920 French Street Building update 03/14/2014

History:
The building and adjacent parking lot was purchased by the State in October 2007 (FY 2008) for
a purchase price of $13 million. Funding was authorized over two years in FY OS and FY 09 for
$6.5 million. S3.7 million in bonds are outstanding on the property. The building was never
occupied and none of the original contents or furniture has been removed. In the spring of 2009
an agreement was made between the Office of Management and Budget (OMB) and Colonial
Parking to lease the parking lot. This lease arrangement generates approximately 510,600 per
month (Si27,200 per year) which covers maintenance and utilities to keep the building in good
order.
Marketing:
Numerous tours and open houses have been held in the building over the four plus years. In
addition, an RF1 was issued to solicit proposals for sale, lease and public private partnerships.
Those efforts did not result in any agreements to move forward with a sale of the building.
State use:Because the building was designed as a school/training center, it does not lend itself to traditional
state offices. Significant renovation would be required for adaptation to offices. In addition,
neither the growth in the number of state government employees nor the lack of viable training
space warrants additional investment or retention of the building for stale use.
Current proposal:
innovative Schools has provided a written letter of intent, via their real estate Broker (DSM
Commercial) to the State for the purchase of the building only (excluding the parking lot) for a
purchase price of $5.723 million. It is the State's understanding, that Innovative Schools has an
occupant lined up who, as soon as possible, will be occupying the building and making use of it
as a school facility.
The State would like to accept this offer and move forward with an agreement of sale. The
language requiring approval from the Chairs of the Committee on Capital Improvement is below.
Also below are the specifications for the building.
Epilogue:
Section 35. Sale of Surplus Property. Notwithstanding the provisions of any law to the
contrary, the Director of the Office of Management and Budget is authorized to solicit buyers,
lessors or developers and negotiate the sale, long or short-term lease, development or adaptation
of the state-owned building and parking lot, commonly known as the Bank of America Building
and State Employee Workforce Education and Training Center, located on the block bounded by
French, 9th, 10th and Walnut Streets in Wilmington. Net proceeds resulting from a sale, lease,
development or reuse of the building and/or parking lot shall be deposited to the General Fund.
The Director of the Office of Management and Budget must receive approval from the Co-Chairs

of the Joint Legislative Committee on the Capital Improvement Program prior to executing an
agreement of sale, lease, development or use of the building or parking lot for other than state
agencies. The Director of the Office of Management and Budget is authorized to solicit buyers,
lessors, developers and others who may enable the sale, development, lease, or reuse of the
property directly, use public advertisement, auction, reverse auction, sealed bids, or issue
requests for information and requests for proposals. During Fiscal Year S043- 2014, the Director
of the Office of Management and Budget may identify additional state-owned real property that,
with the concurrence of the Co-Chairs of the Joint Legislative Committee on the Capital
Improvement Program and the Controller General, may be sold, leased or developed pursuant to
the provisions of this section.
Building Specifications:
71,484 Gross sqft, ~59,000 Net sqft including office, meeting, and training space and a two story
5,336 basketball court. The building was built in 2001.
A) Accessibility
a. 103 parking spots, 3 accessible spots. 2 van accessible spots (not fully compliant,
spaces exceed maximum allowed slope)
b. Access route from parking to building entrance is not compliant.
c. The interior of the building is compliant
B) Elevators
a. One Passenger
b. One Freight Elevator (services lower level and first floor only)
C) Mechanical/HVAC
a. Building has approximately 69 Water Source Heat Pumps
b. 2 Gas boilers
c. 2 Fresh Air units on Roof
d. 2 Cooling Towers on Roof (closed circuit cooler "EVAPCO")
D) Fire Protection
a. Fully Sprinklered
B) Electrical
a. 1200 amp service, 3 phase 480/277 volts
b. Lighting is primarily T-8 fluorescent lights
c. Emergency service is 400 amps, powered by 235 K\ Natural gas fueled
generators
d. IT equipment, both elevators , emergency lighting, and receptacles on each floor
F) Life Safety
a. Fire Alarm and Fire Extinguishers are up to date
G) Telephone
a. Avaya Phone system installed, (Gateway off the Carvel System, but could work
independently)
H) Data
a. TLS Data connectivity (not sure if connected or not),