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The City has reached a preliminary settlement agreement with Coral Grand, LLC and the Coral Gables Athletic Club, LP, in the case regarding the appointment of a receiver and the end of tenancy at the Coral Gables Country Club.
The agreement was struck just hours before the Court was scheduled to hold a hearing regarding the case.
Although the details of the agreement are still being ironed out, a joint motion was filed with the Court stating that the parties “jointly seek leave of Court to cancel the upcoming specially set three-hour evidentiary hearing scheduled for Thursday, April 21, 2022 at 1:00 p.m.”
It continues, “since Friday, April 15, 2022, the Parties, through their respective businesspersons, have been in ongoing discussions in an effort to achieve an amicable resolution of this litigation.The Parties have reached an agreement in principle on essential terms that is subject to appropriate documentation, as well as approval and ratification by the City Commission. The Parties have already exchanged an initial draft of a Settlement Agreement and Release, but have not finalized or executed same.”
The agreement would not be finalized until the City Commission votes to ratify it at the Tuesday, April 26th City Commission meeting.
If the agreement is ratified, “the Receiver will continue to oversee the winding down of operations and peaceful turnover of the Country Club on May 2, 2022 at 10:00 a.m.”
Shortly after the motion was filed, Judge David C. Miller entered a judgement dismissing the case.
In a statement, the City stated that, “the City is pleased to move forward to serve the residents of Coral Gables and maintain this historic and iconic building.”
“My clients are happy to have been able to amicably settle this matter with the City to ensure that this priceless asset is going to be continued to be enjoyed by all residents of Coral Gables,” said Coral Grand, LLC’s attorney David Winker.
According to City staff’s memorandum to the Commission, the basic terms of the agreement are as follows: “1) The Receiver stays in place through April 30, 2022, and Coral Grand continues to satisfy all Lease and June 2021 Settlement agreement obligations through April 30, 2022, including continuous operation of the fitness center and fulfillment of all events. 2) The City takes possession of the Country Club and Coral Grand conveys Personal Property (as defined) to the City in exchange for the purchase price of $295,000 to Coral Grand, on May 2, 2022, at 10:00 AM. 3) Coral Grand and the Coral Gables Athletic Club transfer retail beverage, permanent food service, and gym operation licenses to the City effective May 2, 2022. 4) The evidentiary hearing scheduled for April 21, 2022 on Defendants’ Emergency Motion to Dissolve Ex Parte Temporary Injunction Appointing Receiver was cancelled. 5) If the City Commission approves the Settlement Agreement on April 26, 2022, the emergency motion to dissolve shall be moot and the appeal shall be dismissed. 6) The Coral Gables Athletic Club will not exercise any purchase options over the fitness center equipment or take any action that would result in the removal of the equipment. 7) Mutual releases effective upon satisfaction by Coral Grand and Coral Gables Athletic Club of all obligations.”
The City’s plan is to have the Club operating immediately and for there to be no closure. Click here to read the full agreement.