Title
A Resolution Of The Hollywood, Florida Community Redevelopment Agency ("CRA"), Authorizing The Appropriate CRA Officials To Execute A Fourth Amendment To Renew The License Agreement With MVHF, LLC And The City Of Hollywood, Florida, For Five Years, With An Option To Renew, Under The Same Terms And Conditions, For The Property Identified As The Johnson Street Parcel.
Strategic Plan Focus
Economic Vitality
Body
Staff Recommends: Approval of the attached Resolution.
Explanation:
On February 11, 2011, the CRA entered into a 99-year development agreement and ground lease, 10-year license agreement for the Intracoastal parcel located at 1112 N Ocean Drive, and five-year license agreement for the Johnson Street parcel. The license agreements included a clause that allowed for the transfer of the license(s) when the lease or the resort hotel is transferred to a third party (successor). MVHF, LLC is the successor in interest to Margaritaville Hollywood Beach Resort, LLC.
The Johnson Street parcel license agreement provides for the use, operation and maintenance responsibilities and obligations of the Johnson Street parcel by the developer, the City, and the CRA. The term of the License Agreement commenced on the date Margaritaville opened to the general public (October 1, 2015) and continued for a period of five years thereafter.
The License Agreement was amended in 2016 to include an annual allocation of $41,600.00 from the CRA to offset police security expenses associated with the bandshell area. This allocation represents just under 30% of the cost of police security for the bandshell area with MVHF currently spending upward of $145,000.00 per year. It is also important to note that MVHF spends over $250,000.00 per year in entertainment programming at the bandshell.
On October 21, 2020, the CRA board passed Resolution No. R-2020-24, which authorized a Renewal and Second Amendment to the License Agreement for a one-year term. On July 7, 2021, the CRA b...
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