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H3. Eagles Lot RFP RecommendationCITY 7tial� KALISPELL Report To: Doug Russell, City Manager Development Services 201 1 st Avenue East - Kalispell, Montana 5991 Phone (406) 758-7940 From: Jarod Nygren, Development Services Director Subject: Eagles Lot at 1st Street West and 1st Avenue West Request For Proposals Meeting Date: August 1, 2022 BACKGROUND: The Council held a work session on June 13, 2022, where staff was directed to advertise an RFP for the Eagles Lot that met the current obligations of the executed Developer's Agreements associated with the Hotel project at 3rd and Main, and for the Parking Structure on City -owned property at 1st Street West and 1st Avenue West (Eagles Lot). At that time, Council discussed a new concept, which included a multi -family component to the garage, which would be in private ownership for financing purposes with a lease/management agreement with the city for the parking spaces which would remain public. Since that time, staff advertised an RFP for the Eagles Lot. Montana Hotel Development Partners was the sole respondent to the Request for Proposals. The Eagles Lot Development Proposal is comprised of three primary elements. The main component of the proposal focuses on the development of a city -leased, 239 stall public parking garage. A 78-unit apartment project is proposed to be built above the garage to include 20 units of work force housing. The third component is 6,200 square feet of commercial broken up into both retail and office space on the ground floor. At the meeting, staff will present the proposal and answer any questions the Council has in regard to the proposal. RECOMMENDATION: It is recommended that Council make a motion to allow staff to negotiate with Montana Hotel Dev Partners, LLC on the proposal for the Eagles Lot development to be detailed in a Developer's Agreement and lease agreement for the garage. FISCAL EFFECTS: No fiscal effects at this time. ALTERNATIVES: Do not proceed with negotiations for the Eagles Lot Proposal for the Eagles Lot. ATTACHMENTS: Eagles Lot Request for Proposal Proposal from Montana Hotel Dev Partners REQUEST FOR PROPOSALS FOR THE PRIVATE DEVELOPMENT OF THE CITY OWNED EAGLES LOT CITY OF KALISPELL, MONTANA The City of Kalispell is seeking proposals from development firms seeking to privately own finance, construct, and manage a redevelopment project on what is currently a city owned parking lot within Downtown Kalispell, Montana. On December 4, 2017, Kalispell City Council adopted The Downtown Plan as an amendment to the City of Kalispell Growth Policy Plan -It 2035 by Resolution No. 5846. The Downtown Plan addresses key topics that affect the future growth and development of Downtown Kalispell. The Downtown Plan specifically addresses the need to re -develop city owned surface parking lots into more beneficial uses to eliminate blight and increase tax base. The development proposal shall include a mixed -use building consisting of commercial, multi -family residential, and parking. The commercial component of the proposal shall be ground floor with a minimum of 6,000 square feet of space. The parking shall be located within a multi -deck parking garage encompassing a minimum of 239 public parking spaces, of which 90 would be available for lease to the proposed Charles Hotel. Lastly, the project would include a multi -family housing component integrated into the structure. Redevelopment of this property will further the city's mission of promoting economic growth, improving area employment opportunities, and expanding tax base. SECTION 1: INFORMATION AND INSTRUCTIONS TO PROPOSERS Pursuant to the authority granted to it under MCA Title 7, Chapter 5, Part 43, the City of Kalispell is soliciting a Request for Proposal from developers seeking to privately own develop, finance, construct, and manage a redevelopment project on what is currently a city owned parking lot within Downtown Kalispell. Five (5) copies of the proposal must be received by the City Clerk at 201 First Avenue East, Kalispell, Montana, by 4:00 pm local time on Monday, July 18, 2022. Request for Proposals that are faxed or emailed will not be accepted. General questions pertaining to the project should be directed to Katharine King, Community Development Manager, at kking(r)c,kalispell. com. Please find this RFP, associated maps, property appraisal and a list of questions and answers on the City of Kalispell, Community Development webpage at: https://www.kalispell.com/689/Eagles-Lot-Request-for-Proposal. Written response will be provided by Friday, July 15, at 4:00 pm to all questions received. Response will be by written addendum and will be posted on the website with the RFP at https://www.kalispell.com/689/Eagles-Lot-Request-for-Proposal. by the close of business on the date listed. Any other form of interpretation, correction, or change to this RFP will not be binding 1 upon the City of Kalispell. The City of Kalispell shall not be held responsible for any oral instructions. Any changes to this RFP will be in the form of an addendum, which will be furnished to all registered RFP holders. The City of Kalispell reserves the right to reject any or all proposals, to waive any informality or irregularity in any proposal received, and to be the sole judge of the merits of the respective proposal received. SECTION 2: PROPOSAL The City of Kalispell is requesting development proposals on a 28,000 s.f. parcel of land currently utilized as a city parking lot located at the southeast corner of 1st Avenue West and Is' Street West (Eagles Lot). Redevelopment of this site will further the City's mission of promoting economic growth and reinvestment, improving area employment opportunities, and expanding tax base. The development is contingent upon successful completion of a recorded Developer's Agreement between the City and developer. The increase in taxable value due to new construction & rehabilitation is estimated by the County Assessor's office or State Department of Revenue to determine tax generation. The City is accepting all development proposals provided the proposer demonstrates ability to meet the criteria outlined below. Any proposal will be required to meet all applicable ordinances and policies including but not limited to Planning, Building, Public Works and Parks Departments. Following selection, the successful proposer will execute a Developer's Agreement with the City of Kalispell outlining the obligations of both parties. The RFP will be evaluated utilizing the following criteria. When a proposal is submitted, documentation demonstrating adherence to the following criteria must be submitted: • Tax Generation — Per the Downtown TIF policies criteria for funding a project, a project is expected to generate new taxes in order for the Downtown Kalispell TIF District to stay economically healthy for the maximum benefit to the district and community. The increase in taxable value due to new construction & rehabilitation is estimated by the County Assessor's office or State Department of Revenue to determine tax generation. Applicant's ability to perform — The proposer shall be able to demonstrate their ability to construct, operate and maintain the proposed project based on experience, general reputation, and credit history. Timely Completion — The proposer shall demonstrate ability to construct and complete the proposed project within two -years from the date of the recorded Developer's Agreement. • Management — The proposer shall demonstrate ability to retain ownership of the project long enough to complete construction, establish occupancy, establish property management systems (including parking), and initiate payment of all applicable taxes. • Plan Goals — The proposer shall demonstrate project's ability to significantly further specific goals and policies found in the Downtown Kalispell Urban Renewal Plan, The Downtown Plan, and Kalispell Growth Policy Plan -It 2035. • Job Creation— The project shall create opportunities for new employment and contribute to the economic vitality of the district and community in a variety of ways. Projects creating five or more permanent full-time equivalent jobs would be considered to have a significant positive impact on the economic well-being of the district and will be given greater priority. To receive priority consideration the newly created jobs must be at or above the median county income level. • Development — The development proposal shall include a mixed use building consisting of commercial, multi -family residential and public parking. The commercial component of the proposal shall be ground floor with a minimum of 6,000 square feet of space. The parking shall be located within a multi -deck parking garage encompassing a minimum of 239 public parking spaces of which 90 would be available for lease to the proposed Charles Hotel. Lastly, the project would include a multi -family housing component integrated into the structure. SECTION 3: SUBMITTAL REQUIREMENTS Proposals shall conform to the following format. Proposals that are incomplete; conditional; obscure; or have irregularities of any kind are subject to disqualification. Each proposal must be compiled and tabbed as described below in a loose-leaf binder and each page. Proposers shall limit proposals to no more than 25 double -sided pages. Information included within the RFP may be used to evaluate firms as part of any criteria regardless of where that information is found within the RFP. Information obtained from the RFP and from any other relevant source may be used in the evaluation and selection process. A. Delivery of Proposals Each proposer must submit the following in a sealed package marked with the proposer's name: • 5 copies of the proposal, and • 1 e-copy of the proposal. Proposals must be submitted to the address listed in Section 1 above. Failure to comply with the following criteria may be grounds for disqualification: • Receipt of submittal by the specific cut off date and time. • The number of originals and/or copies of the submittal specified. • Adherence to maximum page requirements. 3 B. Form of Proposals Tab I General Information a. Cover Letter (1 page) containing at a minimum: Company(s) name, contact name, address, and email address. b. Executive Summary (maximum 2 pages) The Executive Summary is a concise narrative of the overall proposal. Each proposer must note in its Executive Summary if someone other than the person listed on Attachment A will serve as the proposer's contact person for the proposal. If a joint venture, the Executive Summary must identify the lead developer. c. Completed Attachment A d. Completed Attachment B Tab 2 Concept to Develop the Site a. A narrative description of the proposed development, including square footages, uses, height, building materials, etc. The narrative shall also include details for the operation and management of the proposed development after completion of construction. b. Conceptual Drawings/Materials to be submitted: • Architectural Site Plan: This allows the board to understand how the building and site work together and relate to the context of the site. • Exterior Elevations: Showing all sides of the building, in color with materials that correctly represent the materials to be installed. The landscaping should also be represented on these drawings as properly as is possible. c. A comprehensive timeline with major milestones and all stages of the proposed development including planning and design, entitlements, plan review, permits, construction, occupancy and/or lease up. This timeline should detail any phasing for the proposed development. Proposers shall include reasonable assumptions for the proposed timeline. d. A construction mitigation plan that identifies potential impacts to commercial neighbors, as well as traffic on the streets and alley surrounding the site and outlines viable mitigation strategies. Tab 3 Proposer's Qualifications, Experience, and Financial Capacity a. Clearly identify the key individuals and companies comprising the proposed development team and each proposed development team member's roles and responsibilities for the proposed development. b. Describe the proposed development team's experience successfully financing, developing, completing, and managing other projects of similar scale and complexity, including the roles and responsibilities of each proposed development team member for 4 those projects. For each project included, the proposer shall include contact information for at least one reference. c. Provide clear and compelling information to demonstrate the proposer's financial capacity to successfully develop and complete the proposed development, including: • A clear strategy to fund all proposed development costs, including specific details on all funding sources as well as the types and amounts of equity, financing and other funding sources for the proposed development. • Documentation from potential lenders of interest in the proposed development. • Documentation of other projects for which the proposer has successfully worked with the proposed funding sources. d. List and describe any litigation; arbitration; claims filed by your firm against any other jurisdiction as a result of a contract dispute; any contract or negligence claims filed against your company; premature termination from a services agreement within the last 3 years. Tab 4 Proposer's Business Plan a. Documentation of the proposed development's feasibility, including: b. A project budget clearly detailing and defining the proposed development's costs, including construction costs, soft costs, contingencies, and assumptions. c. An operating pro forma for the proposed development, including all revenues, expenses, debt service, taxes, and other assessments for at least 10 years, and assumptions. d. Demonstrate the ability to perform the project within a two-year timeframe. Tab 5 Level of Return and Benefit to the City a. Describe the tax, employment and other tangible public benefits generated by the proposed development i.e. — public parking, placemaking, etc. b. Specify any requested City assistance, including details such as the type of assistance, length of agreement term, commencement, and completion dates, etc. Any requests for City assistance must: • Be limited to assistance the City can reasonably accommodate. SECTION 4: SELECTION PROCESS A project evaluation committee will evaluate each RFP. The committee will be comprised of the Development Services Department representative, Business Improvement District representative, Architectural Review Committee representative, Urban Renewal Agency representative and Revolving Loan Fund representative. The proposals will be scored according to the criteria in section 3 as follows: 1. Concept to Develop Site (0-25 points) 2. Proposer's Qualifications, Experience and Financial Capacity (0-25 points) 3. Proposer's Business Plan (0-25 points) 4. Level of Return and Benefit to the City and/or Kalispell Community (0-25 points) A decision may be reached based solely upon the content and quality of information contained within the submitted proposal. If interviews are determined to be desirable, the proposers selected will meet with the Project Evaluation Committee for the interview. The purpose of the interview will be to expand on the information provided in the RFP, not to repeat information already provided. Those firms selected for interviews will be provided additional instruction by the city. Those firms not selected for further consideration will be notified. The Project Evaluation Committee will rank each consulting firm of this RFP. The highest ranked firm will be recommended to the City Council for award. Requests for debriefings or selection decisions shall be made in writing to the City, Development Services Department. All information submitted by firms and related Project Evaluation Committee evaluations and rankings shall be considered confidential until after contract execution and award by the City Council. The City will enter into a negotiated contract upon selection of the firm for the project. The commencement of negotiations does not commit the City to accept all the terms of the proposal and negotiations may be terminated by the City at any time. These negotiations may result in minor or material changes to the proposal, including both the business terms and the project. Successful negotiations will result in an award recommendation to the City Council and a "Letter of Intent" stating the City's intent to enter a contract with the recommended proposer on specified business terms. Following required approvals, City -drafted contracts addressing business terms and performance benchmarks will be entered between the parties. The City reserves the right to reject, in whole or in part, any or all proposals. The terms and conditions of any contract resulting from this RFP process are subject to approval by the Kalispell City Council. If the selected firm determines not to enter into a contract with the City, the City may then contact the second or third highest ranked team until a contract is executed or may decide to terminate the selection process. SECTION 5: GENERAL TERMS AND CONDITIONS OF PROPOSAL All materials submitted by proposers shall become the property of the City and become a matter of public record available for review. Each proposer shall mark any information submitted as part of its proposal that the proposer deems confidential or proprietary (collectively Confidential Information). If the City receives a request to review or disclose such Confidential Information, the City will provide the proposer written notice of the request to allow the proposer the opportunity to obtain a court order to prevent the disclosure or review of such Confidential Information. The proposer must obtain and deliver to the Procurement Officer a court order within seven calendar days of the date of the City's written notice. If no court order is issued and received by the Procurement Officer within the seven-day period, the City may disclose or allow the review of such Confidential Information. If a proposer intends to seek a Court Order to shield its Confidential Information, the protest period will be extended the same number of calendar days to allow for this process. C.1 The City of Kalispell reserves the right to reject any or all Statement of Qualifications or portions thereof. The cost of preparing responses to this RFQ shall be borne by the respondents and shall not be reimbursed by the City of Kalispell. The City reserves the right to take any course of action the City deems appropriate at the City's sole and absolute discretion, which may include: • Waiving any defects or informalities in any proposal or proposing procedure. • Accepting or rejecting any or all proposals or any part of any or all proposals. • Canceling the RFP in part or in its entirety. • Reissuing the RFP with or without modification. • Negotiating with any qualified proposer. • Extending the deadline for proposals; and/or • Requesting additional information from any or all proposers. The City reserves the right to disqualify any proposer that fails to provide information or data requested herein or that provides materially inaccurate or misleading information or data. The City reserves the right to disqualify any proposer on the basis of any real or apparent conflict of interest that is disclosed by the proposals submitted or any other data available to the City. This disqualification is at the sole discretion of the City. By submission of a proposal hereunder, the proposer waives any right to object now or at any future time, before anybody or agency, including but not limited to, the City Council, or any court, as to the exercise by the City of such right to disqualify or as to any disqualification by reason of real or apparent conflict of interest determined by the City. All persons or entities that respond to this RFP, including their employees, agents, representatives, proposed partners, subcontractors, joint ventures, members, or any of their lobbyists and attorneys, will refrain from any direct or indirect contact with any person who may play a part in the selection process, including members of the evaluation committee, the City Manager, Department heads, the Mayor and other members of the Kalispell City Council. As long as this RFP is not discussed, proposers may continue to conduct business with the City and discuss business that is unrelated to this RFP. Additionally, any proposer or any member or affiliate of a proposing team that currently contracts with the City must be in good standing for its proposal to be considered responsive. For the purpose of this RFP, good standing refers to compliance with all contractual provisions, including payment of financial obligations. 7 City of Kalispell Eagles Lot Development Proposal Response 1111111 �j MONTANA HOTEL DEV PARTNERS band partners 6,COMP SS ALCHEMY NNW 07 / 18 / 2022 hello. July 18, 2022 Attn: City Clerk 2011st Ave E Kalispell, MT 59901 Thank you for the opportunity to submit a proposal to the City of Kalispell to develop the lot located at First Street West and First Avenue West, commonly known as the Eagles Lot. Herein is a comprehensive vision for the development as well as private financing, public funding request, project design and construction, and operations and management details. Compass Construction, Bond Partners, and Alchemy have joined forces as Montana Hotel Dev Partners, LLC. Together, our combined knowledge and experience will produce an exemplary product for the city and Flathead Valley communities. Our proposal is the culmination of many hours designing, crunching numbers, understanding details, and preparing this proposal. We are pleased to present a proposal aligned with that of The Charles Hotel proposal and backed with our experience in structured parking, multifamily developments, real estate development, and construction management. We value and are fully committed to assisting the city in achieving its mission to promote economic growth, improve area employment opportunities, expand the tax base, respond to the parking quandary in this corner of the city, and to offer a downtown housing product. Thank you for your thoughtful consideration. Should you need any clarifications, please do not hesitate to reach out to us. Sincerely, Montana Hotel Dev Partners, LLC ROBERT WATSON Partner BILL GOLDBERG Partner ,OHN COSTA Partner 1.A. COVER LETTER 1 1 Montana Hotel Dev Partners, LLC, comprises many years of experience in construction, development, and hospitality / property management. Together, with local lead Bill Goldberg of Compass Construction, our regional presence and familiarity is enhanced by national knowledge and experience. We worked alongside Montana -based firm A&E Design, leveraging their skills and talent in architecture, historic preservation, interior design, branding, and experiential graphics to craft a vision for this project. We feel the resulting proposed development best suits the needs of downtown Kalispell and its market. Our proposed project is comprised of three primary elements. The main component of our proposal focuses on the development of a city -leased, 239-stall garage to be built on the current city - owned Eagles surface parking lot. Built above the garage will be a 78-unit apartment project with 20 units of workforce housing. The third component is 5,300 square feet of street -level retail. Amenities include a fifth floor entertainment deck, a fitness facility, and residence lounge. We envision a total transformation of this site from a quiet surface parking lot to a busy downtown hub of activity. We worked closely with A&E Design to take design cues from the surrounding historic downtown buildings regarding form, openings, mass, and structural rhythm of the facades, but chose not to replicate them. Rather, we reimagined these distinctive characteristics to support the historic context while designing a concept reflective of the current era. Our team shares enthusiasm for the future of Kalispell. That excitement resonated so significantly with our investor group that they have already committed capital for the entire project. We are eager to see the results of the vision seeded almost one decade ago in the city. As the work on projects like the Kalispell Bypass, Parkline Trail, Glacier Rail Park, Downtown Plan, and TIF Districts materialize, we are inspired to invest our time, money, expertise, and ideas. This project advances the city's and region's positive trajectory by attracting people to live, conduct business, and enjoy the services and amenities the downtown area provides. Providing residential options in the downtown core supports extended hours for downtown business and activities. As a result, the money spent in restaurants, bars, and retail will benefit the local economy. The people employed by our local firms know that Kalispell is a special place. These stakeholders have long been invested in downtown and visualizing redevelopment opportunities. The downtown plan, Kalispell Urban Renewal Plan, and Kalispell Growth Policy have been adopted and continue to be implemented every day. Traffic and parking studies support the vision and reinforce functionality of an urban core in an otherwise rural corner of Montana. The city center sees new businesses 2 1 1.13. EXECUTIVE SUMMARY coming to market while gaining walkability, placemaking, and population density —all positive economic drivers. Our team is inspired and motivated by the upcoming redevelopment of the core area and what that means for downtown. We envision more TIF revenue, better parking in the downtown TIF, and ultimately more synergy between the districts. Preserving the past while infusing forward -thinking elements creates a place we can continue to love and enjoy; one that stays true to its history while taking advantage of present and future potential. Our plan shares a pathway to that vision. Thank you for this incredible opportunity to partner with the city of Kalispell to propel the downtown core toward a bright future. LB. EXECUTIVE SUMMARY 1 3 CITY OF Kalispell Development Services Department Eagles Lot Development RFP Attachment A AFFIDAVIT Assurances The undersigned proposer hereby submits to the City of Kalispell (City) the enclosed proposal based upon all terms and conditions set forth in the City's Request for Proposals (RFP) and referenced materials. Proposer further specifically agrees hereby to provide services in the manner set forth in the proposal submitted by the proposer. The undersigned proposer acknowledges and states, under penalty of perjury, as follows: 1. The City is relying on proposer's submitted information and the representation that proposer has the capability to successfully undertake and complete the responsibilities and obligations submitted in its proposal and in the resulting agreement. 2. The City has the right to make any further inquiry it deems appropriate to substantiate or supplement information supplied by proposer. 3. Proposer has read and fully understands all the provisions and conditions set forth in the RFP documents, upon which its proposal is based. 4. The forms and information requested in the RFP are complete and made part of the proposal. The City is not responsible for any proposer errors or omissions. 5. This proposal may be withdrawn by requesting such withdrawal in writing at any time prior to the proposal deadline but may not be withdrawn after such date and time. 6. The City reserves the right to reject any and all proposals and to accept the proposal that, in its judgment, will provide the best quality development to the City. 7. This proposal is valid for a minimum of 120 days after the RFP proposal submission deadline. 8. All costs incurred by proposer in connection with this proposal shall be borne solely by proposer. Under no circumstances shall the City be responsible for any costs associated with proposer's proposal or the RFP process. 9. Proposer has not in any manner, directly or indirectly, conspired with any person or party to unfairly compete or compromise the competitive nature of the RFP process. 10. The contents of this proposal have not been communicated by the undersigned nor by any employee or agent to any other person engaged in this type of business prior to the official opening of this proposal. 11. To the best of the proposer's knowledge, the information provided in its proposal is true and correct and neither the undersigned proposer nor any partner, corporate officer or managing employee have ever been convicted of a felony or a crime involving moral turpitude. A-1 4 1 I.C. ATTACHMENT A CITY OF Kalispell Development Services Department Eagles Lot Development RFP 1. Proposer intends to operate the business as (check one): Corporation" ( } Government Entity ( ) Limited Liability Corporation* (X) Other {Please describe: Non -Profit 501(c)(3) { ) Partnership* ( ) Sole Proprietorship ( ) 1 { ) Identify the members, if LLC, partners, if a partnership, or officers, if a corporation, of the proposer (add lines as needed). Members: Billy Goldberg, Robert Watson, John Costa For the purpose of this RFP, addenda and exhibits, any questions regarding the principals are referring to the officers, partners and members as disclosed. 2. In the past 10 years, have you personally, or any business with which you have been involved, been declared bankrupt, filed a petition in any bankruptcy court, filed for protection from creditors in bankruptcy court, or had involuntary proceedings filed in bankruptcy court? If "Yes," provide date, court jurisdiction, case name, case number, amount of liabilities, amount of assets and the status of each occurrence. Yes ( ) No 3. Has the proposer or any of its principals or its principal's affiliates been declared to be in default under any obligation to or contract with the City? If "Yes," please provide details concerning the nature of the default, including the City contract number. Yes ( ) No( X ) 4. Are there any pending liens, claims or litigation in excess of $500,000 involving proposer, or any corporation or other entity that has, directly or indirectly, a controlling interest in the proposer, or any subsidiary of the proposer or other entity in which the proposer has a controlling interest or any of the proposer's principals, officers, or directors? If "Yes," provide detailed information regarding complaints. Yes( ) No (X 5. Has the proposer, or any corporation or other entity that has, directly or indirectly, a controlling interest in the proposer, or any subsidiary of the proposer or other entity in which the proposer has a controlling interest or any of the proposer's principals, officers, or directors, been involved in any lawsuits in the past 10 years? If "Yes," provide list. Yes ( ) No (X) 6. Has the proposer's or any of its principals or its principals' affiliate's contracts been terminated prior to their expiration terms, voluntarily or involuntarily, within the last 10 years? If "Yes," provide name, location, and date of the contract(s). Yes( ) No (X ) 7. Has the proposer, or any corporation or other entity that has, directly or indirectly, a A-2 1.C. ATTACHMENT A 1 5 CITY OF Kalispell Development Services Department Eagles Lot Development RFP controlling interest in the proposer, or any subsidiary of the proposer or other entity in which the proposer has a controlling interest or any of the proposer's principals, officers, or directors ever been barred from bidding on federal, state, or local government contracts? If "Yes," provide the current status of such suspension or debarment proceedings. Yes ) NO(X) References Proposer shall furnish the names and contact information for 3 clients for whom the proposer is furnishing or has furnished services similar to those described in this RFP. Do not list City of Kalispell employees or officials as references. 1. Company and Reference Name: Multiple Companies: John Hagg Telephone and E-Mail: 702-540-1001 hagg.john@icloud.com 2. Company and Reference Name: Mkay Enterprises, Steven Kay Telephone and E-Mail: 415-254-1201 sk@stevenkay.com 3. Company and Reference Name: Telephone and E-Mail: Sianature(s) Rim Rock Development, Micah Linton 386-867-1403 Micah@rimrockcompanies.com Proposer's Legal Name': Billy Goldberg 'The proposer must be authorized to transact business in Montana and be in good standing prior to submitting this proposal. Printed Name of Authorized Representative*: Billy Goldberg Member Business Mailing Address: 208 1 st Ave. East, Kalispell MT 59901 Telephone and ErgatAddress: 406-253-0544 bill@com *Proposal mu b rgned by an individual authorized to Name of Joint Venture Partner (if applicable): Printed Name of Authorized Representative*: Business Mailing Address:. the proposer. Telephone and Email Address: x *Proposal must be signed by an individual authorized to contractually bind the joint venture partner. A-3 6 1 I.C. ATTACHMENT A CITY OF Kalispell Development Services Department Eagles Lot Development RFP NOTARIZED Signed and sworn before e this � day of s 77 Notary Signature: Affix Seal: ` l My Commission Expires: .z o A-4 t VC o AMY L MCGENEE °NoT"prvr NOTARY PUBLIC for the + State of Montana f SEAL Residing at ColmH� Fails, Noniena My Commission Expires °F Feareary 14,2024 1.C. ATTACHMENT A 1 7 CITY OF Kalispell Community & Economic Development Department Eagles Lot Development RFP Attachment B DEVELOPMENT DETAILS Name of proposer: Montana Hotel Dev Partners, LLC Each proposer must complete and submit this form with its proposal. • Gross Square Footage (SF): 198,700 gross sf • Commercial SF: 5,300 sf • Office SF: 800 sf • Residential SF: 65,905 sf, not including circulation • Other SF (detail): 101,255 sf structured parking 14,800 sf amenities for residents • Number of Residential Units: 78 • Number of Units by Residential Type: o Rental Units: 78 o For Sale Units: 0 • Number of Units by Market Type: o Affordable:0 o Workforce:20 o Market Rate: 58 • Number of Hotel Rooms: N/A • Number of Parking Spaces: 242, including double stacked stalls • Number of Buildings: (1) one on subject property • Building Height(s) (feet and stories): 4 stories parking (+ 1/2 basement parking) + 4 stories multifamily I approx. 87-6" above grade • Estimated Number of Construction Jobs: 492 FTE • Estimated Number of Permanent Jobs: 0 FTE, not including commercial tenant • Estimated Value of Project: $41 M parking/multi -family total project cost Page B-1 8 1 1.D ATTACHMENT B MIXED -USE PARKING, RESIDENTIAL, & COMMERCIAL STRUCTURE The existing Eagles Lot at the southeast corner of the intersection of 1st Avenue West and 1st Street West is currently owned and operated by the City of Kalispell and is used primarily as hourly parking available to visitors of downtown Kalispell. The property is bordered by several Main Street businesses across the alley to the east, The Eagle's Lodge to the north, Alchemy Lounge to the South, and a strip mall across the street to the west. It falls in the Kalispell Main Street Historic District overlay, and several of the adjacent buildings fronting Main Street on the same block also contribute to that designation. Originally, the Third and Main RFP required that proposing firms provide parking for their proposed building. After exploring different options, our team found that the size of that lot made structured parking unfeasible, and subterranean parking proved to be too expensive. Creatively, our team proposed a parking structure to be built on the nearby Eagles Lot and factored valet services into the hotel's proforma and parking analysis. Redevelopment of this underutilized paved area contributes to the city's goal of redeveloping tax exempt properties, especially those that serve as surface parking and generate little tax revenue if they happen to be privately held. 2.A. PROJECT NARRATIVE 1 9 1st Avenue West Pedestrian Experience BUILDING DESIGN & MASSING The new mixed -use parking structure occupies most of the existing 28,000 sf lot footprint. It provides ground -level retail, four levels of ramped parking within a post -tension concrete "podium" structure, and four levels of housing units stacked above. The overall building height is anticipated to be 87-6" at this early stage of design. Careful consideration was given to building massing to make it fit the historic context of the area. Where the building approaches the Kalispell Grand Hotel, horizontal design elements are pulled across the alley at 16-0" (the top of the hotel storefront) and 40'-0" (approximating the upper cornice of the hotel) to provide a sense of continuity and respect. At the intersection of 1st Street West and 1st Avenue West, the mass is broken vertically at 22-0" and again at 66-0" where the building steps back from the street edge to reduce perceived height. Additionally, the building is broken out into separate forms horizontally to give it the perception of several buildings along each street. The main floor is designed around the pedestrian experience and human scale. Retail and lobby spaces wrap the first floor parking and provide an interactive experience on 1st Street West and 1st Avenue West. The 11h-story brick facade with large storefront windows pulls elements from classic urban design principles like those shown on Main Street. Rhythm is achieved by using alternating brick columns and storefront glazing to reflect the original 25' city plot spacing of downtown. Multiple entrances provide the opportunity for several tenants, or a single large one to occupy the retail space. Directly above the extensive storefront are fixed canopies topped off with translucent glazing that mimics the prismatic glass transoms common to historic structures in the area. Vehicles will access the garage via a single entrance facing 1st Avenue West. Pedestrians utilizing the parking garage will have an entrance and exit on 1st Avenue West. Apartment tenants will have a dedicated lobby on 1st Street West, within a massing that creates a cohesive design with its surroundings and respect in terms of surrounding historic structures. 10 1 2.A. PROJECT NARRATIVE Moving upwards, the central shaft combines the parking and first two levels of apartments into a single vertical composition. Horizontally, the volume breaks into two masses on each street - facing facade, de-emphasizing length, and relating to historic building widths. On 1st Avenue West, an amenity plaza separates the two main structures. 1st Street West is broken by a vertical stair tower. Material transitions from brick to fiber cement panels, with a beige color respectful of surrounding tones. A horizontal and vertical grid sets a unified framework for openings into the parking structure and windows into apartment units. The openings into the parking garage are to include faux storefront frames and durable metal screens to add visual interest and maintain the architectural rhythm while obscuring the function of these floors. They also provide an increased sense of security, and minimize headlight glare onto adjacent properties. Taller openings are used on the parking levels to veil angled ramps and reduce the perceived story count. A simple cornice marks a transitional step back on the 7th floor, allowing for additional daylight to reach the street and courtyard. The highest floors are of contemporary design and are intended to recede from view. The palette transitions from beige to white, de-emphasizing the mass with lightness and blending into an overcast sky. The facade articulates on all elevations, so even when viewed from afar, the mass is broken up to give it the appearance of multiple buildings. Windows are grouped together into vertical elements, with occasional touches of color adding visual interest. Canopies at the corners provide a final cap to the building as it touches the sky. Cornice Detail OPERATION & MANAGEMENT III I I Mrr Tr 7T ff klhk.-� Upper Levels The garage, apartments, and retail will be operated, managed, and maintained by staff of the nearby Charles Hotel. The hotel will provide valet parking services for hotel and restaurant guests. The valet will control a portion of the garage, where they will take advantage of the ability to "stack" cars. The garage will be managed to take advantage of business / office use during the daytime hours and restaurant / hotel use during the evening/overnight hours. The hotel will provide 24-hour security oversight for the garage, apartments, and retail space. 2.A. PROJECT NARRATIVE 1 11 conceptual drawings / materials ARCHITECTURAL SITE PLAN i W Z W E, EXTERIOR ELEVATIONS north elevation FIRST STREET W Rooftop Patio it"1100 10011 ■i 1111111111WHIF m a MATERIALLEGEND PAINTED CONCRETE FIBER CEMENT PANEL - WHITE - FIBER CEMENT PANELBLACK ® FIBER CEMENT PANELBEIGE FIBER CEMENT PANELYELLOW BRICK VISION GLAZING - PAINTED METAL PERFERATED METAL SCREEN F W W F- N .. 12 1 2.B. CONCEPTUAL DRAWINGS / MATERIALS ...e monolog 11111111 ■■■ills monolog 1110111 i� i air 1 LANDSCAPE DESIGN Our project team feels strongly about the benefits of trees and landscaping design on a project site. Vegetation helps reduce noise, soften edges, filter light, introduce color, indicate seasonal changes, tie the architecture to its place, and influence the natural ecosystem by introducing small wildlife. Although landscaping provides many benefits, an urban site with zero lot lines provides limited options for introducing vegetation. This makes any opportunity for street trees and other plants that much more important in downtown. While our proposed concept is early in design, we plan to present to the Architectural Review, Site Development Review, and Urban Forestry Committees for their comment and feedback. Well before that time, we will work through the design to ensure we have the appropriate species selection, infrastructure, and other relevant details. We plan to develop those items with the city urban forester or arborist, Parks and Recreation, the street tree commission, the Public Works Department, and the Montana Department of Transportation. We will engage a licensed landscape architect for the development and completion of a landscape design and plan for bid as well as to lead these design conversations. The success of this landscaping project is rooted in details and thoughtful planning. Design must consider maintenance of plant material and the surrounding surfaces, irrigation, size of planters, plant species' resistance to de-icer, and the ability for both street sweeping and leaf and snow removal to commence regularly and easily. We will work through maintaining a sight triangle at the intersection in the final design. Continuing traffic signage and crossing operations as well as coordinating with standard lighting and planting patterns are primary considerations. There is tremendous potential for downtown in the context of the Kalispell Bypass completion, work on the Parkline Trail, and the various opportunities and ideas shared in the Downtown Plan, Urban Renewal Plan, and recent traffic studies. A more walkable downtown with wider sidewalks will activate the street and extend downtown activity. This plan benefits businesses and the public as Kalispell becomes an even greater destination. 2.13. CONCEPTUAL DRAWINGS / MATERIALS 1 15 timeline. Pre -Design I Preliminary Submissions ...................................................................................................................................................................................................................... :................................................................... 6/27/22-10/3/22 RFP Response Development ...................................................................................................................................................................................................................... :................................................................... 6/27/22 - 7/18/22 Proposals Due ...................................................................................................................................................................................................................... :................................................................... 7/18/22 Review of Proposals ......................................................................................................................................................................................................................................................................................... 7/18/22 - 7/29/22 Anticipated RFP Award Date ......................................................................................................................................................................................................................................................................................... 8/1/22 Design Contracts ......................................................................................................................................................................................................................................................................................... 8/1/22 - 8/26/22 CUP and TIF Application Due ......................................................................................................................................................................................................................................................................................... 8/9/22 Planning Board Meeting ......................................................................................................................................................................................................................................................................................... 9/13/22 URA Board Meeting ......................................................................................................................................................................................................................................................................................... 9/21/22 Council Meeting -Anticipated CUP Approval 10/3/22 Mixed -Use Development Contracts & Continued Design & Permit ................................................................................................................. ......... ......... ......... ........... ,........ 10/3/22 8/18/23 Schematic Design (continued) ......................................................................................................................................................................................................................................................................................... 10/3/22 - 11/24/22 100% Schematic Design Package 11/25/22 50% Design Development (DD) Effort ..........................................................................................................................................................................................................................................................:.............................................................................. 11/28/22 - 1/6/23 50% DD Cost Estimate I Owner Review (design pause for pricing &review) ..........................................................................................................................................................................................................................................................€.............................................................................. 1/9/23 - 1/27/23 100% DD Effort ..........................................................................................................................................................................................................................................................€.............................................................................. 1/9/23 - 2/10/23 Internal Quality Assurance /Quality Control ..........................................................................................................................................................................................................................................................€.............................................................................. 2/13/23 - 2/17/23 100% DD Package ..........................................................................................................................................................................................................................................................€.............................................................................. 2/17/23 100% Cost Estimate I Owner Review (simultaneous with CD start) ..........................................................................................................................................................................................................................................................€.............................................................................. 2/20/23 - 3/10/23 50% Construction Documents (CD) ..........................................................................................................................................................................................................................................................€.............................................................................. 2/20/23 - 3/31/23 Internal Quality Assurance /Quality Control ..........................................................................................................................................................................................................................................................€.............................................................................. 4/3/23 - 4/14/23 50% CD Cost Estimate I Owner Review (simultaneous with continued CD effort) ..........................................................................................................................................................................................................................................................€.............................................................................. 4/17/23 - 5/5/23 100%CD / Permit Documents ..........................................................................................................................................................................................................................................................€.............................................................................. 4/17/23 - 6/9/23 100% CDs Issued for Permit & Bid .......................................................................................................................................................................................................................................................... €............. 6/9/23 .................................................. Permit Plan Review (estimated) .......................................................................................................................................................................................................................................................... €............. 6/12/23 - 8/18/23 ............................................................. Building Permit Issued (estimated) ..........................................................................................................................................................................................................................................................:.............................................................................. 8/18/23 Bid Period ..........................................................................................................................................................................................................................................................:.............................................................................. 6/12/23 - 7/12/23 Bid Day ..........................................................................................................................................................................................................................................................€.............................................................................. 7/13/23 Notice of Award, Contracts, Notice to Proceed (estimated) ..........................................................................................................................................................................................................................................................€.............................................................................. 7/13/23 - 8/18/23 Mixed -Use Development Construction ...................................................................................................................................................................................................................... :................................................................... 8/21/23 - 10/18/24 Mobilization Site Demo Excavation Long Lead Shop Drawings (estimated) ......................................................................................................................................................................................................................................................................................... 8/21/23 - 9/15/23 Site & Building Construction Basement - 4th Floor ..........................................................................................................................................................................................................................................................€.............................................................................. 9/18/23 - 4/26/24 Multi -Family Floors 5th - 8th ..........................................................................................................................................................................................................................................................€.............................................................................. 1/22/24 - 9/27/24 Substantial Completion (estimated) ..........................................................................................................................................................................................................................................................€.............................................................................. 9/27/24 Punch List (estimated) ..........................................................................................................................................................................................................................................................€.............................................................................. 9/30/24 - 10/18/24 Final Acceptance I Occupancy (estimated) 10/18/24 16 1 2C.TIMELINE 2C.TIMELINE 1 17 construction mitigation plan SITE PLAN AI4 SIDEWALK NOTIFICATION SIGN VEHICULAR NOTIFICATION SIGN -POTENTIAL STAGING AREAS & CONTRACTOR PARKING CONSTRUCTION FENCING / GATE IBASEMENT EVACUATION '//// LOADING ZONE * MAINTAIN PEDESTRIAN CROSSING M. MAINTAIN TRAFFIC SIGNAL TEMPORARY LOSS OF PARALLEL PARKING MAINTAIN SERVICE ACCESS � F Building in urban areas often involves construction challenges impacting city infrastructure and patterns of the public. Compass Construction understands potential pitfalls and is experienced with addressing them in sites like the 1st Street West and 1st Avenue West lot. We have a long success record working in urban environments like this in and around Flathead Valley. Communication and planning are key to overcoming construction obstacles. Planning for construction methods and mitigating impact on city infrastructure and public traffic patterns starts during building design. We will communicate often with necessary parties at the City of Kalispell Public Works Department and the Montana Department of Transportation. Proactive and consistent communication will help us implement a game plan well in advance of construction commencing. 18 1 2.D. CONSTRUCTION MITIGATION PLAN Only with early engagement can we properly execute the plan while combating expected logistics during construction. Compass and the City of Kalispell can communicate the adopted plan to stakeholders through flyers, social media, and email. Additionally, we suggest that Compass creates a website, maintained by our public relations staff, to share project updates. This PR person will also serve as the point of contact for citizens and businesses to direct questions and concerns. Navigating a site with essentially no yard limits the laydown and working space adjacent to the new building. Considering pedestrian diversion and protection at adjacent sidewalks and nearby laydown space elsewhere in the city will be crucial. Consequently, we preliminarily contacted several downtown -area landowners and considered our KM Building parking lot for temporary material laydown and staging. We have also identified several more potential staging areas close to the construction site that would benefit the project construction but have not coordinated with the property owners at this time. Even with additional space, it will be necessary to strategically order and sequence material deliveries to the construction site. This approach will lessen disruption on the 1st St. West & 1st Avenue West intersection, but not entirely eliminate it. There is still a need to create an effective, efficient delivery zone at the project site. Closing a lane of 1st Avenue West or a section of the one-way at 1st St. West are unlikely considerations, as they would be the most disruptive to traffic. Our best delivery opportunity is the parallel parking on the south side of 1st St. West, adjacent to the site. While it is possible this delivery area will not entirely close a lane, it will temporarily displace adjacent on -street parking. Compass plans to coordinate closely with public works for traffic control and proper signage to clearly mark diverted lanes or parking. Signs placed ahead of the nearby intersection will prepare drivers for road modifications and alert pedestrians on the sidewalks. However, we will maintain pedestrian crossings and access to neighboring businesses. Similarly, we need to ensure the continuation of city services, deliveries, and garbage pickup through the alleys. Jobsite safety is one of the pillars of our company, and Compass takes particular care when it comes to pedestrian safety. We suggest small diversions of pedestrian patterns in order to allow for working space adjacent to the building construction. In some cases, we strongly suggest providing covered walkways built by Compass; they may or may not temporarily impact some on -street parking. Compass influenced the building design by adjusting the envelope to the existing utility locations that serve neighboring buildings. The current desire is to leave those utilities uninterrupted. Construction sites frequently evolve to support the trades and equipment necessary for each phase. Tasks that deviate most from the normal day-to-day activity will be most disruptive to traffic and existing patterns of behavior due to the extra precautions during these instances. However, with sewer in the alley, we anticipate a common connection with limited disruption. Storm also appears relatively straight -forward. 2.D. CONSTRUCTION MITIGATION PLAN 1 19 mitigation plan continued Dry utilities, such as power, gas, and telecommunication, are all currently buried and located in the alley as well. This condition makes for easy service connections and more easily hiding unsightly meters and services. The domestic water and fire connections will prove to be less challenging than the hotel with water located in the northbound lane of 1st Avenue West. These are solutions we will need to review with public works. Few 20 1 2.D. CONSTRUCTION MITIGATION PLAN MONTANA HOTEL DEV PARTNERS Compass - Lead Local Contact; Will Oversee Project Management & Construction At Compass Construction, we are transforming the Flathead Valley one construction project at a time. Located in Kalispell, Montana, Compass has been a premier construction and development firm since 2004. We specialize in residential, multi -family, and commercial construction. Owner Bill Goldberg founded Compass after years of experience in residential construction. He consistently chased a vision for smart development, growth, and the revitalization of area communities. Over the past 17 years, Bill's dream has expanded, and so has our team. Collectively, we have extensive construction experience and project management skills, united under our purpose to grow, reach, and be bold together. The outstanding service we provide is evidenced by a multitude of projects throughout the Flathead Valley. We work within all types of construction projects and have been instrumental in the rehabilitation of multiple businesses, mixed -use projects, and multi -family developments. Vibrant downtown areas, including those in Kalispell, Whitefish, and Columbia Falls, reflect the value our service brings to local communities. BILL GOLDBERG SETH SIMONSON AMY McGEHEE Owner Project Manager Project Manager Bond Partners - Hotel Concept, Development, & Operations BOND Partners is a San Diego -based, diversified hospitality and real estate development company. We specialize in developing, opening, and operating highly serviced, uniquely stylized, architecturally significant lifestyle hotels and residences, destination restaurants and lounges, and other mixed -use retail offerings. We are a lifestyle company with a deliberate growth strategy, backed by a sound business model and solid financial support. BOND Partners was created to exceed the expectations of a highly sophisticated clientele and to develop, own, operate, and asset manage lifestyle hospitality assets. We prefer to see the world for what it can be, rather than for what it is. We admire trends but possess a style of our own. We are always after that thing that waits to be discovered, just beyond the obvious and the well-known. We take pride in our honesty, wit, and more importantly, our approachability. ROBERT WATSON PAUL GUCCINI CEO & President CFO 3.A. KEY INDIVIDUALS & COMPANIES 1 21 key companies & individuals cont. Alchemy Development Alchemy Development was founded under the precept of taking something ordinary and making it extraordinary. This development will reflect Montana's culture and lifestyle in a community hub for libations and conversations. The establishment and its owner, John Costa, embodies his motto: "Leave it better.". JOHN COSTA Owner & CEO DESIGN TEAM A&E Design - Architecture, Interior Design, Branding, & Construction Administration A&E Design is a multidisciplinary design firm with four offices in Montana (Billings, Bozeman, Missoula, and Kalispell), as well as Seattle, Washington. As a collection of innovators, we are united for a single purpose: to create impactful experiences for our clients. We offer architecture, interior design, historic preservation, branding, and construction administration in one comprehensive package. Together, we are a team of over 90 diversely talented professionals with a strong commitment to client satisfaction, quality design, and improving the world around us. CHRIS MARTISON SHANE JACOBS LINCOLN MURPHY Principal Project Manager Project Architect ABIGAIL KNAB KEN STONE ELIZABETH LOCKWOOD Experiential Graphics Procurement Manager Interior Designer JON SEARS Construction Manager Other Consultants Pending selection from the City of Kalispell, we have kept our design team limited to the architectural and interior design teams at A&E Design for the development of the concept design and content within this submittal. If selected, we will continue to work with A&E Design through the remaining design phases, and they will solicit proposals from local, qualified, licensed engineers and design consultants for a complete scope of design and permit documents for both the hotel and the parking structure. They will intentionally team with consulting firms with experience in this project type, Kalispell, and sites in a downtown setting. 22 1 3.A. KEY INDIVIDUALS & COMPANIES MONTANA HOTEL DEV PARTNERS Compass Construction Our design and construction teams have a proven track record and local knowledge to deliver a project of this magnitude. A list of recent and local mixed -use commercial and multi -family residential projects completed by Compass Construction include: 334, 317, and 309 Central Ave. in Whitefish; 223, 225, and 237 Baker Ave. in Whitefish; 20 Spokane Ave. in Whitefish; and 527, 519, and 638 Nucleus Avenue in Columbia Falls, as well as The Highline Apartments, 519 Skyles Apartments, Glacier Courtyard Apartments, and Eagle Lake Condos. These projects have provided extensive experience with working on tight sites, amongst operating businesses, near U.S. highways and city thoroughfares, as well as amongst customers and visitors to our community. Compass has a dedicated commitment to the revitalization of the downtown area of Kalispell and it is personal. Bill Goldberg, owner of Compass Construction, at the helm of his other entities, has recently purchased the KM and Montgomery Ward Buildings, in addition to developing several other renewal projects in the works at this time. Compass has recently shown their commitment to Kalispell by moving their business from Whitefish to downtown Kalispell. They maintain a solid subcontractor base with which they have developed a long-standing relationship they will utilize to drive quality, schedule, and coordination throughout construction. Reference contact information available through: Bill Goldberg 1406.253.0544 1 bill@compassmt.net 3.13. EXPERIENCE 1 23 BOND Partners BOND Partners executives have over 30 years of hotel and resort conception, branding, project finance, development, and operations experience. We specialize in creating lifestyle projects that are architecturally significant, highly curated, and fully serviced. Led by founder and CEO Robert Watson, some of the projects BOND Partners has been responsible for are: Tower 23 Hotel in San Diego, 21c Museum Hotel in Louisville, The Modern Hotel in Honolulu, Northblock Hotel in Napa Valley, and the Chileno Bay Resort in Cabo San Lucas. A sampling of other projects BOND Partners has been responsible for include: Hotel Monaco, San Francisco; Hotel Monaco, Seattle; Hotel Monaco, Chicago; W San Francisco; W Seattle; W New York Union Square; and W Times Square. BOND Partners is establishing an office in Western Montana to create a portfolio of upscale boutique hotels in the state. We are committed to Kalispell and making this project the flagship for our company's growth. Reference contact information available through: Robert Watson 1310.795.2993 1 rwatson@bondpartners.us Alchemy Development Alchemy Development Group was founded under the precept of taking something ordinary and making it extraordinary. Owner and CEO John Costa has 32 years of entrepreneurial experience in business development and operations. Through his ownership of Hi Tech Honeycomb, a leading honeycomb manufacturer in the aerospace industry, John successfully developed international business relations. His product now services all engines manufactured for General Electric, Raytheon Technologies' subsidiary Pratt & Whitney, Rolls-Royce Plc, and major airlines worldwide. He excels at program development and implementation, with strategic skills in team building and process management. John and his wife moved to Montana in 2016 and recently purchased First Avenue Taphouse and Casino in Kalispell. They are passionately committed to being productive members of the Flathead Valley community. Reference contact information available through: John Costa 1858.395.4645 1 john@costo.net 24 1 3.13. EXPERIENCE DESIGN TEAM A&E Design As one of the region's largest and long-standing design firms, A&E Design has successfully completed several multi -use projects. From facility analysis and assessment to the design and construction administration of public infrastructure, we possess the talent and experience to successfully meet all of your project goals. Relevant experience includes: Parking Garage at Bozeman Yellowstone International Airport. The four-story, 437,500 sf structure houses rental car agency fleets on most of the 1st floor, and all of the 2nd and 3rd floors, with future growth onto the covered 4th floor. Aspen Crossing at Midtown in Bozeman. The design of Aspen Crossing at Midtown offers a unique, urban experience reflective of the dynamic culture of Bozeman, Montana. As a mixed - use development, the project offers a variety of commercial, housing, and cultural amenities in a shared, community environment. McDonald Building in Billings. The historic structure served as Montana's firstYMCA, and today, major renovations have transformed the building once again. In support of the revitalization of downtown Billings, the structure serves as a multi -use building, offering both business and residential space for lease. Our team understands the intricacies of planning and designing multi -use facilities and will collaborate with you to develop a unique solution to your projects that will be specific to the site and context of Kalispell. Reference contact information available through: Chris Martison 1 406.721.5643 1 cmartison@ae.design Shane Jacobs 1406.300.7528 1 sjacobs@ae.design 3.13. EXPERIENCE 1 25 financial capacity. Bond, Compass, and Alchemy have a proven track record of successfully developing, financing, and completing projects similar to the proposed mixed -use Eagles Lot Development. Our substantial combined development success is demonstrated by the cumulative body of work represented in the previous section. We are in communication with local banks who have expressed interest and are aligned with an extremely capable capital group that is identified in the confidential envelope. litigation Montana Hotel Dev Partners and A&E Design hold a strong reputation for ethical business practices and serving their partners and clients fairly and respectfully to achieve long-term relationships and successful projects. None of the partners or team members have been involved in any active litigation in the last three years. 26 1 3.C. FINANCIAL CAPACITY & 3.D. LITIGATION Thank you for the opportunity to supply our documentation for the feasibility of the Eagles Lot project. If you have any questions about the information provided, please don't hesitate to reach out to us. project budget The contents of this section are provided for your reference in the enclosed confidential envelope. operating pro forma The contents of this section are provided for your reference in the enclosed confidential envelope. completion ability The partnership between Montana Dev Partners, LLC, and A&E Design pairs local knowledge and talent with national expertise. Together, we are committed to enhancing efforts at a local level in Kalispell using our collective specialized skills and knowledge. Our extensive references and proven track record exemplify not only our quality work, but also our ability to complete projects within any constraints. Our team has thoughtfully curated the proposed project schedule and pro forma to adhere to the City of Kalispell's timeline. We are dedicated to delivering this project within the City's expectations and will modify our strategy to align with the City's needs, even as they potentially evolve. Please refer to Tab 2, section C for a detailed timeline. 4.A DOCUMENTATION, 4.13 PROJECT BUDGET, 4.C. OPERATING PRO FORMA, & COMPLETION ABILITY 1 27 public benefits. Construction of a parking structure, downtown apartments with workforce housing, and street - level commercial space has tremendous short and long-term benefits for the Kalispell community. From enhancing the sense of place in the downtown core to improving parking and city circulation, propelling the local economy and creating jobs, these benefits are tangible and positively impact the city's future while respecting its rich history. Our design thoughtfully conveys the historical architecture and heritage ingrained in the downtown Kalispell community. With careful attention to design integration within the surrounding context, we celebrate the area's historical significance. However, we build upon that history to improve the experience for locals and visitors alike. We will also improve walkability and the visual impact on the sidewalk surrounding this building. We will expertly infuse nature into the urban setting by adding trees and vegetation. Our design expands sidewalks and creates a vibrant feel in downtown, sparking engagement between the building, its users, and passersby. Parking has been a longtime point of contention for visitors to downtown Kalispell. Our exhaustive efforts identified the city -owned Eagles lot as the most viable location for a new parking structure. We plan to provide ample spaces to accommodate demand without compromising safety or security. Our plan alleviates the strain of the downtown parking situation by replacing the parking we are displacing with the hotel project. We are also working with other financial parties that own a substantial amount of surface parking downtown for a stake in the parking structure. This strategy moves those cars to the structure and creates more on -street parking opportunities for others that do business and play in our city center. The financial implications of this project go beyond tax revenue. The local economy can only benefit as travel and tourism increase in Kalispell due to the added attractions at the Charles Hotel. Our project brings additional residents to the downtown core. Hotel guests, tourists, and our downtown core residents will create a new vibrancy to the community. They will reserve rooms, shop in retail spaces, and dine in downtown bars and restaurants. While they live and visit downtown, these benefits will inevitably translate to other downtown and Flathead Valley businesses. Our apartment residents will likely desire expanded business hours and community activities and seek outdoor recreation, shopping, dining, and other opportunities to influence the Kalispell economy. This development will not only impact the downtown core district but also transform the Kalispell community. Giving local businesses a place for their employees to live is critical to area growth and prosperity. Investing in infrastructure, parking, commercial space and downtown living creates a 5.A PUBLIC BENEFITS 1 29 public benefits continued. catalyst for future growth and improvement. Our project begins to reshape the downtown area, making it an even more attractive destination for residents, visitors, and local businesses who are already captivated by the allure of Northwest Montana's scenery and activities. In addition to providing downtown housing, covered parking, and bolstering activity downtown, as property owners and working with City of Kalispell staff, we understand that we'll be contributing about $247,000 in annual taxes, which continues to bolster the TIF and contribute to great things for our community city assistance. A project of this magnitude is a significant investment, and we have worked in advance of team selection for this public RFP to secure financing from private investors and local banks. It would be appreciated if the city would consider possibly offsetting impact fees for the parking garage development by utilizing TIF funds. Additionally, considering how the hotel improvement at 3rd and Main and the transfer of the land to private hands augments the downtown TIF district, the potential to bond against future TIF monies to offset the cost impact of the parking structure resolves a significant component of the financial puzzle. Hopefully, the City of Kalispell agrees that there is a benefit to the public by expanding public parking infrastructure in addition to what impact fees accomplish for our police, fire, water, storm, and sewer services. 30 1 5.13 CITY ASSISTANCE thank you bond partners C coMPess ALCHEMY