FOOD AND DRINK BUSINESS TENANT GRANT PROGRAM LOAN TO GRANT AGREEMENT - TEQUILAS MEXICAN GRILL & CANTINA LLCFOOD AND DRINK BUSINESS TENANT GRANT PROGRAM
LOAN -TO -GRANT AGREEMENT
422 CLEVELAND STREET, CLEARWATER, FL 33755
TEQUILAS MEXICAN GRILL & CANTINA LLC, D/B/A TEQUILA'S MEXICAN GRILL & BAR
THIS AGREEMENT, entered into this day of l'-eb-vuac.ry , 2019, by and
between the Community Redevelopment Agency of the City of Clearwater, Florida
(hereafter "CRA"), whose address is P.O. Box 4748, Clearwater, Florida 33758-4748, a
public body corporate and politic of the State of Florida, and Tequilas Mexican Grill &
Cantina LLC, d/b/a Tequila's Mexican Grill and Bar whose address is 422 Cleveland St.,
Clearwater, FL 33755 (hereinafter "Borrower").
WITNESSETH
WHEREAS, the CRA has committed CRA funds to be applied to the recruitment
and relocation of businesses to the Community Redevelopment Area (CRA
Redevelopment Incentive Funding); and
WHEREAS, the CRA adopted the Food and Drink Business Tenant Grant Program
to provide limited financial support to tenants who meet the CRA's redevelopment
strategy for downtown but were not eligible to participate in the former Anchor Tenant
incentive program; and
WHEREAS, the CRA also adopted the Food and Drink Business Tenant Grant
Program to sustain food and drink establishments that are open on nights and
weekends in the CRA to promote downtown's ongoing revitalization as a dining
destination; and
WHEREAS, the Borrower is a proposed downtown food establishment that wishes
to be open on nights and weekends in the CRA, that was otherwise not eligible to
participate in the former Anchor Tenant incentive program, but who does meet the
CRA's redevelopment strategy for downtown; and
WHEREAS, the Borrower is requesting assistance with the costs of improvements
to the building it is leasing, new fixtures, new furnishings, and signage;
NOW THEREFORE, in consideration of the premises, the mutual covenants, and
promises contained herein, and other good and valuable consideration, the Borrower
and the CRA agree and covenant each with the other as follows:
A. GENERALLY
1. Recitals. The foregoing recitals are true and correct and are incorporated in and
form a part of this Agreement.
2. The Borrower hereby certifies that it is the tenant under a five-year Lease
Agreement dated 2/8/2018, of 422 Cleveland St., Clearwater, FL 33755 ("the
Property"), a copy of which is attached hereto as Exhibit A.
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3. In order for the Property to be usable for the proposed restaurant use, certain
improvements described in Exhibit B attached hereto, were required to be made.
B. PROGRAM FUNDING
1. The loan amount to the Borrower is 35% of eligible improvement costs not to
exceed $100,000.00.
2. The funds shall be provided in the form of zero percent (0%) interest loan -to -grant
to the Borrower, which, barring a default by the Borrower, the CRA will forgive at a
rate of twenty percent (20%) per year over the five-year loan term.
3. Loan funds will not be disbursed until Borrower obtains a Certificate of Occupancy
and the proposed restaurant use is open for business. However, if Borrower does
not obtain a Certificate of Occupancy and the proposed restaurant is not open for
business by July 1, 2019, Borrower agrees that this agreement shall become null
and void and that no loan funds shall be disbursed to Borrower.
4. Loan funds shall be paid for satisfactorily completed Work. Loan funds will be for
reimbursed upon evidence of payment submitted to CRA. The Borrower shall
submit Contractor invoices to the CRA, in a format acceptable to the CRA, along
with evidence of payment for processing and reimbursement.
5. The Project may not be altered, modified, removed or demolished without prior
written approval of the CRA. In addition, the business may not be demolished, sold,
or otherwise transferred without prior CRA approval. Any of these actions may
result in a repayment/reimbursement of the subject funds to the CRA by the
Borrower.
6. The Borrower agrees to repay the CRA the loan balance if it fails to perform any of
the covenants or agreements contained in the approved Application, or this
Agreement (incorporated documents included). CRA may terminate this contract
immediately if Borrower fails to cure a default after written demand of CRA within a
period of fifteen (15) days.
C. TERM OF AGREEMENT
1. The term of the agreement shall be five years from execution of the agreement.,
The executed Agreement represents the CRA's approval of the loan to grant to the
Borrower.
D. DEFAULT BY BORROWER
This loan may be terminated in its entirety or disbursement of loan funds may be
withheld for the following, which shall constitute a default under this Agreement:
1. Borrower's failure to maintain the improvements, as determined by the CRA in its
sole discretion, for a period equal to the term of the loan.
2. Borrower's failure to obtain a Certificate of Occupancy or to open the proposed
restaurant for business by July 1, 2019.
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3. Borrower's failure to operate as a food or drink business at the Property that is open
a minimum of Wednesday through Saturdays from 5:00 p.m. until 10:00 p.m.
E. MISCELLANEOUS PROVISIONS
1. This Agreement provides neither a representation nor assurance that the Project
can be developed and carried through to completion by the Borrower at the property
herein described. The intent of the Agreement is to provide a mutually agreed upon
framework by which the CRA will provide loan -to -grant funds to the Borrower,
provided that all requirements have been and remain satisfied.
2. To the extent permissible by law, the Borrower hereby expressly waives any cause
of action they may have arising from or pertaining to the provisions of Florida
Statute 520.60, et seq., with respect to the City or the CRA.
3. No member, officer or employee of the City, CRA or its designees or agents, and no
other public official of such locality who exercises any functions or responsibilities
with respect to this agreement during his tenure or for one year thereafter shall
have any interest, direct or indirect, in any contract or subcontract, or the proceeds
thereof, for work to be performed in connection with this contract.
4. This Agreement shall be governed by the laws of the State of Florida, and venue
shall be in Pinellas County.
5. Should any section or part of any section of this Agreement be rendered void,
invalid, or unenforceable by any court of law, for any reason, such a determination
shall not render void, invalid, or unenforceable any other section or any part of any
section in this Contract.
6. This Agreement is non -assignable by either party and constitutes the entire
Agreement between the Borrower and CRA and all prior or contemporaneous oral
and written agreements or representations of any nature with reference to the
subject of the agreement are canceled and superseded by the provisions of this
agreement.
IN WITNESS WHEREOF, the Borrower and CRA have executed or caused these
presents to be executed by its respective authorized representatives to be effective as
of the day and year first above written. This Agreement is executed in two original
copies of which one is to be delivered to the Borrower and one to the CRA.
COMMUNITY REDEVELOPMENT AGENCY OF
THE CITY OF CLEARWATER, FLORIDA
CtePqr \M\405
By:
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George N. Cretekos
Chairperson
Approved as to form:
Michael P. Fuino
Assistant City Attorney
BORROWER: Tequilas Mexi
By:
Attest:
rill & Cantina LLC
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STATE OF FLORIDA ]
COUNTY OF PINELLAS ]
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The foregoing instrument was acknowledged before
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My Commission expires:J,y aoaa
Notary Public
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