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Home My WebLink AboutReso 2009-1430 RESOLUTION NO. 2009-~ A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF SUNNY ISLES BEACH, FLORIDA, RATIFYING A NON-BINDING LETTER OF INTENT TO ENTER INTO A PURCHASE AGREEMENT BETWEEN THE CITY OF SUNNY ISLES BEACH AND REGIONS BANK FOR THE PROPERTY LOCATED AT 488 SUNNY ISLES BOULEVARD; AUTHORIZING THE MAYOR TO EXECUTE THE PURCHASE AGREEMENT; AUTHORIZING THE CITY MANAGER AND CITY ATTORNEY TO DO ALL THINGS NECESSARY TO EFFECTUATE THIS RESOLUTION; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, in the City is in need of land to provide open space and recreation for residents; and WHEREAS, the property located at 488 Sunny Isles Boulevard owned by 488 Sunny Isles Inc. is available for purchase and the property will assist in the expansion of Bella Vista . Park; and WHEREAS, the City Commission wishes to ratify the non-binding Letter of Intent to enter into a purchase agreement. NOW THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF SUNNY ISLES BEACH, FLORIDA, AS FOLLOWS: Section I. Ratification of the Letter of Intent. The City Commission hereby ratifies the Non- Binding Letter of Intent with Regions Bank to purchase property located at 488 Sunny Isles Boulevard, attached hereto as Exhibit "A". Section 2. Authorization of City Manager and City Attorney. The City Manager and City Attorney are hereby authorized to do all things necessary to effectuate this Resolution. Section 3. Effective Date. This Resolution shall become effective upon adoption. PASSED AND ADOPTED this '2-\~ day of M,,"~ 2009 RatifYing the non-binding letter of intent ATTEST: ~.~~ Jane A. Hines, CIty Clerk D AS TO FORM S FICIENCY: Vote: 5-0 Mayor Edelcup Vice Mayor Thaler Commissioner Goodman Commissioner Brezin Commissioner Scholl RatifYing the non-binding letter of intent Moved by: Seconded by: ~(Yes) v(Yes) L../(Y es) ~!Yes) _(Yes) 2 y', (.Q VV\ Uj' \/ Jhf\l..~ C~ ~CWlLL- _(No) _(No) (No) _(No) (No) ,," THE BEHAR LAW FIRM A PROFESSIONAL ASSOCIATION 17501 Biscayne Boulevard, Suite 460, :\ ventura, Florida 33160 Telephone: 786.735.3300 Facsimile: 786.735.3307 Howard R. Behar, Esq. Nary l'L .-\.costa, Esq. .-\.lfonso l\L Icochea, Esq. E-mail: HRB{ii1beharlegal.com E-mail: Nl\L\@bcharlcg-al.com E-mail: .-\.l\ll@beharlegal.com May 6, 2009 Hans Ottinot City Attorney City of Sunny Isles Beach 18070 Collins Avenue, 4th FL Sunny Isles Beach, FL 33160 Via Regular Mail ~" '''-0 r-. F' ".....q ~ n . !-{ tc-. i .- . ;'1 C 1"~L..Ub~'IJ .. RE: Regions Bank v. 488 Sunny Isles, Inc. CASE NO.: 08-67064 CA 10 , .. "'-09 ' '. i f', ~ L'!' I. I ,,'\1 \j _, U Dear Mr. Ottinot: . ...... ("I.' ,,: .I'{ ';'; rr- ""~~(""1~j CI i"'! j.f . \ : Y 'JI. J ~ L. ,\"; 1 ~ 'j ~~ '.oj :::;'~d :,;".." ~\ -;1 ~\lJ:Y n~:~,i'r .'F .1'-I~C'lY.-JIC1.l,- Ulll\..i.... V ..... I The purpose of this nonbinding Letter of Intent is to express the general terms and conditions upon which Regions Bank (the "Bank" or "Seller") or its affiliates and or assignees would consider selling the real property known as 488 Sunny Isles (the "Property") to the City of Sunny Isles Beach (the "Buyer") conditioned upon the Bank being successful in taking title at the forthcoming foreclosure sale via a certificate of title to be issued by the Clerk of Court. Per our discussions, the Bank was awarded its Final Judgment of Foreclosure. We are awaiting the Clerk to set the sale date which is typically ninety (90) days subsequent to the execution of the Final Judgment. During this ninety day period, the Defendant owner/borrower has the chance to redeem the Final Judgment by paying off the Judgment amount either through a refinancing or a sale of the Property. Nevertheless, the Bank is agreeable to either assign its Final Judgment to the City or to transfer title - if and only if - no other party outbids the Bank's Judgment credit at the public foreclosure sale. Typically, it can take two weeks subsequent to the sale for the Clerk to issue a formal certificate of title to the Bank. Accordingly, should the Bank be issued the certificate of title, or the Defendant/Borrower agrees to issue a deed in lieu of foreclosure, the Bank will agree to sell the subject Property to the City. The terms are as follows: I. Property: 488 Sunny Isles Blvd, Sunny Isles Beach, FL 2. Purchase Price: ONE MILLION THREE HUNDRED THOUSAND DOLLARS ($1,300,000.00). Exhibit "A" "' Page 2 May 6, 2009 3. Terms: All Cash with no financing Contingencies. 4. Deposit: $130,000 deposit to be held in the Trust Account of The Behar Law Firm due upon execution of the Contract. 5. Closing: Buyer's purchase of the property will close in 30 days from the issuance of the certificate of title by the Clerk of the Court or via a deed in lieu foreclosure from the Buyer, whichever date comes first. Buyer shall choose and shall pay for title insurance and surveyor other inspection of the property, cost recording the deed, its attorneys fees, and documentary stamp taxes on the deed. The Seller shall pay for the preparation of the conveyance documents and Seller's attorney's fees. 6. Prepare Contract: within 15 working days of the full execution of this Letter of Intent, Sellers' counsel shall prepare the Contract which shall embody the terms set forth herein and the other terms normally. contained in commercial contracts for the sale of commercial real estate in Miami-Dade County. Said contract shall be conditioned upon the issuance of either a certificate of title to Regions Bank or a deed in lieu of foreclosure. 7. Brokerage: Seller and Buyer acknowledge that are no brokers for the closing of the transaction and no commissions will be due to any third parties whatsoever. 8.. Termination: After acceptance by Buyer this Letter of Intent shall terminate within 15 working days from the date of execution below, if Buyer and Seller have not entered into a binding contract that is conditioned upon the issuance of the certificate of title or a deed in lieu of foreclosure to the Bank. 9. Counterparts: This Letter of Intent may be executed in one or more counterparts each of which shall be deemed one instrument. Acceptance by facsimile or transmission of the scanned signature of the electronic mail shall be deemed binding. 10. Other Contracts: So long as this Letter of Intent and the contract remain in effect, Seller agrees that it shall not enter into a contract, letter of intent or other document providing tor the purchase and sale of the Propeny with any other purchaser other then the Buyer or its related entities. The terms of and provisions of this paragraph shall be binding on the parties. Except for section 9 herein, this Letter of Intent is nonbinding and is intended to solely outline the general terms of the proposed transaction. No obligation or liabilities intended to be created by this Letter of Intent or by any written or oral statements of negotiations or promises between the parties directly or through any representatives. It is intended that only a subsequent formal written contract setting forth the final terms and conditions of the transaction, executed and delivered by the parties will bind the parties on any matter covered by this Letter of Intent. Page 3 May 6, 2009 If the above general terms and conditions are acceptable, please execute a copy of this nonbinding Letter of Intent in the space provided below and return the executed copy to the undersigned. This Letter of Intent shall expire on May 20th, 2009 if not executed by that date. Very truly yours, THE BE~HAR A W FIRM, P.A. ~----;;;:1 /// 7 ~ ~~ // HOWARD R. BEHAR, ESQUIRE For the Firm NP/ ~ The foregoing hereby agrees to and accepts this h~ day of (11 c, d ' 2009 by the undersigned who represents that he is authorized to bi~ Buyer. City of Sunny Isles Beach 18070 Collins Avenue Sunny Isles Beach, Florida 33160 Ciry Commission Norman S. Edelcup, M'!)'or Lewis J. Thaler, Vice M'!)'or Roslyn Brezin, Commissioller Gerry Goodman, Commissioller George "Bud" Scholl, Commi.fSioner (305) 947-0606 City Hall (305) 949-3113 Fax (305) 947-2150 Building Deparunent (305) 947-5107 Fax Rick Conner, Actillg City Mallager Hans Guinot, City Altomry Jane A. Hines, City Clerk MEMORANDUM TO: The Honorable City Commission FROM: Hans Ottinot, City Attorne DA TE: May 21, 2009 RE: Ratifying a Non-Binding Letter of Intent between the City of Sunny Isles Beach and Regions Bank RECOMMENDA TION: It is recommended that the City Commission adopt the attached Resolution ratifying the Non- Binding Letter of Intent between the City and Regions Bank. REASONS: Regions Bank has agreed to sell to the City the property located at 488 Sunny Isles Blvd. for $1.3 Million Dollars. This agreement is contingent on Regions Bank obtaining clear and marketable title from a foreclosure action. The purchase of this property will allow the City to expand the size of Bella Vista Park. / Attachment ~t:>D-OW Agenda Item ---LO..l.!- Date 6-2t-O'1-