It is recommended that the Mayor and City Commission approve the Resolution.

In November 2018, Miami Beach residents voted to approve the $439 million General Obligation (G.O.) Bond Program, which earmarked $72 million for public safety and security improvements citywide. Among the projects is the renovation to the existing Miami Beach Police Department (MBPD) Headquarters (“MBPD Headquarters Renovation Project”) building located at 1100 Washington Avenue.

On January 31, 2024, the Mayor and City Commission adopted Resolution No. 2024-32865 approving the construction manager at risk agreement (“CMR Agreement”) for the preconstruction services with OHLA Building, Inc., (“OHLA”) pursuant to Request for Qualifications (RFQ) 2023-461-ND for the MBPD Headquarters Renovation Project; and further authorizing the City Manager and City Clerk to execute the CMR Agreement. The work required under the CMR Agreement will be performed in accordance with the approved design for the Project. It will include alterations to all five (5) floors of the existing MBPD Headquarters building, with comprehensive interior renovation aimed at improving operational efficiencies and optimizing existing spaces to accommodate future growth for the MBPD.

OHLA has advised that the construction phase of the MBPD Headquarters Renovation project is anticipated to take approximately 20 months to complete. While the MBPD Headquarters building must remain fully operational during this time, the Project’s phasing plan contemplates displacing different units within the headquarters and renovating their spaces, then moving on to subsequent units. To this end, the Administration has researched viable locations to relocate MBPD personnel during the construction phase of the project.

Amongst the properties considered by the Administration, MBPD staff favored the space located at 1000 5^th Street in South Beach, given its location, size, general layout and access to parking.

The Administration is seeking approval to enter into a lease agreement for the temporary relocation of MBPD personnel during the G.O. Bond Program renovation of the MBPD headquarters building, attached hereto as Exhibit A, based on upon the following essential terms:

TENANT:                                City of Miami Beach, a Florida municipal corporation.

LANDLORD:                          1000 Fifth Street Corporation, a Florida corporation

DEMISED PREMISES:          1000 5^th Street, Suite 101

                                                Miami Beach, Florida 33139

SIZE:                                       Approximately 5,440 square feet

TERM:                                    Two (2) Years and One (1) Month

RENEWAL OPTION:             Month to month for a period not to exceed One (1) year

BASE RENT:                          First year, $53 per square foot ($288,320 annually; $24,026.67

               monthly)

ESCALATION:                       3% per year

LEASE

COMMENCEMENT DATE:    June 1, 2024

RENT

COMMENCEMENT DATE:    30 days after delivery date

SECURITY DEPOSIT:           One (1) month’s rent ($24,026.67)

USE:                                       The Demised Premises shall be used by the MBPD for general

                office use

LOBBYIST DISCLOSURE

In accordance with Resolution No. 2023-32857, adopted by the City Commission on December 13, 2023, the following information has been provided by the Administration as it relates to the subject resolution:

1.    Was the Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No

2.    If so, specify name of lobbyist(s) and principal(s): N/A

The fiscal impact for this relocation is $990,000 inclusive of moving costs, security deposit, incidentals, and Tenant improvements; and it is proposed to be funded through a capital budget amendment being considered for approval pursuant to a companion item on the May 15, 2024 City Commission agenda.

Based on the foregoing, the Administration recommends the Mayor and City Commission adopt the resolution approving a Lease Agreement between the City, as Tenant, and 1000 5^th Street, as Landlord, for approximately 5,440 square feet of office space located at 1000 5^th Street, Suite 101, Miami Beach Florida, for use by MBPD personnel during the G.O. Bond Program renovation of the MBPD headquarters building.