Submitted By: Roberto Ellis
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Presentation By: Aubrey Hale
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Department: Growth Management
STAFF RECOMMENDATION (Motion Ready):
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Approve the First Amendment to City Redevelopment Agreement for Brick City Residences & Shops, LLC.
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OCALA’S RELEVANT STRATEGIC GOALS:
Economic Hub.
PROOF OF PUBLICATION:
N/A
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BACKGROUND:
The City entered into a redevelopment agreement with Brick City Residences & Shops, LLC on August 4, 2021 for a mixed-use development project located in the Downtown area. The City has agreed to provide incentives in the form of review contributions, utilities and other improvements, and a grant as the project is expected to have significant public benefit.
The original redevelopment agreement outlines improvements on the property for retail and commercial purposes as well as apartments. The Developer is owner of the Property. The Developer has requested an amendment citing a re-evaluation of its business position on the project; the primary reason being it would be more feasible to pursue a residential redevelopment on the property.
FINDINGS AND CONCLUSIONS:
The proposed change in use to solely residential use will not significantly impact the overall goal of the project. The changes would result in the addition of six (6) dwellings for the construction of twenty-two (22) residential units exceeding 23,925 square feet, consisting of sixteen (16) two-bedroom and six (6) one-bedroom residences or a mutually agreeable mix. Total development costs will not change from the original minimum of $3,500,000.00. The 2017 Zimmeran/Volk residential analysis identified the downtown area can absorb approximately 900 dwelling units. The City supports initiatives providing additional residential units in the Downtown area to meet increasing housing demand.
The Developer has successfully completed financial review which is required to confirm their ability to finance and execute the project. Approval of the amendment would allow Developer to move forward with the project. Amendments to the agreement will impact design, schedule, reporting and tenant requirements. If approved, the Developer will proceed to submit complete conceptual development plans for review by Planning staff and seek to commence the project thereafter.
FISCAL IMPACT:
All City incentive obligations under the original agreement remain as is. The City will construct utilities and other improvements in an effective and economically responsible manner. The City will offer a grant of $100,000.00 upon completion of the project and provide one-time review contributions not exceeding $54,000.00. Prior to submitting a complete conceptual development plan, the Developer will be required to provide Adequate Assurance to City in the Amount of $155,653.00.
PROCUREMENT REVIEW:
N/A
LEGAL REVIEW:
This agreement has been approved for form and legality by City Attorney Robert W. Batsel Jr.
ALTERNATIVE:
Approve
Approve with changes
Deny
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