ACTION ITEM
SPONSOR: Jewel Cannada-Wynn, Chairperson
SUBJECT:
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REIMBURSEMENT OF HAWKSHAW REDEVELOPMENT, LLC FOR STORMWATER EASEMENT
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RECOMMENDATION:
recommendation
That the Community Redevelopment Agency (CRA) approve the reimbursement of Hawkshaw Redevelopment, LLC for the value of a stormwater easement at the Hawkshaw property (9th and Romana).
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SUMMARY:
On November 6, 2017 the Community Redevelopment Agency (CRA) approved a development and sale agreement with Robert Montgomery LLC for the development of the property at 9th Avenue and Romana Street. City Council approved the sale on November 9, 2017.
Subsequent to closing on the sale of the property, it was discovered that the stormwater pipe connecting from the Technology Park to Admiral Mason Stormwater Park had been placed across the first thirty (30) feet of the 9th Avenue frontage of the site. No record of easement was ever filed in the official records. This discovery resulted in a lengthy period of negotiation with Mr. Montgomery, the City of Pensacola staff and CRA staff and in a de facto extension of the project construction start deadline.
The project has been redesigned to accommodate the easement and Mr. Montgomery has requested compensation for the stormwater easement in the amount of $160,000. Staff recommends that this amount be reimbursed from the original sale proceeds, upon completion of the residential components of the development.
PRIOR ACTION:
November 6, 2017 - CRA approved the development agreement/contract for sale of the Hawkshaw property to Robert Montgomery, LLC.
June 10, 2019 - CRA approved extension of the project construction commencement deadline to September 30, 2019.
FUNDING:
Budget: $ 160,000
Actual: $ 160,000
FINANCIAL IMPACT:
Funds are available from the proceeds of the sale of the Hawkshaw property.
CITY ATTORNEY REVIEW: Yes
7/24/2019
STAFF CONTACT:
M. Helen Gibson, AICP, CRA Administrator
Victoria D’Angelo, Assistant CRA Administrator
ATTACHMENTS:
None
PRESENTATION: No end