Minutes 07-13-21 Minutes of the Community Redevelopment Agency Board Meeting
Held on Tuesday, July 13, 2021, at 5:30 p.m. Online Via GoToWebinar Meeting
and In-Person in the City Hall Commission Chambers
100 E. Ocean Avenue, Boynton Beach, Florida
Present
Steven B. Grant, Chair Mike Simon, Executive Director
Woodrow Hay, Vice Chair Thuy Shutt, Assistant Director
Justin Katz, Board Member Tara Duhy, Board Counsel
Christina Romelus, Board Member
Ty Penserga, Board Member
1. Call to Order
Chair Grant called the meeting to order at 5:31 p.m.
2. Invocation
Board Member Romelus gave the invocation.
3. Pledge of Allegiance
The members recited the Pledge of Allegiance to the Flag.
4. Roll Call
Roll call was taken. A quorum was present.
5. Agenda Approval
A. Additions, Deletions, Corrections to the Agenda
Board Member Romelus requested the Board have a conversation about Item 17A
before hearing Item 16E as it may change the landscape of the conversation regarding
16 E. Chair Grant suggested moving Item 17A before New Business
B. Adoption of Agenda
Motion
Board Member Penserga moved to approve the agenda as amended. Board Member
Romelus seconded the motion. The motion passed unanimously.
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Community Redevelopment Agency
Boynton Beach, Florida July 13, 2021
6. Legal
Chair Grant had requested information regarding disposition of CRA property and
received a response from Attorney Duhy regarding community benefits. She had not
yet forwarded the information to the members and gave a short summary of it for the
members. She explained a question arose about the means by which to incorporate
certain community benefits into Tax Increment Financing (TIF) and Purchase and
Development agreements for CRA projects. She advised the Board has wide discretion
to require those kinds of community benefits for the benefit of the CRA in its
agreements. She always recommended incorporating those types of requirements in
the CRA's agreements with the developer or landowner as opposed to having a
separate third-party agreement as it is difficult for the CRA to enforce a third-party
agreement. Any sort of third-party agreement between the developer and the third party
was between those two entities. The Board could request and require things for certain
aspects in the public interest that is not in the CRA Comprehensive Plan based on the
disposition of the property. Attorney Duhy agreed and explained the key for the CRA is
to have benchmark, monitoring reports, and they can require proof. The developer
would have to prove demonstrated compliance with the requirements in the agreement.
Chair Grant explained he received a Letter of Interest from Lutheran Services of Florida
for property on Friday and inquired if it should be added to the agenda. It was
ascertained it would be on the August agenda. Mr. Simon explained this item, in
discussions with Lutheran Services, needs to be held at the City level and not the CRA
level. The City and CRA can transfer property. The City transfers property as it deems
appropriate, whether it be for social services or economic development; not for the sole
purpose of child care and aftercare. In his discussions with the City and Lutheran
Services, if the City would like to relocate Head Start onto property that may or may not
be owned by the CRA, they should ask for a transfer of that property to the City and the
City can dispose of it. It would avoid a conflict with the Statute as the CRA should not
give property to non-profits.
7. Informational Items and Disclosures by Board Members and CRA Staff:
A. Disclosure of Conflicts, Contacts, and Relationships for Items Presented to
the CRA Board on Agenda
Board Member Katz disclosed he spoke to William Morris, Jeff Burns and Jean Rosier
regarding the 115 property and Harvey Oyer regarding his family's properties on Ocean
Avenue and Federal Highway
Board Member Romelus spoke to Jean Rosier with Lutheran Services, Jeff Burns,
Harvey Oyer and she declined a meeting with Hyperion.
Board Member Penserga disclosed, in regard to Items 16 D and E, he spoke to Attorney
Bonnie Miskel, Davis Camalier, Harvey Oyer and Jeff Burns. Some time ago, he had
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an introductory meeting with Hyperion and regarding Item 16H he had a meeting with
Brian Fitzpatrick.
Vice Chair Hay had no disclosures.
Chair Grant met with the Habitat for Humanity CEO, Hyperion and their Attorney Bonnie
Miskel. He also met with Brian Fitzpatrick and Anthony Barber. He attended the
Lionfish Derby and spoke to the Harbor Master and a few of the scuba diving boats.
8. Announcements and Awards
A. Rock the Plaza at One Boynton on July 17, 2021 from 5:00 p.m. to 8:00
p.m.
Mercedes Coppin, Business Promotions and Events Manager, announced the event
this Saturday as above. The plaza is at 1351 S. Federal Highway. The free event has
live music from Spread the Dub, family-friendly games and activities. Event patrons will
receive Boynton Beach Bucks offering attendees the opportunity to redeem a $5
voucher at participating restaurants and eateries. There is free parking at the One
Boynton parking garage.
B. Night Market on July 31, 2021 to be held at Centennial Park Amphitheater
from 6:00 p.m. to 10:00 p.m.
Ms. Coppin announced the event at the Town Square complex at 100 E. Ocean Avenue
on Saturday, July 31 s'. the event will feature, live music by the Valerie Tyson Band,
family-friendly food and games and local vendors. Free parking is available on E Ocean
Avenue and in the City Hall parking lots. She noted the CRA is still accepting vendor
applications. Those interested in vending can download an application at
www.bovntonbeachcra.com.
9. Information Only
A. Executive Director's Letter of Resignation
Chair Grant announced he was sorry to see Mr. Simon leave and wished him safe
travels. He expressed concern about when to pass the baton and wanted Ms. Shutt to
take on the role of Interim Executive Director, this way the development community
would know the CRA was passing the baton to Ms. Shutt.
Board Member Katz was not overly preoccupied with who is in front of who. He
supported Ms. Shutt being named interim director, if not given the decision to move on
as executive director. There are a number of projects no one could get involved in to the
degree Ms. Shutt has been involved He deferred to the Board's consensus, to Mr.
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Simon and Ms. Shutt to determine at what point and what responsibilities they would
devolve in Ms. Shutt's direction.
Board Member Romelus favored discussing this item at the next CRA Board meeting
and discussing her pay as the current agenda item was either to accept, begrudgingly,
or reject Mr. Simon's resignation.
Vice Chair Hay concurred with the prior comments. He hated to see Mr. Simon leave
and expressed Ms. Shutt will come on strong. He wanted to see Ms. Shutt take more
of the vocal lead. Mr. Simon explained he would be present at the August meeting. He
advised he and Ms. Shutt are a team, He would like to see her run the August meeting
and they have begun that process already. Ms. Shutt was brought on to help the
agency grow and she exceeded expectations. He is happy to transition her into an
interim director or any other position. Board Member Hay commented working with Mr.
Simon has been a pleasure and he really appreciated his leadership, He wished him
the best of luck and God's Blessings on his future endeavors. It was noted Ms. Shutt
has already been attending the City Manager's Executive Team Meetings.
Board Member Romelus asked if the Board accepts the Executive Director's resignation
and names Ms. Shutt as the Interim Director until the next meeting and if they would
then have a formal discussion about bringing her on as Executive Director and her pay.
Mr. Simon's contract expires September 30th. Ms. Shutt would be interim and Acting
until they have a contract naming her as the new Executive Director which would be on
the September meeting.
Attorney Duhy recommended the Board accept the Letter of Resignation, and direct
staff to put naming the new executive director on the August agenda.
Motion
Vice Chair Hay moved to accept the Executive Director's Letter of Resignation. Board
Member Romelus seconded the motion. The motion passed unanimously.
B. Public Relations Articles Associated with the CRA
10. Public Comments
A question was posed by Mr. McGuire why there are no captions or ASL interpreters at
the meetings. He wanted to make a comment about the upcoming CRA event, but
there was no way for him to understand. He though the City and CRA was supposed to
be successful with inclusivity for people with disabilities. The question was will the
upcoming Rock the Block and Night Market events have ASL interpreters. He does not
see that on the calendar. Ms. Coppin explained they can have that in place. They have
ASL Interpreters on request and now that a request was made, they will procure those
services. Chair Grant wrote back to Mr. McGuire they will have ASL interpreters at the
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Rock the Plaza and Night Market events and at future CRA meetings. Board Member
Romelus would like a line item for it and staff will also provide a cost for the monthly
meeting and events.
Angela Cruz, 1420 Via de Pepi, Boynton Beach, Vice Chair of the CRA Advisory Board
explained the Board reviewed four commercial properties in the CRA District:
• The 224 E MLK Jr Boulevard property was recommended to be pursued no.
® The 409 NE 1St Avenue property was recommended to be pursued at a later time
® The 1017 N. Federal Highway was recommended to be pursued now
• The 1022 N Federal Highway was recommended to be pursued now
Brian Fitzpatrick, 409 NE 16t Street, read of Mr. Simon's resignation and praised him
and Ms. Shut as the "Dynamic Duo." He was excited to hear Ms. Shutt is not leaving
and commented she has skill. He added great leaders are great listeners.
Bill Morris, 777 E. Atlantic Avenue, Delray Beach, stated he is an incredible fan of Mr.
Simon and thought he was a key reason why people are looking at Boynton Beach.
The other key reason is all of the Board members are diverse men and woman that
treat each other with respect and dignity as did the prior CRA Board. He advised it is
very refreshing because not all communities do that. The Board set a wonderful
standard, being helpful and willing to listen. Mr. Morris conveyed a personal experience
with Mr. Simon and stated he and Mr. Simon became very good friends and further
added Mr. Simon is a visionary and extremely smart. He deals with a lot of CRA
Directors in Florida and he is one of the best and a great ambassador. He praised Ms.
Shutt as a wonderful woman with passion who is smart as a whip. He supported Ms.
Shutt becoming the Executive Director and congratulated the Board on being decent to
one another.
Chris Roberts wished Mr. Simon the best.
11. CRA Advisory Board
A. CRA Advisory Board Meeting Minutes - June 3, 2021
B. Reports on Pending Assignments
1. Review of Commercial Properties within the CRA Area
Chair Grant was pleased with the review of the properties. He thought the
recommendations were important. He requested staff get a price for those properties to
move forward and requested another four properties be forwarded to the Advisory
Board for review.
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12. Consent Agenda
A. CRA Financial Report Period Ending June 30, 2021
B. Approval of CRA Board Meeting Minutes - June 8, 2021
C. Approval of Commercial Property Improvement Grant Program in the
Amount of $7,694.72 for Shade Tree Music Studio, LLC located at 410 W.
Industrial Avenue, Unit 1
Motion
Board Member Katz moved to approve. Vice Chair Hay seconded the motion. The
motion passed unanimously.
13. Pulled Consent Agenda Items
None.
14. CRA Projects in Progress
A. Rock the Block Recap
Ms. Coppin reviewed a PowerPoint presentation for the Rock the Block event, held on
Saturday June 12th on E. Ocean Avenue. The event featured live music, food and
family-friendly activities. She highlighted the 11 CRA participating merchants. They also
had a special Boynton Beach Bucks promotion, which was a $5 voucher redeemable at
the downtown restaurants during the event.. They distributed 158 vouchers for $790.
The survey results were reviewed and the merchants were pleased with the event. All
the restaurants and streets were packed. Ms. Coppin advised the cost to hold the event
was $20K. The CRA budgeted less, but after assessing the cost of services after
COVID, they adjusted the budget upward. Chair Grant thought it was a great event,
and hoped the private market would take over the events, not just the CRA continuing
fronting the costs as it benefits the businesses as well.
B. Rock the Marina & Lionfish Derby Recap
Ms. Coppin advised the Rock the Marina & Lionfish Derby was held Saturday, June
26th. The business and promotional event had live music and displays from local
businesses and marine based non-profits. With two bands playing simultaneously, they
activated the open and green space at the Marina. They partnered with two local
restaurants who each had chefs on site with cooking demonstrations and
demonstrations on how to safely clean and prepare Lionfish. The CRA and Boynton
Harbor Marina staff worked with three dive shops and the Marina Cafe. There were 14
two-person teams certified. In total, 145 Lionfish were removed from local waterways
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and event attendees learned about marine life and Lionfish removal efforts in the
County and State. The feedback was well received. The cost for the event was $25K.
Chair Grant thanked the Board for this event and noted two years ago, the event
resulted in 500 Lionfish being caught and there are a lot less destructive Lionfish and
Coralfish now. He added the coral is doing better. He commented with the diving
industry so close to Boynton Beach, another big event is when Goliath Grouper spawn.
He would like to see the CRA help market a Grouper event for Boynton Beach in
September for the next fiscal year. He also wanted the event to be marketed
internationally because being around friendly Goliath Grouper that are 300 to 500
pounds is a one of a kind experience. Mr. Simon praised Ms. Coppin for jumping back
in handling events after COVID. Chair Grant and the Board members also praised her.
C. Marketing and Social Media Update
Rene Roberts, Social Media and Communications Specialist, reviewed the CRA social
media and marketing campaigns last month. June platforms were used to promote
businesses, examples of posts were viewed promoting Sushi Joe and the Zoo Health
Club. Also shared was a page published in the Bus Development Board annual
publications to promote Boynton Beach CRA economic development initiatives and
posts to promote the interior build out of the new WaveMax Laundromat and Kids Cops
and Cones event.
Another full-page ad promoting Boynton Beach summer events and the Marina
businesses were in the Coastal Star. A quarter page ad was published in the sports
fishing magazine promoting commercial dockage at the Marina, and in Funfare
magazine promoting fishing, dive boating, jet skiing and parasailing in the Marina. A
full-page ad was published in the Gateway Gazette and Neighborhood News promoting
Boynton Harbor Marina businesses for Father's Day.
D. Social Media Outreach Program 3rd Quarterly Report (April - June 2021)
Ms. Roberts highlighted there are 69 businesses registered in the Social Media
Outreach Program (SMOP). There are 102 registered businesses since inception, three
that are new this quarter, and 76 businesses were contacted between April and June.
Using SMOP at CRA events provides an opportunity to help businesses and provide
them with uniquely branded social,media kits. The kits help promote the businesses
while creating a unified campaign for the events. They are given a personalized social
media graphic, a digital copy of the event logo and event poster, all the links to the CRA
Event pages, event hashtags and an option to book a SMOP appointment for
personalized instruction on how to best market themselves leading up to the event date.
Through social media, businesses can share CRA Event information with fans and to
help inform the audience which businesses are participating in the upcoming events.
Social media kits were distributed to 35 businesses for both CRA events and staff will
issue social media kits for all CRA events in the future. Ms. Roberts gave updates on
the Agency's Facebook, Twitter, and Instagram accounts. Future projects include a
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continuation of Boynton Beach Bucks, new social media strategies, one-one-one
business assistance, updates to the Boynton Beach CRA business listings, coordination
with the Grants and Project Manager to promote SMOP prospective grant recipients,
and continued in person visits to spread information out Boynton Beach CRA
resources and collaboration with the business promotion to for upcoming events
E. CRA's all Business Disaster Relief Forgivable Loan Program Close-out
Bonnie Nickfien, Grants and Project Manager, reviewed the above and explained the
loan was created last year due to COVID. On April 22, 2020, the CRA launched the
project and by June 4 t", over $1 M was disbursed to 100 business as $1 OK interest free
loans to assist with payroll, payroll expenses and utility payments. As of June 16 t", all
100 loan to grant releases have been processed and were approved. At the moment,
96 businesses remain open and operating and two businesses grew or expanded. The
CRA also had the Commercial Rent Reimbursement Grant for previously approved
grant recipients during March through August, an additional $289K was disbursed in
monthly rent reimbursements to 42 business and as of July 2021, 40 oft
businesses were open. This is a testament to the resiliency of the small business
community and their commitment to persevere. Staff along with the small businesses
were thankful for the program.
Board Member Romelus thanked Ms. Nicklien and staff on a job well one to keep small
businesses alive. It was noted the CRA applied for several organizational awards and
they included pages of notes and thank you letters from local business owners.
F. CRA Economic & Business Development Grant Program Update
Ms.
is lien reviewed the balance in his grant line its was $155,218. A list of
Business Tax Receipts issued in June was reviewed. There are five businesses inthe
various stages oft grant application, so they may or may not be approved before the
end of the business year. If not, the money rolls over. it Grant queried if the
applicants funded next year would have to adhere to new rules. Ms. Nicklien responded
new rules are on the agenda tonight so it is at the Board's discretion whether to make
changes, if so, they have to submit updated application.
G. Neighborhood Officer Program 2nd Quarter Report Update
Sergeant Henry Diehl, Neighborhood Officer Program, explained this its was a follow
up about crime statistics from the last meeting. He went back five quarters and
compared the numbers, quarter to quarter. There is a downward trend in crime although
there was an increase in one quarter. This summer it is hot and rainy, however, the
program held the Cones and Cops at Boardwalk ice Cream. Chair Grant asked if they
will go to the Carolyn Sims Center and learned they held the Swim with a Cop at the
pool. He is working with Crystal Quesada at the pool to hold another event there.
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Officer Riviera is tutoring someone at the office and Officer Paramore is mentoring and
tutoring at the Sims Center with Frank Ireland.
15. Public Hearing
17A Discussion and Consideration of the Purchase of the Properties Located at
511, 515 and 529 E. Ocean Avenue (Heard out of order)
Chair Grant disclosed he spoke with Harvey Oyer at a Business Development Board
meeting and sent an email to Mr. Simon about property Mr. Oyer has. Mr. Simon
reviewed the property location and a map of the area around the 115 Federal Highway
properties was provided. The address is adjacent to the CRA site on the south, fronting
Federal Highway and the rear fronting the alleyway and the CRA property. In February,
April and March, they discussed private properties adjacent to the 115 site and whether
they should be pursued. Appraisals were ordered and it was decided the funds to
gather all the properties was too costly at the time, and the Board continued discussion
of RFPs and other opportunities. Staff was able to solicit interest from Mr. Miller on the
508 E. Boynton Beach Boulevard property and they secured the property and put it
under contract. With the potential acquisition of the Christine Macoviak and Harvey
Oyer parcels, there are other elements to the property aside from the purchase price to
consider, such as tenants in the building. The price is a significant part of the
discussion. Appraisals was done in the fall 2020 and came in at $3,4M. The purchase
price offered by the Oyer's was $3.6M. Mr. Simon sought direction from the Board.
Chair Grant was in favor of the $3.6M and felt it was a fair price. He noted Ocean
Avenue was the City's signature street. With the addition of the 115 property, it would
enhance the Avenue because of the value Ocean Avenue has. He favored Option One
to continue negotiations with the Oyer's and tenants to make sure they have a place in
downtown Boynton Beach for any type of redevelopment. He did not want to not lose
Boynton Beach's identify being close to 1-95, having a possible train station and TOD
District.
Board Member Katz supported the acquisition, but noted the adjacent parcel has a
lease with the convenience store and some sort of buy-out seems difficult which is a
hang up. He thought anything in the Oyer property could be moved or relocated and
the leases expire fairly quickly, except for Hurricane Alley. He would need concrete
answers from Kim Kelly as he has no interest in anything impacting her restaurant. The
other leases and tenants would expire quickly.
Board Member Hay agreed with the comments made and thought sometimes the Board
have to go above the market value to get what is wanted in the long term. He thought
the difference was in an acceptable range. He suggested moving Boynton Beach
forward and also stated Hurricane Alley must remain. He commended the Oyer's for
their willingness to come to the table.
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Board Member Romelus advised her comments are contingent on decisions that will be
made further on. She agreed they can purchase the property, but it will dictate the
Board's decisions they make on agenda items later. She wanted to hear what the
tenant leases looked like and how much commitment they have to the other tenants
outside of Kim Kelly.
Board Member Penserga is interested in moving forward, but had similar concerns. He
needed to reach out to Mr. Oyer. He understood there were a lot of interested parties at
this moment. Chair Grant explained at the moment, the CRA wants to be the only
interested party. Board Member Penserga wanted the free market to work on its own
and then the CRA can come in and provide support when it is not sufficient.
Harvey Oyer, explained has sister Christian, owner of Macoviak Insurance, was present
and that he and his two sisters own the properties. His family owned the buildings, at
least the one where Hurricane Alley is located, for about 90 years. The property was
passed down from his grandfather to his father and then to him and his two sisters. The
CRA approached his father several times about purchasing the property and he was
never interested in selling. When his father died 10 years ago, the family was not
interested in selling. There is a lot of history to the building, including the historic sign
on the exterior wall. Emotionally, the building is hard to part with, but looking at the City
today, his father's hope was for the City to be successful. During the last year,
developers have offered to buy the property for more money, than the CRA, but there is
a plan. They do not know who will be selected. The family is more interested in having
a faster closing for less money as the family is looking at a change in the federal capital
gains tax, so selling it to the CRA today equates to selling it to a developer for more
money next year assuming there is an increase in the capital gains tax. This works out
evenly for the family, but it gives the CRA control. The CRA would control one big
parcel, but not the peripheral properties. To develop that block, the CRA needs four-
sided architecture, as it addresses Federal Highway, E. Ocean Avenue, Boynton Beach
Boulevard to 1-95, and one day hopefully to a train station. The more land they control,
the better the project. Mr. Oyer elaborated the family thinks their asking price is a fair.
Mr. Oyer explained Kim Kelly is virtually part of the Oyer family. His father,started her in
business with free rent. Mr. Oyer grew up with her husband and he announced they will
not displace her. The men's fashion shop owner retired last year. The family was going
to fix up the shop and lease it, but there was so much interest in the property, they
decided not to spend the money and sell it. He noted they have not received any
revenue from that building for a year. Hurricane Alley and other tenants have leases
coming up for renewal. If action is not taken, the CRA or the private market will acquire
the property with long-term leases that will have to be bought out. There is a momentary
window in time. One of the largest spaces is completely vacant, another is coming due
in a year, and his sister owns the third property and she can move at her discretion.
The five residential leases and three commercial leases are all year-to-year. When they
brought Major Nathan Boynton to Boynton and sold him land, the Oyer family has
always had the best interest of the community in mind. He knows what needs to be
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done to redevelop the parcel and acquire the other parcels, even if buying out leases or
assisting a developer to buy them out to build a whole block project.
Chair Grant and Board Member Penserga appreciated what the Oyer family has done
for the City. Board Member Hay recalled eating ice cream with Mr. Oyer's father. He
had many stories and it was a pleasure to listen to him speak about Boynton and the
hand he's had in different projects in the City. Chair Grant requested a motion to move
forward with the purchase and sale of the property at $3.6M with negotiations to be
discussed later, with the tenants to remain in the CRA. They can get relocation
assistance.
Motion
Board Member Hay so moved.
Mr. Simon spoke about the tenants and explained the tenants would be a priority in
negotiating. They would try to save or relocate them in some way.
Board Member Katz seconded the motion. The motion passed unanimously.
Board Member Katz thought if the CRA committed to purchase their property than the
adjacent property likely needs to be acquired. He thought staff should become more
assertive in the convenience store as the corner parcel was necessary. Mr. Simon
explained there are other ways to engage a seller with a long-term lease without having
to buy out the lease.
Chair Grant requested to hear Old Business Items 16 D, E and H to before Old
Business.
Motion
Vice Chair Hay so moved. Board Member Romelus seconded the motion. The motion
passed unanimously.
16 D Discussion and Consideration of a Letter of Intent Submitted by Hyperion
Development Group for the CRA Owned Property Located at 115 N. Federal
Highway. (Heard out of Order)
Board Member Romelus commented based on their action on Item 17A, she is not
comfortable moving forward with this item as it changes the landscape of the 115
property. She wanted the discussion at a later time.
Motion
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Board Member Romelus moved to reject the letter of intent and table item D. Board
Member Katz seconded the motion.
Chair Grant advised got an email from Kim Kelly, which he read into the record as
follows:
"Good morning. Thank you for reading this email As I previously sent a
group email stating that I would be at the July 13th meeting to speak on the
pros of building two properties as one as the Hyperion group has presented.
Unfortunately, my business needs me as the shortage of workers has
become a real issue now and I will be unable to attend in person or via
zoom. I would like to share a thought if I may. I believe whoever the
developer is or are, a combination of the two parcels becoming one project
would be a great cohesive project that will check off all the boxes from the
survey and give us a downtown destination that everyone is striving for.
am expressing the needs and desires of the community and business and
for myself. It is now the Board's decision to vet the potential developer and
make your decisions. The main thing we fear is having four different
residential projects on each corner and we lose our destination aspect. The
other concern is the long RFP process and what happens if a new
Commission is appointed and all of the hard work that you, as a Board have
accomplished, will be abolished and possibly restarted with a new agenda.
I wish you all the best to have the clarity, patience and to go in with fairness
in any decisions that you make concerning the future of our downtown. Our
future now rests in your hands. God Speed".
Chair Grant commented it would behoove the Board to hear what this developer has
done in the last 30 days. The Board could decide not to accept the LOI, but to tell
someone we want to move forward and then reject it without hearing what they have to
say, he thought was a disservice to the development community.
Board Member Katz partially agreed and thought leading someone on to think a course
of action would be taken and then saying no thank you would be disrespectful. He
requested, to be fair, pursuing a Request for Proposal and Hyperion and any other
interested party would be given the opportunity to submit. He felt they have to advertise
the RFP and make it a competitive project, versus a gifting of exclusive. Board Member
Romelus commented right now, the LOI is moot because they added another half an
acre and what they approved does not incorporate that property. She thought it would
be inappropriate to accept a LOI at this time.
Board Member Penserga previously wanted to hear a proposal to combine both sides of
the road and commented someone who has an exclusive agreement has an advantage.
Before, during and after the meeting, his main concern was financial ability. He felt after
giving Hyperion the opportunity to address the proposal, that aspect was ignored. He
received 49 pages, a PowerPoint presentation and two pages dedicated to financials,
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but none addressed financial ability. He was very clear to hit that aspect out of the park
or he would proceed to RFP. He commented he was looking for a stellar partner. This
is a grand proposal on one of the most important intersections in the downtown. He was
not comfortable moving forward with them. There was a letter submitted post the
deadline and it did not sufficiently address his concerns. It was clear there was a
partnership, but it was not clear what amount was committed and he did not want to end
up with a similar situation as was with John Markey and the Town Square. He noted
this group was reconstituted in 2020 and Hyperion as a group, has not built in 14 years.
They have projects started in West Palm Beach. He added these were points he
addressed with the applicant and he did not want to move forward with the LOI.
Attorney Bonnie Miskel, representing Hyperion, explained Hyperion viewed this as an
opportunity. Hyperion has been around since 2002. His client and Mr. Vecsler were
working also with one of the largest development companies that she was aware of. He
built the Four Seasons building in Tribeca. The project is $350M project and they have
the credentials to build this project. When Mr. Vecsler and Hyperion approached Mr.
Camalier on the east side, and they own the property at 209 Federal on the west side,
they viewed it as a tremendous opportunity to do something special. She has been a
land use attorney for 30 years and was only aware of two CRA projects of the
magnitude of two blocks and they were funded with public money. The CRA has the
opportunity to get the same type of project, but with private money. The CRA would be
the tail on the dog. She cannot remember a project where the developer spent 90% of
their capital. She pointed out the two pages referred to by Board Member Penserga
was from their partner. They misunderstood. They wanted to respond to every item and
provide everything the Board needed.
Attorney Miskel read the following into the record:
"Winter Properties, and Hyperion Group have a formalized a strategic
partnership to develop large-scale, residential, mixed-use projects in South
Florida and New York. Winter believes in Rob Vecsler's leadership and is
committed to the growth and success of Hyperion development platform.
Hyperion with the capital strength of Winter brings the financial capability,
institutional experience, execution skills and successful track record to
identify and execute on development opportunities with positive community
impact. Since Rob's relaunch of Hyperion, we have been his capital partner
on a $135M residential development in West Palm Beach and a $120M
residential, mixed-use development in the New York Metropolitan area.
Winter and Hyperion have additional development opportunities in the
pipeline."
Attorney Miskel explained they are familiar with what they have been speaking with the
Board about and they fully support Mr. Vecsler's efforts. They reassured the City that
they have the resources and capital necessary to see the project through. They are
aware it is a $350M project. They state who they are, they are the real estate business
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of Standard Industries and they provide the Standards website, a privately-held, global
industrial conglomerate, focused on building materials that generate in excess of$613 in
annual global revenue. They have an affiliate Four North, a privately held investment
platform, with assets exceeding $4.513. They also invite the staff to sit down with them,
should they decide to go forward and they will provide their audited financials at that
time, if the Board wants to proceed to contract.
Attorney Miskel explained they are present asking for more time to negotiate with staff
as Attorney Duhy explained at the last meeting, a vote to move forward to contract
negotiations, is not an approval of a contract, or plan, or Hyperion. It is directing staff to
initiate a process, which on notice invites others to see what they are proposing. She
agreed it is competitive, because they see all they have to offer,and hopefully, they will
step up their game potential and offer more, or they will look at their game and say they
cannot compete because it is more than she has seen offered in a CRA scenario or for
an RFP. This is a $350M project inclusive of the entire block. She noted there are many
benefits. In addition to her client being interested in assuming the CRA's property in
some form, the form they would assume results in the Board being compensated for the
property, which is also uncharacteristic with what she has seen occur in Boynton Beach.
They are also assuming, if the CRA gives the property to the developer, the developer
builds the project, creates jobs and other community benefits and expands the tax base,
but the developer does not see those benefits. Developers usually flip the project, like
500 Ocean did, and walk away with millions of dollars.
Attorney Miskel explained that was another part of the developer's proposal, as the
developer wants to remain with the project and share in the potential future rewards,
which is unusual and exceptional. They did not want to see this be a difficulty for the
Board or averse to the CRA's interests. They were enthusiastically pursuing the project.
She has never seen a developer approach a CRA and assume the majority of the
burden of assembling the project. She advised her client spoke to Harvey Oyer to
acquire the property. She hoped the Board would reconsider its stance and advised
this is the only letter the Board would see from an equity investor. Her clients appreciate
the time spent by the Board on the project. He is under contract with Mr. Camalier on
the east side and with 209 Federal and about the future in Boynton Beach.
Board Member Katz asked if a single thing would change if the Board went to RFP and
the client submitted a proposal. He mentioned he has to conduct his due diligence and
questioned how an RFP would deny anything that was requested. He felt it does not
allow for competition. Attorney Miskel noted they sat through discussions about what
the Board wanted to see in an RFP. It could change and confine their responses to
what they want to see and they may be forced to go in a direction they may not have
planned to go. The other issue is time. The client wants to acquire all of the properties
and close. They did two scenarios, which was the land they had a month ago and the
second including Mr. Oyer's property. At some point they will decide what they want on
the east side. It does create some problems for implementation. Their plan is to start
immediately at least on the east side and it creates problems with implementation and
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effectuation of a plan. He has a contract to close on the east side by the end of the year.
He had hoped to participate and provide them with phase I and II opportunities.
Board Member Katz commented by going to RFP they would assert more control over
the project, which was why he wanted to purchase the church property. Regarding
time, it does not exist after a contract has been signed. It is subject to the market and
the will of a developer. He noted Ms. Kelly's email. Whatever size the project looks like,
especially if it is both sides, it could be four to eight years if the building is constructed,
considering the other side of Federal Highway was supposed to be built 10 years ago.
He respected Attorney Miskel's position. Board Member Katz want to pursue an RFP
with open arms to her client as they have an edge over everyone else. He wants the
project vetted in full public view. In hindsight, better decisions should have been made
and he thought the LOI was least transparent with the most aggressive time frame
which could be prone to oversights on the part of the Board.
Bill Morris, 777 Atlantic Avenue, Delray Beach, explained in 2019, they came up with
an idea to do something with the 115 Federal Highway property. Those rules set by the
Board were painful. They were prepared to go forward and could get site plan, before
year end, but the Board is opening the door to competition. He noted Affiliated was
doing a major project at Lake Worth Beach. Two Roads Development and others are
also good. He mentioned the Board set the rules and should stick with them. He
thought the Board should issue an RFP as they will send an ugly message to the
development community. After setting the rules they have, the Board should stick with
them and do it
Tony Morrow, resident of Boynton Beach, commented he loves Boynton Beach. The
Commission has done an amazing job and they have to look at what is best for Boynton
Beach. Some will think it is fair, some will not. He is a small developer/builder and he
has people he looks up to. He is excited that there are people fighting to develop in
Boynton Beach, but some people will come in and the Board really needs to know who
they are. Mr. Morrow expressed he is impressed with this group. If putting out an RFP,
time is not a good thing. Things change with time as does the economy. This group
can bring in a lot of resources and the Board is in the position to decide to change
Boynton Beach for the better right now for everyone. He thought the Board may lose a
top developer and if an RFP is issued, it will go to a good firm, but this developer is a
top developer He thought the Board should consider the opportunity before them and
he would hate to lose it. They have the best and a talented team in Boynton Beach.
Harold Van Arnem, 5910 Old Ocean, explained they have worked most of 2020 on an
unsolicited basis. They moved up this way, became familiar with what is occurring in
Boynton Beach, so he and Bill Morris met with Mr. Simon and hired RLC, who is one of
the best high-rise development, architectural firms in S. Florida, and spent a good part
of 2020 designing what they thought was a good idea to build out the core and integrate
it into the downtown and the future train station. They have also filed an application to
lease the land just east of the railroad. They worked hard and meet with all of the Board
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Members to review the proposal and got great comments. The core will make that
valuable and outside of the core is where the amenities come in and it will develop itself.
He was working with Davis Camilier for three or four years trying to buy small parcels to
build a hotel. He could never get anywhere, even when offered prices way above
market prices. He noted the thought he could come in with the 115 project that has
nothing to do with his property and add it to his land to increase the value of his property
to flip it or sell it. He commented their proposal is the only proposal that was ever
made. There were a few letters of intent and there were two proposals. The Board was
going to award the project to him. Then the Board decided to go out to RFP which they
are fine with, but they are the only ones that spent any money. He thought it was not
fair and he requested they have the same opportunity as the other developer. He
thought the Board should not just go on the side and make a separate deal.
Chair Grant recalled Mr. Van Arnem stated the Board should go through the LOI
process, which he agreed with because with the RFP in Delray, got messed up and if
one word is off, they can appeal it and start all over again. Chair Grant commented life
is not fair, but as long as they are playing by the rules and law he was fine. He agreed
Mr. Arnem cannot propose a seven-acre property, because they do not own the
property across Federal Highway. Mr. Camalier owns the adjacent property, and his
comments about a mid-block project growing from the outside in made no sense. He
did not think one could build a project in the middle and expect the orphaned street front
properties to be included after the middle is built. He is excited to hear from Mr. Burns,
but his goal was to get the biggest project. With the Town Square, they had two
different developers, and it did not work out well and it is still in litigation. They will learn
about mediation on Monday. He thought it was more likely this project will go faster
whether by LOI or RFP than the Town Square. Chair Grant wants to do the best for
Boynton Beach. He spoke with Mr. D'Almeida who owns the Villages. If they have both
sides of Federal Highway building at the same time, they can save the businesses,
particularly Hurricane Alley to the east side while building on the west side. If they go
through the RFP process, he questioned how they can save Hurricane Alley because it
is unlikely they will build around the building and have the restaurant move it.
Jeff Burns, CEO Affiliated Development, introduced himself. He is with a Ft.
Lauderdale based organization with an office in Palm Beach County. They have
completed more than half a billion dollars of public private partnership development
primarily in S. Florida. They have completed 230 units nearby and another 200 units in
Lake Worth Beach. They have their own discretionary capital and they do not rely on
outside equity for their projects. They were engaged in this process and met with
residents and business owners and he has a signed LOI with Kim Kelley. They have
met with Harvey Oyer and is working with him in another city on some projects, He
encouraged them to come here and make an investment in the City. He advised they
are qualified and they will respond if going through the RFP/RFQ process. They have
no problem competing and an RFP/RFQ is fully transparent. The public can see the
merits of the development proposal as well as the merits of the qualifications of the
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developer to ensure when something is chosen, the project moves forward to
completion. He requested the Board stay with the RFP/RFQ process.
Davis Camalier, 114 N. Federal Highway, commented he is close to 25 years of paying
taxes and bills and banks which gives him some standing. He thought timing was
important. It was 2007 when they put together the First Financial site and the 114 site.
They put together contracts to buy out 32 of those owners. In 2007 they were moving
forward with a huge plan, the market turned, the project stopped. In 2011, Bank of
America relocated to Woolbright Road and then the market crash of 07/08 occurred
along with other ups and downs. He has met all of the other developers present at the
meeting and he disputed their comments about him. He advised some people feel like
he is just sitting there doing nothing, which he also disputed. He believes in Boynton
Beach and has been here since 1986. He also wants.to do something right. Hyperion
came forward and cut a deal with him. The idea they are prepared to move in this
calendar year means something and they are talented. He has not felt that he spoke to
anyone else who could raise $350M to build a big project they can be proud of. This
could be the City's Rockefeller Center and there are not a lot of opportunities to put
seven acres together in Boynton Beach. He encouraged all to keep communication
open to get a project built. He does not envy the Board. He announced from his
perspective, this time was the first time the needle moved for him.
Rob Vecsler, Hyperion Group, explained Hyperion came to this, enthusiastic about
Boynton Beach, the project and what they can do. They came to the Board hoping they
would feel enthusiasm returned. There is a history here, and people who have worked
hard for the Board to trust them. They do not begrudge anyone who wants to compete,
and they are happy to compete as well. Historically, they work collaboratively, but it
seems contentious. He does not know how some people may have got off on the
wrong foot. They are prepared to make something happen. They responded to all the
information about resources and access to resources and other items. There was
substantial information in their response. A mention was made about turning in the
letter late, but the letter did not add much to what they had in their presentation. He
advised they and Winter Properties are one firm and one entity. They are part of the
same group. They participated and were involved in the presentation they put together
in response to Mr. Simon's list and they were thrilled to respond. It was done a week in
advance. Whatever the result is, they will respect their decision. They want to work
with the City and be collaborative with them. Having to go forward with the east site
because perhaps waiting on the RFP adds too much uncertainty and timing, but they
feel the time to strike is now. They are about transparency, collaboration, but timing is
important and you will get the best development with both sides. They are not afraid of
competition. They were able to consummate a deal with Mr. Camalier, they are going to
be a landowner on a big site and on a smaller site on the west side. It is not about
fairness. It is about what is the best process. The Board could let them both come to
the Board and try to have a contract with the Board. He thought in the best interests of
Boynton Beach, someone could come in, acquire Mr. Camalier's and Mr. Oyer's
property, work with Kim Kelly, Ace Hardware and other owners they have spoken with.
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They want this to be collaborative. The odds are an RFP will be issued and this will go
on for months. The Board can negotiate an agreement with whoever they want, but it
injects a level of uncertainty. He urged the Board to get this project going.
Board Member Katz wanted to reject the LOI and issue an RFP. He appreciated all the
comments and noted everyone is just trying to do their job. One speaker praised and
compared their interest in this site as a fight and there is a fight for a champion to rise.
He thought if not going to RFP, they are cancelling the fight.
Motion
Board Member Katz moved to reject the LOI and move forward with the RFP. Board
Member Romelus seconded the motion .
Vice Chair Hay has known Mr. Camalier for many years and his work is outstanding,
Vice Chair Hay felt they are missing out on an opportunity and an RFP is not always the
best course,of action. He noted the Town Square RFP issue. They have an important
decision and he feels for certain both projects on both side,of Federal can be developed
at the same time. These are properties that would make the seven acres an ideal hub.
Based on history, longevity and who is willing to stick their neck out, this is an
opportunity to move forward. He hoped down the road he would not have to repeat this
conversation. He liked Hyperion and felt that was the way to go. He had hoped the
property on the east side would be developed and now they have a strong developer
with the backing and experience to answer questions. The Board has taken the RFP
route before. If another company comes along, he does not have to sell that property,
but it would be great to have both sides developed and he will vote that way. He
supported the LOI.
Board Member Romelus wanted to ensure it is clearly stated the main carrot dangled
before them is time. She has faith whoever takes over for the Board will be able to
make the right decisions. They started something worthy that merits continuing and she
can put her faith in the new Board. She is not worried about time and that their
successors will make the right decision. She rejected the LOI as they do have time to
properly vet each and every offer that is made, and she hoped that Rob and Mr.
Camilier's offer would stand true.
Chair Grant opened public comments.
Mr. Morrow commented there are two things said that he wanted to address. He noted
Board Member Katz had commented about having better control, and explained that
was not the way it works because developers submit plans and designs to the City, so
they would never lose control. About time not mattering, it is a big myth, as time is a
huge factor. To say the Board's predecessors will not have the opportunity the Board
does now, they would likely say they wished they had the opportunity.
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Mr. Morris, explained in Delray Beach, he competed against 26 other companies and
he personally signed a $76 M construction loan and finished an $8.5M parking garage,
gave it to the City and they were given a $2.5M piece of land. He and a subsidiary of
BlackRock are getting ready to sell that property for $165 million. He did the same thing
in Boca at Palmetto Park, and he and his wife signed personally with Deutsche Bank.
The project was incredibly successful. He did the same thing in Sarasota. Each one of
those projects were mid-block projects. He was not saying they should not acquire the
edges. If they got Kim Kelly's property, he would keep it and build around it His point
was he had three major projects, but thought they should keep the playing field level.
Chris Roberts, 70 Heather Trace Drive, supported issuing the RFP.
Chair Grant explained the main reason he wanted the seven acre or larger project is
because he did not want to see an apartment rental complex with retail on the bottom.
He wants office space, condos and a hotel, not residential. They are missing Class-A
office space.
Attorney Duhy explained the item before the Board is the LOI. The Board can reject or
accept it. If accepted, they will publish notice for 30 days of their intent to dispose and
during that time, others can submit additional letter requests or proposals to purchase
the property to be brought back to the Board for consideration. The RFP is a document
that sets standards the Board established of what they require to be provided by
whomever is interested. It is another notice to the public of the Board's intent to
develop the property. It has a deadline and during the period of preparing their
proposals and submitting prior to the Board's consideration, there is a cone of silence.
The LOI would have to be voted on in September.
Vote
There was a vote in favor of rejecting the LOI from Hyperion. The motion passed 3-2
(Vice Chair Hay and Chair Grant dissenting.)
16E Discussion and Consideration of a Draft RFP/RFQ for the CRA Project
Located at 115 N. Federal Highway. (Heard out of Order)
Motion
Board Member Romelus moved to remove Item 16E from the Table. Board Member
Katz seconded the motion. The motion passed unanimously.
Chair Grant noted they did not update the timelines for this RFP. Mr. Simon stated the
item sat frozen on the table. He suggested pushing everything out a month. Instead of
issuing an RFP/RFQ on June 18th, he suggested issuing it July 19th or the 20th.
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Board Member Romelus thought this would be the time to incorporate other language to
the RFP and asked what is the proper way to request financial viability from
respondents. She thought it was a gray area a condition could address. Attorney Duhy
explained the issue is a public records issue. There is a way to the information the
Board needs, which is done regularly. Board Member Romelus thought to protect the
interests of the respondent, the CRA could hire a consultant to vet each candidate.
Attorney Duhy explained it may be possible, but she would need to see an example.
She thought certain groups, private or public, working for or hired by the CRA, could
apply, but she would have to research that process and whether or not the public
records would attach to the private company.
Board Member Romelus asked if the consultant could say they provided these
documents and give a yes or no answer about the respondent's financial liability not that
they have to show or issue documents that would then become public record. Attorney
Duhy explained if they required a private audit of the respondent's financials and they
hire them and they provide the Board with the auditor's response, the auditor's work is
not a public record. The public records law attaches when the CRA hires a private
corporation to do work for the CRA. There are ways to achieve that end to put the
burden on the applicant, but she had a concern it could make those records public,
notwithstanding the Board does not want to see them. They may be able to request
them from the proposers.
Mr. Simon explained staff intended to bring forward the idea, when the RFP was
released to have a third-party entity assist in the evaluation process from a
sufficient/insufficient response to the Board. In past RFPs, during the RFP preview
process, the documents submitted by the respondents are private during the Board's
deliberation until a respondent was selected and the RFP process was completed. At
that time, all of the respondents' documents become public. During the process, Ms.
Nicklien would send a Board view and a public view, which affords some confidentiality
for the respondents. Pertinent information according to the public records law may be
redacted. Confidential information comes in a sealed package. Mr. Simon feels
confident they would obtain a third party for a review as other municipalities have the
same process. Board Member Romelus requested including that provision in the RFP.
Attorney Duhy spoke about confidentiality and noted there are two different levels.
Level 1 is there is certain business data they would not ask for, because the CRA would
not want, nor would any business want to give to be a public record. When she was
discussing hiring a third party to review those records and make them public, it could be
a problem. What Mr. Simon is discussing is when they decide the package of
information, which Mr. Simon knows what is needed and which he has seen before, that
they do submit, it can be given to a third party and that no one is worried about it
becoming a public record in the first place, and they can vet it. She wanted to clarify
how to make a distinction about the appropriate documentation to provide to
demonstrate financial capability, and there are documents, no one would want to
provide, so you would not want to hire an auditor to say give them those records, look at
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it and then give an opinion, versus what Mr. Simon said which is this is fine, all agree to
provide it, it remains confidential during the process, and you can give it to an auditor to
become public.
Board Member Romelus thought they could craft an RFP that would have language that
would allow respondents to show financial viability, while allowing them to maintain
privacy. Chair Grant stated they could ask for a loan commitment letter or guarantee.
Mr. Simon explained the information about financial capability is not only centered on
the proposer's ability to borrow money or find investor money, a detailed breakdown of
the construction and the proposed redevelopment costs is required. It talks about the
previous use of funding subsidies and qualified contractors, current audited financial
statements, which includes balance sheets, and a three-year statement of past income,
which would be in the confidential letter. They would want to receive verification from a
third-party lending institution that the respondent has done business with them before or
have discussed the project with them and while not guaranteeing a financial
commitment, they would provide a more direct connection to the project, developer and
the loan. Board Member Romelus favored seeing the former. She wanted the funds
and every single cent broken down. Mr. Simon advised it requires a written statement of
acquiring the property, what it is for, and the details of the acquisition as well.
Attorney Duhy explained an RFP is at the Board's discretion. The process applies in
terms of the cone of silence, the time periods, considering them a certain way, and
sending required elements. She pointed out that since the CRA is doing everything for
the CRA and for the public benefit, the RFPs are written fairly broadly to allow for
variety, where there are a lot of variables. Once the CRA set the standards, the Board
must apply them, but there as much flexibility as they want in which standards they set.
Chair Grant wanted a change in Item 13C regarding parking spaces, that they will
provide least 150 parking spaces and not approximately 150 parking spaces. He
wanted to include a pre-apprenticeship program with Item K. One problem with the
Town Square was the community did not have the skills required to work at the
construction site. If the developer is able to create a pre-apprenticeship with a local
non-profit, university or college, they can use the value of the program as part of the
disposition of the sale of the property. They can use the sale and disposition of property
in the CRA for items not contained in the CRA Comprehensive Plan She cautioned
these have to be in the public interest and in the CRA District, based on the CRA plan,
but there are economic opportunities that could justify the action. He wanted to see
enhanced environmental features as part of the project. They are trying to combat
climate change and be sustainable. They have their own Green Building Code, but he
did not want to see them get the minimum.
Board Member Romelus requested the building be connected to the City's Water Chiller
Plant. Chair Grant did not know if it was possible, as tunneling under could be an issue.
They can let that request be open ended and discussed. Mr. Simon explained items
like fiber optics and reclaimed water are discussed during negotiations of the project
when the builder is selected as there may be limitations the CRA would not know about.
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He thought, as in the past, the list of components to include grows beyond a few things
listed in the RFP that a developer can add. Those are items listed for post RFP
development designs as well as water and sewer upgrades. Chair Grant wanted
workforce housing included and noted with workforce housing, some funding would be
provided. When the project is built, the developer will pay taxes and that is what
subsidizes the workforce housing component. Mr. Simon explained the CRA would say
it is required and the developer can propose the use of TIF funding, but not an amount,
as there will be a variation. They may have someone willing to risk a larger range
between the market and workforce rate and other developers may not. The CRA
always has been open to assistance and incentives, but does not guarantee it up front.
If the Board wants workforce housing, it does not have to specify how many units. Chair
Grant proposed fund workforce housing through TIF for 10 years, where the CRA is
able to enter into a contract for rent control as part of a contract. Mr. Simon asked if
they would like to specify the range of area median income as the targeted workforce
for the developer to work into the proforma. The maximum is 140%, but 120% is the
HUD high. The lower the median income, the higher the subsidy. Chair Grant wanted to
keep the range from 80% to 140% and have mixed-income capability in the downtown.
Chair Grant commented the CRA got it right with 500 Ocean to use TIF to build out
commercial, and the CRA has the ability to enhance commercial spaces. Attorney
Duhy noted the CRA already says it has TIF available for funding for said listed items.
Board Member Katz had no objections saying TIF would be available for any purpose,
but he did not want developers to think they are entitled to TIF for a specific item. Mr.
Simon recalled with 500 Ocean, they had to build office space above the retail. That
was an item they settled on to justify the TIF. They did not buy the office space, like
they are doing with Centennial, it just became part of the formula. They removed
residential units to create that space and the TIF offset the rents they would have
received from residential units. There was no way, to equate the monetary return they
have provided in TIF to the cost in square footage, which is why he preferred it be as
open ended as possible with regard to the Board's ability to negotiate how they want to
use the TIF. The developer may or may not need it. If the Board leaves it open, the
Board may come up with different ways to assist the developer. If the developer is
providing the CRA with something the Board wants they would not normally do and the
CRA wants to pay for it, that is part of the negotiations. Once they negotiate, the Board
may find the developer would provide six things and the Board wants two, the CRA
could pay for them, but the Board would not know that until the responses are received,
see where the developers have read what was asked, and met with the City to ensure it
meets Code.
The Board has done a good job vetting what the community and the Board wants. He
thought they would receive good responses. Attorney Duhy explained when presented
to the Board, the members could ask specific questions and their willingness to accept
specific components funded by the CRA during that phase during the process. Mr.
Simon pointed out the Board could, during the presentations, ask for the elements the
Board wants. They have to provide a checklist of what the CRA wants. Chair Grant
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thought they should change the language regarding negotiating with adjacent property
owners.
Mr. Simon explained they could get approval from the Oyer's, between now and the
release they will participate, contingent on certain things, but then the image to the
developer will include what the developer would do with it. There is an option of what
the CRA can control, and an option with the developer taking a larger piece.
Chair Grant wanted to include properties the CRA is in negotiation with. Whatever
properties they are negotiating with has to be in public and he wanted that included.
Mr. Simon asked if the Board was using the HUD Area Median Income (AMI) or the
Boynton Beach AMI and learned they would use the Boynton Beach AMI going forward.
Chair Grant commented item 13F Consideration and incorporation of adjacent
properties into overall project by providing evidence of site control, contractual
commitment and inclusion of CRA properties.
Chair Grant wanted to finalize the date. For proposed schedule the RFP/RFQ approval
by CRA Board would be today, July 13, 2021, the issue date would be similar to July 23,
2021. The voluntary pre-submission meeting would be August 19, 2021. Question
requests for clarification deadline is September 30th and submission deadline of October
19, 2021. They could hear presentations by the CRA Advisory Board in December and
learned they could if the Board wanted to seek outside counsel regarding the vetting,
they should be given 30 days. Chair Grant requested confirmation three different firms
can vet the presentations and they would give examples of what and how they look at
financial feasibilities and requirements for these types of proposals. They could provide
a ranking in an evaluation and depending on the scope of work, they can provide
services to help negotiate a contract. Staff can provide examples of their work from
other jurisdictions. December 2nd would be the presentation to the Advisory Board and
December 14th to the CRA Board. March 9th is the purchase and sale agreement, they
would have a new CRA Board to deal with. There is a fifth Tuesday the CRA Board
could have a special meeting on November 30th, which gives an extra meeting in
December to discuss the matter. They will present to the CRA Advisory Board on
November 4th based on design and on November 301h meeting, the CRA Board will
have the financial report.
Chair Grant requested a motion to approve the RFP as amended and to ensure
financials are provided that can be vetted by an independent auditor, change Item 32C
to at least 150, Item K is to include a pre-apprenticeship program, make a requirement
of the project workforce housing with Boynton Beach AMI of 80% to 140%, make clear if
it is available for inclusion for project, make a clarification to the RFP including
properties other than the CRA to identify those that may be under negotiation with the
CRA, amend the dates as discussed and include enhanced environmental features.
Motion
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Board Member Penserga moved to approve. Vice Chair Hay seconded the motion. The
motion passed unanimously.
16. H Discussion and Consideration of a Letter of Intent from the Barber Family
Companies LLC for CRA-Owned Property Located at 211 E. Ocean Avenue
(Heard out of Order)
Chair Grant requested a motion to remove Item H from the table.
Motion
Board Member Katz so moved. Board Member Romelus seconded the motion. The
motion passed unanimously.
Anthony Barber, 1920 S. Federal Highway, thanked his sister and four-year old son
who was with him, for sitting through the proceedings so quietly. He submitted a letter
regarding the Magnuson House for a restaurant concept based on a project he is
involved in, in West Palm Beach. Troy's BBQ will celebrate 25 years on Sunday. They
expanded in Boca, but were unsuccessful. On August 20th, he will expand into West
Palm Beach with a restaurant concept as opposed to BBQ, that he wants to bring to
Boynton. He has development partners who own 20 restaurants throughout Palm
Beach, Dade and Broward Counties and they agreed to partner with him at the
Magnuson House for a restaurant that would be called "Magnuson." The restaurant
concept would use shipping containers with all outdoors seating and all outdoor cooking
apparatus. They would model kitchens and restrooms with shipping containers for a
turn. If they started tomorrow, he could open by next July and it would be a self-funded
project. He was looking to the CRA for a purchase agreement with the CRA having first
right of refusal of any sale, and/or assistance and funding if they cannot come to
agreement on the terms of a sale. Chair Grant questioned if Mr. Barber was willing to
pay the appraised value. Mr. Barber hoped not. He clarified the CRA has grant
programs and opportunities for building, signage, and interior and exterior build outs.
He was not looking for the CRA to give him the property. He was looking to enter into
discussions with the CRA to come up with an agreement that works for both sides. He
thought what could work was the Barber Family Company LLC provides the funding for
the redevelopment of the property as long as the purchase of the property was in scale
to the redevelopment. The CRA would spend the same amount of money either way.
Chair Grant asked about parking and learned he would try to enter into a parking
agreement with the City in the long term. In the short term, he would like to use parking
for the Schoolhouse Children's Museum and Old High School-(Cultural Center) and
from a land use agreement to the west of First Street or Avenue. Chair Grant explained
the City has no control over the garages.
Mr. Simon explained the Magnuson House was part of the sale to the City at the corner
of NE1st and 1St by the fire station. There was a parking lot with 58 spaces. When the
Shovel Ready project was approved, 36 or 38 paces were attached to it. The City is not
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carrying that many spots, but the CRA is getting 100 spots in the garage and they would
be dedicated to the Magnuson House. Ms. Shutt noted City staff advised there are new
regulations to encourage redevelopment of properties that reduces the number of
required parking spaces. City staff was open to reviewing how many spots he can
accommodate on his lot, but he would need to submit a more finite layout. It is a
business management decision about how many people Mr. Barbers wants to serve on
his property. Mr. Barbers intent was to ask for the CRA Board to enter into discussion
to consider the overall project, which would give him the blessing to move forward and
start spending money. Chair Grant did not think shipping containers in the downtown
was necessarily good . There is already have a vacant restaurant on 4t" Street as
restaurants are difficult businesses. He looks at the property to the north and that
property owner has nine out of the 10 condo units. There are there property owners for
that block. He wanted Mr. Barber, before moving forward, to make sure the land could
not be used for a mixed-use project. A mixed-use project would have a greater property
value for the City.
Board Member Katz was open to exploring the idea because previous attempts to
consolidate those lots failed. He did not think consolidation of any properties there
would occur in any number of years and the property has been worthless. The home is
historically designated, but he understood it was only designated to get grants for its
preservation. The property needs to be something If the adjoining property owners
cannot enter an agreement and show the ability to turn it into a mixed-use project, it
should be used for something. Mr. Simon commented the Board could, in light of the
future vision of a larger scale project in the future, activate a lease in the short term, that
could be incorporated into a larger project. Until then, they do not have to let go of the
land. The Board could, as an option, lease it with other valuations and any assistance
the Board feels is necessary.
Board Member Penserga agreed with Mr. Simon. It is a historic building and the
containers are not permanent. The containers would be designed to be aligned to the
side of the house so it gives a consistent fagade. Board Member Penserga supported
Mr. Barber's proposal.
Vice Chair Hay agreed with Mr. Simon and supported Mr. Barber's request. Board
Member Romelus commended Mr. Barber as this property sat vacant for years. She
expressed the Board is making concessions for Hurricane Alley and they should do the
same for Mr. Barber. Mr. Barber explained his stepfather, Troy Davis, had an awesome
business he sat in day in and day out for 19 years. Mr. Barber expressed he is a former
participant of the Bulldogs and the first ever summer camp, former employee of John
McNally and when it comes to anything having to do with Boynton, take a picture of him.
He loves Boynton and praised the CRA for their efforts on behalf of business. He spoke
about grant funding and felt it was right on time. He noted Ms. Nicklien is always calling
asking if he noted what the CRA was offering and Mr. Hussain will call him twice to get
his paperwork in for an event.
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Brian Fitzpatrick, 409 NE 1St Street, advised he respects the Barber and Davis
families' contribution to the community. He was working for 35 years to assemble a
parcel to the north of 211 E. Ocean Avenue. He had submitted an LOI, but
subsequently withdrew it, not because his interest diminished, rather it was due to the
importance of the block. He thought it would benefit him to bring a professional LO1 to
the Board. With the current interest in the property, there is a concern about a lack of
partnerships or agreements with adjacent property owners. He thought they would not
find more willing and flexible individuals to do with business with. He envisions a
private/public partnership, where the City could retain equity. He thought they have the
ability to turn that block into the crown jewel, although they had disappointments with
Town Square. He requested the Board reject the current LOI and select option 3. A
hindrance to developing the block, is the structure on 211 E. Ocean Avenue and he
suggested moving the home to pave the way for development. He identified a local
project that is similar to the land they have on that block, by the Catsin Apartments in
Delray Beach where they have an alley they could capitalize on. He thought it was
potentially a $100M project and the options are endless. He contacted the Gagner
family and had a positive response from them to meet and work this out. Chair Grant
thought they may most likely move forward with the LOI and issue a Notice to Dispose
within 60 days, which gives Mr. Fitzpatrick the opportunity to speak with the Gagner
family to get some sort of deal
Mr. Fitzpatrick explained the reality was they had a previous project for 211 and a lot of
money went into the project. He commented when the CRA installed the parking lot on
NE 1St Street that is now the fire department and the District Chiller Energy Plant. They
took his access from NE 2nd Street. At the time, he accepted it with the understanding
there will be a partnership and he would eventually acquire that. The access issue has
not been dealt with and it will be a potential problem. If another business occupied 211,
it would be tied up in litigation until the access issue is resolved. There is an
undeveloped alley on the north side of 211 that borders the two properties. He did not
know whether the CRA will give him the alley in exchange for taking away his access on
NE 2nd Street, but announced there was going to be an issue.
Board Member Penserga understood Mr. Barber's use is temporary and asked how that
would prevent Mr. Fitzpatrick from putting together a plan Mr. Fitzpatrick thought it
probably would not, but he recalled when Nancy Graham demolished the south side of
Ocean Avenue. Mr. Fitzpatrick explained he has viable structures and he could
continue his business model for the next 100 years. He thought the CRA has the
opportunity to do something great, but they have to move the house which opens the
way for development.
Motion
Vice Chair Hay moved to accept Option One, which said to entertain the LOI and issue
a 30-day public notice to dispose of the property, during which time, any member of the
development public may also submit their LOI for the Board's consideration. Under this
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option, if the Board does not receive a more favorable LOI, it could decide to enter into
discussion and negotiation with the Barber family for the purposes described in the LOI.
Chair Grant requested the motion be amended to 45 days instead of 30. Vice Chair
Vice Chair Hay agreed. Attorney Duhy recommended the Board just publish the notice
for 30 days and they can continue to receive responses up until the Board agenda
deadline. Board Member Romelus seconded the motion. The motion passed
unanimously.
Chair Grant recessed the meeting at 9:48 and reconvened the meeting at 9:56 p.m.
16. Old Business
A. Consideration and Discussion of Fiscal Year 2021-2022 Project Fund
Budget
Vicki Hill, Finance Director, began to present the Project Fund Budget
A request was made by Board Member Romelus to move up items on the agenda as
the hour was getting late and there were still individuals in the audience waiting for their
items to be heard. There were no objections.
Later in the meeting, there was agreement to continue the Fiscal Year 2021/2022
Project Fund Budget discussion to the August meeting.
New Business Item C. Consideration of Award and Contract for Proposals to the
Request for Proposals for Event Management Services for the
Boynton Beach Haunted Pirate Fest & Mermaid Splash (Heard
out of Order)
Stewart Auville, Standing Ovations LLC, was available.
Ms. Coppin explained over the years, the CRA contracted with a professional event
management firm to assist the agency with the planning and execution of its signature
event, the Boynton Beach Haunted Pirate Fest and Mermaid Splash.
The contracted event management firm assists staff with the overall planning of the
events including logistics management, procurement of rentals and services, vendor
and volunteer management, support staff and day of coordination. Per the CRA
procurement policy, an RFP for event management services was advertised in June,
and two proposals were received from Standing Ovations LLC and 203 Productions
LLC. Both proposals were included as attachments in the meeting backup and staff
provided a printed copy of the staff sufficiency review and evaluation results. Staff
evaluated demonstrated experience and quality of work samples, quality of approach to
providing services, organizational capacity, proposed costs and fee schedules, and if
the respondent was a local business. She reviewed the final cumulative scores. The
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high score for Standing Ovations was for their experience with working with government
agencies, quality of work, organizational capacity and program development and
enhancement. For those reasons and for their previous work history with the Agency,
staff recommends awarding the bid to Standing Ovations and direct staff to commence
contract negotiations as time is of the essence and the event is just over three months
away.
Motion
Board Member Romelus so moved to accept the recommendation for Standing
Ovations LLC. Board Member Penserga seconded the motion.
Cassidy Colpoys, Operations Manager, 203 Productions, noted her partners were also
present. She asked if staff could review the scores as they thought the score was
awarded for a total of 100 points. Chair Grant noted there were four scores of 100.
Each reviewer gave a score of 100. John Librie, President and Executive Producer of
203 Productions, explained he lives in and the company operates out of 702
Buttonwood Lane, Boynton Beach. Juan Zafra, Operations Manager, thanked the
Board for the opportunity to speak and requested the opportunity to work with the CRA.
They understood the selected company may have experience working with a city
government, but they have a lot of experience holding events of this nature. With all the
renovations that will occur, they want the opportunity to bring their flair, experience, and
taste of what they envision to the changes the CRA has made, and bring something
new and exciting to someone who is a Boynton Beach resident that has attended the
event before. They would like to use their experience with the US Open Tennis
Tournament, College Bowl Championship and the Superbowl. They want to show all of
the new development the CRA has facilitated and give a new perspective to encompass
this area of the festival more than what has been done in the past.
Chair Granted noted an issue was the funding required, but he added the CRA hopes to
hold the event next year. It was learned, this was the first time 203 Productions
responded to.an RFP Chair Grant explained staff can review the RFP with them and
what they could improve on, but based on the applications and the information they
have, the Board will follow the staff's recommendations. Ms. Colpoys asked if the
scoring by categories could be made public, and learned they would and they could also
get copies of the other RFPs that were submitted.
The motion passed unanimously.
Board Member Penserga invited 203 Productions to contact him.
There was agreement to hear Item 17 D.
Now Business 17. D. Consideration of Award and Contract for Responses to the
Request for Proposals (RFP) to Provide Marketing, Social
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Media, and Graphic Design Services for the Boynton Beach for
the Haunted Pirate Fest & Mermaid Splash (Heard out of
Order)
Ms. Coppin reviewed the item. Per the CRA Procurement Policy, an RFP was issued in
June. Ms. Shutt explained this item is for the marketing and graphic design and social
media services for the Pirate Fest. Similar to events management, staff issued an RFP
with the same timeline and deadlines. Six responses were received which are listed in
the meeting materials, which she read. Of the six, three firms were out of state and per
the policy they need to contract with a licensed in State firm. Three of the respondents
were local firms. Staff reviewed the proposals against the criteria. The top two firms
that were most responsive were Delray's Finest Signs and Graphics and Sac Lunch
Marketing LLC. Of the two, Delray's Finest was a Boynton business that met the
criteria. Staff recommended to award the contract to Delray's Finest Signs and
Graphics. Their cost is not to exceed $20,620 annually for Pirates Fest, and the hourly
cost is not to exceed 85 hours for additional services as needed. There is a draft
contract agreement and time is of the essence. If the negotiations do not go well, the
request for the Board to authorize staff to negotiate with the second ranked respondent.
Sac Lunch.
The CRA used Delray's Finest Signs two years ago. Lola Swanson, 2500 Quantum
Lakes Boulevard, Boynton Beach was present. When asked what they would do
different this year, Ms. Swanson replied they will be handling social media, which is a
new addition to their prior services.
Motion
Board Member Romelus moved to approve. Board Member Katz seconded the motion.
The motion passed unanimously.
New Business 17 B. Discussion and Consideration of the Purchase of the Property
Located at 1017 N. Federal Highway (Heard out of Order)
Mr. Simon presented the item because the property is located on the south west corner
of Federal Highway and MLK Jr. Boulevard. It was the former site of Troy's BBQ next to
the Enterprise Car location. The CRA has been interested in the property and it was on
and off the market. More recently, the property was listed with a broker, Ms. Janet
Boorin, to represent the seller. Staff engaged with Ms. Boorin, conducted an appraisal
and negotiated a price. The appraisal reflected the value of the property as $530K.
The original price was $699K, and the owner countered with $685K Mr. Simon wanted
to bring the matter to the Board out of consideration to the seller who put the amount in
writing.
Chair Grant thought unless it is vitally important, they should not spend money they may
not have to acquire other properties. Additionally, this is a small improvement on a
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corner lot. The CRA had an opportunity to buy the property across the street for $140K
a few years ago. He did not feel redeveloping the property into anything besides what it
is, had value. Mr. Simon noted it is relevant as the CRA owns the property across the
street to the north.
Board Member Romelus thought it sends a wrong message that the CRA is willing to
spend $3.5M on property on the south side of Boynton Beach Boulevard but not to
spend half a million on property on the north side of the same street. She wanted to
ensure the public did not feel the CRA would go above and beyond to spend nearly $4M
for .41 acres, but for property half that size for a quarter of the price, they are not willing
to do it. She took offense to the thought and she saw no issue at all with purchasing the
property.
Board Member Katz stated they were assembling land.and asked what the intended use
of the property was. He would rather spend the money somewhere else on MLK Jr.
Boulevard than on Centennial's project or any other infill project. He would spend
$500K or $600K in the area, but he did not know what they could do with the above
property, other than give it to someone to build something industrial. Ms. Shutt
explained at the time of deliberation, the CRA Advisory Board originally recommended
to hold off on purchasing the land, but reconsidered in anticipation of the whole property
eventually being settled. They considered it as an entrance bookend of the entire MLK
Jr. corridor. They understood prioritizing the need to redevelop that corner is up to the
Board, but felt strongly in the future, the entrance could be reactivated as a corridor or
working in concert with the gateway or the entire property.
Board Member Katz asked if, given that idea, they should wait for the outcome. Ms.
Shutt explained it is a smaller parcel and not as viable as the fish market, where there is
viability to build a conforming use. Since the CRA is to spur redevelopment, they have
an opportunity across the street to bookend the entire property. Chair Grant asked what
could be built there besides art and learned not much could be built The CRA will need
to park it, landscape it and drain it. Chair Grant commented that was his point, not the
district the property was in, it was the size and location between the railroad tracks and
Federal Highway. There is a limited amount of land with an easement behind it which
further complicates development. When the business changed hands, the new owner
lost the ability to have an outdoor grill. It was not the location, it was the property. He
did not see a lot of development occurring. It has been on the market for quite a while.
He thought the owner was asking too much, as it was $150K over appraised value, and
he thought the appraised value was too high as well. He agreed with Board Member
Katz. He has no problem spending money for redevelopment purposes in District II.
They spent $700K for AmeriGas that now has an expanded boat sales business.
Board Member Hay agreed with Board Member Romelus' comments and advised that
entrance has always been an eye sore They need to focus on something. They may
not know what it is right now, but owning the land gives the Board flexibility and options.
He thought the Board could offer a lower price and thought demolishing the building and
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creating even a garden would be better than its current use. He did not see missing out
on the opportunity He thought it was awful that that section of the City is neglected.
Driving north on Federal Highway, the first thing visible after the U-Haul business is an
ugly section of town. He agreed just a few blocks away, the CRA was willing to spend
$3.5M, but he thought if not this body, maybe the next body, or the community can
come up with something. Chair Grant did not feel taking away another business was
beneficial to the CRA. He hoped the entire building would be demolished and the CRA
may spend more money on that property. There is nothing they could redevelop a 364
unit African-American Business into something else. He feels like they are missing the
point of removing slum and blight because this is a place where people get food in the
community.
Board Member Penserga asked about the business owner's plan. If the property needs
to be beautified, torn down and redeveloped, someone still has their building there. Mr.
Simon explained they did not have a discussion with the owner or business. It was one
of four properties they could discuss. Those properties may or may not find favor with
the Board. His experience was it would be great if something better could go there, but
this is not the first time the discussion of what would happen after acquiring the property
took place. At one point, there was talk about having a Greenway. If the property did
not have a for sale sign on it, Mr. Simon would not normally bring the property to the
Board, and the CRA Advisory Board would not have reviewed it. Mr. Simon did not
think the Board would lose any opportunities. The property would likely remain on the
market, unless it is tied to the property across the street or the adjoining parcel. Board
Member Penserga noted the CRA Advisory Board thought it could be a gateway to MLK
Jr. Boulevard. He asked if they suggested ideas. Ms. Shutt responded they did not, but
did realize maybe something could be done in conjunction with the property across the
street or the adjoining property. The property on the north east corner is the investment
with Sam Rogatinsky and Daris, who are getting ready to invest in a new project there.
The Fish Depot site is for sale for about $1 M, which is something the CRA would want
to assist with if they could. This is something that has been discussed, it is a node in
the downtown Master Plan. It is a different type of intersection to develop, but if the
MLK Jr. Boulevard Corridor were redeveloped into an enhanced core, one would want
to pull in and drive by and think it is an inviting location. In the past, the discussions
were if they had both sides of the street, they could make an entrance similar to the
Marina with the Tower feature, which it changed the entire area. He thought it was a
placemaking opportunity, but at this price, it is an expensive placemaking opportunity.
Board Member Romelus agreed it would be expensive. She suggested countering their
offer. It is a tiny parcel, but there is an opportunity there to embellish it.
Ms. Boorin noted the owner has been wanting to sell the property. She had a lease for
many years with Troy's BBQ, then a Caribbean restaurant, and there has been turnover
a few times, but it was a steady income. The owner wants to sell it. The lease ended
and the tenant there is moving out. There was a recently sale at 724 N. Federal for
$750K and the owner feels that is what she wants. She has done a market analysis, but
the owner was open to a counter offer. They cannot put a business there. Mr. Simon
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explained it would need to be lower. Chair Grant noted the 724 N. Federal was a used
car lot, which was substantially bigger. The property sold for $750K. It is a .32-acre
property and her property was .2-acres. Chair Grant noted the 724 N. Federal property
had an 887 square foot building that has an auto repair center and offices, versus a 300
square foot kitchen. Chair Grant noted there is no other option for that property except
for art because of the Land Development Regulations. He thought even spending
$400K would be overvalued and they cannot create a liability for the CRA and the City
by putting a business there. Mr. Simon explained even the $685K the owner countered
with puts the value per square foot at $74 which is the high-end value of the land on
Ocean Avenue or for the 115 Federal Highway parcel. The land would need to be in the
$30 or $40 per square foot which is a pretty drastic price to pay. Chair Grant asked
about the land use of the parcel. Ms. Boorin noted the property has a use code 2200,
restaurant and C-4 zoned general commercial. It could be part of a future development.
There were discussions in the past.
The CRA offered $539K the appraisal price and she countered at $685K. Board
Member Katz recommended passing on the property because the property is
exorbitantly higher than appraised value. The idea of an entrance arch requires
ownership of the adjacent property across the street, and if they were going to drop
$600K or $700K on MLK, he would guarantee they could acquire a couple of parcels
that would be of value to the MLK development Centennial was working on. He would
spend money on MLK, but he thought there would be better parcels to target for
immediate use than a hypothetical archway contingent on a condemned, soon to be
foreclosed or demolished lawsuit laden property. There are a lot of intangibles. He does
not think there is anyone else looking to spend that much money on the property, and it
likely would be available in six months to a year he thought they could circle back to it
when they learn more about the property across the street and its pending demolition.
Vice Chair Hay agreed. It was noted there has been a for sale sign on the property
intermittently over the years. The CRA had also approached the owner several time,
and the offer was never enough. Mr. Simon felt obligated to bring the property to the
Board. Board Member thought they should move on unless the owner is amenable to
meeting the Board at a price more consistent with the appraised value.
B. Consideration of Second Amendment to Contract with Lewis, Longman &
Walker, P.A. (LLW) for Legal Services
This item was not addressed.
C. Discussion and Consideration of a Purchase and Development Agreement
between the CRA and Habitat for.Humanity of South Palm Beach County,
Inc. for the CRA Owned Property located at 545 NW 11th Avenue
Mr. Fingler, Habitat for Humanity, was present and advised they are building a house
diagonally across the corner from the existing vacant lot.
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Motion
Board Member Katz moved to approve. Vice Chair Hay seconded the motion. The
motion passed unanimously.
D. Discussion and Consideration of a Letter of Intent Submitted by Hyperion
Development Group for the CRA Owned Property Located at 115 N,
Federal Highway
This item was discussed earlier in the meeting
E. Discussion and Consideration of a Draft RFP/RFQ for the CRA Project
Located at 115 N. Federal Highway (TABLED 6/8/21)
This item was discussed earlier in the meeting.
F. Discussion and Consideration of the Purchase of the Property located at
115 NE 4th Avenue
Mr. Simon advised this is the last property to complete the project. Five months ago,
staff made an offer of $275K which was rejected. Mr. Simon was able to renegotiate
the offer back to $275K if they close at the end of the month, which the Board could do.
Motion
Board Member Romelus moved to approve. Vice Chair Hay seconded the motion. The
motion passed unanimously.
G. Cottage District Infill Housing Redevelopment Project Update of Discussion
and Contract Negotiations with Azur Equities, LLC
Mr. Simon explained they just received a response to the Purchase and Development
agreement staff sent to them in May. There was agreement to hear this item at the
August meeting.
H. Discussion and Consideration of a Letter of Intent from the Barber Family
Companies LLC for CRA-Owned Property Located at 211 E. Ocean
Avenue (TABLED 6/8/21)
This item was discussed earlier in the meeting.
I. Consideration of the Economic Development Grant Program Guidelines and
Applications for FY 2021-2022
This item would be heard at the next meeting,
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17. New Business
A. Discussion and Consideration of the Purchase of the Properties Located at
511, 515 and 529 E. Ocean Avenue
This item was discussed earlier in the meeting.
B. Discussion and Consideration of the Purchase of the Property Located at
1017 N. Federal Highway
This item was addressed earlier in the meeting.
C. Consideration of Award and Contract for Proposals to the Request for
Proposals for Event Management Services for the Boynton Beach Haunted
Pirate Fest & Mermaid Splash
This item was addressed earlier in the meeting.
D. Consideration of Award and Contract for Responses to the Request for
Proposals (RFP) to Provide Marketing, Social Media, and Graphic Design
Services for the Boynton Beach for the Haunted Pirate Fest & Mermaid
Splash
This item was addressed earlier in the meeting.
E. Approval of the FY 2021 - 2023 Boynton Harbor Marina Dockage Lease
Agreement and Fees
Mr. Simon explain this item would be a vote to increase the slip rent from $19 a linear
foot to $19.50. The Board decided not to implement an annual rent increase or renewal,
so they decided that whatever linear foot rent would be for a two-year period. Other
marinas are at $23.50. Staff felt a .50 cent increase was under the average, which also
provides additional revenue. Chair Grant thought a .50 cent raise per linear foot was
fine. It was noted they would also get a fuel discount. There was brief discussion of
credit reviews for new tenants. The cost is $100 every two years. The current tenants
are grandfathered in.
Motion
Board Member Romelus moved to approve the staff changes to 2021/2022 dockage
lease agreement and fees. Board Member Penserga seconded the motion. The motion
passed unanimously.
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18. Future Agenda Items
A. Consideration of Award and Contract for Responses for the Management of
the Boynton Harbor Marina
B. MLK Jr. Boulevard Corridor Commercial Redevelopment and Affordable
Multi-Family Rental Apartment Project Update
C. Discussion and Consideration of Lease Terms with C Life C Food, Inc. for
the CRA-owned Property located at 401-407 E. Boynton Beach Boulevard
D. Additional Information on 3377 and 3315 N. Federal Highway
E. Ocean Breeze East Affordable Multi-Family Rental Apartment Project
Update
F. Considerations of Revisions to the CRA Letter of Intent to Purchase
Property Policy
19. Adjournment
Attorney Duhy recommended tabling the remaining items: 16 A, B, and I.
Motion
Board Member Romelus moved to table the above. Board Member Penserga seconded
the motion. The motion passed unanimously.
Chair Grant adjourned the meeting at 10:54 p.m.
. �..
Najaf
Catherine Cherry
Minutes Specialist
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