Berg Place

The goal of this RFP is to select a redeveloper who has the ability to complete a high quality “green” affordable housing or mixed-income, mixed-use redevelopment that links the residential and business districts along Brownsville Road and creates density.

The provision of affordable housing is strongly preferred. Proposals including the provision of an affordable housing component should clearly state such intention along with the number/percentage of affordable units and proposed income levels to enable the URA to fully evaluate and consider. 

Current residents of the Carrick community also have a strong preference for affordable senior/assisted living or gathering space that benefits seniors. 

Neighborhood: Carrick

Parcel Size: Approximately 1.38 acres and 30,166 square feet of building area

Council District: 4th District, 29th Ward

Councilperson: Anthony Coghill

Parcel ID: 94-N-37

Sales Price: $15,000 per dwelling constructed (potential for credit at closing, amount TBD, for affordable units)

Zoning: Single-Unit Detached Residential Low Density – R1D-L (may require rezoning).

1. Property Description

The dilapidated complex stands above the center of Carrick’s Brownsville Road business district. Brownsville Road is the primary commercial corridor and major thoroughfare through the neighborhood. Redevelopment of this highly visible property will be transformative. It is strongly suggested that redevelopers consider how their proposed project links to the Brownsville business corridor. Public open space components should be incorporated into the redevelopment of the associated land. Any proposed commercial or community space that is incorporated into a mixed-use design should serve as a destination for residents and visitors and stimulate the local economy. The site is strategically located above the center of the business district, so it is anticipated that a high-quality redevelopment will not only be inviting but will spur new investment in this area.

Constructed between 1925 and 1935 as market rate housing, Berg Place is currently an unoccupied, seven building, 33-unit, multi-family complex that is in a dilapidated condition. The complex consists of 18 two-bedroom, one-bath garden unit apartments with 609 square feet of living space; 14 two-bedroom, one-bath townhouses with 683 square feet of living space; one carriage house unit with one bath and 648 square feet of living space; and 22-23 garages.

In 2016, there were two fires on the property. The first occurred in March which resulted in the emergency demolition of the entire third rear townhouse building. The second fire occurred this summer in the attic of the carriage house unit. As per the City of Pittsburgh’s Department of Permits, Licenses, and Inspections (PLI), the building is still intact and not in immediate need of demolition.

While gas, electric, water, and sewage are available to the site, the water and sewage systems are currently not connected or functional. Also, it is important to note that the property does not appear to be in compliance with the American Disabilities Act (ADA).

On April 27, 2014, the structures at Berg Place were condemned and secured by Court Order. Thereafter, the URA acquired a first lien mortgage position on the property and the City of Pittsburgh placed the property on its April 29, 2016, Treasurer's Sale which was delayed as complications with the original owner were resolved. The property has since been acquired by the URA at the September 2022 Sheriff’s sale and the URA possesses a Sheriff’s Deed for the Property.

Any redeveloper who plans to submit a proposal is required to tour the site in order to become familiar with the existing conditions. It is the responsibility of each and every respondent to acquaint themselves with the respective location, lot size and configuration, governmental codes and regulations, and any, and all, other information necessary to prepare their proposals.

2. URA Information 

The URA is the economic development agency for the City of Pittsburgh, committed to creating jobs, expanding the city’s tax base, and improving the vitality of businesses and neighborhoods within the city. Incorporated in 1946 as one of the first redevelopment authorities in the United States, the URA achieves this mission by assembling, preparing, and conveying sites for major mixed-use developments and by providing a portfolio of programs that include financing for business location, relocation, and expansion, housing construction and rehabilitation, and home purchases and improvements. The URA is committed to equitable development and incorporates best practices for equity and inclusion into its internal and external policies and activities. The URA conducts these activities using unique powers granted by the Commonwealth’s Urban Redevelopment Law to deploy and attach conditions to the use of public subsidy and the disposition of publicly owned land.    

The URA is a legal entity separate and distinct from the City of Pittsburgh. The URA works closely with the city in fulfilling its redevelopment mission.    

Additional information regarding the URA may be found on the URA’s website at www.ura.org.  

Each proposal must include the following:

1. Description of the proposed renovation and re-use of Berg Place, as well as how your firm intends to redevelop the property as a quality “green” mixed income community. For proposals incorporating a residential component, the provision of affordable housing is strongly preferred. Current residents of the Carrick community also have a strong preference for affordable senior/assisted living or gathering space that benefits seniors. Proposals including the provision of an affordable housing component should clearly state such intention along with the number/percentage of affordable units and proposed income levels to enable the URA and other stakeholders the opportunity to fully evaluate and consider. Such proposals should also include details regarding residential management or senior management (if applicable).
2. Schematic drawings including site plan with elevations.
3. Timetable assuming closing on or about January 1, 2024, without utilizing Low Income Housing Tax Credits, or July 1, 2024, with Low Income Housing Tax Credits.
4. Preliminary development pro forma including acquisition price at or above the appraised value.
5. Subsidy requested, if any. There is no commitment by the URA to provide subsidy for this project and proposals must take this into consideration. The URA acknowledges that the provision of affordable housing may require public subsidy. Available public subsidy program details can be found in ‘Exhibit A’.

Each submission should include the following:

1. RFP Summary Sheet: this should include the firm’s name, contact person, and contact information, see ‘Exhibit B’.
2. Table of Contents
3. Primary Qualification: provide a brief narrative that explains why your firm is well qualified to work on the project.
4. Financial Capacity: this section should be used to provide a concise picture of the redeveloper’s ability to fund the project. At a minimum, redevelopers should provide the following.
   • A preliminary funding plan that indicates:
     1. The funding or financing sources needed to complete the project. If seeking Low Income Housing Tax Credits (LIHTC), please include a LIHTC equity calculation. 
     2. An estimated dollar amount that corresponds with each funding or financing source. If there is a funding gap, please explain why the gap exists and how you plan to close it. 
     3. A timeline for securing each funding or financing source.  
     4. A statement indicating the amount of equity currently available to support the project. 
     5. A statement indicating the redeveloper’s ability to obtain loans. 
   • The identification of the people or entities in the proposed development team, including any and all joint venture, general, or limited partners, and respective percentages of ownership interest. 
   • The role each individual or entity listed above will play in implementing the development project. 
   • Letter of Interest from potential lenders and investors, if applicable. 
   • Letters of Interest from potential tenants, if applicable. 
   • Redeveloper’s financial statements for the most recent three years (please submit under separate cover). 
   • Preliminary development pro forma including acquisition price at or above the appraised value. 
5. Sources & Uses Budget: See ‘Exhibit C’. 
6. Firm Profile: Provide a brief profile of your firm.  
7. Experience
   
   • Briefly describe the relevant experience and biographies of key personnel.
   • List any similar projects, for public entities similar to the URA, that your firm is currently working on or has recently completed. 
   • Describe the scope and success of similar projects that your firm has acquired, renovated, and re-used. 
8. Minority and Women-Owned Business Enterprise (MWBE) Requirements:

• The URA has a long history of diversity and inclusion within all of its programs and other activities. The URA encourages the full participation of minority and women business owners and professionals in this effort. The URA requires that all applicants demonstrate a good faith effort to obtain minority and women-owned business participation in work performed in connection with URA initiatives. The URA acknowledges and adheres to the city’s goal of 18 percent (18%) minority and 7 percent (7%) women participation. An MWBE narrative needs to be included with the respondent’s proposal. See  ‘Exhibit D’ for MWBE Narrative Requirement. MWBE participation can be satisfied by: 
  1. Ownership/Partnership of firm. 
  2. Employment level of minorities and/or women in the firm. 
  3. Staffing of minorities and/or women on URA matters. 
  4. Use of minority or women-owned businesses as vendors. 
  5. Subcontracting with firms owned and controlled by minorities and/or women. If this is to be done, that fact, and the name of the proposed subcontracting firms, must be clearly identified in the proposal. 

• Any questions about MWBE requirements should be directed to Jazmine Derico, MWBE Compliance Associate, at (412) 255-6625 or jderico@ura.org. 

9. Minority Workforce Inclusion (MWI) Requirements:

• The URA requires that all respondents demonstrate and document a good faith effort to meet or exceed the city’s 12 percent minority workforce inclusion goal for all URA projects with total project costs of $500,000 or greater. As a matter of policy, all proposal packages submitted to the URA must include a Minority Workforce Inclusion (MWI) Narrative detailing how the respondent plans to meet the URA’s expressed MWI goal of 12 percent. If awarded the project, the respondent will be asked to submit a MWI plan evidencing that 12 percent of the labor hours are fulfilled by minority workers. An MWI narrative needs to be included with the respondent’s proposal. See ‘Exhibit E’ for MWI Narrative Requirement. 

10. References: provide three (3) client references related to the applicable experience described in Section 6 above. Where possible, provide references from public entities similar to the URA.  Include the reference’s name, title, address, and direct telephone number.

11. Other Information: please provide any other information you believe is pertinent to the URA’s consideration of your firm.   

All responses should include the RFP Summary Page, which can be found at the end of this document (Exhibit B), as the cover page of the proposal package. Respondents should submit their proposal package using IonWave Technologies, the URA’s RFP response program. The proposal should be combined into one file in PDF format. Do not send hard copies.  The proposal submissions and questions concerning the content of this RFP should be addressed to the attention of Donita Thomas – dthomas@ura.org.

ALL RESPONSES MUST BE RECEIVED BY THE RESPONSE DUE DATE AND TIME AS STATED IN THE RFP TIMELINE FOR CONSIDERATION. Any late responses or responses received outside of IonWave Technologies will not be reviewed.   

ALL RESPONDENT QUESTIONS WILL ONLY BE ACCEPTED AND ANSWERED THROUGH IONWAVE SUBMISSION, WHERE THE RESPONSE WILL BE MADE PUBLIC.   

The URA will not reimburse firms for any expenses incurred in preparing responses to this RFP.   

If you have any questions or issues with using IonWave, please contact: Ivy Coleman - icoleman@ura.org  

1. Process: The selection of any responsive firm(s) will be made by the URA Board of Directors after receiving the recommendations of the URA’s staff and/or any applicable selection committee. Such selection will be based on the nature and quality of the responding firm’s responses to the Proposal Scope and Submission Requirements described above. The URA reserves the right to request that any respondent meet with URA staff and/or a selection committee in a formal interview.
2. Conflicts of Interest: Responsive firms and their team members must have no conflicts of interest with regard to any other work performed by the respondent for the URA, the City of Pittsburgh, or any related entity.
3. RFP Compliance: All responsive firms must adhere to the instructions contained in this RFP in preparing the submitted proposal.
4. Waiver of Defects: The URA shall be the sole judge as to which respondent(s) best meet the selection criteria. The URA reserves the right to reject any or all qualifications submitted. The URA reserves the right to reject any proposal for failure to comply with the requirements of this RFP. The URA further reserves the right, in its sole discretion, to waive any such defect(s) or failure(s). Submission of a response indicates acceptance by the firm of the conditions contained in this RFP.
5. Nondiscrimination: Each responsive firm agrees not to discriminate, whether in employment, contracting or otherwise, in violation of any federal, state, or local law and/or on the basis of sexual orientation, gender identity and/or gender expression.

Should the URA Board select a respondent as a Developer, such Developer will be required to comply with the URA’s Disposition Process. As part of this process, the Developer must show that all funds needed for the fully realized project are available at the time of closing. In order to give the community a level of comfort that the site will be responsibly redeveloped, the URA will review the Opinion of Probable Cost and construction plans against the evidence of financing to determine if the information presented is reasonable and corresponds. The URA will not close on a property until all the terms of the disposition process are fulfilled. See ‘Exhibit F’ for Disposition Process Overview.

The Developer must be willing to enter into a written Disposition Contract with the URA. The Disposition Contract is the binding document that details the Developer’s plan to design, finance, purchase, and construct the redevelopment project. Taxes, liability insurance, site security, historic preservation, bonding, and all aspects of owning and redeveloping the property shall be the full responsibility of the Developer at the time of sale, as specified in the Disposition Contract.

The URA Board must approve any and all developers who purchase URA property. Upon URA Board approval, the Developer’s purchase of the property will occur after execution of a Disposition Contract, approval of the final construction documents and issuance of a building permit. The purchase of the property will occur simultaneously with the closing on the Developer’s construction financing.

1. All property discussed in this RFP is in “AS-IS” condition, and the URA acquired a Sheriff’s Deed to the Property in December 2022. All URA Dispositions are through a Special Warranty Deed.

2. Any potential development or sale of the property does not guarantee or warrant demolition permits, building permits, zoning variances, or financial viability.

3. The developer, for itself and its employees, contractors, and primary subcontractors, agrees not to discriminate against or segregate any person or group of persons on any unlawful basis in the construction, sale, transfer, use, occupancy, tenure or enjoyment of the property or any improvements erected or to be erected thereon, or any part thereof.

4. The URA shall be the sole judge as to which submission best meets the selection criteria. The URA reserves the right to reject any or all submissions received, to waive any informalities or irregularities in any submitted information, and to negotiate scope and proposal prices.

5. Submissions may be withdrawn by written notice received by the URA before the time and date set for receipt of proposal. After the submission date, a submission may not be withdrawn for a period of sixty (60) days, except by mutual consent between the URA and the respondent.

6. It is the developer’s sole responsibility to read and interpret this RFI and the written instructions contained herein. A respondent may correct errors and omissions discovered before the time set for receipt of information by withdrawing the original submission and resubmitting a new submission before the date and time set for the receipt of the RFI. Errors and omissions may not be corrected after the submission date except when the URA decides, in its sole discretion, to allow the correction.

7. This RFP is submitted subject to errors, omissions, and/or withdrawal without notice by the URA at any time.

8. The developer is encouraged to confer with the URA prior to submitting their response. All information submitted, including attachments, supplementary materials, addenda, etc. shall become the property of the URA and will not be returned.