Financial Advisory for revalidation of DPR & Preparation of Public Private Partnership Appraisal Committee (PPPAC) Documents for Proposed Station Redevelopment at Railway Station RAIL LAND DEVELOPMENT AUTHORITY (A Statutory Authority Under MoR)

No. RLDA/2019/PROJECT/NIQ/72 OF 2019 Dated 18.12.2019

NOTICE INVITING QUOTATION RLDA invites single stage sealed quotations from experienced consultants for Financial Advisory for revalidation of DPR & Preparation of Public Private Partnership Appraisal Committee (PPPAC) Documents for Proposed Station Redevelopment at Tirupati Railway Station. RLDA/2019/PROJECT/NIQ/72 OF 2019 Dated Bidding Document No. 18.12.2019

Financial Advisory for revalidation of DPR & Preparation of Name of the work Public Private Partnership Appraisal Committee (PPPAC) Documents for Proposed Station Redevelopment at Tirupati Railway Station

Area of land 30.00 Acre (Approx)

Time of completion of work 15 Days

Client/Owner RLDA

Brief Scope of Work As annexed Last date & time of submission of Up to 26.12.2019 by 15.00 Hrs Quotations Date & time of opening of 26.12.2019 at 15.30 hours Quotations

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RAIL LAND DEVELOPMENT AUTHORITY

QUOTATION FOR

Financial Advisory for revalidation of DPR & Preparation of Public Private Partnership Appraisal Committee (PPPAC) Documents for Proposed Station Redevelopment at Tirupati Railway Station

Q. No.: RLDA/2019/PROJECT/NIQ/72 OF 2019 Dated 18.12.2019

INDEX

Item Page No.

1. LETTER OF PROPOSAL 3

2. 1. SCOPE OF WORK 4

3. 2. SITE DETAILS 5

4. SCHEDULE OF PAYMENT 5

5. VALIDITY PERIOD OF QUOTATION 5

6. FINANCIAL PROPOSAL 5

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Letter of Proposal (On Applicant’s letter head) (Date and Reference)

Rail Land Development Authority, Moti Bagh-I,Near Safdarjung Railway Station, New – 110021.

Sub: - Financial Advisory for revalidation of DPR & Preparation of Public Private Partnership Appraisal Committee (PPPAC) Documents for Proposed Station Redevelopment at Tirupati Railway Station

Ref:- RLDA/2019/PROJECT/NIQ/72 OF 2019 Dated 18.12.2019

Dear Sir, 1. With reference to your Request for Quotation under reference above I/We, having examined all relevant documents and understood their contents, hereby submit our Financial Proposal for conducting site survey of Railway site. 2. The proposal is unconditional and unqualified. 3. I/We undertake to provide any additional information it may deem necessary or require for supplementing or authenticating the Proposal to RLDA. 4. I/We acknowledge the right of the RLDA to reject our application without assigning any reason or otherwise and hereby waive our right to challenge the same on any account whatsoever. 5. I/We agree to keep this offer valid for 30 (Thirty) days from the Bid submission date specified in the proposal. 6. I/We agree and undertake to abide by all the terms and conditions of the Document. In witness thereof, I/We submit this Proposal under and in the accordance with the terms of the Document.

Yours faithfully,

(Signature of the Authorized Signatory) (Name and designation of the Authorized Signatory) (Name and Stamp/Seal of the Applicant/Lead Member)

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SCOPE OF WORK & METHODOLOGY

Following is the detailed scope of work under this assignment:

ACTIVITY 1: FINANCIAL MODELLING Broadly, the scope of work (suggestive but not limited to) for this part of assignment would cover the following aspects

a. The Consultant would prepare financial viability assessment from the perspective of Authority, and from the developer perspectives. This would include financial model that establishes the viability of the project from both perspectives and estimates the total value that can be offered by the prospective bidders. This exercise shall establish from financial perspective, the viability of the scale and phasing and provide a sustainable and attractive ground for pursuing a strategy for the project’s development.It shall show key data points in terms of  Total Project Value/Cost of development in terms of three components viz: Authority facilities construction, commercial development and Premium payable to the Authority by the selected developer  Revenue and expenditure, Interest during Construction, Financing Mix (i.e. Debt / Equity ratio), Project IRR, NPV, Debt Service, Equity IRR, WACC and sensitivity analysis with respect to variables. The period of lease that is best suited shall be provided and justified. Alternative scenarios and their financial impacts may be brought out. b. Consultant will suggest most suitable model for the project. This model will bring out the role, rights, risk sharing and responsibility of different stakeholders. Incentives to potential developers may be pointed out. The model may suggest phasing or packaging of the land parcels or plots in order to develop them in phases or in viable packages. c. Based on analysis, the Consultant shall analyse whether the Project is technical and financially attractive for a private developer and financially attractive enough for Authority for carrying out the project development. Reserve/Guidance Price: Based on the historic & current market rates and circle rates of land duly taking suitable factors for discounting for transaction, size and location of land, and the Concession fee (grant/premium) computed from the financial analysis, the Consultant shall carry out a comparative analysis to verify the suitability or correctness of each of them and suggest the reserve/guidance price to be adopted by RLDA for bidding. ACTIVITY 2: PREPARATION OF DOCUMENTS AS PER THE PPPAC REQUIREMENT Based on the previous section findings, following activities will be detailed out in activity 2. a. Preparation of Term Sheet: -The Consultant shall prepare the term sheet based on the template provided by the Client. Few parameters of the same are listed below: i. Scope of the Project ii. Period of Concession and Justification for the same iii. Estimated Capital Cost, Construction Period, Revenue etc. iv. Construction and O&M v. Financial vi. Dispute resolution etc. b. Preparation of PPPAC Documents: -The Consultant shall prepare the documents as required by the PPP Appraisal Committee. Few parameters of the same are listed below: i. Brief Description of Project ii. Justification of the Project iii. Estimated Capital Costs with break up under major heads of expenditure iv. Phasing of Investment v. Project Implementation Schedule vi. Sources of Financing vii. User Charges viii. NPV & IRR Calculation ix. Viability Gap Funding

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ACTIVITY 3: ASSISTANCE IN PREPARATION OF BID DOCUMENTS a. Preparation of Bid Document: - The Consultant shall, based on RLDA’s Standard Bid Document, provide the commercial terms in the bid documents consisting of the RFQ/RFP, the draft lease/ development agreement including all its appendices, annexures and forms of the bid process. b. In principle approval, NOCs /Permits etc. to be provided by Architectural consultant to Financial consultant as per the check list submission of PPPAC. A. SITE DETAIL

S. no Name of Site Approx. area Remarks Station Redevelopment at Tirupati Railway *Overall area of the station 1. Station 30.00 Acre* complex.

B. SCHEDULE OF PAYMENT Payment will be made in three installments as follows: 1. 50% on submission of draft report of Activity-1 2. 20% on submission of final report of Activity-1 and its acceptance 3. 30% on completion of Activity-2 & 3 and its acceptance Necessary TDS (TAX Deduction) shall be made at the time of release of payments as per rate in vogue and taxes shall be paid as per norms. C. DELIVERABLES AND TENTATIVE TIME FRAME All deliverables mentioned are of the Consultant unless otherwise specified therein shall be as given below:- Item Deliverable Time Frame Remarks

1 Submission of Draft Report (A) 08 Days D+08 1 Submission of Final Report after 04 Days A+04 approval of Draft Report (A) D = Date of issue of LOA A = Date of Approval of Draft Report D. VALIDITY PERIOD OF QUOTATION: - 15 days (Fifteen Days)

FINANCIAL PROPOSAL We, the undersigned, offer to provide the consultancy services in accordance with your Terms of Reference of the quotation. We also accept, without any deviation, the terms and conditions of the above tender. Our Lump-sum fee (exclusive of GST but inclusive of all other taxes and levies) for the services would be as under: CONSULTANCY FEE FOR Financial Advisory for revalidation of DPR & Preparation of Public Private Partnership Appraisal Committee (PPPAC) Documents for Proposed Station Redevelopment at Tirupati Railway Station In figures:

In words : Note : (1) In case of any discrepancy between words and figures, the former will prevail. (2) The rates quoted are exclusive of GST but inclusive of all other taxes and levies. We understand clearly that you are not bound to accept any proposal you receive. We also understand that incomplete or conditional offers would be summarily rejected. Yours faithfully, Authorized Signatory Name, Dated: Seal of the Company

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