COMMISSION 
AGENDA MEMORANDUM                        Item No.          6b 
ACTION ITEM                            Date of Meeting       April 24, 2018 
DATE:     April 11, 2018 
TO:        Stephen P. Metruck, Executive Director 
FROM:    Jeffrey Utterback, Director, Real Estate and Economic Development 
Dave McFadden, Managing Director, Economic Development 
SUBJECT:  Real Estate indefinite delivery, indefinite quantity (IDIQ) contracts 
Amount of this request:                              $0 
Total estimated contract value:              $1,500,000 
ACTION REQUESTED 
Request Commission authorization for the Executive Director to execute  three  indefinite
delivery, indefinite quantity contracts to provide real estate consulting services as needed to
support future developments for a total amount not to exceed $1,500,000. There is no funding
request associated with this authorization. 
EXECUTIVE SUMMARY 
As a result of the Real Estate Strategic Plan, the Economic Development Division and the real
estate development team is continuously reviewing the Port real estate portfolio in order to
find the most strategic use of Port property. The method of analysis and the follow-up
execution requires the Port to engage specific consultants in order to best respond to each real
estate opportunity. Based on the experiences from the recent past, staff has been able to
better define the professional needs required for both the preliminary analysis as well as follow
through once agreements have been agreed related to Port real estate. The procurement of
these three professional and personal  services agreements will allow staff to continue
implementation of the development strategies previously presented in the Real Estate Strategic
Plan. 
Consulting services will provide the professional skills necessary for appraisals, pre-feasibility
including design and infrastructure analysis, and construction oversight and monitoring. As a
result of previous projects, Port staff has experience with managing these types of consultants 
and will put emphasis on procuring highly qualified and certified small business enterprises to
accomplish this work. Small business goals have been set for each contract provided the prime
contractor is not a small business. 


Template revised September 22, 2016.

COMMISSION AGENDA  Action Item No. 6b                                  Page 2 of 5 
Meeting Date: April 24, 2018 
IDIQ requested funds will go toward: 
1.      Construction Monitoring/Landlord Representation 
2.      Professional   Services   (Space   and   building   design,     conceptual   site   planning, 
infrastructure analysis, and hard cost estimates) 
3.      Appraisals 
JUSTIFICATION 
These are all specialized services that are best utilized through external contracts by the Port. In
order to effectively execute binding agreements for developments on Port property, these
firms are needed to provide specific services and skills that staff has determined necessary. 
IDIQ contracts provide the Port with the flexibility to meet our due diligence requirements by
issuing individual service directives to accomplish tasks within a general, pre-defined scope of
work on an as needed basis for a fixed period of time and a maximum contract amount. 
Separate IDIQ contract procurements are required, given the varied nature for each discipline
needed. It is not practical to combine these services and would only add an additional and
unnecessary management layer and cost. 
DETAILS 
These contracts are for real estate services to support upcoming real estate development
projects for a total amount not to exceed $1,500,000. Each IDIQ will have a contract value of
$500,000. Each contract will be for one year with four optional years and have a five year
ordering period. Contract duration may be extended to allow for work initiated during the
contract ordering period to be fully implemented. Each service directive will specify the specific
scope, duration, and schedule associated with the work. Often services are needed for projects
that are phased over several years, such as construction monitoring for development projects
and this provision will allow the Port the ability to retain consultants and provide continuity
during these longer term investment periods. 
Scope of Work 
1.  Construction Monitoring/Landlord Representation 
Coordinate with the developer throughout the design, permitting and construction process
as well as interface with the Port staff throughout the construction period. The consultant
will assist the Port with ground lease review and other ground lease tenant/developer 
contracts as well as any design and construction related issues between the Port and the
developer/ground lease tenant. 
Deliverables will include monthly status reports, details on prime and sub-contractors
onsite, verification of contract specific requirements such as prevailing wage, status of
apprenticeship program, overall permit monitor, environmental and soil mitigation review,

Template revised September 22, 2016; format updates October 19, 2016.

COMMISSION AGENDA  Action Item No. 6b                                  Page 3 of 5 
Meeting Date: April 24, 2018 
and  provide overall coordination and recommendations throughout the development
process. 
2.  Space and building planning, conceptual design and infrastructure analysis 
When putting together the RFP for any property to be issued to the market, a deeper study
of the site is required. Consultant provides design options, analysis and feasibility, along
with a review of the existing zoning and infrastructure in order to best describe the
entitlements existing and needed for any future development. Typically, this consultant
(architect in most cases) has significant experience in both industrial and maritime related
asset classes. 
Scope will also include confirmation of the development capacity of the site, preliminary
building sizes and site configurations, resolution of  truck entry and movement when
appropriate,  advise  on  overall  road  improvements, identification  of  environmentally
sensitive areas including known contamination and wetlands and how to mitigate those
development impacts, as well as other basic development criteria. Each site will also include
an itemized hard cost estimate including all off-site and on-site infrastructure, earthwork
analysis (cut/fill breakdown), building costs and other relevant site improvement costs. 
3.  Appraisals 
Best practice would require an appraisal of any property to be informed of Fair Market
Value prior to the Port entering into any commercial agreement. Due to the nature of Port
assets, the appraiser should have experience with publicly-owned property, industrial
property, maritime property including both the uplands and submerged lands. Consultant
may also need to perform reviews and validations of past or current appraisals done by
others.  Experience  in  sales  comparison  approach,  investment  method,  and  income
capitalization will all be required.
Appraiser shall be a member of: 
American Institute of Real Estate Appraisers Member Appraisal Institute (MAI); or 
Society of Real Estate Appraisers Senior Real Property Appraisers (SRPA); or 
National Association of Independent Fee Appraisers Independent Fee Appraiser Senior
(IFAS); or 
National Society of Real Estate Appraisers Certified Real Estate Appraiser (CRA) 
Small Business 
Through Port  of Seattle's Small Business Generator's  outreach efforts, all three of these
opportunities will be sent to all interested small and MWBE businesses via newsletters,
community organizations, and outside governmental sites. In addition, these opportunities will
be identified and discussed at the upcoming PortGen event on May 3.

Template revised September 22, 2016; format updates October 19, 2016.

COMMISSION AGENDA  Action Item No. 6b                                  Page 4 of 5 
Meeting Date: April 24, 2018 
ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1  Complete a separate procurement each time pre-development consulting 
services are required. 
Pros: 
(1)   Separate contract procurements would allow consulting firms multiple opportunities
to compete for each individual project. 
Cons: 
(1)   Reduces  ability  to  quickly  react  to  need  based  feasibility  requirements  in  an
environmental subject to rapid changes. 
(2)   This alternative would increase overhead and administrative costs to the Port due to
the need to manage multiple procurement processes and contracts. 
This is not the recommended alternative. 
Alternative 2  Increase Port Staff to provide these technical services. 
Pros: 
(1)   Lower cost than external consultant architects and engineers. 
(2)   Institutional knowledge is built by Port Staff. 
Cons: 
(1) It will take significant time to hire staff with the necessary skill sets. This would delay
critical projects. 
(2)   New Port Staff would need to have a broad set of specific skills which would be
difficult to acquire. Consultants have staff with these skills and can utilize them on as
needed basis. 
This is not the recommended alternative. 
Alternative 3  Procure three IDIQ contracts to provide development real estate consulting
services. 
Pros: 
(1)   This alternative would provide the Port with the resources necessary to assist with
current and future projects as needed. 
(2)   Significant time and procurement cost would be saved by consolidating procurements
for future projects. 
(3)   Improves ability to react quickly to emerging real estate development needs. 
Cons: 
(1)   The number of opportunities available to firms to compete for individual projects is
limited. 
This is the recommended alternative. 

Template revised September 22, 2016; format updates October 19, 2016.

COMMISSION AGENDA  Action Item No. 6b                                  Page 5 of 5 
Meeting Date: April 24, 2018 
FINANCIAL IMPLICATIONS 
The total estimated project cost of services will not exceed $1,500,000. No work is guaranteed
to the consultants and the Port is not obligated to pay the consultant until a service directive is
executed and services are provided. After receiving authorization for each project in
accordance with Port policy, the actual work will be fully defined and the Port will issue
individual, project-specific service directives. 
ATTACHMENTS TO THIS REQUEST 
None 
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
November 25, 2014  The Port Commission authorized a $4,000,000 IDIQ for various real
estate services. 













Template revised September 22, 2016; format updates October 19, 2016.