Highlights:
Unlocking value from City-owned land to fund critical education infrastructure and deliver transformative mixed-use development through a public-private partnership.
Client Goals:
Falls Church sought to employ the Virginia Public-Private Education Facilities and Infrastructure Act (PPEA) to commercialize a City-owned, 10-acre parcel adjacent to its middle and high school education campus and a Virginia Tech/UVA satellite campus to offset the cost of constructing a new $120 million high school. The City aimed to execute the project under a long-term ground lease and address policy goals such as tax revenue generation, placemaking, and transit-oriented development.
Hayat Brown Role:
Market, Feasibility and Financial Analysis
Initially, we crafted a market and feasibility study, grounded in a highest and best use analysis, to benchmark the value of the property. Additionally, our team developed robust financial analyses to validate project revenues, assessed the level of direct and indirect tax revenue available under various development scenarios and provided advice on project financing and fee structures.
Strategic Road Map
Using data from the feasibility study, our team developed a roadmap offering a targeted set of actions to market the commercial development. The roadmap offered a project schedule that aligned with the high school construction project and provided specific recommendations related to entitlement risk assessment, transaction structure, procurement, and negotiation.
Project Marketing and Partner Selection
Our team created a customized set of glossy offering documents detailing the City’s economic and demographic strengths, as well as the project’s goals and schedule. We then crafted a Request for Proposals and Request for Detailed Proposals under the requirements of the PPEA, supported an industry forum, and led evaluation processes for both solicitations with the City’s evaluation committee. The solicitation process attracted six qualified bidders to a previously canceled project and facilitated the selection of a highly qualified development team.
Negotiations Support
Our team supported the City in the negotiation of an Interim Agreement and a Comprehensive Agreement ensuring the final transaction documents protected the City’s interests. Additionally, we advised on the regulatory and entitlements process that added more density and height to the site.
Project Outcomes:
