RFP for Acquisition and Redevelopment of 540 West Hamilton Street Allentown, PA 18102

The Redevelopment Authority of the City of Allentown (RACA) is issuing a Request for Proposals (RFP) for the acquisition and redevelopment of 540 West Hamilton Street in Allentown, Pennsylvania, a mixed-use development procurement. The property comprises a 2,000 square-foot lot containing a 5,800 square-foot, 3-story mixed-use building constructed in 1890, located in downtown Allentown's commercial corridor within the Neighborhood Improvement Zone (NIZ) and Historic Building Demolition Overlay (HBDO) district. Qualified developers must submit sealed proposals electronically via PennBid by Wednesday, April 1, 2026, at 4:00 p.m., with questions due by Monday, March 2, 2026. A technical assistance session will be held on Tuesday, March 3, 2026, from 12:00 p.m. to 1:00 p.m., and an optional site visit is available on Tuesday, February 17, 2026, requiring attendance confirmation by Friday, February 13, 2026. The RFP utilizes a two-step process: Step One requires an unpriced technical proposal addressing development design, feasibility, economic and community impact, and team qualifications; Step Two requires a sealed price proposal including purchase price, sources and uses budget, and preliminary 5-year pro forma. Evaluation criteria include financial capacity and offer (25 points), project design and feasibility (25 points), team experience and qualifications (20 points), economic impact and affordable housing (15 points), and project approach and schedule (15 points), for a maximum of 100 points. Key objectives include activating the underutilized property while retaining the existing building (demolition is prohibited) and incorporating public benefit, ideally including affordable housing at 80% AMI or below, with workforce housing at 80-120% AMI also encouraged.

The RFP does not identify specific set-aside designations or restrictions limiting response to disadvantaged enterprises or particular organizational types; however, all proposers must comply with applicable federal, state, and local laws, including the Fair Housing Act, HUD procurement requirements, Pennsylvania Right-to-Know Law, and non-collusion and ethics requirements. No incumbent vendors or current contractors are identified in the procurement documents. The property zoning permits high-intensity mixed-use development including ground-floor commercial and upper-story residential or office uses, allowing proposers flexibility in design integration with existing infrastructure and the historic structure. The RFP does not specify a budget range or award value; rather, pricing is determined through the sealed proposal process with financial capacity and offer comprising 25 of 100 evaluation points. A Review Committee composed of RACA leadership, board members, and City of Allentown Department of Community and Economic Development staff will recommend a winning proposal to RACA's Board for final selection. RACA reserves the right to reject any or all proposals, request clarifications, negotiate terms, or cancel the RFP.