A public records request by Tallahassee Reports has revealed more details about the financial arrangements revolving around the Brew Pub at Cascades Park.
On December 2013, the City Manager signed a memorandum agreement with the developer who was selected to build a restaurant in the old municipal electric building in Cascades Park.
Two provisions in the memorandum of agreement stated the final plans were to be submitted within 90 days and that a “letter of commitment” for the $1.5 million developer investment would be required 30 days after the final plans were completed.
Tallahassee Reports has been told that neither of these milestones have been met.
Instead, an amendment to the original memorandum of agreement was developed and signed on April 17 to give the developer 30 more days to finalize plans. Tallahassee Reports was told as of last week the plans have been finalized.
However, Tallahassee Reports was also told that no letter of commitment, as required in the original memorandum, has been received. Instead, a less formal letter has been submitted stating that a commitment will be addressed after the City renovates the building.
All of these changes, which have been implemented, were not brought back before the City Commission for approval.
Tallahassee Reports has obtained a copy of the proposal letter from C1Bank, located in St. Petersburg, Florida.
The proposal letter states that this “is not a commitment to extend financing and is subject to….final approval and structure from the bank.”
The proposal letter states that the loan would be for approximately $1.3 million with monthly payments of approximately $22,000.
The controversial project, which was approved back in October, uses $2.1 million in tax monies along with $1.5 million in developer investment to fund the Brew Pub restaurant.