ESCROW AGGREMENT REGARDING BELLE HARBOR
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ESCROW AGREEMENT
This Escrow Agreement ("Agreement"), made and entered into effective June _'
2002, among the CITY OF CLEARWATER, FLORIDA, a political subdivision of the
State of Florida ("CityJ, GREENMACK CLEARWATER, L.L.C., a Florida limited liability
company ("Mack"), and JOHNSON, BLAKELY, POPE, BOKOR, RUPPEL & BURNS,
P.A., a Florida professional association ("Escrow Agent").
R E C ! TAL S:
A. Mack is the owner and developer of certain real property located on North
Clearwater Beach, Florida, to be developed as the "Belle Harbor' project.
B. During the approval process for Belle Harbor, Mack agreed to contribute
not to exceed One Hundred Thirty~Six Thousand Five Hundred Dollars ($136,500) to be
used by the City to assist in the completion of a parking garage in the general area of
Belle Harbor (the "Economic Support").
C. This Agreement reflects the understanding between the City and Mack
with respect to the Economic Support.
NOW THEREFORE, for and in consideration of the mutual covenants and
promises contained herein, the receipt and sufficiency of which are hereby
acknowledged, the parties agree as follows:
1. Recitals. The above recitals are true and are incorporated by reference.
2. Deposit of Funds. Within five (5) days after the execution of this
Agreement, Mack agrees to deposit with the Escrow Agent the sum of One Hundred
Thirty-Six Thousand Five Hundred Dollars ($136,500), the maximum amount of
Economic Support payable hereunder. Escrow Agent is directed to deposit the
Economic Support in an interest bearing account, with interest accruing to the benefit of
Mack. The account shall be with a federally insured and regulated financial institution,
with total assets of not less than Two Hundred Million Dollars ($200,000,000).
3. Payment of Economic SuPPort. Upon delivery to Escrow Agent of the
documents described in paragraph 4 hereof for a parking garage that meets the
geographic limitation set forth in paragraph 5 hereof, the Escrow Agent shall pay directly
to the City, in one lump sum, the Economic Support owed ("Economic Support Owed")
pursuant to the following formula:
[Number of spaces for each support year after issuance of
the certificate of occupancy for the parking garage] X [per
space support amount] X [applicable interest rate] =
Economic Support Owed.
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In the above formula, the number of spaces per support year shall be: (i)
75 spaces for the period from January 1, 2004, through December 31 , 2004; plus (ii) 50
spaces from January 1, 2005, through December 31, 2005; plus (iii) 25 spaces for the
year January 1,2006, through December 31,2006.
The per space support amount shall be the lesser of: (i) City's actual cost
to construct the parking garage, on a per space basis, as certified by the project
engineer or architect; or (ii) Fourteen Thousand Dollars ($14,000) perspace.
The Applicable Interest Rate shall be the lesser of: (i) the City's cost of
borrowing for calendar year 2003, on a weighted average basis; as certified by the
City's chief financial officer, or (ii) six and one~half percent (6.5%) per annum. In the
event that the certificate of occupancy is obtained during the calendar year, the
Economic Support Owed shall be pr~rated for such partial year.
For example, if a certificate of occupancy for the parking garage was
issued on January 1,2005, the cost per space to the City is $15,000, and the City's cost
of borrowing is 7%, the amount owed by the developer would be calculated as follows:
50 spaces X $14,000 per space X .065 = $45,500; 25 spaces X $14,000 per space X
.065 = $22,750; and $45,500 + $22,750 = $68,250 - Economic Support Owed.
4. Deliverv of Funds. The Escrow Agent shall deliver to the City the
Economic Support Owed within ten (10) days of receipt of written request from the City,
which request shall be accompanied by a copy of the final certificate of occupancy
issued by the City, the certification of construction cost, and the certification as to the
City's cost of borrowing.
5. Geooraphic Limitation. In order to be eligible for the Economic Support,
the parking garage shall be constructed within a six hundred (600) yard radius of the
Belle Harbor project.
6. Dispute. In the event there is a dispute between Mack and the City as to
the default or the curing of a default and the obligation of the Escrow Agent to deliver
the Economic Support Owed, the Escrow Agent shall have the absolute right to
interplead the Economic Support Owed into the registry of the Court and bring an action
in which Mack and the City are parties such that the same might be resolved by a Court
of competent jurisdiction.
7. Bindina Agreement. This Agreement is binding and enforceable upon the
parties hereto, their personal representatives, successors and assigns and the same
may not be altered, amended or otherwise changed except by the express written
agreement of the parties.
8. Notice. In the event notice is required by this Agreement, notice
shall be given in writing and may be delivered either by mail, postage pre paid, certified
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8. Notice. In the event notice is required by this Agreement, notice
shall be given in writing and may be delivered either by mail, postage pre paid, certified
return receipt requested, by deposit in a nationally recognized over night delivery
service, by hand delivery, by facsimile transfer, or bye-mail, provided in each instance
proof of time and date of transmission and completion of transmission must be
presented. Such notice shall be given at the following for each of the parties:
City of Clearwater
Attn. City Manager
112 South Osceola
Clearwater, FL 33756
e-mail: ---------------------------
Greenmack Clearwater, LLC
David A. Mack
30 Jelliff Lane
South port, CT 06490
Facsimile: (203) 256-7787
e-mail: david.a.mack@snet.net
E.D. Armstrong, III
911 Chestnut Street
Clearwater, Florida 33756
Facsimile: 727-462-0365
e-mail: ed@jbpfirm.com
IN~ITNESS WHEREOF, the parties have hereunto set their hands and seals on
this Jtf day of June, 2002.
CITY OF CLEARWATER, FLORIDA
BY:~~""" ~ X
William B. Horne II
City Manager
Approved as to form:
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Pamela K. Akin
City Attorney
Attest:
thia E. Goudesbl
Clerk __ -_
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WITNESSES:
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Print Name: m,dMLe /YJ. J(bdlcJL.--
Print Name:
Print. Name:
61312002 8:00 AM d-2
41913.103126
#262773 v2 - JBP-MACK Escrow Agt
GREEN MACK CLEARWATER, L.L.C.
David A. Mac
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Date:
JOHNSON,BLAKEL Y, POPE,
BOKOR, RUPPEL BURNS, P.A.
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