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City Council/Public Finance and Economic Development Authority/Parking Authority
October 19, 2026

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Presentation
Meeting
October 19, 2026
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City Council/Public Finance and Economic Development Authority/Parking Authority
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9/23/2026
1 Proposal Review -
RFP for 626 W. Main St.

Francisco Mendoza-Gonzalez,
Economic Development Department
1 Attachment 7
9/23/2026
2 City-Wide Context Map
2 9/23/2026
3 Location Map
640 & 636 W. Main
(Hopeton Properties)
620 W. Main
(Larson Family)
626 W. Main
(City of Merced)
3 9/23/2026
4 Background Information
 The property at 626 W. Main St. is 2,500 s.f. (0.057-a.c.) with a GP Designation of Regional/Community Commercial and
Zoning classification of Central Commercial.
 The property was previously used to provide pedestrian access from a City Parking Lot to Main St.
 On January 5, 2026, the City Council voted to initiate the sale of this site for future development.
4 9/23/2026
5 Exempt from Surplus Land Act
 Property considered exempt from Surplus Land Act pursuant to Government Code 54221 (f)(1)(B) for sites under ½ acre not adjacent State or local agency or used for open-space or low-and moderateincome housing.  Staff provided 30-Day Notice of Exemption from Surplus Land Act to CalHFA certified housing sponsors, impacted tax agencies, and other local agencies.
 This designation and process was reviewed and approved the (State) California Department of Housing and Community Development (HCD) 5 9/23/2026
6 RFP Details
 A Request for Proposal (RFP) to transfer and develop this site was released on June 3, 2026, ending on June 30,
2026.
 The RFP disclosed the appraised value of $55,000
 The RFP required:
 At least three references
 Disclosures of any litigation with public agencies
 Requires construction begin within 18 months of escrow Submission:

The City received three proposals from this RFP.
6 9/23/2026
7 Proposal #1
 Caleb Medefind/Hopeton Properties, LLC – “The Porch on Main”:
(purchase prices of $25,000)
7 9/23/2026
8 Project Area
PA
Minimum project area
of 17,500 s.f. with
potential to expand to
22,500 s.f. pending
agreements.
8 9/23/2026
9 Site Plan
Recreation Area:

Bocce Ball
Courts & Fire Pits Area for
Food Trucks
Stage/Outdoor Seating
1,000-1,500 seats
Beer/Wine
Flexible Seating
100-150 seats
BR
9 9/23/2026
10 Conceptual Renderings/Visuals
10 9/23/2026
11 Renderings/Visuals
11 9/23/2026
12 Renderings/Visuals
Jobs: 23-55 PT/FT Jobs
Experience:

Convention Center in
Downtown Phoenix, AZ
and 18-story hotel in
Arlington, TX
Project Capital:
$450,000 - $550,000
12 9/23/2026
13 Proposal #2
 John Martin/626 W. Main St., LLC – “The Merced Commons Plaza”
 Purchase prices of $65,000
13 9/23/2026
14 Project Area
PA
Maximum project area
of 7,500 s.f.
14 9/23/2026
15 Site Plan
Stage
Lounge Areas
Shade Sails
Native Landscaping
Bike Parking
Stage
Gate
15 9/23/2026
16 Conceptual Renderings/Visuals
Jobs: TBD
Experience:

El Capitan Hotel, Mainzer, Tioga Apts.

Project Capital: TBD
16 9/23/2026
17 Proposal #3
 John Larson/ERE Construction – “Main Street Vallet Lane & Parking Improvement”
 Purchase prices of $25,000
17 9/23/2026
18 Project Area
Maximum project
area of 2,500 s.f.

City Property
Only
P
A
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19 Site Plan
 No Site Plan Submitted
19 9/23/2026
20 Renderings/Visuals
 No Renderings or Elevations Provided
20 9/23/2026
21 Project Details
 Parking Lot for El Capitan Hotel
 Pave One Way Drive Lane
 Vallet Parking for 4-6 vehicles queued off the street  Short Term Parking for 3-4 vehicles
Jobs: 5-9 PT/FT Jobs
References: Not
Provided
Project Capital:
$177,100 - $245,300
21 9/23/2026
22 Staff Evaluation Committee Review
 Consisted of four (4) members from the City Manager’s Office, Economic Development, and Planning Division
 Open-ended consideration with some focus on:
 Quality of Project - Architectural and Landscaping Design  Community Benefit – Job creations, space accessibility for all ages, flexibility of space to support various uses
 Economic Value – Proposed sale prices and level of investments.

Potential tax revenue (though not quantifiable yet).
 Maximization of Site Potential - Using site to full potential/scale and compatibility with Downtown Merced/Arts & Cultural District  Experience and Qualifications – Developers experience with similar projects and overall qualifications.
22 9/23/2026
23 Recommendation
 Staff Evaluation Committee recommends the proposal submitted by Hopeton Properties, LLC (The Porch on Main) for reasons outlined below:
 Family Friendly Design: Family game area, bocce court, fire pits, social spaces, etc.
 Job Creation: Highest projections at 23-55 PT/FT
 Capital Investment: Highest investment at $450,000 - $550,000  Scale and Scope of Development: Largest Development at 17,500 s.f. – 22,500 s.f.
 Business Incubation Opportunities: Allows for micro-retail spaces to test market for future brick and mortar.
 Versatility & Site Activation: Social gathering with entertainment stage to seat 1,000-1,500 people. Offered most activation of Main St. that would further Downtown’s Arts & Cultural District designation.
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24 Finance and Economic Subcommittee
 On September 2nd, 2026, staff presented its recommendation to the Finance and Economic Development Subcommittee and the subcommittee provided general support for staff to present this item to the City Council.
24 9/23/2026
25 City Council Action
 After opening & closing Public Comments the City Council may take action and select:
 “Porch on Main” submitted by Hopeton Properties, LLC . (as recommends by staff)
 “Merced Commons Plaza” submitted by 626 W. Main St., LLC  “Main Street Valet Lane & Parking Improvement” submitted by ERE Construction/John Larson
 Continue the item with specific direction and specific meeting date
25

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