Airport West Hotel Expression of Interest January 2020 Contents Introduction .................................................................................................................................................... 3 Evaluation Criteria ........................................................................................................................................ 5 Returnable Schedule .................................................................................................................................. 7 Conditions .................................................................................................................................................... 10 Definintions .................................................................................................................................................. 13 2 © 2020 Perth Airport | Airport West Hotel January 2020 INTRODUCTION Introduction Perth Airport; Airport West Hotel expression of interest 3 © 2020 Perth Airport | Airport West Hotel January 2020 INTRODUCTION Perth Airport; Airport West Hotel EXPRESSIONS OF INTEREST ARE SOUGHT FROM An Information Pack is annexed to this document and EXPERIENCED HOTEL OPERATORS FOR A NEW describes the site and location of new hotel as well as HOTEL AT PERTH AIRPORT WEST, ADJACENT TO other relevant information from the Perth Airport THE REDCLIFFE STATION ON THE Masterplan 2020. FORRESTFIELD-AIRPORT LINK. Various hotel development and operational models will be considered as part of this process, including but not Interested parties are invited to submit proposals for limited to: the management of the hotel on a long-term basis. • Agreement for building lease The opportunity includes working in partnership with Perth Airport to define the hotel development project, • Hotel Management Agreement prepare a feasible business case for both hotel operator and land owner as well as manage the hotel Please submit proposals via email to th on completion of the property development works. [email protected] by 27 February 2019 (Closing Date). 4 2020 Perth Airport | Airport West Hotel January 2020 EVALUATION CRITERIA Evaluation Criteria Airport West Hotel expression of interest 5 © 2020 Perth Airport | Airport West Hotel January 2020 EVALUATION CRITERIA Evaluation criteria The Expression of Interest submissions will be assessed on the following criteria; CRITERIA DESCRIPTION Relevant experience A track record of operating hotels in dynamic and competitive environments. Demonstrated understanding of key trends and influences on hotel operations in the Perth hotel Industry insights market. Insights into key customer segments and proposed value proposition to engage customer Hotel strategy segments. Commercial terms Feasible terms for both the hotel operator and Perth Airport. Capacity for development Willingness and ability to develop feasibile plans in partnership with PAPL, understanding that the partnership project needs to be viable for both hotel operator and property owner. The organisational capacity, which includes a proposed local management team and resources to Organisational support ensure a sustainable operation. Strategic value Benefits of proposed partnership and alignment with Perth Airport’s Masterplan 2020. 6 © 2020 Perth Airport | Airport West Hotel January 2020 RETURNABLE SCHEDULE Returnable Schedule Airport West Hotel expressions of interest 7 © 2020 Perth Airport | Airport West Hotel January 2020 RETURNABLE SCHEDULE Returnable Schedule Please include the following information in any Expression of Interest submission: 1. Corporate organisation and relevant existing hotel operations. 2. Understanding of the Perth hotel market and assessment of the Airport West hotel opportunity. 3. Proposed hotel branding, accommodation standard, food, beverage, conference and any other proposed activities (including the minimum information in below Table 1). 4. Proposed approach to hotel development: a. Suggested process for defining the design and development scope. b. Indicative design briefs or performance specifications. 5. Operating proposal: a. Proposed terms for building lease (as per below Table 2). b. Proposed terms for hotel management agreement (as per below Table 2 ). 6. Acknowledgement of the “Disclosures” in the Information Park: a. “Airport Consolidation” by end of 2025. b. Potential Airport Central Hotel at some future stage. c. Potential “in-terminal” micro hotel, very short stay accommodation, at some future stage. 7. Key operational personnel. 8. Organisation’s financial, management and marketing capabilities. 8 © 2020 Perth Airport | Airport West Hotel January 2020 RETURNABLE SCHEDULE Please include the following information; Table 1; Hotel operational strategy; Airport West Hotel Proposed brand - Value proposition - Indicative room numbers - Convention or meeting rooms proposed - Food & beverage offer - Bar or tavern offer - Other amenities proposed - Table 2: Property terms; Airport West Hotel Preferred tenure (building lease or management agreement) - Building lease; - Indicative base rent per room - Any proposed performance rent - Proposed minimum term (years) - Management agreement (“HMA”); Base fee Incentive fee FF&E reserve contribution Proposed minimum term (years) 9 © 2020 Perth Airport | Airport West Hotel January 2020 CONDITIONS Conditions Perth Airport; Airport West Hotel expression on interest 10 © 2020 Perth Airport | Airport West Hotel January 2020 CONDITIONS Conditions of EOI In providing an EOI submission, the 3.2 Respondent to inform itself fully 4. ADDENDA TO EOI DOCUMENTS respondent is deemed to have read and agreed to the following conditions: PAPL does not warrant the accuracy, 4.1 PAPL may issue addenda currency or completeness of any information supplied in the EOI PAPL may, at any time up to 48 hours Documents and is not responsible for any before the Closing Date, issue addenda to loss or damage caused by reliance on this 1 STEPS OF EOI PROCESS clarify the EOI Documents or to affect a information. modification to the EOI Documents. Respondents should make their own 1.1 Submissions enquiries about all matters contained in the EOI Documents or relevant to the EOI 5. FURTHER INFORMATION Submissions must include all information process. Respondents must: requested in the Returnable Schedule and 5.1 Further information must be submitted via email to a) acquaint themselves with all [email protected] by the aspects of the EOI Documents Closing Date. PAPL reserves its right to seek further (including all documents information from Respondents on any included, supplied with or matter and at any time by requesting: 1.2 Right to amend process referred to in them); PAPL reserves the right at anytime and b) examine all other relevant a) presentations from Respondents; from time to time to cancel, vary, information available on supplement, supercede or replace the EOI reasonable enquiry; b) structured interviews with process (in whole or in part) set out in this Respondents; document by notice in writing to interested c) inform and satisfy themselves as to requirements of any parties. c) written responses from government authority and Respondents; and/or legislative requirements that do 2. VALIDITY OF SUBMISSION or may apply to the project and d) site visits with Respondents. the execution of the 2.1 Validity Respondent’s works; and 5.2 Change in circumstances Proposals are to be valid for acceptance d) form their own assessment of The Respondent must promptly inform by PAPL for 120 days from the Closing the nature and extent of work PAPL of any material change to any Date, or for such longer period as agreed required to execute the project information provided in its submission or between PAPL and the Respondent. and properly account for all of any event that would potentially have an work in its EOI submission. impact on the financial position and 3. RESPONDENTS OBLIGATIONS capacity of the Respondent. 3.3 No warranty on accuracy of reports REGARDING INFORMATION 6. USE OF INFORMATION PAPL has relied on the reports prepared 3.1 Respondent responsible for it by various consultants and other 6.1 Use of information parties. PAPL has not independently The EOI and the Information Pack and any verified the information contained in those PAPL will not provide copies of EOI additional information supplied by PAPL reports. PAPL and its directors, submissions to any other Respondents (EOI Documents) do not purport to employees and agents do not make any without the relevant Respondent’s contain all relevant information in relation representation or warranty (express or permission. PAPL may share the EOI to the project and are provided solely on implied) as to the accuracy, currency or submissions with PAPL’s directly engaged the basis that a Respondent will be completeness of the information provided. consultants for EOI evaluation purposes. responsible for making its own assessment of the matters referred to in the EOI Documents. The Respondent 3.4 Respondent to review risks 6.2 No claims should verify all relevant representations, statements and information (including The Respondent should obtain No Respondent or any other person those contained or referred to in the EOI independent advice from appropriate claiming through an EOI is entitled to Documents or made orally during any sources and make its own evaluation of its make any Claim against, or receive any discussions with PAPL, its employees or EOI submission. compensation from, PAPL or any other