Loading...
Item H2 BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: June 17,2009 Division: Growth Management Bulk Item: Yes -X- No - Department: Staff Contact PersonlPhone #: Susan Grimsley Ext. #2524 AGENDA ITEM WORDING: Approval of First Amendment to the Ground Lease Agreement between Monroe County Board of County Commissioners and Islander Village, LLC to extend the time for the completion of the construction of the Affordable Housing Units by 18 months. ITEM BACKGROUND: Building permits were issued for Phase 1 (31 of 89 units) on August 10,2007. Phase 1 is complete. Of the 89 units to be built, 43 are completed and 33 are occupied. All common area improvements are finished, including electricity, area-way lighting, water and sewer and lift station for all 89 units. The lenders need assurance that the project will not be declared in default. The extension is necessary for the completion of the project. There are 8 closings pending through the end of June. The pending closings include SHIP financing. The SHIP fmancing will expire if not used by the end of June. In addition, this provides a date certain for substantial completion, instead of using a date which is 22 months from issuing a portion of the building permits. PREVIOUS RELEVANT BOCC ACTION: July 2006 BOCC approved Sale and Purchase Agreement of property on Stock Island for the purpose of constructing 89 units of affordable/employee housing. April 2007 BOCC approved 99- Year Ground Lease with Islander Village LLC. July 2007 BOCC approved Resolution 273-2006 reserving 89 affordable dwelling unit allocations for this project. June 2008 BOCC approved Commencement Date Agreement pursuant to the 99- Year Ground Lease establishing the commencement date of the lease as May 29,2008. April 18, 2007, Lessor & Lessee entered into a 99-year Ground Lease Agreement. CONTRACT/AGREEMENT CHANGES: Extension of 18 months for the completion of construction - December 16, 2010. STAFF RECOMMENDATIONS: Approval TOTAL COST: INDIRECT COST: BUDGETED: Yes _No - COST TO COUNTY: n/a SOURCE OF FUNDS: REVENUE PRODUCING: Yes - No AMOUNT PER MONTH_ Year - APPROVED BY: County Atty -L OMB/Purchasing _ Risk Management _ DOCUMENTATION: Included x Not Required_ DISPOSITION: AGENDA ITEM # PREPARED BY AND RETURN TO: ERICA N. HUGHES-STERLING, ESQ. SPOTTSWOOD, SPOTTSWOOD AND SPOlTSWOOD 500 FLEMING STREET KEY WEST, FL 33040 FIRST AMENDMENT TO GROUND LEASE AGREEMENT THIS FIRST AMENDMENT TO GROUND LEASE AGREEMENT, dated this - day of ,2009, by and between MONROE COUNTY, a political subdivision of the State of Florida (hereinafter referred to as "Lessor"), and ISLANDER VILLAGE, LLC, a Florida limited liability company (hereinafter referred to as "Lessee"): WITNESSETH WHEREAS, Lessor and Lessee entered into that certain 99-year Ground Lease Agreement dated the 18th day of April 2007, for the property more particularly described therein (hereinafter "Property") for the construction and development of eighty-nine (89) affordable housing units (the "Affordable Housing Units"), said Lease being recorded in Monroe County Public Records at OR Book 2301, Page 365 (hereinafter "Lease"); and WHEREAS, the parties entered into a Connnencement Date Agreement dated the 18th day of June, 2008, confinning various dates relating to the Lease, recorded in the Monroe County Public Records at OR Book 2368, at Page 596; and WHEREAS, the parties desire to enter into this First Amendment to Ground Lease Agreement (hereinafter "Agreement") to extend the time for the completion of the construction of the Affordable Housing Units. NOW, THEREFORE, in consideration of mutual covenants and obligations contained herein, and other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the undersigned parties agree as follows: 1. The recitals contained herein are true and correct and incorporated herein by reference. 2. The Lease is presently valid and in full force and effect. 3. All conditions under the Lease to be performed by the Lessee thereunder have been satisfied and there has not been a default claimed by Lessor and, as ofthe date hereof, there are no existing defenses which Lessor has against enforcement of the Lease by Lessee. Similarly, all conditions under the Lease to be performed by the Lessor thereunder have been satisfied and there has not been a default claimed by Lessee and, as of the date hereof, there are no existing defenses which Lessee has against enforcement of the Lease by Lessor. 4. Section 14.01(a) of the Lease is hereby modified to allow an additional eighteen (18) months from the date of execution of this Amendment to substantially complete the Affordable Housing Units. 5. Except as expressly modified by this Amendment, all terms and conditions of the Lease remain in full force and effect, binding upon the parties. 6. Each party agrees that they have authority to sign this Agreement on behalf of each party and represents and warrants that such person has the full right and authority to enter into this Agreement on behalf of such party and to fully bind such party to the terms and obligations of this Agreement. IN WITNESS WHEREOF, the undersigned executed this First Amendment to Ground Lease Agreement this _ day of _, 2009. LESSOR: MONROE COUNTY BOARD OF COUNTY COMMISSIONERS (SEAL) ATTEST: DANNY L. KOLHAGE, CLERK By: By: , Mayor , Deputy Clerk Monroe County Attorney Approved as to Form: By: STATE OF FLORIDA COUNTY OF MONROE BE IT KNOWN, That on the day of , two thousand and nine, before me, a Notary Public in and for the State of Florida, County of Monroe, duly commissioned and sworn, personally came and appeared , as Mayor of Monroe County Board of County Commissioners, to me personally known or has produced as identification. IN TESTIMONY WHEREOF, I have hereunto subscribed my name and affixed my seal of office the day and year last above written. [Seal] NOTARY PUBLIC 2 LESSEE: WITNESSES AS TO LESSEE: ISLANDER VILLAGE, LLC, a Florida limited liability company Signed, sealed and delivered By: Edwin O. Swift, III, Manager Witness as to Lessee Witness as to Lessee STATE OF FLORIDA COUNTY OF MONROE BE IT KNOWN, That on the day of , two thousand and nine, before me, a Notary Public in and for the State of Florida, County of Monroe, duly commissioned and sworn, dwelling in the City of Key West, personally came and appeared EDWIN O. SWIFT, III, as Manager ofIslander Village, LLC, a Florida limited liability company, to me personally known or has produced as identification. IN TESTIMONY WHEREOF, I have hereunto subscribed my name and affixed my seal of office the day and year last above written. [Seal] NOT ARY PUBLIC 3