A Resolution of the City of Sunrise, Florida, approving a “Letter of Intent City of Sunrise Development Incentive Agreement” between the City of Sunrise and PC GP Holdings II, LLC; providing for a public purpose; authorizing the City Manager and City Attorney to continue negotiations and take further action; authorizing the City Manager to execute an Incentive Agreement, Swap Agreement, and Agreement to Assign, and an Assignment and Assumption Agreement consistent with the Letter of Intent; and providing an effective date. City Manager Mark Lubelski.

The City is proposing to enter into a Letter of Intent with a Developer to provide economic development incentives for the construction of a mixed-income multifamily housing rental development comprised of approximately 229 residential units. Fifty-seven (57) of the total dwelling units in the project shall include affordable workforce housing to qualified households whose total annual adjusted gross household income is equal to or less than 120% of Area Median Income. The proposed project is generally located on the south side of West Oakland Park Boulevard, between NW 64 Street and NW 68 Avenue.

The Project is located within the limits of the East Sunrise Improvements Master Plan (Master Plan). The Master Plan was completed in 2019 and identified the Project location as an “Opportunity Site” for redevelopment and referred to this location as a highly visible site that provides a unique opportunity for new and high quality rental housing. This redevelopment project could serve as a catalyst for redevelopment of other nearby commercial properties that are in desperate need of investment. The properties within the Project consist of two vacant undeveloped parcels. The City desires to attract private investment for redevelopment in eastern Sunrise including new residential options. The City hereby determines that the Project is consistent with goals and objectives of the Master Plan and furthers the City’s goals and objectives for economic development and the creation of affordable workforce housing. The City’s Incentive is comprised of the following:

• Vacant Land Incentive: The City shall acquire a vacant land parcel, Racetrac Parcel, within the proposed project site and provide to the Developer as part of a land swap for a separate vacant land parcel consisting of approximately 0.75 acres of land which will be acquired by the Developer. The Racertac Parcel will be provided to the Developer for the construction of the proposed Project.

The Developer is also providing City employees a first look opportunity to rent units within the project, prior to the general public. Additionally, Sunrise employees shall receive a fifty (50) percent discount on rental unit application fees. After completion of the initial lease-up period, and to the extent there is a waiting list for the Project, Sunrise employees shall receive priority on any waiting list for available units in the Project.

The Developer has also agreed to substantially demolish the entry features on the east and west side of NW 68th Avenue, at the southern portion of the Project and at the intersection of NW 68th Avenue and Sunset Strip. The Developer will reconfigure the entry features as reasonably approved by the City and Developer. Such work shall be completed within 60 days of the issuance of the first certificate of occupancy.

The attached Letter of Intent authorizes the City Attorney and City Manager to prepare, negotiate, finalize, and amend an Incentive Agreement, Swap Agreement, and Agreement to Assign, provided that the terms of such agreements do not materially deviate from the terms contained in this LOI, as approved by the City Commission.

A Rezoning, Site Plan, and Development Agreement will be required under separate approvals for the proposed project. The City and Developer shall use best efforts to achieve development approvals within 6 months following the Developer’s site plan application to the City.