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Home My WebLink About2006-26124 ResoRESOLUTION NO. 2006-26124 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING THE SETTLEMENT OF A CITY LIEN ON REAL PROPERTY LOCATED AT 8435 CRESPI BOULVARD, MIAMI BEACH, FLORIDA, OWNED BY DELVlN .AND CARMEN FRUIT, RESULTING FROM SPECIAL MASTER CASE NO. JB00000666 AND PROVIDING THAT THE LIEN IN THE AMOUNT OF $294,601.22, PLUS INTEREST, BE SETTLED FOR THE AMOUNT OF $19,000.00. WHEREAS, the property located at 8435 Crespi Boulevard is a six unit residential building that has accumulated a lien in the amount of $294,601.22, plus interest, and WHEREAS, the original violation was issued in April 2000 when the property was owned by Burkett-Scholl Properties for work done without an appropriate building permit; and WHEREAS, the property was acquired by Delvin and Carmen Fruit in September 2005; and WHEREAS, a settlement has been structured at an appropriate fine amount for the violation which holds accountable those responsible for the violation; and WHEREAS, the Administration recommends that an amount of $19,000.00 as the settlement to be paid by the former owner ($5,000.00), the real estate attorney ($4,000.00), and the title company ($10,000.00) as a settlement amount for the lien associated with 8435 Crespi Boulevard. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that a settlement for an outstanding City lien at the property located at 8435 Crespi Boulevard, in the amount of $294,601.22 is hereby approved (Special Master Case No. JB00000666/Building Violation No. BV00000769, Recorded on May 30, 2001 at Book 19690, Page 835) and is reduced to $19,000.00 in full settlement of this lien;~and further that the City Manager shall be authorized to execute any and all necessa~--vl dot'ants to complete such lien releases and settlement subject to the approval of/the/iS/l:~i~ Master.' " ,,j PASSED and ADOPTED this 8th day of/' Fei~,f~a/~:)/~ , 2006. · ~.,~ ~~(~,/~ ~Dermer ATTEST: City Clerk Robert Parcher F:\cmgr~$ALL~3OB\fruitlienmiti8435crespiblvdreso.doc A?PRO¥'ED AS TO FORM & LANGUAGE & FOR EXEC Condensed Title: COMMISSION ITEM SUMMARY A Resolution approving the settlement of a City lien on real property located at 8435 Crespi Boulevard owned by Delvin and Carmen Fruit, resulting from Special Master Case No. JB00000666 in the ' amount of $294,601.22 be settled for $19,000.00. Key Intended Outcome Supported: IIncrease resident satisfaction with the level of Code Enforcement. Issue: Shall the City Commission approve the settlement of a City lien on real property owned by Delvin and I Carmen Fruit? Item Summary/Recommendation' The property at 8435 Crespi Boulevard is a six unit residential building that has accumulated a lien in the amount of $294,601.22. The original violation was issued in April 2000 for work to rebuild a dock and to replace a kitchen cabinet in one of the units without an appropriate building permit. Compliance for the outstanding violation was achieved in October 2005 by the current owner, Mr. & Mrs. Delvin Fruit. At the time of the violation, the property was owned by Burkett-Scholl Properties II. The property was acquired by the Fruits in September 2005. At the time of closing, the Fruit's were informed of the outstanding lien on the property and they received from their real estate representatives what we believe to be less than helpful advice on how to address the lien and closed on the property without making proper arrangements to satisfy the lien or place funds in escrow to address the lien after the closing. The current owner's circumstances are unfortunate and the current owner is not the cause of the lien associated with the property. As the violation on the property was not severe, the settlement has been structured at an appropriate fine amount that will hold accountable those most responsible. A total of $19,000.00 is recommended as the settlement amount for this lien which is consistent with amounts that have been received for other lien settlements for similar types of violations. The $19,000.00 is a combination of contributions from the former owner ($5,000.00), the real estate attorney ($4,000.00), and the title company ($10,000.00). The structure of this settlement places the financial responsibility on those most responsible for the violation and lien. Advisory Board Recommendation: I N/A I Financial Information: Financial Impact Summary: City Clerk's Office Legislative Tracking' IRobert C. Middaugh ~n-Offs: F:\cmgr~$ALL\BOB\fruitlienmiti8435crespiblvdsumm.doc M!AMIBEACH AGENDA ITEM DATE MIAMIBEACH City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, ww~v.miamibeachfl.gov COMMISSION MEMORANDUM TO: FROM: DATE: SUBJECT: Mayor David Dermer and Members of the City Commission Jorge M. Gonzalez, City Manage~ February 8, 2006 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING THE SE'n'LEMENT OF A CITY LIEN ON REAL PROPERTY LOCATED AT 8435 CRESPI BOULEVARD, MIAMI BEACH, FLORIDA, OWNED BY DELVlN AND CARMEN FRUIT, RESULTING FROM SPECIAL MASTER CASE NO. JB00000666 AND PROVIDING THAT THE LIEN IN THE AMOUNT OF $294,601.22 PLUS INTEREST BE SETTLED FOR THE AMOUNT OF $19,000.00. ADMINISTRATION RECOMMENDATION Adopt the Resolution. ANALYSIS The property at 8435 Crespi Boulevard is a six unit residential building that has accumulated a lien in the amount of $294,601.22. The original violation was issued in April 2000 for work to rebuild a dock and to replace a kitchen cabinet in one of the units without an appropriate building permit. Compliance for the outstanding violation was achieved in October 2005 by the current owner, Mr. and Mrs. Delvin Fruit. At the time of the violation, the property was owned by Burkett-Scholl Properties II. The property was acquired by Mr. and Mrs. Fruit in September 2005. At the time of the closing, Mr. Fruit's real estate representatives were informed of the outstanding lien on the property. Mr. and Mrs. Fruit received what we believe to be less than helpful advice on how to address the lien and closed on the property without making proper arrangements to satisfy the lien or place funds in escrow to address the lien after the closing. Mr. & Mrs. Fruit are not experienced real estate purchasers and developers and found that they were legally placed in a position that had they not closed on the property, they would have suffered a substantial loss and the property would have reverted to the seller. The current owner's circumstances are unfortunate and the current owner is not the cause of the lien associated with the property. As the violation on the property was not severe, a settlement has been structured at an appropriate fine amount that will hold accountable those most responsible. A total of $19,000.00 is recommended as the settlement amount for this lien which is consistent with amounts that have been received for other lien settlements for similar types of violations. The $19,000.00 is a combination of contributions from the former owner ($5,000.00) the real estate attorney ($4,000.00) and the title company ($10,000.00). The structure of this settlement places the financial responsibility on those most responsible for the violation and lien and as indicated is consistent with other settlement amounts for work without a permit of this nature. The settlement also allows the Fruits to proceed with the redevelopment of the property and complete necessary renova~ JM~\sam F:\cmgr~$~d..L\BOB\fruitlienmiti8435CrespiBIvdcomrn.doc SETTLEMENT AND RELEASE OF LIEN(S) AUTHORIZATION PROPERTY ADDRESS: PROPERTY OWNER: CASE NUMBER(S): NATURE OF LIEN(S): LIEN AMOUNT(S): LEGAL DESCRIPTION: LIEN RECORD BK/PG: 8435 Crespi Boulevard, Miami Beach, Florida Delvin and Carmen Fruit Special Master Case #JB00000666 Building Violation $294,601.22 2-3 53 42 BISCAYNE BEACH SUB, PB 44-67, LOT 1, BLK 9, Lot Size 55.000 X 115 Book 19690, Page 835 Pursuant to the authority vested in the City Charter to enter into Settlement Agreements for liens against property filed by the City of Miami Beach, this Settlement Agreement is entered into with Delvin and Carmen Fruit, the property owner at 8435 Crespi Boulevard, Miami Beach, Florida, to settle and provide for the release of the lien(s) as indicated herein. The City Clerk of the City of Miami Beach is hereby directed and authorized to release the above referenced lien(s) imposed upon the real property at 8435 Crespi Boulevard, Miami Beach, Florida, pursuant to conditions herein and as described herein. Condition(s) of Settlement: This lien in the amount of $294,601.22 is settled in consideration of receipt of $19,000.00 receipt of which is hereby acknowledged. The property owner warrants that subject property is in compliance with City Codes. The Settlement and Release of Lien(s) referenced herein in subject to the approval of the Special Master. /jorge,'i~l. Gonzalez City M~anager Date Robert C. M~ddaugh //~ Assistant City Manage~/ AGREEMENT TO SETTLEMENT AND RELEASE AUTHORIZATION I have read this SETTLEMENT AND RELEASE OF LIEN(S) AUTHORIZATION, regarding 8435 Crespi Boulevard, Miami Beach, Florida, Special Master Case Number JB00000666 and lien amount of $294,601.22 and I understand and agree to its terms and have executed same for its purposes herein stated. 'Delvin and Ca'eh Fruit, Property Owners STATE OF FLORIDA COUNTY OF MIAMI-DADE ) ) ss ) ~.~LoThe foregoing in_.stmment_lxr,v~n ~ was~.~.o,_v..ac ow edged before me this ~ day of £9/ , 2006, by ' "c~~c~'~tx~'r,O~'k , who has proud her/his driver's l[cense as identification and who did/did not take an oath. MY COMMIS,~. ,~~~S: ~ ~ · ~nn 353671 F:Xcm~ALL~OBXh~respiBlvd~it.d~ PRINT NAME: 3:" ~0 = 0 nO