Redevelopment Land Agency
Request for Proposals for Parcels 15, 24, 26, 27, 29, and 38 in the 14th Street Urban Renewal Area

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DISTRICT OF COLUMBIA REDEVELOPMENT LAND AGENCY

PROPOSED COMPETITIVE PUBLIC OFFERING FOR PARCELS 15, 24, 26, 27, 29, AND 38 IN THE 14TH STREET URBAN RENEWAL AREA, SUBMITTED IN ACCORDANCE WITH D.C. LAW 4-140

I. PARCEL INFORMATION

Parcel 15
Location: East side of 14th Street between Irving Street and Kenyon Place, N.W. (Squares 2848 and 2843)
Area: 1.34 Acres
Zoning: C-3-A
Status: Vacant land

Parcel 24
Location: West side of 14th Street between Monroe and Newton Streets, N.W. (Square 2677)
Area: 0.34 Acres
Zoning: C-2-A
Status: Vacant land

Parcel 26
Location: Southwest corner of 14th and Irving Streets, N.W. (Square 2672)
Area: 2.69 Acres
Zoning: R-5-B, C-3-A
Status: Vacant land

Parcel 27
Location: West side of 14th Street between Park Road and Irving Street, N.W. (Square 2674)
Area: 4.89 Acres (approximately 80,000 square feet is unacquired)
Zoning: C-3-A
Status: Vacant land, vacant buildings, several buildings occupied with month-to-month tenants

Parcel 29
Location: Entire block bounded by 14th Street, Park Road, Holmead Place and Monroe Street, N.W. (Square 2837)
Area: 2.79 Acres
Zoning: R-4, C-3-A
Status: Vacant land and one building (Tivoli Theater)

Parcel 38
Location: East side of 14th Street between Kenyon Place and Park Road, N.W. (Square 2843)
Area: 0.17 Acres
Zoning: C-3-A
Status: Vacant land

II. DESCRIPTION OF THE PROPOSED DEVELOPMENT PROGRAM

To provide as intensive a development as permitted by the plan and zoning controls and integrate the development with the Columbia Heights Metro Station and the adjoining community.

III. PROJECT BENEFITS

The proposed public offering includes as one of the criteria for developer selection the extent to which economic benefits are made available to local, small or disadvantaged business enterprises and District residents. Economic benefits include both construction and permanent jobs, tax revenues expected to be generated by the proposed development and the opportunity for local, small or disadvantaged business participation in the development. Prospective developers will need to show whether any broad-based community organizations will participate in the proposed development.

IV. D.C. REDEVELOPMENT LAND AGENCY BOARD ACTIONS — TYPE OF DISPOSITION

On May 21, 1998, the RLA Board of Directors authorized the competitive public offering of Parcels 15, 24, 26, 27, 29, and 38 in the 14th Street Urban Renewal Area and authorized its submission to the Council of the District of Columbia.

V. COMMUNITY PARTICIPATION

The Advisory Neighborhood Commission 1A was informed about the RLA Board of Directors’ action.

VI. REQUIRED PUBLIC ACTION NEEDED TO CARRY OUT THE PROJECT

The public actions required to carry out this project to a conclusion are as follows: (a) After Council review of the offering document, advertisement of the Request for Proposals, selection of a developer, and execution of an Exclusive Right Agreement (ERA); and (b) upon completion of the work under the ERA, the holding of a public hearing and the execution of a Land Disposition Agreement (LDA).

Enclosures:
1. RLA Board Resolution, DC-RLA-98-222, dated May 21, 1998.

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MEMORANDUM

May 21 1998

TO: Board of Directors
FROM: Secretary to the Board
SUBJECT: Request for Proposals for the 14th Street Major Community Service Center

The attached Request for Proposals (RFP) for the 14th Street Major Community Service Center (MCSC) is being submitted for your review and approval. With your approval, the RFP will be submitted to the Council of the District of Columbia for a thirty (30) day comment period in accordance with Public Law 4-140. Subsequent to this comment period; the RFP will be advertised in local and national publications.

The 14th Street Major Community Service Center is comprised of Parcels 15, 24, 26, 27, 29 and 38, which line 14th Street between Columbia Road and Newton Street, N.W. These sites have a combined area of approximately twelve (12) acres and are all within three blocks of the soon to open Columbia Heights Metro Station.

Development rights to all of these sites were previously held by other entities; the Development Corporation of Columbia Heights had development rights to Parcel 38, Parcel 15 was to be a replacement site for a new post office to be developed by the United States Postal Service, and Park Central Associates Corporation had an Exclusive Right Agreement (ERA) for Parcels 24, 26, 27 and 29.

When the Board terminated the ERA with Park Central in November 1996, it requested that the staff reevaluate development goals for these sites prior to issuing a public offering. In November 1997, the Department of Housing and Community Development, in cooperation with the Development Corporation of Columbia Heights and the Washington Architectural Foundation, held a two-day workshop to develop a community plan for the future of these parcels. On May 1, 1998, the Washington Architectural Foundation submitted the Columbia Heights Community Based Plan that was created as an outgrowth of the initial two-day workshop.

The Request for Proposals that is before you today reflects and incorporates the community’s development goals for this important area of our city.

A Resolution is attached for your consideration.

Attachment

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DISTRICT OF COLUMBIA REDEVELOPMENT LAND AGENCY

Resolution No. DC-RLA-98-222

Authorizing the Offering for Development of Parcels 15, 24, 26, 27, 29 and 38 in the Fourteenth Street Urban Renewal Area and the Submission of the Offering Document to the Council of the District of Columbia for Review

WHEREAS, Parcels 15, 24, 26, 27, 29, and 38 in the Fourteenth Street Urban Renewal Area are available for development; and

WHEREAS, their development would provide much needed retail and commercial services to an area of the City that is underserved and will complement the opening of the Columbia Heights Metro Station.

NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE DISTRICT OF COLUMBIA REDEVELOPMENT LAND AGENCY THAT:

1. The staff is authorized to submit the offering document to the Council of the District of Columbia for review pursuant to Public Law 4-140.
2. The staff is authorized to publish in the news media a request for proposals for development of Parcels 15, 24 26, 27, 29 and 38, in the Fourteenth Street Urban Renewal Area.

May 21, 1998

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PROSPECTUS

JUN 25 1998

PARCELS 15, 24, 26, 27, 29 AND 38
FOURTEENTH STREET URBAN RENEWAL AREA

I. REQUEST FOR PROPOSALS

The District of Columbia Department of Housing and Community Development (Department), on behalf of the District of Columbia Redevelopment Land Agency (Agency), requests proposals on or before [145 days after issuance] for the granting of an exclusive right to submit a proposal for the development of any or all of six parcels of land in the 14th Street Urban Renewal Area.

Four of these parcels — 15, 26, 27, and 29 — are designated as the Major Community Service Center by the 14th Street Urban Renewal Plan. Permitted uses under this designation include apartment houses, retail and personal service establishments, restaurants, commercial service establishments, general offices, department stores and shopping centers, theaters and commercial entertainment establishments, and community and public uses.

The remaining parcels — 24 and 38 — are designated as Special Community Street. Permitted uses under this designation include apartment houses, service establishments such as retail and personal services for the day-to-day needs of the residents, including food stores, drug stores, barber and beauty shops, as well as community uses and offices and headquarters for non-profit organizations.

These sites are located adjacent to and in the vicinity of the soon to open Columbia Heights Station of the area-wide Metro System.

II. PARCEL AND NEIGHBORHOOD INFORMATION

The size and location of each parcel is as follows:

Parcel 15
Location: East side of 14th Street between Irving Street and Kenyon Place, N.W. (Squares 2848 and 2843)
Area: 1.34 Acres

Parcel 24
Location: West side of 14th Street between Monroe and Newton Streets, N.W. (Square 2677)
Area: 0.34 Acres

Parcel 26
Location: Southwest corner of 14th and Irving Streets, N.W. (Square 2672)
Area: 2.69 Acres

Parcel 27
Location: West side of 14th Street between Park Road and Irving Street, N.W. (Square 2674)
Area : 4.89 Acres

Parcel 29
Location: Entire block bounded by 14th Street, Park Road, Holmead Place and Monroe Street, N.W. (Square 2837)
Area: 2.79 Acres

Parcel 38
Location: East side of 14th Street between Kenyon Place and Park Road, N.W. (Square 2843)
Area: 0.17 Acres

The 14th Street Urban Renewal Plan has designated these parcels for development of major commercial and neighborhood facilities. Such development is intended to furnish employment opportunities, high density housing, retail and related consumer facilities, entertainment establishments, and public and private offices which will serve as a major focus for this portion of the City. The community and area-wide focus of these sites is reinforced by the construction of the Columbia Heights Metro Station at 14th and Irving Streets that is scheduled to in open December 1999.

The Columbia Heights neighborhood in which these parcels are located is the central core of the 14th Street Urban Renewal Area, which extends along 14th Street, N.W., between Florida Avenue and Spring Road. Public commitment to the revitalization of this area has been and will be made in the form of community facilities, schools, libraries, health centers, parks and playgrounds, street paving, lighting, tree planting and police and fire stations, which will serve the neighborhood.

III. SELECTION CRITERIA

The Department has established the following criteria for evaluating development proposals:

A. Experience of Development Team

The past performance of each member of the development team will be evaluated on projects of a similar nature, size, and complexity. Evidence of the timely completion of comparable projects will be considered.

B. Financial Ability

The ability of the developer to adequately finance a project of the size and complexity proposed will be evaluated. Evidence of prior financial commitments from responsible financial institutions for projects of comparable size will be considered.

C. Development Program

The Department will evaluate each proposed development program to determine its responsiveness to the goals and objectives of the Urban Renewal Plan. Additional weight will be given to proposals which:

• provide a variety of uses, such as retail, service, entertainment, and offices;
• provide as intensive a development as permitted by the plan controls and integrates the development with the Metro construction;
• demonstrate an ability to meet the needs and desires of the community as reflected in the “Columbia Heights Metro Station Area Community-Based Plan,” which is part of the Developers Kit;
• provide for the scheduling and timing of the development in a manner which will assure the earliest possible development of the sites.

D. Design Concept

The Department considers the design of this development to be of great importance to the future of the 14th Street Urban Renewal Area and the City of Washington. To help achieve this objective, the Department has established an Advisory Architectural Review Panel composed of seven leading architects of local reputation for excellence. This panel will review and evaluate all architectural plans submitted with this proposal and make recommendations to the Department. The Department will also review and evaluate the developer’s previous projects and those of the architects to determine their capacity and ability to design and complete a project of this size and complexity. The Department will give additional weight in selection to proposals that utilize energy saving materials, methods, and equipment.

Proposals for development of these parcels must conform to the land use and physical development controls (building heights, set-back, floor area ratio (FAR), and off street parking and loading, etc.) contained in the 14th Street Urban Renewal Plan and the District of Columbia Zoning Regulations. In instances where a difference exists between the controls of the Urban Renewal Plan and the Zoning requirements, the more restrictive requirement will govern. Please note that the Department and the Agency are interested in maximizing economic development, and, to the extent that development densities in excess of that permitted by the Plan or Zoning Regulations can be demonstrably supported, will work with and assist the selected developer to obtain the necessary modifications/waivers to achieve same.

E. Minority Participation in Development

The Department is interested in a development which provides maximum economic benefit and equal opportunity to minorities. Each proposal will therefore be evaluated to determine its ability to meet this objective. In making such evaluations, the Department will give weight not only to developers with a past record of meaningful minority participation, but also to those who propose meaningful minority participation at all levels in the proposed development. The phrase “meaningful participation” means minority participation in the entire development process, i.e., planning, construction, occupancy, employment, equity and ownership, and management.

In addition. the Department requires minority equity (ownership of not less than 25% of the development entity). No waiver of this requirement will be considered.

F. Equal Opportunity for Local, Small and Disadvantaged Business Enterprises

The Department is interested in providing full and equitable opportunities for local, small and disadvantaged businesses in accordance with the requirements set forth in the Equal Opportunity for Local Small and Disadvantaged Business Enterprises Act of 1992, D.C. Law 9-217. Each offer will be evaluated to determine its ability to meet the requirements of that law. In making such evaluations, the Department will give weight to offerors who propose local, small and disadvantaged business enterprise participation at a level of at least fifty percent (50%) for the total dollar volume of the proposed development, both design and construction contracts and the ongoing procurement of goods and services in the operation of the facility.

G. Special Considerations

Parcel 27
Three lots (720, 832 and 866) have not been acquired. If considered integral to the successful development of this parcel, the selected developer will be responsible for their acquisition. The Agency will assist the selected developer acquire these properties through its powers of eminent domain, if necessary.

Bell Multicultural High School, a District of Columbia Public School, abuts this parcel. The school, which has a student population of approximately 700 students, is in need of facilities for a cafeteria, gymnasium and auditorium. Considerable weight will be given to proposals that address this need.

Parcel 29
The Tivoli Theater, which occupies the southwestern corner this parcel, is a Category II Historic Landmark. Any alteration/demolition must be approved by the Mayor's Agent for Historic Preservation.

IV. DEVELOPER SUBMISSIONS

Developers responding to this offering are required to submit the following materials, original and nineteen copies, on or before the proposal due date to Leopold Clarke, Acting Chief, New Housing and Commercial Development Division, Department of Housing and Community Development, 51 “N” Street, N.E., Washington, D.C. 20002.

A. Proposal letter (form in Developer's Kit) with a Ten Thousand Dollar ($10,000) deposit for each parcel for which a proposal is being submitted. The deposit shall be in the form of:

a. certified check; or
b. certificate of deposit payable to the D.C. Redevelopment Land Agency.

NO WAIVERS OF THIS REQUIREMENT WILL BE PERMITTED NOR WILL LETTERS OF CREDIT BE ACCEPTED.

The Department will refund the deposit to all applicants who are not selected. The selected developer’s deposit will be credited against the deposit required upon execution of the Exclusive Right Agreement.

B. A resume of previous experience for each member of the prospective development team, i.e., developer, architect, legal representative, financial entity, administrative management entity, and other professional advisors. List previously completed similar projects, including name, description and location of the project, and the name and telephone number of a person familiar with the project who can be contacted for references.

C. A completed HUD Form 6004, Part I, Redeveloper’s Statement for Public Disclosure.

D. A statement of the proposed financing plan, including:

1. Development cost budget, i.e., land, construction, architectural and engineering fees, and other fees.
2. Proposed financing, indicating amount and potential sources of debt funds, amount and sources of equity funds including each equity partner, both general and limited. (This information is confidential and is not subject to public disclosure).
3. A completed HUD Form 6004 (Part II), Redeveloper’s Statement of Financial Responsibility.

E. A narrative description of the proposed development, including the magnitude of development in type and location of all proposed uses and the approximate square footage of each proposed use.

In complement to the narrative, a chart showing floor areas, building coverage of the site, building height, Floor Area Ratio, and number of parking spaces, loading berths and platform areas.

F. A narrative description of the market studies undertaken or to be undertaken to support the uses proposed in Paragraph E above, and graphically depicted in Paragraph G below.

G. Drawings adequately depicting the design concept. Such drawings must be submitted in sufficient detail to permit the Department to evaluate the design feasibility of the proposed development program considering the constraints and objectives previously stated in Sections II and III. It is recommended that such drawings include the following:

1. Site Plan(s) (1"=40') showing the location of all lot lines and dimensions, buildings, parking sidewalks, curbs, driveways, loading, treatment of open space, and the location of surrounding buildings, particularly historic landmarks.
2. Schematic Building Plans (1/8"=1') showing floor plans, unit plans for any proposed residential areas, service and loading areas, and typical parking layouts.
3. Elevations and Cross Sections of proposed improvements (1/8"=1').
4. Descriptions of the various materials to be used in the buildings and particularly the exterior surfaces.
5. A rough sketch, model, and/or rendering which will show the relationship of the proposed building masses to surrounding development at the scale of l"=40'.

H. Minority and local participation in the ownership and management of the development:

1. List all minority individuals, firms or organizations who are members of the development team, including their percentage of ownership interest, if applicable and including whether they are Minority Business Opportunity Commission (MBOC) certified and/or District based individuals, firms or organizations. List all firms or organizations who are members of the development team, including their percentage of ownership interest, if applicable. These percentages should coincide with those listed in the Form 6004, Part I.
2. Provide a narrative description of efforts that will be made to provide minority and District residents, businesses, tradesmen, professionals and financial institutions with employment and/or business opportunities during the construction of the development and employment and leasing opportunities when the development is complete, including specific goals and commitments in accordance with Mayor’s Order 83-265 and 85-85.
3. Provide a narrative description of previous efforts and accomplishments involving minorities and local firms and/or businesses in the total development process.
4. Provide a narrative statement detailing how and the extent to which community organizations will share in the profits and/or ownership. The statement should indicate the role such groups will play in planning, construction and operation.
5. Provide a narrative statement detailing how and to what extent community based non-profit organizations, which have past experiences in participating in Urban Renewal, Model Cities, and/or community development programs, will be involved in the total development process.
6. Provide a completed MBOC Questionnaire.
7. Execute a Memorandum of Understanding with the MBOC to indicate adherence to the equal opportunity for local, small or disadvantaged businesses and provide a list of the minority businesses, professionals and financial institutions that are projected to participate in the planning, construction and post- construction phases of the development with projected expenditures. MBOC- certified firms should be identified.

I. Provide executed organizational documents (corporate charter, partnership agreement, etc.) or, in the alternative, a Memorandum of Understanding signed by all parties.

J. Provide a narrative statement of community outreach efforts to be undertaken which should set forth, among other things, the community organization(s) with which the proposed development will be discussed, a schedule for such discussions and type of information to be provided the community. This community outreach statement shall encompass the period from developer selection until the issuance of the certificate of completion for the project.

V. SELECTION PROCESS

The Department has established the following process to select a developer(s) for the Major Community Service Center. By 2:00 p.m. on [145 days after issuance] developers must submit their proposals in the form described in Section IV with the required $10,000 deposit. No proposal will be accepted after the above indicated submission date and time unless the date and/or time for submission of proposals is extended in writing. The Agency's Board of Directors and the Department may request clarification of the materials submitted.

All proposals received shall be reviewed by:

• the staff of the Department; and
• the Agency’s Board of Directors

In addition, the Development Program and Design Concept will be presented to the Agency’s Architectural Review Panel for evaluation.

As soon as practicable after receipt of the submission, the Agency will schedule interviews with each of the prospective developers that have met the Developer Submission Requirements under Item IV, above.

The interviews will be conducted by a panel consisting of: members of the Board, one of whom shall act as Chairperson, and such members of the staff and community organizations as the Director of the Department may select. Each member of the interview panel shall have the right to ask questions and to request the interviewee to supply such additional information or clarification s required to complete the review of the submission.

Within 60 days of completion of the interviews, the Redevelopment Land Agency's Board of Directors will then designate the developer(s) with whom an Exclusive Right Agreement (ERA) will be negotiated. The Board may, at its discretion, reject any or all proposals and re-offer any or all of the parcels.

Upon execution of the ERA, the Developer will be required to post a $25,000 deposit for each parcel covered by the ERA and will have a period of time, as specified in the ERA to submit a development proposal in the manner set forth in the ERA and agree to the General Business Terms of the disposition.

If the Board determines that the development proposal is satisfactory, the Board will then schedule a Public Hearing on the development proposal and proposed Land Disposition Agreement (LDA), which will provide the terms of the disposition and address all conditions placed on the property. Subsequent to the Public Hearing, the Board may authorize the execution of the proposed LDA. The selected developer must execute the LDA within 30 days after authorization by the Board. The Developer’s deposit may be applied to the deposit required by the terms of the LDA. If the Board finds the development proposal unsatisfactory, it may reject the proposal and re-offer the parcel. The refund or forfeiture of the developer’s deposit shall be at the sole discretion of the Board. If, in the judgment of the Board, the Developer has proceeded diligently and in good faith, the deposit, or a portion thereof, will be refunded.

VI. DEVELOPER’S KIT

Information on the sites has been assembled in the form of a Developer’s Kit. The kit contains the items and data considered pertinent to the submission of a proposal meeting the requirements of this Prospectus.

The Developer’s Kit may be obtained upon submitting a request, along with a non-refundable fee of $50.00, to Ms. Shirley Hilliard, New Housing and Commercial Development Division, 51 “N” Street, N.E., Washington, D.C. 20002. The fee should be remitted by check or money order made payable to D.C. Department of Housing and Community Development.

The Developer’s Kit contains the following items:

1. 14th Street Urban Renewal Plan
2. Plats of the Parcels
3. Draft Exclusive Right Agreement
4. D.C. Laws 2-156, as Amended
5. Mayor’s Order 83-265 and 85-85,
6. HUD Form 6004, Part I and II
7. Minority Business Opportunity Commission Questionnaire
8. Columbia Heights Community Based Plan
9. Form of Offer

VII. FURTHER INFORMATION

Developers may request interpretation or further information in order to adequately prepare proposals in response to this Prospectus. Such requests should be addressed in writing to Duryea C. Smith, Secretary, D.C Redevelopment Land Agency, 51 “N” Street, N.E., Washington, D.C. 20002.

Responses to such requests will be given in writing to all persons who have purchased Developer's Kits. No such requests will be entertained if they are received later than ten calendar days before the date set for submission of proposals.

The Department will establish a date for discussion of this Prospectus with those purchasing copies of the Developer’s Kit. Such meeting will be scheduled no later than three weeks after the issuance of this Prospectus. Attendance by all Developer’s purchasing a Developer’s Kit is recommended.