The Barclay Plaza Apartments (the “Barclay” or “Property”), located at 1940 Park Avenue, was acquired by the Miami Beach Community Development Corporation (“MBCDC”) in 2007 using City Redevelopment Agency funds. The Property was purchased as affordable workforce housing. After MBCDC was in default, the City of Miami Beach purchased the Barclay building in 2015 already vacant and boarded and has remained so during the duration of the City’s ownership. The Barclay sits on a lot that is 170 feet wide, with varying depth from 143 feet to 213 feet, for a total of 26,250 SF, containing an L-shaped building that occupies 41% of the site and is bounded by Park Avenue on the east and Washington Avenue on the west. There are large open space areas to the west and north of the building. The Barclay is currently vacant and contains sixty-six (66) efficiency units, each with a bathroom, closet, and a small kitchen.

On August 12, 2021, a feasibility study was completed by M.C. Harry & Associates (the “Consultant”). The study determined the existing units are too small for current zoning regulations due to minimum square footage requirements and would have to be combined to be suitable for residential use. This report was conducted without any destructive investigations and material sampling or testing. Moreover, the structural shell and interior framing would also require upgrades. It is expected that additional deficiencies in the building will be found during a renovation project. The Property is in a primarily residential area surrounded by buildings of similar size and character and is located across the street from the Miami Beach Convention Center. Although the building is not designated as historic, it is a contributing building in a Historic District.

On February 25, 2022, the Finance and Economic Resiliency Committee (“FERC”) discussed the future of the Barclay property and recommended issuing a formal competitive solicitation to test the market and possible private/public partnership (P3) development opportunities. A motion was carried to have the item heard at Commission with a recommendation of issuing a formal competitive solicitation.

On April 6, 2022, the Mayor and City Commission directed the Administration to issue a Request for Proposals (“RFP”) to find the highest use and consider as part of the RFP, all uses for the building, including office and educational campus. Subsequently, on December 16, 2022, RFP 2022-115-KB was issued for the redevelopment of Barclay property. This formal solicitation is presently under the cone of silence.

On February 1, 2023, the Mayor and City Commission approved the referral of item C4 Q, sponsored by Commissioner Kristen Rosen Gonzalez, to the Public Safety and Neighborhood Quality of Life Committee (“PSNQLC” or the “Committee”) to discuss getting a new cost estimate to rehabilitate the Barclay Plaza apartment building.

The Administration engaged consultant M.C. Harry & Associates (the "Consultant") for an updated rough order of magnitude (“ROM”) cost for the renovation of the Barclay based on the conditions assessment and recommendations report. On May 12, 2023, the Consultant provided an estimate, attached hereto as Exhibit A, for a total project cost of $14,520,282. The proposal contemplates a residential building and addresses the architectural, structural, electrical, mechanical, plumbing and fire protection costs associated with rehabilitation of the Property.

Moreover, as described in the feasibility study, the rehabilitation cost estimate considers combining the existing sixty-six (66) units into thirty-three (33) units in order to meet the minimum square footage requirements established by extant zoning regulations to make the building suitable for residential use. This ROM cost is preliminary and does not consider other costs associated with destructive investigations and material sampling or testing. It is anticipated that additional deficiencies in the building would be found during a rehabilitation project. The renovation of the Barclay Plaza building is unfunded.