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RFP - CLOSED

South Beatty & Mignonette Streets Redevelopment RFP

Thursday, April 4, 2019
Thursday, May 16, 2019 at Noon ET
Beatty Street Development Team

The Urban Redevelopment Authority of Pittsburgh (URA) is requesting proposals from developers and/or development teams (Redeveloper(s)) for multiple publicly owned sites in the City of Pittsburgh’s (City) East Liberty neighborhood. The goal of this RFP is to select a respondent who can complete a high-quality mixed-use, mixed-income development, including a parking structure, on South Beatty and Mignonette Streets, described in detail below.

Objective

 The Urban Redevelopment Authority of Pittsburgh (URA) is requesting proposals from developers and/or development teams (Redeveloper(s)) for multiple publicly owned sites in the City of Pittsburgh’s (City) East Liberty neighborhood. The goal of this RFP is to select a respondent who can complete a high-quality mixed-use, mixed-income development, including a parking structure, on South Beatty and Mignonette Streets, described in detail below.

Tentative Schedule

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

RFP Issue Date Thursday, April 4, 2019
Proposal Due Date Thursday, May 16, 2019 at Noon ET
Community Meeting with Redeveloper Shortlist Week of June 3, 2019
Interviews with Potential Redevelopers Week of June 10, 2019
URA Board Meeting Thursday, July 11, 2019

 

Please note that a pre-proposal meeting will not be held, as the properties named in this RFP are publicly-accessible lots.

URA Information

The URA is the economic development agency for the City, committed to creating jobs, expanding the City’s tax base, and improving the vitality of businesses and neighborhoods within the City. Incorporated in 1946 as one of the first redevelopment authorities in the United States, the URA achieves this mission by assembling, preparing and conveying sites for major mixed-use developments and by providing a portfolio of programs that include financing for business location, relocation, and expansion, housing construction and rehabilitation and home purchases and improvements, among many others. The URA is also committed to equitable development and incorporates best practices for equity and inclusion in its internal and external policies and activities. The URA conducts these activities using unique powers granted by the Commonwealth’s Urban Redevelopment Law to deploy and attach conditions to the use of public subsidy and the disposition of publicly-owned land. 

The URA is a legal entity separate and distinct from the City. The URA works closely with the City in fulfilling its redevelopment mission.

Additional information regarding the URA can be found on the website at www.ura.org.

Site Information

Block/Lot Property Owner Lot Size
84-B-172 City of Pittsburgh 19,161 square feet
84-B-256 City of Pittsburgh 22,849 square feet
84-B-240 City of Pittsburgh 32,198 square feet
84-B-270 Public Parking Authority of Pittsburgh 15,984 square feet
84-B-500-1 URA 5,240 square feet
84-B-500-2 URA 10,474 square feet

 

These properties are publicly-accessible lots which may be viewed at any time.

See Supplementary Document 1 for the development area site map.

The URA intends to acquire the property owned by the City and Public Parking Authority of Pittsburgh (Parking Authority) and will convey the lots to the Redeveloper through the URA's Disposition Process (Exhibit "A").

 

Neighborhood / Location East Liberty
8th Ward, City of Pittsburgh
Council District 9th
Councilperson Reverend Ricky Burgess
Zoning UNC - Urban Neighborhood Commercial District
AP - Mixed-Use Planned Unit Development
Preferred Reuse Mixed-Use, Mixed-Income
Sales Price Appraised value as of January 2019:  $1,710,000

          

Planning Background

See full background beginning on page 3 in downloadable PDF

Proposed Scope

As described above, the City and the East Liberty neighborhood have a shortage of affordable housing, and based on this shortage, the preferred reuse of the identified site(s) is mixed-use, mixed-income with an emphasis on affordability and the inclusion of a parking structure, per the requirements below. A first-floor use that fits the active environment of the neighborhood, whether that is commercial or something similar, is encouraged. If retail, affordable rental rates would be preferred. Any curb cuts should take into consideration a pedestrian-focused landscape.  

Respondents should demonstrate the ability to deliver a turn-key public parking garage that will replace the existing public parking spaces at a ratio of 1.5:1.  The selected Redeveloper will be expected to work with and consult the Parking Authority on all matters pertaining to the design and construction of the parking structure.  The Parking Authority shall be granted the option to purchase the parking structure, or enter into a long-term lease or management agreement, at a point mutually agreeable to the parties upon the completion of construction.  The Parking Authority shall, at all times prior to the commencement and following the completion of construction, operate and manage the public parking component.

The URA intends to work with the selected Redeveloper to meet affordable housing goals. If requested, the URA will work with the Redeveloper to help fundraise for available uses of subsidy to fulfill these goals. Potential non-URA sources of subsidy include Low Income Housing Tax Credits (LIHTC) awarded by the Pennsylvania Housing Finance Agency, Federal Home Loan Bank Affordable Housing Program funds, and other public and private sources. Contingent upon funding availability and URA Board approval, the URA may consider providing loan financing for an affordable housing/mixed income housing development. Questions regarding residential funding sources should be directed to Collette O’Leary at coleary@ura.org.

Respondents and the selected Redeveloper team must commit to working with the Village Collaborative (VC) on the affordability issue in East Liberty. The VC is comprised of faith-based organizations and East Liberty residents.

Submission Requirements

Please note URA is currently using Public Purchase as its RFP platform.

Redevelopers must register at: http://www.publicpurchase.com to submit their proposal online.  Additionally, 12 paper copies and one (1) electronic version containing one (1) PDF file on a flash drive and a $500 non-refundable application fee made payable to the 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 “C”.

Inquiries related to minority and women-owned business enterprises (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. 

Proposal Requirements

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
    • a. This should be the cover page and include the firm’s name, contact person and contact information (Exhibit “D”).
  2. Table of Contents
  3. Development Team Profile
    • a. Provide a description of the development team, including but not limited to, the developer, architect, engineer, etc.
    • b. Explanation of ownership entity (single owner, partnership, LLC)
    • c. Briefly describe the relevant experience of key personnel and a biography for each.
  4. Project Narrative
    • a. Project Description – specific use, number and type of units (for residential) and/or commercial type and square feet; Please include a housing affordability matrix.
    • b. Parking Component – detailed description of parking plan including number of parking spaces and prospective development timeline, including major milestones
    • c. Schematic drawings of proposed project including massing and site plan, renderings and elevations
  5. Budgets
    • a. Funding Sources with Gaps Identified
      • i. If you propose to use LIHTC as a source (either 4% credits or 9% 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 “E”) – parking structure Sources & Uses should be a subcategory within the overall budget.
  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. Experience
    • a. List other public entities similar to the URA for which your firm currently or recently worked on projects similar to that for which your firm is submitting its proposal.
    • b. Describe the scope and success of similar projects to the proposal to acquire, renovate and re-use as being proposed in your submittal.
  8. Community Engagement Strategy/Process
    • a. Describe the strategy/process in which your firm will engage the community.  Reference the Community Values Statement for responding to the strategy/process. See Supplementary Document 3 for the Community Values Statement.
  9. Minority and Women-Owned Business Enterprises (MWBE) Requirements
      • a. 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 and 7% women participation.
      • b. An MWBE narrative needs to be included with the respondent’s proposal. See Exhibit “F” for MWBE Narrative Requirements. MWBE participation can be satisfied by:
        • i. Ownership/Partnership of firm.
        • ii. Use of minority or women-owned businesses as vendors.
        • iii. 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.
      • c. Any questions about MWBE requirements should be directed to Diamonte Walker, director of Performance and Compliance, at mwbe@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.
  10. Minority Workforce Inclusion (MWI) Narrative Requirements
    • a. 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 a 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 a MWI plan evidencing that 12% of the labor hours are fulfilled by minority workers.
    • b. MWI participation can be fulfilled by:
      • i. Employment level of minorities and/or women in the firm.
      • ii. Staffing of minorities and/or women on URA matters. 
    • c. See Exhibit “G” for MWI requirements. Any questions  about MWI requirements should be directed to Diamonte Walker, director of Performance and Compliance, at dwalker@ura.org.
  11. Pittsburgh p4 Performance Measures
    • Respondents must submit a p4 narrative for the project. The p4 Performance Measures are a tool that informs alignment of real estate development projects to the City’s commitment to sustainable and equitable practices.  Appendix E of the “p4 Performance Measures document” describes this evaluation tool and can be found online under the “Resources” heading at www.p4pittsburgh.org/pages/p4-performance-measures.
      • a. If project costs are expected to exceed $2,000,000, Respondent must submit a p4 narrative for the project (Exhibit “H”).
  12. Other Information
    • Please provide any other information you think is pertinent to the URA’s consideration of your firm.

Selection Criteria

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 in 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. Redeveloper’s experience in completing similar projects
  2. Ability to assemble a team with the appropriate specialties
  3. Demonstration of ability to attract and secure financing
  4. Commitment to p4 Performance Measures
  5. Commitment to MWBE participation
  6. Commitment to MWI participation
  7. Experience with community engagement in previous projects and demonstration of commitment to follow the URA’s Community Input Process, (Exhibit “I”), for community participation and interaction for the project
  8. Commitment to giving community residents first consideration for employment opportunities
  9. Willingness to enter into a Letter of Intent describing development scope and each party’s due diligence activities through to closing

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 (Section 8 below), which includes significant design review and construction oversight.

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

Disposition Process

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. To give the community a level of comfort that the site will be responsibly redeveloped, the URA will review construction plans against the evidence of financing to determine if the information presented is reasonable and corresponds. The URA will not close on a property until all the terms of the Disposition Process are fulfilled (Exhibit “A”).  

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, approval of MWBE plans, and issuance of a building permit. The closing on the property will occur simultaneously with the closing on the Redeveloper’s construction financing.

Legal Information

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 for any reason, including 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. 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, at 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, at 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 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 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 proposals 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. Non-discrimination: 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.
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