On February 25, 2011, the City entered into a Master Development Agreement (MDA) and a Purchase Option Agreement (POA) with Creative Village Development LLC (CVD) for the redevelopment of the Creative Village site. Pursuant to the MDA and POA, CVD and its affiliates have an option to purchase parcels within the redevelopment area at the Option Pricing outlined in the POA.
On December 14, 2015, the City entered into a Purchase Agreement (Purchase Agreement) with an affiliate of CVD, Amelia Court at Creative Village Partners, Ltd., (Buyer) for the purchase of Parcel N to construct a 116-unit, mixed-income multi-family residential development. Parcel N, a portion of Creative Village Lot 1 (a 2.98 acre tract), is approximately 1.7 acres and is generally located at the southeast corner of Parramore Avenue and W. Amelia Street, across the street from the planned OCPS Parramore PS-8 School on Parramore Avenue. The proposed residential development will be supported by existing infrastructure, including Parramore Avenue and W. Amelia Street, and utilities located within these right-of-ways or nearby.
The Purchase Agreement for Parcel N was contingent upon award of low income housing tax credits to the Buyer. The tax credits have been awarded to the Buyer for this project. The sales price of Lot N is $1,508,000 for 116 units. The estimated fair market value of the land is $1,508,000.
The Buyer now desires to expand the development area and construct 140 additional units of mixed-income multi-family residential units and 9,643 square feet of commercial/office space on the remaining portion of Creative Village Lot 1, Parcel P. Parcel P is approximately 1.28 acres and is generally located directly north of Parcel N, on the northeast corner of Parramore Avenue, and W. Concord Street.
The sales price of Parcel P is $2,229,140.74, calculated as $1,914,659.95 for 140 residential units and $314,480.79 for 9,643 square feet of non-residential rentable space. The estimated fair market value of the land is $2,229,140.74.
The First Amendment to the Purchase Agreement adds Parcel P, thereby increasing the real property being sold by the City from 1.7 acres to 2.98. The total purchase price shall be $3,737,141.74. Should the number of units built increase, the purchase price shall be recalculated and increased to reflect the actual per unit cost. The purchase price shall not be decreased. The First Amendment also extends the closing date to January 31, 2018, and provides a credit to the Buyer of $75,000 for environmental work (soil management) pursuant to Section 9 of the Development Agreement for the project.