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Resolution 2023-32783RESOLUTION NO. 2023-32783 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 PROPOSALS (RFP) NO. 2023-479-KB FOR THE MANAGEMENT AND OPERATION OF A HIGH -END BEACH ESTABLISHMENT; TO AWARD OPTION 1 TO BOUCHER BROTHERS, THE UNANIMOUS TOP -RANKED PROPOSER FOR THIS OPTION, AND AUTHORIZING THE ADMINISTRATION TO NEGOTIATE AN AGREEMENT WITH BOUCHER BROTHERS, INC.; WITH THE FINAL AGREEMENT SUBJECT TO THE PRIOR APPROVAL OF THE MAYOR AND CITY COMMISSION. WHEREAS, on May 17, 2023, pursuant to Resolution 2023-32612, the City Commission directed the Administration to prepare and issue a Request for Proposals (RFP) for the management and operation of a high -end beach establishment and ancillary uses on the property and adjacent concession area, located at One Ocean Drive (the "Property") with the new agreements taking effect after the expiration of the existing Penrod Lease and Penrod Concession Agreements on May 6, 2026; and WHEREAS, on June 13, 2023, RFP 2023-479-KB for the management and operation of a high -end beach establishment was issued; and WHEREAS, the RFP specified that each Bidder had the option to submit one (1) proposal for Option 1 (agreement having a term of less than 10 years) and one (1) proposal for Option 2 (agreement having a term equal to or greater than 10 years but not more than 30 years, including options, in accordance with Resolution No. 2023-32612); and WHEREAS, a mandatory pre -proposal conference to provide information to proposers submitting a response was held on June 28, 2023 and a site visit conducted on July 12, 2023; and WHEREAS, the City received proposals from the following firms for Options 1 and 2: Option 1: • Boucher Brothers Management, Inc. • Tao Group Hospitality/One Ocean Hospitality LLC • The Group US Management LLC Option 2: • Boucher Brothers Management, Inc. • RH • Tao Group Hospitality/One Ocean Hospitality LLC • The Group US Management LLC; and WHEREAS, on September 11, 2023, the Evaluation Committee appointed by the City Manager convened to consider the proposals received; and WHEREAS, the Committee was comprised of: Hernan Cardeno, Director, Code Compliance Department; Jose Del Risco, Assistant Director, Parks and Recreation Department, - Jason Greene, Chief Financial Officer, Finance Department; Keith Marks, President, South of Fifth Neighborhood Association (SOFNA); Elizabeth Miro, Interim Director, Facilities and Fleet Management Department.; and WHEREAS, the Committee was provided an overview of the project, information relative to the City's Cone of Silence Ordinance, and the Florida Sunshine Law and was also provided with general information on the scope of services and a copy of each proposal; and WHEREAS, the Committee was instructed to score and rank each proposal pursuant to the evaluation criteria established in the RFP; and WHEREAS, the evaluation process resulted in the proposers being ranked by the Evaluation Committee as indicated below: Option 1 — Boucher Brothers Management, Inc., top -ranked; The Group, second -ranked; and Tao Group, third -ranked Option2 — Boucher Brothers Management, Inc. and The Group tied top -ranked; Tao Group, third -ranked; and RH, fourth -ranked; and WHEREAS, the proposal submitted by Boucher Brothers for Option 1 was the unanimously top -ranked proposal by the Evaluation Committee, with the Evaluation Committee emphasizing Boucher Brothers' qualifications, proposed public benefits, and financial proposal; and WHEREAS, Boucher Brothers has over 20 years of experience in Miami Beach and Ft. Lauderdale managing and operating beach establishments or concessions; and WHEREAS, for Option 1, Boucher Brothers proposed a rent of 10% of gross operating revenue with a minimum annual guarantee of $4 million that escalates annually at 3% beginning in year 2, resulting in an estimated minimum rent yield to the City of approximately $41 million over the 10-year term for Option 1; and WHEREAS, for Option 1, Boucher Brothers proposed making improvements to the Property, which include major renovations, with an estimated cost of $26,226,920; and WHEREAS, for the reasons set forth in the Memorandum accompanying this Resolution, which Memorandum is incorporated into this Resolution as if fully set forth herein, the City Manager recommends that the Mayor and City Commission award Option 1 to Boucher Brothers; and WHEREAS, the Property is currently operated pursuant to a lease agreement governing a portion of the Property and a concession agreement governing the remainder of the Property; and WHEREAS, this Resolution awards the RFP to Boucher Brothers for Option 1 and authorizes the Administration to negotiate an agreement with Boucher Brothers consistent with the RFP and Boucher Brothers' proposal, with the final agreement subject to the prior approval of the Mayor and City Commission. NOW, THEREFORE, BE IT DULY 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 Proposals (RFP) No. 2023- 479-KB, for the management and operation of a high -end beach establishment at the property located at One Ocean Drive, to award Option 1 to Boucher Brothers, the unanimous top -ranked proposer for this option and authorize the Administration to negotiate an agreement withBoucher Brothers, Inc., with the final agreement subject to the prior approval of the Mayor and City Commission. PASSED AND ADOPTED this 27 ATTEST: SEP 2 8 2023 RAFAEL E. GRANADO, CITY CLERK NtORP 0RAIED1 day of Str 2023. DAN GELBER, MAYOR APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION l AQP-:- 9/21/2023 �pi CIV Al W" OW pale MIAMIBEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Alina T. Hudak, City Manager DATE: September 27, 2023 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 PROPOSALS (RFP) NO. 2023-479-KB FOR THE MANAGEMENT AND OPERATION OF A HIGH - END BEACH ESTABLISHMENT. RECOMMENDATION On May 17, 2023, the City Commission directed the Administration to prepare and issue a Request for Proposals (RFP) for the management or operation of a high -end beach establishment and. ancillary uses at One Ocean Drive and adjacent concession area, with the new agreement(s) taking effect after the expiration of the existing lease and concession agreements on May 6, 2026. The RFP allowed bidders to submit proposals for up to two independent proposal alternates that are independent of each other - Option 1 for an agreement having a term of less than 10 years and Option 2 for an agreement having a term of up to 30 years. After concluding a thorough review of the facts of this procurement, the results of the evaluation committee process, the financial analysis of the 10-year option versus the 30-year option, and the best interests of the City with regard to the properly, it is recommended that the Mayor and City Commission select Option 1 and authorize the Administration to negotiate with Boucher Brothers, the unanimous top -ranked bidder for Option 1. The final agreement shall be subject to prior City Commission approval. This solicitation remains under the cone of silence until the RFP is awarded by the City Commission. l =lc[d :Lrl:1•P1:11711011 On October 2, 1985, the Mayor and City Commission adopted Resolution No. 85-18223, approving a Lease between the City and Penrod Brothers, Inc. ("Penrod"), dated November 7, 1985 (the "Penrod Lease"), as amended by Amendments No. 1-3 thereof, for the development, construction, management and operation of a restaurant facility at One Ocean Drive (the "Beach Club"). The Penrod Lease had an initial term of 20 years, with two (2) 10-year renewal terms, and is currently set to expire on May 6, 2026. Page 11 of 550 On October 2, 1985, the Mayor and City Commission also adopted Resolution No. 85-18222, approving a Concession Agreement, dated November 7, 1985, between the City and Penrod for the rental of beach equipment, water recreation equipment, and food and beverage service at various locations in the vicinity of the leased property (the "Concession Area", and together with the Beach Club, the "Property"), which said Agreement was amended several times until its expiration in 2003. On February 25, 2004, the Mayor and City Commission executed a new Concession Agreement by and between the City and Penrod Brothers, Inc., for the management and operation of a concession in the portion of Pier Park seaward of the footprint of the Penrod's Restaurant, located at One Ocean Drive, Miami Beach, Florida (the "Penrod Concession Agreement"). The Penrod Concession Agreement is similarly set to expire on May 6, 2026. On May 17, 2023, pursuant to Resolution 2023-32612, the City Commission directed the Administration to prepare and issue a Request for Proposals (RFP) for the management and operation of a high -end beach establishment and ancillary uses on the Property and adjacent concession area, with the new agreements taking effect after the expiration of the existing Penrod Lease and Penrod Concession Agreements on May 6, 2026. Accordingly, a Request for Proposals (RFP) was developed to seek proposals from firms interested in being considered to negotiate an agreement with the City for the management and operation of a high - end beach establishment and ancillary uses on the Property and adjacent concession area, the details and requirements of which were delineated in the RFP. Resolution No. 2023-32612 specifically directed the Administration to allow proposers to submit up to two (2) independent proposal alternates. In order to provide guidance to proposers, and to allow for the evaluation and review of comparable proposals, the RFP specified that each Bidder had the option to submit one (1) proposal for Option 1 (Agreement having a term of less than 10 years) and one (1) proposal in for Option 2 (Agreement having a term equal to or greater than 10 years but not more than 30 years, including options, in accordance with Resolution No. 2023-32612). To encourage creativity, the RFP contemplated that Bidders could offer alternative concepts or approaches for the use of the Property in respect of Option 1 and Option 2, as well as alternative financial and other terms for a lease, concession agreement, or management agreement in respect of the Property and the Concession Area. In all cases, any proposed agreement between the City and a Bidder that includes the beachfront to the rear of the existing Beach Club must be in the form of a concession agreement. On June 13, 2023, RFP 2023-479-KB for the management and operation of a high -end beach establishment was issued. A mandatory pre -proposal conference to provide information to proposers submitting a response was held on June 28, 2023, and July 12, 2023. A site visit was held on July 12, 2023. Eight (8) addenda were issued, and 83 prospective bidders accessed the advertised solicitation. On July 31, 2023, and August 15, 2023, the City received two (2) protests challenging the specifications included in the RFP. Both protests were responded to on August 4, 2023, and August 18, 2023, respectively, and as a result, the RFP due date was extended by 16 days. RFP responses were due and received on August 31, 2023. The City received proposals from the following firms for Options 1 and 21: Option 1: • Boucher Brothers Management, Inc. • Tao Group Hospitality/One Ocean Hospitality LLC • The Group US Management LLC Page 12 of 550 Option 2: • Boucher Brothers Management, Inc. • RH • Tao Group Hospitality/One Ocean Hospitality LLC • The Group US Management LLC All the proposals received satisfied the qualifications requirements established in the RFP, with each Bidder team demonstrating at least five (5) years of experience (within the last 10 years) in managing or operating a beach establishment, beach concession, or a similar operation. On July 13, 2023, the Evaluation Committee was appointed via LTC # 316-2023. The Evaluation Committee convened on September 11, 2023, to consider the proposal received. The Committee was comprised of Heman Cardeno, Director, Code Compliance Department; Jose Del Risco, Assistant Director, Parks and Recreation Department; Jason Greene, Chief Financial Officer, Finance Department; Keith Marks, President, South of Fifth Neighborhood Association (SOFNA); Elizabeth Miro, Interim Director, Facilities and Fleet Management Department. The Committee was provided an overview of the project, information relative to the City's Cone of Silence Ordinance, and the Florida Sunshine Law. The Committee was also provided with general information on the scope of services and a copy of each proposal. The Committee was instructed to score and rank each proposal pursuant to the evaluation criteria established in the RFP. The results of the evaluation process are included in Attachment A and summarized below. OPTION 1 The proposal submitted by Boucher Brothers for Option 1 was the unanimously top -ranked proposal by the Evaluation Committee. In fact, the Evaluation Committee unanimously ranked all proposals for Option 1, with The Group US Management LLC and Tao Group Hospitality unanimously ranked as the second and third -ranked proposals, respectively. Attachment B provides a high-level comparison of the three (3) proposals. In scoring proposals, the Evaluation Committee emphasized Boucher Brothers' qualifications, public benefits, and financial proposal. Boucher Brothers has over 20 years of experience in Miami Beach and Ft. Lauderdale managing and operating beach establishments or concessions. For food and beverage operations, Boucher Brothers has teamed with Major Food Group LLC, which has experience with high -end food establishments. The Boucher Brothers' proposal also includes a childcare center operated by Itavi, where parents can drop off their children for supervised activities. Itavi provides childcare services to various hotels and properties, including Fontainebleau Miami Beach, Eden Roc, W South Beach, One Hotel, Acqualina Resorts, Saint Regis Bal Harbour, and the Biltmore Hotel. The team also includes architecture and landscape designs by Kobi Karp and Raymond Jungles. The proposed public benefits include a police sub -station, resident discounts, and other benefits highlighted in Attachment B. Boucher Brothers has proposed a rent of 10% of gross operating revenue with a minimum annual guarantee of $4 million that escalates annually at 3% beginning in year 2. It is estimated that the minimum rent yield to the City would be approximately $41 million over the 10-year term for Option 1.2 Additionally, Boucher Brother proposes an estimated cost of improvements to the Property, which includes major renovations, in the amount of $26,226,920. The proposal submitted by Boucher Brothers for Option 1 is included as Attachment C. Page 13 of 550 OPTION 2 The Evaluation Committee process resulted in a tie between the proposals submitted by Boucher Brothers and The Group US Management, with Tao Hospitality and RH, being unanimously ranked as third and fourth, respectively. A high-level comparison of certain aspects of the proposals submitted by Boucher and The Group US Management for Option 2 is attached as Attachment D. As was the case in Option 1, the Evaluation Committee emphasized Boucher Brothers' qualifications, public benefits, and financial proposal for Option 2, including the experience of the team, the public benefits of enhanced security and resident discounts, as well as the proposed revenue to the City. The programming and design portions of the proposal submitted by Boucher Brothers for Option 2 is the same as its Option 1 proposal with the difference being in the financial proposal. See Attachments D and E. As revenue to the City, Boucher Brothers is again proposing 10% of gross operating revenue with a minimum annual guarantee of $4 million that escalates annually at 3% beginning in year 2. It is estimated that the minimum rent yield would be approximately $190 million over the 30-year term for Option 2.3 Additionally, Boucher Brother proposes improvements to the Property that are estimated to cost $26,226,920. For the proposal submitted by The Group US Management, the Evaluation Committee emphasized the programming options and design proposed, which includes a new building that incorporates a 120-seat performance venue for live performances and community events, a lagoon area, and arts and exhibitions spaces. The Group US Management's major food and beverage partner is Casa Reia. The Group has proposed a rent of $3 million annually (after an initial period of rent abatement) with a 10% escalation every five (5) years with no percentage of rent as revenue to the City. It is estimated that the minimum rent yield to the City would be $115 million over the 30-year term for Option 2.4 Additionally, The Group US Management proposes an estimated cost of improvements to the Property, which includes a new building, in the amount of $36,000,000. The proposal submitted by The Group US Management for Option 2 is attached hereto as Attachment F. ANALYSIS OF OPTION 1 VERSUS OPTION 2 The top -ranked proposal for Option 1, proposed by Boucher Brothers, Inc., and the tied top - ranked proposals for Option 2, proposed by Boucher Brothers, Inc. and The Group US Management would all replace the current facility with multi -amenity beach clubs that offer various restaurant choices, retail, lounge areas and beach concession amenities. While there are some differences in the programming proposed by Boucher Brothers, Inc. and The Group US Management, the main differences between the proposal for Option 1 and the proposals for Option 2 are the length of time of the agreement and the financial consideration of the proposals. In addition to the qualifications, proposed programs, and public benefits, the following factors have contributed to the recommendation for the award recommendation included herein. • Boucher Brothers has committed to making an investment of approximately $26 million to transform the current facility for both options. For Option 2, The Group US Management has committed $36 million to demolish the current facility and construct a new facility. While Boucher Brothers is proposing an initial lower investment, a $26 million investment of the current facility should yield a like -new facility for the near 10-year term of Option 1. Page 14 of 550 Boucher Brothers is proposing 10 percent %) of gross revenue to the City as rent with a $41 million minimum annual guarantee for Option 1 and $190 million minimum guarantee for Option 2. For Option 2, The Group US Management is proposing $115 million for Option 2. When the net present value (applying a 5% discount rate) is considered, the net present value of Boucher Brother's Option 1 is $30 million, whereas the net present value of The Group US Management proposal for Option 2 is only $45 million. The additional value proposed by The Group US Management for Option 2 does not warrant tying up the property for 30 years as one would expect a more significant difference between the net present value of Option 1 and Option 2. • A significant portion of both proposals include specific brands for proposed food and beverage outlets. Considering that most restaurants have relatively short life spans as trends change, it may not be prudent to tie up the facility with a 30-year agreement for a specific brand. Further, should the public's taste change or a future city commission determine a better use for the Property, a 10-year option would provide flexibility for other uses of the Property. FORM OF AGREEMENT The Property is currently operated pursuant to a lease agreement governing a portion of the Property and a concession agreement governing the remainder of the Property. Ultimately, whether to pursue a lease or a concession agreement (or both) is for each Proposer to negotiate with the City. It is important to note that the purpose of this item is to seek authorization to negotiate with the selected proposer, either for Option 1 or Option 2. Final agreement details, such as the form of agreement (i.e., lease versus concession agreement), final programming, investments, etc., will be finalized through negotiations. After negotiations have concluded and further due diligence has been conducted, the final agreement will require approval by the City Commission. As previously noted, the form of agreement to be entered into with the successful proposer will be determined during the negotiations authorized by the City Commission. In determining the form of agreement and length of the term, the following considerations are important: A management or concession agreement having a term of less than ten (10) years will require approval of a 4/7th vote of the City Commission. A management or concession agreement having a term of ten (10) years or longer (including option periods) will require approval by a 4/7t' vote of the Planning Board and a 6/7t'vote of the City Commission (Section 1.03(f) of the City Charter). A lease of the Property for a term of less than ten (10) years will require (a) transmission by the City Manager to the Finance and Economic Resiliency Committee for its review (Section 82-07(b)(1) of the City Code); (b) one reading of the title by the City Commission accompanied by a public hearing (Section 82-37(b)(2) of the City Code); and (c) approval by a majority of the residents residing in voting precincts any part of which is within 1 mile of the boundaries of the Property (Section 7-02 of the Miami -Dade County Charter). A lease of the Property for a term of ten (10) years or longer will require (a) transmission by the City Manager to the Finance and Economic Resiliency Committee for its review (Section 82-37(a)(1) of the City Code); (b) two readings of the title by the City Commission, with the second reading to be accompanied by a public hearing (Section 82- 37(a)(2) of the City Code); (c) approval by a majority vote of the voters in a city-wide referendum (Section 1.03(b)(1) of the City Charter); and (d) approval by a majority of the Page 15 of 550 residents residing in voting precincts any part of which is within 1 mile of the boundaries of the Property (Section 7-02 of the Miami -Dade County Charter) . SUPPORTING SURVEY DATA Not applicable. FINANCIAL INFORMATION Financial information for each of the recommended proposals for Option 1 and Option 2 is included in the Analysis section above. Based on the foregoing, it is recommended that the Mayor and City Commission of the City of Miami Beach, Florida, approve the Resolution accepting the recommendation of the City Manager, pursuant to RFP No. 2023-479-KB, for the management and operation of a high -end beach establishment at the Property, to award Option 1 to Boucher Brothers, the unanimous top -ranked proposer for this option, and authorizing the Administration to negotiate an agreement with Boucher Brothers, Inc. The final agreement shall be subject to prior City Commission approval. End notes: 1 Penrod Brothers, Inc. ("Penrod") submitted a proposal that failed to comply with the RFP's express requirements for submission. This submission was made after the 100:00 p.m. deadline on August 31, 2023 and was received in hard copy and via email file -share — not through Periscope, as required by the RFP. Penrod subsequently submtted a bid protest contending that it did timely submit its proposal or, alternatively, that it should have been granted an extension because one of its lawyers was based in Tallahassee and was affected by Hurricane Idalia. Notably, however, Persicope reflects Penrod's representative's activities uploading documents as early as 7:59 a.m. on August 31St, as well as activity continuing up to and including 2:59:44 p.m. The bid protest alternatively requested that the City waive the RFP's fixed 3:00:00 p.m. submittal deadline as a "minor and non- material timing issue." The City denied this bid protest based, among other things, on the plain and unambiguous terms of RFP Section 0100, Paragraph 6 ("Deadline for Proposal Submittal"). Penrod has challenged the City's denial of the protest in the action styled Penrod Brothers. Inc. v. The City of Miami Beach, Florida, Case No. 1:23-CV-23362-JEM (S.D. Fla). 2For Option 1, applying a 5% discount rate, the net present value of this income stream from Boucher Brothers is approximately $30 million. 3Applying a 5% discount rate, the net present value of this income stream from Boucher Brothers (Option 2) is approximately $72.5 million. 4Applying a 5% discount rate, the net present value of this income stream from The Group (Option 2) is approximately $45 million. Page 16 of 550 Applicable Area South Beach City Code Section 2-14? Yes Does this item utilize G.O. Bond Funds? No Legislative Tracking Facilities and Fleet Management/Procurement ATTACHMENTS: Description ❑ Attachment A ❑ Attachment B ❑ Attachment D ❑ Link to Attachments C, E, and F Page 17 of 550 ATTACHMENT A Er�uwm C—nw S—fnp end Rrifunp Page 18 of 550 ATTACHMENT E"r .O_ Comm ftn 5wrIng mW Renk q i 171 M IL= W�.�ac--.�r^�Jt c-��i��..��r�... �e�aees��s!�e�e�e�■s��e ' �e Page 19 of 550 ATTACHMENT B Proposals Comparison for Option 1 (10 Years) RFP Evaluation Criteria scored by Evaluation Committee Boucher Brothers Major Partners The Group Major Partners Tao Group Major Partners Boucher Brothers Emil Stafkov - The Group Mohan Mospdahry Major Food Group Casa Reza Santonm Greek Restaurant eavi Kids Comer Legeard Studio (Architectures Design) TAO Group Hospitality Kob. Karp (Lead Architect) Beihnson Gomel (Architect of Record) Rockwell Group Raymond Jungles (Lanscace Arch act) Vincent F,:,gena Dasgn (Lanscape Architect) Spinnaker Group (Resiliency and Suslamabmty) Ecoll (Lagoon Conswtenp Experience Seqwl (Resiliency and Sustalnaway) RCC Associates (GC) Sentonn, by Georgbs fast. 2015) Mamou-Mam (Fabrication Consu.tant) Penmsuls Papagayo (est, 2016) Experience Astral Studio (Lead ExeculrvairMarkai Centro Canale)as (eat. 2020) Qualifications'Lummus Park (est 200t) Terrace Tetatet (Creative Strategist) 1 Hotel Toronto (est 2021) Ocean (set. 200tI Barb Park Beach (sat. 2019) Harvest Serves (CuxurefCommun,ty) RIMA Experience (Culturs/Commuri Koma Singapore and LAVO Itel,an Restaurant & Rooftop Bar. (est. 2018) Altos Del Mar Beach (est. 2019) Tony Cho (Neighborhood Representative) Coil.ns i (ast 2015) Indian Beach Park' feet. 2015) Exoere,.ce Ft. Lauderdale (est. 2008) Casa Rd (est. 2022) Fountandeau (mt. 1997) Yampa (2018-2021) W South Beach (cal. 2009) Prase P-r esa (eft. 2016) 1 Hotel (ant. 2015) La Grande Bouchene (est. 2020) SOHO Beach House (est. 2010) Omakase Room (est. 2020) Bow Beech Club (est. 2015r Go E Pu (eel. 2010) Concept Concept Concept 3 restaurants, wellness spa, pool, programmed Indoor and outdoor restaurant areas, retail area. Indoor Restaurant, Outdoor Restaurant. children'a center, retail pavilion, bungs areas, beach lagoon lounge area, beach concession, artist and RetaiUMerket/Caf6, Beach Lounge concussion, sculpture program exhibition space Membership or Day Fee Membersmp or Day Fee Mempersh,p or Dav Fee U—ii Un&ear Unclear Hours of Operation Hours of Operation Hours of Operation Indoor Restaurant Monday - Sunday 11:00 am 2:00 Programming and Beach Concession - City hours Indoor Dining Area, Bar, Relax' am Scope Of Services 1st Floor+ Outdoor Mediterranean: 11em-7pm Weekdays (Ml 11:00 am - 11:00 pm Weekend Outdoor Restaurant Monday - Sunday 11:00 am 2nd Floor Japanese Steakhouse: Spm-1 tpm (F-Sun) 11:00 am - 12 00 am 11:00 pm Sadeda's Boardwalk Cafe: 9am-5pm Outdoor Lagoon Area Beach Monday - Sunday 8 00 am 5:00 pm Outdoor, Pod, K,tls Club. Wellness. Retail - 11am- Weekdays (M-TH) 11:00 am - 10:00 pm Weekends Ca16 Monday - Sunday 8 00 am 5:00 pm 7pm (FSun) 11,00 am - 1100 Dm Market Monday - Sunday 8:00 am 5:00 pm Beach Concession Area Retal Monday - Sunday 10:00 am 9 00 pm Weekdays tit -TM) 1 hour after sunny Weexend (F- Sun) Cloy at 5:00 pm Des -on Oas:tin Design Design and Ful . renovation of existing faalty Fu Renovation of existing facility Full Renovation of existing faal,ty, Timeline Timeline Timmins TmS� his _ 13 months 6 Months 10 Months Police sub -station Public Action and Discounts Local Res,denl Discount Resident App 6 Discounts Community and Civic Engagement Volunteer Opportunities Food Donations Cultural Enrichment Community Gathering Space Hospitality Mentorships Environmental Initiatives Safety Enhancements Education Grants Educational Outreach Cultural Exchange Community Events Hislonwl and Artistic Preservation Work with Miami Corporation Public Benefit Dunes 6 Omer Conservation Efforts Social Impact Accassibdely City Clean-up Partner with local charities Park Improvements Support Seniors Accessibre Beach Equoment Fnanc+el Proposal Fosocia Proposal Fnanoal Proposal 10% of Gross Operating Revenue with f2MM a year, with a 10% escalation everythe (5) From data of opening or 18 months after 7r4MM minimum annual rant with a 3% annual years. (begin after a 12+ronth rent abatement possaSSIon, Wh4:heyer occurs first. escalator after year 2 period) AND a natural breae provision of 6.5% of 10% of Sass with gross-evenues (that would start after a 12-month $2 SMM annua, guaranty with 7.5% escalator every Boucher Brothers will pay a total of $4 million rent abatement period). 3 years dollars upfront and payable as follows: $1 million upon execution of the agreement. and then 61 (Nature Break = annual rent r % rent). Tenn million on or before January 10. 2025. $1 million 10.year fu.i-term Financial Proposal on or before January 10, 2026. and $1 mmwn on or Term before January 10, 2027. Such upfront payments shall be applied to the 1st year minimum rent N ne ;9) years and eleven (11) month Lease or Management Agreement Unclear guarantee. Lease or Management Atireament U,c ear To- 9 years, 364 days Lease or Management Anreament Unclear Page 20 of 550 ATTACHMENT Proposals Comparison for Option 2 (30 Years) RFP Evaluation Criteria score by Evaluation Boucher Brothers Meta Partners The Group T­ Grolip Mesa Partners Major Partners RM Maor Partners Boucher Brothers Emu Stafkov - The Group Mohan hospitality RH Major Food Group Can Rom Santorini Greek Restaurant Rev, Kids Comer Lsgeard Studio (Architectural Design) TAO Group hospitality Experience Kob, Karp (Lead Architect) 801;,nson Gomez (Architect of Record) Rockweo Group Cn.leno Bay Cabo San Lucas (est 2013) Raymond Jungles (Lanscepe Architect) Vincent Fngenn Design (Lanscape Architect) Playa Grande (est 2018) Spinnaker Group (Resiliency and Suste,nsbd,ty) Ecosys (Lagoon Consultant) Experience Bakers Bay lest 2010) SeQm, (Resiliency and Sustainab,14y) RCC Associates (GC) Santonm by Georg,os (est. 2015) Barbuda Ocasn Club (eat 2018) Mamou-Mani (Fabrication Consultant) Pri—swa Papagayo (ast. 2016) Kuk,'o Gott and Beach Gub (set 2002) Expere,ce Astral Studio (Load Executive/Marketing) Centro Canalejas (eat. 2020) El Dorado Golf and Beech Club (oat. 1999) Lummus Park (eat. 2001) Tatelat (Creative Strategist) 1 Hdai Toronto lest. 2021) Qualifications Ocean Terrace (eat. 2001) Harvest Sense (Culture/Comm unity) Koma Singapore and LAVO Italian Restaurant & Bandshell Park Beach (est. 2019) RIMA Experience (Culture/Community) Rooftop Bar. (est. 2018) Altos Ds! Mar Beach (est. 2019) Tony Cho (Neighborhood Representative) Collins Park' (est. 2015) Indian Beach Park- (est. 2015) Experience Ft Lauderdale (est. 2008) Casa Rota (est. 2022) Fountamdwu (sea. 1997) Yamba (2018-2021) W South Beach (eat. 2009) Praia Phrase (est. 2016) 1 Hotel (est, 2015) La Grande Bouchene (set. 2020) SOHO Beach house (est. 2010) Crinoline Room (est. 2020) Boca Beach Club (eat. 2015) Oslo E P,u (est. 2010) Concept Concord Concept Concept 3 restaurants. wellness spa, pool, programmed Indoor and outdoor restaurant areas, 120 seat Indoor Restaurant. Outdoor Restaurant, Design Studio. Lve F,re Gnu. Sculpture Garden, ch,ldmn Is center, retail pavilion, lounge areas. performance space, retail area, lagoon '.gunge Refad/Market/Cale. Beach Lounge Sushi Bar. Beech House (Hotel 15 rooms), Bath beach concession, sculpture program area, beach concess,on, artist and exhibition house and Spa. Greek Taverns. Public Park, apace, children program Membership or Day Fee Beach Promenade, Pool Terrace and Palm Membership or Day Fee Unclear Gordon. Beech Club, Subterranean parking Id. Unclear Membarsh:p or Day Fee Unclear Hours of Operation Membership or Day Fee Hours of Operation Indoor Restaurant Monday - Sunday 11.00 am Membership, pricing not indicated. Programming and Beach Concession- Gry hours Hours of Operation 2:00 am Scope Of Services 1st Floor . Outdoor Mediterranean : 1 tam-7pm Indoor Duvng Area. Bar. Retail Outdoor Restaurant Monday - Sunday 1100 am Hours of Operation 2nd Floor Japanese Steakhouse'. 5pm-11pm Weekdays (M-TH) 11:00 am - 11:00 pm Weekend 11:00 pm Design Studio Sadelle's Boardwalk Cafe: Sam-5pm (FSun) 11:00 am - 12:00 am Beech Monday - Sunday 8:00 am 5:00 pm Monday - Saturday, 10am - 7pm Outdoor, Pod, Kids Club, Weiness, Retail - 11 am Outdoor Lagoon Area Cold Monday - Sunday 8:00 am 5:00 pm Sunday. 11 am - 6pm 7pm Weekdays (AI-TH) 11:00 am - 10:00 pm Market Monday - Sundt) 8:00 am 5:00 pm Live Fire Grill Weekends (FSun) 11:00 am - 11:00 pm Rota, Monday - Sunday 10,00 am 9:00 pm Monday - Sunday. 11am - Spm Beach Concession Ares Last seating at 9pm Weekdays (M-TH) f hour after sunnss Weekend Oshen Bush, Bar (F-Sun) Close at 5:00 Monday - Sunday, 1 tam - 9pm pm Last seating at 9pm Design Gli19t1 Des.on Design Full renovation of existing facility Demolition and construction of new facility Ful renovation of exatmg !acuity Demolition and construction of new facility T,mei,ne T,maI,M T,mal:ne T�mel.ne Design and 13 months Bundmg/Parmitttrg 6-12 Months 10 Months Demo„lpn 6-8 Weeks Timeline Mobilization 2 Months Site Work, Foundation. Superstructure 9-12 Demolition 3 Months Months Construction of Core and Shall 6 Months Buildout and Public Improvements 9.12 Months Finishes 5 Months Maximum 26 Months Maximum 28 Months Police sub -station Resident discounts Local Resident dscount Design Related Benefts Resident Apo & Discounts Community events Volunteer Opportunities Economic Benefits Food Donations Enwronmantii educational and historic Community Gathering Space Resiliency and SustanaP14y, Benefits Hospitality Mentorships preservabon/art,s,tic ,mativss. Safety Enhancements Funding and Partnering with the C,ty,n new Education Grants Cultural Exchange environmental natives � Be Public nefit Community Events The Group's Proposal ,ndudes a yearly allocation Work with Miami Corporation Public Sculpture Garden Dunes & Other Conservation Efforts of benefits valued at approx, mately $400,000 Accessibility Art Gallery City Clean-up Partner with focal charities D scounted resident memberships Park Improvements Improved Historical Markings and Site Stings Support Seniors Accessible Beacn Equiornert Financial Proposal Financial Proposal Financial Proposal Financial Propose' 10% of Gross Operation Revenue f3MM annual with 10% esalation every 5 years. From date of opening or 1B months after f5,000,00o upon delivery of the site f4MM minimum annual rent with a 3% annual Rent abatement during conslrucaon possession, whichever occurs first, $7.000.000 per year starting two years after escalator after year 2. 10% of sales with delivery of the ere Tenn f2.5MM annual guarantee with 7 5% escalator Annual Esamtor 3.00% or CPI, whichever is Boucher Brothers will pay a total of $4 million 20 years, with unnlatera option for addtfonal 10 every 3 years greater dollars upfront antl payable as follows: $1 million years f 1,000,000 cultural contribution upon referendum upon execution of the agreement. and then f 1 Term aDprwa million on or afore January 10. 2025. $1 million Lassa or Management Agreement 30-year tern. 20-year contract with one 10-year Financial Proposal on or before January 10. 2026, and Unclear o00on to extend Term f1 million on or before January 10. 2027. Such 30 year Lease and Concession upfront payments shall be applied to the tot year Lease or Management A —ern— Agreement minimum rent guarantee. Unclear Lease o Manaoemenl Agreement Term Lease and Concession 30 Years Agreement Lease or Management Agreement Unclear Page 21 of 550 Link to Attachments C, E, & F: Attachment C, E, F - RFP 2023-479-KB Page 22 of 550