TO: CRA Board of Commissioners
FROM: Christine Tibbs, Assistant Director
THROUGH: Renée A. Jadusingh, Executive Director
DATE: April 25, 2023
Title
98 NW 5TH AVENUE PROPERTY MANAGEMENT ON BEHALF OF THE DELRAY BEACH CRA - REJECTION OF PROPOSALS SUBMITTED FOR REQUEST FOR PROPOSALS CRA NO. 2023-01 - COMMERCIAL PROPERTY MANAGEMENT SERVICES FOR 98 NW 5th AVENUE; APPROVE RENTAL RATE FOR FIRST FLOOR BAYS; AND APPROVE THE RE-ISSUANCE OF A REQUEST FOR PROPOSALS FOR PROPERTY MANAGEMENT SERVICES
Body
Recommended Action:
1) Reject all Proposals submitted for the Request for Proposals (RFP) CRA No. 2023-01 Property Management Services for 98 NW 5th Avenue; and
2) Approve rental rate for first floor tenant bays at 98 NW 5th Avenue; and
3) Approve the re-issuance of an RFP for property management services for 98 NW 5th Avenue.
Background:
Request for Proposals (RFP) CRA No. 2023-01 Property Management Services for 98 NW 5th Avenue:
On January 25, 2023, the RFP CRA No. 2023-01 was issued for Property Management Services for 98 NW 5th Avenue. The CRA was seeking an entity experienced in commercial property management to oversee and maintain the building located at 98 NW 5th Avenue and aid in managing the tenants that will be located in the building.
Prior to the extended Proposal Submittal Due Date of March 16, 2023, there were numerous questions submitted seeking clarification and additional information related to the monthly rent expected to be paid by the tenants. At the time of issuing the RFP, the monthly rent was not finalized. As such, on the Proposal Submittal Due Date, only one Proposal was submitted.
On page 18 of the RFP, the CRA “reserves its right to cancel this RFP at any time, and/or reject all submitted Proposals, and/or re-issue the RFP.” To ensure that the CRA contracts with an entity that serves the best interest of the CRA and the CRA District, and the necessary property management services is performed, CRA staff recommends canceling the RFP and reissuing the RFP to solicit additional proposals.
Establish Rental Rate for First Floor Tenant Bays at 98 NW 5th Avenue:
CRA Staff is proposing a rental rate of $23.00 per square foot with 6% annual increase based on the rental rates charged for other CRA owned rental properties.
Re-issuance of an RFP for Property Management Services for 98 NW 5th Avenue:
The intent of the CRA is to release the RFP on Monday, May 1, 2023, and have the Proposal Submittal Due Date be Thursday, June 1, 2023. The full RFP will be available May 1, 2023, to view online on the CRA’s website, www.delraycra.com <http://www.delraycra.com>, or on Bidsync, www.bidsync.com <http://www.bidsync.com>; a hard copy can also be requested. The re-issued RFP will clarify terms and specifications and address the questions that were previously submitted.
At this time, CRA staff is requesting the following from the CRA Board:
1) Reject all Proposals submitted for RFP CRA No. 2023-01 Property Management Services for 98 NW 5th Avenue; and
2) Approve rental rate amount of $23.00 per square foot with 6% annual increase for the five (5) first-floor tenant bays at 98 NW 5th Avenue; and
3) Approve the re-issuance of an RFP for property management services for 98 NW 5th Avenue incorporating the addendum and rental rate amount established by the CRA Board.
Attachment(s): Exhibit A - Location Map; Exhibit B - RFP CRA No. 2023-01 and Addenda
CRA Attorney Review:
The CRA Legal Advisor will review all RFP documents per the CRA Purchasing Policies and Procedures.
Finance Review:
N/A
Funding Source/Financial Impact:
N/A
Overall need within the Community Redevelopment Area from Delray Beach CRA Redevelopment Plan:
Removal of Slum and Blight
Land Use
Economic Development
Affordable Housing
Downtown Housing
Infrastructure
Recreation and Cultural Facilities