61-Acre Urban Redevelopment Opportunity Request for Qualifications The Boulevard Richmond, VA

Transcription

1 61-Acre Urban Redevelopment Opportunity Request for Qualifications The Boulevard Richmond, VA Downtown miles VCU - 35,000 Students The Fan Hermitage Road 10,000 vehicles/day 125,000 vehicles/day Redskins Training Facility Robin Hood Road 15,000 vehicles/day Scott s Addition North Boulevard 20,000 vehicles/day

2 DID YOU KNOW? The 61-acre Boulevard site is one of few underdeveloped, publicly owned, large urban tracts of land available in the Mid-Atlantic region. Richmond is the core of a Metropolitan Statistical Area (MSA) that includes 13 Counties, four Cities, and two Towns with a growing population of nearly 1.3 million residents. Richmond is experiencing a demographic shift that will result in 30% population growth. Demand for retail shopping options within the city is very strong with approximately 80 percent of residents purchases being spent outside of the city. Flexible urban spaces are needed in the market to support technology based companies Demand for extended stay lodging is increasing in the city. 50 new projects in the city either completed in 2015 or under way in $1 billion in investment 2,149 apartment lofts 850,000 sf commercial space Living spaces for 411 students 640,000 sf medical space 628,000 sf arts and education Over 400 hotel rooms 52-mile bike trail Top Tourism attractions and attendance numbers 1. James River Park System 1,317, Science Museum of Virginia 370, Virginia Museum of Fine Arts 344, Richmond National Battlefield Park/ 223,603 Tredegar Visitors Center 5. Maymont 102,092 The Boulevard Richmond, VA 1

3 Invitation Richmond is the Capital of the Commonwealth of Virginia. It is also the core of a Metropolitan Statistical Area (MSA) that includes 13 Counties, four Cities and two Towns with a growing population of nearly 1.3 million residents. The City of Richmond has received a number of accolades over the last few years and is emerging as a leader among medium-sized cities like Jacksonville FL, Louisville KY, Nashville TN, and Raleigh-Cary, North Carolina. Richmond s location is within one day s drive of half of the U.S. Population and is experiencing a tremendous demographic shift with a median age of 34 and an expected population growth to over 1.5 million within the next 20 years. The following links provide additional information about the City, the Region, and the unique market potential for a 60 acre, city owned property known as the Boulevard Site The Boulevard site is one of few underdeveloped, publicly owned, large urban tracts of land in the Mid-Atlantic. It is near well-established neighborhoods, important community assets like the Virginia Museum of Fine Arts and the Science Museum of Virginia, and sits at the intersection of Interstates 64 and 95. The City of Richmond views the Boulevard site as a prime location for transformative redevelopment, and an opportunity to significantly increase City revenue. The City is seeking a Master Developer to create a first class, high density, urban mixed-use development that meets community needs and acts as a catalyst for surrounding redevelopment. Project Vision and Principals Richmond has a long history of being a city of unique and distinctive neighborhoods. These neighborhoods are the foundation of strong cultural and social identity. The City s street grid system and human scale make walking easy and create opportunities for community connections. The Boulevard site can become an important connector of these neighborhoods while becoming a distinctive community of its own. Surrounded by prominent and mature neighborhoods including the Fan, Northside, Ginter Park, Scott s Addition, and Downtown, there is a new beginning a second act of sorts on the horizon for the City. The Boulevard site is well- poised for economic development that creates synergies between residents, job centers, tourism and retail experiences. There is the potential to use its deep roots in industry, academia, and technology to move into emerging niches within these areas and potentially many more. 2

4 As one of few underdeveloped, publicly owned urban tracts of land in the United States, the Boulevard offers an exciting opportunity for a transformative mixed-use development that will support ongoing economic and social development efforts vital to the city s progress beyond the site. To be successful in these regards, the City desires a master developer which understands the magnitude and value the Boulevard site brings to the larger competitive position for the City and which will collaboratively work toward getting the development, timing, targets, mix, and potential, accurate. Purposeful and innovative planning is the central vision for the Boulevard site to achieve its highest and best use. Current urban trends call for sustainable development that is inclusive for all to enjoy. Property Description The property available for redevelopment consists of approximately 61 acres and is comprised of six parcels owned by the City of Richmond. These parcels are currently zoned M-1 and are identified below: Parcel ID Number Existing Land Use Acreage N Recreational use baseball field 5.48 N Arthur Ashe Center 4.02 N The Diamond 9.32 N Parking Lot N Vacant, greenfield 19.1 N Public Works Operations (being vacated and demolished) 10.9 Parcel N was recently cleared of all buildings and made ready for redevelopment. It is currently an open, level, grass field. The City is currently undergoing the same process for parcel N All buildings and existing asphalt on this parcel will be removed within the next 12 months. The Arthur Ashe Center is a City owned asset that may be re-located as part of the overall development plan, and Sports Backers Stadium, owned by Virginia Commonwealth University will also need to be considered as part of the re-development phasing as well. Work Completed to Date The City has recently completed several steps to advance this property towards redevelopment. These include a Preliminary Market Analysis of the Boulevard Site, a Community Engagement Report, and a Preliminary Infrastructure Analysis. These complete documents can be found at the following link: Synopses are provided below. Preliminary Market Analysis The City engaged economic geographer, Tripp Umbach to evaluate various land uses in order to measure a development scenario that would reap the highest and best sustainable economic, employment, and city revenue impact of the 60 acre site in the City of Richmond. This research shows the Boulevard site will be a catalyst for significant economic impact not only on the subject site, but for real estate in the surrounding area over the next 20 years. Economic, employment and tax revenue impacts related to proposed development on adjacent properties to the 60 acres controlled by the City are in addition to the findings presented below. 3

5 The City s goal is to create one of the best examples of large-scale urban place-making projects in the country. Tripp Umbach advises the proposed redevelopment will enhance the economic potential of all City neighborhoods, including Downtown, as this project is designed to complement current and planned developments in the City. Market Analysis Key Findings and Recommendations: 1. The most viable option to maximize the potential of the site is an urban scale mixed use development with housing, retail, urban flex space (innovation oriented office space), and lodging. The table below represents what can be achieved as the highest and best use for the Boulevard site to be implemented over a 20-year time frame based on current market needs and future projections of demographic changes in the City of Richmond (5 YEARS) 2025 (10 YEARS) 2035 (20 YEARS) USES TIME FRAME #1 TIME FRAME #2 TIME FRAME #3 Housing 800 units 2,000 units 4,000 units Retail/Entertainment 200,000 square ft. 400,000 square ft. 500,000 square ft. Working Space (Flex) 75,000 square ft. 225,000 square ft. 375,000 square ft. Hotel 150 rooms 250 rooms 250 rooms *Note - Each time frame denotes cumulative totals Community Engagement The City of Richmond developed a communications plan and public engagement strategy designed to solicit feedback and incorporate it into a Preliminary Market Analysis report. The approach for this engagement process involved collecting primary research from: Meetings with members of the City of Richmond Leadership Meetings with members of the Planning Commission and Urban Design Committee Meetings with a number of stakeholders on the 60 acre City-owned Boulevard site Six widely-attended community and public input sessions An online community survey Community Engagement Key Findings and Recommendations 1. The City of Richmond is ready for development on the 60-acre Boulevard site to begin. As a result of the community meetings and interviews, a majority of constituents expressed a desire to development proceed on the 60-acre Boulevard site. 2. Richmond residents want unique and transformative development on the Boulevard. Community leaders and constituents want a development on the 60-acre Boulevard site to be unique to the Richmond area. Many constituents expressed a desire for a mix of small-scale retail, restaurants/bars, and other services and amenities for the City that is human-scaled. The proposed development must have an authentic neighborhood atmosphere that does not cannibalize other surrounding communities. 4

6 3. An overwhelming response from the community is in favor of keeping professional baseball near the Boulevard. Throughout the community engagement phase, keeping baseball in the Boulevard area was a recurring theme from the interviews and meetings. 4. Survey respondents voted the creation of a sports and entertainment district (82.2%) as the top economic development strategy for the Boulevard site. With 78.5% of responses, a midtown mixed-use development is the next development strategy for the site. Together, the two strategies can coincide as complementary developments to the city-owned 60- acre site. Also, community members have expressed desire for sports and entertainment district as a focal point to the development, with other mixed-use development wrapped around and in close proximity to it. Infrastructure Analysis Timmons Group performed an analysis of the existing infrastructure (roads, water, sewer, gas, stormwater) in the vicinity of the Boulevard site. The results indicate that the water, sewer and gas infrastructure in place has the current capacity to serve the anticipated density proposed by the Market Analysis. Furthermore, additional water quality driven stormwater management is not required. Some off-site road improvements will be needed to support future phases of the anticipated increase in traffic volumes. Richmond, Virginia: 50 Best Places to Live in America (2015) - Men s Journal Master Developer Selection Process The City intends to implement a two-phased selection process for the Boulevard Redevelopment project Master Developer. This Request for Qualifications is the first phase. The City will shortlist a select group of best qualified developers based on the responses to this RFQ. Those shortlisted Respondents will then receive a Request for Proposals for more detailed information regarding process, vision, delineation of responsibilities, minority business participation, etc. per the schedule outlined below. A selection of a Master Developer will be made based on the RFP responses and subsequent negotiations. The most qualified proposer at that point will enter into Developer Agreement negotiations with the City. #7 of America s Favorite Places (2016) - Travel + Leisure Anticipated Schedule Date of Issuance: August 1, 2016 Walking Site Tour: September 19, 2016 Qualifications Submittal Due: October 30, 2016 RFP Issued to Selected Respondents: December/January Shortlisted Finalist Proposals Due: February 2017 Presentations to City Staff: March

7 Questions: All inquiries should be directed via to Questions will be answered to the extent possible and all responses will be posted to Site Tour: A pre-submission site visit is scheduled for September 19, At that time the City will provide a tour of both the Boulevard property and surrounding area, and answer specific questions relating to the RFQ. The site tour will begin at 10:00 AM. Parking will be available on-site. Submission Requirements Respondents submissions should be addressed/hand delivered to: Nicholas Feucht City of Richmond Economic and Community Development Main Street Station 1500 East Main Street, Suite 400 Richmond, VA Each respondent shall make a hard copy submission that addresses each of the four (4) items below, organized accordingly. I. Developer Financial Capacity and Capability: The Master Developer must document the capacity to finance and sustain the investment necessary to implement a complex development over the long term while minimizing risk to the City. The developer must be able to demonstrate its financial capability by providing their experience in the use of any innovative financing mechanisms to capture value in complex public/private real estate transactions. Respondents are requested to provide Annual Financial Statements for the last three fiscal years. The Respondent should submit any information the Respondent believes is proprietary in a separate sealed package with each page marked Confidential. II. Relevant Project Experience: A. Respondents shall demonstrate recent experience with urban mixed-use, mixed-income redevelopments exceeding investment of $500M. B. Respondents shall demonstrate the ability to perform on time, on budget and on goal. C. Respondents shall demonstrate the ability to participate in a development of the type being led by the City. D. Respondents shall demonstrate satisfactory experience with and understanding of the City and experience with urban conditions in general. E. Respondents must have experience in the development, design, construction, financing, management, marketing, programming, merchandising and leasing of all types of facilities. F. Respondents shall demonstrate experience with complete streets; bicycle networks consisting of on-street lanes, bicycle-friendly low-speed streets, well-placed bicycle parking, connected pedestrian networks, and streets designed for walkability. G.I n addition to a description of its overall experience with developments, Respondents shall provide certain information with respect to at least three reference facilities for each type of project that have actual operating experience showing stabilized rents of at least two years. Respondents must provide evidence that the reference facilities were developed consistent with all contractual requirements, including without limitation, financing commitments and without extraordinary delays. 6

8 The following information shall be provided for each reference facility utilizing the same alphanumeric notation: 1. Name and location of facility; 2. Names and telephone numbers of public-sector or nonprofit-sector partners, if any; 3. A reasonably detailed description of the facility, including design, construction and financing structure; 4. Total development costs; 5. Annual operating and maintenance costs; 6. Annual compliance with development and financial criteria and performance reports to that effect; 7. The Respondents role in project development, design, permitting, financing, construction, rehabilitation (if any), operation, maintenance and marketing, merchandising, and programming; 8. Development timeline, including construction start and completion dates and lease-up experience; 9. Current status and ownership of the facility (include names and telephone numbers of current owners and operators, if not Respondent); 10. Any claims, litigation, judgments, notices of violations, or administrative enforcement actions arising out of the construction and/or operation of the facility; and, 11. All performance guarantees (if any) provided by Respondents with reference to the facility and any failure to meet such guarantees; III. The Development Team: Respondents shall identify individuals employed by Respondent who will play key roles in the development of the project(s). Resumes should be provided. Respondents may be a joint venture whose participants collectively possess the relevant experience. If a joint venture is contemplated, respondents shall identify the names, addresses, and telephone numbers of joint venture partners, and include written evidence from the same that they intend at act as joint venture partners for the project(s). The professional and business relationship between Respondent and joint venture partner must be defined. If Respondents submit the qualifications of a joint venture partner in order to satisfy any criteria in the RFQ, the Respondent must provide detailed information regarding the relevant experience and qualifications of that participant. If Respondents join with another development partner, one member of the team must be designated as the responsible party (the Designated Respondent ) for negotiation of the Development Agreements. The Respondent shall assume responsibility for all financial and performance guarantees and for all commitments made with respect to the project(s). The role and qualifications of each team member shall be described in the proposal. Once qualified, the Respondent shall not change or substitute team member without the written consent of the City. Conditions By Responding to this RFQ, each Respondent will be deemed to acknowledge and consent to the following conditions relative to the qualification process and the selection of qualified Respondents: This RFQ is not intended and shall not be construed to commit the City to procure or to contract for any services; The City reserves the right to negotiate a Development Agreement with any Respondent to this RFQ; All costs incurred in connection with responding to this RFQ will be borne solely by the Respondent(s); Any brokerage fees will be borne by the developers; The City reserves the right to reject, for any reason, any and all responses and to eliminate any and all Respondents responding to this RFQ from further consideration; 7

9 The City reserves the right to eliminate any Respondent who submits incomplete, inadequate responses or is not responsive to the requirements of this RFQ; The City reserves the right to determine the Respondents who are qualified to be shortlisted and submit proposals in the second stage of this process; The City may disqualify Respondents whose responses contain material deviations from the qualification criteria; Only those Respondents who are qualified through the RFQ process described herein shall be eligible to submit an RFP response in the second stage of this process; The City reserves the right, without prior notice, to supplement, amend, or otherwise modify this RFQ, or otherwise request additional information, or to withdraw this RFQ at any time; The City may, at its discretion, waive any provision herein as it deems in the best interest of the projects and/or the City; All qualification statements become the property of the City and will not be returned and may be made available to the public except as designated as confidential by the Respondent; provided, however, that the City cannot waive its obligation to disclose materials not exempt from disclosure pursuant to the Freedom of Information Act or other applicable law; All activities related to this project will be subject to all applicable Federal, State and local laws, regulations, rules and/ or requirements; Any and all responses not received by October 30, 2016 may be rejected; The City reserves the right to visit any of the facilities referenced in the Respondent s submission to observe the operations of such facilities at a mutually agreeable time; The Respondent will answer written questions and attend an interview with the City, if so requested; The formation of a joint venture after qualification, and any change in a prequalified joint venture, will be subject to the written approval of the City prior to the deadline for submission of proposals and may be denied if: (i) partners withdraw from the joint venture and the remaining partners do not meet the qualifying requirements (ii) the new partners to a joint venture are not qualified, individually or as another joint venture. For further information, please contact: Nick Feucht Econ./Community Dev nicholas.feucht@richmondgov.com