1NC2213 posted redacted JOTFOC SSA Henderson NC_pdf.pdf

Revised 12-06-2022

Justification for Other Than Full and Open Competition, Succeeding Lease

U.S. General Services Administration

GSA Region 4

Leasing Division – Branch NC/SC

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

PROJECT NUMBER: 1NC2213

Agency Name:

1. NATURE AND/OR DESCRIPTION OF ACTION BEING APPROVED.

The General Services Administration currently leases 7,799 ABOA/8,668 rentable square feet (RSF) of office space at under lease number GS-04P-LNC02235 for the . The current lease expires 11/18/2024. Approval is requested to negotiate a succeeding lease with the incumbent Lessor without full and open competition for continued occupancy at this leased location. The procedures for pursuing a succeeding lease are detailed in GSAR 570.402: Succeeding Leases.

2. DESCRIPTION OF THE SUPPLIES OR SERVICES REQUIRED TO MEET THE AGENCY’S NEEDS

(INCLUDING ESTIMATED VALUE).

submitted a continuing need letter on August 4, 2022, for 8,668 rentable square feet of office and related space. To satisfy the mission requirements, the facility must be within a walkable distance of the public transportation.

This requirement is for 7,799 ABOA/8,668] RSF of space for a 10 years/5 years firm term to commence on November 19, 2024. The estimated cost of this lease is $ per rentable square feet per year for an annual cost of and a total contract value of . The delineated area is:

North: I85 from Dabney Drive to exit 215 to N. Garnett St. (Hwy 1/I58) East: N. Garnett Street (Hwy 1/I58) from exit 215 to US 1 and US 1 from Garnett St. to Dorsey Ave.

South: Dorsey Ave from Dabney Drive to Hwy 1 (Granite St.)

West: Dabney Drive from I85 to Dorsey Ave

There is no vacant Federal Space available.

3. IDENTIFICATION OF STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN

COMPETITION.

41 U.S.C. 3304(a)(1): Only one responsible source and no other supplies or services will satisfy agency requirements. This statutory authority is implemented through GSAR 570.402. In accordance with GSAR 570.402, use of the sole source authority is appropriate where it is determined that award to any other offeror would result in substantial duplication of costs to the Government that are not expected to be recovered through competition.

4. DEMONSTRATION THAT THE PROPOSED CONTRACTOR’S UNIQUE QUALIFICATIONS OR

NATURE OF THE ACQUISITION REQUIRES THE USE OF THE AUTHORITY CITED.

It is in the best interest of the Government to remain at the current location. Award to other than the current Lessor would require relocation of the entire requirement and would cause to incur move and replication costs that would not be recovered through competition. Relocation costs are estimated to be

A cost-benefit analysis was completed following the procedures set forth in GSAR 570.402-

6. The cost of relocating using the low-cost quote exceeds the cost of remaining at

The total savings to the Government is .

5. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE SOLICITED FROM AS

MANY POTENTIAL SOURCES AS IS PRACTICABLE.

Per the requirements of GSAR 570.402, the GSA Lease Contracting Officer placed an advertisement on the Contracting Opportunities domain of SAM.gov on January 26, 2023, for 3 days.

6. DEMONSTRATION BY THE CONTRACTING OFFICER THAT THE ANTICIPATED COST TO THE

GOVERNMENT WILL BE FAIR AND REASONABLE.

Recent market surveys conducted by Michelle Head, LCO in Henderson, NC showed the rental rate within the delineated area ranges from REXUS Market Analysis of the Asheville/Henderson NC area per

RSF.

Therefore, the proposed rental rates for this succeeding lease of $ /RSF, are within the current market range for this submarket and are deemed fair and reasonable by the GSA Lease Contracting Officer.

7. DESCRIPTION OF MARKET RESEARCH CONDUCTED AND THE RESULTS.

GSAR 570.402-5 allows for negotiation with the incumbent Lessor when a cost-benefit analysis shows that the Government cannot expect to recover relocation and duplication costs through competition.

On September 8, 2022, Michelle Head conducted market research using REXUS to identify other leases within the Henderson/Asheville market and identified 7 locations to generate the current market rate in this area. In addition, PBS posted an advertisement conforming to GSAR 570.402-2 on the Contract Opportunities domain of SAM.gov website on January 26, 2023.

See Figure 1 below for the results of the market research and SAM.gov advertisement, including the incumbent.

Address Source [EOI/CoStar, etc.] Asking Full Service Rental Rate

Figure 1: Market Research Comparables

8. OTHER FACTS SUPPORTING USE OF OTHER THAN FULL AND OPEN COMPETITION.

[The building tour/inspection took place on February 8, 2023. The space is well maintained with some minor repairs. The agency accepted the space.

9. LIST OF SOURCES, IF ANY, THAT EXPRESSED, IN WRITING, AN INTEREST IN THE

ACQUISITION.

None

10. STATEMENT OF ACTIONS, IF ANY, THE AGENCY MAY TAKE TO REMOVE OR OVERCOME

ANY BARRIERS TO COMPETITION BEFORE ANY SUBSEQUENT ACQUISITION.

There are no systemic barriers to competition. If the agency has a continuing need for space upon lease expiration, GSA will follow all authorities, regulations and policies applicable to lease acquisition. Should there be remaining useful life in the Government’s tenant improvements, the Government will consider the cost of moving from the existing location, and the cost to build out new space when deciding whether to undergo a competitive action.

Additionally, objective scrutiny will be given to the customer agency’s mission and security requirements (if applicable) to eliminate unnecessary agency space requirements that may be deemed unduly restrictive.

11. CONTRACTING OFFICER CERTIFICATION.

By signature on this Justification for Other than Full and Open Competition, the GSA Lease Contracting Officer certifies that the award of a succeeding lease of 8,668 RSF is in the Government’s best interest and that this Justification is accurate and complete to the best of the GSA Lease Contracting Officer’s knowledge and belief.

11/16/2023

X Michelle Head Michelle Head Lease Contracting Officer Signed by: SIDNEY HEAD

11/20/2023

X Kenny Day Kenny Day Team Leader/Lease Contracting Officer Signed by: KENNETH DAY

See FAR 6.304 for appropriate signature threshold levels.

If Senior Procurement Executive (SPE) approval is required, must include signatures from Regional Contracting [Leasing] Director, Regional Counsel, and Head of Contracting Activity (HCA). Use of a separate signature page is required.

Note that the threshold for SPE approval is based on aggregate contract value;

therefore, it is possible that SPE approval may be required for actions below the prospectus threshold.