SIXTH AMENDMENT TO THE FOOD AND DRINK PROPERTY OWNER GRANT PRGRAM - LOAN TO GRANT AGREEMENTSIXTH AMENDMENT TO THE FOOD AND DRINK PROPERTY OWNER GRANT
PROGRAM
LOAN -TO -GRANT AGREEMENT
485 N. KELLER ROAD, SUITE 520, MAITLAND, FL 32751
949 CLEVELAND STREET, LLC
THIS SIXTH AMENDMENT TO THE FOOD AND DRINK PROPERTY OWNER
GRANT PROGRAM LOAN -TO -GRANT AGREEMENT, entered into this Aar day of
&. I , 2025, by and between the Community Redevelopment Agency of the City
of Clea ater, 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 949
Cleveland Street, LLC, a Florida limited liability company whose address is 485 N. Keller
Road, Suite 520, Maitland, FL 32751 (hereinafter "Borrower").
WITNESSETH
WHEREAS , the CRA and the Borrower entered into a Food and Drink
Business Property Owner Grant Program Loan -to -Grant Agreement ("the Agreement")
on February 27, 2020 for the property commonly referred to as 943 Cleveland Street,
Clearwater, FL 33756; and
WHEREAS, the CRA and the Borrower amended certain provisions of the Agreement
on January 19, 2021; and
WHEREAS, the CRA and the Borrower amended certain provisions of the
Agreement on February 14, 2022; and
WHEREAS, the CRA and the Borrower amended certain provisions of the
Agreement on February 13, 2023; and
WHEREAS, the CRA and the Borrower amended certain provisions of the
Agreement on December 4, 2023; and
WHEREAS, the CRA and the Borrower amended certain provisions of the
Agreement on April 15, 2024; and WHEREAS, the parties now again desired to amend
certain provisions of the Agreement on the terms and conditions contained here;
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 asfollows:
Section 1. Section B " Program Funding," Paragraph 3 of the Agreement is
amended to read as follows:
Loan funds will be disbursed on a monthly reimbursement basis for satisfactorily
completed work toward the Project. However, the final 10% of the loan funds will not be
disbursed until Borrower obtains a Final Certificate of Occupancy and the proposed
restaurant use is open for business during the required business hours. Additionally, if
Borrower does not obtain a Final Certificate of Occupancy and the proposed restaurant
is not open for business by July 15th, 2025, Borrower agrees that this Agreement shall
become null and void, that Borrower will not be entitled to the final 10%, and that the CRA
will be entitled to the return of any loan funds disbursed under this Agreement.
Section; 2, Section D "Default by Borrower," Paragraph 2 of the Agreement is
amended to read as follows:
Borrowers failure to obtain a Final Certificate of Occupancy or to open the proposed
restaurant for business by July 15, 2025.
,Section! 3. All terms and provisions of the Agreement not modified, changed, or
amended hereby shall remain in full force and effect.
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 Amendment is executed in two original copies
of which one is to be delivered to the Borrower and one to the CRA.
Margolis
CRA Attorney
BORROWER: 949 le = land
By (Signature):
Print Name:
Title:
COMMUNITY REDEVELOPMENT AGENCY OF
THE CITY OF CLEARWATER, FLORIDA
By:
Attest:
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Rosemarie Call
Clearwater City Clerk
STATE OF FLORIDA
COUNTY OF PINELLAS ]
C, a Florida limited liability
The foregoing instrument was acknowledged before me this
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City of Clearwater
Legislation Details (With Text)
Main Library - Council
Chambers
100 N. Osceola Avenue
Clearwater, FL 33755
File #: ID#24-1611 Version: 1 Name:
Type: Action Item Status: Agenda Ready
File created: 12/23/2024 In control: Community Redevelopment Agency
On agenda: 1/13/2025 Final action:
Title: Amend the Loan to Grant Agreement with 949 Cleveland Street, LLC for the property at 943
Cleveland Street, to extend the agreement through July 15, 2025, for building improvements to
implement the CRA Food and Drink Grant Program and authorize the appropriate officials to execute
same.
Sponsors:
Indexes:
Code sections:
Attachments: 1. 11.2024 CRA Extension Request -CSM, 2. Document_241231_114111.pdf
Date Ver. Action By Action Result
SUBJECT/RECOMMENDATION:
Amend the Loan to Grant Agreement with 949 Cleveland Street, LLC for the property at 943 Cleveland Street,
to extend the agreement through July 15, 2025, for building improvements to implement the CRA Food and
Drink Grant Program and authorize the appropriate officials to execute same.
SUMMARY:
At the October 29, 2018, Community Redevelopment Agency (CRA) meeting, the trustees approved a time-
limited grant program for property owners to support the establishment of new food and drink businesses that
are open on nights and weekends in the Downtown Core and Prospect Lake districts of the CRA.
On February 18, 2020, the CRA Trustees approved the applicant's proposal for a loan to grant in the amount
of $187,632.50 for 949 Cleveland Street, LLC to build out a vacant storefront and establish a coffee and
dessert shop that will serve hot and cold drinks along with a wide selection of desserts. The total project cost
is $375,265.00.
On January 19, 2021, the CRA Trustees approved an amendment to the grant agreement for an extension to
March 1, 2022, due to construction delays and the COVID-19 Pandemic.
On February 14, 2022, the CRA Trustees approved a second extension to March 1, 2023, due to the
continued effects of the COVID-19 pandemic delaying progress as well as the applicant not being able to
secure a general contractor until late 2021.
On February 13, 2023, the CRA Trustees approved a third extension to December 31, 2023, due to
requirements with replacing the roof including structural engineered drawings, permitting, procurement, and a
subsequent installation.
On December 4, 2023, the CRA Trustees approved a fourth extension to January 31, 2024 due to unexpected
conditions, specifically the necessity for a roof replacement before the build -out work can begin. There was
also a complication with the previous prospective tenant for the cafe space who withdrew their lease. The
applicant has since acquired a new leaseholder.
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File #: ID#24-1611, Version: 1
On April 15, 2024, the CRA Trustees approved a fifth extension; the previous request for an extension was
motivated by the necessity to provide the applicant's newest tenant with the opportunity to design the space
according to their vision and needs. However, during the work, the applicant encountered unexpected
challenges regarding the electrical infrastructure. Upon further examination, it has come to the applicant's
attention that the electrical feed to the space is undersized, necessitating a complete update to the electrical
feed to the main breaker to support the required power for the establishment. Addressing this issue has
prolonged the applicant's timeline for completion, and they are currently working diligently to rectify the
situation.
On November 14, 2024, the applicant requested a sixth extension; after securing a sushi and raw bar operator
earlier this year, they unfortunately lost that tenant due to unforeseen financial constraints. However, they
found and secured a new tenant who is committed to launching their business in the cafe space. The new
tenant has signed the lease and paid the deposit. One of the key delays is electrical power to the cafe space,
which is essential for the tenant to begin their preparations. Electrical work in the space has now been
completed and been assigned a Duke Energy Designer. They were provided with a time of 2-10 weeks to have
power on at the cafe and estimate being fully operational by March 2025. While Cleveland Street Market did
not sustain direct physical damage from either Hurricane Helene or Hurricane Milton, the dual impact of these
storms has significantly delayed their project's timeline due to resource shortages and infrastructure
challenges.
Given the unforeseen delays caused by the hurricanes, power restoration challenges, and tenant transition,
Staff recommends amending this grant for six months to allow for the final completion date to be July 15, 2025.
CRA staff has reached out to the business owner; Roy Harris and he feels confident he can be open prior to
the deadline. Staff will be working directly with the Regional Manager of Cleveland Street Market to make sure
they follow their timeline.
APPROPRIATION CODE AND AMOUNT:
Funding for this grant has been encumbered in 3887552-R2003 Economic Development- City
STRATEGIC PRIORITY:
2.1 Strengthen public-private initiatives that attract, develop, and retain diversified business sectors.
2.2 Cultivate a business climate that welcomes entrepreneurship, inspires local investment, supports Eco -
friendly enterprises, and encourages high-quality and high-quality job growth
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