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2007-26632 ResoRESOLUTION NO. 2007-26632 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE THE PERPETUAL NON-EXCLUSIVE EASEMENT AGREEMENT BETWEEN THE CITY AND NORTH CARILLON, L.L.C., THE DEVELOPER OF THE CARILLON/CANYON RANCH PROJECT AT 69TH STREET AND COLLINS AVENUE, PROVIDING FOR THE CONVEYANCE TO THE CITY OF AN EASEMENT ON THE SOUTH SIDE OF 69TH STREET FOR PUBLIC RIGHT-OF-WAY PURPOSES, PROVIDING FOR INSTALLATION AND MAINTENANCE OF IMPROVEMENTS THERETO AND IN THE ABUTTING PUBLIC RIGHT-OF-WAY TO THE NORTH FROM COLLINS AVENUE TO THE BEACH, PROVIDING FOR MINIMUM IMPROVEMENTS BY CARILLON TO TOTAL APPROXIMATELY $1.2 MILLION, PROVIDING FOR PAYMENTS TO THE CITY OF $500,000, AND PROVIDING FOR OTHER MATTERS AGREED TO BETWEEN THE PARTIES, THE FORM OF THE AGREEMENT BEING SUBJECT TO FINAL APPROVAL BY THE CITY MANAGER AND CITY ATTORNEY, AND AUTHORIZING THE CITY MANAGER AND CITY ATTORNEY TO TAKE SUCH ACTIONS AS MAY BE NECESSARY TO CARRY OUT THE INTENT HEREOF. WHEREAS, the North Carillon, LLC, ("Grantor") is developing a condominium project known as Carillon/Canyon Ranch to the south of the existing 69th Street right-of- way, which right-of--way has been used exclusively for public pedestrian access between Collins Avenue and the beach; and WHEREAS, Grantor desires to expand the 69th Street right-of--way to add vehicular ingress and egress to and from its condominium project, while maintaining the public's pedestrian access to and from the beach, as well as allowing public vehicular access to the eastern terminus of 69th Street, and for such other purposes as the City (as "Grantee") may permit in its proprietary or regulatory capacity; and WHEREAS, Grantor through this Perpetual Non-Exclusive Easement Agreement ("Agreement") is providing sufficient additional private land ("Easement Property") to expand the 69th Street right-of--way to accommodate the vehicular and pedestrian access and other purposes described above; and WHEREAS, the Agreement provides for the maintenance of above ground improvements by the Grantor, and the maintenance of below ground improvements, except for utilities, by the Grantee, and the utility companies to maintain their own utilities; and WHEREAS, the Agreement provides for an easement to the City and the public for pedestrian and vehicular access over the Easement Property; and WHEREAS, Grantor, as part of the Agreement, acknowledges that it is seeking to reconfigure the 69"' Street public right-of--way from an exclusive pedestrian walkway to the beach into a combined pedestrian and vehicular accessway, and as consideration for the City allowing it to do has agreed to contribute $500,000.00 to the City for use in the North Beach area to enhance pedestrian and/or public gathering areas or experiences, payable in five (5) equal annual installments of $100,000.00 each, plus interest, accrued monthly, with the first of said payments beginning with the earlier of the opening of Canyon Ranch Hotel or July 1, 2008, and each subsequent payment within five days of the anniversary of the first payment; and WHEREAS, in addition, Grantor has agreed to construct the improvements along 69th Street, between Collins Avenue and the City's North Beach Recreational Corridor (beachwalk) subject to the reasonable review and approval of City staff, with such construction at the sole cost and expense of Grantor, which is anticipated to be no less than $1.2 million; and WHEREAS, Grantor also agreed to submit a landscape plan for the sidewalk areas in the Easement Property and the abutting 69`h Street right-of--way to the north, subject to the reasonable review and approval of City Public Works, Planning and Parks staff. No hedge shall be included in the plan on the north side. Grantor agreed to install and maintain in perpetuity the approved landscape plan at its own cost and expense; and WHEREAS, the parties have also agreed that Grantor will assist in the construction of the North Beach Recreational Corridor east of the Carillon/Canyon Ranch project, 69`h St., and the Golden Sands property, which agreement will either be part of the subject Agreement or brought to the Commission by separate agreement; and WHEREAS, the Agreement contains other provisions to which the parties have agreed, subject to City Commission approval. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Clerk are hereby authorized to execute the subject Agreement, subject to further review and approval by the City Manager and City Attorney, and the City Manager and City Attorney are authorized to take such further actions as may be necessary to accomplish the intent hereof. 2 Resolution No. 2007-26632 PASSED and ADOPTED this 5 TEST: CITY CLERK Rpbert Parcher APPROVED AS TO FORM AND LANGUAGE & FOR EXECU ION ~~~11d7 CITY ATTO ~ Date th day of September , 2007. M' Matti Herrera Bower Vice-Mayor T:\AGENDA\2007\sep0507\Regular\69th Street Perpetual Easement Agreement reso rev.doc COMMISSION ITEM SUMMARY Condensed Title: A Resolution authorizing the execution of anon-exclusive easement agreement between the City and North Carillon, L.L.C. to convey to the City an easement for right of way purposes and to provide for the installation and maintenance of improvements to the right of way and a contribution to the City of $500,000. Key Intended Outcome Supported: Ensure well designed quality Capital projects Supporting Data (Surveys, Environmental Scan, etc.): Issue• Shall the easement agreement be approved Item SummaryiKecommenaation: The ROW Agreement before the City Commission is associated with the Carillon/Canyon Ranch Project (the Project),which has been approved utilizing vehicular access directly from the proposed new 69"' Street ROW that is the subject of the ROW Agreement before the City Commission. The Agreement provides the City a 21 foot easement approximately 240 feet in length that would be combined with an existing 21 foot City ROW to form a new 42 foot easement. The new 42 foot easement would serve both to continue the City's public ocean access and to provide vehicular access to the Project. Sidewalk and landscaping would be built on both sides of the new road. New drainage would be provided for the entire ROW. All of the ROW improvements are estimated to cost approximately 1.2 million dollars, which would be paid entirely by the project developer. The Agreement also provides for a contribution of $500,000 to the City and in kind construction services with a value to the City of approximately $400,000.. The contribution is a fair market value discounted for the specific circumstances. The Agreement terms and conditions are consistent with the City's development approval and allows the Project to move forward in compliance with the DRB development order. The Agreement provides for an improved public access to the ocean at no expense to the City now or for the future maintenance of the area. The combination of the 1.2 million dollar investment in easement improvements, the $500,000 contribution and the $400,000 in in-kind contribution -makes this agreement a very beneficial one for the City. As such, approval of the ROW Agreement is recommended. Advisory Board Recommendation: NA Financial Information: Source of Funds: Amount Account OBPI Total Financial Impact Summary: Ci Clerk's Office Le islative Trackin Fred Beckmann, Director of Public Works Si n-Offs: Department Dire for Assistant City Manager City Manager FHB RCM . % ~-~ -- ._ _ m MIAMIBEACH AGENDA ITEM ~ ` L DATE ~ S O m MIAMIBEACH City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov COMMISSION MEMORANDUM TO: Mayor David Dermer and Members of the City Commission FROM: Jorge M. Gonzalez, City Manager DATE: September 5, 2007 SUBJECT: A RESOLUTION AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE THE ATTACHED PERPETUAL NON-EXCLUSIVE EASEMENT AGREEMENT BETWEEN THE CITY AND NORTH CARILLON, L.L.C., THE DEVELOPER OF THE CANYON RANCH PROJECT AT 69T" STREET AND COLLINS AVENUE, PROVIDING FOR THE CONVEYANCE TO THE CITY OF AN EASEMENT ON THE SOUTH SIDE OF 69T" STREET FOR PUBLIC RIGHT-OF-WAY PURPOSES, PROVIDING FOR INSTALLATION AND MAINTENANCE OF IMPROVEMENTS THERETO, AND IN THE ABUTTING PUBLIC RIGHT-OF-WAY TO THE NORTH, FROM COLLINS AVENUE TO THE BEACH, PROVIDING FOR PAYMENTS TO THE CITY AND OTHER MATTERS AGREED BETWEEN THE PARTIES, THE FORM OF THE AGREEMENT BEING SUBJECT TO FINAL APPROVAL BY THE CITY MANAGER AND CITY ATTORNEY, AND AUTHORIZING THE CITY MANAGER AND CITY ATTORNEY TO TAKE SUCH ACTIONS AS MAY BE NECESSARY TO CARRY OUT THE INTENT HEREOF. ADMINISTRATION RECOMMENDATION Adopt the Resolution approving the Right-of-Way (ROW) Agreement with North Carillon L.L.C. BACKGROUND The ROW Agreement before the City Commission is associated with the Carillon/Canyon Ranch Project (the Project). The Project is composed of two (2) separate development projects. To the south, at 6801 Collins Avenue, is the Carillon/Canyon Ranch Project, which was approved by the Design Review Board on May 12,1998. This Project, which is fully permitted and nearing completion, consists of the renovation, alteration and partial demolition of the Carillon Hotel structure and the construction of a 26 story suites hotel and a 42 story condominium tower. To the north, at 6901 Collins Avenue, is the Golden Sands Project, which was approved by the Historic Preservation Board on February 8, 2005. This project, which is being reviewed for Building Permit approval, consists of the partial demolition, restoration and renovation of an existing three (3) story Hotel, and the construction of a new seventeen (17) story multifamily building. Both of these development projects were approved utilizing vehicular access directly from the proposed new 69'h Street ROW that is the subject of the ROW Agreement before the City Commission. Commission Memorandum Carillon Agreement September 5, 2007 Page 2 of 2 The Agreement provides that the project owner grant to the City of Miami Beach a 21 foot easement approximately 240 feet in length that would be combined with an existing 21 foot City ROW to form a new 42 foot easement. The new 42 foot easement would serve both to continue the City's public access and to provide vehicular access to the Project. The current 21 foot City easement is exclusively pedestrian in nature and provides access to the ocean via a concrete sidewalk with some palm trees adjacent. The City easement is not is very good condition. In the new 42 foot easement public access to the ocean would be retained via a new 10 foot wide sidewalk on the north side of the easement, complimented by landscaping, while the Project would be served by two 10 foot traffic lanes to enter and exit the Project. On the south side of the easement there would also be a sidewalk approximately 6 feet in width and complimentary landscaping. New drainage would be provided for the entire ROW. All of the ROW improvements are estimated to cost approximately 1.2 million dollars, which would be paid entirely by the project developer. As part of building the ROW improvements, the project developer will also make a connection to the Cit~r North Beach Recreation Corridor, which is being built on the east side of the Project, from the new 69t street right of turn around end point. In negotiations with the City, in order to expedite the construction of the North Beach Recreation Corridor at the south end of the project, the project developer has agreed to construct the base and paved portion of the North Beach Recreation .Corridor behind the project and the Golden Sands Hotel to the north. The City would need to complete the. balance of the project in this area with landscaping, lighting and other design fixtures. The project developer's agreement allows the City to deduct this portion of the scope of work from the City contract for construction. The estimated value in the City contract is approximately $400,000.. When completed, the ROW improvements will provide a much improved public access to the ocean as well as attractive landscape elements. As part of the Agreement, the project developer is also contributing $500,000 to the City of Miami Beach. The contribution is in consideration of the Projects use and alteration of the City's current exclusively pedestrian ROW. The Project contribution was negotiated with the project developer using a full market value discounted for the limited impact on the City and values for easements versus property purchase. All of the improvements that are above ground will be maintained in perpetuity by the Project. The City would retain responsibility to maintain the underground utilities including water, sewer and storm water. The ROW Agreement incorporates several different remedies to assure that the ROW is properly maintained over time. CONCLUSION The Agreement terms and conditions are consistent with the City's development approval and allows the Project to move forward incompliance with the DRB development order. The Agreement provides for an improved'publicaccess tothe ocean at no expense to the City now or for the future maintenance of the area. The Combination of the 1.2 million dollars being invested in easement improvements, the $500,000 contribution for use of an easement area and an approximate in-kind construction contribution makes this agreement very beneficial to the City. The Agreement facilitates the City construction of the North Beach Recreation corridor and allows a project providing for a significant private investment in the North Beach area to move forward. As such, approval of the ROW Agreement is recommended. JM T:WGENDA\2007\sep050TConsent\Carrillon Agreement MEMO.doc