Point Molate Response to RFQ
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Point Molate Response to RFQ Submitted By - Samuelson Schafer a Partnership Company of Samuelson Partners. Along with Samuelson Partners Affiliate Atago Pacific Table of Contents Transmittal Letter Executive Summary Description of Project Team Previous Experience Financial Qualifications 2 Transmittal Letter 3 Ms. Lina Velasco Planning Manger City Of Richmond 450 Civic Center Plaza, 2nd Floor Richmond, CA 94840 RE: Point Molate Request for Qualifications Dear Ms. Velasco: Attached is the package for the above referenced request. Samuelson Schafer understands the terms of this RFQ and have received all amendments to the RFQ that are known to be issued. We look forward to working with you on the development of Point Molate. Sincerely, Eric C. Schafer Partner 4 Statement of Qualifications – Part 1 (Executive Summary) 5 Executive Summary The following document has been prepared by Samuelson Schafer in response to the request for qualifications issued by the city of Richmond Planning & Building Services for the development and master planning of 271 acres of the Point Molate property. Samuelson Schafer is the proposed development entity, and is one of the partner companies to Samuelson Partners. The team will also be comprised of Atago Pacific partners which is an affiliate company of Samuelson partners. The teams roles and responsibilities will be described in more detail throughout the executive summary as well as in the following document. Samuelson Schafer is ideally positioned to successfully develop the full 271 acres. However, Samuelson Schafer’s development process is flexible and seeks to create a master plan in strong partnership with the city of Richmond and the local community which can include partnering with other development companies or developing a smaller portion of the site. Samuelson Schafer is a local Bay Area real estate developer headquartered in San Rafael, San Francisco. Samuelson Schafer has a proven track record of developing high quality buildings and actively participating within the local community to foster economic growth, job creation and the overall sustainability of the environment and community. Over our 65 year history we have a proven track record of working closely with local and regional government entities and proactively collaborating with local community members throughout the full design and development process. Following are some major highlights contained within the document: • Experienced Team - the company has been a successful developer for over the last 65 years, and the team has 200+ years of experience. It has constructed over 5,000,000 ft.² of commercial property, acquired and sold over $1 billion of real estate, developed over $750 million of commercial property over the last 65 years, has managed a portfolio of over $1 billion of distressed loans, and has institutional real estate experience managing both co-mingled and separate accounts valued over $2.5 billion • Local, Regional and International Experience - The team's unique blend of both local and international experience is ideally positioned to not only work closely with local businesses and community members, but attract international investment, multi-national tenants and internationally based institutions interested in engaging in public-private partnerships for infrastructure development • Maintaining historical heritage and fostering sustainability - Even though the specific plan states that there are no historical buildings within the proposed development area we also understand that one of the major objectives of the city is to preserve the cultural heritage of the surrounding community. During the design element of the project there will be a focus on blending the needs of future industrial growth with historical elements of the surrounding community. We will also strive to design buildings with the highest standards of sustainable building best practices in order to preserve the environment. Team members have a proven track of revitalizing historical landmarks as well as spearheading sustainability initiatives within the built environment • Partnership for life approach - It's been our experience that the most successful developments are when the developer takes an active leadership role in the community. It is been one of our missions over the last 65 years to proactively work and give back to the community. We take a partnership for life approach to all our projects and are active community members sitting on the boards for local community organizations and programs. This includes sitting on the board of the YMCA, Occidental College, Fuller seminary etc. we have also started and run our own nonprofit focusing on low-income housing and run programs for high-risk communities such as the homeless and women suffering from abuse. Our focus is not solely on the return on investment and quick exit, but taking an active role within the community to better serve the local residents Samuelson Schafer is dedicated to understanding and working with local city government officials and the local community to meet its main objectives outlined in both the RFQ and discussed during the local community engagement meetings. This is an exciting opportunity, and we look forward to discussing the project and our vision for the site and the surrounding community in the near future. 6 Statement of Qualifications – Part 2 (Project Understanding and Approach) 1 Point Molate Samuelson Schafer is interested in working with the City on Developing a mutually beneficial concept for approximately 81 of the 270 acres located on the four developable areas (The North, South, Central and Core Historic Areas). It is our belief that this is an exceptional location to develop a combination of active living, working lifestyle area by combining, multifamily rental housing, office, and retail that would all work together to the complete environment to support the families that will be living here. This narrative will cover; an overview of the Richmond market and surrounding markets, overview of Point Molate, the Judgement and our approach to meeting the City of Richmond goals and objectives that have been expressed and how they should create employment opportunities on all economic levels. Market Overview The Richmond Area is an urban industrial submarket of the East Bay. While the Chevron Refinery is located there employing approximately 3,000 workers, it also is the home to other various industrial companies. Richmond also has a very low office vacancy rate (4.9%*). Surrounding markets have significantly lower vacancies that will translate to new companies migrating to this site if there is an opportunity to relocate as their need for more space occurs. Another factor is the prospect of creating new energy efficient space with alternative clean energy sources which will be important both environmentally beneficial and will reduce occupying tenant’s overhead costs. Multifamily in the Bay Area has been a hot topic. The City of Richmond has 6,538 units* with a vacancy of 4.9%. Adding to the multifamily inventory will increase the inventory and relieve pressure on the market which will help stabilize rents. Average Office Vacancy Q2 2018 * • Richmond/ San Pablo 4.9%* • Pinole/ Hercules/ El Sobrante 2.3% • El Cerrito 4.4% • Albany Kensington 1.8% Average Multifamily Vacancy Q2 2018 * • Richmond/ Martinez 4.9%* • Concord /Pleasant Hill 3.5% • Walnut Creek/ San Ramon 3.7% • Marin 2.7% • Vallejo 2.8% * Costar Q3 2018. Employment Impact • Creating the opportunity for office, light manufacturing, and R&D companies to occupy Point Molate, jobs of various vocational skill sets will be needed to be filled. If they can commute a short distance to work or by public transit to the company and the lower commute cost will increase their disposable income increases. • The groups that we have contacted are interested in using a local workforce. Allowing companies to 2 have an location with expansion capabilities will keep them in the city, reducing their cost of layoff, training and rehiring and create permanent jobs. • We also believe the reasonable cost of housing we will develop, compared to the rest of the Bay Area, creates an additional incentive to industries locating here. Point Molate/ Judgement Point Molate is 270 acre above water and a 134 acre below water project. The steep topography and contamination from the previous Naval operations limits the uses. There are four areas that have been identified as developable, per the judgement; • the North DevelopmentArea • South DevelopmentArea • Central DevelopmentArea • Core historic Area These areas consist of approximately 30% of the Property. No project has been approved. The goal is to: • Work with the city and its Blue Ribbon Committee to create a use plan by April 13, 2020. • Reuse the 65 historical buildings in a way that celebrates their historical heritage and promoting the different historical occupations. • Build a minimum of 670 multifamily housing units with inclusionary housing. • Use the 1,450 foot pier for recreation and transportation. • Create a new neighborhood with a mix of lifestyle uses and opportunities with a long term economic viability.Through this, Point Molate will be a sought out destination. 3 Statement of Qualifications – Part 3 (Description of Project Team) 1 Samuelson Schafer & Samuelson partners Strategic Investors – Valued Partners 2 Strategic Investors SAMUELSON PARTNERS BACKGROUND Samuelson Partners principle investing activity has strategically grown over the last 65 years.