Q&A compilation_Modular Housing Due Diligence.pdf
PDF 81 KB Posted
- Solicitation number
- 21260724102722
- Issued by
- Philadelphia County, Philadelphia City, Pennsylvania
About this file
This is a Q&A compilation document related to a Request for Proposals issued by the City of Philadelphia for governance and financial analysis of a proposed modular housing factory. The City seeks a comprehensive cost-benefit analysis to evaluate the feasibility of establishing and sustaining a modular housing manufacturing facility through a public-private partnership model. The consultant will evaluate three governance and operational models: City-held ground lease with private operator, privately owned and operated facility, and fully vertically integrated developer-operator. The pre-proposal meeting was held August 4, 2026 at 1:00 p.m. via Zoom, with questions due by August 5, 2026 at 5:00 p.m. and proposals due August 24, 2026 at 5:00 p.m. Philadelphia Time. The contract term runs from November 2, 2026 through November 1, 2027, with the City holding an option to extend for up to four additional one-year terms. Interviews and presentations are anticipated the week of September 8, 2026, with selection expected the week of September 28, 2026.
The maximum fixed-price contract value is $100,000, with payment structured as 50 percent upon completion of the second draft report and 50 percent upon receipt of the final draft and briefing deck. Applicants involved in manufacturing, development, or construction of modular or traditional housing are ineligible. Local Business Entity certification under Philadelphia Code Section 17-109(3)(b) is a selection criterion. The City will provide the selected consultant with access to fourteen prior RFI responses, interview notes, and organizational support for stakeholder coordination. The analysis should consider demand modeling within and outside Philadelphia boundaries, including neighboring areas in New Jersey and Delaware, and explore various ownership models for both the manufacturing facility and produced housing units. The selected consultant will be precluded from participating in planning and implementation of the modular housing factory but may pursue further due diligence efforts such as additional financial modeling. Contractors must comply with Philadelphia's 21st Century Minimum Wage and Benefits Standard and disclose political contributions.
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Date Received Question Response
8/5/2026
We note the desire to have a factory that produces "affordable luxury housing" - is this the only type of production to consider? Page 11 notes "affordable unit production". Can you explain how these two descriptions relate?
Providing residents a diverse supply of high-quality, affordable luxury homes is core to the City's H.O.M.E. Initiative. A successful modular housing factory effort must deliver on this goal, helping the City to expedite delivery and increase supply of housing, with a focus on creating high-quality, energy efficient, affordable luxury housing. At the same time, the analysis should also consider overall demand analysis, including market-rate housing provided on the private market.
8/5/2026
We noted the desire not to have a manufacturer involved in bidding on this work, but we are assuming we will not be restricted from speaking with them and/or including them on an advisory committee for this project? Is that assumption correct?
The selected respondent may engage with modular housing factory operators and modular housing developers to understand the market. The City will also provide the selected respondent with access to responses to our request for information received, as well as notes from the City's informational interviews with developers, manufacturers, and operators of modular housing and modular housing factories.
8/5/2026 Is the city open to considering various ownership models for both the manufacturing facility and the produced housing units?
RFI responses and peer City research have revealed an array of potential governance models, which the selected respondent will help the City explore. This may include different ownership models for both the manufacturing facility and housing units.
8/5/2026 As part of the analysis, should we also be looking at who buys/owns the modular homes and align with any appropriate nonprofit goals/focus?
The analysis seeks to understand the City's ideal role in attracting and sustaining a modular housing factory to Philadelphia, including capital and operating costs and risks. Different governance models will be explored as part of the analysis, which may include partnership models.
8/5/2026
Can our analysis look at demand modeling outside of just Philadelphia but also in neighboring cities in NJ, DE that a Philadelphia manufacturer could serve?
Yes, the analysis could look at demand modeling outside of the Philadelphia boundaries. The modeling must take into account factors for demand generation, including price differentials compared to competing modular housing factories outside of the City boundaries.
8/5/2026 Would the consultant selected for this engagement be precluded from participating in future work related to modular housing initiative?
The consultant may be able to pursue other due diligence efforts (i.e. further financial modeling) for the modular housing factory assessment; however, they would be precluded from working on the planning (i.e. establishing public private partnership framework) and implementation of a modular housing factory within the City. The City is seeking independent analysis that is not influenced by future work opportunities.
8/5/2026
Would the City consider alternative delivery approaches and/or timelines that do not strictly adhere with the statement of work, but that would still provide the desired results, while fitting within the available budget?
The City has a desired product that supplements its internal skill set. The City is open to alternative approaches to meeting the outlined deliverables, but there is limited flexibility in the desired form or content of the deliverables described. The timeframe may be shortened if the respondent is able to produce the materials within a shorter timeframe, but it cannot be extended and the City's review periods cannot be truncated.
8/6/2026 Would the City consider extending the proposal submission deadline?
No. The City is on a tight timeline to advance the due diligence efforts related to the modular housing factory.
8/7/2026
The project schedule indicates that stakeholder engage will begin shortly after project initiation. Does the City have an identified list of stakeholders for the consultant to engage? Additionally will the City support the coordination, scheduling, or facilitation of stakeholder engagement activities?
The City does have a list of initial list of stakeholders to engage for this scope of work.
As the selected respondent completes additional work, new stakeholders may emerge and may be added. The City will coordinate the scheduling of the meetings with stakeholders; however, the informational questions needed to get to the desired product will rely on the expertise of the selected respondent.
8/4/2026
My firm is interested in the Governance & Financial Analysis, Modular Homes RFP posted on eContract, but is unable to attend today's info session. Will the session be recorded. Yes, the recording is available here: https://youtu.be/wuovwG7bWvo
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