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Home My WebLink AboutTHIRD BLOCK WEST 10-2-89 ��•=" REQUEST FOFSEDEVEL MENT ASEENCY ACTION RH 89-89 Date October 2, 1989 t/� G Submitted to: Honorable Chairman and Redevelopment Agency Members , Submitted by: Paul E. Cook, Executive Director AppjtQVED BY CITY CUU L >/ CP r+ r�;rn Prepared by: Paul E. Cook, Executive Director 'O 1 ��® 1 --v � Subject: REQUEST FOR PROPOSAL: THIRD BLOCK WEST COY K r Consistent with Council Policy? [%] Yes [ ] New Policy or Exception a Statement of Issue, Recommendation, Analysis, Funding Source, Alternative Actions, Attachments: STATEMENT OF ISSUE: Transmitted for Redevelopment Agency consideration is a RFP for a mixed-use project within the Main-Pier Redevelopment Project Area. The targeted site is bounded by Main Street, Orange Avenue, Fifth Street and Olive Avenue. RECOMMENDATION: Approve the Request for Proposal. ANALYSIS: The attached RFP solicits development proposals for an 84,000 sf, mixed- use project on the third block of Main Street. Based upon area marketing studies provided by Halcyon Corporation, the proposal suggests a project which incorporates a 13,000 sf market as the site anchor. It further provides for retail and office use fronting Main Street and construction of approximately 28 residential units behind the commercial portion. Alter- nate configurations which conform to District #5 designations (mixed-use; commercial/office/residential land use) may be submitted by the partici- pating developers. FUNDING SOURCE: None required as a result of this action. ALTERNATIVE ACTION: Do not approve the Request for Proposal. ATTACHMENTS: Request for Proposal, Third Block West. PEC/SH:kj l i PI O/1/85 • • City of Huntington Beach 215'/s MAIN STREET CALIFORNIA 92648 HUNTINGTON BEACH REDEVELOPMENT AGENCY OFFICE OF THE EXECUTIVE DIRECTOR September 21, 1989 Dear Developer: RE: Third Block West The Redevelopment Agency of the City of Huntington Beach is pleased to announce that it is seeking a developer for a mixed-use project in the heart of downtown Huntington Beach within the Main-Pier Redevelopment Project Area. The Agency wants a developer who has a proven ability to develop and secure the commitment of quality retailers for the construction and operation of facilities within this project. The selected developer must work cooperatively with the Agency in designing and constructing public amenities and developing proposals which are compatible with the city's adopted Redevelopment Plan. We are looking for an economically viable development and one which will demonstrate the careful planning and design necessary for a project of high quality. We welcome your interest and participation. `Sincerely, Pau E. Cook Executive Director PEC:lp Telephone (714) 969-2185 EXECUTIVE SUMMARY DOCUMENT: Request for Proposal PROJECT: Third Block West CITY Huntington Beach, California AGENCY: City of Huntington Beach Redevelopment Agency . SITE: Approximately 84, 000 square feet LOCATION: Bound by 5th, Orange, Main, & Olive ZONING: Mixed-use; commercial/office/residential . DEVELOPMENT OBJECTIVE: Approximately 27, 000 sf mixed retail , 14, 000 office, 28 housing units.•. OWNERSHIP: 75% Agency owned, 25% Privately owned; owner part- icipation is .encouraged. AGENCY ASSISTANCE: To be negotiated based on economic need and projected return. RESPONSE DEADLINE: 5 : 00 P.M. Huntington Beach Redevelopment Office. 215 '1/2 .Main Street. CONTACT PERSON: Paul Cook ( 714) 536-5575 TABLE OF CONTENTS REQUEST FOR PROPOSALS Main Pier Redevelopment Project Area Third Block West FACT SHEET TABLE OF CONTENTS I . BACKGROUND II . REQUEST• FOR PROPOSALS A. Invitation to Submit Proposals B. Existing Project Area C. Proposed Development D.. Agency Commitments E. Submittal and Selection Schedule III . MARKET .INFORMATION A. Neighborhood residents B. City .Residents C. Regional Residents/Beach Visitors D. Tourists IV. SUBMISSION REQUIREMENTS A. Summary of Submission Requirements B. Proposal Content C. Selection Procedure D. Selection Criteria E. Right to Reject APPENDICES (Available Upon Request to Developers) •Downtown Specific Plan - Revised January .1989 Downtown Design Guidelines Main-Pier Redevelopment .Area - Fact Sheets Exhibit 1 - Proposer qualification statement Exhibit 2 Financial information release authorization Exhibit 3 - Certification of correctness of statement of financial capability Exhibit 4 - Offer to exclusive negotiation to develop the redevelopment parcels I. BACKGROUND THE CITY OF HUNTINGTON BEACH Huntington Beach is located in the southwestern portion of Orange County. It is adjacent to Westminster and Fountain Valley to the north, Costa Mesa and Newport . Beach to the east, the Pacific Ocean to the south, and Sunset Beach to the west. Huntington Beach is - situated approximately 28 miles southeast of Los Angeles and 90 miles northwest of San Diego. The City has an estimated 1989 population of 189, 000. This represents an 11% increase from the 1980 census figure (170, 127 ) and a phenomenal 1545% increase since 1960 (11 ,492 ) . Incorporated as a charter City in 1909, Huntington Beach is governed by a seven member council/administrator-form of government. Huntington Beach' s General Plan was adopted in - December 1976 . It embraces nine elements, including land use, open space and conservation, safety, noise, recreation, circulation, housing, coastal and community -facilities. Both law enforcement and fire protection are fully provided through the City .of Huntington Beach. Refuse collection, is contracted through a private firm. and streets and parks are maintained by City crews and equipment. Fine educational faci-lities are provided to City residents by way -of five school districts; Huntington Beach Elementary, Huntington Beach Union High, Ocean View " Elementary, Fountain Valley Elementary, and Westminster Elementary. These districts provide 43 elementary schools and five high schools with a combined estimated average daily attendance of 45, 777 .,-. Higher learning .is available at Golden . West Community College; which is located within the City boundaries, California State University-Long Beach, California State , University-Ful'lerton, . and University of California - Irvine. Also serving Huntington Beach' s educational needs are three private schools. Shopping is available to residents through 31 neighborhood shopping centers and a regional enclosed shopping mall (Huntington Center) . Huntington Beach' s accessibility is made easy via an extensive transportation network. Rail facilities within the City are provided by the Southern Pacific Railroad Company and the nearest Amtrak station is located .10 miles away. Bus services are provided by the Pagel Orange County Transit District (.00TD) with linkages to the . Los Angeles Metropolitan . area. Important to Huntington..Beach' s transportation system are three major highways; the San Diego Freeway ( 405 ) , Pacific Coast Highway (1 ) , and Beach boulevard ( 39) . Most major trucking lines serving Los Angeles . and Orange County service Huntington Beach. Air passenger and air freight service is available through several airports; John Wayne Airport, Long Beach Airport, and Los Angeles International Airport. Huntington Beach' s water supply is. provided by the Huntington Beach Water Department. Sewer services are provided by the Orange County Sanitation District. Natural gas services are provided through the Southern California Gas company and electricity is provided by the Southern California Edison Company. Telephone facilities are provided through General and Pacific Telephone companies . According to the Annual Planning Information Report for 1985 published by the Employment Development Department, nonagricultural wage and salary employment in Orange County grew by 9% in Y984 to 953, 000 for a net growth of. 78, 500 in the number of jobs. A well diversified manufacturing base provided 24% of the wage and salary jobs with. dependence on aerospace contracts greatly decreased - fro the level ' of the late 60 ' s. - Trade accounted for 25% of the wage and salary jobs in Orange County, the service industry 24%, government. 11%, and all other -non-farm industries 17 The .agricultural working force totaled 8 ,700 in 1984 representing less 'that one percent of all jobs in the county. Huntington Beach has 1,762 acres zoned. for planned industry of which approximately 60 acres is currently vacant, new housing costs range from a low of $90, 000 to a high of $900, 000 . Excellent health facilities and services are available in Huntington Beach. Located within the City are two hospitals with a combined total of 251 beds. There are 193 doctors, 118 dentists, 15 chiropractors, 24 optometrists, 40 medical and dental ' -laboratories , and several convalescent facilities. Recreation is abundant. in Huntington_ Beach. Residents have access to 9 miles of beach, 57 public parks, three golf courses, 72 . tennis courts, a marina and many private clubs . Nearby. are such facilities . as Disneyland, Knott' s Berry Farm, the Queen Mary and the Spruce- Goose, Anaheim Stadium, and the Los Alamitos Race Track. Paget Huntington Beach is a well balanced community .with an excellent location with -easy access to freeways and airports; clean air, extensive recreation facilities and programs, beautiful beaches, progressive local government, numerous retail shopping centers, and a wide variety of employment opportunities. Citizens actively contribute their time and energy generously to maintain and enhance the outstanding living environment of Huntington Beach. In 1982 the City of Huntington Beach, in an .effort to revitalize its downtown .core, established the Main-Pier Redevelopment Project Area. Central to the project area was the implementation of a village concept which emphasized the following: The development of mid-density residential projects in the neighborhood surrounding Main Street; The development of. neighborhood serving uses in the third and . fourth blocks north of Pacific coast Highway; The recognition that regionally oriented retail and entertainment uses are most appropriate along PCH and .north of Pacific Coast Highway along the first two blocks of Main Street; That substantial parking lot development will be required if retail revitalization of the Main Street Commercial core is to truly be successful. Towards that end, the Agency has been aggressively implementing the plan with over a dozen projects built, Under construction, or planned. . II. REQDEST FOR PROPOSALS A. INVITATION TO SUBMIT PROPOSALS The Huntington Beach Redevelopment ' Agency is seeking a developer fora mixed-use .project within the Main-Pier Redevelopment Project Area. 'The Agency seeks a qualified developer who has the ability to secure the commitment of . quality retailers . for the construction and operation of facilities within this proposed resident and visitor-serving complex. . The selected developer must work cooperatively with the Agency in. designing and constructing public . amenities and developing proposals which are compatible with the city' s adopted Redevelopment Plan. Page3 The Agency will select and enter into an .Exclusive negotiation Agreement with the best qualified developer for the project. The developer selected will be expected to prepare a master plan of,, the site. Of primary importance in the selection of the developer, will be the overall .quality of the development team as evidenced by previous work, financial capability, willingness to . work with the Agency in providing options which offer existing property owner participation in the project or other Agency projects . B. EXISTING PROJECT AREA The Third Block West project area is a full city block bounded by Olive, 5th, Orange and fronting Main Street, encompassing approximately 84, 000 sf of land. The block is currently 75% owned by the City of Huntington Beach Redevelopment Agency with the remaining three parcels - under private ownership. The project area is located within District 1#5 of the city' s Downtown- .Specific Plan. The proposed project must comply with all design guidelines as outlined in applicable city policy documents. ' District . #5 designated as Mixed-Use; Commercial/Office/Residential Land-use District. This District includes the blocks on either side of and including Main Street, and constitutes the oldest commercial area in .the City. The purpose of this District is to -- re-establish the area as the Downtown for the City by creating a more urban- atmosphere, encouraging relatively higher intensity development with -viable commercial office and residential uses . Within this district, the Main Street . pier axis is intended to be an active, vital and interesting pedestrian and vehicular way, intersecting with and complementing the visitor-serving commercial area on PCH and the Pier area. Currently the project area is over half utilized by surface parking with the remainder largely occupied by existing commercial uses. C. PROPOSED DEVELOPMENT After careful consideration of the project area by the City and its consultants, the city proposes the development of a mixed-use project that will serve the downtown residential population, while providing an amenity to the beach visitors. In addition, the project is to provide parking. above that required by. . . the development per code, to help mitigate the neighborhood' s parking short fall. Page4 i For Third Block West a high density mixed-use " complex integrating a specialty market, street retail , second level office, - and approximately 28 two-story walk up residential units is proposed. A suggested development program, by level follows: Below Grade: Two levels of subterranean parking each with approximately 135 spaces is proposed. The lowest level will serve the residential and office population, the first level down._ wil.l provide ' public parking. The proposed first floor contains the following uses and characteristics. A minimum ' 13, 000 sf grocery market located at the northeast• -corner of .the complex 14, 000 sf of street level retail on Main Street from the market to O1ive' Street. Approximately 110. parking stalls of which about one- third are .exposed surface parking, with the remainder in the parking structure below. Parking for residential units above. The second floor program includes: ^Approximately 14, 000 sf of office space fronting Main street. Approximately 28 residential walk-up units organized around a central courtyard. Parking is provided directly under the . housing units. . Third floor program.- The third floor plan comprises the upper floor of each residential unit. An alternative development program will be accepted. D. AGENCY COMMITMENTS The Redevelopment Agency is prepared to. facilitate the implementation . of the project through the following actions: 1 . Provide for the coordination of , property owner participation discussions as appropriate to facilitate project implementation efforts. Pages --------------- 2 . Continue with the acquisition of land within the project area subject to the availability of Agency. funds . 3 . Pursue all actions necessary to _assemble land as, required and needed for specific site development. These actions will be subject to. the provision of acquisition funds by developer. 4. Provide tenant and business relocation advisory assistance as required by -law and Agency policy guidelines . 5 . Assist site development efforts by providing economic assistance if shown to be required. . E. SUBMITTAL AND SELECTION SCHEDULE The Schedule of Events as anticipated in the Request for Proposals process is : Action Date Agency issues Requests for Proposal . . (To be filled in) Developer responses due 5: 00 P.M. Agency' s review of proposals. Preliminary interviews and request for any clarifications of materials. Possible presentation( s ) to selection committee and/or Agency committee. Selection of developer and entering into exclusive negotiations. Period of exclusive negotiations begins. Execution of Disposition and Development Agreement between Agency and developer. III. MARKET INFORMATION Based upon current development trends in •Huntington Beach, the Third Block West mixed-use project should enjoy patronage from four distinct market segments: neighborhood residents, City residents , regional residents, and tourists. The characteristics of each of these submarkets is outlined in the following paragraphs. Page6 A. NEIGHBORHOOD RESIDENTS. As described in the appendices A Main=Pier Redevelopment Area-Fact Sheets) , there are a large .number of developments, recently completed, currently under construction, or planned in the immediate vicinity of the Third Block West project which indicate .. there is a rapidly expanding pool of potential shoppers in the Main Street neighborhood. To date, there are over 440 units completed or under construction within two blocks of the Main Street District and an addition additional 1, 000 units are in the late. or early planning states. In addition to these proximate . .projects.' there has been, a ' large volume of privately sponsored projects, developed within the. last three years in the area representing well over 200 (minimum)new condo and apartment units .' . The demographic profile of existing neighborhood residenits is stlrong. There are an. estimated 8 ,290 , 18,490 , 38, 580 , households within a 1 , 3, and-5 mile radius respectively. Average income n 1988 hats been respectively estimated to be 35, 500 42,140 and 47 , 660 for residents within a 1 , 2, and 3 mile radius of Main Street - and Pacific .Coast Highway. Owner occupancy within a 3 mile radius is significant ' particularly for a beach community, at 58 .7 . Overall , _with new condominium projects demanding higher. prices, the median family income has been rising, and is anticipated to continue to rise. The table on the following , page details the demographic characteristics of existing neighborhood residents. B. CITY RESIDENTS ]Estimates of beach visitation indicate: that close to ' 20% of the annual 6 , 000 , 00.0 visits to City beaches are by City residents, with the pier area acting as the "anchor" for this activity. Median household income for the city' s approximately 70, 000 households is estimated at roughly $38, 000 and over 30% of the City' s households earn incomes above $50, 00'0 annually. More than 60 of the -City' s residents reside in two income households. 1Donnelly Marketing Services Pagel MAIN STREET NEIGHBORHOOD DEMOGRAPHICS 1 Mile Radius 3 Mile Radius Population 1993 Projection 19,417 96,444 1988 Estimate 16,763 91,233 1980 Census 12,503 81,524 1970 Census 7,558 47,164 Households 1993 Projection 9,898 38,585 1988 Estimate 8,292 35,145 1980 Census 5,869 29,109 1970 Census 3,355 14,621 Population by Race White 94.1% 91.0% Black .69o' .6% American Indian 1.0% .7% Asian&Pacific Islander 1.4% 4.7% Other Races 2.9% 3.0% 1988 Median Age 30.7 32.5 1988 Occupied Units Owner Occupied 29.9 58.7 Renter Occupied 63.4 37.4 Persons per Household 2.1 2.8 1988 Estimated Househol� s by Income $75,000+ 7.2% 14.8% $50,000-$74,999 12.8% 21.0% $35,000-$49,999 18.3% 19.590 $25,W0434,999 16.7% 14.8% $15,000424,9W 20.3% 14.3% $7,500-$14,999 14.8% 9.6% Under$7,500 9.9% 6.0% Average Household Income $35,300 $47,661 Median Household Income $28,000 $39,089 Per Capita Income $17,533 $18,434 C. REGIONAL RESIDENTS/BEACH VISITORS The Main Street and Pier areas attract tremendous visitation from Orange, Los. Angeles, and San Bernardino County residents: Visitation by regional residents, excluding Huntington Beach residents, is over 3 ,500, 000 annually at City beaches. Although this , group of users is undoubtedly attracted to the area primarily by virtue of its proximity. to the beach, not it' s retail offerings, there .is no question they contribute significantly to the District' s sales, particularly in the quick service food category. D. TOURISTS In the past, the habits of tourists visiting the Main Street area were similar to those of Regional residents .. However, the completion of the Hilton Hotel in mid-1990 will bring a large population of visitors to the Main Street District who were previously under-represented -- upper income tourists and corporate meeting attendants. The new submarket will undoubtedly contribute significantly to the sales. potential in' the food, fashion, and gift categories. The 293-room Hilton is just the first phase of. the.,four hotel "Waterfront" project. Total room .count ` upon completion of the Waterfront project will be approximately 1, 400 . IV. SUBMISSION REQUIREMENTS A. SUMMARY OF SUBMISSION REQUIREMENTS - SUMMARY Proposals for Third Block West may include specific elements outlined in Section IV-B.. However, alternate development programs will be accepted. The Agency' s primary concern is the economic component of each proposal . a. Developer' s Qualifications.: Attached as Exhibit 1 is the Proposer Qualifications Statement which must be completed_ by all -proposers. b. Financial Package: Each proposal . must be accompanied by A package of financial documents, detailed in Section IV-B- Proposal Content. . The proposer should be sure to complete attached Exhibits 2 and 4. c. Projects and .Reference: Page8 Each proposal must include a complete list of major ,projects completed by the proposer. A detailed proposer reference list, including financial and retail ' tenant relationships, must also be included. d. Development Schedule: Each proposal : must be accompanied by a proposed development schedule for the project. e. Offer to Negotiate Exclusively: Each proposal must be accompanied by a . signed Offer for Exclusive Negotiation (Exhibit -3 ) for a 60-day negotiating period, which will begin when final developer selection has been completed. B. PROPOSAL CONTENT 1 . Developer( s) Experience The developer' s previous relevant -project- experience for a single project of this size ( including joint venture partners) ; photographs, a brief description of projects (date, location, concept land uses, size, architectural features, design of off site improvements, construction costs, role of development entity; etc. ) . Include also experience in development and operation of joint public/private partnerships , and time schedules from the last three projects. 2. Developer' s Financial Qualifications . A Statement. of the developer' s qualifications and an audited financial statement must be submitted. Submittals should include information as outlined in the Developers Statement. of Qualifications and Financial Responsibility. . Ten copies of Qualification forms are required. In addition, proposers should describe their ability to raise equity/debt dollars, including current relationships with major lenders, and their ability to provide. for ongoing operation and maintenance of project. 3. Organizational and Management Approach Organizational and management approach, and role of each development partner and major consultant in the implementation of the Page9 development. Identification and role of key individuals in the development team, (architects, engineers, project manager,, and others) , who would be involved in , the implementation, including their background experience. 4. Project Development - Description and Physical Planning A written analysis of the Agency' s plan shall be submitted. Based on the developer' s analysis, an implementation program including phasing and timing for the total project shall be submitted. I 5. -Owner- Participation The Huntington Beach Redevelopment Agency has adopted owner participation guidelines for the Main-Pier Redevelopment• Project - Area. A written statement as to how the developer intends to approach owner partic.ipation -in the .project' s implementation is required. 6 . Economic Feasibility/City Project A major objective of the City/Redevelopment Agency, . in terms of the project, relates to its long-term economic benefit to the city. In order to provide for the long-term viability of the project, in terms of both municipal services for the project as well as net project benefit to the total community, the generation of significant annual project revenue. is critical to the city. In view of this, revenue projections in 1989 dollars must be included as a part of the submittal .. 7 . Economic Feasibility/Developer - Project A financial pro forma shall be included . as a part of the proposal and include the following elements: 1 . Project rents for each use and project total . 2 Projected sale price for each residential unit. 3. Proposed net rentable rate. 4. Estimated market capitalization rate. 5 Estimated value of improvements, including fixtures and equipment. Page10 A written statement shall be included expressed in dollars per net square foot, as to the projected reuse purchase price, based upon individual project components. Any further obligation or conditions imposed upon the Agency in terms of assembling the property must be. stated by the developer in writing. ' 8. Estimates for Operating, Expenses An additional measure to aid in comparison of proposals is the expected rate of return on the project and comparable rates of return received for similar projects.. '' In addition, a generalized construction, pro forma shall be provided including estimates on the following: 1. - Cost per square- foot and total cost to build. 2 . Cost of tenant improvements including fixtures and equipment: 3 . Architectural , engineering, and other pre- development costs. 4. Other .construction related fees carrying costs, fees, financing, grading, etc. 9. . .Economic Benefits Provide an overview of the economic benefit( s) of other projects to the cities in which they were built, including an overview of the 1 . Total annual sales tax generated on a. per square footbasis. 2. Before and after property valuation of last five projects. I. Total number of new permanent and part- time jobs created as a result of the last five ( 5) projects. 10 . Offer to Negotiate Exclusively All offers to Negotiate Exclusively must be in writing and in a form substantially the same as the form of the Offer to Negotiate Exclusively included as Exhibit 4. The offer should be on developer business letterhead and provide one original and one copy, each executed. P.age11 11. Miscellaneous Information . Any additional information that the developer wished to submit may be attached in the form of an appendix. Statements should be complete, but be as brief as possible. Written and telephone inquiries ' should be directed to Paul Cook, City of Huntington Beach, 2000 main Street, Huntington Beach, California 92648,' ( 714) 536-5575. C. SELECTION PROCEDURE All submitted proposals are to be submitted to the Agency office attention of Paul Cook, City of Huntington Beach, 2000 Main Street, Huntington Beach, - California 92648 , by 1 : 0.0 P.M. , An Agency Staff Review- Committee. will then review all submittals received for the project. After completion of this review the following activities will be initiated: 1 . A , summary of all developer proposals will be transmitted . by Agency staff to Agency members along with a recommended list of developers to be ' interviewed by the Agency. 2. Agency members will review documents submitted by each of the developers, including the staff recommended list of developers to be interviewed by the Agency. 3. The Agency will interview and select a single development entity with which to negotiate exclusively for a period of 60 days. This action _will be tentatively scheduled for . Agency .consideration on 4. . A master 'Disposition and Development Agreement will be negotiated between the . Agency- and the developer , during the period of exclusive negotiations. This agreement will be subject to approval by the Huntington Beach Redevelopment Agency. The developer will design and" construct the - project in conformance with the Disposition and Development Agreements , and the design for development. Page12 D. SELECTION CRITERIA Each proposal will be evaluated based on the developer' s response to each element specifically outlined under the proposal content section of this document. E. RIGHT TO REJECT The Agency reserves the right to reject any and all offers at its sole and absolute discretion andto waive any immaterial defector informality in any proposal or proposal procedure. Proposers should understand that the Agency reserves the right to consider all factors, not only economics,- in its selection of a developer. Page13 EXHIBIT 1 Third Block West Project Main-Pier Redevelopment Project Area Huntington Beach Redevelopment Agency Developer' s Statement of Qualifications and Financial Responsibility Must Provide the ,Following . Information: ( For .Confidential Office use of the Agency) 1.. A. Name of Developer b. Address and ZIP code. of Developer c. Phone and FAX numbers of Developer 2 . Is the Developer a subsidiary of, or affiliated with, any other corporation( s) or firms?.' If yes, list each such corporation or firm by name and address, specify its relationship to the developer, .and identify the officers and directors. or trustees common to the Developer and such other corporation or firm. 3. a. The financial condition of the Developer, as of December 31 , 1988 , or later, is as reflected in the attached financial statement. (NOTE: Attach to this statement an audited certified financial statement or a reviewed financial statement from a Certified Public Accountant showing the assets and the liabilities, including contingent liabilities, fully itemized in accordance with accepted accounting standards and based on a proper audit If the date . of the certified financial statement precedes the date of this submission by _more than six months, also attach an interim balance sheet no more- that 3 months old) . b. Name and address of auditor or public accountant who performed the audit on which said financial statement is based. 4. If funds for the developer of the project are to be obtained from sources other than Developer' s .own funds., a statement of the Developer' s plans for financing the. acquisition and, development of the land is required: ' 5. Sources and amount of cash available to Developer to meet equity requirements of the proposed undertaking : a. In bank(s) • Name Address Zip Code Bank Acct, # Amount $ Exhibit 1 • • Page 2 b. By loans from affiliated or associated corporations or firms : Name Address Zip Code Source Amount $ C. By sales of readily saleable assets: . Mortgages Description Market Value $ Mortgage or Liens $ 6 . Names and addresses of bank references: Name Address Zip. Code 7 . Has the Developer or ( if any) the parent corporation or any subsidiary or. affiliated corporation of the Developer' s officers or principal members, shareholders or investors, or other interested parties, been adjudged bankrupt, either voluntary or involuntary, within the past 10 years : Yes No If yes, .give date, place, and under what name. 8. a. Undertakings-., comparable to the proposed redevelopment project, which have been completed by the . Developer or any of the principals of the Developer, . including identification and brief description of each project and date of completion. b. If the Developer or any of the principals of the Developer has ever been an employee in. a supervisory capacity for construction contractor or builder on. undertakings comparable to the proposed redevelopment work, name of such employee, name .and .address of employer, title of position, and brief description of work. 9. If the Developer or a parent corporation, a subsidiary, an affiliate, or a principal of the Developer is to participate in the development of the land as a construction contractor or builder. a. Name and address of such contractor or builder: Exhibit 1 Page 3 b. Has such contractor or builder within the last 10 years ever failed to qualify as a responsible bidder", refused to enter into a contract after an award has, been made, or failed to complete a construction or redevelopment contract? Yes No If yes , give date, place, - And under .what name. c: Total amount of construction or development work performed by such contractor or builder during the last three years : d. Construction contracts or developments now being performed. by such contractor or builder: Identification Contract or Development Location Date to be Completed Amount$ e. Outstanding contract bids of 'such contractor or builder: Awarding Agency Amount $ Date Opened 10 . Brief statement with respect to equipment, ,experience, financial capacity, and other resources available. to such contractor or builder for the performance of the work involved in the redevelopment of the land, specifying particularly the qualifications of the personnel , the nature of the ,equipment, and the general experience- of the contractor. 11 . Does any member of the developer' s corporation/partnership have any known relationship in connection with purchasing and implementing the project with any member of the governing body of the Agency to which the . accompanying bid .or proposal is being made, or to any officer or employee of the Local Public Agency who exercises any functions or responsibilities -in connection with the carrying out of the project under which the land covered by the Developer' s proposal is being made available: Yes No If yes, explain. 12. Statements and other evidence of the Developer" ' s qualifications and financial responsibility (other than the financial statement ' referred to in Item 3a.) are attached hereto and , hereby made apart hereof as follows. Exhibit 1 • • Page .4 Certification I (We) * certify- that this Developer' s Statement of Qualifications and Financial Responsibility and the attached evidence of the Developer' s. . . qualifications and financial .responsibility, including financial -- statements, are..true and correct .-to the best of my (our) knowledge and belief. Dated: . Dated: Signature Signature. Title Title Address & Zip Code Address & Zip Code - *If the Developer is 'a corporation, this - statement. should be signed by the President and Secretary. of the corporation; if an individual , by such individual ; if a partnership, by one of._ the partners; if an entity not having a .president and secretary, by one of its chief officer having knowledge.' of the financial status— and qualifications of the Developer. EXHIBIT 2 FINANCIAL INFORMATION RELEASE- AUTHORIZATION (On your letterhead) Contact Person Financial. Institution Address Dear (Firm Name) has submitted a proposal to the City of Huntington Beach Redevelopment Agency to enter into negotiations for the purpose of developing a 84, 000 sf parcel for a mixed-use commercial project in downtown Huntington Beach. As part of the screening process, the Agency may need to contact you about our banking relationship. I (We) authorize you to provide the Agency' s or their consultants with the information they require with the . understanding that- all information_ provided will be kept confidential to the extent permitted by law. Very truly yours, EXHIBIT 3 CERTIFICATION OF CORRECTNESS OF STATEMENT OF FINANCIAL CAPABILITY I (We) certify that this Confidential "Statement of Financial Capability" and the attached evidence of the Developer' s financial responsibility, including financial statements, are true and correct to the best of my (our) knowledge and belief. Date Date Signature Signature Title Title Address Address If the developer is a corporation, this .Statement should be. signed by the president and secretary of the corporation; if an individual , by such individual ; if a partnership, by one of the general partners;. if an entity not having a president or secretary, by one of its chief officers having knowledge of the financial ' status and qualifications of .the developer. EXHIBIT 4 Offer to Negotiate Exclusively Each developer interested in developing the downtown core project will submit, in writing to the Huntington Beach Redevelopment Agency, an Offer to Negotiate Exclusively for the purchase and development of the project or major portions thereof, as may be available, requesting that the Agency negotiate exclusively with the developer for a- period not to exceed 60 days. The following form and content shall be used for the Offer to Negotiate Exclusively. , Text of Developer' s Offer Date: Mr. Paul Cook Executive Director . City of Huntington Beach/Huntington Beach Redevelopment Agency 2000 Main Street Huntington Beach, California 92648 Dear The undersigned developer. hereby submits to the' Huntington Beach Redevelopment Agency an Offer .to Negotiate Exclusively for a period of 60 days ;'for the acquisition and development of that area in the Main-Pier Redevelopment Project' Area, known as the "Third Block West" . We request that the Agency negotiate exclusively with us for a 60-day period during which time we will seek to complete an agreement for the development .of those , portions of the project as identified on the attached exhibit (to be prepared by the developer) . It is understood that negotiations .may be extended beyond the 60 day period at the option of thiff Agency. During negotiations, the terms and conditions of the developer' s land acquisition of the property be •it; purchase, lease, lease with an option to purchase, or some other mechanism, will be finalized. In addition, the conditions covenants, and restrictions will be considered and the Disposition and Development Agreement will be prepared. A non-refundable deposit of $50, 000 will be required prior to the commencement of the exclusive right to negotiate period. . We understand that the nature and type of ' development is subject to the approval of the Redevelopment Agency, and that we wi11 be required to make full disclosure to the Agency of our principals, officers, stockholders, partners, etc. , and all other pertinent information concerning the developer and our associates. The e developer connected with the development shall be subject to the approval of the Agency, as well as the methods of financing to be used in purchasing -and developing the (Project Name) . Exhibit 4' Page 2 It is recognized that the Agency reserves the right at any time, either before or after the offers are submitted, .to request additional .information from the developers . Adequate time to . obtain and submit such additional matters wild be- provided by the Agency. The Offer to Negotiate Exclusively is subject to the approval of the Agency. The Agency shall not be liable for any real estate commission or brokerage fees which may arise herefrom. I hereby submit this Offer to Negotiate Exclusively on behalf of: Company By Name Title . Date This Offer to Negotiate Exclusively is hereby accepted as of the day- of 1989, subject to the terms and conditions stated above. HUNTI O EACH ELOPMENT AGENCY By Paul Cook City Administrator/Executive Director