SOLICITATION NOTICE
X -- J&A Notice for LGU96523 at Lihue, HI-3,167 rsf
- Notice Date
- 10/12/2010
- Notice Type
- Justification and Approval (J&A)
- NAICS
- 531120
— Lessors of Nonresidential Buildings (except Miniwarehouses)
- Contracting Office
- General Services Administration, Public Buildings Service (PBS), San Diego Service Center, San Diego Office (9PDE), 401 West A Street, Suite 2075, San Diego, California, 92101
- ZIP Code
- 92101
- Solicitation Number
- LGU96523
- Archive Date
- 11/3/2010
- Point of Contact
- Clara Eunmi Lee, Phone: 6195575118
- E-Mail Address
-
clara.lee@gsa.gov
(clara.lee@gsa.gov)
- Small Business Set-Aside
- N/A
- Award Number
- 0GU2002
- Award Date
- 10/4/2010
- Description
- Justification for Other than Full and Open Competition Lease # LGU96523 U.S. GENERAL SERVICES ADMINISTRATION PUBLIC BUILDINGS SERVICE REAL ESTATE ACQUISITION San Diego, CA •1. Identification and Description of Action Being Approved : To enter into a lease extension of Lease LGU96523 for approximately 3,167 rentable square feet and 2,575 usable square feet ICE and USDA RDA located at 400 Route 8, Maite, Guam 96927-2010. The lease term will be for three (3) years/ one (1) year firm with cancellation rights in whole or in part, by giving 90 days notice on or after the one (1) year. •2. Description of Supplies or Services Required: ICE and USDA RDA currently occupy 3,167 rentable square feet of under lease number LGU96523. The lease expired on April 30, 2010. The rental rate will be increased at $46.00/rsf. The annual rent for the three (3) years/ one (1) year firm lease extension is estimated to be $145,682.00 for the term from May 1, 2010 through April 30, 2011 and $158,350.00 for the term from May 1, 2011 through April 30, 2013. Extending the lease is necessary to protect the Government's occupancy. The expiration of this extension is expected to coincide with USDA consolidation and ICE procurement project earmarked for completion in FY 2013. •3. Identification of Statutory Authority: 41 U.S.C. 253 (c) (1) •4. Demonstration that the Acquisition Requires use of the Authority Cited: GSAM 570.405 (c) (3) •5. Unique Qualification of Proposed Contractor or Nature of Acquisition Requiring Authority Cited: ICE and USDA RDA have occupied the above referenced space under Lease No. LGU96523 since February, 1997. A lease extension is required to allow USDA RDA to consolidate with remaining USDA agencies into one facility and ICE to consolidate into one facility after build-out. GSA, USDA RDA, and ICE are working together on the future housing. If other space was leased for the extension period through the competitive process, the Government would incur build-out, relocation costs & double move costs, first to their temporary space and then to their permanent space. A double move would create an administrative hardship and interrupt agency operations. Furthermore, the Government would incur additional costs for the agencies tenant improvements •6. Description of Efforts to Solicit as Many Offers as Practicable: GSAM 505.202 (b) (3) (ii) exempts lease extensions from the usual advertisement requirements. •7. Demonstration that the Anticipated Cost will be Fair and Reasonable: It is the Government's objective to ensure that negotiations with the current Lessor will result in a fair and reasonable rental rate; one that is based on current market data including recently extended leases in Guam. •8. Description of the Market Analysis Conducted: A market analysis was conducted on Sep 1, 2010 by comparing the rent rate in other buildings at Guam. The analysis that was provided is that Class A office space is $40.00 to $50.00 fully serviced. The average of the rates for Class A office space is $45.00 per rsf fully serviced. •9. Other Facts Supporting the use of Other Than Full and Open Competition: Relocation to another facility would involve significant down-time for USDA and ICE. In addition, the Government would be forced to fund double TI costs as well as double moves for: furniture, telephones, computer systems, and security systems. The double costs are a result of moving to the temporary location and then again to the long term co-location space. It is in the best interest of the Government to maintain occupancy of the agency's current location while GSA procures a new lease location for the agency. •10. Cost Benefit Analysis Results: Existing Location ( 3,167 RSF/ 2,575 USF) Relocation ( 3,167 RSF/ 2,575 USF) Lease Rental Rate @$46.00/RSF* For 1 year $145,682 Lease Rental Rate @$46.00/RSF** For 1 years $145,682 General and Customization TI Allowance ($50.43/USF) for new space, amortized over 1 year at 8% interest $135,553 Estimated additional Lump Sum for TI's Moving Cost @ $2.50/USF $6,438 Telecommunications Cost @ $11.00/USF $28,325 TOTAL COST: $145,682 $315,998 * $46.00/RSF is based on the expected rental rate to stay in the space for the 1 year extension term, which is justified for this relatively short term. Telecommunication Costs are based on $11.00/usf Moving Costs are based on $2.50/usf The cost of relocating USDA and SSA to a new site for one (1) year far exceeds the cost of remaining in their current location and completing a lease extension at the existing USDA & ICE location. The savings to the Government is $170,316. It is in the best interest of the Government to perform this lease action to maintain occupancy while GSA completes the consolidation and expansion projects. This short-term lease extension is cost effective when expenses of relocation are considered. •11. Statement of Actions to Overcome Barriers to Competition: Short term requirement will be satisfied through the competitive USDA consolidation & ICE procurement projects in FY2011. •12. Contracting Officers Determination and Certification: I hereby certify that the above information is complete and accurate to the best of my knowledge and belief. PREPARED BY: _______________________________________________________________ Clara Lee/Leasing Specialist (9P4PR) Date CERTIFIED : _______________________________________________________________ Don Crawford/ Lease Contracting Officer (9P4PR) Date
- Web Link
-
FBO.gov Permalink
(https://www.fbo.gov/spg/GSA/PBS/SDCA9PDE/LGU96523/listing.html)
- Record
- SN02309478-W 20101014/101012233905-6e446456111eb38303b16a5a0eb03665 (fbodaily.com)
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