Prepared For
CITY OF PACIFICA
Updated April 8, 2022
PROPOSAL FOR
Professional Brokerage Services
RFP# CC18-085
Prepared By
Kosmont Companies
1601 N. Sepulveda Blvd. #382
Manhattan Beach, CA 90266
(424) 297-1070
PROPOSAL FOR
ECONOMIC OPPORTUNITIES
STUDY
Photo Credit: www.facebook.com./cityofpacifica
April 8, 2022
Ms. Yulia Carter
Chief Fiscal Sustainability Officer
City of Pacifica
540 Crespi Drive
Pacifica, CA 94044
Delivered using the City’s Open Gov Procurement portal
Re: City of Pacifica Request for Proposals (“RFP”) for Economic Opportunities Study Dear Ms. Carter and City Staff:
Kosmont & Associates, Inc., doing business as Kosmont Companies (“Kosmont” or “Consultant”) is pleased to present this updated proposal to the City of Pacifica (“City” or “Client”) to provide an Economic Opportunities Study for the five main business districts: Pacific Manor, Sharp Park, Rockaway Beach, Linda Mar, and Pedro Point. The goal is to identify long term commercial opportunities that are supported by market forces and enhanced by recommended strategies the City and the business community can pursue. The City also wants specific recommendations for the City-owned Beach Boulevard Hotel Site, Quarry property and assessment of Palmetto Avenue and connected streets in Sharp Park to become a downtown shopping area.
Kosmont Companies, a certified Minority Business Enterprise (“MBE”) and Small Business Enterprise (“SBE”), is a full-service local government, economics and real estate advisory firm with a 35+-year track record of working with cities and public agencies on economic development, downtown retail market analyses, and guidance on more than 1,000 public private projects and strategies. Kosmont Companies prides itself on working closely with City staff on economic development projects and asset strategies.
Our public and private sector experience, and in-depth expertise in multiple areas, make us the ideal firm to provide the City with an Economic Opportunities Study that addresses demographic, tourism and market analysis, economic development strategies, business retention and attraction, and how land use and regulatory policies impacts economic development.
Kosmont was founded in 1986 by Larry J. Kosmont, our current active Chairman and CEO. Leadership includes International Council of Shopping Centers (“ICSC”) U.S. P3 Retail Advisory Board member Mr. Ken K. Hira, who oversees retail market studies, retail retention and recruitment, public-private partnerships, and related tasks through our Kosmont Retail NOW!® platform. Further, our highly experienced team comprises former City Managers, Directors of Economic Development/Redevelopment, Community Development, and Financial Services.
Kosmont Companies
Mailing Address: 1601 N. Sepulveda Blvd., #382 (424) 297-1070 Physical Address: 1230 Rosecrans Ave., #630 Manhattan Beach, CA 90266 www.kosmont.com Manhattan Beach, CA 90266 Section A. Transmittal Letter
i
Follow Kosmont: @KosmontTweets ii Kosmont Companies
(424) 297-1070
www.kosmont.com
SUBMITTED BY: KOSMONT AND ASSOCIATES, INC. DBA KOSMONT COMPANIES Physical/Headquarters: 1230 Rosecrans Ave, # 630, Manhattan Beach, CA 90266 Mailing Address: 1601 N. Sepulveda Blvd. #382, Manhattan Beach, CA 90266 Main Office: (424) 297-1070 / Website: www.kosmont.com
Kosmont provides services to Clients virtually, in-person, from satellite locations, & from the Manhattan Beach headquarters across the Western U.S. This project is assigned to the Manhattan Beach headquarters office.
LEAD CONSULTANT AND PRIMARY CONTACT
Mr. Ken K. Hira, President / Cell: (949) 226-0288 / Email: [email protected] What sets Kosmont apart is our hands-on experience, practical perspective, and understanding of how current land use/retail trends (e.g., Omnichanneling and Social Media platforms) affect the real estate landscape (tenant mix and land use) and investment in a community. Kosmont also has expertise in analyzing the local/regional lodging market supply; determining future demand for hotel rooms; assessing City’s opportunity sites and examining the financial feasibility of a new hotel. We are aware of no other firm that possesses the combination of credentials and experience that can be delivered by Kosmont.
The Kosmont team fully understands the range of products and services required for this analysis. Our approach included herein will detail how we plan to provide a comprehensive market analysis and commercial strategy as part of the Economic Opportunities Study.
As requested, no officer or employee of Kosmont Companies is directly or indirectly a party to or in any other manner interested financially or otherwise in the corresponding City RFP.
We believe that our proposal will support the conclusion that Kosmont is very qualified to deliver the requested services. We look forward to the opportunity to assist the City of Pacifica and are available to discuss further at your convenience.
Sincerely,
Larry J. Kosmont, CRE® Ken K. Hira
Chairman and CEO President
CITY OF PACIFICA
Economic Opportunities Study
KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
SECTION B.
UNDERSTANDING / APPROACH
Kosmont understands the challenges facing the City and hundreds of other cities in the rapidly evolving retail market.
The City wants an Economic Opportunities Study to assist in preparation of an Updated Economic Development Strategic Plan, updated zoning and land use policies for future Specific Plans.
Kosmont understands that the City faces some upcoming financial challenges, with General Fund deficits expected following the end of ARPA funding. The RFP for Economic Opportunities Study is designed to help the City identify opportunities within the various districts to spur economic development and increase revenues.
Today’s consumers are using online websites for purchasing commodities and a broad array of goods. Current economic forces require approaches to land use that explore diversification in uses and densities, and concepts for public amenities and private attractions that help cities capture trips and thus “sales”. Younger consumers, with their increased use of media and digital communication, seek gathering places with restaurants, entertainment venues and experiential retail, rather than simply a collection of traditional store fronts. Another important group is the creative class of professionals (artists, designers, scientists, musicians) who are an important force in economic development.
This dynamic workforce s attracted to communities with clustered centers, which provide a sense of vitality, diversity, convenience and a mix of work, entertainment, services, arts and culture.
The City is seeking a consultant to provide focused recommendations to enhance the economic vitality of the five City districts. Kosmont is dedicated to assisting the City in achieving this objective by conducting a retail market analysis and strategy for each area and believes our retail expertise and experience/understanding of retail markets makes us an ideal candidate to advise the City. It is our in-depth understanding and expertise in retail trends and relationships that sets Kosmont apart. Kosmont’s approach is to not only analyze, but also strategize, and most importantly, implement our findings (as desired) to help the City achieve the desired results. The goal is to create a compelling experience for commercial uses and foster a sense of community to which people are drawn based on an inspiring downtown environment.
SCOPE OF SERVICES
The following scope of work details Kosmont’s suggested approach for the analysis. The elapsed time required for each task is included herein and in total is estimated to take 5 months to complete and present to City Council.
Task 1: Kick off Meeting and Assessment of Current Retail Conditions (2 weeks) Kosmont will commence its assessment by meeting with City staff to discuss Client objectives, review scope of work and establish communication protocols. We will tour the five commercial areas and review the following documents:
• City General Plan
• CDA Marketing Plan
• Business Tax Data by Geo Zone
• 2013 Economic Development Strategic Plan
• Vision 2025 & Beyond Financial Sustainability Study
1 CITY OF PACIFICA
Economic Opportunities Study
B. EXECUTIVE SUMMARY AND UNDERSTANDING OF REQUIRED SERVICES
KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
Kosmont will learn from this review the many ideas that have been recommended by the community and will prepare a strengths, weaknesses, opportunities and threats (SWOT) analysis to help prioritize the ideas.
Task 2: Stakeholder/Community Outreach (2-3 weeks)
Kosmont will work with City staff to coordinate meetings with stakeholders/the community, such as City staff, local business owners, and other organizations to understand goals and objectives (e.g., increase tax revenues, provide better services for residents, etc.) and identify target businesses best suited to achieve those objectives (to be conducted either in-person or via Zoom). Kosmont will lead one in-person public workshop to present summary of existing conditions, gather community opinions, and will conduct online survey(s) to solicit feedback from other community members. (View Sample Workshop Agenda)
Task 3: Economic Trends & Market Potential (3 Weeks)
Kosmont will outline the current national and regional retail trends relevant to the retail environment (e.g., increasing emphasis on destination and experience). Consultant will identify commercial retail and hospitality market trends, best practices and incentives used by other communities to retain local businesses.
To better understand the local retail market, Kosmont will prepare an Economic and Demographic Profile, illustrating social and economic characteristics, including population, household incomes, race/ethnicity, housing preferences, educational attainment, commute patterns, resident/employee concentrations, tourist population, tapestry segments (a psychographic analysis profiling lifestyles, purchasing behaviors, and media readings of area households and individuals), and other metrics such as artificial intelligence / location data analytics within specific geographic boundaries as deemed relevant by Consultant.
Additionally, Kosmont will evaluate market potential within the areas for major retail subcategories (e.g., restaurants, grocery, general merchandise, etc.). This evaluation will include an analysis of household spending potential by retail category. Kosmont will also examine variables such as retail sales per square foot, sales tax revenue, retail inventory, vacancy and lease rates, absorption rates, and other relevant real estate data for comparable communities. From this analysis and findings, Kosmont will make recommendations for the City to potentially gradually expand retail service offerings toward the needs of residents and visitors. Kosmont will prepare an interim draft report summarizing the results of the initial analysis.
Task 4: Tourism Case Studies (2-3 Weeks)
Kosmont will outline retail trends and case study research relevant to support a vibrant mix of blended uses (retail, hospitality and housing). With the tremendous physical beauty and open space activities located so close to a major metropolitan area, the City should be able to capture a share of the thousands of visitors each week traveling down the coast to Half Moon Bay and beyond. Kosmont suggests researching how similar ocean front communities are able to attract significant tourists:
• Half Moon Bay
• Cambria
• Carpinteria
• Del Mar
SECTION B. CITY OF PACIFICA
Economic Opportunities Study
2 KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
Task 5. Land Inventory (1-2 weeks)
To assess development opportunities within the City’s five districts, Kosmont will importantly identify vacant or underutilized parcels. Kosmont will also importantly research commercial land values. Kosmont understands that the City owns over 50% of the land area in the City limits, but the vast majority is dedicated open space.
Task 6: Permits, Regulatory Tools & Policies (1 Week)
In Kosmont’s experience, the ability to take advantage of economic opportunities depends on effectiveness of government procedures. To address this, Kosmont will:
• Review City zoning restrictions such as F.A.R., height limit, parking requirements, building setbacks, to assess impact on new development feasibility
• Conditional Use Permit Process
• Building permit approval process
• Incentive programs (if any)
Kosmont will interview key stakeholders (list to be provided by City and agreed upon by Consultant) to identify needs and challenges faced by businesses, property owners, commercial brokers, lenders, business associations and government officials. Kosmont will review City regulations that affect local businesses, including permitting rules and implementation procedures, signage, outdoor dining and special events. This information will be used by Kosmont to identify potential revisions to regulations, policies and procedures to improve new business startup and existing business growth.
Task 7: Opportunity Assessment for Districts and Specific Sites (3-4 weeks) The City appears to have commercial businesses scattered along Highway 1 with no substantial commercial core (e.g., downtown). Annual retail sales have been approximately $200 million in recent years. With 14,500 households and average HH incomes of $125,000, the City should be able to capture more retail sales, excluding visitor spending.
Kosmont will assess the development potential for the key parcels in each district (including hotel site, West Sharp Park, and the Quarry), identifying the strengths and weaknesses of each, as well as the opportunities and threats facing development within the City.
Task 8: Community Workshop (1-2 weeks)
With help of City staff, Kosmont will hold a community workshop to present an executive summary of the research effort, discussing findings, preliminary recommendations and priorities to the community, and solicit feedback on the top priorities.
SECTION B. CITY OF PACIFICA
Economic Opportunities Study
3 KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
Task 9: Draft Report / Final Presentation (3-4 Weeks)
Based on our findings and results of community workshops, Kosmont will discuss with the City staff strategies for each of the City’s five districts.. The goal is to help transform daytime and nighttime uses, and prioritize sites for new development. Consultant will provide near term and long-term recommendations for both public and private sectors to help the City in its effort for a realistic, results-oriented plan to take advantage of economic opportunities.
Kosmont will compile a PowerPoint presentation including the relevant data sources and key findings, and specific strategies for staff review and comment. Kosmont will then prepare a final presentation with executive summary including graphics and visuals as relevant, which Kosmont Lead Consultant will use to present the findings to the City Council.
C. DESCRIPTION OF PROPOSER
KOSMONT AND ASSOCIATES, INC. DBA KOSMONT COMPANIES - www.kosmont.com California Corporation - Established 1986 – 35+ years in Business - 20 Staff Members Physical/Headquarters: 1230 Rosecrans Ave, # 630, Manhattan Beach, CA 90266 Mailing Address: 1601 N. Sepulveda Blvd. #382, Manhattan Beach, CA 90266 Kosmont provides services to Clients virtually, in-person, from satellite locations and from the Manhattan Beach headquarters across the Western U.S.
This project will be assigned to the Manhattan Beach headquarters office.
Kosmont Companies, a certified Minority Business Enterprise (“MBE”) and certified Small Business Enterprise (“SBE”), is a real estate and economic development services firm offering a full range of real estate and financial advisory, retail and hotel strategies, project finance, transaction structuring, negotiations, market analysis, feasibility studies, special district analysis, and project implementation services for both the public and private sectors. Kosmont Companies was founded in 1986 and is nationally recognized. With decades of advisory services, Kosmont has assisted hundreds of public agencies in their quest for services and successful public private projects. What sets Kosmont apart is our understanding of how economics relates to future project planning, as well as our understanding of both the public and private sectors.
Our staff includes economic consultants, real estate brokers and public finance professionals along with former real estate developers and city and community development officials that provide an in-depth understanding of the California economy, its local real estate markets to more effectively respond to our Clients advisory needs.
SECTION B. & C. CITY OF PACIFICA
Economic Opportunities Study
4 Note on Kosmont’s general approach: The prospective assignment and consulting services that Kosmont will provide will be of a relatively limited scope and duration, and advisory in nature. Kosmont will be making recommendations only, which advise the Client and jurisdictions, including their elected officials, appointed officials, and staff, which they can accept or reject. None of Kosmont's staff will act in a capacity as an elected official, nor appointed official, nor as staff, nor as serving in a "designated" position.
A brief highlight of our services is as follows:
Economic Development Consulting Services
• Economic Development Strategies (EDSP/CEDS)
• Kosmont Retail NOW!® Platform
• Special Districts (EIFD, CRIA, CFD)
• OppSites (economic dev online marketplace)
• Downtown Revitalization
• Asset Management Plans
• Developer Selection RFQ/RFP & DDA/ENA
• Sustainable Economic Development
Land Use/Zoning and Community Planning Services
• Development Opportunity Reserve (D.O.R.)®
• Sales Tax Assessment Revenue (STAR*)®
In addition to our scope of services, Kosmont is a full-service firm which also provides various other services through Kosmont Realty (“KR”) and Kosmont Transactions Services (“KTS”). If real estate brokerage and/or public finance transactional services may be needed, Kosmont Companies can call upon the expertise of KR or KTS as appropriate.
KR is a full service and licensed real estate brokerage firm and KTS is a public finance firm providing financial advisory services, and is registered with the SEC.
Planning and Development Services
• Project Evaluation (Blended Use, Hotel, etc.)
• Project Financials & Pro-Forma Assessment
• Property Negotiations
• Due Diligence Report
Real Estate Economics & Financial Advisory Services
• Fiscal & Economic Impacts (Prop. & Sales Tax, TOT)
• Project Economics, Highest & Best Use (HBU) &
Market Studies
• Public & Private Financing Structures
• Affordable Housing (Pro Forma, Housing Element,
Negotiations, Feasibility)
• California City Management Foundation (CCMF) - Kosmont Companies is the proud recipient of the “2022 CCMF Corporate Sponsor of the Year Award” • Southern California Association of Governments (SCAG) Sustainability Award “5/2019 – City of Placentia“
• California Association for Local Economic Development (CALED) Awards of Excellence Program “2017 Award of Excellence for Economic Development Partnerships – Redondo Beach Marine Ave Hotels Project ”
• Mr. Larry J. Kosmont, CRE® is a recipient of the
“2016 California Business Properties Association (CBPA) Champion of the Industry Award” ( for his service in real estate and economic development ) • L.A. Business Journal Latino Business of the Year Awards “2015 Small Private Latino Business of the Year Award”
• California Association for Local Economic Development (CALED) Awards of Excellence Program “2014 Award of Excellence in Economic Development Partnerships - South Gate azalea Project” • Mr. Larry J. Kosmont, City of Seal Beach (1980) is a recipient of the John H. Nail Memorial Award
( Awarded annually by the City Managers Department of the League of California Cities ) KOSMONT COMPANIES AND LARRY KOSMONT ARE THE PROUD RECIPIENTS OF THE FOLLOWING AWARDS:
SECTION C. CITY OF PACIFICA
Economic Opportunities Study
5 KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
This is a high-level explanation of the Kosmont Retail NOW!® platform which is a tool kit for both public and private sectors to attract the right type and amount of retail. It is a comprehensive and proactive retail attraction initiative which identifies existing conditions, sets a path, targets retailers and produces economic development results in today’s omnichannel environment.
From our many years as public sector real estate advisors and hands-on private sector experience, Kosmont understands the need for successful trip generation and incentive programs. The Kosmont Companies Team offers the in-depth research (including national mobility data provided by Placer.ai), real world expertise, and long-term relationships needed to bring viable retail to projects and communities. Today’s trends in the evolution of retail include experience, food, place, omnichanneling, blended use and innovation.
Kosmont Retail NOW!® Platform
Our Approach
Analyze
ü Demographics and Economics
ü Employment Inflow and Outflow
ü Retail Trade Area Definition
ü Market Supply and Demand Assessment
ü Trip Generation
Strategize
ü Retail Surplus / Leakage
ü Supportable Retail Space by Category
ü Retailer Voids / Artificial Intelligence
ü Retailer / Developer Targeting
ü Opportunity Site Assessment
Implement
ü Public Private Partnerships and Financing Tools
ü Citywide and Opportunity Site Marketing Material
ü Leverage ICSC Leadership and Relationships
ü Hands-On Retail Recruitment and Deal Making
ü Project-Specific Transaction Structuring
Ongoing Economic Development and
Retail Recruitment Advisory Services
SECTION C. CITY OF PACIFICA
Economic Opportunities Study
6 KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
Kosmont brings a well-rounded professional team with the required expertise and exemplary skillsets to provide the requested services. The Kosmont team is well acquainted with the local and regional economic context. We have extensive experience, a proven track record, and the qualifications to provide the knowledge, guidance, and execution of those services necessary to assist the City in making informed decisions moving forward. Our team is enthusiastic, ready, and will be available to provide those services.
If selected, the Lead Consultant, primary contact, and “key person” listed in the agreement with the City will be Mr. Ken K. Hira. Mr. Hira is President of Kosmont Companies and an expert in real estate and economic development. He brings over 30 years of varied experience in virtually every aspect of acquisition, entitlement, development, financing, asset management, disposition, downtown revitalization, and strategic plans. His strengths include a keen understanding of retail trends, business retention/attraction, negotiating public-private transactions and implementing blended-use projects that revitalize communities and assist in economic development/tax generation programs. Mr. Hira will provide project oversight, strategic advisory, and make public presentations. Mr.
Hira will also be responsible for day-to-day management of the engagement with the City, and coordination of the Kosmont team.
Mr. Hira will be supported by the following key team members:
• Mr. Thomas Jirovsky is a Senior Advisor with Kosmont Companies providing real estate development feasibility, fiscal and economic impact, and economic development and asset management strategies to public agencies, landowners and developers. Through his +30-year career he specialized in, urban and suburban mixed-use development, land secured financing strategies, asset management, and public/private partnerships (“P3”) for small urban infill projects to large residential/commercial projects. He has assisted a wide range public agencies throughout California in evaluating recreational, commercial, and residential development projects, tax increment and infrastructure financing and in the negotiation of development agreements on residential and mixed-use projects. Mr. Jirovsky will work directly with Mr. Hira and will provide economic development expertise. • Mr. Robert Valenti is a Vice President with Kosmont Companies, supporting public and private sector clients with market and economic analyses, strategic planning, and real estate development advisory. Prior to joining Kosmont Companies, Mr. Valenti served as a principal economic and policy analyst for Rhode Island’s Office of Management and Budget. While with OMB, Mr. Valenti was responsible for conducting economic and regulatory impact analyses, managing analytic projects that cut across multiple agencies, and providing strategic support for complex and sensitive policy issues. Mr. Valenti will provide research and analytical support to the team.
Kosmont staff will be assigned as appropriate based on their skills and qualifications in order to adequately provide services to the City and stay within budget. If needed, additional team members (not shown here) such as a Project Analyst may be utilized to provide additional research and project administrative support. Key team member resumes and qualifications may be found in the Appendix of this proposal.
D. PROPOSER’S TEAM
SECTION D. CITY OF PACIFICA
Economic Opportunities Study
7 KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
As requested on the City’s Open Gov Procurement portal, this portion of the proposal has been uploaded separately.
Kosmont Companies takes no exception to the RFP.
E. EXCEPTIONS TO THE RFP
SECTIONS E., F., G., & H.
F. PROJECT COST, FEES AND CHARGES [ COST PROPOSAL ]
CITY OF PACIFICA
Economic Opportunities Study
8 G. PROJECT TIMELINE / KEY MILESTONES
• Kick off Meeting/Document review- 2 weeks
• Stakeholder/Community Outreach – 2-3 weeks
• Economic Trends & Market Potential - 3 weeks
• Land Use Planning / Case Studies – 2-3 weeks
• Land Inventory 1-2 weeks
• Permits, Regulations & Policies - 1 week
• Opportunity Assessment 3-4 weeks
• Community Workshop 1-2 weeks
• Draft Report / Final Presentation - 3-4 weeks
Total elapsed timeline for the Study is 20-22 weeks reflecting some moderate overlap of the tasks itemized below CITY OF DALY CITY, 333 90TH STREET, DALY CITY, CA 94015 Tatum Mothershead, Director of Economic and Community Development (650) 991-8159 / [email protected]
[ See following letter of recommendation. ]
CITY OF ST. HELENA, 1480 MAIN STREET, ST. HELENA, CA 94574 Mark Prestwich, former St. Helena City Manager, Current Rancho Palos Verdes Estates City Manger (916) 248-1192 / [email protected]
CITY OF SANTA BARBARA, 735 ANACAPA STREET, SANTA BARBARA, CA 93101 Nina Johnson, Senior Assistant City Administrator / (805) 564-5305 / [email protected] H. REFERENCES
CITY OF SAUSALITO, 420 LITHO STREET, SAUSALITO, CA 94965 Brian Moura, RGS, former Advisor to City / (650) 995-6249 / [email protected]
LETTER OF RECOMMENDATION
SECTION H. CITY OF PACIFICA
Economic Opportunities Study
9 In 2019 the City hired Kosmont to do a Land Economics Study focusing on three major business districts to identify how they were likely to evolve based on market forces and success of potential development strategies. • The Downtown District - a popular visitor destination, but has seen declining visitor traffic and sales in recent years, while tenants face high rents
• Caledonia Street - well-loved by the community as a Main street destination, but has seen retailers struggling with high rents, vacancies, and attracting sustainable levels of patrons • Marinship - home to a diverse mix of businesses that include Architects, Creative Agencies, Business Services, Fine Arts, Industrial, Marine, Restaurants and Other Uses
KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
SECTION I. CITY OF PACIFICA
Economic Opportunities Study
Kosmont has 35+ years of public and private sector experience and in-depth expertise in economic development plans, real estate market studies, project development, economic and fiscal impact, and public municipal finance services to support our client needs. Kosmont is well acquainted with the local and regional economic context with numerous clients in the Bay Area and will utilize our experience in order to achieve the desired results. The project descriptions and completed reports provided herein are only an abbreviated sample of our Team’s extensive experience, knowledge, and capabilities highlighting the various types of services we offer as it relates to the City of Pacifica.
I. COMPLETED REPORTS
CITY OF SAUSALITO: Land Economics Study
10 The Study helped guide the City
on shaping of key districts to
Marin ship assure long term
economic health of the
community. It was also used to
evaluate zoning designations and
land use regulations.
SAMPLE WORK PRODUCT:
Kosmont Sausalito Land
Economics Study - Final Report
March 2020
Kosmont respectfully requests that in the City of Pacifica’s standard contract, that Section 5.1 be clarified to read:
“The obligations contained in this Section 5.1 shall survive the termination of this Agreement for whatever cause related to Consultant’s services for the full period of time allowed by law not to exceed 4 years after Agreement termination or expiration, and shall not in any way be limited by the insurance requirements of this Agreement.”
Consultant will be providing robust insurance to City including an additional $3 million umbrella policy.
State Street in downtown Santa Barbara had seen declining sales for the past five years in 2019. The City issued an RFP and Kosmont was selected / hired to analyze local and regional economic and real estate market conditions, do case study research on successful downtown revitalization, do extensive community outreach with local government, business and community leaders to understand critical issues. Kosmont also analyzed City planning and permit procedures and land use designations to evaluate potential for blended use redevelopment. Kosmont presented its final report to City Council in July 2019 outlining an extensive series of short term and long-term action items to restore State Street to a more vibrant community gathering place and commercial district.
CITY OF SANTA BARBARA: Retail Market Study / Recommendations for Downtown Revitalization SAMPLE WORK PRODUCT: Santa Barbara Recommendations for Downtown Revitalization SECTION I. & J. CITY OF PACIFICA
Economic Opportunities Study
Kosmont was retained by the City of St. Helena in response to a Request for Proposals for Market, Economic and Financing Analysis in support of an ongoing Asset Management Plan. Kosmont also did a focused retail market analysis and strategy to identify opportunities, leverage the strengths and overcome the threats and weaknesses impacting the downtown district. Other services included assistance in recruitment of targeted retailers/developers for identified opportunity sites within the City. Kosmont interviewed City officials, property owners and business owners to understand current conditions. From these interviews, Kosmont identified several key themes:
• Local market conditions/competition
• Review of City zoning/permit process
On July 25, 2018 the St. Helena Star published an article on Kosmont's study for the City, titled "Study analyzes sluggish sales at St. Helena stores.”
Kosmont followed the report with a series of workshops for downtown retail business owners focused on improving customer outreach using Omnichannel marketing and various Social Media platforms. Kosmont also prepared a hotel market analysis for a key opportunity site in the City.
SAMPLE WORK PRODUCT: St. Helena Downtown Retail Market Analysis CITY OF ST. HELENA: Economic Dev. Services / Market Analysis / Kosmont Retail NOW!® J. MODIFICATIONS TO AGREEMENT
• Impact of national retail trends
• Public investment needs
11 REIMAGINING RETAIL IS PRIMARY
LAND USE OPPORTUNITY FOR CITIES
Kosmont has provided advisory services for many Mall Reimagination Projects, Downtown Retail Districts, and Financing Districts across California.
Sausalito
Commercial
District
Analysis
Buellton / Solvang
Economic Development
Strategy & Advisory
Santa Barbara
State Street Retail Study
& Econ. Dev. Strategy
St Helena
Retail District
Strategies
Capitola
Mall Reimagination Advisory
Baldwin Hills (Capri Capital)
Mall Reimagination Advisory
Laguna Hills
Mall Reimagination Advisory
Union City
Retail Advisory
Santa Monica
DTSM Third Street Promenade
Community Workshops
Buena Park
Mall & Retail
District Advisory
La Verne
EIFD Advisory
Placentia
EIFD Advisory
Mountain House CSD
Retail / Land Use Advisory
Pittsburg
EIFD & Econ.
Dev. Advisory
Napa
EIFD Advisory
Brentwood
EIFD Advisory
12 Mr. Ken K. Hira serves as President for Kosmont Companies. An expert in real estate and economic development, Mr. Hira brings over 30 years of varied experience in virtually every aspect of acquisition, entitlement, development, financing, asset management, disposition, downtown revitalization, and strategic plans. His strengths include a keen understanding of retail trends, business retention/attraction, negotiating public-private transactions and implementing blended-use projects that revitalize communities and assist in economic development/tax generation programs.
A former Executive Vice President and mixed-use developer, Mr. Hira managed a portfolio of over $100 million of retail sites, while operating the commercial division of the company. Prior to this, as Managing Director of Acquisitions for a development company and Vice President of Development at a development firm, he evaluated and underwrote hundreds of acres of land, successfully captured and negotiated anchor tenant commitments creating $60 million of value in ground-up development and redevelopment and was responsible for 800,000 square feet of retail entitlement, design and development. As Vice President of a shopping center company based in San Diego (6 years), Mr. Hira entitled one million square feet of retail development projects, as well as led the acquisition of 24 neighborhood and community shopping centers, totaling 3.3 million square feet and valued at $375 million, and organized a $287 million recapitalization.
LICENSES/AFFILIATIONS:
Mr. Hira is an active volunteer leader of the Innovating Commerce Serving Communities (ICSC) (formerly International Council of Shopping Centers). He was nominated and serves as the Co-Chair of the ICSC P3 Retail Advisory Board, nationally advocating public-private partnerships, while previously serving as the ICSC Western Division P3 Retail Co-Chair, Southern California State Director, Program Committee Chair and Alliance Co-Chair.
Project Role:
Lead Consultant
Years with Firm: 13+
Years of Experience: 30+
Education:
Bachelor of Economics
and Business, UCLA
Project Assigned to this
Satellite Office:
Coto de Caza (Orange
County)
Ken K. Hira President
RELEVANT EXPERIENCE:
Throughout his career, Mr. Hira has managed hundreds of public & private sector consulting assignments. A few of his more recent projects are summarized below:
• City of Santa Barbara Downtown Revitalization
• City of Sausalito Land Economics Study
• City of St. Helena (Highest & Best Use Analysis / Asset Strategy/ Downtown Retail Analysis)
• City of Capitola (Mall Redevelopment Feasibility)
• Union City Power Center Tenanting Strategy
• City of Buellton (Market & Economic Analysis / Specific Plan with Development Opportunity Reserve D.O.R.)® • City of Daly City (Economic Development Strategy and Opportunity Site Developer Negotiations) • City of Banning (CEDS)
• City of Anaheim (Strategic Site Analysis)
• City of Agoura Hills (Agoura Village Specific Plan Feasibility Analysis)
APPENDIX CITY OF PACIFICA
Economic Opportunities Study
A-1
KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
Mr. Thomas Jirovsky is a Senior Advisor with Kosmont Companies. Mr. Jirovsky provides services related to real estate pro formas, development feasibility and financial incentives, economic development strategies, fiscal and economic impact, and asset management to public agencies and developers.
He is a former Senior Managing Director with CBRE and headed their national land use and economic consulting practice. Prior to joining CBRE in 2000, he was CFO and a principal with Kotin, Regan & Mouchly, Inc.
Throughout his 35-year career he has managed over 1,000 consulting assignments specializing in the areas of feasibility analysis, with particular emphasis on analysis of residential and commercial development, downtown revitalization strategies, land secured financing strategies, asset management plans, and public/private joint ventures for development projects of all sizes.
He also has extensive experience in evaluating transit-oriented development opportunities for public and private property owners, as well as transit agencies throughout California and the western U.S..
LICENSES/AFFILIATIONS:
Mr. Jirovsky is a LEED Accredited Professional and a member of the Innovating Commerce Serving Communities (ICSC) (formerly International Council of Shopping Centers) and Urban Land Institute (ULI).
Project Role:
Economic Development
Feasibility
Years with Firm: 10+
Years of Experience: 35+
Education:
- B.S. in Architecture,
University of Southern
California with honors
- MBA in Finance,
University of Southern CA
Thomas Jirovsky Senior Advisor
RELEVANT EXPERIENCE:
A few of his more recent projects are summarized below:
• City of Santa Barbara (Downtown Revitalization)
• City of Sausalito (Land Economics Study)
• City of St. Helena (Highest & Best Use Analysis / Asset Strategy/ Downtown Retail Analysis) • City of Agoura Hills (Specific Plan Feasibility Study) • City of Capitola (Mall Redevelopment Feasibility)
• Union City Power Center (Tenanting Strategy)
• City of Banning (CEDS)
• San Luis Obispo (Palm Nipomo parking structure P3)
• City of Gardena (Artesia Corridor Specific Plan Feasibility) • Gateway to LA (Retail Strategy)
• Downtown City of Placentia (Fiscal & Economic Impact) • City of Thousand Oaks (Economic Development Strategic Plan) • City of Indian Wells (Hotel Feasibility Analysis)
APPENDIX CITY OF PACIFICA
Economic Opportunities Study
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RELEVANT EXPERIENCE:
A few recent samples of relevant projects are summarized below. • City of Sausalito – Land Economics Study
• Mountain House CSD – Commercial Land Use Analysis
• City of Anaheim, CA – Opportunity Site Advisory Services • City of Corona – Downtown Revitalization Plan
• City of Laguna Hills – Fiscal Impact Analysis, Economic Research • Private Sector Clients (Fiscal Impact Analysis, Highest and Best Use Analysis and Real Estate Advisory)
Kosmont: Econ Development Strategies (Market/Demographic Analyses & Land Use Strategies) • City of Santa Ana – Opportunity Zone Strategy
• City of El Cajon – Opportunity Zone Strategy and Advisory Services • City of Santa Barbara – Downtown Revitalization
• City of Los Angeles, CA – Downtown – EIFD Evaluation
• City of Fresno – Downtown / Blackstone Bus Rapid Transit Corridor EIFD Formation • City of Indian Wells – EIFD Evaluation
Numerous cities and private sector clients in cities throughout California • Enhanced Infrastructure Financing District (EIFD) Feasibility Analysis - Palmdale, Azusa, El Segundo, Los Angeles State of Rhode Island, Office of Management and Budget
• Econometric modeling and forecasting of state revenues and correctional populations. • Creation, review, and evaluation of economic analyses for state policy issues and significant rulemaking actions Project Role:
Project Analysis,
Research and Support
Years with Firm: 3+
Years of Experience: 6
Education:
- Master of Public Policy,
Brown University
- Bachelor of Arts in
political science, College
of the Holy Cross in
Worcester, MA
Satellite Office:
Los Angeles
KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
Robert Valenti Vice President
Mr. Robert Valenti is a Vice President with Kosmont Companies, supporting public and private sector clients with market and economic analysis, land use analysis, fiscal impact analysis, strategic planning, and real estate development advisory. He also assists with geospatial analysis of boundaries and funding and financing feasibility studies of tax increment financing districts.
Prior to joining Kosmont Companies, Mr. Valenti served as a principal economic and policy analyst for Rhode Island’s Office of Management and Budget. While with OMB, Mr. Valenti was responsible for conducting economic and regulatory impact analyses, managing analytic projects that cut across multiple agencies, and providing strategic support for complex and sensitive policy issues. He also has a background in urban policy and experience with housing program development with community development organizations.
APPENDIX CITY OF PACIFICA
Economic Opportunities Study
A-3