ANALYSIS:
On August 31, 2017, representatives from EHDOC met with the Administration to discuss a request for an extension of the Leases, for a period of fifty (50) years, in order to facilitate the refinancing of both properties. EHDOC submitted a formal request for an extension of the air rights leases, with supporting documentation, dated August 16, 2017, attached hereto as Exhibit A (Request for Extension of Air Rights Leases).
As stated in the request letter, EHDOC intends to use the proceeds of the refinancing for capital renovations to the properties. The renovations would include, but not be limited to, site work, exterior façade work, new windows, interior common areas and office renovations, apartment renovations, and building systems (e.g., elevators, roof, electric, plumbing, water pumps, generators, fire alarm systems, etc.).
Upon initial review, the Administration recommends the following modifications in conjunction with consideration for a lease extension:
1. include enhancements to generator capacity to ensure continued operation of HVAC, elevators, life safety systems, etc. after a storm;
2. establish criteria for condition of building/units at the end of the extended term;
3. comply with Miami Dade County 40 year recertification requirements, and subsequent 10 year recertification requirements;
4. proactively manage and comply with the required Miami-Dade County annual registration of eligible tenants for the County’s Emergency Evacuation Assistance Program (EEAP), utilizing the forms attached hereto as Exhibit B (EEAP Application) and Exhibit C – (Emergency Evacuation Pickup Sites) for the elderly and/or disabled individuals who
a) are unable to evacuate on their own due to a specialized transportation need
b) are homebound residents and unable to walk to a bus pickup point and do not have anyone that can provide transportation
c) have medical needs that prevent them from evacuating on their own
d) are bedbound patients
e) are on life-sustaining medical equipment that requires electricity
f) require assistance with daily living activities
5. comply with required Miami Beach registration of other residents who need some type of daily assistance to live on their own, including completion of annual assessment form.
The Lease extension will reaffirm, and will have no effect on, the municipal parking spaces located at both sites.