Fifth Avenue & Dinwiddie Street Redevelopment RFP

The Urban Redevelopment Authority of Pittsburgh (URA) is requesting proposals from redevelopers and/or redevelopment teams (Redeveloper(s)) to purchase and redevelop a combination of 31 URA-owned, and three (3) publicly-owned sites at the corner of Fifth Avenue and Dinwiddie Street in the Uptown area of the City of Pittsburgh (City). The goal of this RFP is to implement the community supported vision as identified in the 2017 EcoInnovation District (EID) Plan included as Exhibit “A.” Interested Redevelopers should familiarize themselves with the concepts and principles of this plan.  Any future redevelopment should reflect these concepts.

A tentative schedule for the proposal selection process is below. Redevelopers must be available for the following meetings, interviews and deadlines.

* Interested Redevelopers should plan to attend the pre-proposal conference, as private appointments will not be scheduled. The meeting location for the pre-proposal conference will be at 1807 Fifth Avenue, Pittsburgh, PA  15219, currently used as the City’s Department of Public Works warehouse. Representatives from the URA and City will be available. Please RSVP your attendance to Claren Healey, chealey@ura.org.

See full background beginning on page 4 in downloadable PDF. 

Please note that the URA is currently using Public Purchase as its new RFP Platform.  

Redevelopers must register at: http://www.publicpurchase.com to submit their proposal online through Public Purchase.  Additionally, 13 hard copies and one (1) electronic copy containing one (1) PDF file (flash drive, cd, or email), and a $500 non-refundable application fee made payable to URA of Pittsburgh should be sent to the address below on or before the due date shown on the cover of this RFP:

Claren Healey, Development Officer

Real Estate Department

Urban Redevelopment Authority of Pittsburgh

200 Ross Street, 10th Floor

Pittsburgh, PA  15219

chealey@ura.org

All questions regarding this RFP should be submitted through the Public Purchase platform. See instructions on registering for and accessing Public Purchase in Exhibit “F.”   Inquiries related to MWBE participation should be directed by email to Diamonte Walker, director of Performance and Compliance, at mwbe@ura.org.   The URA will not reimburse firms for any expenses incurred in preparing responses to this RFP.

The following Proposal Requirements will serve to establish a Redeveloper’s overall capacity to complete this project and to meet the requirements and obligations associated with the land.  Each submission should include the following:

1)      RFP Summary Sheet This should be the cover page and include the firm’s name, contact person, and contact information (Exhibit “G”)

2)      Table of Contents

3)      Development Team Profile Provide a description of the development team, including but not limited to the developer, architect, engineer, etc.  

4)      Project Narrative

a.      Project Description – specific use, number and type of units (for residential, including the breakdown of for-sale/rental market rate/affordable) and/or commercial type and square feet

b.      Community engagement plan – explain how you plan to engage the community and how you plan to incorporate their input if selected.

c.      Explanation of ownership entity (single owner, partnership, LLC)

d.      Prospective development timeline, including major milestones 

5)      Schematic Drawings of the Proposed Project

a.      Site Plan

b.      Elevations

c.      Renderings  

6)      Financial Capacity

a.      Detailed description of ability to finance the costs associated with project

b.      Identification of the people or entities in the proposed development team, including any and all joint ventures, general, or limited partners, and respective percentages of interest

c.       Role of each listed in the proposed development team

d.      Statement of Equity Contribution with source identified

e.      Letter of Interest of references from lending institutions, if applicable

f.        Letters of Interest from potential tenants, if applicable

g.      Redeveloper’s financial statements (under separate cover) 

7)      Budgets

a.      Financing sources with funding gaps identified                             

i.      If you propose to use Low Income Housing Tax Credits (LIHTC) as a source (either 9% credits or 4% credits), please include a LIHTC equity calculation.

ii.      If there is a gap identified and you plan to apply for URA financing, please clearly identify funding amount, source, and use.

iii.     If you propose to apply for other state or federal funding sources that are not yet committed, please clearly identify the amount and funding source in your budget, e.g., Redevelopment Assistance Capital Program (RACP), Multi-modal Transportation Fund (MTF), Community Infrastructure and Tourism Fund (CITF), Gaming and Economic Development Fund (GEDF), etc.

b.      Project uses including Redeveloper’s offer as well as projected hard and soft costs

c.      Proforma including all anticipated operational and maintenance costs

d.      Phased sources and uses, if applicable, with first phase clearly identified

e.      Completion of attached Project Sources and Uses of Funds Template (Exhibit “H”)  

8)  Minority and Women-Owned Business Enterprise (MWBE) Requirements The URA has a long history of diversity and inclusion within all of its programs and other activities. The URA encourages the full participation of minority and women business owners and professionals in this effort. The URA requires that all applicants demonstrate a good faith effort to obtain minority and women-owned business participation in work performed in connection with URA initiatives. The URA acknowledges and adheres to the city’s goal of 18% minority (MBE) and 7% women (WBE) participation.     A MWBE narrative needs to be included with the Redeveloper’s proposal. See Exhibit “I” for MWBE Narrative Requirements. MWBE participation can be satisfied by:

a.      Ownership/Partnership of firm;

b.      Use of minority or women-owned businesses as vendors;

c.      Subcontracting with firms owned and controlled by minorities and/or women. If this is to be done, that fact, and the name of the proposed subcontracting firms, must be clearly identified in the proposal. Any questions about MWBE requirements should be directed to Diamonte Walker, director of Performance and Compliance, at (412) 255-6610 or dwalker@ura.org.

Notice to MWBE Firms Interested in Contracting Opportunities

If you are an MBE or WBE firm interested in working on this project, you may submit a capability statement describing your firm and the work that your firm would like to perform. Upon receipt of this statement, your firm will be added to a list of potential MWBE subcontractors, to be shared for consideration with the contract awardee. Interested firms should send capability statements to mwbe@ura.org  no later than Friday, June 28, 2019. Capability statements must be within the scope of work related to this project and clearly identify the limited scope.

Please note: Providing a capability statement does not guarantee that your firm will be contacted or contracted to work on this project.

The URA will not make an official recommendation as to which MWBE firms the project awardee must utilize. All capability statements submitted by qualifying firms, by June 28, 2019, will be shared with the selected Redeveloper to aid in the Redeveloper’s good faith effort to meet the 18% MBE and 7% WBE goals for the project. MWBE firms are highly encouraged to attend pre-proposal conferences, site tours, Q & A sessions, and/or community meetings to make direct connections early in the process.

9)   Minority Workforce Inclusion (MWI) Narrative Requirements   In accordance with City of Pittsburgh Executive Order Number 2018-03, the URA    requires that all respondents demonstrate and document a good faith effort to meet or exceed the city’s 12% minority workforce inclusion (MWI) goal for all URA projects with total project costs of $500,000 or greater. As a matter of policy, all proposal packages submitted to the URA must include an MWI narrative detailing how the respondent plans to meet the URA’s expressed MWI goal of 12%. If awarded the project, the respondent will be asked to submit an MWI plan evidencing that 12% of the labor hours are fulfilled by minority workers.    MWI participation can be fulfilled by:

a.       Employment level of minorities and/or women in the firm;

b.       Staffing of minorities and/or women on URA matters. See Exhibit “J” for MWI Narrative Requirements. Any questions about MWI requirements should be directed to Diamonte Walker, director of Performance and Compliance, at (412) 255-6610 or dwalker@ura.org.

10) Pittsburgh p4 Performance Measures The p4 Performance Measures are an evaluation tool that informs alignment of investments in real estate development projects to the City’s commitment to sustainable and equitable practices.

a.      If project costs are expected to exceed $2,000,000, Respondent must submit a p4 narrative for the project (see Exhibit “J”)  

11)  References

a.      Provide three (3) client references related to the applicable experience described in Section 5 above. Strong references include banks, municipal entities, co-developers, tenants, and press clippings that include project narratives to describe previous work. Include the reference’s name, title, address, and direct telephone number.

b.      Please provide applicable references from community-based organizations the development team has worked with in the past

12)  Other Information Please provide any other information you believe is pertinent to the URA’s consideration of your firm

Proposal responses will be evaluated by a Review Committee comprised of community representatives, representatives from local elected officials, a representative from the Department of City Planning, and various URA staff.  The URA intends to make a recommendation to its Board to enter into Exclusive Negotiations with a Redeveloper.

One or more Redevelopers may be asked to meet with the selection committee in a formal interview process. 

A Redeveloper will be selected based on, but not limited to, the following criteria:

1)      Appropriateness of proposed plan as it relates to the EID Plan (Exhibit “A”), the Community Desires for the Site as detailed in this RFP, and the Fifth and Dinwiddie Public Realm Master Plan (Exhibit “D”)

2)      Redeveloper’s experience in completing similar projects

3)      Ability to assemble a team with the appropriate specialties

4)      Demonstration of ability to attract and secure financing

5)      Commitment to p4 Performance Measures

6)      Commitment to MWBE participation

7)      Commitment to Minority Workforce Inclusion participation

8)      Experience with community engagement in previous projects and demonstration of commitment to follow the URA’s Community Input Process, (Exhibit “K”), for community participation and interaction for the project 

9)      Commitment to giving community residents first consideration for employment opportunities

10)  Willingness to enter into a Letter of Intent describing development scope and each party’s due diligence activities through to closing

11)  Willingness to market available space to current community business owners

12)   A minimum of 10% affordable units (of all residential units proposed) at 50% AMI

A Redeveloper will be recommended to the URA Board based on the overall quality of the proposed project. The URA does not sell land for speculative purposes. Any such proposal to acquire and hold the land with construction to occur when and if it is successfully marketed will be rejected. Furthermore, the URA will reject any Redeveloper who intends to purchase the entire site but develop only a portion of that site.  If that is the intention, the Redeveloper should submit a response for a portion of the site. 

The evaluation of the Redeveloper’s qualifications, experience and capacity will be based upon information in the proposal submitted by the Redeveloper, interviews, investigation of projects completed by the Redeveloper, assessment of performance in previous undertakings and other pertinent factors. The URA will follow its Disposition Process (See Section 8 below) which includes significant design review and construction oversight.

The URA Board must approve any and all Redevelopers who purchase URA land.

Should the URA Board select a respondent as a Redeveloper, such Redeveloper will be required to comply with the URA’s Disposition Process. As part of this process, the Redeveloper must show that all funds needed for the fully-realized project are available at the time of closing. In order to give the community a level of comfort that the site will be responsibly redeveloped, the URA will review the Opinion of Probable Cost and construction plans against the evidence of financing to determine if the information presented is reasonable and corresponding. The URA will not close on a property until all the terms of the disposition process are fulfilled. See Exhibit “L” for Disposition Process Overview.  

The Redeveloper must be willing to enter into a written Disposition Contract with the URA. The Disposition Contract is the binding document that details the Redeveloper’s plan to design, finance, purchase, and construct the redevelopment project. Taxes, liability insurance, site security, and all aspects of owning and redeveloping the property shall be the full responsibility of the Redeveloper at the time of sale, as specified in the Disposition Contract.  

The URA Board must approve any and all Redevelopers who purchase URA property. Upon URA Board approval, the Redeveloper’s purchase of the property will occur after execution of a Disposition Contract, approval of the final construction documents and issuance of a building permit. The purchase of the property will occur simultaneously with the closing on the Redeveloper’s construction financing.

The URA shall have the right to verify the accuracy of all information submitted and to make such investigation as it deems necessary to determine the ability of a Redeveloper to perform the obligations in the response. The URA in its discretion reserves the right to reject any response when the available evidence or information does not satisfy the URA that the Redeveloper is qualified to carry out properly the obligations of the response; is a person or firm of good reputation or character for strict, complete and faithful performance of business obligations; or if the Redeveloper refuses to cooperate with and assist the URA in the making of such investigation.  

1)      Inspection of Parcel:  Redevelopers shall be given an opportunity to inspect the property and the title to the property, among other things. If the Redeveloper is selected and elects to proceed after exercising its due diligence, it shall acquire or take possession of the parcel(s) in “AS-IS” CONDITION, unless otherwise agreed to by the URA in its discretion, in a disposition contract.  

2)      Building Permits, Zoning Variances and Financial Viability: The sale of the property in no way guarantees or warrants grading permits, building permits, zoning variances or financial viability. The URA reserves the right to refuse to sell the property until a Redeveloper obtains all necessary permits.

3)      Disclaimer of Liability: Redevelopers acknowledge by submitting information and proposals to the URA that the URA does not undertake any obligations and shall have no liability with respect to the development program, this RFP, and responses thereto, nor with respect to any matters related to any submission by a Redeveloper. 

4)      Minority and Women-Owned Business Enterprises (MWBE) Requirements: The URA requires that all applicants demonstrate a good faith effort to obtain minority- and women-owned business participation in work performed in connection with URA initiatives. The URA acknowledges the City’s goal of 18% minority and 7% women participation in planning and/or professional service activities. Any questions about MWBE requirements should be directed to Diamonte Walker, director of Performance and Compliance, mwbe@ura.org.

5)      Minority Workforce Inclusion (MWI) Requirements: In accordance with City of Pittsburgh Executive Order Number 2018-03, the URA requires that all respondents demonstrate and document a good faith effort to meet or exceed the city’s 12% minority workforce inclusion goal for all URA projects with total project costs of $500,000 or greater. Any questions about MWI requirements should be directed to Diamonte Walker, director of Performance and Compliance, mwbe@ura.org.

6)      Sustainability Requirements: The selected Redeveloper will be required to demonstrate a good faith effort to incorporate environmentally sustainable features and practices into their development plan. The successful Redeveloper will be required to submit a final p4 Performance Measures evaluation for the project for review by a p4 Review Committee.

7)      The Redeveloper, for itself and its employees, contractors, and primary subcontractors, agrees not to discriminate against or segregate any person or group of persons on any unlawful basis in the construction, sale, transfer, use, occupancy, tenure or enjoyment of the property or any improvements erected or to be erected thereon, or any part thereof.

8)      The URA reserves the right to accept an offer or proposal other than the highest offer.

9)      The URA reserves the right to negotiate with any, all, or none of the Redevelopers and to recommend another Redeveloper in the event that the originally selected Redeveloper defaults or fails to execute a disposition contract.

10)  The URA shall be the sole judge as to which, if any, proposals and Redevelopers best meet the selection criteria. Notwithstanding anything in this RFP to the contrary, URA reserves the right to reject any or all proposals received, to waive any submission requirements contained within this RFP, and to waive any irregularities in any submitted proposal.

11)  This RFP is submitted subject to errors, omissions, and/or withdrawal without notice by the URA at any time.

12)  All proposals, including attachments, supplementary materials, addenda, etc. shall become the property of the URA and will not be returned.

13)  Addenda will be posted on Public Purchase. All such addenda shall become part of the RFP documents and all Redevelopers shall be bound by such addenda, whether or not received by the Redevelopers.  

14)  Conflicts of Interest: Responsive firms and their team members must have no conflicts of interest with regards to any other work performed by the Redeveloper for the URA, the City of Pittsburgh, or any related entity.

15)  RFP Compliance: All responsive firms must adhere to the instructions contained in this RFP in preparing the submitted proposal.

16)  Waiver of Defects: The URA shall be the sole judge as to which Redeveloper(s) best meet the selection criteria. The URA reserves the right to reject any or all qualifications submitted. The URA reserves the right to reject any proposal for failure to comply with the requirements of this RFP. The URA further reserves the right, in its sole discretion, to waive any such defect(s) or failure(s). Submission of a response indicates acceptance by the firm of the conditions contained in this RFP.

17)  Nondiscrimination: Each responsive firm agrees not to discriminate, whether in employment, contracting or otherwise, in violation of any federal, state, or local law and/or on the basis of sexual orientation, gender identity and/or gender expression.