6NM0116: Las Cruces--USAO Lease Extension

6NM0116/USAO/Las Cruces, NM Justification For Other Than Full And Open Competition PAGE 1 OF 2 Last Revised 2/26/14 U.S. General Services Administration GSA Region 7 Leasing Division Justification for Other than Full and Open Competition Lease Number: GS-07B-LNM16423 Project Number: 6NM0116 Agency Name: USAO 1. Identification and Description of Action Being Approved: The General Services Administration currently leases 18,794 rentable square feet (RSF) of office space at 555 South Telshor Blvd, Las Cruces, NM under lease number GS-07B-LNM16423 for the USAO. The current lease expires November 14, 2016. Approval is requested to negotiate a succeeding lease with the incumbent lessor without full and open competition for continued occupancy at this lease location. 2. Description of Supplies or Services Required: USAO submitted a continuing need letter on October 3, 2016 for 18,794 rentable square feet of office and related space. To satisfy the USAO mission requirements, the facility must be within a one mile distance of eating facilities and employee services such as retail shops, cleaners, banks, etc. This requirement is for 18,794 RSF of space for a one year term to commence on November 15, 2016. The estimated annual cost of this lease is $443,331.00 BOMA rentable square feet per year for an annual cost of and a total contract value of $443,331.00. The delineated area is: Starting at the corner of Idaho Ave & Compress Rd go north on Compress Rd to Hadley east on Pichacho Ave to Solano Dr, then turn northwest on Solano Dr and go to Spruce Ave, then go east on Spruce Ave to Telshor Blvd, then go south on Telshor Blvd to Idaho Ave, then turn west on Idaho Ave to Compress Rd and the point of closure. 3. Identification of Statutory Authority: 41 U.S.C. 253(c) (1): Only one responsible source and no other supplies or services will satisfy agency requirements. 4. Demonstration that the Acquisition Requires use of the Authority Cited: An extension is required to protect the Government's occupancy until the replacement space is occupied. It is not reasonable to duplicate the tenant's existing space at another location while replacement space is acquired. 5. Description of Efforts to Solicit as Many Offers as Practical: Exception to Advertising: GSAM 570.106(d) provides that the contracting officer need not publicize the proposed acquisition of a leasehold interest in real property by lease extension under the conditions defined in 570.405. 6. Demonstration that the Anticipated Cost will be Fair and Reasonable: In accordance with Federal Acquisition Regulation (FAR) 6.303-2(a) (7), the Contracting Officer determines by certifying this document that the anticipated cost to the Government of $23.58/RSF for the entire requirement is fair and reasonable. Recent market research conducted by GSA in Las Cruces, NM showed the rental rate within the delineated area ranges from $23.58 - $23.75 per RSF. 6NM0116/USAO/Las Cruces, NM Justification For Other Than Full And Open Competition PAGE 2 OF 2 Last Revised 2/26/14 X Project Manager 7. Description of the Market Survey Conducted: On October 6, 2016, GSA conducted a market research that identified the following two locations including the incumbent: 271 Paseo De Dia, Las Cruces 555 S Telshor, Las Cruces (incumbent) 8. Other Facts Supporting the use of Other Than Full and Open Competition: Not Applicable. 9. List of Sources that Expressed an Interest in the Acquisition: NONE 10. Statement of Actions to Overcome Barriers to Competition: Not Applicable. 11. CONTRACTING OFFICER CERTIFICATION By signature on this justification for Other than Full and Open Competition, the Contracting Officer certifies that the award of a succeeding lease of 18,794 RSF is in the Government's best interest and that this Justification is accurate and complete to the best of my knowledge and belief. X Contracting Officer (Approver up to $650,000 TCV) 12. TECHNICAL REQUIREMENTS PERSONNEL CERTIFICATION I certify that by signature on this Justification for Other than Full and Open Competition, the supporting data used to form the basis of this Justification is accurate and complete to the best of my knowledge and belief. X Leasing Specialist REVIEW, CONCURRENCE AND APPROVAL FAR Part 6.303 requires that information on which the Justification is based be certified as complete and accurate by the technical or requirements personnel. FAR Part 6.304 specifies that the justification must be approved in writing by a specified designee (position title from FAR used above) based on TCV. No additional guidance is included in GSAM Part 506.3. *Regional practice requires concurrence by the Leasing Director and Legal Counsel where TCV>$650,000, by the RC where TCV>$12.5M and by all lower level approvers. M=Million NAR=Net Annual Rent (Annual Rent less Operating) TCV=Total Contract Value HCA=Head of Procuring Activity SPE=Senior Procurement Executive Address City Property Type Property Size Space Avail Rent/SF/Yr 1 201 E Lohman Ave Las Cruces Class C Office 26,752 SF 26,752 SF $12.50 Class B Office/Industrial Live/Work Unit 2 271 Paseo De Dia Las Cruces 20,812 SF 20,812 SF $17.75 3 555 S Telshor Las Cruces Class B Office 29,400 SF 21,615 SF $15.50 Only properties with valid lat/lon display on map Copyrighted report licensed to GSA, Greater Southwest Region 7 - 631742. 10/6/2016 Page 1 201 E Lohman Ave Las Cruces, NM 88001 26,752 SF Not For Sale Parking: 105 Surface Spaces are available Expenses: - $12.50/fs 1 26,752 SF - -- Power: - Rail Line: - -- -- Landlord Rep: Investment Management Associates, Inc. / M.Christopher M. Lopez (575) 524-7756 -- 26,752 SF (26,752 SF) Address Building/Park Name SF Avail For Sale ($/SF) Rent/SF/Yr Stories RBA Land Ceiling Height Drive Ins Docks Levelators Crane Sprinkler Utilities: - Floor Unit Use/Type Leasing Company SF Avail/Divide? Bldg Cntg Rent/SF/YR Occupancy Term Docks Drive-Ins P 1st Office/Direct Investment Management Associates, 26,752 $12.50/fs Vacant Negotiable - - Inc. 26,752 N 271 Paseo De Dia South Fork Business Park Building C Las Cruces, NM 88011 20,812 SF Not For Sale Parking: 78 free Surface Spaces are available; Ratio of 3.82/1,000 SF Expenses: 2015 Tax @ tiny_mce_marker.56/sf $17.75/nnn 1 20,812 SF 1.59 AC -- Power: - Rail Line: - -- -- Landlord Rep: NAI 1st Valley Realty, Inc. / Jake Redfearn (575) 521-1535 -- 20,812 SF (20,812 SF) Address Building/Park Name SF Avail For Sale ($/SF) Rent/SF/Yr Stories RBA Land Ceiling Height Drive Ins Docks Levelators Crane Sprinkler Utilities: - Floor Unit Use/Type Leasing Company SF Avail/Divide? Bldg Cntg Rent/SF/YR Occupancy Term Docks Drive-Ins E 1st Office/New NAI 1st Valley Realty, Inc. 20,812 N 20,812 $17.75/nnn Vacant 1-10 yrs - - Building Notes Across from the Mountain View Regional Medical Center. Copyrighted report licensed to GSA, Greater Southwest Region 7 - 631742. 10/6/2016 Page 2 555 S Telshor State National on Telshor Las Cruces, NM 88011 21,615 SF Not For Sale Parking: 30 free Surface Spaces are available; Ratio of 1.02/1,000 SF Expenses: 2015 Tax @ tiny_mce_marker.88/sf $15.50/fs 3 29,400 SF 1.40 AC -- Power: - Rail Line: - -- -- Landlord Rep: Stoes Real Estate Advisors, LLC / Rick Stoes (575) 523-6000 X1 -- 19,886 SF (9,943 SF) Address Building/Park Name SF Avail For Sale ($/SF) Rent/SF/Yr Stories RBA Land Ceiling Height Drive Ins Docks Levelators Crane Sprinkler Utilities: - Floor Unit Use/Type Leasing Company SF Avail/Divide? Bldg Cntg Rent/SF/YR Occupancy Term Docks Drive-Ins E 2nd Office/Direct Stoes Real Estate Advisors, LLC 9,943 N 19,886 $15.50/fs 03/2017 1-5 yrs - - E 3rd Office/Direct Stoes Real Estate Advisors, LLC 9,943 N 19,886 $15.50/fs 03/2017 1-5 yrs - - Copyrighted report licensed to GSA, Greater Southwest Region 7 - 631742. 10/6/2016 Page 3