Lessee for 2801 Cerrillos Rd

The City of Santa Fe is issuing a Request for Proposals to identify a qualified lessee to occupy and operate a commercial property located at 2801 Cerrillos Road, a 6,512 square-foot building constructed in 1985 on a 10,710 square-foot parcel zoned for general commercial use. The procurement seeks proposals from qualified parties to occupy the property and provide services that will benefit the community, with the explicit restriction that the property cannot be used for homeless services. The initial lease term is five years with one optional five-year renewal term, with possession and rent commencement beginning January 1, 2028. Proposals are due by September 1, 2026, at 3:00 PM MST/MDT via electronic submission, with a mandatory pre-proposal conference scheduled for July 1, 2026, at 2:00 PM MST/MDT at the property location or virtually. The fair-market-rent appraisal will be provided at least ten business days before the proposal deadline, and offerors must propose annual rent based on this appraisal with rent subject to annual lease escalation beginning in the second year. The Selection Committee will evaluate proposals using a 100-point scoring system with criteria including acceptance of the lease agreement (25 points), rent proposal amount with highest proposed rent receiving highest points (25 points), offeror experience (15 points), business type (15 points), and benefit to the community (20 points). The City anticipates selecting finalist(s) by January 15, 2027, with contract award anticipated by June 1, 2027.

The RFP does not identify specific set-aside designations or restrictions on organizational types eligible to respond, though all offerors must comply with the City of Santa Fe Living Wage Ordinance and submit mandatory appendixes including a Letter of Transmittal Form, Conflict of Interest Statement, and Living Wage Ordinance Acknowledgement. The lessee will be responsible for all utilities, maintenance of interior structures and fixtures, janitorial services, pest control, and snow removal, while the City maintains responsibility for the building structure, roof, exterior facade, and major service equipment. The lessee must maintain comprehensive insurance coverage including commercial property insurance at 100 percent replacement cost, commercial general liability insurance with limits of $1,000,000 per occurrence and $2,000,000 in the aggregate, workers' compensation insurance with statutory limits, and umbrella liability insurance of not less than $1,000,000, with a security deposit equal to one month's rent required. No specific budget range or award value is provided in the RFP materials; rather, the rent amount will be determined through the proposal process based on the fair-market-rent appraisal and the offeror's proposed rent, which is itself a primary evaluation criterion. The City reserves the right to negotiate additional provisions with the successful offeror and may finalize agreements with the next highest-ranked offeror if mutually agreeable terms cannot be reached with the top-ranked selection.