Title
27th Avenue and Glendale Disposition and Development - RFP FY24-086-18 - Request for Award (Ordinance S-51544) - District 5
Description
Request to authorize the City Manager, or his designee, to award and enter into a disposition and development agreement, and other agreements as necessary, with Habitat for Humanity Central Arizona (Habitat), for the disposition and development of two vacant City-owned parcels generally located at 27th Avenue and Glendale Avenue to accommodate affordable homeownership opportunities, and to take all actions and execute all documents to effectuate all agreements required to complete the project. Further request to authorize the City Treasurer to accept and the City Controller to disburse all funds related to this item. There is no impact to the General Fund.
Report
Summary
On June 16, 2020, the Phoenix City Council approved nine policy initiatives in the Housing Phoenix Plan with the goal of creating or preserving 50,000 units by 2030. As part of the third initiative to redevelop City-owned land with mixed income housing, the Housing Department identified City-owned parcels that would be ideal for affordable or mixed-income development.
On August 31, 2022, the Housing Department received City Council approval to update the list of City-owned land and to set aside the identified parcels for the development of affordable housing.
The proposed project will construct eight affordable owner-occupied town homes. Each two-story home will feature a three-bedroom floor plan with a patio that can be converted into a fourth bedroom, depending on family needs, with two bathrooms. The style and design of the homes will complement those existing within the neighborhood.
The houses will be sold to qualified households with income levels not to exceed 80 percent of the Area Median Income, as defined by the U.S. Department of Housing and Urban Development. The households will be required to complete 400 hours of sweat equity toward the construction of their homes. Affordability requirements will be secured through a Declaration of Affirmative Land Use Restrictive Covenants.
The property will need to go through the rezoning and plan review processes with the Planning and Development Department. Estimated construction start date is December 2026. All final business terms and benchmarks will be negotiated prior to entering into an agreement.
Procurement Information
A Request for Proposal (RFP) procurement was processed in accordance with City of Phoenix Administrative Regulation 3.10.
Two vendors submitted proposals deemed responsive and responsible. An evaluation committee of City staff evaluated those offers based on the following criteria with a maximum possible point total of 1,000:
- Concept to Develop Site (0-400 points)
- Return to the City (0-300 points)
- Qualifications and Experience (0-300 points)
The final scores for the proposals received are as follows:
- Habitat for Humanity Central Arizona (754 points)
- Rehoboth Community Development (462 points)
After reaching consensus, the evaluation committee recommends award to the following vendor: Habitat for Humanity Central Arizona.
Financial Impact
There is no impact to the General Fund.
Concurrence/Previous Council Action
- On June 16, 2020, the Housing Phoenix Plan, and its nine policy initiatives, was adopted, including the third initiative to redevelop City-owned land with mixed income housing.
- On August 31, 2022, City Council approved an update to the list of City-owned land which includes this site.
Public Outreach
Staff held meetings with community members and adjacent property owners to discuss the potential redevelopment of the site and the intent of issuing an RFP. On March 25, 2024, a virtual meeting was held with the Violence Impact Project Coalition to discuss the potential redevelopment. Staff additionally had a table at Homestead Park Easter Jubilee on March 30, 2024, to share information with the community.
Location
7015 N. 26th Drive and 2622 W. Glendale Avenue
Council District: 5
Department
Responsible Department
This item is submitted by Deputy City Manager Gina Montes and the Housing Department.