Lents Town Center Affordable Commercial Tenanting Program

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Lents Town Center Affordable Commercial Tenanting Program 2017-09-08T12:37:57+00:00

Project Description

Affordable Commercial Tenanting Program
Lents Town Center

Contact: Alison Wicksemail or 503-823-3949

Prosper Portland and the Portland Housing Bureau have invested $54 million in the heart of the Lents Town Center to deliver on the Lents Action Plan goals for rebuilding the historic Lents Town Center commercial district. Four development projects are currently under way in the Lents Town Center which when complete will offer a mix of commercial, office and housing: 263 new housing units, 38,000 square feet of ground floor commercial space, and 30,000 square feet of office, clinic and event space.

Locations:

1. Lents Commons (formerly 9101 SE Foster) at SE 92nd and SE Foster

Total Retail Space: 7,500 SF, 3,725 SF contiguous SF (divisible to 1,000 SF)

Construction Completion: Winter 2017/18

2. Oliver Station at SE 92nd and SE Woodstock

Total Retail Space: up to 16,000 SF

Locations

Lents Commons

Lents Commons (formerly 9101 SE Foster) is a mixed-use development owned by Prosper Portland. The building is located on the northwest corner of Foster and 92nd. The building offers 7,500 square feet of ground floor commercial space along Foster Road, half of which has been reserved for the Affordable Commercial Tenanting Program. Prosper Portland will offer initial retail rents for this space at 10% below market rents for new class A commercial space. Tenants may also qualify for a contribution toward tenant improvement build-out in the form of a Prosper Portland grant.

Lents Commons Leasing

Oliver Station

Oliver Station (West) includes 8,000 square feet of ground floor retail along both Foster Road and Woodstock Avenue. Working with our partners at Palindrome Communities, 4,000 square feet of this space has been reserved for Prosper Portland’s Affordable Commercial Tenanting Program.  Spaces in Oliver Station will be at a minimum of 1,000 square feet for commercial uses and a minimum of 1,500 square feet for a restaurant use.  Initial commercial rents in Oliver Station will be 10% below market rents for new class A commercial space.  Tenants may also qualify for a contribution toward tenant improvement build-out in the form of a grant from Prosper Portland. Palindrome Communities and its broker will be engaged in the selection of tenants and will be the primary point of contact once the tenant has been selected.

Oliver Station Commercial Leasing

Application Process

The application is a multi-phase process through which we will select tenants that provide needed goods and services to the Lents community and further Prosper Portland’s social equity goals . This is an exciting opportunity to literally get in on the ground floor of some of the newest and hottest retail in the heart of Lents Town Center. The application will allow applicants to express their preference for site and location.

Preliminary Application

Applications open June 16, 2017 and first review will be August 1.  After that date preliminary applications will be reviewed by Prosper Portland staff on a rolling, first-come first-serve basis until all spaces all filled, and evaluated based on the following criteria.

Priority Population business ownership. Prosper Portland is committed to supporting businesses led by owners from underrepresented populations, particularly women, people of color, and those from low-income neighborhoods. Priority will be given to local businesses (based in the Portland region) and businesses that align with Prosper Portland’s equity goals and other goals identified by the community.

Business Type. Prosper Portland conducted a market analysis and previously surveyed Lents community members to identify the types of services that are most desired and have the best potential for success. The list below summarizes some examples of uses with broad community support:

  • Food service: coffee shop, restaurant, café
  • Merchandise: hard and soft goods, pet supplies, apparel
  • Entertainment: arts & family-oriented
  • Personal Services: library, barber, salon, pet services
  • Other: healthcare, wellness, fitness, yoga, daycare

Industry experience.   Preference will be given to businesses that have been in operation for at least two years. However, new business owners or applicants with management experience in their industry of at least two to five years will also be considered. Resume or CV must be included as an attachment to the application.

Financial qualifications. Owners will need to demonstrate adequate financial resources to maximize their potential for success. This section requires providing a budget and describing access to financial resources for tenant improvement costs and working capital, such as individual development accounts, personal savings, family and friends loans and other financial resources.

In addition applicants will be evaluated based on tenant mix; uses will be evaluated based on their desirability within the community, potential for success, and compatibility with other uses in the district. Applicants for space in Oliver Station will be subject to approval by the project developer and owner, Palindrome Communities.

Applicants deemed to have met the program criteria will also be reviewed by an Affordable Retail Tenanting Advisory Committee made of community representatives with retail and small business expertise as well as representatives from community organizations that focus on small business development. The role of the Affordable Retail Tenanting Advisory Committee will be to:

  • Ensure the potential tenants meet the business and business owner criteria;
  • Ensure that uses and/or services meet project and community goals;
  • Ensure that the business is viable and has an appropriate level of financial support.

 

Selected applicants will work with the property broker to move toward the consummation of a lease. Prosper Portland’s broker for Lents Commons is Kidder Matthews, and Palindrome Communities’ broker for Oliver Station is Commercial Realty Advisors.  Brokers will work with selected applicants to tour the spaces and develop the following:

  • Letter of Intent.  Tenants will work with Kidder Mathews (Lents Commons) or CRA (Oliver Station) and/or their own broker to draft a letter of intent.
  • Space Plan. Kidder Mathews (Lents Commons) or CRA (Oliver Station) will facilitate tenant’s and/or tenant’s brokers’ development of a preliminary space plan for rough order of magnitude tenant improvement pricing.
  • Tenant Improvement Cost Projections. Kidder Mathews (Lents Commons) or CRA (Oliver Station) will work with tenants and/or their brokers, along with building and tenant contractors, to facilitate development of rough order of magnitude pricing for cost of tenant improvements. Tenants must also identify or request referrals to an architect and contractor for the tenant improvement build out.

Applicants will also be asked to submit the following information and plans for consideration:

  • Business Plan. Potential tenants will need to submit a business plan summary which includes location-specific expenses and profit and loss projections for at least two years.
  • Financial Information. Business owners will need to demonstrate appropriate financial resources and minimal personal debt, along with an explanation of sources and uses of financing.

 

Representatives from Prosper Portland or Palindrome Communities will negotiate lease terms with Tenant and/or Tenant’s legal counsel, and the parties will execute a lease.

Representatives of Tenant and Landlord will complete construction documents and permit submittals and complete their respective buildouts, after which tenant opens for business.

 

Commercial Tenant Application

Disclosed Limited Agency Information & Acknowledgement