Hollywood Real Estate Workshop Presentation - February 2020
Transcript of Hollywood Real Estate Workshop Presentation - February 2020
FEBRUARY 26, 2020
CITY COMMISSION WORKSHOP
CITY OF HOLLYWOODREAL ESTATE ADVISORY AND TRANSACTION SERVICES
AGENDA
• Real Estate Development and the City’s Strategic Focus Areas • Gus Zambrano, ACM Sustainable Development
• Introduction of CBRE Real Estate Advisory Services • Raelin Storey, Director, CMED
• Site Analysis and Recommendations• Michael McShea, Executive Vice President, CBRE• Lee Ann Korst, SE Regional Manager, CBRE• Larry Genet, Senior Vice President, CBRE
• Update on Current City Property Redevelopment Initiatives• Raelin Storey, Director, CMED
• Commission Discussion and Questions
CITY COMMISSION WORKSHOP
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STRATEGIC PLAN
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Economic Vitality
Infrastructure and Facilities
Maximize opportunities for revenue generation
Maintain a sustainable City budget
Allocate resources to improve public rights of way and other City Property
Grow the City’s tax base by facilitating investment and redevelopment of properties
Facilitate investment in public infrastructure
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TEAM OVERVIEW
LEE ANN KORSTSE Regional Manager
850 251 [email protected]
MICHAEL MCSHEAExecutive Vice President
202 669 [email protected]
LARRY GENETSenior Vice President
954 331 [email protected]
JAKE ZEBEDEAssociate
305 975 [email protected]
OVERVIEW OF CBRE
FORTUNE
500
FORTUNE Most Admired
CompanyFORBES LIPSEY ETHISPHERE EUROMONEY
#146 in 2019
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#1 in real estate in 2019.
Seven consecutive years on the list
A top company for diversity, women
and new
graduates
#1 brand for 18 consecutive years
Named one of the World’s Most Ethical
Companies six years in a row
Global Real Estate Advisor of the Year
six of past seven years
LOCAL MARKET PRESENCE
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CBRE is Florida’s leading commercial real estate services firm. Since establishing a presence in the state more
than 39 years ago, our firm has been recognized for advising clients across Florida and helping them leverage
market opportunities to achieve their business objectives. With approximately 1,249 employees, including 165
real estate brokerage professionals in 8 offices across the state, CBRE offers a full range of commercial real
estate services to fit our clients’ specific needs.
FLORIDA MARKET PRESENCE
In 2018, the Florida offices
completed 2,648 transactions
totaling more than $13.2B in
transaction value.
1,249EMPLOYEES
$10.1B SALES
$3.03BLEASING
36.8 MSFUNDER
MANAGEMENT
PUBLIC INSTITUTIONS &
EDUCATION SOLUTIONS (PIES)
• Nationwide
• Work exclusively with State, County, City
Governments and Educational Institutions
• 100 Public Sector Clients
– Office/Industrial Leasing
– Positioning Under-utilized assets for
sale: Ports
– Redeveloping Assets: Convention/Civic
Centers
– Public/Private Partnerships:
Courthouses, Administration Buildings
PUBLIC SECTOR EXPERTS
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CBRE STATE AND LOCAL GOVERNMENT PARTIAL CLIENT LIST
CBRE provides state and local government entities with comprehensive real estate
solutions.
Challenges:
DEFERRED
MAINTENANCE
SHIFTING
DEMOGRAPHICS
INEFFICIENT
USE OF SPACE
UNFUNDED
MANDATES
Opportunities:
WELL-LOCATED
ASSETS
REVENUE
GENERATION
ECONOMIC
DEVELOPMENT
MOTIVATED
STAFF
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CITY HALLCURRENT SITUATION
Total site = 9.89 Acres
Dated City Hall facility – approximately 60 years old
319 employees occupy the City Hall complex
The City occupies space in two other locations: 3,664 SF (Design and Construction Management
– city owned) and 6,000 SF (Parks and Recreation – commercial lease). These spaces could be
consolidated into a new City Hall
Systems approaching their End of Useful Life (EUL)
Deferred maintenance and ADA required of $4.9 MM to bring facility up to acceptable condition
Capital improvement needs of $3.2 MM over the next 10 years to maintain the facility
The Parks and Recreation lease expense is $101,000 annually
The buildings are functionally poor and inefficient
Valuable and underutilized existing site
Broward County Library Building
o Underutilized with only 1 of 2 floors occupied;
o Building foundation designed and constructed to handle the addition of two additional
floors
o Opportunity for the City to backfill vacancy and maximize density on site
o Funding ($200k) allocated for design of development services center
Massing plans demonstrate various densities and uses for existing site
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CITY HALLANALYSIS TO DATE
Facility Condition Assessment (FCA) MASSING PLANS
• Short term deficiencies: windows, roofing
systems, Mechanical, Electrical and Plumbing
(MEP) systems, pavement, drainage
• Wear and tear is consistent with age of facility
– 60 years old
• Building systems nearing End of Useful Life
(EUL)
• Interior finishes are in fair to poor condition;
beyond their useful life
• Interior spaces have been re-purposed
without proper space planning resulting in
inefficiency
• Evidence of moisture merits a mold and
moisture survey be completed as part of a full
environmental report
• If the City remains, a comprehensive capital
improvement program is needed
• Scale based drawings to provide development
scenarios for City Hall Circle
• Conceptual in nature – numerous variations could
be considered and proposed – intended to
provide a sense of what could be accomplished
on the site
• Guidelines include:
o Incorporate the existing Library
o Best use of current City Hall including
relocation
o Have transition to existing surrounding sites
o Plan for potential connections throughout
the circle with the surrounding area
o Keep in mind the city zoning regulations to
“rezone”
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CITY HALLFCA- SPACE UTILIZATION
PROPERTY OUTLINE
BUILDINGDATE OF
CONSTRUCTION
NUMBER OF STORIES
APPROXIMATE
SQUARE FOOTAGEUTILIZATION
City Hall 1967 4 Stories 83,700 Municipal Building/Offices
City Hall – Annex 1960’s 2 Stories 19,300 Municipal Offices
Old Library 1960’s 2 Stories 21,800 Municipal Building/Offices
TOTAL 124,800
PRCA and DCM
*FCA’s not performed, but
included to reflect space
utilization
1990’s Single story 9,664 Municipal Offices/Storage
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CITY HALLMASSING PLANS
DEVELOPMENT OPTION 1: Retains City Hall (LOWER DENSITY)
• Design concept shows city hall remaining on the site (although designed in a way that
structure could be used for other purposes)
• Creates an iconic central plaza
• Improves pedestrian access, while keeping two existing entrances
• Centralizes the main pedestrian spaces and building frontages
• 3 parking structures serve all uses within the site
• Max. bldg. height - 7 stories
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CITY HALLMASSING PLANS
SUMMARY
Lot Area 430,808 ft 2
Acres 9.89
Zone RC-1 FAR 2.75
Total Maximum Buildable Area by FAR 1,184,722 ft2
Design Option Buildable Gross Area 933,693 ft2
Design Option Buildable Net Area 632,597 ft2
Design Option Resulting FAR 1.47
Design Open Space Area 76,613.14
Design Resulting Open Space % 18%
Design Bldg. Footprint Area 196,436 ft2
Design Bldg. Footprint Coverage % 46%
Design Maximum Levels 7
Total Civic Use Area 147,061 ft2
Total Commercial Use Area 50,351 ft2
Total Office Use Area 121,659 ft2
Total Hotel Use Area 31,488, ft2
Total Hotel Rooms 126 rm
Total Residential Use Area 168,170 ft2
Total Residential Units 210 du
Total Parking Required 993
Total Parking Provided 1,019
OPTION 1: Retain City Hall
LOWER DENSITY
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CITY HALLMASSING PLANS
OPTION 1a: Retain City Hall MAXIMIZED DENSITY
SUMMARY
Lot Area 430,808 ft 2
Acres 9.89
Zone RC-1 FAR 2.75
Total Maximum Buildable Area by FAR 1,184,722 ft2
Design Option Buildable Gross Area 1,786,769 ft2
Design Option Buildable Net Area 1,184,578 ft2
Design Option Resulting FAR 2.75
Design Open Space Area 76,613.14
Design Resulting Open Space % 18%
Design Bldg. Footprint Area 196,436 ft2
Design Bldg. Footprint Coverage % 46%
Design Maximum Levels 25
Total Civic Use Area 125,039 ft2
Total Commercial Use Area 64,901 ft2
Total Office Use Area 431,730 ft2
Total Hotel Use Area 92,790 ft2
Total Hotel Rooms 371 rm
Total Residential Use Area 256,893 ft2
Total Residential Units 321 du
Total Parking Required 1,908
Total Parking Provided 1,994
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CITY HALLMASSING PLANS
DEVELOPMENT OPTION 2: Redevelopment without City Hall
• Design concept intended to create a frontage to surrounding neighborhoods
• Improves pedestrian and vehicular access to the site
• Removes City Hall opening up the main site’s intersection for new possibilities
• Design proposes radiating main pedestrian and building frontages for pedestrian friendly
surroundings
• Three parking lots and street parking that serves uses within the site
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CITY HALLMASSING PLANS
OPTION 2: Redevelopment without City Hall
SUMMARY
Lot Area 430,808 ft 2
Acres 9.89
Zone RC-1 FAR 2.75
Total Maximum Buildable Area by FAR 1,184,722 ft2
Design Option Buildable Gross Area 1,335,372 ft2
Design Option Buildable Net Area 881,572 ft2
Design Option Resulting FAR 2.05
Design Open Space Area 77,207.0
Design Resulting Open Space % 18%
Design Bldg. Footprint Area 123,294 ft2
Design Bldg. Footprint Coverage % 29%
Design Maximum Levels 7
Total Civic Use Area 125,039 ft2
Total Commercial Use Area 52,546 ft2
Total Office Use Area 349,623 ft2
Total Hotel Use Area 17,889 ft2
Total Hotel Rooms 72 rm
Total Residential Use Area 132,684 ft2
Total Residential Units 166 du
Total Parking Required 1,417
Total Parking Provided 1,499
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CITY HALL
CITY OF HOLLYWOOD
CITY HALL
2 6 0 0 H o l l y w o o d B l v d
H o l l y w o o d , F L 3 3 0 2 0
P a r c e l N o . 5 1 4 2 - 1 6 0 1 0 0 1 0
Recommendation:
Right size space utilization and reduce square footage
from 391 SF / FTE to standard of 180 SF / FTE
Maximize redevelopment density (market supported)
at City Hall Circle
Consolidate PRCA and DCM administrative functions
into City Hall; discontinue PRCA lease
Next Steps:
Evaluate cost and location options for 3 City Hall
scenarios:
1. Remain at City Hall circle
2. Relocate to another location
3. Variation of 1 and 2 (some functions remain,
other functions relocate)
Complete space programming to determine exact
space for new City Hall
Based on market data and recent sales comparables, CBRE believes the proceeds from the land value and tax revenue will be adequate to fund a new city hall facility while increasing the tax base.
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HPD/ORANGEBROOK
CITY OF HOLLYWOOD
HPD/ORANGEBROOK
3 2 5 0 H o l l y w o o d B l v d
H o l l y w o o d , F L 3 3 0 2 1
P a r c e l N o .
5 1 4 2 - 0 8 - 0 1 - 0 0 3 0
Current Situation
• 14 +/- acre site available for
development (post referendum)
• Prime location: corner of Hollywood
Boulevard and S Park Road
• City is committed to build:
• New Police Department
Headquarters facility
• New golf course clubhouse
• Maximize remaining acreage for
commercial development that supports
tax base and complements renewed
golf course
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HPD/ORANGEBROOKMASSING PLANSDEVELOPMENT OPTION 1: GENERAL CONCEPT
• Continue the east-west grid of streets
• Create a central park concept to also have a strong
north-south connection thru the site.
• Single family lots facing the existing single family
neighborhood, single family detached in the center
and townhouses on the north-east block.
• Hotel proposed along Park Rd adjacent to golf
course and clubhouse.
• Police Headquarters proposed on the middle block
(west side); easy access to the larger road
• Higher density building blends better to the higher
density buildings to the west
• City Hall proposed on the same block as the Police
Headquarters sharing parking structure
• 2 and 3 story building provide a transition from the
single family units to the higher density buildings.
• Clubhouse is located at the south-east corner
(proximity to the golf course and also to the
existing drop-off)
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HPD/ORANGEBROOKMASSING PLANS
DEVELOPMENT OPTION 1:
SUMMARY
Lot Area 646,503 ft2
Acres 14.84
Design Option Buildable Gross Area 645,575 ft2
Design Option Buildable Net Area 529,372 ft2
Design Option Resulting FAR 0.82
Design Open Space Area 57,124.0
Design Resulting Open Space % 9%
Design Bldg Footprint Area 113,856 ft2
Design Bldg Footprint Coverage % 18%
Design Maximum Levels 8
Total Civic Use Area (Police/City Hall) 264,673 ft2
Total Commercial Use Area 53,675 ft2
Total Office Use Area 95,617 ft2
Total Hotel Use Area 76,715 ft2
Total Hotel Rooms 306 rm
Total Residential Use Area 55,252 ft2
Total Residential Units 133 du
Total Parking Required 1,245
Total Parking Provided 1,708
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HPD/ORANGEBROOKMASSING PLANS
DEVELOPMENT OPTION 2: GENERAL CONCEPT
• Continue the east-west grid of streets
• Create three connected green spaces from north to
south
• Single family neighborhood to the east, adding
mid-density buildings to the east of the site
• Police Headquarters is located at the middle of the
design
• Higher density portion facing the internal street of
the design.
• Office is located at the North-West parcel, making it
the anchor (benefits from direct access to
Hollywood Boulevard)
• Other two blocks can be multifamily or hotel
depending on market
• Clubhouse is located at the south-east corner
(proximity to the golf course and also to the existing
drop-off)
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HPD/ORANGEBROOKMASSING PLANS
DEVELOPMENT OPTION 2:
SUMMARY
Lot Area 646,503 ft2
Acres 14.84
Design Option Buildable Gross Area 776,891 ft2
Design Option Buildable Net Area 637,051 ft2
Design Option Resulting FAR 0.99
Design Open Space Area 72,580.0
Design Resulting Open Space % 11%
Design Bldg. Footprint Area 178,985 ft2
Design Bldg. Footprint Coverage % 28%
Design Maximum Levels 8
Total Civic Use Area 245,265 ft2
Total Commercial Use Area 62,766 ft2
Total Office Use Area 70,279 ft2
Total Hotel Use Area 76,705 ft2
Total Hotel Rooms 277 rm
Total Residential Use Area 72,717 ft2
Total Residential Units 168 du
Total Parking Required 1,170
Total Parking Provided 1,439
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HPD/ORANGEBROOK
CITY OF HOLLYWOOD
HPD/ORANGEBROOK
3 2 5 0 H o l l y w o o d B l v d
H o l l y w o o d , F L 3 3 0 2 1
P a r c e l N o .
5 1 4 2 - 0 8 - 0 1 - 0 0 3 0
Recommended Next Steps
• Finalize Police Department space program
(underway)
• Master plan the site to maximize commercial
development
• Consider relocating citizen service functions
from City Hall
• Subdivide parcels the City will continue to
operate
• Issue RFP for commercial development on the
commercial development parcels
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CULTURE AND COMMUNITY CENTER
CITY OF HOLLYWOOD
BEACH CULTURE AND
COMMUNITY CENTER1 3 0 1 S o u t h O c e a n D r i v e
H o l l y w o o d , F L 3 3 0 2 0
P a r c e l N o .
5 1 4 2 - 2 4 - 0 1 - 0 0 1 1
Current Situation
Valuable and underutilized site
Highly utilized community center
Highly utilized public parking
Opportunity to monetize site and create
recurring revenue source to the City
Site size allows redevelopment to
accommodate parking and a new community
center on the existing parcel
Ongoing remediation is required in existing
facility due to moisture intrusion through slab
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CULTURE AND COMMUNITY CENTER
ENVIRONMENTAL REPORT SUMMARY
• Elevated humidity levels• High moisture content in
concrete slab• Inadequate ventilation in
floor system • Creates condition for
mold growth floor tile surfaces and joint lines
• Conditions have been mitigated over the years
• Exacerbated by tidal fluctuations associated with hurricanes and king tides
*Pricing for the repairs and remediation TBD.
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CULTURE AND COMMUNITY CENTER
CITY OF HOLLYWOOD
BEACH CULTURE AND
COMMUNITY CENTER1 3 0 1 S o u t h O c e a n D r i v e
H o l l y w o o d , F L 3 3 0 2 0
P a r c e l N o .
5 1 4 2 - 2 4 - 0 1 - 0 0 1 1
Recommended Next Steps
Determine needs for future Culture & Community
Center building
Redevelop the site to its highest and best use
Consider required future public parking
Utilize beachfront for public amenities /
broadwalk extension
Take advantage of market interest and readiness
in this market cycle to achieve renewed and new
community amenities and increase the tax base
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1203 NORTH FEDERAL HWY
CITY OF HOLLYWOOD
NORTH FEDERAL LAND1 2 0 3 N o r t h F e d e r a l
H o l l y w o o d , F L 3 3 0 2 0
P a r c e l N o .
5 1 4 2 - 1 0 - 0 5 - 0 0 3 0
• Underutilized City owned asset –
potential for revenue generation
• City acquired property in 2014
• Approximately 0.45 Acres
• Located within the City’s Regional
Activity Center and zoned FH-2
• Mixed-use development planned in
surrounding area (10 story residential
with street retail)
Current Situation
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1203 NORTH FEDERAL HWY
CITY OF HOLLYWOOD
NORTH FEDERAL LAND1 2 0 3 N o r t h F e d e r a l
H o l l y w o o d , F L 3 3 0 2 0
P a r c e l N o .
5 1 4 2 - 1 0 - 0 5 - 0 0 3 0
Broadly market the property
Issue a RFP to competitively solicit offers
from interested developers
Negotiate proposals received that are in the
City’s best interest (mix of uses and return to
the City)
Recommended Next Steps
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Other City-owned Sites
b
• Finalizing Land Development and Disposition Agreement with Park Road Development, LLC
• Preparing Item for Commission Consideration March 18, 2020
1600 South Park Road
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Other City-owned Sites
b
• Re-advertised P3 Opportunity
• Information Currently Posted on City Website
• Submissions Due March 12, 2020
University Station
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Other City-owned Sites
b
• RFP Issued
• Information distributed via Bidsync
• Submissions Due March 23, 2020
2717 Van Buren Street