter with a fence height of no less than 6' - 0".. 50 parking spaces (10' x 20').. lngress and egress from Abbott Avenue and Byron Avenue; likely to maintain one-way in
and one-way out of the site as presently used.. Clear height above drive areas to be a minimum of 13'- 10" to permit company vehicles
of various types.. Z4-hour access for deliveries to the facility by outside vendors having AT&T security
access.. lce machine and water for the technicians.. Approved location for an above ground concrete pad mounted small Nitrogen tank. AT&T's future use cannot be changed, modified, curtailed, or hindered in any way to that
which exists now.. AT&T's Service Operations Center (SOC) operation would have to be moved to a
Temporary Location owned or controlled by the City of Miami Beach in close proximity to
the Subject property in order to continue uninterrupted service to its customers.. A Term sheet would need to include language detailing the construction schedule (Time-
ln/Time Out), conditions of the use of the Temporary Location, and
restoration/construction of the SOC improvements to their original and/or agreed to
condition before construction activities commenced.. The value of AT&T's property/air rights and sale price to the City would be established
by MAI appraisal(s) as established and agreed to between the parties.
We ore commiffed to providing excellent public service ond sofety to oll who live, work, ond ploy in our vibront, tropicol, historic community.
45
Commission Memorandum
September 10,2014
Finance and Citywide Projects Committee Referral - 6940 Abbott Avenue
Page 1 of 4
. The City of Miami Beach would be responsible for the cost of legal, hearings, variances,
permits, surveys, and construction costs, related to the City's new project and costs to
restore the SOC.. AT&T would have to approve the use contemplated by the City above the SOC.. Finally, AT&T would need to have a separate folio # and separate tax bill for the
unencumbered ground floor area with little to no maintenance responsibilities for the
construction contemplated above the SOC.
CONGLUSION
The Administration is seeking direction from the City Commission before proceeding with
negotiations with AT&T and, therefore, recommends referral of this item to the Finance and
Citywiflfrojects Committee for discussion and input.
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We ore commilted to providing excellent public sewice ond sofety to oll who live, work, ond play in our vibront, tropicol, historic community
46
Property Search Application - Miami-Dade County Page 1 of5
ffi oFFlcE oFTHE PRoPEHTYAPPHAISER
Detailed Report
Property Information
Folio:02-321'1-001-0590
Property Address:6940 ABBOTT AVE
Owner SOUTHERN BELL TEL & TEL CO
TAxADM oFFrcE /ntlr
Mailing Address PO BOX7207
BEDMINSTER , NJ 07921
Primary Zone 39OO MULTI.FAMILY - 38-62 U/A
Primary Land Use 9163 UTILITY : UTILITY
Beds/Baths/Half 0t0t0
Floors
Living Units 0
Actual Area Sq.Ft
Living Area Sq.Ft
Adjusted Area 1,733 Sq.Ft
Lot Size 25,000 Sq.Ft
Year Built 1967
Assessment lnformation
Year 2014 2013 2012
Land Value $1,875,000 $1,212,500 $1 ,125,000
Building Value $74,184 $75,508 $87,405
XF Value $43,818 $44,597 _ _17,018
Market Value $1,993,002 $1,332,605 $1,269.453
Assessed Value $1,465,865 $1,332,605 $1,269,453
Benefits lnformation
Benefit Type 2014 2013 2012
Non-Homestead Cap Assessment Reduction $527,137
Note: Not all benefits are applicable to all Taxable Values (i.e. County,
School Board, City, Regional).
The Office of the Property Appraiser is continually editing and updating the tax roll. This website may not reflect the most current information on re@rd. The property
Appraiser and Miami-Dade County assumes no liability, see full disclaimer and User Agreement at http://www.miamidade.oov/info/disclaimer.aso
Version:
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Property lnformation
F olio; 02-321 1 -00 1 -0590
Property Address: 6940 ABBOTT AVE
Roll Year 2014 Land, Building and Extra-Feature Details
Land lnformation
Land Use Muni Zone PA Zone Unit Type Units Calc Value
GENERAL RM-1 3900 Square Ft.25,000.00 $'1,875,000
Building lnformation
Building Number Sub Area Year Built Actual Sq.Ft.Living Sq.Ft.Adj Sq.Ft.Calc Value
1 1 't967 1,733 $74,184
Extra Features
Description Year Built Units Calc Value
Chain-link Fence 6-7 ft high 1973 50 $341
Paving - Asphalt 1 968 12,500 $'10,688
Concrete Louver Fence 1 968 350 $1,197
Cent A/C - Comm (Aprox 300 sqfl/Ton)1967 7.5 $6,300
Concrete Louver Fence 1 967 675 $2,268
Concrete Louver Fence 1 967 1,720 $5,779
Paving - Asphalt 1967 20,530 $17,245
The Office of the Property Appraiser is continually editing and updating the tax roll. This website may not reflect the most current information on record. The Property
Appraiser and Miami-Dade County assumes no liability, see full disclaimer and User Agreement at htto://www.miamidade.oov/info/disclaimer.aso
Version:
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Propefi lnformation
Folio: 02-321 1 -001 -0590
Propefi Address: 6940 ABBOTT AVE
Roll Year 2013 Land, Building and Extra-Feature Details
Land !nformation
Land Use Muni Zone PA Zone Unit Type Units Calc Value
GENERAL RM-1 3900 Square Ft.25,000.00 $1.875.000
Building !nformation
Building Number Sub Area Year Built Actual Sq.Ft.Living Sq.Ft.AdjSq.Ft.Calc Value
1 1 1967 1,733 $75,508
Extra Features
Description Year Built Units Calc Value
Chain-link Fence 6-7 ft high 1973 5C $341
Paving - Asphalt 1 968 12,50C $10,688
Concrete Louver Fence 1 968 35C $1,197
Cent A/C - Comm (Aprox 300 sqll/Ton)1 967 7.4 $6,300
Concrete Louver Fence 1 967 678 $2,268
Concrete Louver Fence 1 967 1,72C $5,779
Paving - Asphalt 1 967 20,530 $17,245
The Office of the Property Appraiser is mntinually editing and updating the tax roll. This website may not reflect the most current information on record. The Property
Appraiser and Miami-Dade County assumes no liability, see full disclaimer and User Agreement at htto:/ ,vww.miamidade.oov/info/disclaimer.asp
Version:
http : //www. miamidade. gov/propertysearch/08128120t449
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Property lnformation
Folio: 02-321 1 -001 -0590
Property Address: 6940ABBOTTAVE
Roll Year 2012 Land, Building and Extra-Feature Details
Land lnformation
Land Use Muni Zone PA Zone Unit Type Units Calc Value
GENERAL RM-1 3900 Square Ft.25,000.00 $1,875,000
Building lnformation
Building Number Sub Area Year Built Actual Sq.Ft Living Sq.Ft.AdjSq.Ft.Calc Value
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1 1 967 1,733 $87,405
Extra Features
Description Year Built Units Calc Value
Chain-link Fence 6-7 ft high 1 973 50 $435
Paving - Asphalt 1 968 12,500 $13,875
Concrete Louver Fence 1 968 350 $1,554
Concrete Louver Fence 1 967 675 $2,957
Concrete Louver Fence 1 967 1,720 $7,534
Cent A/C - Comm (Aprox 300 sqfl:/Ton)1 967 7.5 $8,213
Paving - Asphalt 1 967 20,530 $22,480
The Office of the Property Appraiser is continually editing and updating the tax roll. This website may not reflect the most current information on record. The Property
Appraiser and Miami-Dade County assumes no liability, see full disclaimer and User Agreement at htto:/
^/ww.miamidade.oov/info/disclaimer.asp
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Full LegalDescription
ATLANTIC HGTS PB 9-14
LOTS 1-2-1 1 & 12 BLK H
LOT S|ZE 200.000 X 125
The Office of the Prope(y Appraiser is continually editing and updating the tax roll. This website may not reflect the most current information on re@rd. The Property
Appraiser and Miami-Dade County assumes no liability, see full disclaimer and User Agreement at http:/ /vww.miamidade.oov/info/disclaimer.aso
Version:
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