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Doral council directs staff to finalize $21 million settlement and property purchase in long-running litigation
Summary
Council authorized city attorneys and the city manager to complete negotiations on the Doral 10 LLC settlement and purchase after discussing mitigation-credit assignments and permitting details; council members said closing by March 19 was a priority.
The Doral City Council on March 12 authorized the city manager and city attorney to finalize settlement documents and purchase agreements with Doral 10 LLC, a resolution that formalizes a negotiated settlement to long-running litigation and includes a purchase of property and additional fees.
City Attorney Mr. Lorenzo explained that council previously approved a term sheet in February and that attorneys have since negotiated a purchase and settlement agreement. He said the settlement total discussed on the record is approximately $21 million, which combines a roughly $17.0 million land purchase figure plus about $3 million for attorneys' fees, costs and loss-of-use claims. "I would rather and recommend that you purchase the land rather than just pay the damages that the court is likely to find against Doral," he told council.
Lorenzo and assistant counsel Raul Gustesi said the remaining negotiation points involve mitigation credits and certain permits with Miami-Dade County and South Florida Water Management District. The seller proposes assigning mitigation credits to the city; staff are negotiating whether credits will be assigned before closing or can be transferred afterward. Council asked staff for latitude to complete documents and to capture the mitigation credits if possible.
Councilman Cabral asked for an explanation of the increase from earlier figures; city attorneys said market changes since prior appraisals and inclusion of fees and loss-of-use claims explain the settlement total. Staff also told the council they had obtained an appraisal that supports the negotiated purchase price.
Why it matters The settlement and purchase resolve years of litigation (the record shows matters dating to 2018) and would transfer land to the city. Council members said acquiring the land provides public control of a parcel that has been the subject of environmental and permitting disputes, even as the settlement requires significant city funds.
Next steps and contingencies The city attorney asked the council to authorize the manager and legal team to finalize the documents, capture mitigation credits if practicable, and close the transaction by March 19, 2025, if all documentation is secured. If negotiations break down, the city could return to litigation and face additional costs. The council approved the motion and directed staff to complete negotiations and return executed documents to the council as required.
