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Star Brewery Bldg, Req f QualifMEMORANDUM June 10, 2002 TO: FROM: SUBJECT: The Honorable Mayor and City Council Members Michael C. Van Milligen, City Manager Request for Qualifications - Former Dubuque Star Brewery Building Economic Development Director Bill Baum is recommending issuance of a Request for Qualifications to solicit qualified developers, or development teams, for the redevelopment of the former Dubuque Star Brewery Building in the Port of Dubuque. Now that the City has clear title to the former brewery property, it is possible to begin negotiations with the developer to lease and redevelop the former brewery building. With construction work currently underway along the Riverwalk and the amphitheatre in front of the brewery building, and with the surrounding street and utility work being carried out for the America's River project, the timing is right to begin marketing the building for redevelopment. The RFQ will solicit interested developers and allow the City to identify those that have the expertise, knowledge, and capacity to undertake a significant historic redevelopment project. From those who respond to the RFQ, a short list of developers or development teams will be asked to submit their proposals for redevelopment. At that time, the developer will propose a planned reuse for the property and identify the lease terms and financial assistance necessary to undertake the project. I concur with the recommendation and respectfully request Mayor and City Council approval. Michael C. Van Milligen MCVM/~h Attachment cc: Barry Lindahl, Corporation Counsel Cindy Steinhauser, Assistant City Manager Bill Baum, Economic Development Director © CITY OF DUBUQUE, IOWA MEMORANDUM June 6, 2002 TO: FROM: SUBJECT: Michael Van Milligen, City Manager Introduction The purpose of this memorandum is to request City Council authorization to issue a Request for Qualifications (RFQ) to solicit qualified developers or development teams for the redevelopment of the former Dubuque Star Brewery Building in the Port of Dubuque. The proposed RFQ is attached to this memorandum. Background Now that the City has clear title to the former Brewery property, it is possible to begin negotiations with a developer to lease and redevelop the former brewery building. With construction work currently underway along the Riverwalk and the amphitheatre in front of the brewery building, and with the surrounding street and utility work being carried out for the America's River projects, the timing is right to begin marketing the building for redevelopment. The City is also responsible for meeting the Design Standards recently adopted for the Ice Harbor Urban Renewal District as relates to this property. If the property is not under redevelopment, the City will be responsible for maintenance issues, including window repair, painting and general aesthetics, that must be addressed by September 2003, to meet the adopted standards. Several existing conditions will also need to be addressed in the very near future to stabilize the building if a comprehensive redevelopment strategy and developer are not forthcoming. Based on timing of redevelopment, the City may need to expend budgeted CDBG funds to complete necessary roof repair and exterior wall tuckpointing prior to retaining a developer for the building. Discussion The RFQ provides for a two-step selection process to identify the best-qualified developers or development teams to work with the City in the rehabilitation and reuse of this significant riverfront building. The structure is located in a key opportunity site next to the new Education and Conference Center and should be another anchor property for the Port of Dubuque. It is incumbent that the City work carefully and deliberately to find the right developer and the right reuse for this important building. The RFQ will solicit interested developers and will allow the City to identify those that have the expertise, knowledge and capacity to undertake a significant historic redevelopment project. From those who respond to the RFQ, a short list of developers or development teams will be asked to submit their proposals for redevelopment. At that time, the developer will propose a planned reuse for the property and identify the lease terms and financial assistance necessary to undertake the project. A Selection Committee comprised of the following persons will review the RFQ's and make their recommendation to the City Manager: Jerry Enzler, National Mississippi River Museum and Aquarium Sue Czeshinski, Convention and Visitors Bureau Rick Dickinson, Greater Dubuque Development Cindy Steinhauser, Assistant City Manager Pauline Joyce, Administrative Services Manager Laura Carstens, Planning Services Manager Bill Baum, Economic Development Director Pam Myhre, Economic Development Planner Recommendation I recommend moving forward with the Request for Qualifications process for the Brewery Building at this time. With the current activity taking place in the Port of Dubuque, including the Riverwalk and amphitheatre work directly in front of the building, it is a prime time to market the building to potential developers. The process should begin as soon as possible to allow ample time for redevelopment construction to be underway next building season. Action Step The action step for the City Council is to authorize the issuance of a Request for Qualifications for the development of the former Dubuque Star Brewery Building and direct the City Manager to proceed with the recommendation of a short list of qualified developers who will subsequently be invited to respond to a Request for Proposals. attachment F :\US ERS~Pmyhre\WPDOCS\URkIce Harb orkrfqbr ewery.mvm.r t f JUNE 18, 2002 Request For Qualifications: Former Dubuque Star Brewery Building DEAR PROSPECTIVE DEVELOPER: INTRODUCTION The City of Dubuque, Iowa (the City) has authorized the issuance of a Request for Qualifications (RFQ) to initiate the redevelopment of the former Dubuque Star Brewery Building, a historic property owned by the City located along the Mississippi River in the Port of Dubuque. The City is seeking a qualified developer or development team to long term lease and redevelop the Brewery Building as a mixed-use project and amenity for the community. The building, built in 1898 in a Romanesque industrial style, was an active brewery until it closed in 1998. The statuesque brick building, minus the steel warehouse addition on the south wall, is 41,959 square feet. First floor square footage is 24,228 square feet, second floor is 8,074, the second floor mezzanine is 560, third floor is 5,200, fourth floor is 3,408 and fifth floor is 489. Additional property west of the building is available for further development and/or parking. The building is not currently listed on the National Register of Historic Places but is assumed eligible. This letter, together with its attachments, comprises the RFQ. The objective of this RFQ is to ask prospective developers and development teams to submit sufficient information regarding their development expertise and general intentions as regards the Brewery Building to enable the City to select a short list of finalists who will be invited to respond to a Request For Proposals (RFP). Representatives from your firm are invited to attend a presubmission meeting to discuss this development opportunity on June 27, 2002 at 1:30 p.m. The meeting will be held in the Carnegie-Stout Public Library, 3rd Floor Auditorium, 11th and Bluff, Dubuque. A tour of the property will follow the meeting at approximately 2:30 p.m. for those interested. PROPOSED SCHEDULE The time frame for solicitation, receipt and evaluation of developer qualifications, and selection of a developer or development team is as follows: DATE EVENT June 18, 2002 June 27,2002 July 31,2002 Augustl9,2002 Issue Request for Qualifications Presubmission Meeting and Tour Responses Due City Council Decision on Short List It is anticipated that finalists will be asked to respond to an RFP by November 1, 2002, with selection of a developer and approval of a Development Agreement by January 31, 2003. QUALIFICATION REQUIREMENTS The developer or development team selected through the RFP process to participate with the City on this project will work with City Council members and staff to develop a successful project. The developer or development team selected should demonstrate the experience and resources needed to design and develop a successful mixed-use project that will support or be compatible with the commercial/entertainment activities currently planned for the Port of Dubuque. Prior experience with mixed-use development will be considered in evaluating the developer's or the development team's qualifications. Previous direct involvement in similar projects, current financial capacity or access to funding sources, and the ability to complete the project in a timely fashion will also be factors in considering the most qualified candidates. A thorough, professional and complete response to the RFQ will help the City identify the most qualified developers or development teams and will be indicative of the level of commitment to the project. SUBMITTAL REQUIREMENTS The following information must be submitted: Developeddevelopment team description including identification of all team members, their roles, responsibilities and authorities. Provide brief resumes of all key persons who will be directly involved with this project. 2. Legal name of development entity, business form (corporation, partnership, not- for-profit, etc.) and date established. A listing of relevant projects completed by the developer or development team within the last five years (including photographs). Include type of project, project address, size and intensity, major tenants, current occupancy and ownership, completed value, lenders involved (with contact references) and construction/completion dates; 4. Information identifying the role and experience of the developer or development team in the listed projects; Each developer or development team member must include at least three professional references (lenders, investors, major accounts, etc.) with full names, relationship to the team member, address and phone number; 6. Brief narrative description of general concept plan (if you have one at this time) for the Brewery Building's reuse. No specific redevelopment proposal is required at this time; Financial information (1 copy submitted in separate sealed envelope to be kept confidential) for developer or development team must include CPA prepared financial statements and federal income tax forms for your corporation or partnership and personal financial statements for ail principals with 20% or greater majority ownership; and 8. List any pending litigation, bankruptcy or other disputes in which developer or development team members are involved, including status and potential impact on ability to execute this project. DEVELOPER'S PACKET Interested developers or development teams are encouraged to explore this unique opportunity by requesting a Developer's Packet, which includes the following documents in a CD-ROM format: Building Assessment and Floor Plans Environmental Assessments Master Plan and Design Standards for the Port of Dubuque Economic Analysis for the Port of Dubuque Port of Dubuque Property Ownership Map America's River Brochure The Developer's Packet may be requested by calling the Economic Development Department at 563~589-4393 or by email at econdev~,cityofdubuque.or,q. The packet will also be available at the presubmission meeting. SELECTION CRITERIA The City intends to select a short list of developers or development teams based on the following criteria: demonstration of expertise, professional qualifications, quality of information submitted, evaluation of developer's past projects and peEormance and other pertinent factors. The following is a guide to the criteria that the City will be using in evaluating the statements of qualifications: Developer Expertise Experience in developing, marketing, and selling and/or managing mixed-use developments, including information on occupancy level, tenant quality and maintenance standards; ~ Demonstrated ability to develop projects which are an asset and a "correct fit" with the neighborhood; ~ Qualifications of the developer or development team and the key individuals proposed for involvement in the development; and ~ Experience in project construction management and compliance with budgets and schedules. 2. Financial Resources Ability to provide funding resources, including current relationships with major lenders, past funding experience, and the knowledge of other funding sources or mechanisms for the project. 3. Project Architecture/Planning/Design Experience Demonstration of architectural and urban design experience on other projects; Experience with historic properties; and Experience with waterfront properties. SELECTION PROCESS A Selection Committee will review all responses to the RFQ. The Committee reserves the right to request additional information from applicants prior to making a recommendation; however, special care must be taken to prepare and submit the best response as the City may not permit additional information to be submitted after the submittal deadline. The Committee's recommendation will be forwarded to the Mayor and City Council to select a short list of developers who will then be invited to respond to an RFP. Final selection of a developer or development team and authorization to enter into a Development Agreement will be made by the Mayor and City Council. The City reserves the right to reject all submittals. CLOSING DATE Seven (7) copies (plus one original unbound, reproducible copy) of the response (only 1 copy of the financial material is needed in a sealed envelope) to the RFQ must be received by the City no later than 5:00 p.m. on July 31, 2002. All RFQ's shall be delivered to the City of Dubuque, City Hall, 50 W. 13th Street, Dubuque, Iowa 52001, Attention: Bill Baum, Economic Development Department. POINT OF CONTACT Bill Baum, Economic Development Director, will be the sole point of contact for this solicitation. Questions regarding the RFQ should be asked during the presubmission meeting or submitted in writing to the address above or by email at wbaumC, cityofdubuque.or.q. The City will not be responsible for the accuracy of information received from any other sources regarding this RFQ. CONCLUSION The $153 million Phase I development of the America's River Project at the Port of Dubuque is well underway with the Grand Harbor Resort and Waterpark opening by November 2002 and the National Mississippi River Museum and Aquarium and the new Mississippi River National Education and Conference Center scheduled to open in 2003. The Riverwalk--from the Brewery Building and its outdoor amphitheatre to the west end of the Ice Harbor--will be completed this year. The City is actively working to pumhase other properties in the Port of Dubuque, especially those immediately west of the Brewery, to encourage further redevelopment activities and renewal of the entire Port area. To view additional information on the America's River project or the city of Dubuque, visit these websites: www.americasriver, or,q www.cityofd ubuque.or,q www.,q reaterd ubuq ue.or,q www. dubuquechamber, com The Brewery Building is a significant local landmark that offers a unique opportunity for riverfront redevelopment. We hope that you will seriously consider responding to this RFQ, and we look forward to working in partnership with a developer or development team with a vision of the possibilities afforded by this historic building at the Port of Dubuque. Sincerely, Michael Van Milligen City Manager F:\US ERS\Pmyh re\WPDOCS\RFQbrewery.doc