SUBJECT/RECOMMENDATION:
Title
Approve the First Amendment to Development Agreement between the City of Clearwater and Gotham Property Acquisitions, LLC and The DeNunzio Group pursuant to Community Development Code Section 4-606; adopt Resolution 24-09, and authorize the appropriate officials to execute same. (DVA2022-06001A)
Body
SUMMARY:
The properties subject to this first amendment to the Development Agreement include a portion of the former City Hall site located at the northwest corner South Osceola Avenue and Pierce Street (112 South Osceola Avenue) and a portion of the former Harborview site located north of Cleveland Street (50 North Osceola Avenue). The properties are located within the Central Business District (CBD) future land use category, the Downtown (D) District and the Downtown Core Character District of the Clearwater Downtown Redevelopment Plan.
The proposed first amendment to the Development Agreement between the City and the Developer (i.e., Gotham Property Acquisitions, LLC and The DeNunzio Group, LLC) includes a total of 12 amendment and includes the following main provisions:
• Incorporates new concept plan for City Hall with 400 units and 12,400 square feet of commercial space at a height of 295 feet and 440 parking spaces. Proposal requires request of 211 units from the Public Amenities Incentive Pool
• Allows 50% of City Hall site parking to be located above ground but not visible from Osceola Avenue
• Removes provisions relating to the construction and funding of the pedestrian bridge
• Provides for a Purchase Price of $3.5 million for City Hall
• Extends Substantial Completion Date to December 31, 2028
• Provides for liquidated damages of $1,000,000 if not substantially complete by December 31, 2028
• Provide CRA Incentive of $2,250,000 at Substantial Completion
• Provides CRA Incentive of $1,000,000 if closing occurs by March 1, 2026
• Provides up to six two-month closing extensions but requires developer to pay the City $200,000 for each such extension
The proposal is in compliance with the standards for Development Agreements contained in Section 4-606, is consistent with the city’s Comprehensive Plan and Community Development Code, and furthers the vision of Downtown redevelopment as set forth in Clearwater Downtown Redevelopment Plan, as determined by the Planning and Development Department.
The Community Development Board reviewed this first amendment to the Development Agreement at its public hearing on April 16, 2024 and unanimously recommended approval with the following revision to Section 4.12.
Section 4.12. Parking. The Project shall include a minimum of four hundred forty 440 parking spaces at the City Hall Site (or a ratio of 1.1:1 parking spaces, whichever is greater). The
Harborview Site shall include the Code required parking which is anticipated to be one hundred nineteen (119) parking spaces at the former Harborview Site plus an additional fifty (50) spaces for the benefit of the City at the Harborview Site for a total of one hundred sixty nine (169) spaces all as shown on the Concept Plan. These City Hall Site parking spaces shall be within a parking garage that shall be constructed to include approximately 50% of the spaces above ground and 50% subterranean spaces. The above ground spaces shall be designed so that they are not visible from Osceola Avenue, but may be visible from Coachman Park.
The parking garage shall be constructed to include approximately 50% of the spaces above ground and 50% subterranean spaces. The above ground spaces shall be designed so that they are not be visible from Osceola Avenue, but may be visible from Coachman Park.
The Harborview Site shall include Code required parking spaces which include a minimum of one hundred nineteen (119) parking spaces for the former Harborview Site plus an additional fifty (50) spaces for the benefit of the City at the Harborview Site for a total of one hundred sixty-nine (169) spaces. The Harborview Site parking garage will be subterranean.
This proposed amendment has been incorporated into the Agreement.
APPROPRIATION CODE AND AMOUNT:
Funding for the CRA incentives has been previously approved by the CRA Trustees. The City parking contribution of $22 million included in the original development agreement will be funded from Parking System Fund reserves at closing.
STRATEGIC PRIORITY:
This project involves a public-private partnership focused on creating an active edge along Coachman Park that will bridge the waterfront to Downtown. The amendment implements Economic and Housing Opportunity Objectives 2.1 and 2.3 which focus on strengthening public-private initiatives that attract, develop, and retain diversified business sectors and promoting Clearwater as a premier destination for entertainment, cultural experiences, tourism, and national sporting events. Additionally, this key redevelopment project implements the Community Well-Being Objective 3.2 of preserving community livability through responsible development standards, proactive code compliance, and targeted revitalization.
