REQUEST FOR PROPOSALS TO REDEVELOP THE FOX SITE PORTION OF THE RIVERFRONT TRIANGLE URBAN RENEWAL DISTRICT IN DOWNTOWN MISSOULA, MONTANA

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1 REQUEST FOR PROPOSALS TO REDEVELOP THE FOX SITE PORTION OF THE RIVERFRONT TRIANGLE URBAN RENEWAL DISTRICT IN DOWNTOWN MISSOULA, MONTANA The City of Missoula Redevelopment Agency (MRA), acting as representative for the City of Missoula, is seeking redevelopment proposals from experienced qualified developers interested in undertaking a motel/hotel, and/or a residential, commercial mixed-use project for redevelopment of one or both of the designated parcels within the Fox Site portion of the Riverfront Triangle Urban Renewal District. The project may include proposals for civic use of one parcel. The selected respondent will receive a limited duration agreement for exclusive rights to negotiate a development agreement which will include final design approval. The deadline for submittal of RFP responses is June 29, 2011 July 28, The Riverfront Triangle Urban Renewal District is a wedge-shaped area roughly bounded by Woody Street; the 400, 500, and 600 blocks of West Broadway; and the Clark Fork River. The area was adopted by the Missoula City Council as an urban renewal district in July The portion of the Triangle located at the southwest corner of Orange and West Front Streets is owned by the City of Missoula and commonly called the "Fox Site". (It is referred to in some zoning documents as "Parcel B of the Riverfront Triangle"). Other than the City, the major property owner in the District is St. Patrick Hospital and Health Sciences Center. The Hospital may consider new multi-use development of some or all of its land south of West Broadway. Parties interested in land outside the Fox Site should contact the Hospital or other property owners directly.

2 Riverfront Triangle Characteristics and History As depicted on the attached map, the Riverfront Triangle Urban Renewal District is a roughly triangular shaped area bounded by the Clark Fork River on the south, West Broadway on the north, and Woody Street on the east. A majority of the area is owned by either the City of Missoula or St. Patrick Hospital and Health Sciences Center. There are several other property owners within the Riverfront Triangle. West Front Street bisects the area along an east-west axis. The north-south Owen Street enters the area at Broadway and terminates in City owned property near the Clark Fork River. The Riverfront Triangle is located adjacent to the Clark Fork River and is the western entrance to Missoula's traditional downtown. Views of the Clark Fork River and Bitterroot Mountains to the south, and the North Hills and Rattlesnake Mountains to the north enhance its value both as a development site and as a community amenity. The riverfront nearby has been the focus of considerable public investment over the past twenty years. The Clark Fork Natural Park, a municipal park, is located southeast across the river. McCormick Park, a regional public recreation area with softball fields, tennis courts, nationally recognized skateboard park (MoBash Park), and a public indoor swimming complex (Currents), is located directly across the river. A MLB minor league baseball team, the Missoula Osprey plays in a 3,500-seat stadium just west of McCormick Park. The City's north shore riverfront trail connects the Site to the downtown as well as to Caras and Bess Reed Parks. Within Caras Park is the Carousel for Missoula, and Dragon Hollow play area, and Brennan's Wave, an engineered wave park in the Clark Fork River for kayaks and surfers. Caras Park is also one of Missoula s premier venues for entertainment and social interaction featuring a large permanent pavilion for covered gatherings and an outdoor amphitheater. Major businesses located within or adjacent to the Riverfront Triangle include St. Patrick Hospital and Health Sciences Center, KECI Television Station, and Clark Fork Riverside Manor. St. Patrick Hospital is a regional acute medical facility with over 200 beds. St. Patrick Health Sciences Center includes: the Western Montana Clinic, a 60-physician medical organization spanning 19 specialties; the Montana Cancer Center, a comprehensive medical oncology, hematology and radiation oncology practice; the Montana Neuroscience Institute Foundation (a collaborative effort between the Center and University of Montana); the International Heart Institute of Montana offering a wide range of surgical and cardiology procedures, pediatric cardiology, and the Cardiovascular Tissue Engineering Laboratory. KECI Television is a full-service NBC affiliate servicing western Montana. Along the Clark Fork River east of Orange Street is the Clark Fork Riverside Manor, a 134-room congregate dining housing facility for income-qualified seniors. Riverfront Triangle Planning Because of its location and proximity to the river and the health care campus north of Broadway, to public amenities such as the riverfront parks and trails system, and to the adjacent downtown business district, development of the Riverfront Triangle, or any component parcel, should be the product of sound planning. The Fox Site is the subject or an integral part of three plans. Of the three described below, only the Greater Downtown Master Plan has been formally adopted by the - 2 -

3 City. The other two are mentioned because of their valuable insight. Sponsored by St. Patrick Hospital and Health Sciences Center and the City of Missoula, Missoula Riverfront Triangle Redevelopment Master Plan, produced by Design Workshop of Denver, Colorado, was guided, in part, by a philosophical framework developed as a result of an extensive planning Charrette. The Plan was not presented for adoption by the Missoula City Council but it forms the basis for the adopted Riverfront Triangle Special Zoning District. Subsequent to the Riverfront Triangle Redevelopment Master Plan, the City initiated The West Broadway Corridor Community Vision Plan. Produced by Moore - Iacofano - Goltsman, Inc. of Portland, Oregon, the Vision Plan produced a working document that provides guidance in redeveloping the West Broadway corridor between Orange Street and Mullan Road as well as future solutions to traffic congestion on West Broadway. The plan envisions: "a West Broadway Corridor that extends the downtown, provides neighborhood services and amenities, increases access to the Clark Fork River, welcomes users to Missoula, and provides a broad mix of housing choices, while accommodating all modes of travel safely and effectively". It expands the Riverfront Triangle Master Plan s goals and encourages a mix of public, office, retail, and residential uses while recommending " development along the edge of the Clark Fork River include retail and entertainment uses along a wider span of the Riverfront Triangle to help activate the promenade section of the envisioned greenway". The Greater Downtown Master Plan was prepared for the City by Crandall - Arambula, PC of Portland, Oregon. This plan embraces, expands, and, to a certain extent, supersedes the previous plans. The Downtown Master Plan includes land use and circulation frameworks, specific area urban design models, a parking plan, and implementation strategies addressing downtown area retail, housing, open space, employment, tourism, roadway improvements, pedestrian routes, and configurations. The Greater Downtown Master Plan generally agrees with the uses and general public space framework proposed by the Riverfront Triangle Special Zoning District and Master Plan. However, given its required greater depth of current local economic and social research and its much larger context and scope of the entire downtown area and its adjacent neighborhoods, the Greater Downtown Master Plan recommends a greater emphasis on providing residential opportunities in the ratio of District uses. It also recommends greater development density in portions of the Triangle be achieved through increasing the height limits for which the Plan recommends zoning adjustments zoning. Further, the plan suggests alternative site design schemes for particular blocks to those shown as examples in the Riverfront Triangle Master Plan and in provides different ideas in overall vehicle parking patterns. Riverfront Triangle Current Zoning: Within the Riverfront Triangle Urban Renewal District there are four zoning designations; Central Business District ("CBD") on all parcels east of Orange Street, Riverfront Triangle Special Zoning District on most parcels west of Orange Street including the Fox Site, with the exception of an ownership parcel presently occupied by a small Mexican restaurant and a billboard which is zoned Commercial ("C") and a vacant parcel immediately east of that restaurant that is zoned Business Commercial (BC)

4 CBD Zoning: The intent of CBD zoning is to provide "an area for high intensity uses or mixtures of uses for general commercial, retail, service, wholesale and multi-dwelling activities". The district is to promote the special characteristics of the area, the rehabilitation of existing structures, and the most desirable uses of land". In the CBD zone there are no maximum building coverage, minimum lot areas or front yards and, with exceptions, where commercial and residential areas meet, no required side yards or back yards. The maximum height of a building in the CBD zone is 12 stories. No off-street parking is required for commercial uses. Residential uses must provide off-street parking. Residential densities greater than 16 units per acre require a conditional use permit. Riverfront Triangle Special Zoning: The recommended development controls defined in the Riverfront Triangle Redevelopment Master Plan provide a basic framework for preferred land-use, maximum building heights and massing, transportation and circulation corridors, architectural principals and guidance, recommended streetscape improvements, and open space frameworks for future development on the site.. If the respondent s project differs from the zoning, it must go through a variance or rezoning process. However, the City understands that, in some circumstances, the Riverfront Triangle Special Zoning criteria do not mesh completely with the adopted Greater Downtown Master Plan Riverfront Triangle Special Zoning Relationship: Responding to the principles of the Riverfront Triangle Master Plan, the Riverfront Triangle Special Zoning District establishes a distribution of uses and other criteria as follows: West Broadway has the highest density of uses in the development area consisting of ground-floor retail and commercial office space. Residential space for owner-occupied housing or rental units has been included at the corner of West Broadway and Orange Street. The West Front Street corridor has been identified as a mixed-use residential area from the West Front/Broadway intersection to Owen Street. The plan allocates ground-floor retail at street level with residential units above. The section of West Front Street between Owen and Orange Streets is a transitional zone. It includes non-residential uses such as a hotel, commercial office space, and an area that could be used by a performing arts complex. The primary use along the riverfront edge is residential with the exception of the hotel use at Riverfront Plaza. Heights and distribution respond to the relationship with the river by creating large courtyards and stepped building heights from West Front Street down toward the river. Riverfront Plaza, at the intersection of Owen and Front Street, is surrounded by the highest concentration of mixed uses in the redevelopment plan. This area capitalizes on the public space amenity by providing office, residential, hotel, and retail on adjacent sites. The plaza - 4 -

5 steps down from Front Street toward the River and promotes the active public use of the riverfront edge by including space for ground floor retail, hotel restaurants, and riverfront residential units at the lower plaza level. Retail areas near the river are limited to quasipublic uses such as coffee shops, restaurants, etc. that maximize the riverfront experience. To promote an active street environment, areas are identified where ground-floor uses are limited to retail and service businesses. However, such uses are desired along all right-ofways. Where sidewalk widths allow, retail uses are encouraged to have outdoor eating and goods presentation areas. Adequate signage and appropriate window transparency should be incorporated to establish a relationship between building interiors and the street. Along streets, buildings are to be constructed adjacent to the sidewalks with minimum setbacks in classic urban fashion. Parking is, for the most part, to be underground or otherwise hidden. Building height limits range from 30 feet near the river to 105 feet at the hotel site and along Broadway west of Owen Street. Public use of the riverfront for pedestrian trails, park areas, and open space is essential in the development of the Riverfront Triangle. The building setbacks included in the Riverfront Triangle Special Zoning District reflect the adjacent permitted uses and the developable land remaining beyond the setback within particular areas. There is also direction for additional pedestrian access to the riverfront at regularly spaced intervals. Many uses near the river are provided with additional review criteria to assure the developments are appropriate to continued public enjoyment of the adjacent riverfront. Riverfront Triangle Street Access The north and east sides of the Riverfront Triangle are formed by two of Missoula s busiest streets, Broadway and Orange Street. West Front Street bisects the Area along an east-west axis. The area is further divided by the north-south running Owen Street. Orange Street is a four-lane, 80 foot wide right-of-way with an average of 15,800 vehicles per day near to the project area. It terminates eight blocks north of the Riverfront Triangle as an interchange with U.S. Interstate 90. Orange Street also connects the Brooks Street/US Highway 93 South shopping areas and Missoula's southern neighborhoods to the downtown. It is unlikely that ingress from and egress onto Orange Street between street intersections within the Riverfront Triangle or from the bridge approach will be permitted

6 West Broadway is a 100 foot wide right-of-way arterial street with an average of 16,000 vehicles per day adjacent to the project area. Approximately one mile east of the Riverfront Triangle, Broadway intersects with Van Buren Street at a U.S. Interstate 90 interchange forming the eastern gateway to Missoula s downtown. Westerly, Broadway provides the only urban east-west route north of the Clark Fork River between the downtown area to the recently developed Reserve Street Commercial Corridor and the Missoula International Airport. West Front Street is a 70 foot wide right-of-way with an average of 5,300 vehicles per day within the Riverfront Triangle. The western terminus Front Street is at its intersection with West Broadway within the Site. Eastward, Front Street extends though the downtown to the Van Buren Street Pedestrian Bridge which is a primary pedestrian link between The University of Montana and the downtown. West Front Street will provide primary access to the Site. Owen Street is an 80 foot wide right-of-way with a current average of less than 1,000 vehicles per day. The street s northern terminus is four blocks north of the Riverfront Triangle at an overhead pedestrian crossing of the Montana Rail Link Railroad main line and switching yard. The "Northside Crossing" is the principal pedestrian access between residential neighborhoods north of the rail line and downtown. South of West Front Street the Owen Street right-of-way has been proposed to be developed as a public access to the riverfront and potential site of a pedestrian bridge crossing of the Clark Fork River. Characteristics of the Fox Site The Fox Site is located at the intersection of Orange and Front West Streets. It is an irregular shaped area bounded on the north by West Front Street, on the east by Orange Street, on the west by the west line of Owen Street, and on the south by the Clark Fork River. In total, the Fox Site occupies approximately 1.87 acres. No structures currently occupy the Fox Site. Currently, the Missoula Parking Commission manages a portion of the site as a 70-space surface parking lot which will be abandoned upon selection of a redevelopment project. There are currently four basic tracts in the Fox Site. Two tracts ("Parcel 3" and "Owens Street" on plat map on Page 19) are intended as utility corridors, public access to the riverfront trail, and public - 6 -

7 open space. The two developable tracts are each composed of a larger parcel and several lots. (The lots represent the original platted lots along Front Street and the larger parcels are divisions of previously unplatted land south of McCormick's Addition Block 56.) The tracts were set up to allow some east-west alteration of the boundary separating them to correlate with the development needs of each tract once they were known. For the purposes of this Request for Proposals, the attached plat map (Page 19) shows the tract at the corner of Orange and West Front Streets is called "Tract 1" (approximately 43,285 square feet) and the tract to the west that abuts Owen Street is "Tract 2" (approximately 34,038 square feet). Final sizing of the tracts may be negotiable and depend on the needs of the accepted proposal(s) overall. It is anticipated that the area west of Tract 2, including the Owen Street right-of-way, will be retained by the City for a utility corridor, public pedestrian trail, and other public amenities leading to the riverfront trail. The portion of the overall Fox Site along the riverbank will also be retained by the City for a utility corridor and public space including a pedestrian trail. The City may consider minor boundary adjustments to the areas intended for public use. The Riverfront Triangle Special Zoning District currently limits general building heights along West Front and Orange Streets to 76 feet. That limit is extended to 105 feet if adequate parking is provided that has little or no visual impact to users of the Riverfront Trail and certain sight lines are maintained from the north and south. There is a zero setback limitation for buildings constructed along West Front and Orange Streets. (See the Riverfront Triangle Special Zoning District for additional requirements and permitted uses.) RFP respondents may propose amendments to the zoning that are in keeping with the intent of the Riverfront Triangle Master Plan and direction of the Missoula Greater Downtown Master Plan. The feasibility of such proposed amendments will be considered in review of the proposal. Zoning changes must be presented and adopted by the Missoula City Council separately from the RFP process and shall not (by law) be assured to the successful respondent within an agreement for exclusive rights to negotiate a development agreement or a development agreement Fox Site Utilities Potable water (owned by Mountain Water Company) and sanitary sewer lines (owned by the City of Missoula) are within West Front Street adjacent to the Fox Site. Modification of those services may be required depending on the intensity of uses at the Fox Site and the needs of the entire Riverfront Triangle. Northwestern Energy electrical and natural gas main lines, Quest fiber communications lines, and Bresnan cable communications lines are located in a utility easement along the riverfront and west side of the Fox Site. Those utilities were upgraded and relocated to easements in Additional communication capability is possible within existing conduits and from several area wireless businesses. Street storm drainage is located on the east and west side of the site and empties into the Clark Fork River. On the east side of the site it is within the Orange Street right-of-way to the east of a structural wall demarking the right-of-way. The wall was constructed to allow a portion to be removed for construction of a vehicle access under Orange Street if needed. On the west side of the site the storm drain is within the area to be retained by the City. Both systems were replaced in 2005 and meet all required standards for treatment in place at that time. Wastewater and potable water main lines offsite may require upgrading depending on the density and needs of the development

8 Fox Site Special Conditions Between approximately 1885 and 1947, prior to construction of structures on the site, portions of the Fox Site were used as a landfill for household waste along with road construction and building demolition debris. The material was dumped from the riverbank that existed in 1885 (approximately 60 feet south of Front Street) and spread south to the current bank. No contaminated material was found in testing the site but it presented a compaction problem for standard building construction. In 2005, MRA removed all material to the depth of native soils then replaced it with engineered soils compacted to densities consistent with construction of large buildings. During the project, regular testing of the excavated material and imported soils was conducted to assure no substance regulated by the State or federal government was present prior to or after the project. The current base elevation of the site is two feet above the FEMA floodplain level in force in A structural wall was added to the eastern boundary of the site to create permanent stability for the Orange Street Bridge northern approach. The wall was build to allow an underpass to be constructed to link to public right-of-way east of Orange Street

9 REQUEST FOR PROPOSALS RESPONSES Responses may include proposals for one available parcel or both. Respondents are expected to be familiar with the Site. The following documents are included in this RFP information packet and may be requested by Respondents in either paper or electronic media by Respondents. RFP material may be found online at or through Chris Behan at (406) or Respondents interested in submitting a proposal who are downloading the RFP documents should contact Chris Behan to assure they will be provided with any notices, updated information, or changes to the RFP. MRA is not responsible for communication to those who have not made contact. 1. Missoula Riverfront Triangle Redevelopment Urban Renewal Plan 2. Link to Greater Downtown Master Plan 3. Missoula Riverfront Triangle Redevelopment Master Plan 4. The Riverfront Triangle Special Zoning District 5. Various maps and air photos of the project site showing location, infrastructure, parcel size, ownership, etc. The City of Missoula Redevelopment Agency (MRA), acting as representative for the City of Missoula, is seeking proposals and qualifications from qualified interested in undertaking redevelopment of one or both of the designated parcels within the Riverfront Triangle in downtown Missoula, Montana. The deadline for submittal of RFP responses is 5:00 PM MDT on June 29, 2011 July 28, The selected respondent will negotiate an initial agreement with the MRA for City approval that will include an exclusive right to negotiate a development agreement

10 Proposal Content and Requirements All proposals seeking full consideration shall contain the following information and shall follow the format outlined below as closely as possible. At the discretion of MRA, incomplete proposals may be rejected and returned to the respondent in their entirety. The successful respondent shall have demonstrated an understanding and appreciation of the Site and its relationship to the downtown and the riverfront location; have a history of successful projects of similar scope, complexity, and that show sensitivity to their location through architecture and site layout; and present evidence of historical ability and a feasible current plan to finance the envisioned project. A. Cover Letter a. A signed and dated cover letter introducing the proposal including the full name(s), title(s), address(es) and telephone number(s) of the principals and primary contact constituting the entity responding to the RFP. b. Organizational form (or proposed form) of the developer (individual, company, corporation, partnership, etc.). c. Names and information about the primary architect, site planner, and other principal associates who would work with the developer on the project. d. One USPS and one address to which correspondence and information will be received. B. Developer Information a. A narrative history of projects of similar scope and uses undertaken by the developer including financial institutions used for the projects, municipal references, contact people and telephone numbers. Project descriptions should include location, photographs, type, and project cost. b. Resume of proposed architect and site planner including graphic description of their work as it relates to the proposed project. If no architect or planner has been chosen, present the qualifications that would be sought to engage such expertise. c. Proposed financing structure and description of the historical ability of the developer to obtain construction and permanent financing based on that structure. d. Evidence of the financial strength of the developer including references. (Personal or business financial statements, annual reports, or other documents indicating the financial condition of the selected developer shall be required during development agreement negotiations. Such documents will be reviewed only by MRA staff and returned.)

11 C. Project Description a. A narrative description of the envisioned project concept (with an executive summary of the narrative). The narrative should: i. List and describe the type of proposed activities/uses envisioned within the project concept together. A brief description of the identified community and/or market needs being addressed by the activities/uses should be included. ii. iii. iv. Demonstrate an understanding of the Riverfront Triangle Master Plan and Downtown Master Plan and describe how the envisioned project fits within urban design concepts within those documents. Explain how the proposed project would respond to the site s location including the riverfront, gateway to downtown, and West Broadway. Indicate the anticipated involvement the project could have in the redevelopment of the remainder of the Riverfront Triangle and how it will interact with the neighbors, particularly the St. Patrick Hospital campus. Include any actions that may be required of other area property owners that to make the proposed project successful. v. Include an estimate of the potential building(s) area, number of units, and/or area of leasable space within the envisioned development. vi. Show a clear understanding of the project location through an analysis of opportunities and constraints presented by the Fox Site as they relate to the proposed project. b. Previous Projects submitted should indicate: i. The scope and total market value of the completed project ii. iii. iv. The success of the designing to reflect or enhance the unique location of the surrounding neighborhood. For example, the compatibility of the size, massing, and materials of structures to the location and the surrounding area. An understanding the importance of providing such items as safe and convenient public spaces, plazas, public art, and non-motorized transportation. The overall quality of the previous projects designs relating to community goals. v. The use of innovative design models and their utilization of leading environmental practices in construction methods, architecture, and materials. Emphasize efforts to minimize the need for "on-grid" power, natural gas, and water usage; reduce surface drainage impact to municipal systems; minimize light and sound reflection and daylong shadowing; and employ re-used, recycled, and locally produced materials

12 Selection Process and Development Agreement The selected respondent under this RFP will enter into a limited duration agreement that will include an exclusive right to negotiate a development agreement (discussed further below). Selection will be generally based on: consistency of proposed uses within the master plans, understanding of the site and importance of the use of superior design and materials, clear demonstration of the financial and legal ability to carry out a project of the scope and complexity of the one envisioned in their proposal. Further, the selected respondent will have demonstrated a proven record and experience in implementing similar projects. A. Evaluation of Proposals: All proposals shall be evaluated using a set of evaluation criteria that are included in this RFP packet. The Mayor's Office, Missoula City Council, and the MRA Board of Commissioners, have reviewed and approved the evaluation criteria included in this RFP. B. Mail or Deliver Proposals to: Missoula Redevelopment Agency 140 West Pine Street Missoula, MT Mark the proposal delivery packet "Riverfront Triangle Fox Site Redevelopment Proposal" C. Date of Submission: Ten copies of the Proposal must be submitted to the MRA no later than 5:00 P.M. MST, July 28, If a developer desires an extension of time to prepare a proposal, a written request should arrive at Missoula Redevelopment Agency, 140 West Pine Street, Missoula, MT 59802, Attention Chris Behan, no later than 14 calendar days prior to the submittal deadline. A decision to extend the deadline or change requirements will be based on the number of such requests and the reasons for the requests. In the event of a change or an extension, all potential developers who have requested Request for Proposal documents or have downloaded documents and have contacted MRA will be notified of the change or granted the same extension. MRA reserves the right to adhere to the original schedule. The MRA reserves the right to reject all proposals, select a single proposal to redevelop only one parcel, select a single proposal to redevelop both parcels, or elect to redevelop both parcels by selecting separate proposals. A. Riverfront Triangle Redevelopment Proposal Review: a. RFP Review Team: A Review Team will review the proposals using the criteria herein and will provide recommendations to the MRA Board and City Council. The Review Team will be made up of MRA Staff members and others including a representative of St. Patrick Hospital and Health Sciences Center. b. Initial Review for Completeness and City Staff Comments. The Review Team will review

13 all proposals for completeness, contact references provided, and conduct an evaluation of proposals for the MRA Board. Personal or business financial information will be reviewed only by MRA Staff and returned uncopied. Proposals or portions of proposals may be reviewed by staff from the Office of Planning and Grants, various divisions of the Public Works Department, Parks and Recreation Department, Fire Department, or staff of other City agencies as appropriate. Review by other departments will be limited to initial consideration of project feasibility and preliminary comments regarding actions that, from their perspective, may be necessary or advisable to be included in a development agreement. Respondents not selected for further analysis because of lack or completeness or other reasons by the Review Team will receive prompt a written explanation from MRA. c. Initial Interviews. The Review Committee may conduct one or more interviews with respondents and/or ask for additional material and written responses to questions. B. Public Access to Development Proposals: After initial review, summaries of the formal submittals will be made available for public and media review. Complete redevelopment proposals will be forwarded to the MRA Board and prospective developers will be invited to make a presentation of their proposal to the MRA Board of Commissioners. In accordance with Montana State Law, all MRA Board meetings and their transcripts are public. F. MRA Board Recommendation: The written results of the RFP Review Team analysis will be presented to the MRA Board following the Public Presentation. It is anticipated the MRA Board will recommend one or more proposals to the Missoula City Council (or may reject all proposals). G. Council Authorization: The MRA will present the recommended development proposal to the Missoula City Council along with the findings of the Review Team and MRA Board comments and recommendation. Upon approval by the City Council, the City negotiate and enter into and initial agreement with the selected developer which will include s) exclusive right to negotiate a development agreement within a specified time period. H. Exclusive Right to Negotiate Agreement Immediately following the authorization by City Council, MRA will commence negotiating the terms and conditions of an interim agreement leading to a development agreement with the selected developer. It is anticipated a final draft of this agreement will be negotiated and approved by the MRA Board (and other owners if applicable) within sixty (60) days after the selection of developer by the City Council. The initial agreement will extend an exclusive right to negotiate a development agreement. It is intended to give the selected respondent time and ability to complete work with investors and tenants, present refined design and materials concepts along with preliminary cost estimates, to obtain preliminary project financing commitments, and to negotiate other terms of a development agreement. The duration of the initial agreement shall be negotiated and set. The negotiated schedule within the initial agreement shall indicate when an agreeable development agreement will be ready for presentation to the MRA Board. If the initial agreement is not finalized within 60 days, the

14 MRA has the discretion to extend the duration to continue negotiations acceptable to MRA or to discontinue negotiations and report to the City Council that an acceptable agreement could not be reached. If a Development Agreement is not finalized within the agreed upon time schedule agreed upon within the initial agreement, the MRA Board may elect to extend negotiations for an additional period. However, as agent for the City, the MRA may elect to terminate negotiations at any time after the initial time schedule and, with concurrence of the City Council, commence negotiations with another responding developer; or in the alternative, issue a new Request For Proposals, or dispose of the property in another manner pursuant to State Law ( , M.C.A.). In any event, other than those detailed within the initial agreement, no party will have any liability or obligation to or rights or claims against the other prior to entering into the Development Agreement. I. Development Agreement: The Development Agreement(s) shall set forth all of the terms, provisions, conditions and undertakings of the parties relative to the redevelopment of the Riverfront Triangle Redevelopment Site or Parcels therein in accordance statutory requirements, including, but not limited to, the following: a. A schedule of actions by the Developer, MRA, City of Missoula, and other Owners relative to disposition of the Parcels (for example; zoning amendments, regulatory approvals, appraisals, surveys, land transfer documents, public infrastructure improvements, additional land acquisition, etc.). A list of criteria that will be used to evaluate the proposal within the development agreement negotiations is attached to this document. b. A requirement that the developer to adhere to all Federal, State, and local civil rights laws, ordinances and policies. Further, the Development Agreement will require that construction employee wages shall be based the edition of the Montana Prevailing Wage Rate for public works projects in effect at the effective date of the Agreement. Wage Rates, updated every other year, are available from the Montana Department of Labor and Industry, Research and Analysis Bureau, P.O. Box 1728 Helena, MT 59624, telephone (800) or and for rules. Evidence of liability and workers compensation insurance will also be required. c. The Development Agreement will state that it does not guarantee other City actions including zoning changes which must be approved separately on their own merit. d. The Developer shall assure that all hiring of contractors, sub-contractors, consultants, subconsultants, designers, and planners will be made on the basis of merit and qualifications and that there will be no discrimination on the basis of race, color, religion, creed, political ideas, sex, age, marital status, physical or mental disability, or national origin. Additionally, such firms shall be in compliance with Title 49 of Montana Codes Annotated

15 (entitled Human Rights ) as well as The City of Missoula s Affirmative Action and Non- Discrimination Policy. e. A schedule of acts to be performed and steps to be taken by the developer, City, MRA, and Owners along with any subsequent approvals by the MRA and, if necessary, the City of Missoula relative to the development of the Site in accordance with the developer's proposal. The schedule shall include dates the developer will submit documents as well as times for MRA review and approval of: (i) (ii) preliminary design, site layout, and cost estimates; (If preliminary design differs appreciably from that previously presented, the MRA may require preliminary design aspects of the project to be presented to the above-mentioned Boards or City Council for comment and final approval.); and, final design, site layout, and cost estimates; and, (iii) final financing commitments and evidence of equity capital as may be needed to complete the project. (iv) a construction schedule in sufficient detail as to ascertain a reasonable completion date for the project and, if relevant, each discreet project phase (v) a completion deposit amount Following substantial agreement between MRA and the Developer, the proposed Development Agreement will be submitted to the City Council for final approval and for authorization of all public actions. The Development Agreement, as finally negotiated, shall contain a provision that it shall not be effective and neither the MRA nor the City of Missoula shall have any liability thereunder unless and until the Development Agreement has been approved in its entirety by the Missoula City Council and signed by both the developer and authorized City representatives. During the Development Agreement negotiation period, the MRA may require the project concept be presented to one or more official agency board or commission or City Council committee for comment and suggestions regarding general site and architectural design or proposed uses. Please note Section J below regarding Completion Deposits for this agreement. J. Completion Deposits. Terms of a completion deposit or an alternative will be negotiated and addressed prior to execution of the initial agreement. Initially, MRA has considered a system of three successive completion deposits as agreement negotiations proceed and construction begins. The first would be upon selection and commencement of the initial agreement negotiations in the amount of $25,000 deposited in an interest bearing account held by a mutually agreed upon escrow agent to assure completion of the agreement. The second would be initiated upon execution of the initial agreement and commencement of negotiation of the Development Agreement the amount of $25,000 into the same escrow account to assure completion of the Development

16 Agreement under the terms of the initial agreement. The third deposit would be upon acceptance of the Development Agreement by the City Council in the amount of $50,000 into the aforementioned account to assure construction of the project in the time and manner approved. Upon completion of the developer's project, the sum on deposit including interest but less any escrow or other required fess will be returned or credited to the developer. An escrow agreement will be executed with the selected agent that includes the following events: failure to complete the initial agreement will result in forfeiture to the MRA of the first $25,000 deposit including interest to date; failure to complete the Development Agreement will result in forfeiture of both the first and second deposit to the City including associated interest; and failure to complete construction as agreed to in the Development Agreement (or subsequent mutually agreed upon extensions or amendments) shall cause the all $100,000 deposited funds to be forfeited to MRA including any interest accrued. K. Development Fee. MRA has been assigned to represent the interests of the City in redevelopment of the Fox Site. The MRA may negotiate a one-time, non-refundable development fee to be paid to MRA by developers of the Fox Site. Such a fee would be intended to reimburse of MRA staff time and expenses in conjunction with the Fox Site with any unused amounts used to further urban renewal activities in the Riverfront Triangle Urban Renewal District. Terms of the Development Fee, if any, will be discussed during negotiation of the initial agreement actually addressed during work on the Development Agreement. Additional information may be obtained from Chris Behan, Missoula Redevelopment Agency, (406) , at: cbehan@ci.missoula.mt.us. Information provided that, in the opinion of MRA Staff, is critical to understanding the RFP or decisions made as the result of questions or requests for information will be provided to all recorded RFP recipients by . Plans, zoning, photographs and other material may be found at Faxed material may be sent to MRA at (406)

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18 Site Planning Examples The following are examples of site designs of the Fox Site. The first is from the Riverfront Triangle Master Plan and the second is from Greater Downtown Master Plan working documents currently under formulation and discussion. Note that the Greater Downtown Master Plan concepts propose densities through building heights greater than current zoning regulations permits. Neither document has been adopted by the City at this time. Respondents are not required to follow the examples. Sample Concept by Design Workshop, Inc Sample Concept by Crandall-Arambula June,

19 Excerpts from Montana Code Annotated Regarding Transfer of Public Land Definitions (16)(d) making the land available for development or redevelopment by private enterprise or public agencies, including sale, initial leasing, or retention by the municipality itself, at its fair value for uses in accordance with the urban renewal plan. If the property is condemned pursuant to Title 70, chapter 30, the private enterprise or public agencies may not develop the condemned area in a way that is not for a public use Disposal of municipal property in urban renewal areas. (1) A municipality may: (a) sell, lease, or otherwise transfer real property in an urban renewal area or any interest therein acquired by it for an urban renewal project for residential, recreational, commercial, industrial, or other uses or for public use and enter into contracts with respect thereto; or (b) retain such property or interest only for parks and recreation, education, public transportation, public safety, health, highways, streets and alleys, administrative buildings, or civic centers, in accordance with the urban renewal project plan and subject to such covenants, conditions, and restrictions, including covenants running with the land, as it may deem to be necessary or desirable to assist in preventing the development or spread of blighted areas or otherwise to carry out the purposes of this part. (2) Such sale, lease, other transfer, or retention and any agreement relating thereto may be made only after the approval of the urban renewal plan by the local governing body. (3) Such real property or interest shall be sold, leased, otherwise transferred, or retained at not less than its fair value for uses in accordance with the urban renewal plan. In determining the fair value of real property for uses in accordance with the urban renewal plan, a municipality shall take into account and give consideration to the uses provided in such plan; the restrictions upon and the covenants, conditions, and obligations assumed by the purchaser or lessee or by the municipality retaining the property; and the objectives of such plan for the prevention of the recurrence of blighted areas. (4) Real property acquired by a municipality which, in accordance with the provisions of the urban renewal plan, is to be transferred shall be transferred as rapidly as feasible, in the public interest, consistent with the carrying out of the provisions of the urban renewal plan. History: En. Sec. 9, Ch. 195, L. 1959; amd. Sec. 1, Ch. 134, L. 1973; R.C.M. 1947, (part) Procedure to dispose of property to private persons. (1) A municipality may dispose of real property in an urban renewal area to private persons only under reasonable procedures as it shall prescribe or as provided in this section. (2) (a) A municipality shall by public notice invite proposals from and make available all pertinent information to private redevelopers or any persons interested in undertaking to redevelop or rehabilitate an urban renewal area or any part of an urban renewal area. (b) The notice must be published as provided in prior to the execution of any contract or deed to sell, lease, or otherwise transfer real property and prior to the delivery of any instrument of conveyance under the provisions of through (c) The notice must identify the area or portion of the area and must state that any further information that is available may be obtained at the office designated in the notice. (3) The municipality shall consider all redevelopment or rehabilitation proposals and the financial and legal ability of the persons making the proposals to carry them out. The municipality may accept those proposals as it considers to be in the public interest and in furtherance of the

20 purposes of this part and part 43. Thereafter, the municipality may execute, in accordance with the provisions of and , and deliver contracts, deeds, leases, and other instruments of transfer. History: En. Sec. 9, Ch. 195, L. 1959; amd. Sec. 1, Ch. 134, L. 1973; R.C.M. 1947, (b); amd. Sec. 55, Ch. 354, L Obligations of transferees of municipal property in urban renewal area. (1) The purchasers or lessees and their successors and assigns are obligated to devote real property transferred pursuant to only to the uses specified in the urban renewal plan and may be obligated to comply with other requirements that the municipality may determine to be in the public interest, including the obligation to begin within a reasonable time any improvements on real property required by the urban renewal plan. (2) In any instrument of conveyance to a private purchaser or lessee, the municipality may provide that the purchaser or lessee may not sell, lease, or otherwise transfer the real property without the prior written consent of the municipality until the purchaser or lessee has completed the construction of any and all improvements that the purchaser or lessee is obligated to construct. (3) The inclusion in a contract or conveyance to a purchaser or lessee of any covenants, restrictions, or conditions, including the incorporation by reference of the provisions of an urban renewal plan or any part of a plan, may not prevent the recording of the contract or conveyance in the land records of the clerk and recorder of the county in which the city or town is located, in a manner that provides actual or constructive notice of the covenants, restrictions, or conditions. History: En. Sec. 9, Ch. 195, L. 1959; amd. Sec. 1, Ch. 134, L. 1973; R.C.M. 1947, (part); amd. Sec. 617, Ch. 61, L

21 DEVELOPMENT EVALUATION CRITERIA In negotiating the Development Agreement the following criteria will be used to evaluate the project: A. DESIGN CONCEPT: a. Response to basic concepts within master planning efforts including the Riverfront Triangle Urban Renewal Plan and Downtown Master Plan. Overall quality of the proposed design concept and sensitivity of the project design to the unique location of the Site. For example: Does the concept respond to the riverfront and extension of the downtown? Could the project design, be just as easily built on another site? b. Consideration of future development of the remainder of the Riverfront Triangle. c. Size and massing compatibility of proposed structures to the area. d. Proposed uses at key portions of the site as outlined in the Greater Downtown Master Plan, Riverfront Triangle Urban Renewal Plan, Riverfront Triangle Master Plan, and the West Broadway Community Vision Plan. e. Design of the public/private interface: i. Success of the design in understanding the importance of providing such items as safe and convenient public spaces, plazas, public art, enhancement of the riverfront trail, and accesses to the trail system from West Front and Orange Streets. ii. iii. iv. Site and building design concepts that accommodate and encourage public access and enjoyment of the riverfront and visual access to the surrounding vistas. Building design concepts that take advantage of the views from within the development without diminishing public enjoyment of the riverfront. Uses and design that create an extension of the downtown core area including emphasis of street-front retail and service businesses and inviting architecture. v. Development's appearance and functional relationship with all public right-of-ways. vi. vii. Provision of adequate on-site parking and its visual and functional relationships to the riverfront, adjacent properties, and other public spaces. Parking should also recognize potential development of adjacent properties. Proposed development's impact on area traffic and pedestrian circulation in the area. (If residential, consideration of minimizing automobile use through use of neighborhood-scale service and shopping businesses in the area to minimize the need for residents to drive to obtain common household merchandise and services.)