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Request for Development Proposals: Sheraden Market in the Sheraden Neighborhood of the City of Pittsburgh

General Information & Goals }

 
 
The Urban Redevelopment Authority of Pittsburgh (URA) is seeking proposals for the redevelopment of the former Sheraden Market and adjacent parking lot located at 2928 Sheraden Boulevard in the City’s Sheraden neighborhood.  Since the closing of the market in 2011, Sheraden has been considered an underserved, urban supermarket area or “food desert.” The community and the URA are seeking a new supermarket to be opened at the site, but will consider other retail or mixed-use proposals.  Proposals will be accepted by a grocer/retailer looking to acquire the property, renovate it and open a neighborhood-based store; a grocer/retailer to lease the property to open a store; or a developer who would bring a grocer/retailer as its primary tenant. 

There is no public commitment to provide funding for any renovations or site work.  If a proposal is conditioned upon such funding, the amount and terms of such funding will be a consideration of approval.

 

Quick Stats }

RFP Issued:              Monday, February 4, 2013

Proposals Due:         Friday, February 22, 2013 by 12:00 PM EST

Neighborhood:                Sheraden - 20th Ward, City of Pittsburgh, Census Tract 2022

Address  - Parcel A:      640 Hillsboro Street, Pittsburgh, PA  15204

Address -  Parcel B:       2912 Sheraden Boulevard, Pittsburgh, PA  15204

Address  - Parcel C:       2928 Sheraden Boulevard, Pittsburgh, PA  15204

Address  - Parcel D:       2942 Sheraden Boulevard, Pittsburgh, PA  15204

Lot and Block No:         Parcel A:  42-R-301

                                          Parcel B:  42-R-304

                                          Parcel C:  42-R-312

                                          Parcel D:  42-R-314

Size of Parcels:          Approx. 42,344 sq. ft. –  total lots / 6,525 sq. ft. – building

Council District:          2

Councilperson:           Theresa Kail-Smith

 Zoning:                         LNC – Local Neighborhood Commercial District

 Preferred Reuse:      Grocery Store

Sales Price of 4 combined Parcels:   Please propose a price that allows for a project that is economically viable and meets a “highest and best use” standard, which is our goal for the project (commercial retail use).                                                      

Primary Contact:         Claren Healey; 412-255-6568; chealey@ura.org

Site Description and Timeline }

Site Description

Originally opened as a supermarket in the late 1950s, it was extended to its current size over 40 years ago.  A Foodland store closed in 2008 and re-opened under new owenership soon afterward.  However, it closed again for good in mid-2011.  The URA purchased the property in September of 2011. Shelving, coolers, a deli counter and deli equipment remain and are being offered in “as is” condition along with the real estate.

The building is situated at the intersection of Sheraden Boulevard, Hillsboro and Chartiers Avenues across from Langley School, a former high school restructured beginning this 2012 school year as K-8, in the Sheraden neighborhood of the City of Pittsburgh.  It is cater-corner to a PNC Bank branch office, a short walk to the busway and a short drive to the Sheraden park-and-ride.  The property is a one-story concrete block and brick supermarket with frontage along Sheraden Boulevard of approximately 200 feet, a loading dock of approximately 13,128 square feet and located on a lot containing approximately 25,000 square feet. The building is in fair condition. Adjacent to its immediate south is a parking lot of approximately 9,000 square feet.  This parcel 42-R-304 currently includes a small retail building which due to its condition will be demolished by the URA. 

Timeline

RFP Release                                         February 4, 2013

Guided Site Tour                                   February 7, 2013 from 9:00 AM to 10:30 AM  

                                                           * FLASHLIGHT  NEEDED FOR TOUR (NO ELECTRICITY ON SITE)

Q & A Session                                        February 8, 2013 at 9:00 AM, 200 Ross Street, 13th Floor

RFP Proposal Due Date                         February 22, 2013 at 12:00 PM

Technical Evaluation & Interviews              Week of February 25, 2013

Recommendation to URA Board                  March 14, 2013

Neighborhod Market Conditions }

Based on June, 2012 census estimates, Sheraden has a population of 10,404 and a projected weekly supermarket potential of $565,829. 

Business District Market Profiles

In an effort to support neighborhood revitalization efforts, the URA has created business district market profiles to provide a statistical snapshot of these areas. The market profiles use a two minute drive time radius as designation of the trade/market area around the center of the commercial corridor.

These reports are meant to provide basic information and should not be considered conclusive comprehensive market studies. Data has been collected through ESRI Business Analyst, a GIS-based market data program.

The market profile relevant to the development area may be viewed at http://www.ura.org/pdfs/marketProfiles/Sheraden_Profile.pdf.  Of note to evidence the market opportunity is the Median Disposable Income of households of $39,196 and the Leakage/Surplus Factor for Food and Beverage Stores of 70.5.

Selection Criteria }

A developer will be selected based on, but not limited to, the following criteria:

  1. Developer’s experience in completing successful development projects in an urban environment
  2. Amount of store square footage devoted to sale of food and types of food made available
  3. Demonstration of ability to attract and secure financing
  4. Magnitude of investment in the site, as it pertains to the project’s impact and scale
  5. Experience with infill development projects
  6. Experience and ability to assemble a team with the appropriate specialities for a project requiring various types of development
  7. Commitment to Green Building standards
  8. Commitment to Minority/Women Owned Business Enterprise participation
  9. Demonstration of commitment to community participation and interaction for the project and experience with community engagement in previous projects

A developer will be recommended to the URA Board based on the overall quality of the proposed project.  The evaluation of the developer’s qualifications, experience, and capacity will be based upon information in the Proposal submitted by the developer, interviews, investigation of projects completed by the developer, assessment of performance in previous undertakings, and other pertinent factors.  The URA will be following its Disposition Process which includes significant design review and construction oversight.  For a copy of the full Disposition Process, please contact the URA.

The URA Board must approve any and all developers who will purchase URA land.  The URA also reserves the right to reject any and all submissions.   

Proposal Requirements }

These requirements are designed to establish a developer’s overall capacity to complete this project. 

  1. Project Narrative
  1. Description of development plan
  2. Describe income and use mix
  3. Explain ownership entity
  4. Prospective development timeline
  5. Discussion of parking needs
  6. Schematic drawing of proposed project
  1. Relevant Development Experience
  1. Brief description of similar projects (date, location, concept)
  2. Photographs of projects
  3. Description and role of development entity
  4. References - strong references include banks, municipal entities, co-developers, tenants, and press clippings that include project narratives to describe previous work
  5. Brief description of community engagement in previous projects
  1. Financial Capacity
  1. Detailed description of ability to finance the costs associated with project
  2. Identify the people or entities in the proposed development team, including all joint venture, general, or limited partners, and percentage of interest
  3. Role of each development partner in the implementation of the development plan
  1. Budgets
  1. Preliminary development budget including proposed list of financing sources and project uses, including acquisition costs
  2. Prospective construction budget
  3. Cost flow analysis

Proposal Structure }

Responses should be limited to ten (10) pages plus exhibits.  Five (5) paper copies plus one (1) electronic version containing one (1) PDF file should be sent to:
               

Claren Healey

Urban Redevelopment Authority of Pittsburgh

200 Ross Street, 10th Floor

Pittsburgh, PA  15219

 

All responses should include the attached RFP Summary Page (see “Exhibit A”) as the cover page.  This page should be fully completed by the developer.  ALL RESPONSES MUST BE RECEIVED BY 12:00 PM (NOON) ON FEBRUARY 22, 2013 for consideration.  Any late responses will not be reviewed.

All information submitted including attachments, supplementary materials, addenda, etc. will not be returned.

 

Legal Information }

URA shall have the right to verify the accuracy of all information submitted and to make such investigation as it deems necessary to determine the ability of a prospective developer(s) to perform the obligations in the response.  URA reserves the right to reject any response where the available evidence or information does not satisfy URA that the prospective developer(s) is qualified to carry out properly the obligations of the response, is a person or firm of good reputation or character for strict, complete and faithful performance of business obligations, or if the prospective developer(s) refuses to cooperate with and assist URA in the making of such investigation.

  1. Inspection of Parcel:  Developers shall be given an opportunity to inspect the property and the title to the property, among other things.  If the developer is selected and elects to proceed after exercising its due diligence, it shall acquire or take possession of the parcel(s) in “AS-IS” CONDITION.
  1. Building Permits, Zoning Variances, and Financial Viability: The sale of the property in no way guarantees or warrants demolition permits, building permits, zoning variances, or financial viability.
  1. Disclaimer of Liability: Developer(s) acknowledges by submitting information and proposals to the URA that the URA does not undertake and shall have no liability with respect to the development program, this RFP, and responses thereto nor with respect to any matters related to any submission by a developer(s).
  1. Minority/Women Owned Business Enterprises (M/WBE) Requirements: All developers must demonstrate a good faith effort to obtain minority and women owned business participation in the project.  The City of Pittsburgh’s goal is eighteen percent (18%) minority and seven percent (7%) female participation in predevelopment activities such as design or legal as well as construction contracts and purchases.  The successful applicant will be required to submit an M/WBE plan as part of the project approval process.  Any questions about M/WBE requirements should be directed to Chuck Powell, director of Diversity Affairs and Community Outreach, at (412) 255-6611 or cpowell@ura.org.
  1. Sustainability Requirements: All developers must demonstrate a good faith effort to incorporate environmentally sustainable features and practices into their development plan. The successful applicant will be required to submit a sustainability plan as part of the project approval process. Any questions about sustainability should be directed to Matt Smuts, sustainability coordinator, at (412) 255-6430 or msmuts@ura.org.
  1. The developer, for itself and its employees, contractors, and primary subcontractors, agrees not to discriminate against or segregate any person or group of persons on any unlawful basis in the construction, sale, transfer, use, occupancy, tenure or enjoyment of the property or any improvements erected or to be erected thereon, or any part thereof.
  1. The URA shall be the sole judge as to which proposals best meet the selection criteria. Notwithstanding anything in this RFP to the contrary, URA reserves the right to reject any or all proposals received, to waive any submission requirements contained within this RFP, and to waive any irregularities in any submitted proposal.
  1. To ensure receipt of any addenda to the RFP, please email Claren Healey for inclusion on the list at chealey@ura.org.

 

Attachments & Photos }

A.       RFP Summary Sheet

B.       Development Area Site Map

Download URAs Green Development Incentives

Download URAs Green Development Resources for Commercial Development

Download URAs Green Development Resources for Residential Development