Recommend approval to award an annual contract for brokerage services to Colliers International in an amount not to exceed 3 percent of property sale revenue. The Real Estate Services Department will use these services to assist in the disposition of City-owned real property. These services will be valuable given the extensive networks, contacts, and resources of professional brokerages, and will potentially lead to higher exposure of the property sales. The Georgia General Assembly approved changes to State law this year to allow municipalities the option of engaging a professional real estate broker when disposing of real property.

The method used for this procurement was the request for proposal (RFP), which evaluates criteria in addition to cost. The criteria evaluated for this RFP were qualifications and experience, examples of experience, fees, DBE participation, and local vendor participation. The recommended proposer proposed a range of commission percentages based on the estimated amount of a given parcel sale, if the sale is accepted by Council.

The recommended proposer offered a 3 percent commission rate on properties with a value of up to $1,000,000.00; a 2.5 percent commission rate on properties with a value between $1,000,000.01 and $5,000,000.00; and a 2 percent commission rate on properties with a value exceeding $5,000,000.01. The fee proposal points were assessed for the recommended proposer based on the highest rate of commission to be assessed. The recommended proposer shall not charge a fee to the City in the event that Council rejects a sale of a given property. The typical listing agreement as proposed by the recommended proposer will be 180 days in length.

No numerical DBE goals were established for this project, but proposers were encouraged to achieve the highest possible DBE participation and were allotted a maximum of 10 points in the evaluation criteria. The recommended proposer did not have DBE participation.

The first term of the contract will be from August 16, 2018 through December 31, 2018. 

Approval