ANALYSIS:
On May 12, 2010, the City Commission adopted Resolution No. 2010-27384 approving the initial License Agreement between the City and Design Miami to hold the December Design Miami Show in the Preferred Parking Lot (P-Lot) in 2010, 2011 and 2012. The P-Lot provided Design Miami with sufficient space to construct a temporary exhibition structure to host the show. The Preferred Parking Lot was identified as the most compatible space, as it was agreed by all parties that it provides for opportunities for synergy between Design Miami and Art Basel Miami Beach.
On October 24, 2012, the City Commission adopted Resolution No. 2012-28039 approving a License Agreement with Design Miami for 2013, 2014, 2015, and 2016. On July 18, 2014, the City Manager notified Design Miami that due to the Convention Center Renovation and Expansion project, the City will close all, or a portion of, the P-Lot and it would not be available for the 2016 Design Miami show. As such, the City notified Design Miami of the City’s termination of the License Agreement effective December 25, 2015.
As a result of the notice of termination to Design Miami, the City entered into a contract with the Construction Manager for the Convention Center Renovation and Expansion, Clark Construction (Clark), which includes full use of the P-Lot upon commencement of construction to use for construction staging and labor parking.
Since that time, both parties worked in good faith to find a solution that allowed Design Miami to remain in the P-Lot for 2016 and 2017.
Following the 2018 Design Miami show, the P-Lot will be transformed into a new park space west of the Miami Beach Convention Center. The new park space is designed to accommodate a continuation of Design Miami in this new space, similar to the Frieze London art show that takes place annually in London's Regent's Park. Design Miami has proposed a new multiyear License Agreement will run for six years, commencing with the 2018 Design Miami show and concluding with the 2023 Design Miami show, with one five year renewal option, allowing for a continuation of Design Miami to take place in the same venue from 2024-2028. The proposed terms include the following changes from the prior approved license agreements:
· The City will re-design the Park. The agreement provides for repayment of a portion of City’s redesign costs, in the event the agreement is terminated for convenience before 2023.
· Starting in 2019, an increase in fees for the use of the space from the current license agreement fee of $107,000 annually, to a proposed fee of $150,000 annually, plus all applicable taxes, with a CPI escalation.
· As the 2018 Design Miami Show will occur during a period of transition towards the new park space, the fee for 2018 will be $128,000, plus all applicable taxes.
· A proposed shortening of the load in period starting in 2019, with a commitment by Design Miami to work further with the City to ensure the availability of the park for Veteran’s day celebrations.
ABOUT DESIGN MIAMI
Design Miami is a marketplace for limited-edition design from the most reputable international design galleries who present curated exhibitions of museum-quality furniture, lighting, and objects d’art. It attracts the highest level of private and public collectors of historical and contemporary design, much like Art Basel Miami Beach does with modern and contemporary works of art. Participating galleries deal mainly in exceptional design objects from the advent of Modernism (circa 1900) to present day, with select galleries specializing in 18th and 19th century antiques.
Design Miami produces two shows each year: Design Miami/Basel in June, and Design Miami in December. The December show has been produced in the Design District since 2005, and the June show in Basel since 2006. Craig Robins is a principal of the fairs, which are organized in partnership with MCH Swiss Exhibition, the producers of Art Basel and Art Basel Miami Beach.