1-RFP Cargo Facility Final.pdf

PDF 667 KB Posted

Attached to
PRIVATE PUBLIC PARTNERSHIP CARGO FACILITY RFP
Solicitation number
Solicitation167
Issued by
Hennepin County, Minnesota

About this file

This is a Request for Proposal (RFP) issued by the Metropolitan Airports Commission (MAC) for the design, construction, ownership, and operation of a Private Public Partnership (PPP) Cargo Facility at Minneapolis-Saint Paul International Airport (MSP). The project involves developing a modern, on-airport cargo complex with direct apron access on a 21.5-acre site currently used for contractor vehicle storage. The facility will comprise approximately 100,000–120,000 square feet of cargo handling space designed to serve two primary third-party cargo handlers and support MSP's international air trade driven by the region's medical technology and advanced manufacturing sectors. The RFP includes Phase 1 improvements with potential for Phase 2 expansion. A mandatory pre-proposal conference is scheduled for June 2, 2026. The deadline for submitting questions is June 16, 2026, with proposals due by July 30, 2026, at 4:00 PM CST. The Review Team will conduct evaluations from July 31 through August 21, 2026, with Commission approval targeted for October 19, 2026. The selected proposer must execute an agreement within a timeframe determined by MAC, and the ground lease term will not exceed 50 years, with ownership of improvements reverting to MAC upon lease expiration.

The financial structure includes ground rent based on MAC Ordinance 121 at $0.53 per square foot (current period 2026–2030) with 10 percent increases every five years, indirect cost recovery of $0.47 per square foot (increasing 2.5 percent annually), and participation rent as a percentage of gross receipts derived from facility operations. Proposers must submit their proposed participation rent percentage and calculation methodology as part of the financial offer. The lessee is responsible for all site preparation, utility extensions, construction, operations, maintenance, property taxes, and regulatory compliance. Construction must comply with prevailing wage requirements and small business participation goals to be established by MAC's Office of Civil Rights and Small Business Development. The facility must achieve LEED Silver certification (preferably Gold or higher) and participate in the ENERGY STAR program, maintaining a minimum score of 75 by year three and 70 annually thereafter. Comprehensive insurance requirements apply during both development and operational phases, including general liability coverage of $10,000,000 during construction and $50,000,000 during operations. MAC is not obligated to select any proposer and reserves the right to reject all proposals or modify the agreement terms, with the ultimate award decision made by the full Commission based on the Review Team's recommendation and evaluation against weighted criteria totaling 2,000 points.

View the file

Other files

On GovTribe

Work with this file

  • Download the original file
  • Contacts named in this file
  • Similar government files
  • Ask GovTribe AI about this file

Text version

Request for Proposal – PPP Cargo Facility 1

METROPOLITAN AIRPORTS COMMISSION

Minneapolis – Saint Paul International Airport

6040 – 28th Avenue South, Minneapolis, MN 55450-2799 Phone (612) 726-8100

REQUEST FOR PRIVATE PUBLIC PARTNERSHIP CARGO FACILITY

PROPOSALS

Date Issued: May 19, 2026

MANDATORY PRE-PROPOSAL MEETING: June 2, 2026

Questions/Request for Addendum must be received by: June 16, 2026

PROPOSALS MUST BE RECEIVED BY: July 30th, 2026

Manager, Contracts & Proposals

RFP@MSPMAC.COM

6040 28th Avenue South Minneapolis, MN 55450

The Metropolitan Airports Commission is an affirmative action employer.

Reliever Airports:

AIRLAKE * ANOKA COUNTY/BLAINE * CRYSTAL * FLYING CLOUD * LAKE ELMO * SAINT PAUL DOWNTOWN mailto:RFP@MSPMAC.COM

Request for Proposal – PPP Cargo Facility 2

TABLE OF CONTENTS

Contents

I. INTRODUCTION

II. INSTRUCTIONS TO PROPOSERS

A. Proposal Deadline B. Mandatory Pre-Proposal Conference C. Addenda D. Withdrawal of Proposal E. Airport Contact Person

III. INFORMATION FOR PROPOSERS

A. Proposal and Award Schedule B. Selection Process

1. Minimum Qualifications

2. Evaluation/Scoring

3. Interviews and Field Evaluations

4. Review Team Recommendation

5. Commission Decision

6. Award of Agreement

IV. NATURE OF SERVICES REQUIRED

A. Scope of Work B. The Opportunity C. Existing Cargo Operations and Facilities D. MSP Airport Cargo Modernization Goals E. Summary of Key Business Terms

V. PROPOSAL FORMAT AND EVALUATION CRITERIA

A. Executive Summary & Minimum Qualifications

1. Developer/Owner Experience

2. Design Professional Qualifications

3. Constructor Qualifications

4. Operator/Property Manager Qualifications (if applicable)

5. Financial Capacity

6. Legal and Compliance Requirements

7. Experience Working with Airports or Comparable Public Agencies

8. Team Completeness

B. Properly Executed Proposal Acknowledgement Form (Exhibit A) C. Evaluation Criteria

1. Concept Design and Development Approach (450 Points)

2. Team Structure (200 Points)

Request for Proposal – PPP Cargo Facility 3

3. Project Schedule, Milestones, and Contingency Period Approach (200 Points)

4. Management and Operations Plan (450 Points)

5. Financial Ability/Creditworthiness (200 Points)

6. Financial Offer (Ground Rent and Participation Rent (300 Points)

7. Small Business Plan (200 Points)

D. References

VI. INSURANCE REQUIREMENTS

A. Development and Building/Construction Phase Insurance Requirements

B. OPERATIONAL PHASE/LEASING

VII. GENERAL TERMS AND CONDITIONS

RESPONSE DOCUMENTS

Exhibit A - PROPOSAL ACKNOWLEDGMENT FORM

EXHIBIT B – BUSINESS AND FINANCIAL REFERENCES FORM

EXHIBIT C – MAC AFFIDAVIT OF NON-COLLUSION

EXHIBIT D – PROFORMA OPERATING STATEMENT

EXHIBIT E – SMALL BUSINESS GOAL WORKSHEET

ATTACHMENT 1 – FEASIBILITY STUDY & SITE DRAWINGS

ATTACHMENT 2 – CARGO FACILITY LEASE TEMPLATE

Request for Proposal – PPP Cargo Facility 4

I. INTRODUCTION

The Metropolitan Airports Commission (MAC) was created by the Minnesota State Legislature in 1943 as a public corporation. Its purpose is to promote air navigation and transportation in and through Minnesota, promote the efficient, safe and economical handling of air commerce, assure the inclusion of the state in national and international programs of air transportation and, to those ends, develop the full potentialities of the Twin Cities metropolitan area as an aviation center. It has the responsibility to assure residents minimal environmental impact from air navigation and transportation, promote the overall goals of the state’s environmental policies and minimize the public’s exposure to noise and safety hazards around airports.

MAC owns and operates one of the nation’s largest airport systems. It includes Minneapolis-St. Paul International and six (6) general aviation airports. The MAC’s airports connect the region to the world and showcase Minnesota’s extraordinary culture to millions of passengers from around the globe who arrive or depart through MSP each year. Though a public corporation of the state of Minnesota, the organization is not funded by income or property taxes. Instead, the MAC’s operations are funded by rents and fees generated by users of its airports.

MAC is governed by a board of fifteen commissioners. The Governor of the State of Minnesota appoints eight commissioners from designated districts within the Twin Cities metropolitan area. The Governor also appoints four commissioners from outside the metropolitan area and the board chair. The mayors of St. Paul and Minneapolis have seats on the board with the option to appoint a representative to serve in their place.

More detailed information about MAC can be found at its web site, www.metroairports.org.

II. INSTRUCTIONS TO PROPOSERS

A. Proposal Deadline The deadline for proposal submission is July 30th, 2026 at 4:00PM CST. Each proposal must be in the form set forth in Section V, including all required attachments. Proposal received after the due date and time listed above will not be accepted.

Proposer must submit the proposal electronically at http://metroairports.bonfirehub.com http://www.metroairports.org/ http://metroairports.bonfirehub.com/

Request for Proposal – PPP Cargo Facility 5

B. Mandatory Pre-Proposal Conference MAC has scheduled a mandatory pre-proposal conference on June 2, 2026 to review the RFP and answer questions related to the RFP. The conference will be held remotely via Microsoft Teams. In order to meet the mandatory requirement, Proposers must attend the meeting via Microsoft Teams or call in via telephone.

MAC will not accept proposals from those not attending the remote teleconference.

Interested Proposers must send a qualified representative who is able to competently represent their company’s best interests at the mandatory pre-proposal conference.

Interested parties must RSVP by emailing the designated Airport Contact Person, at RFP@mspmac.org, no later than 4:00 p.m. June 26th, 2026 in order to attend the Pre-Proposal Conference.

C. Addenda Following the pre-proposal meeting, MAC will issue an addendum to the RFP addressing questions submitted.

If discrepancies or omissions are found by any prospective Proposer or there is doubt as to the true meaning of any part of this RFP, a written request for clarification or interpretation must be submitted via the Bonfire portal. Any change to the RFP or related documents will be made by a written addendum. The last day to submit questions is June 16, 2026 at 4:00 p.m. CST, any questions received after that time. may not be answered by the MAC and will not become part of the RFP process. MAC cannot and will not answer any questions by telephone or in person, except at the pre-proposal meeting.

MAC is not responsible for any explanation, clarification, interpretation or approval made or given in any manner except by addendum. Addenda will be made available to each person who has registered and downloaded the RFP from the MAC website http://metroairports.bonfirehub.com. Any addenda so issued become part of this

RFP.

D. Withdrawal of Proposal Proposals may not be withdrawn after the proposal due date. In submitting the proposal, the Proposer agrees that the proposal will remain valid for 180 calendar days after the deadline for submission of proposals and may be extended beyond that time by mutual agreement.

mailto:RFP@mspmac.org

Request for Proposal – PPP Cargo Facility 6

E. Airport Contact Person From the date the RFP is issued through the Commission award, Proposers shall not contact any members of MAC staff or advisors, in any way related to this RFP process except for the Airport Contact Person and a representative from MAC’s Office of Diversity, Equity and Inclusion pursuant to 31 of the General Terms and Conditions.

III. INFORMATION FOR PROPOSERS

A. Proposal and Award Schedule Mandatory Pre-Proposal Conference June 2, 2026 Last day for receipt of questions concerning the RFP June 16, 2026 Addendum (with answers to submitted questions) June 30, 2026 Proposals due to MAC no later than 4PM CST July 30, 2026 Review Committee Review & Recommendations July 31-August 21 Seek approval to Award Contract October 19, 2026

MAC reserves the right to adjust the schedule as necessary.

B. Selection Process Each proposal will be evaluated according to the following process to determine how well it meets the Evaluation Criteria outlined in Section V.D. Evaluation Criteria are for the purpose of the Review Team in evaluating the proposals and in making a recommendation to the Commission.

1. Minimum Qualifications The first step is to determine whether the proposal meets the Minimum Qualifications found in Section V.A. Proposals failing to meet the minimum requirements, including completeness, format and content, may be rejected without further evaluation.

2. Evaluation/Scoring All information presented in the proposal may be verified and substantiated during the course of the evaluation process. Proposers may be asked to revise, clarify and/or provide additional information during the proposal review process.

These requests will require prompt action by Proposers. Those proposals not rejected will be evaluated by the Review Team according to the Evaluation Criteria found in Section V.D.

Request for Proposal – PPP Cargo Facility 7

3. Interviews and Field Evaluations If the Review Team deems it necessary, it may select some or all proposals as finalists and conduct oral interviews. Interviews will not be scored as specified in the Evaluation Criteria found in Section V.D. The Review Team may also conduct unscheduled visits at existing locations currently being operated or managed by the Proposer. The Review Team has sole determination of which Proposers will receive field visits.

4. Review Team Recommendation Each proposal will be scored by the Review Team. Proposers may be asked to revise, clarify, and/or provide detailed information in an effort to complete evaluation.

All Proposers must understand that their proposals are subject to changes in an attempt to finalize the best possible outcome for MAC.

Any and all attempts made by the Proposer (not initiated by the Review Team or MAC) to materially alter a proposal during the Review Team’s evaluation, recommendation, or award portion of this process may result in the removal of that proposal from consideration. The Commission will not accept any changes to a proposal once submitted unless the MAC initiates or approves the proposed changes in an effort to negotiate an Agreement.

The Review Team will evaluate the proposals based on the review criteria and weighted points assigned to each criterion. After completing its initial evaluation, the Review Team will select one or more proposers to enter negotiations. Ultimately, the Team may recommend one proposer for award of the Agreement, based on the best resulting offer, to the Operations, Finance & Administration (OF&A) Committee. However, the MAC is under no obligation to select a proposer if none of the proposals are determined to be advantageous to the MAC. The recommendation memo to the OF&A Committee is mailed to the Committee and posted on MAC’s web site approximately one (1) week before the meeting.

Review Team Members for this RFP include:

Review Team Scoring Members

Mark Bents, Director, Revenue and Business Development

Michelle Gerner, Senior Manager Project Definition, Airport Development Department

Request for Proposal – PPP Cargo Facility 8

Shona Mosites, Project Manager, Airport Development

Brian Peters, Director, Air Service Development

Grant Schara, Real Estate Manager, Revenue and Business Development

Non-Scoring Advisors:

Dane Anderson, Sustainable Design and Certification Manager, Airport Development Department

Mike Batt, Financial Analyst, MAC Finance

Laurel Deneen, Manager Contracts & Proposals, Purchasing

Matthew Krogh, Associate General Counsel, Legal Affairs

Ed Podnieks, Assistant Director Financial Planning and Analysis, MAC Finance

Bridget Rief, Vice President, Planning and Development

Jeffrey Weinhagen, Small Business Program Manager, Human Resources and Labor Relations

Additions and substitutions to the review team may be made as necessary at the discretion of the Chief Financial Officer.

5. Commission Decision Based on the recommendation of the Review Team, the OF&A Committee will make its recommendation to the full Commission. The full Commission makes the final selection decision. Neither the OF&A Committee nor the full Commission are obligated to follow the recommendation of the Review Team.

The Commission may award to any proposer it sees fit. Any Proposer may request to speak at the OF&A Committee meeting and/or at the full Commission meeting.

6. Award of Agreement Once the full Commission has made a final determination, MAC will notify the successful Proposer in writing and submit a proposed Agreement for signature.

MAC may consider proposed modifications to the Agreement submitted by Proposer, but Proposer’s failure to execute an Agreement within a reasonable

Request for Proposal – PPP Cargo Facility 9 time, as determined exclusively by MAC, may result in the withdrawal of the award and selection of another Proposer.

Prior to execution of the Agreement, MAC may request that Proposer submit to MAC signed statements of intent, subtenant agreements, or other evidence of intent from suppliers, subtenants, and/or other partners included within the proposal. If Proposer fails to do so to MAC’s satisfaction, MAC may withdraw award of the Agreement to Proposer.

IV. NATURE OF SERVICES REQUIRED

A. Scope of Work The MAC is soliciting proposals for the design, construction and ownership of a Private Public Partnership (PPP) Cargo Facility at the Minneapolis-St. Paul International Airport (MSP).

MAC welcomes submittals from all proposers meeting the enclosed RFP prerequisites. There is no requirement that a vendor have previous work experience with the MAC, and the review team will conduct an unbiased evaluation of all submittals.

The selected proposer must be able to provide MAC with the services outlined in section B.

B. The Opportunity MSP is offering a unique opportunity for a private development partner to deliver the airport’s next generation cargo handling facility. The Metropolitan Airports Commission (MAC) has three aging cargo buildings—2120 East 77th Street and Buildings H & I (7550 22nd and 23rd Ave). The development opportunity will create a modern, on-airport cargo complex with direct apron access and the operational capabilities required to meet current and future demand.

MSP has two primary third-party cargo handlers. As the existing facilities are near the end of their useful life, the operators have expressed interest in a newer more efficient facility. Initial conversations indicate a demand for an approximated 100,000 –120,000 square foot cargo facility. This tenant demand, combined with the inefficiencies of existing structures, provides an immediate and stable occupancy foundation for the new development.

In 2024, The MAC completed an air cargo demand review which confirmed that MSP’s core catchment area generates substantial international air trade driven by medtech, advanced manufacturing, and high value exports, while current limitations in cargo infrastructure constrain belly cargo growth and contribute to leakage to other logistics options in the region. A new, purpose-built cargo facility

Request for Proposal – PPP Cargo Facility 10 will directly address these constraints and position MSP to capture additional volumes as markets evolve.

The scope of this RFP is limited only to Phase 1 improvements outlined in the study (see Feasibility Study & Site Drawings Attachment 1). MAC may choose to pursue Phase 2 improvements under a separate contract at a later time. Phase 1 proposed development comprises a ground area of approximately 472,000 square feet for a new building of approximately 100,000-120,000 square feet as well as site improvements to provide tractor-trailer access; employee and customer parking;

and staging/storage areas for GSE, cargo containers, and snow. Respondents may propose alternate building or parking designs, provided the configuration complies with FAA regulations, aligns with the adjacent West Cargo Apron expansion, and accommodates future Phase 2 development.

With respect to construction, the successful Proposer will be required to meet a small business goal, pay prevailing wages, and follow the Minnesota Department of Human Rights requirements for affirmative action to ensure equal employment opportunity for it and its construction subcontractors. Small Business goals will be determined by the MAC’s Office of Civil Rights and Small Business Development once the construction scope is finalized.

MAC will enter into a ground lease with a private partner responsible for designing, financing, constructing, operating, and maintaining the facility over the lease term.

In return, MAC will receive base ground rent and participation rent, with ownership reverting to MAC at lease expiration. This PPP structure mirrors successful cargo developments at peer U.S. airports and offers bidders an opportunity to shape the future of MSP’s cargo ecosystem while benefiting from committed tenants, strong regional demand, and a clear long-term vision for cargo growth.

C. Existing Cargo Operations and Facilities The Air Cargo Facility site is located on the western edge of the MAC campus between Longfellow Avenue and Taxiway L, directly north of the existing West Cargo Apron (see Feasibility Study & Site Drawings Attachment 1, page 5). The roughly 21.5acre site is currently used for contractor vehicle storage and stockpiles of dirt, sand, and other materials. As an undeveloped area, it will require site preparation, including excavation and installation of new base and subbase layers to support future pavement. Most utilities are available on or near the site, though some may need to be relocated to accommodate the planned development.

MAC will design and construct the West Cargo Apron expansion and improvements shown in Attachment 1, page 5, and will also be responsible for designing and constructing adjacent roadway and curb improvements to support inbound and outbound tractor trailer movements.

Request for Proposal – PPP Cargo Facility 11

MSP’s cargo system is currently supported by a mix of dedicated integrator facilities, belly-cargo handling space, and older multitenant buildings located on the campus. FedEx, UPS, and DHL each operate in purpose-built facilities sized for their long-term operational requirements. The 2024 Air Cargo Demand Study confirms that these integrator facilities have sufficient capacity through 2045 under updated forecasts.

In contrast, several multitenant buildings on the southwest side of the airfield (specifically 2120 East 77th Street (55,624 sq ft) and Buildings H and I (7550 22nd/23rd Avenue, 40,513 sq ft each)) are inefficient facilities and no longer meet current operational needs. These facilities support MSP’s two primary third-party cargo handlers, both of whom face constraints related to space, efficiency, cooler and screening capacity, and security gate movements. These issues are also identified in the Air Cargo Demand Study as key limitations affecting belly-cargo performance and overall system throughput.

Because of the inefficiencies of the existing buildings, the two primary third-party handlers will need to relocate, and each have indicated interest in securing approximately 50,000 square feet in a new, modern, airside accessible cargo facility. Meanwhile, MSP’s remaining cargo infrastructure—including FedEx, UPS, DHL, and Delta—will continue operating in place, ensuring stable integrator and airline cargo capacity. This creates a clear need for a new multitenant cargo development capable of improving operational efficiency and supporting future growth across MSP’s belly-cargo and dedicated cargo flight segments.

D. MSP Airport Cargo Modernization Goals

1. Augment Facilities with Modern, On-Airport Cargo Infrastructure MSP seeks to augment aging cargo facilities, with modern, purpose-built facilities that meet current and future operational requirements. The new development will eliminate longstanding inefficiencies associated with older buildings, constrained truck access, and fragmented tenant operations.

2. Provide Long-Term Homes for Key Cargo Handlers

MSP’s primary third-party handlers for belly cargo and Amazon/other carrier cargo, require relocation into facilities that support their operational and growth needs. MSP’s goal is to provide approximately 100,000-120,000 square feet of modern, flexible cargo space that enables higher throughput, improves handling quality, and enhances groundside and airside efficiencies.

3. Improve Belly Cargo Performance to Support International Passenger

Growth

Request for Proposal – PPP Cargo Facility 12

MSP aims to strengthen the economics of international passenger service by improving belly cargo handling capacity, reducing bottlenecks in the existing cargo center, and ensuring airlines have access to modern facilities that support faster turn times, improved screening workflows, and specialized handling capabilities where needed (cool chain, secure storage, value-added services).

4. Create a Scalable On-Airport Cargo Campus that Supports Future Growth

MSP’s modernization strategy includes establishing a flexible development platform capable of supporting:

• Dedicated freighter activity as market conditions evolve

• Expansion by existing carriers and handlers

• Opportunities for new entrants, including international freight forwarders or niche operators

5. Enhance Airside and Landside Efficiency

MSP aims to redesign cargo operations to:

• Improve truck circulation, maneuvering, and dock capacity

• Reduce inefficiencies caused by the current AOA security gate location

• Ensure direct airside access with adequate apron depth and staging space

• Provide reliable utility infrastructure sized for modern cargo operations (electric charging, automation, IT/Data, security systems)

6. Advance a Public-Private Partnership Delivery Model MSP seeks to leverage innovation, speed-to-market, and lifecycle management offered by experienced private cargo real estate developers.

The modernization program is structured around a long-term ground lease in which the developer finances, designs, builds, operates, and maintains the new facility.

7. Support Regional Economic Competitiveness Through Modern Cargo Capabilities The MSP region is home to one of the world’s densest medical technology clusters and a diversified base of advanced manufacturers that depend on global supply chains. The modernization program aims to:

• Provide more reliable, efficient, and predictable cargo handling

• Support high-value, time-sensitive shipments

• Enable long-term competitiveness of regional exporters

• Reinforce MSP’s role as an economic engine for Minnesota and the Upper Midwest

8. Incorporate Modern Facility Standards, Technology, and Sustainability

Request for Proposal – PPP Cargo Facility 13

MSP’s modernization goals include incorporating features common in next-generation cargo facilities at peer airports:

• State-of-the-art security, access control, and monitoring

• Ensure the proposed cargo facility design includes secure, adaptable space and infrastructure capable of supporting all required TSA-approved cargo security screening methods and controlled chain of custody for airside operations.

• Flexible floor plates for diverse tenant needs

• Ample dock doors and truck staging areas

• Temperature controlled storage (as required by tenants)

• Energy efficient systems and sustainable building design

• Provisions for future electric GSE/vehicle charging

• Safe and efficient separation of landside and airside functions

E. Summary of Key Business Terms All key terms will be set forth in the Ground Lease (“Agreement”) between MAC and the successful Respondent (“Lessee”). This summary is provided for Respondents’ convenience. In the event of any inconsistency, the Agreement will govern.

1. The Airport Environment Cargo development at MSP occurs within an active, secure, and capacity constrained airport environment.

Certain activities may occur near secure areas or airside operations.

All construction and operations must comply with airport safety and security protocols Operations occur 24 hours a day, 365 days a year; activities must not interfere with airfield, tenant, or roadway operations.

Employees requiring access to secure areas must pass required background checks and obtain airport badges.

2. Term of Ground Lease Respondents will respond with their minimum required term length , not to exceed 50 years.

The selected Respondent must execute the Agreement within the timeframe established by MAC following Commission award.

3. Ground Rent (MAC Ordinance 121)

• Lessee shall pay MAC ground rent for the exclusive land area included in the Leased Premises.

Request for Proposal – PPP Cargo Facility 14

• Ground rent rates will be based on MAC Ordinance 121,

• Annual escalations will follow the escalation mechanism defined in

Ordinance 121.

• Ground rent applies to all leased land area; improvements are not included in the basis for ground rent.

• The Phase 1 development area is comprised of approximately 472,000 which will be further defined upon final survey of the leased area

Current Period Ground Rent Increase Schedule 1/1/2026-12/31/2030 $0.53/sq ft Ground rent increases by 10% every 5 years.

Next increase scheduled effective 1/1/2031.

4. Indirect Cost Recovery As its own entity, tenant would be required to pay County property tax;

however, MAC owned property is not subject to annual City property taxes.

This charge covers MAC provided services that a city would traditionally cover such as fire, police, public works, streets and other infrastructure/administration.

Current Period Indirect Cost Recovery Increase Schedule Calendar Year 2026 $0.47/sq ft Increases by 2.5% on

January 1 of each calendar year.

5. Participation Rent In addition to ground rent, Lessee shall pay Participation Rent based on a percentage of the Lessee’s Gross Receipts derived from the Cargo Facility.

• “Gross Receipts” means all revenue derived from the use or operation of the Premises, including without limitation: (a) rents received from tenants or cargo handlers; (b) operating fees; (c) storage or yard fees; and (d) any other fees or charges directly attributable to activities conducted on the Premises. Gross Receipts do not include security deposits (unless forfeited), tax reimbursements, insurance proceeds, or amounts collected solely as pass‑through payments.”

• Respondents must propose participation rent percentage(s) and calculation methodologies.

Request for Proposal – PPP Cargo Facility 15

• Participation Rent will be evaluated for reasonableness and financial benefit to MAC.

Additional details regarding Gross Receipts and exclusions will be defined in the Agreement.

6. Taxes and Assessments Lessee shall pay all taxes, assessments, and fees levied against the Leased Premises, improvements, or business operations.

• MAC does not set or control property taxes

• Those costs must be included in the Lessee’s financial planning.

7. Security Deposit MAC may require a security deposit in an amount to be determined during negotiations. The deposit will remain in place throughout the term and may be drawn upon for unpaid obligations or defaults.

8. Facility and Security Requirements Any Design submitted must meet the following requirements:

• Exterior walls of the building shall be insulated precast wall panels, 12” minimum thickness in a 6-3-3 configuration

• The roof shall be designed and constructed to be “solar-ready” if solar photovoltaic panels are not installed during initial construction.

• Provide AOA boundary fencing and controlled access.

• Provide SIDA controls on all airside overhead and passage doors.

• Provide one TSA security screening checkpoint (serving all tenant spaces): Walk2000, X-ray, queue space (40-person). Separate TSA staff rooms.

• Provide one service core (serves all tenant spaces), to include at a minimum: plumbing chases; mechanical, electrical, and fire protection rooms; roof access.

9. Condition of Premises All land and any existing structures will be delivered “as-is.”

Lessee is responsible for:

Request for Proposal – PPP Cargo Facility 16

• Design, construction, operations, and maintenance of the site

• Site preparation, clearing, demolition (if applicable), grading, and drainage

• All utility extensions from MAC’s designated connection points

• Pavement, fencing, lighting, and any infrastructure required for cargo operations

• Taxes

• Regulatory compliance

MAC makes no representations or warranties regarding soil, environmental conditions, or existing infrastructure.

10. Construction Requirements The selected proposer will require the construction contractor to:

• Pay prevailing wages for all construction work

• Comply with workers’ compensation and unemployment insurance requirements

• Comply with the Department of Revenue and the Department of

Employment and Economic Development registration requirements if it has employees

• File a certificate of authority to transact business in Minnesota with the Secretary of State if a foreign corporation or cooperative

• Require skilled tradespeople (electricians, plumbers, etc,) to have any required Minnesota licenses

11. Ownership Improvements Lessee shall maintain full ownership of all improvements for the duration of the Agreement.

• At the expiration or earlier termination of the Agreement, all permanent improvements shall transfer to MAC at no cost.

• Lessee must remove trade fixtures or other non-permanent items at its own expense unless otherwise approved by MAC.

12. Sustainability and Data Reporting

• LEED Silver certification: The building shall achieve a minimum LEED

Silver certification. Respondents are encouraged to consider

Request for Proposal – PPP Cargo Facility 17 sustainability strategies that serve the MAC’s sustainability focus areas (GHG emissions reductions, water use reductions, waste diversion, employee sustainability engagement). Recommended:

daylighting devices; SolarWall or similar solar pre-heat system; HVLS fans; rooftop solar photovoltaics (PV); options for electric vehicle (EV) charging; low-carbon concrete.

• Lessee shall report monthly utility data to the MAC, and submeter individual tenants (if applicable) and major process loads.

• ENERGY STAR: The building shall participate in the Energy Star program and achieve a minimum score of 75 by end of Year 3 of operations, and maintain a minimum score of 70 annually. Lessee shall be responsible for annual Portfolio Manager reporting to the

MAC.

13. Utilities Lessee shall be responsible for all utilities required to serve the Cargo Facility.

• Utilities must be separately metered where feasible.

• Lessee/Sub-Lessee’s shall pay all charges for electricity, natural gas, water, sewer, telecommunications, and any other utility services.

• Any utility relocations required to accommodate development will be the Lessee’s responsibility.

14. Parking, Access, and Circulation Lessee must provide and maintain all required truck courts, docks, employee parking, and circulation areas within the Leased Premises.

• Lessee has no rights to use public airport parking or roadways beyond normal access privileges unless specifically negotiated.

15. Maintenance and Repairs Lessee will be responsible for maintenance and repair of all structures, pavement, and systems within the Leased Premises.

• Lessee must maintain the facility in a first-class industrial condition consistent with airport and cargo industry standards.

Request for Proposal – PPP Cargo Facility 18

• The facility shall be returned at the end of the lease term in good working order, with all infrastructure systems, including heating, air conditioning, and plumbing, fully operational.

16. Environmental and Regulatory Compliance Lessee shall comply with all federal, state, and local laws, including FAA, TSA, and environmental regulations, as outlined in Section XVII.C of the Cargo Facility Lease Template, Attachment 2.

• Environmental assessments, geotechnical work, and permitting are the responsibility of the Lessee unless MAC specifically identifies exceptions.

• Lessee must coordinate with MAC during permitting and regulatory reviews.

17. Transfer, Assignment, and Subleasing Lessee may not sublease, assign, or otherwise transfer its interest in the Agreement without MAC’s prior written consent.

• MAC may withhold consent if the transferee is less capable than the original Lessee.

• All subleases must be subordinate to the Agreement and must be approved by MAC.

• Subtenants may be subject to airport security and operating requirements.

18. Re-branding or Change in Use Any material change to the facility’s use, branding, operational model, or tenant profile that impacts compliance, revenue, or airport operations will require MAC’s prior written approval.

19. Reporting Requirements Lessee will be required to provide periodic reports, including:

• Participation Rent revenue reports

• Audited Gross Receipts statements

• Monthly utility data and Energy Star reporting

• Tenant listings and sublease documentation and agreements

• Environmental or regulatory compliance reporting as applicable

Request for Proposal – PPP Cargo Facility 19

20. Contract Management No third-party contracts executed by the Lessee shall extend beyond the term of the Agreement without MAC approval.

• All service, vendor, or operating contracts must be assignable to MAC in the event of default or early termination

21. Buy Out See Section VIII.C of the Cargo Facility Lease Template (Attachment 2).

V. PROPOSAL FORMAT AND EVALUATION CRITERIA

Your proposal must be submitted electronically through the MAC solicitation site at:

http://metroairports.bonfirehub.com Submit your proposal in a single PDF document, with any Exhibits uploaded as separate documents.

In your proposal, sections should be numbered and tabbed consecutively (as numbered below) with all requested information enclosed within each Section. In all instances, Proposer should provide as much information as possible, and when applicable, provide any relevant additional information The proposal, excluding Exhibits and/or Attachments, must not exceed fifty (50) pages. When applicable, visual aids, such as pictures, graphics, and drawings may be used to supplement written text and do not count against page limits. It is the Proposer’s responsibility to incorporate all information that it feels is pertinent to effectively present your capabilities.

A. Executive Summary & Minimum Qualifications Include an Executive Summary of the important and unique features of the proposal which should identify the Proposer and state other general information to include the Proposer’s business organization, contacts and related numbers and addresses. This Section must not contain any financial information (i.e. rents, gross margins, gross profits, etc.) or any other element that would indicate any portion of your Financial Offer.

The Executive Summary must state how the Proposer meets the following Minimum Requirements. In order to be considered, Proposers for all batches must:

1. Developer/Owner Experience The proposed developer/owner must demonstrate:

• Successful development and ownership of facilities of similar scale and complexity within the past ten (10) years.

• Experience delivering projects on constrained or operational sites (e.g., airports, seaports, rail terminals, or busy industrial corridors).

Request for Proposal – PPP Cargo Facility 20

• Ability to deliver PPP ground lease projects or long-term leasehold developments involving public agencies or large transportation authorities.

2. Design Professional Qualifications The lead architectural firm (and/or design team) must demonstrate:

• Lead design experience for cargo, logistics, distribution, industrial, or aviation support facilities of at least 40,000 square feet completed within the last five (5) years.

• Familiarity with airport design standards, FAA regulations (including obstruction evaluation), and requirements for secure airport operations.

3. Constructor Qualifications The proposed Constructor/General Contractor must demonstrate:

• Successful construction of industrial or aviation related building projects of at least 50,000 square feet within the last five (5) years.

• Experience constructing facilities within operational environments requiring strict safety protocols, stakeholder coordination, and limited construction footprints.

• Demonstrated understanding of airport security, safety, and airside/landside work restrictions.

4. Operator/Property Manager Qualifications (if applicable) If the proposed Developer will not operate the facility, the Operator/Manager must demonstrate:

• Experience managing industrial, cargo, or logistics properties.

• Capability to provide 24/7 facility responsiveness consistent with airport operations.

• Familiarity with tenant coordination, cargo handler operations, and airport security requirements.

• Experience managing multitenant industrial buildings and coordinating common area operations.

5. Financial Capacity Proposer, its Developer/Owner, and its Constructor (as applicable) must each provide the following:

Request for Proposal – PPP Cargo Facility 21

• Independently audited financial statements or equivalent documentation for the past two (2) fiscal years sufficient for MAC to determine financial strength and creditworthiness.

• Evidence of capability to finance project development, including a letter of interest or intent from primary financing entities indicating willingness to support the proposed project.

• Disclosure of any credit issues or significant financial events within the past five (5) years, including bankruptcies, receiverships, litigation, or other material events.

• Demonstrated ability to fund project costs, carry working capital requirements, and meet long term obligations associated with the Ground Lease.

6. Legal and Compliance Requirements

• Proposer must have no pending, active, or previous legal actions that, in MAC’s sole judgment, would prevent fulfillment of the Ground Lease.

• Proposer and its team members must maintain all required licenses, registrations, and professional certifications.

• Proposer must affirm compliance with federal, state, and local laws applicable to the development and operation of a cargo facility on airport property.

7. Experience Working with Airports or Comparable Public Agencies While not mandatory, preference will be given to Proposers with:

• Prior aviation, airport, or airfield adjacent development experience.

• Experience navigating environmental reviews, FAA approvals, and airport permitting processes.

• Demonstrated success delivering PPP projects under long term ground leases.

8. Team Completeness Proposer must submit a full team with clearly defined roles, including:

• Developer/Owner

• Architect/Design Professional(s)

• Constructor

• Financier(s)

• Operator/Property Manager (if separate)

MAC reserves the right to reject incomplete teams or teams proposing provisional or “to be determined” key roles.

Request for Proposal – PPP Cargo Facility 22

B. Properly Executed Proposal Acknowledgement Form (Exhibit A) Sign and Date the Proposal Acknowledgement Form (Exhibit A). The Proposal Acknowledgment Form must be executed in the name of the business actually proposing to perform the Agreement if awarded, followed by the signature of the officer authorized to sign for the firm or sole proprietor and the printed or typewritten name of the officer and office held.

If the signer is not a corporate President, Vice President, or general partner, please provide evidence of the authority of the signer. In the event of a joint venture proposal, officers authorized by both entities must sign the Proposal Acknowledgment Form. The address and telephone number of the Proposer must be typed or printed on the form.

C. Evaluation Criteria In addition to the listed evaluation criteria below, each proposal must include, on a Pass/Fail basis:

• Executive Summary: A concise high-level overview if the Respondent, its team, key strengths, and how the proposal advances MAC’s cargo modernization goals.

• Properly Executed Proposal Form

• Minimum Qualifications

The evaluation criteria and weight to score each proposal will include:

Criteria Points

Concept Design and Development Approach 450 Points Team Structure 200 Points Project Schedule, Milestones, and Contingency

Period Approach 200 Points Management and Operations Plan 450 Points Financial Ability/Creditworthiness 200 Points Financial Offer (Ground and/or Participation Rent) 300 Points Small Business Participation 200 Points

TOTAL: 2,000 Points

Request for Proposal – PPP Cargo Facility 23

1. Concept Design and Development Approach (450 Points) The evaluation will consider:

• Quality, clarity, and feasibility of the conceptual site plan and building layout

• Understanding of cargo operations, tenant requirements, and airside/landside logistics

• Integration of operational efficiency, safety and sustainability (IV.D(11)).

LEED Silver will be the minimum requirement for the project. Proposals will score higher for meeting LEED Gold or above

• Demonstrated understanding of MSP site constraints, utilities, security, and phasing

• Proposed construction methodology, including minimizing disruption to airport operations

• Whether the design meets the Facility and Security requirements laid out in Section IV.B of this RFP.

2. Team Structure (200 Points) The evaluation will consider:

• Completeness and strength of the proposed development team

• Experience of Developer, Architect/Engineer, Constructor, Financier, and

Operator

• Relevant cargo/industrial/aviation project experience

• Organizational structure and clarity of roles and responsibilities

3. Project Schedule, Milestones, and Contingency Period Approach (200 Points) The evaluation will consider:

• Realism and completeness of the proposed project schedule

• Understanding of key sequencing within an active airport environment

• Identification of critical path activities and risk management strategies

• Clarity of Contingency Period due diligence steps

• Alignment of schedule with MAC expectations

4. Management and Operations Plan (450 Points)

• Proposed long-term operations and maintenance strategy

• Approach to 24/7 responsiveness in an airport environment

• Facility management systems, asset management practices, and maintenance philosophy

Request for Proposal – PPP Cargo Facility 24

• Staffing approach, tenant coordination, and ability to support cargo handlers’ needs

• Knowledge of airport security, safety standards, and regulatory requirements

• Plans for adaptability as technology, cargo volumes, and market conditions evolve5

5. Financial Ability/Creditworthiness (200 Points)

• Financial stability of Respondent and key team members

• Ability to obtain financing for development and long-term operations

• Strength of financial partners and demonstrated access to capital

• Reasonableness of capital structure and financial assumptions

• History of performance on long-term lease or PPP obligations

6. Financial Offer (Ground Rent and Participation Rent (300 Points)

• Competitiveness of financial return to MAC

• Reasonableness of underlying financial assumptions

• Consistency with Respondent’s development and operating plan

• Alignment with long-term airport objectives and risk allocation

7. Small Business Plan (200 Points) As outlined in Section IV.B, the successful Proposer will be required to meet the small business participation goals for construction of the Cargo Facility. Small business goals will be established by the MAC’s Office of Civil Rights and Small Business Development once the construction scope is finalized.

The evaluation will consider:

• Proposed methods of including small businesses

• Past small business participation efforts

• The submission of the “Small Business Goal Worksheet” in Exhibit E

D. References Please include three (3) business references and one (1) financial references familiar with Proposer’s prior operations and construction or management of prior projects.

Request for Proposal – PPP Cargo Facility 25

MAC may consult all references, and submission of Proposer’s response to the RFP will constitute permission for MAC to make such inquiries and authorization to third parties to respond thereto.

For each refence please provide:

a) Company Name

b) Contact Person and Title

c) Address

d) Phone Number

e) Length of time with the company

VI. INSURANCE REQUIREMENTS

A. Development and Building/Construction Phase Insurance Requirements In accordance with the above, Lessee, contractor and any subcontractors will maintain the following insurance coverage during the development and building construction phase:

Forms of Coverage Minimum Limits of Liability

• WORKERS’ COMPENSATION INSURANCE

Workers’ compensation insurance policies shall also provide employer’s liability insurance with a limit of at least $1,000,000 each accident, $1,000,000 Disease Policy Limit and $1,000,000 Disease each employee.

• PROFESSIONAL LIABILITY INSURANCE

Professional Liability insurance covering the Contractor’s scope of work under this agreement, including any design or engineering work, with a minimum limit of $2M per occurrence and $2M annual aggregate.

• CONTRACTORS’ GENERAL LIABILICY INSURANCE

Comprehensive general liability insurance covering personal injury including bodily injury and property damage liability with a combined single limit of $10,000,000 for each occurrence and aggregate.

• COMPREHENSIVE AUTOMOBILE LIABILITY INSURANCE

Comprehensive automobile liability insurance covering bodily injury and property damage with a combined single limit of $5,000,000 for each occurrence.

• PROPERTY INSURANCE/BUILDERS RISK INSURANCE

Property insurance upon the construction at the site in the amount of no less 85 percent of the Contract Price for the construction. This insurance shall be

Request for Proposal – PPP Cargo Facility 26 written on a Builder’s Risk “all-risk” or open peril or special causes of loss policy form.

• POLLUTION LIABILITY INSURANCE

Contractor’s Pollution Liability coverage with limits of $2,000,000 per occurrence and $4,000,000 aggregate. Coverage to include bodily injury, property damage, testing, clean up and non-owned disposal sites.

B. OPERATIONAL PHASE/LEASING

Upon completion of construction and in accordance with the above, Lessee and any subcontractors will maintain the following insurance coverage during the operational phase of the facility:

Forms of Coverage Minimum Limits of Liability

• WORKERS’ COMPENSATION INSURANCE

Workers’ compensation insurance policies shall also provide employer’s liability insurance with a limit of at least $1,000,000 each accident, $1,000,000 Disease Policy Limit and $1,000,000 Disease each employee.

• COMPREHENSIVE AUTOMOBILE LIABILITY INSURANCE

Comprehensive automobile liability insurance covering bodily injury and property damage with a combined single limit of $10,000,000 for each occurrence. compensation insurance policies shall also provide employer’s liability insurance with a limit of at least $1,000,000 each accident, $1,000,000 Disease Policy Limit and $1,000,000 Disease each employee.

• COMERCIAL GENERAL LIABILITY POLICY

At the time of lease signing, between the owner and any tenants, a comprehensive general liability insurance policy covering personal injury including bodily injury and property damage liability with a combined single limit of $50,000,000, will be required.

• PROPERTY INSURANCE

Property insurance upon the full replacement value of the building and other leasehold improvements.

Request for Proposal – PPP Cargo Facility 27

VII. GENERAL TERMS AND CONDITIONS

1. SOLICITATION INQUIRIES:

Vendors shall promptly notify MAC’s Buyer, Laurel Deneen, at:

https://metroairports.bonfirehub.com/portal/?tab=openOpportunities of any ambiguity, inconsistency or error which is discovered upon examination of the solicitation documents no less than seven (7) days prior to the bid due date. Telephone inquiries or unsolicited visitation by Vendors or their representatives will not be responded to.

2. COMPETITION IN RESPONDING:

MAC desires and encourages free and open competition among responsible Vendors.

Whenever and wherever possible, MAC specifications, Solicitation terms and conditions are designed to accomplish such competition, consistent with the necessity to satisfy MAC’s needs and the accomplishment of a good economical operation. Any evidence of collusion among Vendors in any form designed to defeat competitive bidding will be reported to appropriate authorities for investigation and appropriate action. Suggestions from Vendors regarding requirements of Solicitation procedures are welcomed and will be given careful consideration.

3. COST OF RESPONSE PREPARATION:

MAC will not reimburse the cost of preparing, presenting, or providing any Response.

Responses submitted for consideration should be prepared simply and economically providing adequate information in a straightforward and concise manner.

4. ADDENDUM:

If it is necessary to revise any part of the Solicitation, or if additional data is necessary to enable the exact interpretation of provisions of this Solicitation, an Addendum will be provided to all vendors. Only changes made in writing, via Addendum, will be valid.

Questions must be submitted at:

https://metroairports.bonfirehub.com/portal/?tab=openOpportunities

All questions must be submitted on or before 4:00 p.m. CST on June 16, 2026.

5. IDENTIFICATION OF OFFER:

Vendors shall indicate brand name, trademark, catalog number, model, etc., as applicable, on the Response Form covering the product they are offering and proposing to furnish. If not indicated, it will be considered that the make and model given as a reference will be supplied.

Request for Proposal – PPP Cargo Facility 28

6. AUTHORIZED SIGNATURE:

The Response must be completed and must be fully and properly executed and signed by an officer or other authorized representative, who shall state his or her title and the name of the firm or business.

This is the start of the file's text. The full file is on GovTribe.

File details come from the government source that posted it. Updated .