Excerpt:

Exhibit:

1. Contract - RiverRock Real Estate Group
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Recommendation to Award a Five-Year Contract for City of Alameda Property Management Services to RiverRock Real Estate Group for Management of Commercial and Residential Properties at Alameda Point, Fleet Industrial Supply Center, Tidelands, Alameda Beltline, and Other City-Owned Commercial Properties. (Base Reuse 858, 256, 216)

To: Honorable Mayor and Members of the City Council

From: Jill Keimach, City Manager

Re: Award a Five-Year Contract for City of Alameda Property Management Services to RiverRock Real Estate Group for Management of Commercial and Residential Properties at Alameda Point, Fleet Industrial Supply Center, Tidelands, Alameda Beltline, and Other City-Owned Commercial Properties

BACKGROUND

PM Realty Group has served as the City’s property manager for the past 14 years. They were originally brought to the City by Alameda Point’s first master developer group, Alameda Point Community Partners (APCP). When APCP left, it was decided that the City would continue to use PM Realty Group to provide property oversight and management services for Alameda Point. PM Realty Group also started providing property management services for the former Fleet Industrial Supply Center (FISC) and other City-owned properties, such as the retail spaces in the Alameda Theater and leases for marinas. PM Realty Group’s final 3 year contract was awarded in November 2013 and will expire on January 02, 2017.

In keeping with best practices for ensuring services are being provided at the best market rate, the City opted to issue a Request for Proposals (RFP) for property management services on August 11, 2016. Proposals were due September 8, 2016. The City received six proposals from:

1. Cushman & Wakefield Property Management

2. Jones Lang & LaSalle Property Management

3. Kennedy Wilson

4. Next Play Realty Company

5. PM Realty Group

6. RiverRock Real Estate Group

A panel of representatives of City departments and outside property management experts reviewed and scored the proposals and selected the top candidates for interviews: Cushman & Wakefield, Kennedy Wilson, PM Realty Group and RiverRock Real Estate Group. Based on the proposals and interviews, the panel unanimously recommended RiverRock Real Estate Group (RiverRock). As a result, staff is recommending a contract with RiverRock for City of Alameda property management services.

DISCUSSION

To solicit the maximum number of responses and most competitive price, the RFP was sent out to all the contractors from the 2013 property management selection list with the addition of those who requested to be added, was published in the Alameda Journal, and was placed on the City's website. Nineteen participants, representing eight firms attended the non-mandatory bidder’s conference on August 25, 2016. All of the firms had extensive experience managing commercial and industrial properties. Four of the six applicants had base reuse experience. While each team’s proposed commercial industrial property management approach were similar in industry standard, the approach to managing the residential properties varied. The bid summary, including each team’s proposed approach to managing the residential properties, is summarized below: