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Philadelphia Navy Yard Request for Qualifications

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Philadelphia Navy Yard Request for Qualifications PHILADELPHIA NAVY YARD REQUEST FOR QUALIFICATIONS September 27, 2019 CONTENTS EXECUTIVE SUMMARY 3 THE OPPORTUNITY 8 SUBMISSION PROCESS 23 APPENDICES 32 REQUEST FOR QUALIFICATIONS (RFQ) 2 1. EXECUTIVE SUMMARY REQUEST FOR QUALIFICATIONS (RFQ) 3 1. Executive Summary PIDC, Philadelphia’s public-private economic development corporation and master developer of the Philadelphia Navy Yard, is seeking qualifications and expressions of interest from experienced commercial and mixed-use developers interested in planning, delivering, and managing extraordinary office, R&D, and mixed-use residential buildings while shaping a community where companies and their employees thrive. We are seeking qualifications from prospective partners—developers or end-users—interested in developing within two distinct districts of the Navy Yard. Since acquiring the 1,200-acre site from the federal government in 2000, PIDC has been the master developer and site operator of the Navy Yard on behalf of the Philadelphia Authority for Industrial Development (PAID). PIDC’s mission—to spur investment, support business growth, and facilitate developments that create jobs, revitalize neighborhoods, and drive growth to every corner of Philadelphia—informs our strategy for the Navy Yard, where we are focused on building a “the coolest shipyard cohesive community that fosters employment, innovation, and production. POLITICO has called the Navy Yard “the coolest in America” shipyard in America” and many industry observers, including POLITICO Magazine the Urban Land Institute, have recognized the community as a leading model for repurposing military assets for a diversified modern economy. Home to reimagined historic facilities as well as new high-performance and energy-efficient construction, the Navy ardY has a variety of flexible buildings with different heights, vintages, and floorplates, powered by a nationally-recognized microgrid and oriented around iconic parks, complete streets, and a riverfront greenway. REQUEST FOR QUALIFICATIONS (RFQ) 4 1. Executive Summary Today, the Navy Yard is a growing community of nearly 15,000 employees and 170 employers who occupy 7.5 million square feet across a mix of property types, including office, retail, industrial, hospitality, R&D, and institutional. These employers include the Urban Outfitters headquarters; GSK’s North American headquarters; Jefferson Health; life science and technology startups; manufacturers; corporate R&D, including Axalta’s Global Innovation Center; critical U.S. Navy engineering centers; and a graduate engineering, business, and research campus for Penn State University. In recent years, the Navy Yard’s total employment has steadily expanded by approximately 1,000 new employees per year. The Navy Yard’s resurgence tracks Philadelphia’s citywide resurgence. Simply put, people, jobs, and investment are increasingly moving to Philadelphia. Philadelphia has experienced 12 years of consecutive population growth, 30-year record levels of employment, and a job growth rate in excess of the national average and that of peer cities. Much of the city’s and region’s recent economic growth has been driven by a strong base of over 100 colleges, universities, trade, and specialty Philadelphia has experienced 12 years of schools, and the ability to attract and retain highly-educated millennial consecutive population growth, 30-year residents since the Recession. The record levels of employment, and a job life sciences sector has traditionally been an important local driver, but growth rate in excess of the national average. in recent years, the city and region have emerged more specifically as a global hub for gene and cell therapy, with local hospitals and research institutions spinning out startups (including the recipients of the first-ever FDA-approved cell and gene therapies) as well as attracting established names in the burgeoning industry. Roche’s planned $5 billion acquisition of Spark Therapeutics and Amicus’s decision to locate their R&D Center of Excellence to Philadelphia are validations of this strength. In June, publicly-traded Iovance Biotherapeutics, based in San Carlos, California, broke ground on a $125 million, 136,000-square-foot office and cell therapy production facility at the Navy ardY after conducting an extensive national search. Iovance chose the Navy Yard for its access to talent, their ability to build a customized space, and Philadelphia’s unmatched immunotherapy R&D ecosystem. REQUEST FOR QUALIFICATIONS (RFQ) 5 1. Executive Summary The Navy Yard has a clear market advantage for employers seeking access to a strong talent base; a central location in the region with great highway, transit, and airport access; a historic, walkable riverfront community; and customizable buildings that can support office, research, laboratories, and production. PIDC is seeking new partners that will sustain the Navy Yard’s growth and momentum as a place where R&D and life sciences facilities thrive and where dense multifamily development helps support street-level activity and commercial amenities. We will consider submissions from real estate developers and from end- users; we have previously executed both types of transactions at the Navy Yard. From these submissions, we will create a shortlist of highly-attractive prospective partners who we will invite to submit more detailed proposals in an RFP stage. We are offering exclusive development rights within two distinct districts totaling approximately 109 acres. We will consider a single developer relationship or multiple relationships. • First, the Historic Core District, in the heart of the Navy Yard, totals 12 acres and includes both historic multi-story loft warehouses ripe for adaptive reuse and clear sites for new development; this area is intended to be the Navy Yard’s “downtown” and is expected to include multifamily rental buildings with ground-floor commercial amenities, restaurants, and street activity. • The second is the Mustin District, 97 contiguous acres of land that will allow the Navy Yard to sustain its growth as a premier hub for R&D, life sciences, and other commercial facilities, building upon the momentum of the Navy Yard’s Corporate Center, which was successful developed in partnership with Liberty Property Trust and Synterra Partners. This district also includes a quarter- mile stretch of riverfront ideal for mixed-use development. Thank you for your interest. We are proud of all that we and our partners have accomplished at the Navy Yard, including its strong momentum, and we are thrilled for the Navy Yard’s next chapter of talent, innovation, and community. HISTORIC CORE MUSTIN DISTRICT DISTRICT REQUEST FOR QUALIFICATIONS (RFQ) 6 1. Executive Summary SCHEDULE FOR RFQ Task Date Release RFQ Friday, September 27, 2019 Navy Yard tours (voluntary) Week of October 14, 2019 Questions from respondents due Friday, October 25, 2019 Answers from PIDC posted Up to Wednesday, November 6, 2019 Qualifications submissions due (electronic and hard copies) Friday, November 22, 2019 More submission information is included in Section 3. Submission Process, pages 23-31 REQUEST FOR QUALIFICATIONS (RFQ) 7 2. OPPORTUNITY REQUEST FOR QUALIFICATIONS (RFQ) 8 2. Opportunity A rendering depicting PIDC’s vision for an active, appealing riverfront at the Navy Yard STRATEGIC VISION PIDC’s mission—to spur investment, support business growth, and foster developments that create jobs, revitalize neighborhoods, and drive growth to every corner of Philadelphia—steers our strategy at the Navy Yard. The Navy Yard is intended to be, first and foremost, a cohesive community where companies and their employees thrive. In addition, the following priorities guide our work and serve as goals for future development partnerships at the Navy Yard: • Increase employment at the Navy Yard through steady and recurrent new development; • Grow the Navy Yard’s commercial, R&D, and life sciences base through strategic business development and the creation of high-quality facilities, expanding upon the successes of the Navy Yard Corporate Center, developed by Liberty Property Trust and Synterra Partners; • Increase taxes and economic growth within the City of Philadelphia; • Expand the Navy Yard’s portfolio of exceptional, high-performance buildings that constitute a collection of some of Philadelphia’s best new architecture; • Honor the Navy Yard’s history, historic building stock, and heritage trees; REQUEST FOR QUALIFICATIONS (RFQ) 9 2. Opportunity • Create a system of streets, parks, plazas, and open spaces that encourage people to spend more time outdoors, together; • Build “third places” that include food & beverage operations and services useful for employees, residents, and visitors, fostering collaboration and community; • Develop adaptable infrastructure and buildings that anticipate and can adapt to future changes in transportation, workstyles, and climate; • Contribute to a managed public realm that will attract, develop, and retain talent; • Orient workplaces for multimodal commuting by considering current and future bus stops, bike infrastructure, pedestrian safety, parking demand management solutions; • Contribute to the adaptation and integration of smart-city systems and technology; • Include diverse and inclusive development teams and diverse equity participation; • Maximize private investment, optimize public investment, and minimize public risk; and • Update the existing master plan to guide the Navy Yard’s next era of growth in collaboration with multiple partners.
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