Submitted By: Charlita Whitehead
presenter
Presentation By: Aubrey Hale
end
Department: Growth Management
FORMAL TITLE:
title
Redevelopment Agreement between the City of Ocala and Marion Opportunity Zone Investment I, LLC, for the rehabilitation and redevelopment of the historic Hotel Marion property, with total City incentives not to exceed $2,896,670
end
OCALA'S RELEVANT STRATEGIC GOALS:
Quality of Place, Economic Hub
PROOF OF PUBLICATION:
N/A
body
BACKGROUND:
Update from November 4, 2025 Meetings and Subsequent Staff Action
The CRA Board reviewed the proposed incentive agreement and expressed general support for the incentive amount. However, the CRA Board decided to table the agreement until December due to concerns about the property donation as part of the incentive. Consequently, the City Council also tabled the item. City staff collaborated with the developer and conducted further research into the history of Lot 6. The developer agrees to amendments in the right of reverter clause in paragraph 4.2.5, which remove the language pertaining to the construction requirements of a parking garage, extend the reverter time frame to a maximum of six years, and include a provision requiring a new appraisal and adjusted purchase price after the four-year anniversary of the deed.
City staff reviewed the initial purchase of Lot 6 and included the April 3, 2018, City Council report. The property was acquired for $580,000, with closing fees amounting to $7,562, resulting in a total cost of $587,562. The Downtown CRA contributed $200,000 towards the purchase price, with the remaining amount financed by the Electric Utility as a loan, which was repaid by the Downtown CRA. The loan payments were completed in FY23/24. Importantly, the staff report for the purchase of the lot indicated that the site could serve as a mixed-use catalytic location or provide parking to support other catalytic sites in Midtown.
Finally, staff completed an analysis of maintenanc...
Click here for full text