2009-27273 ResoRESOLUTION NO. 2009-27273
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI
BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER,
PURSUANT TO REQUEST FOR QUALIFICATIONS (RFQ) NO. 63-08/09, FOR A REAL
ESTATE BROKER TO SERVICE LEASABLE CITY OWNED PROPERTIES; AND
AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH THE
TOP-RANKED FIRM, KONIVER STERN GROUP; SHOULD THE ADMINISTRATION NOT
BE ABLE TO SUCCESSFULLY NEGOTIATE AN AGREEMENT WITH THE TOP-RANKED
FIRM, AUTHORIZING THE ADMINISTRATION TO NEGOTIATE WITH THE SECOND-
RANKED FIRM, NAI MIAMI COMMERCIAL REAL ESTATE SERVICES WORLDWIDE,
INC.; AND FURTHER AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN
AGREEMENT, UPON CONCLUSION OF SUCCESSFUL NEGOTIATIONS.
WHEREAS, on September 9, 2009, the Mayor and City Commission approved the
issuance of Request for Qualifications (RFQ) No. 63-08!09, for A Real Estate Broker to
Service Leasable City owned Properties (the "RFQ"); and
WHEREAS, the purpose of the RFQ is to seek one or more qualified commercial real
estate brokers (hereinafter referred to as "Broker" or "Brokers"), to submit their experience
and qualifications to provide real estate services including, but not limited to, bids to procure
tenants and negotiate new leases for both retail space(s) and office space(s) in City-owned
facilities; and
WHEREAS, the RFQ was issued on September 14, 2009, with an opening date of
October 14, 2009; and
WHEREAS, apre-proposal meeting to provide information to prospective proposers
was held on September 29, 2009; and
WHEREAS, BidNet sent notices to 83 prospective proposers; BidSync sent notices
to prospective proposers of which 25 viewed the RFQ resulting in the receipt of five (5)
proposals by Koniver Stem Group, Esslinger, Wooten, Maxwell (EWM), Inc.,
Interinvestments Realty Corp., NAI Miami Commercial Real Estate Worldwide, Inc., Metro 1
Properties, Inc.; and
WHEREAS, the City Manager, via a Letter to Commission (LTC) No. 291-2009,
appointed the following individuals as committee members:
• Anna Parekh, Director, Office of Real Estate, Housing & Community Development;
• Steve Nostrand, Executive Vice President, Colliers, Abood et al.;
• Tamra Sheffman, Owner Broker, Royal Palm Realty;
• Kevin Crowder, Division Director, Economic Development;
• Suzanne Hollander, Realtor/Attorney, Prestige International, Leadership Graduate;
• Francesco D'Ulisse, Realtor, Keller Williams Realty, Leadership Graduate;
and
WHEREAS, on November 17, 2009, the Evaluation Committee (the "Committee")
convened to listen to presentations and conduct question and answer session with all five (5)
responsive proposers; and
WHEREAS, based on the scores and rankings of the Committee members, Koniver
Stem was unanimously selected as the top-ranked firm, and NAI Miami, as the second-
ranked firm; and
WHEREAS, the City Manager has reviewed and concurs with the Evaluation
Committee's recommendation.
APPROVED AS TO
FORM & LANGUAGE
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission hereby accept the recommendation of the City Manager, pursuant to Request
for Qualifications (RFQ) No. 63-08/09, for A Real Estate Broker To Service Leasable City
Owned Properties; And Authorizing The Administration To Enter Into Negotiations With The
Top-Ranked Firm, Koniver Stem Group; Should The Administration Not Be Able To
Successfully Negotiate An Agreement With The Top-Ranked Firm, Authorizing The
Administration To Enter Into Negotiations With the Second-Ranked Firm, NAI Miami
Commercial Real Services Worldwide, Inc.
PASSED AND ADOPTED THIS 9th DAY OFnecember 2009.
ATTEST:
Q/~
CITY CLERK
.Robert Parcher
~~
M OR
Matti Herrera Bower
T:\AGENDA\2009\December 9\Consent\RFQ 63-0&09 For Real Estate Broker - RESO.doc
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Condensed Title:
COMMISSION ITEM SUMMARY
A Resolution Accepting The Recommendation Of The City Manager Pursuant To Request For
Qualifications (RFQ) No. 63-08/09, For A Real Estate Broker To Service Leasable City Owned
Properties; And Authorizing The Administration To Enter Into Negotiations With The Top-Ranked Firm,
Koniver Stern Group; Should The Administration Not Be Able To Successfully Negotiate An Agreement
With The Top-Ranked Firm, Authorizing The Administration To Enter Into Negotiations With the
Second-Ranked Firm, NAI Miami Commercial Real Services Worldwide, Inc.; further authorizing the
execution of an agreement upon conclusion of negotiations.
-ey Intended Outcome S
Make City More Business
Supporting Data (Surveys, Environmental Scan, etc.):
Survey indicates that 2% of business respondents would recommend Miami Beach to others as a
place to run a business. 43% feel it is better to run a business than a few years ago while another 39%
feel it is about the same.
Issue:
Shall the City Commission approve the City Manager's recommendation?
aem summa iKecommenaatron:
On September 9, 2009, the Mayor and City Commission approved the issuance of Request for
Qualifications (RFQ) No. 63-08/09, for A Real Estate Broker to Service Leasable City owned Properties
(the "RFQ").
It is the intent of the Administration to use the RFQ process to competitively select one or more brokers.
with proven experience in successfully marketing and leasing retail and office space. While
demonstrated experience will be required for any broker selected, the retail broker must demonstrate
specific experience in identifying tenant mixes appropriate for these locations, as well as in developing
strategies to attract the appropriate tenant mix.
The term of the Agreement with the selected broker(s) will be for an initial term of six (6) months, with
the option to renew for three (3) additional six (6) month renewal periods, all renewal period(s) to be
exercised at the sole and absolute discretion of the City.
On September 14, 2009, the RFQ was issued with an opening date of October 14, 2009. A Pre-
proposal meeting to provide information to prospective proposers was held on September 29, 2009.
BidNet sent notices to 83 prospective proposers; BidSync sent notices to prospective proposers of
which 25 viewed the documentation.
The City Manager, via a Letter to Commission (LTC) No. 291-2009, appointed an Evaluation
Committee ("The Committee"). The Committee convened on November 17, 2009, and discussed their
individual perceptions of the proposers' qualifications, experience, price and competence. Based on
the scores and rankings of the Committee members, Koniver Stern was unanimously selected as the
top-ranked firm, and NAI Miami, as the second-ranked firm.
APPROVE THE AWARD OF CONTRACT.
Financial Information:
Source of Amount Account Approved
Funds: 1,
OBPI Total
Financial Impact Summary:
City Clerk's Office Legislative Trackina:
Sign-Offsfl /1
D rtment ctor A t Ci Mana er Ci ana er
GL AP PDW JMG
T:WGENDA\200cember 9\ConsentlRFQ 63-OS-09 For Real Es`tafe Broker-SUMM.doc
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AGENDA ITEM C 7
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City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, vrww.miamibeachfl.gov
COMMISSION MEMORANDUM
TO: Mayor Matti Herrera Bower and Members of the City Commission
FROM: Jorge M. Gonzalez, City Manager
DATE: December 9, 2009
SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI
BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER,
PURSUANT TO REQUEST FOR QUALIFICATIONS (RFQ) N0.63-08!09, FOR A REAL
ESTATE BROKER TO SERVICE LEASABLE CITY OWNED PROPERTIES; AND
AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH THE
TOP-RANKED FIRM, KONIVER STERN GROUP; SHOULD THE ADMINISTRATION
NOT BE ABLE TO SUCCESSFULLY NEGOTIATE AN AGREEMENT WITH THE TOP-
RANKED FIRM, AUTHORIZING THE ADMINISTRATION TO NEGOTIATE WITH THE
SECOND-RANKED FIRM, NAI MIAMI COMMERCIAL REAL ESTATE SERVICES
WORLDWIDE, INC.; AND FURTHER AUTHORIZING THE MAYOR AND CITY CLERK
TO EXECUTE AN AGREEMENT, UPON CONCLUSION OF SUCCESSFUL
NEGOTIATIONS.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
BACKGROUND
On September 9, 2009, the Mayor and City Commission approved the issuance of Request for
Qualifications (RFQ) No. 63-08/09, for A Real Estate Broker to Service Leasable City owned
Properties (the "RFQ").
It is the intent of the Administration to use the RFQ process to competitively select one or more
brokers with proven experience in successfully marketing and leasing retail and office space. While
demonstrated experience will be required for any broker selected, the retail broker must
demonstrate specific experience in identifying tenant mixes appropriate for these locations, as well
as in developing strategies to attract the appropriate tenant mix.
While staff has worked to attract tenants and negotiate leases for existing vacancies, staff
adjustments and market conditions prompted a re-evaluation for the need for a Commercial Real
Estate Broker, or Brokers, to market these City-owned spaces and procure and negotiate leases
moving forward, as well as any additional revenue-generating leasable space as it becomes
available. The opportunities include:
• Historic City Hall, located at 1130 Washington Avenue had a total of eight (8) units available for
leasing when the RFQ was issued. Staff has since negotiated with several prospective tenants
for the ground floor, part of the 3rd floor, the 6~', 7th, and 8th floors, and is going through the
process of completing the transactions.
Commission Memo
RFQ 63-08/09 -For Real Estate Broker to Service Leasable City owned Properties
December 9, 2009
• The City-owned building at 1701 Meridian (also referred to as 77717' Street) has four storefront
retail units at street level, with one unit currently available for lease. Future office lease
opportunities are expected to become available.
The City-owned Lincoln Park garage will have seven retail store fronts facing Pennsylvania
Avenue and 17th Street. The construction is projected to be completed by June 2010, with
occupancy prior to January 2011.
The purpose of the RFQ is to seek one or more qualified commercial real estate brokers (hereinafter
referred to as "Broker" or "Brokers"), to submit their experience and qualifications to provide real
estate services including, but not limited to, bids to procure tenants and negotiate new leases for
both retail space(s) and office space(s) inCity-owned facilities (hereinafter referred to as "facilities").
As such, a Request for Qualifications (RFQ) solicited responses from Brokers that have proven
experience and capacity in the following areas:
• Procuring and negotiating leases for available commercial retail space and office
space, as well as for space that becomes available upon expiration and/or
termination of existing leases;
• Developing and implementing marketing/advertising and leasing plan(s) for
available spaces; and
• Identifying appropriate tenant mixes, including local and national tenant brands.
The term of the Agreement with the selected broker(s) will be for an initial term of six (6) months,
with the option to renew for three (3) additional six (6) month renewal periods, all renewal period(s)
to be exercised at the sole and absolute discretion of the City.
RFQ PROCESS
On September 14, 2009, the RFQ was issued with an opening date of October 14, 2009. A Pre-
proposal meeting to provide information to prospective proposers was held on September 29, 2009.
BidNet sent notices to 83 prospective proposers; BidSync sent notices to prospective proposers of
which 25 viewed the RFQ.
Procurement also contacted the Realtor's Commercial Alliance/RealtorAssociation ofGreater Miami
and the Beach ("RCA") to assist in the outreach efforts. Mr. Paul Cauchi, in an a-mail dated
September 17, 2009, informed our Procurement Division that he had sent the notice to 1,000+
Commercial Members.
The following five (5) proposals were received by the RFQ deadline for receipt of proposals:
• Koniver Stern Group
• Esslinger, Wooten, Maxwell (EWM), Inc.
• Interinvestments Realty Corp.
• NAI Miami Commercial Real Estate Worldwide, Inc.
• Metro 1 Properties, Inc.
Commission Memo
RFQ 63-08/09 -For Real Estate Broker to Service Leasable City owned Properties
December 9, 2009
The City Manager, via a Letter to Commission (LTC) No. 291-2009, appointed an Evaluation
Committee ("The Committee") consisting of the following individuals:
• Anna Parekh, Director, Office of Real Estate, Housing & Community Development;
• Steve Nostrand, Executive Vice President, Colliers Abood Wood-Fay, Commercial Real
Estate Services;
• Tamra Sheffman, Owner/Broker, Royal Palm Realty;
• Kevin Crowder, Division Director, Economic Development;
• Suzanne Hollander, Realtor/Attorney, Prestige International, Leadership Academy
Graduate;
• Francesco D'Ulisse, Realtor, Keller Williams Realty, Leadership Academy
Graduate.
EVALUATION PROCESS
On November 17, 2009, the Committee convened to listen to presentations and conduct question
and answers sessions with all five (5) responsive proposers. The Committee unanimously agreed to
nominate Mr. Steve Nostrand as Committee Chair.
During each presentation, Anna Parekh informed each broker that City staff has been working with a
few prospective tenants, and therefore, not all leasable properties formerly listed in the RFQ would
be available.
In determining the best qualified firms, the Committee evaluated each company's proposal and
presentation according to the criteria as set forth in the RFQ:
Criteria Scoring
Wei ht
A The ex erience, ualification and ca aci of the Broker 40
B The Proposer's proposed methodology and plans for the 25
marketin /advertisin and leasin Ian s for the facilities
C The Proposer's demonstrated experience in leasing commercial retail 25
space and/or office space in urban environments comparable to Miami
Beach
D Quality of references 10
After presentations were conducted, the Committee proceeded to deliberate, score and rank each
proposer as follows:
RFQ 63-08-09 Suzanne
Hollander Anna
Parekh Kevin
Crowder Francesco
D'Ulisse Tamra
Sheffman Steve
Nostrand
Koniver Stern 100 1 97 1 98 1 98 1 100 1 83 1
NAI Miami 75 2 88 2 92 2 89 3 95 2 75 3
Interinvestments
Real
70 3
48 5
70 4
90 2
55 5
50 5
EWM 40 4 75 3 67 5 70 5 65 4 50 4
Metro 1 35 5 75 4 81 3 88 4 65 3 75 2
Commission Memo
RFQ 63-08/09 -For Real Estate Broker to Service Leasable City owned Properties
December 9, 2009
Based on the scores and rankings of the Committee members, Koniver Stern was unanimously
selected as the top-ranked arm, and NAI Miami, as the second-ranked firm. A motion was
presented by Chairperson Steve Nostrand, seconded by Anna Parekh, and unanimously approved
by the Committee. Koniver Stern Group Proposal is attached for your information
EXCLUSIONS TO BE INCLUDED IN AGREEMENT
The following prospective tenants will be excluded from any resulting listing agreement/commission
payments if leases are executed:
• Lorenzo Lebrija /Seraphic Fire -Historic City Hall;
• Paul A. Sack /Attorney -Historic City Hall;
• Dana Keith /Miami Beach Film Society d/b/a Miami Beach Cinematheque (for additional
office space),- Historic City Hall;
• Wendy Kallergis /Greater Miami and the Beaches Hotel Association -Historic City Hall
OR 1701 Meridian Avenue;
• Robert Lansburgh /Massage Envy -1701 Meridian Avenue;
• And any other prospective tenant identified by City staff PRIOR to execution of a listing
agreement with the successful broker.
CONCLUSION
The Administration recommends that the Mayor and City Commission adopt the attached
Resolution accepting the recommendation of the City Manager pursuant to Request for
Qualifications (RFQ) No. 63-08/09, For A Real Estate Broker to Service Leasable City Owned
Properties; and authorizing the Administration to enter into negotiations with the top-ranked firm,
Koniver Stern Group. Should the Administration not be able to successfully negotiate an
agreement with the top-ranked firm, authorizing the Administration to negotiate with the second-
ranked firm, NAI Miami Commercial Real Estate Worldwide, Inc.; and further authorizing the
Mayor and City Clerk to execute an agreement upon conclusion of successful negotiations.
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