DEPARTMENT MAKING REQUEST
Human Services
Title
title
2208 Castillo Avenue Amended and Restated Land Use Restriction Agreement (LURA)
end
REQUESTED MOTION/ACTION
recommendation
Recommended Action:
a) Approve Amended and Restated Land Use Restriction Agreement (LURA) for Crossroads Hope Academy, 2208 Castillo Avenue, Punta Gorda, Florida 33950; and
b) Authorize the County Administrator, or his designee, to sign the LURA.
end
budget
Budgeted Action:
No action needed.
end
BACKGROUND (Why is this Action Necessary, and What Action will be accomplished)
body
Background:
This property was previously known as Kelly Hall, Coastal Safe Haven, and received a $500,000 Hurricane Housing Recovery (HHR) grant in 2006, and an additional $100,000 HHR grant in 2009 toward rehabilitation of the facility for the purpose of housing for extremely low-income homeless individuals with mental health and substance abuse disorders. A Land Use Restriction Agreement (LURA) obligated the property for this use for 30 years (October 2036). In 2022, Crossroads Hope Academy, a non-profit 501(c)(3) home for foster boys aged 12 - 18 who have had multiple failed placements in the Florida foster care system, acquired the property, assuming the terms of the LURA. The BOCC authorized the modified use of the property for foster youth and transferred the LURA.
At this time, Crossroads is attempting to secure a mortgage on the property to perform capital improvements (see below). The lending institution is unwilling to execute the mortgage with the 2022 LURA in its current iteration, implying recapture provisions in the event of default. The original 2006 LURA did not have a recapture provision. The proposed amended and restated 2023 LURA clarifies the performance provisions of the grant and remedies for default that are more in keeping with the original LURA. The term and eligible use of the property does not change. Of particular note is Section 6. Term and Termination, which sta...
Click here for full text