2000-23984 RESO
RESOLUTION NO.
2000-23984
A RESOLUTION OF THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA,
AUTHORIZING THE ADMINISTRATION TO INITIATE
NEGOTIATIONS TO EXTEND THE CURRENT LEASE
AGREEMENT WITH THE CONCERT ASSOCIATION OF
FLORIDA UNTIL SUCH TIME AS A REQUEST FOR
PROPOSALS IS FINALIZED, ISSUED, AND AWARDED FOR
THE FUTURE MANAGEMENT AND OPERATION OF THE
COLONY THEATRE, LOCATED AT 1040 LINCOLN ROAD,
MIAMI BEACH, FLORIDA
WHEREAS, on July 27, 1988, the Mayor and City Commission adopted Resolution
No. 88-19309, approving a Lease Agreement between the City and the Concert Association of
Greater Miami, Inc. (subsequently renamed the Concert Association of Florida, Inc.), for the use of
the Colony Theater, located at 1040 Lincoln Road, which term oflease was to expire on August 31,
1994; and
WHEREAS, on December 15, 1993, the Mayor and City Commission adopted Resolution
No. 93-20990, approving the execution of a new Lease Agreement with the Concert Association,
which term of lease was to expire on August 31, 1997; and
WHEREAS, on July 16, 1997, the Mayor and City Commission adopted Resolution
No. 97-22464, approving an amendment to the aforestated December 15, 1993, Lease Agreement,
extending its term for one three (3) year period terminating on August 31, 2000; and
WHEREAS, the Colony Theater is slated to undergo a substantial renovation and it is
anticipated that completion of the construction would not occur by the August 31, 2000, date; and
WHEREAS, a Request for Proposals (RFP) is being prepared for the future management
and operation of the Colony Theatre and said RFP has yet to be completed; and
WHEREAS, on May 5, 2000, the Cultural Arts Council approved a motion recommending
to the City Administration that the current Lease Agreement for the Colony Theatre be extended until
the issuance and award of the RFP and subsequent contract authorization; and
WHEREAS, the Administration has concluded that it is in the City's best interest to extend
the current Lease Agreement with the Concert Association until such time as a Request for Proposals
is finalized, issued, and awarded for the future management and operation of the Colony Theatre.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission hereby authorize the Administration to initiate negotiations to extend the current lease
agreement with the Concert Association of Florida until such time as a Request for Proposals is
finalized, issued, and awarded for the future management and operation of the Colony Theatre,
located at 1040 Lincoln Road, Miami Beach, Florida.
PASSED and ADOPTED this 12th day ofJuly, 2000.
ATTEST:
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CITY CLERK
1~MAYOR
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APPROVED ~, T,:)
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CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
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COMMISSION MEMORANDUM NO.
S'2.I.{.--OQ
TO:
Mayor Neisen Kasdin and DATE: July 12, 2000
Members of the City Commission
Lawren:a~;e!} ~
CitYMa~
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE
CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE
ADMINISTRATION TO INITIATE NEGOTIATIONS TO EXTEND THE
CURRENT LEASE AGREEMENT WITH THE CONCERT ASSOCIATION
OF FLORIDA UNTIL SUCH TIME AS A REQUEST FOR PROPOSALS IS
FINALIZED, ISSUED, AND AWARDED FOR THE FUTURE
MANAGEMENT AND OPERATION OF THE COLONY THEATRE,
LOCATED AT 1040 LINCOLN ROAD, MIAMI BEACH, FLORIDA
FROM:
SUBJECT:
ADMINISTRATION RECOMMENDATION:
Adopt the Resolution.
ANALYSIS:
On July 27,1988, the Mayor and City Commission adopted Resolution No. 88-19309 approving a
Lease Agreement between the Concert Association of Greater Miami, Inc. (subsequently renamed
the Concert Association of Florida, Inc.) and the City of Miami Beach, for the use of the Colony
Theatre. Said Lease Agreement was to expire on August 31, 1994.
On December 15, 1993, the Mayor and City Commission waived the provisions of Ordinance
No. 92-2783, which require public bidding and an independent appraisal, and adopted Resolution
No. 93-20990, approving the execution of a new Lease Agreement, with the Concert Association
of Greater Miami, Inc. Said Lease Agreement was to expire on August 31, 1997. In accordance.
with the terms of the Lease Agreement, the City would provide an operating subsidy to the Concert
Association of $70,000 in 1995, $65,000 in 1996, and $60,000 in 1997. Additionally, the City
would be responsible for the maintenance of the facility.
On July 16, 1997, the Mayor and City Commission adopted Resolution No. 97-22464, approving
an amendment to the Lease Agreement extending its term for one (1) three year period which
commenced September 1, 1997 and expires on August 31, 2000. The City has provided an operating
subsidy to the Concert Association of $55,000 in 1998, $50,000 in 1999, and will be providing
$45,000 in 2000.
AGENDA ITEM C 1 C
DATE 1-)2-CD
In light of the fact that the Lease will expire in August of this year, the matter was referred to the
Cultural Arts Council along with a copy of a draft of a Request for Proposals, for their review and
to seek their recommendations. The Administration met with the Cultural Arts Council on February
18, March 3, May 5 and July 7, 2000. Additionally, a workshop was held with the theater users on
April 26, 2000, to seek their input and comments relative to the theater operators and the draft RFP.
It must also be noted that the Colony Theatre is slated to undergo substantial renovations which are
scheduled to begin during the summer of 2001. Said renovations are to be conducted in two phases.
The initial phase ofthe project calls for expanding the back stage and loading areas and bringing the
facility into compliance with American with Disabilities Act (ADA) requirements. The second
phase of the project calls for erecting a sound-proof barrier between the lobby and audience areas
and restoring the lobby, box office and exterior facade of the facility. It is estimated that
construction will last approximately five (5) to six (6) months. One ofthe issues the Council was
asked to address was whether the lease with the existing operator should be extended during the
construction period or whether the RFP should be issued and a new contract awarded, so that the
new operator has the opportunity to oversee the construction, since it would have a more direct
impact on its future operations. On May 5, 2000, the Council approved a motion recommending to
the City Administration that the current Lease Agreement for the Colony Theatre be extended until
the issuance and award of the RFP and subsequent contract authorization. Additionally, the Council
requested the Colony's financial data be examined; and said matter will be discussed at their meeting
scheduled on Friday, July 7, 2000.
The proposed lease extension will not affect the existing sublease for the cafe adjacent to the theater
which was authorized and approved by the City Commission on October 19, 1999, for an initial
period of six (6) years, a term which extends well beyond the Concert Association's remaining Lease
term. Said sublease includes a non-disturbance and attomment clause which requires that any
subsequent lease would be subject to the existing cafe sublease. The proposed RFP will require that
the successful proposer retain Colony Cafe, Inc. as the cafe operator, in accordance with the terms
the existing sublease. The cafe opened for business in June 2000.
CONCLUSION
The resurgence of the City's artistic community, and the national and international exposure we
have received in the past several years, provides an opportunity to attract a wider range of entities
with interest in the management of this facility. In light of the upcoming construction schedule and
additional recommendations being sought from the Miami Beach Cultural Arts Council, the
Administration deems it is in the City's best interest to negotiate an extension to the existing lease
agreement with the Concert Association until such time as the RFP process is finalized and awarded
for the mana~ent and operation ofthe Colony Theatre.
LAL:citfc::JD:rd
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