On May 6, 2015, City Commission adopted Resolution No.2015-29017, which directed that the Barclay Plaza Apartments be developed as Workforce Housing serving persons employed in the public safety, education and municipal sectors earning between 120% to up to 140% of the Area Median Income (AMI). On March 1, 2017, the City Commission adopted Resolution No. 2017-29758 which amended the serving person’s earnings, up to 140% (AMI). Additionally, Commission accepted the recommendations made by the Land Use and Development Committee to incentivize the private development of Workforce Housing. On April 26, 2017, the City Commission adopted Resolution No. 2017-29823 that accepted the recommendations made by the Finance and Citywide Projects Committee from the March 31, 2017 meeting, with respect to the development of the Barclay Plaza Apartments, which included the following parameters:

1. Income limits increased to accommodate households earning up to 140% AMI, and thereby ensure the broadest inclusion of City of Miami Beach municipal workers and educators as possible;

    

2. Two-year employment tenure be the minimum threshold for eligibility of tenants served by the Project;

    

3. The parking lot and existing pool at the Barclay Plaza Apartments may be considered for inclusion in the development area for the Project to maximize the number of units that can be developed for Workforce Housing purposes; and

    

4. The Project’s potential inclusion of a commercial component or accessory use, subject to prior review and approval by the City.

    

   On July 27, 2017, the City Commission adopted Resolution No. 2017-29925 that accepted the recommendations of the June 16, 2017 Finance and Citywide Projects Committee providing certain parameters for the Barclay Plaza Apartments development: Projected rents to be established at 30% of the targeted AMI ranges and adjusted for unit size or currently approximately $1,491 - $1,740 for a one bedroom unit, and $1,917 - $2,237 for a two-bedroom unit, as adjusted for inflation via the Consumer Price Index, in order to ensure that units remain Affordable for the targeted workforce sectors

    

   The issuance of an Request for Proposals (RFP) by the City of Miami Beach shall provide a means for prospective proposers to submit their qualifications, approach, conceptual design, and financial and other terms for the City’s consideration.  Additionally, the RFP will result in the leasing of the Barclay Plaza Apartments, [0.60] acre City -owned site located at [1940 Park Avenue, Miami Beach, FL 33139], for residential Workforce Housing apartment building serving City of Miami Beach Municipal workers and feeder pattern educators with a minimum of 26 units and related improvements.  The project includes the renovation of the existing historical building in accordance with historic preservation requirements. The project may include the potential development of the existing parking lot on the property, and commercial accessory uses, in accordance with the City’s land development regulations and subject to approval by the applicable regulatory boards and the City Commission. Additionally, proposals should take into consideration current market needs and conditions, and utilize the land to leverage other public (County, State or Federal), non-profit and private funds for site development in the best manner possible for the community.

    

   Scope of Services

   The scope of services proposed for the RFP shall include, but not be limited to the following:

1. The City shall not provide, nor should Proposers rely on, any public funding or public financing for the Project.

2. The Developer shall be solely responsible for all costs and expenses associated with the development, design, construction, equipping, and installation of all furniture, fixtures, equipment and other improvements relating to the Project, the Developer will also be responsible for its subsequent operation or use, and all alterations, repairs or replacements thereof.

3. The Developer shall be required to make a repayment to the United States Department of Housing and Urban Development (HUD) in the amount of $485,832.22 for HUD funds previously invested in this property.

4. For the term of the Lease, the Developer must continuously operate the residential portion of the Project for Workforce Housing purposes, in accordance with, and subject to the parameters and limitations, specified by the City, in the negotiated Lease.

5. The Lease awarded pursuant to this RFP, as the same may be modified, amended or renewed, will not at any time be subject or subordinate to (a) any mortgage now or hereafter placed upon Developer's interest in the Lease, or (b) any other liens or encumbrances hereafter affecting Developer's interest in the Lease.  The City shall at all times have a first priority right to payment of rent due to City under the Lease.  The Lease shall contain commercially reasonable terms intended to facilitate traditional financing.

6. The Developer must accept the Property in its “AS IS” condition, with all faults and patent or latent defects, and with no representation or warranties by the City of any kind whatsoever with respect to the Property or the condition, feasibility, value or financial prospects of the Project or any portion thereof.

7. The rights granted under the Lease shall be non-exclusive and the City reserves the right to grant similar privileges and similar leases to other lessees, and to take any and all actions (including the leasing of City Property other than the Property for any lawful purpose) that City is permitted to take under Federal, State, and Local law.   

8. Minimum Unit Size and Composition: Developer must provide, at a minimum, in its Development Plan the following number and configuration of units to be rehabilitated/developed as Workforce Housing units:

   1. Studios – 2

   2. One-bedroom – 16

   3. Two-bedroom – 6

   4. Three-bedroom – 2

     Minimum amenity: All units must have in-unit laundry facilities

9. The project shall be in compliance with energy efficiency and Leadership in Energy and   Environmental Design (LEED) Gold construction standards.

At the conclusion of the RFP process, and once the Developer is selected, the City intends to negotiate a Development Agreement and Ground Lease with the Developer.  It is anticipated that the resulting development should yield the maximum number of units feasible under current zoning and provide the most efficient use of the Property.

At this time, the administration is requesting the authorization to release the final draft of the RFP via LTC to City Commission and following Commission’s acceptance further authorizing the issuance of the RFP.