Loading...
HomeMy Public PortalAboutAffordable Housing Dev Agreement_Gregg Chapel AME ChurchAFFORDABLE HOUSING DEVELOPMENT AGREEMENT AND LEASE WITH PURCHASE OPTION THIS AGREEMENT (the "Agreement") is made and entered into this► day of February, 2024, by and between the City of Crestview, Florida (the "City"), whose mailing address is 198 North Wilson Street, Crestview, Florida 32536, and Gregg Chapel African Methodist Episcopal Church, Inc. (the "Developer") whose mailing address is 34 Carson Drive SE, Fort Walton Beach, Florida 32548. WITNESSETH: WHEREAS, the City is the owner of certain property located in the City of Crestview consisting of approximately 1.35 acres +/- located between West Bowers Avenue and West Field Avenue, more particularly described on Exhibit "A" attached hereto (the "Property"); and WHEREAS, the Developer desires to develop the Property for construction of an affordable housing project known as Vineyard Village, with the permitted uses identified in paragraph 2 of this agreement (the "Proposed Development"); and WHEREAS, the City received a grant from the State of Florida for certain work to be performed on the Proposed Development; and WHEREAS, Section 287.05805 of the Florida Statutes and the City's grant agreement with the State of Florida requires that the City grant to the State a security interest in the real property in the amount of funding provided by grant to the City, for a period of five years from the date of completion of the improvements and the grant agreement further provides that the City must maintain ownership of the real property where the Proposed Development is located for a period of five years after termination of the grant agreement; and WHEREAS, the parties desire to enter into this Agreement and to comply with requirements of State law and the terms of the grant agreement, but at the same time document their commitments to each other relating to the terms and conditions upon which the Property can be developed and to reflect their mutual understandings, obligations and remedies, including the lease of the Property to Developer and Developer's option to purchase the Property. NOW, THEREFORE, in consideration of the sum of Ten Dollars ($10.00) and other good and valuable consideration, the receipt of which is hereby acknowledged, the parties agree as follows: 1. Recitations. The recitations set forth above are true and correct are incorporated herein by this reference. 2. Permitted Use. The Property will be developed as a multi -family affordable housing development. 3. City Obligations. To facilitate Developer in developing the property for the permitted use, the City will do the following: A. Lease the Property to Developer for $1.00 per year upon completion of the following work by the City: i. Provide clearing & grubbing for the site, site work, water & sewer taps and construct building pads up to a total contribution of $1,500,000.00 for these items. B. The City agrees to issue to the Developer, upon approval of plans pursuant to the City's Land Development Code, all required building permits, approvals or other required permits and Certificates of Occupancy for the construction, use and occupancy of the Proposed Development, subject to Developer's compliance with all applicable codes, ordinances and regulations, and this Agreement. C. The City Manager or his designee is appointed as the City's monitoring official for this Agreement. The City's representatives shall monitor the activities specified in such a manner to ensure that all requirements of this Agreement are met. D. In accordance with the City's Charter, Code of Ordinances and the terms of this Agreement, the City Manager shall have the authority to revise and/or modify the terms and conditions of this Agreement. E. By this Agreement, the City additionally grants to Developer an irrevocable purchase option that may be exercised for the sum of $1.00 by Developer as follows: i. No sooner than July 1, 2030, which date is five years and one day after the Expiration Date set forth in the City's grant agreement with the State of Florida, Department of Economic Opportunity, Developer may elect to purchase the Property by notifying the City of its election to purchase. Notwithstanding the foregoing, Developer may notify the City of its election prior to July 1, 2030, but no conveyance of title shall occur until on or after July 1, 2030. The purchase price for the Property shall be $1.00, to be paid at closing of the transaction by Developer to the City. ii. Any deed from the City to Developer shall be subject to the following reversionary interest provisions to be included in the vesting deed: (a) Rentals and occupancies in the Proposed Development shall be limited to persons or families which have income that does not exceed 80% of the median family income for the Crestview -Fort Walton Beach-Destin, FL HUD Metro FMR Area as published by the U.S. Department of Housing and Urban Development in each year. F. In the event Developer defaults on any loan secured by the Property, or on any obligations under this Agreement after notice and opportunity to cure, the City may repurchase the Property and the development for the remaining balance due on the loan Developer obtains to develop the Property. This provision applies to Developer defaults under any lease between the City and Developer prior to Developer exercising a purchase option, and continues to apply as a deed restriction after conveyance of title to Developer if Developer elects to purchase the Property. 4. Developer Oblit=ations. Developer's obligations, in addition to those set forth in other areas of this Agreement, is to: A. Achieve substantial completion within two years of this Agreement, provided that the two-year period shall not commence until the Developer receives building permits for construction. The City Manager may, in the exercise of reasonable judgment, extend the scheduled completion of the Proposed Development in consideration of unforeseen delays or other circumstances affecting completion. B. Develop a minimum of 18 separately occupiable housing units to occupancy by qualified tenants within the time requirements set forth in 4.A. above. C. Comply with the provisions of Section 3 (e) (ii) (a) above, relating to rental and occupancy limitations, unless this requirement is modified or waived by the City. 5. Regulatory Reauirements. The development of the Property shall be in accordance with the City's Land Development Code in effect at the time application is made for a development order. Failure to fulfill any provision of this Agreement, or the conditions of any development order or building permits issued for the Proposed Development, may result in non - issuance of other regulatory approvals with respect to the Proposed Development until such time as all conditions or this Agreement are complied with, and the City shall not be liable for any direct, indirect and/or consequential damages claimed for such non -issuance. 6. Release or Modification. Any amendment to this Agreement shall not be approved unless all parties subject to this Agreement agree to the amendment and such amendment is incorporated into the Agreement. All amendments not requiring City Council approval shall be subject to the final approval by the City Manager on behalf of the City. 7. Binding Effect. This Agreement shall be recorded in the Public Records of Okaloosa County, Florida, and the provisions of this Agreement shall be binding upon the parties hereto and their respective successors and assigns as a covenant running with and binding upon the Property. 8. Breach of Agreement. In the event that the Developer has materially breached the Agreement, the Developer shall commence to cure the breach within thirty (30) days of notice by the City, unless this time is extended by the City Manager. If the Developer is unable or unwilling to cure the breach and abide by the Agreement, the City shall exercise its right to take appropriate legal action for the purpose of curing the breach and enforcing this agreement and Developer shall pay the City's attorney's fees and costs in any such proceeding or appeal, including bankruptcy proceedings. The City's failure to enforce any provision of this Agreement shall not be deemed a waiver of such provision or modification of this Agreement. A waiver of any breach of a provision of this Agreement shall not be deemed a waiver of any subsequent breach and shall not be construed to be a modification of the terms of this Agreement. 9. Hold Harmless. Developer agrees to and shall hold the City, its officers, agents, employees, and representatives harmless from liability for damage or claims for damage for personal injury including death and claims for property damage which may arise directly or indirectly from the actions of the Developer, its contractors, subcontractors, agents, employees, or other persons acting on its behalf relating to the construction and completion of the project. Developer agrees to and shall defend the City and its officers, agents, employees, and representatives from actions for damages caused or alleged to have been caused by reason of Developer's actions in connection with the construction and completion of the project. 10. Force Maieure. In the event that Developer or the City is delayed or hindered in or prevented from the performance required hereunder by reason of strikes, lockouts, labor troubles, failure of power, riots, insurrection, war, acts of God, or other reason of like nature not the fault of the party delayed in performing work or doing acts (hereinafter, "Permitted Delay" or "Permitted Delays"), Developer or the City, as the case may be, shall be excused for the period of time equivalent to the delay caused by such Permitted Delay. Notwithstanding the foregoing, any extension of time for a Permitted Delay shall be conditioned upon Developer seeking an extension of time by delivering written notice of such Permitted Delay to the City within ten (10) days of the event causing the Permitted Delay, and the maximum period of time which Developer may delay any act or performance of work due to a Permitted Delay shall be one hundred eighty (180) days. 11. Notices. Any notice, demand or other communication required or permitted under the terms of this Agreement shall be in writing, made by electronic mail, Federal Express, Express Mail or other similar overnight delivery services or certified or registered mail, return receipt requested, and shall be deemed to be received by the addressee one (1) business day after sending, if sent by electronic mail, Federal Express, Express Mail or other similar overnight delivery service and three (3) business days after mailing if sent by certified or registered mail. Notices shall be addressed as provided below: If to the City: City of Crestview Attn: City Manager 198 North Wilson Street Crestview, Florida 32536 If to the Developer: Gregg Chapel African Methodist Episcopal Church, Inc. Attn: Rev. Cecil B. Williams 34 Carson Drive SE Fort Walton Beach, Florida 32548 12. Severabilitv. Invalidation of any provision of this Agreement shall not affect any other provision of this Agreement, which shall remain in full force and effect. parties. 13. Effective Date. This Agreement shall become effective upon execution by all [SEE NEXT PAGE FOR EXECUTION] DEVELOPER: CITY OF CRESTVIEW: ATTEST: [aryan. , Clerk �000000•••.� CREsr•••`F '•.. •��� �p0R,4p4z • 0: SE 1�� 0 .%Z441*/*ZipliC7PS w� CITY OF CRESTVIEW, FLORIDA .14(93 ;:rdo' Whitten, Mayor Dated: GREGG CHAPEL AFRICAN METHODIST EPISCOPAL CHURCH, INC. By: Name: Cecil B. dams Its: Chief Executive Officer & Director Dated: J 2 'v(zo21 EXHIBIT A Legal Description A PORTION OF THE LANDS DESCRIBED IN OFFICIAL RECORDS BOOK 3559, PAGES 3122-3123: OFFICIAL RECORD BOOK 1766, PAGE 983: OFFICIAL RECORD BOOK 3639, PAGE 4475: OFFICIAL RECORD BOOK 3213, PAGE 1445: AND OFFICIAL RECORD BOOK 3588, PAGE 2597 OF THE OFFICIAL RECORDS FOR OKALOOSA COUNTY, FLORIDA, BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: BEGIN AT AN IRON PIPE MARKING THE SOUTHWEST CORNER OF LOT 17, BLOCK 133 OF THE PLAT OF CRESTVIEW PER PLAT BOOK 1, PAGE 72, OKALOOSA COUNTY, FLORIDA, ALSO MARKING THE INTERSECTION OF THE NORTHERLY RIGHT OF WAY LINE OF FIELD AVENUE (60 FOOT RIGHT OF WAY) WITH THE NORTH RIGHT OF WAY LINE OF WEST EDNEY AVENUE (60 FOOT RIGHT OF WAY); THENCE N89°32'22"W ALONG SAID NORTH RIGHT OF WAY LINE OF WEST EDNEY AVENUE 24.32 FEET TO AN IRON PIPE; THENCE DEPARTING SAID RIGHT OF WAY LINE N07°15'05"W 155.77 FEET TO AN IRON PIPE ON THE NORTH LINE OF SAID LOT 17; THENCE N53°11'48"E ALONG SAID NORTH LINE 92.37 FEET TO AN IRON ROD (SSMC LB 2108) MARKING THE SOUTHWEST CORNER OF LOT 6, SAID BLOCK 133; THENCE N36°48'52"W ALONG THE WEST LINE OF SAID LOT 99.82 FEET TO AN IRON ROD (SSMC LB 2108); THENCE DEPARTING SAID WEST LINE N52°55'40"E 64.65 FEET TO AN IRON PIPE; THENCE N36°55'00'W 49.73 FEET TO AN IRON PIPE SET ON THE SOUTH RIGHT OF WAY LINE OF WEST BOWERS AVENUE (60 FOOT RIGHT OF WAY); THENCE N53°11'47"E ALONG SAID RIGHT OF WAY LINE 85.11 FEET TO AN IRON ROD (SSMC LB 2108) MARKING THE NORTHEAST CORNER OF LOT 7 OF SAID PLAT OF CRESTVIEW; THENCE DEPARTING SAID RIGHT OF WAY LINE S36°56'22"E ALONG THE EAST LINE OF SAID LOT 7 AND LOT 14 OF SAID PLAT 299.63 FEET TO AN IRON ROD (PSM 4028) MARKING THE SOUTHEAST CORNER OF SAID LOT 14 AND THE AFORESAID NORTH RIGHT OF WAY LINE OF FIELD AVENUE; THENCE S53°03'38"W ALONG SAID RIGHT OF WAY LINE 299.87 FEET TO THE POINT OF BEGINNING, CONTAINING 1.42 ACRES, MORE OR LESS.