th

Parcel42
7 St&RhodeIslandAveNW|Square0442,Lot0106& 0803 ReleaseDate: April20,2012 RFEIProposalSubmissionDeadline: July26,2012

Responsesaretobesenttothefollowingaddress:
OfficeoftheDeputyMayorfor PlanningandEconomicDevelopment TheJohnA.WilsonBuilding 1350PennsylvaniaAvenue,NW Suite317 Washington,DC20004 Attn:IvanMatthews,ProjectManager

REQUESTFOREXPRESSIONS OFINTEREST
DistrictofColumbia OfficeoftheDeputyMayorforPlanningandEconomicDevelopment PROJECTDESCRIPTION..............................................................2 RESPONSEREQUIREMENTS&SELECTIONPROCESS...................8 TRANSACTIONTERMS.............................................................18 RESERVATIONOFRIGHTS&MISCELLANEOUSPROVISIONS.....18 QUESTIONS............................................................................21 APPENDIXA|ANCRESOLUTION.........................................24 APPENDIXB|FORMOFACKNOWLEDGEMENT....................24 APPENDIXC|FORMOFACKNOWLEDGEMENT....................24 APPENDIXD|UTILITIESDATAFORAFFORDABLEHOUSINGHIGH RISEAPARTMENTS2012.........................................................24 APPENDIXE|SCHEDULEOFPERFORMANCE .......................27 . APPENDIXF|STATEMENTOFMINIMUMTERMS.................28 APPENDIXG|FORMIRREVOCABLELETTEROFCREDIT........30 QuestionsregardingthisRequestForExpressionsofInterestshouldbesubmittedviaemailonlytoIvan.Matthews@dc.gov. Respondents shall not direct questions to any other person within the District except as allowed elsewhere in this RFEI. ResponsestoRespondentquestionswillbeaggregatedandpostedonthefollowingwebsite:http://dcbiz.dc.gov/.
Mayor Vincent C. Gray Deputy Mayor for Planning & Economic Development Victor L. Hoskins

PROJECTDESCRIPTION
TheOpportunity TheGovernmentofDistrictofColumbia(theDistrict),throughtheOfficeoftheDeputyMayorforPlanningand Economic Development (DMPED), seeks to develop the following vacant lots 0106 and 0803 in Square 0442, locatedattheintersectionof7thStreetandRhodeIslandAvenueNW. DMPEDinvitesqualifiedDevelopmentTeams(Respondents)torespondtothisRequestForExpressionsofInterest (RFEI)forthedispositionanddevelopmentoflots0106and0803inSquare0442(DevelopmentParcels),totaling 17,008sq.ft.(seeFigure1&2forDevelopmentParcelsInformationinmoredetail)pursuanttoagroundleaseofno lessthenfifty(50)yearsorafeesimpletransfer.AstheDevelopmentParcelsareinanemergingneighborhood,itis criticalthattheproposeddevelopmentplansreflecttheimportantvalueofthesesitestothesurroundingcommunity andembodythefollowingcharacteristics: Higharchitecturaldesignqualitythatmaximizesdensity, Economicviability, Mixedincome residential rental component that maximizes affordability based upon the District's contributionoflandvalue, Localandsmallbusinessneighborhoodservingretail,and Atransitorienteddevelopmentthatreflectstheproject'sadjacencytotheShaw/HowardMetroStation. The Development Parcels are zoned Arts/C2B and R4. DMPED seeks a developer that will develop the lots in keeping with the goals set out in this RFEI, and will accept both matterofright and Planned Unit Development (PUD)developmentproposals.However,DMPEDencouragesRespondentstosubmitPUDdevelopmentproposals thatmaximizethedensityoftheDevelopmentParcels. The Respondents that present the most innovative, comprehensive, and community supported solution may be shortlistedand/orabestandfinalproposalmayberequestedbeforeafinalselectionismade. TheDistrictwillendeavortofollowthetimetablesetforthbelow;however,theactivitiesandtimetablerepresented belowareaguidelineonlyandaresubjecttochangeattheDistrictssolediscretionandwithoutpriornotice: SelectionProcessTimetable* April20,2012 1.IssuanceofRFEI PreResponseConference(23pm) May9,2012 July26,2012 Summer,2012 LateSummer,2012 Fall,2012 TBD,2012 TBD,2012 LateFall,2012 TBD

2.RFEIProposalSubmissionDeadline(5pm) 3.SelectionRecommendationPanelConvenes 4.NotificationofShortListedDevelopmentTeamRespondents(IfApplicable)

CommunityPresentationbyDevelopmentTeamRespondents RequestforBestandFinalOffer(IfApplicable) BestandFinalSubmissionDueDate(IfApplicable)

5.FinalSelectionofDevelopmentTeam
SubmissionofDispositionAgreement&AccompanyingLegislationtoDistrictof ColumbiaCouncil *Subjecttochange

 DevelopmentParcelsInformation

Figure1:DevelopmentParcelsMap.Mapnottoscale. Location 7th Street N.W.&RhodeIslandAveN.W. Square 0442 Lots 0106 (15,317sq.ft.)&0803 (1,691sq.ft.) TotalSquareFootage 17,008sq.ft. Owner DistrictofColumbia(DMPED) Status Vacant Zone Lot0106 (A/C2B,Commercial)&Lot0803(R4Residential) 2011TaxAssessedValue $4,291,770 June2010AppraisedValue $4,965,000 ExistingZoningMatterofRight June2010AppraisedValue $8,499,000 Under a PUD Allowing a 6.0 FAR with allunitsatMarketRate AdjacentStakeholders/PropertyOwner UnitedHouseofPrayers forThePeople Figure2:DevelopmentParcelsInformation.

Location:AsshowninFigure1,theDevelopmentParcelsareacompilationoftwo(2)lotslocatedontheeastsideof 7thStNWandareboundbyRSttotheSouth,andRhodeIslandAvetotheSoutheast.TheDevelopmentParcelsare identified as Square 0442, Lots 0106 and 0803 in the Shaw neighborhood in Washington, DC, and are split by a publicalley. Frontage,Size,andShape:TheDevelopmentParcelshavefrontageontheEastsideof7thSt,theNorthsideofRSt, andtheNortheastsideofRhodeIslandAve.TheDevelopmentParcelsconsistofLot0106(15,317sq.ft.)andLot 0803(1,693sq.ft.)foratotalsiteareof17,008sq.ft. Visibility/Access: The Development Parcels havegood visibility from7th Stand Rhode IslandAve, and have public accessattherearandfront. Soil and Environmental: The Development Parcels are offered asis. DMPED makes no representations or warrantiesastoanysoilorenvironmentalconditionsatthesite. PropertyAdvantages: Located near south entrance of the Shaw/Howard Metro Station, allowing for dense development with accesstopublictransportationandtravelthroughoutthecity. 3

 Located in the Shaw community, just below the revitalized U St corridor, both of which have surging housingandretaildevelopmentmarkets. Nearthenew2.3millionsqftWashingtonConventionCenter,hostingmajortradeshowsandpublicevents attractingasmanyas40,000peopleperday,projectedtogenerate$1.4billioninrevenueoverthenext five(5)years.Thecenterincludes44,000sqftofretailspace. Proximity to cultural, entertainment and sporting events at the Verizon Center, and in Chinatown and PennQuarter,museums,theaterandartgalleries. Proximity to the new 300,000 sqft mixeduse project known as Progression Place/UNCF Headquarters that is currently under construction. Once built this project will be the new headquarters for United NegroCollegeFund,andincludeneighborhoodservingretailandaffordablehousingunits. Nearthenew1millionsqftmixeduseproject,CityMarketatOStreet,thatisunderconstruction.Once built,thisprojectwillincludeafullserviceGiantgrocerystore,sitdownrestaurant,andseniorhousing units,amongotheramenities.

DistrictofColumbiaPolicyGoals&Requirements PlanningandZoningFramework Lot 0106 and Lot 0803 have different zoning and Comprehensive Plan designations. Additionally, Development Parcelsareseparatedbyanopen,publicalley.TheDistrictdoesnotanticipateclosingthealley,asthealleysystem currentlyservesotherpropertiesinthesquare. Lot0106: ComprehensivePlan:ThislotisdesignatedontheComprehensivePlanFutureLandUseMapformixedMedium Density Commercial/Residential development, which anticipates residential, office, retail, hotel, or other commercialormixedusedevelopment.TheComprehensivePlanGeneralizedPolicyMapplacesthissite withina Main Street Mixed Use Corridor, which is a business corridor that typically features a pedestrianoriented environment with traditional storefronts and upper story residential or office uses. The site is within the Shaw/ConventionCenterpolicyfocusareaoftheNearNorthwestAreaElement. Zoning: This lot is zoned ARTS/C2B. The ARTS Overlay was established to, among other things, encourage the provision of arts, and arts related, uses and to address scale of development. The ARTS Overlay includes use, Combined Lot Development, and bonus density provisions for preferred uses including arts uses and residential.RefertoChapter19ofDCMRTitle11,ZoningRegulationsforthecompleteARTSOverlayrequirements, availableontheOfficeofZoningwebsite:www.dcoz.dc.gov.C2Bisamediumdensityzonethatallowsabroad rangeofresidential,office,retail,hotelandotheruses.Maximumbyrightdensityis4.2FAR(includingInclusionary Zoning bonus density) for residential or mixed use development, of which a maximum of 1.5 FAR may be non residential.Maximumbyrightheightissixtyfive(65)feet.ThroughaPUD,adensityofupto6.0FAR,ofwhicha maximumof2.0FARcanbeutilizedfornonresidential,andaheightuptoninety(90)feetmaybepermittedbythe ZoningCommission,usingguidanceasprovidedbytheARTSOverlayprovisions. Lot0803: ComprehensivePlan:ThislotisdesignatedontheComprehensivePlanFutureLandUseMapformixedModerate Density Residential development, which anticipates rowhouse or low rise multifamily development. The ComprehensivePlanGeneralizedPolicyMapplacesthissitewithinaNeighborhoodEnhancementArea,wheresmall scaleinfilldevelopmentisanticipated. Zoning:ThislotiszonedR4,alowtomoderatedensityresidentialzoneallowingdetached,attached,orrowhouse dwellings, but not multifamily buildings. The zone does not permit retail, office, or many other forms of non residentialuses.MaximumheightallowanceforR4zoningisthree(3)stories/forty(40)feet.Respondentsshould refertotheDCMRTitle11,ZoningRegulations,availableontheOfficeofZoningwebsite:www.dcoz.dc.gov. BothpropertiesarealsowithintheDUKEPlanandtheConventionCenterAreaPlanboundaries.TheDUKEPlanisa neighborhood revitalization plan which seeks to strategically guide future development by capitalizing upon the areas historic context and emerging reputation as an arts and entertainment district, through the creation of a cohesive and memorable place with diverse subareas, and knitting new development with surrounding neighborhoods. The Convention Center Area Plan is intended to help guide private and public investment to strengthenneighborhoodbusinesses;generatequalityhousing;andimprovethepublicrealm.TheComprehensive Planmapandtext,theDUKEPlan,andtheConventionCenterAreaPlanMapsandtextcanallbefoundattheOffice 4

 ofPlanning(OP)website:http://www.planning.dc.gov/.PleasecontactJoelLawsonattheOfficeofPlanningat 202.442.7600,joel.lawson@dc.gov,formoreinformation. TransportationPlanningFramework Thesitepresentsopportunitiesandchallengesfromatransportationperspective.RhodeIslandAvenueisaPrincipal Arterial corridor in the District, and carries heavy volumes of vehicular traffic. The site has excellent multimodal transportation access, as it is adjacent to the Shaw/Howard Metro Station and several bus routes, as well as an existing westbound bike lane on R Street. Because of this, the District Department of Transportation, ("DDOT"), anticipatesmanypeopleaccessingthesitewilldosovianonautomobilemodes.DDOTscommitmenttobuildinga safe and efficient transportation network will guide all review of transportationrelated issues regarding developmentofthesite.DDOTsupportsminimizingparkingduetotheconstraintsofsiteaccess(existingtraffic) and the transit access which offers other transportation opportunities. Additional information can be located at DDOT'swebsite:http://www.ddot.dc.gov/.PleasecontactJamieHensonatthePolicy,Planning,andSustainability AdministrationOffice,DDOTat202.671.1324,jamie.henson@dc.gov. Community&StakeholderOutreach Thesuccessofanydevelopmentprojecthingesontheinclusionandsupportofthelocalcommunity.Respondents arestronglyencouragedtoworkwiththeAdvisoryNeighborhoodCommission(ANC)2Candthelocalcommunity residentstounderstandhowthecommunitysgoalscanbemetintheRespondentsresponses.TheANC2Cissueda Resolution on 10 February, 2012 (reference Appendix A) discussing their vision of what they would like to see developedonParcel42.Responsesmustconsiderandincorporatestakeholderandcommunitypreferences,tothe extentfeasibleandpractical. GreenBuildingRequirement The Development Parcels shall be developed in compliance with the District of Columbias Green Building Act of 2006,DCOfficialCode61451.01etseq.(2008Repl.)andRespondentsresponsesshallcontemplatethesame. FirstSource PursuanttoMayorsOrder83265,DCLaw593,asamended,andDCLaw1424,Respondentsrecognizethatoneof theprimarygoalsoftheDistrictofColumbiagovernmentisthecreationofjobopportunitiesforDistrictofColumbia residents.Accordingly,theRespondentselectedbytheDistricttonegotiateadispositionagreementshallenterinto a First Source Agreement, prior to execution of a disposition agreement, with the Department of Employment Services(DOES)thatshall,amongotherthings,requiretheRespondentto:(i)usediligenteffortstohireanduse diligenteffortstorequireitsarchitects,engineers,consultants,contractors,andsubcontractorstohireatleastfifty one percent (51%) District of Columbia residents for all new jobs created by the development project, all in accordancewithsuchFirstSourceEmploymentAgreementand(ii)usediligenteffortstoensurethatDMPED'sgoal ofatleastfiftyonepercent(51%)ofapprenticesandtraineesemployedareresidentsoftheDistrictofColumbiaand areregisteredinapprenticeshipprogramsapprovedbytheDCApprenticeshipCouncil.Respondentsmustcomplete theFormofAcknowledgementattachedasAppendixBandsubmitthisformwiththeirproposal.Pleaserefertothe following website to find a copy of the First Source Agreement: http://www.does.dc.gov/does/cwp/view,a,1232,q,537680.asp. Please contact DeCarlo Washington, Contract ComplianceMonitor,atDOESat202.698.5772,decarlo.washington@dc.gov,formoreinformation. CertifiedBusinessEnterprises TheRespondentselectedbytheDistricttonegotiateadispositionagreementshallenterintoaCertifiedBusiness Enterprise (CBE) Agreement with the Districts Department of Small and Local Business Development (DSLBD) prior to execution of a disposition agreement and closing. The CBE Agreement shall include a requirement to contractwithCBEsforatleast35%oftheadjusteddevelopmentbudgetoftheprojectaswellasmaintainatleast 20%CBEequityand20%CBEdevelopmentparticipation.RespondentsareencouragedtoexceedtheDistrictsCBE participationrequirements.RespondentsmustcompletetheFormofAcknowledgementattachedasAppendixCand submitthisformwiththeirproposal.PleasecontactTabithaMcQueen,DSLBDsGeneralCounsel,at202.727.3900, tabitha.mcqueen@dc.govformoreinformation. 5

 LocalHiring&BusinessOpportunities Respondents are encouraged to incorporate the following in their responses: (1) Employment and business opportunitiesforlocalresidentsandbusinesses;and(2)OpportunitiesforDistrictneighborhoodbasedbusinessto participateintheproject. DevelopmentProgramandAffordableHousingGoalsandObjectives DMPEDseeksproposalstobuildamixedusedevelopmentwithgroundfloorretailandamixedincomeresidential rentalcomponentmaximizingthenumberofaffordablehousingunitsatorbelow80%AreaMedianIncome(AMI) fortheWashingtonDCMetropolitanStatisticalArea(MSA).DMPEDwillacceptallproposalsthatcanbedeveloped as a matter of right under the current zoning designation and/or proposals that maximize development density throughaPUD.BasedonthefeedbackfromtheAdvisoryNeighborhoodCommission2C,DMPEDurgesRespondents to consider submitting proposals that maximizes development density through a PUD. Additional information on District regulations pertaining to affordable housing can be found at the District Housing and Community Development (DHCD) website: http://dhcd.dc.gov/ and/or by contacting Gilles Stucker at DHCD at 202.442.4569, gilles.stucker@dc.gov. DMPEDencouragesproposalsubmissionsthatincludethefollowing: I. Highqualityandinnovativearchitecturaldesign.Proposalsshouldincorporateanarchitecturalimagethat complements the neighborhood character while accommodating necessary uses. Design layouts should produceavariedandinterestingpedestrianenvironmentbywhichtoenhancethelivelinessofthepublic sidewalknexttothesite. II. Mixedusedevelopment,includingretailuse,whichwouldservetheneighborhoodandthebroaderareas. Proposals which include preferences for Districtbased businesses, and/or businesses that hire District residents,arestronglyencouraged.Additionally,proposalsareencouragedtoincludesomeretailspacefor localandemergingbusinesses. III. The residential rental, mixed income component should maximize affordability beyond the Districts InclusionaryZoningrequirements,provideamixtureofunittypesandsizesacrossmultipleAMIlevels,and shouldbecomparabletothemarketrateunitsintheproposal.Affordablehousingrentcalculationsshould include all rent payments and utilities utilizing the most uptodate Department of Housing and Urban Development (HUD) uncapped AMI data (reference Figure 3) and utilities data for high rise apartments (reference Appendix D). While Figure 3 presents the most current data, new AMI data is published annually, and all RFEI's must reflect the most current data. The rent calculation formula is provided in Figure4,andtheOccupancyStandardFactorisprovidedinFigure5.Respondentswillbegivenadditional points or preference for maximizing affordability across multiple income levels. All affordable rent payments collected by the future property owner from the tenants or third parties on behalf of tenants maynotexceedtheMaximumAllowableRentforanaffordableunit(referenceFigure4).Theaffordable housingtermwillbesubjecttotherequirementsofthefinancialsourcesutilized,howevertheaffordable termshallbenotbelessthan30years. Thephysicalplacementoftheaffordableunitswithinthebuildingmustbeproportionaltotheplacementof the market rate units, so that affordable units are not clustered in one portion of the development. All affordable units will have set terms of affordability to be agreed upon by the District and selected Respondentinthedispositionagreement,andotheragreementsasapplicable. Respondents shall describe the strategy for marketing, operation and administration of their affordable housing units. Partnering with an organization that has demonstrated expertise in the administration, operationandmanagementofaffordablehousingisencouraged,ifRespondentdoesnotalreadyhavethis expertise. Proposalsareencouragedtoincludeanappropriateamountofparkingthatreflectstheproject'sadjacency totheShaw/HowardMetroStation.Allprojectamenities,includinganyrentalofparkingspaces,shouldbe offeredtoaffordablehousingunitsonthesametermsasofferedtothemarketratehousingunits.

IV.

V.

VI.

 HouseholdSize1 1. 1 2. 2 3. 3 4. 4 5. 5 6 120%AMI $90,300 $103,200 $116,100 $129,000 $141,900 $154,800 100%AMI $75,250 $86,000 $96,750 $107,500 $118,250 $129,000 80%AMI $60,200 $68,800 $77,400 $86,000 $94,600 $103,200 60%AMI $45,150 $51,600 $58,050 $64,500 $70,950 $77,400 50%AMI $37,625 $43,000 $48,375 $53,750 $59,125 $64,500 30%AMI $22,575 $25,800 $29,025 $32,250 $35,475 $38,700

Figure3:AMIforWashingtonDCMSAasofDecember2011

AffordableHousingRentCalculationtoIncludeMonthlyUtilities2 MAR=(AMI*DAL*OSF*30%)/12MU AMI AverageMedianIncomeat100% MAR MaximumAllowableRent DAL DesignatedAffordabilityLevel OSF OccupancyStandardFactor(referenceFigure5) MU MonthlyUtilities(referenceAppendixD) Figure4:AffordableHousingRentCalculationtoIncludeMonthlyUtilities 3 OccupancyStandardFactor OccupancyPricingStandard SizeofAffordableUnit (AvgOccupancyperUnit) Efficiency/Studio 1 1Bedroom 2 2Bedroom 3 3Bedroom 5 Figure5:OccupancyStandardFactorforAffordableHousingCalculations

OccupancyStandardFactor .7 .8 .9 1.1

PublicSpace InpartnershipwiththeDistrictDepartmentofTransportation(DDOT),OPworkstoensurethedesignofpublicspace is of high quality and meets minimum requirements. To this end, the District has in place streetscape standards, guidelines, and policies to guide changes to public space. Uses that impact the character of public space include sidewalk cafes, vending, street festivals, and other impermanent activities. Physical features that impact the character of public space can include sidewalk paving material, fences and retaining walls, street trees and their spacing,vaultspaces,otherinfrastructurelikestreetlightsorcurbandgutters,andanybuildingencroachmentsinto the public space. Existing curb cuts may or may not be permitted to be retained and reused; access to onsite parkingandloadingisnormallyexpectedtobefromthealley. DavisBacon To the extent applicable, the selected Respondents shall be required to develop the Development Parcels in compliance with the provisions of the DavisBacon Act, 40 U.S.C. 276(a), and the regulations promulgated therewith.

1 ProvidedbyDHCD1December2011 2 ProvidedbyDHCD29February2012 3 ProvidedbyDHCD29February2012 7

RESPONSEREQUIREMENTS&SELECTIONPROCESS

1

ReleaseofRFEI

IssuanceofRFEI DMPEDisreleasingtheRFEItosolicitproposalsfordevelopmentoftheparcels.TheRFEIispostedontheDMPED website:http://dcbiz.dc.gov/. PreResponseConference ApreresponseconferencewillbeheldattheWalthaTDanielLibrary,16307thStNWWashingtonDC20001,on May9,2012at2pmEasternTime.

1 2 3 4 5

RFEIProposalSubmissionDeadlineandSubmissionRequirements

ProposalsaredueonJuly26,2012by3:00PMEasternTime.TheDistrictwilldetermine,initssolediscretion,whethereach responsereceivedinreplytotheRFEIisresponsiveandacceptable.ThedecisionoftheDistrictinthisregardisfinalandany determinationonnonresponsivenesswillbeexplainedtotheapplicableRespondent(s)uponrequest.Responsesthatdonot meetthefollowingrequirementswillbedeemedNonResponsiveandwillnotbeconsideredforselection. Format Allresponsesmustmeetthefollowingformatrequirements: I. Responses shall be prepared on 8 x 11 lettersize paper, bound lengthwise, with tabs to separate sections. II. ResponsesmustrespondtoeachRFEIitemintheorderoutlinedbelowintheResponseContentssection. Eachsubsectionmustbeseparatedbytabswithsubsectionheadings. III. Responsesmustnotexceedtwentyfive(25)pages,excludingappendices. ResponseContents ExecutiveSummary RespondentsshallprovideanExecutiveSummaryoftheirresponse.TheExecutiveSummaryshouldhighlightkey components of the Respondents response. In particular it should (1) articulate the vision for the Development Parcels; (2) discuss how the District and surrounding neighborhood will benefit from the proposed project (i.e., economic impact, job creation, etc.); and (3) describe how the proposed project fits within the existing neighborhoodfabric.Thesummaryshouldnotexceedtwo(2)8.5x11pages. RespondentTeamIdentities&Details Respondentsshallidentifythefollowingkeyteamentities: DevelopmentPartners Identify any and all development partners for the project. Please identify (a) the decision making individual for the entity and, if different, (b) the daytoday lead individualwhowillbeavailabletorespondtoquestionsorrequestsforadditional information. CapitalSources If applicable, construction and permanent lenders, major investors, and other key consultants,ifany,includedinthefinancingplan. DesignTeam If applicable, any architects, engineers, consultants, etc. included as part of the proposedteam. Otherrelevantteam Ifapplicable,pleaseidentify. members TeamMemberDetails Foreachteamentityidentifiedinthesectionabove,Respondentsshallidentifythefollowingforthepointofcontact ateachentity: Name Firstandlastname 8

 Address TelephoneNumber EmailAddress Title Businessaddress Businesstelephonenumber Businessemailaddress Businesstitle

StatementRegardingDebarments,Suspensions,Bankruptcy,orLoanDefaults Respondentsshallprovideastatementregardinganydebarments,suspensions,bankruptcy,orloandefaultsonreal estatedevelopmentprojectsand/orgovernmentcontractsofanyofthebiddingteamsentitiesoraffiliates(listed aboveinRespondentTeamIdentities&Details). EvidenceRegardingTaxLiabilities Respondentsshallprovideastatementregardinganytaxliabilitiesandothergovernmentimpositionsthatarenot currentforanyofthebiddingteamsentities(listedaboveinRespondentTeamIdentities&Details). EvidenceRegardingLitigation Respondents shall provide a statement regarding any ongoing or knowledge of threatened litigation in which the Districtisapartythatrelatestoanyteammember,affiliateortoanyotherentityorindividualhavingacontrolling interestintheentity(orentities)thatcompriseRespondents.Ifsuchlitigationexists,Respondentsshallprovidethe nameandcivilorcriminalactionnumberofsuchlitigationandadescriptionofthesubjectmatterofsuchlitigation. OrganizationStatus Respondents shall provide the status of their organization (whether a corporation, a nonprofit or charitable institution,apartnership,alimitedliabilitycorporation,abusinessassociation,jointventure,faithbasedorother) indicating under which laws it is organized and operating, including a brief history of the organization and its principals. For any entity required to file reports in the jurisdiction of its formation, include a certificate of good standingforsuchjurisdictionandacertificateofgoodstandingshowingthatitisregisteredintheDistrict. OrganizationalChartandBios Provide an organizational chart of the development team and brief commentary, clearly illustrating the project ownership.Additionallyprovideacomplete,detailednarrativeclearlyidentifyingeachprincipal,partnerand/orco venturer proposing to participate in the project including ownership percentages. For each principal, partner, co venturerorknownmajorsubcontractor,pleaseidentifydisciplineorspecialty(e.g.,communityplanning,A/Edesign, development, construction and property management). Respondents shall provide brief bios of all the key personnelfromtheRespondentsTeamwhowillbeworkingontheprojectandoutliningrelevantexperience. EvidenceRegardingCreationofRespondent Respondentsshallprovideacopyofanywrittenagreementsordocuments(e.g.articlesofincorporation,operating documents, etc.) evidencing the creation of Respondents entity; however, it is not necessary to have a project specificlegalentityformedinadvanceofsubmittingaresponse.Theprincipals,partners,orjointventurepartners whoarepartofRespondentsteamsmustbeeligibletotransactbusinesswiththeDistrictandintheDistrict. QualificationsandExperience Respondentshallidentifythree(3)urbaninfilldevelopmentprojectscomparabletoRespondentsproposedproject, andwithwhichRespondentortheirkeypersonnelhavehadprimaryinvolvement.Respondentshouldincludepast projectsthathaveacomparableaffordablehousingcomponent.Foreachrelevantproject,Respondentshallidentify thefollowing: I. DevelopmentTeamname; II. Projectnameortitle; III. Locationoraddressofproject; IV. Thenamesandcontactinformationforteammembersinvolvedintheproject,alongwithadescriptionof eachpartysroleintheproject; V. Descriptionofproject,includinguse(s),totalsquarefootageandnumberofunits,keys,etc.(ifapplicable); VI. Periodofperformance; VII. Estimated total development costs, if project is not yet complete, OR actual total development costs, if projectiscomplete; 9

 Projected groundbreaking and completion date, if project is not yet complete, OR actual groundbreaking andcompletiondate,ifprojectiscomplete; IX. ProposedORactualfinancingstructureoftheproject; X. IllustrativematerialsthatwillhelptheDistrictevaluatethecaliber,innovationandrelevantexperienceof theDevelopmentTeam;and XI. References (at least one per project), including names, mailing addresses, email addresses, telephone numbers, and a letter authorizing each reference to respond to inquiries regarding the design, financing, development,disposition,ormanagementofpriorprojects. DesignVision DMPEDseekshighqualityarchitectureforthisdevelopment.Responsesareexpectedtohaveasignaturedesign, which complements the neighborhood character, and creates a pedestrian friendly environment. DMPED will review a narrative (no more than 2 pages), which describes the rationale for the particular architectural solution proposedincluding: I. Buildingplacement/siteplanning; II. Buildingconfigurationandactivestreetfrontages; III. Elevationswithadescriptionofthematerials;and IV. Buildingmass/volume. ProjectConcept Respondentsshalldescribe,indetail: I. TheoverallconceptandvisionfortheDevelopmentParcels;anddescribehowthevisionwillintegratewith andenhancethesurroundingcommunitythatborderstheDevelopmentParcels; II. Developmentplans(Respondentsarestronglyencouragedtoprovideconceptualdesigndrawingsthatare sufficientindetailtobeeasilyevaluatedbytheDistrict,includingelevationsandprojectrenderings); III. EvidenceofmarketdemandforRespondentsproposeduses; IV. Respondentspropertyrightsinotherparcels,ifany,thatmaybeaccretivetotheproject;and V. Ifapplicable,detailedphasingplanthatdescribesRespondentsstrategyandtimingfordeliveringvarious componentsoftheproject. VI. Theprojectszoningstrategies,includingadetailedexplanationandjustificationforanyproposedzoning varianceorPUD.Ifapplicable,Respondentsshouldprovideaschedulethatfullydescribeseachstepinthe approvalprocessnecessaryforentitlementsassumedintheresponse.Theaffordabilitycomponentofthe projectshouldmeetorexceedtheaffordabilityrequirementsoftheDistrictsInclusionaryZoningprogram. VII. The projects transportation and parking strategy, taking into account the Development Parcels' location closetoaMetrostation,multiplebusstops,bikeroute,andmajortransportationcorridor. RespondentsmaysubmitmorethanoneprojectconceptandvisionfortheDevelopmentParcels. DevelopmentProgram Respondents shall identify and describe in detail the elements of their proposed development. The Respondent mustsubmitatleastonedevelopmentprogramalongwiththeconstructionscheduleandtheprimarySourcesand Uses Statement. This development scenario (or an alternate scenario if provided) will serve as the basis for evaluation.Respondentsareencouragedtodescribeindetailhowtheybelievethedevelopmentprogrammeetsor exceedsthedevelopmentprogramandaffordablehousinggoalsandobjectives,includingthefollowing: I. Provideaprojectnarrativeindicatingthescopeofwork,scaleandcharacteroftheproject. II. Theestimatedachievablegrossfloorareabelowandabovegrade(onsiteFAR). III. Provide a visual representation of the proposed development and provide schematic plans that include basementplan,groundfloorplan,typicalfloorplanandroofplan,elevationsoffront,sideandrearviews. Suchvisualrepresentationneednotbeelaborateorcostly,butshouldofferDMPEDaclearpictureofthe proposed end result. If possible, provide color renderings or three dimensional graphics for better understandingortheproject. IV. Providethetotalnumberofresidentialunitsbyunitmix,affordability,unitsize,andtheaveragenetsquare footageforeachunittype. V. Providerentprojectionsforeachtypeofprogramuse. 10 VIII.

 VI. Grosssquarefootageforalldifferenttypesofprogramusesincludingallaboveandbelowgradeparking space. For retail space, total gross square footage, the number of bays and the intended type of retail tenantmustbespecified. Landscape plan showing the typical landscape materials planned to be used on the property and in the publicrealm,includingstreetfurnishings,lighting,landscapeandstreetscapeelements. Provideaproposedprojecttimelineforthedesign,constructionandoccupancyperiods. Proposed development schedule (see Reservation of Rights & Miscellaneous provisions) and related contingencies,ifany,givenDMPEDsstateddesiretodeliveraqualityprojectwithintheshortestamountof time. Forproposedrentalhousingand/orcommercialspace,amanagementplanmustbeincluded.Providethe nameofthemanagementcompany,acompanyprofileandadescriptionofservices,toincludeexperience inaffordablehousing. Descriptionofanyproposedadditionalprojectorneighborhoodrelatedamenities.

VII. VIII. IX.

X.

XI.

AffordableHousing Respondentsshallprovideadescriptionofthefollowing: I. TheprojectsimpactontheDistrict'saffordablehousinggoalsandothereconomicdevelopmentobjectives. II. Howtheprojectaddressesthecommunityneeds,asstatedbytheANC. III. How the project integrates affordable housing units within their proposed design and plans. Affordable housing unitsmust be dispersed, notclustered, throughout the residential component(s) and mixed with marketrateunits. Affordablehousingunitsthenumberandtotalpercentageofaffordablehousingunitsbytype,theamount and percentage of square footage devoted to affordable housing, the income level(s) at which the affordableunitswillbeaimed. IV. Provide rent projections for each type of affordable housing unit type. All affordable rent payments collected by the future property owner from the tenants or third parties on behalf of tenants may not exceedtheMaximumAllowableRentforanaffordableunit. V. The Respondents proposed strategy for the marketing, operation and administration of affordable residentialunitsintheproject. Allproposedaffordableunitsshallbeprovidedinaccordancewithanaffordabilitycovenanttobeenteredintowith theDistrictalongwiththeotherdispositionagreementsandcovenants.Respondentsshouldusethemostupto dateAMIdataintheirresponses. ProjectImplementation Respondentsshallidentifyanddescribethefollowing: I. Theamountofsponsorequityimmediatelyavailabletobecommittedtopredevelopmentactivitiesupon selection(Respondentsareherebyputonnoticethatallpredevelopmentexpensesandcostsareatthe soleriskoftheRespondentsandundernocircumstancesshalltheDistrictberesponsibletoreimbursethe same); II. Thedesignandconstructiontimetableandmilestonesthroughprojectcompletion.Respondentisrequired to complete and submit with the response the Schedule of Performance attached in Appendix F. The Schedule of Performance should list eachstep in the redevelopmentprocess through project completion andoperation. Community&StakeholderBenefits&Outreach TheDistrictiscommittedtomaximizingcommunitybenefitsforitsresidentsandexpectsRespondentstoconsider andincorporatestakeholderandcommunitypreferencesintotheirprojectproposal,totheextentpractical.Inview ofthiscommitment,Respondentsmustpresent: I. AdetaileddescriptionoftheactivitiesandstrategiescompletedtodatethatdemonstratetheRespondents effortstoworkwiththelocalcommunityandstakeholderstoensuretheirmeaningfulinvolvementinthe submittedresponse; II. Letters of support for the submitted proposal from Council Members (if available), local Advisory NeighborhoodCommission,communityorganizationsandcommunityresidents;and

11

 III. Adetaileddescriptionofthepostawardapproachandstrategiestoworkingwiththelocalcommunityand stakeholderstoensuretheirmeaningfulinvolvementinthedevelopmentprocess.

EconomicandPublicBenefitsAnalysis Respondents must provide a detailed, but concise, overall description as to how their proposal will benefit the economy of the District of Columbia. In particular, new construction and permanent jobs to be created for the Districtresidents,allnewtaxrevenuetobegeneratedonannualbasisuponstabilization(e.g.constructionperiod taxes,propertytaxes,salestaxes,etc.)andcontractingopportunitiesforCBEbusiness.Listthenumberoffulltime jobsandfulltimeequivalentjobsbytype.Andanyadditionalcommunitybenefitstheproposaloffers. FirstSource As part of their proposals, Respondents must complete and deliver the Form of Acknowledgement attached as AppendixB,hereto.PleaserefertotheDistrictofColumbiaPolicyGoals&RequirementssectionofthisRFEIfor detailsregardingtheFirstSourceAgreementthattheselectedDevelopmentTeamRespondentshallenterintowith theDistrict. CertifiedBusinessEnterprises As a part oftheir proposals,Respondentsmust complete the Form ofAcknowledgement attached asAppendixC, hereto. Please refer to the District of Columbia Policy Goals & Requirements section of this RFEI for details regardingtheCertifiedBusinessEnterpriseAgreementthattheselectedDevelopmentTeamRespondentshallenter intowiththeDistrict. LocalHiring&Opportunities Respondentsareencouragedtoincorporateintheirresponsesthefollowing: I. Employmentandbusinessopportunitiesforlocalresidentsandbusinesses:Ifincluded,Respondentsare askedtosubmitdetailedplansforapprenticeshipprogramsthatfacilitateplacingexistingDistrictresidents into employment opportunities within the project. The commitment and strategy to develop and implementalocalapprenticeshipprogramshallbeinaccordancewithDCOfficialCode321401etseq. For more information on the Districts DOES apprenticeship program, please visit the following website: www.does.dc.gov/does/cwp/view,a,1232,q,618747.asp. Please contact DOES at 202.698.5099 for more information. II. Opportunities for District neighborhoodbased businesses to participate in the project: If included, evidenceoftheinclusionofsuchbusinessesshouldbesubmittedintheformofwrittenconfirmationfrom such neighborhoodbased businesses and shall include the scope and details of the said businesses involvementintheproject. StatementofMinimumTerms,GroundLease&FeeSimpleOption RespondentsshallexecutethenonbindingStatementofMinimumTermsattachedasAppendixG,andsubmitthis nonbinding Statement of Minimum Terms with their proposal. The nonbinding Statement of Minimum Terms shall serve as the basis, but not be a limitation of, negotiations of a disposition agreement with the selected Development Team Respondent. Under the DMPED preferred ground lease option, at Closing per the disposition agreement,theDistrictandtheselectedDevelopmentTeamRespondentwillenterintoalongtermgroundleasefor theDevelopmentParcels,andanyimprovementsandspacerelatedtoitsuses,fornolessthena50yearterm.The Districtwillseek$1.00perannumingroundleasepaymentspayabletotheDistrictwhichisfurtherdescribedinthe attached Statement of Minimum Terms. Under the fee simple option the purchase price for the Development Parcelsshallbe$1.00. RespondentsFinancialCapacityandCapability The District seeks to evaluate Respondents ability and willingness to invest sponsor equity and selffund project predevelopmentcosts.Therefore,regardlessofthestatusoftheRespondentsorganization(whetheracorporation, a nonprofit or charitable institution, a partnership, a limited liability corporation, a business association, joint venture,faithbasedorother),theyshouldincludethefollowingitems: I. ProvideanarrativeortabularstatementidentifyingtheRespondent'smembers,team,shareholders,or partners ability and commitment to invest equity capital into the proposed project. Additionally, the Respondentshallshowhowfinancialcapabilitiesaredistributedamongkeyparticipatingentities. 12

 II. EvidenceofthefinancialcapacityofRespondentsmembers,team,shareholders,orpartnersbyproviding the last three(3)years of audited (strongly preferred)or unauditedfinancial statements, annual reports, balance sheets, profit and loss statements, evidence of lines of credit and uncommitted discretionary sourcesofequity,and/oranyothermaterialfinancialinformation;and Newlyformedentities,partnershipsandjointventuresshouldprovidedeliverablesfromsubparagraphsI andIIforeachoftheirentitiesmembers.

III.

Respondents should reference the Reservation of Rights & Miscellaneous Provisions Section regarding Confidential&DisclosureGuidance. EquityFinancing Respondentsshouldincludethefollowing: i. Identificationofallthevarioussourcesoftheequitycommittedtotheprojectandthetiming/disbursement ofthatcommitment;and ii. Providealetterofcommitment(s)fromeachequityinvestorsfortheirproposal,statingthefulltermsand conditionsunderwhichsuchamountswillbeprovidedtotheProject.Theschedulefortheprovisionofthe equityshallbeconsistentwiththeBiddersrequirementforconstructionandpermanentfinancing. Respondents are hereby put on notice that all sponsor equity and selffund project predevelopment money expended is at the sole risk of the Development Team and under no circumstances shall the Districtberesponsibletoreimbursethesame. DebtFinancing Respondents shall submit a Letter of Interest(s) from the proposed lenders evidencing a review of the terms and conditionsoftheRFEI.Inaddition,thisnonbindinglettershallincludeastatementthattheRespondentslenderis highlyconfidentthattheRespondentcanfinancetheproposedproject.Ifothermethodsoffinancingareintended, theRespondentshallprovideappropriateevidencetosupportavailabilityoffundsforconstruction.Inaddition,the Respondent shall submit the intended method of construction financing and if a construction loan is intended, a letter from the construction lender stating that the proposed construction lender has reviewed the Respondents conceptandsolicitationdocuments.Thenonbindingfinancingcommitmentlettershallalsoprovidethefollowing: I. Amountoftheloan II. Interestrate III. Pointsandfees IV. Contingencies V. Requireddebtcoverageratio VI. Loanmaturityandloanamortizationperiod(permanentloanonly) ProposedFinancingStrategy TheDistrictintendstocontributethevalueoftheDevelopmentParcelsviaalongtermgroundleaseorfeesimple disposition,inexchangefordevelopmentprogramswhichmaximizethetotalnumberofaffordablerentalunitsin theproject.Indeterminingeconomicfeasibility,Respondentsshouldtakeintoaccountthebenefitofthevalueof thelandandallavailablenonDistrictsourcesoffinancing(e.g.,lowincomehousingtaxcredits,etc.)orotherprivate orfederalassistancethatmaybenefittheproject.RespondentsshouldnotrelyontheDistricttoprovideanypublic subsidy or abatement of any kind to fill any funding gaps or shortfalls. Respondents proposing a project that maximizesthenumberofaffordablehousingunitswithoutseekinganyDistrictsubsidywillbegivenpreferenceand additionalconsideration.Respondentsshouldidentifyhowrespectivefinancialofferssatisfy,andpreferablyexceed, the30yearaffordabilityterm. ProjectFinancingInformation Respondentsshouldprovide: I. Respondent ProFormas Respondents should provide a narrative statement explaining the economic feasibility of the proposed development. Additionally, they should provide full development proformas describing estimated development costs and projected project income. For rental units, retail and office space, the submission should include at a minimum fifteen (15) year operating proforma analysis demonstratingtheprojectsoperatingcosts,includingnetoperatingincome,debtservicerequirementsand 13

 related coverage ratios. For residential, retail, and office units, the submission should include a leaseup scheduleidentifyingtheestimatedabsorptiontime. Development Budget Respondents should provide a comprehensive development budget showing the project's total development costs, and itemizing the assumed value of the site, construction costs, architectural,engineeringandrelatedfees.TheRespondentshallsubmittotalprojectcostsandtheprice persquarefoot.Thesubmittalshallincludebutisnotlimitedto: hardandsoftcostsidentifiedindetail(itemized)basedonindustrystandards alldeveloperfees,generalcontractorfeesandoverheadcostsseparatelyidentified,indetail demonstration of how the equity contribution and the first and second mortgage debt or other methodsoffinancingfullyfundthisproject detailedoperatingexpensesanalysis,detailedaffordablehousingrentcalculationbrokendownbyunit type,familysize,andanyotherprojectspecificreturnmetrics includealltheassumptionsusedinthefinancialmodel SourcesandUsesStatementRespondentsshouldsubmitatleastoneSourcesandUsesStatement.The sourcesstatementshoulddescribetheexpectedequitysources,theanticipatedsourcesofworkingcapital, mezzanine debt financing (if applicable), and construction debt financing for the project. Respondents shouldalsosubmitadetailedplanfortheuseofthosefunds. Return Analysis Respondents should submit a return analysis detailing the projects Internal Rate of Return(IRR),returnoncost,returnonequity(leveredandunlevered),adetailedwaterfallofprofitstoall capitalaccounts,andanyotherprojectspecificreturnmetrics. Detaileddescriptionofwhich,ifany,federalgovernmentfundingsourcestheRespondentintendstoattract to the project and detailed description of an alternate financing arrangement in the event the federal fundingsourcedoesnotmaterialize. All financial models and proformas must be fully functional with active formulas in Microsoft Excel modeledouttofifteen(15)yearsorlonger(ifneeded). Respondents should reference the Reservation of Rights & Miscellaneous Provisions Section regarding Confidential&DisclosureGuidance. ResponseSummaryforDistributiontotheCommunity Respondents shall provide a summary of their response that may be shared with the local community and stakeholders. The summary should not exceed two (2) 8.5x11 pages and should include at a minimum, but not limitedto,thefollowing: Developmentteammembersintroduction Developmentvision Developmentprogram Affordablehousingbreakdown Targetlevelsofaffordabilityintheproject Othercommunitybenefitsformtheproposedproject DevelopmentRFEIDeposit Amount: $50,000 Format: Standby,irrevocableletterofcredit(SeeAppendixHforform.) DueAt: RFEIProposalsubmission Conditions: IfaRespondentsresponseisnotselected,theletterofcreditshallbereturnedtotheRespondent. If a Respondents response is selected, the letter of credit will be returned upon project stabilization. 14

II.

III.

IV.

V.

VI.

 SubmissionDirections Ten(10)hardcopiesandtwo(2)electronicversionsonCDROMinPDFandfullyfunctionalMicrosoftExcelformats, of the response identified by Parcel 42 Development Team RFEI on the envelope, must be submitted to and receivedby5:00P.M.EasternTimeonThursday,July26,2012.Suchresponsesmustbedeliveredtothefollowing address: OfficeoftheDeputyMayorforPlanningandEconomicDevelopment TheJohnA.WilsonBuilding 1350PennsylvaniaAvenue,NW Suite317 Washington,DC20004 Attn:IvanMatthews,ProjectManager
1 2 3 4 5

SelectionProcess

SelectionRecommendationPanel AmultiagencySelectionRecommendationPanel(Panel)maybeestablishedtoreviewandevaluatetheresponses atDMPEDssoleandabsolutediscretion.Ifestablished,thecompositionofthePanelwillbedeterminedbyDMPED, initssoleandabsolutediscretion.DMPEDand/orthePanelmayconsultwithprofessionalconsultants,advisors,and other stakeholders for technical assistance. DMPED and/or the Panel will evaluate each response, taking into accounttheinformationprovidedinresponsetotheRFEIandthebestinterestsoftheDistrict. EvaluationCriteria Amongotherfactors,responseswillbeevaluatedforcompleteness,marketfeasibility,innovativeideas,strengthof community benefits, affordable housing, and the strength of the financial response. The basis upon which Respondentswillbemeasuredincludes,butisnotlimitedto,thefollowing: AttainmentofDistrictPolicyGoals Respondentswhoseresponsessatisfythefollowingcriteriamaybeeligibleforhigherratingsby: I. Maximizingaffordablehousingunitstoindividualsandfamiliesatavarietyofincomelevels,atandbelow 80%AMI II. Promotingavibrant,walkable,mixedusecommunity III. Improvingthequalityoflifeforthesurroundingneighborhood IV. Providingemploymentopportunitiesforlocalresidentsandbusinesses V. ContractingopportunitiesfortheCBEcertifiedbusinesses VI. Allowingretailopportunitiesforlocalandemergingbusiness DevelopmentVision Respondents should propose innovative, marketviable ideas for redevelopment of the Development Parcels, incorporatingtheDistrictspolicygoalsanddevelopmentprogram. QualificationsandExperienceofRespondents Respondentswhoseresponsessatisfythefollowingcriteriamaybeeligibleforhigherratingsby: i. Demonstrating,throughentityexperienceandexpertiseofproposedkeypersonnel,theyarequalifiedto executetheproposeddevelopmentplan; ii. Havingsuccessfullyservedinleaddeveloperrolesforcompletedprojectsofasimilarscaleandscope(to includeaffordablehousing)totheprojectproposedbyRespondents;and iii. Providing evidence of sufficient organizational and financial capability to ensure successful and timely deliveryoftheproject. ProjectFinancialFeasibilityandDevelopmentTeamFinancialCapacity Respondentswhosatisfythefollowingcriteriamaybeeligibleforhigherratingsby: i. Demonstratingthattheypossessthefinancialresourcestodeveloptheproposedproject ii. Pursuingthegroundleaseoption iii. UtilizingnoDistrictsubsidies 15

 iv. ExhibitingawillingnesstoprovidetheDistrictwithameaningfulguaranteeregardingprojectcompletion, andperformanceandpaymentbondsthroughfinalprojectcompletion.

DMPEDreservestheright,atitssoleandabsolutediscretion,torejectanyproposalitdeemsincompleteorunresponsiveto thesubmissionrequirements.DMPEDalsoreservestheright,atitssoleandabsolutediscretion,torejectallproposalsand readvertiseatalaterdate.Ifasubmissionisdeemedincomplete,thatRespondentsletterofcreditwillbereturned.Inthe eventthatDMPEDdeterminethatitshouldrejectallsubmissions,alldepositswillberefunded. DMPEDreservestherighttomakethefinaldevelopmentselectiononthebasisofinitialRFEIproposalswithoutdiscussions withtheRespondents.Accordingly,RespondentsinitialRFEIproposalsshouldcontaintheirbesttermsfromthestandpoint oftheevaluationfactorsidentifiedinthisRFEI.However,DMPEDalsoreservestheright,initssoleandabsolutediscretion,to conductdiscussionswithall,orsome,oftheRespondentsandsolicitrevisedproposaland"BestandFinal"offersinorderto makethefinalselectiononthebasisofsuchrevisedRFEIproposals.

1 2 3 4 5

Community Presentation & Short List and/or Best and Final Offer Submission(IfNeeded)

AnnouncementofShortList(IfNeeded) DMPEDreservestherighttonarrowthenumberofRespondentsinthecompetitiverangeforreasonsofefficiency ortoexcludeRespondentswhoseproposalsarenotamongthemosthighlyranked.DMPEDmaydownselecttoa smallergroupofRespondentsintoashortlistandhasthesoleandabsolutediscretiontoconductdiscussionswith all,orsome,oftheRespondentsontheshortlistviaBestandFinalOffersubmissions.Uponreviewoftheinitial RFEIproposals,DMPEDmayidentifyashortlistofDevelopmentTeamRespondentsthatwillbeconsideredforthe finalselectionandadvancetothenextlevel.DMPEDwillcontactallRespondentsandinformthemoftheresults. CommunityPresentationbyDevelopmentTeamRespondents Upon receipt of proposals from the Respondents, DMPED will hold a community meeting to obtain input from AdvisoryNeighborhoodCommission2C,localcitizensandorganizations,inwhichonlytheresponsiveRespondents willbeaskedtopresenttheirproposaltothecommunityatlarge.Ifrespondentsarenonresponsive,theywillnot beinvitedtopresenttothecommunity. BestandFinalOfferSubmission(IfNeeded) IfRespondentsareaskedtosubmitaBestandFinalOffer,Respondentsareexpectedtoadheretotheadditional guidanceprovidedbyDMPEDandsubmitafinalrevisedproposalforDMPEDsfinalconsideration.Uponreceiving the Best and Final Offer DMPED reserves the right to have additional rounds of requests for information, and conductfurtherdiscussionsandnegotiationsiftheBestandFinalOfferslackadequateinformationtoreachafinal selection.AtDMPED'ssolediscretion,theshortlistofDevelopmentTeamRespondentsmaybeaskedtopresent their"BestandFinalOffers"tothecommunitytogainadditionalcommunityfeedback.
1 2 3 4 5

FinalSelectionofDevelopmentTeam

DMPEDwillselectthemostoutstandingdevelopmentproposal,takingintoaccounttheProposalSubmissionRequirements andEvaluationCriteriasetforthinthisRFEI.TheevaluationcriteriaandareasofemphasisdescribedaboveintheRFEIare intended as a guide to the DMPEDs discretion in identifying a selected Respondent, but DMPED retains the ultimate discretion to identify and select the finaldevelopment team respondent that offers the most outstandingproposal, taking intoaccountthegoals,objectivesandrequirementssetforthinthisRFEI. FinalSelection&Notice Followingreceiptofallproposalsandanyadditionalinformation,ifrequested,DMPEDwillsubmit,initssoleand absolute discretion, one or more responses, as modified through any offer submissions and negotiations, to the Mayor as a recommendation. The Mayor, in his absolute discretion, may accept the recommendation. Upon acceptanceofarecommendationbytheMayor,DMPEDshallnotifytheselectedrespondent(s),ifany.Ultimately, 16

 theMayorwillsubmittheproposedtransactiontotheCounciloftheDistrictofColumbia(Council)foritsapproval inaccordancewithapplicableDistrictlaw(seetheDispositionAgreement&ApprovalsectioninthisRFEIformore details). PostSelectionDueDiligence Following receipt of notification from DMPED of the selection, the selected Development Team Respondent shall execute a right of entry agreement with the District to allow the selected Respondent tobegin due diligence and studiesontheDevelopmentParcels.

DispositionAgreement&Approval If one Respondent is thereby chosen for commencement of negotiations, the selected Respondent may be requested by the District to proceed to negotiate a disposition agreement, ground lease, and related legal documents.IftheDistrictandselectedRespondentareunabletoreachanagreementonallthebusinesstermsand negotiateadispositionagreement,groundlease,andrelatedlegaldocumentsinitsfinalformwithinonehundred and twenty (120) days from the selection date, the District, in absolute and sole discretion, may terminate negotiations and select the next preferred Respondent who responded to the RFEI; reissue the RFEI; issue a modifiedRFEI,ortakesuchothermeasuresasitdeemsreasonable,appropriate,ornecessary.Allcostsincurredby the Respondents in responding to this RFEI, during the disposition negotiation period, in performance of due diligence and predevelopment work shall be at Respondents sole cost and expense. Under no circumstances shalltheDistrictberesponsibleforthereimbursementofanysuchcosts. The District, through DMPED, and the selected Respondent will negotiate a disposition agreement that will incorporatetherequirementscontainedinthisRFEI,theStatementofMinimumTerms,andsubjecttosuchother termsasmayberequiredbyDMPEDormaybeagreedtobyDMPEDandtheselectedRespondent.Uponcompletion ofthepartiesnegotiation,DMPEDwillrecommendtheRespondentandproposedbusinesstermstotheMayor.If the Mayor agrees with DMPEDs recommendation, then the Mayor will submit the proposed transaction to the Council of the District of Columbia (Council) for its approval of the disposition of the Development Parcels in accordancewithDCOfficialCode10801(2011Supp).InaccordancewithDCOfficialCode10801,theDistrictis notauthorizedtoconveyorgroundleasetheDevelopmentParcelsunlessanduntilauthorizedbytheCouncil.

17

TRANSACTIONTERMS
DevelopmentParcelsCondition AsIsCondition The Development Parcels shall be conveyed or leased in asis condition, without warranty by the District as to physicalconditionofthelandoranyexistingstructures. SoilorSubsurfaceConditions Notwithstanding prior studies available for Respondents review, the District makes no representations regarding the character or extent of soil or subsurface conditions or the conditions and existence of utilities that may be encounteredduringthecourseofanywork,development,constructionoroccupancyoftheDevelopmentParcels. EnvironmentalRemediation Respondents will be responsible at their sole cost and liability for any environmental remediation that may be associatedwithremovalordisturbanceofexistingimprovementsorotherpreparationoftheDevelopmentParcels. PredevelopmentandDevelopmentCosts Respondents should draw independent conclusions concerning conditions that may affect the methods or cost of development. I. Respondents shall be solely responsible for all predevelopment (including demolition of existing improvements and due diligence studies such as traffic, geotechnical, storm water management and otherDevelopmentParcelspreparations)andprojectdevelopmentcosts. II. Respondents shall be solely responsible for all costs related to obtaining necessary permits, approvals, clearances,andlicensesattheappropriatetime.DistrictwillnotwaiveorabateanyDistrictfees. TheDistrictexpectsRespondentstoproceedimmediatelywithpredevelopmentworkuponselection,inorderto meet the dates in Appendix E (Schedule of Performance). All funds expended on due diligence and predevelopment work during negotiation with the District by Respondent shall be at their sole risk; under no circumstancesshalltheDistrictberesponsibleforthereimbursementofanysuchcostseveniftheDistrictandthe Respondent is unable to reach an agreement on the terms of the Disposition Agreement, ground lease, and relatedlegaldocumentsoriftheprojectisnotsuccessfullycompletedduetonofaultofRespondent.

RESERVATIONOFRIGHTS&MISCELLANEOUSPROVISIONS
ReservationofRights The District reserves the right, in its sole and absolute discretion and as it may deem necessary, appropriate, or beneficialtotheDistrictwithrespecttotheRFEI,to: I. Cancel,withdrawormodifytheRFEIpriortooraftertheresponsedeadline; II. ModifyorissueclarificationstotheRFEIpriortotheresponsedeadline; IntheeventtheRFEIismodifiedit will be posted on DMPEDs website and all Respondents will be provided with a chance to modify their proposals; III. Afterreviewofoneormoreresponses,theDistrictmayrequestsubmissionofadditionalinformationfrom someorallRespondents; IV. The District may request one or more Respondents to modify its/their response(s), provide additional information,orprovideaBestandFinalOfferfortheDistrictsreview; V. Enter into negotiations withone or more Respondents based on responses submittedin response to the RFEI; VI. Begin negotiations with the next preferred Respondent, If the business terms and the disposition agreement,groundleaseandrelatedlegaldocumentsarenotnegotiatedtofinalformwithintheallotted periodoftimefornegotiationswiththeselectedRespondent VII. Make and memorialize modifications to any response in the form of a Memorandum of Understanding betweentheDistrictandRespondentsduringthecourseofbestandfinalnegotiationsbetweentheDistrict andtheRespondents; 18

 VIII. IX. X. RejectanyresponsesitdeemsincompleteorunresponsivetotheRFEIrequirements; RejectallresponsesthataresubmittedundertheRFEI; Terminate, in its sole and absolute discretion, negotiations with any Respondents if such Respondents introduce comments or changes to a development agreement that are inconsistent with its previously submittedresponsematerials; Modifythedeadlineforresponsesorotheractions;and (i)ReissuetheoriginalRFEI,(ii)issueamodifiedRFEI,or(iii)issueanewRFEI,whetherornotanyresponses havebeenreceivedinresponsetotheinitialRFEI. DMPED may mandate an alternative financial/transaction/disposition strategy or structure than the structure contemplated in this RFEI. In the event that such alternative structure is proposed, each Respondentwillbeprovidedachancetomodifytheirproposalasappropriate. DMPED at any time, for any reason whatsoever, may restructure the proposed development as a joint venturearrangement,inwhichDistrictcontributestheDevelopmentParcelstoapartnershipinexchange for an ownership share. Under this scenario, Respondents will be provided a chance to modify their proposaltoreflecttheirdevelopmentasajointventure.

XI. XII. XIII.

XIV.

ConflictsofInterest Disclosure RespondentsmustrepresentandwarrantthefollowingtotheDistrict: I. The compensation to be requested, offered, paid or received in connection with this RFEI has been developedandprovidedindependentlyandwithoutconsultation,communication,orotherinteractionwith anyothercompetitorforthepurposeofrestrictingcompetitionrelatedtothisRFEIorotherwise; NopersonorentityemployedbytheDistrictorotherwiseinvolvedinpreparingthisRFEIonbehalfofthe II. District: (i) has provided any information to Respondents that was not also available to all entities responding to the RFEI; (ii) is affiliated with or employed by Respondents or has any financial interest in Respondents;(iii)hasprovidedanyassistancetoRespondentsinrespondingtotheRFEI;or(iv)willbenefit financiallyifRespondentsareselectedinresponsetotheRFEI;and III. RespondentshavenotofferedorgiventoanyDistrictofficeroremployeeanygratuityoranythingofvalue intended to obtain favorable treatment under the RFEI or any other RFEI, RFEI or other contract, and Respondents have not taken any action to induce any District officer or employee to violate the rules of ethicsgoverningtheDistrictanditsemployees.Respondentshavenotandshallnotoffer,give,oragreeto give anything of value either to the District or any of its employees, agents, job shoppers, consultants, managers,orotherpersonorfirmrepresentingtheDistrict,ortoamemberoftheimmediatefamily(i.e.,a spouse, child, parent, brother, or sister) of any of the foregoing. Any such conduct shall be deemed a violationofthisRFEI.Asusedherein,anythingofvalueshallincludebutnotbelimitedtoany(a)favors, suchasmeals,entertainment,andtransportation(otherthanthatcontemplatedbythisRFEI,ifany,orany othercontractwiththeDistrict)whichmighttendtoobligateaDistrictemployeetoRespondent,and(b) gift, gratuity, money, goods, equipment, services, lodging, discounts not available to the general public, offers or promises of employment, loans or the cancellation thereof, preferential treatment, or business opportunity. Such term shall not include work or services rendered pursuant to any other valid District contract. OngoingReporting RespondentsshallreporttotheDistrictdirectlyandwithoutunduedelayanyinformationconcerningconductwhich mayinvolve:(a)corruption,criminalactivity,conflictofinterest,grossmismanagementorabuseofauthority;or(b) anysolicitationofmoney,goods,requestsforfutureemploymentorbenefitofthingofvalue,byoronbehalfofany government employee, officer or public official, any Respondents employee, officer, agent, subcontractor, labor official,orotherpersonforanypurposewhichmayberelatedtotheprocurementoftheRFEIbyRespondents,or whichmayaffectperformanceinresponsetotheRFEIinanyway. MiscellaneousProvisions NoticeofModifications DMPED will post on its website (http://dcbiz.dc.gov/) any notices or information regarding cancellations, withdrawals,modificationstodeadlines,andothermodificationstothisRFEI.Respondentsshallhaveanobligation

19

 to check the website for any such notices and information, and the District shall have no duty to provide direct noticetoRespondents. ChangeinRespondentsInformation If after Respondent has provided a response to the District, information provided in a response changes (e.g., deletion or modification to any of Respondents team members or new financial information), Respondents must notifytheDistrictinwritingandprovideupdatedinformationinthesameformatfortheappropriatesectionofthe RFEI. The District reserves the right to evaluate the modified response, eliminate Respondents from further consideration,ortakeotheractionastheDistrictmaydeemappropriate.TheDistrictwillrequiresimilarnotification andapprovalrightsofanychangetoRespondentsresponseorDevelopmentTeamfollowingaward,ifany. OwnershipandUseofResponses AllresponsesshallbethepropertyoftheDistrict.TheDistrictmayuseanyandallideasandmaterialsincludedin anyresponse,whethertheresponseisselectedorrejected. RestrictedCommunications UponreleaseofthisRFEIanduntilfinalselection,RespondentsshallnotcommunicatewithDMPEDorDistrictstaff abouttheRFEIorissuesrelatedtotheRFEIexceptaspermittedunderthisRFEI. SelectionNonBinding TheselectionbytheDistrictofaRespondentindicatesonlytheDistrictsintenttonegotiatewiththeRespondent, andtheselectiondoesnotconstituteacommitmentbytheDistricttoexecuteafinalagreementorcontractwiththe Respondent. Respondents therefore agree and acknowledge that they are barred from claiming to have detrimentallyreliedontheDistrictforanycostsorliabilitiesincurredasaresultofrespondingtothisRFEI. Confidentiality ResponsesandallotherinformationanddocumentssubmittedinresponsetothisRFEIaresubjecttotheDistricts FreedomofInformationAct(DCOfficialCode2531etseq.)(FOIA),whichgenerallymandatesthedisclosureof documentsinthepossessionoftheDistrictupontherequestofanyperson,unlessthecontentofthedocumentfalls within a specific exemption category (e.g., trade secrets and commercial or financial information obtained from outsidethegovernment,totheextentthatdisclosurewouldresultinsubstantialharmtothecompetitivepositionof thepersonfromwhomtheinformationwasobtained). If Respondents provide information that they believe is exempt from mandatory disclosure under FOIA (exempt information),Respondentsshallincludethefollowinglegendonthetitlepageoftheresponse: THIS RESPONSE CONTAINS INFORMATION THAT IS EXEMPT FROM MANDATORY DISCLOSURE UNDER THEDISTRICTSFREEDOMOFINFORMATIONACT. Inaddition,oneachpagethatcontainsinformationthatRespondentsbelieveisexemptfrommandatorydisclosure underFOIA,Respondentsshallincludethefollowingseparatelegend: THIS PAGE CONTAINS INFORMATION THAT IS EXEMPT FROM MANDATORY DISCLOSURE UNDER THE DISTRICTSFREEDOMOFINFORMATIONACT. Oneachsuchpage,Respondentsshallalsospecifytheexemptinformationandshallstatetheexemptioncategory withinwhichitisbelievedtheinformationfalls. Although DMPED will generally endeavor not to disclose information designated by Respondents as exempt information,DMPEDwillindependentlydeterminewhethertheinformationdesignatedbyRespondentsisexempt from mandatory disclosure. Moreover, exempt information may be disclosed by DMPED, at its discretion, unless otherwiseprohibitedbylaw,andtheDistrictshallhavenoliabilityrelatedtosuchdisclosure. NonLiability By participating in the RFEI process, Respondents agree to hold the District, its officers, employees, agents, representatives,andconsultantsharmlessfromallclaims,liabilities,andcostsrelatedtoallaspectsofthisRFEI. 20

 OtherLimitingConditions Withdrawal&Cancellation IfatanytimeaftertheDistrictselectsaspecificRespondentandexecutesadispositionagreementwiththe Respondent,andtheRespondentdoesnotproceedwiththeproject,thentheRespondentmustnotifythe Districtinwritingandprovidereasonsforitsdecision.TheselectedRespondentwishingtowithdrawmay be subject to the loss of part or all of any deposits previously provided to the District and may be responsibleforcertaincostspreviouslywaivedbytheDistrict,inadditiontoanyotherremediesavailableto theDistrictunderthedispositionagreement,orbylaw.IftheDistrictisunabletodelivertheDevelopment and/orDevelopmentParcels,alldeposits(minustheRFEIDeposit)willbereturnedtotheRespondentand theDistrictshallbereleasedfromanyandallfurtherliability. StandAloneProjects The development of the Development Parcels is expected to be a stand alone project, in that RespondentsareprohibitedfromcrosscollateralizingandcrossdefaultingtheDevelopmentParcels,orany portion thereof, with any other assets. Moreover, Respondents are prohibited from assigning, pledging, hypothecating,orotherwisetransferringitsinterestinthenetcashflowsorownershipintheDevelopment Parcels and project in part,or in whole, without prior District approval. Any additional debt shall require priorwrittenDistrictapproval.Thislimitationshallapplyuntilfinalcompletionoftheproject. DisclosureofFees Respondents shall disclose all development management fees, general contracting fees, construction management fees, property management fees, and other fees that are paid to Respondents or affiliated partiesduringthelifeoftheproject.FailuretodosomayresultintheDistrictterminating,initssoleand absolutediscretion,negotiationswithaRespondentorterminatingtheproject. Restrictions The District is subject to various laws, rules, policies and agreements that impose legal and ethical constraintsuponcurrentandformerDistrictemployeesandconsultantswithregardtopostemployment restrictions visavis such employees or consultants involvement in Districtled projects. In particular, restrictionsincludebutarenotlimitedtothefollowingguidelines: I. All Respondents, its members, agents, or employees, are prohibited from: (i) making offers of employment,(ii)conductinganynegotiationsforemployment,(iii)employingor,(iv)enteringinto contractsofanysort,withcurrentemployees,consultants,orcontractorstotheDistrictwhoare personallyandsubstantiallyinvolvedinanyaspectofthisRFEI; Respondentsmustdiscloseintheirinitialresponsesthenamesofanymember,employee,oragent II. who within three (3) years prior to the publication of this RFEI were District employees, consultants,orcontractorstotheDistrict.Onacontinuingbasis,Respondentswillberequiredto provide the District with regular and periodic notices of any and all new hires of employees, contractedagents,orconsultantswithinfive(5)daysofanysuchhire; III. This provision shall apply to all Respondents during the conduct of this competition, and will subsequently apply to the selected Respondent until such time as final completion of the developmentoftheproject; IV. Requireddisclosuresandnoticesnotwithstanding,failuretocomplywithanyobligationdescribed in this provision may result, in the Districts sole and absolute discretion, in Respondents disqualificationfromconsiderationunderthisRFEI,therescissionofaRespondentsaward,and/or terminationofanyagreementbetweenanRespondentandtheDistrict.

QUESTIONS
AnyquestionsregardingthisRFEIshouldbesubmittedviaemailonlytoIvan.Matthews@dc.gov.Respondents shall not direct questions to any other person within the District except as allowed elsewhere in this RFEI. Responses to Respondent questions will be aggregated and posted on the DMPED website: http://dcbiz.dc.gov/.
21

APPENDIXA|ANCRESOLUTION

22

23

APPENDIXB|FORMOFACKNOWLEDGEMENT
Pursuant to Mayors Order 83265, DC Law 593, as amended, and DC Law 1424, Respondents recognize that one of the primarygoalsoftheDistrictofColumbiagovernmentisthecreationofjobopportunitiesforDistrictofColumbiaresidents. Accordingly, the Respondent selected by the District to negotiate a disposition agreement shall enter into a First Source Agreement,priortoexecutionofadispositionagreement,withtheDepartmentofEmploymentServices(DOES)thatshall, amongotherthings,requiretheRespondentto:(i)usediligenteffortstohireandusediligenteffortstorequireitsarchitects, engineers,consultants,contractors,andsubcontractorstohireatleastfiftyonepercent(51%)DistrictofColumbiaresidents forallnewjobscreatedbytheProject,allinaccordancewithsuchFirstSourceEmploymentAgreementand(ii)usediligent effortstoensurethatDMPED'sgoalofatleastfiftyonepercent(51%)ofapprenticesandtraineesemployedareresidentsof the District of Columbia and are registered in apprenticeship programs approved by the DC Apprenticeship Council. Respondents must complete the Form of Acknowledgement attached as Appendix B and submit this form with their proposal. Please refer to the following website to find a copy of the First Source Agreement: http://www.does.dc.gov/does/cwp/view,a,1232,q,537680.asp. Respondent hereby acknowledges that, if selected by the District to enter into a disposition agreement, ground lease and relatedlegaldocuments,RespondentwillenterintoaFirstSourceEmploymentAgreementwiththeDistrictsDepartmentof EmploymentServices(DOES),pursuanttoDCOfficialCode10801(b)(7). Date: Signature: PrintName: Affiliation: PhoneNumber: EmailAddress: BusinessAddress:

24

APPENDIXC|FORMOFACKNOWLEDGEMENT
Respondentherebyacknowledgesthat,ifselectedbytheDistrict,theRespondentwillneedtoenterintoaCertifiedBusiness Enterprise (CBE) Agreement with the Districts Department of Small and Local Business Development (DSLBD) prior to executionofadispositionagreementandClosing.TheCBEAgreementshallincludearequirementtocontractwithCBEsfor atleast35%oftheadjusteddevelopmentbudgetoftheprojectaswellasmaintainatleast20%CBEequityand20%CBE developmentparticipation.RespondentsareencouragedtoexceedtheDistrictsCBEparticipationrequirements. TheselectedRespondentshallenterintoalegallybindingLetterofIntent(LOI)orcomparablelegallybindingagreement between the master developer and the CBE partners that demonstrate that the CBE partners meet or exceed the 20% participation goal established by DSLBD. The CBE partners must be certified by DSLBD and documentation showing certificationmustbemadeavailabletotheDeputyMayorsOfficeforPlanning&EconomicDevelopmentuponrequest.LOIs shouldincludethefollowing: I. IdentifytheCBEpartners II. ThepercentageofequityanddevelopmentparticipationofeachCBEpartner III. AdescriptionoftheroleandresponsibilitiesforeachCBEpartner IV. A descriptionof theantidilutionprovisions for the benefit of the CBE partners thatwill be applied at all stagesoftheproject Date: Signature: PrintName: Affiliation: PhoneNumber: EmailAddress: BusinessAddress:

25

APPENDIXD|UTILITIESDATAFORAFFORDABLEHOUSINGHIGHRISE APARTMENTS2012

26

APPENDIXE|SCHEDULEOFPERFORMANCE
(Tobecompletedandsubmittedwithresponse)

Milestone SubmissiontoDMPEDofRFEIResponse&RFEIResponseDeposit Finalselection&notice SubmissionoffinalformofDispositionAgreement,GroundLease,related legaldocumentsandsupportingexhibits SubmissionofDispositionAgreementtoDCCouncil Execution of Disposition Agreement, Ground Lease, related legal documentsandsupportingexhibits ClosingandsubmissionofClosingPayment PermitDrawingSubmissiontoDCRA Buildingpermitissuance Constructioncommences 50%constructioncompletion(onsquarefootbasis) Substantialcompletionofconstruction Punchlistitemcompletion CertificateofOccupancyissued

CompletionDate July26,2012 LateFall2012

PartyResponsible Respondent DMPED DMPED& Respondent DMPED DMPED& Respondent DMPED& Respondent Respondent Respondent Respondent Respondent Respondent Respondent DCRA& Respondent

27

APPENDIXF|STATEMENTOFMINIMUMTERMS
GroundLeaseorFeeSimpleDispositionofLots0106and0803inSquare0442DevelopmentParcels Lessor/Seller GovernmentoftheDistrictofColumbia,actingbyandthroughtheDeputyMayor forPlanningandEconomicDevelopment(theDistrict) Respondent Tobedetermined DescriptionofRealProperty TheparcelsoflandknownfortaxandassessmentpurposesasLot0106andLot 0803inSquare0442(theDevelopmentParcels). Conveyance/Disposition TheDevelopmentParcelsmaybeconveyedbytheDistricttotheRespondentvia Structure a ground lease term of no less then 50 years under DC Official Code 10 801(b)(8)(C),or TheDevelopmentParcelsmaybeconveyedbytheDistricttotheRespondentin fee(viaSpecialWarrantyDeed)pursuanttoDCCode10801(b)(8)(F). DevelopmentProgram Respondent shall develop, finance, and construct the proposed development program for the Development Parcels, as may be amended upon prior District approval. Consideration Monetary: At Districts option, a) The District may seek $1.00 per annum in groundleasepaymentspayablebytheRespondent,orb)TheRespondentmay purchasefeesimpletitletotheDevelopmentParcelsfor$1.00fromtheDistrict. NonMonetary: Production of the affordable housing units in the proposed project in accordance with the mutually agreed terms by and between the Respondent and the District. Additionally, construction of the project in accordancewiththeproposeddevelopmentprogram,asmaybeamendedupon priorDistrictapproval. DispositionAgreement(s) Upon Council Approval, Respondent and the District will enter into either a) a Ground Lease and Development Agreement (GLDA), or b) a Land Disposition and Development Agreement (LDDA) along with other exhibits and attachments. DevelopmentRFEIDeposit Amount:$50,000 Format:Standby,irrevocableletterofcredit DueAt:RFEIproposalsubmissionbytheRespondent Condition:Theletterofcreditwillbereturneduponprojectstabilization. ConditionsofClosing In addition to the other District standard conditions of Closing, the Districts obligationtoconveythePropertyisconditionedupon: Respondents obtaining financing and equity to fund 100% of the development, Respondents providing the District development and completion guaranteestotheDistrictssatisfactionandinaformapprovedforlegal sufficiencybyOAG,and Respondentsreceiptofplannedunitdevelopmentapproval(PUD)by theZoningCommissionorotherzoningreliefnecessarytoaccomplish thedevelopmentoftheDevelopmentParcels. AffordableHousing Theproposedprojectshallmaximizeaffordabilityandprovideaffordablehousing units across multiple income levels for families with incomes at or below 80% AMI.Andtheproposedprojectshallmeettheaffordablehousingrequirements pursuanttoInclusionaryZoningrequirements. GreenBuilding Respondent shall construct the improvements on the Development Parcels in Requirements accordancewiththeGreenBuildingActof2006,DCOfficialCode61451.01,et seq.(2007Supp.),asmaybeamended.Respondentshallalsoconductadesign charrettwithin60daysoftheexecutionofeitheraGLDAoraLDDA. FirstSourceAgreement Respondent shall enter into a First Source Agreement with DOES prior to enteringintoeitheraGLDAoraLDDAwiththeDistrict. 28

 CBEAgreement Requirements PostClosingRequirements Respondent shall enter into a CBE Agreement with Department of Small and LocalBusinessDevelopmentpriortoenteringintoeitheraGLDAoraLDDAwith theDistrict. Respondent shall be bound by the requirements of the ground lease (if applicable), Special Warranty Deed (if applicable), the Affordable Housing Covenant,theConstructionandUseCovenant,theFirstSourceAgreementand theCBEAgreementtobeattachedtoeithertheGLDAortheLDDA,whichmay beamendedwiththeapprovaloftheDistrict,andanyotherdocumentsrequired bytheDistrict.

INTENTIONANDLIMITATIONSOFTHISSTATEMENTOFMINIMUMTERMS Respondent acknowledges that all approvals required of Council will be granted or withheld in the sole and absolute discretionofCouncilandthat,absentCouncilapprovalunderDCCode10801(2011),theDeputyMayorforPlanningand Economic Development (DMPED) has no authority to convey the Development Parcels to Respondent. Respondent acknowledgesthatitisenteringintothisStatementofMinimumTermspriortoobtainingallnecessaryCouncilapprovals.In the absence of such approvals, Respondent proceeds at its sole risk and expense with no recourse whatsoever against DMPED. RespondentunderstandsandagreesthatuponreceiptofallnecessaryCouncilapprovalsunderDCCode10801(2011),the Respondent and DMPED shall enter into negotiations of the disposition document(s) governing all of the terms and conditions of the disposition of the Development Parcels. Respondent agrees and understands that unless and until the Respondent and DMPED enter into the binding disposition agreement(s), Respondent shall have no rights to the DevelopmentParcels. RESPONDENT: BY:_______________________________ Name: Title:

29

APPENDIXG|FORMIRREVOCABLELETTEROFCREDIT
OfficeofAttorneyGeneralfortheDistrictofColumbiaFormLetterofCredit ISSUER: DateofIssue:[Month,day,andyearofissue] [Nameofbank] [Bankaddress] IRREVOCABLESTANDBYLETTEROFCREDITNO.[Letterofcreditnumber] Beneficiary Applicant DistrictofColumbia,byandthrough [NameofRespondent] TheOfficeofDeputyMayorfor [AddressofRespondent] PlanningandEconomicDevelopment 1350PennsylvaniaAvenue,NW.Ste317 WashingtonDC20007 Attention:DeputyMayorforPlanning andEconomicDevelopment AMOUNT: $[Letterofcreditamount] EXPIRYDATE: [LetterofCreditmonth,day,andyearofexpiration]subjecttorenewalprovisionsherein PROJECT: Parcel42DevelopmentTeam LadiesandGentlemen: WeherebyestablishourIrrevocableStandbyLetterofCredit[Letterofcreditnumber](LetterofCredit)infavorof BeneficiaryfortheaccountofApplicantuptoanaggregateamountof______________U.SDOLLARS(U.S.$[Letterof creditamount])availableforpaymentwhenaccompaniedbythefollowingthreeitems: 1. Adraftatsightdrawnon[Nameofbank]dulyendorsedonitsreversethereofbyadulyauthorized representativeoftheBeneficiary,specificallyreferencingthisLetterofCreditNumber[Letterofcredit number]; 2. TheoriginalofthisLetterofCredit;and 3. AdatedstatementissuedontheletterheadofBeneficiary,stating:Theamountofthisdrawingis $__________,drawnunderIrrevocableStandbyLetterofCreditNo.[InsertNumber]andrepresentsfundsdue andowingtotheDistrictofColumbia.SuchstatementshallbeconclusiveastosuchmattersandIssuerwill acceptsuchstatementasbindingandcorrect.Issuershallhavenoright,duty,obligationorresponsibilityto evaluatetheperformanceornonperformanceofanyunderlyingagreementbetweenApplicantandBeneficiary beforeperformingunderthetermsofthisLetterofCredit. ThisLetterofCreditshallautomaticallyrenewforatwoyeartermupontheAnniversaryoftheexpirydatesetforth above(TheAnniversaryDate)until[insertdate]unless(i)earlierreleasedbyBeneficiaryinwritingor(ii)Issuers delivers written notice to both Applicant and Beneficiary that this Letter of Credit will not be renewed on the AnniversaryDateuponwhichthisLetterofCreditwillnolongerberenewed.Notwithstandinganytermsand/or conditionstothecontrary,thisLetterofCreditwillexpirenolaterthan[LetterofCreditmonth,day,andyearof expiration]. IfadrawingmadebyBeneficiaryunderthisLetterofCreditreachestheaddressprovidedonthisStandbyLetterof CreditviaCourier(FEDEXorDHL)onorpriorto1:00PM(EasternTime)onaBusinessDay(Definedbelow)and, 30

provided that such drawing and the statement presented in connection therewith conform to the terms and conditionshereof,paymentsshallbemadetoBeneficiaryintheamountspecified,inimmediatelyavailablefunds, onthesameBusinessDay.IfadrawingismadebyBeneficiaryunderthisLetter[Letterofcreditnumber]of Credit after1:00pm(EasternTime)onaBusinessDayand,providedthatsuchdrawingandthestatementpresentedin connectiontherewithconformtothetermsandconditionshereof,paymentsshallbemadetoBeneficiaryinthe amountspecified,inimmediatelyavailablefundsonthenextBusinessDay.IfrequestedbyBeneficiary,payment under this Letter of Credit may be deposit of immediately available funds into an account designated by Beneficiary.Asusedherein,thetermBusinessDayshallmeananydayotherthanaSaturday,Sundayoradayon whichbankinginstitutionintheDistrictofColumbiaareauthorizedorrequiredbylawtoclose. DraftsdrawnunderandincompliancewiththetermsofthisLetterofCreditwillbedulyhonoredifpresentedby the Mayor, City Administrator, Deputy Mayor for Planning and Economic Development, or one of their duly authorizedrepresentatives,onorbeforetheExpiryDatetoIssuersofficeattheaddressofIssuersetforthabove. ThisundertakingisissuedsubjecttotheInternationalStandbyPractices1998(ISP98).Astomattersnotexpressly governedbyISP98,thisLetterofCreditisgovernedbyandshallbeconstruedinaccordancewiththelawsofthe DistrictofColumbia. ThisLetterofCreditsetforthinfulltermsofourundertaking.Thisundertakingshallnotinanywaybemodified, amended, amplified or incorporated by reference to any document, contract or other agreement, without the expresswrittenauthorizationofIssuer,BeneficiaryandApplicant. ShouldyouhaveoccasiontocommunicatewithusregardingtheLetterofCredit,kindlydirectyourcommunication totheattentionofLettersofCreditDept.totheaddressaforementionedstatingasreferenceourStandbyLetterof CreditNumber[InsertLetterofCreditNumber]. TrulyYours, _________________________________ _________________________________ AuthorizedSignature Name(printed)

31