The Point of Contact for this RFP is:

Jimmy Miller, Development Consultant

NYLOP@lisc.org

Communications 

According to this RFQ, all procurement actions facilitated by LISC NY and DD will be conducted openly, transparently, and competitively. To maintain a fair and impartial competitive process, LISC NY, DD, and any outside consultants assisting LISC NY or DD with this solicitation shall avoid private communication concerning this procurement with prospective Respondents during the entire procurement process. Accordingly, from the issue date of this RFQ until the final award for the respective Project is announced, revised, or abandoned, Respondents are not allowed to communicate about this RFQ for any reason with any DD staff or outside consultants assisting DD with this solicitation except:

• Through the RFQ Point of Contact named above,
• As otherwise specified in this RFQ or
• As provided by existing work agreement(s) (if any)

Prohibited communications shall mean all contact, including but not limited to telephonic communications, emails, faxes, letters, or personal meetings, such as lunch, entertainment, or otherwise. DD reserves the right to reject the proposal of any Respondent violating this provision.

OVERVIEW OF NYLOP

For years, LISC NY has partnered with MDOs/FBOs to promote community and economic development. MDOs/FBOs provide much-needed services to their communities. These services include housing, feeding those in need, helping individuals find stable, family-sustaining employment, supporting small businesses and job creation, providing wrap-around mental health services, and improving community safety to help build and stabilize vulnerable neighborhoods.

MDOs/FBOs offer vital resources that contribute to these goals, including:

• Community Relationships and Leadership
• Land in High Opportunity Areas
• Tax-Exempt Status
• Organizational Time, Volunteers, Finances, and Land

LISC NY NYLOP focuses on helping MDOs/FBOs use these resources to develop affordable housing on their vacant or underutilized property. LISC NY issued a Request for Expression of Interest (RFEI) to MDOs/FBOs to participate in the 2025 round of NYLOP. The program was expanded in 2023 to localities outside New York City.

LISC NY has engaged Censere Consulting LLC as the development consultant to lead a team of Housing Development Experts, including Goldstein Hall PLLC as the legal consultant and ESKW as the architectural consultant, to help move the MDO/FBO project from an idea to a conceptual plan to building affordable housing on their real estate. The NYLOP model calls for these organizations to work with the Housing Development Experts to develop a conceptual plan that will be used as the basis for them to issue an RFQ to select a Co-Developer Partner. 

BACKGROUND INFORMATION ON  DELTA DEVELOPMENT OF AMERICA OF WESTERN NY, INC (DD)

Founded in 1988, Delta Development manages, develops and provides affordable, quality housing for the people of Western New York. The formation of the organization resulted from the advocacy work conducted by the Housing Division of Catholic Charities and the development work of the Diocese of Buffalo. In their early years they had a development strategy that included HUD PRAC 202s and 811s and a combination of LIHTC/HOME/HTFC projects. By the early 2000s, Delta had amassed a portfolio of over 20 affordable housing projects. In the mid-2010s, Delta began a number of fresh development and capitalization projects that included the repositioning of 3 large older HUD projects, a smaller LIHTC project and partnering with a for profit co-developer in a 67-unit LIHTC supportive housing project that included the rehabilitation of an 80,000 square foot former academy. Delta has experience in developing projects, operating projects, monitoring and maintaining compliance, rehabbing buildings both vacant and occupied and working with partners to discern and address the needs of our most vulnerable members of society.

Delta Development currently owns a 13-acre parcel of land directly adjacent to Trinity Park Apartments. DD seeks to advance a comprehensive concept and implementation strategy for an affordable housing facility that provides quality, affordable homes to the local community while building partnerships with surrounding communities to deliver supportive services. DD is particularly committed to creating housing solutions that serve frail elderly residents, individuals with disabilities, and members of the local workforce, ensuring that vulnerable populations have access to safe, stable, and sustainable housing opportunities.

The first step in the conceptual planning process is that LISC NY’s experts will work with DD to refine a vision for the project. DD expressed its intent to create an affordable housing development containing 40 residential units as-of-right (or so many more units as can be built), with openness to exploring alternative density options as the planning process advances. The proposed concept plan envisions eight one-story residential buildings, each comprising five units, designed to foster a neighborhood character rather than a collection of standalone structures (see Attachment A). The layout includes a dedicated community building to support resident engagement and services, as well as a separate maintenance and storage facility to ensure long-term operational efficiency. The development will provide 46 on-site parking spaces to accommodate residents. The development will also include a dedicated 2,750 sq ft community space. The site is zoned as-of-right. This neighborhood-style configuration is intended to integrate seamlessly with the surrounding community, offering high-quality, affordable housing in a setting that emphasizes livability and cohesion. As part of the visioning process, DD and its partners will identify potential obstacles and refine the plan to ensure feasibility, while remaining open to alternative configurations that may better serve the project’s goals.

SUMMARY OF SERVICES 

The Co-Developer and DD shall co-manage a full-service development team to refine and implement the Site Concept Plan and direct the Project's design, development, and financing. The Co-Developer, subject to the financing and implementation plan, shall propose and incorporate a variety of funding sources, including Low-Income Housing Tax Credits (LIHTC), Bond Financing, Federal Home Loan Bank, Permanent Debt, CDBG, HOME Investment Partner(s)ships (HOME), Private Foundation Funds and such other sources as may be available and appropriate. The Co-Developer is expected to be experienced with the requirements of all financing programs proposed for use. DD will undertake no financial or guaranty obligations unless explicitly accepted in writing by DD.

The selected Co-Developer will implement the development program pursuant to the Master Development Agreement (MDA) between the Co-Developer and DD.

·       Predevelopment Funding and Guarantees – DD expects the Co-Developer to provide one hundred (100%) percent of the pre-approved third-party predevelopment costs and all Guarantees.

·       ROFR – Pursuant to IRC Section 42 Right of First Refusal, the Co-Developer shall offer DD the Right of First Refusal.

DD will be co-owner and must be included in and approve critical decisions in all aspects of the Project's planning and development, including, but not limited to, preparing documents, discussions with potential and selected investors, meetings with contractors, consultants, and stakeholders, and selecting key team members. Any reference in this RFQ to DD having rights of review, approval, etc., shall mean DD or their affiliates. While DD assumes that there will be a general contractor and a Co-Developer managing construction, DD, nonetheless, expects to be consultant regarding significant construction decisions, included but not limited to, the selection of the general contractor as well as construction budget decisions.

Predevelopment

·       DD will be involved in the predevelopment process and review and must approve all project contracts, invoices, and draws for approval. Such approval shall not be unreasonably withheld.

·       Investor Solicitation—DD will review the Co-Developer's construction financing and equity investor solicitation, list of potential investors, and responses. The Co-Developer shall conduct the investor solicitation process in a way that ensures maximum participation. Such approval shall not be unreasonably withheld.

·       Participation in Site/Unit Designs—DD expects the Co-Developer to review and incorporate the completed site conceptual design into the design documents. DD will be involved throughout the design processes to finalize the site plan, the building designs, and the floor plans. DD will also review and approve the construction drawings and specifications. Such approval shall not be unreasonably withheld.

·       Preferred Property Management Concept – Subject to lender and investor approval, DD expects to be the managing agency of this project. 

·       Marketing and Lease-up - DD expects to lead the development and implementation of the marketing and lease-up strategy for the residential units and the community building. Marketing and lease-up activities are anticipated to be carried out by DD, either directly or through a property management firm designated by DD, to achieve stabilized occupancy and appropriate use of the community building in compliance with all applicable financing, regulatory, fair housing, and land-use requirements. The Co-Developer shall coordinate with and support DD as necessary to facilitate timely lease-up and stabilization.

Financing

·       Predevelopment Funding – The Co-Developer is generally expected to cover 100% of the pre-development costs. However, DD may be willing to negotiate sharing a percentage of such costs subject to the proportion of development fees and other benefits that the Co-Developer is willing to share with DD.

·       Development Fees—DD or their affiliates will act as co-developer and receive a negotiated share of the Developer Fee.

·       Asset Manager—DD will have asset management responsibilities related to units in which they or their affiliates have an ownership interest.

MINIMUM REQUIREMENT FOR CO-DEVELOPER

Respondents to the RFQ must meet the following minimum requirements:

·       Must have at least five (5) years of experience developing affordable housing of comparable size and scope to the Projects outlined in this RFQ, including knowledge of and experience with 4% or 9% (LIHTC) Low-Income Housing Tax Credits.

·       Must have developed and completed at least two projects of comparable size and scope to the Project outlined in this RFQ within the last five (5) years.

·       Must have experience successfully accessing private equity, debt financing, government grants, and/or loans and/or be able to do so reasonably.

ROLE OF CO-DEVELOPER

Throughout the development effort, including each component phase, the Co-Developer will work closely with all stakeholders, including DD and its consultants, the surrounding community, the municipalities, and appropriate federal/local agencies. In addition, the Co-Developer will ensure that the development plan is approved, financed, and implemented promptly.

General

·       Assist DD with refining their Site Concepts to achieve the desired objectives for the Projects.

·       Implement Development Efforts – Provide the necessary expertise, supervision, and guarantees to implement all aspects of the development fully and expeditiously as required by the Master Development Agreement (MDA). The MDA is a contract between DD or an affiliate thereof and the Co-Developer that details the obligations of both parties and specifies the standards and conditions that will govern the development of the Site.

·       Acquisition Financing – Co-Developer will obtain all financing necessary to satisfy all site acquisition requirements in a manner mutually agreeable and acceptable to all lenders, investors, and parties in interest.

·       Hire and Manage Additional Consultants and Development Team Members Necessary for Planning and Implementation – The Development Team shall include, at a minimum, the Co-Developers, Project Architect, Attorney, Energy Consultant, and Property Manager. Proposed Development Team members must be submitted with the Offeror’s response to this RFQ.

·       Partner with DD to Develop Funding Applications as Necessary to Fully Implement the Development Strategy - Procure other consultants or contractors and coordinate all tasks required for all financing applications, finalizing the site-specific development plans and all implementation tasks. At a minimum, the Co-Developer will jointly procure, oversee, and manage consultants appropriately as necessary to complete funding applications, master planning, architectural, environmental review, market analysis, geotechnical studies, civil, mechanical, and electrical engineering, and any other activities deemed necessary by the Co-Developer and DD. Respondents are strongly encouraged to demonstrate participation on their team, whether by joint-venture arrangements or otherwise, of local expertise in areas relevant to the planning and development process, including LIHTC financing, design, and construction matters.

·       Maintain Communication Regarding Project Progress with DD, Lenders, Investors, All Key Stakeholders, and the Larger Public – DD will establish a regular schedule of team meetings in which the Co-Developer will participate. Moreover, the Co-Developer will be responsible for submitting monthly progress reports to DD in such formats and media as it might direct on the project status and schedule, including but not limited to design, permits, financing, resident coordination, etc.

·       Develop and Maintain Quality Control Measures—The Co-Developer is responsible for ensuring the Project is constructed and managed with the highest-quality materials and workmanship. In addition, the Co-Developer will be required to implement quality assurance and control measures to ensure adequate performance by all parties in all aspects of the program.

·       Develop and Maintain a Detailed Development Schedule and Critical Path Schedule - The Co-Developer will develop and maintain a detailed schedule of events predicated on financing deadlines that include predevelopment activities, construction start, project stabilization, and permanent loan close. In addition, they will develop a Critical Path Schedule for all phases of construction, lease-up, and stabilization.

·       Be Responsive to Local Community, Neighborhood, and Governmental Interests – The Co-Developer will work with DD to promote and maintain good relations with community and neighborhood groups and federal, state, and local governments.

·       Compliance with Laws and Regulations – The Co-Developer will comply with all applicable federal and local laws, rules, and regulations for the activities required by the Master Development Agreement.

·       Local Contracting—The Co-Developer shall undertake reasonable efforts to involve qualified local consultants and contractors in the redevelopment effort. For this purpose, "local" means firms located in the locality in which the Project is being developed. It is important to note that any proposed architect of record and engineers must be licensed to work in the State of New York and included in the Respondent's Statement of Qualifications in response to this RFQ.

Predevelopment

·       Planning and Design –The selected Co-Developer and DD shall work jointly to lead a progressive architectural team rendering a signature state-of-the-art design in affordable housing utilizing the Principles for Building Resilience in housing in New York State. In addition, the Co-Developer and DD shall work jointly to determine the viability of net zero or passive house building.

·       Prepare Development Plans—In consultation with DD, the residents, the community, leaders, and other interested stakeholders, the Co-Developer will refine the concept plan for the Project to be consistent with program goals and acceptable to DD.

·       Plans and Specifications—Subject to the review and approval of DD, the Co-Developer, jointly with DD, will be responsible for refining and finalizing the infrastructure and building plans and specifications prepared to date by DD to ensure they comply with the requirements of all permitting and regulatory entities. All such documents and designs will be subject to DD’s review and approval.

Financing

·       Produce an Overall Financing Plan –The Co-Developer, in conjunction with DD, will finalize the financing plan for the overall development effort. The comprehensive financing plan and market analysis will be developed alongside the development plan. The development plan shall reflect the realities of the overall financing plan, market analysis, and programmatic goals of DD.

·       Financing Application(s) – Per the Master Development Agreement, the Co-Developer will be required to pursue diligently and use best efforts to obtain all financing necessary to implement the development plans in a timely fashion, which may include, but not be limited to - tax credits, tax-exempt bonds, federal/state/local funds, and private debt.

·       Maximize the Leveraging of Public and Private Resources – DD and Co-Developer shall maximize and leverage public and private resources to pursue all reasonable financing and funding sources from wherever situated. The parties shall jointly coordinate, discuss, and negotiate all financing terms with financial institutions and private partners, etc. Said negotiations shall be subject to review and approval by DD. Any identity of interest between the Co-Developer and any lender, syndicator, or other financing Partner(s) must be timely disclosed, and the Co-Developer must demonstrate how the proposed terms are most favorable to other terms available in the market.

·       Obtain Equity Investment –Utilizing an open and competitive process, DD and the Co-Developer shall obtain equity financing commitments with the best terms currently available per the Master Development Agreement. DD intends to participate in developing the solicitation documents for investors by reviewing the letters of interest received and ranking and scoring all responses. All investors for the Project will require the approval of DD and the co-developer.

·       Guarantees—In accordance with the Master Development Agreement, provide all guarantees required for the successful financing of the development effort, including completion guarantees, operating deficit guarantees, tax credit adjuster or recapture guarantees, and guarantees of performance under the Agreement. In addition, DD will require that the Co-Developer demonstrate financial ability to honor the guarantees.

·       Operating Feasibility – As required in the Master Development Agreement, structure such reserves and other devices as necessary to guarantee the long-term operating feasibility of the Project reasonably.

·       Accounting/Financing—Pursuant to the Master Development Agreement, DD and the Co-Developer shall maintain all accounting and finance records, and the Co-Developer shall ensure Project financing is available at the appropriate times and utilized in the appropriate manner.

Construction

·       Hire a Qualified General Contractor or Construction Manager to Oversee Construction Activities – DD and Co-Developer will create and implement a competitive process for selecting the most qualified General Contractor or Construction Manager. During construction, the Co-Developer shall provide oversight and management of construction activities to ensure the expeditious implementation of the Project, subject to the review and approval of DD. As regular on-site construction monitoring is critical to the success of the Project, the Co-Developer must have a reasonable on-site presence during the term of construction. Any identity of interest between the Co-Developer and the General Contractor or Construction Manager must be disclosed and approved by DD, lenders, and investors.

·       Facilitate Necessary Site Improvements – According to the Master Development Agreement, the Co-Developer, in cooperation with DD, shall initiate and complete site work and infrastructure construction with review and approval by DD.

·       Implement Development Program – Per the final development plans approved by lenders, investors, and regulatory agencies and subject to review and approval of DD, the Co-Developer will develop all improvements associated with the development program.

Ownership and Asset Management

·       Organize Ownership Entity—Upon completion of the development plan, DD anticipates that the Project site may be conveyed by deed to a single-purpose ownership entity formed for the Project, rather than structured through a long-term ground lease. Co-Developer will work with DD to evaluate and implement an ownership structure that facilitates financing, guarantees, and long-term project viability. Alternative structures, including long-term ground leases, may be considered if required by financing sources or if proposed by the Co-Developer as a preferable approach.

·       Ensure the Short- and Long-Term Viability of the Project –DD shall lead the development and implementation of marketing, re-occupancy, asset management, and property management plans to ensure the Project’s short- and long-term viability. Such plans shall be subject to the approval of the Co-Developer, with DD retaining primary responsibility and day-to-day decision-making authority. The Co-Developer shall coordinate with and support DD in these efforts as required.The Co-Developer and DD shall co-manage a full-service development team to refine and implement the Site Concept Plan and direct the Project's design, development, and financing. The Co-Developer, subject to the financing and implementation plan, shall propose and incorporate a variety of funding sources, including Low-Income Housing Tax Credits (LIHTC), Bond Financing, Federal Home Loan Bank, Permanent Debt, CDBG, HOME Investment Partner(s)ships (HOME), Private Foundation Funds and such other sources as may be available and appropriate. The Co-Developer is expected to be experienced with the requirements of all financing programs proposed for use. DD will undertake no financial or guaranty obligations unless explicitly accepted in writing by DD.

If your business or non-profit is selected as a finalist, you will be notified via email. Being selected as a finalist does not guarantee acceptance as Master Developer for these sites. As a finalist, additional documentation will be required, including but not limited to tax returns/990s, Certificate of Good Standing from the New York Secretary of State (except if you're a micro-entrepreneur), a 501(c)(3) letter for non-profits, and an SSN,TIN/ITIN and/or EIN for the applicant and/or the business in order for us to perform the due diligence required by the program’s funding source.

This due diligence inquiry may include background search that we will conduct at our expense. If the due diligence step is successfully completed, we will ask for W-9 and appropriate banking information so that we may transfer funds by ACH to your designated account.