8/15/2019 467-2004 RDA Reso 2

1/6

RESOLUTION

NO.

4 6 7 -

2004

E S O L U T I O N

OF

HE

CHAIRMAN

A N D

M E M B E R S

OF

THE

MAM

EACH

R ED EVEL O PM EN T

A G E N C Y

A U T H O R I Z I N G

THE

CHAIRMAN

A N D

S E C R E T A R Y

TO

EXECUTE

THE

I R S T

AMENDMENT

TO

A G R E E M E N T

OFEASE

B E T W E E N

THE

MAM

EACH

R E D E V E L O P M E N T

A G E N C Y

AND

RDP

ROYAL

PALM

HOTEL

L I M I T E D

PARTNERSHIP (

RDP )

R E G A R D I N G

TOWN

PARK

O T E L

C O R P O R A T I O N ,

THE

O T E L

MANAGER,

AS

EQUTY

O W N E R .

WHEREAS,

on November

25,

2003

he

C h a i r m a n

and

Members

ohe

ami

Beach

e d e v e l o p m e n t Agency (

DA

author ized

th e

Chairman

and Secretary

toexecu t e

the

Lete

o

n t e n t (

LOI)

e g o t i a t e d

b e t ween

the

ity

o

iami

Beach ,

the

RDA

and

RDP

Roya

Palm

Hotel

L i m i t e d

Partnersh ip (

R D P

and

o

e n a n t )

and

u r t h e r

a u t h o r i z e d

the

reparation

ofthe

l o s i n g d o c u m e n t s

to

e f l e c t

the terms

o u t l i n e d

in

he

LO;

and

H E R E A S ,

the a p p r o v e d

r e f e r e n c e d

LO,

and

he

cosng

o c u m e n t s ,

c o n t e m p l a t e d

an

m e n d m e n t

to

he Ground

L e a s e

beween

he

RDA

n d

RDPlTenant

to

o n t i n u e

to

ecognize

T o w n

Pak

Hoe

C o r p o r a t i o n

a

e n n e s s e e

c o r p o r a t i o n , (

T o w n

Park ),

hich

is

he

p resen t

H o t e l

M a n a g e r

and

one

f

the

q u i t y

o w n e r s

o

enant

as

an

q u i t y

o w n e r

fo

urposes

o

he

Gound

Lease

A g r e e m e n t ;

and

H E R E A S ,

T o w n

Park

cur rent ly

holds

 a

one

e r c e n t10

0

limted

a r t n e r s h i p

i n t e r e s t

in

enant;

and

W H E R E A S ,

on

pril

30

001,

Town

Park

and

A D C

R o y a l

Palm

Holdings,

LLC

B o r r o w e r )

b e c a m e

part ies

to

a

oan

A g r e e m e n t ,

dated

A p r i l

30

0 0 1 (he

o a n

A g r e e m e n t ) ,

whereby

Town

Park

agreed

to convey

to

orrower

a forty-

e v e n

and

6/

100

e r c e n t

47

60/

0

l a s sA

imited

partnership

in te res t

in

enant, in

c o n s i d e r a t i o n

fo r

Borrower'

s

x e c u t i o n

and

del ivery

o

tha

e r t a i n P u r c h a s e

M o n e y

P r o m i s s o r y

Note

in

favo

o

Town

Park (

he

o t e ) ,whch

Note

e v i d e n c e s

the

oa n

by

own

Park

to

orrower (

the

oan );

and

H E R E A S , in

ssence,

Town

P a r k

would

no

longe

a v e

an

quity

o w n e r s h i p

p o s i t i o n

as

efined

in

he

Ground

L e a s e ,

by

irtue

o

ubstituting

its

equity

p o s i t i o n

w i t h

a

r o m i s s o r y

noe

hich RDP

intends

to

payoff;

and W H E R E A S ,

p u r s u a n t to

e c t i o n

4

1 (f)

o

the

o a n Agreemen t ,

T o w n

Park

e s i r e s

to

confirm

tha

the

Loan

will

be

t reated

as

an

q u i t y

inees

in

T e n a n t

fo

u r p o s e s

o

the

r o u n d

L e a s e

so

on g

as

h e

Loan

is

outstanding;

and

H E R E A S ,

the

i t y / RD A

is

no

v e r s e

to

his

concep

as

art

o

h e

global

s e t t l e m e n t

a c h i e v e d

and

r e f e r e n c e d

in

the

LO,

approved

on

o v e m b e r

25,

2003;

n d

W H E R E A S ,

RDP

has

x p r e s s e d

8/15/2019 467-2004 RDA Reso 2

2/6

8/15/2019 467-2004 RDA Reso 2

3/6

CllY

OF

MIAMI

BEACH

COIVIVIISSION

ITEM

SUMMARY

Condensed

Title:

A Resolution

to execute

the

First

Amendment

to

Agreement

of

Lease

between

the

Miami

Beach

Redevelopment

Agency

and

RDP

Roya l

Palm

Hotel

Limited

Partnership (

RDP )

regarding

Town

Park

Hotel

Cor

oration,

the

Hotel Mana

e,

as

E ui Owner.

Issue:

Should

the

Redevelopment

Agency

approve

the

execution

of

the

First Amendment

to

Agreement

of

Lease?

Item

Summa

IRecommendation:

The attached

Amendment

to

the Lease

Agreement

will

permit

RDP to

complete

its

purchase

of

the

remaining

1

nterest

from

Town

Park

and,

with

the

ccompanying

addtiona

m e n d m e n t s

tothe

Lease

p r o p o s e d

inthe

ached

m e n d m e n t ,

the

D A l C i t y w i l l

still

aso

c h i e v e

the

e n e f i t s

o

reat ing

Town

Park a s

if

it

e re

still

an

quty

o w n e r ,

and

aso

e n a n t

wll

a l s o

be

u a r a n t e e d

the

b l i g a t i o n

to

und

Opera t ing

D e f i c i t s

inthe

Hotel,

which

was

not

re

i r e d

ifown

Park

was

Hoe

m a n a

e

n d

eu

owne.

dvisory

Boad

 

IN/

A

nanca

Information:

S o u r c e

o

F u n d s :

D

i n a n c e

D e p t .

Cty

l e r k '

s

fice

egis lat ive

h r i s t i n aM

C u e r v o

T\

G E N D A \

2004\

Jan1404\

RDAo y a I P a l m

Towne

Park.

SUM

doc

AGENDA

I T E M

3 D

I

8/15/2019 467-2004 RDA Reso 2

4/6

CITY

OF

MIAMI

BEACH

CITY HALL

1700

O N V E N T I O N

CENTER

DRIVE

MIAMI BEACH,

FLORIDA33139

w w .

mambeachl.

gov

EDEVELOPMENT

A G E N C Y

M E M O R A N D U M

From:

Chairman

David

Dermer

a n d

Members

o

Mam

Beach

R e d e v e l o p m e n t

A g e n c y

Joge

M

onzalez \\ ~ ~

E x e c u t i v e

Director '

0~

.

D a t e :January

4,

2004To

A

ESOLUTION

OF

THE

C H A I R M A N

AND

MEMBERS

O

THE

IAMI

BEACH

R E D E V E L O P M E N T

AGENCY

A U T H O R I Z I N G

THE

H A I R M A N

AND

SECRETARY

TO

EXECUTE

THE

FIRST

A M E N D M E N T

TO

A G R E E M E N T

OF

LEASE

ETWEEN

THE

MIAMI

BEACH

R E D E V E L O P M E N T

AGENCY

AND

RDP

OYAL

PALM

HOTEL

LIMITED

P A R T N E R S H IP (

RDP)

E G A R D I N G

TOWN

PARK

O T E L

C O R P O R A T I O N ,

THE

HOTEL

MANAGER

AS

E Q U I T Y

O W N E R .

A D M I N I S T R A T I O N

R E C O M M E N D A T I O N :

Subject :

A d o p t

the

e s o l u t i o n . ANAL

YSIS:

O

o v e m b e r 25,

2003,

the

Charman

and

e m b e r so

he

Mam

B e a c h

R e d e v e l o p m e n t

A g e n c y

RDA

u t h o r i z e d

theh a i r m a n

and

e c r e t a r y

to

xecute

the

L e t t e r

of

Intent (

LO)e g o t i a t e d

b e t ween

the

Cty

o

Miami

B ea c h ,

the

Miami

Beach

R e d e v e l o p m e n t

Agency

and

R D P R o y a l

Pam

Hote l

Limited

Partnership (

D P

and

r

T e n a n t )

and

further

u t h o r i z e d the

r e p a r a t i o no

the

l o s i n g

d o c u m e n t s

to

re f lec t

the

erms

oulined

in

he

LO.

The

pproved

LOI referenced,

a n d

the Cosing

D o c u m e n t s ,

c o n t e m p l a t e d

an

m e n d m e n t

to

he

round

Lease

to

o n t i n u e

to

recognize

Town

Park

Hotel

C o r p o r a t i o n ,

a

T e n n e s s e e

c o r p o r a t i o n , (

Town

ark ) ,

whois

the

present

Hoe

M a n a g e r

and

ne

o

the

equty

w n e r s

o

e n a n t

asan

equty

owner

fo

pu r pose s

o

h e Lease

A g r e e m e n t .

Town

Park

urrently

h o l d s

a

on e

p e r c e n t (

10

0

i m i t e d

p a r t n e r s h i p

interest

in

Tenant.

On

Ap

30

2001,

o w n

P a r k and

PADC

Royal

Palm

H o l d i n g s , LLC (

Borrower )

became

parties

to

a

o a n

Agreemen t ,

d a t e d

Ap

0 ,

2001 (

the

oan

A g r e e m e n t ) ,

whereby

T o w n

Park

agreed

to

o n v e y

to

o r r o w e r

a

orty-

seven

n d66

00

percent (

47.

660/

0

ass

A

imted

a r t n e r s h i p

i n t e r e s tin

e n a n t ,in

o n s i d e r a t i o n

for

B o r r o w e r '

s

x e c u t i o n

and

e l i v e r y

o

t h a t

certain

P u r c h a s e

M o n e y

Promissory

Note

in

a v o r

o

own

Park (

the

ote ),

which

Note

e v i d e n c e s

the

oan

by

o w n

Park

to

B o r r o w e r (

the

L o a n ) .

In

s s e n c e ,

Town

a rk

wouldno

onger

h a v e

an

quity

o w n e r s h i p

position,

as

e f i n e d

in

the

e a s e ,by

i r t u e of

s u b s t i t u t i n g

its

equty

posit ion

witha

r o m i s s o r y

noe

h i ch

RD P

in tends

to

a y o f f .

Pursuant

to

e c t i o n

4

01(

)

o

he

Loan

g r e e m e n t ,

T o w n

Park

e s i r e s

to

o n f i r m

that the

o a n

wll

8/15/2019 467-2004 RDA Reso 2

5/6

April

30

003

Redevelopment

Agency

M e m o r a n d u m

Royal

Palm -

Towne

P a r k

Pa ge

2

o

2

heCty

D A are

no

v e r s e

to

h is

c o n c e p t

as

pat

o

he

goba

e t t l e m e n t a c h i e v e d

and

re fe renced

in

the

LO

p p r o v e d

on

November

2 5 ,

2003.

o w e v e r ,

RDP

has

e x p r e s s e d

a

eedto

ave

his

p o r t i o n of

the

e t t l e m e n t a p p r o v e d

prior

to

the

completion

o

ll

c l o s i n g

d o c u m e n t s .

The

t t a c h e d

A m e n d m e n t

to

he

Lease

A g r e e m e n t

wll

e r m i t

RD P

to

omplete

its

u r c h a s e

o

he

r e m a i n i n g

1%

inees

from

Town

a r k

and,

wth

the

c c o m p a n y i n g

a d d i t i o n a l

amendments

to

he

Lease

p r o p o s e d in

he

ttached

A m e n d m e n t ,the

D A l C i t y

wll

sill

also

a c h i e v e

th e b e n e f i t s

or e a t i n g

T o w n

Park

as

if

it

ee

till

an

q u i t y

owne,

nd

aso

e n a n t

wll

aso

be

u a r a n t e e d the

o b l i g a t i o nto

und O p e r a t i n g

Deficits

inthe

otel,

which

was

no

e q u i r e d

if

own

Park

was

Hotel

manager

a n d

e q u i t y

owne.

ased

upon

the

esolution

of

al

o u t s t a n d i n g

cams

n d

i s s u e s ,

pendng

he

f inal

cosng

d o c u m e n t s ,

it

s

r e c o m m e n d e d tha

the

Charman

and

e m b e r s

of

the

Mam

B e a c h R e d e v e l o p m e n t

Agency

a d o p t

the

atached

R e s o l u t i o n

and

a u t h o r i z e execution

o th e a m e n d m e n t .

JMG

A A f u r a r

T\

G E N D A \

8/15/2019 467-2004 RDA Reso 2

6/6

67

00'

1TY

OFMIAMI

BEACHCTY

ALL 1700

C O N V E N T I O N

CENTER

DRIVE

MAM

B E A C H ,

FLORIDA

3 3 1 3 9

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m i a m i b e a c h f l ,

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o

the

City

M a n a g e r T e l e p h o n e

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7010

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28,

2004

M.

on

P e e b l e s RD P

Roya

Pam

Hotel,

LD 550

Bltmoe

W ay

Suite

970

C o r a l

Gables,

FL

33134

DeaM.

P e e b l e s :

E n c l o s e d

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find

he

irst

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Re

own

Pk

to

g reemen t

of

Lease b e t w e e n

R D P

Royal

Pam

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P a r t n e r s h i p

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the

i a m i B e a c h

Redevelopment

A g e n c y .

P l e a s e

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and

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