Request for Qualifications from Mixed-Use Real Estate Development Teams

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1 Request for Qualifications from Mixed-Use Real Estate Development Teams Civic Campus Property City of Woodinville, Washington For questions regarding this development opportunity and RFQ, please contact: Brandon Buchanan, City Manager, City of Woodinville, , Brian Vanneman, Leland Consulting Group, , Submittals are due by 4:00 p.m. on Wednesday, September 20

2 Contents Executive Summary... 3 Civic Campus Context and Property... 5 Current Site Vision and Illustrative Concept Plans Submittal Process and Requirements Appendices and Additional Information Woodinville Civic Campus

3 Executive Summary History. The City of Woodinville s 3.3-acre Civic Campus site has long been a center for the community. Beginning in the 1890s, the northern part of the site served as the location for a school, gymnasium, and athletic fields for the children of Woodinville. The Old Woodinville Schoolhouse was originally built in 1909, and then expanded and renovated in several phases through the early 20 th century. In the 1960s and 1970s, a new school facility (now called the Carol Edwards Center) was built on the site to serve the community s growing needs for education and exercise. For the City of Woodinville built mostly in the later part of the 20 th century this is a unique and historic site. Context. The property sits in a special context at the heart of the community, with the potential to further capitalize on its location. One of the city s best-known destinations the sports fields are located immediately to the west, hosting youth and adult sports events yearround. City Hall abuts the property to the south. West of the sports fields is Wilmot Gateway Park, providing access to scores of miles of bicycle and pedestrian pathways via the Sammamish River Trail, and from those trails, to more than 100 wine and dining establishments. The property is located within the city s designated Downtown/Town Center, with nearly 300 feet of frontage on the city s main thoroughfare, NE 175 th Street. Woodinville is both highly accessible to the thriving Puget Sound Eastside market, and set apart by a buffer of farmland and forested hillsides. One indication of the development community s confidence in the downtown Woodinville market is Woodin Creek Village, a major mixed-use project located across 133 rd Avenue from the Civic Campus, whose first phases are now occupied and will comprise more than 800 dwelling units and 60,000 square feet of commercial space upon completion. Looking to the Future. Given this context, the City of Woodinville is excited to release this Request for Qualifications (RFQ) from Mixed-Use Real Estate Development Teams. The City is looking for one or more real estate development teams with extensive and established experience building vibrant, pedestrian friendly, mixed-use town center projects, with whom the City can work in order to fulfill the potential of the Civic Campus, and achieve the following project goals: Create a community gathering place; Woodinville Civic Campus

4 Retain and renovate the Old Woodinville Schoolhouse; Retain the City of Woodinville s Recreation Center function, through construction of new space and/or adaptive reuse of some existing space; Make this project a model for the City s vision of Downtown as set forth in the Downtown Illustrative Guidelines; Be financially feasible for private developers; and, Limit the City's financial investment and risk to the extent possible. What the City is Seeking The City is seeking a highly qualified real estate development team, experienced in planning and building mixed-use town center projects, with whom to partner to redevelop the Civic Campus property. Through this document, the City is asking development teams to submit materials that describe their qualifications. The City s intent is to make the RFQ preparation process as straightforward as possible in order to encourage submittals from the most capable and best-qualified teams. The City is not requesting specific design proposals and/or financial analyses at this point; the City will likely request these elements once a short list of two or three development teams have been selected. RFQ responses should include the following information: Cover letter Concise project vision statement Development Team, including the firms involved Key staff resumes Experience on comparable projects References Financial capacity Complete instructions can be found in the Submittal Process section on page 22. Woodinville Civic Campus

5 Civic Campus Context and Property Puget Sound Region Woodinville is located in the Puget Sound region, and Eastside submarket. These are among the most economically thriving and desirable regions in the country, and should generate ongoing, long-term demand for locations such as the Civic Campus, which include access to rural, suburban, and urban amenities. The Puget Sound Regional Council (PSRC), an organization charged with planning for the region, estimates that between 2015 and 2040, the region will add approximately 850,000 jobs, and just over 1 million additional residents. The region s assets include: Quality of place, including exceptional natural surroundings and built environment; A welcoming culture; A global metropolitan area, with strong economic ties to the Pacific Rim and North America; World-class technology, media, and professional service industries, and related job growth, as well as a diverse industry base in aerospace, manufacturing, and trade; Growing population base, in response to the above conditions; Supply constraints such as bodies of water, mountains, and undevelopable forests and wetlands, which mean that growth can only be accommodated in some locations. As the home to major office concentrations for Microsoft, REI, Google, HP, Boeing, AT&T, Amazon, T-Mobile, and others, Seattle s Eastside continues to be a leader in Washington State s economic growth. Office leasing rates in some parts of the Eastside compete with downtown Seattle. As of early 2017, apartment vacancy rates were below four percent in the Eastside, indicating continuing demand in the area, despite high levels of development in recent years. (Colliers, 2017). Woodinville is located just under 20 miles from Downtown Seattle, and about 8 miles north of Bellevue. Woodinville Civic Campus

6 Downtown Woodinville While Woodinville is located in the booming Puget Sound region, it is also a world apart, set in the historically agricultural Sammamish River Valley, and framed by wooded hillsides to the west and east. During 2016 and 2017, the Woodinville City Council, staff, and citizens prepared the (draft) Woodinville Downtown Vision & Illustrative Guide, which set forth a vision, theme, and recommendations for how development should be implemented in the City s downtown area. The downtown design theme is forest and farm, and the Guide s purpose section begins as follows: Woodinville s future downtown is envisioned as an inviting place to work, shop, live, and socialize. Commercial businesses line green compact, walkable blocks in this downtown. Café tables spill out onto sidewalks in summer months, while stores and coffee shops fill up in colder weather. Plazas and small parks punctuate the grid pattern, providing a place for children to play and workers on break. This downtown centers itself on community and is a vibrant and desirable place to live for people and families of all ages. Most importantly, this downtown is characteristically Woodinville where the connection to water, farm, and forest are celebrated in the buildings, sidewalks, and landscapes. Woodinville Civic Campus

7 Woodinville Community Community emerged as a key word during planning efforts undertaken for the Civic Campus site and Downtown Woodinville during 2016 and While citizens of Woodinville feel a strong sense of community as evidenced in events such as Celebrate Woodinville, the Woodinville Farmer s Market, and yearround athletic events at the sports fields they also want more and better places in which to gather. Despite the range of restaurants and commercial businesses in the downtown, there is a perceived lack of community gathering places where events can take place. (Wilmot Gateway Park, just west of the subject site, and DeYoung Park, a quarter-mile east, do host events but also have limitations.) The Civic Campus site is a natural opportunity for new or expanded community gathering places: Celebrate Woodinville (attended by 4,000 to 5,000 people per year) parades go right by the site, and City Hall, the sports fields, and Wilmot Gateway Park host a variety of events year-round. The Woodinville Farmers Market takes place at DeYoung Park. From top to bottom: The Celebrate Woodinville parade, Woodinville Farmer s market, and Woodinivlle sports fields. Image credit: Woodinville Chamber of Commerce. Woodinville Civic Campus

8 Demographics Woodinville is a desirable, affluent, and family-oriented community. The city s demographics, highlighted below, should positively impact commercial and residential development feasibility on-site: Median household income is $94,354, higher than incomes in most other nearby cities, and significantly above the King County median of $75,941. About three-quarters (74.9 percent) of the employed population 16 years or older work in white collar occupations, consistent with the strong Eastside job bases of technology and professional services. A majority of residents (81.3 percent) are part of family households. About one third (33.2 percent) of households have children more than the county average of 29.2 percent. The city is well educated: More than half (51.7 percent) of residents aged 25+ have an undergraduate or graduate degree, compared to 48.7 percent in the county. Over the next five years, the city is projected to grow at a rate (1.54 percent) just higher than King County (1.50 percent), and slightly more slowly than other nearby Chateau Ste. Michelle, one of the area s first wineries, was built in the 1970s; communities such as Bothell more than 100 other wineries and tasting rooms have followed. and Kenmore. All data cited above is from ESRI Business Analyst Online / US Census and is for 2016 unless otherwise noted. Woodinville Wine Country Wine is a significant component of Woodinville s reputation and tourism draw--an estimated 795,000 people visit the Woodinville area each year for wine tourism. The City believes that the Civic Campus project can help to link Downtown with the main tasting and touring areas the Warehouse and Hollywood Districts, to the north and south, respectively while building on Woodinville s reputation for great local wine, beer, food, and agricultural. According to business association Woodinville Wine Country: Woodinville Civic Campus

9 Woodinville Wine Country is a mere 30 minutes northeast of Seattle, but it might as well be the other side of the world. This small, scenic valley is where the fruit of Eastern Washington meets the vintners, chefs and flavors of the Pacific Northwest. It s a delicious crossroads of winemaking, microbrewing, fine dining, and the people who pour their heart and soul into them. Explore, experience and enjoy! 118 Wineries & Tasting Rooms 14 Microbreweries, Distilleries & Cideries 30 Restaurants & Eateries Woodinville Civic Campus

10 The Civic Campus Property The Civic Campus Property, the subject of this RFQ, is shown below in the context of Downtown Woodinville. The City s sports fields are located immediately west, and City Hall adjacent to the property to the south. The site is bordered by the city s main street, NE 175 th Street, to the north, and 133 Avenue NE, to the east. Owner City of Woodinville Size Approximately 3.3 acres. Likely between 142,000 and 145,000 square feet, depending on final lot line delineations. Primary NE 175th St, Woodinville, WA (Old Schoolhouse) Addresses: rd Ave NE, Woodinville, WA (Carol Edwards Center) Parcel numbers: , , Woodinville Civic Campus

11 Zoning The Civic Campus is currently a split-zoned property. The northern 0.34 acres (or 15,000 square feet, which is the site of the Old Woodinville Schoolhouse) is zoned CBD (Central Business District). The remainder of the site (130,000 square feet or 2.9 aces) is zoned P/I (Public/Institutional). Concept plans prepared on behalf of the City in 2017 assume that this southern part of the site would ultimately be rezoned, likely to CBD; or possibly to another zone that also allows a mix of open space, and public, commercial, and residential development. The CBD zone is intended to promote a broad mix of urban retail, high density residential, service, recreational and cultural uses. The CBD serves regional markets while cultivating local employment and offering a range of housing opportunities. The City seeks to encourage compact and varied development within the CBD. This diversity of uses in the surrounding area including restaurants, coffee shops, bars, parks, and entertainment earns the site a Walk Score of 82 ( Very Walkable ). Uses allowed in the CBD zone include: Theaters Museums Galleries Winery/Brewery Tasting Room Daycare Amusement Woodin Creek Village (pictured above) is the first major mixed use project to be built under the City s CBD zoning, and is located just east of the subject site (between 133 rd and 138 th Avenues). The first phase of the project is complete and occupied; at buildout, the project will include more than 800 housing units and 60,000 square feet of commercial space. Medical Offices General Offices Retail Hotel/Motel Food production Education Residential Woodinville Civic Campus

12 The Civic/Gateway Design District which overlays the site expresses a preference for public and high visibility uses. It places an emphasis on attractive streets, landscaping and pedestrian connections and imposes certain development standards and guidelines which emphasize design character as seen from streets and pedestrian connections. Within the Civic/Gateway Design District, both a) the Pedestrian-Oriented Overlay (overlay when a development agreement is applied for), and b) Pedestrian-Oriented Street (regulation on type of street façade treatment), apply to the subject site. Height and Density Maximums. Assuming CBD zoning is applied to the subject site, the maximum allowed height on the site would be 57 feet, assuming that new development provided structured parking, public open space and other requirements set forth in WMC The heights and densities listed here are maximums and may not be applicable to a project on the subject site if that project does not meet exceptional design standards in the WMC. Stormwater: Direct Discharge Exemption. City of Woodinville Public Works staff have reviewed the King County Surface Water Design Manual and related materials, and made a preliminary determination that the Civic Campus site falls under the direct discharge exemption due to its proximity to the Sammamish River floodplain and existing stormwater conveyance systems. The site is therefore exempt from the County s flow control facility requirement. Assuming CBD zoning, WMC provides density maximums within the Pedestrian- Oriented Commercial Overlay. When the developer of this site executes a development agreement (DA) with the City, the following maximums would apply: Residential: Base density of either a) 54 dwelling units per acre, or b) floor-area ratio (FAR) of 2.5:1 may be used; and, Commercial: FAR of 2.5:1. Residential and commercial FARs are additive. Structured parking is not counted towards maximum FAR. The City s understanding is that this is likely to significantly reduce the cost of on-site detention facilities associated with new, mixed-use development; however, stormwater treatment will still be required prior to discharge. The City encourages interested developers to conduct their own third-party analysis of this issue, including a review of pages 1-41 of the King County Surface Water Design Manual: Woodinville Civic Campus

13 Sewer and Water. The Woodinville Water District provides sewer and water service to the subject site. The subject site is currently serviced by the following utilities: Water: A 12 main is located in NE 175 th Street, and an 8 main is located in 133 rd Avenue NE. Other mains are located to the south and west. Several private lines are on the site. Sewer: A 10 main is located in NE 175 th Street. Additional analysis will be required in order to determine whether existing sewer and water utilities are adequate to serve proposed development on-site. Topography and Ground Water. The high point of the site is near the northeast corner. The northeast and east side of the site (e.g., at 133 rd Avenue NE) are between 10 and 15 feet higher than the western edge of the site, near the sports fields. The City expects to commission an ALTA survey in order to provide more detailed topographical information for future site design. Based on the City s interpretation of geotechnical reports prepared for the construction of City Hall, the ground water level appears to be approximately 9.5 feet below the grade of the sports fields. The City has concluded that, for purposes of concept planning, it is reasonable to assume that two levels of parking can be accommodated on the site, below the grade of 133 rd Avenue NE. Naturally, such a parking solution would need to work from the financial and site planning perspectives as well, and above-ground structured parking has also been considered. Electrical. The electric utility serving the site is Puget Sound Energy (PSE). A set of electrical transformers is located at the northeast corner of the site (southwest corner of the intersection of NE 175 th Street and 133 rd Avenue NE). The City has discussed these transformers with PSE and received confirmation that they can be undergrounded on site, and a rough concept-level cost estimate has been completed. There is another set of transformers located between the Old Schoolhouse and the sports fields, along the northern edge of the site. The City s working assumption is that these could be placed underground or relocated, if the City and the selected developer(s) decided to improve access to the site from NE 175 th Street at this location. Soils. For purposes of concept planning, the City and its consultants have assumed that the site s existing soils have the capacity to support buildings of up to five stories without extraordinary foundation improvements. In part, this assumption is based on the construction of the five-story Woodin Creek Village project adjacent to the subject site; it is not, however, based on studies or guidance from geotechnical engineers. The City may engage a geotechnical engineer to evaluate soil conditions during Woodinville Civic Campus

14 Environmental Conditions. Several environmental analyses have been conducted for the site, including a Phase 1 Environmental Site Assessment (ESA, Granger Group, 1995), and an Asbestos Management Plan (1991). These studies will be made available to interested parties. Issues identified include: One 1,200-gallon steel underground heating oil underground storage tank (UST) south side of the Old Woodinville Schoolhouse; Asbestos materials in both the Old Woodinville Schoolhouse and Carol Edwards Center; and, Lead-based paint on the exterior windows of the Old Woodinville Schoolhouse. Despite the above issues, the historic use of the site has been for education and athletics, and therefore the City hopes that environmental conditions on the site will be manageable. Deed Restrictions. In the late 1880s, the original owner of the subject site, Arthur Calkins, placed several deed restrictions on the site regarding the sale, manufacturing, storage, or giving away of alcohol on certain portions of the property. These deed restrictions are still in place, despite efforts by the previous owner of the site, the Northshore School District, and City of Woodinville, to remove them. Therefore, it is likely that the sale, manufacturing, storage, or giving away of alcohol on certain portions of the property will remain in effect in perpetuity. However, based on legal and site analysis conducted for the city, no alcohol-related deed restrictions pertain to a majority of the site, including all but the eastern edge of the Old Woodinville Schoolhouse. Legal and site analysis related to this issue will be made available to interested parties. Old Woodinville Schoolhouse The subject site was the location of Woodinville s first public school, established in the 1890s. Originally a two-room, wood frame school building, it was rebuilt as a masonry building in 1909 after a fire destroyed the original structure. This masonry construction made the Schoolhouse one of the only brick schoolhouses in the King County area to exist outside of Seattle. A small portion of the original 1909 brick building is still visible at the west end of the southern elevation. As more classroom space was required due to the City s growth, in 1936 the brick building was integrated into a larger structure designed by Frederick Bennett Stephen, a respected Seattle architect who also designed the 1948 east-wing addition. After serving its function as a schoolhouse for many decades, the property later became the first Woodinville City Hall, a function it served from 1993 to Its long-standing history and reflection of the city s growth led to the Schoolhouse s designation as a historic landmark in Since that time, the building has remained vacant, with occasional preventative maintenance performed by the City. Woodinville Civic Campus

15 Old Woodinville Schoolhouse: Historic Preservation Overview In September of 2001, recognizing the Schoolhouse s history and impact on the city of Woodinville, a preservation and landmark status designation process was initiated. The Woodinville Landmarks Commission unanimously designated the Site as a City Landmark on December 20, The Designated Features of Significance are the, entire land area of the tax parcel and the entire exterior of the building. The historic tax parcel is shown at right. Some of this parcel is within the current Civic Campus property, and some is within the 133 rd Avenue NE right of way. Historic preservation in the city is managed through an Interlocal Agreement for Landmark Services with King County. While the City is responsible for the designation and general oversight of a landmark, the County reviews any request that seeks to modify the landmark. Per County and City regulations, no significant feature may be altered regardless of whether a building permit is required, unless a Certificate of Appropriateness (COA) from the County Landmarks and Heritage Commission is awarded. Above: A mid-20 th century aerial view of the Civic Campus site (outlined in yellow). Below: The Schoolhouse s historic, one-acre tax parcel is outlined in bold below. In July 2017, the Schoolhouse was officially listed on the Washington Heritage Register; the building is currently progressing through the process of being listed on the National Register of Historic Places. The designation documents specific to the Schoolhouse parcel also prohibit any new structure, building, road, intensive landscaping or fence construction within the parcel unless a COA is first obtained. As part of this process, the proposed redevelopment will need to preserve, to the extent possible, designated features of significance including the exterior of the building and one-acre parcel. According to the King County Historical Preservation Program, the Landmarks Commission uses the Secretary of Interior s Standards for the Treatment of Historic Properties and companion guides to inform the COA design review process. The Commission acknowledges that in order to preserve a historic landmark, changes are often needed and COAs may be awarded after considering the following four factors: Woodinville Civic Campus

16 The extent of impact on the historic property; The reasonableness of the alteration in light of other alternatives available; The extent alteration is necessary to meet the requirements of law; and The extent alteration is necessary to achieve a reasonable economic return. Carol Edwards Center (CEC) and Woodinville Recreation Center The Carol Edwards Center (CEC) is four-building complex that occupies a majority of the site. The major current function of the CEC is to serve as the Woodinville Recreation Center. The Woodinville Chamber of Commerce also occupies a small office space. The Northshore YMCA operates all recreation center classes, activities, and events, including fitness classes for participants of all ages, and a community kitchen, which delivers meals to nearby residents in need. The YMCA currently leases the space from the City, which owns the site and buildings. The recreation center and YMCA occupy the two northern buildings in the complex, which are immediately to the west and east of the courtyard. The westernmost building is significantly taller than the other buildings and contains a gymnasium, the Madrona multi-purpose room and, on a lower (sports field) level, storage space used by the City and bathrooms associated with the sports fields. Above: Civic Campus site. Below: The Madrona multi-purpose room. The City s goal vis-à-vis the CEC is to retain and renovate the City of Woodinville s Recreation Center function, through construction of new space and/or adaptive reuse of some existing space. Woodinville Civic Campus

17 The City anticipates that most, or perhaps all, of the CEC structure will be demolished and replaced. Because taller spaces are desirable for basketball and other sports and activities, and because gymnasium space is likely to be the most expensive to rebuild, the City believes that the westernmost building would be the most likely to remain. Conversations with the Northshore YMCA indicate that the YMCA s desired future program for the site includes a gymnasium (approximately 6,000 square feet), two to three flexible-use/group exercise rooms (approximately 3,000 square feet each), a commercial kitchen, lobby/reception, office space, and storage space. This program is estimated to require a total of 18,000 to 23,000 square feet of space, and such space has been assumed and provided in the concept plans described below. The City continues to work with the YMCA to refine a final space program. The City anticipates continuing to lease future space to the YMCA; however, they will retain the right to engage another operator and/or manage the recreation center itself. Woodinville Civic Campus

18 Current Site Vision and Illustrative Concept Plans In early 2017, the City of Woodinville engaged Leland Consulting Group, VIA Architecture, and The Holmes Group to work with the City Council, staff, and residents conduct a range of goal setting, due diligence, and physical planning for the Civic Campus site. This work resulted in the establishment of the following six goals for the reuse and redevelopment of the site. Civic Campus Project Goals Create a community gathering place; Retain and renovate the Old Woodinville Schoolhouse; Retain and renovate the City of Woodinville s Recreation Center; Make this project a model for the City s vision of Downtown as an inviting place to work, shop, live, and socialize, as set forth in the Downtown Illustrative Guidelines; Be financially feasible for private developers; and, Limit the City's financial investment and risk to the extent possible. One key site planning concept is shown at right, indicating the desire lines of residents and visitors (largely on foot or by bicycle) in the downtown core (including major commercial properties and Woodin Creek Village) seeking to travel through the site to the sports fields, Wilmot Gateway Park and the Sammamish River Trail, and vice versa. The subject site therefore has a natural role to fulfill as a crossroads, gathering place, and meeting point. Woodinville Civic Campus

19 In addition to site redevelopment concepts that were prepared for the City in 2013 and 2015, two primary illustrative site development concepts were prepared in 2017 and are represented by the sketches below. On June 6, 2017, the City Council passed a motion endorsing Option 2 below, and directing staff and the consultant team to prepare this RFQ. All site plans and massing diagrams shown in this RFQ and elsewhere are intended to be illustrative only, for the purpose of informing future design planning by the City and private developer(s). The City is not expecting developers to build out the site precisely as illustrated. The purposes, therefore, of completing the site plan options shown here have been to: identify some ways in which the six project goals listed above can be realized in a built form, including how the Schoolhouse and recreation center functions can be retained and enhanced; to show options that could be built within the City s CBD zoning; and to think through potential solutions to issues such as site boundaries, ingress and egress, use mix, parking, financing, and other issues. While no site design work is being requested as part of this RFQ, developers are encouraged to think creatively about the design of the site, and how the project goals can best be realized on the site. As presented to City Council in June 2017, Option 2 included a renovated schoolhouse with a mix of retail, commercial, and restaurant uses; approximately 18,000 square feet of recreation center space; 37,000 square feet of total commercial space (inclusive of the Schoolhouse); between 168 and 309 dwelling units; and between 477 and 569 parking spaces. In Option 2, most parking is below grade and therefore not visible in the ground floor site plan below. Consultants prepared several variations within Option 2 showing different building heights, including a maximum of five-, four-, and three-story buildings. (Five story buildings would generally be allowed by the City s CBD zone.) Development height will continue to be a key issue in this project. The City Council s desire is to ensure that the scale and height of new development responds appropriately to the Woodinville Civic Campus

20 historic Schoolhouse, City Hall, and other nearby buildings. The Council and staff are also aware of the critical relationship between development density/capacity on site, and private-sector financial feasibility. In addition to the ground floor site plan shown below, additional below-grade and upper-story floor plans for Option 2 are shown in the Appendices on page 28. Option 2: Ground Floor Site Plan. Woodinville Civic Campus

21 Above: View from northeast corner, including new mixed-use buildings (four story), schoolhouse square, and renovated Old Woodinville Schoolhouse (Option 2). Below: View from southwest corner, including north-south access lane, existing/retained rec center gym (leftmost building with tall window), new mixed-use buildings (five story), grand staircase, Civic Plaza (foreground), and City Hall (at right). Woodinville Civic Campus

22 Submittal Process and Requirements RFQ Submittal (Statement of Qualifications) Overview The City is seeking a highly qualified real estate development team, experienced in planning and building mixed-use town center projects, with whom to partner to redevelop the Civic Campus property. Through this document, the City is asking development teams to submit materials that describe their qualifications. The City s intent is to make the RFQ process as simple and straightforward as possible in order to encourage submittals from the most capable and best-qualified teams. The City appreciates developers interest in this RFQ and the Civic Campus project, and recognizes that some of the submittal requirements are prescriptive and may be time consuming. In order to limit developers immediate time investment, the City is not requesting specific design proposals and/or financial analysis at this point; the City will likely request these elements as part of an RFP in fall Process Overview The City plans to conduct the developer solicitation process in two phases: 1. Request for Qualifications (RFQ; this document). Based on RFQ submittals, the City will select a short-list of potential development teams (expected to be two or three teams). 2. The City expects to issue a Request for Proposals (RFP) to the short list in fall Based on proposals received from developers, the City hopes to select a single preferred development team capable of overseeing redevelopment of the entire Civic Campus property during late 2017 or January It is possible that the City will select multiple preferred development teams for this project in the event that the each has a particular demonstrated expertise (e.g., town-center scale mixed-use development, versus adaptive reuse of small historic properties). RFQ Submittal Requirements RFQ responses should include the following information: Cover letter (Optional: cover page and table of contents) Concise project vision statement Development Team, including the firms involved, roles, and organization of team. Key staff resumes Experience on comparable projects References Financial capacity Woodinville Civic Campus

23 Cover letter The cover letter should be one or two pages in length and should include a brief summary of the team and contact information for the primary point of contact. Cover Page and table of contents These are optional, but not required. Concise project vision statement This statement should be one to two pages in length, explaining the reasons for your team s interest in the Woodinville Civic Campus project, a general vision for the type of project you would seek to build on the site, and any other information you feel is pertinent. Team, including the firms involved and organization This section should include summary information regarding each of the firms involved in the development team, and a general organizational chart or explanation of how the team is organized. The City recognizes that development teams may consist of only one (real estate development) firm, or multiple firms, including a developer, investors, architect, engineer, etc. as necessary. This section should be one to three pages maximum. Key staff resumes Include one to two-page resumes for up to 10 key staff members. These resumes should include information regarding the staff person s work experience, relevant project experience, education, and anticipated role on this project. Experience on comparable projects. Include summary project cut sheets that summarize the team s work on up to 10 comparable development projects. Ideally, projects will include components similar to the Woodinville Civic Campus, including the adaptive reuse of historic buildings, public gathering spaces, a mix of land uses and development types, recreation/fitness centers, collaborations with public agencies, and potentially other relevant elements. Each cut sheet should be no more than one page in length, and should include the name and location of the project; at least one image; and a short description of the initial challenges, work performed by team members, and outcomes. The section should be a maximum of 10 pages. References Include three to five references for the team s work, including name, title, role on the team s project, organization, phone number, and . Ideally, some or all references will be related to the comparable projects described above. Woodinville Civic Campus

24 Financial Capacity Please include the following information as a one to two-page addendum to the main body of the RFQ response. This addendum should be a separate document in both the hard copy/paper and digital (pdf) submittals. Please mark this information as confidential if necessary. This section should include a summary of the following: Approach to funding the debt, equity, and other components of two to three past projects, and how that would apply to this project; Approach to funding the early phases of this project, particularly preparation of an RFP response (fall 2017), and due diligence and negotiation (anticipated during Q1 and Q2 2018); Preferred relationships with lenders; and, Equity partners that are a part of the development team or committed to this project. RFQ Schedule RFQ Released 8/16/2017 Wednesday Developer Site Tour/Open House 1 9/7/2017 2pm Thursday Developer Site Tour/Open House 2 9/12/ am Tuesday Final day to contact City and/or ask questions 9/13/2017 2pm Wednesday Statement of Qualifications Due 9/20/2017 4pm Wednesday Contact Communications or inquiries regarding the Civic Campus and this RFQ should be directed to: Brandon Buchanan, City Manager, , brandonb@ci.woodinville.wa.us, or Brian Vanneman, Leland Consulting Group, , bvanneman@lelandconsulting.com Format and Delivery Statements of Qualifications (SOQs) may be submitted digitally as pdf files, or in print. If the SOQ is submitted in print, please include five (5) printed copies in a single envelope. Submittals should be formatted on letter size paper (8 1/2 x 11 inch). Proposers are encouraged to print/copy on both sides of a single sheet of paper wherever applicable. A sheet with print on both sides is considered two pages. Where possible, respondents are encouraged to use materials that are environmentally responsible, contain post-consumer recycled content, and are readily recyclable. Woodinville Civic Campus

25 Submittal responses should be limited to 40 pages (20 double-sided sheets), including the financial addendum. A cover page and table of contents, if included, will not be counted towards this total. Statements of Qualifications may be submitted in these formats: Preferred: Pdf files by , to BrandonB@ci.woodinville.wa.us. Paper copies by mail, express delivery, or in person to: Brandon Buchanan, City Manager Re: Request for Qualifications from Mixed-Use Real Estate Development Teams Woodinville City Hall rd Avenue NE Woodinville, WA Selection Criteria The City of Woodinville will select a short list of development teams based on the following criteria: Project vision, including compatibility with City goals, and innovative perspectives Experience of team and key staff Experience completing comparable projects References Financial capacity Anticipated Development Process / Conceptual Deal Structures The City anticipates that its approach to the Civic Campus project will continue to take shape through 2017 and 2018, as this developer solicitation process advances, as one or more preferred developers are selected, and as developers bring their vision, insight, and expertise to the project. One of the City s goals is to make this project feasible for developers, while adhering to all state laws pertaining to gifts of public funds. To date, the City has considered making the following investments, and providing the following development incentives, with regards to the project: Serving as a convener in order to establish a vision and set of goals that are shared by the City Council, residents, other community stakeholders, and the selected developer(s); Investing staff time and effort in project planning, due diligence, rezoning, and other efforts; Conducting third-party due diligence efforts with regards to surveying, geotechnical, site design, and environmental analysis, for example; Assisting with access to third-party funding sources such as county, state, and federal historic/adaptive reuse financial incentives. The most significant financial incentives currently known to the City are the Federal Rehabilitation Tax Credit and Special Valuation for Historic Properties, which are summarized on page 30; Woodinville Civic Campus

26 Holding the site until its transfer to private parties (the City currently assumes that some or all of the property will be conveyed to private parties in fee-simple ownership; however, land leases and other structures will be considered); Conducting some site preparation activities and making some infrastructure investments, particularly in public plazas/open spaces and public infrastructure such as streets and sidewalks; Transferring the Civic Campus properties at a value that reflects market values for comparable mixed-use projects, and the public benefits provided by the developer(s). Currently, the City s view is that these public benefits (i.e., improvements that go beyond what would be provided in a private-sector-only development project) are likely to include construction of a recreation center facility, parking associated with the recreation center, and potentially other amenities. The cost of providing these public benefits may be counted as an offset against the land transfer value; Evaluating and potentially implementing a Multifamily Property Tax Exemption (MFTE) Program that would apply to multifamily/mixed use components of the project that include rent-restricted affordable housing; and, Other actions to be determined. Woodinville Civic Campus

27 Appendices and Additional Information Subject Site Areas The 145,038 square-foot total site area shown below is only possible if a small part of the City Hall tax lot (shown in orange) is added to the Civic Campus parcel. Downtown Streetscape Master Plan Woodinville Civic Campus

28 Option 2 Additional Information Woodinville Civic Campus

29 Additional Background Documents Completed Studies The following documents can be accessed at and provide additional context regarding the Civic Campus site and Downtown Woodinville: Downtown Vision & Illustrative Guide, (Draft) 2017 Woodinville School Historic Register Letter, Civic Campus Presentation, Leland Consulting Group, Civic Campus Presentation, Leland Consulting Group, Water and Sewer reference maps, Woodinville Water District, Carol Edwards Center (CEC) Parking Structure Conceptual Design, Otak, Schoolhouse and Civic Campus Feasibility Study, BLRB Schoolhouse Feasibility Study, Council Report, SHKS Architects Additional Studies Underway In addition, several studies that will provide additional information about the site are now underway and are anticipated to be completed in Fall The City anticipates providing these studies to a short list of selected development teams: ALTA Survey Geotechnical and hydrological analysis to provide additional information about soils and water table Phase 1 Environmental Site Assessment (ESA), which will supplement environmental analysis already completed for the site Woodinville Civic Campus

30 General Conditions This RFQ is being made available to parties who may be interested in the Property. The site is offered in an as-is condition with all faults, without representations or warranties of any kind or nature. The City does not represent or warrant the accuracy or completeness of the information contained in this RFQ. Nothing contained in this RFQ should be construed as a representation by any person as to the future possibilities or performance of the Property. Potential lessees should conduct their own due diligence. Any commission paid to a broker representing an interested party will be paid by the interested party. No finder s fees, commissions, expenses, or other compensation will be paid by the City to agents, consultants, advisors, or other intermediaries or any interested party. The City expressly reserves the right, at its sole discretion, to reject any or all qualifications submittals, and/or to terminate discussions with any entity at any time with or without notice which may arise as a result of review of this RFQ. The City shall have no legal commitment or obligation to any entity reviewing this RFQ, or making an offer to lease or purchase the Site unless and until written agreement(s) for the lease or purchase of the site have been fully executed, delivered, and approved by the City and any conditions to the City s obligations therein have been satisfied or waived. Additional Potential Funding Sources Federal Rehabilitation Tax Credit A 20% federal income tax credit is granted for the rehabilitation costs of any certified historic structure for commercial use. Generally, only costs that are directly related to the upkeep or improvement of structural and/or architectural features qualify for the calculations for the 20% tax credit. All rehabilitation work must meet the Secretary of the Interior s Standards for Rehabilitation, as determined by the National Park Service. Special Valuation for Historic Properties For a 10-year special valuation period, costs of rehabilitation are deducted from the assessed value of the property and property taxes will not reflect significant renovations made to the property. The Landmarks Board must approve all expenses and the rehabilitation must be equal in cost to at least 25% of the present assessed value of the property. Woodinville Civic Campus

31 Current Use Taxation This program allows a designated landmark owner to receive a property tax adjustment that reflects a property s current use as opposed to the highest and best use of the land. Landmark owners can receive a 50% or more reduction in taxable value for the property in current use. Other 4Culture 4Culture offers a range of grants and funding opportunities to support and preserve King County s shared heritage. In particular, the 4Culture s Landmarks Capital program provides funding for bricks and mortar projects that preserve designated landmarks. Funding can be used for design, materials, and labor for rehabilitation projects, and can range from $3,000 - $30,000. Heritage Capital Projects Fund Nonprofit organizations, local government agencies, tribal governments and public development authorities can apply for funding to support heritage capital projects. Funding will reimburse 33% of eligible costs, and the grantees must provide at least a 67% match. The property must be held a minimum of 13 years beyond project completion and must provide significant public benefit in the form of heritage interpretation and preservation. The minimum project cost must exceed $25,000 and the grant will not exceed $1,000,000. National Trust Preservation Funds The National Trust Preservation Funds offer grants to public agencies and nonprofit organizations in support of preservation projects. Applicants must be capable of matching the grant amount dollar for dollar, and may be used towards planning activities or education eff orts focused on preservation. Grants range from $2,500 to $5, Woodinville Civic Campus

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