ISLAND GARDENS PROJECT

MIAMI CITY COMMISSION

MUSP HEARING

JUNE 24, 2004

•ONLY POSSIBLE LOCATION•CONSISTENT WITH MASTER PLAN•CONSISTENT WITH RFP•68% VOTER REFERENDUM•NO ADDITIONAL ZONING CHANGES•NO IMPACT TO DRI & TRAFFIC•SFRPC & DCA APPROVALS•SUBSTANTIAL PUBLIC BENEFITS•UNAMIOUS APPROVAL FROM UDRB,

SHORELINE, & WATERFRONT & PAB•COMPLIED WITH REASONABLE REQUESTS•TIGHT TIME SCHEDULE

PROJECT HIGHLIGHTS

ONLY VIABLE SITE

• DEEP WATER CHANNEL• COMMERCIAL MARINE BASIN• LANDSIDE TRANSPORATION CONNECTORS• MIAMI – MIAMI BEACH CONNECTOR• PORT & CRUISE FACILITIES SERVICES• REPAIR & SERRVICE FACILITIES• SECURITY, COAST GUARD, PILOTS, USDHS• TOURISM FACILITIES

– SEAPLANE BASE– HELIPORT– RECREATION & AMUSEMENT

• PARKING GARAGES

BALLOT QUESTION NO. 1AUTHORIZING 45-YEAR LEASE OF CITY-OWNED

UPLAND/SUBMERGED LAND ON WATSON ISLAND

Shall the City lease City-owned land consisting of 24.2 total upland and submerged acres on Watson

Island to Flagstone Properties, LLC for development of a mega yacht marina, fish market, hotels with timeshare units, a maritime museum,

public gardens, cultural facilities, restaurants, retail and support facilities, for 45 years with two 15-year renewals, subject to capital investment, subject to a minimum annual guaranteed rent of $2,000,000

and other conditions the City may require?

PROJECT OBJECTIVES

• LEADING MEGA YACHT FACILITY FOR NEXT 30 YEARS

• LANDMARK GATEWAY ICON – DOWNTOWN ORIENTATION

• MAKE MIAMI A GLOBAL CITY AND SOUTH FLORIDA A GLOBAL COMMUNITY

• ACCESSIBLE GARDEN ENVIRONMENT WITH LANDSCAPED ROOFS THAT TERRACE TO WATERFRONT

• OPEN PUBLIC AREAS & ACCESS

SEPARATION OF SERVICE AND SECURITY FROM GUEST PEDESTRIAN & VEHICULAR

• COMPATIBLE WITH FUTURE PLANS FOR FDOT PROJECTS

LEADING STATE-OF-THE-ART MEGAYACHT HARBOR FOR THE NEXT 30 YEARS

LANDMARK GATEWAY ICON

GARDEN ENVIRONMENT

GARDEN ENVIRONMENT

SECURITY COMPLIANT

COMPLIANT WITH FDOT

PUBLIC BENEFITS PROVIDED• CREATE A GLOBAL PROJECT FOR A CITY GLOBAL IMAGE• GARDEN AND OPEN AREAS ACCESSIBLE TO THE PUBLIC (MORE THAN 60%)• 950 FTES & 3,040 CONSTRUCTION JOBS.• MARITIME GALLERY• FISH MARKET• FISHING PIER• $2,000,000 ANNUALGUARANTEED PLUS PERCENTAGE RENTAL REVENUE• $1,000,000 ANNUAL CONSTRUCTION RENT • RECURRING CITY TAX INCOME $4,313,865 • RECURRING COUNTY TAXES $6,813,782• ONE-TIME FEE BENEFITS $3,460,566• OVERALL ECONOMIC IMPACT $521.7 MILLION• ROADWAY IMPROVEMENTS, LANDSCAPING AND BEAUTIFICATION• FAIRCHILD TROPICAL GARDENS & HISTORICAL MUSEUM OF SOUTH FLORIDA• NUMEROUS FOUNTAINS AND PUBLIC AREAS• FESTIVAL CALENDAR• VARIED PRICE POINT RETAIL SHOPS AND RESTAURANTS• CIVIC ARTS TRUST• $1,000,000 MASTER PLAN &ADDITIONAL IMPROVEMENT TO SOUTH PARK

ISLAND GARDENS PROJECT

WATSON ISLAND NEIGHBORHOOD WORKSHOPS

JUNE 24, 2004 MIAMI OUTBOARD CLUB

JUNE 26, 20041000 VENETIAN WAY

COMMUNITY CONCERNSTo date, we have held 19 public hearings, 2 Workshops for Watson Island and Venetian Causeway neighbors, and numerous meetings with our immediate island tenants. The Workshops identified 49 issues brought up by neighbors on the following topics:

Traffic 7 Access 3 Shadows 2 TOTAL 49Use 7 Benefits 3 Boats 1Parking 6 Noise 3 School 1Road 5 Security 3 Screen 1Views 4 Fish Market 2 Site 1

• NOT PROVIDING ENOUGH PUBLIC ACCESS & AMENITY

(see “BENEFITS PROVIDED BY FLAGSTONE”)

• AMENITY GUARANTEESThe Lease, and all pending land use approvals require that the property be developed in compliance with the site plan approved under the MUSP process.

All of the site plans clearly include the Public Amenities. The Lease incorporates by referencing Flagstone’s proposal submitted in response to the RFP. That proposal clearly outlines all public amenities to be provided by Flagstone.

• FISH MARKET ACCESS IS RESTRICTEDIn fact, Fish Market is accessible to the project, and to residents as well.

• INAPPROPRIATE USE OF LANDConsistent with Master Plan passed Jan. 25, 1996 which was adopted unanimously by PAB on 01-17-96 subsequent to Public Hearing (PAB 2-96). The Flagstone project

passed Nov. 2001 General Election Referendum by 68%

• TIME SHARES PROHIBITEDCity’s “RFP” stated no residential uses permitted, but hotel and offering of certain timeshare licenses are. The referendum included time shares. The lease between

Flagstone and the City (the “Lease”) provides that Flagstone is entitled to sell timeshare licenses which comply with Section 721.05(35), F.S.:35 “Timeshare license” means a right to occupy a timeshare unit, which right is neither coupled with a freehold interest, nor coupled with an estate for years with a future

interest, in a timeshare property”. The licenses, which will be sold by Flagstone, fully comply with that statute.

• HOTEL USE IS MORE THAN 20 ACRES

The entire land side lease parcel is only 10.7 acres, and the hotels are only a fraction of that area.

• PRIVATE CLUBS NOT PERMITTEDThere are no "Private Clubs" Staff lounges are for crews and are required by industry standards.

CONCESSIONS MADE• ENTRY BLVD (SOUTH @ EL 9) SHOULD BE BOTH INGRESS/EGRESS

Flagstone will make this concession requested by the Children's Museum.

• DROP OFF SHOULD MAINTAIN CM PEDESTRIAN PLAZAFlagstone will make this concession requested by the Children's Museum.

• MINIMIZE ELEVATION DIFFERENCE OF PERIMETER ROAD WITH MUSEUM Flagstone is required to comply with both FDOT and City roadway and engineering standards, but will attempt to minimize the differences.

• MITIGATE DRAINAGE ONTO MUSEUM SITE FROM PLANNED ROADFlagstone is required to comply with both FDOT and City roadway and engineering standards including drainage.

• PROVIDE CONSTRUCTION STAGING OPERATIONS PLANFlagstone agrees to City review and approval of a construction staging and operations plan.

• CONSTRUCTION STAFF TO PROVIDE IDENTITY CREDENTIALSFlagstone agrees to City review and approval of an island wide security plan that includes all tenants as well as construction workers.

• PROVIDE PEDESTRIAN ACCESS FROM PROJECT TO MUSEUM SPECIFICALLY FOR CHILDREN AND DISABLEDFlagstone agrees to provide ADA compliant walkways and lifts as required by Code, and a security plan relative to children, supervised by the City.

• PROVIDE SUFFICIENT PARKING FOR FACILITY AND STAFFTo the contrary, Flagstone has exceeded parking requirements, ,but is on record that at peak, it will shuttle staff from mainland stations and parking.

• AVOID ENCROACHMENT ON MUSEUM PARKING SPACESIt would be contrary to good policy and relations for Flagstone to encroach on Museum parking.

• PROVIDE LANDSCAPE & SCREENING TO GARAGEFlagstone agrees and desires the landscape approach to its garage elevations. However, the Children's Museum and 1000 Venetian Causeway resident

should request such condition, since the Urban Design Review Board stipulated an architectural solution in lieu of a landscape solution to this issue.

• BUILDING LIGHTING SHOULD NOT BE OFFENSIVEFlagstone agrees that in addition to the conventional Building Department regulations governing exterior lighting, that the City Assistant Director of Planning

and Zoning be empowered to review and assure that each island tenant's exterior lighting is not offensive to it's neighbors.

• NOISE MAY DISTURB ANIMALSFlagstone agrees that City Assistant Director of Planning and Zoning be empowered to review and assure that each island tenant's noise control, abatement,

and reduction activities are not offensive to their neighbors.

• EVALUATE SPECIAL EVENTS (OFFSITE& ONSITE WEEKENDS) TRAFFIC AND PARKING AND PROJECTIONSThe City's traffic consultants have looked beyond MacArthur Causeway. The data shows that weekend peak hourly volumes are lower than weekday peak

hour volumes. Flagstone agrees to participate with all other island tenants in development, documentation, and enforcement of City Class I Special Event Permits. Based on the MUSP Traffic Studies, Flagstone will pay regional transportation mitigation fees.

TRAFFIC• TRAFFIC METHODOLOGY AND STUDY APPROVALS INCLUDED

– (2) State Agencies– (1) Regional Agency– (2) Quasi-Public Authorities– (2) City Agencies– (5) Traffic Consultants– DCA has concurred

• REGIONAL NOPC TRAFFIC STUDY– Expanded Downtown DRI area to Watson Island– Included Miami Beach and Venetian Causeway– Analyzed the inclusion as well as exclusion of the Tunnel– Keeps DRI trips constant– Created No significant change in traffic impacts– Does not even require additional bridge openings on Venetian Causeway

• LOCAL MUSP TRAFFIC STUDY– Weekend hourly volumes are lower than weekday peak hour volume– Included driveways and nearby intersections– Met applicable LOS standards– Project will pay regional transportation impacts mitigation fees

TRAFFIC• MacArthur Causeway, is classed as an arterial, but functions

somewhere between an arterial and a freeway due to the absence of driveways that impede arterial traffic. 

• Based on the comments from Miami Beach, the applicant revisited the analysis using the figures for an arterial and the analysis was still sufficient. 

• While the roadway level of service (LOS) was not met, the 5% threshold was not exceeded and the resultant impact is not considered significant. 

• Only if both the LOS fails and the 5% threshold are exceeded is the impact of a project considered significant per the approved methodologies.

TRAFFIC

• CITY OF MIAMI BEACH WAS INVOLVED FROM THE OUTSET

– Of 32 critical public approvals, only 9 were not advertised

– Mayor Diaz specifically met with City Manager and Staff of Miami Beach on 08-28-02 requesting their support

– Staff was involved in all SFRPC meetings including the Approved NOPC Methodology of 11/25/02

– Miami Beach has made no specific traffic related proposals for consideration

– If Miami Beach wishes to claim substantial deviation from the DRI, the DCA is the proper forum

– Broader Issues beyond this project between municipalities should be resolved before the MPO

DATE ACTION DESCRIPTION ADVERTISED

Dec-09-98 City Commission Hearing Public hearing to determine development of approximately 29.66 acres on Watson Islandto be a Unified Development Project (UDP)

Yes

Oct-26-00 City Commission Hearing Public hearing reducing area to 24.2 acres of land to be included in the UDP YesNov-14-00 Waterfront Advisory Board Review of draft request for proposals (RFP) NoNov-29-00 Waterfront Advisory Board Workshop to review draft RFP NoDec-14-00 City Commission Hearing Public hearing authorizing issuance of RFP YesFeb-01-01 Request for Proposal (“RFP”) City of Miami issues RFP for mega yacht marina and adjacent upland YesApr-26-01 City Commission Hearing Motion recommending public hearing to consider a fish market as a required use NoMay-10-01 City Commission Hearing Directive to amend RFP that a fish market be included as a required use YesMay-24-01 City Commission Hearing Appointed individuals to review committee and extended deadline for proposals YesAug-01-01 Selection Committee Flagstone selected to develop Project NoSep-17-01 City Commission Hearing Public Hearing to choose the Project pursuant to the RFP. YesOct-09-01 Waterfront Advisory Board Presentation of proposal by Flagstone NoNov-06-01 General Election Ballot Project placed on general election ballot. Approved by City of Miami voters. YesApr-19-02 Meeting of DDA(Downtown DevelopmentAuthority) DDA votes to expand its boundaries to include Watson Island. NoJul-23-02 Meeting with South Florida Regional Planning

Council (“SFRPC”)Pre-Application meeting for NOPC with DCA, SFRPC, City of Miami, City of MiamiBeach, DDA and Flagstone

No

Sep-19-02 Meeting with South Florida Regional PlanningCouncil (“SFRPC”)

Pre-Application meeting for NOPC with DCA, SFRPC, City of Miami, City of MiamiBeach, DDA and Flagstone

No

Dec-12-02 City Commission Hearing City Commission approves expanding DDA boundaries to include Watson Island. YesDec-12-02 City Commission Hearing Approve Flagstone’s lease and development agreements for Island Gardens YesNov-19-03 Pre-Application meeting with City’s Design Review

BoardMajor Use Special Permit No

Dec-03-03 Planning Advisory Board Hearing 1st

Comprehensive Plan Amendment and Zone Change Yes

Jan-22-04 City Commission Hearing 1st

Comprehensive Plan Amendment and Zone Change (First Reading) Yes

Jan-26-04 Zoning Board Hearing Special Exception Application to permit marina YesFeb-05-04 Large Scale Dev. Review Committee Meeting Review Site Plan NoMar-17-04 Urban Development Review Board Review Project YesApr-01-04 Miami-Dade Shoreline Dev. Rev. Committee Review Project YesApr-06-04 Notice of Proposed Change (“NOPC”) DDA filed NOPC with the Department of Community Affairs (“DCA”), the South Florida

Regional Planning Council (“SFRPC”), the City of Miami Beach (“MB”)No

Apr-07-04 Planning Advisory Board Hearing 2nd

Comprehensive Plan Amendment and Zone Change Yes

Apr-13-04 Waterfront Advisory Board Review Project NoMay-05-04 Planning Advisory Board Present NOPC to PAB YesMay-06-04 City Commission Hearing 1

st Comprehensive Plan Amendment and Zone Change (Second Reading) Yes

May-10-04 City Zoning Board Present Major Use Special Permit Application YesMay-11-04 Waterfront Advisory Board Meeting Review Project NoMay-19-04 Planning Advisory Board Present MUSP Application to PAB YesMay-27-04 City Commission Hearing 2nd Comprehensive Plan Amendment and Zone Change (First Reading) YesJun-24-04 City Commission Hearing NOPC and MUSP scheduled to be heard by the City Commission YesJul-10-04(tentative)

City Commission Hearing 2nd Comprehensive Plan Amendment and Zone Change (Second Reading) Yes

PROJECT PUBLIC & ADVERTISED MEETINGS

ISLAND GARDENS PUBLICLY ACCESSIBLE AREAS- GROUND LEVEL ONLY

“The Watson Island Site is one of very few sites on the South Florida Coast that can provide the advantages necessary to develop a facility such as this. In fact, it may be the only viable site.”

……Watson Island Mega Yacht Marina Design and

Concept, September, 1994

1913

1926

1952

WORKSHOP OBJECTIVES• History

• Design

• External Factors

• Questions & Clarifications

• Concerns & Requests

LANDMARK GATEWAY ICON

DOWNTOWN ORIENTATION

DOMESTICATED CIRCULATION

SECURED ZONES

SECURITY COMPLIANT

“SANITIZED” SECURITY CORRIDOR

SECURITY COMPLIANT

SECURITY COMPLIANT

SECURITY AREA