Title
Authorization to Issue Request for Proposals for Sale and Development of Two City-Owned Properties at 36 W. Holly St. and 42 W. Holly St.
Description
Request authorization for the City Manager, or his designee, to issue a Request for Proposals (RFP) to select a development team and begin negotiations for the sale and urban infill development of two City-owned properties located at 36 W. Holly St. and 42 W. Holly St.
Report
Summary
The City owns two vacant parcels in Midtown’s Central Corridor, comprising approximately 24,000 square feet, or 0.56 acres, at 36 W. Holly St. and 42 W. Holly St. (the Site). The Site was purchased by the Human Services Department in 2006 as part of the purchase of the Central Avenue office building home to the Family Advocacy Center and Childhelp for future development of parking.
The need for additional parking has not materialized and staff is recommending disposal of the property. An RFP process is necessary to facilitate compatible infill development and sale of the Site. The parcels are zoned P-2, which will only allow for a parking garage. If the successful proposer's intended use requires a change in zoning, the successful proposer will be responsible for complying with the City's rezoning application process.
The proposed solicitation will be for the sale and development of the Site. Staff has commissioned an appraisal of the Site, which will be posted with the RFP. The RFP will include a minimum purchase price and require each proposer to provide a proposal guarantee with its proposal.
The RFP will include standard terms, conditions and other necessary requirements, and will include the following evaluation criteria:
- Concept to Activate the Site (0-375 points).
- Return to the City (0-325 points).
- Proposer's Qualifications and Experience (0-300 points).
The return to the City will be based on fair market value and other payments and consideration that provide public benefit.
The RFP will be issued after City Council approval and will remain open for at least 60 days. Responsive proposals will be evaluated by a diverse panel, including City staff and community representatives. Following negotiations with the recommended proposer, business terms will be presented to City Council for approval prior to entering into an agreement.
Financial Impact
This action will have no impact on the General Fund.
Concurrence/Previous Council Action
This item was provided to the Sustainability, Housing, Efficiency and Neighborhoods Subcommittee for information Jan. 16, 2018, and approval was recommended by the Downtown, Aviation, Economy and Innovation Subcommittee on Jan. 17, 2018, by a vote of 4-0.
Public Outreach
Staff presented to the Midtown Neighborhood Association on Dec. 6, 2017, and the Willo Neighborhood Association on Dec. 14, 2017. Residents expressed interest in a development that blends well with the historic neighborhood to the west and serves as a transition to the intense uses along Central Avenue. Building height, traffic and density were concerns.
Location
The City-owned parcels are located at 36 and 42 W. Holly St., located in Midtown Phoenix, near the Willo Neighborhood.
Council District: 4
Department
Responsible Department
This item is submitted by Deputy City Manager Deanna Jonovich and the Community and Economic Development and Human Services departments.