HomeMy WebLinkAboutFire Station #1 Sale Proposal-Sterling CRE Advisors - REDACTEDMISSOULA | BOZEMAN | KALISPELL | GREAT FALLS | HELENA | BUTTE
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BROKERAGE HIGHLIGHTS
Bozeman Firehouse Station 1 RFQ
Prepared by:Sterling Commercial Real Estate Advisors
Ryan Springer
895 Technology Boulevard Ste 101Bozeman, Montana 59718
406-579-5586www.SterlingCREadvisors.comRyan.Springer@SterlingCREadvisors.com
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SECTION 2 | STATEMENT OF QUALIFICATIONS
Lead Advisor: Ryan Springer, CCIM. Since 2008, lead broker and primary point of contact Ryan Springer, CCIM has managed diverse commercial real estate transactions. From
the development of housing projects to the management of complex commercial sales across Montana, Springer has a lengthy track record of successful commercial real estate brokerage and advisory services.
With a background of transactions totaling over $70 million, Springer has provided services
to dozens of highly satisfied clients.
Sterling CRE’s market knowledge, understanding of property values, experienced underwriting standards, and the ability to immediately respond and communicate effectively has contributed to the sale and/or lease of over 100 commercial properties.
The team has managed the sales and/or lease of hundreds of thousands of square feet and more than $100 million in sales volume. Their commitment to the industry and accountability to their client’s best interests has positioned them as the market leaders in Montana.
In addition to a proven track record of professional, procedurally sound transactions, we have an excellent reputation with local media, business, and trade organizations for providing quality economic data, volunteer service, and information on relevant issues.
Unique Abilities and Qualifications• Largest proprietary commercial real estate data library in the region
• CCIM, SIOR designated brokers• Over $100 million in commercial sales• Over 100 commercial property transactions completed in Montana• Established commitment to purely commercial transactions• Trained community planning and public engagement staff
• Trained public relations professional on staff• National network, excellent local reputation
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SECTION 2 | ADVISORY & SUPPORT STAFF
Matt Mellott, CCIM, SIOR Matt will play a key role in due diligence, public outreach, and closing. As principal of
Sterling CRE Advisors, Mellott is available to support the lead broker at all stages of the valuation, marketing, and sales process. Mellott’s background in redevelopment and adaptive reuse projects may play a role as necessary.
Sara Townsley, Research DirectorAggregate all applicable market research to inform property outreach and sales efforts. To offer the most informed and accurate CRE advice, Sterling CRE is the only commercial real
estate firm in the state to invest in a full-time Research Director. She actively monitors, tracks, and manages a proprietary library of data on local market transactions.
Sarah Knobel, MPA, Brand Marketing DirectorExecute marketing strategy to present property to target audiences. As necessary, Knobel’s background in public engagement for government agencies will be leveraged.
Maggie Collister, MA Community Planning, Project Marketing ManagerProvide video, graphic design, and photography services for project marketing. Manage
national listing services for maximal property exposure.
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SECTION 3 | COMMERCIAL & BOZEMAN EXPERIENCE
By their nature, commercial property sales are highly visible. Commercial facilities house our spaces for food, fellowship, public safety, and economic growth. They generate excitement and interest in our communities. As a result, the Sterling CRE
team treats every sale with the same care and consideration as any highly visible, public transaction - read on for case studies that meet these criteria.
Public Agencies
Public agencies approach Sterling CRE for solutions to complex
needs.
At 411 East Main in Bozeman, Montana, the former city hall building proved to be a highly visible, and unique transaction. Marketing the property during late 2009 also revealed
challenges as the economy made a slow recovery. Ryan Springer worked to assure a clear, efficient marketing and sales process for the property. Understanding the property was also a public investment, Springer carefully stewarded the property through an expedited and hassle-free transaction.
In response to COVID-19 testing needs, Sterling CRE agents worked with the Missoula City-County Health Department to quickly secure a drive-through testing site. The testing site in Missoula allowed the Health Department to safely and quickly
test residents in a drive-through warehouse space.
In partnership with City of Missoula legal representatives, Sterling agents drafted the lease for the testing site for public review by City Council. We understood the need for clarity in
this process, given the public nature of the transaction. Every step could be easily explained and verified with independent data and advisor analysis.
Adaptive Reuse/Alternate UseAn aging and partially vacant thrift store at the highly trafficked Four Corners no longer met the needs of the community.
Springer and his team worked with adjacent property owner to create functional parking and shared-use agreements as they worked through the building’s deferred maintenance updates. Now, it’s a multitenant retail center with outdoor amenities. Current tenants are retail, with interest from a local healthcare
provider. This highly visible location now serves both residents and visitors with renewed vision and life.
While finding the right investor to redevelop an existing property can be a challenge, bringing a new vision to a dated
property is part of Sterling’s repertoire. A fixture in Missoula, the Coca-Cola distribution facility on Third Street represented tremendous potential in a thriving commercial corridor. The size of the project daunted many investors. Sterling CRE sought a qualified investor from their network for a large adaptive
reuse project. Now, the building has been restructured to commercial condos. Portions of the building are already under contract, bringing key community services to the area. With this momentum, new development was spurned on adjacent lots.
In Bonner, an empty warehouse on Cowboy Trail found new life as a production facility for a popular television series. Sterling CRE matched the right investor to purchase the building while navigating the requirements of a novel credit tenant. We streamlined a mutually beneficial lease and investment
transaction. The Lolo community also benefited from this production, with lead agent Matten placing the wardrobe and production offices in a facility on Mormon Creek Road. The Sterling team found the right space to suit the client’s location and use needs.
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SECTION 4 | FAMILIARITY WITH DOWNTOWN BOZEMAN PARKING & TRAFFIC
Community members, business owners, downtown employees, visitors, and residents all grapple with tight parking in Bozeman’s downtown area. With a background in shared-use parking agreements, Sterling CRE Advisors understand these
issues with extra depth - we’ve been involved in solving parking woes across the city.
Springer was involved in marketing the commercial lease spaces of the 5 West building on East Mendenhall and is very familiar
with the parking requirements and calculations required in the downtown area.
At East Main and Highland, Ryan Springer initiated a collaboration with the lead city planner and developers in
conceptualizing plans that ultimately required a shared parking agreement to the benefit of all of the properties involved.
Due to the location of the Bozeman Fire Station 1 and the proximity of the nearby school, our team is sensitive about
additional traffic and parking, as well as appropriate facility uses.
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SECTION 5 | FAMILIARITY WITH CITY OF BOZEMAN ZONING
Specifically relating to the Bozeman Fire Station 1, understanding the amenities and challenges of local commercial buildings allows our team to properly value the building for adaptive reuse, as a development site, or purposes preferred by the
community and school administration.
The property is located in the B-3 business district and in intended to provide for a broad range of uses for the community’s businesses.
In addition, the restrictions on use for the subject property may include consideration for entryway corridor provisions, as well as federally controlled substances.
The Subject is located in a flood hazard zone as the entire site is in the 500-year floodplain and, a portion in the 100-year floodplain.
Finally, we follow the Sterling Standard, a regimented, 200-point
process deployed for every transaction. The Sterling Standard assures all due diligence, escrow, environmental, survey, and regulatory processes are completed efficiently. As it relates to zoning and potential users, we are strident in vetting offers and inquiries for compatibility with the surrounding community.
Our process assures that no time or money will be wasted by either party during the complex closing process for commercial assets.
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SECTION 6 | MARKETING PLAN
Accurate ValuationSuccessful marketing begins with an accurate property valuation at the outset of a project. The success of the Sterling CRE
team can in part be attributed to an extensive, well-organized database, years in development. The database is meticulously updated and includes immediate access to active buyers and tenants, in-depth research on properties, proprietary lease comparables, and an extensive contact list of commercial
property owners.
With comprehensive market data, Sterling CRE can confidently value, market, and negotiate major commercial assets such as the Bozeman Firehouse Station 1. Our database includes
information not available to other commercial or residential real estate firms; we do not rely on MLS data as a sole source of market information.
National ReachSterling CRE’s experience with marketing property nationally is more important now than ever. We are adept at managing
national investors wary of COVID-19 and have responded by implementing cutting-edge 3D technology for remote, contactless property tours.
Sterling CRE’s experienced advisors have a background of commercial transactions in the southwest, east and west coasts, south and the pacific northwest. As a result, our team understands the regional nuances of a national marketing
strategy. We leverage a variety of marketing channels to launch the listing to the right group of buyers at the right time.
Marketing Approach The Sterling CRE team envisions a multi-pronged approach to the Bozeman Fire Station 1 project. In the first phase, our team identifies feasible development options for the site. Based on
zoning, land use planning, community needs, and other factors, we establish primary and secondary uses for the site.
Our team tailors a marketing strategy to reach likely buyers with targeted uses in mind. Custom materials may include video
offering memorandum, public relations plan, social media advertisements, national listing service outreach, leveraging partner networks of Montana business organizations, and ad-agency quality collateral like brochures and photography.
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Once a custom marketing strategy is launched, Sterling CRE agents work to further identify and market to likely buyers. Defining and cultivating relationships with potential investors must be a thoughtful, deliberate process. Our curated approach assures that every interested party has all the information needed to make an educated and prudent decision about the sale.
As the property moves through these phases, Sterling CRE understands that the City of Bozeman may need additional support to communicate the process to community members. Our team is poised to support these communications with timely, robust information and an in-person, expert presence when needed.
Strong NetworkSterling CRE has supported Montana-based commercial real estate transactions for many national brands. Sherwin Williams, Jiffy Lube, Providence Health Systems, and Nova Health all secured Montana property with the assistance of Sterling CRE.
Bringing national investors to a tertiary market like Bozeman requires targeted campaigns to potential site users and excellent marketing. A valuable tool utilized for maximum reach to qualified buyers is Sterling CRE’s curated network.
The CCIM and SIOR networks are industry-specific groups that require members to meet stringent revenue-generation and education goals. Each network allows Sterling CRE to reach high-caliber commercial real estate professionals across the nation.
Lead broker Springer and co-broker Mellott each hold CCIM designations and access the network for a variety of deal types.
In addition to the CCIM designation, Mellott holds a prestigious SIOR designation, held by only 3,500 commercial real estate professionals. This group has shown special dedication to the areas of office and industrial asset types; for adaptive reuse or alternate use products, this network holds amplified value.
SECTION 6 | MARKETING PLAN
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SECTION 7 | CLIENT RESPONSIBILITIES
The most effective strategy begins with a careful understanding of the end goals for the client. To reach their goals, Sterling CRE staff would request the following at the outset of the project:
• A formal meeting with the project team to understand
internal background and goals• Property historical documents, including utility bills• Floorplans, environmental reports• Property condition reports (if available) • Access for marketing photos and 3D tours
• Floodplain map update • Importantly, a prompt response to offers and inquiries from
potential buyers is crucial.
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SECTION 8 | LICENSE
Renew online at https://ebiz.mt.gov/pol by signing in with your username and password.
The renewal cycle for your board opens 60 days prior to the expiration date on your current license.
Renew your license prior to your expiration date to avoid being charged a late fee(s).
Remember to maintain your online account information with a password,security question and a
valid email address.You can update your account information by accessing the 'Account
Management'link when logged in.
State of MontanaBusinessStandardsDivisionBoardofRealtyRegulation
RRE-BRO-LIC-88623
Status:ActiveExpires:10/31/2021
This certificate verifies licensure as:
BROKER
STERLING BZN LLCRYANSPRINGER869TECHNOLOGYBLVD STE 101BOZEMAN,MT 59718
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SECTION 9 &10 | FEE AND TIMELINE
COMMISSION COSTSCompensation to the Sterling CRE team proposed at 5% of the total sale price, paid at the close of escrow. The fee shall be split with a co-operating broker if one successfully represents a
buyer. In the event the buyer is unrepresented by an agent, the commission shall be reduced to 4%.
Section 10: A proposed time line for the sale and a proposed term of contract for the selling rights of the property.
Agreement length to be 12 months from execution of marketing agreement.
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SECTION 11 | TRANSACTION HISTORY
R T SALE PRICE PRIOR TO P IC RELEASE
REDACT SA RICE PR TO PUBLIC RELEASE
REDACT SALE PRICE PR TO PUBLIC RELEASE
REDACT SALE PRICE PRIOR TO PUBLIC RELEASE
REDACT SALE PRICE PRIOR TO PUBLIC RELEASE
Property List Price Sale Price*Time on Market Relevant Detail
1200 E Main Bozeman, MT $2.9M 97 Days Entryway corridor property on East MainUnique commercial property required a careful and highly tar-geted marketing strategy
122 W Main Bozeman, MT $675k 51 Days Exceptional economic development opportunityExpedited closing - we hustled to move the sale through to meet client needsHighly visible property
411 E Main Bozeman, MT $900k 377 Days Historic facility presented unique challenges in a market where new product is preferred.Ongoing facility repair and maintenance impacted closing time-lineConnectivity to subject property revealed additional necessary agreements
4915 Potter Park Missoula, MT $4.6M 154 Days Prior to offering the facility on the open market, Sterling CRE consulted on facility upgrades. After the upgrades, we promoted the listing to a national audi-ence. Within days of going live, several qualified offers were received. Sterling CRE agents vetted all offers and helped seller identify the best buyer.
214 East Mendenhall Bozeman, MT $2.6M UNDER CON-TRACT CLOSE DATE 7/30/21
List Date: 4/21/21 We understand the area near the Bozeman Fire Station 1 - as demonstrated by this transaction right next door. Our nuanced understanding of downtown Bozeman’s parking logistics came into play for with this project. Formerly occupied by Community Health Partners, the space is now utilized as office space.Most current and relevant transaction relating to the subject property.
* Please redact sale price prior to posting publically for non-disclosure compliance
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SECTION 12 | REFERENCES
Bridget Ekstrom, D. A. Davidson
406.581.9820
BEkstrom@dadco.com
Robert Planalp
406.223.4351
bobplanalp@gmail.com
Brigitta Miranda-Freer, Montana World Trade Center/MonTEC
406-544-0127
brigitta@mwtc.org
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When a mountain town of just 50,000 attracts the attention of Time, Forbes, and Bloomberg, you know it’s something special.
Up in Bozeman, Montana, the air is a little thinner and the snow comes down in thick blankets - and we wouldn’t want it any
other way.
The city fronts several major mountain ranges, but, with over 70 miles of trail in town, getting into nature is as easy as walking
out your front door. Those who get outside city limits can be knee-deep in fresh powder or down on the Gallatin River in half an hour.
And while the wilderness is close, so is the Bozeman Yellowstone International Airport. The city boasts nonstop flights to Seattle,
Los Angeles, Austin, Houston, Nashville, Minneapolis, Charlotte, Washington, D.C., and New York City, among others.
Tech anchors the local economy. FICO and Oracle locations thrive in this “incomprehensibly scenic” region. It’s no one-trick
pony when it comes to revenue, though. Gallatin County ranks #1 for tourism spending. That’s no small feat in a state that’s also home to Glacier and Yellowstone National Parks.
From country dives to upscale cocktails, from cryotherapy to finding zen on horseback, Bozeman offers the best of the west paired with world-class opportunities.
SECTION 13 | PROMOTIONAL MARKETING MATERIAL SAMPLES | BOZEMAN INTRO
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$135,000,000
In commericial transactions since opening in 2017
184Commercial transactions completed
70%Market share of
commercial listings (sara says it is way less)
The Sterling Standard: Responsive. Results.
424,000+Square feet of office sold or leased
$4,800,000in Multifamily Transactions60+Industrial Transactions Completed 40+Retail transactions completed
SALE
SECTION 13 | PROMOTIONAL MARKETING MATERIAL SAMPLES | BROKERAGE HIGHLIGHTS
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“The Sterling CRE team have been valuable partners. Their knowledge andf work ethic are unparalleled. I recommend him
without reservation to anyone looking to purchase commercial real estate in Western Montana.”
SECTION 13 | PROMOTIONAL MARKETING MATERIAL SAMPLES | CLIENT LISTSECTION 13 | PROMOTIONAL MARKETING MATERIAL SAMPLES | BROKERAGE HIGHLIGHTS
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BUYER REPRESENTATION• Owner/ User, Investment, Build to Suit• Opportunity Zones, 1031 Exchages• Specialists on staff in Office, Multi-family, Industrial, Land, Retail & Self Storage Acquisitions• Experience across Montana
SALE
SELLER REPRESENTATION• Single tenant, Multitenant, Build to suit, Investment• Specialists on staff in Office, Multi-family, Industrial, Land, Retail & Self Storage Acquisitions• Experience across Montana
LANDLORD/TENANT REPRESENTATION• Specialists on staff in Office, Multi-family, Industrial, Land, Retail & Self Storage Acquisitions• Subleasing• Experience with national chains, fran-chises, government, non-profits
PROPERTY MANAGEMENT• Accounting and financial reporting• Building maintenance and engineer-ing management• Contract and vendor management• Due diligence• Tenant retention• Transitions and quality control
INVESTMENT SERVICES• Debt placement• Investment sales• Aquisitions/dispositions• Structured finance• Real Estate investment banking
CONSULTING SERVICES• Environmental Audits• Feasibility Studies• Site Selection Services• Opinions of Value• Rent Surveys
“Sterling Commercial Real Estate is hands down the most
attentive and detail driven commercial real estate company in the region.”
SECTION 13 | PROMOTIONAL MARKETING MATERIAL SAMPLES | CORE SERVICES
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About our Research ResourcesSterling CRE has an inhouse research department that is tasked with gathering and analyzing market data across Montana. Complete and up to date access to transactions gives Streling CRE Advisors the information to accurately assess the current market value for both lease and sale transactions.
Merging our data with national trends helps the team create accurate market outlooks to better guide investment and development decisions.
Our team also keeps our finger on the pulse of our Montana Markets. We keep a database of planned, proposed and under construction developments and well as civic infrastructure projects. This further informs our brokers as to the dynamics shaping the areas surrounding our real estate markets.
Professional Marketing MaterialsBecause we invest in the highest quality marketing materials and professional staff, your property stands out in the marketplace. 3D Tours allow a potential user to “see” themselves on property, improving the likelihood of an offer being made.
Semi-Permanent Sign installations are large, weather resistant and highly visible to passing traffic.
Listing Collateral is comprehensive, organized and clear so users can easily access and share information.
Photography consists of quality, seasonal photos are taken of the asset to highlight property features and amenities.
Video is used to engage viewers. Using callouts, animation and careful editing, we translate potential into vision for a buyer.
Public Relations are carefully managed when necessary. We are the only CRE firm in Montana with an on-staff public relations expert.
Exposure on Commercial Real Estate Internet PortalsSterling CRE markets properties on sites that offer maximum exposure to national investors. Loopnet is the largest commercial listing service in the U.S. Our Premium Loopnet listings are viewed by thousands of agents, investors, buyers and tenants each month.
CRExi is the second largest listing service of commercial real estate in the U.S.
www.sterlingcreadvisors.com is our website, populated with all active listings and receiving over 6,500 visits per month.
CCIM & SIOR Networks are membership-based groups of commercial industry professionals across the world. Especially key for complex development projects, Sterling CRE is the one of the only Montana CRE company to have access to both.
Diverse Marketing ChannelsTo tailor the strategy for your property, we use these marketing channels as appropriate.
Direct Mail is sent to targeted lists of potential buyers across the country.
Email Outreach reaches likely developers, investors and tenants based on asset type Social Media helps market listings to our broad presence on increasing global exposure for properties.
Earned Media allows for accurate, timely stories on high profile or newsworthy projects.
Regional Engagement with the Governor’s Office of Economic Development, state and local Chambers of Commerce, Downtown Associations, Venture Networks and other organizations promotes your property to a wide swath of the likely users.
RESEARCH NATIONAL REACH OUTREACH IMPRESSION
SECTION 13 | PROMOTIONAL MARKETING MATERIAL SAMPLES | OUR RESOURCES