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07/13/2010 COMMUNITY REDEVELOPMENT AGENCY AGENDA Location: Council Chambers - City Hall Date: 7/13/2010- 9:00 AM 1. Call to Order 2. Approval of Minutes 2.1 Approve the minutes of the June 14, 2010 CRA Meeting as submitted in written summation by the City Clerk. Attachments 3. CRA Items 3.1 Approve the Assignment and Assumption of Development Agreement from Water's Edge Clearwater, LLC to Water's Edge Real Estate Acquisition, L.P. and authorize the appropriate officials to execute the Consent to Assignment. Attachments 3.2 Contingent on receipt of the proper documentation showing Clearwater Downtown Events, Inc. as a Not- for-Profit organization, approve a Memorandum of Agreement between the CRA and Clearwater Downtown Events, Inc., for the provision of an Expanded and Enhanced schedule of 4th Friday events in the Cleveland Street District, approve a $75,000 "seed money" grant to Clearwater Downtown Events, Inc. to underwrite a portion of the expanded 4th Friday Program, and authorize the appropriate official to execute the Agreement. Attachments 3.3 Approve contract between the CRA and Blenderbox, Inc., Brooklyn, New York, in the amount of $75,000, plus 10% contingency, for a total project approval of $82,500 for design, content development, copy writing and staff training services in conjunction with the development of a Cleveland Street District Marketing and Informational Website, and authorize the appropriate officials to execute the contract for same. Attachments 3.4 Approve a Development Agreement between the CRA and Mainstreet Clearwater Development LLC of Clearwater, Florida concerning the "Tony's Pizza Restaurant" project, 426 to 428 Cleveland Street, delineating the terms and conditions for the provision of certain economic assistance by the CRA. Attnchmentc 4. Other Business 5. Adjourn Meeting Date:7/13/2010 Community Redevelopment 0 Agency Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Approve the minutes of the June 14, 2010 CRA Meeting as submitted in written summation by the City Clerk. SUMMARY: Review Approval: 1) Clerk Cover Memo Item # 1 Attachment number 1 Page 1 of 3 COMMUNITY REDEVELOPMENT AGENCY MEETING MINUTES CITY OF CLEARWATER June 14, 2010 Present: Chair/Trustee Frank Hibbard, Trustee George N. Cretekos, Trustee John Doran, Trustee Paul Gibson, and Trustee Bill Jonson. Also William B. Horne - City Manager, Jill S. Silverboard - Assistant City Manager, present: Rod Irwin - CRA Executive Director/Assistant City Manager, Leslie Dougall- Sides - Assistant City Attorney, Cynthia E. Goudeau - City Clerk, and Rosemarie Call - Management Analyst. Unapproved To provide continuity for research, items are in agenda order although not necessarily discussed in that order. 1. Chair/Trustee Call to Order - Hibbard The meeting was called to order at 1:47 p.m. at City Hall. 2. Approval of Minutes 2.1 Approve the minutes of the May 3, 2010 and June 1, 2010 C Meeting as submitted in written summation by the Citv Clerk. Trustee John Doran moved to approve the minutes of the May 3, 2010 and June 1, 2010 CRA Meeting as submitted in written summation by the City Clerk. The motion was duly seconded and carried unanimously. 3. CRA Items 3.1 of mid-year budget amendments for the Community e v lop nt Ag ncy Aerating Budget for Fiscal Year 2009/10. Amendments to the revenues of the operating budget reflect a decrease of $58,411 in TIF received for FY09/10, based upon final receipts for the TIF proceeds from Pinellas County, the City of Clearwater, and the Downtown Development Board. Amendments to revenues also reflect an increase of $170,000 in Interest Earnings for FY09/10 in the CRA Operating fund and a $588,647 increase to recognize interest earnings accumulated in the CRA project fund over the last three fiscal years. Community Redevelopment Agency 2010-6-14 Item #11 Attachment number 1 Page 2 of 3 In addition, the following are amendments to the expenditures: an increase of $2,700 to Printing and Binding a decrease of $4,978 to Payments to Other Agencies (The DDB will adjust TIF proceeds received for FY 09/10.) Under Transfers Out, the Restricted County TIF proceeds were adjusted to reflect a decrease of $25,061, allocated to capital projects to the amount received. In addition, there is an increase of $727,575 to the Downtown Redevelopment Fund to recognize the allocation of excess revenues described above. All expenditure activity reflected in the Capital Project Fund is for the period ending March 30, 2010. Amendments to the Capital Improvement Project Fund recognizes the interest earnings described above and records the increase to the Downtown Redevelopment Fund (94714); records a transfer of $511,602 of CRA funds from Downtown Streetscape (Phase 1) to Downtown Streetscape Phase II with $25,061 less due to lower than expected property values; and records a project transfer of $325,000 from the Downtown Redevelopment Fund to establish a new project, Car Pro Site (94862), approved by the CRA on June 1, 2010. Budget Director Tina Wilson reviewed the amendments. In response to a question, Economic Development & Housing Director Geri Campos Lopez said the funds remaining from the Marriott Residence Inn and Mediterranean Village projects will be transferred to the Capital Improvement Project Fund. Trustee George N. Cretekos moved to adopt mid-year budget amendments for the Community Redevelopment Agency Operating Budget for Fiscal Year 2009/10. The motion was duly seconded and carried unanimously. 4. Other Business - None Community Redevelopment Agency 2010-6-14 Item #21 Attachment number 1 Page 3 of 3 r The meeting was adjourned at 1:52 p.m. Attest City Clerk Chair Community Redevelopment Agency Community Redevelopment Agency 2010-6-14 Item #31 Meeting Date:7/13/2010 Community Redevelopment 0 Agency Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Approve the Assignment and Assumption of Development Agreement from Water's Edge Clearwater, LLC to Water's Edge Real Estate Acquisition, L.P. and authorize the appropriate officials to execute the Consent to Assignment. SUMMARY: OPUS SOUTH DEVELOPMENT, L.L.C., a Delaware limited liability company (the "Developer") was the Developer of a certain project known as "Waters Edge" (the "Project"), located in Pinellas County, Florida as defined in that certain Development Agreement, by and between Developer and Community Redevelopment Agency of The City Of Clearwater, Florida, a public body corporate and politic of the State of Florida, dated December 19, 2006, as evidenced by that certain "Memorandum of Development Agreement," dated December 22, 2006, and recorded December 29, 2006 in Official Records Book 15557, Page 1062 of the Public Records of Pinellas County, Florida (the "Records") (collectively, the "Development Agreement"). On October 16, 2009, Waters Edge One, L.L.C., a Delaware limited liability company ("Prior Owner") conveyed all of its right, title and interest in the Project, including all remaining unsold condominium units in the Project, to Assignee by that certain Special Warranty Deed (the "Deed") recorded in Official Records Book 16729, Page 2018 of the Records. The Prior Owner assigned its rights under the Development Agreement to Assignor, by Assignment and Assumption of Development Agreement recorded March 29, 2010 in Official Records Book 16869, Page 1459 of the Records. In connection with that certain Contract of Purchase and Sale, bearing an effective date of March 12, 2010 between Assignor and Assignee, Assignor is conveying rights under the Development Agreement to Assignee. Consent to the assignment by the Community Redevelopment Agency is required. Community Redevelopment Agency staff recommends the Board consent to the assignment. Review Approval: 1) Office of Management and Budget 2) Legal 3) Clerk 4) Assistant City Manager 5) Clerk 6) City Manager 7) Clerk Cover Memo Item # 2 ruiaciuneni I1UH1Uei i Page 1 of 1 Stingray Asset Management, LLC 15462 Gulf Blvd. Unit 802 Madeira Beach, FL 33708 (813) 767-8926 June 29, 2010 Ms. Pam Akin City Attorney City of Clearwater, Florida Re: Assignment of Development Agreement rights currently between Community Redevelopment Agency of the City of Clearwater, Florida and Water's Edge Clearwater, LLC Dear Ms. Akin I have been engaged by Concierge Asset Management, LLC who represents the bulk purchaser of condominium units at Water's Edge, a Condominium in downtown Clearwater, Florida. The new ownership entity will be Water's Edge Real Estate Acquisition, L.P., and the purpose of this communication is to request the City's authorization to assume the rights under the Development Agreement currently held by Water's Edge Clearwater, LLC. Under separate cover, David Brittain, the attorney representing Water's Edge Clearwater, LLC will be forwarding to you the proper assignment documentation required to perfect this assumption. Please accept this correspondence as providing background for Concierge Asset Management, LLC and their capabilities to perform under the Development Agreement. Concierge Asset Management and its predecessor companies have been in the multifamily business for over 40 years and during that time have acquired interests in over 150 communities comprised of over 35,000 residential units. They have worked hand in hand with many municipalities in rejuvenating struggling multifamily properties to heighten the overall economic benefit of the property, the neighborhood and the community for which it is apart. I have enclosed some background information along with this request. Please feel free to contact me if you have any questions. Thank you for your attention to this matter. Regar , Grant Wo d Enclosure Item # 2 Attachment number 2 Page 1 of 8 This instrument prepared by (and return to after recording): David R. Brittain Trenam Kemker Bank of America Plaza 27th Floor 101 B. Kennedy Boulevard Tampa, FL 33602 ASSIGNMENT AND ASSUMPTION OF DEVELOPMENT AGREEMENT THIS ASSIGNMENT AND ASSUMPTION OF DEVELOPMENT AGREEMENT (the "Agreement") is made and entered into this day of July, 2010 (the "Effective Date") by and between WATER'S EDGE CLEARWATER, LLC, a Delaware limited liability company ("Assignor") and WATER'S EDGE REAL ESTATE ACQUISITION, L.P., a Delaware limited partnership ("Assignee"). WITNES SETH WHEREAS, OPUS SOUTH DEVELOPMENT, L.L.C., a Delaware limited liability company (the "Developer") was the Developer of a certain project known as "Waters Edge" (the "Project"), located in Pinellas County, Florida as defined in that certain Development Agreement, by and between Developer and Community Redevelopment Agency of The City Of Clearwater, Florida, a public body corporate and politic of the State of Florida, dated December 19, 2006, as evidenced by that certain "Memorandum of Development Agreement," dated December 22, 2006, and recorded December 29, 2006 in Official Records Book 15557, Page 1062 of the Public Records of Pinellas County, Florida (the "Records") (collectively, the "Development Agreement"); and WHEREAS, on October 16, 2009, Waters Edge One, L.L.C., a Delaware limited liability company ("Prior Owner") conveyed all of its right, title and interest in the Project, including all remaining unsold condominium units in the Project, to Assignee by that certain Special Warranty Deed (the "Deed") recorded in Official Records Book 16729, Page 2018 of the Records; and WHEREAS, Prior Owner assigned its rights under the Development Agreement to Assignor, by Assignment and Assumption of Development Agreement recorded March 29, 2010 in Official Records Book 16869, Page 1459 of the Records; and WHEREAS, in connection with that certain Contract of Purchase and Sale, bearing an effective date of March 12, 2010 between Assignor and Assignee, Assignor is conveying rights under the Development Agreement to Assignee; NOW THEREFORE, for and in consideration of the foregoing premises and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Item # 2 Attachment number 2 Page 2 of 8 parties, intending to be legally bound, each acknowledge, state and agree as follows: 1. The foregoing recitals are true and correct and hereby made a part of this Assignment. 2. Pursuant to Section 11.01 of the Development Agreement, Assignor assigns to Assignee, and Assignee agrees to accept and assume, all of the rights, obligations and responsibilities of Developer as set forth in the Development Agreement. 3. Assignor warrants and represents to Assignee, for itself and its successors and assigns, as follows: (a) Assignor is currently the assignee of the "Developer" under the Development Agreement; (b) Assignor has good right, power and authority to assign and convey the foregoing rights, to Assignee; and (c) the execution and delivery of this Agreement has been duly authorized by all necessary action on the part of Assignor and is executed on behalf of Assignor by a member who is duly authorized to execute and deliver the same and to bind Assignor. 4. Assignee acknowledges and agrees that Assignee shall perform the obligations of Assignor under the Development Agreement and that Assignee shall not look to Assignor for performance of same. Assignee acknowledges receipt of a recorded copy of the Completion Certificate executed by the Community Redevelopment Agency of the City of Clearwater, Florida. 5. Although executed and delivered by Assignor and Assignee, the effectiveness of this Agreement shall be subject to the condition that the Community Redevelopment Agency of the City Of Clearwater, Florida, a public body corporate and politic of the State of Florida ("City"), shall have executed and delivered to Assignee the "Consent and Release" attached to and made a part of this Agreement. Assignee agrees to deliver a copy of this Agreement to Assignor with the executed Consent and Release attached, promptly upon receipt of such document from the City. Upon full execution as aforesaid, this Agreement shall be binding upon and inure to the benefit of Assignor and Assignee and their respective successors and assigns. Except to the extent expressly performed and satisfied by the execution and delivery of this Assignment, all covenants and agreements of Assignor and Assignee under the Prior Assignment remain in full force and effect, without modification. 6. The parties agree that this Assignment may be recorded in the Official Records of Pinellas County, Florida to evidence the assignment of Assignor's rights to Assignee and other terms of this Assignment as a matter of public record. Item # 2 Attachment number 2 Page 3 of 8 IN WITNESS WHEREOF, the parties hereto have caused this instrument to be duly executed to be effective for all purposes as of the day and year first above written. SIGNED, SEALED AND DELIVERED IN THE PRESENCE OF: WITNESSES: (Signature) Print Name (Signature) Print Name STATE OF COUNTY OF (CORPORATE SEAL) The foregoing instrument was acknowledged before me this day of 2010, by as of Redus Properties, Inc., a Delaware corporation, the managing member of WATER'S EDGE CLEARWATER, LLC, a Delaware limited liability company, on behalf of the corporation and company, respectively. He/She either ? is personally known to me or ? has produced as identification. My commission Expires: (Affix Notary Seal) "ASSIGNOR" WATER'S EDGE CLEARWATER, LLC, a Delaware limited liability company By: Redus Properties, Inc., a Delaware Corporation, it's managing member By: Print Name: Title: (Signature) Print Name: [Remainder of the page is intentionally left blank; signatures continue on the next page.] Item # 2 Attachment number 2 Page 4 of 8 Witness "ASSIGNEE" WATER'S EDGE REAL ESTATE ACQUISITION, L.P., a Delaware limited partnership By: Water's Edge GP, LLC, a Delaware limited liability company, General Partner Witnesses as to 1st signatory for Water's Edge Real By: Water's Edge Real Estate Associates, Estate Associate, L.P. L.P., a Delaware limited partnership, Member [Witness Signature Above] By: [Print Witness Name Above] Name: Title: [Witness Signature Above] [Print Witness Name Above] Witnesses as to 2nd signatory for Water's Edge Real Estate Associate, L.P. [Witness Signature Above] [Print Witness Name Above] By Name: Title: [Witness Signature Above] [Print Witness Name Above] Witnesses as to signatory for Water's Edge CAM GP, LLC [Witness Signature Above] By: Water's Edge CAM GP, LLC, a Delaware limited liability company, [Print Witness Name Above] Member [Witness Signature Above] By: [Print Witness Name Above] Name: Director Item # 2 Attachment number 2 Page 5 of 8 STATE OF ) COUNTY OF 1 SS: I HEREBY CERTIFY that on this day, before me, an officer duly authorized in the State and County aforesaid to take acknowledgments, the foregoing instrument was acknowledged before me by , the of Water's Edge Real Estate Associates, L.P., a Delaware limited partnership, as a Member of Water's Edge GP, LLC, a Delaware limited liability company, a General Partner of WATER'S EDGE REAL ESTATE ACQUISITION, L.P., a Delaware limited partnership, on behalf of the companies and partnership, respectively, freely and voluntarily under authority duly vested in him/her by said companies and partnership. He/She is either personally known to me or has produced a valid driver's license as identification. WITNESS my hand and official seal in the County and State last aforesaid this day of , 2010. Notary Public Typed, printed or stamped name of Notary My Commission Expires: STATE OF ) COUNTY OF ) SS: I HEREBY CERTIFY that on this day, before me, an officer duly authorized in the State and County aforesaid to take acknowledgments, the foregoing instrument was acknowledged before me by , as the of Water's Edge Real Estate Associates, L.P., a Delaware limited partnership, a Member of Water's Edge GP, LLC, a Delaware limited liability company, a General Partner of WATER'S EDGE REAL ESTATE ACQUISITION, L.P., a Delaware limited partnership, on behalf of the companies and partnership, respectively, freely and voluntarily under authority duly vested in him/her by said companies and partnership. He/She is either personally known to me or has produced a valid driver's license as identification. WITNESS my hand and official seal in the County and State last aforesaid this day of , 2010. Notary Public Typed, printed or stamped name of Notary My Commission Expires: Item # 2 Attachment number 2 Page 6 of 8 STATE OF COUNTY OF SS: I HEREBY CERTIFY that on this day, before me, an officer duly authorized in the State and County aforesaid to take acknowledgments, the foregoing instrument was acknowledged before me by , as the of Water's Edge CAM GP, LLC, a Delaware limited liability company, a Member of Water's Edge GP, LLC, a Delaware liability company, a General Partner of WATER'S EDGE REAL ESTATE ACQUISITION, L.P., a Delaware limited partnership, on behalf of the companies and partnership, respectively, freely and voluntarily under authority duly vested in him/her by said companies and partnership. He/She is either personally known to me or has produced a valid driver's license as identification. WITNESS my hand and official seal in the County and State last aforesaid this day of , 2010. Notary Public Typed, printed or stamped name of Notary My Commission Expires: Item # 2 Attachment number 2 Page 7 of 8 CONSENT AND RELEASE The undersigned, COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF CLEARWATER, FLORIDA, a public body corporate and politic of the State of Florida created pursuant to Part 1111, of Chapter 163, Florida Statutes, being an original party to the Development Agreement, hereby (1) consents to the foregoing Assignment pursuant to Section 11.01 of the Development Agreement, (2) releases WATER'S EDGE CLEARWATER, LLC, a Delaware limited liability company, Assignor above, of and from its obligations under the Development Agreement, and (3) accepts and attorns to WATER'S EDGE REAL ESTATE ACQUISITION, L.P., a Delaware limited partnership, Assignee above, as the owner and holder of the rights of the "Developer" under the Development Agreement. IN WITNESS WHEREOF the undersigned has executed this Consent and Release as of this day of , 2010. SIGNED, SEALED AND DELIVERED IN THE PRESENCE OF: COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF CLEARWATER, FLORIDA Bv: Print Name: Frank V. Hibbard Title: Chairperson Attest: By: Print Name: Cynthia C. Goudeau Title: City Clerk STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of 20, by Frank V. Hibbard, as Chairperson of COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF CLEARWATER, FLORIDA, a public body corporate and politic of the State of Florida, on behalf of such party. He either ? is personally known to me or ? has produced a valid driver's license as identification. My commission Expires: (Signature) (Affix Notary Seal) Print Name: Item # 2 Attachment number 2 Page 8 of 8 STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of 20, by Cynthia C. Goudeau, as City Clerk of COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF CLEARWATER, FLORIDA, a public body corporate and politic of the State of Florida, on behalf of such party. She either ? is personally known to me or ? has produced a valid driver's license as identification. My commission Expires: (Signature) (Affix Notary Seal) Print Name: Item # 2 F Q a z - a F i F Lli rL Q11 U to a u ? ? O w a 4 ,v 4v? Z O EL LIJ CID Lli w z W J6 w w w ? 0 0 W a z N z w N w z n a W tr) Q ® e w ,. t ,. v o 73 00 00 N 4-j cn ? ceS ceS 75 cry cn ceS rn C , rc? 11 . qy 4-j p Q3 • 4-J Q Q3 ;z rc? F-a tC$ Q3 C) q} 4-j C) 4-j J rc? Q3 ® -j ® j 4-j h - ;:3 Ct • 4-J 0 0 rc? r CPS ® a v ° I tC$ 1-4 > ® Q3 'm rc? Q3 4-j 4-j a) rc? ® C P2 4-j ct ct Q3 ? Q3 Q3 ? S q} t CR 4 tC$ tC$ Q3 4-j ® p " cn a) 00 tC$ cn p^"a ^ a tt Cet r , ® 1-4 Qa Q3 Cn s-? S 4-j C) " N N N N z 0 u LL! IL 0 LU ' P ® 3 4.1 C 0 4_1 ba n •? ° a 0 00 o" ) C) cz ) 00 ® bib ? 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Because of your group's commitment, once-deteriorating apartment properties that might have been lost are now fully and tastefully functional in serving the housing needs of our population. This has not only ensured the very survival of neighborhoods, but also, with others now fallowing your lead, even their turnaround into viable communities. It has been said that maintenance is a high mark of civilization. Your belief in the truth of that statement is exemplified in the careful renovation and efficient management so characteristic of your buildings. Profits for your investors and enrichment of our urban environment go h--and in hand', and in expressing my appreciation for your enterprise, I know I speak as well for the people of Houston. Sincerely, 6 l Bob Lanier Mayor HCL/bh Item # 2 Attachment number 4 Page 2 of 2 Quote from Mayor of the City of Alpharetta, an Atlanta suburb: Through hard work and financial commitment of Concierge Asset Management, Governor's Point Apartment's path to decline was reversed; and The development, now known as Huntington Farm Apartments, has been completely refurbished, is well maintained and secure, once again; and The Huntington Farm Apartments has become a positive precedent and an attribute to the City of Alpharetta. - Arthur G. Letchas, Mayor Item # 2 Meeting Date:7/13/2010 Community Redevelopment 0 Agency Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Contingent on receipt of the proper documentation showing Clearwater Downtown Events, Inc. as a Not-for-Profit organization, approve a Memorandum of Agreement between the CRA and Clearwater Downtown Events, Inc., for the provision of an Expanded and Enhanced schedule of 4th Friday events in the Cleveland Street District, approve a $75,000 "seed money" grant to Clearwater Downtown Events, Inc. to underwrite a portion of the expanded 4th Friday Program, and authorize the appropriate official to execute the Agreement. SUMMARY: CRA staff and the 4th Friday volunteer group have had discussions concerning a mutual desire to expand and improve the 4th Friday event so that each event provides a "draw" approaching the highly successful Miracle on Cleveland Street in December. The CRA staff objectives are to 1) support existing retail business viability in a period of economic downturn by creating larger crowds to create dining and retail demand for businesses in the Cleveland Street District; and, 2) provide our retail recruitment efforts with a better customer base to encourage new retailers/restaurateurs with the confidence to locate in the Cleveland Street District during the current economic downturn; 3) "expose" additional potential restaurant/retail customers and investors to the Cleveland Street District through attendance at District events.. With the state of the economy and the status of the new residential buildings in downtown, the two major "attractors" to accomplish the CRA objectives delineated above are: 1) the Capitol Theatre and 2) the 4th Friday events. The Capitol Theatre is expanding program offerings and, the CRA staff and the 4th Friday volunteer group wish to see an increased frequency and quality of the 4th Friday events to create 10 "signature" events (similar in "draw" to the Miracle on Cleveland Street at Christmas). 4th Friday has proposed a business concept to "ramp up " their program operations, with a companion financing plan based upon, in part, CRA "seed money" during the first 1 or 2 years of the process, while private funding sources are identified and developed. The intent is that the private contributions replace CRA "seed" money. CRA funds would allow the group to enhance the program for the 2010-2011 fiscal year, while fund raising and partnerships are pursued. The 4th Friday volunteer group has agreed to create a Not-for-Profit organization, to be known as Downtown Events, Inc., to receive and manage the funds and the program. The proper documentation showing the formation of a Not-for-Profit has not been received from the State and approval of this item is contingent upon receiving that documentation. The Memorandum of Agreement memorializes the discussions and provides for a $75,000 "seed money" appropriation from the CRA Redevelopment Fund to partially fund the $250,000 business plan. The DDB will be asked to provide $50,000 and the remaining $100,000 will be provided from private fund raising efforts. Type: Other Current Year Budget?: Yes Budget Adjustment Comments: Current Year Cost: Not to Exceed: Budget Adjustment: None $75,000 Annual Operating Cost: Total Cost: $75,000 For Fiscal Year: 2009 to 2010 Cover-Memo Appropration Code Amount Appropriation Comment Item # 3 388-94714 $75,000 Review 1) Office of Management and Budget 2) Legal 3) Clerk 4) Assistant City Manager ED 5) Clerk 6) City Approval: Manager 7) Clerk Cover Memo Item # 3 Attachment number 1 CLEARWATER_ DOWNTOWN PARTNERSHIP CITY OF CLEARWATER CRA THE FUTURE OF 4T" FRIDAYS ON CLEVELAND STREET Item # 3 Attachment number 1 Page 2 of 21 THE ORIGIN OF 4TH FRIDAY IN CLEARWATER 2 DOWNTOWN FESTIVALS 3 THE NEXT STEP OF 4TH FRIDAY 4 CLEARWATER DOWNTOWN PARTNERSHIP 5 EVENT CALENDAR 6 EVENT 101: ON THE STREET 6 SHARING THE VISION 7 A PARTNERSHIP WITH THE CITY OF CLEARWATER 7 THE 4TH FRIDAY BRAND 8 MARKET AREA 10 COMPETITION 11 VOLUNTEERS 11 THE MISSION 11 MARKETING PARTNERSHIPS 12 PREVIEW OF EVENTS 13 REVENUE GENERATION 16 SPONSORSHIPS 16 EXPENSES 17 EXECUTIVE SUMMARY 16 CHOICES 19 4'h Friday in Clearwater Building the Cleveland Street District Item # 3 Attachment number 1 Page 3 of 21 Thousands of communities throughout the United States are engaged in revitalization efforts to renew downtown areas and restore them to their former prominence as a center of community activity. Successful downtown projects may not only expand business, employment, and shopping opportunities but also increase and strengthen the social activity and quality of life in the community. Community support and planning are key elements in a successful revitalization effort. Surveying the community's resources, organizing citizens' participation, and identifying community goals are essential in planning such a project. x H ? v ,1}x li III Will p9 "•v r I xt 3i? Ot C9 r ?cw fit,. •' , 4m Friday in Clearwater Building the Cleveland Street District Item # 3 10 Attachment number 1 Page 4 of 21 0 ne of the most successful revitalization programs throughout the country is the downtown city festival. Whether they are called First Fridays, Second Tuesdays, or Third Thursdays, the facts are that events held in downtown areas have been a huge success as they provide a reason for the public to come back and become reacquainted with their cities. Throughout the country, thoroughly engineered and implemented revitalization plans have resulted in disheveled buildings turning into hip art galleries, while run-down businesses have morphed into trendy restaurants. Once empty streets are now filled with patrons returning to the downtown to live, shop, and play. IMEN&MUZ 1 Irr4 its[ yo 4 A 24" f One of the projects created by the Clearwater Downtown Partnership (CDP) in conjunction with the City of Clearwater is 4th Friday. The 4th Friday initiative was created to bring events and excitement to the Cleveland Street District in Downtown Clearwater. "Feet the Street" was the slogan CDP Chairman Bill Sturtevant called out to his volunteer board, and the group responded with hard work, dedication, and tremendous results. Month after month, the 4th Friday Committee has created an event that drew thousands of guests onto the streets of downtown Clearwater. 4'h Friday in Clearwater Building the Cleveland Street District Item # 3 Attachment number 1 THE NEXT STEP The CDP and the 4th Friday Committee have done their job in creating an event and building the foundation of a positive brand for the city. Because of its proven success, it has now reached a level where its continued efforts and potential growth require professional management that can spend the required time to plan out the future events, develop a long term growth plan, implement a marketing strategy, and seek out new sources of revenue to continue its growth. 4th Friday in Clearwater must itself become a stage for creating the Downtown Clearwater cultural scene. It will be a place to meet friends new and old, and rejoice in the preservation and innovation of the Cleveland Street District. In the land of suburbs and strip malls, visitors will come from near and far to people-watch, sample new restaurants and revel at area bars. Guests will browse the paintings, photographs, sculptures, jewelry and more handmade art items while enjoying the local cuisine. There is diversity in the crowd, in the galleries, and the entertainment, adding flavor to the experience. This is the vision of the 4th Friday celebrations in Clearwater!!!! The 4th Friday Committee and the CDP have created the blueprint for success for the 4th Friday Event Series. Rock concerts, Unique Attractions, Family Events, Vendors, Street Entertainment, Volunteer Management, and Operational components have all been established. The formula is simple: W, Naturally, the building block for 4th Fridays in Clearwater is the events themselves. The mission is clear: Brim people to Downtown Clearwater. One mode to accomplish this is to spend thousands of dollars each month to create exciting events that will draw thousands of guests to the Cleveland Street District on a regular basis. Each month, the funding source will be drawn upon to deliver magical events in the heart of Clearwater. A generous funding subsidy from city sources will allow these events to take place. However, there is a more detailed plan that is better in the long run. Should the amount of city funds decrease or even cease to be available for any reason, then the 4th Friday events disappear as quickly as they began due to the lack of financial support. Thus another method of operating 4th Friday is to create a strategic business plan that operates the 4m Friday in Clearwater ilk r.,.. ? t I1 1K bui and Street District Item # 3 Attachment number 1 Under this plan, • 4th Friday begins to become self sustaining, relying on only a percentage of the city support required at start-up. • Events continue to get larger and there are more stakeholders involved with the desire for success of these events. y p his 6 J6 , Or Now R CLEARWATER DOWNTOWN PARTNERSHIP The CDP is deeply rooted in the 41h Friday festivals. The organization will continue to be involved in the event. Although volunteer committee members will be less active in the daily role because of the demands on ,??d?ltifVAhEii their time, the CDP and the 41h Friday Committee will provide ongoing partnership support of the event and the development of the brand. 4m Friday in Clearwater Building the Cleveland Street District Item # 3 Attachment number 1 Page 7 of 21 EVENT 101: THE EVENT CALENDAR a) 4 Quarterly b) 6 Every Other Month c) 10 Sept-June d) 12 Monthly In order to make this decision, one must consider the key components to each option. Four (4) or six (6) annual events is the least costly, but will not strengthen the brand of 41h Friday, nor will it attract the regular flow of guests or sponsors. An increased frequency of events will cost more initially, but will also attract regular vendors, sponsors, and guests. The summer heat, frequency of event canceling precipitation and many other ongoing activities in the area have been a consideration to not have a 41h Friday celebration in July and August. Thus, although certainly debatable, the answer to number of annual 41h Friday events should be T'ypc.aI Ta:n ca %A onthly Fr=r c'aticn (?mi EVENT 101: ON THE STREET The success of the event at the 400 block of Cleveland St (for Todd Rundgren, and the Indy Car Challenge) merits future consideration for larger events. With the future demolition of the Harborview Center, that area could become a prime area once the event grows in size and scope. The promotion of Station Square Park and the beautiful streetscape remains a key objective. However, the Harborview Center property site should be considered as a site for very special 41h Friday Events. 4m Friday in Clearwater Building the Cleveland Street District Item # 3 Attachment number 1 SHARING THE VISION The long term growth and s, ,- of the 4th Friday Program will ONLY occur if the City embraces the concept and the group like a partner. From City Hall to the Regional Chamber of Commerce and from Parks and Recreation to the Downtown Development Board, the 4th Friday concept is a team project. The public sector, led by the Mayor and City Council must be supportive of the efforts and intent while the private entities operate the events. Working together will make downtown Clearwater a revitalized area. ar F :.. 2 p4 ? r r ?+ y? WHAT IS A PARTNERSHIP? TEN IDEAS The big picture working relationship with the City of Clearwater would allow 4th Friday to work in conjunction with the City Government's strategic plan to improve relations with local residents, property owners, and retail business owners in the region as well as the overall plan to attract new businesses via the downtown private investment program. All city offices should better utilize the 4th Friday event for the big picture revitalization project as outlined in the City's Cleveland Street District Retail Strategy plan. This is a critical component to the growth and success of 4th Friday. Several elements defining a true partnership with the city include: (not all listed) fl Ii nship and I' Win Win ul' 2. Consideration and Inclusion as a City entity 3. I , Use of Ci , C rued Eveii Equif rneni (or very nc °rinal fee) 4. Flexibility, Understanding, and Assistance with Permitting Variances 5. Evenf Insurance under fl-te Cily Policy umbrella 6. Sharing Marketing Resources such as Data Bases, Email Lists, Event Financials, and Sponsor contacts 7. ,Joinf Adverfising and Prornolions 8. Sharing Financial Advantages 10. Allow for new advertising opportunities (such as sign pole signs) to be part of 4th Friday sales inventory. 4'h Friday in Clearwater Building the Cleveland Street District Item # 3 Attachment number 1 Page 9 of 21 THE 4TH FRIDAY BRAND S I I'm loon' it Branding" 4th Friday is the how we will employ marketing strategies to get people to easily remember our event and experiences over the competitors. The goal is to have a branded event so popular that the mere mention of the name brings instant recognition, awareness, and affection for 4th Friday. Branding is the entire "feel" associated with 4th Friday. In these days of rapid change, people still enjoy going to places that follow a pattern of operation - it provides a sense of security. It makes sense to understand that branding is about getting your prospects to see you as the only one that provides a solution to their problem. Therefore the suggested 5 strategic steps for branding 4th Friday includes the following objectives: 1) DELIVER A CLEAR MESSAGE: 2) CONFIRM EVENT CREDIBILITY 3) CONNECT TO THE AUDIENCE EMOTIONALLY 4) MOTIVATE THE GUEST 51) CREATE CONCRETE USER LOYALTY ( ' The Fourth Friday Concept will be rebranded into a very well known entity. Typically, Downtown Street Festivals are created to market the existing businesses in the region. Already established monthly events in revitalized cities utilize their existing businesses to create special pricing on the nights of festivities as a promotional offer. r ? t f For example, in neighboring St. Petersburg, the 15t Friday marketing slogan simply states: "Get downtown and get down with the fun. You'll enjoy great jazz, a lively crowd, and all the fun you can handle right in i the heart of St. Pete." Other regional city downtown festivals state: "Come discover - our breathtaking harbor views, parks, plazas and esplanades. Come explore our shops, restaurants, museums and hotels; and the vast number of cultural offerings our neighborhood boasts" FRIDAY Building the Cleveland Street District Item # 3 Attachment number 1 The majority of downtown festivals that have high attendance levels are a result of the combination of basic entertainment on site plus the opportunity for a great night out and social experience for the guests. Vs4 i ? iu j ? ? ? * .1 a ROOSEVELT ROW ?i d J6 @U I f I Ili J 1 RS ¦ A PROBLEM: At the present time, there are limited restaurants, bars, and activities in downtown Clearwater, so there is not a draw to bring a regular, substantial audience to the downtown region. Can we market the Clearwater 41h Friday by stating: Join us every 4th Friday from 5 pm to 10 pm and explore all we have to offer. Shop in our stores, dine in our restaurants, appreciate art in our galleries, learn about our community organizations, see what we have to offer while enjoying wonderful entertainment? The answer is no, not yet. Because of this, . The patterns of success have been exemplified with the largest crowds attending 4th Friday for 1) Miracle on Cleveland St, 2) the Todd Rundgren concert, and 3) the Indy Car Put Stop Challenge. Thus the brand of Clearwater's 4th Friday must leave a HUGE impression on the public, the media, and the sponsors that Clearwater is the place for unique and exciting entertaining events. That is the branding strategy, and the premise for operation. BRAND EXTENSIONS Tangible - the attributes you can see and touch Non-tangible - the values you feel, the emotional attachment Reality - the qualities you actually experience It is only when all the components of branding are aligned, that a brand progress from a collection of attributes to become a true brand. The brand must exceed customer expectation emotionally and physically in order for the product or service to be successful. The way we will get our brand across is projecting the "personality" of 4th Friday- who we ARE - in every aspect of the business. 4m Friday in Clearwater Building the Cleveland Street District Item # 3 Attachment number 1 Just 2 Discussion Points for 4th Friday Task Force: Is heed/ other oB li iiia5 cunt Ld ,an o 4th Friday? • Small 4th Friday Office on Cleveland Street filled with exciting photos and information. • 41h Friday Merchandise Line (souvenirs) • An exciting interactive web site with features, contests, celebrity blogs, fan polls, video high lights, membership, volunteer force. • Signage throughout the area • Logo, Exciting Collateral Material • Community Task Force • The 4th Friday Ambassadors Volunteer group • Television Commercials reiterating the message • A professional email blast MARKET AREA In addition to the numerous communities in Clearwater and the beach communities, the following cities are within 18 miles from downtown Clearwater. They are within the market area *T r+i_r -1r Irv.-+ a„ncd,n zu,+=rm hp, '11 -•A 1 X 4m Friday in Clearwater ?.T,. - r. rasa I. F. 0=it foam. Building the Cleveland Street District Item # 3 Attachment number 1 COMPETITION For reasons previously mentioned, Clearwater's 4th Friday's direct competition is with every form of entertainment in the region, especially the year round annual festivals in the area. In the past few weeks, other area festivals include the Mainsail Arts Festival, St. Pete Festival of Speed, the Talking Animals Festival, Tampa Bay Blues Festival, the Hype Park Village Art Fair, the Phil Fest, Movies Under the Stars, Palm Harbor Arts and Crafts Festival, the Florida Brewers Guild Beerfest 2010, Monte Carlo Nights, Jolli Mon's Pirate's Booty Birthday Bash and many many more. These neighboring festivals plan all year for their event. 4th Friday must have as much excitement as these 1-off festivals because of the undeveloped downtown region. With continued successful events and sustained growth, the reputation of 4th Friday's quality entertainment will become recognized throughout the community. THE MISSION To foster a sense of community, pride, belonging and connectedness by celebrating 4th Friday events in downtown Clearwater by creating magical, remarkable, fun, and educational experiences. VOLUNTEERS r t1I_[1C I fI 1 _7? I VILA 4'h Friday in Clearwater The events will require a substantial personnel force to accomplish many of the necessary components. Similar to the 4th Friday Committee of the CDP, a panel of industry experts will be recruited to serve on an advisory panel. They will be asked to provide their expertise knowledge and allocate their industry resources in support of the cause. In addition, The 4th Friday Events will look towards creating a volunteer labor, usher, and guest relations staff. A reward / incentive plan that will compensate the volunteers in some manner .... ie. gift certificates, raffle drawings, etc will be created. This gesture will express the gratitude for the time, service, and hard work provided by the volunteers. Multiple operational teams that can manage set up and tear down of events will also be created. Prepare operations manual so that procedures are written and constant. 1 11 Building the Cleveland Street District Item # 3 Attachment number 1 MARKETING PARTNERSHIPS A successful marketing campaign will be instrumental towards the success of the 4th Friday Events. A new event series requires many kinds of exposure through different forms of media. The substantial costs for media purchases are prohibitive for the 4th Friday start up, and therefore, partnerships with the following organizations must be created that will promote the 4th Friday events and brand. 1) Brighthouse Cable 2) St Petersburg Times 3) Tampa Bay Magazine 4) 5 Local Television Stations 5) Numerous Local Radio Stations and Groups 6) Numerous Local Town Publications 7) Ruth Eckerd Hall 8) Area Businesses (from restaurants, sports teams, companies, etc) 9) Direct Mail Houses 10) Outdoor Sign Companies (Clearchannel and CBS ) 11) Smaller Community Groups and Organizations (grass roots marketing). 12) Technology Companies, Social Networking Sites and Corporate E-Mail Blasts t y S)_i L f? p, I I?"`? rv 4m Friday in Clearwater 12 Building the Cleveland Street District Item # 3 Attachment number 1 4TH FRIDAY EVENT PREVIEW Themed spectacles will be created for each event to further develop the brand of 4th Friday as an amazing experience for the entire family. Ten possible events are as follows: 1. Miracle on Cleveland Street. The initial trademark event, officially welcoming the holiday season. Lighting of the tree, snow ramps for kids, a Mnter mini festival of trees, a winter carnival atmosphere Ua7[?xjjVaj complete with winter carnival queen. A winter parade led by Santa and other costumed characters will entertain the children along with other kid friendly activities, magic, a mini outdoor skating rink, snowshoe races, skateboard competitions, ice carving contests, holiday treats and more. Downtown Clearwater will be turned into a true winter wonderland. k VP, Concerts: If you were at the Todd Rundgren 4th Friday event, you experienced a magical evening downtown. Crowds danced, stood on chairs, and marveled at the entertainment on the street. Two or three concerts a year by headline entertainers will fill the streets with excitement and fun. The complete concert experience will be in place with vendors and decor specific to the concert theme (Doo Wop, Country, Classic Rock and Roll, Legends, etc) ib I r r, Y r?tL 4 3. Spring Training Fun: As the Boys of Summer prepare for the season, the Phillies, Yankees, Blue Jays, Pirates, Tigers, will all be invited to a new spring tradition in Clearwater. Baseball will be the theme, filled with old timers, mascots, autographs, clinics, demonstrations, Hot Dogs, Cold Beer, and Cracker Jacks will be the theme. k, 4'h Friday in Clearwater a Building the Cleveland Street District Item # 3 Attachment number 1 Page 15 of 21 4 The Indy Car Challenge part 2..... Bigger and Better 5. Halloween Station Scare: Trick or Treat for the kids and adults. Costume contests, haunted houses, scary creatures, ,o fir: lq ? l V - 6. Jazzin the Street: prep for Clearwaters Jazz Fest. Working in conjunction with the city and the Jazz Festival Committee, 41h Friday will prepare the community for Clearwater's pride and joy event. I x lam' , . . [ - 1 r? 7. Film Night: Imagine the big screen downtown and the excitement of movie stars en r T 4 VJ IIC7 ?y 4UM 4'h Friday in Clearwater 14 Building the Cleveland Street District Item # 3 Attachment number 1 Faye 1 8. Clearwater Idol Night, a one night contest where the winner will get to perform as 7an opening act in the Capital Theatre or Ruth Eckerd Hall. t { 9. Theme nights: Woodstock, Disco, Celebrity Contests, and more all presented in full glory with entertainment, decor, and fun activities. 10. Patriotic Festival: In honor of Americas' heroes "NA /1? 1 I rill C ? ?`?_ ` ? IJr x%41 This list is just a small sample of the giant fun that will take place in downtown in the near future on Fourth Fridays. There are many more concepts not listed here that would be totally unique and exciting. The main event will be supplemented with ancillary activities and decorations to make each 41h Friday a very special event. With a pre-published schedule of future events, there will be a natural interest in the variety, increased exposure, and more community and civic support. If events are based on current cultural activities, there will also be a much higher percentage of media involvement and thus larger crowds. 4'h Friday in Clearwater Building the Cleveland Street District Item # 3 Attachment number 1 FINANCES: REVENUE GENERATION The first phase of establishing 4th Friday was to prove that signature downtown events would draw a significant crowd to downtown Clearwater. That phase was proven by the CDP. The second phase is to fund the signature events at a professionally managed level for an initial start up period. During this phase, the 4th Friday management must create the conditions for the organization to become self sustaining in the future. The final phase of operation is when 4th Friday can support itself and calls upon the city of Clearwater for sponsorship participation only, instead of the sole funding source. The modes of revenue generation that will be solicited during the second phase of operation include the following: FINANCES: SPONSORSHIPS Event sponsorship revenues will become the largest source of future income for the 4th Friday organization. Sponsorship fees are based on a number of components: Event attendance, frequency of events, popularity of events, media exposure, level of importance, and the multiple modes of sponsorship exposure (such as print, broadcast, hospitality, promotions, signage, etc) A sponsorship kit will be prepared to begin the solicitations for corporate support. Since 4th Friday takes place on Cleveland Street, the inventory items part of the 4th Friday Sponsorship kit will be on City property and thus 4th Friday will need the city's support in this area. The 4th Friday sponsorship kit will be submitted to the City for approval. NIAGARA 1 ., 40FIEh s BABMETBLL 9 tt 4th Friday in Clearwater 7 Building the Cleveland Street District Item # 3 Attachment number 1 FINANCES: EXPENSES The following budget has been created for each event I NTE L CAN 1 EVENT LABOR Set Up / Tear Down / Clean Up Security / Traffic / Vendors Audio / Video / Technical Design Fees (print, web) Distribution of Materials Runners, Stagehands, etc Bartenders, Service Labor Other Labor (based on event) $2,500 SITE PREP Event/Site: Audio Video Staging, Lights, Backline Equipment Rental Port O Lets Chairs / Bleachers Tables Street Closure (barricades, etc) vendor Set Up (tables, tents, etc) Trash Cans and Bags Dumpster Tents (hospitality/ weather) Site Decorations / Signs Special Services Miscellaneous (per event) CROWD MGMT. Insurance Radios Security (police) Fire Control Biclycle Racks Wrist Bands, Tickes, ID's Media Check In Other (per event) 250 PROGRAMMING Artist fees (primary, secondary) Street Performers, entertainers Catering Transportation/ Air/ Hotel Other Activities (per Event) 4'h Friday in Clearwater Building the Cleveland Street District Item # 3 Attachment number 1 FINANCES: EXPENSES CONTINUED EXPENSE CATEGORY ITEM DESCRIPTION PER EVENT 10 EVENTS MARKETING & PR Print (program, flyers, posters, etc) Other Marketing Banners Advertising (print, broadcast, etc) T-shirts Photography Video and Production Media Releases / Invitations Promotions Web Site Development Gift Items/ Raffles Other PR / Promotion ADMINISTRATION OfficeRent Office and Event Supplies Sponsor Kits and Sales Materials Branding and Identity Campaigns Web Site Development/ Maintenance Other/ Merch. etc OTALS Signature Level Event $15,000 + $2500 Administratic ner event This budget is based upon a strategic plan that seeks to generate other sources of revenue for the 4th Friday Series so that the City of Clearwater (CRA) is NOT solely responsible for funding the events in the future. This plan is not only event operations, but complete business operation. FINANCIAL SUMMARY: 10 Events Annual at $15,000 per = Business Start Up = Annual Administration = TOTAL YEAR ONE OPERATION = 4t Friday in Clearwater $150,000 $ 25,000 $ 25,000 $200,000 I Building the Cleveland Street District Item # 3 Attachment number 1 Page 20 of 21 The 4trl Friday program has been in effect for over a year. It has been successful, and very demanding on the 4trl Friday Committee. With the current game plan to increase its size, impact, and popularity, additional management resources are required. The existing volunteer management has delivered exceptional results for over 17 months. The newly requested additional "Signature Events" requires full time support in order to create, market, and implement the event to the levels of excitement required for success, as well as relieve the volunteer committee from the immense demands of time. A long term plan must be created that details the upcoming 4trl Friday events. This will insure the optimal results. Communication with and assistance from all involved groups is necessary to insure the maximum exposure and benefits from 4trl Friday celebrations. The new "signature events" need to be presented to all stakeholders to avoid conflict, prepare marketing materials in advance, recruit potential sponsors, and generate excitement. Lack of signature events will result in poorly attended events and a drop off of community support. The following are the key points" 0 The 4trl Friday Events have been successful, especially when big events have been scheduled: 0 BIG EVENTS = BIG CROWDS A strategic plan incorporating all aspects of the organization reveals that the 4trl Friday events can be financially self sustaining if all aspects of the plan are implemented. Start up funds are required to continue the 4trl Friday events as well as implement the business strategy to create a self sustaining organization. 0 4trl Friday and the City of Clearwater need to work closer than ever before to utilize joint resources in building a successful signature event series. For a series of remarkable signature events on Cleveland Street, the proposed start up budget will be approximately $15,000 per event. These funds are for the success of the individual event. This does not include a business start up fee that would include 4trl Friday office space, web site development, branding campaigns, marketing materials for sponsorship solicitation, management fees, and other business start up costs. The above expense budget is very tight and will require other sources of community support. For example, a premier web site development will cost at least $ 10,000. Other start up costs will be at least $15,000. This includes a professional branding campaign, small Cleveland Street office space, the introduction of a merchandise line, downtown signs, a sponsorship solicitation kit, an operational manual and other business start up fees. Thus o full series of 10 4th Friday events combined with the start up business costs and monthly administration fees would total $200,000 annually. Community donations and support may lower these costs: i.e o tech company building the web site for free or of significant savings. The 4th Friday Management Team is requesting o financial commitment from the Clearwater Community Redevelopment Agency to properly seed the start up. The 4th Friday Management team recognizes this is partial funding and will aggressively seek the remaining dollars in sponsorships and other revenue sources to operate in this premier year. City contributions in the future should be reduced by 50-75% os they transfer to on event sponsor rather than the source of operation funds. 4m Friday in Clearwater Building the Cleveland Street District Item # 3 Attachment number 1 Page 21 of 21 s e r i r d hi I') IS i e? 4'h Friday in Clearwater Building the Cleveland Street District Item # 3 Attachment number 2 Page 1 of 4 ' I the Downtown R d velop7nQnl Plan (the Plan) is to create mmunit inlee vd! n and fun-for Clearwater residents and WHEREAS, a goal of the Plan is to create "downtown as a rnerriorabia place to enjoyed by residents and that spit li as can Clearw ter's waterfront loc-aiion, natural resources, guilt environmeni ;'.n history."; 2nd H? rP? 3, an Obi ive of thy.; 'vibes ?n M° programs within d I J f : ; i variety of visual and performing arts 4A r _ v--3F . (" r? A 673ire to continue, expand and improve the 4 r 1AVEREAS, The 4t ridelf __V economic dot,onlurn iri the CIevela?,d SU,,: t c:,A.storner bnss e t ! k Ac_a-_-T ge n a,.-; is.. :i i4m (A-- Lei l District duriri the current econorni d_ vrtt>rrrr; ) ?;p : '<jf„ • ?.l rj-? tial r Maurantlretail cv, stomers and investors to the Cleveland Street Distract throuuh attendance at 4th Friday ?v_qiat ; and T- U°G ?i i t,: m URMIORIM V E M73 Attachment number 2 Page 2 of 4 2011 :t . The finan-7r l , :port is, to set forth the total cost of operations provided, and , - oun ,-.r - '- fr ? ' in part by the CRA. F-,i s. "can of Funds Received. Downtown Events shall deposit the CPA grc.nt in a dedicated, segregated account to be used for 0 Friday events only. Funds c ,Av by Downtow. n Events from the CRA shall be used towards the payment of attendant to 0 Friday events only. 4) her Funding. Do town Events agrees to ursus L, "finding in the amount of $50,000 and private su? ° 11 the arriount of $125,W i . partially fund the 4'h Friday events delinr-!-!"d in Alibit A. a) ration of ? Downtown Events shall create, mainin and rake paccessible to a .r<:=ri;-;. CRA repre"ntatives such from eqAr -rapt z......urfing records, boc*-, a rd J,- ?[ , I ? oei ;3r a to reflect fully t available and . l A personnel, ano -;hc.J be r-ade avahbie in ri with t;ha per ttg, Florida Statutes ( ul-, :-# Rc. r. tad oti per a ) Use of e orza Downtown Events shall prodv - kauch reports and analyses that may required by the C to docui ---w the proper and prudent stewardship and use of the monies received tI iii agreement. c) Maintenance of Records. All records treat -d twehy are to be retain and maintain for a period not less than five () years from the close of the -ppl?c-able fiscal yc.:r. ot]-d °ther T- A : „,..'- of this agreement, the Downtown F're, L aor" rtt; ?e , ag-,nt: and rc;;tresentatives, 1,1..i part of the c onsiideraflon for this agreement do covenant and agree that: a) No Exclusion o Use. No p-: ?; shall be excluded from participation in, denied the benefits of, or m _ I -a subjected to discrimination in the operation of this program on the gi-)unds of race, color, religion, sex, handicap, agie or national origin, c) Breach of ore l alrr ?ru LBapn Covenants. In the event of conclusive evidence Attachment number 2 Page 3 of 4 C , ks g oers, q?ents, and employees from n p9 'rt any and all claims loss, liabili"",r and dam :r _'s of whatever nature, to per-ions and property, including, w. l r itir m i " the foregoing, death and loss of the use of any props ly, ex ,tsing from the. n ligenc : rf she C or Cm's agarA5 or emplcyc c,s.. This Ir iciv(ivs, but is not IiWed to, r a'Kers erring out of or claimed to have be-en --'OuE-ed by or in any manner reizrl ? to Downtown Events activitles or thosa Q` any apprt -;:,1 or unapproved invitee, contractor, s€Ib rftractor, or other person appyvqed, aurhv r zed, or permitted by Downtown Events whether or not based on neglipc'.-Ioe. Nothing IWein shall be construed a:a consent by the C to be sued by third pardes, or as a ,ia?fer° or modification of the p,roVslons or limits of Section 768.28, Florida tatLAes or thz? DocWne- of ovq?re gn lrrmu0y. 8) c Downtown Events shall comply with all app. ?!.. state, ccunr:-;' and local laws, rules and regulations. If it is ever determined that this Agreement violates any federal, gtwe, county or local laws, rules or regulatior r. _ rI Downtown Evcrits hall comply in a timoly manner or C may tarrnirlate. ARTICLE 1111. ES ,il lLITIIlL 1 `.f` 1) GKPPOM The C rocs to a one-thole graft in the arnaui wt see' $75,000 to D .tell; r E nt to partially fund the costs incurred in providing the ac ivilies authorized by this agraernant as provided in Ejdl Ub A here. ARTICLE I. DISCLA.- ea?d eTIE This Agri rn t constitutes the entire Agrearnent of the parties on the subject here and may not tiqrlemoth ed or discharged except by written Amendment drily exr ud b both parties. %,, r ;prey *nte'! ins or warranties by either party shell be binding unless expressed herein or in e 6-1-r -x cur d Amendment hereof. A R "T [_ - V. J h 1) For P--! , P ilure to adhere to any of the provisivr 6 of this Agreement in material rer;) t shell M nose for termination. Either party may terminate this Agreement for cause by giving ii is other party thirty (30) days notice terminat on. If the default is net cure4l within the thirty (30) day period following receipt of notice, this Agreement shall terminate can the tlli,e-;;rz°' (31 e,i) day. 2) i - a ._ ffull A ie ® In the event termination for any reason, monies pr od -ad to Dowrito-A!n Events ty G but not expend in accordance with this Agreernerrrt 4'.ha l be returned to the C within 0 days of demand. TICS VI. TIC 1) if v"' _.?ater Downtown Events, Inc. addressed to, 3 Item # 3 Attachment number 2 Page 4 of 4 2] If to CRAB, addressed to: William Sturtevant president Clearwater Downtown Events, Inc. P, 0.. Box 472 Clearwater, Florida 33757 The ective date of this Agreement shell be as of the crate written below. I IT NE s !F, the parties hereto have I- ;,` ii ,Jr hands erg seals thl - day of -, 0% Countersigned: Frank 11_ Hibbard Chairman Approved a to fo : P rnM /-1,,X0 n City Att amey Community Redevelopment Agency Red inhin Executive Director Attest: Cynthia E. Coudeau City Clerk 4TC EVENTS, INC. Item # 3 Meeting Date:7/13/2010 Community Redevelopment 0 Agency Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Approve contract between the CRA and Blenderbox, Inc., Brooklyn, New York, in the amount of $75,000, plus 10% contingency, for a total project approval of $82,500 for design, content development, copy writing and staff training services in conjunction with the development of a Cleveland Street District Marketing and Informational Website, and authorize the appropriate officials to execute the contract for same. SUMMARY: The Request for Proposals (RFP 10-10) for development of the web site for the Cleveland Street District in downtown Clearwater was formally released by the Clearwater Community Redevelopment Agency (CRA) on March 12, 2010, with a submittal deadline of April 12, 2010. The new website will support the overall strategy for downtown revitalization, which is to create a destination. The objectives for developing a website focused on the Cleveland Street District include: 1) to continue to build brand identity, awareness and interest in the Cleveland Street District; 2) provide a user-friendly tool for persons to access information on retail, commercial, restaurant, event and parking in the District. The website marketing strategy will be fully developed during the discovery phase of this engagement, but will inevitably feature heavy marketing to local and regional markets through multiple media sources; "cross pollination" of the web address on partner media vehicles(i.e. REH web site, Jazz holiday promotions); and, perhaps most importantly, inclusion of the website connectivity in tourist marketing efforts to expose the District and the resources/events to visitors to the County and our beaches. The tracking/analytics feature of the site will allow for continuous monitoring and adjustment of site marketing. Specifically, the RFP calls for the development of a stand-alone site that is dynamic, extremely easy to navigate, visually pleasing, safe and secure, quick to load and operate, interactive and informational for the citizens of and visitors to the Cleveland Street District in downtown Clearwater, as well as property and business (current and potential) owners. In addition, the "stand alone" nature of the website is intended to allow the CRA maximum entrepreneurial opportunity for marketing and event promotion, joint ventures with District businesses and stakeholder groups (i.e. video promotion of 4th Friday events); marketing promotion of joint-venture projects in the District(i.e.Water's Edge), as well as e-commerce opportunities in the future . Enhanced capabilities and features will include: 1) Multimedia content accommodation (i.e. MP3 or Flash) with imbedded capability to upload audio/video for display; 2) E-mail newsletter functionality to accommodate tools such as Constant Contact for group messaging and marketing ; 3) Site optimization for mobile phone compatibility 4) Easy to use calendar feature for events posting; 5) Trackin /g anal.. t? ics feature for marketing and quality control: 6) Interactive maps for directions and business, parking and event location; 7) Intuitive, easy-to-use content management system(CMS) to allow CRA non-technical staff to manage, edit and update site; 8) Easily retrievable Cleveland Street District Business Directory. Cover Memo Item # 4 Future site enhancements anticipate a "self update" capability whereby businesses, restaurants and community calendar users will be able to input and modify their site information directly, subject only to "gatekeeper" review by the Downtown Manager or other appropriate CRA staff. The RFP was advertised on the City's website, in local newspapers and through electronic mailing to select marketing and public relation firms. Twenty-one (21) firms from across the nation submitted proposals in response to the RFP. On May 4, 2010, the selection committee met to evaluate the written proposals and identify finalists who most closely met the objectives of the CRA for Website Development for the Cleveland Street District as delineated in the RFP. The Interview/Selection Committee consisted of: Rod Irwin, CRA Executive Director; Dan Mayer, Information Technology Director; Courtney Orr, Downtown Manager; Stu Sjouwerman, President, Sunbelt Software. The Selection Committee identified six proposals that appeared to best meet the selection criteria based upon a rating formula in the RFP. The selection criteria used was as follows: Expertise in website design (30%) Qualifications of firm and key personnel (20%) Previous performance and experience with similar projects/references (20%) Technical approach to project (20%) Cost quoted (10%) The top six firms were invited to make formal, detailed, in-person presentations to the selection committee on May 18 and 19. The six short-listed firms were: Artemis Solutions Group; East Lansing, MI Bayshore Solutions; Tampa, FL Blenderbox, Brooklyn, NY Chappel Roberts; Tampa, FL FSC Marketing Communications; Pittsburgh, PA Neiger Design Inc.; Evanston, IL Subsequent to the interviews, and after further due diligence and clarification, the selection committee recommended t the web site development team of Blender box , Inc., of Brooklyn, New York as the preferred firm for developing a website for the Cleveland Street District, subject to successful negotiation of contract terms. The major determinants of the decision were: 1) Expertise in website design, particularly experience with sites created for downtown retail and entertainment districts; 2) Qualifications of the firm and key personnel assigned to the Cleveland Street District website development project; 3) Technical approach to project most compatible with CRA objectives for the project; 4) Effective marketing approach for the new website; and 5) Thorough understanding of the scope of work and needs for the Cleveland Street District in downtown Clearwater. Funds for this contract are provided in the Retail Attraction/Assistance Project Account 94852, which includes a $100,000 item for this project. Appropration Code 388-94852 Amount Appropriation Comment $100,000 Review Approval: 1) Office of Management and Budget 2) Legal 3) Clerk 4) Assistant City Manager 5) Clerk 6) City Manager 7) Clerk Cover Memo Item # 4 Attachment number 1 Page 1 of 25 Item # 4 ? con'--. firm overview ...................................................................... .............................:3 our team ............................................................................. ............................. 4 org chart ............................................................................. ............................. 6 relevant experience past performance........ ............. ............................. 7 / our work .................................................... ............. ............................. 6 our approach ...................................................................... ........................... 1:3 understanding your goals .................................................. ........................... 16 our plan .............................................................................. ........................... 16 contact information ............................................................ ........................... 25 Item # 4 MYCLEARWATER.t M DE I & DEVELOPMENT firm Elender"wx is a full-service (Brooklyn-based) interactive agency. We are a group of ` lented user experience architects, innovative designers, and high J technolr_ is who help our clients succeed through strategic t , .. novativ® r ,.I nd technological expertise. Bier ,-'-,-box was foun--- in 1999 h%/ - :,,r-qh McLoughlin and J- in Jeffries, each of whom has an extensive k _i( )u 7d with interactive C d technology. Their unique blend of d _ . =)nd technology experi is the driving force b 7d Elenderbox's a Ay to provide top quality solutions. Our f'irm's act rooted in provi ' it customer service. We have been in ti- L of proe'_ w .) di , i nd development since our inception ten yea go. Before th it, Jason J ffi es was a lead developer with Razorfish and Sarah McLoughlin was an t ' )r for Firstborn Multimedia working with clients such as Calvin ,., L`.)real and Estee Lauder. "Thank you very much for your outstanding efforts on behalf of the Clinton Foundation...t applaud the steadfast dedication, creativity, and professionalism with which Blenderbox completed these projects." Bill Clinton ciintonfoundation.org Our services include strategy, high-quality ..ite. r"a( c . and branding, information architecture, custom web a')p!l `ion i i development, interactive media design, flash design = ' ' pp )n development, as well as consulting, web strategy and maini )nce re `i )nships. Other services include ecommerce, CMS, CRM, ERF and eLearning application development as well as managed hosting and support agreements. Our i m is ready to engage wi CRA order to leverage our I ..r iding of web technc ._ _ ay end interface design towards your rE design goals. Item # 4 MYCLEARWATERX M DE I & DEVELOPMENT ir -M s it team is your team. We've built this outfit carefull, , f i ? our i )c ' ites are the source of our collective k y to innov ' ?, produce, and F ?er results that resonate. Each of o r ( developers, architects, and managers are full-time, forward-thinKing, pioneering, and exacting- strategists and masters of their trade. We are not looking to simply hand-off deliv - > your creative agency, but rather build an evolving relationship as your 7teractive partner to support what we develop for you. i ' - ffri technology director, founder Item # 4 MYCLEARWATERX M DE I & DEVELOPMENT Communications from the National College of Art and Design, Dublin, Ireland. Blatt Raw senior information architect Caleb Brown senior recf ' . ' Caleb Drawn studied computer c.._ineering and computer science at the University of Texas at Austin and began working with Internet technologies in the tall of 1999 v 7 focus on Macrom I '7. Caleb is a seasoned developer r°p- ' ' w :w front-end tecr` "HTMIL, C SS, DHTML and cross-brow _ar / c. _ -pAtrorm compat _. He has emerged as a leader in Flash te( nologies and an activ tic pant in the flash developer community. He joined Dlenderbox in th f < 03, and has worked on prc _r Time Out New `fork, L'Or& for Downtown New `fork G_d ® )?IStein Properties. Anna L_ mor project manager Item # 4 of - MYCLEARWATERX M DE I & DEVELOPMENT i `Blenderbox is a full-s-vice interact;v^ ,icy comprised of the founders (director of IT and crE ''ve director), pr ' managers, information architects, creative C ' s, and prod, _ rimers. We are twenty+ full-time employees based in Williamsburg, Brooklyn in an 8,000 sq. ft. loft space. / organizational chart Item # 4 r;lr,r.,lur,,:ul uur,L,:r MYCLEARVATERX M DE I & DEVELOPMENT We have a wealth of experience with business improvement districts, gov, i...,nent and non-profit websites. We've done work for the military ( 1C the U.S. Coast ward), the government (The USO), and agencies i ` v.ith New `fork City such as The Downtown Brooklyn Partnership, c_ s of Downtown New `fork and the Brooklyn Bridge Park Development Cooperation. We have a VENDER number with New Yo-', ":1y We are registered as a Women-owned -_. B..terprise ( ) with certification from both the City of New Yorl id Port Authority of New `fork and New Jersey. We have more than $1 million per occurrence and $2 million in the agc e of Commercial General Liability insurance and will not have a problem adding CRA as an additional named insured. We can also provide evidence of Workers Compensation/Employers' Disability insurance. The following work samples reflect our diverse work across a variety of industries. Each exemplifies our clean and intuitive user interface designs. While not int ' ided bE _,w, we have adc.... it eated corresponding e- commu:.:f- cc --' or many of r r in the form of template driven r.-vv .i_.-s, e- i_ site banne.°W, . . w:Jgets; each of which matched tl" redesigr ' online identity of o1 - clients new website. To viers our full portfolio p(e? , - : r rt: www,bienderbox.com Item # 4 MYCLEARWATERX M DE I & DEVELOPMENT /cry . i M-N STREET 043 Item # 4 MYCLEARWATERX M DE I & DEVELOPMENT iL Item # 4 L, r 21, MYCLEARWATERX M DE I & DEVELOPMENT D(-..,. :. Alliance / completed w/retainer c-.. w..:iny, corn / 00 - x nt 2007 W3 Award Winner The F Y!,itown All; ,r committed to m 7g Lower Manhatt a premier ( i ?n for bu: . ?s, resident- d _.r ice 20C 3, c' -box I , provided the te&...c.ogy and (' -- 's onlins ...itiatives, i(_ ig its website, content m i it _ ,s'-. t active map, events c; )r, e-mail newsletters ?,, d of .. a , d-. tu, -.,t system for its maps t d sides. A - L4 it 1 I? Item # 4 j = MYCLEARWATERX M DE I & DEVELOPMENT / pen pace Alliance / , tmpl ted o nb.org / 00 / ,6ic.. 'i-line The Open spa,- A!!?ance website i,, -, , .-'lent example of - - design that can bE . 3d in a very tight bu(.. C 3spite the sme b1 t . :)r this newly termed nc.i-profit, the web includes a clean and : iple-to-use VVYIVVIO administrative toc::: jws an administrator to control all content across the site incluL,;,i,, events calendar. (see bottom screenshot) C Ir, r Stephanie Thayer (Executive Director) Path: Item # 4 MYCLEARVATERX M DE I & DEVELOPMENT / Clinton Presidential ' , w / completed lintonpr id nti l nt -.cr 2008 IMA Best-in-Class Award The William J. Clinton Presidenl?-' " +- -Q. Park attracts hundreds of thousands of visitors each year. p . 2J04, the Center is home to the VV...iam J. Clinton Presidential Libra y - id Museum, the University of ,' <-as Clinton School of Public Service, and the Little Rock offices of the i ton Foundation. r J_ -box designed and gplemented an integrated solution, complete with cite of content ma .a- t tools to provide a new level of access to the Presidential Center's aux. .c,-. The new site provides admissions, exhibit and event information for itors, and educates the public at large about the Clinton Presidency and the Center itself. ,j Item # 4 L" „f '_ MYCLEARWATERX M DE I & DEVELOPMENT how w aim to meet your goals and objectives We have outlined our approach below, followed by the scope and requirements that will guide our plan for a successful r- d _ . Our methodology is straight-forward. / Listen / Think / Create / Deliver Listen refers to our information gathering pro( where we essentially listen to you. We will dedicate an appropriate gount of time in order to what is unique about your objectives, listen to y( it team, and me t importantly familiarize ourselves with your i ' and thE' g ''Ve wiii fully immerse our entire team in this el=fort, u? ,L „ tagral to a -3ful outcome. Think corresponds to our internal process of brainstorming, peer analysis, content organization, and planning that we will present back to you, which will ultimately result in a high quality interface and recommended back-end solution for the new district website. You can trust that we will do our hom i ork looking at the websites of competitors and community r_ vi' . _)n projects n order to glean industry standards and best practices. r refers, of course, to the creative process, where our designers will manifest their talent in the form of original and innovative interface visuals applied to custom or "customized" tools and web-based solutions. E" 1-r corresponds to the execution of our work. Our expert developers F v( . bug-tree, standards compliant, best-of-breed front-end and back-end itions, i. t€ grating a content management system and any additional third party app..'.- , _.-, ; where appropriate. Item # 4 ,f MYCLEARVATERX M DE I & DEVELOPMENT / Cr 'tiv -oath It's fair to say that our approach to the creative process varies k., t = rd project. We do our homework-competitive audits, brand exploraLion, uucr research-and subsequently derive the most appropriate look-and-f€ ?l for the project at hand. P ,iii our diverse portfolio, which spans multiple industries an 'n( .', urge and small, you'll notice consistent use of balanced . ' typography, and intuitive user interface. ? Vhether the message is marketing, educational, or informational, we strongly I nv,- that "less is more" and, across the board, our work demonstrates t- -t It important to mention that our pros( i Jghly collaborative and multi- y. We do not to v ."'7 the creative pros R_ a group work in(' c' _ ti, ":,Jr on rounds of civ with ov. -the-shoulder "cr' p ice, tr, role in the process. We strc u y believe c ' 7 and tec' o ,uy are not mutually exclusive and prid- o? ° "v-s on the ,_iuL that our c' ' _- understand technology and our devc:_? h_.ve an eym for clec... b .:_.... User c_ _ ' _ d design Our user e 3 rience team excels in usability testing, development of personas and stakeholder and user interviewing techniques. With degrees in Human-Computer Interaction (I-ICI), our team's user-centered deli approach is core to our pro, -.. all web design initiatives reg__C' of size. We believe in involving users throughout the proc > for projects of any size, whether it requires large-scale focus groups or qL P "guerilla" usability testing with peers. We do not design in a vacuum id we strive to involve users early and throughout the entire web development process. This may manifest as quick interviews with your team or perhaps a feedback mechanism built-into your eventuw lution. For C SA, we'd be curious to explore _iy ways that users can, not only be informed, but included in the process of both outreach and planning. This may be a mple as a web surv y or allowir users to tag Flickr photos of themsely-- i" district. I-low-v it '-> ma-'f- we'll be mindful of the budget and ice, _ '' to ensure a fE nd E _ _ solution. Item # 4 MYCLEARWATERX M DE I & DEVELOPMENT / project management As veterans in the industry, we know that technical and design skills are not the only requirements. We seek to be your trusted interactive partner beyond this initial website redesign and acknowledge that as client and vendor we will be establishing a relationship. The secret to a successful relationship (and hence a successful project) is commi nication, and we must excel at communication in order to deliver acf Throughout the project, we will keep you in the loop with fr- nt, diligent and thorough communications, both online and ol=d. We p I"' h importance on collaboration and are eager to leverac t' , power of our collective brain trust with in-person and remote m- i , -specially during the critical planning phase. You can expect status calls, video conferencing and in-person meetings for I presentations and deliverables to your team and stakeholders from your bred project manager, who will serve as your primary point of contact i bu responsible for day-to-day correspondence. Item # 4 '_ MYCLEARWATERX M DE I & DEVELOPMENT ui-, u ?' your 4 `.+/e have carefully re-d your requeF t for propc --vigated through your € J site, a d . °r. d about the " , pr. " -t hand. We have prepared the following objective "guidelines" that reflect our current understanding of your project. c --- .. _.. " I „ - I -;ning It seems Li us, that all. _v? --riding elPm t of this website must be centered around the profound ;. ° that ht )p _ ..7 the Cleveland Street District. This develop:-.i- _t ®ffort is doing to enrich real estate, outdoor social life (Cate oci( ??;, well as tourism, hotel frequency, community arts, programs, ..i( tives, parking, events, etc. The we'd ..' r€ Id e on the public ant - 7 of what is to come. It should L _ c or,_ ,ed and inform of both prc. and current offerings on CIevela i ' Street. -, `c, progress timeline The new webv'" _ is witnE to the evolution of the district and although there isn't _ c ' t' e j€ ' (ed with the growth anticipated, the site should educ_to us-.. , _it L; pk,JA ss. Mstones and information, whether visual, multimedia, or text should be , tied to the timeline of progress. I -clay it is presented in a linear and buried fashion with expandable and collapsible news items that are pre: ted out-of-cont€ We envision a much more visual approach tha: \A --trate the _v? _ offerings that users can expect from the site and distil _t. Item # 4 MYCLEARWATERX M DE I & DEVELOPMENT rnappin / transition One of the biggest c ' u ;s will be to build s( ition that can adapt to a project ?i o'. constant transition. vJe I ve A of experience with this from our wor' for the Downtown Brookly F i iip, the World Trade Center and the Brooklyn Bridge Bark Development Cooperation websites (all three representing areas of development and great change) and are confident we will meet this challenge handily. Item # 4 ,1 21, MYCLEARWATERX M DE I & DEVELOPMENT our p14 IN From our perspective, you require the following services: discovery site planning information architecture content strategy visual design graphics production development front-end and a content management solution quality assurance migration, deployment hosting recommendation Item # 4 MYCLEARWATERX M DE I & DEVELOPMENT / discovery At the onset of this initiative, we will prepare and review a pr-i-(-t p1-1 and schedule with your team to ensure a shared understanding of 7 ii, lestone and deliverable. Collaborating with your team, we will continual ,, manage, monitor, and communicate the progress of this initiative. deliverables kickoff meeting -To kickoff the project we will arrange an immersive "information gatherir " session to orient our team with members from your team. The -Pnda will include introductions, definition of roles and respor ' nd identification of points of contact. project plan - Once mutually agreed upon we will deliver a project plan developed in Micro )ft Pro' Wt ' „oJng specific milestones, timelines, depenc' verables for execution of the project requirements. content inventory and audit - We will prepare a thorough inventory and report of existing content and content-types with indications of what will be re-purposed or omitted from the new site, what needs to be created and who will create new content. This will guide the development of t contcnt strategy and content migration plan. functional I is i - We will flesh out the requireME .` and develop a specifl- `._in recommendations that articulat c d functionality and technical solutions that support that function mty. technical -,it tur - A document summarizing the target technc. _: p itforms, and other technical requirements or constraint ; for the website and corresponding content management system. f ra t Id r Int rvl w- A c:jc i t summarizing the 4...c . 1eS platforms, and oth ° to 1..c ,E airements or ,. o, -, th _? website and correspL AL.... 1 CC_ t me i t system. Item # 4 MYCLEARVATERX M DE I & DEVELOPMENT / information architecture Witt.:. _ t .)ined from our discovery process, our information architects will sketch out t ? structure for key areas of the site.. Specific emphasis will be placed on navigation, a d organization of construction and site activity updates, an ever. ( .c )r, multimedia content, interactive map and email communicatior n order to develop a proposed sitemap followed by a growing deck of vv„aframes. Our user-e )i e experts will create wireframes that correspond to each unique page tE nplate; beginning with the homepage am illing down into each of the core erections of the site. Throughout this pry our team will focus on an intuitive and interactive interface that en__ _i(h audience. deliverables it map - One of the preliminary del /? - will be a proposed sitemap for the new website with emphaE placed on well thought out content organization as it pertains to an interactive map, construction updates and calendar of events. it fr me - Much like a schematic or blueprint for construction, we will develop ) black-anc'-v )ite diagram of key pages and interfat v 'I i I :)tatior _ ''aing the user-experience. Once the,e ? cor, a - of over, _-10itecture" of the site, we move into the i pl Cc_ YI; - C -box and ORA will work in tandem to dE d _ op a cant(-..t p! d the content itself. Through our discovery pl_ - we wil. by ti'w.v to Lantify the amount of content that is goinIV t- developed and will then allocate the work accordingly. Howev€ the copywriting can be completed within the outlined budget. Item # 4 III number 1 „"f - a r% Item # 4 MYCLEARVATERX M DE I & DEVELOPMENT / vc' The development of the site will include front-end c' ' id integrated back-end tools comprised of a customized open-sour(, Content Management System (CMS) or a customized backen? tool called polywog developed internally by Blenderbox depending on what solution will best suit the needs of the site. Over the years, we have implemented many custom and third-party CMS tools in a variety of languages and platforms, each custom-integrated on a project-by-project basis in order to deliver the most appropriate solution for each client. You 7 expect a system that is easy-to-use for non-technical personnel and J or the exact workflow that we mutually define for CRA. We'll artic to the CMS requirements based upon what content needs to be updated, how frequently and by whom in order to tailor a solution that works for your team. The system will offer VVYBIVV` G editing, preview capabilities, rollback and versioning, photo galleries, document L p.jad, permissions, notifications, RBB management, email opt-in/opt-out c p and audio/video integration, among many other features and cape 3. Our coding practices are best-of-breed, with VV:3C standards compliant code, SEO optimization, cross-platform/cross-browser CBS, and ADA 508 compliant approaches executed as standard operating procedure. front-end coding - Full front-end source code i e ' ' g xhtml, html, dhtml, javascript, and CBS will complement our l design deliverables. back-end d meat - Implementation of an open-source CMS solution to m the site's content and will be compatible with Microsoft -', NET and will not require plug-ins as a default. coats it i - At the outset of the project, we wil c o to with yourtE m to ueate a content migration plan, then uoor Idle content ei try -ing the development phase. c - +/e will integrate an easy-to-update calendar of events that w be featured prominent". `hroughout the site. The calendar will be archable and sort-abl ( ;ee the calendars we have developed on The Downtov and Downtown Brooklyn Partnership Websites). Item # 4 MYCLEARVATERX M DE I & DEVELOPMENT . .i..analyflcs - We are experts in a .m L alytics and rect. nmend it as the tool used for tracking and reporting on referring pages including email newsletters, downloaded reports, embedded media, and integration of tools. Our ability to custom configure Google Analytics will provide deep analysis and insight into how your users experience your site. - - ?(,h will serve as key navigation point for visitors )v - :)r_ to search for events, notices, announcements, and rer r ont(-..t across the entire site. multi r__ ), c_ -itof - T..a d d administrative tools will accommodat i(.::_(.:.. . MP 3 or Flash FLV format with a customi,ed p _- t, ' b- embedded in the website. The admin tools v... ?w ipload of idio(video assets. Interactive map - We will d ustom map of the park with various layers th r,qn be turr, _i )r off (e.g. planting scheme, public transp(_.-t-' i, upcoming, vents). This map will likely use flash and or an int(°U c' )ogle M-os base-map in a manner similar to Prospect Par )' We... p to provide tools that will make this map easy to update G? the pug _vu,ves. _ Instruction -Our project management t& n will guide the p..mary point of contact on your team through th t and use of the new OM tools at the end of the project. hand-off - At the end of the project we will turn over c PDs, FLAB, and all source code, which will then be owned by ORA. / quality assurance Our quality assurance team will assist with vetting the solution using our defect-tracking platform to test the site for compatibility, functionality, usability, and editorial accuracy. Item # 4 1.1 „( MYCLEARWATERX M DE I & DEVELOPMENT We will develop test plans and incorporate testing into our overall development strategy leading towards a stable build/release cycle and an eventual public launch of the new website. We r-- tee our coding to be detect -v-l ? jg tree. Our designs, coding, and ' up , tation will be thoroug z 3d and tested prior to the site's public I? i ch. / hosting The solution we develop can be hosted with any reputable IP or you can choose to host it with us under a separate agreement through our cloud- based solutions provided by Amazon Web Services or I ? lost. Hosting with us will allow you to have one point of contact for C _ v( _ _)pment, maintenance, and support and hosting within a cloud wil ow for further scalability. Your team will be able to rest easy knowing that it there is an issue, you do not need to concern yourselves with whether it is software or a hardware failure - you have one number to call. / maintenance staff Our goal will be to develop a self-mains-?- ?olution. We cite the Downtown Brooklyn Partnership as an it 3xample of a highly scalable solution that has been virtually self-mainta Die and updateable with non- technical staff for years. Instead of paying us to maintain your site, we'd rather you come back to us with new and exciting features you'd like to add to the site. We'll always make ourselve. -v for additional post-launch enhancements and can either wo,< ourly, under a monthly retainer or with fixed tee quotes. Item # 4 MYCLEARWATERX M DE I & DEVELOPMENT co r i information 1 01 blenderbox, inc. 26 dobbin street ::3r`' floor brooklyn, ny 11222 t: 7" (414594 f:7" T 3.7804 e: jf' -man@blenderbox.com For more information about blenderbox, please visit our website at blenderbox.com. Item # 4 Attachment number 2 Page 1 of 8 Master Services Agreement This Master Services Agreement ("Agreement") is made and entered into as of July 14, 2010, (the "Effective Date") by and between Community Redevelopment Agency of the City of Clearwater located at P.O. Box 4748, Clearwater, Florida (hereinafter "CLIENT"), and Blenderbox, Inc., having a primary place of business at 26 Dobbin Street, 3"d Floor, Brooklyn, NY 11222 (hereinafter "VENDOR"). Background VENDOR is in the business of providing certain information technology services, including but not limited to creative design, web application development, information architecture, production graphics, development services, technical specification, documentation and quality assurance to companies as an independent contractor; and CLIENT desires to retain VENDOR to provide such services in accordance with and subject to the terms hereof. NOW THEREFORE, the parties agree as follows: Article 1 Services Provided 1.1 Statement of Work Orders All work performed by VENDOR shall be documented in a Statement of Work Order signed by authorized representatives of both parties and incorporated herein and attached hereto as Exhibit A. Each Statement of Work order shall set forth, as applicable, the work to be done, the milestones for deliverables pertaining to the work, the location of the work, the resources to be provided by CLIENT and VENDOR, respectively, and the fees for the work to be performed. VENDOR and CLIENT each shall have the right to accept or decline any proposed Statement of Work order. In the event of any conflict between a Statement of Work order and the terms of this Agreement, the Statement of Work order shall control. 1.2 Services VENDOR shall perform all work necessary for the particular Statement of Work order including any and all technical writing, analysis and design and quality assurance services to be provided by VENDOR for CLIENT toward the implementation, modification, or maintenance of web-related content, applications, software, and databases under the constraints and strictures defined by the pertinent Statement of Work orders. 1.3 Method of Performing Services VENDOR shall determine the method, details, staffing, and means of performing the work to be carried out for CLIENT. Notwithstanding the above, CLIENT shall be entitled to exercise a broad general power of supervision and control over the results of work performed by VENDOR to ensure satisfactory performance including the right to inspect, stop work, make suggestions or recommendations as to the details of the work, and request modifications to the scope of the Statement of Work orders which shall be agreed to by the parties. 6/22/10 Page 1 of 8 Item # 4 Attachment number 2 Page 2 of 8 Article 2 Compensation, Acceptance, Product Warranty and Destructive Elements 2.1 Rates The current schedule of fees for work performed by VENDOR shall be set forth as part of each Statement of Work order. 2.2 Estimates Estimates of total fees for projects may be provided in a Statement of Work, but VENDOR does not guarantee such estimates unless explicitly guaranteed in the Statement of Work order. 2.3 Invoices VENDOR shall submit invoices to CLIENT as defined in the appropriate Statement of Work order. Each invoice will provide a breakdown and distribution of charges by name of individual consultant and expense items. All undisputed fees shall remain due and owing. 2.4 Date for Payment of Compensation CLIENT shall pay each undisputed invoice as provided in the Florida Prompt Payment Act, F. S.218.70(2009). 2.5 Acceptance of Final Product Within sixty (60) days following delivery, completion, and demonstration of the last project milestone described in the appropriate Statement of Work order, CLIENT shall deliver to VENDOR a signed letter, or e-mail notification, either accepting or rejecting the completion of the Project. If completion of the Project is accepted, VENDOR shall deliver the final invoice to CLIENT. If completion of the Project is rejected, the letter shall detail all reasons for the rejection and the specific actions required to remedy the same. VENDOR shall take these actions and re-deliver the materials comprising the Project and demonstrate its functionality against the Project's specifications, and CLIENT shall once again follow the procedures in this Section 2.5. CLIENT shall not reject the completion of the Project on a second or subsequent occasion if the materials delivered by VENDOR comply with the required remedies in all material respects. 2.6 Product Warranty VENDOR hereby warrants that for a period of ninety days (90) days after final acceptance of the project ("Warranty Period") described in a Statement of Work order ("Order"), the work performed under such Order shall be free of defects in programming and operation and shall function in material respects in accordance with the specifications set forth in the Order. In the event that the work performed under the Order fails to perform in accordance with this warranty, CLIENT shall inform VENDOR of such fact and VENDOR shall provide such programming, design, and installation services as may be necessary to correct such errors without any additional charges to CLIENT. 6/22/10 Page 2 of 8 Item # 4 Attachment number 2 Page 3 of 8 2.7 No Destructive Elements "Destructive Elements" means all acts, omissions, computer instructions or code intentionally designed by VENDOR to disrupt, disable, alter, damage, interfere, harm, or otherwise access, remove or impede in any manner (including aesthetical disruptions or distortions) any of CLIENT's software or equipment (sometimes referred to as "viruses" or "worms") that would disable or impair the operation of CLIENT'S software or equipment based on the elapsing of a period of time, exceeding an authorized number of copies, advancement to a particular date or other numeral (sometimes referred to as "time bombs", "time locks", or "drop dead" devices), or which contains any other similar harmful, malicious or hidden procedures, routines or mechanisms which would cause such programs to cease functioning or to damage or corrupt data, storage media, programs, equipment or communications, or otherwise interfere with operations. Any work performed by VENDOR for CLIENT shall not contain any Destructive Elements. Article 3 Intellectual Property Licenses and Proprietary Rights 3.1 Ownership of Materials All materials produced by VENDOR for CLIENT pursuant to this contract, including but not limited to all code, designs, reports, guides, scripts, templates, models, and notes ("Materials"), shall be "works made for hire" and CLIENT shall be considered the "author" within the meaning of the United States Copyright Act (the "Act"). All rights in and to Materials, including, without limitation, all inventions and developments (whether patentable or not) and all copyrights and extensions and renewals thereof under United States Law, are and shall remain CLIENT's sole and exclusive property. To the extent that any Materials or any part thereof shall be deemed by any court of competent jurisdiction or any governmental or regulatory agency not to be a "work made for hire" within the meaning of the Act, the provisions of this contract shall still control and, for the consideration set forth herein, VENDOR hereby irrevocably and absolutely sells, assigns, sets over and transfers to CLIENT, its successors and assigns, all right, title and interest in and to the Materials and all intellectual property rights therein. VENDOR agrees to execute and deliver any documents and instruments reasonably required by CLIENT to evidence and to vest CLIENT's exclusive ownership of the Materials and all intellectual property rights therein and to apply for and obtain patents or copyright registrations with respect thereto. VENDOR hereby irrevocably appoints CLIENT to be its attorney in fact and, in the name and on its behalf, to execute all such instruments and take all other actions and generally to use its name for such purposes. VENDOR represents and warrants that all Materials presented to CLIENT shall be free of any adverse claims of rights therein. The Materials shall be either original works or, if not original, VENDOR will procure the necessary licenses and/or releases from third parties to enable CLIENT to use the Materials; and VENDOR shall indemnify and hold CLIENT harmless against any and all losses, liabilities, awards and costs (including legal fees and expenses) arising out of or related to any third-party claim resulting from use of material produced by VENDOR for CLIENT. Notwithstanding the foregoing, VENDOR retains the right to display graphics, screen shots and other web design elements produced by VENDOR for CLIENT pursuant to this Agreement as examples of VENDOR's work in its 6/22/10 Page 3 of 8 Item # 4 Attachment number 2 Page 4 of 8 portfolio. In addition, CLIENT agrees that VENDOR shall be entitled to place a link and/or language crediting VENDOR with the design of CLIENT'S website, which link and/or language shall be in such manner as CLIENT may reasonably consent to or designate. Article 4 Term and Termination 4.1 Term This Agreement will become effective on the Effective Date and will continue in effect through the completion of all Statement of Work orders or April 14, 2011, whichever occurs last. 4.2 Termination for Convenience CLIENT may terminate this contract, for any reason or no reason, with ten days written notice to VENDOR. In the event of termination pursuant to this subsection, vendor shall be paid for its work up to the effective date of the termination. 4.3 Termination for Cause CLIENT may terminate this contract immediately upon written notice to VENDOR in the event of VENDOR'S breach of any terms of this Agreement. In the event of termination under this subsection vendor shall be paid only for work completed and accepted by CLIENT. 4.4 Delivery of Product Upon termination for any reason, VENDOR shall deliver to CLIENT all materials originally provided by CLIENT or its affiliates, as well as all work produced up until the time of termination, including designs, reports, templates, models, composites and any other materials, code or documentation that it has prepared. Upon termination by either party, VENDOR shall not perform any further work under this Agreement. 4.5 Survival In the event of any termination or expiration of this Agreement, Section 2.6, 2.7, 3.1, 4.4, 4.5, 5, 7, 9 and 10 shall continue in effect. Article 5 Proprietary Information and Confidentiality CLIENT and its affiliates will be sharing proprietary and confidential information with VENDOR to enable VENDOR to complete the appropriate Statement of Work order. Such information may include but is not limited to business information including practices and plans, financial information, operations, computer systems, technical information and fiduciary relationships or any other non-public information about CLIENT's business and the business of CLIENT's customers ("Proprietary or Confidential Information"). VENDOR agrees to keep strictly confidential all communications and all documents and information shared by or on behalf of CLIENT and its affiliates, and shall not disclose any of this information, the terms and purpose of this agreement, or any information or material developed under this agreement to any third party without prior written consent of CLIENT. Upon termination of this Agreement, 6/22/10 Page 4 of 8 Item # 4 Attachment number 2 Page 5 of 8 or upon demand of the CLIENT, whichever is sooner, VENDOR shall return to Client any and all documents containing Proprietary or Confidential Information, or from which Proprietary or Confidential Information could be inferred, including any copies or reproductions thereof and to destroy any electronic copies and verify in writing that it has complied with this obligation. Confidential Information shall not include : (i) information that may be disclosed generally or is in the public domain through no fault of the VENDOR; (ii) information received from a third party outside the CLIENT that was disclosed without a breach of any confidentiality obligation; (iii) information approved for release by written authorization of the CLIENT; or (iv) disclosures of information that may be required by law or an order of any court, agency or proceeding to be disclosed. The obligation to maintain the confidentiality of the Proprietary and Confidential Information as provided hereunder shall survive the termination of this Agreement. Article 6 Independent Contractor 6.1 Intention of Parties VENDOR shall perform services pursuant to this agreement as an independent contractor with respect to CLIENT, and nothing in this agreement shall create, or be deemed to create any relationship of employer and employee or of principal and agent between CLIENT and VENDOR. As an independent contractor, VENDOR is solely responsible for payment of all compensation to its employees and all applicable obligations to state and/or federal governmental agencies, including, but not limited to, income tax, unemployment tax, business registrations fees, etc., for its own employees. VENDOR agrees to defend, indemnify and hold harmless CLIENT from and against any claims, liabilities, or expenses relating to payment of compensation to VENDOR employees, as well as their tax, assurance, and/or benefit matters. 6.2 Location of Work VENDOR will work at its own office, as well as the offices of CLIENT when necessary for meetings and consultations; however CLIENT will not dedicate a particular office or support staff at its locations specifically to VENDOR. VENDOR will set their own hours and days of the week to work, consistent with their responsibilities to CLIENT. 6.3 Nonexclusive VENDOR shall retain the right to perform similar services for others during the term of this Agreement. CLIENT shall retain the right to cause similar work to be performed by its own personnel or other contractors during the term of this Agreement. Article 7 Warranties CLIENT represents and warrants that it has the right, power, and authority to enter into this Agreement, and that this Agreement does not conflict with the terms of any other agreement to which it is a party. 6/22/10 Page 5 of 8 Item # 4 Attachment number 2 Page 6 of 8 VENDOR represents and warrants that: it has the right, power, and authority to enter into this Agreement and that this Agreement does not conflict with the terms of any other agreement to which VENDOR is a party. Article 8 Insurance 8.1 Liability Insurance VENDOR shall furnish, pay for, and maintain during the life of the contract with CLIENT the following liability coverage (i) comprehensive general liability insurance on an "occurrence" basis in an amount not less than $1,000,000 combined single-limit bodily injury liability and property damage liability; (ii) business automobile liability insurance in the amount of at least $1,000,000, providing bodily injury liability and property damage liability; (iii) workers' compensation insurance applicable to its employees for statutory coverage limits, and employers' liability with a $500,000 limit, which meets all applicable state and federal laws; and (iv) professional liability/malpractice/errors or omissions insurance, as appropriate for the type of business engaged in by VENDOR, shall be purchased and maintained by VENDOR with minimum limits of $1,000,000 per occurrence. 8.2 Additional Insured CLIENT is to be specifically included as an additional insured on the comprehensive general liability and business automobile liability policies referenced above. 8.3 Notice of Cancellation or Restriction All policies of insurance must be endorsed to provide CLIENT with thirty (30) days' notice of cancellation or restriction. 8.4 Certificates of Insurance/Certified Copies of Policies VENDOR shall provide CLIENT with a certificate or certificates of insurance showing the existence of the coverage required by this Agreement. VENDOR will maintain this coverage with a current certificate or certificates of insurance throughout the term stated in the proposal. When specifically requested by CLIENT in writing, VENDOR will provide CLIENT with certified copies of all policies of insurance as required above. New certificates and new certified copies of policies (if certified copies of policies are requested) shall be provided to CLIENT whenever any policy is renewed, revised, or obtained from other insurers. The certificates and/or certified policies shall be sent or delivered to CLIENT's Project Manager and addressed to: City of Clearwater P.O. Box 4748 Clearwater, FL 33758-4748 Article 9 Indemnification VENDOR shall defend, indemnify, save and hold CLIENT harmless from any and all claims, suits, judgments and liability for death, personal injury, bodily 6/22/10 Page 6 of 8 Item # 4 Attachment number 2 Page 7 of 8 injury, or property damage arising directly or indirectly from the performance by VENDOR, its employees, subcontractors, or assigns, including legal fees, court costs, or other legal expenses, except to the extent any of the foregoing was caused by the negligence or misconduct of CLIENT. Article 10 General Provisions 10.1 Notices Any notices to be given hereunder by either party to the other may be effected either by personal delivery, overnight carrier or by mail, registered or certified, postage prepaid with return receipt requested. Notices shall be addressed to the parties at the addresses appearing in the introductory paragraph of this Agreement. The addresses to which notice to a party shall be addressed pursuant to this Section may be changed by written notice to the other party. 10.2 Entire Agreement of the Parties and Modifications This agreement contains the entire agreement between the parties and may not be changed orally, but only by agreement in writing signed by the party against whom enforcement and waiver, change, modification or discharge is sought. 10.3 Governing Law and Venue This agreement shall be governed by the laws of the state of Florida. Any action brought by either party shall lie in Pinellas County, Florida. 10.4 Assignment Except as specifically set forth in this agreement, the rights and interests of VENDOR in this agreement may not be sold, transferred, assigned, pledged or hypothecated. The rights and obligations of CLIENT hereunder shall be binding upon and run in favor of the successors and assigns of CLIENT. In the event of any attempted assignment or transfer of rights by VENDOR hereunder contrary to provisions hereof, CLIENT shall have no further liability for payments hereunder. 10.5 Captions Section headings, or "captions", in this agreement are for convenience of reference only and shall not be considered part of this agreement. 10.6 No Contracting Authority In performing the services described in the Statement of Work order, VENDOR will not serve as an agent for CLIENT and will have no power or authority to enter into contracts on behalf of CLIENT. 10.7 Limitation of Liability In no event will either party be responsible or liable for indirect, incidental, special, or consequential damages or costs whatsoever resulting from or related to the services provided hereunder, even if a party has been advised, knows or should know of the possibility of such damages. Each party's total liability under 6/22/10 Page 7 of 8 Item # 4 Attachment number 2 Page 8 of 8 this Agreement for damages, costs and expenses, regardless of cause, shall not exceed the amount of monies paid to such date under this Agreement. Some states do not allow limitation or exclusion of liability for incidental or consequential damages, so the above limitation or exclusion may not apply there. IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be duly executed as of the date below. FOR VENDOR FOR CLIENT Blenderbox, Inc. Community Redevelopment Agency of the City of Clearwater NAME: TITLE: NAME: TITLE: DATE: DATE: 6/22/10 Page 8 of 8 Item # 4 Attachment number 3 Page 1 of 9 Exhibit ""A" Community Redevelopment Agency statement of work client: Community Redevelopment Agency --------------------------------------------------------------------- project: Website Design and Development --------------------------------------------------------------------- job #: CRA001 agency contact: Anna Levitt Sr. Project Manager alevitt_@_blenderbox.com tel 718 963 4594 ext 128 fax 718 218 7804 htto://www.blenderbox.com date issued: 06.24.10 version: 1.4 issued by: Anna Levitt client contact: Courtney Orr Downtown Manager Courtney.Orr@myClearwater.com tel 727 562 4022 fax 727 562 4075 Proprietary and Confidential This material is proprietary to Blenderbox Inc. and contains trade secrets and confidential information. This material is solely for the Client's internal use. This material shall not be used, reproduced, copied, disclosed, transmitted, in whole or part, without the express consent of Blenderbox Inc. @ 2009 Blenderbox Inc. 26 Dobbin Street, 3rd Floor, Brooklyn NY 11222 Item # 4 tel 718 963 4594 www.blenderbox.com Attachment number 3 Page 2 of 9 date issued: 06.29.10 statement of work version: 1.5 issued by: Anna Levitt 1.0 Project Overview This statement of work outlines the work involved to develop a new website for the Cleveland Street District. The website will be used to attract and inform the citizens, visitors and business owners about Cleveland Street District in downtown Clearwater. Our project plan and deliverables, will deliver a solution designed to fit within a budget of $75K and a lifecycle of approximately eight months. 2.0 Agency Deliverables Project Plan Once mutually agreed upon and finalized, we will deliver a project plan developed in Microsoft Project and/or Basecamp denoting specific milestones, timelines, dependencies, and deliverables for execution of the project requirements. Discovery Documentation We will deliver documents outlining the following: - Content Inventory: Blenderbox will produce an excel file that itemizes all publicly available pages on the current site, with unique identification number for each which will be useful for planning, prioritization and organization for the new site. - Requirements Gathering/documented features and recommendations: We will engage in conversations with CRA about the functionality desired for the redesigned website (informed by the RFP, proposal and conversations to date as well as conversation during a scheduled on-site visit to your offices), which will result in an itemized and prioritized list of the features that will be specified during the information architecture phase. - Profiles: After a review of CRA's marketing assets, discussions with project stakeholders, and a web survey of end-users which we will implement, Blenderbox will produce a brief that summarizes the following pieces of information about CRA's target audiences: • Who the audience is and what their key characteristics are (when known) • Why they come to the Cleveland Street site and what kinds of experiences they seek • The key messages Cleveland Street wishes to communicate to these audiences • The importance of the audience to Cleveland Street, relative to the other audiences - Technical Requirements: A document summarizing target technologies, platforms, and other technical requirements or constraints for the website and corresponding content management system (CMS) which is understood to a custom implementation of the NET/ASP based content management system we demonstrated during our on-site pitch. Assumptions: - This work will include: • Content Inventory • Content Strategy • Functional Recommendations • Stakeholder interviews • Web survey • Web analytics • User profiles • Asset review (including the market research you provide to us from other vendors/sources regarding Clearwater and the greater Tampa catchment area). - This SOW does NOT include the following: -2- Item # 4 Attachment number 3 Page 3 of 9 date issued: 06.29.10 statement of work version: 1.5 issued by: Anna Levitt • End-user interviews (e.g. coordinating interviews with business owners, residents & tourists). Information Architecture We will deliver documents outlining the following areas: - Sitemap: Blenderbox will produce a Sitemap, which describes site organization for the redesigned site. - Wireframes: Blenderbox will produce annotated wireframes for each of the key pages, which describe site labeling and navigation structure(s), the hierarchy of information on the page, and the front-end functionality envisioned for the redesigned site. There will be three rounds of wireframes, with the third round producing the final set of wireframes. Content Planning and Content Development Blenderbox will work with CPA to produce a Content Plan that sets guidelines for how content is to be conceptualized, written and promoted on the website. This document will lay the framework for the copywriter to develop relevant copy for the site. We may also create a styleguide and/or editorial calendar. Blenderbox will be responsible for overall content planning and copywriting for the site including selection and management of any internal or third party copywriters. Design The creative process will follow the Information Architecture phase. We will begin by presenting two distinct visual directions informed by all of the CRA's Visual ID work-to-date. Based upon your feedback we will undertake an iterative process to incorporate your feedback into one of the directions which generally takes about two to three rounds resulting in a final and approved sample homepage and page templates which will establish the overall look-and-feel of the website. The work will be designed in collaboration with CRA's branding guidelines. We will deliver documents outlining the following areas: - Initial Concepts - A presentation of two home page design concepts at the outset of the design process. - Design Revisions - Three iterative design rounds leading to an approved overall look-and-feel as defined by one or more representative page templates. Upon a chosen direction we will flush out the interior pages (based on the unique templates from IA.) Each round will show additional templates. There will be 3 rounds of design revisions. Assumptions: - We will deliver up to two designed email templates Technology Blenderbox will develop the site to work with our custom CMS solution, which was demonstrated via Brooklyn Bridge Park's site in our meeting in May. This solution includes drag and drop functionality, auto-suggest search, an image library, and an overall intuitive interface that makes for an easy to use CMS for non-technical users. Our solution will include best practices regarding mobile optimization. Assumptions: - Our solution will include: • Dining, shopping, and event guides/directories • Contact and feedback form • CRM (Business directory for the 25 block area) with admin tools for adding/editing businesses including contact information, hours, url, notes (based on the excel spreadsheet you have already provided us with). • Interactive map using Google overlays to dynamically overlay data from the business directory • Events calendar & event detail pages • Photo Galleries/Video (ability to embed video that has been uploaded to Vimeo or Youtube) • Document repository (ability to upload multiple common document types such as Powerpoint, PDF, and Word Docs, for reports and other relevant information. • Integration of Google Analytics ?. -3- Item # 4 Attachment number 3 Page 4 of 9 date issued: 06.29.10 statement of work version: 1.5 issued by: Anna Levitt • SEO - best practices for page structure, keywords, URLs and page titles. • Pages and Promo chips (links with images that cross-link to other areas of the site). • News or blog feed • We will optimize the site for compatibility on mobile phones This SOW does not include: • Retail/Office/Apt Space finder • The business directory will not have an interface for businesses to directly edit or otherwise access their records-rather we'll create an easy-to-use feedback form that businesses can use to notify you of information that needs to be updated. • e-Marketing strategy : segmentation of audience or design of multiple templates for difference messages ADA Requirements The site shall be developed to meet all Federally-mandated access requirements adopted by the Federal Access Board under section 508 subsection 1194.22 of the Rehabilitation Act Site hosting For a faster development process, the development environment will be hosted internally with Blenderbox. Once the site launches, CPA will be responsible for the hosting environment. Blenderbox will work with your technology team to move the site onto to your internal IT infrastructure leveraging your existing Windows Server and Microsoft SQL Server licenses in collaboration with your IT resources. Project management Blenderbox will provide a project manager who will function as the day-to-day point of contact throughout the project. The project manager will be available for weekly project status calls and key in-person meetings throughout the life of the project. Team-wide project communications will be funneled through a web-based collaboration tool (likely Basecamp), which will be set up and maintained by the project manager. This site will serve as a communication center, document repository, and master project calendar. Quality assurance and testing Prior to launching the website, Blenderbox will take appropriate measures to execute a round of quality assurance testing. Tracking of bugs/defects will occur in a web-based tracking tool. Quality assurance will be followed by a "User Acceptance Testing" phase (UAT), during which time Cleveland Street will have access to the system and will be able to use the site in a development environment in a manner that reflects assumed usage in the production environment. The site will be tested for compatibility, functionality, and usability in a variety of environments. The following browsers will be specifically tested and supported: • Safari 4+ • Firefox 3.6.2+ • Internet Explorer 7+ • Google Chrome 5.0.342.7 Efforts will be made to provide a functional site experience in other browsers (including IE 6 but the focus will be on legibility only. If CPA needs the site to support IE6, an addendum will be created to this SOW outlining an additional fee. 4 - Item # 4 Attachment number 3 Page 5 of 9 date issued: 06.29.10 statement of work version: 1.5 issued by: Anna Levitt Content migration and deployment Blenderbox will deliver all finalized work (website files and associated image source files) to CPA for deployment. Costs not included (SaaS hosted applications, software licensing fees) Blenderbox will source low-cost or no-cost, web-based and often open-source solutions that will be consolidated and integrated to provide the services and support outlined above. Blenderbox can setup these services on behalf of CRA but payment via bank draft or corporate credit card provided by Cleveland Street will be required for these services. Suggested services: • Campaign Monitor (www.campaignmonitor.com): fees are $5 per campaign, and $.01 per recipient o This service allows for email newsletters as well as email alerts (ie: event cancellation) • Google analytics: basic services are free • Google Site Search: TBD - $200/annually • Google Maps API: free Preparation of follow-on Service Level Agreement (SLA) or Phase II A deliverable of the project will be the preparation of a follow-on Service Level Agreement (SLA) or fixed fee Phase II Statement of Work. A draft of this document will be delivered no later than 30 days before the end of this Statement of Work. Client dependencies • Approval of statement of work and estimate. • Availability of key decision makers and timely feedback/approvals per the approved project schedule. • Delivery of all key materials as jointly defined between CPA and Blenderbox in an appropriate timeframe (as defined in the forthcoming project schedule), including branding and discovery documents etc. • Availability of key personnel to review and sign-off on all major deliverables. • CPA will be responsible for all content entry using the tools we provide. Providing the means for content entry is our primary deliverable to this project. Blenderbox will assign a producer to this project for the duration of the contract who can assist with some content-entry and training as budget and time allow, however, content-entry--whether editorial, media (videos), or social, to the likes of Facebook, YouTube, Twitter, or the Cleveland Street public website--remains the responsibility of Cleveland Street and their designees. Assumptions/Requirements • This statement of work to be an exhibit to the agency and client contract. • Any deviations by either party from the agreed upon schedule may push out the delivery date of the project by at least one day for every one day of delay. • An amendment to this agreement or a new statement of work will be issued for work that is considered out of the budgeted scope. • A change order may also be required for anything that is considered out of scope based on the original plan as accessed in this SOW. • All changes to scope either perceived or actual will be communicated to both parties in a timely and succinct way. • The website will include a discreet site-wide Blenderbox credit in the footer with similar style and treatment to any copyright, terms and conditions or privacy policy information and links. 5 - Item # 4 Attachment number 3 Page 6 of 9 date issued: 06.29.10 statement of work version: 1.5 issued by: Anna Levitt 3.0 Timeline And Schedule Expectations This statement of work covers the 8-month period, starting with the signature of this contract. Upon approval of this SOW, Blenderbox will initiate work and develop a detailed project schedule for the scope deliverable beginning with a requirement gathering and discovery phase. This project schedule will set client as well as vendor deliverables, with explicit dates for milestones. -6- Item # 4 Attachment number 3 Page 7 of 9 date issued: 06.29.10 statement of work version: 1.5 issued by: Anna Levitt 4.0 Estimated Costs Discovery and Requirements Gathering $11,100 Information Architecture $11,100 Creative Design and Production $9,800 Development and Deployment $20,000 Content Strategy and Copywriting $10,000 Project Management $9,500 Testing/Training $2,500 Travel $1,000 ESTIMATED TOTALS: $75,000 We assume we will save costs and book flights in advance, keeping our travel budget to $1000. Item # 4 Attachment number 3 Page 8 of 9 date issued: 06.29.10 statement of work version: 1.5 issued by: Anna Levitt 5.0 Payment Terms and Schedule of Deliverables Fees for services described in Section 2, Client will pay Blenderbox the total amount of the fee provided above ($75,000) in four (4) installments. Dates may be subject to change, but payments are still tied to the deliverables stated below. This is the guaranteed total fee for this project as provided in §2.2 of the Master Services Agreement. Any amendment to the Statement of Work, estimated costs or payment schedule shall be in writing and executed by the parties. Delivery and Acceptance Estimated Date Payment Signature and Acceptance on Contract July 14, 2010 $18,750 and Executed Master Services Agreement Delivery and Acceptance of Discovery August 20, 2010 $18,750 Document: Items included in Document: • Content Inventory • Content Strategy • Functional Recommendations • Stakeholder interviews • Web survey • Web analytics • User profiles • Asset review Delivery and Acceptance of UX October 8, 2010 $18,750 Wireframes and Initial Design Concepts: Items accepted by Client up to this date: • Discovery Document (detail above) • Wireframes • Site map • Initial Design Concepts - A presentation of two home page design concepts at the outset of the design process. Delivery and Acceptance of Final December 15, 2010 $18,750 Functioning Website in User Acceptance Testing Items accepted by Client up to this date: • Discovery Document (detail above) • Wireframes • Site map • Initial Design Concepts • Full Site designs -8- Item # 4 Attachment number 3 Page 9 of 9 date issued: 06.29.10 statement of work version: 1.5 issued by: Anna Levitt • Site delivery on staging server 6.0 Approval Process By signing below you agree to all the terms of this Statement of work that is also execued. approval: approved by Blenderbox Inc. name date approved by CPA name date -9- Item # 4 Meeting Date:7/13/2010 Community Redevelopment 0 Agency Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Approve a Development Agreement between the CRA and Mainstreet Clearwater Development LLC of Clearwater, Florida concerning the "Tony's Pizza Restaurant" project, 426 to 428 Cleveland Street, delineating the terms and conditions for the provision of certain economic assistance by the CRA. SUMMARY: Mainstreet Clearwater Development LLC is developing the "Tony's Pizza Restaurant" full-service restaurant project located at 426 to 428 Cleveland Street. The project is a build- out of the existing structure, with outdoor dining, to create a full-service, 3,750 square foot pizzeria and fine dining restaurant. The purpose of this Development Agreement is to secure economic assistance through the Community Redevelopment Agency (CRA) to increase the economic feasibility of a project which supports the implementation of the City of Clearwater's "District Vision" for the revitalization of the CRA area, and to further the implementation of the Downtown Redevelopment Plan by the development and construction and operation of the project to enhance the quality of life, increase employment and improve the aesthetic and useful enjoyment of the downtown. This agreement provides CRA funding of a $50,000 restaurant build-out, loan-to-grant generally "mirroring" the DDB Restaurant Relocation Program, which provides for incentive reimbursement funding of $1 for every $1 expended on eligible restaurant build- out expenses up to a maximum of $50,000. Since the project involves the relocation and expansion of an existing restaurant within the Cleveland Street District, rather than a new restaurant coming to the District, the DDB Restaurant Relocation grant is not available. Staff supports CRA participation in this project for four reasons. First, Tony's is an established, successful restaurant in the District that indicates the likelihood of continued successful operation at the new location. Second, Tony's seeks to significantly expand their restaurant and develop a full-service component compatible with the CRA restaurant recruitment strategy. Third, the cost of the tenant improvements necessary to install a kitchen and associated facilities are significant and unlikely to be affordable without incentive financing. Finally, the ability/willingness of the owner to fund and move forward with the project at this time of economic downturn, with the assistance delineated above, is very helpful in maintaining our redevelopment momentum. We believe facilitation of this project will keep a proven business in the District and further our objective of expanding quality restaurant space on Cleveland Street. The incentives is to be structured as a five-year "forgivable" loan, secured with a performance mortgage, with 20 % "forgiven" annually as long as the property continues to be used as a full-service restaurant. If it ceases to be so operated during the five-year period, the owner will have to reimburse the CRA for the outstanding balance. Similarly, if the property is sold during the five-year period, the outstanding balance will become due and payable to the CRA, unless the CRA agreed to the assumption of the development agreement by the new owner. The source of funds will be the CRA Retail Attraction /Assistance Project Account 94852. A concept rendering and interior site plan is provided. The design is to be an exhibit to the Agreement. The Development Agreement requires that any substantive change to the design or interior site plan is to be subject to CRA approval. Type: Other Current Year Budget?: Yes Budget Adjustment Comments: Current Year Cost: Not to Exceed: Budget Adjustment: $50,000 Annual Operating Cost: Total Cost: None $50,000 Cover Memo Item # 5 For Fiscal Year: 2009 to 2010 Appropration Code Amount Appropriation Comment 94852 $50,000 Review 1) Office of Management and Budget 2) Legal 3) Clerk 4) Assistant City Manager ED 5) Clerk 6) City Approval: Manager 7) Clerk Cover Memo Item # 5 Attachment number 1 Page 1 & 1 1.0 y W. it ` - m rL in N,o' ,n.I_ Ti .._ Aw a : Do S nJ! MC A- 1. sryc NO to S or) AWMA 3rd W11 a. ... L- ay=e about I G F:' : t exd like u , 3750 sq fit. lave about A si is including ': a 1" o an We c , "; e o,,,', '. ?',d a iTsWi - decorated inside and outside with all the components o wA _I Pr &A iL _If n A d'eHect the An tha we are Wing. -- ? .1 . C2 e tl,)r° d ,. ?_ ? ???; • W got I' F and bnen 15 ._° "Iq W. hl 11011. is to ?? got ti ? yomn Ad 171 '.iris vic i?, a d success no,! h ?s R flet n J---ark w, d l -it we can provide s i N I DU and nior umber off" _?,v,': we 4 Survivin'? during street Scab 0 and MD _ c ? _ r u 1-C _ '; E AW? lilop at d r : town _,_.i' p _ o; a e . . ,e+ . . . w_''" .nt 0 D .9 e,.. _ uct and _, -zv,1c cans be 307- . AN . WiCi z r Item # 5 Attachment number 2 Page 1 of 1 i r I ., a i I MMM i j S OY Y .mom i =? Attachment number 3 Page 1 of 27 DEVELOPMENT AGREEMENT (Mainstreet Clearwater, LLC "Tony's Pizza" Restaurant) This Development Agreement ("Agreement") is made as of this day of July, 2010, by and between the COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF CLEARWATER, FLORIDA, a public body corporate and politic of the State of Florida created pursuant to Part III, Chapter 163, Florida Statutes ("Agency"), and Mainstreet Clearwater Development, LLC, a Florida limited liability company ("Developer"). WITNESSETH: WHEREAS, the Agency and Developer have entered into and concluded negotiations of a development agreement pursuant to Developer's request for specific assistance as outlined herein, pertaining to and setting forth the terms and conditions for the development of certain parcels located at 426 and 428 Cleveland St, Clearwater, Florida, and legally described as set forth in Exhibit A, known as "Tony's Pizza" Restaurant in the community redevelopment area of the City; WHEREAS, at a duly called public meeting on July 13, 2010, the Agency approved this Agreement and authorized and directed its execution by the appropriate officials of the Agency; WHEREAS, the Developer has approved this Agreement and has authorized and directed certain individuals to execute this Agreement on behalf of Developer; and NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the parties hereby agree as follows: ARTICLE 1. DEFINITIONS. 1.01. Definitions. The terms defined in this Article I shall have the following meanings, except as herein otherwise expressly provided: (1) "Act" means the Constitution of the State of Florida; Section 163.01, Florida Statutes, Part III, Chapter 163, Florida Statutes; Chapter 166, Florida Statutes, other applicable provisions of law, and ordinances and resolutions of the City and the Agency implementing them. (2) "Agency" means the Community Redevelopment Agency of the City, as created by Resolution No. 81-68 of the City, adopted by the City Council on August 6, 1981, including any amendments thereto, and any successors or assigns thereto. (3) "Agreement" means this Development Agreement, including any Exhibits, and any amendments hereto or thereto. Item # 5 Attachment number 3 Page 2 of 27 (4) "Agreement Expiration Certificate" means the instrument executed by the parties hereto as provided in Section 11.19 certifying that all obligations of the parties hereto have been satisfied and this Agreement has expired in accordance with its terms, the form of which is attached hereto as Exhibit E. (5) "Agreement Termination Certificate" means the instrument executed by the parties hereto as provided in Section 9.06 stating that this Agreement has been terminated prior to its Expiration Date as provided in Section 9.05, the form of which is attached hereto as Exhibit F. (6) "Area" means the area located within the corporate limits of the City having conditions of slum and blight (as those conditions are defined in the Act) as found by the City Council in Resolution No. 81-67, adopted by the City Council on August 6, 1981, and as amended by Resolution No. 03-22, adopted by the City Council on May 1, 2003. (7) "Authorized Representative" means the person or persons designated and appointed from time to time as such by the Developer or the Agency, respectively, pursuant to Section 2.04. (8) "Building Permit" means, for the "Tony's Pizza" Restaurant Project to be constructed on the Site, a permit issued by the City authorizing, allowing and permitting the commencement, prosecution and completion of construction to the extent provided in said permit. (9) "City" means the City of Clearwater, Florida, a Florida municipal corporation, and any successors or assigns thereto. (10) "City Council" means the governing body of the City, by whatever name known or however constituted from time to time. (112) "Commencement Date" means the date of issuance of the first Building Permit for the "Tony's Pizza" Restaurant Project. (12) "Completion Date" means the date on which construction of the Project is substantially complete as evidenced by a Completion Certificate. (13) "Construction Financing" means the funds provided by the Construction Lender to the Developer during the term of this Agreement to pay the cost of developing and constructing the "Tony's Pizza" Restaurant Project, or any portion thereof, on the Project Site, including, financing costs, "soft costs," overhead, and the design, construction and equipping of the Project. (14) "Construction Lender" means any person or persons providing the Construction Financing or any portion thereof. (15) "Contractor" means one or more individuals or firms constituting a general contractor or other type of construction contractor properly licensed by the State of Florida or 2 Item # 5 Attachment number 3 Page 3 of 27 other appropriate jurisdiction to the extent required by applicable law, authorized to perform construction contractor services in the State of Florida, registered with the City as required by applicable law, bonded and insured to the extent required by applicable law and this Agreement, including the Developer or any affiliates of the Developer. (16) "Developer" means Mainstreet Clearwater Development, LLC, a Florida limited liability company, and any successors and assigns thereof, including any entity, partnership, joint venture, or other person in which Mainstreet Clearwater Development, LLC, is a general partner or principal, but not including any entity, partnership, joint venture, or other person in which Mainstreet Clearwater Development, LLC is a general partner or principal which is not undertaking or participating in any development of the "Tony's Pizza" Restaurant Project, or any part thereof. (17) "Effective Date" means the date determined in accordance with Section 11.20 when the Memorandum of Development Agreement is recorded and this Agreement becomes effective. (18) "Exhibits" means those agreements, diagrams, drawings, specifications, instruments, forms of instruments, and other documents attached hereto and designated as exhibits to, and incorporated in and made a part of, this Agreement. (19) "Expiration Date" means the date on which this Agreement expires, as evidenced by the Agreement Expiration Certificate being recorded in the public records of Pinellas County, Florida, as provided in Section 11.19 hereof. (20) "Impact Fees" means those fees and charges levied and imposed by the City, Pinellas County and any other governmental entity on projects located on the Site for certain facilities and services impacted by development such as the Project but for the purposes of this Development Agreement, shall not include the fees or costs pursuant to the Public Art and Design Program (section 3-2401 through 3.2406 of the Clearwater Community Development Code) (21) "Permits" means all zoning, variances, approvals and consents required to be granted, awarded, issued, or given by any governmental authority in order for construction of the Project, or any part thereof, to commence, continue, be completed or allow occupancy and use, but does not include the Building Permit. (22) "Plan" means the community redevelopment plan for the Area, including the Site, as adopted by the City Council on September 18, 2003, by enactment of its Ordinance No. 7153- 03, and including any amendments to the Plan. (23) "Project" means the "Tony's Pizza" Restaurant Project. More specifically, the Project is the internal build out, including installation of a commercial kitchen, for an approximately 3785 square foot full service restaurant, to be leased by Developer to a tenant who will operate "Tony's Pizza". (24) "Project Plans and Specifications" means the plans and specifications pertaining to the construction, installation and equipping of the "Tony's Pizza" Restaurant Project, including the schedule for completing the Project, consisting of the plans and specifications. Item # 5 Attachment number 3 Page 4 of 27 (25) "Project Professionals" means any architects, attorneys, brokers, engineers, consultants, planners, construction managers or any other persons, or combination thereof, retained or employed by the Developer in connection with the planning, design, construction, permit applications, completion and opening of the Project, but does not include the Developer. (26) "Proposal" means the proposal for redevelopment of the Site, per the Site Plan submitted by Developer. (27) "Site" means that certain property with a street address of 426 and 428 Cleveland Street, located in Clearwater, Florida, as more particularly described on Exhibit A attached hereto, on which the "Tony's Pizza" Restaurant Project is to be located. (28) "Site Plan" means a floor plan that depicts the internal build out of the restaurant, the initial version of which is attached hereto as Exhibit B. (29) "Termination Date" means the date on which this Agreement is terminated by any party hereto as provided in Section 9.05, and as evidenced by the Agreement Termination Certificate. (30) "Unavoidable Delay" means those events constituting excuse from timely performance by a party hereto from any of its obligations hereunder, as such events are defined in and subject to the conditions described in Article 10 hereof. (31) ""Tony's Pizza" Restaurant Project" means the development consisting of the internal build out of an approximately 3785 square foot full service restaurant; with access to 25 private parking spaces immediately adjacent, and others located nearby, to be located on the Site as contemplated by the Proposal and this Agreement and constructed substantially in accordance with the Plans and Specifications. 1.02. Use of Words and Phrases. Words of the masculine gender shall be deemed and construed to include correlative words of the feminine and neuter genders. Unless the context shall otherwise indicate, the singular shall include the plural as well as the singular number, and the word "person" shall include corporations and associations, including public bodies, as well as natural persons. "Herein," "hereby," "hereunder," "hereof," "hereinbefore," "hereinafter" and other equivalent words refer to this Agreement and not solely to the particular portion thereof in which any such word is used. 1.03. Florida Statutes. All references herein to Florida Statutes are to Florida Statutes (2009), as amended from time to time. ARTICLE 2. PURPOSE; PROPOSAL 2.01. Intent; Purpose of Agreement. (a) The purpose of this Agreement is to (i) secure economic assistance through the Agency which supports the implementation of the City of Clearwater's "District Vision" for the revitalization of the Downtown Core; and (ii) to further the implementation of the Plan by the 4 Item # 5 Attachment number 3 Page 5 of 27 development and construction and operation of the Project thereon in accordance with the Project Plans and Specifications, all to enhance the quality of life, increase employment and improve the aesthetic and useful enjoyment of the Area through the eradication of conditions of blight, all in accordance with and in furtherance of the Plan and as authorized by and in accordance with the Act. (b) (1) The Site is to be redeveloped according to Project Plans and Specifications for use as an approximately 3785 square foot full service restaurant; with access to 25 private parking spaces immediately adjacent, and others located nearby. Developer commits to maintain the operation of the Project as a full service restaurant for a period of not less than 5 years. (2) As provided in this Agreement, the Agency shall undertake certain public actions pursuant to the Act and as implementation of the Plan, and provide assistance in obtaining such approvals by governmental authorities as are necessary for development of the Project. (c) As provided in this Agreement, the Developer shall carry out the redevelopment of the Site by obtaining approvals by governmental authorities necessary for development of the Project, and constructing various private improvements on the Site. 2.02. Developer's Proposal. (a) The Proposal for the redevelopment of the Site, specifically including the design, construction, equipping, completion and use of the Project, and each component thereof, is hereby found by the Agency and acknowledged by the Developer: (1) to be consistent with and in furtherance of the objectives of the Plan, (2) to conform to the provisions of the Act, (3) to be in the best interests of the citizens of the City, (4) to further the purposes and objectives of the Agency, and (5) to further the public purpose of eradicating conditions of blight in the Area. The parties recognize and agree that during the process of review and approval provided for in the Agreement the design of the Project may be subject to change and modification as may be either agreed to by the parties or required as provided herein or by the appropriate regulatory authority, and should any changes be necessary or desirable the parties agree that they will act expeditiously and reasonably in reviewing and approving or disapproving any changes or modifications to the Project. (b) Based upon and as a result of the findings set forth in subsection (a) above, the Proposal, including such changes and revisions as are provided by this Agreement, is hereby affirmed by the Developer and approved and accepted by the Agency. 2.03. Cooperation of the Parties. The parties hereto recognize that the successful development of the Project and each component thereof is dependent upon continued cooperation of the parties hereto, and each agrees that it shall act in a reasonable manner hereunder, provide the other party with complete and updated information from time to time, with respect to the conditions such party is responsible for satisfying hereunder and make its good faith reasonable efforts to ensure that such cooperation is continuous, the purposes of this Agreement are carried out to the full extent contemplated hereby and the Project is designed, constructed, equipped, completed and operated as provided herein. 5 Item # 5 Attachment number 3 Page 6 of 27 2.04. Authorized Representative. (a) Each party shall designate an Authorized Representative to act on its behalf to the extent of the grant of any authority to such representative. Written notice of the designation of such a representative (and any subsequent change in the Authorized Representative) shall be given by the designating party to the other party in writing in accordance with the procedure set forth in Section 11.03 hereof. (b) Except as otherwise expressly provided in this Agreement, whenever approval or action by the Developer or the Agency is required by this Agreement, such action or approval may, in the discretion of the party considering such approval or action, be taken or given by the Authorized Representative thereof. A party to this Agreement may rely upon the representation of the other party's Authorized Representative that such person has the requisite authority to give the approval or take the action being done by that Authorized Representative. A party may not later deny that its Authorized Representative had the authority represented to and relied upon by the other party or revoke or deny any action taken by such Authorized Representative which was relied upon by the other party. (c) The Developer does hereby notify the Agency that its initial Authorized Representative for the Project is Kevin Burke of Mainstreet Clearwater Development, LLC. (d) The Agency does hereby notify the Developer that its initial Authorized Representative is Rod Irwin, Executive Director of the CRA. ARTICLE 3. LAND USE REGULATION. 3.01. Zoning. On the Effective Date, the zoning classification for the Site is "Downtown District", abbreviated as "D." The parties recognize and acknowledge that the zoning classification of the Site as of the Effective Date permits development of the Project. 3.02. Redevelopment Plan. The Agency represents to the Developer and the Developer acknowledges that as of the Effective Date, the Site is in the Downtown Core District and the provisions of the Plan pertaining to the Site were consistent with the "Tony's Pizza" Restaurant Project as contemplated by the Proposal and this Agreement. 3.03. Permits. (a) The Developer shall cause the tenant's contractor to prepare and submit to the appropriate governmental authorities, including the City, the applications for each and every Building Permit and any and all necessary Permits for the Project. The Developer shall bear all costs of preparing such applications, applying for and obtaining such permits including applicable application, inspection, regulatory and Impact Fees or charges pertaining to the Project, including, but not limited to, any such permit, review, application, inspection, regulatory or Impact Fees except as otherwise provided in Article 6. (b) The Agency shall cooperate with the Developer in obtaining all necessary Permits and the Building Permits required for the construction and completion of the Project. 6 Item # 5 Attachment number 3 Page 7 of 27 (c) The Agency's duties, obligations, or responsibilities under any section of this Agreement, specifically including but not limited to this Section 3.04 do not affect the Agency's or the City's right, duty, obligation, authority and power to act in its governmental or regulatory capacity in accordance with applicable laws, ordinances, codes or other building or project regulation. (d) Notwithstanding any other provisions of this Agreement, any required permitting, licensing or other regulatory approvals by the Agency or the City shall be subject to the established procedures and requirements of the Agency or the City with respect to review and permitting of a project of a similar or comparable nature, size and scope. In no event shall the Agency or the City, due to any provision of this Agreement, be obligated to take any action concerning regulatory approvals except through its established processes and in accordance with applicable provisions of law. 3.04. Not a Development Order or Permit. The parties do hereby acknowledge, agree and represent that this Agreement is not intended to be and should not be construed or deemed to be a "development order" or "development permit" within the meaning of those terms in Section 163.3164, Florida Statutes. 3.05. Permitted Uses. (a) The Project shall consist of an approximately 3785 square foot full service restaurant and associated amenities. (b) The Project shall have access to 25 adjacent private parking spaces and others located nearby. ARTICLE 4. PROJECT PLANS AND SPECIFICATIONS. 4.01. Site Plan. (a) The Developer has prepared a Site Plan, a copy of which is attached hereto as Exhibit B, which contemplates development of the Project consistent with this Agreement. The Developer agrees that during the term of this Agreement, any material changes to the Site Plan or any subsequent versions of the Site Plan will be submitted to the City for review, if such review is required by the Land Development Code, and Agency for approval, which Approval shall not be unreasonably withheld or delayed. ARTICLE 5. CONSTRUCTION OF THE PROJECT. 5.01. Site Clearance. Permits issued by the City for pre-construction activities on the Site, including site clearance, utility relocation, and interior demolition, shall not be considered a Building Permit for purposes of this Agreement. 5.02. Construction of the Project. 7 Item # 5 Attachment number 3 Page 8 of 27 (a) (1) The Developer shall construct accordance with the Project Plans and Specifications and the terms and conditions in this Agreement, the approval by no later than July 31, 2010. the Project on the Site substantially in therefor. Subject to Unavoidable Delay Developer shall submit plans for permit (2) For purposes of this Section 5.02, "commence construction" of the Project means commencement of meaningful physical development of that part of the Project as authorized by the Building Permit therefor which is continued and prosecuted with reasonable diligence toward and with the objective of completion of the Project. (b) (1) After the Commencement Date, the Developer shall continue, pursue and prosecute the construction of the Project with reasonable diligence to completion by the Completion Date and shall not at any time actually or effectively have abandoned (or its Contractor having actually or effectively abandoned) the Site. For purposes of this subsection (b), "abandoned" means to have ceased any construction work which effectively advances the construction of the Project toward completion. Subject to Unavoidable Delay and the terms and conditions in this Agreement, the Project shall be completed by no later than January 2011. (2) All obligations of the Developer with respect to commencement, continuation and completion of construction of the Project shall be subject to delays and extensions from time to time for Unavoidable Delay. The Developer shall not be deemed to be in default of this Agreement to the extent construction or completion of the Project, or any part thereof, is not complete by reason of Unavoidable Delay. (c) For purposes of this Section 5.02, "completion," "complete," "substantially complete" or "substantial completion" means, with respect to construction of the retail space of the Project, a Certificate of Occupancy for the restaurant has been issued by the City (d) If the Agency believes adequate progress in the construction of the Project is not being made, the Agency shall give notice to the Developer that adequate progress is apparently not being made in the construction of the Project and to respond within ten (10) business days thereafter as to why adequate progress is or is not being made toward completion of the Project. 5.03. Project Alterations or Improvements. During the construction of the Project, the Developer may, from time to time, minor make alterations and improvements, structural or otherwise, to the Project as the Developer deems desirable and consistent with the Project Plans and Specifications for the use contemplated by this Agreement; provided, however, that prior to the commencement of any material alterations or improvements of sufficient size and scope as to constitute a material change in the previously approved Project Plans and Specifications, the Developer shall notify the Agency of such material change and may submit a change, amendment or revision to the Project Plans and Specifications to the Agency for review. Any change to the facade improvements during or after construction must be approved by the Agency prior to implementation. Nothing in this Section 5.03 is intended nor shall be deemed to limit or restrict the exercise of governmental or regulatory powers or authority by the City or any other governmental entity or to enlarge its regulatory authority. 5.04. Completion Certificate. 8 Item # 5 Attachment number 3 Page 9 of 27 (a) (1) Upon the substantial completion of the construction of the Project in accordance with the provisions of this Article 5, the Developer shall prepare and execute the Completion Certificate, which shall then be delivered to the Agency. Upon receipt of the certificate the Agency shall promptly and diligently proceed to determine if construction of the Project has been completed substantially in accordance with the Project Plans and Specifications and this Agreement. Upon making such a determination, the Agency shall execute the certificate and return it to the Developer. The date of the Completion Certificate shall be the date when all parties shall have executed said certificate. (2) The Completion Certificate shall constitute a conclusive determination by the parties hereto of the satisfaction and termination of the obligations of the Developer hereunder to construct the Project; provided, however that nothing in this Section 5.04 shall be a waiver of the rights, duties, obligations or responsibilities of the City or any other governmental entity acting in its regulatory or governmental capacity or an approval of said construction for purposes of the issuance of a certificate of occupancy for the Project. The remaining obligations of the Developer, including but not limited to the obligation to operate the Project as full service, restaurant for of a period of not less than five years shall survive and are not affected by the filling of the Completion Certificate. (3) The parties agree that it is their intent that the review by the Agency for purposes of the Completion Certificate determination pursuant to this Section 5.04 is not to be an additional or duplicate inspection over and above that required for purposes of the Building Permit, including the issuance of a certificate of occupancy. The Agency agrees that for purposes of determining if the Project has been substantially completed in accordance with the Project Plans and Specifications, the issuance of a certificate of occupancy for the Project shall be a conclusive determination of substantial completion for purposes of this subsection (a) and, if such certificate has been determined to have been issued, then the Agency agrees to execute the Completion Certificate. (b) (1) If the Agency shall refuse or fail to execute the Completion Certificate after receipt of a request by the Developer to do so, then the Agency shall, within ten (10) days after its receipt of such request, provide the Developer with a written statement setting forth in reasonable detail the reason(s) why the Agency has not executed the Completion Certificate and what must be done by the Developer to satisfy such objections so that the Agency would sign the certificate. Upon the Developer satisfying the Agency's objections, then the Developer shall submit a new request to the Agency for execution of the Completion Certificate and that request shall be considered and acted upon in accordance with the procedures in paragraph (a)(1) for the original request. (c) The Completion Certificate shall be in a form sufficient to be recorded in the public records of Pinellas County, Florida. After execution by the Agency, it shall be promptly returned to the Developer who shall record the certificate in the public records of Pinellas County, Florida, and pay the cost of such recording. 5.05. Agency Not in Privity with Contractors. The Agency shall not be deemed to be in privity of contract with any Contractor or provider of goods or services with respect to the construction of any part of the Project. 9 Item # 5 Attachment number 3 Page 10 of 27 5.06 Security for Developer's Performance. In consideration of the advancements, reimbursements and payments made by the Agency pursuant to Article 6 hereof, Developer shall provide a Performance Mortgage to secure the funds so paid, in substantially the form as set forth and attached hereto as Exhibit C. Before any funds are paid, the mortgage shall be in place, securing a second lien position on the property so identified for Agency payments. This obligation and the Performance Mortgage provided hereto shall survive termination as provided in paragraph 9.05 and 9.06. Pursuant to the provisions of Section 6.02 herein, the Agency shall cancel and release the Performance Mortgage, and the same shall be of no further force and effect, at the earlier of (a) the end of the 5-year period contemplated therein during which the property is maintained as a full service restaurant or (b) the date on which repayment is made pursuant to the provisions of Section 6.03. ARTICLE 6. PAYMENTS BY AGENCY. 6.01 Restaurant Buildout Grant. The Agency shall reimburse Developer for restaurant buildout and/or permanent fixtures for the project in an amount not to exceed $50,000. Developer shall provide the Agency with documentation verifying expenditures for the restaurant buildout. Provided further, that the total amount of reimbursement payments for said improvements shall not exceed the total amount of expenditures made by Developer for the restaurant buildout. 6.02 Repayment by Developer. All payments by the Agency pursuant to this article 6 are subject to repayment by Developer if Developer fails to maintain the property as a full- service restaurant for a period of five years. If at any time during the first five years following the issuance of the certificate of completion, the project fails to be operated as a full-service restaurant, Developer shall repay to the Agency the amounts paid by the Agency pursuant to this article. The amount to be repaid by the Developer shall be reduced by 20% for each year the full service restaurant is open and operating as provided herein. The Developer's obligation to repay the incentives provided herein shall be secured by a performance mortgage as provided in section 5.06. ARTICLE 7. REPRESENTATIONS, WARRANTIES AND COVENANTS OF THE DEVELOPER. 7.01. Representations and Warranties. The Developer represents and warrants to the Agency that each of the following statements is currently true and accurate and agrees the Agency may rely upon each of the following statements: (a) The Developer is a Florida limited liability company duly organized and validly existing under the laws of the State of Florida, has all requisite power and authority to carry on its business as now conducted, to own or hold its properties and to enter into and perform its obligations hereunder and under each document or instrument contemplated by this Agreement to which it is or will be a party, is qualified to do business in the State of Florida, and has consented to service of process upon a designated agent for service of process in the State of Florida. (b) This Agreement and, to the extent such documents presently exist in form accepted by the Agency and the Developer, each document contemplated or required by this 10 Item # 5 Attachment number 3 Page 11 of 27 Agreement to which Developer is or will be a party have been duly authorized by all necessary action on the part of, and have been or will be duly executed and delivered by, the Developer, and neither the execution and delivery thereof, nor compliance with the terms and provisions thereof or hereof: (1) requires the approval and consent of any other party, except such as have been duly obtained or as are specifically noted herein, (2) contravenes any existing law, judgment, governmental rule, regulation or order applicable to or binding on the Developer, (3) contravenes or results in any breach of, default under or, other than as contemplated by this Agreement, results in the creation of any lien or encumbrance upon any property of the Developer under any indenture, mortgage, deed of trust, bank loan or credit agreement, the Developer's articles of organization, or, any other agreement or instrument to which the Developer is a party or by which the Developer may be bound. (c) This Agreement and, to the extent such documents presently exist in form accepted by the Agency and the Developer, each document contemplated or required by this Agreement to which the Developer is or will be a party constitutes, or when entered into will constitute, a legal, valid and binding obligation of the Developer enforceable against the Developer in accordance with the terms thereof, except as such enforceability may be limited by applicable bankruptcy, insolvency or similar laws from time to time in effect which affect creditors' rights generally and subject to usual equitable principles in the event that equitable remedies are involved. (d) There are no pending or, to the knowledge of the Developer, threatened actions or proceedings before any court or administrative agency against the Developer, or against any controlling manager, member, employee or agent of the Developer, which question the validity of this Agreement or any document contemplated hereunder, or which are likely in any case, or in the aggregate, to materially adversely affect the consummation of the transactions contemplated hereunder or the financial condition of the Developer. (e) The Developer has filed or caused to be filed all federal, state, local and foreign tax returns, if any, which were required to be filed by the Developer, and has paid, or caused to be paid, all taxes shown to be due and payable on such returns or on any assessments levied against the Developer. (f) All financial information and other documentation, including that pertaining to the Project or the Developer, delivered by the Developer to the City and the Agency, was, on the date of delivery thereof, true and correct. (g) The principal place of business and principal executive offices of the Developer are 400 Cleveland Street, Suite 200, Clearwater, FL 33755 and, until the expiration or termination of this Agreement, the Developer will keep original or duplicate records concerning the Project (such as construction contracts, financing documents and corporate documents) and all contracts, licenses and similar rights relating thereto at an office located in the corporate limits of the City of Clearwater. (h) As of the Effective Date, the Developer has the financial capability to carry out its obligations and responsibilities in connection with the development of the Project as contemplated by this Agreement. 11 Item # 5 Attachment number 3 Page 12 of 27 (i) The Developer (with the assistance of its Project Professionals) has the experience, expertise, and capability to develop, cause the construction, and complete the Project and, oversee and manage the design, planning, construction, and completion of the Project, and to acquire the Site as provided herein. 7.02. Covenants. The Developer covenants with the Agency that until the earlier of the Termination Date or the Expiration Date: (a) The Developer shall timely perform or cause to be performed all of the obligations contained herein which are the responsibility of the Developer to perform. (b) The Developer shall assist and cooperate with the Agency to accomplish the development of the Project by the Developer in accordance with this Agreement, and the Project Plans and Specifications and will not violate any laws, ordinances, rules, regulations, orders, contracts or agreements that are or will be applicable thereto, including the Plan and the Act. (c) Subsequent to the Effective Date, the Developer shall maintain its financial capability to develop, construct, complete and maintain the Project and shall promptly notify the Agency of any event, condition, occurrence, or change in its financial condition which materially adversely affects, or with the passage of time is likely to adversely affect, the Developer's financial capability to successfully and completely develop, construct and complete the Project as contemplated hereby. (d) The Developer shall promptly cause to be filed when due all federal, state, local and foreign tax returns required to be filed by it, and shall promptly pay when due any tax required thereby so as to avoid an uncured tax lien against the Site. (e) Subject to and except as permitted by Section 7.01, prior to the expiration or termination of this Agreement, the Developer shall maintain its existence, will not dissolve or substantially dissolve all of its assets and will not consolidate with or merge into another limited liability company, corporation, limited partnership, or other entity without the prior approval of the Agency, unless the Developer is the surviving entity or retains a controlling interest in the consolidated or merged entity, in which case no consent by Agency shall be required. In any event, prior to the expiration or termination of this Agreement, the Developer, will promptly notify the Agency of any changes to the existence or form of the corporation of Developer. (f) The Developer shall not sell, lease, transfer or otherwise dispose of all or substantially all its assets without adequate consideration and will otherwise take no action which shall have the effect, singularly or in the aggregate, of rendering Developer unable to continue to observe and perform the covenants, agreements, and conditions hereof and the performance of all other obligations required by this Agreement. (g) Provided all conditions precedent thereto have been satisfied or waived as provided herein, the Developer shall design, construct and complete the Project such that it is substantially complete as provided in this Agreement no later than the Completion Date. 7.03 Covenant: Nondiscrimination. The Developer covenants by and for itself and any successors in interest that there shall be no discrimination against or segregation of any person 12 Item # 5 Attachment number 3 Page 13 of 27 or group of persons on account of race, color, creed, religion, sex, marital status, ancestry or national origin in the marketing, sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the site, nor shall the Developer itself or any person claiming under or through it establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees of the Site. ARTICLE 8. REPRESENTATIONS, WARRANTIES AND COVENANTS OF THE AGENCY. 8.01. Representations and Warranties. The Agency represents and warrants to the Developer that each of the following statements is currently true and accurate and agrees that the Developer may rely on each of the following statements: (a) The Agency is a validly existing body corporate and politic of the State of Florida, is the duly created community redevelopment agency of the City under Part III, Chapter 163, Florida Statutes (known as the Community Redevelopment Act of 1969), has all requisite corporate power and authority to carry on its business as now conducted and to perform its obligations hereunder and under each document or instrument contemplated by this Agreement to which it is or will be a party. (b) This Agreement and, to the extent such documents presently exist in form accepted by the Agency and the Developer, each document contemplated or required by this Agreement to which the Agency is or will be a party have been duly authorized by all necessary action on the part of, and have been or will be duly executed and delivered by, the Agency, and neither the execution and delivery thereof, nor compliance with the terms and provisions thereof or hereof (1) requires the approval and consent of any other party, except such as have been duly obtained or as are specifically noted herein, (2) contravenes any existing law, judgment, governmental rule, regulation or order applicable to or binding on the Agency, (3) contravenes or results in any breach of, or default under or, other than as contemplated by this Agreement, results in the creation of any lien or encumbrance upon any property of the Agency under any indenture, mortgage, deed of trust, bank loan or credit agreement, applicable ordinances, resolutions or, on the date of this Agreement, any other agreement or instrument to which the Agency is a party, specifically including any covenants of any bonds, notes, or other forms of indebtedness of the Agency outstanding on the Effective Date. (c) This Agreement and, to the extent such documents presently exist in form accepted by the Agency and the Developer, each document contemplated or required by this Agreement to which the Agency is or will be a party constitute, or when entered into will constitute, legal, valid and binding obligations of the Agency enforceable against the Agency in accordance with the terms thereof, except as such enforceability may be limited by public policy or applicable bankruptcy, insolvency or similar laws from time to time in effect which affect creditors' rights generally and subject to usual equitable principles in the event that equitable remedies are involved. (d) There are no pending or threatened actions or proceedings before any court or administrative agency against the Agency, or against any officer of the Agency, which question 13 Item # 5 Attachment number 3 Page 14 of 27 the validity of any document contemplated hereunder, or which are likely in any case, or in the aggregate, to materially adversely affect the consummation of the transactions contemplated hereunder or the financial condition of the Agency. 8.02. Covenants. The Agency covenants with the Developer that until the earlier of the Termination Date or the Expiration Date: (a) The Agency shall timely perform or cause to be performed all of the obligations contained herein which are the responsibility of the Agency to perform. (b) During each year that this Agreement and the obligations of the Agency under this Agreement shall be in effect, the Agency shall cause to be executed and to continue to be in effect those instruments, documents, certificates, permits, licenses and approvals, and shall cause to occur those events contemplated by this Agreement that are applicable to and are the responsibility of the Agency. (c) The Agency shall assist and cooperate with the Developer to accomplish the development of the Project in accordance with this Agreement and the Project Plans and Specifications, will carry out its duties and responsibilities contemplated by this Agreement, and will not violate any laws, ordinances, rules, regulations, orders, contracts, or agreements that are or will be applicable thereto, and, to the extent permitted by law, the Agency will not enact or adopt or urge or encourage the adoption of any ordinances, resolutions, rules, regulations or orders or approve or enter into any contracts or agreements, including issuing any bonds, notes, or other forms of indebtedness, that will result in any provision of this Agreement to be in violation thereof. (d) The Agency shall maintain its financial capability to carry out its responsibilities as contemplated by this Agreement and shall notify the Developer of any event, condition, occurrence, or change in its financial condition which adversely affects, or with the passage of time is likely to adversely affect, the Agency's financial capability to carry out its responsibilities contemplated hereby. ARTICLE 9. DEFAULT; TERMINATION. 9.01. Default by Developer. (a) Provided the Agency is not then in default of this Agreement under Section 9.02 hereof, there shall be an "event of default" by the Developer upon the occurrence of any one or more of the following after the Effective Date: (1) The Developer shall fail to perform or comply with any material provision of this Agreement applicable to it within the time prescribed therefor; provided, however, that suspension of or delay in performance by the Developer during any period in which the Agency is in default of this Agreement as provided in Section 9.02 hereof will not constitute an event of default by the Developer under this subsection (a); or (2) The Developer shall make a general assignment for the benefit of its creditors, or shall admit in writing its inability to pay its debts as they become due or shall file a petition in bankruptcy, or shall be adjudicated a bankrupt or insolvent, or shall file a petition 14 Item # 5 Attachment number 3 Page 15 of 27 seeking any reorganization, arrangement, composition, readjustment, liquidation, dissolution or similar relief under any present or future statute, law or regulation or shall file an answer admitting, or shall fail reasonably to contest, the material allegations of a petition filed against it in any such proceeding, or shall seek or consent to or acquiesce in the appointment of any trustee, receiver or liquidator of the Developer or any material part of such entity's properties; or (3) Within sixty (60) days after the commencement of any proceeding by or against the Developer seeking any reorganization, arrangement, composition, readjustment, liquidation, dissolution or similar relief under any present or future statute, law or regulation, such proceeding shall not have been dismissed or otherwise terminated, or if, within sixty (60) days after the appointment without the consent or acquiescence of the Developer of any trustee, receiver or liquidator of any of such entities or of any material part of any of such entity's properties, such appointment shall not have been vacated. (b) (1) If an event of default by the Developer described in subsection (a) above shall occur, the Agency shall provide written notice thereof to the Developer, and, if such event of default shall not be cured by the Developer within thirty (30) days after receipt of the written notice from the Agency specifying in reasonable detail the event of default by the Developer, or if such event of default is of such nature that it cannot be completely cured within such time period, then if the Agency is not then in default of this Agreement and the Developer shall not have commenced to cure such default within such thirty (30) day period and shall not diligently prosecute such cure to completion within such reasonable longer period of time as may be necessary then, in addition to any remedy available under Section 9.03, the Agency may terminate this Agreement or pursue any and all legal or equitable remedies to which the Agency is entitled, provided, however, if the Developer shall fail to cure such event of default within said thirty (30) day or longer period or ceases to proceed diligently to timely cure such event of default, then the Agency may proceed to enforce other available remedies without providing any additional notice to the Developer. The Agency shall have no obligation to make the payments provided in Article 6 herein, while developer is in default. (2) Any attempt by the Agency to pursue any of the above referenced remedies will not be deemed an exclusive election of remedy or waiver of the Agency's right to pursue any other remedy to which either may be entitled. (3) Any time periods or deadlines provided in this Agreement shall be tolled or extended by the amount of time to cure any event of default hereunder if such event affects the Developer's or Agency's ability to perform by such deadline or the expiration of such period. (c) In the event of a termination of this Agreement pursuant to this Section 9.01, the Agency shall not be obligated to make or to continue to make any payments provided for in Article 6. 9.02. Default by the Agency. (a) Provided the Developer is not then in default under Section 9.01, there shall be an "event of default" by the Agency under this Agreement in the event the Agency shall fail to perform or comply with any material provision of this Agreement applicable to it; provided, however, that suspension of or delay in performance by the Agency during any period in which 15 Item # 5 Attachment number 3 Page 16 of 27 the Developer is in default of this Agreement as provided in Section 9.01 hereof will not constitute an event of default by the Agency under this subsection (a). (b) If an event of default by the Agency described in subsection (a) shall occur, the Developer shall provide written notice thereof to the Agency, and, after expiration of the curative period described in paragraph (c) below, may terminate this Agreement, institute an action to compel specific performance of the terms hereof by the Agency or pursue any and all legal or equitable remedies to which the Developer is entitled; provided, however, if the event of default by the Agency occurs on or prior to the Commencement Date, any monetary recovery by the Developer in any such action shall not include any lost profits or consequential damages and shall be limited to bona fide third-party out-of-pocket costs and expenses, including reasonable attorneys' fees, incurred by the Developer in connection with the negotiation of this Agreement as well as any investigation, due diligence, development, design or construction costs incurred by the Developer in connection with the proposed acquisition and development of the Site, unless any such default by the Agency was willful and committed in bad faith with reckless disregard for the rights of the Developer. (c) The Developer may not terminate this Agreement or institute an action described in paragraph (b) above if the Agency cures such event of default within thirty (30) days after receipt by the Agency of written notice from the Developer specifying in reasonable detail the event of default by the Agency, or if any such event of default is of such nature that it cannot be completely cured within such period, then within such reasonably longer period of time as may be necessary to cure such default, provided however, if the Agency is proceeding diligently and in good faith, the curative period shall be extended for a period of not exceeding an aggregate of thirty (30) days without any approval or consent of the Developer being required, but such approval will be required (and shall be given or withheld in Developer's sole discretion) if the curative period is to be extended beyond thirty (30) days after the notice of default has been given by the Developer to the Agency if the Agency has commenced to cure such default within such thirty (30) day period and is diligently prosecuting such curative action to completion. The Agency shall within said thirty (30) day period or such longer period promptly, diligently and in good faith proceed to cure such event of default after receipt of the notice from the Developer and shall succeed in curing such event of default within said period of time, provided, however, if the Agency shall fail to cure such event of default within said thirty (30) day or longer period or ceases to proceed diligently to timely cure such event of default, then the Developer may proceed with its available remedies without providing any additional notice to the Agency. (d) Any attempt by the Developer to pursue any of the remedies referred to in paragraphs (a), (b), or (c) above will not be deemed an exclusive election of remedy or waiver of the Developer's right to pursue any other remedy to which it might be entitled. (e) Any time periods or deadlines provided in this Agreement shall be tolled or extended by the amount of time to cure any event of default hereunder if such event affects the Developer's or Agency's ability to perform by such deadline or the expiration of such period. 9.03. Obligations, Rights and Remedies Cumulative. Unless specifically stated herein to the contrary, the specified rights and remedies to which either the Agency or the Developer are entitled under this Agreement are not exclusive and are intended to be in addition to any other remedies or means of redress to which the Agency or the Developer may lawfully be entitled and are not specifically prohibited by this Agreement. The suspension of, or delay in, 16 Item # 5 Attachment number 3 Page 17 of 27 the performance of its obligations by the Developer, while the Agency shall at such time be in default of their obligations hereunder shall not be deemed to be an "event of default." The suspension of, or delay in, the performance of the obligations by the Agency while the Developer shall at such time be in default of its obligations hereunder shall not be deemed to be an "event of default" by the Agency. 9.04. Non-Action on Failure to Observe Provisions of this Agreement. The failure of the Agency or the Developer to promptly or continually insist upon strict performance of any term, covenant, condition or provision of this Agreement, or any Exhibit hereto, or any other agreement, instrument or document of whatever form or nature contemplated hereby shall not be deemed a waiver of any right or remedy that the Agency or the Developer may have, and shall not be deemed a waiver of a subsequent default or nonperformance of such term, covenant, condition or provision. 9.05. Termination. (a) The Developer and the Agency acknowledge and agree that as of the Effective Date certain matters mutually agreed by the parties hereto are essential to the successful development of the Project have not been satisfied or are subject to certain conditions, legal requirements or approvals beyond the control of any of the parties hereto or which cannot be definitely resolved under this Agreement. In recognition of these events or conditions, the parties hereto mutually agree that, provided the appropriate or responsible party therefor diligently and in good faith seeks to the fullest extent of its capabilities to cause such event or condition to occur or be satisfied, the failure of the events or conditions listed in subsection (b) below to occur or be satisfied shall not constitute an event of default by any party under this Article 9, but may be the basis for a termination of this Agreement as provided in this Section 9.05. (b) In addition to any other rights of termination provided elsewhere in this Agreement, this Agreement may be terminated as provided in subsection (c) after the occurrence of any of the following events or conditions: (1) All of the Site is taken by the exercise of the power of eminent domain by a governmental authority (except the City or the Agency) or a person entitled to exercise such power or benefiting there from, or such part of the Site is taken by the power of eminent domain so as to render the Project commercially unfeasible or unusable for its intended uses as contemplated by this Agreement; (2) The appropriate governmental authority (but not including the City in exercise of its governmental and regulatory authority and responsibility), upon petition by the Developer, unduly delays or denies or fails to issue the Permits, issue the Building Permits, or approve any other land use approval necessary to commence construction of the Project on the Site; (3) A moratorium on new construction is imposed by a governmental authority within the City or Pinellas County so as to prevent construction of the Project to commence; 17 Item # 5 Attachment number 3 Page 18 of 27 (4) The City or other appropriate governmental authority has issued a concurrency compliance certificate or a reservation of services capacity as described in Section 3.05 and such certificate or reservation has been revoked, repealed, superseded, or otherwise no longer of any effect or the Developer is unable to rely upon such certificate or reservation, if such a certificate or reservation is required for development of the Project on the Site, and the Developer cannot obtain a new or replacement certificate or reservation for the Project. (5) The City approves an amendment to the Plan which is inconsistent with the Project being located on the Site. (c) Upon the occurrence of an event described in subsection (b), then the Developer or the Agency may upon determining that such event cannot reasonably be expected to change in the foreseeable future so as to allow development of the Project, may elect to terminate this Agreement by giving a notice to the other party hereto within thirty (30) days of the occurrence of such event or the determination of inability to cause a condition precedent to occur or be satisfied, stating its election to terminate this Agreement as a result thereof, in which case this Agreement shall then terminate, provided, however, only the Developer may elect to terminate this Agreement upon the occurrence of an event described in paragraph (5). (d) In the event of a termination pursuant to Section 9.05(b), neither the Developer nor the Agency shall be obligated or liable one to the other in any way, financially or otherwise, for any claim or matter arising from or as a result of this Agreement or any actions taken by the Developer and the Agency, or any of them, hereunder or contemplated hereby, and each party shall be responsible for its own costs. (e) Notwithstanding anything to the contrary contained herein, in the event that any party shall have, but shall not exercise, the right hereunder to terminate this Agreement because of the non-satisfaction of any condition specified herein, and such condition is subsequently satisfied, then the non-satisfaction of such condition shall no longer be the basis for termination of this Agreement. 9.06. Termination Certificate. (a) In the event of a termination of this Agreement as provided in 9.05 prior to the Expiration Date, each of the parties hereto do covenant and agree with each other to promptly execute a certificate prepared by the party electing to terminate this Agreement, which certificate shall expressly state that this Agreement has been terminated in accordance with its terms, is no longer of any force and effect except for those provisions hereof which expressly survive termination, that the rights, duties and obligations of the parties hereto have been terminated and released (subject to those surviving provisions hereof, including but not limited to paragraph 5.06) and that the Site is no longer subject to any restrictions, limitations or encumbrances imposed by this Agreement. (b) The certificate described in subsection (a) shall be prepared in a form suitable for recording and promptly after execution by all of the parties hereto shall be recorded in the public records of Pinellas County, Florida. The cost of recording the termination certificate shall be paid by the terminating party. 18 Item # 5 Attachment number 3 Page 19 of 27 9.07 Remedies. All remedies provided for herein and under Florida law shall be cumulative and shall survive the technical termination of this Agreement pursuant to execution, delivery and recordation of a Termination Certificate or otherwise hereunder. ARTICLE 10. UNAVOIDABLE DELAY. 10.01. Unavoidable Delay. (a) Any delay in performance of or inability to perform any obligation under this Agreement (other than an obligation to pay money) due to any event or condition described in paragraph (2) as an event of "Unavoidable Delay" shall be excused in the manner provided in this Section 10.01. (b) "Unavoidable Delay" means any of the following events or conditions or any combination thereof: acts of God, acts of the public enemy, riot, insurrection, terrorist attack, war, pestilence, archaeological excavations required by law, unavailability of materials after timely ordering of same, epidemics, quarantine restrictions, freight embargoes, fire, lightning, hurricanes, earthquakes, tornadoes, floods, extremely abnormal and excessively inclement weather (as indicated by the records of the local weather bureau for a five-year period preceding the Effective Date), strikes or labor disturbances, delays due to proceedings under Chapters 73 and 74, Florida Statutes, restoration in connection with any of the foregoing or any other cause beyond the reasonable control of the party performing the obligation in question, including, without limitation, such causes as may arise from the act of the other party to this Agreement, or acts of any governmental authority (except that acts of the Agency shall not constitute an Unavoidable Delay with respect to performance by the Agency). (c) An application by any party hereto (referred to in this paragraph (c) and in paragraph (d) as the "Applicant") for an extension of time pursuant to subsection (a) must be in writing, must set forth in detail the reasons and causes of delay, and must be filed with the other party to this Agreement within thirty (30) days following the occurrence of the event or condition causing the Unavoidable Delay or thirty (30) days following the Applicant becoming aware (or with the exercise of reasonable diligence should have become aware) of such occurrence. (d) The Applicant shall be entitled to an extension of time for an Unavoidable Delay only for the number of days of delay due solely to the occurrence of the event or condition causing such Unavoidable Delay and only to the extent that any such occurrence actually delays that party from proceeding with its rights, duties and obligations under this Agreement affected by such occurrence. ARTICLE 11. MISCELLANEOUS. 11.01. Assignments. (a) (1) Prior to the earlier of the Termination Date or the Expiration Date, the Developer may sell, convey, assign or otherwise dispose of any or all of its right, title, interest and obligations in and to the Project, or any part thereof to any person with the prior written consent of the Agency, provided that such party (hereinafter referred to as the "assignee"), to the extent of the sale, conveyance, assignment or other disposition by the Developer to the assignee, shall be bound by the terms of this Agreement the same as the Developer for such 19 Item # 5 Attachment number 3 Page 20 of 27 part of the Project as is subject to such sale, conveyance, assignment or other disposition, except for the sale of a condominium in the ordinary course of business. (2) If the assignee of Developer's right, title, interest and obligations in and to the Project, or any part thereof, assumes all of Developer's obligations hereunder for the Project, or that part subject to such sale, conveyance, assignment or other disposition, then the Developer shall be released from all such obligations hereunder which have been so assumed by the assignee, and the Agency agrees to execute an instrument evidencing such release, which shall be in recordable form. (b) An assignment of the Project, or any part thereof, by the Developer to any corporation, limited partnership, general partnership, or joint venture, in which the Developer is the or a general partner or has either the controlling interest or through a joint venture or other arrangement shares equal management rights with a financial institution and maintains such controlling interest or equal management rights for the term of this Agreement shall not be deemed an assignment or transfer subject to any restriction on or approvals of assignments or transfers imposed by this Section 11.01, provided, however, that notice of such assignment shall be given by the Developer to the Agency no less than thirty (30) days prior to such assignment being effective and the assignee shall be bound by the terms of this Agreement to the same extent as would the Developer in the absence of such assignment. If the Developer shall at any time withdraw or be replaced as a general partner or no longer have the controlling interest or management rights as described in this subsection, then that event shall constitute an assignment of the Developer's right, title, interest or obligations under this Agreement for purposes of this Section 11.01 and the prior approval of the Agency shall be obtained before such an event shall be effective. 11.02. Successors and Assigns. The terms herein contained shall bind and inure to the benefit of the Agency, and its successors and assigns, and the Developer, and its successors and assigns, except as may otherwise be specifically provided herein. 11.03. Notices. (a) All notices, demands, requests for approvals or other communications given by either party to another shall be in writing, and shall be sent by registered or certified mail, postage prepaid, return receipt requested or by overnight courier service, facsimile transmission, or by hand delivery to the office for each party indicated below and addressed as follows: 20 Item # 5 Attachment number 3 Page 21 of 27 To the Developer: Kevin Burke Mainstreet Clearwater Development, 400 Cleveland St., Suite 200 Clearwater, FL 33755 Attention: FAX # (727) with copies to: Andrea E. Zelman, Esquire and Dale M. Vash, Esquire Fowler White Boggs P.A., Suite 1700 Tampa, Florida 33602 FAX# (813) 229-8313 with copies to: City of Clearwater 112 S. Osceola Avenue Clearwater, FL 33756 Attention: City Attorney FAX # (727) 562-4021 (b) Notices given by courier service or by hand delivery shall be effective upon delivery and notices given by mail shall be effective on the third (3rd) business day after mailing. Refusal by any person to accept delivery of any notice delivered to the office at the address indicated above (or as it may be changed) shall be deemed to have been an effective delivery as provided in this Section 11.03. The addresses to which notices are to be sent may be changed from time to time by written notice delivered to the other parties and such notices shall be effective upon receipt. Until notice of change of address is received as to any particular party hereto, all other parties may rely upon the last address given. 11.04. Severability. If any term, provision or condition contained this Agreement shall, to any extent, be held invalid or unenforceable, the remainder of this Agreement, or the application of such term, provision or condition to persons or circumstances other than those in respect of which it is invalid or unenforceable, shall not be affected thereby, and each term, provision and condition of this Agreement shall be valid and enforceable to the fullest extent permitted by law. 11.05. Applicable Law and Construction. The laws of the State of Florida shall govern the validity, performance and enforcement of this Agreement. This Agreement has been negotiated by the Agency and the Developer, and the Agreement, including, without limitation, the Exhibits, shall not be deemed to have been prepared by the Agency or the Developer, but by all equally. 11.06. Venue; Submission to Jurisdiction. (a) For purposes of any suit, action, or other proceeding arising out of or relating to this Agreement, the parties hereto do acknowledge, consent, and agree that venue thereof is Pinellas County, Florida. 21 To the Agency: LLC Community Redevelopment Agency of the City of Clearwater 112 S. Osceola Avenue Clearwater, FL 33756 Attention: Rod Irwin FAX # (727) Item # 5 Attachment number 3 Page 22 of 27 (b) Each party to this Agreement hereby submits to the jurisdiction of the State of Florida, Pinellas County and the courts thereof and to the jurisdiction of the United States District Court for the Middle District of Florida, for the purposes of any suit, action, or other proceeding arising out of or relating to this Agreement and hereby agrees not to assert by way of a motion as a defense or otherwise that such action is brought in an inconvenient forum or that the venue of such action is improper or that the subject matter thereof may not be enforced in or by such courts. (c) If at any time during the term of this Agreement the Developer is not a resident of the State of Florida or has no office, employee, agency or general partner thereof available for service of process as a resident of the State of Florida, or if any permitted assignee thereof shall be a foreign corporation, partnership or other entity or shall have no officer, employee, agent, or general partner available for service of process in the State of Florida, the Developer hereby designates the Secretary of State, State of Florida, its agent for the service of process in any court action between it and the Agency arising out of or relating to this Agreement and such service shall be made as provided by the laws of the State of Florida for service upon a non-resident; provided, however, that at the time of service on the Florida Secretary of State, a copy of such service shall be delivered to the Developer at the address for notices as provided in Section 11.03. 11.07. Agreement Not a Chapter 86-191, Laws of Florida, Development Agreement. The Developer and the Agency acknowledge, agree and represent that this Agreement, including, without limitation, any of the Exhibits, is not a development agreement as described in Sections 19-31, Chapter 86-191, Laws of Florida, codified as Sections 163.3220-163.3243, Florida Statutes. 11.08. Estoppel Certificates. The Developer and the Agency shall at any time and from time to time, upon not less than ten (10) days prior notice by another party hereto, execute, acknowledge and deliver to the other parties a statement in recordable form certifying that this Agreement has not been modified and is in full force and effect (or if there have been modifications that the said Agreement as modified is in full force and effect and setting forth a notation of such modifications), and that to the knowledge of such party, neither it nor any other party is then in default hereof (or if another party is then in default hereof, stating the nature and details of such default), it being intended that any such statement delivered pursuant to this Section 11.08 may be relied upon by any prospective purchaser, mortgagee, successor, assignee of any mortgage or assignee of the respective interest in the Project, if any, of any party made in accordance with the provisions of this Agreement. 11.09. Complete Agreement; Amendments. (a) This Agreement, and all the terms and provisions contained herein, including without limitation the Exhibits hereto, constitute the full and complete agreement between the parties hereto to the date hereof, and supersedes and controls over any and all prior agreements, understandings, representations, correspondence and statements whether written or oral, including the RFP and the Proposal. (b) Any provisions of this Agreement shall be read and applied in para materia with all other provisions hereof. 22 Item # 5 Attachment number 3 Page 23 of 27 (c) This Agreement cannot be changed or revised except by written amendment signed by all parties hereto. 11.10. Captions. The article and section headings and captions of this Agreement and the table of contents preceding this Agreement are for convenience and reference only and in no way define, limit, describe the scope or intent of this Agreement or any part thereof, or in any way affect this Agreement or construe any article, section, subsection, paragraph or provision hereof. 11.11. Holidays. It is hereby agreed and declared that whenever a notice or performance under the terms of this Agreement is to be made or given on a Saturday or Sunday or on a legal holiday observed in the City, it shall be postponed to the next following business day. 11.12. Exhibits. Each Exhibit referred to and attached to this Agreement is an essential part of this Agreement. The Exhibits and any amendments or revisions thereto, even if not physically attached hereto shall be treated as if they are part of this Agreement. 11.13. No Brokers. The Agency and the Developer hereby represent, agree and acknowledge that no real estate broker or other person is entitled to claim or to be paid a commission as a result of the execution and delivery of this Agreement, including any of the Exhibits, or any proposed improvement, use, disposition, lease, conveyance or acquisition of any or all of the Site. 11.14. Not an Agent. During the term of this Agreement, the Developer hereunder shall not be an agent of the City or the Agency, with respect to any and all services to be performed by the Developer (and any of its agents, assigns, or successors) with respect to the Project, and the Agency is not an agent of the Developer (and any of its agents, assigns, or successors). 11.15. Memorandum of Development Agreement. The Agency and the Developer agree to execute, in recordable form, on the Effective Date, the short form "Memorandum of Agreement for Development," the form of which is attached hereto as Exhibit D , and agree, authorize and hereby direct such Memorandum to be recorded in the public records of Pinellas County, Florida, as soon as possible after execution thereof. The Agency shall pay the cost of such recording. 11.16. Public Purpose. The parties acknowledge and agree that this Agreement satisfies, fulfills and is pursuant to and for a public purpose and municipal purpose and is in the public interest, and is a proper exercise of the Agency's power and authority under the Act. 11.17. No General Obligation. In no event shall any obligation of the Agency under this Agreement be or constitute a general obligation or indebtedness of the City or the Agency, a pledge of the ad valorem taxing power of the City or the Agency or a general obligation or indebtedness of the City or the Agency within the meaning of the Constitution of the State of Florida or any other applicable laws, but shall be payable solely from legally available revenues and funds. Neither the Developer nor any other party under or beneficiary of this Agreement shall ever have the right to compel the exercise of the ad valorem taxing power of the City, the Agency or any other governmental entity or taxation in any form on any real or personal property to pay the City's or the Agency's obligations or undertakings hereunder. 23 Item # 5 Attachment number 3 Page 24 of 27 11.18. Technical Amendments. In the event that due to minor inaccuracies contained herein or any Exhibit attached hereto or any other agreement contemplated hereby, or due to changes resulting from technical matters arising during the term of this Agreement, the parties agree that amendments to this Agreement required due to such inaccuracies, unforeseen events or circumstances which do not change the substance of this Agreement may be made and incorporated herein. The Chairman of the Agency is authorized to approve such technical amendments on behalf of the Agency, respectively, and is authorized to execute any required instruments, to make and incorporate such amendment to this Agreement or any Exhibit attached hereto or any other agreement contemplated hereby. 11.19. Term; Expiration; Certificate. (a) If not earlier terminated as provided in Section 9.05, the term of this Agreement shall expire and this Agreement shall no longer be of any force and effect (except for those matters which specifically survive such expiration) on the tenth (10th) anniversary of the Effective Date. (b) Upon completion of the term of this Agreement, all parties hereto shall execute the Agreement Expiration Certificate. The Agreement Expiration Certificate shall constitute (and it shall be so provided in the certificate) a conclusive determination of satisfactory completion of all obligations hereunder and the expiration of this Agreement. (c) The Agreement Expiration Certificate shall be in such form as will enable it to be recorded in the public records of Pinellas County, Florida. Following execution by all of the parties hereto, the Agreement Expiration Certificate shall promptly be recorded by the Developer in the public records of Pinellas County, Florida, and the Developer shall pay the cost of such recording. 11.20. Effective Date. Following execution of this Agreement (and such of the Exhibits as are contemplated to be executed simultaneously with this Agreement) by the authorized officers of the Agency and by authorized representatives of the Developer following approval hereof by the Agency and the Developer, this Agreement (and any executed Exhibits) shall be in full force and effect in accordance with its terms and upon the recording of the Memorandum of Development Agreement as contemplated by Section 11.15 hereof. IN WITNESS WHEREOF, the parties hereto have set their hands and their respective seals affixed as of this day of 12010. COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF CLEARWATER, FLORIDA By: Frank V. Hibbard Chairperson Approved as to form: Attest: 24 Item # 5 Attachment number 3 Page 25 of 27 Pamela K. Akin Cynthia E. Goudeau City Attorney City Clerk Witnesses: MAINSTREET CLEARWATER DEVELOPMENT, LLC, a Florida limited liability company By: Kevin Burke, its Managing Member STATE OF FLORIDA COUNTY OF PINELLAS The foregoing instrument was acknowledged before me this day of 2010 by Kevin Burke, Managing Member of Mainstreet Clearwater Development, LLC, a Florida limited liability company and on behalf of said company. They are personally known to me or have produced a valid driver's license as identification. (SEAL) Printed/Typed Name: Notary Public-State of Florida Commission Number: 25 Item # 5 Attachment number 3 Page 26 of 27 EXHIBIT A LEGAL DESCRIPTION [TO BE FURNISHED] 26 Item # 5 Attachment number 3 Page 27 of 27 LIST OF EXHIBITS EXHIBIT A -- Legal Description EXHIBIT B -- Site Plan EXHIBIT C -- Performance Mortgage EXHIBIT D -- Memorandum of Agreement for Development EXHIBIT E -- Agreement Expiration Certificate EXHIBIT F -- Agreement Termination Certificate 27 Item # 5 Attachment number 4 Page 1 of 16 PREPARED BY AND RETURN TO: Dale M. Vash, Esquire Fowler White Boggs P.A. 501 E. Kennedy Blvd., Suite 1700 Tampa, Florida 33602 NO DOCUMENTARY STAMP TAXES ARE DUE ON THIS MORTGAGE BECAUSE IT SECURES THE PERFORMANCE OF AN OBLIGATION, NOT THE PAYMENT OF MONEY. PERFORMANCE MORTGAGE THIS PERFORMANCE MORTGAGE, made and entered into this day of , 2010, between MAINSTREET CLEARWATER DEVELOPMENT, LLC., a Florida limited liability company, hereinafter referred to as "Mortgagor", whose mailing address is: 400 Cleveland Street, Suite 200, Clearwater, Florida 33755, and COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF CLEARWATER, FLORIDA, a public body corporate and politic of the State of Florida created pursuant to Part 111, Chapter 163, Florida Statutes, hereinafter referred to as "Mortgagee", whose mailing address is: 112 S. Osceola Avenue, Clearwater, FL 33756, WITNESSETH: WHEREAS, Mortgagor and Mortgagee entered into that certain Development Agreement dated , 2010, [the "Agreement'], a memorandum of which Agreement is to be recorded simultaneously herewith, wherein it is agreed that the Mortgagor has certain development obligations as to that certain land situate in Pinellas County, Florida, as described in Exhibit "A" attached hereto; and WHEREAS, until the Termination Date or Expiration Date of the Agreement, it is the intention by virtue of this Mortgage to secure the full performance by the Mortgagor, in accordance with the said Agreement and proper application of all credits and fees applicable or payable under said Agreement in the amount of fifty-thousand dollars ($50,000.00); it is NOW, THEREFORE, to secure the performance and observance by Mortgagor of all covenants and conditions in the Agreement and in this Mortgage and in all other instruments securing the Agreement, and in order to charge the properties, interest and rights hereinafter described with such payment, performance and observance and for and in consideration of the sum of One Dollar ($1.00) paid by Mortgagee to Mortgagor this date, and for other valuable considerations as provided in the Agreement, the receipt of which is acknowledged, Mortgagor does hereby grant, bargain, sell, alien, remise, release, convey, assign, transfer, mortgage, hypothecate, pledge, deliver, set over, warrant and confirm unto Mortgagee, its successors and assigns forever, the property described in Exhibit "A" attached hereto and made a part hereof by reference and situated in Pinellas County, Florida. 1 Item # 5 Attachment number 4 Page 2 of 16 TOGETHER with all buildings, structures and improvements of every nature whatsoever now or hereafter situated on the land, and all fixtures, machinery, appliances, equipment, furniture, and personal property of every nature whatsoever now or hereafter owned by Mortgagor and located in or on, or attached to, or used or intended to be used in connection with or without the operation of, the land, buildings, structures or other improvements, and owned by Mortgagor, including all extensions, additions, improvements, betterments, renewals, substitutions, and replacements to any of the foregoing and all of the right, title and interest of mortgagor in and to any such personal property or fixtures. TOGETHER with all easements, rights of way, streets, ways, alleys, passages, sewer rights, waters, water courses, water rights and powers, and all tenements, hereditaments and appurtenances whatsoever, in any way belonging, relating or appertaining to any of the property hereinabove described, or which hereafter shall in any way belong, relate or be appurtenant thereto, whether now owned or hereafter acquired by Mortgagor, and the reversion and rever- sions, remainder and remainders, and all the estate, right, title, interest, property, possession, claim and demand whatsoever, at law as well as in equity, of Mortgagor of, in and to the same. TOGETHER with all rents, royalties, issues, profits, revenue, income and other benefits from the property described herein, to be applied against the indebtedness and other sums secured hereby, provided, however, that permission is hereby given to Mortgagor so long as no default has occurred hereunder, to collect, receive, take, use and enjoy such rents, royalties, issues, profits, revenue, income and other benefits as they become due and payable, but not in advance thereof. The foregoing assignment shall be fully operative without any further action on the part of either party and specifically Mortgagee shall be entitled, at its option, upon the occurrence of a default hereunder, to all rents, royalties, issues, profits, revenue, income, and other benefits from the property whether or not Mortgagee takes possession of the property. Upon any such default hereunder, the permission hereby given to Mortgagor to collect such rents, royalties, issues, profits, revenue, income and other benefits from the property shall termi- nate and such permission shall not be reinstated upon a cure of the default without Mortgagee's specific consent. Neither the exercise of any rights under this paragraph by Mortgagee nor the application of any such rents, royalties, issues, profits, revenue, income or other benefits to the indebtedness and other sums secured hereby, shall cure or waive any default or notice of default hereunder or invalidate any act done pursuant hereto or to any such notice, but shall be cumulative of all other rights and remedies. TOGETHER with a security interest in all articles of personal property and all materials delivered to the property described herein for use in any construction being conducted thereon, and owned by Mortgagor, and all contract rights, general intangibles, actions and rights in action, including all rights to insurance proceeds, and all proceeds, products, replacements, additions, substitutions, renewals and accessions of any of the foregoing. This Mortgage is a self-operative security agreement with respect to such property, but Mortgagor agrees to execute and deliver on demand such other security agreements, financing statements and other instruments as Mortgagee may request in order to perfect its security interest or to impose the lien hereof more specifically upon any of such property. Mortgagee shall have all the rights and remedies in addition to those specified herein of a secured party under the Uniform Commercial Code of Florida. 2 Item # 5 Attachment number 4 Page 3 of 16 ALL OF WHICH real and personal property, rights and intangibles are herein referred to as the "Mortgaged Property". TO HAVE AND TO HOLD the Mortgaged Property and all parts thereof unto Mortgagee, its successors and assigns, to its own property use and benefit forever, subject, however, to the terms and conditions herein. PROVIDED ALWAYS, that if all obligations are timely performed and the warranties and conditions of this Mortgage are complied with, this Mortgage shall be null and void, and so long as Mortgagor is not in default under the Agreement, it shall be entitled to the full benefit of its contract rights under said Agreement. Mortgagor covenants and agrees with Mortgagee as follows: ARTICLE ONE COVENANTS OF MORTGAGOR 1.01 Performance of Agreement, Mortgage. Mortgagor shall perform, observe and comply with all provisions hereof, of the Agreement and of every other instrument securing the Agreement. 1.02 Warranty of Title. Mortgagor covenants and warrants that it is seized of an indefeasible estate in fee simple in the real property hereby mortgaged, has good and absolute title to all existing personal property hereby mortgaged or made subject to the security interest hereby created and has good right, full power and lawful authority to convey, mortgage and encumber the same as provided herein; that Mortgagee may at all times peaceably and quietly enter upon, hold, occupy and enjoy the real property hereby mortgaged and every part thereof, that the real property and all existing personal property hereby mortgaged or made subject to the security interest hereby created is free and clear of all liens, security interests, charges and encumbrances whatsoever, except for easements of record and the lien for property taxes not yet due and payable and any mortgage described in Section 3.01 below. Mortgagor shall and will make such further assurances to perfect Mortgagee's fee simple title to the real property hereby mortgaged, and the title to the personal property hereby mortgaged or made subject to the securi- ty interest hereby created as may reasonably be required. Except as herein provided, Mortgagor fully warrants the title to the real property and all existing personal property hereby mortgaged or made subject to the security interest hereby created, and every part hereof, and will forever defend the same against the claims of all persons whomsoever. 1.03 Taxes and Liens. A. Mortgagor shall pay promptly, when and as due, and shall promptly exhibit to Mortgagee receipts for the payment of, all taxes, assessments, rates, dues, charges, fees, levies, fines, impositions, liens, liabilities, obligations and encumbrances of every kind whatsoever now or hereafter imposed, levied or assessed upon or against the Mortgaged Property or any part thereof, and any charge which, if unpaid, would become a lien or charge upon the Mortgaged Property prior to or equal to the lien of this mortgage, before they become delinquent and before any interest attaches or any penalty is incurred. 3 Item # 5 Attachment number 4 Page 4 of 16 B. Mortgagor shall not permit or suffer any mechanics', laborers', materialmen's, statutory or other lien which might or could be prior or equal to the lien of this Mortgage to be created or to remain a lien upon any of the Mortgaged Property. 1.04 Insurance. A. Mortgagor shall at its sole expense obtain for, deliver to and maintain for the benefit of Mortgagee, during the life of this Mortgage, insurance policies in such amounts as Mortgagee may require, insuring the Mortgaged Property against fire, flood, extended coverage, and such other insurable hazards, casualties, contingencies and public liability insurance, as Mortgagee may require, and shall pay promptly, when due, any premiums on such insurance policies and on any renewals thereof. The form of such policies and the companies issuing them shall be acceptable to Mortgagee. All such policies and renewals thereof shall be held by Mortgagee and shall contain a non-contributory mortgagee endorsement making losses payable to Mortgagee subject to the rights of any mortgagee described in Section 3.01 below. The coverage under such policies shall be limited to the improvements now or hereafter located on the Mortgaged Property. At least fifteen (15) days prior to the expiration date of all such policies, renewals thereof satisfactory to Mortgagee shall be delivered to Mortgagee, Mortgagor shall deliver to Mortgagee receipts evidencing the payment of all premiums on such insurance policies and renewals. Delivery of the insurance policies and renewals thereof shall constitute an assignment to Mortgagee, as further security, of all unearned premiums. In the event of loss, Mortgagor will give immediate written notice to Mortgagee and Mortgagee may make proof of loss if not made promptly by Mortgagor. In the event of the foreclosure of this Mortgage or any other transfer of title to the Mortgaged Property in extinguishment of the indebtedness and other sums secured hereby, all right, title and interest of Mortgagor in and to all insurance policies and renewals thereof then in force shall pass to the purchaser or grantee. B. Mortgagor hereby assigns to Mortgagee all proceeds from any insurance policies, and Mortgagee is hereby authorized and empowered, at its option, to adjust or compromise any loss under any insurance policies on the Mortgaged Property, and to collect and receive the proceeds from any such policy or policies. Each insurance company is hereby authorized and directed to make payment for all such losses directly to Mortgagee alone, and not to Mortgagor and Mortgagee jointly. After deducting from such insurance proceeds any expenses incurred by Mortgagee in the collection or handling of such funds, Mortgagee may apply the net proceeds, at its option, either toward restoring the improvements or as a credit on any portion of the indebtedness and other sums secured hereby, whether then matured or to mature in the future, or at the option of Mortgagee such sums either wholly or in part may be paid over to the Mortgagor to be used to repair such improvements or to build new improvements in their place or for any other purpose or object satisfactory to Mortgagee, without affecting the lien of this Mortgage for the full amount secured hereby before such payment took place. Mortgagee shall not be responsible for any failure to collect any insurance proceeds due under the terms of any policy regardless of the cause of such failure. Notwithstanding anything in the foregoing to the contrary, the rights of Mortgagee under this Subsection B shall be subject and subordinate to the rights of any mortgagee described in Section 3.01 below. C. Mortgagor shall at its sole expense obtain for, deliver to and maintain for the benefit of Mortgagee, during the life of this Mortgage, liability insurance policies relating to the 4 Item # 5 Attachment number 4 Page 5 of 16 Mortgaged Property, in such amounts, with such companies and in such form as may be required by Mortgagee. Mortgagee may require such policies to contain an endorsement, in form satis- factory to Mortgagee, naming Mortgagee as an additional insured thereunder. Mortgagor shall pay promptly, when due, any premiums on such insurance policies and renewals thereof. D. In the event of a foreclosure of this Mortgage, the purchaser of the Mortgaged Property shall succeed to all the rights of Mortgagor, including any right to unearned premiums, in and to all policies of insurance assigned and delivered to Mortgagee, with respect to all property herein encumbered. E. Subject to the rights of any mortgagee described in Section 3.01 below, Mortgagee may, at its option, direct the payment of the insurance proceeds into an escrow account at a bank, title insurance company or law firm designated by Mortgagee to be held for the benefit of the Mortgagor and Mortgagee during the re-building of the Mortgaged Property and shall be released by Mortgagee upon the approval of the inspecting architect or engineer that the Mortgaged Property has been restored to the condition it was prior to the loss. In the event additional financing is necessary to meet the requirements of any general contract which might be used to effect such reconstruction, then the Mortgagor shall place said additional funds into the escrow account. 1.05 INTENTIONALLY DELETED. 1.06 Condemnation. If all or a material part (which determination shall be made by Mortgagee in its sole and absolute discretion) of the Mortgaged Property shall be damaged or taken through condemnation (which term when used herein shall include any damage or taking by any governmental authority or any other authority authorized by the laws of the State of Florida or the United States of America to so damage or take, and any transfer by private sale in lieu thereof), either temporarily or permanently, at the option of Mortgagee, Mortgagor shall be deemed in default hereunder. Mortgagee shall be entitled to all compensation awards, damages, claims, rights of action and proceeds of, or on account of, any damage or taking through condemnation and is hereby authorized, at its option, to commence, appear in and prosecute, in its own or Mortgagor's name, any action or proceeding relating to any condemnation, and to settle or compromise any claim in connection therewith. All such compensation awards, damages, claims, rights of action and proceeds, and any other payments or relief, and the right thereto, are hereby assigned by Mortgagor to Mortgagee, which, after deducting therefrom all its expenses, including, without limitation, attorneys' fees, may release any monies so received by it without affecting the lien of this Mortgage or may apply the same, in such manner as Mortgagee shall determine, to the reduction of the sums secured hereby and to any prepayment charge provided in the Agreement, this Mortgage or other instrument securing the Agreement. Any balance of such monies then remaining shall be paid to Mortgagor. Mortgagor agrees to execute such further assignments of any compensation, awards, damages, claims, rights of action and proceeds as Mortgagee may require. Notwithstanding anything in the foregoing to the contrary, the rights of the Mortgagee under this Section 1.06 shall be subject and subordinate to the rights of any mortgagee described in Section 3.01 below. 5 Item # 5 Attachment number 4 Page 6 of 16 1.07 Care of Property. A. Mortgagor shall preserve and maintain the Mortgaged Property in good condition and repair. Except as contemplated and permitted elsewhere in this mortgage, Mortgagor shall not remove, demolish, alter or change the use of any structure or other improvement presently or hereafter on that portion of the Mortgaged Property described as the Project in the Agreement without the prior written consent of Mortgagee, nor permit, commit or suffer any waste, impairment or deterioration of the Mortgaged Property or of any part thereof, and will not take any action which will increase the risk of fire or other hazard to the Mortgaged Property or to any part thereof. B. Mortgagee may enter upon and inspect the Mortgaged Property at any reasonable time during the life of this Mortgage. C. Mortgagor will promptly comply with all present and future laws, ordinances, rules and regulations of any governmental authority affecting the Mortgaged Property or any part thereof. 1.08 Transfer of Property Title. If all or any part of the Mortgaged Property or any interest therein is sold or transferred by Mortgagor without Mortgagee's prior written consent, excluding (a) the creation of a lien or encumbrance subordinate to this mortgage, (b) the creation of a purchase money security interest for appliances, fixtures or equipment, (c) a transfer by devise, descent or by operation of law upon the death of a joint tenant, (d) the grant of any leasehold interest of ten (10) years or less not containing an option to purchase, or (e) the refinancing of any mortgage described in Section 3.01 below in an amount not to exceed the loan amount described in Section 3.01 below. Mortgagee may, at Mortgagee's option, declare a default hereunder. Mortgagee shall have waived such option to accelerate if, prior to the sale or transfer, Mortgagee and the person to whom the mortgaged property is to be sold or transferred reach agreement in writing that the credit of such person is satisfactory to Mortgagee and that the interest payment on the sums secured by this mortgage shall be at such rate as Mortgagee shall request. 1.09 Further Assurances. At any time and from time to time, upon Mortgagee's request, Mortgagor shall make, execute and deliver or cause to be made, executed and delivered to Mortgagee any and all such further mortgages, instruments of further assurance, certificates, updated financial statements and secure financial information and any other documents as Mortgagee may consider necessary or desirable in order to effectuate, complete or perfect, or to continue and preserve the obligations of Mortgagor under the Agreement and this Mortgage, and the lien of this Mortgage as a valid and existing lien upon all of the Mortgaged Property, whether now owned or hereafter acquired by Mortgagor. Upon any failure by Mortgagor to do so, Mortgagee may make, execute, record, file, re-record or refile any and all such mortgages, instruments, certificates and documents for and in the name of Mortgagor, and Mortgagor hereby irrevocably appoints Mortgagee the agent and attorney-in-fact of Mortgagor to do so. Mortgagor shall promptly deliver to Mortgagee receipts showing payment in full of all of the above items which are not paid from the escrow account, if any, herein established. 1.10 INTENTIONALLY DELETED 6 Item # 5 Attachment number 4 Page 7 of 16 1.11 After Acquired Property. The lien of this Mortgage will automatically attach, without further act, to all after acquired property located in or on, or attached to, or used or intended to be used in connection with or with the operation of, the Mortgaged Property or any part thereof. 1.12 Expenses. Mortgagor shall pay or reimburse Mortgagee for all costs, charges and expenses, including reasonable attorneys' fees and disbursements and costs incurred or paid by Mortgagee in any threatened, pending or completed action, proceeding or dispute in which Mortgagee is or might be made a party or appears as a party plaintiff or party defendant and which affects or might affect the Agreement, this Mortgage or any other instrument securing the Agreement, or the Mortgaged Property or any part thereof, or the interests of Mortgagor or Mortgagee therein, including but not limited to the foreclosure of this Mortgage, condemnation involving all or part of the Mortgaged Property or any action to protect the security hereof, including all appellate proceedings in connection with or arising out of any of the foregoing. All costs, charges and expenses so incurred or paid by Mortgagee shall become due and payable immediately, whether or not there be notice, demand, attempt to collect or suit pending. The amounts so incurred or paid by Mortgagee, together with interest thereon at the Default Rate as hereinafter defined from the date incurred until paid by Mortgagor, shall be secured by the lien of this mortgage. 1.13 Performance of Defaults. If Mortgagor defaults in the payment of any tax, assessment, encumbrance or other imposition, in its obligation to furnish insurance hereunder or in the performance or observation of any other covenant, condition or term in this Mortgage or in any other instrument securing the Agreement, Mortgagee may at its option perform, correct or observe the same, and all payments made (whether such payments are regular or accelerated payments) and costs and expenses incurred or paid by Mortgagee in connection therewith shall become due and payable immediately, whether or not there be notice or demand. The amounts so incurred or paid by Mortgagee, together with interest thereon at the Default Rate as hereinafter defined from the date incurred until paid by Mortgagor, shall be secured by the lien of this Mortgage. Nothing contained herein shall be construed as requiring Mortgagee to advance or expend monies for any purpose mentioned in this paragraph, or for any other purpose. Mortgagee is hereby empowered to enter and to authorize others to enter upon the Mortgaged Property or any part thereof for the purpose of performing or observing any such defaulted covenant, condition or term, without thereby becoming liable to Mortgagor or any person in possession holding under Mortgagor. 1.14 Estoppel Affidavits. Either Mortgagor or Mortgagee within ten (10) days after written request from the other shall furnish a written statement, duly acknowledged, setting forth the ongoing or unmet obligations under the Agreement, and any other unpaid sums secured hereby, and whether or not any offsets or defenses exist. ARTICLE TWO DEFAULTS 2.01 Event of Default. The term default, wherever used in this Mortgage, shall mean any one or more of the following events: 7 Item # 5 Attachment number 4 Page 8 of 16 A. Breach of or failure by Mortgagor to duly keep, perform and observe any other covenant, condition or agreement in the Agreement, this Mortgage, any other instrument securing the Agreement or any other instrument collateral to the Agreement or executed in connection with the sums secured hereby. B. If the Mortgagor at any time shall: (i) file a voluntary petition in bankruptcy, or (ii) be adjudicated as bankrupt or insolvent, or (iii) seek or consent to or acquiesce in the appoint- ment of a trustee, receiver, master or liquidator of all or any substantial part of the Mortgaged Property or of any or all of the rents, revenues, issues, earnings, profits or income thereof, or (iv) make any general assignment for the benefit of creditors; or make an admission in writing of its inability to pay its debts generally as they become due; or (v) if a court of competent jurisdiction enters an order, judgment or decree approving a petition filed against Mortgagor seeking any arrangement, composition, readjustment, liquidation, or similar relief under any present or future federal, state or other statute, law or regulation relating to bankruptcy, insolvency or other relief for debtors. C. Material breach of any warranty or material untruth of any representation of Mortgagor contained in the Agreement, this Mortgage or any other instrument securing the Agreement. D. Should foreclosure proceedings (whether judicial or otherwise) be instituted on any mortgage or any junior lien of any kind secured by any portion of the Mortgaged Property, and not be terminated within forty-five (45) days. E. Should Mortgagor default in any other loan from Mortgagee to Mortgagor. F. Except for sale of portions of the Mortgaged Property made in the ordinary course of business for which a partial release or consent is obtained, should Mortgagor encumber, sell or otherwise dispose of the Mortgaged Property, or any part or interest thereof, without the consent in writing of the Mortgagee. 2.02 Mortgagee's Power of Enforcement. If an event of default shall have occurred, Mortgagee may, either with or without entry or taking possession as hereinabove provided or otherwise, proceed by suit or suits at law or in equity or by any other appropriate proceeding or remedy; (a) to enforce the Agreement or the performance of any term hereof or any other right; (b) to foreclose this Mortgage and to sell, as an entirety or in separate lots or parcels, the Mortgaged Property, under the judgment or decree of a court or courts of competent jurisdiction; or (c) to pursue any other remedy available to it. Mortgagee may take action either by such proceedings or by the exercise of its powers with respect to entry or taking possession, or both, as the Mortgagee may determine. 2.03 Receiver. If an event of default shall have occurred, Mortgagee, to the extent permitted by law and without regard to the value or occupancy of the security, shall be entitled as a matter of right if it so elects to the appointment of a receiver to enter upon and take possession of the Mortgaged Property and to collect all rents, revenues, issues, income, products and profits thereof and apply the same as the court may direct. The receiver shall have all rights and powers permitted under the laws of the State of Florida and such other powers as the court making such 8 Item # 5 Attachment number 4 Page 9 of 16 appointment shall confer. The expenses, including receiver's fees, attorney's fees, costs and agent's compensation, incurred pursuant to the powers herein contained shall be secured by this Mortgage. The right to enter and take possession of and to manage and operate the Mortgaged Property, and to collect the rents, issues and profits thereof, whether by a receiver or otherwise, shall be cumulative to any other right or remedy hereunder or afforded by law, and may be exercised concurrently therewith or independently thereof. Mortgagee shall be liable to account only for such rents, issues and profits as are actually received by Mortgagee. 2.04 Deficiency. In case of a foreclosure sale of all or any part of the Mortgaged Property and of the application of the proceeds of sale Mortgagee shall be entitled to enforce payment of and to receive any and all amounts due as a result of Mortgagor's default as defined in Section 2.01 of this Mortgage and to recover judgment for any portion thereof remaining unpaid, with interest. Mortgagor hereby agrees, to the extent permitted by law, that no recovery of any such judgment by Mortgagee and no attachment or levy of any execution upon any of the Mortgaged Property or and other property shall in any way affect the lien of this Mortgage upon the Mortgaged Property or any part thereof, or any lien, rights, powers or remedies of Mortgagee hereunder, but such lien, rights, powers and remedies shall continue unimpaired as before. 2.05 Delay or Omission No Waiver. No delay or omission of Mortgagee or any holder or the Agreement to exercise any right, power or remedy accruing upon any event of default shall exhaust any such event of default or to constitute acquiescence therein. Every right, power and remedy given to Mortgagee may be exercised from time to time and as often as may be deemed expedient by Mortgagee. 2.06 No Waiver of One Default to Affect Another. No waiver of any event of default hereunder shall extend to or affect any subsequent or any other event of default then existing, or impair any rights, powers or remedies consequent thereon. If Mortgagee (a) grants forbearance or an extension of time for performance secured hereby; (b) takes other or additional security for the performance thereof, (c) waives or does not exercise any right granted in the Agreement, this Mortgage or any other instrument securing the Agreement; (d) releases any part of the Mortgaged Property from the lien of this Mortgage or any other instrument securing the Agreement; (e) consents to the filing of any declaration of condominium, map, plat or replat of the land; or (f) makes or consents to any agreement changing the terms of this Mortgage or subordinating the lien or any charge hereof, no such act or omission shall release, discharge, modify, change or affect the original liability under the Agreement, this Mortgage, or otherwise of Mortgagor, or any subsequent purchaser of the Mortgaged Property or any part thereof or any maker, co-signer, endorser, surety or guarantor. No such act or omission shall preclude Mortgagee from exercising any right, power or privilege herein granted or intended to be granted in case of any event of default then existing or of any subsequent event of default nor, except as otherwise expressly provided in an instrument or instruments executed by Mortgagee, shall the lien of this Mortgage be altered thereby. In the event of the sale or transfer by operation of law or otherwise of all or any part of the Mortgaged Property, Mortgagee, without notice to any person, firm or corporation, is hereby authorized and empowered to deal with any such vendee or transferee with reference to the Mortgaged Property or the indebtedness secured hereby, or with reference to any of the terms or conditions hereof, as fully and to the same extent as it might deal with the original parties hereto and without in any way releasing or discharging any of the liabili- ties or undertakings hereunder of the original Mortgagor. 9 Item # 5 Attachment number 4 Page 10 of 16 2.07 Cumulative. No right, power or remedy conferred upon or reserved to Mortgagee by the Agreement, this mortgage or any other instrument securing the Agreement is exclusive of any other right, power or remedy, but each and every such right, power and remedy shall be cumulative and concurrent and shall be in addition to any other right, power and remedy given hereunder or under the Agreement or any other instrument securing the Agreement, or now or hereafter existing at law, in equity or by statute. 2.08 Default Rate. Any advancements made by and expenses incurred by Mortgagee, shall bear interest from the due date or the date of advancement or payment by Mortgagee at the highest contract rate of interest permitted to be charged under the laws of the State of Florida, which rate is herein referred to as the "Default Rate". 2.09 JURY WAIVER NOW, SHOULD IT BECOME NECESSARY TO ENFORCE THE AGREEMENT THROUGH AN ATTORNEY, ANY OF US, WHETHER MAKER, SURETY, OR ENDORSER ON THIS AGREEMENT, HEREBY AGREES TO PAY ALL COSTS OF COLLECTION, INCLUDING A REASONABLE ATTORNEYS' FEE, AND INCLUDING ANY ATTORNEYS' FEES INCURRED BY ANY APPEAL. THE UNDERSIGNED JOINTLY AND SEVERALLY DO HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVE THE RIGHT EITHER MAY HAVE TO A TRIAL BY JURY IN RESPECT TO ANY LITIGATION BASED HEREON OR ARISING OUT OF9 UNDER OR IN CONNECTION WITH THIS AGREEMENT AND ANY AGREEMENT CONTEMPLATED TO BE EXECUTED IN CONJUNCTION HEREWITH, OR ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER VERBAL OR WRITTEN), OR ACTIONS OF EITHER PARTY. THIS PROVISION IS A MATERIAL INDUCEMENT FOR MORTGAGEE ACCEPTING THIS AGREEMENT. ARTICLE THREE SUBORDINATION 3.01 Subordination of Mortgage Rights. Mortgagee does hereby acknowledge that this Performance Mortgage is subordinate to that certain mortgage given by Mortgagor to Yo Nancy, Inc. for a total loan amount of $1,550,000.00. Furthermore, Mortgagee shall subordinate this Performance Mortgage to any mortgage given by Mortgagor to secure an indebtedness incurred by Mortgage to re-finance the total loan amount secured by the aforesaid mortgage and upon Mortgagor's written request, Mortgagee shall execute a written subordination of this Performance Mortgage to said re-financing mortgage; however, such subordination may be withheld by Mortgagee until such time that Mortgagor presents Mortgagee with reasonable evidence that at said time the Mortgaged Property is of a market value that is equal to or exceeds the total amount being refinanced plus $50,000.00. 3.02 Subordination of Easement Rights. Provided that Mortgagor is not in default hereunder, Mortgagee agrees to subordinate the lien of this Mortgage to the rights of the holders of any easement hereafter granted by Mortgagor which may reasonably be required to furnish to the Mortgaged Property utilities such as, but not limited to, water, electricity, sanitary and storm sewers, gas and telephone. 10 Item # 5 Attachment number 4 Page 11 of 16 ARTICLE FOUR HAZARDOUS SUBSTANCE 4.01 Mortgagor hereby represents that neither Mortgagor nor, to Mortgagor's knowledge, any other person has ever used the Mortgaged Property as a storage facility for any "Hazardous Substance" other than gasoline or motor oil (to the extent same may be Hazardous Substances) used in the ordinary course of Mortgagor's business. Mortgagor hereby agrees to indemnify Mortgagee and hold Mortgagee harmless from and against any and all losses, liabilities, including strict liability, damages, injuries, expenses, including reasonable attorneys' fees, costs of any settlement or judgment and claims of any and every kind whatsoever paid, incurred or suffered by, or asserted against, Mortgagee by any person or entity or governmental agency for, with respect to, or as a direct or indirect result of, the presence on or under, or the escape, seepage, leakage, spillage, discharge, emission, dis- charging or release from the premises of any Hazardous Substance (including, without limitation, any losses, liabilities, including strict liability, substances or standards of conduct concerning any Hazardous Substance), regardless of whether within the control of Mortgagee, so long as the act or omission in question occurs prior to the sale of the premises and complete dispossession of Mortgagor thereunder. For purposes of this instrument, "Hazardous Substances" shall mean and include those elements or compounds which are contained in the list of hazardous substances adopted by the United States Environmental Protection Agency (EPA) and the list of toxic pollutants designated by Congress or the EPA or defined by any other Federal, state or local statute, law, ordinance, code, rule, regulation, order or decree regulating, relating to, or imposing liability or standards of conduct concerning any hazardous, toxic or dangerous waste, substance or material as now or at any time hereafter in effect. If Mortgagor receives any notice of (i) the happening of any material event involving the spill, release, leak, seepage, discharge or cleanup of any Hazardous Substance on the premises or in connection with Mortgagor's operations thereon or, (ii) any complaint, order, citation or material notice with regard to air emissions, water discharges, or any other environmental, health or safety matter affecting Mortgagor (an "Environmental Complaint") from any person or entity (including, without limitation, the EPA), then Mortgagor shall immediately notify Mortgagee orally and in writing of said notice. Mortgagee shall have the right, but not the obligation, and without limitation of Mortgagee's rights under this instrument, to enter onto the Mortgaged Property or to take such other actions as it deems necessary or advisable to clean up, remove, resolve or minimize the impact of, or otherwise deal with, any such Hazardous Substance or Environmental Complaint following receipt of any notice from any person or entity (including, without limitation, the EPA) asserting the existence of any Hazardous Substance or an Environmental Complaint pertaining to the Mortgaged Property or any part thereof which, if true, could result in an order, suit or other action against Mortgagor and/or which, in the sole opinion of Mortgagee, could jeopardize its security under this instrument. All reasonable costs and expenses incurred by Mortgagee in the exercise of any such rights shall be secured by this instrument and shall be payable by Mortgagor upon demand. 11 Item # 5 Attachment number 4 Page 12 of 16 Mortgagee shall have the right, in its reasonable discretion, to require Mortgagor to periodically (but not more frequently than annually unless an Environmental Complaint is then outstanding) perform (at Mortgagor's expense) an environmental audit and, if deemed necessary by Mortgagee, an environmental risk assessment, each of which must be satisfactory to Mortgagee, of the Mortgaged Property, hazardous waste management practices and/or hazardous waste disposal sites used by Mortgagor. Said audit and/or risk assessment must be by an environmental consultant satisfactory to Mortgagee. If the environmental audit or environmental risk assessment reveals no recognized environmental concerns, Mortgagee shall be solely liable for the cost of said audit or assessment and shall reimburse Mortgagor for said cost upon demand. Should Mortgagor fail to perform said environmental audit or risk assessment within thirty (30) days of the Mortgagee's written request, Mortgagee shall have the right, but not the obligation, to retain an environmental consultant to perform said environmental audit or risk assessment. All costs and expenses incurred by Mortgagee in the exercise of such rights shall be secured by this instrument and shall be payable by Mortgagor upon demand. Any breach of any warranty, representation or agreement contained in this section shall be an event of default hereunder and shall entitle Mortgagee to exercise any and all remedies provided in this instrument, or otherwise permitted by law. ARTICLE FIVE MISCELLANEOUS PROVISIONS 5.01 Successors and Assigns Included in Parties. Whenever one of the parties hereto is named or referred to herein, the successors and assigns of such party shall be included and all covenants and agreements contained in this Mortgage, by or on behalf of Mortgagor or Mortgagee, shall bind and inure to the benefit of their respective successors and assigns, whether so expressed or not. 5.02 Headings. The headings of the articles, sections, paragraphs and subdivision of this Mortgage are for convenience of reference only, are not to be considered a part hereof, and shall not limit or expand or otherwise affect any of the terms hereof. 5.03 Invalid Provisions to Affect no Others. In the event that any of the covenants, agreements, terms or provisions contained in the Agreement, this Mortgage or any other instrument securing the Agreement shall be invalid, illegal or unenforceable in any respect, the validity of the remaining covenants, agreements, terms or provisions contained herein and in the Agreement and any other instrument securing the Agreement shall be in no way affected, prejudiced or disturbed thereby. 5.04 Changes. Neither this Mortgage nor any term hereof may be changed, waived, discharged or terminated orally, or by any action or inaction, but only by an instrument in writing signed by the party against which enforcement of the change, waiver, discharge or termination is sought. Any agreement hereafter made by Mortgagor and Mortgagee relating to this Mortgage shall be superior to the rights of the holder of any intervening lien or encumbrance. 12 Item # 5 Attachment number 4 Page 13 of 16 5.05 Governing Law. This Mortgage is made by Mortgagor and accepted by Mortgagee with reference to the laws of the State of Florida and shall be construed, interpreted, enforced and governed by and in accordance with such law. 5.06 INTENTIONALLY DELETED. 5.07 Mortgagor as Lessor. Mortgagor shall faithfully perform the covenants of Mortgagor as lessor under any present and future leases, affecting all or any portion of the Mortgaged Property, and neither do nor neglect to do, nor permit to be done, anything which may cause the termination of said leases, or any of them, or which may diminish or impair their value, or the rents provided for therein, or the interest of Mortgagor or Mortgagee therein or thereunder. 5.08 INTENTIONALLY DELETED. 5.09 Waiver of Homestead Exemption, Time of Essence. Each individual Mortgagor, for himself and family, hereby waives and renounces all homestead exemption rights provided for by the Constitution and Laws of the United States and of the State of Florida in and to the Mortgaged Property as against the collection of the secured indebtedness, or any part thereof, and Mortgagor agrees that where, by the terms of the conveyance or the Agreement secured hereby, a day is named or a time fixed for the payment of any sum of money or the performance of any agreement, the time stated enters into the consideration and is of the essence of the whole contract. 5.10 Prior Liens. Except for any mortgage or easement described in Sections 3.01 and 3.02 of this Mortgage, Mortgagor shall keep the Mortgaged Property free from all other prior liens and, upon demand of Mortgagee, pay and procure release of any such other lien which in any way may impair the security of this Mortgage. 5.11 Mortgagor's Duty to Defend. Mortgagor will defend, at its own cost and expense, and indemnify and hold Mortgagee harmless from, any action, proceeding or claim affecting the Mortgaged Property, the Agreement or any other loan document. Costs and expenses will include all reasonable attorney's fees. If Mortgagor neglects or refuses to act pursuant to this paragraph, Mortgagee, at its option (whether electing to declare the entire secured indebtedness due and collectible or not, or to pursue other remedies for an event of default), may pay for all reasonable attorney's fees, costs and expenses incurred in any such action. All such payments, bearing interest thereon from the time of default as determined by prime rate, plus 100 basis points, as quoted in the Wall Street Journal, as of the effective day of any default and shall accrue at that rate, from time to time, as of the date of default, shall be deemed a part of the secured indebtedness and shall be immediately due and payable by Mortgagor to Mortgagee. 5.12 Compliance with Law. The Mortgagor warrants and represents the Mortgagor has complied, and shall hereafter comply, with all valid laws, rules, ordinances and regulations of the federal, state and local government, and all agencies and subdivisions thereof which laws rules, ordinances and regulations apply or relate to the Mortgaged Property, the development, construction and improvements existing or contemplated thereon or as a part thereof, and the sale 13 Item # 5 Attachment number 4 Page 14 of 16 or other disposition of the Mortgaged Property, or parts thereof, or the improvements now or hereafter located thereon or a part thereof, including, but not limited to, all such laws, rules, ordinances, and regulations regarding land use, zoning, building, subdivision, environment, OSHA, pollution and sales practices. 5.13 Construction. This Mortgage and all related loan documents, including but not limited to the Agreement, shall not be construed more strongly against any party regardless of who was more responsible for its preparation. 5.14 Addresses for Notices. A. Any notice, report, demand or other instrument authorized or required to be given or furnished under this Mortgage to Mortgagor or Mortgagee shall be deemed given or furnished when addressed to the party intended to receive the same, at the address of such party on the first page hereof, and delivered at such address by personal delivery, national overnight courier company, or when mailed by first class U.S. Mail, postage prepaid and deposited into the U.S. Mail, being deemed the delivery of notice, or when given by facsimile transmission or via e- mail, as follows: To Mortgagor: MAINSTREET CLEARWATER DEVELOPMENT, LLC. 400 Cleveland Street, Suite 200 Clearwater, Florida 33755 Fax: (727) To Mortgagee: Attn: City Attorney City of Clearwater 112 S. Osceola Avenue Clearwater, FL 33756 FAX # (727) 562-4021 B. Either party may change the address to which any such notice, report, demand or other instrument is to be delivered or mailed, by furnishing written notice of such change to the other party, but no such notice of change shall be effective unless and until received by such other party. 5.15 Termination of Agreement. This Performance Mortgage shall not be affected by termination of the Agreement, to the extent that the CRA (Mortgagee) has expended funds or is obligated to expend funds for which Mortgagor is liable to reimburse Mortgagee pursuant to the Agreement and all obligations under this Performance Mortgage shall survive until Mortgagee has satisfied its liabilities and fulfilled its obligations to Mortgagee under the Agreement. 5.16 Mortgagee's Satisfaction of Mortgage. Notwithstanding anything to the contrary elsewhere contained in this Mortgage, if during the term of this Mortgage, Mortgagor seeks to sell the Mortgaged Property or re-finance the mortgage indebtedness described in Section 3.01 above and the Purchaser of the Mortgaged Property or the lender refinancing said indebtedness requires that this Mortgage be satisfied as a condition to its closing of said sale or re-financing, then in such event, Mortgagee shall furnish a written satisfaction of this Mortgage in recordable 14 Item # 5 Attachment number 4 Page 15 of 16 form upon (a) Mortgagor's presentation of reasonable evidence that one of the foregoing events has occurred and (b) Mortgagor's payment to Mortgagee of an amount equal to the sum which would be due Mortgagee if Mortgagor had failed to comply with the provisions of Section 6.02 of the Agreement as of the date of the closing of any such sale or re-financing. NO DOCUMENTARY STAMP TAXES OR INTANGIBLE PERSONAL PROPERTY TAXES ARE DUE ON THIS MORTGAGE BECAUSE IT SECURES THE PERFORMANCE OF AN OBLIGATION, NOT THE PAYMENT OF MONEY. IN WITNESS WHEREOF, the Mortgagor has made, executed, sealed and delivered this Mortgage, the day and year first above written. Signed, sealed and delivered in the presence of: MAINSTREET CLEARWATER DEVELOPMENT, LLC, a Florida limited liability company Print Name Print Name STATE OF COUNTY OF By: Kevin Burke, its managing member I HEREBY CERTIFY, that on this day personally appeared before me, an officer duly authorized to administer oaths and take acknowledgments, by Kevin Burke, as managing member of MAINSTREET CLEARWATER DEVELOPMENT, LLC., a Florida limited company, known to be the individual described in, or who produced as identification, and who executed the foregoing instrument, and acknowledged before me that he executed the same as his free act and deed for the purposes therein expressed. WITNESS my hand and official seal at said County and State, this day of , 2010. Notary Public Print Name My Commission Expires: 15 Item # 5 Attachment number 4 Page 16 of 16 EXHIBIT "A" Lots 5 and 6 of EARLL AND TATE' S SUBDIVISION, according to the map or plat thereof as recorded in Plat Book 1, page 20, of the Public Records of Hillsborough County, Florida, of which Pinellas County was formerly a part. 42775721x3 16 Item # 5