A Development Team for
The Peninsula Neighborhood

In Iowa City, Iowa

City of Iowa City
410 East Washington Street
Iowa City, Iowa 52240-1826
(319) 356-5230
Fax (319) 356-5009

A Development Team for

The City of Iowa City is seeking a master development team(s) for acquisition, development, construction and marketing of a Traditional Neighborhood Development.
The 70-acre site, known as "The Peninsula," is located within Iowa City and is owned by the City. This offering provides an exciting opportunity for a development team to build a highly desirable in-town property, with the full support of a dynamic City government.

• The property is centrally located in the greater Iowa City area. The Peninsula is near the University of Iowa, the University hospitals and downtown Iowa City, and across the Iowa River from the City of Coralville to the west.

• The site affords an excellent potential for a wide mix of residential housing types along with the opportunity for live/work units and small nonresidential uses such as a corner grocery store or a daycare.

• Development will be able to proceed quickly; much of the groundwork has been done. A concept plan with guidelines for architecture and urban design has already been adopted, allowing the project to be "permit-ready" within a short amount of time. The City is also building a new road and bringing municipal utilities to the property.

Iowa City is regarded as one of the most attractive places to live in the Midwest:

Reader’s Digest (April 97)
Iowa City ranked in the nation’s top 50 of the best places to raise a family, cited as having "what makes a town family-friendly. Parents topped the list with low crime rate, low drug and alcohol abuse, good schools, high-quality health care, a clean environment and affordability."

Kiplinger’s Personal Finance Magazine (September 96)
Iowa City ranked as the second healthiest city in the United States, because of the health benefits of university hospitals and abundant recreational areas.

Business Week (July 98)
"As people challenge the conventional notion of retirement, they’re rethinking the types of place where they want to spend their later years. For an increasing number of Americans, that means choosing an area where they can have access to culture, education, entertainment, history, and a shot at a rewarding full or part-time job."

Fortune (August 18, 1997)
Iowa City has a higher percentage of college graduates than any other city in the U.S. as measured by Moran Stahl and Boyer, a consulting firm specializing in business location selection.

REGIONAL CONTEXT

URBAN CONTEXT

Iowa City is located three hours west of Chicago in eastern Iowa. The Iowa City/ Cedar Rapids metropolitan area has a population of approximately 250,000. The Peninsula site is conveniently located near many of the larger employers in Iowa City, such as the University of Iowa, several Iowa City hospitals, and downtown Iowa City. Easy access to employment sites in neighboring Coralville and Cedar Rapids is provided via Interstate 80. The Peninsula is formed by an oxbow of the Iowa River located south of Interstate Highway 80 and east of Interstate Highway 380. Foster Road is being constructed by the City and will lead into the development and also to Interstate Highway 80.

The Peninsula site is exceptional, with vistas in all directions from the hilltops and the woodland slopes toward the Iowa River. The land has a gently rolling topography, edged by green spaces: ravines with mature stands of trees, a golf course and an open space park surround the development site. Once used as agricultural land, the development site is on the upper portion of the Peninsula, above the floodplain. Approximately 35 to 40 acres of the 70-acre property are flat and clear of trees. The remaining area contains wooded ravines. Ravines along the Iowa River form the western and northern boundaries, ravines also form part of the eastern boundary. The Elks Golf Course forms the eastern and southern boundaries. The park, in the floodplain, will create the western and southern boundary of the neighborhood. A topographic map is attached.

The City of Iowa City purchased portions of the peninsula in1995, using general funds and HUD Supplemental CDBG Flood Relief Funds. The lower peninsula, situated in the floodplain, will be designed as a passive park and wellfield for the City’s water supply. The upper peninsula has been identified as a unique opportunity for traditional neighborhood development and a model for other future developments in Iowa City.

The City, with the assistance of town planners Dover, Kohl & Partners, conducted a charrette, an intensive public design session. The results of the charrette are documented in the Master Plan and Guidelines for the Peninsula Neighborhood. Citizens and City staff have enthusiastically endorsed the plan. The Plan received a unanimous vote of approval from the City Council.

The Guidelines and Plan are intended to provide direction, but the City retains the flexibility to finalize the design in collaboration with the private development team. The concept plan shows the layout of streets, blocks and alleys, and their relationship to public spaces and existing views. The guidelines recommend a range of building types but do not specify their location or quantity. The intent is to provide flexibility in the development agreement so that the project may be adjusted to changing market demands during realization, without losing the overall concept of the traditional neighborhood.

The Master Plan and Guidelines already provide much of the front-end work typically needed by a development team. The permit approval process can proceed quickly as a result. After selecting the developer and refined plan, the City will zone the land for a Planned Unit Development (OPDH-5).

The City has hired Zimmerman/Volk Associates to complete a market study to determine the optimum housing mix; unit sizes and price and rent ranges; absorption forecasts; and profiles of target market buyers and renters. The study is underway and the results will be available to prospective developers this fall. Already there has been a great amount of interest from prospective homebuyers, who have asked to be put on a waiting list for homes within the Peninsula.

The City purchased the 70 acres for $1,300,000.00 in 1995. It is our goal to recoup this cost, however, the selection of the development team will not be based solely on the "lowest bid." A straightforward, fee simple conveyance is preferred. The City is however open to any number of approaches for transferring the property to the private sector and participating in the development. Staged selling of the property or public-private partnership concepts are conceivable. As detailed below we are asking development teams to propose a specific approach.

The goals for the neighborhood are illustrated in detail in the Peninsula Master Plan and Guidelines. Proposers are expected to be fully familiar with this document. The general goals for the neighborhood are:

• A mix of housing types and price ranges:

• A pedestrian-friendly layout:

• Architectural quality and diversity:

• Green spaces for public enjoyment:

• Long-term affordable housing:

• Opportunities for mixed-use buildings:

• Civic sites:

Developers will have the responsibilities expected of any new development occurring in Iowa City. Gas, electricity and cable are currently on the Elk’s property to the east and will need to be extended to the Peninsula property.

The City will provide:

• A 12" sanitary sewer line; 8 to 10’ deep at the property line where Foster Road enters the property.
• A 12" water line; 5 to 6’ deep at the property line where Foster Road enters the property.

The Peninsula Design Guidelines will supersede the "Iowa City Municipal Design Standards" where needed. Details which are particular to the Peninsula development include:

• Alleys do not require curbs.
• A sanitary sewer lift station will be necessary.
• Stormwater management is the responsibility of the developer. However, because of the proximity of the Iowa River, on-site stormwater storage will not be required.

• Utilities such as gas, electricity, telephone and cable have the opportunity to operate in the alley. Development teams can consult with the local franchises listed below.

Electric
Dick Bock
MidAmerican Energy Company
1630 Lower Muscatine Road
Iowa City, IA 52240
(319) 341-4468

Cable
Darwin Driscoll
TCI of Eastern Iowa
Southgate Avenue
Iowa City, IA 52240

Gas
Ed Young
MidAmerican Energy Company
1630 Lower Muscatine Road
Iowa City, IA 52240
(319) 341-4457

Telephone
Gloria M Seci
Network Facilities-Engineering
US West Communications
615-3^rd Avenue S.E.
Cedar Rapids, IA 52401
(319) 399-7373

This Request for Proposals is being sent to a limited number of developers (approximately 5-6) who have come to our attention based on the quality of their work. The City anticipates that three to four qualified development teams will submit proposals for the property. All teams will be asked to make a general presentation of their plan to the public. A private interview with the selection committee will occur the following day. The City staff and selection committee reserve the right to have discussions with any or all of the submitting teams. The selection committee will make a recommendation to the City Council who will select a development team.

The following is a tentative schedule that is subject to change. The City will inform all teams of changes in the schedule by fax and correspondence.

The goal for the development team should be to prepare a proposal that is comprehensive. The proposal should describe how the proposing team will fulfill both the urban and architectural design goals as explained in the Master Plan and Guidelines, as well as the financial requirements and overall business approach. The Teams are encouraged to specify their design and implementation strengths. The City places special emphasis on quality control with regard to the physical plan; proposers should provide clear information on how this goal will be met.

Once the proposals are received, the selection committee may require clarification and additional information. The proposals will be evaluated according to the criteria listed and described below. The order of the criteria listed below does not reflect a hierarchy for the final selection.

• Consistency with the design objectives

• Demonstrating an understanding of the concept

• Fulfilling the features of the Master Plan as described below in the Submission Requirements section. These include the Idealized Build-out Plan, Phasing Plan, Building Types, and Stormwater Collection.

Implementation Approach

• Organization, structure and responsibilities of the development team
• Proposed acquisition method

Implementation Expertise

• Proven track record, the technical ability of the team to accomplish the City’s goals

• Background, qualifications, experience and expertise of the development team (including consultants) in similar projects

• Financial Plan and other forms of guaranteed performance to implement major aspects of plan

• Providing mixed-use such as a corner store
• Providing long-term affordable housing controls

Provide an organizational chart. Include all key team members and explain their role and responsibility throughout the development process. Identify the team members who are the daily contacts. Provide a description of the team that addresses the following:

1. Developer qualifications.

Provide a biography describing the development team members’ individual qualifications and history, years in business, location(s), legal structure, ownership, organizational structure and key staff who would be committed to this project.

2. Team structure.

Provide a description of the probable team; include financial partners, potential builder relationships, architects and other consultants. Respondents are encouraged to consider development partnerships if these affiliations will improve the development team or the outcomes.

3. Prior experience.

Provide examples of the development team’s previous experience with comparable projects. Examples should emphasize projects that are traditional neighborhood developments or similar. Include descriptive information such as the character of the development, the scope of involvement, location of the development, and the performance of the development in its market. Teams are encouraged to include illustrations or photographs of work designed and/or developed by team members.

4. References.

The Master Plan and Guidelines document includes a preliminary Master Plan. The developer team should use the Master Plan as a starting point and indicate how they will approach the next level of detail. The City does not require an engineered plan at this stage.

Provide graphics to demonstrate the team's urban design skills as they will be applied on this site. Include in this at least one detailed graphic of one or more representative portions of the plan, detailed and labeled to include building locations, building types, and number of stories of the proposed buildings, plus any further information the team deems relevant. This "idealized buildout" exhibit should indicate the approach to mixing building types, lot widths and designs. This graphic could cover a small area such as 2-3 blocks and adjacent street spaces, or could be expanded to cover a larger area or the entire neighborhood if the team prefers. This document may be submitted in any size but any large-scale graphics must also be submitted as an 8.5x11 or 11x17 reduction.

Accompanying narrative is encouraged to explain the graphics and planning approach.

It is mandatory that the developer team indicate any suggested changes to the Master Plan, and explain these improvements in labels and/or the accompanying narrative.

The "buildout" exhibit is called "idealized" because the City and developers understand that the plan will evolve as more precise marketing and engineering information is available. This exhibit should illustrate the proposers' educated assumptions regarding the market, while satisfying the City's objectives.

Provide a Phasing Plan indicating the ideal sequence for the development of the neighborhood. Explain the approach that your team would use to maintain quality throughout all stages of the development. Explain the reasoning and benefits of the Phasing Plan. Provide a realistic time frame within which each stage could be accomplished. The "Phasing Plan" and "Idealized Build-out Plan" may be illustrated as one plan or as separate exhibits.

Traditional building types were explored in the Peninsula Guidelines. These building types possess the qualities of traditional neighborhoods, as well as the contemporary needs of the housing market. These drawings were initial sketches, meant as a tool for dialogue and to provide direction.

Refine and develop these building types or offer alternative types to accurately depict the character, detail and materials of buildings that would actually be built in the Peninsula Neighborhood by the proposer. Proposers are urged to provide typical elevations, general floor plans, as well as the siting on a typical lot for each building type. Explain how design quality will be maintained throughout all stages of the development.

Address the concern for providing a range of prices. Explain through the drawings and text how the building types can respond to the price range. Proposers are urged to provide an estimate of what the range in price would be.

Along with the hundreds of homes in the neighborhood, the square at the center of the neighborhood will serve as a trailhead for the Iowa River Corridor Trail, which will have an expected 300 to 500 daily users. The plan shows small scale neighborhood services which could include a corner store and daycare, as well as live/work rowhouses or any other combination of services appropriate for the neighborhood.

The City recognizes the value of these amenities to homebuyers and that these mixed uses can be beneficial at reducing the traffic impact of the new development by capturing some trips within the Peninsula. The City also recognizes, however, the challenges in establishing these enterprises in the early stages of building the neighborhood.

Therefore the City does not require, but will look favorably upon, teams that propose developing mixed uses that could provide daily services for the Peninsula residents. At a minimum, certain sites should be designated as having the pre-approved right to be occupied by such non-residential land uses.

The City does not require, but will look favorably upon teams providing opportunities for long-term affordable housing. Suggest and explain the mechanism to maintain affordability through the years.

The lower Peninsula contains the City’s drinking water wells. Currently, the lower Peninsula is also being designed as a passive park; it is anticipated the area will undergo ecological restoration to become a self-sustaining native landscape. Because of the proximity to the City wells, the neighborhood will have limitations on the use of chemicals for landscaping purposes. The neighborhood’s adjacency to the park and City wells requires stormwater management through the use of filtration techniques to prevent contamination. Explain how the development team will address this concern, provide a preliminary schematic drawing to illustrate how stormwater collection could be accomplished.

Proposers are encouraged to become familiar with the proposed lower Peninsula Park concept plan which will be implemented by the City. A copy is attached.

The site is rimmed with wooded ravines and slopes. Address how these slopes will be incorporated into the neighborhood; their ownership, whether public or private; long- term maintenance and preservation.

• Provide financial statements of all team members expected to be a party to debt or equity. Preferably these financial statements should be recently audited although arrangements can be made for other substantial documentation.
• Provide credit references documenting previous financial experience.
• Provide annual reports, financial rating reports, or other information indicating financial condition of the developer.
• Describe the probable sources of financing, including debt and equity, available to this team and this project.
• List occurrences, if any, in which the team or individual members have defaulted with respect to performance or payment obligation.
• List occurrences, if any, in which the team or individual members have been involved in litigation with regard to similar projects. Describe the status of the litigation matters.
• Provide evidence of insurability and ability to be bonded.

The City of Iowa City currently owns the land. The City anticipates a transfer of all identified acreage to a single development team for a stated sum. The City is open to other approaches for transferring the property to the private sector and participating in the development. Staged selling of the property or private-public partnership concepts are conceivable. Teams may privately discuss options for financial arrangements and transfer with the City during this proposal phase. However, no commitment by the City regarding financial arrangements will be made prior to Council selection of a developer.

The Developer should propose an offering to the City. The offering should consist of the conditions for acquisition for the property:

• A purchase price for the property.
• Terms for transfer of the property; a description of the proposed method of transfer; whether it is a one-time transfer of the property, staged selling, or public-private partnership.
• Identify contents that proposer would like included in the future development agreement.

Although the City hopes to recoup the $1,300,000.00 purchase price, the selection of the development team will not be based solely on the "lowest bid." Instead, the city intends select the best overall proposal package to achieve the project goals.

Provide a description of the key assumptions of the financial analysis used to develop the offering price. Include a detailed description of other considerations that were factors in establishing the bid. This should include a preliminary development budget that identifies major fees, soft costs, and site development costs. Include any additional marketing or feasibility documents prepared as part of this effort.

The City reserves the right to conduct personal interviews or require presentations of any or all proposers prior to the selection. The City reserves the right to request more detailed information from one or more proposers to provide for a reliable comparison between proposals.

The City is not responsible for any expenses which proposers may incur in preparing and submitting the proposal. The City will not be liable for any costs incurred by the proposers that are related to the RFP process; this includes production of the proposal, interviews/presentations, travel and accommodations.

The City reserves the right to request or negotiate modifications to the proposals that are deemed appropriate. The City has the right to waive minor irregularities in proposals.

All proposals received from proposers in response to this Request for Proposal will become the property of the City of Iowa City and will not be returned to the proposers. In the event of contract award, all documentation produced as part of the contract will become the exclusive property of the City.

The City reserves the right to reject any and all proposals and to waive minor irregularities. The City also reserves the right to seek new proposals or re-advertise if responses have not been satisfactory or for any other reason.

Specific questions related to the RFP must be addressed in writing to the City. Answers will then be distributed to all development teams. Additional and updated information

will be provided to the teams via fax or email and correspondence. Please submit all requests to:

Robert Miklo, Senior Planner
City of Iowa City
410 East Washington Street
Iowa City, Iowa 52240-1826
Office (319) 356-5240
Fax (319) 356-5009
Email Robert_Miklo@iowa-city.org

Ten (10) copies of each final proposal are to be submitted by Wednesday December 15, 1999 at 5:00 PM, to Robert Miklo, City of Iowa City, 410 East Washington Street, Iowa City, IA, 52240-1826. The City at its sole discretion may grant an extension to all candidates if circumstances require additional time. Responding teams should assume that the City may initiate discussions simultaneously with all respondents.

The City is sensitive to concerns regarding proprietary information and the RFP Process. However, the RFP process is subject to the State of Iowa’s Open Records Laws, specifically Iowa Code Chapter 22 (1997).(copy attached) As such, if proprietary information is specifically requested by members of the public, it may be subject to dissemination, in accordance with the provisions of Iowa Code 22 (1997). The submitted proposals, excluding proprietary information, are subject to general public review (14) fourteen days after the submission deadline.

In accordance with Iowa Code Chapter 22 (Public Records Law), and except as may be provided by other applicable State and Federal Law, all proposers should be aware that Requests for Proposals and the responses thereto are in the public domain. However, the proposers are requested to identify specifically any information contained in their proposals which they consider confidential and/or proprietary and which they believe to be exempt from disclosure, citing specifically the applicable law and exempting the same from disclosure.