Arrowhead Soundstage Lease

New Mexico State University (NMSU) is seeking a commercial entity to lease and operate a comprehensive soundstage complex located in Arrowhead Park, with the Request for Proposal (RFP #2025-RFP-647) released on October 17, 2024. The project involves leasing approximately 36,400 square feet of rentable space, including a soundstage, support building, and equipment building, designed for film, television, and media content production. Key deliverables include professional management of the complex, attracting film and TV productions, providing at least six paid student internships per production, and generating economic impact for the Las Cruces and southern New Mexico region. The evaluation criteria will assess proposals across seven key areas: best value (25 points), management/booking plan (15 points), internship proposal (15 points), technical experience (15 points), production history (15 points), financial strength, and references. Critical deadlines include a final question submission date of February 3, 2025, an addendum submission deadline of February 13, 2025, and the final proposal submission deadline of February 25, 2025 at 2:00 pm local time. Successful offerors must demonstrate significant technical experience in soundstage operations, provide financial statements, and commit to a minimum 30% occupancy level each calendar year.

The procurement offers preference points for New Mexico resident businesses (5 points) and veteran-owned businesses (5 points), potentially giving local and veteran-owned enterprises a competitive advantage. The initial lease term is 60 months, with options to renew for additional five-year terms, and includes an annual base rent of $240,000 with a 3% annual escalation factor. Bidders must provide a security deposit equal to 10% of the first year's base rent and maintain comprehensive insurance coverage. The contract was ultimately awarded to Automatic Entertainment GL LLC for $2,850,000.00, with the successful vendor required to submit a Dun & Bradstreet number, balance sheet, and two years of financial statements. Respondents must also provide a certificate from the New Mexico Taxation & Revenue Department and comply with standard NMSU terms and conditions. The lease is structured as a Triple Net (NNN) agreement, with the lessee responsible for all operating expenses, including taxes, utilities, maintenance, and insurance, and must provide annual economic impact reporting to NMSU.