City of Merced, California
626 W. Main Street
(Former Redevelopment Agency Asset)
Development Opportunity
Request for Proposals
RFP Issued – Wednesday, June 3, 2026
Deadline to Submit – Tuesday, June 30, 2026, 4:00 PM PST Exhibit 2
City of Merced –Development Opportunity
626 W. Main Street - RFP
CITY OF MERCED - OFFICE OF ECONOMIC DEVELOPMENT
626 W. MAIN STREET RFP – JUNE 2026
Table of Contents
Cover Page ............................................................................................................... 1 Table of Contents ............................................................................................................ 2
1. Introduction ................................................................................................................... 3 Overview of Site (known as “626 W. Main Street”).................................................... 3 Overview of Development Opportunity...................................................................... 7
2.General Plan and Zoning Designations ........................................................................... 7
3.Disclosures ................................................................................................................... 8
4.Submittal Requirements ................................................................................................... 8 Submittal Overview ................................................................................................... 8 Qualifications and Proposal Content ......................................................................... 9 Submittal Dates....................................................................................................... 11 Submittal Quantity and Contact............................................................................... 11
5.Evaluation Criteria, Award Procedures and Timeline ..................................................... 12 Evaluation Criteria................................................................................................... 12 Award Procedures................................................................................................... 13 Tentative Timeline................................................................................................... 13
6. Contact Information........................................................................................................ 14 DEADLINE FOR SUBMITTAL: Tuesday, June 30, 2026, at 4:00 PM PST APPRAISED VALUE: $55,000.00
Copies of RFP
An electronic copy of the RFP may be received by emailing Francisco MendozaGonzalez at [email protected] or accessed at the following location:
https://www.cityofmerced.gov/business-and-development/bid-opportunities City of Merced –Development Opportunity
626 W. Main Street - RFP
CITY OF MERCED - OFFICE OF ECONOMIC DEVELOPMENT
626 W. MAIN STREET RFP – JUNE 2026
1. Introduction
Overview of Site (known as the “626 W. Main Street”)
The City of Merced (“City”) invites experienced developers to submit proposals to venture with the City in the development of a ±2,500 square-foot site (“Site”) located at 626 W. Main Street in the heart of Downtown Merced. The Site, APN 031-134-025, (Figure 1), is bounded by W. Main Street to the north, a City parking lot to the south, vacant parcels to the west and to the east.
The Site includes one City-owned parcel of real estate previously designated for a walkway connecting a City parking lot to W. Main Street. The site is a former Redevelopment Agency asset. City sewer and water lines to serve the project are in the alley adjacent to the site.
Located in the San Joaquin Valley off Highway 99 with a population of just over 99,000, Merced is strategically positioned for growth fueled by economic engines such as the University of California Merced, Merced College, and Dignity Health. Merced is also designated as a High Speed Rail community. The Site is located within Merced’s recently designated Arts and Culture District and is in proximity to redeveloped uses including El Capitan Hotel, Mainzer Theater, Tioga Apartments and UC Merced on Main (Figure 2).
The City desires that the Site be developed as a commercial project consistent with the General Plan Designation of Regional Community Commercial (RC) and Zoning classification of Central Commercial (C-C). The ideal development entity should be experienced with commercial, retail, and office projects, well capitalized, and have a history of successful development projects. The City envisions the development of the Site as an integral component of the City’s economic base providing Merced residents, students, and visitors with new commercial services.
Appraised value of the site is $55,000.00. Bid amounts shall be submitted in a separate folder, marked BID AMOUNT, independent of the required submittal documentation.
City of Merced –Development Opportunity
626 W. Main Street - RFP
CITY OF MERCED - OFFICE OF ECONOMIC DEVELOPMENT
626 W. MAIN STREET RFP – JUNE 2026
Figure 1: Assessor’s Parcel Map Excerpt: APN 031-134-025 Project Site
626 W. Main Street
Merced, CA 95340
Illustrative Purposes Only
City of Merced –Development Opportunity
626 W. Main Street - RFP
CITY OF MERCED - OFFICE OF ECONOMIC DEVELOPMENT
626 W. MAIN STREET RFP – JUNE 2026
Figure 2: Site and Surrounding Land Uses (Illustrative Purposes Only) City of Merced –Development Opportunity
626 W. Main Street - RFP
CITY OF MERCED - OFFICE OF ECONOMIC DEVELOPMENT
626 W. MAIN STREET RFP – JUNE 2026
Figure 3: Project Site Map – 626 W. Main Street (Illustrative Purposes Only) City of Merced –Development Opportunity
626 W. Main Street - RFP
CITY OF MERCED - OFFICE OF ECONOMIC DEVELOPMENT
626 W. MAIN STREET RFP – JUNE 2026
Overview of Development Opportunity
Ultimately, the City desires that the selected developer(s) provides a quality, well designed and planned project that is consistent with the General Plan designation of Regional Community Commercial (RC) and Zoning classification of Central Commercial (C-C).
1. The development should be visionary and unique to Merced and complimentary to the surrounding architecture. The development, because of its uniqueness, should serve as a draw to the City of Merced. The selected developer will have the opportunity to meet directly with staff to exchange priorities and details about the expected design and quality of the development as well as proposed site improvements that may influence this project. These priorities will ultimately need to be considered and as part of the project pro forma.
2. The development should complement the surrounding land uses contained within the Downtown Core and the recent Arts and Cultural District designation.
3. The development should be complementary to surrounding uses such as the El Capitan Hotel, Mainzer Theater, Tioga Apartments, and other uses within the Downtown Core.
4. The developer should consider potential on-site improvements including (but not limited to) streetscape, lighting, and security.
2. General Plan and Zoning Designations
The definition of Regional Community Commercial in the General Plan may be found on the City of Merced’s website at:
https://www.cityofmerced.gov/business-and-development/planning/vision-2030-generalplan Zoning Code Designation – Central Commercial
The definition of Central-Commercial land uses in the Zoning Ordinance may be found on the City of Merced’s website at:
https://www.cityofmerced.gov/business-and-development/planning/zoning-ordinance City of Merced –Development Opportunity
626 W. Main Street - RFP
CITY OF MERCED - OFFICE OF ECONOMIC DEVELOPMENT
626 W. MAIN STREET RFP – JUNE 2026
3. Disclosures
1. The appraised value of the subject property is $55,000.00. All sales are cash sales, and the City will not carry a note. Construction of the project must commence within one-year and 6-months (18-months) from close of escrow. The site may not be acquired then sold for speculation. The City shall retain the right of revertership.
2. All costs to assemble and produce the proposal are the responsibility of the proposer.
3. The City reserves all rights to modify or terminate the selection process, go outside of the selection process to select a developer, or not select a developer at all. This RFP and selection process does not constitute any type of offer and creates no contractual or other liability to the City. There is no guarantee that a sale will be consummated, or that a project will be reviewed or accepted pursuant to this RFP.
4. The proposal must demonstrate development for the entire site and elevations for all buildings. The proposed development is subject to all applicable Federal, State, County, and City of Merced rules and regulations.
5. The successfully selected developer is responsible for paying all costs related to producing the submitted proposal and subsequent project development such as (but not limited to) development fees, building permit fees, inspection fees, connection and facility fees, etc.
6. Proposers are fully responsible for all due diligence including but not limited to securing information about the site such as General Plan land use designation, Zoning, Flood Zone, Engineering Plans & Specifications, and so on.
4. Submittal Requirements
Submittal Overview
The City reserves all rights regarding this solicitation including, but not limited to the right to amend or modify this RFP, reject all proposals, extend any dates, or use an Exclusive Negotiating Agreement (ENA) to initiate negotiations with the next most preferred respondent if negotiations with the preferred respondent. Should the City not receive qualified proposals of interest by the submittal deadline, it reserves the right to extend that deadline until qualified proposals of interest are received.
Respondents are responsible for ensuring submittals are received. All materials submitted during any part of the selection process become the property of City.
Received proposals may become subject to the California Public Records Act. The City of Merced –Development Opportunity
626 W. Main Street - RFP
CITY OF MERCED - OFFICE OF ECONOMIC DEVELOPMENT
626 W. MAIN STREET RFP – JUNE 2026
respondent may designate portions of its submittals that contain proprietary data as “confidential”, but the City cannot guarantee that it will be able to enforce such confidentiality.
The City shall not be responsible for any costs and/or obligations incurred by and/or on behalf of a potential developer in preparing, submitting, or otherwise participating in any part this RFP, the selection, documentation, or the development process in its entirety.
The City reserves the right to request clarification or additional information from respondents. Information included in this RFP is believed to be accurate but should be independently verified by potential respondents prior to reliance upon.
Qualifications and Proposal Content
The City’s top priority is to select a developer to design and build a high quality development project. The evaluation criteria will consider a prospective developer’s recent experience in working on projects of similar size, scope, and quality.
The evaluation and selection process will include two rounds as follows:
1. Respondents shall provide all the information that follows in this Section. Once the Review Committee has evaluated the proposals, each submitter will receive a letter and or email regarding the status of their project.
2. The Respondent selected will be notified via email and a letter mailed to the primary address provided. The selected respondent may be asked to submit additional material, including, but not limited to, financial references, as well as an in person interview and a preliminary Letter of Intent which would include a description of the proposed development, purchase price and terms, project delivery, and performance benchmarks.
3. Project Submittals – At a minimum, please include the following information for the evaluation process:
a. Letter of Introduction – Include a summary of the respondent’s basic qualifications, development experience, funding, and reasons for interest in this opportunity. A principal or authorized officer including a statement that the officer may make legally binding commitments for the entity must sign the letter.
b. Detailed description of proposed conceptual project – Include sufficient detail and definition as to proposed uses, tenants, and/or concept to give the Review Committee enough information to have an idea of what the final development could contain and look like from a proposed architectural standpoint. Supporting market data and collateral materials may be submitted to support the proposed concept.
City of Merced –Development Opportunity
626 W. Main Street - RFP
CITY OF MERCED - OFFICE OF ECONOMIC DEVELOPMENT
626 W. MAIN STREET RFP – JUNE 2026
4. Team Members – Identify members of the development team and provide a brief description of each team member’s role including the following:
a. Principals involved in the project.
b. Resumes of key team members.
c. A description of team members’ proposed roles and relevant experience with projects of similar nature and size and experience in and familiarity with development in Merced or surrounding areas.
d. Designation of lead contact for the team.
5. Relevant Project Experience - A summary of current and previous experience of the team regarding projects comparable in both size and uses. As appropriate, this information should include a project description, photos or site plan if available, land uses, dates completed, developer role, cost/value, financing sources, duration of development processes, role of current employees in the project, and existing status as to ownership and leasing of current developments, percentage (%) owned since project completion, and volume sold/leased. Additionally, please identify similar completed projects in the area that the can be visited and provide a name and contact information as well.
6. Project Approach - A high-level summary of the team’s approach and anticipated timing related to planning, design, approvals, phasing, development, construction, and operation. Provide examples of processes used in other similar projects as it relates to commercial development.
Please include a sample timeframe for construction demonstrating project completion.
7. Financial Data – A summary of the potential developer/development entity’s capability to secure the capital necessary to successfully fund and complete the proposed project.
8. References - An accurate list of no less than three references (name, title, entity, telephone number, email address, and contractual relationship to respondent) that may be contacted with respect to current and past project experience.
9. Litigation History with Public Agencies – Provide information as to any litigation that any developer/development entity that comprises the overall team has had with any public agencies over the last ten years.
10.Project Pro-Forma - All submittals will need to include project information such as anticipated total development budget (land, buildings, machinery, equipment, landscaping, construction, etc.).
City of Merced –Development Opportunity
626 W. Main Street - RFP
CITY OF MERCED - OFFICE OF ECONOMIC DEVELOPMENT
626 W. MAIN STREET RFP – JUNE 2026
11.Design Concept – The proposal shall include a site plan and elevations of the project that demonstrates the developer’s understanding of the City's goals for a quality, well designed, and planned project. Factors to include (but not limited to); a. Elevations – building material and color scheme;
b. Site Plan
c. Project phasing
12.Land use development:
a. Clearly state the proposed use and square footage of each building(s). b. Clearly state the use and square footage of each land use.
13.Site plan – Provide architecture-quality illustrations of Site development concept.
14.Payment for the City property - Each proposal shall include a method of Payment for the property. Property is sold for cash only and shall not be financed by the City of Merced.
15.Economic Data - Provide an estimate of the following items:
a. Building value(s)
b. Value of machinery and equipment
c. Number of new jobs created for each land use (permanent and part-time) d. Estimated property tax generated by each land use
e. Estimated sales tax generated by each land use
Submittal Date
Please return proposals by Tuesday, June 30, 2026, at 4:00 p.m. Pacific Standard Time to the contacts listed on the bottom of the page. The City may continue to solicit qualifications beyond the above date if the City, in its respective sole determination, is not satisfied with the number and quality of submittals received.
Submittal Quantity and Contact
Please provide five (5) printed copies of the submittal and one (1) electronic version on a CD, DVD, or flash drive to:
Francisco Mendoza-Gonzalez (209) 385-6827 (office)
Economic Development Administrator (209) 388-8623 (direct) City of Merced [email protected]
678 W. 18th Street
Merced, CA 95340
City of Merced –Development Opportunity
626 W. Main Street - RFP
CITY OF MERCED - OFFICE OF ECONOMIC DEVELOPMENT
626 W. MAIN STREET RFP – JUNE 2026
If you have any questions about the submittal process, please contact:
Francisco Mendoza-Gonzalez, Economic Development Administrator (See contact information on last page)
5. Evaluation Criteria Award Procedures and Timeline
Evaluation Criteria
The following sample criteria will be used as the basis for evaluating developer responses:
• The respondent's applicable experience and expertise as well as alignment with the City’s General Plan and Zoning Ordinance.
• The respondent’s experience in formulating and implementing successful projects of similar scope and character.
• The respondent has demonstrated ability to implement projects that retain and authentically reflect local character, while providing unique retail, restaurant, services, or opportunities contained in the Central-Commercial District of the Zoning Ordinance.
• The respondent’s record of accomplishment, experience, and financial capacity to start and complete projects and uses like those requested in the RFP. • The respondent has demonstrated ability to access capital for the proposed scope of development.
• Experience of key project team members with similar projects. • The proposed land uses, financial structure, project valuation, initial financial pro forma, supportive market data, quality of design and development, fiscal impact to the City and other taxing entities, and as applicable, project/site components to be provided by the City. In its consideration of the response to this RFP, the City may request additional information.
The order of presentation of the above criteria does not necessarily denote the specific importance of the same or is a complete comprehensive list.
City of Merced –Development Opportunity
626 W. Main Street - RFP
CITY OF MERCED - OFFICE OF ECONOMIC DEVELOPMENT
626 W. MAIN STREET RFP – JUNE 2026
Award Procedures
1. A committee, comprised of City Staff (the “Committee”), will evaluate responses to this RFP. The Committee shall make selections based on the Committee’s evaluation of the respondents’ submittals.
2. The Committee will evaluate project concepts based on their judgment as to which proposals best satisfy the objectives expressed by the City in this RFP, as well as provide a desired potential development project, financial return, and fit for the City. The Committee shall present the recommended proposal to the City Council.
3. The City may pursue negotiations with the top-ranked respondent with the goal of entering into an Exclusive Negotiating Agreement (“ENA”) or Purchase and Sale Agreement (PSA) within 90 days of selection. If a satisfactory ENA or PSA cannot be negotiated with that respondent, then the City will formally end negotiations with that respondent and may pursue negotiations with the respondent that next best satisfies the objectives and goals expressed by this RFP, as determined by the City, or in its sole and absolute discretion proceed on alternative basis or terminate the process.
4. As appropriate, the selected development team must comply with statutory and administrative requirements pertaining, but not limited to, zoning ordinances, subdivision requirements, fee schedules, and other applicable City, County, State and Federal codes and ordinances.
5. The City reserves all rights to modify or terminate the selection process, go outside of the selection process to select a developer, or not select a developer at all. This RFP and selection process does not constitute any type of offer or create any contractual or other liability to the City.
Tentative Timeline
• Request For Proposal released on Wednesday, June 3, 2026* • Question & Answer Correspondence Closes on Wednesday, June 17, 2026* • Responses to RFP due on Tuesday, June 30, 2026*
(Note: * = Subject to Change at City discretion)
City of Merced –Development Opportunity
626 W. Main Street - RFP
CITY OF MERCED - OFFICE OF ECONOMIC DEVELOPMENT
626 W. MAIN STREET RFP – JUNE 2026
6. Contact Information
City Contact
Francisco Mendoza-Gonzalez
Economic Development Administrator
City of Merced
678 W. 18th Street
Merced, CA 95340
(209) 388-8623
[email protected]