CCP 04-26-2011 - Laserfiche WebLink

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NAI Welsh (Land/Office Broker) The NAI Welsh team is lead by Craig Lien(vice president,office leasing and sales)who has 28 years of experience, most of it in the St. Paul suburban market. His team also includes, Ted Gonsior(land sales associate) with 7 years of experience. In general, the NAI Welsh team views the competition as Roseville and Arden Hills,which is consistent with our previous experience. This translates into Welsh's estimates of the land value ($8 to $12 PSF), depending on the specific site. Their proposed commission structure is within industry standards,but less than Northmarq's. Northmarq (Land/Office Broker) The Northmarq team is led by John Rausch (senior vice president, land sales) with 13 years of experience in the commercial real estate experience. Mr. Rausch is considered one of the more experienced land brokers in this market. The office leasing team is led by Tom Stella (senior vice president, office) with 19 years of experience. Mr. Stella also has extensive experience of the St. Paul suburban marketplace. Northmarq does have a competing site in Blaine and views the competition as points north of New Brighton. The company's proposed pricing structure is $4 to $10 PSF, which seems to be a reflection of where they view the competition. Northmarq's commission structure is higher than NAI Welsh. Director Fernelius summarized stating that the NAI Welsh team seemed very organized. Mr. Cook commented that experience levels will be different between the groups, and a major part of the decision will be chemistry. Director Fernelius commented that the groups all were very congenial with each other, and feels confident that any of the two teams could work effectively together. Director Fernelius suggested the chemistry was stronger with the NAI Welsh Group. Commissioner Benke questioned if Staff is seeking the EDC's recommendation to endorse the Welsh Group. Director Fernelius confirmed,and commented he would like input from the EDC. Commissioner Smith commented he already noted Welsh was a strong candidate. Commissioner Snell commented the marketing plan for Welsh seemed vague. Mr. Cook commented the marketing strategies are fairly consistent for all companies. Director Fernelius stated he would like to see Mr. Cook continue to offer his unbiased perspective through the process. Councilmember Bauman suggested the EDC interview the four potential developers/brokers, as part of the duties of the advisory commission. Commissioner Benke agreed. Director Fernelius suggested scheduling the interviews outside of the regular EDC meeting schedule. Commissioner Flahave asked if the council will consider the EDC's recommendation. Councilmember Bauman stated the Council values the recommendations received from the advisory commissions. Opus Group (Developer) The Opus team is led by Dave Menke (senior vice president and general manager) with 24 years of experience. Mr. Menke will be assisted by Tony Phelps with 12 years of experience. Opus has done brownfield redevelopment work in the past, as well as major corporate office campuses (Best Buy, Excelsior Crossing for Cargill and US Bank in St. Paul). The company is proposing a 3 year agreement with 2 year extension, if successful during the initial term. They are also proposing a first right-of- refusal which would give the company a limited time frame to match any prospective offer. If the City were to select Opus, this issue would have to be carefully examined. Opus has re-emerged from financial troubles in the last couple of years into three new operating businesses that are well- capitalized. The company has offered to make their financial statements available for review under strict confidence by City's finance advisors. Ryan Companies, U.S. (Developer) The Ryan team is led by Casey Hankinson (director of development), Eric Anderson (director of development, office) and Rick Collins (vice president, office) with 26 years of experience. Ryan has very extensive brownfield redevelopment experience, including two sites in New Brighton. Obviosuly,