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HomeMy WebLinkAboutRequest for Proposals for contracting of realty services for sale of former city hall.pdfCommission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Brit Fontenot, Assistant to the City Manager SUBJECT: Approval of, and authorization to publish, a Request for Proposals (RFP) for contracting of realty services for the sale of the former City Hall lots and facility located at 411 East Main Street. MEETING DATE: January 11, 2010 AGENDA ITEM TYPE: Consent RECOMMENDATION: Approve the RFP language and authorize Staff to publish the request, on Sunday, January 17 and Sunday, January 31, 2010 for the contracting of realty services for the sale of the former City Hall lots and facility located at 411 East Main Street. BACKGROUND: On July 14, 2008 the Bozeman City Commission (Commission) found that “the subject property, the [former] City Hall, is not necessary for the conduct of City business and that we [the Commission] would direct staff to proceed with the Request for Proposal [RFP] process and negotiate the sale under provisions of Chapter 2.05 of the Bozeman Municipal Code”. Staff, in consultation with the Gallatin Association of Realtors, produced an RFP for realty services. On November 24, 2008 City Commission voted 4 – 0 to “[a]pprove the RFP language and authorize Staff to publish the request [for proposals] …. for the contracting of realty services for the sale of the old City Hall lots and facility located at 411 East Main Street.” The RFP language associated with the second RFP for realty services (January 2010) contains the same language as the original RFP (December 2008). (Attachment 1) Three proposals were received by the City as of the December 17, 2008 deadline. The five-member Proposal Review Committee (the Committee) met to evaluate the proposals. Score sheets were tallied. Based upon the scores of evaluation criteria two of the three realtor firms were selected for interviews. The proposed deadline for receipt of new realty services proposals is 5 pm on Monday, February 1, 2010. Staff will evaluate the 2010 respondent proposals using the same methodology and criteria as in late 2008. (Attachment 2) 6 On December 29, 2008 interviews were conducted with the two top scoring firms. After evaluating the interviewees the Committee recommended to the Commission that the commercial real estate firm of Grubb & Ellis Montana Commercial, LLC list for sale the property and facility located at 411 East Main Street, known as the former City Hall. Staff anticipates conducting interviews with the top scoring respondents the week of February 8, 2010. On January 5, 2009 the Commission “[a]uthorize[ed] the City Manager to negotiate and sign a listing contract for the sale of the former City Hall lots (10 – 14) and facility with the commercial real estate firm Grubb & Ellis, Montana Commercial LLC. The Grubb & Ellis listing contract expires at midnight on January 20, 2010. Based on interviews, staff proposes to make a realtor recommendation to the Commission by the end of February, 2010. In addition to the statutorily required legal ads proposed for Sunday, January 17 and Sunday, January 31, 2010, the Gallatin Association of Realtors (GAR) will send the RFP via e- mail to the GAR membership. The former City Hall building consists of approximately 13,160 sq. ft. (6,790sq. ft. above grade and 6,370 sq. ft. below grade) of commercial space located on lots 10-14 in Rouse's 1st Addition to Bozeman, Block F, Section 7T2S R6E; Bozeman, Gallatin Co., Montana. The aggregate square footage of lots 10 – 14 is 20,625 sq. ft. The space fronts Main Street to the south and Rouse Avenue to the west with parking to the north and lawn to the east. The property is currently Zoned B-3, Central Business District and is located in both the Downtown Business Improvement District and the Downtown Tax Increment District. (Attachment 3) Presently, the former City Hall facility shares utility feeds, including electrical, heating and ventilation services with adjacent property to the north, Bozeman Fire Station No. 1. Domestic water, electrical service, steam heating lines, and cooling well water for the air conditioning system run through a north/south access tunnel beneath the north parking areas and physically connect the current City Hall facility and Bozeman Fire Station # 1. The eventual buyer will be responsible for severing, relocating and reestablishing all services currently shared. The severance and reestablishment of services will be coordinated between the buyer and appropriate City staff so that activities in Bozeman Fire Station # 1 will continue without interruption of services or suffer adverse impacts. FISCAL EFFECTS: TBD ALTERNATIVES: As suggested by the City Commission Respectfully submitted, _______________________ __________________ Brit Fontenot Chris A. Kukulski Assistant to the City Manager City Manager Attachments: (1) January 2010 Request for Proposals for purchase of the sale of the former City Hall located at 411 East Main Street; (2) January 2010 Sale Evaluation Criteria; and (3) facility map and floor plan 7 City of Bozeman Request for Proposals from Realty Professionals for the Sale of the Former City Hall Facility (411 East Main Street) The City of Bozeman (the City), is accepting proposals from individuals or firms to sell the former City Hall facility and the related property located at 411 East Main Street, Bozeman, Montana. The individual or firm selected for the sale will be responsible for all aspects of the sale including, but not limited to: promotion, showing, negotiation, contracting, and all aspects of closing and recording. To meet the deadline for initial consideration, hand delivered proposals must be received no later than 5:00 P.M., MDT, Monday, February 1, 2010, at the office of the City Clerk, 121 North Rouse Avenue, Bozeman, MT 59715. Mailed proposals must be received by this time and date for initial consideration. The mailing address for proposals is: City Clerk, City of Bozeman, P.O. Box 1230, Bozeman, MT 59771. Please indicate “Former City Hall Sale Proposal” on the outside of the sealed package. No faxed or electronic submissions will be accepted. Seven (7) copies, (one original and six copies), of each proposal must be submitted. Copies of the Request for Proposals (RFP) may be obtained from the City Clerk, 121 North Rouse Avenue, Bozeman, MT 59715, 406-582-2321. A copy is also posted at the City of Bozeman’s web page at www.bozeman.net. After obtaining a package please direct all questions to the City of Bozeman, Attention: Brit Fontenot, Assistant to the City Manager, City of Bozeman, P.O. Box 1230, Bozeman, MT 59771. Telephone: (406) 582-2258. E-mail: bfontenot@bozeman.net. PROPERTY DESCRIPTION AND BACKGROUND: The City of Bozeman has relocated offices and services to a new City Hall facility located at 121 North Rouse Avenue. The City is offering for sale the former City Hall building and lots located at 411 East Main Street consisting of approximately 13,160 sq. ft. (6,790sq. ft. above grade and 6,370 sq. ft. below grade) of commercial space located on lots 10-14 in Rouse's 1st Addition to Bozeman, Block F, Section 7T2S R6E; Bozeman, Gallatin Co., Montana. The aggregate square footage of lots 10 – 14 is 20,625 sq. ft. The space fronts Main Street to the south and Rouse Avenue to the west with parking to the north and lawn to the east. Currently, the facility shares electrical, heating and ventilation services with adjacent property to the north (Bozeman Fire Station No. 1). The buyer will be responsible for severing, relocating and reestablishing all services currently shared. The facility is currently Zoned B-3, (Central Business District). Copies of appraisal documents, building photos, floor plans and/or the current lot layout may be obtained from the Office of the City Clerk, 121 North Rouse Avenue, Bozeman, Montana. Additionally, addendums, if any, and proposal evaluation criteria may be obtained from the Office of the City Clerk or on the City website at www.bozeman.net. Addendums, if 8 necessary, will be posted on the City website as soon as possible. After obtaining a package please direct all questions and/or requests for building walk-throughs to the City of Bozeman, Attention: Brit Fontenot, Assistant to the City Manager, City of Bozeman, P.O. Box 1230, Bozeman, MT 59771, or by phone at (406) 582-2258 or e-mail at bfontenot@bozeman.net . The City requests that interested individuals or firms limit their contacts to the Assistant to the City Manager listed above in the interest of maintaining a consistency of response and fairness to all respondents. INTENT OF RFP: The City of Bozeman will evaluate proposals based on an established ranking system. The City will then interview the highest ranked applicants that best address the objective criteria outlined below. In order to protect the proprietary aspects of the submittals, copies of the proposals will be available to the public after interviews are conducted. The award will be made to the offeror whose proposal is deemed most advantageous to the City of Bozeman, all factors considered. Final terms and conditions of the agreement for sale will then be negotiated with the successful applicant. Once selected, the individual or firm must provide proof of insurance for errors and omissions (E & O) in an amount of at least one and one-half million dollars, ($1,500,000.00). Respondents will be evaluated according to the following factors: 1. Quality of the Proposal 10% 2. Respondent’s Qualifications, and Experience (including reference checks) 25% 3. Documented Experience of the firm or individual 25% and their proven ability to execute the sale of downtown commercial property in excess of one million dollars. 4. Quality and creativity of the promotional and 25% marketing plan for the property and the proven ability to apply the necessary resources to carry out the plan 5. Time line for sale is realistic and acceptability 15% of the terms of the sale 9 Responses MUST include: 1. Individual or firm’s legal name, address, telephone number, fax number, web site (if any), and e-mail address. 2. Statement of experience and qualifications of the individual, firm and firm’s staff which will be assigned to the sale. CCIM or equivalent commercial sales experience preferred. 3. A description of the individual or firm’s experience with high visibility commercial sales and any experience with the sale of commercial property in Downtown Bozeman. 4. Demonstrated familiarity with Downtown Bozeman’s unique parking and traffic issues. 5. Demonstrated familiarity with the City of Bozeman’s zoning regulations. 6. A detailed description of all facets of the proposed plan to actively market the property and documentation of the promotional and or financial resources available to the individual or firm to carry out this marketing plan at a local, regional and national level. 7. A narrative describing the expectations or responsibilities of the City as a client in order to complete a successful sale. 8. Proof of the necessary state license requirements to sell property in the state of Montana. 9. A description of the proposed commission costs for the sale and a description of any and all costs that will be paid by the City in order to complete the sale. 10. A proposed time line for the sale and a proposed term of contract for the selling rights of the property. 11. A list of the individual or firm’s last five commercial sales, including at least one example of the sale of Downtown Bozeman commercial property valued at, or in excess of, one million dollars ($1,000,000.00). Include for each property: the list price of the property; the sale price of the property; the length of time the property was on the market; and any unique aspects or other information relevant to each sale. 12. Three professional references and full contact information for the listed references. 10 13. OPTIONAL: Up to 5 (five) pages of promotional materials or company brochures that illustrate the individual or firm’s experience, expertise and philosophy. All proposals must be submitted complete and contain the information required as stated in the Request for Proposals. The City of Bozeman reserves the right to reject any and all responses deemed unqualified, unsatisfactory, or inappropriate. The City of Bozeman does not discriminate on the basis of race, color, religion, creed, age, sex, marital status, national origin, political ideas, or disability in employment or the provision of services. LEGAL AD Please publish in the legals on: Sunday, January 17, 2010 Sunday, January 24, 2010. 11 2010 REALTOR R F P EVALUATION CRITERIA SALE OF THE FORMER CITY HALL FACILITY AND LOTS Total Score____________ Date_________________ NAME OF RESPONDENT:______________________________________________________ Application Complete: YES____________ NO____________ COMMENTS: 1. Overall quality of the proposal. (10 Points Possible) __________Points COMMENTS: 2. Respondent’s qualifications, and experience, (25 Points Possible) including reference checks. __________Points COMMENTS: 3. Documented experience and success of the firm (25 Points Possible) or individual and their proven ability to execute __________Points the sale of downtown commercial property in excess of one million dollars. COMMENTS: 12 4. Quality and creativity thoroughness of the (25 Points Possible) promotional and marketing plan for the property __________Points and the proven ability to apply the necessary resources to successfully carry out the plan COMMENTS: 5. Time line for sale is realistic and acceptability (15 Points Possible) of the terms of the sale __________Points COMMENTS: . FIRM TOTAL SCORE (TOTAL 1-5, 100 Points Possible) = ____________________ REMARKS: Reviewer’s Name ________________________________________________________ Date ____________________________ 13 14 15 ROUSE ADDITION TO BOZEMAN BlockF Lot LOTS 10-14 Township0799 Section07 Quarter Section1 Geocode06079907109010000 TaxcodeRGH33774 Zoning B-3 Legal 1ROUSES 1ST LOTS 10-19 BLOCK F Legal 2CITY HALL Legal 3 Owner CITY OF BOZEMAN Mailing AddressPO BOX 1230 CityBOZEMAN StateMT Zip59771 Physical Address411 E MAIN ST 16