ORD Approp $22,000,000 to Prov the Initial Funding for a City Participation Loan to Laura Trio, LLC (Developer) in Connection With the Laura Street Trio Proj, to Prov the Initial Funding for the Replenishment Guaranty for Developer’s Construction Loan, in Accordance With & as Further Detailed in the Redev Agrmt Auth Hereby; Apv & Auth the CEO of the DIA, or Her Desig, & the Mayor, or Her Desig, to Execute, as Applicable: (1) a Redev Agrmt Among the City, the DIA & the Developer, to Support the Renovation & Rehabilitation by Developer of the Bldgs Known Generally as the Florida National Bank Bldg, Bisbee Bldg, & Florida Life Insurance Bldg, Located Generally at the Corner of Laura & Forsyth Streets, & the Construction of 2 New 11 Story Bldgs, Which Will Have a Min of 140 Hotel Rooms & a Min of 165 Multi-family Units (as Further Detailed in the Redev Agrmt, Collectively, the “Proj”); (2)...Req 1-Cycle Emergency Passage (Sawyer) (Introduced by CMs Carlucci, Boylan, Arias, J. Carlucci & Amaro) (Co-Sponsors CMs White & Miller) 12/12/23 CO Introduced: Committee of the Whole 1/4/24 Committee of the Whole Read 2nd & Rerefer 1/10/24 CO PH Read 2nd & Rerefer 1/16/26 Administratively Withdrawn Public Hearing Pursuant to Ch 166, F.S. & CR 3.601 - 1/10/24

This ordinance (2023-876) appropriates $22,000,000 as initial funding for a City Participation Loan and a Replenishment Guaranty for the Laura Street Trio Project by Laura Trio, LLC. The project involves the renovation of three historic buildings (Florida National Bank Building, Bisbee Building, and Florida Life Insurance Building) at Laura & Forsyth Streets, and the construction of two new 11-story buildings. The overall project cost is estimated at $175,097,700.

Project Components:

• Hotel: Minimum of 140 hotel rooms and 11,600 sq ft of public retail/restaurant space, operating under a Marriott Autograph flag (or equivalent).
• Multifamily: Minimum of 165 multi-family units and 6,550 sq ft of leasable retail space.

City Financial Commitments (Totaling $60,558,600):

• $22,000,000 City Participation Loan (25-year term) and initial funding for a Replenishment Guaranty for the developer's construction loan. The City will receive 12% of Net Cash Flows and 5% of net proceeds from sale/refinancing. If draws exceed $22M, the City may take title to portions of the project parcel.
• $16,010,300 in Downtown Preservation and Revitalization Program (DPRP) loans for the hotel component (including forgivable and deferred principal loans).
• $6,024,300 in DPRP loans for the multifamily component (including forgivable and deferred principal loans).
• $5,670,400 Targeted Hotel Recapture Enhanced Value (REV) Grant (75% of tax increment for 20 years).
• $8,853,600 Multifamily Housing REV Grant (75% of tax increment for 20 years).
• $2,000,000 Forgivable Loan (re-authorized from Ordinance 2021-453-E).

Significant Waivers: The ordinance waives multiple city codes and policies, including those related to community redevelopment, Downtown Investment Authority (DIA) powers, budget appropriations (for contingent liabilities), the DIA Business Investment & Development Plan (due to the project's ROI, developer contribution, and exceeding public funding caps), Public Investment Policy, DPRP guidelines (for developer equity, loan subordination, and public investment amounts), and municipal code enforcement fines/liens (allowing a $10,000 upfront payment and 60-month compliance term).

Emergency passage was requested due to the developer potentially losing favorable loan rates. The DIA is designated as the contract monitor and oversight agency.

This project represents a significant public investment of over $60 million in downtown redevelopment, utilizing taxpayer funds through loans, grants, and a loan guarantee. It aims to revitalize historic buildings and bring new housing and hotel options to the city center, potentially increasing economic activity and tourism. However, it also involves waiving multiple city policies and financial safeguards, which could set precedents for future development projects and exposes the city to potential financial liabilities under the replenishment guaranty.

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