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03-12-071111 2001 Making our NeigliWwod a Great Place to Live Work and Play' CRA General Counsel CRA Acting Director CRA Secretary Eve Boutsis Stephen David Maria M. Menendez SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY CRA Meeting Meeting Date: Monday March 12, 2007 Time: 7:00 PM Next Meeting Date: Monday April 9, 2007 Time: 6:30 PM 6130 Sunset Drive, South Miami, FL Phone:(305) 668 -7236 FSouth Miami Ordinance No. 10 -00 -1712 requires all ts before engaging in any lobbying activities tor with the City Clerk and pay an annual fee of . This applies to all persons who are retained (whether paid. or not) to represent a business entity or organization to influence "City" action. "City" action is broadly described to include the ranking and selection of professional consultants, and virtually all - legislative, quasi- judicial and administrative action. It does not - apply to not-for-profit organizations, local chamber and merchant. groups, homeowner associations, or trade associations and unions. CALL TO ORDER:. A. ROLL CALL: B. INVOCATION: C. PLEDGE OF ALLEGIANCE: COMMUNITY REDEVELOPMENT AGENCY Z AGENDA - March 12, 2007 c Chair Horace G. Feliu Vice Chair Randy G. Wiscombe Member Velma Palmer Member Marie. Birts Member Jay Beckman Member Adrian Ellis Member Rodney Williams CRA General Counsel CRA Acting Director CRA Secretary Eve Boutsis Stephen David Maria M. Menendez SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY CRA Meeting Meeting Date: Monday March 12, 2007 Time: 7:00 PM Next Meeting Date: Monday April 9, 2007 Time: 6:30 PM 6130 Sunset Drive, South Miami, FL Phone:(305) 668 -7236 FSouth Miami Ordinance No. 10 -00 -1712 requires all ts before engaging in any lobbying activities tor with the City Clerk and pay an annual fee of . This applies to all persons who are retained (whether paid. or not) to represent a business entity or organization to influence "City" action. "City" action is broadly described to include the ranking and selection of professional consultants, and virtually all - legislative, quasi- judicial and administrative action. It does not - apply to not-for-profit organizations, local chamber and merchant. groups, homeowner associations, or trade associations and unions. CALL TO ORDER:. A. ROLL CALL: B. INVOCATION: C. PLEDGE OF ALLEGIANCE: COMMUNITY REDEVELOPMENT AGENCY Z AGENDA - March 12, 2007 c REGULAR MEETING 1. APPROVAL OF MINUTES February 12, 2007* 2. EXECUTIVE DIRECTOR REPORT: A) Monthly Expenditure.Report* B) Affordable Housing Construction Update* C) Advisory Board Review* D) Annual Auditor's Report* I 3. GENERAL COUNSEL REPORT A) OCED Grant Funding Status* *Attachments . PUBLIC COMMENTS (5- minute limit) CONSENT AGENDA 4. A RESOLUTION OF THE CITY OF'. SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY RELATING TO ATTORNEY'S FEES; APPROVING ATTORNEY'S' FEES FOR NAGIN GALLOP FIGUEREDO, P.A., FOR INVOICES DATED FEBRUARY 26, 2007 IN THE TOTAL AMOUNT OF $1,657.78; CHARGING . THE AMOUNT $1,657.78 TO ACCOUNT NO. 610- 1110 - 564- 31 -20, GENERAL CORPORATE ACCOUNT; AND PROVIDING,AN EFFECTIVE DATE.' 5. A RESOLUTION OF THE CITY OF SOUTH MIAMI COMMUNITY REDEVELOPMENT. AGENCY RELATING TO ATTORNEY'S FEES; APPROVING ATTORNEY'S FEES FOR LOTT & LEVINE, P.A., FOR. ,INVOICES DATED MARCH 5, 2007 IN THE TOTAL AMOUNT OF $1,150.50; CHARGING THE AMOUNT $1,150.50 TO ACCOUNT NO. 610- 1110- 583- 61 -10, LAND ACQUISITION ACCOUNT;, AND PROVIDING AN EFFECTIVE DATE. COMMUNITY REDEVELOPMENT AGENCY 2 AGENDA - March 12, 2007 RESOLUTIONS 6. A RESOLUTION OF THE SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY ( SMCRA) AUTHORIZING A BUDGET TRANSFER IN THE AMOUNT OF $25,000 FROM ACCOUNT NUMBER 610- 1110 - 551 -20 -20 (PROFESSIONAL SERVICES /ECONOMIC DEVELOPMENT) , TO' ACCOUNT NUMBER 610- 1110 - 572 -99 -30 (OTHER USES /PARK IMPROVEMENTS) WHICH FUNDING SHALL BE UTILIZED AS A SMCRA CONTRIBUTION TOWARDS THE INSTALLATION OF SAFETY LIGHTING AT. THE MOBLEY BUILDING /MURRAY PARK COMPLEX AND CHARGING ACCOUNT NO 610- 1110 - 572 -99 -30 (OTHER USES /PARK IMPROVEMENTS); AND PROVIDING AN EFFECTIVE DATE. 7. A RESOLUTION OF - THE. SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY ( SMCRA) RELATING TO RESIDENT JOB TRAINING; AUTHORIZING THE SMCRA DIRECTOR.TO ENTER INTO AGREEMENT, WITH THE SOUTH FLORIDA. CHAPTER OF THE ASSOCIATED GENERAL .CONTRACTORS OF AMERICA TO PROVIDE GRANT FUNDING IN AN AMOUNT NOT TO EXCEED $22,500 FOR JOB TRAINING AND PLACEMENT SERVICES. FOR ELIGIBLE RESIDENTS; AND PROVIDING AN EFFECTIVE DATE. (Deferred at 02 -12 -07 Meeting) 8. A RESOLUTION OF THE SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY ( SMCRA) RELATING TO REAL. PROPERTY; AUTHORIZING THE SMCRA DIRECTOR TO EXECUTE A PURCHASE AND SALE AGREEMENT TO PURCHASE PROPERTY LOCATED AT 6420 SW 59'�' PLACE, SOUTH MIAMI, FLORIDA BEARING FOLIO NO.':09- 4025 - 010 -0160 AND 6428 SW. 59"" PLACE SOUTH MIAMI, FLORIDA BEARING FOLIO NO. 09 -4025- 010 -0170. FOR A NEGOTIATED PURCHASE PRICE OF $350,000 AND CHARGING ACCOUNT NO. 610 - 1110 - 583 -61 -10 (LAND ACQUISITION ACCOUNT); AND PROVIDING AN EFFECTIVE DATE. BOARD COMMENTS ADJOURNMENT PLEASE TAKE NOTICE THAT SECTION 2 -2. 1(k) (2) OF THE CODE OF ORDINANCES PROVIDES THAT "ANY PERSON MAKING PERSONAL IMPERTINENT, OR SLANDEROUS REMARKS OR WHO SHALL BECOME BOISTEROUS WHILE ADDRESSING THE COMMISSION SHALL BE FORTHWITH BARRED FROM FURTHER AUDIENCE BEFORE THE COUNCIL BY THE 'PRESIDING OFFICER, UNLESS. PERMISSION TO CONTINUE BE GRANTED BY A MAJORITY VOTE OF THE COMMISSION." COMMUNITY REDEVELOPMENT AGENCY 3 AGENDA - March 12, 2007 PURSUANT TO ETA STATUTES 286.0105, "THE CITY HEREBY ADVISES THE PUBLIC THAT IF A PERSON DECIDES TO APPEAL ANY DECISION MADE BY THIS BOARD, AGENCY OR COMMISSION WITH RESPECT TO ANY MATTER CONSIDERED AT ITS MEETING OR HEARING, HE OR SHE WILL NEED A RECORD OF THE PROCEEDINGS, AND THAT FOR SUCH PURPOSE, AFFECTED PERSON MAY NEED TO ENSURE 'THAT A VERBATIM RECORD OF THE PROCEEDINGS IS MADE WHICH RECORD INCLUDES THE TESTIMONY AND EVIDENCE UPON WHICH THE APPEAL IS TO BE BASED. THIS NOTICE DOES NOT CONSTITUTES CONSENT BY THE CITY, FOR THE INTRODUCTION OR ADMISSION OR OTHERWISE INADMISSIBLE OR IRRELEVANT EVIDENCE, NOR DOES IT AUTHORIZE CHALLENGES OR APPEALS NOT OTHERWISE ALLOWED BY LAW. COMMUNITY REDEVELOPMENT AGENCY AGENDA - March 12, 2007 2001 Making our Neighborhood a Great Place to Live, Work and Play" To: Honorable Chair and Date: March 12, 2007 SMCRA Board Me rs From: Stephen A. D id ITEM No. SMCRA Act* g 'r ctor SMCRA MONTHLY' EXPENDITURE REPORT The monthly expenditure report for November has been attached as Exhibit A. Attachments: Monthly Expenditure Report- November 2007 SUMCGRUFFTLANNING\C R A \SMCRA Monthly Expediture Report.doc a a v a z m 0 V►11�IHX3: a � %P 0 C CD CD ' N O O ter:_ J V b O� t . J . W W W W W W w W W w w W W w W W W 1 I j i SL1 $a 0o 0o a% C) m rn m rn rn rn rn rn IA IN Ib. 0. 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The alternate construction plan involved Greater Miami Neighborhoods re- conveying the two housing lots back to the SMCRA and the SMCRA obtaining an alternate developer to complete, construction. General Council has determined that existing liens incurred against the properties must be cleared before lot re- conveyance can occur. The representing attorney for Greater Miami Neighborhood's is currently in the process negotiating release of the existing liens. Attached as Exhibit A is the most recent correspondence to Greater Miami Neighborhoods regarding this matter. Attached as Exhibit .B is a detailed report regarding re- conveyance of the properties. Staff also currently identifying three reputable housing developers to complete construction. During the next board meeting, staff will present detailed background information regarding the three selected developers for approval by the Board. Attachments: March 5, 2007 Correspondence Lot Re- Conveyanee Report SD:ICRA1 Affordable Housing Construction Status.doc 'EXHIBIT A . � •, .. fir, � ���� °�x� �.::::.. .. . E��, '. Ple�se,xe�fyt RA a�+a.+aarr � ',, „. • � `�'"`� � �'' :7'$OQ7 Q)d '�Cutl t . r ';1ti11 m i .lo nn y. otiriod .�lo tci'�� March 5, 2007 Via Facsimile Only Lynn C. Washington, Esq. Holland. && Knight, LLP 701 B. 40kell Avenue, -Suite 2800 Miami; Florida'3313*1 Re: July 10, 2003 Greater Miami Neighborhoods, Inc. (GMN) Performance Guaranty with SIVICRA;:Real. Estate'Pdrdhase and'Sale`Agreeirieiit a, A SMCRA grant fiiiiding agreement relating to' Gloria Brown home 5895 - 5899 SW 67"j Street;`South.Nliarrii; Florida And Judy 10, 2003, GMN Performance Guaranty, Real Estate Purchase and Sale Agreement;. and'SMCRA grfuit funding agreement relatirig'to'Denise Goodman home 0400 SW 57`� Street. Dear Lyon: This letter is sent as a follow up to our conversation last .week. The two properties referenced above were 'conveyed by •the SIVICRA to: Greater Miami NeiObdihoods, 1iic. (GMN) on. _ March" 24, -2Q04:.. :Currently, you 'are 'drafting the re- co&eyarice•doeuments, to have'GMN'reconvey:the tots'to:tlie'SCMRA:- As to both properties, a Mortgage and UCC 1 were recorded on May 2, 2006, to secure a revolving line' of credit' given liy WacliOVia:.Bank to' GMN' in the ainaurit of $1;0OO;000. Under separate cover 1 forwarded tci'you those: dacuments;::From the public recoxds alone, it is -not possible'to know whether any funds have; been- disbursed under the line of credit and the amount, if any, .due'to pay of£ the'Mortgage,' :This irifoririation would need to be••obtained from Wachovia' and your client: '.VVe ask* that you please advise . regarding same. There is also a notice of commencement that was recorded on .May 2, 2006; in connection with GMN's- plans to construct " residentiai- cdwellirigs'Oii'the.properties. The Notice; "copy of'4liich,•is" enclosed, adent'ifies Wuchovia as the Lender fipancirig•.the construction: There are no construction liens recorded through February 13; 2007. Any Letter to Lynn. Washington March -5,2007 Page 2 of 2 construction liens that may be recorded in the future would relate back to the date of recordiogbf the Notice o�'Commencement: '.'Cohsequenfly, in conriectinn'wouid any re- conveyance of ;the- -properties. to the' SMCRA:; ' t1i6`Nofice of .Comniencemeiit- 'sliouid be pro per ly- 't er ore the; re- conveyitzice; 'otherwise tKe SMCRA::would be taking title sulzject tosuchcoristruction liens.. Also there are several non -South .Miami, and several South Miami liens on the property. GMN will need to*specifically resolve'the non= EXHIBIT -B MEMORANDUM To: SMCRA.Board, Stephen David, Interim Director From:. Eve A. Boutsis, general counsel Date: March 12, 2007 Re: Affordable Housing Construction Status Greater Miami Neighborhood (GMN) transactions: GMN has agreed to reconvey to the SMCRA the two parcels: 5895 SW 67`" Street and 6400 SW 57`" Street. As to both properties, a Mortgage and UCC -1 were recorded on May 2, 2006, to secure a revolving line of credit given by Wachovia Bank to GMN in the amount of $1,000,000. On March 5, 2007, I issued a letter to Lynn Washington, of Holland & Knight, the attorney for GMN, in which I advised him of the outstanding issues related to clearing the title to the parcels and need to clear the title prior to reconveyance. From the public records alone, it is not possible to know whether any funds have been disbursed under the line of credit and the amount, if any, due to pay off the Mortgage. We have .requested that Mr. Washington advise the SMCRA as to whether any funds were expended under the lien of credit. Additionally, there is also a notice of commencement that was recorded on May 2, 2006, in connection with GMN's plans to construct residential dwellings on the properties. The Notice identifies Wachovia as the Lender financing the construction. There are no construction liens recorded through February 13, 2007. Any construction liens that may be recorded in the future would relate back to the date of recording of the Notice of Commencement. Consequently, in connection would any � re- conveyance of the properties to the SMCRA, the Notice of Commencement should be properly terminated be ore the re- conveyance, otherwise the SMCRA would be taking title subject to such construction liens. I have also advised Mr. Washington of this issue. Finally, there are also several non -South Miami, and several South Miami liens on the property. Mr. Washington has been placed on notice that GMN will need to specifically resolve the non - South Miami liens. On March 6, 2006, Mr. David, vice -chair Wiscombe, and I met with�Ms. Denise Goodman, the SMCRA resident promised the 6400 SW 57`" Street site (Ms.. Goodman has a contract with GMN). On-the subsequent day, March 7, 2006, we met with Ms. Gloria Brown, the SMCRA resident promised the 5895 -5899 SW 67`" Street by GMN. Ms. Goodman and Ms. Brown were advised of the status of reconveyance by GMN; the title issues, etc. The SMCRA staff is preparing an RFP for contractors for the future development of SMCRA vacant lots. ' Due to the excessive delays, the extenuating circumstances (start of construction, abandonment of the site by GMN, exposed construction, etc.), Mr. David is contacting other CRA's, etc., for three reputable affordable housing contractors that can complete the construction of the former GMN home sites. 'r �VAI 2001 Making our Neighborhood a Great Place to Live, Work and Play" To: Honorable Chair and SMCRA Board Meml From: Stephen David SMCRA Actin BACKGROUND Date: February 12, 2007 ITEM No. AFFORDABLE HOUSING CONSTRUCTIONSTATUS During the February 12, 2007 meeting, an alternate plan was presented for completing construction on lots previously conveyed to Greater Miami Neighborhoods. The alternate construction plan involved Greater Miami Neighborhoods re- conveying the two housing lots back to the SMCRA and the SMCRA obtaining an alternate developer to complete. construction. General Council has determined that existing liens incurred against the properties must be cleared before lot re-conveyance can occur. The representing attorney for Greater Miami Neighborhood's is currently in the process negotiating release of the existing liens. Attached as Exhibit A is the most recent correspondence to Greater Miami Neighborhoods regarding this matter. Attached as Exhibit .B is a detailed report regarding re- conveyance of the properties. Staff. also currently identifying three reputable housing developers to complete construction. During the next board meeting, staff will present detailed background information regarding the three selected developers for approval by the Board. Attachments: March 5, 2007 Correspondence Lot Re- Conveyance Report SD:\CRA\ Affordable Housing Construction Status.doe A' tr March 5, 2007 Via Facsimile Only Lynn, C. Washington, Esq. Holland & Kfiightl LLP 701 B&10kell -Avenue, -Suite 2800 Miathi,:Florida:'33131 Mama id S37 6 00. kiln Re: July 10, 2003 Greater Miami Neighborhoods, Inc. (GMN) Performance Guaranty with SM&A-,:ked . E- .4. --atie..-Pdrp se aril Sale Agreement and SMt fpgipg 4greed ient re Whiio: d6fia Brown 5895- 5899 S W 67 S treet,"S 6uth. M. -i aml; Vl 6:r ida - And July 10, 2003' GMN Performance Guaranty, Real. Estate PUrchase and Sale is " Agteerfidfit,. and SMCRA' grght'... d.'4gagreemdfitrelatizig'to*Ddni e th' Goodr6h home 6400 SW 57 Street. Dear Lynn: This' letter is sent as a follow up to our conversation last week. The two propeTtiq$ referenced above were conveyed ..4 the --SMCRA.- to Greater Miami N616li d", "" pm -March 4,-2W4.'..:0uft6fiU 'drafiffig'the re- 0#100 S, lac. M on -2 Currently, ":you are the S co&eyance'd6cum0nts, to have -GMN 1 oiits- to CMRA;: As to both properties, a Mortgage and UCC 1 were recorded.6 n May 2, 2006, to secure a -revol*g Iftie'oif credit* giv'e­U­11�y W4cho*v'ia'.-.Ban'k.: to' GMN".in"-'the- aino'uht of $I;4OO,000. t.Jjid6i.separate cover l forwarded to''y,*p,4,- those aocuments...*.Fro*ni" the, *'publio records alone-, it is not possible know w he&i-'itiy the f th M 'Thi' line --o'fcredit and the amount,* if an diie-td ply 9.f­ p- ..ort' ge,-: s ififoiffiatidn' Y, g4 would need to be­obtained from Wadh6via, and your client: We -ask "th'a't,you 'please adv is.e regardin"g sanie. There is also a notice of commencement that was recorded on May 2, 2006, in connection with G M N's'plans to construct on -ifie­.pr6p6rde's .T h e N66.ad, 4, copy of -which.-is-enc tifids WWiovia as-the iend6i fiiiancirig. the construction:" Therie are no d6ns'tructicift "liens rtcorde.. oug 2007. Any Letter to Lynn Washington Ma db •5, 2007 Page 2 of 2 construction liens that may be recorded in the future would relate back to the date of recording *of the Notice of'Commencemeiif:: Corisequeritly, in coni�ection'would any re- . conveyaice of"the--properties..q the, S. CRA; 'the�'Notice of .Commencement - should be h Mod ng properly - terminated `ho nh A k title'-'subject to'such'- construction liens.. Also there are several non -South .Miami, and several South Miami Liens on the .... ...:........:.. property. GMN M11 need to•specifically''resolve'tlie non- South-Miami liens. A copy of the liens are' enclosed. Please advise at your earliest convenience of your efforts to resolve this items. Very Truly Yours, P ' Eve A. Boutsis, SMCRA General Counsel cc: Stephen David, Interim Director - SMCRA, board 'EXHIBIT:.B,j MEMORANDUM To: SMCRA Board, Stephen David, Interim Director From: Eve A. Boutsis, general counsel Date: March 12, 2007 Re: Affordable Housing Construction Status Greater Miami Neighborhood (GMN) transactions: GMN has agreed to reconvey to the SMCRA the two parcels: 5895 SW 67`h Street and 6400 SW 57`h Street. As to both properties, a Mortgage and UCC -1 were recorded on May 2, 2006, to secure a revolving line of credit given by Wachovia Bank to GMN in the amount of $1,000,000. On March 5, 2007, I issued a letter to Lynn Washington, of Holland & Knight, the attorney for GMN, in which I advised him of the outstanding issues related to clearing the title to the parcels and need to clear the title prior to reconveyance. From the public records alone, it is not possible to know whether any funds have been disbursed under the line of credit and the amount, if any, due to pay off the Mortgage. We have .requested that Mr. Washington advise the SMCRA as to whether any funds were expended under the lien of credit. Additionally, there is also a notice of commencement that was recorded on May 2, 2006, in connection with GMN's plans to construct residential dwellings on the properties. The Notice identifies Wachovia as the Lender financing the construction. There are no construction liens recorded through February 13, 2007. Any construction liens that may be recorded in the future would relate back to the date of recording of the Notice of Commencement. Consequently, in connection would any re- conveyance of the properties to' the SMCRA, the Notice of Commencement should be properly terminated be ore the re- conveyance, otherwise the SMCRA would be taking title subject to such construction liens. I have also advised Mr. Washington of this issue. Finally, there are also several non -South Miami, and several South Miami liens on the property. Mr. Washington has been placed on notice that GMN will need to specifically resolve the non - South Miami liens. On March 6, 2006, Mr. David, vice -chair Wiscombe, and I met with�Ms. Denise Goodman, the SMCRA resident promised the 6400 SW 57`1 Street site (Ms. Goodman has a contract with GMN). On the subsequent day, March 7, 2006, we met with Ms. Gloria Brown, the SMCRA resident promised the 5895 -5899 SW 67`h Street by GMN. Ms. Goodman and Ms. Brown were advised of the status of reconveyance by GMN; the title issues, etc. The SMCRA staff is preparing an RFP. for contractors for the future development of SMCRA vacant lots. Due to the excessive delays, the extenuating circumstances (start of construction, abandonment of the site by GMN, exposed construction, etc.), Mr. David is contacting other CRA's, etc., for three reputable affordable housing contractors that can complete the construction of the former GMN home sites. 2001 Making our Neighborhood a Great Place to Live, .Work and Play" To: Honorable Chair and Date: March 12, 2007 SMCRA Board Membe 1 From: Stephen A. Da v' ITEM No.� �+ SMCRA Act' g Di r or CRAADVISORYBOARD REVIEW According to Section 7B of the 1999 interlocal agreement between Miami -Dade County and the South Miami, Community Redevelopment Agency, the CRA Advisory Board shall conduct a periodic review of the Agency's accomplishments with respect to the SMCRA Plan. On . February 28, 2007, the CRA Advisory Board met to conduct a review of the Agency's accomplishments. Attached as Exhibit A is a copy the detailed minutes from the February 28`h Advisory Board meeting. Attachments: March 12, 2007 CRA Advisory Board Minutes SD /MCGRUFFIPLANNINGIC R A1CRA Advisory Board Review.doc EXHIBIT A '11'® 2001 'Making our Neighborhood a Groat Place to five Work and Play' SOUTH MIAMI COMMUNITY REDEVELOPMENT ADVISORY BOARD MINUTES, FEBRUARY 285 2007 CALL TO ORDER: The South Miami Community Redevelopment Agency Advisory Board met on Wednesday, February 28, 2007 beginning at 5:45 p.m:, in the City Commission Chambers,. 6130 Sunset Drive. 1 ROLL CALL: The following members of the SMCRA Advisory Board were present: Members: Nancy Disotaur, Brian Beasly, Curphy Grant, Walter Harris, Reverend Gladys Turner. The following staff members were also present: Stephen. David, James McCants. 2.' INVOCATION: 'The invocation was delivered by Advisory Board Member Reverend Gladys Turner. 3. PLEDGE OF ALLEGIANCE: The pledge of allegiance was recited in unison. REGULAR MEETING: Staff explained that according the CRA interlocal agreement with Miami -Dade County, one of the roles of the CRA Advisory Board was to do a periodic review of all CRA initiatives and accomplishments as they relate to the adopted SMCRA Redevelopment Plan. Staff presented background information on the first three agenda items (A, B,, C). Special emphasis was,given to the following areas of the'.first three agenda items: 1. The importance of the SMCRA. Redevelopment -Plan in guiding the Agency in all current and fture redevelopment initiatives. 2. The documented need-for the SMCRA based.on economic and social analysis of the area. 3. The recommended implementation strategy for the Agency based on goals and objectives outlined in the Redevelopment Plan. Staff explained Miami -Dade County's intimate' involvement with the SMCRA including the .2005 County mandate that the SMCRA shall obtain a long -term bonding agreement to support the SMCRA's cornerstone project, Madison Square. Staff explained that the bonding agreement was secured and approved by Miami -Dade County on September 11, 20.06. Reference was made to the language in the County approval including a fifteen -year extension to the Agency based on "Madison Square being an example of a signature activity that would require the SMCRA to identify funding resources to complete the project and an example of future projects that justify extending the life of the SMCRA". Advisory Board Member Turner questioned whether all of the projects identified in the CRA Plan were approved by the Board. It was explained that all projects were approved in concept as part of the adopted plan. Board.Member Turner also asked whether the ultimate. decision regarding implementation details was the responsibility of the CRA Board. It was indicated that yes it was the ultimate responsibility of the Board. Advisory Board Member Grant asked whether the Madison Square Project was the primary current focus of the Agency. It was explained that because of the emphasis placed on the project by Miami -Dade County and the SMCRA Board, Madison Square was indeed a project of primary focus. Board Member Grant asked about the status of the Madison Square Project. A status of the land acquisition phase of the project was outlined. 'It was also explained that upon completion of the land acquisition phase of the project, the acquired land would be put out to bid for. potential developers. Advisory Board Member Harris asked how many properties have been acquired at this time. It was explained that out of the twenty total properties, approximately five remain to be purchased. Board Member Harris asked about the prices paid for property based on the appraised value. It was explained that the final price paid for - properties acquired by the SMCRA was based on an analysis cost versus the overall benefits of the project with respect to goals and objectives of the CRA Plan. I was also stated the CRA Board has expressed the inherent 'benefits of the City simply owning title to vacant land. Advisory Board Member Beasly expressed his opinion regarding the current stability of the real estate market. Board Member Grant also expressed his opinion regarding the,status of the real estate market. Staff then presented Agenda Item E, which included a detailed listing of CRA project accomplishments for Fiscal Years 04/05 and 05/06. In reviewing the CRA. project accomplishments, Board Member Harris asked whether the Wounded Healers Program was also required to provide monthly expenditure reports. Staff indicated the Wounded Healers Program was required to submit reports regarding all financial transactions for funding consideration by the Agency. Board Member Harris indicated that it was very important that a detailed accounting of all project funding be maintained by the Agency. Staff explained that an annual audit of all CRA financial activities is a requirement by law. Board Member Harris asked what was being done by the CRA in' terms'of creating new homes and businesses in the CRA area. Staff. explained that a total of four affordable homes were currently in various stages. of construction and or building permitting. .Staff further 'explained some of the recent difficulties experienced with one of the CRA's current builders. Advisory Board Member .Disotaur indicated concern about, two potential homeowners awaiting housing construction. The Advisory Board then began a general discussion regarding problems associated with one of the CRA's current affordable housing builders. Advisory Board Member Grant asked about the extent of legal resource taken by the SMCRA concerning the delinquent builders. It was explained that the two lots previously conveyed to the builder were scheduled to be returned.to the SMCRA. Board Member Disotaur indicated concern regarding safety and cleanliness of the site. Staff explained that the City of South Miami recently placed a lien on the two properties to clean and improve. the lot' conditions. Board Member Harris indicated that CRA image problems could result if unsuccessful events such as the delinquent builder were not resolved in a timely fashion. Board Member Harris indicated that the solution to the delinquent builder and any other potential problems is consistent follow through in resolving the problem and public awareness. It also was suggested that the existing builders who are currently in default had an exemplary track record when the CRA entered into agreement to build the homes. Board Member Harris indicated the importance of highlighting SMCRA success stories. Board Member Beasley indicated' that defaults by contractors -is a common occurrence in today's housing market. Discussion continued regarding the review of FY 04/05 accomplishments. -Board Member Harris. suggested that a documented record of completed projects including all relevant photographs be complied by staff.. Board Member Beasley also suggested that staff compile a report of CRA accomplishments. Board Member Harris volunteered to assist in taking photographs of completed projects. The Board suggested the possible utilization of a CRA newsletter. The Advisory Board next reviewed a detailed listing of CRA project accomplishments for Fiscal Year 05/06. The SMCRA 06/07 Budget was next reviewed by the Board. Staff indicated all funding ' revenues in this . year's adopted budget and the expenditure breakdowns for each corresponding budget line item. Board Member Harris inquired about the CRA procedures for purchasing and developing affordable housing lots. Staff explained that the CRA has traditionally purchased vacant lots in. the CRA area and conveyed the lots to housing developers to construct affordable housing. It was further explained that vacant lots are conveyed to potential developers as an incentive to develop affordable housing. The question was asked regarding the Apprenticeship Job-Training Program and how many trainees received job as a result of the program. Staff indicated that during the 05/06 Fiscal Year, 16 trainees received construction related jobs_as part of the program. A question was asked about the 06/07 Budget and the line item funding for a CRA designated Code and Police Officer. It was explained that each of the two positions are utilized to devote specific attention to the need within the CRA area. Board Member Turner expressed the importance of having each of 'these services in the CRA area. Board Member Harris indicated that he thought it was a good idea to have a readily accessible police officer in the CRA area. Board Member Harris also wanted to know whether the City could pay for this function. The Board agreed to meet a least four times per year and suggested a next meeting date of May 24, 2007 at 5:30 p.m. ADJOURNMENT: There being no further business to come before this Body, the meeting was adjourned at 7:20 p.m. '1111® 2001 Making our Neighborhood a Great Place to Li►fe, Work and Play/' To: Honorable Chair and CRA Board Members From: Stephen David SMCRA Actin Date: March 12, 2007 ITEM No. Q Ob ANNUAL A UDITOR'S REPORT According to Article II, Section 2.3 of the SMCRA By -Laws, an external audit shall be conducted on an annual basis, with reports filed in accordance with Florida law and with the adopted Interlocal Agreement. This year's auditor's report was prepared by Caballero & Castellanos, P.L. The report includes information regarding basic financial statements and required supplementary information for fiscal year ending September 30, 2006. A copy of the report has been included in the agenda packet as separate exhibit. Caballero & Castellanos representative Nestor Caballero, will provide a verbal report during this evening's meeting. Attachments: Annual Auditor's Report SDIIMCGRUFFIPLANNING%C R Al Annual Auditor's Report.doc SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY ' INDEPENDENT AUDITORS' REPORTS, BASIC FINANCIAL STATEMENTS AND REQUIRED SUPPLEMENTARY INFORMATION FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2006 SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY TABLE OF CONTENTS FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2006 INDEPENDENT AUDITORS' REPORT BASIC FINANCIAL STATEMENTS: Government-Wide Financial Statements: Statement of Net Assets j Statement of Activities Fund Financial Statements: Balance Sheet— Governmental Funds Statement of Revenues, Expenditures, and Changes in Fund Balances - Governmental Funds Notes to Financial Statements REQUIRED SUPPLEMENTARY INFORMATION: Budgetary Comparison Schedule Notes to Budgetary Comparison Schedule COMPLIANCE: Independent Auditors' Report on Compliance and on Internal Control over Financial Reporting Based on an Audit of Basic Financial Statements Performed in Accordance with Government Auditing Standards Management Letter Required By Section 10.554(G) of the Rules of the Auditor General of the State of Florida 1 Schedule of Findings and Recommendations Compliance with the Provisions of the Auditor General of the State of Florida 4 5 6 -10 11 12 13 14 15 16 4649 PONCE DE, LEON' BLVD. SUITE 404 CORAL GABLES,. FL 33146 21 1 S TEL: 305-662-7272 Alberni, Caballero 'FAx: 305-662-4266 & Castellanos, L.L.P. ace- CPA.COM, , •- CERTIFIED PUBLIC ACCOUNTANTS - - &'CONSULTANTS... INDEPENDENT AUDITORS' REPORT To the.Board of Directors_. South Miami Community Redevelopment Agency South Miami, Florida We have audited the accompanying financial statements of the governmental activities of the' South Miami . Community Redevelopment Agency (the "CRA "), a component unit of,the City'of South Miami, Florida, as of and for the fiscal year ended September 30, 2006, which collectively comprise the CRA's basic financial statements as listed . in the table of contents.' These financial statements are the responsibility of the CRA's management. Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted,in the United States of America and the standards applicable to financial audits contained in Government Audifing Standards, issued. by the Comptroller General of the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the, financial statements are free of material misstatement:. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinions. . . In our opinion, the basic financial statements referred to above present fairly, in all material respects, the respective_: financial position of the governmental activities of the.CRA as of and for the fiscal year ended September 30,'2006, and the respective changes in financial position thereof. for the fiscal year then ended in conformity with accounting principles generally accepted in the United States of America.' In accordance with Government Auditing, Standards,.we. have also issued a report dated February 27, 2007 on our consideration of the CRA's internal control over financial reporting and our tests of compliance with certain provisions of laws, regulations, contracts, and grant agreements and other. matters. The purpose of that report is to describe the . scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be read in conjunction with this report in considering the results of our audit. . The South Miami Community Redevelopment Agency has not presented the Management's Discussion and Analysis that accounting ,principles generally accepted in the United States of America has determined is necessary to supplement, although not required to be part of, the basic financial statements. The Budgetary Comparison Schedule, listed in the table of. contents, is not a required part of the basic financial statements but,is supplementary information' required by accounting principles generally accepted, in the United. States of America. We have applied' certain; limited . procedures, which consisted principally of inquiries of management regarding .the methods of measurement and presentation of the required supplementary information. However, we did not audit the information and express no opinion on it. iw&"'., WAS 9� ti, CCA. February 27, 2007 Miami, Florida SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY STATEMENT OF NET ASSETS SEPTEMBER 30, 2006 The accompanying notes are an integral part of the financial statements. 2 Governmental Activities: ASSETS Cash and cash equivalents, $ 885,816 . Due from the City of South Miami 120,644 Deposits on land purchases 299,019 Capital assets Land 349,594 Building .. 267,042 Equipment 9.977 Total capital assets 626,613 . Less accumulated depreciation (110.2251 Total capital assets, net 516,388 TOTAL ASSETS 1,821,867 LIABILITIES Compensated absences 882 Long -term liabilities: Due in more than one year - Compensated absences 3,205 TOTAL LIABILITIES 4,087 NET ASSETS Invested in capital assets 516,388 Unrestricted 1.301.392 TOTAL NET ASSETS . $ 1,817,780 The accompanying notes are an integral part of the financial statements. 2 o r n G Is i m 3 c @ w w j • •, ' < D 3 (D y d ^ (D C (D (D FD' m �r p co m z Z n• � O ..O O C _ (a�Df°�°' rn n y y N 7 y d(D CD W (D C0 'S co m O :° m Q m (D w cn w (D D -i o o y �.� o �o �' r�� W m m ro -1 < ti o° wcn ��C m y c 6A ;p Z Z (D d m o m .. w(1) cc z (A N ODa cn C/) w en iv V N . °' C , m�O .w � g ca CD = OO ; z v o D ,gym cr M d n; m a (c C) ° CD CD o Gi y . _ CD C N a 0� (n Q' � w 4 J � i i i1 O V SD W O -OO Mp N W G CO V O O V J O W W.O SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY BALANCE SHEET - GOVERNMENTAL FUND SEPTEMBER 30, 2006 General . Fund . ASSETS Cash and cash equivalents $ 885,816 Due from the City of South Miami I 120.644' TOTAL ASSETS $ 1,006,460 LIABILITIES Compensated absences $ 882 TOTAL LIABILITIES 882 FUND BALANCES' Reserved'for encumbrances 105,013 Unreserved 900.565 TOTAL FUND BALANCES . 1,005,578 Amounts reported for governmental activities in the statement of net assets (Page 2) are different as a result of: Capital assets used in governmental activities are not financial resources, and therefore are not reported in the funds.. 516,388 Long -term liabilities are not due and payable in the current period and therefore not reported in the funds: (3.205) Net assets of governmental activities (Page 2) $ 1,518,761 SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - GOVERNMENTAL FUND .FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2006 ,The accompanying notes are an integral part of the financial statements. 5 General Fund Revenues Tax increment revenue $ 1,206,070 Other income 17,440 Interest income 11.877 Total Revenues 1,235,387 Expenditures General government . 173,015 Community redevelopment 731.435 Total Expenditures 904.450 Excess of Revenues over Expenditures Before Transfers 330,937 ' Other Financing Sources (Uses) Transfers out (123,600) Total other financing uses (123.600) Excess of Revenues over Expenditures 207.337 Fund Balances, October 1 798,241 Fund Balances, September 30 " $ 1,005,578 Amounts reported for governmental activities in the statement of activities (Page 3) are different because: Net change in fund balances - total government fund 207,337 Governmental funds report capital outlays as expenditures. However, in the statement of activities, the cost of those• assets is depreciated over their estimated useful lives. Deposits on land purchases 299,019 Less current year depreciation (12,677) Change in net assets of governmental activities (Page 3) $ 493,679 ,The accompanying notes are an integral part of the financial statements. 5 SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY NOTES TO FINANCIAL STATEMENTS SEPTEMBER 30, 2006 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accounting policies of the South Miami Community Redevelopment Agency (the "CRA ") conform to generally .accepted accounting principles as applicable to governments. The following is a summary of the more significant - policies. A. Reporting Entity The CRA is a dependent special district established by the City of South Miami, Florida (the City) under the authority granted by Florida Statute 163, Section III. The purpose of the CRA is to prevent the spread of and eliminate the existence of slum and blighted conditions within the redevelopment area. The CRA is a legally separate entity established by Ordinance number 12 -97 -1633 of the City of South Miami on April 15, 1997. The Miami -Dade County Board of County Commissioners (the Board) approved and adopted the South Miami Redevelopment Agency Plan (the Plan) on May 19, 1998 with the adoption of Ordinances 98 -79 and 98 -80. On May 3, 2005, the Board approved Resolution R466 -05 amending the' Plan and extending the life of the CRA for fifteen (15) years beyond the June 1, 2005 sunset provision of the CRA's Interlocal Agreement with the County and providing for a sunset review within two (2) years of this extension if no long -term financing agreement supported by tax- increment financing revenues is completed within the two (2) year period. The criteria for including component units consists of identification of legally separate organizations for which the Board of Directors of the CRA are financially accountable. This criteria also includes identification of organizations for which the nature and significance of their relationship with the primary government are such that exclusion would cause the reporting entity's financial statements to_ be misleading or incomplete. Blended component units, although legally, separate entities, are in substance, part of the government's operations and so data from these units are combined with data of the primary government. Discretely presented component units are reported in a separate column in the government -wide financial statements to emphasize that they are .legally separate from the government. At September 30, 2006, the CRA had no entities that met the definition for inclusion as a blended or discretely presented component unit. For financial reporting purposes, the CRA is a component unit of the City of South Miami, Florida and is thus included in the City's comprehensive annual financial report as a blended component unit. B. Government -wide and fund financial statements The government -wide financial statements (i.e., the statement of net assets and the statement of activites) report information on all of the nonfduciary activities of the CRA. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business-type. activities, which rely to a I ignificant extent on fees and charges for support. The CRA had no business -type activities. The statement of activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include 1) charges to customers or applicants who purchase, use, or directly benefit from'goods, services, or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other items not properly included among program revenues are reported instead as general revenues. The CRA utilized only one fund, the General Fund, which is classified as a governmental fund and accounts for all financial resources of the CRA. The governmental fund statement includes reconciliations with brief explanations to better identify the relationship between the government -wide statements and the statement for the governmental fund. 6 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) C. Measurement Focus and Basis of Accounting The government -wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting:. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless; of the timing of related cash flows: The governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they. are both measurable_ and available: Revenues are considered to be available when they are collectible within the current period or: soon enough thereafter to pay liabilities of the current period. For this purpose, the CRA considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures generally are recorded when . the related fund liability is incurred. However, debt service expenditures, as well as expenditures related to ' compensated absences and claims and judgments, are recorded only when payment is due. Taxes and interest associated with the current fiscal period are all considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. All other revenue items are considered to be measurable and available only when the CRA receives cash. D. Cash and Cash Equivalents The CRA's cash and cash equivalents are considered to be cash on hand, demand deposits, and short-term investments with original maturities of three months or less from the date of acquisition. E. Capital Assets Capital assets, which include land, buildings, and machinery and equipment, are reported in the applicable governmental or business -type activities columns in the government -wide financial statements. Capital assets are defined by the CRA, as assets with an initial, individual cost of more than $750 and an estimated useful life in excess of one year. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital' assets are recorded at estimated fair market value at the date of donation. The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend assets' lives are not capitalized. Major outlays for capital assets and improvements are capitalized as they are completed. Capital assets are depreciated using the straight -line method over the following estimated useful lives: Assets Years Buildings 25 Equipment 5 F. Compensated Absences CRA employees are granted vacation and sick leave in varying amounts based on length of service and the department, which the employee serves. Effective October 1, 1996, the CRA's vacation and sick leave policy is that earned vacation and sick leave must be taken within one year of the employee's anniversary date, as there is no carryover from one period to another. Unused vacation pay, if any, is paid with the employee's. termination or retirement. However, the CRA continued to accrue vacation leave after the change in policy and discontinued to accrue vacation leave effective October 1, 2004. The liability for these compensated absences is recorded as a long -term debt in the government -wide financial statements. The current portion of this debt is estimated based on historical trends. Governmental funds report only the compensated absence liability payable from, expendable available financial resources. 7 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) G. Tax Increment Revenue The CRA's primary source of revenue is tax - increment funds. The increment is determined annually and is the amount equal to fifty percent (50 %) of the difference'between:. (a) The amount of ad valorem taxes levied each year by each taxing authority, exclusive of any,amount from any debt service millage, on 'taxable real property contained within the geographic boundaries of the Redevelopment Area; and (b) The amount of ad valorem taxes which would have been produced by the rate upon which the tax is levied each year by or for each taxing. authority, exclusive of any debt service millage, upon the total of the assessed value of the. taxable real property in the Redevelopment Area as shown upon the most recent assessment roll used in connection with the taxation of such property by each taxing authority prior to the effective date of the Miami -Dade County Ordinance #98 -80. Both the, City and the County are required to fund this amount annually without regard to tax collections or other obligations. For the fiscal year ended,September 30, 2006 the CRA's tax increment revenues include $664,266 received from the City. H. Fund Equity/Net Assets In the fund financial statements, the governmental fund reports reservations of fund balance for amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose. The description of each reserve indicates the purpose for which each is intended. Designations of fund balance represent tentative management plans that are subject to change. Unreserved, undesignated fund balance is the portion of fund equity available for any lawful use. In the government -wide financial statements, net assets represent the difference between assets and liabilities and are reported in three categories as hereafter described.'' • Net assets invested in capital assets, net of related debt, represent capital assets, net of accumulated depreciation and any outstanding debt related to those assets. • Net assets are reported as restricted when there are legal limitations imposed on their use by legislation, or external restrictions imposed by other governments, creditors, or grantors. • Unrestricted net assets are net assets that do not meet the definitions of the classifications previously described. When both restricted and unrestricted resources are available for use, it is the CRA's policy to use restricted resources first, and then unrestricted resources as they are needed. I. Use of Estimates The preparation of financial statements in conformity, with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts of assets, liabilities, disclosure of contingent liabilities, revenues, and expenditures /expenses reported in the financial statements and accompanying notes. These estimates include assessing the collectibility of receivables and the useful lives of capital assets. Although those estimates are based on management's knowledge of current events and actions it may undertake in the future, they may ultimately differ from actual results. 8 2, DEPOSITS Custodial credit risk In the case of deposits, this is the risk that in the event of a bank failure, the CRA's deposits may not be returned to it. All of the CRA's deposits are entirely insured by federal depository insurance or collateralized by the multiple financial institution collateral pool pursuant to Florida Statutes, Chapter 280, "Florida Security for Public Deposits Act." Under the Act, all qualified public depositories are required to pledge eligible collateral having a fair value equal to or greater than the average daily or monthly balance of all public deposits, multiplied by the depository's collateral pledging level. The book value of the CRA's deposits on the balance sheet date was $885,816. The bank balance of the CRA's deposits as of September 30, 2006 was $897,030: 3. RELATED PARTY TRANSACTIONS During the course of its operations, the CRA had numerous transactions with the City.to finance operations and provide services. To the extent that certain transactions between the CRA and the City have not been paid or received as of September 30, balances of interfund amounts receivable or payable have been reflected. As of September 30, 2006, the City owed the CRA $120,644 for transactions outstanding as of the fiscal year end. During the fiscal year ended September 30, 2006, the CRA transferred $123,600 to the City for code enforcement and public safety expenses: 4. CAPITAL ASSETS Capital asset activity for the fiscal year ended September 30, 2006 was as follows: Balance Balance October 1, September 2005 Additions Deletions 30, 2006 Governmental activities Capital assets not being depreciated: Land. $349.594 $ $ _ $349.594 Capital assets being. depreciated: Building 267,042 - - 267,042 Equipment 9.977 - - 9.977 Total capital assets being depreciated 277.019 - - 277.019 Less accumulated depreciation for: Building (91,562) (10,682) - (102,244) Equipment (5.986) (1,995) - (7,981) Total accumulated depreciation 97 548 1� 2.677) - (110,225) Total capital assets being depreciated, net 179.471 (12,677) 166.794 Governmental activities capital assets, net $529-Q65 $(12.6771 Depreciation expense was charged to the community redevelopment function /programs of the CRA. During 2006, the CRA deposited $299,019 in escrow to purchase two properties. The purchases were settled subsequent to year end. E 5. RISK MANAGEMENT The CRA is exposed to various risks of loss related to torts, theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. The CRA; through the City, purchases commercial insurance for the risks of loss to which it is exposed. Policy limits and deductibles are reviewed by. management and established at amounts to provide reasonable protection from significant financial loss. Settlements did not exceed insurance coverage for the current fiscal year. 6. COMMITMENTS AND CONTINGENCIES A. Grants Amounts received or receivable from grant agencies are subject to audit and adjustment by grantor agencies. Any disallowed claims, including amounts already collected, may constitute a liability of the CRA. The amount, if any, of expenditures which may be disallowed by the grantor cannot be determined at this time although the CRA expects such amounts, if any, to be immaterial. B. Interlocal Cooperation Agreement with Miami -Dade County On June 1, 2000, the CRA entered into an Interlocal Cooperation Agreement (the Interlocal Agreement) with the City and .the County in order to delineate their areas of responsibilities with respect to the redevelopment of the Redevelopment Area. ' The Interlocal Agreement requires the CRA to submit a supplement to its original South Miami Community Redevelopment Plan (the Plan) for the second phase of redevelopment by December 1, 2004. On May 3, 2005, the Board approved Resolution R- 466 -05 amending the Plan for the second phase of redevelopment and extended the life of the CRA for fifteen (15) years beyond the June 1, 2005 sunset provision of . the CRA's Interlocal Agreement with the County. However the renewal included a sunset review within two (2) years of this extension. The CRA must obtain long - term.financing supported by tax increment revenues to fund the second phase of the Plan within the two (2) year period ended 6/112007. 7. SUBSEQUENT EVENTS Subsequent to year end the CRA issued approximately $2,730,000 of Taxable Redevelopment Revenue Bonds, Series 2006 for the purpose of acquiring various properties located within the boundaries of the South Miami redevelopment area. The revenue bonds are secured and the City. The City purchased approximately seven properties proceeds of the revenue bonds. SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY BUDGETARY COMPARISON SCHEDULE FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2006 See notes to t Variance with Budgeted Amounts Final Budget- Actual Positive Or- iginal Final Amounts f Ne ative Revnues Tax increment revenue $ 1,187,124 $ 1,187,124 $ 1,206,070 $. 18,946 Other income - - 17,440 17,440 Interest income 9.500 9,500 11,877 2,377 Total Revenues 1,196,624 1,196,624 1,235,387 38,763 Expenditures General government, 232,246 232,246. 173,015 59,231 Community Redevelopment 1229.578 1,229.578 705,334 524,244 Total Expenditures 1,461,824 1,461.824 878.349 583.475 Excess of Revenues over Expenditures Before Transfers (265,200) (265,200) 357,038 622,238 Transfers (123.600) (123,600) (123,600) Excess of Revenues over Expenditures (388.800) (388,800) 233,438 622,238 Fund Balances, October 1 798,241 798,241 798,241 Fund Balances, September 30 $ 409,441 $ 409,441 $ 1,031,679 See notes to t SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY NOTES TO BUDGETARY COMPARISON SCHEDULE FISCAL YEAR ENDED SEPTEMBER 30, 2006 A. Budgetary Information . The following procedures are used to establish the budgetary data reflected in the financial statements: Annual budgets are adopted on a basis consistent with accounting principles generally accepted in the United States; except for encumbrances, which are reported as expenditures for budgetary purposes. A reconciliation of GAAP to the budgetary basis is shown below. 1. Prior to August 1 of each year, the Executive Director submits to the Board ' of Directors a proposed operating budget for the fiscal year commencing the following October 1. The operating budget includes proposed expenditures and the means of financing such expenditures. 2. Public hearings are held to obtain taxpayer comments. 3. Prior to October 1, the. budget is legally enacted through passage of an ordinance. 4. The level of control at which expenditures may not exceed budget. is at the fund level. The Executive Director is authorized to transfer budgeted amounts within individual accounts; any revisions that alter the total expenditures of any appropriation center within a fund must be approved by the Board of Directors and the City Council. Encumbrance' accounting is employed. in the governmental fund. Encumbrances (e.g., purchase orders, contracts) outstanding at year -end are reported as reservations of fund balances and do not constitute expenditures or liabilities because commitments will be re- appropriated and honored during the subsequent year. The final budget includes budget transfers between expenditure line items, which had no material effect on the original adopted budget. There were no supplemental appropriations for the fiscal year ended September 30, 2006. There were no budgetary expenditures in excess of appropriations for the CRA fund for the fiscal year ended September 30, 2006. B. Budget9GAAP Reconciliation The following schedule reconciles the amounts on the Budgetary Comparison Schedule to the amounts on the Statement of.Revenues, Expenditures and Changes in Fund Balances: Excess of revenues over expenditures (GAAP basis) $ 207,337 Encumbrances, net 26.101 Excess of revenues over expenditures (basis of budgeting) $ 253" 12 4649 PONCE DE LEON BLVD. SUITE 4 ❑4 _ CORAL SABLES, FL 331 46 - 21 is TEL: 305-662-7272 Alberni, Caballero FAX: 305-662-4266 &Castellanos, LL P. ACC-CPA.COM • CERTIFIED PUBLIC. ACCOUNTANTS. - - & CONSULTANTS - - - INDEPENDENT AUDITORS' REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND. ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS To the Board of Directors South Miami Community Redevelopment Agency, - South Miami, Florida We have audited the basic financial statements of the South Miami Community Redevelopment Agency (the CRA) as of and for the fiscal year ended September 30, 2006, and have issued our report thereon dated February 27,• 2007. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial, audits contained in Government Auditing Standards, issued, by the Comptroller General of the United States. Internal Control Over Financial Resorting In planning and performing our'audit, we considered the CRA's internal control over financial reporting in order to determine our auditing procedures for the purpose of expressing our opinion on the basic financial statements and not to provide assurance on the internal control`over financial reporting. Our consideration of the internal control over financial reporting would not necessarily disclose all' matters in, the internal control that might be ',material weaknesses. A material weakness is a reportable condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that misstatements caused by error or . fraud. in amounts that would be material in relation to the financial statements being. audited may occur.and not be detected within a timely period by employee in the normal course of performing their assigned functions. We noted no matters involving the internal control over financial reporting and its operation that we consider to be material weaknesses. . Compliance and Other Matters As part of obtaining reasonable assurance about whether the CRA's basic financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements,: noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our.' audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances' of noncompliance that are required to be reported under Govemment Auditing Standards. We noted other matters that we have reported in the schedule of financial statement findings.and recommendations. This report is intended solely for the information and use of the board, City council, - management, and federal awarding agencies , and pass- through entities, and the State of Florida Office of the Auditor .General, and is not intended to be and should not be used by anyone other than these specified parties: February 27, 2007 Coral Gables, Florida • 13 4649 PONCE DE LEON BLVD. SUITE 404 'CORAL GABLES, FL 33146­21 18 TEL: 305- 662-7272 Alberni, Caballero - FAx: 3057 662 -4266 & Castellanos, L.L.P. CERTIFIED. PUBLIC ACCOUNTANTS &'CONSULTANTS .. - MANAGEMENT LETTER REQUIRED BY SECTION 10.554(G) OF THE RULES OPTHE AUDITOR GENERAL OF THE STATE OF FLORIDA To the Board of Directors South Miami Community Redevelopment Agency; South Miami, Florida We have audited the basic financial statements of the South Miami Community Redevelopment Agency (the "CRA -), as of and for the fiscal year ended September 30, 2006, and have issued our report thereon dated February 27, 2007. - We conducted our audit in accordance with auditing .standardsgenerally'accepted in the United,States of America - a nd th e standards 'applicable for financial audits. contained. in G ov emme n t ' A di d' ng Standards issued by the Comptroller General of the United States; and Non- Protlt Organizations and Chapter 10.550, Rules of the Auditor.. " General. We, have. issued our Independent Auditor's Report on Compliance and' Internal Control over Financial Reporting, and 'a Schedule of Findings and Recommendations. Disclosures in those.reports and schedule, which are dated February 27, 2007, should be considered in conjunction with this management letter: The purpose of this letter is to comment on those matters described in Rule 10.554(1) (h) required by the Rules of the Auditor General for the State of Florida. Accordingly, in connection with our audit of the basic financial statements of the CRA, as described in the first paragraph, we report on the following, which is included on pages 15 and 16. I. Financial Statement Findings and Recommendations 11. Compliance with the Provisions 'of the Auditor General of the State of Florida., We previously reported on the CRNs compliance and internal control over financial reporting in our reports dated February 27, 2007 on page 13: This report is intended for the information of the Board of. Directors, Mayor, City Council, City Manager and management of the South Miami. Community Redevelopment Agency; and the Auditor General of the State of Florida and is not intended to be and should not be used by anyone other than these specified parties. We wish to thank.the South Miami Community Redevelopment Agency, and the personnel associated with it, for the opportunity to be of service to them in this endeavor as well as future, engagements and the courtesies extended to' Us. l.kv Umv..)� t;µ4t 4, L.P. February 27, 2007 Coral Gables, Florida ' '14 SECTION 1- FINANCIAL STATEMENT FINDINGS AND RECOMMENDATIONS A. CURRENT YEAR FINDINGS AND RECOMMENDATIONS NONE B. STATUS OF PRIOR YEAR FINANCIAL STATEMENT FINDINGS' MATERIAL WEAKNESSES No. 2004 -2 - Capital Assets Condition: During our, testing of capital assets we noted that there were several lots owned by the CRA which were not recorded on the CRA's books. Also, we found approximately $160,042 of program costs that had been capitalized and $216,467 of the Mobley Property, which was classified as land instead of building. Cause: The CRA was not aware that the lots had not been included in the prior year's physical inventory count for GASB 34 implementation. The program costs were incorrectly capitalized in prior audits and the Mobley Property was also incorrectly classified in prior audits. Effect: The CRA did not properly report its fixed assets as of September 30, 2004 and 2005. Recommendation: We recommend that the CRA review the list of property lots owned and work together with the City's finance department to ensure all transactions are properly recorded in its books. Current Year Status: There were no current year capital asset additions and the CRA property list was up to date as of September 30, 2006. This comment will no be repeated. 15 SECTION IL COMPLIANCE WITH THE PROVISIONS OF THE AUDITOR GENERAL OF THE STATE OF FLORIDA 1. No inaccuracies, shortages, defalcations, fraud and /or violations of laws, rules, regulations and contractual provisions were reported in the preceding annual financial audit; except as disclosed in the schedule of financial statement findings.and recommendations. 2. Recommendations made in the preceding annual financial report, have been addressed. 3. There were no recommendations to improve the CRA's present financial management, accounting procedures and internal controls reported for the fiscal year ended September 30, 2006. 4. During the course of our audit, other than matters that are clearly inconsequential considering both qualitative and: quantitative factors and those disclosed in the schedule of financial statement findings and recommendations, nothing came to our attention that caused us to believe that the CRA: a. Was in violation of any laws, rules or regulations and contractual provisions or abuse that have occurred; or were likely to have occurred. b. Made any illegal or improper expenditures. c. Had improper or inadequate accounting procedures. d. Failed to properly record financial transactions. e. Had other inaccuracies, shortages, defalcations and instances of fraud. . 5. The CRA is a legally separate entity established by Ordinance number 12 -97 -1633 of the City of South Miami on April 15, 1997. The Miami -Dade County Board of County Commissioners approved and adopted the South Miami Redevelopment Agency Plan on May 19, 1998 with the adoption of Ordinances 98 -79 and 98 -80. On May 3, 2005, the Board approved Resolution R- 466 -05 amending the Plan and extending the life of the CRA for fifteen (15) years beyond the June 1, 2005 sunset provision of the •CRNs Interlocal Agreement with the County and providing for a sunset review within two (2) years of this extension; if no long -term financing agreement supported by tax increment financing revenues is completed within the two (2) Year period. 6. The-CRA was in compliance with Section 218.415, Florida Statutes,. regarding the investment of public funds. 7. The CRA, during fiscal year 2006, was not in a state of financial emergency as defined by Florida Statute, Section 218.503(1). 8. The CRA Is a dependent special district of the City of South Miami, Florida and therefore not required to file the annual financial report (AFR) with the Department of Banking and Finance (the Department) pursuant to Section 218.32(1)(a), Florida Statutes. 9. The CRA is a dependent special district of the City of South Miami, Florida and included in the City's financial statements as a blended component .unit. The CRA is therefore included in the City's financial condition assessment procedures pursuant to Rule 10.566(8). 16 �: To: Honorable Chair and Date: February 12, 2007 SMCRA Board Memb 2 From: Stephen David ITEM No. `! SMCRA Act' g D� ctor GENERAL COUNCIL REPORT 's .Attached as Exhibit A is the General Council Report for March 2007. Attachments: General Council Memorandum r SD:ICRA1 General Council Report.doc :EXHIBIT A MEMORANDUM To: SMCRA Board, Stephen David, Interim Director From: Eve A. Boutsis, general counsel Date: March 12, 2007 Re: General Counsel Report. OCED grant to SMCRA As you are aware, I have been trying to get the OCED grant executed for almost two years. Due to the take over of MDHA by US HUD, and the entire fiasco reported in the Miami Herald relating to MDHA, the county attorney's office and OCED staff have not been able to concentrate on the grant documents. The new OCED director, Jose Cintron, was formerly employed by US HUD. He.has been "borrowed" by MDHA and US to assist them in reviewing MDHA matters. The attorney for OCED, Glenn Sacks, left the county attorney's office. The new attorney, Brenda Kuhns indicated that she is swamped, as she is unfamiliar with the transaction, and most importantly, due to litigation surrounding the MDHA. She has committed to preparing the final document before the SMCRA's April meeting. Please note, that I have contacted Ms. Kuhns at least one time a week, since January. Recently, I have been contacting her at least three times a week. Ms. Kuhns has apologized and has indicated that Mr. War Ahmed, of OCED has voiced great concern and embarrassment over the delays. Aries Insurance - 6411 SW 59th Place, folio number 09- 4025- 010 -0290: SMCRA v Aries, Case No.: 01 -21614 CA 23. This matter is indefinitely stayed. We have filed a Notice of Lis Pendens, the amended complaint and a Suggestion of Bankruptcy and Notice of Operation of Automatic Stay. Aries is going through receivership, which requires approval of the Insurance Receiver as to any sale of Aries Assets. Mr. Taylor, who agreed to sell his lot, 6415 SW 59`h Place, to the SMCRA had previously attempted to buy this land from the receiver. Mr. Taylor abandoned his interest in the Aries land. As such, Aries has agreed to sell the parcel to the SMCRA and during the January 2007 board meeting the SMCRA approved. an "option agreement." The receiver recently approved that agreement. Mr. Lott is clearing any remaining title issues and proceeding to closing. We anticipate closing by the end of March, 2007. Taylor parcel, 6415 SW 5911 Place. As for Mr. Taylor's property, there are several title issues that need to be resolved before a closing can take place related to 6415 SW 59`" Place. His attorney has not been responsive to Mr. Lott, and as such, closing has been delayed. As such, Mr. Taylor has asked Mr. Lott to complete some estate work rather than deal with his prior attorney. Mr. Taylor's father had an interest in the land. He is now deceased.. Mr. Taylor needs to close out the estate. Once Mr. Lott completes the estate work for Mr. Taylor, the SMCRA shall be able to proceed to closing. b V12C Rl� ]001 Making our Neighborhood a Great Place to Live, Work and Play' To: Honorable Chair and Date: March 12, 2007 SMCRA Board Members From: Stephen David ITEM No. SMCRA Act' g ector PAYMENT OFATTORNEYFEES FOR NAGIN GALLOP 1 RESOLUTION A RESOLUTION OF THE CITY OF SOUTH. MIAMI COMMUNITY REDEVELOPMENT AGENCY RELATING TO ATTORNEY FEES; APPROVING ATTORNEY'S FEES FOR NAGIN GALLOP FIGUEREDO, P.A., FOR INVOICES DATED FEBRUARY 26, 2007 IN THE TOTAL AMOUNT OF $1,657.78; CHARGING THE AMOUNT OF _$1,657.78 TO ACCOUNT NO. 610 - 1110 - 564- 31 -20, GENERAL CORPORATE ACCOUNT; AND PROVIDING AN EFFECTIVE DATE. BACKGROUND The firm of Nagin Gallop Figueredo, P.A. currently serves as general counsel to the CRA. The firm has submitted the following invoices for general corporate legal services. Invoice Date Amount . February 26, 2007 $1,657.78 Total Amount for All Invoices: RECOMMENDATION: Charae Account No. 610-1110-564-31-20 (General Corporate Account) $1,657.78 Staff recommends approval of the attached resolution, authorizing the SMCRA Director to: (1) Disburse payment for legal services rendered for general corporate matters in the amount of $1,657.78 to Nagin Gallop Figueredo, P.A., charging this amount to Account No. 610 - 1110 - 564- 31 -20, General Corporate Account. Attachments: Drag Resolution Nagin Gallop Figueredo Invoice SD /E:1C R A\Nagin Gallop Payment Report.doc 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 RESOLUTION NO. A RESOLUTION OF THE CITY OF -SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY RELATING TO ATTORNEY FEES; APPROVING. ATTORNEY'S FEES FOR NAGIN GALLOP FIGUEREDO, P.A., FOR INVOICES DATED FEBRUARY 26, 2007 IN THE TOTAL AMOUNT OF $1,657.78; 'CHARGING THE AMOUNT OF $19657.78 TO. ACCOUNT NO. 610-1.110-564-31-20,, GENERAL CORPORATE ACCOUNT; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, Nagin Gallop Figueredo, P.A., submitted invoices to the CRA for legal services rendered, costs advanced, for 0076 -001, general corporate matters for the period ending February 26, 2007 in the amount of $1,657.78; and NOW THEREFORE BE IT RESOLVED BY THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SOUTH MIAMI, FLORIDA THAT: Section 1. . The South Miami Community Redevelopment Agency authorizes payment in the amount of $1,657.78 to Nagin Gallop Figueredo, P.A., for its attorney's fees on 0076 -001, general corporate CRA matters. Section 2. This resolution shall take effect immediately upon adoption. PASSED AND ADOPTED this ATTEST: City of South Miami Community Redevelopment Agency Clerk day of March, 2007. APPROVED: Chairperson Horace Feliu 1 2 Board Vote: 3 Chairperson Feliu: 4 Vice- Chairperson Wiscombe: 5 READ'AND APPROVED AS'TO FORM: Board Member Birts: 6 Board Member Palmer: 7 Board Member Beckman: 8 Board Member Ellis: 9 Board Member Williams: . . 10 Eve A. Boutsis, General.Counsel 11 12 13 0 1 1 CONFIDENTIAL - ATTORNEY /CLIENT PRIVILEGE NAGIN GALLOP FIGUEREDOP Attorneys & Counselors . .18001 Old Cutler Road,'Suite 556, Miami, Florida 33157 Telephone: (305) 854 -5353 Facsimile: (305) 854 -5351 Ronald O'Donniley February 26, 2007 City of South Miami Community Redevelopment Agency Matter ID: 0076 -001 6130 Sunset Drive CRA - General Corporate South Miami, FL 33143 Invoice Number 18907 Hours Amount 1/3012007 EAB Follow up on 3131 deadline for CRA to provide annual report to city 0.20 37.00 commission of the assets, liabilities, income and operating . - expenses of CRA. The report should be advertised in newspaper of general circulation "that it has been filed with city and that the, report is available for inspection during business hours in the office 'of the clerk of the city commission and in the office of the agency." 2/1/2007. EAB Follow up with -Ms. Brenda Kuhns at MDC regarding OCED funding; 0.30 55.50 . follow up with,Mr. David on deadlines; assignments; and status of matters: 2/5/2007. EAB Attention to interlocal and application of same to Madison Square 2.00 370.00 project and affordable housing; attended meeting with Mr. Balogun, . Mr. Youkilis, Ms. Lama, and Mr. David regarding Mobley Building; attention to MDC grant item; drafted apprenticeship grant. agreement. 2/6/2007 EAB . Telephone conference with Ms. Elena Dominguez of GMN. 0.20 37.00 2/8/2007 EAB. Attended meeting with architect, Mr. David, Ms. McKinley, Mr. 1.50 277.50 Youkilis, Ms. Lama, and parks representative regarding plans for Mobley Building. 2/12/2007. EAB Analyzed agenda; telephone conference with Mr. David regarding . 2.00 370.00 deferral of. item 9, and procedures for meeting; drafted letter to Ms. Warren at MDHA; and email communications with Ms.,Kuhns regarding OCED grant; follow up regarding same; follow up with GMN; email communications with VC Wiscombe regarding same; telephone conference with Mr. Lynn Washington; telephone conference with Mr. David regarding GMN. 2/16/2007 EAB Telephone conference with Ms. Goodman; telephone conference 1.60 296.00 with ch.•Feliu regarding GMN; email communications with Mr.. Washington regarding GMN; attention to OCED grant;'email communications with Ms. Kuhn regarding same; follow up on mortgage interest tied to OCED. matter; email communication with Affordable Housing Advisory Committee regarding inquiry into GMN matter. Payment Is due upon receipt. Please notify us within 10 days of any questions you have regarding this Invoice. Interest at a rate of 1.5% per month will be charged if payment is not received within 30 days. - I Nagin Gallop'Figueredo, P.A. Matter ID: 0076 -001 Statement No. 18907 Page: 2 ` CONFIDENTIAL - ATTORNEY /CLIENT PRIVILEGE - 2/20/2007 EAB Telephone conference with Ms. Newman regarding OCED grant; 0.50 92.50 follow up with Mr. Lynn Washington regarding GMN matter and return of lots; telephone. conference with Mr. Lott regarding Aries matter; follow up with staff regarding GMN. 2/22/2007 EAB Attention to Aries matter.: 0.40 74.00 Total Professional Services. 1,609.50 Rate Summary Eve A..Boutsis 8.70 hours at $185.00/hr 1,609.50 Total hours: 8.70 1,609.50 `2/26/2007: Disbursements incurred - 3.0% 48.28 Payments and Credits .1/31/2007 Check No. 74637 -,Client 0076 7001 Filing Fee Refund 16.75 2/9/2007 Check No. 55823 7,943.91 7,960.66 For Professional Services 1,609.50 For Disbursements Incurred 48.28 Current Balance: 1,657.78 Previous Balance: 13,441.60 Payments - Thank you 7,960.66 Total Due 7,138.72 To be. properly credited, please indicate Invoice Number on your remittance check. Payment is due upon receipt. Please notify us within 10 days of any questions you have regarding this invoice.: Interest at a rate of 1.5 °!° per month will be charged If payment is not received within 30 days. III1001 Making our Neighborhood a Great Place to Live, Work and Play' To: Honorable Chair and Date: March 12, 2007. SMCRA Board Me From: Stephen Davi , ITEM No. SMCRA A ing D' ector PAYMENT OF A TTORNE Y FEES FOR LOTT & LEVINE, P.A. RESOLUTION A RESOLUTION OF THE CITY OF SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY RELATING TO ATTORNEY FEES; APPROVING ATTORNEY'S FEES FOR LOTT & LEVINE, P.A., FOR INVOICES DATED MARCH 5, 2007 IN THE TOTAL AMOUNT OF $1,423.60; CHARGING THE AMOUNT OF $1,423.60 TO ACCOUNT NO. 610 - 1110 - 583- 61 -10, LAND ACQUISITION ACCOUNT; AND PROVIDING AN EFFECTIVE DATE., BACKGROUND The firm of Lott & Levine P.A. currently serves as real estate closing attorney for the firm of Nagin Gallop Figueroa. Lott & Levine P.A. has submitted. the following invoices for land acquisition related legal services. Invoice Date Amount March 5, 2007 $273.00 March 5, 2007 $234.00 March 5, 2007 $224.35 March 5, 2007 $419.25 March 5, 2007 $273.00 Total Amount for All Invoices: RECOMMENDATION: Charge Acct. No. 610- 1110 - 583 -61 -10 Land Acquisition Account. 610 - 1110- 583 -61 -10 Land Acquisition Account 610-1110-583-61-10 Land Acquisition Account 610 -1110- 583 -61 -10 Land Acquisition Account 610 -1110. 583 -61 -10 Land Acquisition Account $1,423.60 Staff recommends approval of the attached resolution, authorizing the SMCRA Director to: (1) Disburse payment for legal services rendered for general corporate matters in the amount of $1,423.60 to Lott & Levine, P.A., charging this amount to Account No. 610- 1110 - 583 -61 -10 (Land Acquisition Account). -Attachments: Draft Resolution Lott & Levine Invoice SD /E: \C R A \Lott & Levine Payment Report.doc 1 2 3' 4 5 6 7 8 9 10 . 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 .39 40 41 42 43 RESOLUTION NO. A RESOLUTION OF THE CITY OF SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY RELATING TO ATTORNEY FEES; APPROVING ATTORNEY'S FEES FOR LOTT & LEVINE, P.A., FOR INVOICES DATED MARCH 5, 2007 IN THE TOTAL AMOUNT OF $1,423.60; CHARGING THE AMOUNT OF $19423.60 TO ACCOUNT NO. 610 - 1110- 5$3- 61 -10, LAND ACQUISITION ACCOUNT; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, The firm of Lott & Levine, P.A. currently serves as real estate closing attorney to Nagin Gallop & Figueroa; and WHEREAS, The firm . of Lott & Levine has submitted invoices dated March 5, 2007 in the total amount of $1,423.60 for SMCRA land acquisition matters; and NOW THEREFORE BE IT RESOLVED BY THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SOUTH MIAMI, FLORIDA THAT: Section 1. The South Miami Community Redevelopment' Agency authorizes payment in the amount of $1,423.60 to Lott & Levine, P.A., for its attorney's fees for SMCRA- land acquisition matters and charging the total amount to Account # 610- 1110 -583 -6110 (Land Acquisition Account) Section 2. This resolution shall take effect immediately upon adoption. PASSED AND ADOPTED this ATTEST: City of South Miami Community Redevelopment Agency Clerk day of March, 2007. Chairperson Horace Feliu 1 2 3 4 Board Vote: 5 Chairperson Feliu: 6 Vice Chairperson Wiscombe: 7 READ AND APPROVED AS TO FORM: Board Member Birts: S 'Board Member Palmer: 9 Board Member Beckman: 10 Board Member Ellis: 11 Board Member Williams: 12 Eve A. Boutsis, General Counsel 13 14 :.•.:Mar OS-`07 02.54p. Lciti•c • &•Levi'ne .. (305) ...870,_.Q. 7.aI:;:::... p :::.•. . LOTT & LEVINE 9155 96ii D ' eland Blvd Suite 1014' Miami, � Florida: 3� 156 F}iorie::305= 670 =0700 . Fax:.'305 =b70 -.0701 TOTAX.NUMBER- : ; •305' 8 4.5551`:: ATTLNTIO 'EVE BOUTSIS FROM: GEOT�QE J.`" L&T ' ' DATE: 43/05147 ' NUMBER OF PA,GrS; • . 7:(ui6iirdirig,c6v0 .sheet).-. oices.for, y ofSouth`Miam► and SMCR A : ; .. . I' aimfaxing .ta:you'several.new:mvgices preparq.: 0day'along with a stateii elat:ofaccount reilectmg`al1 outstatidiri ' "invoices .. you,h :ve any gtaestions or need'copit s ofinvaices prnously minted to -you; "plerse contact,me:' 71a ik: u for. yourtime and kind attentiiin-tdthis'matter. .Tins fuc9!fhil6 transmittal may contain:infoimatioh which is privileged,' canfidciitia[ or �ithecivise e�cempt " from .iii §cigsuiq under a tiaablc luw It ss,v tended only for tho pso o£iho individual or entity to4bicii it•is adaressed:'lf:yoii are not the interidod reCipiezit;rthe agent:oranployee responsible for':delivering this facciriiilt; iransriiitta�l',tn the ititende8 recipient, '. are h licai�ori'or ' • . • • ci.istcifiution`of this facs'uiily transrri�ttal anii the anl'ormahon contained herein is strictCy' pioliibtted: If you liava,,reGeived this.:facs toile transmittal in;: error,please notify us :unmediately S, nii :;return the'facsimile transmittal 'to'us'at'ilioabove`addicss. Tiiuii lr you `fory.*'ccioperatton. ........... ; ........... ..... :.; ...• ...Mar ~ 05' 07 02'.;54p' l.att & L6;�iirie+ C30S) 670 0701' ' "'p.2 LQTT. &:.LEVM DADELAND :CENTRE,' SUTCE 1014 9155-SOUTH-b. 6-33.OULEVARD CITY OF SOUTH MIAMI March :5, 2007 ' EVE A:.;-.BO UT$IS* ESQ: Reference No. 8385 Ork�ICL'OF '1'H.E CITY A.TTORNBY ' . 18001' OLD CUTLER RO, SUITE'556 .PALI tTTO' BAY,*FL 33157 F&,pi6f6ssionai, Services.Concerning: 1vSatcec I�Tumiiei:. Cl'rY4•.04011 Title. 6429 SW 60 AV1?NUl✓ Hours • 01!23/07 MEETING WITH :EXEMMON .CLERK FOR :Mk. PROPERTIES WHICH :ARE .NOT VACANT L;fiDS' OBTAINED'APPLICATION :.01/24147 TELEPHONE CONFERENCE WITH �.ORRAME . :..... . ..:. :.: • , .�L &L��WILL FILE:.I;ET'�ERS,;FOIL:EXEMPTION :FOR VACANT EROPER'TIES;..YrORIt INE V✓ILL FILE APPI:ICA'T'IQ1�i5 FOR,WPPOVED LANDS... 0.20 E AN 02/12/07 RECIVED :D REVIEWED FAt'FROM I.URI2 ATNE _. R9$PONSE l ROM' TAX ASSFSSUIZ'S OFFICE; FOLLOW' UP 0.20 TELEPHONE 'CONFEKENCE. Total Hours -and Fees: 1.40 $273.00 Matter Summary: Tot�l "Fees: $273.00 Sub -Total Current'Tees' a nd Costs: $273.00 Amount Due: $273:00 . .... ................ _ ...... _ ..... - ..................... ........... ...•........., v ...,.... _ ...... ...... .... .... ....r,..._..........,..__..._.. _.... _ _. ........ ... .., „.,�, .� r -. -. - .....�........_ ... . - .............. •...._. (3051" 670 LOTT &:LEVM DA1)EW0:CENMv-*-SU1TE '1014 gi.ss-sb,tit�A-6AbttAND,130tj.LEVARD TL6idDA,-3,3,156 6, .2007 ,EVE A_:A301j.Tp1.S Rd6rie''in"66 N6.­8387' COMMUNrrY--REDEV.EL* 0` PMBNT •-A GENCY igoI 0 L D) c UrLER,RD. SUITE 556 :MtAA2I; 33157 For'Woession avim..Onceming: "i4tkESA .SAWYER CITY4.04076 Thle. ANDT svtk" T FOLIO 'NO.--094025;010-0560 Hours' ..TELEPHONE CONFERENCES' WITH .CRA; :pigpkRi ED " -AND"F' A" X. " B " . ' . ATURE PAGE T 0"DEED; I F M "t. o... w,up 1 .., .. -00NFMN,q`t,.V,*1,T­,.k -SAWYER' ::(W 'MP, THERE-ARB OUTSTANDING' -.TAXE9:ON,TM-PR0P9kTY).,`1, 0.70 .01127/07 iink -SEARCH TO' VERIFY. RECORDING comp 'RA'. At 'OF DEED TO :M TMND�TCi.TAXES; -FOLLOW UP TELEPHONE T EPHONE:CONFERENC g WIT H'SA W . . Y . R. 0.50 20 - $34.00' Total 'Hours 'and L 2. 'M4cr-Su6amar. y- $234.00 Total Cost: $0.00 Sub-Total Current Fees and Costs:' $214.00* Amount Due: $234:00 .............. r Ma ..::...:::: ...... . r 05 :'0'7 ;.Q2 i [ 3051 .67p= :0741 ".`p,S' ..' ::. '.. '•: j 111101.. �• 2001 Making our Neighborhood a Great Place to Live, Work and Plays' To:- Honorable Chair and SMCRA Board Mem ] From: Stephen SMCRA RESOLUTION Date: March 12, 2007 ITEM No FY 06107 BUDGET AMENDMENT A RESOLUTION OF THE SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY ( SMCRA) AUTHORIZING A BUDGET TRANSFER IN THE AMOUNT OF $25,000 FROM. ACCOUNT, NUMBER 610 - 1110 - 551 -20 -20 (PROFESSIONAL SERVICES/ECONOMIC DEVELOPMENT),. TO ACCOUNT NUMBER 610- 1110 - 572 -99 -30 (OTHER USES /PARK IMPROVEMENTS) WHICH FUNDING SHALL BE UTILIZED AS THE SMCRA'S CONTRIBUTION TOWARDS THE INSTALLATION OF. SAFETY LIGHTING AT THE CITY OF SOUTH MIAMI MURRAY PARK/ MOBLEY BUILDING COMPLEX; AND PROVIDING AN EFFECTIVE DATE. BACKGROUND During the March 6, 2007 2007 City Commission Meeting, the Commission expressed a desire for SMCRA to contribute FY 06/07 budgeted funding towards the installation of safety lighting at the City .of South Miami Murray Park Complex. The Murray Park Complex also includes the SMCRA owned Mobley Building. The FY 06/07 Budget was adopted by the Board on October 17, 2007. All approved funding in the budget has been designated for specific programmatic activities. Included in the 06/07 adopted budget, is allocated funding designated for the SMCRA's contribution towards the "Sundays on Sunset" monthly event. Given the fact that the "Sundays on Sunset" event has not yet been initiated, the possibility FY 06/07 carry -over funding exists. If approved, the attached resolution shall authorize a budget transfer in the amount of $25,000 from Account No. 610 -1110- 551 -20 -20 (Professional Services/Economic Development Account) to Account No. 610 - 1110- 572 -99 -30 (Other Uses/Park Improvements) which has a current funding balance of $0.00. If approved, transferred funding shall be utilized as a SMCRA contribution towards the installation of safety lighting at the City of South Miami Murray Park/Mobley Building Complex. The approved quote for the installation of safety lighting installation has been attached as Exhibit A. Attachments: Draft Resolution Approved Quote for Lighting Installation SDUMCGRUFFIPLANNINGIC R AISMCRA Budget Amedment.doc I 1 RESOLUTION NO. 2 3 A: .RESOLUTION OF THE SOUTH MIAMI COMMUNITY 4 REDEVELOPMENT AGENCY ( SMCRA) AUTHORIZING A BUDGET 5 TRANSFER`IN THE AMOUNT OF $25,000. FROM ACCOUNT. NUMBER 6: 610- 1110 - 551 -20 -20 (PROFESSIONAL SERVICES/ECONOMIC 7' . DEVELOPMENT), TO ACCOUNT NUMBER 610- 1110 - 572 -99 -30 (OTHER . 8 USES/PARK IMPROVEMENTS) WHICH FUNDING 'SHALL BE 9 UTILIZED` AS THE SMCRA'S CONTRIBUTION. TOWARDS THE 10 'INSTALLATION OF SAFETY LIGHTING AT THE CITY OF. SOUTH 11 MIAMI MURRAY PARK/.. MOBLEY BUILDING COMPLEX AND 12 CHARGING ACCOUNT NO, 610- 1110 - 572.99 -3.0 (OTHER USES/PARK 13 IMPROVEMENTS) ;'AND PROVIDING AN EFFECTIVE DATE. 14. 15 WHEREAS, ' during the ' March 6,-.2007 City., Commission Meeting, the 16 Commission expressed a desire, for SMCRA to contribute FY 06/07 budgeted 17 .: funding towards.,the . installation of safety lighting at'.the City of South Miami 18 Murray Park Complex; and 19. 20 WHEREAS; the City, of South Miami Murray Park Complex also includes 21 the SMCRA owned Mobley Building; and 22 23 WHEREAS, the FY 06/07 SMCRA Budget was adopted by the Board on 24 October 17, 2007 and includes . designated funding allocations for specific 25 SMCRA programmatic uses; 'and 26 27 WHEREAS, included in-the FY. 06/07 . adopted budget, .funding has been 28 specifically designated as a' SMCRA contribution towards the "Sundays on 29 Sunset" monthly event; -and _ 30 . 31 WHEREAS, based on the'.fact that the "Sundays on Sunset" event has thus 32 far not been initiated, the possibility FY 06/07 carry -over funding exists;.and 33 34 WHEREAS, pending Board approval, a budget transfer shall be initiated in 35 the amount of $25,000 from Account# 610 -1110- 551 -20 -20 (Professional 36 Services/ Economic Development Account) to Account# 610- 1110 - 572 -99 -30 37 (Other Uses/Park Improvements); and 38 39 WHEREAS, transferred funding shall be . utilized as ..a SMCRA 40 contribution towards the installation .of safety. lighting at the City of South Miami 41 Murray Park/Mobley Building; and 42 . 1 : NOW THEREFORE BE IT RESOLVED BY THE COMMUNITY 2 REDEVELOPMENT AGENCY BOARD `FOR THE CITY OF SOUTH 3 MIAMI, FLORIDA: 4 5 Section 1. The South Miami.Community Redevelopment Agency (SMCRA) 6 authorizes a budget transfers in the'amount of $25,000 from Account# 610 -1110- 7 551 -20 -20 (Professional ,Services/Economic Development Account) to Account# 8 610- 1110 - 572 -99 =30 (Other Uses/Park Improvements). 9 10 Section 2: Transferred funds in the amount ,of $25,000 shall be utilized as a .11 SMCRA. contribution towards the installation of safety lighting at the City of 12 South Miami Murray Park/Mobley Building as per the approved quote submitted 13 by Benson Electric Inc and charging the total amount to.Account No. 610 71110 14 572 -99 -30 (Other Uses/Park Improvements). 15 16 17 Section 3: This resolution shall take effect immediately upon approval. 18 19. 20 PASSED AND ADOPTED this day of March; 2007. 21 - 22 23 ATTEST: APPROVED: 24 25. . 26. City of South Miami Chairperson.Feliu 27 Community Redevelopment Agency Clerk 28 29 30 Board Vote: 31 - Chairperson Feliu: 32 Vice Chairperson Wiscombe: 33 READ AND APPROVED AS TO FORM: Board Member: Palmer 34 Board Member Brits: 35 Board Member Beckman: 36 Board Member Ellis: '37 Board Member Williams: 38 Eve A. Boutsis, General Counsel 39 (EXHIBIT A Job proposal, Benson Electric, Inc. 10475S'W 180 Street Miami, Florida 33157 (305)•235 -6741 Fax (305) 2354690 Proposal submitted to: CITY OF SOUTH Project Name: UPGRADE OF MURRY PARK HALL MfAMf FIELD LIGHT WIRING, 4795 SW 75 AVE 6701 SW 58 PLACE MIAMI, FL 33155 PH :305-665-6350 ATT-. RUDY DE LA TORRE FAX : 305.668 -7208 FEBRIJ'ARY 16, 2007 Proposal Specification: We are pleased to provide you with a proposal to perform electrioal work for the project referenced above. Our proposal is based on the following: Estimate to furnish and install materials necessary for upgrading of ball field light wiring as per plans and spec's given by city. Pe=t included. We appreciate the opportunity of providing you with this proposal. Please do not hesitate to call if you havo asty questions regarding our proposed scope Notes: Does not include any patching or painting. Not responsiblc for any violation or fees inspector may find not related to work. being performed. All -work will be dozir during Iaormal working hours. We ish materials and labor in accordance with the specification above for the sum Orf 55,440.QQLA us proposal may be withdrawn by us if not accepted within 34 days. payment trl er filling. ml matcriala are gudrantcod to be as specified All work to be completed in a workmanlike inanncr according to standard practices, Any aherution or deviation from too above ipcW1czdioa Involving extra costs will be executed only upon the issuance of written chauge orders, and will become an exua charge over wid above the estlmata. All net ments wo conkinsont upon atrikr5, accidents or delays boyond our cono'ol. owner to carry tiro, tornado and odtcr necessary iasumcm Our workers are tUlly covered by Workn='o Compensation Insurance Authori i tore Acctsptance Signature errson Electric, Yne he above price, specifieadons and eoditioas arc Evertott Williams satisfactoty and are hereby wecpted, You are hereby authorixod to prooeod with the work as described, payment shall be as specified. TO /T0 3Jtid �I211D3�3 N05NSH Q69ti— SEir -90E 6L�9L L00Zl9LlZ0 L0 /Z0 39tid IWtfIW H1flOS 90 1. !IO 80ZL89990E6 EZ :6T 400Z /LZ /Z0 �i•�rrn r • • • •• ••• • • • • • • • • To: Honorable Chair and SMCRA Board Members From: Stephen 1 SMCRA RESOLUTION Date: March 12, 2407 ITEM No. A UTHORIZATION TO PURCHASE 6420 SW 59' PLACE AND 6428 SW 59' PLACE A RESOLUTION OF THE SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY ( SMCRA) RELATING TO REAL PROPERTY; AUTHORIZING THE SMCRA DIRECTOR TO EXECUTE A PURCHASE AND SALE AGREEMENT BETWEEN THE SMCRA AND THE EXISTING PROPERTY OWNERS OF RECORD TO PURCHASE 6420 SW 59" PLACE, SOUTH MIAMI, FLORIDA BEARING FOLIO NO.:09 -4025- 010 -0160 AND 6428 SW 59Th PLACE SOUTH MIAMI, FLORIDA BEARING FOLIO NO. 09-4025-010-0170 FOR A NEGOTIATED PURCHASE PRICE OF $350,000; AND PROVIDING AN EFFECTIVE DATE. BACKGROUND During the April 11, 2005 Meeting, the Board authorized the Executive Director to obtain property appraisals and to negotiate purchase of properties for the purpose of assembling land to implement the Madison Square Project. Staff subsequently obtained appraisals for each of the properties including 6420 SW 591h Place and 6428 SW 590' Place. Based on the fact that the original appraisals for the properties are over two years old, staff subsequently obtained updated appraisals. As indicated in Exhibit A, the combined appraised value for 6420 SW 590' Place and 6428 SW 59`h Place is $275,000. Both properties are centrally located within the western portion of the proposed development site. If the above referenced parcels are acquired by the SMCRA, three parcels will remain to be purchased to complete land acquisition for the project. There are also two 1300 sq. ft. parcels requiring formal conveyance by the Miami -Dade Housing Agency. Based on purchase negotiations with the existing property owners, a negotiated purchase price of $350,000 has been determined. A letter of intent to sell from the existing property owners has been attached as Exhibit B. Approval of the attached resolution shall authorize the SMCRA Director to enter into contract to purchase 6420 SW 59t1t Place and 6428. SW 59th Place for a negotiated purchase price of $350,000. A draft purchase and sale agreement has been attached as Exhibit C. RECOMMENDATION Staff recommends approval of the attached resolution authorizing the SMCRA Director to enter into contract to purchase 6420 SW 59'h Place and 6428 SW 50' Place for a negotiated purchase price of $350,000. Attachments: Property Appraisal fro 6420 & 6428 SW 59 °i Place Letter of Intent to Sell Draft Purchase and Sale Agreement SDMCGRUFF\PLANNING \C R A\Authorization to Purcahse 6420 and 6428 SW 59th Place.doc 1 2 RESOLUTION NO. 4 A RESOLUTION OF THE ..SOUTH MIAMI COMMUNITY 5.. REDEVELOPMENT AGENCY (SMCRA) RELATING TO 6 REAL PROPERTY; AUTHORIZING THE SMCRA 7 DIRECTOR TO EXECUTE A PURCHASE AND,, SALE . 8 'AGREEMENT TO PURCHASE 6420"SW 59`" PLACE, SOUTH . 9 , MIAMI, FLORIDA BEARING FOLIO N0.:09- 4025- 010 -0160 10 AND.. 6428 SW 59T�I PLACE SOUTH ' MIAMI, . FLORIDA FOLIO NO. 09- 4025 - 010 - 0170 FOR A 11 BEARING ' 12 NEGOTIATED PURCHASE PRICE OF $350,000 AND 13 CHARGING ACCOUNT. .NO. 610 =1110- 583 -61 -10 .. (LAND. 14 ACQUISITION . ACCOUNT); AND PROVIDING AN 15 EFFECTIVE DATE. 16 17 .18.' WHEREAS, during the April 11, 2005 SMCRA Meeting, the Board 19 authorized the Executive : Director to obtain appraisals and 'to negotiate the 20 purchase of properties required for the development of Madison Square; and . 21 22 WHEREAS, staff subsequently obtained appraisals for each of the 23 required properties including 6420 SW 59`h Place and 6428 SW 59`h Place; and 24 25 WHEREAS, _based on the fact that Jhe original appraisals for 6420: SW 26 59`" Place > and 6428 . SW .59th Place are over two years old, updated property 27 appraisals were recently obtained; and 28 29 WHEREAS, the combined appraised value .for 6420 SW 59`" Place and 30 6428 SW 59`x' Place'is $275,000; and, 31 32 WHEREAS, both properties are centrally located within the western. 33 portion of the. proposed'Madison Square development site; and 34 35 ..,WHEREAS, pending purchase of the two properties by the SMCRA, 36 three .parcels will remain to be purchased to complete land acquisition for the 37 project;.and 38 39 WHEREAS, the SMCRA has received a letter 'of intent from the existing 40 property owners indicating a willingness to sell 6420 SW 59th Place and 6428 SW 41 59ffi Place for a negotiated purchase price of $350;000; and 42 43 WHEREAS; acquisition of the.two properties is integral to the successful 44 implementation of the Madison Square Project and the redevelopment goals 45. and objectives as identified in the CRA Plan. 1 . 2 . 3 NOW THEREFORE BE IT 'RESOLVED BY THE ' SOUTH: 4 MIAMI COMMUNITY REDEVELOPMENT AGENCY; 5 . 7 Section 1. The South: Miami Community Redevelopment Agency 8 authorizes the SMCRA Director to enter into agreement to purchase 6420 SW 59`x. 9 Place, Bearing Folio No: 09 -4025- 010 -0160 and 6428 SW 59th Place Bearing 16 Folio No. 09- 4025- 010 -0170 from the property.owners of record for a negotiated l 1. purchase price of $350,000. Charging the. total amount to' Account No. 610-1110 - 12 583 -61 -10 13 14 Section 2. This resolution shall take effect immediately upon approval. 15 17 18 19 PASSED AND ADOPTED this day of March, 2006. 20 21 - 22 23 24 ATTEST: APPROVED: 26 27 28 : City: of, South Miami Chairperson Horace Feliu 29 Community Redevelopment Agency 30 Clerk 31 32 Board Vote: 33 Chairperson Feliu 34 Vice Chairperson Wiscombe: 35 READ AND APPROVED AS TO FORM: Board Member: Palmer . 36 Board Member.Birts: 37 Board Member Beckman: 38 Board Member Ellis: 39 Board Member:, Williams 40 Eve A. Boutsis, Office of 41 General Counsel 42 Nagin Gallop & Figueredo, P.A EXHIBIT A March 7, 2007 Mr. Stephen David Acting Executive Director -Community Redevelopment City of South Miami 6130 Sunset Drive South Miami, Florida 33143 Re: Clara M. Brooks, et al 6420 and 6428 SW 59th Place South Miami, Florida Dear Mr. David: Pursuant to our appraisal agreement, we have completed an appraisal of the above - captioned parcel. The'purpose of the appraisal is to estimate the market value of the subject parcel as of March 1, 2007. The property consists of 6,831 square foot vacant parcel of land. The function of the report is for the potential purchase of the property by the City of South Miami as part of their Community Redevelopment Program. The intended users of this report are the City of South Miami and their representatives. Market value is defined as "the most probable price, as of a specified date, in cash, or in terms equivalent to cash; or in other precisely revealed terms, for which the specified property rights should sell after reasonable exposure in a competitive market under all , conditions requisite to a fair sale, with'the buyer and seller each acting prudently, knowledgeably, and for self interest, and assuming that neither is under undue duress. The attached report contains our analysis of the factual market data, which forms the basis for our conclusions. Your attention is directed to the Certificate of Valuation and the Assumptions and Limiting Conditions, which form an integral part of the attached report. ' 1 I Mr. Stephen David. March 7, 2007 Page 2 We have personally inspected the property that is the subject of this report. Based upon the conclusions contained in the attached Complete Summary Appraisal Report, in my opinion, the market value of the property as of March 1, 2007 is as follows: TWO HUNDRED SEVENTY FIVETHOUSAND DOLLARS ($275,000) Respectfully submitted, 1 Robert D. Miller, ASA State - Certified General R.E. Appraiser No. 0001270 TABLE OF CONTENTS Certification................................................................................................................ ............................... l Assumptionsand Limiting Conditions ...................................................................... .................:............2 Summary of Salient Facts and Conclusions ............................................:................. ..............................4 LegalDescription ........................................................................................................ ..............................5 PropertyInspection ..................................................................................................... ..............................5 Typeof Property ........................................................................................................ ............................... 5 Historyof Property ......................................................................................:............. ............................... 5 PropertyInterest Appraised ....................................................................................... ............................... 5 Purposeof Appraisal ................................................................................................. ............................... 5 Functionof Appraisal ................................................................................................ ............................... 5 Definitionof Market Value ........................................................................................ ..............................6 Dateof Value ............................................................................................................. ............................... 6 MarketingPeriod ....................................................................................................... ............................... 6 RegionalMap .............................................................................................................. ..............................7 NeighborhoodMap and Description ........................................................................ ............................... 8 Sketchof Subject Property ........................................................................................ .............................10 Descriptionof the Property ....................................................................................... .............................11 Zoning........................................................................................................................ .............................12 RealEstate Taxes ....................................................................................................... .............................13 Highestand Best Use - Vacant .................................................................................. .............................14 Sales Comparison Approach to Value ...................................................................... .............................15 Reconciliation............................................................................................................ .............................22 3 1 ADDENDUM Photographs of the Subject Property Comparable Sales Data Sheets Deeds Associated With Sales History Qualifications of Appraiser CERTIFICATION The,undersigned does hereby certify that except as otherwise noted in this appraisal report: 1. To the best of our knowledge and belief, the statements of fact contained in this appraisal report, upon which the analysis, opinions, and conclusions expressed herein are based, are true and correct. 2. The reported analysis, opinions, and conclusions are limited only by the reported . assumptions and limiting conditions, and are our personal, unbiased professional analysis, opinions, and conclusions. 3. We have no present or prospective interest in the property that is the subject of this report, and I (we) have no personal interest or bias with respect to the parties involved. 4. Our compensation is not contingent on an action or event resulting from the analysis, opinions, or conclusions in, or the use of, this report. 5. Our analysis, opinions, and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Uniform Standards of Professional Appraisal Practice. 6. No one provided significant professional assistance in the preparation of this report. 7. Robert D. Miller has met or exceeded the minimum prescribed educational requirements for Re- certification as an Accredited Senior Appraiser (ASA) or the American Society of Appraisers. 8. Robert D. Miller did make an inspection of the property that is the subject of this report. The most recent inspection was on March 1, 2007. 9 0 VFW. Robert D. Miller, ASA State Certified General R.E. Appraiser No. 0001270 1 ASSUMPTIONS AND LIMITING CONDITIONS The legal description furnished to the appraiser is assumed to be correct. All existing liens and encumbrances have been considered, however, the property is appraised as though free and clear, under responsible ownership ana competent management. The information identified in this report as being furnished to the appraiser by others is believed to be reliable, however, the appraiser assumes no responsibility for its accuracy. The plot plans and illustrative material in this report are included only to assist the reader in visualizing the property. It is assumed that there are no hidden or unapparent conditions of the property, subsoil, or structures that render it more or less valuable. No responsibility is assumed for such conditions or for arranging for engineering studies that may be required to discover them. It is assumed that there is full compliance with all applicable federal, state, and local environmental regulations and laws unless noncompliance is stated, defined, and considered in the appraisal report. It is,assumed that all required licenses, certificates of occupancy, consents, or other legislative or administrative authority from any local, state, or national government or private entity or organization have been or can be obtained or renewed for any use on. which the value estimate contained in this report is based. It is assumed that the utilization of the land and any improvements is within the boundaries or property lines of the property described and that there is no encroachment or trespass unless noted in the report. i The distribution, if any, of the total valuation in this report between land and any improvements applies only under the stated program of utilization. The separate allocations for land and buildings must not be used in conjunction with any other appraisal and are invalid if so used. Possession of this report, or copy thereof, does not carry with it the right of publication. It may not be used for any purpose by any person other than the party to whom it is addressed without the written consent of the appraiser, and in any event, only with proper written qualifications and only in its entirety. ` ASSUMPTIONS AND LIMITING CONDITIONS (Continued) Disclosure of the contents of this appraisal is governed by the ByLaws and Regulations of the American Society of Appraisers. The appraiser herein by reason of the appraisal is not required to give further consultation, testimony, or be in attendance in court with reference to the property in question unless arrangements have been previously made. Neither all, nor part of the contents of this report, especially any conclusions as to value, the identity of the appraiser, or the firm with which the appraiser is connected, shall be disseminated to the public through advertising, public relations, news, sales, or other media without the prior written consent and approval of the appraiser. The Americans with Disabilities Act ("ADA"), became effective January 26, 1992. 1 have not made a specific compliance survey and analysis of this property to determine whether or not it is inconformity with the various detailed requirements of the ADA. It is possible that a compliance survey of the property, together with.a detailed analysis of the requirements of the ADA, could reveal that the property is not in compliance with one or more of the requirements of the Act. If so, this fact could have a negative effect upon the value of the property. Since I have not direct evidence relating to this issue, I did not consider possible non - compliance with the requirements of ADA in estimating the value or the property. Unless otherwise stated in this report, the existence of hazardous materials, which may or may not. be present on the property, was not observed by the appraiser. The appraiser has no knowledge of the existence of such materials on, or in the property. The appraiser is not qualified to detect such substances. The presence of substances ' such as asbestos, urea - formaldehyde foam insulation, or other potentially hazardous materials may affect the value of the property. The value estimate is predicated on the assumption that there is no such material on or in the property that would cause a loss in value. No responsibility is assumed for any such conditions, or for any expertise or engineering knowledge required to discover them. The client is urged to retain an expert in this field, if desired. 3 SUMMARY OF SALIENT FACTS AND CONCLUSIONS PROPERTY LOCATION: 6420 and 6428 SW 59th Place City of South Miami, Miami -Dade County, Florida OWNER'S NAME: Ireatha M. Bryant, Alberta M. Holmes, Ora M. Roberts, Celia M. Grant and Joseph C. McCrae, Jr. OWNER'S ADDRESS: , 15025 Harrison Street Miami, Florida 33176 -7649 DATES OF INSPECTION: March 1, 2007 SIZE OF SUBJECT PROPERTY: 6,83J square feet PRESENT USE: Vacant Land HIGHEST AND BEST USE: Neighborhood Commercial Use IMPROVEMENTS: None ZONING:' NR Neighborhood Retail COST APPROACH TO VALUE: N/A SALES COMPARISON APPROACH TO VALUE: $275,000 INCOME APPROACH TO VALUE:. N/A MARKET VALUE OF THE WHOLE PROPERTY (RECONCILIATION): $275,000 DATE OF VALUATION: March 1, 2007 LEGAL DESCRIPTION: South '' /2.of Lot 15, Lot 16, Block 3, less right of way of Franklin Subdivision as recorded . in the Official Records of Miami -Dade County, Florida in Plat Book 5 Page 34 PROPERTY INSPECTION: 1. Date(s) inspected: March 1, 2007 2. Comments: The property is vacant. TYPE. OF PROPERTY: The subject is a 6,831 square feet of land area and is zoned for a neighborhood commercial use. HISTORY OF PROPERTY: Their have been no transfers of the land since December 4, 1986. The latest transfer was recorded in OR Book 14015 Page 2108 via a warranty deed, although no monetary consideration was noted. A copy of the acquiring deed is in the addendum of this report. Per the deed, which was not recorded until March2, 1989, the owners of the property are Ireatha M. Bryant, Alberta M. Holmes, Ora M. Roberts, Celia M. Grant and Joseph C. McCrae, Jr. The seller on this deed was Joseph C. McCrae, Sr. PROPERTY INTEREST APPRAISED: For the whole property, the property rights appraised are fee simple title ownership considering any restrictions of use. PURPOSE OF THE APPRAISAL: The purpose of the appraisal is to estimate the market value of the subject property as of a current date. FUNCTION OF THE APPRAISAL The function of the appraisal is for utilization by the City of South Miami in their potential purchase of the property from Clara M. Brooks, et al. The intended users of the report are the representatives of Clara M. Brooks, et al, the City of South Miami, their legal counsel and any other designated representatives. 61 DEFINITION OF MARKET VALUE: The most probable price in cash, as of a specified date, financial arrangements equivalent to cash, or in other precisely revealed terms, for which the appraised property will sell in a competitive market under all conditions requisite to a fair sale, with the buyer and seller each acting prudently, knowledgeably, and for self - interest, and assuming that neither is under duress. EFFECTIVE DATE (DATE OF VALUE): The date of value is March 1, 2007 the date of our latest inspection. The date of this report is March 7, 2007. MARKETING PERIOD Based upon discussions with various brokers and review of the marketing period for similar lands we have estimated a marketing period of six months or less. The estimated marketing period is based upon our review of marketing periods for vacant land in the subject market area. COMPETENCY PROVISION The appraiser has completed numerous vacant land appraisals in his 24 years as a real estate appraiser in Miami -Dade County. As a result of the appraisers' experience, the competency provision of USPAP has been met. NEIGHBORHOOD DESCRIPTION The subject neighborhood is primarily a single- family residential neighborhood with several church facilities located within the residential community. The majority of the properties are single family oriented, although several apartment type buildings were noted in our review. Two apartment complexes are located within one block of the subject property and several vacant lots and residences slated for redevelopment were noted in our review. The subject neighborhood does have a few commercially zoned tracts that would provide for the local shopping needs of the residents. Located on SW 59`" Place at the corner of 64`h Street is a small neighborhood convenience store. The City of South Miami has targeted this area for some redevelopment activity. Based upon our review of the neighborhood and the sales activity reviewed, it is our opinion that the subject neighborhood is nearing a phase of development that will entail new construction as well as renovation of existing residential properties. The small pockets of neighborhood retail zoning should provide for sufficient capacity of commercial uses to service the area residents and thus minimizing the already congested commercial areas along US I (Dixie Highway). In our opinion, the subject neighborhood would be rated as stable with some upward increase in market values associated with the potential for redevelopment in the area. E SKETCH OF THE SUBJECT PROPERTY 88 Feet 72 Fpnt 10 DESCRIPTION OF THE PROPERTY Location: 6420 SW 59th Place, South Miami, Miami -Dade County, Florida. The site is vacant and is located just south of 64 "h Street on the west side of SW 59`h Place. Land Area: The subject property contains 6,831 square feet of land. We were not provided a survey and the information is based on our review of the county and public information. We assume that the size indicated is reflective of the subject property total size. Shape/Dimensions: The site is basically rectangular with dimensions of 77 feet by 88 feet, see sketch on previous page. Ingress/Egress: The property has approximately 72 +/- feet of frontage on the west side of SW 59`h Place with a depth of approximately 88 feet. The access to the site is from SW 59`h Place. We were not provided a survey and the information is based on our review of the county and public information. We assume that the size indicated is reflective of the subject property total size. Topography: The topography of the site is at grade of the surrounding properties. Based upon visual inspection of the site and buildings on adjacent properties, the soil conditions are considered adequate for most types of development. Utilities on Site: The following utilities are available where indicated: X Electric X Water X Telephone X Sewer 11 DESCRIPTION OF THE PROPERTY (continued) ZONING: The subject property is currently zoned NR Neighborhood Retail. This zoning category provides for the development of properties located within residential neighborhoods with uses that are amenable to the neighborhood locations. We did consider alternate uses in our analysis, which will be addressed in the highest and best use section of the report. ZONING MAP EASEMENTS /ENCROACHMENTS Restrictions, covenants, limitations and easement of record were considered typical for this type of property. 12 REAL ESTATE ASSESSMENT DATA Taxing Authority: Taxpayer: Folio Number(s): Total Assessment: (2006) Total Real Estate Taxes: (2006) 13 Miami -Dade County Clara M. Brooks, et al 09- 4025 - 010 -0160 and 0170 $30,842 $64.792 $745.79 $1,566.27 HIGHEST AND BEST USE - VACANT The estimate of the highest and best use of the land as legally permitted, if vacant, requires extensive market analysis especially in terms of the indicated market conditions of supply and demand. The value of the land is based upon the level of utility that is in demand and that will produce amenities or net income to the user. Therefore, the use which creates the greatest land value and which is considered compatible in terms of the restrictions imposed by the physical, legal, economic, and financial factors is inherent in this analysis. The following analysis is intended to demonstrate and support our estimate of the highest and best use of the subject site. Physically Possible The subject property contains 6,831 square feet of land area. The site is basically rectangular and is a substandard site, although some type of development should be allowed. The shape is suitable for many types of development, although the small size will limit the potential uses of the site. Yet overall, the site could be physically developed with commercial, residential and industrial uses. Legally Permissible The parcel is zoned for a neighborhood retail type use. This use will provide for a commercial neighborhood in the middle of a residential area that will provide for development with commercial uses compatible to the neighborhood setting. A convenience store or neighborhood office are examples of the type of developments for this zoning classification. Financially Feasible The financially feasible uses of the parcel would include any of the legally permitted uses, therefore, the only financially feasible use would be for a commercial development. The entire commercial area would need to be rezoned to a residential use in order to feasibly consider a residential use in our analysis. Based on the existing surrounding uses, we did not feel that a residential use would be allowed at this location. Maximally Productive The most maximally productive use of the site should produce the highest price or return required by the market for that use. After determining those uses, which are physically, possible, legally permissible and financially feasible, it is our opinion that the most maximally productive use of the land, as vacant, is for some type of commercial retail use compatible with the neighborhood setting and or an assemblage with other parcels in the area. 14 APPROACHES TO VALUE OMITTED -AS NOT APPLICABLE ( ) MARKET (XX) COST (XX) INCOME Since the subject site is basically a vacant parcel of land, the Market or Sales Comparison Approach to Value is considered most applicable in this assignment. The highest and best use was deemed to be for future development with a neighborhood retail use or assemblage for a larger scale development. Therefore a land valuation was considered to be most applicable. As a result, the Cost and Income Approaches to Value were not considered applicable. 15 ESTIMATE OF LAND VALUE The land value is estimated by the Sales Comparison Approach. This approach is often referred to as the Direct Comparison Approach because the comparison procedure is its basic technique. The Sales Comparison Approach requires careful selection of sale properties to ensure that they are relatively similar to the subject. No two properties are exactly alike. Therefore, a comparison between the subject and the sales must be considered in arriving at an indication of value for the subject. The following sales are deemed physically and economically comparable to the subject. An analysis sheet for each sale is included in the report. The normal items of comparison are discussed following the presentation of the sales data. We have considered the unit sale price per square foot of land area to be most appropriate unit of comparison in this assignment. 16 COMPARABLE VACANT LAND SALES MAP 17 SUMMARY OF VACANT LAND SALES SALE SALE SALE SITE UNIT SALE # LOCATION DATE PRICE SIZE IMPROVED ZONING PRICE SWC 68TH ST 1 AND 62ND AVE 1/5/01 $150,500 11,188 NO NR $ 13.45 NEC SW 71ST 2 AND 61 ST AVE 7/12/05 $1,275,000 9,879 NO MO $ 129.06 5757 SW 681' 3 STREET 07/17106 $ 750,000 9,572 NO MU-4 $ 78.26 NEC SW 71ST 4 AND 61ST AVE 02/17/04 $ 750,000 9,879 NO MO $ 75.91 ES OF 60TH AVE, 50 FT S OF 5 64TH ST 1017/04 $ 85,000 5,875 YES NR $ 14.47 SEC 69TH ST AND OAKLAND 6 AVE 3/3/03 $125,000 9,500 YES RS -3 $ 13.16 5791 SW 58TH 7 CT 01/12/06 $200,000 10,232 NO RS-4 $ 19.55 8 WS 59TH PLACE 5/10/04 $288,750 10,525 YES NR / RS-4 $ 27.43 SEC 63RD ST 9 AND 62ND AVE 8/17/04 $165,000 9,000 YES RS-4 $ 18.33 SALES COMPARISON APPROACH - We have reviewed vacant and improved properties or sales that are located in the general vicinity of the subject property. The sales are located in close proximity to the subject property within the City of South Miami. Some of the sales involved properties zoned with a residential zoning classification. These sales were used in our review of the market and to assist us in developing a range for the subject property with a NR Neighborhood Retail highest and best use. We considered the sale price per square foot of land area to be the most applicable unit of comparison. Market Data Analysis Overall, the sale properties range in size from 5,875 square feet to 11,188 square feet and the subject property contains a total of 6,831 square feet of land area. The review of similar size sites allows us the opportunity to view sales with similar physical restraints. These are the most comparable sales that we were able to review in the South Miami market within the past four years. The land sales indicated a wide range from a low of $13.16 per square foot of land area for a residentially zoned site to $129.06 for an office site located near Sunset. A few of the sites were improved with older buildings that contributed only minimal value to the overall sale price. Conditions of Sale: All of the comparable sales utilized in direct comparison were arm's length transactions. Thus, no adjustment for conditions of sale is indicated. However, it was noted that several sales in the area were purchased by the same entity as part of an assemblage of lands. This was considered in or overall analysis and coincides with our opinion that the highest and best use of the subject property may involve an assemblage of the site to provide for a larger overall development. Property Rights Conveyed: The property rights appraised for the subject are fee simple subject to the existing easements. The property rights conveyed for the sales utilized in direct comparison are fee simple. Thus, no adjustment for property rights is indicated. Financing: Vacant land of this type is generally acquired for cash or construction loans with institutional financing. Often times, the financing is obtained in the form of an acquisition and development loan. However, it is not uncommon for the seller to provide short term financing. However, all of the sales presented for direct comparison were acquired for cash or with market -based financing. Therefore, no adjustment for financing is indicated. 19 SALES COMPARISON APPROACH TO VALUE (Continued) Market Conditions: We have analyzed numerous sales in the subject area, in the time period from roughly 2000 to the present. The sales took place between January of 2001 and July of 2006. Sales 4 and 2 are the same property and reflect a large increase in market values from the 2004 to 2005 time frame. Further this property sold in 2003 for $49.09 per square foot of land area. The overall market has increased for the entire South Florida area and we have considered that in our analysis. The two most recent NR zoned sites sold in October of 2004 for $14.47 per square foot of land area and $27.43 per square foot in May of 2004. In consideration of the increase in land values in South Florida and South Miami in particular, we are of the opinion that the subject property would have a unit sale price above the 2004 sales. And reflected of the resale information on Sales 2 and 4, the market has increased approximately 250% since the 2003 sale of that property.. . Location: Locational characteristics deemed significant for residential land include access, surrounding demographics, surrounding properties, supply of competitive land, etc. The subject property is located on an interior residential street in a small pocket of commercially oriented lands. The majority of the sales are located in the subject neighborhood with some locations slightly superior. The neighborhood Locational differences are considered to be minor and no definitive Locational adjustment was applied to those sales. Sales 2, 3 and 4 were considered to superior locations and set the upper limits of value for the subject property. Size: The subject property contains 6,831 square feet. All of the sales were very similar in size. Based on our review of the sales and their respective sizes, no adjustment for size was considered to be applicable. Improvements: The sales that were improved generally consisted of older improvements, and it was our opinion that the improvements did not contribute a significant amount to the overall sale price. Consideration for the differences in the type, quality and quantity of the improvements is reflected in our final analysis. 20 SALES COMPARISON APPROACH TO VALUE (Continued) Zoning The properties have a variety of zonings and the zoning classifications were considered in our overall analysis. The scarcity of sales required us to review other than just NR sales. The residential uses were considered to be inferior and the MO and MU -4 properties were considered to be better locations and more intense uses were allowed. Therefore, the residential lands were considered inferior overall and the higher density commercial zonings were considered superior overall. The zoning differences were considered in our final analysis. CONCLUSION OF VALUE — SALES COMPARISON APPROACH TO VALUE Based upon our review of the sales data, it is our opinion that these sales are most comparable and indicative of the value of the subject property. There is generally a scarcity of sales for small sites with a similar zoning classification, as there are only a limited number of areas in the City of South Miami with the NR Neighborhood Retail zoning district. As a result, we used older sales as well as other sales in the area with different zoning classifications. The use of these sales, as well as the sales of improved properties, provided us with a range of market values that we considered in our analysis. Based on our review of the sales data, the location, the size and the overall marketability of the subject property, we have estimated the market value of the subject property to a market value conclusion of $40.00 per square foot of land area. Therefore, it is our opinion that the subject property would have a market value as of a current date as follows: 6,831 square feet x $40.00 per square foot = $273,240 say $275,000 21 RECONCILIATION Cost Approach N/A Sales Comparison Approach $275,000 Income Approach N/A We have considered the Sales Comparison, Cost, and Income Approaches to value in this assignment. Based upon the quantity and quality of the market data, i.e., the comparable sales, it is our opinion that the Sales Comparison Approach to Value is the most reliable indicator of the value of the subject property. The Cost and Income Approaches to Value were not considered germane in this assignment, as the subject property is a vacant parcel of land. Therefore, the Sales Comparison Approach for the land was considered the most applicable method of valuation. The final value conclusion indicated a market value of $275,000. Based upon review of the market data and our analysis, it is our opinion that the market value of the site as of March 1, 2007 is: TWO HUNDRED SEVENTY FIVE THOUSAND DOLLARS ($275,000) 22 03/09/2007 11:35 3052534633 POLLYCO REALTY EXHIBIT B Date: March 9 2007 Pollyco Realty: Real Estate and Mortgage Consultants 9507 Colonial Dr. Ste, 9 200 N fiam:i, Fl. 33157 Ph (305) 235 -7636 fx (305) 253 -4633 www. .Po1Xyco.corn To: Stephen David- Acting Director From: Randall Darling Subject: Offer to Sell PLopp tX March 9, 2007 Fax # g ?D5_`—,66L 735-6 Pages Including Cover 2 Stephen Z am forwarding to you the offer from my clients to sell vacant land located in the City of South Miami. Should you have any Questions you can contact me via phone at 201 -312- 8008. Regards, Randall Darling h 03/09/2007 11:35 3052534633 POLLYCO REALTY PAGE 02 OFFER TO SELL COMMERCIAL PROPERTY: Agreement to sell commercial property to a corporation. This agreement is made on March 9, 2007 at Pollyco Realty 9507 Colonial Drive Suite #200 Miami, Florida 33157 by Iretha M. Bryant, Albertha M. Holmes, Ora M. Roberts, Celia M. Grant, and Joseph C. McCrae Jr. referred to as sellers, whose business address is 15025 Harrison Street Miami, Florida 33176, Miami -Dade County and The City Of South Miami referred to as purchaser, a corporation organized under the laws of Florida, with its principal office in Florida located at 6130 Sunset Drive South Miami 33143 Miami -Dade County Florida RECITALS: In consideration of the covenants and agreements of the respective parties, as set forth below, seller agrees to sell and convey to purchaser, and purchaser agrees to purchase and take from seller, the real property situated in South Miami, Miami- Dade County, Florida, and particularly described as follows: 6420 -29 SW 50' Place, The real and personal property described above is referred to as property. Transfer to purchaser shall include all right, title, and interest of seller in and to all streets, alleys, roads, and avenues adjoining the real property, and shall further include any award for damaging or taking by eminent domain by public or quasi - public authority, of the real property or any part of it. The purchase price for property is Three Hundred and Fifty Thousand Dollars ($350,000), payable as follows: Cash at closing BROKER'S COMMISSION A commission of 6% has become due from seller to Pollyco Realty by reason of the sale provided for in this agreement. That amount shall be paid to broker at close of escrow directly, from cash payable on close to seller BINDING EFFECT OF AGREEMENT This agreement and the covenants and agreements of it shall bind and inure to the benefit of the parties, and their respective heirs, personal representatives, successors and assigns. Unless the agreement otherwise requires, the covenants of this agreement shall survive the transfer of title. In witness whereof, the parties have executed this instrument at the place and on the date first above - specified. _-I Rar, 1* 2* 3 4 5 6' 7* 9* 1 i) 17 t 2* 13' 14* 15* Nov OS OS 03:13P Latt & Levine [305) 870 -0701 EXHIBIT C P.2 Clara M. Brooks, Ireatha Bryant, Alberta Holmes, Oralee Roberts, PARTIES:_r1nni 1 in Granf and? . ng nh McCray. Jr_ bY z —I— I &W" "18011 and Buyer shall buy the following descdbad Real Property and Personal Property (ooilecthrely 'Properly"] ;rant to the terms and conditions of this Contract for Sale and Purchase and any riders and addenda ( "C.ontracil: DESCRIPTION: (a) Legal dew:rlpflon of the Res! Property located In Miami —Dade County, Florida: (b) stroot address. any, zip, of the Pnipm ty: - (c) Personal Property Includes euMng range. refrigeralur, dishwasher, c9WQ fauna, light fixtures, and window treatments unlaw specltloally excludod below. Other home included are: _ Items of Persona! Property (and teased iemB, if any) excluded era: 16* IL PUFICHASE PRICE (U.S. currency) ........... ............................... I ........ 3509000.00 17 PAYMENT 18* (a) Depoelt hold In escrow by George Lgtt, Esq. (Escrow Agent In the amount of .. S 100.00 19* (b) Additional escrow depoaft to be made to Escrow Agant within .-._, days after Effective Date 20* (see Paragraph 111) In the amount of .... .. ... . . $ 21 (c) Assumption of existing mortgage In good standing (see Paragraph IV(c)) having an spproxknats 22* present principal balance of ...... . , , • ...... .................... $ 20*' (d) Now mat})))e Qnnencurng win a Lander (see Paragraph}V(bD in the amount of... ... $ 0. 0 0 ' — 24* (e) Purchase money mortgage and note to Seiler (See Paragraph ry(d)) In the amount of .............. $ 26* M Other., .... $ 26 (9) Balance to close by cash or LOCALLY DRAWN cashlarls or oticlsl bank ohsck(s), subject 27* to adjustments or proratbns .. $ 26 III. TIME FOR ACCEPTANCE OF OFFER AND COUNTEROFFER&. EFFECTIVE DATE: 29 (a) If INS otr0r Is r of s � I delivated to an parties OR FACT OF EXECUTION oommurdoatod to writing between the parties on or 30* before Marc 6 , the deposk(s) wUl, at Buyers option, be returned and this otter withdrawn. UNLESS OTH- 31 ERWISE STATED, THE 7IME FOR ACCEPTANCE OF ANY COUNTEROFFi'RS SHALL BE 2 DAYS FROM THE DATE THE COUN. 32 TEROFFER 18 DLUVERED. 33 (b) The date of Contract rEfreative Datal) vA be the date whon the last one of the Buyer and Seller has signed or Initialed this offer or the 34 foal counteroffer. 9 such date 18 not otherwise set forth In this (contract, there ft "Effective Date* &heft be the data determined above for 36 acceptance of this offer or. If appitcabte, the final counteroffer: 36 IV F111JiNCiN(k 37* O (a) This is a cash transaction with no contingencies for financing; 3s` 10 (b) This Contract Is contingent on Buyer obtaining approval or a loan ('Loan ApprovaiI within 6 0 days after ive Gate for (CHECK 39' ONLY ONE): O a fixed: 0 an astable. or 0 a fbced or ao►justeble Hate ban. In the principal amount of $ L34-9--r--91 0 40* est Hato not to exceed — ,_5%, discount and odgirtatlan fees not to exceed 96 of prindpai amount, and f ra aaterm of 15_ 41* years. Buyer will make application wAtNn -3 L days Of blank, than 5 days) after Effective Date and use reasonable ciftence to obtain Moan 42 Approval and, thereafter, to xWery terms and condltons of the Wan Approval and close the loan. Buyer shall pay all loan expenses. It Buyer 43 faits to obtain a Loan Approval or fags to waive 8uyar's rights under this subparagraph within the ftme for obtaining Loan Approval or, after 44 diligent, good faith effort. faits to meet the terms and conditions of the Loan Approval by Closing. then either party thereafter. by written notice 45 to the r>Ihdr', may cancel this Contract and Buyer shell be refunded the deposit(a); 45* 0 (o)1Wsumption of existing mortgage (see ttder for terms): or 17* d (d) SaVar financing few Standard 8 and 0ders; addenda; or special clauses for tcums). W U TrrLE EVIDENCE. At least. days (If blank, then 5 days) before Closing: 19* =W This insurance commitment with legible copies of instruments Jested as wmptions attached thereto ("Tide Commitment)" and, after 50* Hording, an owners policy of title kwurenoo (see Standard A for terms), or 13 (b) Abstract of title Lgy( fi)g derr�or�srrrts) r - "'1`'$hait b )�`('I} S'le ref : Se1llsr'a w"nse and delivered to Buyer or Buyer's attorney: or 12* �x(2) Buyer at Buyer's expense. 13* VI. CLOSING DATE: This transaction shall be closed and the closing dooumernts delnr and on May 29, 2 0 0 7 (. g.)� 34 rrtodNfed by other provietone of this Corntrprt. t &rye(' is unable to obtain Fiezard „Wind. Flood, or I lomeowrov i nsur al lce at a reasonable rate 15 due to extreme weather conditknns, Buyer may delay Closing for up to 5 days after such coverage becomes ava6abte. l6 VII. RESTRICTIONS; EASEMENTS; LIMITATIONS: Seller shall convey marketabie tie (',object lo: comprehensive tend use plans, axing, 17 restrictions, prohlbttions and other requhements imposed by governmental authority; restriction and matters appearing on the plat or otharwise J8 common to the, subUvfsbn: outstanding of, gas and ff*wal rights of record witfwut right of entry; unplaned public utility sasernams of record :9 (located contigunus to real property Anes and not more than 10 feet in width as to the rear or front lines and 7 1r2 feet in width as to the side FAii/J3Afit -85 10/01 Paso 1 of 4 Vi Nov 08 05 03:13P Lott & Levine (305) 670 -0701 p -3 60 itruo, taxes for year of Closing and subsequent years; and assumed mortgages and purchase money mortgages, If erw of additional Items, we 61 addendum); provided, that there exists at Closing no vlolatlon of the foregoing and none prevent use of the Property for 02" purpose(e), 63 V11 L OCCUPANCY; Seiler shag ds1w occupancy of Property to Buyer at time of Closing union otherwise stated herein. If Property Is intended G4 to be rented or occupied beyond Closing, the fact and torms thereof and the tenant(s) or oewponts shell be disclosed puns mt to Standard F. 85 If occupancy to to be delivered before Closing, Buyer assumes all d*G of loss to Property from date of occupancy, shall be responelble and liable 65 for maintenance from that date, and shag be deemod to have accepted Property In its existing condition as of time of taking ooalpanoy. 67 IX. TYPEWRITTEN OR HANDWRITTEN PROVISIONS:'Iypewdtten orhandwritten provlslons, riders and addends" control elf printed pro - 68 visions of ft Contract In conflict with them. Se* X. ASSIGNABILIM. (CHECK ONLY ONE): BtW 0 may assign and thereby be released from any further Uability under this Contract; Q may 70* Assign but not be released frwn aability under this Contract, or O may not assign this Contract. 71 A. DISCLOSURES: !'L* (a) CI CHECK HERE N the Property Is subject to a special assessment lien imposed by a public body payable in Instegments which 73* continue beyond CWig and. 9 so, specify who shag pay amounts due after ClaetnQr. D Satter O Buyer 0 Other (sea addendum). l4 (b) Redon is a naturally occurring radioactive gas that when accumulated In a building In suflklent. quantities may present health rleks to per - 76 sons who are expusuu to it over time. Levels of radon that exceed federal and state guldegnes have been found In biAdinge In Florida. 76 Additional information regarding radon or radon touting may be obtained from your County Public Health un t. 77 (c) Duyer acknowledges receipt of the Foridda Building Energy- Efficletm Rating System Brochure. 78 (d) If thr3 mal fnmperty includes pre -1 D78 residential housing then a feed -based paint rider is rrrrurdetc y- 79 (e) if Seller is a "foreign person" as defined by the Foreign Investment In RFW Property Tax Act, the parties shag comply with that Act. 80 0 If Buyer will be obligated to be a nwnber of a homeowners' association, BUYER SHOULD NOT EXECUTE THIS CONTRACT UNTIL 81 BUYER HAS RECEIVED AND READ THE HOMEOWNERS' ASSOCIATION DISCLOSURE. 82 X11. MAXIMUM REPAIR COSTS: Seger shell not be rosponsible for payments In excess of. 83* (a} $ for treatment and repair under Standard D (If blank. Man 2% of the Purchase Price). 64* (b) for repair and replacement under Standard N not caused by Wood Destroying Organisms (If blank, then 3% of as the Purchase Price). Be Xlq. RIDERS; ADDENDA; SPECIAL CLAUSES: 97 CHECK those riders wttich are applicabie AND are attached to this Contract: 8'n8• D CONDOMINIUM Q VAfFHA 4 HOMEOWNERS' AGSN. CI LEAD-WED PAINT 09' 0 COASTAL CONSTRUCTION CONTROL LINE U INSULATION O 'AS iS* l0 Other ComprshQn*G Rider Provisions 90* U Addenda 91' Special Clauses(s }: 92* -- 93* 94* 96* 88 XtV. S'T'ANDARDS FOR R1:At.. ESTATE TRANSACTIONS ("Standards"): Buyer and Seder acknowledge receipt of a copy of Standards A 97 through W on the reverse side or attadi'md, which are incorporated as part of this Contract, 08 T14I8 IS INTENDED TO BE A LEGALLY BINDING CONTRACT. IF NOT FULLY UNDERSTOOD, SEEK THE ADVICE OF 99 AN ATTORNEY PRIOR TO SIGNING, 100 THiS FORM HAS BCCN APPROVED BY THE FLORIDA ASSOCIATION OF REALTORSO AND THE FLORIDA BAR. 101 Approval does not constitute an opinlnn that any of the term and conditions in this Contract should be accepted by the parties In a 102 particular transaction. Terms and condhlorts should be negotiated based upon the respective interests, objectives and bargaining 103 positions of all interested persons. 104 AN AGTENGK(') fOLLOWiNG A LINE NUMBER IN THE THE MARGIN INDICATES THE LINE CONTAINS A BLANK TO BE COMPL.ETFD. 105* See Attached Exhibit 2 -See Attached Exhibit 2 108 (BUYER (DATE) csELLEA (DATE) 107- 108 (KNER) (DAM tSELLEP4 PATE} _. —.1 pg+ gay address- krr- porpts a-ot riottc� Sellers' address for purposes of notice- 110* 111* .... Phone Phone 112* Deposit under Paragraph 11(e) received (Oheok s am subject to Clearance.): tt =scnow Agent) 113 BROKERS: The brokers named below. including listing and cooperating brokers, are tho only brokers "tied to compensatlon in connection 114 with this Contract: 116* Name: 1i8 Cooperating Brokers, If any Listing Broker FAW6AR -BS 10101 Ridws out be obbined Ttaro Plaids Lawyms Suppo,t Barvicet iaC (FLB9t) (RSO� 656 759a arcs 2 �+* a - -- Hov 06 05 03:13p Lott & Levine (305) 670- -0702 p.4 117 STANDARDS FOR REAL. ESTA're T"NSACT(ONS 118 A. TITLE INBURANCE The Tide Commitment shag be issued by a Florida ktnsed title insurer agreeing to issue SWor, upon r600rdirtg of lire dead to 6up+ett, 119 an owner's policy of title IrenMOB in the amount of the puroh000 prim. insuring Buyer's marketable Otte to the hest Properly, subpw only to mailers contained 120 in Paragraph Vol and those to be discharged by Seller at or before Closing. Mmketable title $hall be determined according to applicable Title Standards adopt - 121 Ltd by authority of The Florida Bar and in accordance with law. Buyer shall have S days from data of reoeMng the 71116 Conmhitment to etxarnine it. and 9 tide Is 122 found detective, nodty Seller In willing speeilymg dm%cW which tender titia unmatuetsolo. Seller shall trove 30 days from recalpt of notice to remove the 123 defects, falling wl0h Buyer shag. within b days after expiration of the 30 dray per, deivar written notice to Seller either: (1) oxtendltg tike lime for a reason- 124 able period not to exceed 120 days within which Sellor shiN use efr ant effort to remove the defeats; or M requesting a i1;IW1d of deposhjej Pald which shall 126 be rotumad to Buyeu If Buyer faits to ao nodfy 5effet. Buyer shat be deemed to have accepted the ride as it then Is. Heger shall, If We Is found unmarketabio, 126 use diligent etlort to correct defeage) within the time provided. if Setter Is unable to timely correct the defects, Quyer shall etthw waive Bee detects, or receive a 127 refund of dsposftQsj, thereby wbookV Buyer end Seffor born all fur [tier obtlgatlons under this Contraa If Setef is to Provide the Title Commitment and It is deuv. 128 erect to Buyer less than 5 days prior to (,losing, Buyer may extend Closing so that Buyer shall have up to 6 days ham date of reoaipt to examine same in aecor• 129 dance vAh this Standard. 130 8. PURCHASE MONEY MORTt3AGE; SECURITY AGIRMEMENT TO SELLER: A purchase money mortgage and mortgage note to Seller shalt provide for a 131 90 day grace period In the event of dAfmAt )f a last mortgaas and a 15 day grow peiod If a asoond or lemur mortgage; 811WI snuvkfe for fignt aprepayment 132 In whole or in Part without penalty, shell permit acceleration in overd of transfer of the Real Property, shall require all prior pans and encumbrances to be kept 133 kn good startling; sW forM modili ationa of, or future advances under. prior ntxxtgepe(sy; shag require Buyer to maintaln policies of Insurance oontakung a 134 atariderd mortgagee clause covering all Improvements located on the Real Property against fire and ail pert bAided within the term "extended coverage 136 andwaenards" and such 09 j rlelw and perits as Seger may mascmW mgtrbe, in an amount equal to VH* hippest Insurable value; and rho mortgage, noto 135 and SOW* apreerment shall be otherwise in Than and content required by Seder, but Boger may only require clauses, and oow+rage rxrstomargy forme in mort- 137 gages, mortgage notes and security agreements gerwely utilized by savings and loan Ihstltunorts or state or nations) banks located In the courtly wherein the `13B FWQI Property 139 dented by recorded Is located. piled financing Personal Proci s or eert beltiiaa of nd conveyed or %Q, at Selw's option, be subject to tho flan of a eaaaky &gnome nt sv;- mortgage, the final payinent will exceed the periodkt payments thereon. 140 C. SUtiM; Buyer; at Buyarts expense, wdm time allowed to deliver evidence of Otte and to examine same, may ham the Rant Property snrnroyad and carMed 141 bya fegtslsred H0W3 surveyor, 0 the atrvey uncloses encroachments on the heal Properly or treat improvements located thereon encroach on sel baclk!Ines, ease - 142 manta, lenda of others or Valeta any reawotlone, 0ontrect eovenents or applAAft governmental regulations, the same shelf constitute a Opts defect. 143 D. WOOD DESTROYING ORGANISMS: euyer, at euvef's expense, may have the Property Inspected by a Florida Certifled Pest Contra! Operator {operator) 144 at toast 10 days Irian to ctoshtp to determine if there Is any vitrlbto active Wood Destroying Organism IMtstadun or visfUs carnage tirom Wood Destroying 146 Organism infestation, exciudfng fetx;es. n either or both are round, Buyer ma), within 5 days torn date of written notice thereof, trove cost of treatment of scow 145 Infestation estimated by the Operator and all damage Iuapected and estimated by an appropfatefy kenaad eontrsator. Seller shall pay coats of Ituatnvia mid 147 repair of all damage up to the ornount provided in Paragraph XHW- If ustknated costs exceed that amount, Buyer shall have the option of canceling fhie Centred 148 Within 5 days after receipt of contractors repair estimate by giving written notice to Seder, m Huyer may elect to proceed with the transaction and receive s 149 credit at Closing on the amount provided In Paragraph )(11N. "Wood Destroying OrgoniitrW'shall W deemed to lnolude all wood destroying organisms required 150 to bo repotted tinder the Ao kla Pest Control A0, as amended, 151 E. INGRESS AND Eilrit:SS: Seller warrants and represents that ttrore is ft fm and egress to the Real Properly aulfaotoM for its Intended use as described 1150, In Paragraph Vii herrsof, and NO to the Roal Property Is Insurable in accordance vvtdn Standard A without exception for lack of legal tight of acoess. 163 F. LMEG; %for stall, at least 10 days before Closing, furnish to Buyer copies of all written teases and estoppel latter, from each tenant specifying the naturo 154 and dumilm of the tenant`; cacupancy, rental rates. advanced rant and comity depoehs p Wd by tenwL It gaiter Is unabie to obtain such letter from ouch ten- 156 atilt, the same Information shall be icxnis wd by Solar to Buyer within that time period in the form of a Seller's aflidavit, and Buyer may thereafter contact ten - 158 ant to kcrdtriri such f aimatlon. if the teats of the leases differ mat01101V torn Sage's representations, Buyer may tertn4lWo this Contract by deliverfng written '157 tontine to Saller at feast 5 days pror to Closing. sotbr ", at Closing, deliver and assign all otiginal leases to Breyer, 168 G. LIENS; Sellar"fwe>Ea1h to Buyer at limo of C40ft on attidavit attesting to the absence, unless otherwise provided for herein, of any financing statement, 159 claims of flan or potrentle! (tenors known to Sellar and further attesting that there have boom no Improvements or repairs to the deaf Property for 90 (jays imma- 160 distafy preceding date of closing. If the deaf property has been Impttrved or repaired within that Woe. Seller shall delver releesos of waivers of constnxXon lot lorry executed by all general comacfors, subcontractors, suppliers and malaristmen In addition to Seterb tier aftldoWt oohing forth the rome•s of all such gen- 162 wet contractors, subcontractors, suppliers and tnateriehnan, triter affirming that all charges for improvements or repaks which could serve as a basis for a 163 con4buotfon Ifen or a claim for darnagers have bean paid of wit be paid at the closing of this Contract. 1e4 H. PLACE OF CLOSING: Closing shell be held In the county wherein the PAW Property is locatod at the office of the attorney or other Gouhiq agent ('Closing 165 Agent) designated by the party praying for dtte Insurance, or, if no We lrtsurivioe, designated by Cover, 160 I. TIME: In oompulifhg tMe periods of loss than six (e) days, Saturdays, Sutx*e and &rate or n *mw legal holidays slap be excluded. Any time, pedoda provided 167 for twrebt Which shall and an a Satur day. Sunday, or a legs( howay ahatt exw w to o p.m. of the next business ley lime is of the Essence in this Contract lea J. CLOSING DOCUMENTS. SOW shag fcrrdsh the knead, bill of sate, c oftste of ride, construction ran tliddava, owner's poor atfldavit, aselgrments of leases, 100 teutent and m0989ee estoppel letters and C MGM knstrumerns- Eiu)er shag furnish mortgage. mortgage note, aoataity agreement and kwwkt9 atetetthernls 170 K. EXPENSE& Documentary stamps an rho dead and recording of 001Mtive Ins twA to shell be pstd by Sailor. Documentary stamps and Intangible tax on 171 the purchm money mortgage and any mortgage assumed, mortgagee title insurance commitment with rotated foes, and reecording of purchase money mort- 172 gage to Setter, deed and tinartrft statements shat( be paid by Buyer. Unbas otherwise provided by law or rider to die Contract, charges for the folio M g retal- 173 ed title seuvioes, nemety this avidence, title examkhalAxy and closing lea gncsudltg preparation of closltg Statetnenq. shell be paid by the ble for �---- --tTA -AfrtYStilrrglhe Nwavidartcatraotat+danca wlth°Pen:sptaph t7 175 L PRORATIONS; CREDITS: Taxes, assessmonts, rent, Interest, Insurance and other expenses of the Property shag be prorated through tile day before 176 Closing. Buyer shag lww lice option of to l tg over existing 1305d is of insurance. If assumable, In which avant premiums stroll be prorated. Cash at Closing atml 177 be Increased or decreased as may be required by puorattons to be made through day prix to Closing, or occupancy, it occupumwy occurs before Closing. 278 Advance rant and security deposits will be credited to Buyer, Escrow deposits t101d by mortgagee will be credited to Seler. Taxes shah be prorated based on 178 the current yearn tax Withh due allowance made for ma*num allowable discount, homestead and other owmptions. It Closing occurs at a date whe,rr the cur- 180 rent yearle mlliage lA not fixed and current year's assessment Is available, taxes will be prorated based upon such assessment and prior, }rear's mglage. If cur - 181 rant years assessment is not avaitable, gran taxes vA be prorated on prior year's tax. If there are completed Improvementa on the Reel Property by January 182 1 st of year of Closlsg, Which Improvements wate not in existence on January 1st of prior year, than taxes shall be prwWad based upon prior year's mllage and 1113 at an oquliable assessment to be agreed upon between the potties; M&V whkh, request shalt be made to the County Property Appraiser for an Wormel 184 assessment tatting bdo account avalfabte gxomptions. A tax proration based an an oatimste shaft, at request of either party, bo readjusted upon receipt of tax 186 bill on condition that a statement to that afoot is signed at Closing, 185 M. SPECIAL ASEMMENY LIENS; eoept as not fotdl in Paragraph 4(a), cortdfed, congmtod and ratified special assessment Dens imposed by pubtla bad. 107 lea as of Closing Eire to be paid by Seger, Pending gees as of Cloaing shad be assumed by Buyer. It the improvement has been substantially contptuted as of Nov 08 05 03:15P Lott & Levine (3051 670 -0701 P.5 lea STANDARDS FOR REAL ESTATE TRANSACTIONS (CONT1NUEo) 199 E(feclive Bata, any pending Ron shall bo corWidared cgmW, cararrned euratlPed and Settsr shall, at Cfr>sing, be dmsrCteud an amount 190 or easasarwt far the improvement by the pA go body eWat to ttm cast estimate 181 rL tNSP901110M REPAIR AND MAINTENANCE~ Scher warmte that tine ceiling roof (ahcArdirng the fasOla and $offits) and exterior and Interior wags, fourtda- 193 tat>fc, (or uivalonq and dodasge of the Property do not have any vfeibfo w4denoe of leaks. water darmigs or atrmrcturat damage and that the 36puo APPI18YICBS, mechanical items, heeling, OOOWhg, Oleotrkud, plumbing systems and machinery are In Working Condition. The foragotng warranty 194 shall be Itmited to the ItemA rot weciPed untosa otherwise provided in on addendum, Buyer rrrgy Inspsct, or, at &48716 exports®, hove a Arm or kwdual spetclul- 196 tiling in home inspections and holding an occupations! lioanse for such purpoea Of requkaco or an napproRriatesy !loaned Florida contractor make Inaosathons Sae e>t, tttasa hems wlthim 20 days after the ENooWer pater. buyer sfraA, purer to guWr s occupancy bed not more than 20 days after Effecive Drente, report to wrMM 107 to Seller such items that do not mast the Wxwo standards as to defeOla. Unless Buyer timely reports such dtefcate. Super shall be deemed to have welved 1619 SOWS warranties as to detects not reported. if repairs or replacements are raged to comply with We Standard. SOW SW Cat" them to be made and 199 BW pay up to the amount provided In Paragraph XA (b}. Seller Is not required to make repairs or rerplaescwnernta of a Cown ija Condition tohla" caused by a 200 tdeteCt Wier is tespcuns(bia to n#aatr ar reptaeta U the cost for such rep* or repfacemeent ftmade the ammount A►CUtdod In Paragraph ?ill ib), Buyer or Swker 20 may afoot to pay {well eetCess, la0bng wlrkoh ehtlrer parryrnay esnc�al fhb Contreeot. 9 Boger is unable to axnxt the drafeets prior to Closing, the coat thereof shaU 202 ba geld into escrow at Closing. Setterahali, upon reaconabla rnotica, provlda utlPtlea service acid accuse to the Property for kxrperyiwrs. inckuArng a "k- through 203 polar to Ctorring, lO aonPrmm that aP iterrra or Pwrooncf Preaparty are can flme i4eeaf Property and, a GOE to me loregotrg, that all required repairs and rspltoements 204 have bean made and that the Property, inclurdkng, cwt rat tfmltad to, lawn, shrubbery and pool, k any, has been maintained in file Dondition tekWhg ss of 206 Elf We pate, ardlnary wear end tear arct:opted, Fro ptrrpOSea of ttnis ContracC (i) "Iryorktng CondlOW Means Operating in the frour In which the item was 207 desld l fn Cpereie; (2} "CaamsGO CC'ndfhCn" ImBarta aesthetic impnsrhecciorns ghat do not atfaot the Workltg Condition of the Item, InOk na, but not limited to: 207 trash nnercite w other pool iintatnea; nn)ssing ar tom seseene; fogged windows) tears, worn allots, or discoloration of floor coverings„ waWpapsn; or window 208 lreatrnents; Hatt hoW. soratch0s. dents. soro;ws, dilps or t wA*g in betlloge, vu%. floodng, sxturee. or mbrum; and minor creeks in Poore. thus, wlwows, 209 ddvaways, sidowaft, or pool decks; and (3) cracked roof tlles, eurting or worn shingles, or wr td roof 1110 shall nut be eexnsstdared defects Behar must repair 210 or replace, 80 loop SS Gran Is nn svldVICQ of acfuaf leaice or lookage or structural darnhspe, ANA mtsslrV thus WW ba SeeVerB Wongaty to replace or repair. 214 O, RISK OF LOSS. If the Property is damaged by Are Or aathar casualty before 010eir9 and cod of restoration does not exceed 3% of the assessed valuation 212 of the Property so damaged, cost of restoration shall be an obligation of Seller and Ciosfig snap proceed pnrsuart to the terms of itrTe Contract with restora- 213 Von casts escrowed at CloAV. if the cost of restoration exceeds 3% of the assessed wakratbn of the pro so damaged, 8tnyer shay airier take the Property 214 as to, together wlph eephar the 396 or usury inruranca proceeds payable by vinuo of auoh loss or damage, or receive a refund of deposp(c), thorvby retooeing Buyer 216 and Sutler from all turbhor obligations under this Contract. 216 P, CLOSINCd PROCEDURE Ttoo dead shah to recorded upon alearance of tends. if the title agent Insures adverse matterte aurouont to Section 627.7841. F.S., 217 as amended, the escrow and eloaing procedure regAW by this Standard erhah be waived. Unless walked as set forth above the f011owlng closing procedures 718 shag apply (1) ah dwing proceeds shall be half In escrow by the Closing Agent for a period of not more than 6 dsys Mar Ok*h rg; (2) if Seper'a Gtia Is rendered 219 unmarket". If noWh no fault or Boyar Boyar shah, within the 6 day period, notify Sager In writing of the detect and Solver shop tavo 30 days se date of rd erect 220 Of Such 11000stbn to cure the defect; (3) if Seller taps to timely cure the dOSaot, all deposits and ecosYmg itrrtds stmt{, upon wdtteln deumand by Buyer and f roc m 5 277 days etarnond, be returned to Buyer and. 81mu)faneoualy with bGr in rrapayrmarri, gr per rrthall return the Personal Property. %scats ft Rawl Properly and recon- 222 trey the Property to Sailer by special warm* dood and bill of sale; and (4) if Buyer leis 10 make timely darnand ter refund, Buyer shah take title as is. waivbtg all 223 dghte aa4hd SOW as to any tntarvraNng drsfeet accept as may be avahebl a to Buyer by virtue of warrantee contained in the seed or bill of safe. 224 Q. ESCROW. Any hosing Agent or escrow agent ( "A9F0nV) recelvino funds or equivetent It authorized and agrees by aocapuuha+ of them to deposit them M p100104 ttokd same In escrow and. subject to clearanoe, disburse them In accordance with terms and Conditions of this Contract. Failure of funds to clear 227 shall not excuse Buyer's fxztorm e e it to doubt err to Agr M's duties ur WAITera under the proviakrrur Of this Clm* at, Agent may, at Agentlo option. conGn- 227 uo to hold Gha oubjod matttsr of the escrow unfit lions prunes hereto agree to its disbursement or until a judgment of a court of canpetant koisdiCtlon shall War - 228 trimxi the ridhta of the parties, or Agent may dapOWt acme with the cIerk Of 019 Clrcurc court 1112M9 trrlsdio6ion of the dispute. An attomey who rapresoms a 229 party and also ads as Agent may represent such party In such aotlin. Upon notttying ell parhex conuanhed M mroh Region, all h eolfily on the part Of Agent shah 230 tuuy tom*A te, exoopt to the extant of accounting for any items previously delivered out of oserow. If a Acensed real estate tinker. agent vdh comply with prO- 231 vislolta of Cttapter 475, F.S., as amended. Any suit berivoen Buyer "Sagan wherein Agent is made a early baosuse of acting as A *M hereun dor, or in any 232 suit wherein Agent bnleerpk*da Gig subject matter Of the asamw, Agent shaft reGOVar reasorrrlete attorneys teas and costs Incurred with these amounts to be 233 paid from and out of the escrowed misdalW funds or e, or 8 ant and charged and awarded as court costs to favor of the prevailing party. The AgerA shall not be liable 246 In any party r person for rttt of Avety to Buyer or 3ehar of hems subject to the escrow, unless such mledohvary is due to willful breach of the provisions of this 236 Contract or woes theggganrn eat Agent. 236 FL ATTORNEY'S FEM COSTBf in any litigalbn, Indudshg breach, arforoament or interpretation, ariahng out Ot Gels Con the prevailirng party to such lkt- 237 ge►ticwm, v+hiott, ttx purposes of ttda ta�ortdeud, ahetp irrehrda 9elter, Buyer and any brokers acting in aganey or nonegancy r�afatton>ships authorized by Gaapter 239 475, F.B.. as amentlad, st>aetl be arched to recover auto the noun- prevafrl>p party reasombl" rriturney's tees. Costs and exparm e. = S. FAiLUAff OF PMrOMMANCE If Buyer fall& to perform tits Commot vAhin the time apedlied, Including paymant Of all deposits. the depoce(s) paid by 240 Buyer and deport" agreed to be paid, may be recovered and retabrad by and for the account of Sehor as agreed upon liquidated demag4m, consideration for 241 the execution of this Contract and In toll settlement of any daims; whereupon, Buyer and Satter shah be relieved of all obligations under fits Contract: Or 8aher. 242 at Sofierh option, may proceed io mquity to eenso" Sellees rights under this Contract. if for any reason other then Wure of Wier to make Sshar's ttda mar - 243 isetabte after ClIlOnt agent, Sailer falls, neglects or refusas to perform this COrnract, Buyer may Seek epootltc performance or elect to reoNva the stern of Buyers 244 depoell(r) wihhrAA thereby yr *AV any action for demhagera resulting from tietkrt"a b 1dMUL 246 T. CONTRACT NOT RECORDABLft PERSONS BOUND; NOTICE; FACSIMILEt Nekt r this Contract nor any notice of 11811011 be necOrdcd in any pubgC 246 rat>ortls. This C;ontraot shall bind and inure to the bettatft of the parties and thrall strxessors In Interest. Whenever the Context permits. angular she include 247 pturef and one gender shah Include aft Notice and dofivery given by or to the attorney or broker representing any petty shop ba ea effse" as If given by or to 248 that party. At nolkxs must be in writing and rimy be made by ma14 pwswW doll very or relectrot* media. A leAi!>tth facsfmAe cony pLlp►s CO r>iraacl curd drip elg ---- ZA9— nattlres•hrttron-stmah Zlurpnsas"t�'eti rsr3BlEi'al. ?60 U. CONVEYANOEr Serhsr shall Convey marketable titio to the Rest Property by statutory warranty. tnlst90%. personal ropressntaGve's or guardian's deed, as �1 appropriate to the status of Basher. suWaet only to matters Contained In Paragraph VA and those otherwise uexopttad by Buyer, Personal Property shpt, d the Z62 request of Buyer, be Vanslotrad.by an absolute bM of sate will wNrranry of tWor, subject orgy to such mattere as may be otherwise provided for herein, 53 V. OTtIER AGREEMENT& No prior or Pmeant agroornonts or repmernations shag tun tainting upon BUyor or Sailer trtrioss h*ded in this CCrttrscI. No nrxl- 154 IAoatkon to or change In this Contract sthsb [is valid or binding upon the parflos unless in writing and esxeculsd by the parties irterWeed to be bound by It. 166 W. WAfiRANT'O Beeper warrants that there are no facts known to Salter materiahy, affecting the Vskm Cf the Property which are not toadily observable by Buyer .66 Or wtrich have rwi been disclosed to Buyer. FAR4WI -60 10Mt 02WI Ftur&fa Also wiGn of FiEUxOW and'lhO F104da Ear M Bights Resovw Page 4 ct 4 Nov 08 05 03:18p Lout & Levine 1305) 670 -0701 p -6 Comprehensive Rider to the FAR/BAR Contract far Sale and Purchase if inhlaled by aN parties, the clauses below wig be Incorporated Into the FARISAR Contract for Sale and Purchase between and (Seller) concerning the Property described as (Buyer) USE THE RIDERS THAT APPLY POST-OCCUPANCY-13Y SELLER Buyer's Initials - Seller's InWals: If to be made a part of the Contract. This Contract 6 wntingent upon Buyer and Seiler within _ days from Effective Date signing and delivering to each other a written lease prepared at (CHECK Oble 0 SeW13 0 Buyarr's expense, for Seller to remain In possession of the Property unto days after Closing. Seller shall pay a monthly rent of $ payable monthly in advance. Seller's repair and treatment obligations under paragraphs D and N shad not be extended beyond the Closing. RISZOMNG CONTINGENCY Buyers initials - Sefle s initials: if to be made a part of the Contract. f3uyees obligations hereunder arc expressly conditioned upon Buyer, at Buyer's expense. applying for and obtaining rezoning or change of land use of the described Property to the zoning or land use category of , under (county /city] ordinances and land use regulations. Buyer's obligations are further condKloned upon obtaining such Comprehensive Land Use Plan ("CLUP') amendments as may be rmassary to pormit such rexoning. Buyer agrees to promptly apply for and diligently pursue said rezoning/CLUP amendment. if final government action on said rezoning application has not been obtained by ( "Date "), then either party thereafter, by written notice to the othm may cancel this ConVect, In which event all deposits paid hereunder shall be refunded to Buyer: provided further, however, that it as of Date, the final public hearing has been scheduled before the governmental board or commission having final authority, then the deadline for satisfaction of this condition shd be extended to the day after tho public hearing, but in no event more than days after Date. The Closing shag occur days following And rezoning approval and if applicable land use change. Seiler agreea to such rezoning/CLUP artnendment. RIGHT TO INSPECTION AND RIGHT TO CANCEL Buyer's Initials - Seller's initials: K to be made a part of the Contract. 1- Buyer shall have days from Effective Date {' Inspectlon Period') within which to have such inepeotlons of the Property per- formed as Buyer shag desire and utititIms shall be made "table by the Seller during the Inspecdon Period. 2. Buyer shall bca responsible for prompt payment for ouch inspections and repair of damage to and restoration of the Property resulting from such inspections. This provision shall survive termination of the Contract. S. If Buyer determines, In Buyer's sole discretion, that the condition of the Property is not acceptable to Buyer, Buyer may cancel the Contract by delivering facsimile or written not tae of such election to Seller within 48 hours after expiretln of the Inspection Period. if Buyer timely cancels the Contract, the depoet(s) paid shag be Ernmedfaiety returned to Buyer, thereupon, Buyer and Seller shell be released of all further obligations under the Contract. except as provided in Subparagraph 2, above. 4. If Buyer elects to proceed vrirft the Contract or falls to timely cancel the Contract within 48 hours after wpiration of the Inspection Period, then tho Contract wig remain in effect and; ------ aNf Bc►yerhas conducted insp tSo s pe�rrutie�r ray Stan ands D or N, or both during the inspection Period, and reports dalbats, K any, requiring treatment, repair, or replacement under such Standards to SWar In writing within 4 days after expiration of the Inspection Period, then Seller shag pay up to the applicable amounts required by Paragraph XI(e) and (b). or (b) if Buyer falls to conduct Inspections permitted by Standards D or N, or both during the inspection Period, or, having conduct- ed such inspection(s), fags to timely report defects, It any. requiring treatment repair. or replacement under such Standards, In writing to Seger, Buyer shalt be deemed to have waived Sellers warrentles and obligations of treatment, repair or replacement as to defects not reported. FsC" alien 0=1 Florida kAxi0on of P& aWA. and 7N Florida Bar A Rtghta Pawned pane n Nov 08 05 04:24p Lott & Levine (305) 670 -•0701 p.2 Comprehensive Rider to the FARMAR Contract for Sale and Purchase It initiated by all parties. the dauspe below will be incorpdrated Into the FAFVBAR Contract for Sale and PuM hase between (Seller). and (Buyer) conceming the Prbperty described as USE THE RIDERS THAT APPLY B s - Bailer's Initials, If to be made a part of the Contract. -An abstract of title or l rought current by a reputable and exisft-abstract firm fit not existing then certified orrect by an existing firm) punpwiirig to accurate synopsis of the lnsU uments affecting title to the real property the public records of the county %4 a .the real prop boatod through Frifeotive mate. It ah4commence wide the ubkC records. or such later date as may be customary In the 6ou . closing of tins Contract, the abstract shaft beco o property of Buyer. subject to the right of retention thereof by first mortgagee paid. Seiler shall convey madgmbl subject only to liens, encumbrances, exceptions or quWAcarals contained in this Contras : etablatftie sfxitf loo d sccordng to appiloeble 17th3 8tarndards adopted by authodo of The Florida San and in accordance w Buys ve 5 days from date of reoQivkag the abstract to notify Seiler In writing speeifying defoot(a) Which render title urawl eteb a shall have 30 days from receipt of nottge to remove the defects, falling which Buyer shall: within 5 days after explra 030 erdod; deliver written notice to Seller either: (1) wdending the tkne for a reasonable period not to' exceed 120 d thin dvhlch 8egsr d3gent effort to remove the' defects; or (2) requesting a refund of•deposit(s) maid which returned to Buyer. If Buyer fees to tlfy Seiler, Buyer shall be deemed to have accepted the title as It then is. Seller a Ispund unmarketable. use diligent effort to defects) within the time proovtded. if Seller is unable to 11mely correct eats, Buyer shall either waive the defects, or raceive a refun (s), thereby releasing • Buyer.and Seller from al obligations undertitfp Contract. if S'iAwIs to provide. the abstract of tide deWored.to Buyer jets them 5 days prior , Buyer may extend dosing date so t hat 'Buyer shag have up to 5 days from date of the abstract of title to in accordance with this Rider. If the escrow and dosing procedure required by Standard P is not the abet title shall be continued after Closing' at Buyer's expanse to show We in Buyer, y4thout any encumbrances or,chan car• EVIDENCE OF TITLE (SOUTH FLORIDA CONTRACTS) Buyer's Initials - Seller's Initials: if to be made a part of the Contract. ' ( )( • ) --( )( - )'' . . . •.. • . 1. Evidence of t6 shall be defined as; (a) Saar "provide art existing prior Owners or Fast Mortgagee' 1•itie IrOjanoA Pollcy.quafified for use as a two base for reissue of covemga on the Real Property at the Purchase Hoe of the Real Prope(iy rPrlor Poicy) together with copies of all exceptions thereto, if requested. Seller *0, at Seller's opdan, pay for either: (1) an abstract continuation or; (2) wcorriputer ft-search, from the effec*G date of the prior Owner's Policy or in the one of a Fist Mortgag" Title 16M-40Q Poicy from the date of recording the deed Into the nz- gagor. The abstract continuation orttle search shalt be crdered orperformed by Buyer$ closing agent; or (b)•tF A PSM POUCY DESCRIBED IN PAf9AAQWtPK 1(a} ABOVE IS NOT AVAiLABLE then Seller shag, at Sellars opttot provide and pay for edher: (1) an alternative title evidence which is acceptable to Buyer's tide insurance underwriter; or (2) a tltie insurance commitment Issued by a Florida itcensed title insurer agreeing to issue to Buyer, upon recording of the deed to Buyer; en.Ownet'I Policy •ofTrtle Insurance in the amount of the Purchase Price, Insuring Buyer txa 's title to the Real Property, subject only to liens, ennbmnces, exceptions or queittlMoons provided M ties Contract and those to be discharged by Sailer at or before Closing. . 2. Seller shall convey marketable title subject only to dens, ancumbrances, eraaeptions or qualifications contained in Paragraph VU. Worketatie We shalt be determ!Waccording to applicable Title Standards adopted by authority of The Florida Bar and In accordance • _. ._. _ _ _._._ _. ____.. s__.�_ w. .•.�____ _rr _�_.wu[.ewiL..:w ....falrr wr_rti.7rr JwlwMf L�..LLL_..rwwlwwYl{le._ unmarketable. Seiler shall have 30 days from mcelpt of notice to remove the defects, Ung which Buyer Shag, within 5 days after-expira- tion of the 30 day period, delfvef written notice to Seder efdher: (a) extending the time for a reasonable period not to exceed 120 days within which Seller shag use diligent effort to remove the detects; or (b) requesting a refund of deposits) paid which shall be returned, to. •Buyer if Buyer` fails to so notlty Sailer, Buyer shall be deem®d to have accepted the talc as it then is. Seler shell, ,W title Is found uimter ketabie, use diggsnt effort to correct defect(s) wMn the time provided. If Seger Is unable to finely correct the defects, Buyer" either waive the defects, or-receive a refund of deposit(s), thereby releasing Buyer and Seiler from all further obligations under this contract. if Evidence of Title is delivered to Buyer less then 5 days prior to dosing, Buyer may,extend closing date so that Buyer shall-have, up to 5 days from date of receipt of Evidence of `fide to examine same in accordance with OU Rider if the escrow and cloi3frrg-proced6re required by Standard P is not waived, the Evidences of lWa shall bo continued after Closing at Buyer's expense to show ride In Btryer, without any encumbrances or changes which would rendei Seler's title unma*etebla from the date of the previous continuation. 3. evidence of title shall be oertMed'or brought current through a data not more thin 30 days prior to Closing. Upon. posing, the Evidence of Title shall become the property of Buyer. i- Frotrda- assod�atlot+ct . an.,a ii��Fif8 /1fi.Oorthoct- f�r_Baareaad -P Exhibit 1 Legal Descriptions 6420 S.W. 59`h Place Folio No.: 09- 4025- 010 -0160 Franklin Sub PB 5 -34 S 1/2 Lot 15 Less R/W Blk 3 Lot Size 2203 SQ Ft or 14015 - 21081288 5 And 6428 S.W. 591h Place Folio No.: 09 -4025- 010 -0170 Franklin Sub PB 5 -34 S 1/i Lot 16 Less R/W Blk 3 Lot Size 4628 SQ Ft. or 14015 -2108 1288 5 Exhibit 2 Signatures as Required in Paragraph XIV Of Contract for Sales and Purchase Buyer: The South Miami Community Redevelopment Foundation, Inc. Buyer's Address for Purpose of Notice 6130 Sunset Drive South Miami, Florida 33143 Sellers: Clara M. Brooks Sellers' Address for Purpose of Notice Ireatha Bryant Sellers' Address for Purpose of Notice Date Date Date Alberta Holmes Date Sellers' Address for Purpose of Notice Oralee Roberts Date Sellers' Address for Purpose of Notice Cecilia Grant Date Sellers' Address for Purpose of Notice Joseph Mccray Date Sellers' Address for Purpose of Notice �i•�rrn r • • • •• ••• • • • • • • • • To: Honorable Chair and SMCRA Board Members From: Stephen 1 SMCRA RESOLUTION Date: March 12, 2407 ITEM No. A UTHORIZATION TO PURCHASE 6420 SW 59' PLACE AND 6428 SW 59' PLACE A RESOLUTION OF THE SOUTH MIAMI COMMUNITY REDEVELOPMENT AGENCY ( SMCRA) RELATING TO REAL PROPERTY; AUTHORIZING THE SMCRA DIRECTOR TO EXECUTE A PURCHASE AND SALE AGREEMENT BETWEEN THE SMCRA AND THE EXISTING PROPERTY OWNERS OF RECORD TO PURCHASE 6420 SW 59" PLACE, SOUTH MIAMI, FLORIDA BEARING FOLIO NO.:09 -4025- 010 -0160 AND 6428 SW 59Th PLACE SOUTH MIAMI, FLORIDA BEARING FOLIO NO. 09-4025-010-0170 FOR A NEGOTIATED PURCHASE PRICE OF $350,000; AND PROVIDING AN EFFECTIVE DATE. BACKGROUND During the April 11, 2005 Meeting, the Board authorized the Executive Director to obtain property appraisals and to negotiate purchase of properties for the purpose of assembling land to implement the Madison Square Project. Staff subsequently obtained appraisals for each of the properties including 6420 SW 591h Place and 6428 SW 590' Place. Based on the fact that the original appraisals for the properties are over two years old, staff subsequently obtained updated appraisals. As indicated in Exhibit A, the combined appraised value for 6420 SW 590' Place and 6428 SW 59`h Place is $275,000. Both properties are centrally located within the western portion of the proposed development site. If the above referenced parcels are acquired by the SMCRA, three parcels will remain to be purchased to complete land acquisition for the project. There are also two 1300 sq. ft. parcels requiring formal conveyance by the Miami -Dade Housing Agency. Based on purchase negotiations with the existing property owners, a negotiated purchase price of $350,000 has been determined. A letter of intent to sell from the existing property owners has been attached as Exhibit B. Approval of the attached resolution shall authorize the SMCRA Director to enter into contract to purchase 6420 SW 59t1t Place and 6428. SW 59th Place for a negotiated purchase price of $350,000. A draft purchase and sale agreement has been attached as Exhibit C. RECOMMENDATION Staff recommends approval of the attached resolution authorizing the SMCRA Director to enter into contract to purchase 6420 SW 59'h Place and 6428 SW 50' Place for a negotiated purchase price of $350,000. Attachments: Property Appraisal fro 6420 & 6428 SW 59 °i Place Letter of Intent to Sell Draft Purchase and Sale Agreement SDMCGRUFF\PLANNING \C R A\Authorization to Purcahse 6420 and 6428 SW 59th Place.doc 1 2 RESOLUTION NO. 4 A RESOLUTION OF THE ..SOUTH MIAMI COMMUNITY 5.. REDEVELOPMENT AGENCY (SMCRA) RELATING TO 6 REAL PROPERTY; AUTHORIZING THE SMCRA 7 DIRECTOR TO EXECUTE A PURCHASE AND,, SALE . 8 'AGREEMENT TO PURCHASE 6420"SW 59`" PLACE, SOUTH . 9 , MIAMI, FLORIDA BEARING FOLIO N0.:09- 4025- 010 -0160 10 AND.. 6428 SW 59T�I PLACE SOUTH ' MIAMI, . FLORIDA FOLIO NO. 09- 4025 - 010 - 0170 FOR A 11 BEARING ' 12 NEGOTIATED PURCHASE PRICE OF $350,000 AND 13 CHARGING ACCOUNT. .NO. 610 =1110- 583 -61 -10 .. (LAND. 14 ACQUISITION . ACCOUNT); AND PROVIDING AN 15 EFFECTIVE DATE. 16 17 .18.' WHEREAS, during the April 11, 2005 SMCRA Meeting, the Board 19 authorized the Executive : Director to obtain appraisals and 'to negotiate the 20 purchase of properties required for the development of Madison Square; and . 21 22 WHEREAS, staff subsequently obtained appraisals for each of the 23 required properties including 6420 SW 59`h Place and 6428 SW 59`h Place; and 24 25 WHEREAS, _based on the fact that Jhe original appraisals for 6420: SW 26 59`" Place > and 6428 . SW .59th Place are over two years old, updated property 27 appraisals were recently obtained; and 28 29 WHEREAS, the combined appraised value .for 6420 SW 59`" Place and 30 6428 SW 59`x' Place'is $275,000; and, 31 32 WHEREAS, both properties are centrally located within the western. 33 portion of the. proposed'Madison Square development site; and 34 35 ..,WHEREAS, pending purchase of the two properties by the SMCRA, 36 three .parcels will remain to be purchased to complete land acquisition for the 37 project;.and 38 39 WHEREAS, the SMCRA has received a letter 'of intent from the existing 40 property owners indicating a willingness to sell 6420 SW 59th Place and 6428 SW 41 59ffi Place for a negotiated purchase price of $350;000; and 42 43 WHEREAS; acquisition of the.two properties is integral to the successful 44 implementation of the Madison Square Project and the redevelopment goals 45. and objectives as identified in the CRA Plan. 1 . 2 . 3 NOW THEREFORE BE IT 'RESOLVED BY THE ' SOUTH: 4 MIAMI COMMUNITY REDEVELOPMENT AGENCY; 5 . 7 Section 1. The South: Miami Community Redevelopment Agency 8 authorizes the SMCRA Director to enter into agreement to purchase 6420 SW 59`x. 9 Place, Bearing Folio No: 09 -4025- 010 -0160 and 6428 SW 59th Place Bearing 16 Folio No. 09- 4025- 010 -0170 from the property.owners of record for a negotiated l 1. purchase price of $350,000. Charging the. total amount to' Account No. 610-1110 - 12 583 -61 -10 13 14 Section 2. This resolution shall take effect immediately upon approval. 15 17 18 19 PASSED AND ADOPTED this day of March, 2006. 20 21 - 22 23 24 ATTEST: APPROVED: 26 27 28 : City: of, South Miami Chairperson Horace Feliu 29 Community Redevelopment Agency 30 Clerk 31 32 Board Vote: 33 Chairperson Feliu 34 Vice Chairperson Wiscombe: 35 READ AND APPROVED AS TO FORM: Board Member: Palmer . 36 Board Member.Birts: 37 Board Member Beckman: 38 Board Member Ellis: 39 Board Member:, Williams 40 Eve A. Boutsis, Office of 41 General Counsel 42 Nagin Gallop & Figueredo, P.A EXHIBIT A March 7, 2007 Mr. Stephen David Acting Executive Director -Community Redevelopment City of South Miami 6130 Sunset Drive South Miami, Florida 33143 Re: Clara M. Brooks, et al 6420 and 6428 SW 59th Place South Miami, Florida Dear Mr. David: Pursuant to our appraisal agreement, we have completed an appraisal of the above - captioned parcel. The'purpose of the appraisal is to estimate the market value of the subject parcel as of March 1, 2007. The property consists of 6,831 square foot vacant parcel of land. The function of the report is for the potential purchase of the property by the City of South Miami as part of their Community Redevelopment Program. The intended users of this report are the City of South Miami and their representatives. Market value is defined as "the most probable price, as of a specified date, in cash, or in terms equivalent to cash; or in other precisely revealed terms, for which the specified property rights should sell after reasonable exposure in a competitive market under all , conditions requisite to a fair sale, with'the buyer and seller each acting prudently, knowledgeably, and for self interest, and assuming that neither is under undue duress. The attached report contains our analysis of the factual market data, which forms the basis for our conclusions. Your attention is directed to the Certificate of Valuation and the Assumptions and Limiting Conditions, which form an integral part of the attached report. ' 1 I Mr. Stephen David. March 7, 2007 Page 2 We have personally inspected the property that is the subject of this report. Based upon the conclusions contained in the attached Complete Summary Appraisal Report, in my opinion, the market value of the property as of March 1, 2007 is as follows: TWO HUNDRED SEVENTY FIVETHOUSAND DOLLARS ($275,000) Respectfully submitted, 1 Robert D. Miller, ASA State - Certified General R.E. Appraiser No. 0001270 TABLE OF CONTENTS Certification................................................................................................................ ............................... l Assumptionsand Limiting Conditions ...................................................................... .................:............2 Summary of Salient Facts and Conclusions ............................................:................. ..............................4 LegalDescription ........................................................................................................ ..............................5 PropertyInspection ..................................................................................................... ..............................5 Typeof Property ........................................................................................................ ............................... 5 Historyof Property ......................................................................................:............. ............................... 5 PropertyInterest Appraised ....................................................................................... ............................... 5 Purposeof Appraisal ................................................................................................. ............................... 5 Functionof Appraisal ................................................................................................ ............................... 5 Definitionof Market Value ........................................................................................ ..............................6 Dateof Value ............................................................................................................. ............................... 6 MarketingPeriod ....................................................................................................... ............................... 6 RegionalMap .............................................................................................................. ..............................7 NeighborhoodMap and Description ........................................................................ ............................... 8 Sketchof Subject Property ........................................................................................ .............................10 Descriptionof the Property ....................................................................................... .............................11 Zoning........................................................................................................................ .............................12 RealEstate Taxes ....................................................................................................... .............................13 Highestand Best Use - Vacant .................................................................................. .............................14 Sales Comparison Approach to Value ...................................................................... .............................15 Reconciliation............................................................................................................ .............................22 3 1 ADDENDUM Photographs of the Subject Property Comparable Sales Data Sheets Deeds Associated With Sales History Qualifications of Appraiser CERTIFICATION The,undersigned does hereby certify that except as otherwise noted in this appraisal report: 1. To the best of our knowledge and belief, the statements of fact contained in this appraisal report, upon which the analysis, opinions, and conclusions expressed herein are based, are true and correct. 2. The reported analysis, opinions, and conclusions are limited only by the reported . assumptions and limiting conditions, and are our personal, unbiased professional analysis, opinions, and conclusions. 3. We have no present or prospective interest in the property that is the subject of this report, and I (we) have no personal interest or bias with respect to the parties involved. 4. Our compensation is not contingent on an action or event resulting from the analysis, opinions, or conclusions in, or the use of, this report. 5. Our analysis, opinions, and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Uniform Standards of Professional Appraisal Practice. 6. No one provided significant professional assistance in the preparation of this report. 7. Robert D. Miller has met or exceeded the minimum prescribed educational requirements for Re- certification as an Accredited Senior Appraiser (ASA) or the American Society of Appraisers. 8. Robert D. Miller did make an inspection of the property that is the subject of this report. The most recent inspection was on March 1, 2007. 9 0 VFW. Robert D. Miller, ASA State Certified General R.E. Appraiser No. 0001270 1 ASSUMPTIONS AND LIMITING CONDITIONS The legal description furnished to the appraiser is assumed to be correct. All existing liens and encumbrances have been considered, however, the property is appraised as though free and clear, under responsible ownership ana competent management. The information identified in this report as being furnished to the appraiser by others is believed to be reliable, however, the appraiser assumes no responsibility for its accuracy. The plot plans and illustrative material in this report are included only to assist the reader in visualizing the property. It is assumed that there are no hidden or unapparent conditions of the property, subsoil, or structures that render it more or less valuable. No responsibility is assumed for such conditions or for arranging for engineering studies that may be required to discover them. It is assumed that there is full compliance with all applicable federal, state, and local environmental regulations and laws unless noncompliance is stated, defined, and considered in the appraisal report. It is,assumed that all required licenses, certificates of occupancy, consents, or other legislative or administrative authority from any local, state, or national government or private entity or organization have been or can be obtained or renewed for any use on. which the value estimate contained in this report is based. It is assumed that the utilization of the land and any improvements is within the boundaries or property lines of the property described and that there is no encroachment or trespass unless noted in the report. i The distribution, if any, of the total valuation in this report between land and any improvements applies only under the stated program of utilization. The separate allocations for land and buildings must not be used in conjunction with any other appraisal and are invalid if so used. Possession of this report, or copy thereof, does not carry with it the right of publication. It may not be used for any purpose by any person other than the party to whom it is addressed without the written consent of the appraiser, and in any event, only with proper written qualifications and only in its entirety. ` ASSUMPTIONS AND LIMITING CONDITIONS (Continued) Disclosure of the contents of this appraisal is governed by the ByLaws and Regulations of the American Society of Appraisers. The appraiser herein by reason of the appraisal is not required to give further consultation, testimony, or be in attendance in court with reference to the property in question unless arrangements have been previously made. Neither all, nor part of the contents of this report, especially any conclusions as to value, the identity of the appraiser, or the firm with which the appraiser is connected, shall be disseminated to the public through advertising, public relations, news, sales, or other media without the prior written consent and approval of the appraiser. The Americans with Disabilities Act ("ADA"), became effective January 26, 1992. 1 have not made a specific compliance survey and analysis of this property to determine whether or not it is inconformity with the various detailed requirements of the ADA. It is possible that a compliance survey of the property, together with.a detailed analysis of the requirements of the ADA, could reveal that the property is not in compliance with one or more of the requirements of the Act. If so, this fact could have a negative effect upon the value of the property. Since I have not direct evidence relating to this issue, I did not consider possible non - compliance with the requirements of ADA in estimating the value or the property. Unless otherwise stated in this report, the existence of hazardous materials, which may or may not. be present on the property, was not observed by the appraiser. The appraiser has no knowledge of the existence of such materials on, or in the property. The appraiser is not qualified to detect such substances. The presence of substances ' such as asbestos, urea - formaldehyde foam insulation, or other potentially hazardous materials may affect the value of the property. The value estimate is predicated on the assumption that there is no such material on or in the property that would cause a loss in value. No responsibility is assumed for any such conditions, or for any expertise or engineering knowledge required to discover them. The client is urged to retain an expert in this field, if desired. 3 SUMMARY OF SALIENT FACTS AND CONCLUSIONS PROPERTY LOCATION: 6420 and 6428 SW 59th Place City of South Miami, Miami -Dade County, Florida OWNER'S NAME: Ireatha M. Bryant, Alberta M. Holmes, Ora M. Roberts, Celia M. Grant and Joseph C. McCrae, Jr. OWNER'S ADDRESS: , 15025 Harrison Street Miami, Florida 33176 -7649 DATES OF INSPECTION: March 1, 2007 SIZE OF SUBJECT PROPERTY: 6,83J square feet PRESENT USE: Vacant Land HIGHEST AND BEST USE: Neighborhood Commercial Use IMPROVEMENTS: None ZONING:' NR Neighborhood Retail COST APPROACH TO VALUE: N/A SALES COMPARISON APPROACH TO VALUE: $275,000 INCOME APPROACH TO VALUE:. N/A MARKET VALUE OF THE WHOLE PROPERTY (RECONCILIATION): $275,000 DATE OF VALUATION: March 1, 2007 LEGAL DESCRIPTION: South '' /2.of Lot 15, Lot 16, Block 3, less right of way of Franklin Subdivision as recorded . in the Official Records of Miami -Dade County, Florida in Plat Book 5 Page 34 PROPERTY INSPECTION: 1. Date(s) inspected: March 1, 2007 2. Comments: The property is vacant. TYPE. OF PROPERTY: The subject is a 6,831 square feet of land area and is zoned for a neighborhood commercial use. HISTORY OF PROPERTY: Their have been no transfers of the land since December 4, 1986. The latest transfer was recorded in OR Book 14015 Page 2108 via a warranty deed, although no monetary consideration was noted. A copy of the acquiring deed is in the addendum of this report. Per the deed, which was not recorded until March2, 1989, the owners of the property are Ireatha M. Bryant, Alberta M. Holmes, Ora M. Roberts, Celia M. Grant and Joseph C. McCrae, Jr. The seller on this deed was Joseph C. McCrae, Sr. PROPERTY INTEREST APPRAISED: For the whole property, the property rights appraised are fee simple title ownership considering any restrictions of use. PURPOSE OF THE APPRAISAL: The purpose of the appraisal is to estimate the market value of the subject property as of a current date. FUNCTION OF THE APPRAISAL The function of the appraisal is for utilization by the City of South Miami in their potential purchase of the property from Clara M. Brooks, et al. The intended users of the report are the representatives of Clara M. Brooks, et al, the City of South Miami, their legal counsel and any other designated representatives. 61 DEFINITION OF MARKET VALUE: The most probable price in cash, as of a specified date, financial arrangements equivalent to cash, or in other precisely revealed terms, for which the appraised property will sell in a competitive market under all conditions requisite to a fair sale, with the buyer and seller each acting prudently, knowledgeably, and for self - interest, and assuming that neither is under duress. EFFECTIVE DATE (DATE OF VALUE): The date of value is March 1, 2007 the date of our latest inspection. The date of this report is March 7, 2007. MARKETING PERIOD Based upon discussions with various brokers and review of the marketing period for similar lands we have estimated a marketing period of six months or less. The estimated marketing period is based upon our review of marketing periods for vacant land in the subject market area. COMPETENCY PROVISION The appraiser has completed numerous vacant land appraisals in his 24 years as a real estate appraiser in Miami -Dade County. As a result of the appraisers' experience, the competency provision of USPAP has been met. NEIGHBORHOOD DESCRIPTION The subject neighborhood is primarily a single- family residential neighborhood with several church facilities located within the residential community. The majority of the properties are single family oriented, although several apartment type buildings were noted in our review. Two apartment complexes are located within one block of the subject property and several vacant lots and residences slated for redevelopment were noted in our review. The subject neighborhood does have a few commercially zoned tracts that would provide for the local shopping needs of the residents. Located on SW 59`" Place at the corner of 64`h Street is a small neighborhood convenience store. The City of South Miami has targeted this area for some redevelopment activity. Based upon our review of the neighborhood and the sales activity reviewed, it is our opinion that the subject neighborhood is nearing a phase of development that will entail new construction as well as renovation of existing residential properties. The small pockets of neighborhood retail zoning should provide for sufficient capacity of commercial uses to service the area residents and thus minimizing the already congested commercial areas along US I (Dixie Highway). In our opinion, the subject neighborhood would be rated as stable with some upward increase in market values associated with the potential for redevelopment in the area. E SKETCH OF THE SUBJECT PROPERTY 88 Feet 72 Fpnt 10 DESCRIPTION OF THE PROPERTY Location: 6420 SW 59th Place, South Miami, Miami -Dade County, Florida. The site is vacant and is located just south of 64 "h Street on the west side of SW 59`h Place. Land Area: The subject property contains 6,831 square feet of land. We were not provided a survey and the information is based on our review of the county and public information. We assume that the size indicated is reflective of the subject property total size. Shape/Dimensions: The site is basically rectangular with dimensions of 77 feet by 88 feet, see sketch on previous page. Ingress/Egress: The property has approximately 72 +/- feet of frontage on the west side of SW 59`h Place with a depth of approximately 88 feet. The access to the site is from SW 59`h Place. We were not provided a survey and the information is based on our review of the county and public information. We assume that the size indicated is reflective of the subject property total size. Topography: The topography of the site is at grade of the surrounding properties. Based upon visual inspection of the site and buildings on adjacent properties, the soil conditions are considered adequate for most types of development. Utilities on Site: The following utilities are available where indicated: X Electric X Water X Telephone X Sewer 11 DESCRIPTION OF THE PROPERTY (continued) ZONING: The subject property is currently zoned NR Neighborhood Retail. This zoning category provides for the development of properties located within residential neighborhoods with uses that are amenable to the neighborhood locations. We did consider alternate uses in our analysis, which will be addressed in the highest and best use section of the report. ZONING MAP EASEMENTS /ENCROACHMENTS Restrictions, covenants, limitations and easement of record were considered typical for this type of property. 12 REAL ESTATE ASSESSMENT DATA Taxing Authority: Taxpayer: Folio Number(s): Total Assessment: (2006) Total Real Estate Taxes: (2006) 13 Miami -Dade County Clara M. Brooks, et al 09- 4025 - 010 -0160 and 0170 $30,842 $64.792 $745.79 $1,566.27 HIGHEST AND BEST USE - VACANT The estimate of the highest and best use of the land as legally permitted, if vacant, requires extensive market analysis especially in terms of the indicated market conditions of supply and demand. The value of the land is based upon the level of utility that is in demand and that will produce amenities or net income to the user. Therefore, the use which creates the greatest land value and which is considered compatible in terms of the restrictions imposed by the physical, legal, economic, and financial factors is inherent in this analysis. The following analysis is intended to demonstrate and support our estimate of the highest and best use of the subject site. Physically Possible The subject property contains 6,831 square feet of land area. The site is basically rectangular and is a substandard site, although some type of development should be allowed. The shape is suitable for many types of development, although the small size will limit the potential uses of the site. Yet overall, the site could be physically developed with commercial, residential and industrial uses. Legally Permissible The parcel is zoned for a neighborhood retail type use. This use will provide for a commercial neighborhood in the middle of a residential area that will provide for development with commercial uses compatible to the neighborhood setting. A convenience store or neighborhood office are examples of the type of developments for this zoning classification. Financially Feasible The financially feasible uses of the parcel would include any of the legally permitted uses, therefore, the only financially feasible use would be for a commercial development. The entire commercial area would need to be rezoned to a residential use in order to feasibly consider a residential use in our analysis. Based on the existing surrounding uses, we did not feel that a residential use would be allowed at this location. Maximally Productive The most maximally productive use of the site should produce the highest price or return required by the market for that use. After determining those uses, which are physically, possible, legally permissible and financially feasible, it is our opinion that the most maximally productive use of the land, as vacant, is for some type of commercial retail use compatible with the neighborhood setting and or an assemblage with other parcels in the area. 14 APPROACHES TO VALUE OMITTED -AS NOT APPLICABLE ( ) MARKET (XX) COST (XX) INCOME Since the subject site is basically a vacant parcel of land, the Market or Sales Comparison Approach to Value is considered most applicable in this assignment. The highest and best use was deemed to be for future development with a neighborhood retail use or assemblage for a larger scale development. Therefore a land valuation was considered to be most applicable. As a result, the Cost and Income Approaches to Value were not considered applicable. 15 ESTIMATE OF LAND VALUE The land value is estimated by the Sales Comparison Approach. This approach is often referred to as the Direct Comparison Approach because the comparison procedure is its basic technique. The Sales Comparison Approach requires careful selection of sale properties to ensure that they are relatively similar to the subject. No two properties are exactly alike. Therefore, a comparison between the subject and the sales must be considered in arriving at an indication of value for the subject. The following sales are deemed physically and economically comparable to the subject. An analysis sheet for each sale is included in the report. The normal items of comparison are discussed following the presentation of the sales data. We have considered the unit sale price per square foot of land area to be most appropriate unit of comparison in this assignment. 16 COMPARABLE VACANT LAND SALES MAP 17 SUMMARY OF VACANT LAND SALES SALE SALE SALE SITE UNIT SALE # LOCATION DATE PRICE SIZE IMPROVED ZONING PRICE SWC 68TH ST 1 AND 62ND AVE 1/5/01 $150,500 11,188 NO NR $ 13.45 NEC SW 71ST 2 AND 61 ST AVE 7/12/05 $1,275,000 9,879 NO MO $ 129.06 5757 SW 681' 3 STREET 07/17106 $ 750,000 9,572 NO MU-4 $ 78.26 NEC SW 71ST 4 AND 61ST AVE 02/17/04 $ 750,000 9,879 NO MO $ 75.91 ES OF 60TH AVE, 50 FT S OF 5 64TH ST 1017/04 $ 85,000 5,875 YES NR $ 14.47 SEC 69TH ST AND OAKLAND 6 AVE 3/3/03 $125,000 9,500 YES RS -3 $ 13.16 5791 SW 58TH 7 CT 01/12/06 $200,000 10,232 NO RS-4 $ 19.55 8 WS 59TH PLACE 5/10/04 $288,750 10,525 YES NR / RS-4 $ 27.43 SEC 63RD ST 9 AND 62ND AVE 8/17/04 $165,000 9,000 YES RS-4 $ 18.33 SALES COMPARISON APPROACH - We have reviewed vacant and improved properties or sales that are located in the general vicinity of the subject property. The sales are located in close proximity to the subject property within the City of South Miami. Some of the sales involved properties zoned with a residential zoning classification. These sales were used in our review of the market and to assist us in developing a range for the subject property with a NR Neighborhood Retail highest and best use. We considered the sale price per square foot of land area to be the most applicable unit of comparison. Market Data Analysis Overall, the sale properties range in size from 5,875 square feet to 11,188 square feet and the subject property contains a total of 6,831 square feet of land area. The review of similar size sites allows us the opportunity to view sales with similar physical restraints. These are the most comparable sales that we were able to review in the South Miami market within the past four years. The land sales indicated a wide range from a low of $13.16 per square foot of land area for a residentially zoned site to $129.06 for an office site located near Sunset. A few of the sites were improved with older buildings that contributed only minimal value to the overall sale price. Conditions of Sale: All of the comparable sales utilized in direct comparison were arm's length transactions. Thus, no adjustment for conditions of sale is indicated. However, it was noted that several sales in the area were purchased by the same entity as part of an assemblage of lands. This was considered in or overall analysis and coincides with our opinion that the highest and best use of the subject property may involve an assemblage of the site to provide for a larger overall development. Property Rights Conveyed: The property rights appraised for the subject are fee simple subject to the existing easements. The property rights conveyed for the sales utilized in direct comparison are fee simple. Thus, no adjustment for property rights is indicated. Financing: Vacant land of this type is generally acquired for cash or construction loans with institutional financing. Often times, the financing is obtained in the form of an acquisition and development loan. However, it is not uncommon for the seller to provide short term financing. However, all of the sales presented for direct comparison were acquired for cash or with market -based financing. Therefore, no adjustment for financing is indicated. 19 SALES COMPARISON APPROACH TO VALUE (Continued) Market Conditions: We have analyzed numerous sales in the subject area, in the time period from roughly 2000 to the present. The sales took place between January of 2001 and July of 2006. Sales 4 and 2 are the same property and reflect a large increase in market values from the 2004 to 2005 time frame. Further this property sold in 2003 for $49.09 per square foot of land area. The overall market has increased for the entire South Florida area and we have considered that in our analysis. The two most recent NR zoned sites sold in October of 2004 for $14.47 per square foot of land area and $27.43 per square foot in May of 2004. In consideration of the increase in land values in South Florida and South Miami in particular, we are of the opinion that the subject property would have a unit sale price above the 2004 sales. And reflected of the resale information on Sales 2 and 4, the market has increased approximately 250% since the 2003 sale of that property.. . Location: Locational characteristics deemed significant for residential land include access, surrounding demographics, surrounding properties, supply of competitive land, etc. The subject property is located on an interior residential street in a small pocket of commercially oriented lands. The majority of the sales are located in the subject neighborhood with some locations slightly superior. The neighborhood Locational differences are considered to be minor and no definitive Locational adjustment was applied to those sales. Sales 2, 3 and 4 were considered to superior locations and set the upper limits of value for the subject property. Size: The subject property contains 6,831 square feet. All of the sales were very similar in size. Based on our review of the sales and their respective sizes, no adjustment for size was considered to be applicable. Improvements: The sales that were improved generally consisted of older improvements, and it was our opinion that the improvements did not contribute a significant amount to the overall sale price. Consideration for the differences in the type, quality and quantity of the improvements is reflected in our final analysis. 20 SALES COMPARISON APPROACH TO VALUE (Continued) Zoning The properties have a variety of zonings and the zoning classifications were considered in our overall analysis. The scarcity of sales required us to review other than just NR sales. The residential uses were considered to be inferior and the MO and MU -4 properties were considered to be better locations and more intense uses were allowed. Therefore, the residential lands were considered inferior overall and the higher density commercial zonings were considered superior overall. The zoning differences were considered in our final analysis. CONCLUSION OF VALUE — SALES COMPARISON APPROACH TO VALUE Based upon our review of the sales data, it is our opinion that these sales are most comparable and indicative of the value of the subject property. There is generally a scarcity of sales for small sites with a similar zoning classification, as there are only a limited number of areas in the City of South Miami with the NR Neighborhood Retail zoning district. As a result, we used older sales as well as other sales in the area with different zoning classifications. The use of these sales, as well as the sales of improved properties, provided us with a range of market values that we considered in our analysis. Based on our review of the sales data, the location, the size and the overall marketability of the subject property, we have estimated the market value of the subject property to a market value conclusion of $40.00 per square foot of land area. Therefore, it is our opinion that the subject property would have a market value as of a current date as follows: 6,831 square feet x $40.00 per square foot = $273,240 say $275,000 21 RECONCILIATION Cost Approach N/A Sales Comparison Approach $275,000 Income Approach N/A We have considered the Sales Comparison, Cost, and Income Approaches to value in this assignment. Based upon the quantity and quality of the market data, i.e., the comparable sales, it is our opinion that the Sales Comparison Approach to Value is the most reliable indicator of the value of the subject property. The Cost and Income Approaches to Value were not considered germane in this assignment, as the subject property is a vacant parcel of land. Therefore, the Sales Comparison Approach for the land was considered the most applicable method of valuation. The final value conclusion indicated a market value of $275,000. Based upon review of the market data and our analysis, it is our opinion that the market value of the site as of March 1, 2007 is: TWO HUNDRED SEVENTY FIVE THOUSAND DOLLARS ($275,000) 22 03/09/2007 11:35 3052534633 POLLYCO REALTY EXHIBIT B Date: March 9 2007 Pollyco Realty: Real Estate and Mortgage Consultants 9507 Colonial Dr. Ste, 9 200 N fiam:i, Fl. 33157 Ph (305) 235 -7636 fx (305) 253 -4633 www. .Po1Xyco.corn To: Stephen David- Acting Director From: Randall Darling Subject: Offer to Sell PLopp tX March 9, 2007 Fax # g ?D5_`—,66L 735-6 Pages Including Cover 2 Stephen Z am forwarding to you the offer from my clients to sell vacant land located in the City of South Miami. Should you have any Questions you can contact me via phone at 201 -312- 8008. Regards, Randall Darling h 03/09/2007 11:35 3052534633 POLLYCO REALTY PAGE 02 OFFER TO SELL COMMERCIAL PROPERTY: Agreement to sell commercial property to a corporation. This agreement is made on March 9, 2007 at Pollyco Realty 9507 Colonial Drive Suite #200 Miami, Florida 33157 by Iretha M. Bryant, Albertha M. Holmes, Ora M. Roberts, Celia M. Grant, and Joseph C. McCrae Jr. referred to as sellers, whose business address is 15025 Harrison Street Miami, Florida 33176, Miami -Dade County and The City Of South Miami referred to as purchaser, a corporation organized under the laws of Florida, with its principal office in Florida located at 6130 Sunset Drive South Miami 33143 Miami -Dade County Florida RECITALS: In consideration of the covenants and agreements of the respective parties, as set forth below, seller agrees to sell and convey to purchaser, and purchaser agrees to purchase and take from seller, the real property situated in South Miami, Miami- Dade County, Florida, and particularly described as follows: 6420 -29 SW 50' Place, The real and personal property described above is referred to as property. Transfer to purchaser shall include all right, title, and interest of seller in and to all streets, alleys, roads, and avenues adjoining the real property, and shall further include any award for damaging or taking by eminent domain by public or quasi - public authority, of the real property or any part of it. The purchase price for property is Three Hundred and Fifty Thousand Dollars ($350,000), payable as follows: Cash at closing BROKER'S COMMISSION A commission of 6% has become due from seller to Pollyco Realty by reason of the sale provided for in this agreement. That amount shall be paid to broker at close of escrow directly, from cash payable on close to seller BINDING EFFECT OF AGREEMENT This agreement and the covenants and agreements of it shall bind and inure to the benefit of the parties, and their respective heirs, personal representatives, successors and assigns. Unless the agreement otherwise requires, the covenants of this agreement shall survive the transfer of title. In witness whereof, the parties have executed this instrument at the place and on the date first above - specified. _-I Rar, 1* 2* 3 4 5 6' 7* 9* 1 i) 17 t 2* 13' 14* 15* Nov OS OS 03:13P Latt & Levine [305) 870 -0701 EXHIBIT C P.2 Clara M. Brooks, Ireatha Bryant, Alberta Holmes, Oralee Roberts, PARTIES:_r1nni 1 in Granf and? . ng nh McCray. Jr_ bY z —I— I &W" "18011 and Buyer shall buy the following descdbad Real Property and Personal Property (ooilecthrely 'Properly"] ;rant to the terms and conditions of this Contract for Sale and Purchase and any riders and addenda ( "C.ontracil: DESCRIPTION: (a) Legal dew:rlpflon of the Res! Property located In Miami —Dade County, Florida: (b) stroot address. any, zip, of the Pnipm ty: - (c) Personal Property Includes euMng range. refrigeralur, dishwasher, c9WQ fauna, light fixtures, and window treatments unlaw specltloally excludod below. Other home included are: _ Items of Persona! Property (and teased iemB, if any) excluded era: 16* IL PUFICHASE PRICE (U.S. currency) ........... ............................... I ........ 3509000.00 17 PAYMENT 18* (a) Depoelt hold In escrow by George Lgtt, Esq. (Escrow Agent In the amount of .. S 100.00 19* (b) Additional escrow depoaft to be made to Escrow Agant within .-._, days after Effective Date 20* (see Paragraph 111) In the amount of .... .. ... . . $ 21 (c) Assumption of existing mortgage In good standing (see Paragraph IV(c)) having an spproxknats 22* present principal balance of ...... . , , • ...... .................... $ 20*' (d) Now mat})))e Qnnencurng win a Lander (see Paragraph}V(bD in the amount of... ... $ 0. 0 0 ' — 24* (e) Purchase money mortgage and note to Seiler (See Paragraph ry(d)) In the amount of .............. $ 26* M Other., .... $ 26 (9) Balance to close by cash or LOCALLY DRAWN cashlarls or oticlsl bank ohsck(s), subject 27* to adjustments or proratbns .. $ 26 III. TIME FOR ACCEPTANCE OF OFFER AND COUNTEROFFER&. EFFECTIVE DATE: 29 (a) If INS otr0r Is r of s � I delivated to an parties OR FACT OF EXECUTION oommurdoatod to writing between the parties on or 30* before Marc 6 , the deposk(s) wUl, at Buyers option, be returned and this otter withdrawn. UNLESS OTH- 31 ERWISE STATED, THE 7IME FOR ACCEPTANCE OF ANY COUNTEROFFi'RS SHALL BE 2 DAYS FROM THE DATE THE COUN. 32 TEROFFER 18 DLUVERED. 33 (b) The date of Contract rEfreative Datal) vA be the date whon the last one of the Buyer and Seller has signed or Initialed this offer or the 34 foal counteroffer. 9 such date 18 not otherwise set forth In this (contract, there ft "Effective Date* &heft be the data determined above for 36 acceptance of this offer or. If appitcabte, the final counteroffer: 36 IV F111JiNCiN(k 37* O (a) This is a cash transaction with no contingencies for financing; 3s` 10 (b) This Contract Is contingent on Buyer obtaining approval or a loan ('Loan ApprovaiI within 6 0 days after ive Gate for (CHECK 39' ONLY ONE): O a fixed: 0 an astable. or 0 a fbced or ao►justeble Hate ban. In the principal amount of $ L34-9--r--91 0 40* est Hato not to exceed — ,_5%, discount and odgirtatlan fees not to exceed 96 of prindpai amount, and f ra aaterm of 15_ 41* years. Buyer will make application wAtNn -3 L days Of blank, than 5 days) after Effective Date and use reasonable ciftence to obtain Moan 42 Approval and, thereafter, to xWery terms and condltons of the Wan Approval and close the loan. Buyer shall pay all loan expenses. It Buyer 43 faits to obtain a Loan Approval or fags to waive 8uyar's rights under this subparagraph within the ftme for obtaining Loan Approval or, after 44 diligent, good faith effort. faits to meet the terms and conditions of the Loan Approval by Closing. then either party thereafter. by written notice 45 to the r>Ihdr', may cancel this Contract and Buyer shell be refunded the deposit(a); 45* 0 (o)1Wsumption of existing mortgage (see ttder for terms): or 17* d (d) SaVar financing few Standard 8 and 0ders; addenda; or special clauses for tcums). W U TrrLE EVIDENCE. At least. days (If blank, then 5 days) before Closing: 19* =W This insurance commitment with legible copies of instruments Jested as wmptions attached thereto ("Tide Commitment)" and, after 50* Hording, an owners policy of title kwurenoo (see Standard A for terms), or 13 (b) Abstract of title Lgy( fi)g derr�or�srrrts) r - "'1`'$hait b )�`('I} S'le ref : Se1llsr'a w"nse and delivered to Buyer or Buyer's attorney: or 12* �x(2) Buyer at Buyer's expense. 13* VI. CLOSING DATE: This transaction shall be closed and the closing dooumernts delnr and on May 29, 2 0 0 7 (. g.)� 34 rrtodNfed by other provietone of this Corntrprt. t &rye(' is unable to obtain Fiezard „Wind. Flood, or I lomeowrov i nsur al lce at a reasonable rate 15 due to extreme weather conditknns, Buyer may delay Closing for up to 5 days after such coverage becomes ava6abte. l6 VII. RESTRICTIONS; EASEMENTS; LIMITATIONS: Seller shall convey marketabie tie (',object lo: comprehensive tend use plans, axing, 17 restrictions, prohlbttions and other requhements imposed by governmental authority; restriction and matters appearing on the plat or otharwise J8 common to the, subUvfsbn: outstanding of, gas and ff*wal rights of record witfwut right of entry; unplaned public utility sasernams of record :9 (located contigunus to real property Anes and not more than 10 feet in width as to the rear or front lines and 7 1r2 feet in width as to the side FAii/J3Afit -85 10/01 Paso 1 of 4 Vi Nov 08 05 03:13P Lott & Levine (305) 670 -0701 p -3 60 itruo, taxes for year of Closing and subsequent years; and assumed mortgages and purchase money mortgages, If erw of additional Items, we 61 addendum); provided, that there exists at Closing no vlolatlon of the foregoing and none prevent use of the Property for 02" purpose(e), 63 V11 L OCCUPANCY; Seiler shag ds1w occupancy of Property to Buyer at time of Closing union otherwise stated herein. If Property Is intended G4 to be rented or occupied beyond Closing, the fact and torms thereof and the tenant(s) or oewponts shell be disclosed puns mt to Standard F. 85 If occupancy to to be delivered before Closing, Buyer assumes all d*G of loss to Property from date of occupancy, shall be responelble and liable 65 for maintenance from that date, and shag be deemod to have accepted Property In its existing condition as of time of taking ooalpanoy. 67 IX. TYPEWRITTEN OR HANDWRITTEN PROVISIONS:'Iypewdtten orhandwritten provlslons, riders and addends" control elf printed pro - 68 visions of ft Contract In conflict with them. Se* X. ASSIGNABILIM. (CHECK ONLY ONE): BtW 0 may assign and thereby be released from any further Uability under this Contract; Q may 70* Assign but not be released frwn aability under this Contract, or O may not assign this Contract. 71 A. DISCLOSURES: !'L* (a) CI CHECK HERE N the Property Is subject to a special assessment lien imposed by a public body payable in Instegments which 73* continue beyond CWig and. 9 so, specify who shag pay amounts due after ClaetnQr. D Satter O Buyer 0 Other (sea addendum). l4 (b) Redon is a naturally occurring radioactive gas that when accumulated In a building In suflklent. quantities may present health rleks to per - 76 sons who are expusuu to it over time. Levels of radon that exceed federal and state guldegnes have been found In biAdinge In Florida. 76 Additional information regarding radon or radon touting may be obtained from your County Public Health un t. 77 (c) Duyer acknowledges receipt of the Foridda Building Energy- Efficletm Rating System Brochure. 78 (d) If thr3 mal fnmperty includes pre -1 D78 residential housing then a feed -based paint rider is rrrrurdetc y- 79 (e) if Seller is a "foreign person" as defined by the Foreign Investment In RFW Property Tax Act, the parties shag comply with that Act. 80 0 If Buyer will be obligated to be a nwnber of a homeowners' association, BUYER SHOULD NOT EXECUTE THIS CONTRACT UNTIL 81 BUYER HAS RECEIVED AND READ THE HOMEOWNERS' ASSOCIATION DISCLOSURE. 82 X11. MAXIMUM REPAIR COSTS: Seger shell not be rosponsible for payments In excess of. 83* (a} $ for treatment and repair under Standard D (If blank. Man 2% of the Purchase Price). 64* (b) for repair and replacement under Standard N not caused by Wood Destroying Organisms (If blank, then 3% of as the Purchase Price). Be Xlq. RIDERS; ADDENDA; SPECIAL CLAUSES: 97 CHECK those riders wttich are applicabie AND are attached to this Contract: 8'n8• D CONDOMINIUM Q VAfFHA 4 HOMEOWNERS' AGSN. CI LEAD-WED PAINT 09' 0 COASTAL CONSTRUCTION CONTROL LINE U INSULATION O 'AS iS* l0 Other ComprshQn*G Rider Provisions 90* U Addenda 91' Special Clauses(s }: 92* -- 93* 94* 96* 88 XtV. S'T'ANDARDS FOR R1:At.. ESTATE TRANSACTIONS ("Standards"): Buyer and Seder acknowledge receipt of a copy of Standards A 97 through W on the reverse side or attadi'md, which are incorporated as part of this Contract, 08 T14I8 IS INTENDED TO BE A LEGALLY BINDING CONTRACT. IF NOT FULLY UNDERSTOOD, SEEK THE ADVICE OF 99 AN ATTORNEY PRIOR TO SIGNING, 100 THiS FORM HAS BCCN APPROVED BY THE FLORIDA ASSOCIATION OF REALTORSO AND THE FLORIDA BAR. 101 Approval does not constitute an opinlnn that any of the term and conditions in this Contract should be accepted by the parties In a 102 particular transaction. Terms and condhlorts should be negotiated based upon the respective interests, objectives and bargaining 103 positions of all interested persons. 104 AN AGTENGK(') fOLLOWiNG A LINE NUMBER IN THE THE MARGIN INDICATES THE LINE CONTAINS A BLANK TO BE COMPL.ETFD. 105* See Attached Exhibit 2 -See Attached Exhibit 2 108 (BUYER (DATE) csELLEA (DATE) 107- 108 (KNER) (DAM tSELLEP4 PATE} _. —.1 pg+ gay address- krr- porpts a-ot riottc� Sellers' address for purposes of notice- 110* 111* .... Phone Phone 112* Deposit under Paragraph 11(e) received (Oheok s am subject to Clearance.): tt =scnow Agent) 113 BROKERS: The brokers named below. including listing and cooperating brokers, are tho only brokers "tied to compensatlon in connection 114 with this Contract: 116* Name: 1i8 Cooperating Brokers, If any Listing Broker FAW6AR -BS 10101 Ridws out be obbined Ttaro Plaids Lawyms Suppo,t Barvicet iaC (FLB9t) (RSO� 656 759a arcs 2 �+* a - -- Hov 06 05 03:13p Lott & Levine (305) 670- -0702 p.4 117 STANDARDS FOR REAL. ESTA're T"NSACT(ONS 118 A. TITLE INBURANCE The Tide Commitment shag be issued by a Florida ktnsed title insurer agreeing to issue SWor, upon r600rdirtg of lire dead to 6up+ett, 119 an owner's policy of title IrenMOB in the amount of the puroh000 prim. insuring Buyer's marketable Otte to the hest Properly, subpw only to mailers contained 120 in Paragraph Vol and those to be discharged by Seller at or before Closing. Mmketable title $hall be determined according to applicable Title Standards adopt - 121 Ltd by authority of The Florida Bar and in accordance with law. Buyer shall have S days from data of reoeMng the 71116 Conmhitment to etxarnine it. and 9 tide Is 122 found detective, nodty Seller In willing speeilymg dm%cW which tender titia unmatuetsolo. Seller shall trove 30 days from recalpt of notice to remove the 123 defects, falling wl0h Buyer shag. within b days after expiration of the 30 dray per, deivar written notice to Seller either: (1) oxtendltg tike lime for a reason- 124 able period not to exceed 120 days within which Sellor shiN use efr ant effort to remove the defeats; or M requesting a i1;IW1d of deposhjej Pald which shall 126 be rotumad to Buyeu If Buyer faits to ao nodfy 5effet. Buyer shat be deemed to have accepted the ride as it then Is. Heger shall, If We Is found unmarketabio, 126 use diligent etlort to correct defeage) within the time provided. if Setter Is unable to timely correct the defects, Quyer shall etthw waive Bee detects, or receive a 127 refund of dsposftQsj, thereby wbookV Buyer end Seffor born all fur [tier obtlgatlons under this Contraa If Setef is to Provide the Title Commitment and It is deuv. 128 erect to Buyer less than 5 days prior to (,losing, Buyer may extend Closing so that Buyer shall have up to 6 days ham date of reoaipt to examine same in aecor• 129 dance vAh this Standard. 130 8. PURCHASE MONEY MORTt3AGE; SECURITY AGIRMEMENT TO SELLER: A purchase money mortgage and mortgage note to Seller shalt provide for a 131 90 day grace period In the event of dAfmAt )f a last mortgaas and a 15 day grow peiod If a asoond or lemur mortgage; 811WI snuvkfe for fignt aprepayment 132 In whole or in Part without penalty, shell permit acceleration in overd of transfer of the Real Property, shall require all prior pans and encumbrances to be kept 133 kn good startling; sW forM modili ationa of, or future advances under. prior ntxxtgepe(sy; shag require Buyer to maintaln policies of Insurance oontakung a 134 atariderd mortgagee clause covering all Improvements located on the Real Property against fire and ail pert bAided within the term "extended coverage 136 andwaenards" and such 09 j rlelw and perits as Seger may mascmW mgtrbe, in an amount equal to VH* hippest Insurable value; and rho mortgage, noto 135 and SOW* apreerment shall be otherwise in Than and content required by Seder, but Boger may only require clauses, and oow+rage rxrstomargy forme in mort- 137 gages, mortgage notes and security agreements gerwely utilized by savings and loan Ihstltunorts or state or nations) banks located In the courtly wherein the `13B FWQI Property 139 dented by recorded Is located. piled financing Personal Proci s or eert beltiiaa of nd conveyed or %Q, at Selw's option, be subject to tho flan of a eaaaky &gnome nt sv;- mortgage, the final payinent will exceed the periodkt payments thereon. 140 C. SUtiM; Buyer; at Buyarts expense, wdm time allowed to deliver evidence of Otte and to examine same, may ham the Rant Property snrnroyad and carMed 141 bya fegtslsred H0W3 surveyor, 0 the atrvey uncloses encroachments on the heal Properly or treat improvements located thereon encroach on sel baclk!Ines, ease - 142 manta, lenda of others or Valeta any reawotlone, 0ontrect eovenents or applAAft governmental regulations, the same shelf constitute a Opts defect. 143 D. WOOD DESTROYING ORGANISMS: euyer, at euvef's expense, may have the Property Inspected by a Florida Certifled Pest Contra! Operator {operator) 144 at toast 10 days Irian to ctoshtp to determine if there Is any vitrlbto active Wood Destroying Organism IMtstadun or visfUs carnage tirom Wood Destroying 146 Organism infestation, exciudfng fetx;es. n either or both are round, Buyer ma), within 5 days torn date of written notice thereof, trove cost of treatment of scow 145 Infestation estimated by the Operator and all damage Iuapected and estimated by an appropfatefy kenaad eontrsator. Seller shall pay coats of Ituatnvia mid 147 repair of all damage up to the ornount provided in Paragraph XHW- If ustknated costs exceed that amount, Buyer shall have the option of canceling fhie Centred 148 Within 5 days after receipt of contractors repair estimate by giving written notice to Seder, m Huyer may elect to proceed with the transaction and receive s 149 credit at Closing on the amount provided In Paragraph )(11N. "Wood Destroying OrgoniitrW'shall W deemed to lnolude all wood destroying organisms required 150 to bo repotted tinder the Ao kla Pest Control A0, as amended, 151 E. INGRESS AND Eilrit:SS: Seller warrants and represents that ttrore is ft fm and egress to the Real Properly aulfaotoM for its Intended use as described 1150, In Paragraph Vii herrsof, and NO to the Roal Property Is Insurable in accordance vvtdn Standard A without exception for lack of legal tight of acoess. 163 F. LMEG; %for stall, at least 10 days before Closing, furnish to Buyer copies of all written teases and estoppel latter, from each tenant specifying the naturo 154 and dumilm of the tenant`; cacupancy, rental rates. advanced rant and comity depoehs p Wd by tenwL It gaiter Is unabie to obtain such letter from ouch ten- 156 atilt, the same Information shall be icxnis wd by Solar to Buyer within that time period in the form of a Seller's aflidavit, and Buyer may thereafter contact ten - 158 ant to kcrdtriri such f aimatlon. if the teats of the leases differ mat01101V torn Sage's representations, Buyer may tertn4lWo this Contract by deliverfng written '157 tontine to Saller at feast 5 days pror to Closing. sotbr ", at Closing, deliver and assign all otiginal leases to Breyer, 168 G. LIENS; Sellar"fwe>Ea1h to Buyer at limo of C40ft on attidavit attesting to the absence, unless otherwise provided for herein, of any financing statement, 159 claims of flan or potrentle! (tenors known to Sellar and further attesting that there have boom no Improvements or repairs to the deaf Property for 90 (jays imma- 160 distafy preceding date of closing. If the deaf property has been Impttrved or repaired within that Woe. Seller shall delver releesos of waivers of constnxXon lot lorry executed by all general comacfors, subcontractors, suppliers and malaristmen In addition to Seterb tier aftldoWt oohing forth the rome•s of all such gen- 162 wet contractors, subcontractors, suppliers and tnateriehnan, triter affirming that all charges for improvements or repaks which could serve as a basis for a 163 con4buotfon Ifen or a claim for darnagers have bean paid of wit be paid at the closing of this Contract. 1e4 H. PLACE OF CLOSING: Closing shell be held In the county wherein the PAW Property is locatod at the office of the attorney or other Gouhiq agent ('Closing 165 Agent) designated by the party praying for dtte Insurance, or, if no We lrtsurivioe, designated by Cover, 160 I. TIME: In oompulifhg tMe periods of loss than six (e) days, Saturdays, Sutx*e and &rate or n *mw legal holidays slap be excluded. Any time, pedoda provided 167 for twrebt Which shall and an a Satur day. Sunday, or a legs( howay ahatt exw w to o p.m. of the next business ley lime is of the Essence in this Contract lea J. CLOSING DOCUMENTS. SOW shag fcrrdsh the knead, bill of sate, c oftste of ride, construction ran tliddava, owner's poor atfldavit, aselgrments of leases, 100 teutent and m0989ee estoppel letters and C MGM knstrumerns- Eiu)er shag furnish mortgage. mortgage note, aoataity agreement and kwwkt9 atetetthernls 170 K. EXPENSE& Documentary stamps an rho dead and recording of 001Mtive Ins twA to shell be pstd by Sailor. Documentary stamps and Intangible tax on 171 the purchm money mortgage and any mortgage assumed, mortgagee title insurance commitment with rotated foes, and reecording of purchase money mort- 172 gage to Setter, deed and tinartrft statements shat( be paid by Buyer. Unbas otherwise provided by law or rider to die Contract, charges for the folio M g retal- 173 ed title seuvioes, nemety this avidence, title examkhalAxy and closing lea gncsudltg preparation of closltg Statetnenq. shell be paid by the ble for �---- --tTA -AfrtYStilrrglhe Nwavidartcatraotat+danca wlth°Pen:sptaph t7 175 L PRORATIONS; CREDITS: Taxes, assessmonts, rent, Interest, Insurance and other expenses of the Property shag be prorated through tile day before 176 Closing. Buyer shag lww lice option of to l tg over existing 1305d is of insurance. If assumable, In which avant premiums stroll be prorated. Cash at Closing atml 177 be Increased or decreased as may be required by puorattons to be made through day prix to Closing, or occupancy, it occupumwy occurs before Closing. 278 Advance rant and security deposits will be credited to Buyer, Escrow deposits t101d by mortgagee will be credited to Seler. Taxes shah be prorated based on 178 the current yearn tax Withh due allowance made for ma*num allowable discount, homestead and other owmptions. It Closing occurs at a date whe,rr the cur- 180 rent yearle mlliage lA not fixed and current year's assessment Is available, taxes will be prorated based upon such assessment and prior, }rear's mglage. If cur - 181 rant years assessment is not avaitable, gran taxes vA be prorated on prior year's tax. If there are completed Improvementa on the Reel Property by January 182 1 st of year of Closlsg, Which Improvements wate not in existence on January 1st of prior year, than taxes shall be prwWad based upon prior year's mllage and 1113 at an oquliable assessment to be agreed upon between the potties; M&V whkh, request shalt be made to the County Property Appraiser for an Wormel 184 assessment tatting bdo account avalfabte gxomptions. A tax proration based an an oatimste shaft, at request of either party, bo readjusted upon receipt of tax 186 bill on condition that a statement to that afoot is signed at Closing, 185 M. SPECIAL ASEMMENY LIENS; eoept as not fotdl in Paragraph 4(a), cortdfed, congmtod and ratified special assessment Dens imposed by pubtla bad. 107 lea as of Closing Eire to be paid by Seger, Pending gees as of Cloaing shad be assumed by Buyer. It the improvement has been substantially contptuted as of Nov 08 05 03:15P Lott & Levine (3051 670 -0701 P.5 lea STANDARDS FOR REAL ESTATE TRANSACTIONS (CONT1NUEo) 199 E(feclive Bata, any pending Ron shall bo corWidared cgmW, cararrned euratlPed and Settsr shall, at Cfr>sing, be dmsrCteud an amount 190 or easasarwt far the improvement by the pA go body eWat to ttm cast estimate 181 rL tNSP901110M REPAIR AND MAINTENANCE~ Scher warmte that tine ceiling roof (ahcArdirng the fasOla and $offits) and exterior and Interior wags, fourtda- 193 tat>fc, (or uivalonq and dodasge of the Property do not have any vfeibfo w4denoe of leaks. water darmigs or atrmrcturat damage and that the 36puo APPI18YICBS, mechanical items, heeling, OOOWhg, Oleotrkud, plumbing systems and machinery are In Working Condition. The foragotng warranty 194 shall be Itmited to the ItemA rot weciPed untosa otherwise provided in on addendum, Buyer rrrgy Inspsct, or, at &48716 exports®, hove a Arm or kwdual spetclul- 196 tiling in home inspections and holding an occupations! lioanse for such purpoea Of requkaco or an napproRriatesy !loaned Florida contractor make Inaosathons Sae e>t, tttasa hems wlthim 20 days after the ENooWer pater. buyer sfraA, purer to guWr s occupancy bed not more than 20 days after Effecive Drente, report to wrMM 107 to Seller such items that do not mast the Wxwo standards as to defeOla. Unless Buyer timely reports such dtefcate. Super shall be deemed to have welved 1619 SOWS warranties as to detects not reported. if repairs or replacements are raged to comply with We Standard. SOW SW Cat" them to be made and 199 BW pay up to the amount provided In Paragraph XA (b}. Seller Is not required to make repairs or rerplaescwnernta of a Cown ija Condition tohla" caused by a 200 tdeteCt Wier is tespcuns(bia to n#aatr ar reptaeta U the cost for such rep* or repfacemeent ftmade the ammount A►CUtdod In Paragraph ?ill ib), Buyer or Swker 20 may afoot to pay {well eetCess, la0bng wlrkoh ehtlrer parryrnay esnc�al fhb Contreeot. 9 Boger is unable to axnxt the drafeets prior to Closing, the coat thereof shaU 202 ba geld into escrow at Closing. Setterahali, upon reaconabla rnotica, provlda utlPtlea service acid accuse to the Property for kxrperyiwrs. inckuArng a "k- through 203 polar to Ctorring, lO aonPrmm that aP iterrra or Pwrooncf Preaparty are can flme i4eeaf Property and, a GOE to me loregotrg, that all required repairs and rspltoements 204 have bean made and that the Property, inclurdkng, cwt rat tfmltad to, lawn, shrubbery and pool, k any, has been maintained in file Dondition tekWhg ss of 206 Elf We pate, ardlnary wear end tear arct:opted, Fro ptrrpOSea of ttnis ContracC (i) "Iryorktng CondlOW Means Operating in the frour In which the item was 207 desld l fn Cpereie; (2} "CaamsGO CC'ndfhCn" ImBarta aesthetic impnsrhecciorns ghat do not atfaot the Workltg Condition of the Item, InOk na, but not limited to: 207 trash nnercite w other pool iintatnea; nn)ssing ar tom seseene; fogged windows) tears, worn allots, or discoloration of floor coverings„ waWpapsn; or window 208 lreatrnents; Hatt hoW. soratch0s. dents. soro;ws, dilps or t wA*g in betlloge, vu%. floodng, sxturee. or mbrum; and minor creeks in Poore. thus, wlwows, 209 ddvaways, sidowaft, or pool decks; and (3) cracked roof tlles, eurting or worn shingles, or wr td roof 1110 shall nut be eexnsstdared defects Behar must repair 210 or replace, 80 loop SS Gran Is nn svldVICQ of acfuaf leaice or lookage or structural darnhspe, ANA mtsslrV thus WW ba SeeVerB Wongaty to replace or repair. 214 O, RISK OF LOSS. If the Property is damaged by Are Or aathar casualty before 010eir9 and cod of restoration does not exceed 3% of the assessed valuation 212 of the Property so damaged, cost of restoration shall be an obligation of Seller and Ciosfig snap proceed pnrsuart to the terms of itrTe Contract with restora- 213 Von casts escrowed at CloAV. if the cost of restoration exceeds 3% of the assessed wakratbn of the pro so damaged, 8tnyer shay airier take the Property 214 as to, together wlph eephar the 396 or usury inruranca proceeds payable by vinuo of auoh loss or damage, or receive a refund of deposp(c), thorvby retooeing Buyer 216 and Sutler from all turbhor obligations under this Contract. 216 P, CLOSINCd PROCEDURE Ttoo dead shah to recorded upon alearance of tends. if the title agent Insures adverse matterte aurouont to Section 627.7841. F.S., 217 as amended, the escrow and eloaing procedure regAW by this Standard erhah be waived. Unless walked as set forth above the f011owlng closing procedures 718 shag apply (1) ah dwing proceeds shall be half In escrow by the Closing Agent for a period of not more than 6 dsys Mar Ok*h rg; (2) if Seper'a Gtia Is rendered 219 unmarket". If noWh no fault or Boyar Boyar shah, within the 6 day period, notify Sager In writing of the detect and Solver shop tavo 30 days se date of rd erect 220 Of Such 11000stbn to cure the defect; (3) if Seller taps to timely cure the dOSaot, all deposits and ecosYmg itrrtds stmt{, upon wdtteln deumand by Buyer and f roc m 5 277 days etarnond, be returned to Buyer and. 81mu)faneoualy with bGr in rrapayrmarri, gr per rrthall return the Personal Property. %scats ft Rawl Properly and recon- 222 trey the Property to Sailer by special warm* dood and bill of sale; and (4) if Buyer leis 10 make timely darnand ter refund, Buyer shah take title as is. waivbtg all 223 dghte aa4hd SOW as to any tntarvraNng drsfeet accept as may be avahebl a to Buyer by virtue of warrantee contained in the seed or bill of safe. 224 Q. ESCROW. Any hosing Agent or escrow agent ( "A9F0nV) recelvino funds or equivetent It authorized and agrees by aocapuuha+ of them to deposit them M p100104 ttokd same In escrow and. subject to clearanoe, disburse them In accordance with terms and Conditions of this Contract. Failure of funds to clear 227 shall not excuse Buyer's fxztorm e e it to doubt err to Agr M's duties ur WAITera under the proviakrrur Of this Clm* at, Agent may, at Agentlo option. conGn- 227 uo to hold Gha oubjod matttsr of the escrow unfit lions prunes hereto agree to its disbursement or until a judgment of a court of canpetant koisdiCtlon shall War - 228 trimxi the ridhta of the parties, or Agent may dapOWt acme with the cIerk Of 019 Clrcurc court 1112M9 trrlsdio6ion of the dispute. An attomey who rapresoms a 229 party and also ads as Agent may represent such party In such aotlin. Upon notttying ell parhex conuanhed M mroh Region, all h eolfily on the part Of Agent shah 230 tuuy tom*A te, exoopt to the extant of accounting for any items previously delivered out of oserow. If a Acensed real estate tinker. agent vdh comply with prO- 231 vislolta of Cttapter 475, F.S., as amended. Any suit berivoen Buyer "Sagan wherein Agent is made a early baosuse of acting as A *M hereun dor, or in any 232 suit wherein Agent bnleerpk*da Gig subject matter Of the asamw, Agent shaft reGOVar reasorrrlete attorneys teas and costs Incurred with these amounts to be 233 paid from and out of the escrowed misdalW funds or e, or 8 ant and charged and awarded as court costs to favor of the prevailing party. The AgerA shall not be liable 246 In any party r person for rttt of Avety to Buyer or 3ehar of hems subject to the escrow, unless such mledohvary is due to willful breach of the provisions of this 236 Contract or woes theggganrn eat Agent. 236 FL ATTORNEY'S FEM COSTBf in any litigalbn, Indudshg breach, arforoament or interpretation, ariahng out Ot Gels Con the prevailirng party to such lkt- 237 ge►ticwm, v+hiott, ttx purposes of ttda ta�ortdeud, ahetp irrehrda 9elter, Buyer and any brokers acting in aganey or nonegancy r�afatton>ships authorized by Gaapter 239 475, F.B.. as amentlad, st>aetl be arched to recover auto the noun- prevafrl>p party reasombl" rriturney's tees. Costs and exparm e. = S. FAiLUAff OF PMrOMMANCE If Buyer fall& to perform tits Commot vAhin the time apedlied, Including paymant Of all deposits. the depoce(s) paid by 240 Buyer and deport" agreed to be paid, may be recovered and retabrad by and for the account of Sehor as agreed upon liquidated demag4m, consideration for 241 the execution of this Contract and In toll settlement of any daims; whereupon, Buyer and Satter shah be relieved of all obligations under fits Contract: Or 8aher. 242 at Sofierh option, may proceed io mquity to eenso" Sellees rights under this Contract. if for any reason other then Wure of Wier to make Sshar's ttda mar - 243 isetabte after ClIlOnt agent, Sailer falls, neglects or refusas to perform this COrnract, Buyer may Seek epootltc performance or elect to reoNva the stern of Buyers 244 depoell(r) wihhrAA thereby yr *AV any action for demhagera resulting from tietkrt"a b 1dMUL 246 T. CONTRACT NOT RECORDABLft PERSONS BOUND; NOTICE; FACSIMILEt Nekt r this Contract nor any notice of 11811011 be necOrdcd in any pubgC 246 rat>ortls. This C;ontraot shall bind and inure to the bettatft of the parties and thrall strxessors In Interest. Whenever the Context permits. angular she include 247 pturef and one gender shah Include aft Notice and dofivery given by or to the attorney or broker representing any petty shop ba ea effse" as If given by or to 248 that party. At nolkxs must be in writing and rimy be made by ma14 pwswW doll very or relectrot* media. A leAi!>tth facsfmAe cony pLlp►s CO r>iraacl curd drip elg ---- ZA9— nattlres•hrttron-stmah Zlurpnsas"t�'eti rsr3BlEi'al. ?60 U. CONVEYANOEr Serhsr shall Convey marketable titio to the Rest Property by statutory warranty. tnlst90%. personal ropressntaGve's or guardian's deed, as �1 appropriate to the status of Basher. suWaet only to matters Contained In Paragraph VA and those otherwise uexopttad by Buyer, Personal Property shpt, d the Z62 request of Buyer, be Vanslotrad.by an absolute bM of sate will wNrranry of tWor, subject orgy to such mattere as may be otherwise provided for herein, 53 V. OTtIER AGREEMENT& No prior or Pmeant agroornonts or repmernations shag tun tainting upon BUyor or Sailer trtrioss h*ded in this CCrttrscI. No nrxl- 154 IAoatkon to or change In this Contract sthsb [is valid or binding upon the parflos unless in writing and esxeculsd by the parties irterWeed to be bound by It. 166 W. WAfiRANT'O Beeper warrants that there are no facts known to Salter materiahy, affecting the Vskm Cf the Property which are not toadily observable by Buyer .66 Or wtrich have rwi been disclosed to Buyer. FAR4WI -60 10Mt 02WI Ftur&fa Also wiGn of FiEUxOW and'lhO F104da Ear M Bights Resovw Page 4 ct 4 Nov 08 05 03:18p Lout & Levine 1305) 670 -0701 p -6 Comprehensive Rider to the FAR/BAR Contract far Sale and Purchase if inhlaled by aN parties, the clauses below wig be Incorporated Into the FARISAR Contract for Sale and Purchase between and (Seller) concerning the Property described as (Buyer) USE THE RIDERS THAT APPLY POST-OCCUPANCY-13Y SELLER Buyer's Initials - Seller's InWals: If to be made a part of the Contract. This Contract 6 wntingent upon Buyer and Seiler within _ days from Effective Date signing and delivering to each other a written lease prepared at (CHECK Oble 0 SeW13 0 Buyarr's expense, for Seller to remain In possession of the Property unto days after Closing. Seller shall pay a monthly rent of $ payable monthly in advance. Seller's repair and treatment obligations under paragraphs D and N shad not be extended beyond the Closing. RISZOMNG CONTINGENCY Buyers initials - Sefle s initials: if to be made a part of the Contract. f3uyees obligations hereunder arc expressly conditioned upon Buyer, at Buyer's expense. applying for and obtaining rezoning or change of land use of the described Property to the zoning or land use category of , under (county /city] ordinances and land use regulations. Buyer's obligations are further condKloned upon obtaining such Comprehensive Land Use Plan ("CLUP') amendments as may be rmassary to pormit such rexoning. Buyer agrees to promptly apply for and diligently pursue said rezoning/CLUP amendment. if final government action on said rezoning application has not been obtained by ( "Date "), then either party thereafter, by written notice to the othm may cancel this ConVect, In which event all deposits paid hereunder shall be refunded to Buyer: provided further, however, that it as of Date, the final public hearing has been scheduled before the governmental board or commission having final authority, then the deadline for satisfaction of this condition shd be extended to the day after tho public hearing, but in no event more than days after Date. The Closing shag occur days following And rezoning approval and if applicable land use change. Seiler agreea to such rezoning/CLUP artnendment. RIGHT TO INSPECTION AND RIGHT TO CANCEL Buyer's Initials - Seller's initials: K to be made a part of the Contract. 1- Buyer shall have days from Effective Date {' Inspectlon Period') within which to have such inepeotlons of the Property per- formed as Buyer shag desire and utititIms shall be made "table by the Seller during the Inspecdon Period. 2. Buyer shall bca responsible for prompt payment for ouch inspections and repair of damage to and restoration of the Property resulting from such inspections. This provision shall survive termination of the Contract. S. If Buyer determines, In Buyer's sole discretion, that the condition of the Property is not acceptable to Buyer, Buyer may cancel the Contract by delivering facsimile or written not tae of such election to Seller within 48 hours after expiretln of the Inspection Period. if Buyer timely cancels the Contract, the depoet(s) paid shag be Ernmedfaiety returned to Buyer, thereupon, Buyer and Seller shell be released of all further obligations under the Contract. except as provided in Subparagraph 2, above. 4. If Buyer elects to proceed vrirft the Contract or falls to timely cancel the Contract within 48 hours after wpiration of the Inspection Period, then tho Contract wig remain in effect and; ------ aNf Bc►yerhas conducted insp tSo s pe�rrutie�r ray Stan ands D or N, or both during the inspection Period, and reports dalbats, K any, requiring treatment, repair, or replacement under such Standards to SWar In writing within 4 days after expiration of the Inspection Period, then Seller shag pay up to the applicable amounts required by Paragraph XI(e) and (b). or (b) if Buyer falls to conduct Inspections permitted by Standards D or N, or both during the inspection Period, or, having conduct- ed such inspection(s), fags to timely report defects, It any. requiring treatment repair. or replacement under such Standards, In writing to Seger, Buyer shalt be deemed to have waived Sellers warrentles and obligations of treatment, repair or replacement as to defects not reported. FsC" alien 0=1 Florida kAxi0on of P& aWA. and 7N Florida Bar A Rtghta Pawned pane n Nov 08 05 04:24p Lott & Levine (305) 670 -•0701 p.2 Comprehensive Rider to the FARMAR Contract for Sale and Purchase It initiated by all parties. the dauspe below will be incorpdrated Into the FAFVBAR Contract for Sale and PuM hase between (Seller). and (Buyer) conceming the Prbperty described as USE THE RIDERS THAT APPLY B s - Bailer's Initials, If to be made a part of the Contract. -An abstract of title or l rought current by a reputable and exisft-abstract firm fit not existing then certified orrect by an existing firm) punpwiirig to accurate synopsis of the lnsU uments affecting title to the real property the public records of the county %4 a .the real prop boatod through Frifeotive mate. It ah4commence wide the ubkC records. or such later date as may be customary In the 6ou . closing of tins Contract, the abstract shaft beco o property of Buyer. subject to the right of retention thereof by first mortgagee paid. Seiler shall convey madgmbl subject only to liens, encumbrances, exceptions or quWAcarals contained in this Contras : etablatftie sfxitf loo d sccordng to appiloeble 17th3 8tarndards adopted by authodo of The Florida San and in accordance w Buys ve 5 days from date of reoQivkag the abstract to notify Seiler In writing speeifying defoot(a) Which render title urawl eteb a shall have 30 days from receipt of nottge to remove the defects, falling which Buyer shall: within 5 days after explra 030 erdod; deliver written notice to Seller either: (1) wdending the tkne for a reasonable period not to' exceed 120 d thin dvhlch 8egsr d3gent effort to remove the' defects; or (2) requesting a refund of•deposit(s) maid which returned to Buyer. If Buyer fees to tlfy Seiler, Buyer shall be deemed to have accepted the title as It then is. Seller a Ispund unmarketable. use diligent effort to defects) within the time proovtded. if Seller is unable to 11mely correct eats, Buyer shall either waive the defects, or raceive a refun (s), thereby releasing • Buyer.and Seller from al obligations undertitfp Contract. if S'iAwIs to provide. the abstract of tide deWored.to Buyer jets them 5 days prior , Buyer may extend dosing date so t hat 'Buyer shag have up to 5 days from date of the abstract of title to in accordance with this Rider. If the escrow and dosing procedure required by Standard P is not the abet title shall be continued after Closing' at Buyer's expanse to show We in Buyer, y4thout any encumbrances or,chan car• EVIDENCE OF TITLE (SOUTH FLORIDA CONTRACTS) Buyer's Initials - Seller's Initials: if to be made a part of the Contract. ' ( )( • ) --( )( - )'' . . . •.. • . 1. Evidence of t6 shall be defined as; (a) Saar "provide art existing prior Owners or Fast Mortgagee' 1•itie IrOjanoA Pollcy.quafified for use as a two base for reissue of covemga on the Real Property at the Purchase Hoe of the Real Prope(iy rPrlor Poicy) together with copies of all exceptions thereto, if requested. Seller *0, at Seller's opdan, pay for either: (1) an abstract continuation or; (2) wcorriputer ft-search, from the effec*G date of the prior Owner's Policy or in the one of a Fist Mortgag" Title 16M-40Q Poicy from the date of recording the deed Into the nz- gagor. The abstract continuation orttle search shalt be crdered orperformed by Buyer$ closing agent; or (b)•tF A PSM POUCY DESCRIBED IN PAf9AAQWtPK 1(a} ABOVE IS NOT AVAiLABLE then Seller shag, at Sellars opttot provide and pay for edher: (1) an alternative title evidence which is acceptable to Buyer's tide insurance underwriter; or (2) a tltie insurance commitment Issued by a Florida itcensed title insurer agreeing to issue to Buyer, upon recording of the deed to Buyer; en.Ownet'I Policy •ofTrtle Insurance in the amount of the Purchase Price, Insuring Buyer txa 's title to the Real Property, subject only to liens, ennbmnces, exceptions or queittlMoons provided M ties Contract and those to be discharged by Sailer at or before Closing. . 2. Seller shall convey marketable title subject only to dens, ancumbrances, eraaeptions or qualifications contained in Paragraph VU. Worketatie We shalt be determ!Waccording to applicable Title Standards adopted by authority of The Florida Bar and In accordance • _. ._. _ _ _._._ _. ____.. s__.�_ w. .•.�____ _rr _�_.wu[.ewiL..:w ....falrr wr_rti.7rr JwlwMf L�..LLL_..rwwlwwYl{le._ unmarketable. Seiler shall have 30 days from mcelpt of notice to remove the defects, Ung which Buyer Shag, within 5 days after-expira- tion of the 30 day period, delfvef written notice to Seder efdher: (a) extending the time for a reasonable period not to exceed 120 days within which Seller shag use diligent effort to remove the detects; or (b) requesting a refund of deposits) paid which shall be returned, to. •Buyer if Buyer` fails to so notlty Sailer, Buyer shall be deem®d to have accepted the talc as it then is. Seler shell, ,W title Is found uimter ketabie, use diggsnt effort to correct defect(s) wMn the time provided. If Seger Is unable to finely correct the defects, Buyer" either waive the defects, or-receive a refund of deposit(s), thereby releasing Buyer and Seiler from all further obligations under this contract. if Evidence of Title is delivered to Buyer less then 5 days prior to dosing, Buyer may,extend closing date so that Buyer shall-have, up to 5 days from date of receipt of Evidence of `fide to examine same in accordance with OU Rider if the escrow and cloi3frrg-proced6re required by Standard P is not waived, the Evidences of lWa shall bo continued after Closing at Buyer's expense to show ride In Btryer, without any encumbrances or changes which would rendei Seler's title unma*etebla from the date of the previous continuation. 3. evidence of title shall be oertMed'or brought current through a data not more thin 30 days prior to Closing. Upon. posing, the Evidence of Title shall become the property of Buyer. i- Frotrda- assod�atlot+ct . an.,a ii��Fif8 /1fi.Oorthoct- f�r_Baareaad -P Exhibit 1 Legal Descriptions 6420 S.W. 59`h Place Folio No.: 09- 4025- 010 -0160 Franklin Sub PB 5 -34 S 1/2 Lot 15 Less R/W Blk 3 Lot Size 2203 SQ Ft or 14015 - 21081288 5 And 6428 S.W. 591h Place Folio No.: 09 -4025- 010 -0170 Franklin Sub PB 5 -34 S 1/i Lot 16 Less R/W Blk 3 Lot Size 4628 SQ Ft. or 14015 -2108 1288 5 Exhibit 2 Signatures as Required in Paragraph XIV Of Contract for Sales and Purchase Buyer: The South Miami Community Redevelopment Foundation, Inc. Buyer's Address for Purpose of Notice 6130 Sunset Drive South Miami, Florida 33143 Sellers: Clara M. Brooks Sellers' Address for Purpose of Notice Ireatha Bryant Sellers' Address for Purpose of Notice Date Date Date Alberta Holmes Date Sellers' Address for Purpose of Notice Oralee Roberts Date Sellers' Address for Purpose of Notice Cecilia Grant Date Sellers' Address for Purpose of Notice Joseph Mccray Date Sellers' Address for Purpose of Notice