Terminal Gift Shop Retail Concession Agreement at the DRO Airport

The City of Durango is seeking proposals for a Terminal Gift Shop Retail Concession Agreement at the Durango-La Plata County Airport (DRO), inviting qualified firms to design, construct, operate, and maintain a gift shop within the airport's new terminal. The concession opportunity involves managing approximately 475 square feet of retail space and 194 square feet of storage, located in the airside sterile area, with an anticipated occupancy in July 2026 and opening in August 2026. The selected concessionaire will be responsible for offering a diverse range of merchandise including gifts, souvenirs, clothing, reading materials, traveler convenience items, locally themed foods, and prepackaged snacks, while maintaining "street pricing" within 15% of similar local retail outlets. The contract will be for an initial five-year term with the potential for a two-year extension. A non-mandatory pre-bid meeting is scheduled for July 30, 2025, with proposal submissions due by September 11, 2025, and an expected contract award in October 2025. Evaluation criteria will include the bidder's experience, management plan, local product placement, capital investment, environmental sustainability, and financial considerations, with the airport serving approximately 500,000 passengers in 2024 and experiencing over 30% passenger traffic growth compared to pre-pandemic levels.

The procurement includes an Airport Concession Disadvantaged Business Enterprise (ACDBE) goal of 1.00%, requiring bidders to demonstrate good faith efforts in meeting this participation target. The financial structure involves a minimum annual guarantee (MAG) of $25,000 and a 10% concession fee based on gross revenues. Bidders must comply with comprehensive airport and federal regulations, including non-discrimination provisions and specific merchandise selection requirements. The concessionaire will be responsible for all operational costs, maintenance, and meeting high-quality service standards consistent with airport retail expectations. The opportunity aims to create a concession that showcases local and regional products and provides excellent customer service while contributing to a positive impression of the Durango and Four Corners region. The selected vendor must be prepared to operate 365 days a year, with operating hours aligned with airline flight schedules, and demonstrate the capability to design and outfit the retail space in compliance with the detailed architectural and engineering specifications provided in the RFP exhibits.