The document discusses leasing opportunities at Dulles International and Reagan National Airports, including a recap of previous leasing phases and an overview of the new phase 3 leasing opportunities. It highlights the Metropolitan Washington Airports Authority's goals for innovative concepts, financial improvement, and inclusion of disadvantaged businesses through the Airport Concession Disadvantaged Business Enterprise (ACDBE) program. The document also provides details on passenger demographics, economic impacts, and a structured leasing process aimed at stimulating competition and maximizing revenue.

1. March 26, 2014
Spring Concessions
Leasing Opportunities Outreach Forum

2. Clarence LeJeune
Regional Vice President
MarketPlace Development

3. Agenda
 Opening Remarks
 Recap of Fall Outreach Meeting and Phase 1 & Phase 2 Leasing
 Overview – Dulles International and Reagan National Airports
 Phase 3 Leasing Opportunities
 Airport Concession Disadvantaged Business Enterprise (ACDBE)
Certification
 Question / Answer Session

4. Metropolitan Washington Airports Authority
Jack Potter, President & CEO
Steve Baker, Vice President of Business Administration
Sandi Greene, Director of Concessions

5. Paul McGinn
President
MarketPlace Development

6. Susan Drury
Leasing Manager
MarketPlace Development

7. Recap of Phase 1 and 2 Leasing

8. Dulles International Phase 1 Brands

9. luv’nberry

10. The Firkin & Fox

11. Tumi

12. Swarovski

13. Au Bon Pain

14. brb (be right burger)

15. Washingtonian

16. Bistro Atelier

17. Dulles International Phase 2 Luxury Brands

18. Dulles International Phase 2 Brands
CAPITOL CITY INK
WASHINGTON INFORMER
D.C. CRAFT
Brews

19. Dulles International Phase 1 and Phase 2
CAPITOL CITY INK
CAPITOL CITY INK
CAPITOL CITY INK
CAPITOL CITY INK
WASHINGTON INFORMER
D.C. CRAFT
Brews

20. Reagan National Phase 1 Brands

21. Terminal A

22. Terminal A

23. Vineyard Vines

24. Spanx

25. Legal Sea Foods

26. Ben’s Chili Bowl

27. Lacoste

28. Hudson News

29. Forbes

30. Reagan National Phase 2 Brands
grille dist rict

31. Reagan National Phase 1 and Phase 2

32. Media Clips from Phase 2 Leasing
The Metropolitan Washington Airports
Authority (MWAA) has selected a joint
venture between OTG and Baldi
Management Group (BMG) to manage the
Terminal A concessions development at
Ronald Reagan Washington National
Airport.
OTG to bring ‘sweeping retail and
restaurant changes’ to Reagan Airport

33. Accomplishments to Date
 84 units leased
 28 units under construction
 Improved merchandise mix
 Mix of national, regional, and local brands
 ACDBE participation in Phase 1 and Phase 2 selections
 Increased revenue to MWAA

34. Overview

35.  Manager for the food & beverage and retail programs at
Dulles International and Reagan National Airports
 Responsibilities include:
 Leasing
 Marketing
 Management
 Construction coordination

36. Goals
 Best possible passenger experience
 Cutting edge brands
 Innovative concepts
 Inclusion
 Opportunity for national, regional and local concepts
 Opportunity for large, medium, and small operators
 Opportunity for ACDBE operators
 Improve financial return to MWAA

37. IAD Overview
 135 gates
 135 domestic & international destinations
 Over 62 non-stop departures to 36
international cities
 21.9 million passengers in 2013
 18,000+ employees
 66% increase in international enplanements in
the last 10 years

38.  76% of passengers spend more than one hour in
the airport prior to departure
 61% of passengers spend more than 90 minutes
at the airport prior to departure
 Median income - $92,810
IAD Overview
Passenger Demographics

39. DCA Overview
 44 gates
 409 daily departures
 94 non-stop destinations
 20.4 million passengers in 2013 (highest since opening)
 7,000+ employees

40.  60% of passengers spend more than one hour in
the airport prior to departure
 42% of passengers spend more than 90 minutes
at the airport prior to departure
 Median income - $96,110
DCA Overview
Passenger Demographics

41. IAD and DCA Overview
2013 Sales and Enplanements
IAD
 Sales: $107.2 Million
 Enplanements: 10.9 Million
 Sales per Enplanement: $9.85
DCA
 Sales: $94.6 Million
 Enplanements: 10.2 Million
 Sales per Enplanement: $9.29

42. IAD Overview
Sales PSF (by Category)
 Over 100 shops
 2013 sales per
square foot:
$1,169
$1,240
$1,317
$922
$1,169
$200
$600
$1,000
$1,400

43. $1,641
$2,822
$757
$1,455
$200
$600
$1,000
$1,400
$1,800
$2,200
$2,600
$3,000
DCA Overview
Sales PSF (by Category)
 Over 80 shops
 2013 sales per
square foot:
$1,455

44. Unique Airport Conditions

45. Unique Airport Conditions
 Space size
 Aggressive economics
 Hours of operation
 Storage
 Distribution and delivery
 Design and construction
 ACDBE requirements
 Security

46. IAD Overview
Hours of Operation (Average)
Location Food & Beverage Hours* Retail Hours*
Main Terminal 24 Hours 5:00 AM – 10:00 PM
Concourse A 6:00 AM – 10:00 PM 6:00 AM – 9:00 PM
Concourse B 5:00 AM – 9:00 PM 6:00 AM – 9:00 PM
Concourse C 5:00 AM – 10:00 PM 7:00 AM – 9:30 PM
Concourse D 5:00 AM – 10:00 PM 7:00 AM – 9:30 PM
*Select Retail, Newsstands and Food & Beverage locations are open 24 hours.
All hours are subject to change based on flight schedules.

47. DCA Overview
Hours of Operation (Average)
Location Food & Beverage Hours* Retail Hours*
National Hall 6:00 AM – 9:00 PM 7:00 AM – 8:00 PM
Terminal A 5:00 AM – 9:00 PM 7:00 AM – 8:00 PM
Terminal B 5:00 AM – 9:00 PM 7:00 AM – 8:00 PM
Terminal B/C 5:00 AM – 9:00 PM 7:00 AM – 8:00 PM
Terminal C 5:00 AM – 9:00 PM 7:00 AM – 8:00 PM
*Select Retail, Newsstands and Food & Beverage locations are open 24 hours.
All hours are subject to change based on flight schedules.

48. Marketing Program

49. Barricade Graphics

50. Marketing Events
2013 Presidential Inauguration

51. Marketing Events
National Cherry Blossom Festival

52. Marketing Events
#BumpedintoObama

53. Marketing Events
Holiday Photos and Gifts on the Fly

54. Customer Service Program
Training and Consultations

55. Retail Merchandising Unit (RMU) / Kiosk Program

56. Retail Merchandising Unit (RMU) / Kiosk Program
 Re-design of RMU / Kiosk
Program at both airports
 New state-of-the-art
fixtures
 Focus on unique needs of
each airport
 Opportunity for:
 Small businesses
 Entrepreneurs
 Short-term commitment
 Low capital
 Incubation to permanent
tenant
 Apply online

57. New RMU Design

58. Michael DiCosola
Executive Vice President
MarketPlace Development

59. Phase 3 Leasing Opportunities
IAD and DCA

60. Dulles International
Phase 3 Opportunities by Category
 3 Bar / Restaurant Locations
 2 Quick Serve Locations
 2 Retail Locations
 4 Newsstand Locations with 2 Retail
Locations

61. CONCOURSE A
2013 Enplanements: 2,953,687
CONCOURSE B
2013 Enplanements: 2,626,340
Phase 3 Opportunities, Concourses A & B
Dulles International
10: Food & Beverage
3,016 SF
8: Food & Beverage
1,212 SF 9: Food & Beverage
2,270 SF

62. 1: Food & Beverage
1,105 SF
3: Retail
316 SF
4: Retail
625 SF
5: Food & Beverage
2,270 SF
D.C. CRAFT
Brews
CONCOURSE C
2013 Enplanements: 3,027,069
CONCOURSE D
2013 Enplanements: 2,009,514
Phase 3 Opportunities, Concourses C & D
Dulles International

63. Dulles International
Phase 3 News Package
 4 Newsstand Locations and 2 Retail
Locations
 Achieved sales in excess of $6.3M
in 2013
 Locations in Concourses A, B, C,
and the Main Terminal

64. CAPITOL CITY INK
CAPITOL CITY INK
CAPITOL CITY INK
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WASHINGTON INFORMER
2: News
149 SF
6: News
212 SF
7: News
2,041 SF
13: News
493 SF
12: Retail, 902 SF
11: Retail, 520 SF
Phase 3 News Package
Dulles International

65. Phase 3 Opportunities
Dulles International
CAPITOL CITY INK
CAPITOL CITY INK
CAPITOL CITY INK
CAPITOL CITY INK
WASHINGTON INFORMER
D.C. CRAFT
Brews
1: Food & Beverage
2: News 3: Retail
4: Retail
5: Food & Beverage
6: News
10: Food & Beverage
7: News
8: Food & Beverage
9: Food & Beverage
13: News
11: Retail
12: Retail

66. Reagan National
Phase 3 Opportunities by Category
 3 Bar / Restaurant Location
 2 Retail Locations
 2 Quick Serve Locations

67. Phase 3 Opportunities, Pier Locations
Reagan National
1: Food & Beverage
1,329 SF
2: Food & Beverage
751 SF
3: Food & Beverage
1,541 SF
4: Food & Beverage
970 SF
5: Food & Beverage
1,537 SF
North Pier 2013 Enplanements:
4,115,960
Center Pier 2013 Enplanements:
1,977,439
South Pier & Connector
2013 Enplanements:
2,591,272

68. Phase 3 Opportunities, National Hall
Reagan National
6: Retail
976 SF
7: Retail
807 SF
Total DCA 2013 Enplanements:
10,185,305

69. 1: Food & Beverage
1,329 SF
2: Food & Beverage
751 SF
3: Food & Beverage
1,541 SF
4: Food & Beverage
970 SF
5: Food & Beverage
1,537 SF
6: Retail
976 SF
7: Retail
807 SF
Phase 3 Opportunities
Reagan National

70. Leasing Process

71. Leasing Goals
 Stimulate competition
 Drive revenue
 Get innovative concepts and best operators
 ACDBE participation and local businesses
 Transparency and open access

72.  Tenant outreach
 Create a list of interested
tenants for different
opportunities
 Proposals sent to
interested / qualified
parties
 Counter proposals
 Evaluate counters and
negotiation
 MWAA approval
 Offer lease
Leasing Process

73. Choosing a Tenant
“How do you choose a tenant for the airport?”
It is our practice to get multiple offers on each space to create demand, establish a
market value for the space, and ascertain the highest and best use for the location.
We then evaluate the offers based on the following:
 Use & Concept (innovative and new)
 Economics (rent)
 Operator Experience and Success
 Financial Strength of Operator
 ACDBE Participation
 Store Design
 Investment

74. Terry Woodson
Assistant Manager, Concessions Outreach Compliance
Metropolitan Washington Airports Authority

75. M E T R O P O L I T A N W A S H I N G T O N A I R P O R T S A U T H O R I T Y
Airport Concession Disadvantaged Business Enterprise
(ACDBE) Program

76. M E T R O P O L I T A N W A S H I N G T O N A I R P O R T S A U T H O R I T Y
Airport Concession Disadvantaged Business Enterprise
(ACDBE) Program
85
Federally required program that is locally implemented
Pertains to concession activities of airports receiving Federal financial
assistance from Federal Aviation Administration (FAA)
Intended to ensure nondiscrimination in the award and administration of
concession opportunities and create a level playing field on which ACDBEs
can compete fairly for concession opportunities

77. M E T R O P O L I T A N W A S H I N G T O N A I R P O R T S A U T H O R I T Y
Code of Federal Regulations
86
49 CFR Part 26
49 CFR Part 23

78. M E T R O P O L I T A N W A S H I N G T O N A I R P O R T S A U T H O R I T Y
Equal Opportunity Programs (EOP)
Department
87
The EOP Department is responsible for the implementation of the Airports
Authority’s ACDBE Program in accordance with 49 CFR Parts 26 and 23 as
amended
EOP’s primary ACDBE responsibilities:
• Outreach
• Certification
• Compliance

79. M E T R O P O L I T A N W A S H I N G T O N A I R P O R T S A U T H O R I T Y
ACDBE Basic Eligibility Requirements
88
51% owned and controlled by socially and economically disadvantaged
individual(s)
Disadvantaged owner(s) must be U.S. citizen(s) or lawfully admitted
permanent resident(s) of the U.S.
Firm must meet ACDBE small business size standard, generally, $56.42
million in average annual gross receipts (3 year average). Affiliates are
included.
Firm must be organized as a for-profit business

80. M E T R O P O L I T A N W A S H I N G T O N A I R P O R T S A U T H O R I T Y
Presumptive Disadvantaged Groups (Rebuttable)
89
African Americans
Hispanic Americans
Subcontinent Asian Americans
Native Americans
Asian-Pacific Americans
Women

81. M E T R O P O L I T A N W A S H I N G T O N A I R P O R T S A U T H O R I T Y
Burden of Proof
90
Ownership (documentable proof)
Management Control (daily control)
Owner(s) Personal Net Worth is below $1.32 million
(after allowable adjustments)
Firm meets ACDBE size standards (gross receipts or number of
employees)

82. M E T R O P O L I T A N W A S H I N G T O N A I R P O R T S A U T H O R I T Y
ACDBE Certification Process
91
Home state ACDBE certification first
Submit complete DBE Uniform Certification Application
Submit all applicable supporting documents (15-25 documents)
Site visit/interview with principal owner(s)
Request for additional information/clarification (if necessary)
Render final decision (within 90 days of receipt of full application,
including additional requested information)

83. M E T R O P O L I T A N W A S H I N G T O N A I R P O R T S A U T H O R I T Y
ACDBE Allowable Participation
92
ACDBE participation may be achieved through the following methods:
Direct lease with ACDBE
Sublease or subcontract with ACDBE
Joint Venture with ACDBE(s)

84. M E T R O P O L I T A N W A S H I N G T O N A I R P O R T S A U T H O R I T Y
Joint Ventures
Association of an ACDBE firm and one or more other firm(s)
Carry out a single, for profit business enterprise
Parties combine their property, capital, efforts, skills, and knowledge
ACDBE is responsible for a distinct, clearly defined portion of the work
of the contract
ACDBE share of capital contribution, control, management, risks, and
profits of the joint venture are commensurate with ACDBE firm’s
ownership interest 93

85. M E T R O P O L I T A N W A S H I N G T O N A I R P O R T S A U T H O R I T Y
Joint Ventures
ACDBE joint venture member must be certified in the type of work to
be undertaken in the joint venture
Joint venture entities cannot be certified as an ACDBE
Joint venture agreement must be reviewed and approved by EOP prior
to lease/contract execution, for ACDBE participation to count toward
meeting the ACDBE goal
94

86. M E T R O P O L I T A N W A S H I N G T O N A I R P O R T S A U T H O R I T Y
Information
www.mwaa.com
Metropolitan Washington Airports Authority
Office of Equal Opportunity Programs (MA-410)
Suite 144
1 Aviation Circle
Washington, DC 20001-6000
(703) 417-8625
95

87. Washington’s Airports = Great Opportunities
 Strong passenger traffic
 Great passenger demographics
 High sales per square foot
 High sales per enplanement
 Excellent locations for your business

88. Facebook
/DullesFoodandShops
/ReaganFoodandShops
Twitter
@IADFoodandShops
@DCAFoodandShops
Website
DullesFoodandShops.com
ReaganFoodandShops.com
Follow us online:

89. Contact Us
LEASING
Michael DiCosola
Executive Vice President, Leasing
mdicosola@marketplacedev.com
(617) 243‐7452
Susan Drury
Leasing Manager
sdrury@marketplacedev.com
(703) 417‐1565
Hanna Koren
Specialty Leasing Manager
hkoren@marketplacedev.com
(703) 417‐1565
GENERAL MANAGERS
Kathy Viola
General Manager, DCA
kviola@marketplacedev.com
(703) 417‐1565
Kierran (KC) Casey
General Manager, IAD
kcasey@marketplacedev.com
(703) 572‐5080