RFP - Cedar City - Iron County Retail Market Analysis_202002141717116434

1 1 CEDAR CITY/IRON COUNTY AREA REQUEST FOR PROPOSALS RETAIL MARKET ANALYSIS DATE OF PUBLICATION February 14, 2020... Requested Proposal: Cedar City and Iron County are seeking a qual

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CEDAR CITY/IRON COUNTY AREA

REQUEST FOR PROPOSALS

RETAIL MARKET ANALYSIS

DATE OF PUBLICATION February 14, 2020

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Summary Sheet

Project: Cedar City Corp and Iron County are seeking proposals from qualified professional

firms for the creation of a “Retail Market Analysis” This project will include gathering of

primary and secondary data, with the purpose of providing Cedar City with strategic

recommendations for future retail recruitment and development The analysis may look at topics such as: sales leakage and surplus, retail market share, capture rate, and other demographics for the purpose of creating a strategic roadmap and recruitment strategy to attract future retail

opportunities

Requested Proposal: Cedar City and Iron County are seeking a qualified firm or organization

to undertake the work necessary to complete a retail market analysis of the Cedar City region This work may include, but is not limited to gathering information, public outreach where

feedback is gathered from the general public, demographic analysis, and using reliable source material to assist in evaluating retail development opportunities for Cedar City, UT At the end

of the project the successful proponent will need to produce a written retail market analysis and also strategic recommendations and a recruitment strategy in conformance with the information presented in the analysis

Proposal Due-Time: 5:00 p.m., Mountain Daylight Savings Time, on the 6th day of March, 2020

Place: Offices of the Cedar City Economic Development, Brad Abrams, 10 North Main Street,

Cedar City, UT 84720

Complete information packet: This is a summary of the project for advertising only For a

complete packet containing requirements for preparing the proposal go to

https://www.cedarcity.org/DocumentCenter/View/14477/RFP -Cedar-City -Iron-County-Retail-Market-Analysis or contact the Cedar City – Iron County Economic Development at (435) 586-2770, or email abrad@cedarcity.org

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Introduction

Iron County is approximately 250 miles south of Salt Lake City, Utah, 180 miles north of Las Vegas, Nevada and 40 miles north of St George, Utah Cedar City, located along I-15 and 75 miles south of I-70, is the largest City in Iron County with a population 33,000, which is

approximately 61 percent of the County’s population of 54,000

History

The Iron County / Cedar City area was originally an agricultural and mining community and has since diversified their economic base in the sectors of education, tourism, and manufacturing As home to a large public university, a thriving tourism industry, and a growing manufacturing hub, Cedar City is now a regional center for southwestern Utah

Challenges and Opportunities

With the workforce being everyone’s top concern, Iron County’s small population base is a

challenge to overcome However, recent growth shows a more positive picture, with Iron County’s population, projected to increase by 35 percent to over 70,000 people in the next 20 years

Because of this new growth and other factors, such as a growing student population, tech-pipeline, and strong education network, Iron County is well-positioned to meet future workforce demands

Future Vision

Looking toward the next 20 to 30 years, Iron County resolves to encourage wise economic growth while managing its natural resources, preserving the scenic landscape, and maintaining a quality of life for its residents

Proposal Objective

The primary objective of this retail market analysis is to provide an informed evaluation of retail development opportunities in the Cedar City / Iron County Area The final report will show areas that are prime for retail development in this area, including Opportunity zone development areas Also, our area does not fit the traditional “drive-time” retail market area models generally used for retail site selection in more heavily populated areas As a rural regional commercial center, the impact of the following factors (i.e., populations) should also be considered as part of the analysis:

1 Residents of the Cedar City / Iron County Area

a The Cedar City / Iron County Area is among the fastest growing areas in the state of Utah for the past several years It has also experienced a very high rate of new job creation recently, and future projections point to increased growth Cedar City’s and Iron County’s populations are the core base of retail customers for Cedar City businesses, but these residents do not account for all of the dollars that are being spent here We need to accurately identify the buying power of this core area, and

we also need to identify the impact of additional populations on our retail economy

2 Rural Residents

a Cedar City is the primary location for residents in multiple counties to shop for goods and services, with an estimated 37+ contributing communities in Utah and Nevada that may be considered as part of Cedar City’s retail market

Table 1 :

3 Tourism

a Cedar City is strategically situated near multiple tourism destinations that attract large numbers of both domestic and international visitors including, Zion National Park, Dixie National Forest, Bryce Canyon National Park, Cedar Breaks National Monument, Brian Head Resort, and Kolob Canyon

b Cedar City is home to the Utah Shakespeare Festival, which attracts more than a hundred thousand people each year They generally stay for several days and they are generally from a higher-income demographic

4 Secondary Homeowners

a Availability of private land near so many national parks, monuments, and year-round outdoor recreation has encouraged people from Las Vegas, NV and southern California to purchase second homes in the area Many of these second homes are also used year-round as short-term rental properties The part-time residents of these properties are generally from higher income levels and contribute greatly to the Cedar City retail market

1 Source: Iron County, Garfield County, Kane County Assessor Offices There are 5,125 additional secondary residences in Iron County, Kane County, and Garfield County Assuming the 3.09 household size this is an additional 24,816 part-time residents.

TOTAL 8,125

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4 SUU Students

a Cedar City is home to Southern Utah University, with more than 11,000+

students enrolled These students contribute to our retail market, but they are not usually included on census data as residents of Cedar City/Iron County Area

Scope of Work

All of the following should be included in the scope of work:

• Executive Summary outlining current market area characteristics, capture rate, market

share comparisons, recent public/private investment, population growth rate, income, employment, education, and other key demographics necessary for a comprehensive

report

• Definition of Retail Trade Area based geography, demographics, and market behavioral factors (i.e., LDS Temple attendance) for the Cedar City region

• Sales Leakage/Surplus Analysis (based on state sales tax for Iron County) addressing

current trends in retails sales, including where opportunities and weaknesses (i.e., gaps) exist in the Cedar City retail trade area This leakage/surplus analysis should address the following:

o Illustrate how well retail needs of local residents are being met

o Uncover unmet demand and possible opportunities

o Explore the strengths and weaknesses of the local retail sector

o Measure the difference between estimated and potential retail sales

o Determine where leakage/surplus is occurring in comparison with Las Vegas, Wasatch Front and St George metropolitan areas

• Retail Buying Power Analysis showing retail buying potential of the retail trade area based on consumer habits, population forecasts, and trends for retail space needs

• Retail Sales Analysis illustrating what percentage of retail sales in Cedar City are coming

from specific geographic locations (zip codes), industries, and key populations Please describe the tools and methodology (i.e., geofencing, surveys, etc.) that will be used to

gather this information to address the following questions:

o What percentage of retail business comes from Iron County residents?

o What percentage of retail business comes regularly from surrounding counties?

o What percentage is from tourism / I-15 traffic?

o What is the impact of Southern Utah University’s student population?

• Recommended Retail Development Areas, including Opportunity Zone areas where potential retail development would benefit Cedar City

• Strategic Recommendations and Recruitment Plan addressing key strategies and the best practice in attracting future retail growth in Cedar City

• Additional Recommendations are always welcome and considered The scope of work

should also include a description of any additional recommended sources and proprietary methods that the proponent uses that will support a comprehensive retail market analysis

Proposal Deadlines

Proposals shall be delivered to the Cedar City / Iron County Economic Development’s office no later than 5:00 p.m., Mountain Daylight Savings Time, on the 6th day of March 2020

Number of Proposal Copies and Point of Delivery

Eight (8) hard copies of the proposals shall be delivered to the Cedar City Economic

Development, 10 North Main, Cedar City, UT 84720

Proposal Evaluation Procedures

The proposal shall be evaluated by members of the Cedar City Economic Development

Committee, City Staff and others as assigned The evaluations shall be conducted in accordance with the criteria described in “Guidelines for Preparing Proposals”

Cedar City Contact

The Cedar City Economic Development Coordinator, Brad Abrams may be contacted for

any questions or clarification on the Proposals He can be reached at (435) 586-2770, or by

email: abrad@cedarcity.org

Disposition of Proposals

Proposals become the property of Cedar City Corporation, are treated as privileged documents, and are disposed of according to City policies The proposal of the successful proponent shall

be open to public inspection for a period of 90 days after a contract is awarded to the successful bidder If the successful bidder has required in writing the non-disclosure of trade secrets and other proprietary data, the City shall examine the request in the proposal to determine its validity prior to awarding the contract If the parties do not agree as to the disclosure of data in the

contract, the City shall inform the proponent in writing what portion of the proposal will be

disclosed and, unless the proponent withdraws the proposal, it will be disclosed

Incomplete or Late Proposals

Proposals that do not specifically address each item on the evaluation criteria, or that are turned

in after the deadline may be rejected

Disclaimer

The City reserves the right to reject any and all proposals or re-bid the project The City also reserves the right to waive any or all informalities in proposals Cedar City reserves the right to negotiate a final term with the successful proponent

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REQUIREMENTS FOR PREPARING PROPOSALS INTRODUCTION

These requirements were developed to standardize the preparation of proposals and will be used

in evaluating the received proposals

The proposal shall contain the following information in the order listed:

1 Introductory letter

2 Proponent’s qualifications

3 Examples of prior work completed by proponent

4 Proposed scope of work to provide a comprehensive retail market analysis of the Cedar

City region

5 Project Cost

6 Time to complete project

It is very important that the proposals submitted be clear and concise and in the recommended format, so the City may evaluate them objectively The various sections in the submitted

proposals should be tabbed for easy reference

DETAILS AND EVALUATION CRITERIA

Danny Stewart

Cedar City- Iron County Development

Director

10 North Main Street

Cedar City, UT 84720

• This letter shall contain an expression of the proponent’s interest in conducting

the necessary work, a statement regarding the qualifications of the proponent to conduct the work, and any summary information that may be useful or

informative to Cedar City

• This evaluation will consider the proponents qualifications and history producing

Retail Market Analysis Cedar City will evaluate the proponent’s overall expertise and experience that would qualify them to do the required work

• This section will also evaluate the proponent’s team Please provide a detailed

listing of all team members that will be working on this project Please list all relevant team members and their experience and qualifications Please provide a detailed disclosure showing the anticipated amount of time each team member is anticipated to dedicate to the successful completion of this project Please

provide a detailed disclosure of the types of work each team member is going to provide

3 Examples of prior work completed by proponent - 20 points

• This evaluation will focus on the proponent’s prior work

• The proponent should provide a listing of other municipalities where

the proponent has been hired to produce a retail market analysis

• Show examples of prior work where the proponent has completed retail market

analyses for other municipalities Cedar City wants to evaluate the content and aesthetic of the proponent’s prior work Please make the work as contemporary

as possible, preferably within the past five (5) years Given the page limit for this proposal it will not be possible to include printed copies of these plans Please provide web addresses where the evaluators may look at prior work so we may make a reasonable evaluation.

• The proponent shall provide a reasonable list of prior clients including a point of

contact so that Cedar City may talk to prior clients

4 Proposed scope of work for Retail Market Analysis - 20 points

• Describe your understanding of the project parameters

• Include a proposed scope of work

• This scope of work shall detail the proponent’s approach and process to

gathering the necessary primary and secondary data to complete a comprehensive report that includes the following:

• Executive Summary

• Definition of Retail Trade Area

• Sales Leakage Analysis

• Retail Power Buying Analysis

• Retail Sales Analysis

• Cedar City Retail Development Areas (includ Opportunity Zone Areas)

• Recommended Recruitment Strategies

• Additional Recommendations

(*See page 5 for definitions)

• Include a proposed schedule of required analyses

• Include the number of meetings and those individuals and

organizations involved in the scope of work

• The scope of work should also include a description of any additional

recommended sources and methods that the proponent uses that will support a comprehensive retail market analysis

• Include in this section a description of the deliverables you would propose

providing to Cedar City / Iron County at the end of the planning process Please include your proposal for delivering both written and electronic format

documents that the City may modify in the future

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• Describe in detail the overall project cost

• If applicable, provide the cost for each element separately, so that the City can

make an informed decision related to various sections of the retail market analysis

• Include any price discounts that may be applicable to this project

• Describe in detail the time to complete the project Proponent should include a clear timeline showing various stages of the project and how long it will take to complete each task and how long it will take to complete the overall project

SUMMARY

The Proposal should be clear, concise and detailed The Proposal shall not exceed twelve (12) pages for sections 1 through 6

NOTE: A page is defined as an 8 ½” by 11" or 11" by 17" sheet which contains text, pictures, graphs, charts, plan sheets or any other graphics There is a limit of three 11" by 17" sheets

which should be used in conjunction with pictures, graphs, charts, plans or any other graphics

If 11" by 17" sheets contain text only, they will be counted as two pages each If proponent

needs to include links to web based visual displays, please note these links in your proposal