RFP no. PB18-9 lease/development vacant non-aeronaut'l land

Palm Beach County's Department of Airports issued RFP No. PB18-9 on August 23, 2018, seeking qualified developers to lease and develop up to 39.68 acres of vacant non-aeronautical land located west of Palm Beach International Airport. Proposers must commit to leasing a minimum of 5 acres with a maximum lease term of 50 years from the Date of Beneficial Occupancy, with optional renewal terms not exceeding the 50-year maximum. The property is designated for compatible commercial or industrial uses, including warehouse or office space, and proposers are responsible for designing and constructing all Initial Leasehold Improvements, including primary facilities, electrical systems, sewage and wastewater disposal, landscaping, lighting, signage, parking, roadways, stormwater control systems, and security measures. Substantial completion of Initial Leasehold Improvements must occur within twenty-four months following the Effective Date, as evidenced by receipt of a temporary or permanent certificate of occupancy. Ground rental rates are not less than $0.45 per square foot for sites of 30 acres or greater and not less than $0.55 per square foot for sites smaller than 30 acres, with annual adjustments occurring on three-year anniversaries based on fair market rental value appraisals, subject to Consumer Price Index caps. Proposers must submit proposals by September 14, 2018, at 3:30 p.m., with one unbound original, five hard copies, and one electronic copy required; the deadline for written questions and comments was August 31, 2018, at 3:00 p.m., and a mandatory pre-proposal conference was held on August 23, 2018. Qualified proposers must demonstrate experience with similar lease and development projects within the preceding ten years, provide audited financial statements or equivalent documentation of financial stability, and submit a $5,000 proposal guarantee.

The RFP strongly encourages and mandates a minimum of 15 percent Small Business Enterprise (SBE) participation for design and construction of leasehold improvements, which can qualify proposers for an Infrastructure Improvement Credit of up to six months in rental credits. Phased development is permitted with no more than two phases, provided the first phase comprises at least 50 percent of the total leased area and each phase is independently viable. The lease is structured as a triple-net lease requiring the tenant to bear all costs including taxes, insurance, maintenance, utilities, and compliance with all applicable federal, state, and local laws, including FAA airspace restrictions and height limitations, Americans with Disabilities Act requirements, and environmental regulations. Prohibited uses explicitly include residential development, schools, churches, adult entertainment, parking facilities competing with airport operations, and wildlife-attracting land uses such as landfills. The property is subject to a Phase I Environmental Site Assessment Report, which identified one Historical Recognized Environmental Condition and one Business Environmental Risk, though no current Recognized Environmental Conditions were found. Award and final approval are subject to Board of County Commissioners approval, with the final award date and contract value to be determined based on the quality of proposals received and the rental rates and improvements proposed by selected developers.