2. Overview of P3’s Tasks Under the DCA
Desired Elements
Program Analysis
Present Final Development Program for
Acceptance by Board of Supervisors
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3. Desired Elements
Knowledge & Discovery Center Office Space
Business & Technology Incubator Retail Space
Evening Entertainment Venue
Central Outdoor Plaza
Residential Space
Public Transit Hub
Public Improvements &
Digital Media Lab
Infrastructure
Parking Structure Hotel and/or Event Center
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4. Program Analysis
Master Plan
Infrastructure Analysis
Parking Analysis
Real Estate Issues
Financing Analysis
Development Plan
Public Outreach
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5. Next Step
Present Final Development Program for
Acceptance by Board of Supervisors
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6. Answer Questions We Posed to the Citizen’s
Committee
What would our clients like to build?
What can be built?
What is feasible?
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7. What Would Clients Like?
Desired Elements in Different Combinations
Base Option
Additional Elements when Feasible
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8. What Can Be Built?
Site is Large Enough
No Substantial Physical or Environmental
Impediments
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9. What is Feasible?
Summary
Scope
Development Budget/Timeline
Financing Plan
Closing the Gap
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10. What is Feasible?
Feasible: Capable of being accomplished or
brought about; possible
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11. Summary
The project is feasible
Public-Private Partnership
The financing structure will not impact the City’s
debt limit
The financing can be tax exempt
The City will not issue bonds
Long term lease subject to annual appropriation
Commence Summer 2011
First lease payment 2015
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12. Scope
Project Assumptions
› Parking Requirement: 2 spaces per 1,000 sf
› Retail Forecast: 7,500 to 10,000 sf
Master Plan
Parking Plan
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23. Financing Plan
Assumptions
› No Impact on City’s Debt Limit
› Lease/Lease Purchase
› Taxable or Tax Exempt
› Down Payment
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24. Financing Plan
Financing Structure: Lease Based Financing
Viable & Flexible Method
› Tax Exempt or Taxable Borrowing Rates
› Amount Financed is the Guaranteed Maximum Price
Numerous Structural Options Available
Lease/Leaseback Basic Outline
› Developer/Project Leases Land from Hop & Mae Adams Foundation
› Development Team Builds Project for Guaranteed Maximum Price
› Project is Leased to City
› City Makes Lease Payments
› City Acquires Project at end of Lease Term
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26. Closing the Gap
Reduce the Amount to be Financed
› Cost of Improvements
› Increase the Amount of Cash Contribution
› Obtain Federal Grants
› Library Fundraising Program
Increase Annual Revenues
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