Grants Pass OR JOTFOC 9.24.24 redacted_Redacted.pdf

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Grants Pass, OR-BLM office and related space
Solicitation number
L02PL00253
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About this file

This document is a Justification for Other Than Full and Open Competition for a lease extension for the Bureau of Land Management (BLM) in Grants Pass, Oregon. The BLM currently leases 37,764 rentable square feet at 2164 NE Spalding Avenue, with the current lease expiring on 8/31/2025. The agency is seeking a 5-year/12-month firm term lease extension with the incumbent lessor without full and open competition. The justification is based on cost-effectiveness, as relocating would incur significant move and replication costs that cannot be recovered through competition. Market research was conducted using Costar, and an advertisement was posted on SAM.gov on 8/19/2024. The proposed rental rate is within the current market range for the area, and BLM is not requesting any tenant improvements or changes to lease terms. The agency anticipates potentially moving to GSA-owned space in the future and wants to maintain flexibility with this lease extension.

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Revised 12-06-2022

Justification for Other Than Full and Open Competition

PROJECT NUMBER: L02PL00253

Agency Name: Bureau of Land Management

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

The Bureau of Land Management currently leases 37,764 ABOA/37,764 rentable square feet (RSF) of space at 2164 NE Spalding Avenue, Grants Pass, Oregon 97526 under lease number L02PL00253. The current lease expires 8/31/2025. Approval is requested to negotiate a lease extension with the incumbent Lessor without full and open competition for continued occupancy at this leased location. The procedures for pursuing a lease extension are detailed in GSAR 570.405.

This is the first lease extension requested for the location. BLM anticipates delivering the Agency Specific Requirements (ASR) package to GSA in the next 5 years after GSA has completed the Oregan State acquisitions for Klamath Falls, Lakeview, and Tillamook. A 5 year/12 Month firm term lease extension is requested to allow flexibility for a potential move to GSA acquired space upon submittal of an ASR to GSA.

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

(INCLUDING ESTIMATED VALUE).

This requirement is for 37,764 ABOA/37,764 RSF of space for a 5 year/12 Month firm term lease extension to commence on 9/1/2025. 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 the City Limits of Grants Pass, OR.

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 for a 5 year/12 month firm term lease. 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 the BLM Grants Pass Interagency Office to incur move and replication costs that would not be recovered through competition.

Cost Benefit Analysis Results:

Cost of Existing Space for 5 years:

Minimum Savings to the Government to remain in the current facility: $

A cost-benefit analysis was completed following the procedures set forth in GSAR 570.402-6. The cost of relocating the BLM Grants Pass Interagency Field Office exceeds the cost of remaining at 2164 NE Spalding Avenue, Grants Pass, Oregon 97526. The total savings to the Government is a minimum of $ over 5 years.

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 8/19/2024 for 15 days. In addition, market research was conducted using Costar.

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

GOVERNMENT WILL BE FAIR AND REASONABLE.

Recent market surveys conducted by the Bureau of Land Management Real Estate Leasing Services using Costar data in Grants Pass, Oregon showed the rental rate within the delineated area ranges from $ and $ per RSF. Reports are included as part of the GREX submittal documents.

The proposed rental rate for this succeeding lease of $ per RSF is 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 8/15/2024, market research was conducted using Costar. Grants Pass, OR has vacant space which could potentially meet the needs of the BLM. However, BLM is anticipating a move to GSA owned space and the cost of moving as well as building out the BLM specific space needs for a 5 year/12 month firm term could not be recovered.

In addition, BLM posted an advertisement conforming to GSAR 570.402-2 on the Contract Opportunities domain of SAM.gov website on 8/19/2024.

See Figure 1 below for the results of the market research conducted on Costar

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

765 SE 6th Street-office Costar $ nnn

1344 Brookside BLVD-warehouse Costar $ $ Modified Gross

1830 NE 7th Street Costar $ NNN

Figure 1: Market Research Comparable

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

BLM is not requesting any tenant improvements nor any other change in lease terms. BLM is content with as-is space.

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

ACQUISITION.

Sources expressed interest as a result of the SAM.gov advertisement posted on 8/19/2024.

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

ANY BARRIERS TO COMPETITION BEFORE ANY SUBSEQUENT ACQUISITION.

N/A

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 37,764 (RSF) of space in Grants Pass, OR is in the Government’s best interest and that this Justification is accurate and complete to the best of the Lease Contracting Officer’s knowledge and belief.

_________________________ ___________________ Date_____________________

Concurred By:

_________________________ _Date______________________

12. PREPARER’S TECHNICAL CERTIFICATION.

I certify that the supporting data used to form the basis of this Justification is complete and accurate to the best of my knowledge and belief.

___________________________________________________ Date______________________

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