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HomeMy WebLinkAboutItem 04 Approval of a Two-Year Warranty Surety and MMWA - Ocoee Village Center OffsiteMeeting Date: November 7, 2023 Item #: 4 Contact Name: Martrivus Keaton Department Director: Michael Rumer Contact Number: Ext. 1088 City Manager: Robert Frank Background Summary: Ocoee Village Center Offsite includes all public Rights of Way from the roundabout at the intersection of Fuller's Cross and North Lakewood Ave, going north on N. Lakewood Ave to the entrance of The Serenza at Ocoee Village, fka Allure Apartments, Parcel ID 05-22-28-6160-14-181. The roadways consist of North Lakewood Ave, 2nd Ave, the roundabout at the intersection of Fullers Cross and N Lakewood Ave, a portion of Westbridge Ct.and a portion of Banyan Cove Blvd. The developer has completed the construction of the infrastructure improvements and has requested a Certificate of Completion. The infrastructure improvements include road work, potable water, sanitary water, reclaimed water, a public lift station, a stormwater collection system, and associated landscaping. All identified punch list repairs have been completed, and the developer is ready to start the two-year warranty period for the public improvements. As a requirement of the Land Development Code, the developer is required to furnish the City with a Surety to cover any possible damages discovered during the next two years. Should the developer not choose to make those repairs, Ocoee Village Developer's Consortium, has provided the City with an Escrow fund in the amount of 10% of the constructed improvements. The surety amount is a total of $370,727.69. The attached Maintenance, Materials, and Workmanship Agreement (Form 8 from the Land Development Code) acts as the executable document between the developer and the City. The agreement will replace the Phase 1 - North Lakewood agreement signed at the 10.17.23 City Commission Meeting. The Surety will be returned to the developer upon completion of the two-year warranty period and the repair of any damages caused over those two years. Issue: Should the City accept the Surety as provided by Ocoee Village Developer's Consortium, for the two-year warranty for the Ocoee Village Center Offsite and execute the Maintenance, Materials, and Workmanship Agreement? Recommendations: The Development Services Department recommends the Honorable Mayor and Commissioners approve the Surety and the execution of the Maintenance, Materials, and Workmanship Agreement with Ocoee Village Developer's Consortium, for the Ocoee Village Center Offsite. City of Ocoee - 1 N. Bluford Avenue - Ocoee, Florida 34761 • e (4 91 00 - www.ocoee.org Page 24 of 241 Attachments: None Financial Impacts: There are no financial impacts to the City in accepting this two-year warranty Surety. Type of Item: Consent City of Ocoee - 1 N. Bluford Avenue - Ocoee, Florida 34761 Phone: (407) 905-3100 - www.ocoee.org Page 25 of 241 .E, MATERIALS, AND WORKMANSHIP ; ESCROW AGREEMENT This Agreement (the "Agreement") is entered into this _ day of November, 2023, by OCOEE VILLAGE DEVELOPER'S CONSORTIUM, an unincorporated association of members consisting of Ocoee Village Residential LLC, a Delaware limited liability company ("NRP"), whose mailing address is 1228 Euclid Avenue, 4`h Floor, Cleveland, Ohio 44115 (attention Legal), Kimaya Village Residential LLC, a Florida limited liability company ("Kimaya"), whose mailing address is 5200 Vineland Road, Suite 200, Orlando, Florida 32811 and DKC Ocoee Village Center SE, LLC, a Florida limited liability company ("Konover"), whose mailing address is 431 Fairway Drive, Suite 201, Deerfield Beach, Florida 33441, hereinafter referred to as the "Developers" and the CITY OF OCOEE, a Florida municipal corporation, hereinafter referred to as the "City". WHEREAS, the Developers and Ocoee Development IV, LLC ("Original Developer") are the owners of certain real property located in Orange County, Florida, more fully described as Ocoee Village Center, according to the Plat thereof as recorded in Plat Book 110, Pages 80 through 89 of the Public Records of Orange County, Florida (the "Property"); and WHEREAS, Developers have developed and constructed on the Property a mixed use project referred to as Ocoee Village Center (the "Center") under the City's Subdivision Regulations and pursuant to the following approvals granted by the Ocoee City Commission (collectively, the "Subdivision Plan"), to wit: (a) Case No. RZ-18-06-09, whereby on October 6, 2020, the Ocoee City Commission approved Ordinance No. 2019-011, rezoning the Property to PUD, under the Ocoee Land Development Code, as amended by Ordinance No. 2020-024 approved by the Ocoee City Commission on October 6, 2020 (collectively, the "Ocoee Village Center PUD"); and (b) Case No. CPA-2018-006, whereby on October 6, 2020, the Ocoee City Commission approved Ordinance No. 2019-010, amending the Ocoee Comprehensive Plan to change the Future Land Use Designation for the Property to "High Density Residential and Commercial" (the "Land Use Plan Amendment"); and (c) Project No. LS-2019-005, whereby on October 6, 2020, the Ocoee City Commission approved the Preliminary/Final Site Plan for the Townhomes at Ocoee Village Center (the "Townhome Site Plan Approval"); and (d) Project No. LS-2019.007, whereby on October 6, 2020, the Ocoee City Commission approved the Preliminary/Final Site Plan for the Allure Apartments at Ocoee Village Center (the "Apartment Site Plan Approval"); and (e) Project No. LS-2019-009, whereby on October 6, 2020, the Ocoee City Commission approved the Preliminary/Final Site Plan for the Southeast Commercial at Ocoee Village Center (the "Southeast Commercial Site Plan Approval"); and WHEREAS, in connection therewith, the Developers have installed with the approval of the City certain roads, streets, sewers, water systems, drainage works, and/or other improvements 1 0038106\192266\13185749v2 (the "Improvements,') under the provisions, conditions, and requirements of the City's Subdivision Regulations and the Subdivision Plan; and WHEREAS, under Section 4-4, Subdivision Review Process, of the City's Land Development Code, Developers are required to warrant the maintenance, materials, and workmanship of the Improvements constricted by Developer within the Center; and WHEREAS, Section 4-4, Subdivision Review Process, of the City's Land Development Code provide that Developers may guaranty such maintenance, materials, and workmanship by placing a cash escrow with the City; and WHEREAS, Developers wish to establish an escrow fund in order to guaranty the maintenance, materials, and workmanship of the Improvements within the Subdivision as required by Section 4-4, Subdivision Review Process, of the Land Development Code. NOW THEREFORE, the parties agree as follows: SECTION 1. ESTABLISHMENT OF ESCROW FUND. Developers hereby establish an escrow fiend with the City in the amount of $370,727.69 to guaranty the maintenance, materials, repair, replacement, workmanship, and structural integrity of the Improvements (the "MMW Escrow"). This MMW Escrow fund shall be placed by the City in a non -interest -bearing account at a local financial institution and shall be disbursed only in accord with the terms of this Agreement. Developer agrees that the City may use funds from the existing Escrow Fund established by that certain Performance Surety Escrow Agreement dated December 6, 2022 by and between the Ocoee Village Developers Consortium and the City to fund the MMW Escrow. SECTION 2. TERMS AND CONDITIONS FOR RETURN OF ESCROW FUND. In the event Developers shall jointly and severally maintain the Improvements in a first class condition for a period of two (2) years from the date of issuance of the Certificate of Completion for the Improvements, and if Developers shall jointly and severally, replace all paving or other structures which within said two (2) year period shall be found by the City not to comply with the City's Subdivision Regulations and the Subdivision Plan, and that if the Developers replace any Improvements the materials, workmanship, or structural integrity of which shall be found by the City not to comply with the Subdivision Plan or the City's Subdivision Regulation for a two (2) year period following issuance of the Certificate of Completion by the City, Developers, jointly and severally shall pay any and all costs or expenses incidental to the performance of any work required to be performed hereunder, then the monies escrowed hereunder less an administrative fee of two (2) percent which shall be retained by the City and less all bank charges with respect to the maintenance of the escrow fund shall be returned to the Developers. SECTION 3. CITY'S RIGHT TO DRAW ON ESCROW FUND. The funds escrowed hereunder shall be used by the City only to repair or replace the Improvements deemed by the City to not comply with the Subdivision Plan or the City's Subdivision Regulations, except as mutually agreed to by the parties in writing. If at any time 2 0038106\192266\13185749v2 during the two (2) year period following the issuance of the Certificate of Completion for the Improvements the City notifies Developers in writing of any deficiency or fault in the materials, workmanship, or structural integrity of the Improvements, and Developers fail to correct such deficiency or fault to the satisfaction of the City within thirty (30) days after their receipt of such written notice (or such longer period as is reasonably required if the deficiency or fault is of a nature that cannot with reasonable diligence be corrected within said 30 days, so long as such correction is being diligently pursued), then the City may make such corrections, the cost of which shall be paid for out of the escrow fund for this purpose, whereupon the City shall so notify the Developers in writing. Notwithstanding anything contained in Section 2 above, in the event the City has notified Developers of a deficiency or fault as provided above, the term of this Agreement shall continue until such deficiency or fault is corrected. SECTION 4. CONTINUED APPLICABILITY OF SUBDIVISION REGULATIONS. This Agreement shall not be construed to relieve or release Developers from any of its obligations under the City Subdivision Regulations or the Subdivision Plan with respect to the Improvements. Further, the amount of the escrow fund and payment into and/or disbursement of any or all of the escrow fund in no way relieves Developers of their obligations under the Subdivision Plan and the City's Subdivision Regulations. SIGNATURES TO FOLLOW 3 0038106\1 92266\1 3185749v2 IN WITNESS WHEREOF, the parties hereto have caused these presents to be signed as of the date and year first above written. *COEE VILLAGE DEVELOPER'S CONSORTIUM, AN UNINCORPORATED. ., ,11,F MEMBERS: Witnesses: Printed Name: Lnn/IC4M I-OlIt'll Kimaya Ocoee Village, LLC, a Delaware limited liability company By: KIMAYA OV DEVELOPMENT, LLC, a Delaware limited liability company, its Sole Member By: Ocoee Village Partners, LLC, a Florida limited liability company, its manager By: Ocoee Village GP, LLC, a Florida limited liability company, its manager By: Kimaya, LLC, a Delaware limited liability any is manager N V Gu t """ I corn any is manager By: Name: Vishaal Gu to Title: Manager The foregoing instrument was acknowledged before me this day of2023, byd by Vishaal Gupta, Manager of Kimaya, LLC, a Delaware limited liability company, which is the manager of Ocoee Village GP, LLC, a Florida limited liability company, which is the manager of Ocoee Village Partners, LLC, a Florida limited liability company, which is the manager of Kimaya OV Development, LLC, a Delaware limited liability company, which is the Sole Member of KIMAYA OCOEE VILLAGE, LLC, a Delaware limited liability company, on behalf of the compa y. He/she appeared by (check one) 0 physical appearance or 0 online notarization, and (check oil 9 is personally known to me or 0 has produced as identification. a4xv N Notary Public State of Florida Carol Kay Cole MyCommssionHH118108 Expires p 04/18/2025 I ires 9 1 Print Name: 7zld�oe— )�eA Notary Public My Commission Expires:, Commission Nurnber: /0 M 0038106\1 92266\1 3185749v2 Witnesses: Printed Name:--,Nvv R,'? Ov-6: xklm CwAmmala— Printed Name: STATE OF Fh-@� COUNTY OF U 0 Ocoee Village Residential LLC, a Delaware a B N T The foregoing instrument was acknowledged before me this day of '2023, by AlocW (na(4el7ce, , as 5�,dreT4�irlj of Ocoee Village Residential LLC, a Dglaware limited liability company, on behalf of the company. He/she appeared by (check one) [physical appearance or 0 online notarization, and (check one) 0 is personally known to me or 0 has produced as identification. .......... P11111 Cynthia Machesky Notary Public, State of Ohio My Commission Expires December 25, 2024 Notary Public My Commission Expires: Commission Number: 0038106\192266\13185749v2 Witnesses: rr PrintedName. i41"eiz 7' &-)'t I Oh'YA Printed Name: No 16' A r sc ±i DKC Ocoee Village Center SE, LLC, a Florida limited liability company The foregoing instrument was acknowledged before me this t--L day of November, 2023, by David Coppa as CEO of DKC Ocoee Village Center, SE, LLC, a Florida limited liability company, on behalf of the company. He/she appeared by (check one) Erfphysical appearance or 0 online notarization, and (check one) O'k personally known to me or 0 has produced as identification. FBEATRICE T. WILLIAMS Commission 9 GG 932219 Expires November 24, 2023 Bonded Thru Troy Fain Insurance 800-385-7019 l�= 'printe: N 4, 11 , � Notary Public My Commission Expires: Commission Number: 6 0038106\1 92266\1 3185749v2 I THIS MAINTENANCE, MATERIALS, AND WORKMANSHIP ESCROW AGREEMENT FOR OCOEE VILLAGE CENTER IS HEREBY JOINED IN AND CONSENTED TO BY THE ORIGINAL DEVELOPER. ORIGINAL DEVELOPER: OCOEE DEVELIV, LLC, a Florida limited company 0 RicandC.'Wohlfarth, Manager STATE OF FLORIDA COUNTY OF 5 V- The foregoing instrument was acknowledged before me this day of 11_, 2023, by Richard C. Wohlfarth, as Manager of Ocoee Development IV, LLC, a Florida limited liability company, on behalf of the company. He/she appeared by (checlf one) physical appearance or 0 online notarization, and (check one) E4,- rspersonally known to me or 0 has produced as identification. Print Name: Notary Publi P P 'TI jr!,NNIF WE My Commiss n Expire,: I MY COMMlsslorlg f114199132 Commission Number: gj v 1ove inber 21, 2025 - 7 0038106\1 92266\1 3 185749v2 ATTEST: City Clerk (SEAL) FOR THE USE AND RELIANCE BY THE CITY OF OCOEE ONLY. APPROVED AS TO FORM AND LEGALITY this day of , 20 FISHBACK DOMINICK City Attorney 8 003 8106\ 192266\ 1318 5749v2 CITY: CITY OF OCOEE, FLORIDA, a Florida municipal corporation am Mayor APPROVED BY THE OCOEE CITY COMMISSION AT A MEETING HELD ON 20 UNDER AGENDA ITEM NO