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HomeMy WebLinkAboutOrdinance No. 90-26-259ORDINANCE NO. 90-26-259 AN ORDINANCE OF THE CITY OF ATLANTIC BEACH, COUNTY OF DUVAL, STATE OF FLORIDA, APPROVING THE DEVELOPMENT AGREEMENT BETWEEN THE CITY OF ATLANTIC BEACH AND SOUTHCOAST CAPITAL PARTNERSHIP, LTD. AND AUTHORIZING THE CITY MANAGER TO EXECUTE SAME TO PROVIDE FOR A DEVELOPMENT CONTRACT TO GOVERN THE REDEVELOPMENT OF 299 ATLANTIC BOULEVARD PROVIDING LANDSCAPE COMPENSATION ALLOWING FOR THE REDEVELOPMENT OF A PORTION OF THE EXISTING BUILDING; PROVIDING FOR CONFLICT; PROVIDING FOR CODIFICATION; PROVIDING FOR SEVERABILITY; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, Southcoast Capital Partnership, LTD. ("Developer") is the owner of the property located at 299 Atlantic Blvd and 0 Ahern Street (RE #172531 0000 and 172531 0050). They are collectively referred to herein as the "Property;" and WHEREAS, the south end of the existing building (former Ragtime Restaurant) is being redeveloped to include significant interior remodeling and adding roof top dining space; and WHEREAS, the Property is governed by the City's Comprehensive Land Use Plan and the City's Code of Ordinances (the "City Code"), including the Land Development Code ("LDC"), each as in effect as of the Effective Date of this Agreement; and WHEREAS, the proposed use of the Property is consistent with the Comprehensive Plan's Future Land Use designation of Central Business District and the Property's zoning designation as Central Business District. WHEREAS, the Parties recognize the benefits of public/private cooperation and are desirous of finalizing a development agreement that outlines a plan for landscaping and the redevelopment of the Property, as stipulated in this Agreement; and WHEREAS, this Agreement authorizes the Developer, in lieu of constructing the required landscaping improvements, to provide a monetary contribution to a designated fund to be used exclusively for enhancement projects within the Beaches Town Center; and WHEREAS, the existing property was developed with zero setbacks along the adjacent streets, making it impracticable to install the required landscaping between the building and the street; and WHEREAS, installing or enhancing landscaping at the property located at 0 Ahern (parking lot) would significantly reduce the number of available parking spaces. WHEREAS, Developer has sought, negotiated, and received consideration for, and the City has agreed to, this Agreement in order to create a beneficial project and a physical environment that will Ordinance No. 90-26-259 PaL5e 1 of 3 conform to and complement the goals of the City, create a development project sensitive to human needs and values, and develop the Property consistent with City, County, and State policies; and WHEREAS, this Agreement (Exhibit 1) is the culmination of negotiations and mutual understandings held by the Parties, and the Parties wish to establish by agreement the terms under which the Property may be developed; and WHEREAS, the City will hold two (2) public hearings prior to entering into this Agreement, both of which were properly noticed by publication in a newspaper of general circulation and readership and by mailed notice to the affected property owners in accordance with Section 163.3225(2), Florida Statutes. NOW, THEREFORE, BE IT ENACTED BY THE CITY COMMISSION ON BEHALF OF THE PEOPLE OF THE CITY OF ATLANTIC BEACH, FLORIDA: SECTION 1: Ratification. That the foregoing "WHEREAS" clauses are hereby ratified and confirmed as being true and correct and are hereby made a specific part of this ordinance. All exhibits attached hereto are incorporated herein and made a specific part of this ordinance. SECTION 2: That the 299 Atlantic Boulevard Agreement ("Agreement")(Exhibit 1) is a development contract entered into between the City Atlantic Beach ("City") and Southcoast Capital Partnership, LTD ("Developer"), pursuant to the Florida Local Government Development Agreement Act, Sections 163.3220-163.3243, Florida Statutes. SECTION 3: That the Agreement governs the redevelopment of the southern end of the space at 299 Atlantic Boulevard. SECTION 4: That the Agreement establishes a comprehensive and vested framework for redevelopment related to the landscaping. It sets forth the parties' respective rights and responsibilities, provides legal and regulatory certainty, allocates public and private funding responsibilities. SECTION 5: This Agreement (Exhibit 1) authorizes the Developer, in lieu of constructing the required landscaping improvements, to provide a monetary contribution to a designated fund to be used exclusively for enhancement projects within the Beaches Town Center; and the existing property was developed with zero setbacks along the adjacent streets, making it impracticable to install the required landscaping between the building and the street; and, installing or enhancing landscaping at the property located at 0 Ahern (parking lot) would significantly reduce the number of available parking spaces. SECTION 6: The Agreement vests development rights consistent with City codes in effect as of the Effective Date of the Agreement. Pursuant to Section 163.3233, Florida Statutes, the City may not apply subsequently adopted laws to the project unless exceptions apply (e.g., imminent threats to public health or safety or retroactive State preemption). Ordinance No. 90-26-259 Page 2 of 3 SECTION 7: In lieu of installing the required landscaping improvements, the Developer agrees to provide a monetary contribution equal to the value of such landscaping, which funds shall be deposited into a designated account and used solely for enhancement projects within the Beaches Town Center. SECTION 8: That the City Commission hereby approves the Development Agreement between the City of Atlantic Beach and Southcoast Capital Partnership, LTD. SECTION 9: That the Mayor and City Manager, or their designees, are hereby authorized to execute the Development Agreement between the City of Atlantic Beach and Southcoast Capital Partnership, LTD. SECTION 10: Conflicts. That all ordinances or parts of ordinances, all City Code sections or parts of City Code sections, and all resolutions or parts of resolutions in conflict with this ordinance are hereby repealed to the extent of such conflict. SECTION 11: Recordation. That a copy of this ordinance, along with the Development Agreement, is to be recorded in the public records of Duval County, Florida. SECTION 12: Severability. That should any section or provision of this ordinance or any portion thereof, any paragraph, sentence, clause or word be declared by a court of competent jurisdiction to be invalid, such decision shall not affect the validity of the remainder hereof as a whole or part hereof other than the part declared invalid. SECTION 13. Effective Date. This ordinance shall take effect upon final reading and approval. PASSED by the City Commission on first reading this 23rd day of March, 2026. PASSED by the City Commission on second and final reading this 13A day of , 2026. ATTEST: Donna L. Bartle, City Clerk Approved as to form and correctness: Jason abrie , Esq. City Attorney Curtis Ford, Mayor Ordinance No. 90-26-259 Page 3 of 3 Exhibit 1 Prepared by and Return to: Richard W. Hawthorne, Esq. Driver, McAfee, Hawthorne & Diebenow, PLLC One Independent Drive, Suite 1200 Jacksonville, FL 32202 LANDSCAPE DEVELOPMENT AGREEMENT THIS LANDSCAPE DEVELOPMENT AGREEMENT ("Agreement") is entered into by and between the CITY OF ATLANTIC BEACH, FLORIDA, a municipal corporation organized and existing under the laws of the State of Florida (the "City") and SOUTHCOAST CAPITAL PARTNERSHIP, LTD., a Florida company ("Southcoast"), collectively the "Parties". RECITALS WHEREAS, pursuant to Sections 163.3220, et. seq., Florida Statutes (2026), (the "Act") and pursuant to the City Code (the "Code") the City is authorized to enter into development agreements with owners or developers of real property within the City; and WHEREAS, Southcoast is the owner of the land located at 299 Atlantic Boulevard and 0 Ahearn Street more particularly described in Exhibit "A" attached hereto (the "Property"); and WHEREAS, Southcoast intends to redevelop the Property at 299 Atlantic Boulevard (fVa Ragtime) including parking at 0 Ahearn Street (the "Proposed Development"), upon approval by the City of the pending building permits #CADD26-0001 (the "Permits"); and WHEREAS, the Proposed Development triggers the on-site landscaping requirements outlined in Section 24-176 of the Code; and WHEREAS, installing the required landscaping would reduce available parking below the minimum amount required by the City Code and due to the building at the zero lot line, there is no available space on the east and south side of the Property; and WHEREAS, Southcoast applied for, and received, an approved Administrative Variance for landscaping to develop the Property; and WHEREAS, the development of the Property shall be in accordance with the Order Granting Administrative Variance dated December 1, 2025 and attached as Exhibit "B"; and 65416551 v4 Exhibit 1 WHEREAS, the development of the Property shall be in accordance with the City Comprehensive Plan and Zoning Code as confirmed by the zoning confirmation letter dated December 17, 2025 and attached as Exhibit "C"; and WHEREAS, the payment in lieu provided herein shall be used by the City exclusively for landscaping, tree planting, or related environmental enhancements within the City, consistent with the City's tree fund or similar programs; and WHEREAS, the required public hearings before the City were held with proper notice provided pursuant to the Act. NOW THEREFORE, in consideration of the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties hereto, intending to be legally bound, hereby agree as follows: 1. Recitals. The foregoing Recitals are true and correct and are hereby incorporated into this Agreement by this reference as fully set forth herein. 2. Develonment. Notwithstanding anything to the contrary herein, Southcoast's obligations and benefits of the land use and zoning are expressly subject to Southcoast commencing and completing construction of the Proposed Development on the Property, consistent with the terms of this Agreement and the Permits. Southcoast shall commence construction within twelve (12) months of the Effective Date and substantially complete the Proposed Development within thirty-six (36) months thereafter, subject to force majeure extensions as defined herein. Failure to meet these timelines shall constitute a material default, allowing the City to terminate this Agreement upon notice. For purposes of this Agreement, "Substantial Completion" means the date on which all of the following have occurred: (i) all buildings, structures, site improvements, landscaping, parking areas, stormwater management systems, utilities, and public infrastructure required by the Permits and this Agreement have been fully constructed and installed in accordance with the approved plans; (ii) a permanent Certificate of Occupancy (or equivalent final approval) has been issued by the City (or other applicable governmental authority) for all buildings and tenant spaces within the Proposed Development; (iii) all punch -list items have been completed to the City's reasonable satisfaction; and 2 65416551 v4 Exhibit 1 (iv) Southcoast has delivered to the City a written certification from its licensed engineer or architect confirming that the development has been completed in material compliance with the Permits and this Agreement, together with as -built drawings and any required recordation of easements or dedications. Southcoast shall provide the City with at least thirty (30) days' prior written notice of the anticipated date of Substantial Completion and shall permit the City and its representatives to inspect the Property and all work performed thereon at any reasonable time. Within fifteen (15) business days after such inspection, the City shall notify Southcoast in writing of any items that must be completed or corrected before Substantial Completion will be acknowledged. 3. Effective Date. This Agreement shall become effective upon recordation in the public records of Duval County, Florida (the "Effective Date"). 4. Term. If not earlier terminated in accordance with the terms of this Agreement, this Agreement shall expire twenty (20) years from the Effective Date, unless extended by mutual consent of the Parties consistent with Section 163.3229, Florida Statutes. 5. State Statutory Reauirements for Development Agreements. It is the intent of the Parties that this Agreement be recognized as an action of the City and Southcoast under the Act, the City's home rule powers and any other authority held by the City to enter into such agreement. For purposes of meeting the minimum requirements for development agreements in the Act, the following additional provisions are hereby made part of this Agreement: a. For the purposes of this Agreement, the contemplated uses of the Property are set forth in the Recitals. b. The current future land use designation of the Property under the Comprehensive Plan is Commercial. The current zoning of the Property is Central Business District (CBD). c. The public facilities anticipated to serve the Property are water and sewer, which will be provided by the City. The installation of public facilities will be consistent with applicable State and local laws. d. The local development permits needed to be approved for development of the Property include the following: construction plans, building permits, sign permits and any other official action of the City having the effect of permitting the development of land. Failure of this Agreement to address a particular permit, condition, term, or restriction shall not relieve Southcoast of the necessity of complying with the law governing said permitting requirements, conditions, term or restriction. 65416551 v4 Exhibit 1 e. The Proposed Development contemplated by this Agreement is consistent with the Comprehensive Plan and the Zoning Code. f. A conceptual graphic layout of the parking lot to support the Proposed Development, including impacts reducing parking if the required landscaping is installed on site, is attached as Exhibit "D". g. The estimated cost of required landscaping in accordance with the Code is $162,595.00 pursuant to the estimate attached as Exhibit "E". h. Southcoast shall make a payment of $162,595.00 to the City, in lieu of planting landscaping on the Property be which shall be deposited into the City's beaches town center fund, its tree fund or a designated account and used exclusively for off-site landscaping or environmental enhancements within the Beaches Towncenter part of the City. Payment shall be made before a Certificate of Occupancy is issued. i. The City retains the right to enhance pedestrian safety through such measures as installation of crosswalks and/or crosswalk landing zones and as such may coordinate the installation such safety improvements, at its cost, on a location within the Property, that is mutually agreeable to the Parties hereto. j. This Agreement is voluntarily entered into in consideration of the benefits inuring to and the rights of the Parties arising thereunder. 6. Defaults and Remedies. a. If the City defaults in the performance of any obligation under this Agreement required to be performed by the City, then Southcoast shall deliver written notice of such default to the City. The City shall commence to cure such default within thirty (30) calendar days after the delivery of such notice of default and shall diligently pursue to cure to completion within sixty (60) calendar days after delivery of such notice of default. If the City does not cure such default within the time periods provided, Southcoast may pursue any available remedies in law or equity. b. If Southcaost defaults in the performance of any obligation under this Agreement required to be performed by Southcoast, then the City shall deliver written notice of such default to Southcoast. Southcoast shall commence to cure such default within thirty (30) calendar days after delivery of such notice of default and shall diligently and continuously pursue such cure to completion within sixty (60) calendar days after delivery of such notice as to any default; provided, however, that if Southcoast is unable in the exercise of reasonable diligence to cure such default within such time period, the time within which to remedy same shall be extended for such period as may be necessary to complete the cure with diligence provided Southcoast continuously proceeds with diligence to complete such cure. If Southcoast does not cure such default within the 4 65416551 v4 Exhibit 1 time periods provided, the City's remedy shall be pursuant to the applicable provisions of the Act, the City Code enforcement regulations, including, but not limited to Chapter 162, Florida Statutes (2026), and may include specific performance, injunctive relief, daily fines up to $500 per day, or termination of this Agreement. c. Sovereign Immunity. Nothing herein shall be construed as a waiver of the City's sovereign immunity or limitations on liability under Section 768.28, Florida Statutes. 7. Notices. Whenever any of the Parties desires to give notice to the other, such notice must be in writing, sent by U.S. Mail, postage prepaid, or by air courier service utilizing return receipts addressed to the party for whom it is intended at the last specified address. The place for giving notice shall remain such until it is changed by written notice in compliance with the provisions of this Section. The Parties designate the following as the respective places for giving notice: City: City of Atlantic Beach Attention: City Manager 800 Seminole Road Atlantic Beach, Florida 32233 Email: Southcoast: Southcoast Capital Partnership LTD Attention: 241 Atlantic Boulevard, Suite 201 Neptune Beach, FL 32266 Email: With a Copy to: Driver, McAfee, Hawthorne and Diebenow, PLLC Attention: Steven Diebenow, Esq. One Independent Drive, Suite 1200 Jacksonville, Florida 32202 Email: 8. Governing Laity; Venue; Jurisdiction; Soy ereisn Immunity. This Agreement and all matters arising out of or relating to this Agreement, including but not limited to its validity, interpretation, performance, breach, enforcement, and remedies, shall be governed by, construed, and enforced in accordance with the laws of the State of Florida, without regard to its principles or rules of conflicts of law. 65416551 v4 Exhibit 1 Any action, suit, or proceeding arising out of or relating to this Agreement shall be brought exclusively in a court of competent jurisdiction located in Duval County, Florida. Each party hereto irrevocably submits to the exclusive jurisdiction and venue of such courts and waives any objection to the laying of venue therein based on forum non conveniens or any other grounds. Each party consents to service of process in any such action in the manner provided in Section 7 (Notices) or as otherwise permitted by law. Each party waives any right to a jury trial. Nothing in this Agreement shall be construed as a waiver of sovereign immunity or the limitations on liability set forth in Section 768.28, Florida Statutes, or any other applicable law, to the extent such waiver is prohibited by law. Each municipal party retains all immunities and defenses available under Florida law. 9. Indemnification. Southcoast shall indemnify, defend, and hold harmless the City, its officers, agents, and employees from and against any and all claims, damages, losses, liabilities, costs, and expenses (including reasonable attorneys' fees) arising out of or related to any breach of this Agreement by Southcoast. 10. INTENTIONALLY OMITTED. 11. Reoresentations and Warranties. Southcoast represents and warrants that: (i) it is duly organized and validly existing under Florida law; (ii) it has full authority to enter into this Agreement; (iii) the individual executing this Agreement is duly authorized; and (iv) the landscaping cost estimate in Exhibit "E" is accurate and based on current market rates, subject to City verification. 12. Caations and Paragraph Headings. Captions and paragraph headings contained in this Agreement are for convenience and reference only. They in no way define, describe, extend, or limit the scope of intent of this Agreement. 13. No Waiver. No waiver of any provision of this Agreement shall be effective unless it is in writing and signed by the party against whom it is asserted. Any such written waiver shall only be applicable to the specific instance to which it relates, and shall not be deemed to be a continuing or future waiver. 14. Exhibits. All exhibits attached hereto are incorporated herein by reference. 15. Further Assurances. The Parties hereby agree to execute, acknowledge, and deliver and cause to be done, executed, acknowledged, and delivered all further assurances and to perform such acts as shall reasonably be requested of them in order to carry out this Agreement. 65416551 A Exhibit 1 16. Amendments. No modification or amendment in the terms or conditions contained herein shall be effective or binding unless such amendment or modification is in writing, and signed by an authorized representative of each Party or pursuant to Section 163.3233, Florida Statutes (2022). To the extent Southcoast sells the Property or portion thereof to a third party such that more than one entity or person acquires an interest in the Property benefitted and subject to this Agreement, this Agreement may be amended by the City and applicable Party without every owner of the Property consenting consistent with Section 163.3237, Florida Statutes (2022). 17. Assignment. This Agreement shall run with title to the Property and be binding on Southcoast and its successors and assigns. Southcoast may assign its rights, obligations, and responsibilities under this Agreement in whole or in part to a third party purchaser of all or any part of fee simple title to all or any portion of the Property. Any such assignment shall be in writing and recorded in the Duval County, Florida, public records, and shall require the prior written consent of the City (not to be unreasonably withheld), and shall automatically constitute a release of the assignor as to the Agreement to the extent of any liability arising from and after the date of the assignment. 18. INTENTIONALLY OMITTED. 19. Counterparts. This Agreement may be executed in one (1) or more counterparts, each of which may be deemed to be an original and all such counterparts together shall constitute one and the same instrument. 20. Southcoast Authority. The undersigned individual executing this Agreement on behalf of Southcoast represents and warrants to the City that: (i) Southcoast is a duly organized and validly existing company under the laws of the State of Florida; (ii) Southcoast has full power and authority under its governing documents and applicable law to enter into this Agreement and to perform all of its obligations hereunder; and (iii) the execution, delivery, and performance of this Agreement have been duly authorized by all necessary action on the part of Southcoast, and this Agreement constitutes a valid and binding obligation of Southcoast, enforceable against Southcoast in accordance with its terms." 21. Recording of this Agreement. The City agrees to record this Agreement within fourteen (14) calendar days after execution in Duval County, Florida, public records. Southcoast shall pay all recording costs. 22. Mereer Clause, This Agreement sets forth the entire agreement among the Parties, and it supersedes all prior and contemporaneous negotiations, understandings, and agreements, written or oral, among the Parties. 23. Severability. If any provision of this Agreement is declared invalid or unenforceable by a court of competent jurisdiction, the invalid or unenforceable provision will be stricken from 7 65416551 v4 Exhibit 1 the Agreement, and the balance of the Agreement will remain in full force and effect as long as doing so would not affect the overall purpose or intent of the Agreement. IN WITNESS WHEREOF, the Parties have made and executed this Agreement on the respective dates under each signature: Signed, sealed, and delivered in the presence of: Print Name: Print Name: APPROVED AS TO FORM AND LEGAL SUFFICIENCY: Jason Gabriel, City Attorney State of Florida County of Duval CITYOF ATLANTIC BEACH FLORIDA a municipal corporation Curtis Ford, Mayor Date: The foregoing instrument was acknowledged before me by means of ❑ physical presence or ❑ online notarization this day of , 2026, by Curtis Ford, the Mayor of the City of Atlantic Beach, Florida, on behalf of the City. (Print Name ) NOTARY PUBLIC State of Florida at Large Commission # My Commission Expires: He/she is [check one]: Personally Known OR Produced I.D. Type of Identification Produced 65416331 v4 Exhibit 1 Signed, sealed, and delivered in the presence of: Print Name: Print Name: State of Florida County of Duval SOUTHCOAST CAPITAL PARTNERSHIP, LTD., a a Florida company Print: Date: The foregoing instrument was acknowledged before me by means of ❑ physical presence or ❑ online notarization this day of , 2026, by , the of Southcoast Capital Partnership, LTD, a Florida company on behalf of the company. (Print Name NOTARY PUBLIC State of Florida at Large Commission # My Commission Expires: He/she is [check one]: Personally Known OR Produced I.D. Type of Identification Produced 65416551 A