Downtown Mixed-Use Development-Site 6 Request for Proposals City of Chandler, Arizona Requested by: March 2007 The City of Chandler, Arizona www.chandleraz.gov Chandler Home > Economic Development > Reports & Publications TABLE OF CONTENTS I. II. III. IV. V. VI. VII. VIII. IX. X. XI. XII. XIII. Introduction and Project Description . . . . . . Project Area . . . . . . . . . . . Project Context and Intent . . . . . . . Schedule . . . . . . . . . . . . Submittal Requirements . . . . . . . . . Pre-Proposal Meeting and Site Tour . . . . . . Questions . . . . . . . . . . . . Submittal Content . . . . . . . . . . Evaluation Criteria . . . . . . . . . . General Terms and Conditions . . . . . . . Community Profile . . . . . . . . . . Current and Proposed Development in Downtown Chandler . Historic Downtown Chandler Development Investments, Studies and Programs . . . . . . . . . XIV. Major Destination Centers in Downtown Chandler . . . XV. Historic Downtown Chandler . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 3 5 7 8 9 10 11 13 14 17 20 . . . . 24 27 31 . . EXHIBITS/APPENDICES Exhibit A - Site 6 Location Map Exhibit B - Historic Downtown Chandler Planned Redevelopment to Santan Freeway /Loop 202 (Aerial Map) Exhibit C - Historic Downtown Chandler Planned Redevelopment to Frye Road (Aerial Map) Exhibit D - South Arizona Avenue Entry Corridor Study—Existing Land Use Map Exhibit E - South Arizona Avenue Entry Corridor Study—Future Land Use Map Exhibit F - Planned Circulation and Utility Improvement Projects (Aerial Map) Exhibit G - City of Chandler Enhanced Municipal Services District Map Exhibit H - Utility Maps for Site 6 (A & B) Exhibit I - Major Employment Centers Map Appendix A - Upcoming Events in Downtown Chandler Appendix B - List of Downtown Businesses and Organizations City of Chandler, AZ Request for Proposals -1- Site 6 I. INTRODUCTION AND PROJECT DESCRIPTION The City of Chandler, Arizona is seeking proposals for the development of City-owned property, known as Site 6. The site is located at the northwest corner of Arizona Avenue and Chicago Street, bounded by an alley on the north and intersected by Oregon Street. Site 6 is located within the boundaries of the Downtown Redevelopment Area and South Arizona Avenue Entry Corridor. All proposals must provide information about the overall design concept for an urban, mixeduse project on Site 6 that may include a variety of components, such as commercial, cultural, entertainment, hotel, institutional, office, restaurant/retail, residential, supporting parking and other compatible uses. Additionally, it is the current policy of the City to locate the Chandler Historical Museum on the site. Should this policy change, the site could be developed without the museum. Therefore, the City is seeking development proposals with dual design concepts: 1) including the museum on the site; and 2) not including the museum on the site. The museum is planned to be an approximately 20,000 square foot multi-story facility, fronting on Arizona Avenue. The City will own the museum building. High-quality architectural and urban design features will be required, and it is anticipated that a structured parking facility will be included in order to maximize the amount of usable land for development. Consideration will also be given to proposals that contemplate site expansion and/or opportunities for a land exchange. The City is seeking proposals for the above-mentioned concept and encourages all interested, qualified parties to submit development proposals for consideration. The development’s market feasibility and proposer’s overall design concept needs to be demonstrated in the proposal, as well as the proposer’s previous experience with downtown redevelopment projects and obtaining financing for downtown redevelopment projects. The City’s intent is to review all proposals submitted and identify those warranting further discussion. The City will consider providing assistance if determined necessary and appropriate by the City in its sole discretion. This project will enhance redevelopment activities in Historic Downtown Chandler and promote revitalization efforts in the Chandler Enhanced Municipal Services District. City of Chandler, AZ Request for Proposals -2- Site 6 II. PROJECT AREA The project site is a parcel totaling approximately 4.99 acres located in the Chandler Redevelopment Area at the northwest corner of Arizona Avenue and Chicago Street, bounded by an alley on the north and intersected by Oregon Street. It is located just south of the Chandler Commercial Historic District, and a breezeway provides pedestrian access to the site from Boston Street (Exhibit A – Site 6 Location Map). This site is directly west of the recently selected City Hall site, two blocks from the Chandler Center for the Arts, and just ¾ of a mile north of the Santan Freeway (Loop 202). Opportunities for future development also exist around the site to the west, north and south (Exhibit E). An advantage of the site is that it is virtually vacant and entirely owned by the City, requiring no site assemblage. One 3,200 square foot structure exists on the site, is currently not in use and is under consideration for demolition. Located also on the site is a small, temporary parkand-ride lot that will be relocated to a lot at Tumbleweed Park in Spring 2008. Location: Northwest corner of Arizona Avenue and Chicago Street with approximately 400 feet of frontage on highly traveled Arizona Avenue (State Route 87). Property Size (approximate): • • • • • • 4.99 acres, including Oregon Street right-of-way 4.26 acres not including Oregon Street right-of-way 544’ (east to west) x 400’ (north to south) = 217,000 sq. ft. (est.) 142.5’ x 400’ = 57,000 sq. ft. on the west side of Oregon Street 80’ x 400’ = 32,000 sq. ft. – Site 6 portion of Oregon Street 320’ x 400’ = 128,000 sq. ft. east of Oregon Street Zoning: C-2 and MF3, Community Commercial District and High Density Residential District. The parcel that is bounded by Arizona Avenue on the east and Oregon Street on the west is zoned C-2 and the parcel west of Oregon Street is MF3. Although these parcels are already zoned for desirable uses, it is expected that Planned Area Development re-zoning will be required to achieve maximum and desirable development on Site 6. Planned Area Development (PAD) zoning designation is intended to accommodate, encourage and promote innovatively designed developments involving residential and non-residential land uses, which together form an attractive and harmonious unit of the community (for more information available on the Internet, go to http://udm.chandleraz.gov). City of Chandler, AZ Request for Proposals -3- Site 6 II. PROJECT AREA (cont.) Utilities: All utilities are available to the property in the adjacent public rights-of-way. Relocation and upgrades of existing sewer and water lines will be required for this site. The site is served by an existing 10” sewer line along the east and west alley (north portion of the site). An 8” sewer, which bisects the parcel with Arizona Avenue frontage, will need to be removed (Exhibit H – A & B). Water is provided by an 8” water line located in the alley on the north end of the site. Electrical power is provided by Arizona Public Service (APS) and is located on poles in the alley (east-west alley) which will need to be relocated underground. Hard-wire telecommunications are provided by Qwest Communications and natural gas by Southwest Gas. Transportation: Average weekday total traffic counts at Arizona Avenue and Chandler Boulevard (just ¼ mile north) exceed 51,100 vehicles per day. Arizona Avenue (State Highway 87) not only is a major thoroughfare through Chandler, but also serves the region by providing northward access to the Superstition Freeway (US 60), and south to the Santan Freeway (Loop 202) and Interstate 10. Bus service is currently provided to the adjacent site at the intersection of Arizona Avenue and Boston Street. In 2009, bus service will be expanded and a bus stop will be located at the south end of Site 6 on Chicago Street. Environmental Conditions: Phase I Environmental Assessments were completed when the City acquired various parcels that have been assembled for Site 6. A 1998 Phase I Environmental Assessment contained an asbestos assessment for the existing 3,200 sq. ft. structure located on the site. Limited soil gas sampling at the northwest corner of the property covered in the RFP (Lots 520 and 522) was conducted by Brown and Caldwell in 2000 and revealed relatively low levels of PCE contamination. The report detailing the results of this sampling and the Phase I Environmental Assessments are available by contacting Jim Weiss, Environmental Program Manager, at (480) 782-2377, and should be reviewed prior to the submission of a proposal pursuant to this RFP. City of Chandler, AZ Request for Proposals -4- Site 6 III. PROJECT CONTEXT AND INTENT The City of Chandler began its visioning process for Historic Downtown Chandler in the 1998 Taliesen Visioning Report. Taliesen Architects, Frank Lloyd Wright’s firm, developed design guidelines and a palette of design colors, materials and motifs that will serve to meet the current and future development demands in Downtown Chandler. While these are only concepts, it is the intent of the City to maintain the essence of the Taliesen Architects’ vision for a pedestrianoriented development with unique architecture that is tied to Chandler’s history. Since that time, the City of Chandler has successfully embraced its history. Historic Downtown Chandler has been listed in the National Register of Historic Places, Downtown storefronts have been restored to a modern version of their original turn-of-the-century look, and the plaza has been redesigned and named after the City’s founder. Today, Historic Downtown Chandler is emerging with opportunities for commercial and residential development. The area is already home to many unique shops, restaurants, galleries and annual festivals. Additionally, new upscale housing opportunities are coming on-line in 2007. Two developments that are currently under construction will create 133 new townhomes in the heart of Downtown. Successfully blending the history, a unique retail environment, and new upscale residential development is a key strategy for Downtown Chandler. In an increasingly competitive marketplace, it is critical that Historic Downtown Chandler establish a strong identity. Downtown Chandler should provide shops and services that provide striking alternatives to the Chandler Fashion Center, which is located three miles to the west at the intersection of Chandler Boulevard and the Price Freeway (Loop 101). Anchored by Nordstrom, Dillard’s, Macy’s and Sears, and including a long list of upscale retailers and restaurants, the Chandler Fashion Center has become one of the premier shopping destinations in Greater Phoenix. Downtown Chandler must stand out from the mall and entice residents and tourists to visit as part of their dining, shopping and entertainment trips. Developers should consider recruiting local retail shops and restaurants that will give Downtown a unique image and character. Tomorrow’s vision for Downtown Chandler is to create an urban environment that is pedestrian-friendly with architecture and character that is unique to Chandler, Greater Phoenix, and even the United States. This strategy includes the creation of covered pedestrian walkways, striking historically-inspired architecture, historic preservation, strategically placed parking structures and uses that will complement the community and the marketplace. This strategy will support a vibrant and growing community. City of Chandler, AZ Request for Proposals -5- Site 6 III. PROJECT CONTEXT AND INTENT (cont.) It is the City’s desire that any developer or user will focus on how they will incorporate the urban design, architectural criteria and principles listed above into their proposal. Development of the site must address the goals and objectives outlined in the South Arizona Avenue Entry Corridor Study, including its design guidelines. The South Arizona Avenue Entry Corridor Study is available on the Internet at www.chandleraz.gov/planning/generalplan.html. Scroll down the page to “South Arizona Avenue Entry Corridor Study”. Additional consideration must include the planned new civic complex anchored by the new City Hall immediately to the east on Arizona Avenue, together with its pedestrian generation, which may well become patrons of Site 6. Still other consideration must include the planned street upgrades, including boulevard improvements for Arizona Avenue and incorporating Chicago Street as a key pedestrian connection. The City Hall Study is available on the Internet at www. chandleraz.gov/content/cityhallstudy.pdf. City of Chandler, AZ Request for Proposals -6- Site 6 IV. SCHEDULE Request For Proposals Schedule Activity Issue RFP. Date . . . . . . . . . . . . . . March 2, 2007 Site Tour at 9:00 a.m. MST. . . . . . . . . . . March 16, 2007 . . . . . . . March 16, 2007 Deadline for submittal of written questions by 5:00 p.m. MST. . . April 13, 2007 Deadline for answers to written questions by 5:00 p.m. MST . . . April 20, 2007 Proposal due date at 5:00 p.m. MST. . . May 4, 2007 Pre-Proposal Meeting at 10:30 a.m. MST. . . . . . . Review and selection of the proposers submittals will occur 30—60 days after the proposal due date of May 4, 2007. The successful proposer will be required to enter into a Development Agreement with the City of Chandler, committing the parties by contract to perform in a manner consistent with the proposal. The Development Agreement will be negotiated between the successful proposer and the City of Chandler. Any development agreement or award of contract resulting from this RFP process shall be conditioned on preparation by the developer of a redevelopment plan in accordance with the requirements of Title 36 of Arizona Revised Statutes and is subject to approval by the Chandler City Council. Furthermore, it is expected that Planned Area Development re-zoning will be required to achieve maximum and desirable development on Site 6. City of Chandler, AZ Request for Proposals -7- Site 6 V. SUBMITTAL REQUIREMENTS A. Proposals are to be addressed and delivered to the receptionist area, first floor, Economic Development Division, Planning & Development Services, 215 East Buffalo Street, Chandler, Arizona 85225 on or before 5:00 p.m. MST, May 4, 2007. Responses delivered to the City after the determined date and time will not be considered. It is the responsibility of each proposer to ensure the City receives the response by the required time. Facsimile or electronically transmitted responses will not be considered. B. Proposers must provide twelve (12) hard copies of the proposal on 8-1/2” x 11” paper by the due date and time. Delivered or hand-carried submittals must be time stamped at the front desk in the Economic Development Division reception area at the following address: City of Chandler Economic Development Division Planning & Development Building 215 East Buffalo Street, 1st Floor Chandler, AZ 85225 Attn: Richard K. Mulligan C. Proposals should address the proposal requirements and not exceed fifty (50) pages, including attachments. City of Chandler, AZ Request for Proposals -8- Site 6 VI. PRE-PROPOSAL MEETING AND SITE TOUR A site tour has been scheduled for Friday, March 16, 2007 at 9:00 a.m. MST. Tour participants will meet at the Vision Gallery, 80 South San Marcos Place, Chandler, AZ, and commence walking around the project site in the general vicinity of the area bounded by Arizona Avenue and Chicago Street. Please RSVP for the site tour to Heather Figueroa at (480) 782-3030 or email [email protected]. Also, a pre-proposal meeting will be held on Friday, March 16, 2007 at 10:30 a.m. in the Vision Gallery, 80 South San Marcos Place, Chandler, AZ. Please RSVP for the pre-proposal meeting to Heather Figueroa at (480) 782-3030 or e-mail [email protected]. At this meeting, staff will provide an overview of the RFP and respond to questions from the attendees. Potential proposers are strongly encouraged to send a representative to the preproposal meeting. City of Chandler, AZ Request for Proposals -9- Site 6 VII. QUESTIONS If you have informal questions about the RFP process, please contact: Richard K. Mulligan, CEcD Economic Development Director Voice: (480) 782-3032 [email protected] Note that the City will answer informal questions orally. The City makes no warranty of any kind as to the correctness of any oral answers and uses this process solely to provide minor clarifications quickly. Oral statements or instruction shall not constitute an amendment to this Request for Proposal. Proposers shall not rely on any verbal responses from the City. All formal inquiries or requests for significant or material clarification or technical interpretations or notification to the City of errors or omissions relating to this RFP must be directed, in writing or by facsimile, to: Richard K. Mulligan, CEcD Economic Development Director Fax: (480) 782-3040 [email protected] All formal inquires must be submitted by 5:00 p.m. MST, Friday, April 13, 2007. Failure to submit inquires by this deadline may result in the inquiry not being answered. The Economic Development Division shall respond in writing to written questions on the City website at http://www.chandleraz.gov (Chandler Home > Economic Development > Reports & Publications) by 5:00 p.m. MST, Friday, April 20, 2007. City of Chandler, AZ Request for Proposals - 10 - Site 6 VIII. SUBMITTAL CONTENT Each proposer’s response shall address the items listed herein, but also may include any other items which the proposer believes may be important to the development. A. Contact Information Provide the contact information for the principal individual who is responsible for completing the RFP response. B. Executive Summary Provide a concise summary of the overall proposal. The summary must not exceed two pages. C. Proposer’s Experience Provide a description of the experience of each team member in designing, developing, and financing similar projects. Include information on location, size, cost and status of these projects. D. Development Description Describe the development concept. For commercial and retail components, please describe the gross square footage, anticipated uses, and amenities. For residential components, please describe the number of dwelling units, the expected type (for-sale or rental), anticipated sales price or monthly rental rate, and size ranges. If a hotel component is contemplated, then the planned number of guest rooms, amenities, branding, quality (i.e. expected Mobil and AAA rating), anticipated average daily rate, and anticipated occupancy should be included. For entertainment and assembly uses, include the number of seats and amenities. For other uses, please provide comparable, relevant specifications. E. Development Pro Forma Describe the Development’s projected annual income and expenses during the first ten years of operation. F. Budget Describe the Development’s design and construction budget. G. Financing Describe sources for the Development financing. City of Chandler, AZ Request for Proposals - 11 - Site 6 VIII. SUBMITTAL CONTENT (cont.) H. Design Information Provide design information for the project site in the form of color drawings and exhibits suitable for study. These should, at a minimum, include a conceptual site plan and elevations. I. Time Frame Provide a proposed schedule of development performance, including project benchmarks. J. Business Proposal Describe the proposed business offer including the direct, indirect, and cumulative financial benefits to the City. Identify the actions and financial commitments, if any, to be requested of the City to accomplish the project. The City will consider providing assistance if determined necessary and appropriate by the City in its sole discretion. City of Chandler, AZ Request for Proposals - 12 - Site 6 IX. EVALUATION CRITERIA City staff will conduct an evaluation based upon the criteria contained herein. Staff may consult with citizens and outside experts to assist in the evaluation of the proposals. All proposals are subject to the general terms and conditions incorporated in this RFP. Proposals will be evaluated based on, but not limited to, the following criteria: A. Consistency of the proposed development concept with the City’s goals and the submittal requirements as stated above. B. Experience of the proposer in developing comparable projects in urban locations. C. Financial capacity of the proposer to successfully complete the proposed development. D. Completeness of proposal and responsiveness to stated Submittal Requirements and Submittal Content. E. The level of commitment requested of the City and the financial risk associated with such involvement. F. Other appropriate criteria as determined by the City. Proposers may be requested to attend a panel interview and/or to provide additional information to the City regarding the proposals. Following the panel's review of the proposals, the City may select one or more of the proposers to negotiate with the City. The City reserves the right to reject, in whole or in part any or all proposals without cause. Any development agreement or award of contract resulting from this RFP process shall be conditioned on preparation by the developer of a redevelopment plan in accordance with the requirements of Title 36 of Arizona Revised Statutes and is subject to approval by the Chandler City Council. City of Chandler, AZ Request for Proposals - 13 - Site 6 X. GENERAL TERMS AND CONDITIONS This Request for Proposals does not commit the City to enter into an agreement, to pay any cost incurred in the preparation of a proposal in response to this request or in subsequent exclusive negotiations, or to procure a contract for the project. A. Withdrawal of Proposals At any time prior to the specified time and date set for the proposals submission, a proposer, or the proposer’s designated representative, may withdraw a proposal. B. Reservation of Rights by City The issuance of this Request for Proposals and the acceptance of proposals does not constitute an agreement by the City that any contract will actually be entered into by the City of Chandler. The City of Chandler expressly reserves the right to: 1. Reject any or all proposals. 2. Reissue a Request for Proposals. 3. Extend the time frame for submission of the proposals by notification to all parties who have registered an interest in this RFP with the City of Chandler. 4. Request more information from any or all applicants. The commencement of negotiations does not commit the City to accept all of the terms of the proposal. Final terms of any agreement will be agreed upon during negotiations. Negotiations may be terminated by the City for failure to reach mutually acceptable terms. 5. Negotiate with any qualified developer. 6. Waive any immaterial defect or informality. C. Proposals as Public Records The confidentiality of the proposals will be maintained until the submittal deadline. Thereafter, each proposal submitted shall not be considered confidential and no information contained therein shall be treated by the City as either confidential, proprietary, or trade secret information. City of Chandler, AZ Request for Proposals - 14 - Site 6 X. GENERAL TERMS AND CONDITIONS (cont.) D. Right to Disqualify The City reserves the right to disqualify any proposer who fails to provide information or data requested herein or who provides materially inaccurate or misleading information or data. The City reserves the right to disqualify any proposer on the basis of any real or apparent conflict of interest that is disclosed by the proposals submitted or any other data available to the City. This disqualification is at the sole discretion of the City. By submission of a proposal hereunder, the proposer waives any right to object now or at any future time, before any body or agency, including but not limited to, the Chandler City Council, or any court, as to the exercise by the City of such right to disqualify or as to any disqualification by reason of real or apparent conflict of interest determined by the City. E. Property Rights/Disclosure of Information All materials submitted in response to this RFP shall become the property of the City upon delivery to the address set forth above. By submitting a proposal, the proposer agrees that the contents of every other proposal is confidential and proprietary and waives any right to access to those proposals. The foregoing waiver shall not apply to the proposal selected hereunder, if any, or to the proposal of any proposer contesting, protesting or otherwise challenging an award or recommendation. Any proposer submitting a proposal hereunder further acknowledges and agrees that the City is a public entity which is required to abide by public records laws and shall not be liable for disclosures required by law. E. Contract Negotiation The submission of a proposal in response to this RFP constitutes the agreement of the development team that any contract resulting from this RFP will be prepared by the City of Chandler. The submission of a proposal shall further constitute the agreement of the proposer that it will not insist on the use of standard contract agreements, documents or forms, and that it waives any demand for the use of its standard agreements. Pursuant to the City Charter, the language of the contract to be executed will be drafted under the supervision of the City Attorney and shall be the controlling document. The City does not agree to accept all of the terms of the selected proposal. F. Indemnification By submission of a proposal hereunder, the proposer and each member of its development team agrees to hold the City’s Mayor, Councilmembers, officers, agents and employees free and harmless against any and all liability, including costs of claims, suits and counsel fees arising from, growing out of, or incidental to the actual or alleged use of any copyrighted composition, secret or proprietary process, patented or unpatented invention, article or appliance. City of Chandler, AZ Request for Proposals - 15 - Site 6 X. GENERAL TERMS AND CONDITIONS (cont.) G. Applicable Law Any and all disputes arising under any contract to be negotiated hereunder or out of the proposals herein called for shall be governed according to the laws of the State of Arizona, and the proposer shall agree that the venue for any such action brought to enforce provisions of the contract shall be in the State of Arizona. H. Organization Employment Disclaimer Any contract entered into as the result of this RFP will not constitute, create, give rise to or otherwise recognize an agreement or relationship, partnership or formal business organization of any kind between the City and the proposer as contractor, and the rights and obligations of the parties shall only be those expressly set forth therein. The selected proposer will be required to agree as part of any contract entered into as the result hereof, that no person supplied by it in the performance of the contract is an employee of the City, and further agree that no rights of the City’s Civil Service, Retirement or Personnel Rules accrue to any such persons. Any contracting party shall have the total responsibility for all salaries, wages, bonuses, retirement, withholdings, workmen’s compensation and occupational disease compensation insurance, unemployment compensation, other benefits and taxes and premiums appurtenant thereto concerning such persons provided by such party in the performance of the contract, and shall save and hold the City harmless with respect thereto. I. Immigration and Naturalization All proposers shall be required to be in compliance with the Immigration Reform and Control Act of 1986 and all rules and regulations promulgated there under. City of Chandler, AZ Request for Proposals - 16 - Site 6 XI. COMMUNITY PROFILE City Overview Chandler is located in the rapidly growing Southeast Valley of the Phoenix Metropolitan area. With a population of more than three million, this metropolitan area is the heart of Arizona's economic and entertainment activity. Like the region as a whole, the City of Chandler has experienced phenomenal population growth. Since 1980, population has skyrocketed from 30,000 citizens to over 245,000 today and population continues to grow by nearly 500 new residents per month. Business Environment Chandler is a corporate friendly environment that includes several companies on the cutting edge of technology such as Intel, Freescale, Microchip, Motorola, Orbital Sciences, Avnet, Verizon Wireless and many others. These companies are utilizing Chandler’s young, welleducated and highly skilled labor force to continually expand the high-technology base. Covance Laboratories, a major bio-tech company, just announced they will bring up to 2,000 high-tech jobs to Chandler. In recent years, Chandler has diversified its economy with the location of several financial services companies, such as Wells Fargo, Countrywide, Toyota Financial Services and Americredit. City of Chandler – Top Employers Employees Company Intel 10,100 Countrywide Financial 2,400 Wells Fargo 2,200 Freescale Semi-conductor 1,800 Microchip 1,500 Chandler Regional Hospital 1,200 Motorola 1,100 Orbital Sciences 1,100 Verizon Wireless 1,100 Chandler’s infrastructure includes an advanced telecommunications network and has often been referred to as one of the “Most Wired Cities in America.” MobilePro is currently installing a city-wide Municipal WiFi wireless internet network which will come online in the Spring of 2007. This network will enable high speed Internet connectivity virtually anywhere in the City, and will create along with another East Valley city one of the largest contiguous wireless networks in the country. City of Chandler, AZ Request for Proposals - 17 - Site 6 XI. COMMUNITY PROFILE (cont.) Chandler has more than 110,000 jobs within the City, with over 40,000 of those in the manufacturing sector. Over 75% of these manufacturing jobs are in high-tech fields while the national average is only 15%. Chandler’s total labor force consists of more than 124,000 workers with an unemployment rate of approximately 3%, well below the national average. The median age of Chandler residents is 31.1 years, and two-thirds have completed some college. The City’s median household income of approximately $73,000 translates into total buying power of over $3.5 billion. The average salary of Chandler workers is the highest in the Phoenix metro area exceeding $40,000 annually. Chandler $43,000 Scottsdale $37,000 Tempe $34,500 Phoenix $34,000 Gilbert $27,000 Glendale $26,000 Mesa $26,000 Peoria $22,250 U.S. $35,000 Arizona $31,500 $0 $10,000 $20,000 $30,000 $40,000 $50,000 Source: U.S. Department of Commerce & U.S. Census Bureau Housing Chandler offers residents a wide range of quality housing, with many master planned communities. A significant number of urban housing units, which will provide pedestrian traffic, are currently under construction downtown. The City has adopted single and multifamily housing design standards to ensure that new developments achieve greater diversity in lot size, unit design, layouts and architecture. Hospitality and Tourism Industry Chandler is positioning itself to be a unique tourist destination. Its reputation as a technology innovator combined with its climate, history and attractions have been drawing visitors since 1912. Chandler’s historic San Marcos Resort, numerous golf courses, diverse shopping, fine dining restaurants, hotels and a desirable downtown area create a destination for its visitors. Currently there are approximately 1,800 rooms in the hotel/motel industry and over 1,400 rooms that are either proposed, planned or under construction in the next three to five years. City of Chandler, AZ Request for Proposals - 18 - Site 6 XI. COMMUNITY PROFILE (cont.) The Arizona Office of Tourism released year-end numbers for 2005 indicating that statewide occupancy was up 4.9% to 65.9%. Revenue per available room (RevPAR) was up 12.6% to $59.76 and overall demand grew 5.5% to $24 million. Average Daily Rate (ADR) for the state was also up 7.3% to $90.68. Most importantly, year-end numbers for the Greater Phoenix metro area (includes Chandler and immediately surrounding cities within Maricopa County) were also impressive. Due to changing inventory, supply decreased by .5% and occupancy was up 5% at 67% and room demand was up 4.6% for the year. RevPAR was also up 12.6% to $69.46 and ADR was up 7.1% to $103.62. According to research gathered by Smith Travel Research, 2005 year-end numbers for the City of Chandler highlights a 67.7% occupancy rate which is a 4.7% increase from 2004. ADR was also up 11.7% to $84.53 and room demand for Chandler was up 5.2% to 462,052 compared to 2004. Retail Chandler’s retail base contains more than 12 million square feet and is growing daily. At 1.1 million square feet, Chandler Pavilions is a power center that houses Arizona’s first Polar Ice Entertainment Center, Desert Schools Coyotes Center. Our Historic Downtown consists of a central park surrounded by distinctive retail space. One of the premier regional shopping centers in the Phoenix Valley is the Chandler Fashion Center, with over 1.3 million square feet. This center is anchored by Nordstrom, Dillard’s, Macy’s and Sears and features an outdoor urban entertainment village. New neighborhood centers are coming on line at a record pace with tenants occupying space immediately. The southeast region is a focus area for large retail development. This area is being aggressively developed and will offer nearly unlimited opportunities for retail establishments. Large parcels of available land, the recently opened Santan Freeway, and strong demographics make this area of Chandler an excellent choice for new retail development. Transportation Access Only twenty minutes away from Phoenix Sky Harbor International Airport, access to three freeways, and a municipal airport makes Chandler a very accessible community. Interstate 10 provides access along Chandler’s western border with the City of Phoenix. The Santan Freeway (Loop 202) provides an east-west route along the southern edge of the City. The Price Freeway (Loop 101) provides a north-south access route through the heart of the City’s commercial and industrial area – the Chandler Fashion Center area and the Price Road Corridor. It also links up with the Superstition Freeway (U.S. 60) just two miles beyond Chandler’s border. The Chandler Municipal Airport is a general aviation airport providing access for private aircraft and pilot training. The airport is one of the busiest airports in the state with over 240,000 operations a year. City of Chandler, AZ Request for Proposals - 19 - Site 6 XII. CURRENT AND PROPOSED DEVELOPMENT - DOWNTOWN CHANDLER Since the Taliesin Architects, “Visioning Report – Redevelopment of Chandler City Center” study of 1998, significant land acquisition and redevelopment has taken place in Downtown Chandler. (Exhibit B – Historic Downtown Chandler Planned Redevelopment to Santan Freeway (Loop 202) and Exhibit C – Historic Downtown Chandler Planned Redevelopment to Frye Road). Many of these projects are listed below and all of these projects are within walking distance of Site 6. Historic Downtown Chandler – Sites 1, 2, 3, San Marcos Commons Sites 1, 2, 3, also known as San Marcos Commons, is a mixed-use development located on a 15-acre site at the southwest corner of Chandler Boulevard and Arizona Avenue. The development, with mission-style architecture, will feature 79 townhomes, 230,000 square feet of retail, restaurant and office space, and a multi-level parking garage (+/- 460 vehicles). Phase I is anticipated to open in late 2007. Historic Downtown Chandler - Sites 4 and 5 Site 4 is located approximately two blocks west of Arizona Avenue between Boston Street and Commonwealth Avenue. The site is currently planned to support high-density, multi-story, upscale apartment/townhouses, with a parking garage below grade. Site 5 is adjacent to and east of Site 4, and is planned for retail and restaurant buildings. Historic Downtown Chandler - Site 7 – 123 Washington Site 7 – Phase I, also known as 123 Washington, is located on approximately 6.5 acres, one block east of Arizona Avenue between Chandler Boulevard and Buffalo Street. The development includes 54 luxury, gated townhomes in brownstone architecture. Currently, 48 of the 54 properties have been purchased, and occupancy is anticipated in Spring 2007. City of Chandler, AZ Request for Proposals - 20 - Site 6 XII. CURRENT AND PROPOSED DEVELOPMENT - DOWNTOWN CHANDLER (cont.) Maricopa County Consolidated Justice Courts The Chandler Consolidated Justice Court facility will be open in March of 2007. The facility will house four independent justice courts, judicial suites and administrative offices in approximately 46,000 square feet. This Downtown Chandler facility will provide East Valley residents with improved access to the court system. Total design and construction costs for the facility will be approximately $5.1 million. Chandler City Hall (Recently Selected Site) The City of Chandler is in the process of planning for a new city hall. The location selected with the assistance of consultants is on Arizona Avenue north and south of Chicago Street. The facility is expected to be three to five stories tall, consisting of between 115,000 – 125,000 square feet of space and parking for 450 to 500 vehicles. The facility is expected to be completed in Spring/Summer 2010 and will cost approximately $60 million to design and construct. Chandler High School (Recent Expansion) Chandler High School, which has approximately 2,800 students, is located at the northwest corner of Arizona Avenue and Chandler Boulevard. The school has been recognized as an A+ school by the Arizona Educational Foundation and offers the International Baccalaureate program. Facilities were recently expanded from 40 to 60 acres through land acquisition. Recent improvements include a Technology and Industry Building, the addition of grandstands and a press box for the football field, a 50-meter swimming pool, new locker room facilities, three new athletic fields, tennis courts, a renovated auxiliary gym and expanded parking facilities, which provides double the number of available spaces. Overall, improvements total nearly $30 million. City of Chandler, AZ Request for Proposals - 21 - Site 6 XII. CURRENT AND PROPOSED DEVELOPMENT - DOWNTOWN CHANDLER (cont.) Arizona Avenue and Chandler Boulevard Street Improvements The City recently made over $6 million in improvements to the intersection of Arizona Avenue and Chandler Boulevard, which included street widening, enhanced paving and sidewalk upgrades, landscaping, decorative walls, new pocket parks and the addition of high-quality date palm trees. Approximately $200,000 worth of improvements are still programmed for this area. South Arizona Avenue Entry Corridor Study (Recently Adopted) The opening of the Santan Freeway (Loop 202) created a new regional entryway into Historic Downtown Chandler. The South Arizona Avenue Entry Corridor Study is a redevelopment plan that recognizes the need to improve this new entryway, more specifically properties along Arizona Avenue that are located between Pecos Road and Boston Street (See Exhibits D and E – South Arizona Avenue Entry Corridor Study maps). The plan's emphasis and key strategy is on the construction of new, dense urban lifestyle housing that will support and strengthen new and existing retail in Downtown. The new high-density residential developments are planned south of Frye Road and at the southeast corner of Chandler Boulevard and Arizona Avenue, and could have densities up to 40 dwelling units per acre as well as mixed-uses on the ground floors (i.e. retail, office). The plan's implementation strategy outlines several steps that the City is committed to carrying out, including major street and utility improvements that will define the high-density residential areas, improved traffic circulation and increased utility capacity. The plan envisions the area north of Frye Road and directly west of Site 6 as a future expansion of the cultural and entertainment area (could include residential) that is currently planned for Site 6. Uses could include hotels, restaurants, a performing arts center, art galleries and historic arts, offices, and ancillary residential. The area located northeast of Frye Road and Arizona Avenue is largely planned for government and private offices. City of Chandler, AZ Request for Proposals - 22 - Site 6 XII. CURRENT AND PROPOSED DEVELOPMENT - DOWNTOWN CHANDLER (cont.) South Arizona Avenue Circulation and Utility Improvements In the fall of 2006, the Chandler City Council adopted the South Arizona Avenue Entry Corridor Study, which established new development guidelines for the area south of Downtown, north of the new Santan Freeway, east of Palm Lane and west of the railroad tracks (See Exhibit F – City Campus Projects and South Arizona Avenue Circulation and Utility Improvement Projects map). This area, which will serve as the new entrance into the City’s Downtown, is among the oldest in the City and much of the current infrastructure does not meet the City’s current demands or design standards. The adopted plan identified a need to modify the existing infrastructure to improve traffic circulation and utility service. As a result, the City identified several major projects, including: · · · · · · · · acquiring rights-of-way constructing new access to Arizona Avenue from the neighborhoods improving Arizona Avenue by extending the aesthetics installed at the intersection of Arizona Avenue and Chandler Boulevard replacing pavement on Arizona Avenue to the freeway improving the aesthetics along Delaware Street and the railroad tracks creating new urban open space and aesthetic corridors along Washington Street constructing new streets to improve traffic, bike and pedestrian access to new commercial development replacing antiquated water, sewer and storm drain utilities in the roadway corridors The South Arizona Avenue improvement project is a major undertaking for the City and is projected to extend over four years and cost up to $75 million. The project scope will be unlike any other project the City has completed as it is expected to encourage new higher density urban development in this area. The project was recommended to City Council by the 2007 Citizens Bond Committee. A Special Bond Election will be held on May 15, 2007. If voters approve the bond questions, funding of up to $60 million will be provided for conceptual planning, design and construction of the project. Additional bond funds for the Chandler Historical Museum of $4.5 million are also contemplated (see page 29). City of Chandler, AZ Request for Proposals - 23 - Site 6 XIII. HISTORIC DOWNTOWN CHANDLER DEVELOPMENT INVESTMENTS, STUDIES AND PROGRAMS The City has invested significant resources in the redevelopment of Historic Downtown Chandler including multiple capital investment projects, various studies, and initiatives that have provided direction and vision. A brief sample of just a few of those projects are listed below: • • • • • • • • • • Sculptures and other creative art work in A. J. Chandler Park Designated a National Register Commercial Historic District Special street and Sternberg lighting Historic Signage in Downtown and at key locations in the City Extension of historic colonnades and creation of new, modern colonnades Intersection, median and special paving material improvements Landscaping, fountains and water features Creation of an Architectural Review Committee Visioning Report – Redevelopment of Chandler City Center, Taliesin Architects 1990 Downtown Revitalization Program Study City Downtown Redevelopment Staff The City of Chandler’s Economic Development Division has two full-time staff members that provide excellent customer service throughout the development process, working closely with companies to ensure that project reviews are done in a timely manner. The Downtown Redevelopment Manager, under the direction of the City’s Economic Development Director, will assist in facilitating plan review for qualified projects in Historic Downtown Chandler. In addition, the City Planning and Development Department is committed to working with businesses on planning, zoning, and permitting issues. City of Chandler, AZ Request for Proposals - 24 - Site 6 XIII. HISTORIC DOWNTOWN CHANDLER DEVELOPMENT INVESTMENTS, STUDIES AND PROGRAMS (cont.) Downtown Improvement Fund (DIF) The Chandler Downtown Improvement Fund (DIF) program is intended to provide financial assistance to viable small and medium-sized firms that locate or expand in Historic Downtown Chandler. The program reimburses property owners or tenants for tenant improvements that will leverage additional capital investment, business investment or create jobs for Chandler residents. The DIF program offers up to $50,000 in matching reimbursement funds to assist property or business owners for the renovation or improvement of Downtown properties for retail or restaurant use. The eligible program area is the boundaries of the recently approved Downtown Chandler Enhanced Municipal Services District (see Exhibit G). Façade Conservation Program The goal of the Downtown Chandler Façade Conservation Program is to preserve significant historical and cultural structures, improve the aesthetics of the Downtown area, and enhance the overall quality of life for Chandler residents. The eligible program area is the boundaries of the Downtown Chandler Enhanced Municipal Services District (see Exhibit G). The program provides financial assistance to businesses desiring to locate in Downtown Chandler. It provides reimbursements to commercial property owners for pre-approved rehabilitation work completed on the facade of the owner’s existing building up to a maximum of $400,000. In exchange for the receipt of a conservation easement, the City is granted a non-possessory interest in the commercial real property, including the building and other structures for the purpose of preserving the historical, architectural, and cultural aspects of the property. BEFORE City of Chandler, AZ AFTER Request for Proposals - 25 - Site 6 XIII. HISTORIC DOWNTOWN CHANDLER DEVELOPMENT INVESTMENTS, STUDIES AND PROGRAMS (cont.) Chandler Enhanced Municipal Services District The City of Chandler recently created an Enhanced Municipal Services District in partnership with the Downtown Chandler Community Partnership (DCCP) (See Exhibit G – City of Chandler Enhanced Municipal Services District map). The District was created with strong support from Downtown area business and property owners. The City has pledged to pay a voluntary contribution to the District to complement the assessments that private property owners have agreed to pay to fund programs and services. The District programs include: - Marketing and Promotions: Initiatives are underway that will enhance the overall image and marketability of Historic Downtown Chandler to attract a wide array of consumers and promote Downtown shops, restaurants, lodging, recreation and other attractions. - Enhanced Security: The District will advocate for policies that alleviate both real and perceived security concerns for Downtown visitors, business and property owners. - Downtown Management: The District has hired a full-time manager to direct and manage the District programs. Colonnade Signage Program The City of Chandler encourages Downtown businesses to install signs on the colonnade. The Colonnade Signage Program was created to assist Downtown business owners to design and install signage by providing grants of up to $650 per business for a sign that will hang from the colonnade facing the street. The money can be used for design fees, materials, and/ or installation of the sign. Signs must conform with the City of Chandler’s Downtown Sign Code and businesses must receive a permit to be considered for the program. City of Chandler, AZ Request for Proposals - 26 - Site 6 XIV. MAJOR DESTINATION CENTERS - DOWNTOWN CHANDLER The Crowne Plaza San Marcos Golf Resort The Crowne Plaza San Marcos Golf Resort, the first in Arizona, opened in 1912. The resort, situated on 123 acres, anchors Downtown Chandler with its 295 guestrooms and hotel suites. The facility includes a fullservice restaurant, two lounges and a Starbucks. In the past two years over $7.5 million has been spent on renovations. World-renowned Bent Severin Design directed the interior design enhancements. Lobby improvements included specialty carpets imported from England, unique bloodwood flooring, and restoration of the fireplace to its original size and features. Rooms have also been completely renovated. Landscaping has been upgraded at the resort and on the golf course. Over $2.8 million is budgeted for improvements in 2007. Chandler Center for the Arts The Chandler Center for the Arts, located on the campus of Chandler High School, at the northwest corner of Arizona Avenue and Chandler Boulevard, is jointly owned by the City of Chandler and the Chandler Unified School District. The facility, which can seat an audience of approximately 1,600 guests, hosts various musical and dance performances throughout the year. Recent and upcoming shows include Glen Campbell, Herman’s Hermits Starring Peter Noone, Wayne Newton, Debby Boone, Ronnie Milsap, The Second City Touring Company and The Pink Floyd Experience. Total cost for the facility, which was completed in 1989, was $8.1 million. A recent improvement was the addition of an $82,000 electronic sign, which promotes upcoming events at the center. City of Chandler, AZ Request for Proposals - 27 - Site 6 XIV. MAJOR DESTINATION CENTERS - DOWNTOWN CHANDLER (cont.) Chandler Commercial Historic District The Chandler Commercial Historic District has been listed on the National Register of Historic Places since September of 2000. The business district was an integral part of the model town of Chandler, conceived with “The City Beautiful Movement in Arizona, 18951920.” The development of towns in Arizona prior to 1920 generally occurred without reference to any overall plan. Towns sprang up as trading centers or to support nearby economic enterprises, and their forms evolved as an aggregate of the narrow needs and interests of the various property holders. The City of Chandler was one of the few exceptions to this pattern as urban form was a major consideration in its development. Historic Downtown Chandler continues to be the heart of the community where the dream of a “City Beautiful” began. Restoration of the building facades has brought back the historic backdrop of the early 1900s with modern day commerce. The area is now home to many unique shops, restaurants, galleries and annual festivals (See Appendix A – Upcoming Events in Downtown Chandler and Appendix B – List of Downtown Businesses and Organizations). City of Chandler, AZ Request for Proposals - 28 - Site 6 XIV. MAJOR DESTINATION CENTERS - DOWNTOWN CHANDLER (cont.) The City of Chandler government offices are also located in the Downtown area. The campus layout covers the area east of Arizona Avenue and consists of a number of buildings including a library, community center, police and fire administration, and the public works and development services building. Offices for the Mayor, City Council, City Manager and Management Services are housed in the Chandler Office Center. Chandler Museum The Chandler Museum is located east of Arizona Avenue on East Commonwealth Avenue. The museum was established under the Chandler Historical Society in 1969 as a non-profit organization to preserve the history and heritage of Chandler. The current location, which is 7,300 square feet, hosts special events, new exhibits and ongoing outreach programs. In 2004, voters approved an $8.5 million bond issue to be used for a new Chandler Museum, which may be located on Site 6. The City Council will soon consider whether to ask voters for an additional $4.5 million bond as part of the May 2007 election. The new museum is expected to be a multi-story facility of approximately 20,000 square feet. Chandler Office Center/Western International University The Chandler Office Center – a five-story, 108,000 square foot, Class A office building – is located at the southeast corner of Arizona Avenue and Buffalo Street, and opened in 1998. The building houses many City of Chandler departments, including the Mayor, Council and City Manager’s Offices. In addition, Western International University has classrooms and administrative offices in the building, which accommodate the 1,500 – 2,000 students. The facility also includes a parking structure consisting of 416 spaces. City of Chandler, AZ Request for Proposals - 29 - Site 6 XIV. MAJOR DESTINATION CENTERS - DOWNTOWN CHANDLER (cont.) Chandler Corporate Plaza The Chandler Corporate Plaza – a five-story, 104,000 square foot, Class B office building - is located at the northeast corner of Arizona Avenue and Boston Street, and opened in 1987. The building is currently 100% occupied with tenants including the Chandler Chamber of Commerce and First Credit Union. The building also includes a parking structure with over 500 spaces. City of Chandler, AZ Request for Proposals - 30 - Site 6 XV. HISTORIC DOWNTOWN CHANDLER The City of Chandler was founded in 1912 by Dr. A.J. Chandler, and was built as an agricultural and resort community. Dr. Chandler had a goal of creating an “oasis in the desert.” He began building that dream with the construction of a branch line of the Arizona Eastern Railroad and an impressive railway depot in the Downtown. The depot was critical because it connected guests to his San Marcos Resort. Drawing on influences of the “City Beautiful Movement”, he also created a central plaza surrounded by commercial blocks with colonnades. Later, in the mid-1920s, Dr. Chandler befriended renowned architect, Frank Lloyd Wright. Wright later moved to Chandler, built a camp and for several years worked with Chandler on plans for more than a dozen projects including a water garden, hotel, and homes. The Great Depression dashed Chandler’s plans for the implementation of Wright’s designs. Dr. Chandler went on to become one of the first people to successfully grow Egyptian Pima cotton, leading to the community’s agricultural growth through World War II. Historic Downtown Chandler, where the City began, has been designated Chandler Commercial Historic District and is listed on the National Register of Historic Places. It is the geographic center of the community. Dr. A.J. Chandler constructed the San Marcos Resort, adjacent to a large public park, in 1912. Arizona Avenue, which originally circled around A.J. Chandler Park, now runs through the middle of Historic Downtown Chandler. The central business district provides the major architectural identity for the City. It consists of several blocks of historic buildings with a colonnade that provides protection from the elements, and creates a unifying theme for the Downtown. City of Chandler, AZ Request for Proposals - 31 - Site 6
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