SOLICITATION NOTICE
X -- Justification for Leased Space
- Notice Date
- 11/4/2010
- Notice Type
- Justification and Approval (J&A)
- NAICS
- 531190
— Lessors of Other Real Estate Property
- Contracting Office
- General Services Administration, Public Buildings Service (PBS), Allegheny Service Center (3PK), The Strawbridge Building, 20 North 8th Street, Philadelphia, Pennsylvania, 19107, United States
- ZIP Code
- 19107
- Archive Date
- 11/19/2010
- Point of Contact
- Erin K Hoke, Phone: 215-446-2896
- E-Mail Address
-
erin.hoke@gsa.gov
(erin.hoke@gsa.gov)
- Small Business Set-Aside
- N/A
- Award Number
- GS-03B-09460
- Award Date
- 9/27/2010
- Description
- GENERAL SERVICES ADMINISTRATION JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION The Department of Veterans Affairs Philadelphia, Pennsylvania 9PA2191 PROPOSED ACTION: To provide for an expansion to lease LPA09460 for 11,500 usable square feet of office and related space at 4700 Wissahickon Avenue in Philadelphia, Pennsylvania for the Department of Veterans Affairs (VA). The total amount of usable square feet of office and related space will be 18,630. The lease term will be for five years, three years firm. DESCRIPTION OF REQUIREMENT (INCLUDING ESTIMATED VALUE): The VA is currently located at the Veteran's Administration Center at 5000 Wissahickon Avenue in Philadelphia, PA. A lease was awarded to 4700 Wissahickon Avenue on May 1, 2010. The VA submitted an SF-81 to GSA on July 22, 2010 for expansion space. They have an urgent and compelling need for an additional 11,500 ANSI/BOMI office area square feet for a training facility. <REDACTED>. Currently, 5000 Wissahickon cannot accommodate the additional space requirement. The delineated area submitted by the VA is a.5 miles radius from their current location. This restricted delineated area is necessary due to the continuous interaction between their current Regional Office (R0) and the new training facility. Veteran's files will be transported between the two sites and all in-going and out-going mail will be handled out of RO. <REDACTED>. The lessor provided a new shell rate for the expansion space. The lease will be amended via Supplemental Lease Agreement. The terms and conditions of the lease will remain the same (a five year lease, three year firm term) with The Philadelphia Design and Distribution Center (also known as the WIC Building) at 4700 Wissahickon Avenue, Philadelphia, PA. IDENTIFICATION OF STATUTORY AUTHORITY: 41 U.S.C. 253 (C) (1) UNIQUE QUALIFICATION OF PROPOSED CONTRACTOR OR NATURE OF ACQUISITION REQUIRING AUTHORITY CITED: The VA is currently located at the Veteran's Administration Center at 5000 Wissahickon Avenue in Philadelphia, PA. The current location does not have any extra space for the additional request for space. The potential Lessor's building is located within the delineated area required by the VA and market research has shown that it is the only available building within the immediate area that would meet the VA's needs. EFFORTS TO ENSURE SOLICITATION FROM MAXIMUM SOURCES PRACTICAL: A <REDACTED> of the market for available space in the VA's delineated area were conducted. Based on those results, GSA has determined that the proposed building is the only building that can meet the VA's needs. <REDACTED>. DETERMINATION THAT ANTICIPATED COST WILL BE FAIR AND REASONABLE: The anticipated cost of the expansion lease is: Lease is for 5 years, 3 years firm. The TI will be amortized over the 3 year firm term at 5%. Years 1-3: <REDACTED> = approximately $1,385,526.90 Years 4-5: <REDACTED>= approximately $587,114.10 TOTAL Aggregate Value of the Expansion = $1,972,641.00 Information from recent market surveys show that current market rates range from <REDACTED>. <REDACTED>. We anticipate that the rental rate for the space in question will be approximately <REDACTED>, which does not include the full general tenant improvement allowance. This is in line with the rates stated above. Also, the current lease was awarded for a shell rate of approximately <REDACTED> and an operating rate of approximately <REDACTED>. The lessor plans to offer the expansion space at the same operating rent of <REDACTED> and an increased shell rate of <REDACTED>. This increase accounts for converting the shell space from warehouse to office space. Further negotiations with the proposed Lessor will ensure that the agreed upon rental rate is fair and reasonable. OTHER FACTORS SUPPORTING JUSTIFICATION: FAR 6.302-1(A)(ii)(B) states that circumstances permitting other than full and open competition include situations that would cause "unacceptable delays in fulfilling the agency's requirements". Therefore, to avoid delays in fulfilling the agency's requirements, the most sound business decision for this agency is to pursue an expansion to the lease at 4700 Wissahickon Avenue because the lessor has available space on the same floor, across the hall, and the design for the overall requirement of 18,630 USF (21,052 USF) will be completed concurrently. The overall initiative is to work quickly toward the VA's occupancy. Also, the agency has requested that the project has a quick term around time and requires occupancy in early 2011. LISTING SOURCES EXPRESSING INTEREST IN BEING SOLICITED: <REDACTED> FUTURE ACTION TO OVERCOME BARRIERS TO FULL AND OPEN COMPETITION: The current housing plan is to complete a sole source action for the additional 11,500 ANSI/BOMI square feet of space for a 3 year firm term, 5 year term. As we near the expiration date of the proposed lease, GSA will re-evaluate the VA's space needs and other available options and either relocate this training center to the federally owned Veteran's Administration Center or engage in a competitive lease action.
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- SN02322209-W 20101106/101104233851-56848719a82933054c2bf477fa34d671 (fbodaily.com)
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