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98-22713 RESO RESOLUTION NO. 98-22713 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A RELEASE AND SATISFACTION OF THE SUBSIDY AGREEMENT DATED JULY 29, 1992, BETWEEN THE CITY OF MIAMI BEACH AND MORADA VENTURES, INC., CLOUD NINE HOLDINGS, INC., AND POPULAR BANK OF FLORIDA, FOR THE KNICKERBOCKERAP ARTMENTS LOCATED AT 265 COLLINS AVENUE. WHEREAS, on July 29 1992, the City entered into a Subsidy Agreement (Agreement) with Morada Ventures, Inc., and with Popular Bank of Florida for the Knickerbocker Apartments located at 265 Collins Avenue, Miami Beach (Property); and WHEREAS, the Agreement provided that the City would deposit certain funds to make available an interest subsidy to encourage the rehabilitation of the Property, in return for which assistance the Morada agreed to offer a certain number of units at reduced rental rates for a period of years; and WHEREAS, Morada has complied in all material respects with the terms and conditions of the Agreement, and the Amendment thereto, and the required term of years for reduced rental rates has now elapsed; and WHEREAS, Cloud Nine Holdings, Inc. was subsequently added as a party to the Subsidy Agreement by means of an amendment to the Subsidy Agreement dated May 24, 1993, and WHEREAS, the Administration requests that the attached Release and Satisfaction of the Subsidy Agreement be executed by the Mayor and City Clerk. NOW, THEREFORE, BE IT RESOL VED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby authorize the Mayor and City Clerk to execute the attached Release and Satisfaction of Subsidy Agreement, dated July 29, 1992, between the City of Miami Beach and Morada Ventures, Inc., Cloud Nine Holdings, Inc. and Popular Bank of Florida, for the Knickerbocker Apartments located at 265 Collins A venue, Miami Beach, Florida. APPROVED AND ADOPTED THIS 15th DAY OF APRIL 1998. ~A1i MA YOR ATTEST: J4 '66- ft1t~_ ROBERT PARCHER, CITY CLERK f:ICHIRESOIKNICK98. RES APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION ~ ty Attorney . This instrument prepared by: Raul Aguila, First Asst. City Atty. 1700 Convention Center Dr. Miami Beach, FL 33139 RELEASE AND SATISFACTION OF THE SUBSIDY AGREEMENT The CITY OF MIAMI BEACH releases MORADA VENTURES, INC., CLOUD NINE HOLDINGS, INC., and POPULAR BANK OF FLORIDA, their successors and assigns from any and all obligations under the terms of the certain agreement captioned: "SUBSIDY AGREEMENT", dated the 29th day of July, 1992, and recorded on September 14,1992 in the Official Records of Dade County at O.R. 15646, Page 1510, et seq., which instrument affects the following described real property: Lot 16, Block 3, of Ocean Beach Subdivision, according to the plat thereof as recorded in Plat Book 2, Page 38, of the Public Records of Dade County, Florida, also described as the "Knickerbocker Apartments" at 265 Collins Avenue. And satisfies any and all obligations under the terms of such instrument and does hereby direct the Clerk of the Circuit Court, Miami-Dade County, Florida to cancel such instrument of record. IN WITNESS WHEREOF, this instrument has been executed on thi~ day of fJp( ,I , 1998. By: CITY OF ~MJ BEACH N~;n, Mayo, I700 Convention Center Drive Miami ~MavE03AS TO FORM & LANGUAGE & FOR EXECUTION ATTEST: ~6 t faA~ Robert E. Parcher, City Clerk M1~~ ~ STATE OF FLORIDA ) ) SS COUNTY OF MIAMI-DADE) I hereby certify that on this day before me, an officer duly qualified to take acknowledgements, personally appeared NEISEN O. KASDIN, Mayor of the City of Miami Beach, who is personally known to me, and did not take an oath. Witness my hand and official seal thisL day of Apt I I , 1998. ~_~'~-,-'''.,."..,.",..''''~--:'''''''.,,-~ ........ ... ...u. r~;;;,;:7;~,:. .. LISA R. MARTINEZ !,".~. 'If~ ..'::;, MY COMMiSSION # CC 43941'1 t~:.)t1L..~j EXPiRES: February 16. 1999 1:~~;}~:,~~::~."._[lO~~'~ T~1lJ ~ola,! ~ublicUnderwn_t8rs.. '~~.,\",.. ""'''_''_''',..,..''~''''V'~''_'''''''' L~. ;f /11a./f i"~ NO ARY PUBLIC, State of Flori Commission NO C. C Lf 30 /..1 J ? My Commission Expires: .;:2/1 (p /1<J' CH\RESO\KNICK98.RLS CITY OF MIAMI BEACH CITY HAU 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139 http:\'d.~.t1.ua COMMISSION MEMORANDUM NO. ~?.. 'l ~ qa TO: Mayor Neisen O. Kasdin and Members ofthe City Commission Sergio Rodriguez A j t \y'- City Manager j IffU \ DATE: April 15, 1998 FROM: SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A RELEASE AND SATISFACTION OF SUBSIDY AGREEMENT DATED JULY 29, 1992, BETWEEN THE CITY OF MIAMI BEACH AND MORADA VENTURES, INe., CLOUD NINE HOLDINGS, INe. AND POPULAR BANK OF FLORIDA FOR THE KNICKERBOCKER APARTMENTS LOCATED AT 265 COLLINS A VENUE. ADMINISTRA TION RECOMMENDATION Adopt the Resolution. BACKGROUND The Knickerbocker Apartments, at 265 Collins Avenue, containing 19 apartment units, is a successful participant in the City's Multi-family Housing Rehabilitation Program. The City executed a Subsidy Agreement with the owner, Morada Ventures, Inc., and Popular Bank of Florida on July 29, 1992. Under this Agreement $238,939 offederal funds were provided for the rehabilitation of the building. The rehabilitation was completed in November, 1992. The owner complied with the requirements of the Multi-family Housing Rehabilitation Program Guidelines, and made available at least seventy percent (70%) ofthe apartment units, or 14 units, for rent at HUD-specified Fair Market Rents for a period of three (3) years after completion of the rehabilitation, through December 1995. In May 1993, the Subsidy Agreement was amended to permit the addition of Cloud Nine Holdings, Inc. as a co-owner. In July 1993, the term of the Agreement was extended in exchange for pennitting the balance in the subsidy escrow account at that time to be applied to debt service in order to permit the existing mortgage to be refinanced. In exchange for the acceleration of subsidy, the owner agreed to make available a set number of units at HUD-specified rental rates for an additional twenty-four (24) months. This obligation was fulfilled by the owner by December 1997. 42 AGENDA ITEM C 1 E:. DATE -4 -l <; -~ 8 COMMISSION MEMORANDUM PAGE 2 ANALYSIS: The owners have now fully complied with the requirements of the Subsidy Agreement and the Amendment, therefore, they are now requesting that a Release and Satisfaction of Subsidy Agreement be issued by the City. The issuance of such Releases is standard practice under the Multi-family Housing Rehabilitation Program once the participant has complied with the requirements of the Program. A review of City records indicates that there are no City code enforcement liens outstanding, and no unpaid water bills on the property. Property taxes are reported paid through 1998. CONCLUSION: The Administration recommends that the Mayor and City Commission adopt the attached Resolution authorizing the Mayor and City Clerk to execute a Release and Satisfaction of Subsidy Agreement dated July 29, 1992 between the City of Miami Beach and Morada Ventures, Inc., Cloud Nine Holdings, Inc. and Popular Bank of Florida, for the Knickerbocker Apartments located at 265 Collins Avenue. SR/HSM/RM/MDC/CAH T:\AGENDAIAPRI S98\CITYMGRIKNICK98.0K 43