Post on 08-Oct-2020
transcript
25HolyokeMcCabe Enterprises
Part A: Overview Building Overview Regulatory Context Existing Conditions
Part B: Approach First Phase: Stabilize
Part C: Development Scenarios Scenario 1: Incremental Scenario 2: Full Redevelopment
Part D: Pro Formas
3.1 106-120
High St.
26 Holyoke McCabe Enterprises
27McCabe Enterprises Holyoke | 106-120 High Street
Part A: Overview 106 - 120 High Street
Building Overview
106-120 High Street consists of four Italianate structures, that are a contributing part of the High Street Historic District of Holyoke. The four buildings were designed and built to pres-ent the appearance of a single unified block. The buildings are a part of what was once an important commercial district in Holyoke in the mid-1800’s to early 1900’s. There was original-ly a fifth structure in this row at 122-124 High Street, however this building was torn down and is now a vacant lot.
106-108 High Street, is the more elaborate of the four struc-tures, with a slightly taller corbeled cornice and decorative window heads. This detail is typical of a Civil War era period building, but the date of construction is unknown. It is esti-mated in the MACRIS database to have been built between 1860-1870.
The adjacent 110-120 High Street buildings are likewise four stories, but are slightly lower in elevation and less ornate in detailing. They are estimated in the MACRIS database to have been built in the 1870’s.
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Image from the Massachusetts Historical Commission Archives
28 McCabe EnterprisesHolyoke | 106-120 High Street
Regulatory Context
106-120 High Street is located in the BC Downtown Business zoning district, as well as the Downtown Smart Growth Zoning Overlay (40R) District. Permitted uses in the BC Down-town Business zone include retail, personal services, business or professional offices, banks, financial services, restaurant, convenience store, and residential uses. The Downtown Smart Growth Zoning Overlay District seeks to encourage mixed-use development, redevelopment and adaptive re-use of existing structures. Mixed-use development is allowed as-of-right at this site. Accessory parking uses are also allowed as of right.
The parking requirements for the Downtown Smart Growth Zoning Overlay District state that 1 parking space per residential unit shall be provided. A reduction in parking require-ments is permitted, if it can be demonstrated that lesser parking will not cause excessive con-gestion or endanger public safety. Moreover, reduction in the parking requirement will be considered if a positive environmental benefit exists with less parking.
Commercial parking requirements for the BC Downtown Business zone require 1 parking space for every 300 gross SF of retail or office space, or parking space for every gross 400 SF of a personal services establishment. The existing street level gross square footage amounts to 7,880 SF. Under existing requirements, 26 parking spaces would be required for retail stores on the ground level. The Holyoke Planning Board has the authority to grant reductions in the parking space requirement. Since the 106-120 High Street buildings were first erected in 1860s-1870s, prior to enactment of zoning and used for mixed-used development (ground floor commercial and upper level residential), one could posit that the parking requirements may not apply to this series of buildings if the original uses continue. The ground level is currently used for retail stores.
The 106-120 High Street site includes a “vacant” lot at the corner of High Street and Oliver, which could be used for parking. Six parking spaces can be accom-modated on this property, with perhaps an additional space squeezed in. This would provide a planting buffer along High Street, but would require additional curb cut access off of Oliver Street. Parking in the lower level with access from the alley is another approach for a few more spaces. From a market perspective, reha-bilitation of the upper stories for housing will require some provision of convenient parking for residential users on site
106-120 High Street is outside the flood plain. There are no known wetlands or protected vegetation or wild-life in the vicinity.
This series of buildings is located within the North High Street Historic District, listed on the National Register of Historic Places. As such, any assistance us-ing state or federal funds, including historic tax credits,
Holyoke Zoning Map
29McCabe Enterprises Holyoke | 106-120 High Street
will trigger review by the Massachusetts Historical Commission (MHC) so that the reno-vation and rehabilitation work is consistent with the historic architectural character of the building. Consultation with MHC at the outset typically more cost effective, particularly if use of the 20% historic tax credits is anticipated. MHC and the National Park Service must certify all 20% historic tax credit projects. Use of the 10% federal historic tax credit does not require certification.
106-120 High Street facade.
Oliver Street elevation and adjacent lot.
30 McCabe EnterprisesHolyoke | 106-120 High Street
106 - 120 HIGH STREET
General 106-120 High Street consist of four mixed-use buildings with ground level commercial/ retail space and what was once upper level housing space. The buildings are four-story brick Ital-ianate structures (c. 1870). The historic details of the facades include brick quoins, segmen-tal-arched windows and bracketed cornices.
Basement The basement was not accessible on the visit, so conditions are unknown. Exterior base-ment walls were observed from the alley at the rear of the building: walls are in poor condi-tion and require extensive patching, repair and re-pointing.
First Floor The first floor of all four buildings is occupied by a single retail space (convenience store) operated by the building owner. There are some original elements such as the entry doors at 106 High and steel or cast iron columns on several storefronts, while others have been re-placed over time with a range of materials. Currently only one of the storefronts, 114-116 High, is used as the entry to the shop. On the interior, walls have been opened up between the four buildings in order to function as a single space. A number of structural modifications seem to have been made on the interior. In some spaces original ceiling finishes remain intact and could be refurbished. Generally the space is operational but would benefit from upgrades.
Second Floor Some demolition has been done on the second floor of 106-108 High. While many of the original partitions remain, the space is in disrepair and in need of complete renovation. The second floor of 110-112, 114-116 and 118-120 High. 114-120 High are in use as a furniture show-room, while 110-112 is mainly used for storage. Second floor of these buildings are in need of renovation and code upgrades.
Third Floor Upper levels were accessed in 106-108 and 114-116 High Street. In 106-108 High, walls on the third floor have been stripped down to studs in some areas, particularly in the stairwell on the southwest side where fire damage is evident. In 114-116 High, all partitions on the third floor have been stripped down to the studs; ceiling and floor finishes have been removed; all plumbing fixtures and most pipes have been removed as well.
Fourth Floor Upper levels were accessed in 106-108 and 110-112 High Street. In 106-108 High, almost all partitions and most of the ceiling finishes have been completely removed; fire damage is evident on the southeast wall and roof framing. In 110-112 High, all partitions on the third floor have been stripped down to the studs; ceiling and floor finishes have been removed; all plumbing fixtures and most pipes have been removed as well.
Roof Access to the roof was not available. In the two buildings where upper floors were accessed, there was evidence of roof leaks, suggesting a need for repair or replacement of the roof along with repairs to interior damage. Cap/ flashing repairs appear to be needed for all buildings.
Stairs & Elevators
106-120 High Street represent 4 individual buildings, each with their own circulation. None of the buildings has an elevator. Each has a main stair running the length of the northeast side of the building and accessed through an entry from High Street. A separate basement access stair down from the first floor also runs along the northeast side of the building. Con-dition of staircases varies, and not all were accessible at the time of the visit.
Exterior Minor re-pointing needed to exterior brick walls on the northwest elevation. Moderate re-pointing needed on exterior brick walls on southwest elevation of building. Some parapet wall repair needed. Extensive repair and re-pointing needed on the southeast face of build-ing along the alleyway (basement and first floor levels). Masonry in need of cleaning/ power washing.
Systems Heating equipment in the basement was not accessible on the visit and could not be as-sessed. Electrical panels similarly were not accessible. Electric was not readily visible either.
The building is in need of an updated sprinkler system and a fire safety system was no visible.
Structural Floor and stair framing in 106-108 High Street has been compromised by a fire. The fire damage is mainly in the stairwell on the southwest side of the building, and throughout the fourth floor. Foundations were not accessible for observation. Framing that was visible in 110-120 High was in fair to good condition, however, size of framing members may be insuffi-cient for current code standards.
Other There is a vacant lot to the southeast adjacent to 120 High Street. Ideally this lot could be combined with the 104-120 High properties as part of a redevelopment scenario.
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31McCabe Enterprises Holyoke | 106-120 High Street
Top: elevation of 106-108 High Street.
Middle: ground level storefront details.
Bottom: southeast elevation at rear alley.
32 McCabe EnterprisesHolyoke | 106-120 High Street
106 - 108 High Street
Interior conditions on upper levels of 106-108 High Street.
33McCabe Enterprises Holyoke | 106-120 High Street
110-112 High Street
Interior conditions on upper levels of 110-112High Street.
34 McCabe EnterprisesHolyoke | 106-120 High Street
110-112 High Street
Interior conditions on upper levels of 110-112 High Street. Lower right image shows roof conditions at rear.
35McCabe Enterprises Holyoke | 106-120 High Street
114-116 High Street
Interior conditions on upper levels of 114-116 High Street.
36 McCabe EnterprisesHolyoke | 106-120 High Street
106 - 120 High Street
Top, middle: interior of ground floor business showing historic ceiling details.Bottom: second floor furniture showroom and storage area showing damaged ceiling.
37McCabe Enterprises Holyoke | 106-120 High Street
APPROACH: 106 - 120 HIGH STREET
First Phase Approach
Provide basic improvements / stabilization for buildings (all addresses).
General Protect building structure
• Identify source of water leaks (roof, windows, flashing) and repair to make building water-tight. • Properly board any broken windows on upper floors.
Clean-up/ refresh ground floor storefronts
• Repaint entrances; doors and ground floor woodwork, window and store frames.• Provide new signage and exterior lights.
Second through Fourth Floors
Upper level make-safe
• Clean-up entry areas on street level and at rear exits. • Remove and dispose of all debris in vacant spaces, including debris at stairwells.• At ground level business area, clean/ re-merchandise to provide clear path of travel and access to second means of egress.• At occupied second floor areas move furniture and other items to ensure a clear path of travel to stairs and exits.
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• improve storefronts
• properly board broken windows
upper levels: remove trash and clear stairs/ paths of egress
retail level: provide clear paths of egress
Part B: Approach 106 - 120 High Street
38 McCabe EnterprisesHolyoke | 106-120 High Street
Scenario 1
Renovate/ redevelop each building incrementally
SCOPE: 106 - 120 HIGH STREET
Overview Scenario 1 proposes renovating each of the four buildings incrementally based on market demand. Buildings would include a retail/commercial space on the ground level, and upper level residential.
Basement The basement would remain primarily space for building services. It could provide storage or support space for the retail/commercial component, particularly as the exposed rear alley allows for excellent service access for deliveries.
First Floor The first floor of each building would be renovated for commercial use. Phasing of the de-velopment would allow the existing business to consolidate to remaining storefronts while construction of the first storefront is in progress. The new retail area could then be leased to a new tenant after renovation.
Second through Fourth Floors
In this scenario, the second through fourth floors would be developed as housing. Units could be sold as condos, or rented as apartments. 110-120 High most likely would be devel-oped with one unit per floor, and two bedrooms per unit. 106-108 High has the potential for two units per floor due to its larger floor plate.
Systems In this scenario, each building would have its own new systems installed: new fire protection and life safety systems are needed. New electrical and plumbing required throughout; new HVAC will be required.
106 - 120 HIGH STREET: BUILDING AREAS (sf)
Basement First Second Third Fourth Total
106-108 High 1,970 1,970 1,970 1,630 1,630 9,170
110-112 High 1,970 1,970 1,970 1,490 1,490 8,890
114-116 High 1,970 1,970 1,200 1,200 1,200 7,540
118-120 High 1,970 1,970 1,200 1,200 1,200 7,540
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Part C: Development Scenarios 106 - 120 High Street
39McCabe Enterprises Holyoke | 106-120 High Street
23'-6"
High Street elevation.
Scenario 1: ResidentialUnit Layouts
(Second Floor)
106-108 110-112 114-116 118-120
900sf 900sf
1,090sf
900sf
670sf
40 McCabe EnterprisesHolyoke | 106-120 High Street
SCOPE: 106 - 120 HIGH STREET
Overview Scenario 2 proposes a complete redevelopment of the properties at 106-120 High Street. Given the condition of the interiors of the properties, the need for extensive upgrades to meet current life-safety and energy codes, and the poor condition of the brick exterior walls at the rear of the building, full redevelopment may prove to be the best course of action.
The buildings sit within the North High Street Historic District, and care to preserve sig-nificant features that contribute to the overall district would be required. In this case, the facades and cornice line along High Street would need to be maintained. Changes to the storefront will need to replicate look and organization of historic storefronts.
Adjacent property could also be considered as part of the redevelopment effort. The vacant lot to the southwest could be acquired for parking or as are for additional development.
Basement The basement would include space for building service including utilities and trash. Given the full story difference in grade elevation between High Street and the rear alleyway (run-ning between Lyman and Oliver Streets), parking at the basement level below the building could easily be accommodated.
First Floor The first floor would be developed as retail / commercial space in keeping with the historic pattern of the streetscape and the storefront openings of the historic facades. With rede-velopment, stairs, elevators and circulation for the four addresses can be combined and will provide an economy of space.
Second through Fourth Floors
With complete redevelopment of the site, programming for the upper floors is much more flexible. The second, third and fourth floors could be developed as commercial office, institu-tional or residential depending on market demand.
OFFICE: New construction of office space is one option. Depending on user, total leasable area would be in the range of 4,500 - 5,000 sf
RESIDENTIAL: Construction of new residential is shown for upper floors. In this scenario, there is a fair amount of flexibility regarding occupancy type. Floor plates could be divided into smaller units for an assisted living or adult care home. Or, they could be designed as larger market rate units.
Systems Complete new building systems: HVAC, plumbing, electric, and fire protection are needed. Scale of redevelopment will require an elevator.
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residential commercial (retail or office)
Scenario 2
retain facades
all new construction
41McCabe Enterprises Holyoke | 106-120 High Street
106-120 High Street Pro Forma
The first set of pro formas presented for 106-120 High Street uses the Incremental Hybrid Scenario which focuses on base stabilization of the buildings including life safety measures and upgrading of the storefronts on the ground level. Two different methods of financing were assessed, a conventional financing approach with a 5% loan amortized over twenty years and a low-interest loan with a 4.25% loan, again amortized over a twenty year period. Each alter-native calls for a ten percent owner’s equity investment of approximately $23,000. The initial cost estimate for base stabilization improvements is $204,000.
Revenue in the Incremental Hybrid Scenario is based on leasing the ground level storefronts at $7.50/SF. The four storefronts are currently 100% occupied with the owner-run general store/convenience store that serves neighborhood residents. This rent level is based on the assump-tion that owner-occupied businesses tend to charge themselves a lower rent than market rate. Market rate retail rents in downtown Holyoke are in the neighborhood of $8 to $12.00/SF depending upon location and quality of the space. As storefronts are rehabilitated, the owner could opt to continue to use all four storefronts or to consolidate retail operations, and lease one or more storefronts at market rate rents.
A summary comparing the two alternatives for financing the Incremental Hybrid approach for 106-120 High Street follows.
106-120 High Street – Incremental Hybrid Scenario
Option Base Stabilization
Financing Tool Conventional
FinancingLow Interest
Loan Financing
Total Hard & Soft Costs $204,039 $204,039
Total Permanent Financing Need $227,482 $226,486
Interest Rate 5.00% 4.25%
Net Operating Income $35,104 $35,104
Loan Amount $204,733 $203,837
Annual Debt Service $18,015 $16,830
Debt Service Cost Per SF of Leased Area $2.42 $2.26
Debt Service Cost Per Building SF $0.54 $0.51
Funds Available Annually for Reinvestment in Building. Improvements $17,089 $18,275
Owner’s Equity* $22,748 $22,649
Part D: Pro Formas 106 - 120 High Street
42 McCabe EnterprisesHolyoke | 106-120 High Street
Full Redevelopment Approach Summary
The analysis of the full redevelopment examined four alternatives, namely:
• Scenario 2A: Full redevelopment of all four buildings with ground level retail and upper level residential, with a total of 15 residential units.
• Scenario 2B: Full redevelopment of all four buildings, using a phased approach starting with one building. Uses will be ground-level retail and upper-story residential.
• Phase I in Scenario 2B begins the phased full redevelopment with106-108 High Street, the building to the furthest north, and analyzes the feasibility of undertaking one building at a time. 106-108 High Street is the largest of the four buildings, with a total of 9,170 SF.
• Phase IV in Scenario 2B begins the phased full redevelopment with 118-120 High Street, the most southern building which adjoins the vacant lot on Main Street and Oliver. 118-120 High Street has 7,540 SF, like is neighbor, 114-116 High Street. This is the smaller of the set of buildings.
• Scenario 2C: Full redevelopment of all four buildings with ground level retail and upper level office, with a total of 17,380 gross SF of office that could be rented to several large or many smaller users.
The bedroom mix and type of the proposed fifteen residential units includes four efficiency/studio units and 11 two-bedroom units. The same bedroom/size mix is used for each of the alternatives, 2A, 2B-phase I; and 2B-phase IV.
The financial feasibility of the phased approach was tested with the two end buildings, which happened to include the largest and smallest buildings by area. A phased approach was ana-lyzed since the full redevelopment of all four buildings identified a huge financing gap that appeared unrealistic to close. Unfortunately, the full redevelopment approach, even with a phased approach of one-building at a time proven financially unworkable, as well. The results of the financial feasibility analysis are summarized in the following table.
43McCabe Enterprises Holyoke | 106-120 High Street
106-120 High Street Full Redevelopment Approach Summary
Scenario 2A 2B 2B 2 C
Phase I IV
Description
Full Renovation with Ground Floor Retail & Residential (15 units)
Incremental Renova-tion with Ground floor Retail beginning with 106-108 High Street (6 residential units this phase, 15 total)
Incremental Renova-tion with Ground floor Retail, 3 residential units in this phase, 15 total)
Full Renovation with Ground Floor Retail & Upper-Story Office (3 levels)
Total Hard & Soft Costs $10,239,886 $9,159,028 $9,159,028 $10,019,395
Total Costs of Permanent Financing $11,130,493 $2,774,619 $2,253,032 $10,907,797
Equity Requirement $1,000,000 $200,000 $200,000 $1,000,000
Return on Equity 3.6% 9.3% 4.3% 4.9%
Gap $(5,570,936) $(844,962) $(948,082) $(2,381,704)
Key Challenges
Greater initial equity and financing required. Requires major Historic Tax Credits and NMTC allocation. Low market rate rent structures.
Residential and retail rent structure low; inefficient floor plates. Off-street parking
Residential and retail rent structure low; inefficient floor plates. Off-street parking.
Locating an office user; Parking. Re-quires major Historic Tax Credits & NMTC al-locations. Low market rate rent structures.
44 McCabe EnterprisesHolyoke | 106-120 High Street
Site 106-120 High StreetLand Area 9,757 PhaseBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
SF per floor & building Bsmt Ground Floor 2nd Flr 3rd Flr 4th Flr Total106-108 High Street 1,970 1,970 1,970 1,630 1,630 9,170 110-112 High Street 1,970 1,970 1,970 1,490 1,490 8,890 114-116 High Street 1,970 1,970 1,200 1,200 1,200 7,540 118-120 High Street 1,970 1,970 1,200 1,200 1,200 7,540
Assessed ValuationLand 25,600$
Roof Area 7,880 Building 189,900$ Extra Features 1,600$
Gross Leasable Space 25,260 Total 217,100$
Building Area SF Proposed UseGround floor (street) 7,880 Continued use as retail2nd floor 6,340 3rd floor 5,520 4th floor 5,520 Basement 7,880 Total 33,140
Hard CostsAcquisition* -$ Site Work -$ Construction Hard Costs 124,100$ General Conditions, Bonds, Insurance, Overhead 16,009$ Escalation 0.06 7,446$ Permits 1,364$ Demolition -$ Hazardous Materials/Abatement -$ Tenant Improvements -$ Furniture, Fixtures & EquipmentDesign & Pricing Contingency 22,338$ LEED Premium (not applied) 3% -$
SUB-TOTAL HARD COSTS 171,257$
1Stabilization of building with securing building envelope and life safety code compliance. Conventional
Incremental Hybrid Approach
McCabe Enterprises Holyoke | 106-120 High Street 45
Site 106-120 High StreetLand Area 9,757 PhaseBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
1Stabilization of building with securing building envelope and life safety code compliance. Conventional
Incremental Hybrid Approach
Soft CostsArch'l & Engineering 5.00% 6,205$ Other Consultants 1.50% 1,862$ Project Management 3.50% 4,344$ Legal 1.00% 1,241$ Utilities 0.25% 310$ Marketing -$ Real Estate Taxes 17,259$
Soft Cost Contingency 5.00% 1,561$
SUB-TOTAL SOFT COSTS 32,782$
Total Hard & Soft Costs, before Financing Costs 204,039$
Loan Financing CostsLegal, Escrow, Title 10,000$ Loan Fees 1% 1,928$ Appraisal 5,000$ Interest Construction Loan 12 months 5.00% 6,515$ Permanent Financing Need 227,482$
Units/ SF AverageAnnual Rent
Annual Gross Income
1st floor Retail * 7880 7.50$ 59,100$ Basement (storage) 1.25$ -$ Office -$ Residential -$ Sub-Total 59,100$
7.5% Discount for Vacancies 7.50% (4,433)$ Effective Gross Income 54,668$
ExpensesMaintenance 10% 5,467$ Taxes 8,630$ Utilities 7.5% 4,100$ Management 2.5% 1,367$ Net Operating Income 35,104$
106-120 High Street Initial Operating Income for Phase 1 Stabilization Using Incremental Hybrid Approach
46 Holyoke | 106-120 High Street McCabe Enterprises
Site 106-120 High StreetLand Area 9,757 PhaseBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
1Stabilization of building with securing building envelope and life safety code compliance. Conventional
Incremental Hybrid Approach
FinancingDebt Service Coverage 1.25Amount Available for Debt Service 28,083$ Maximum Loan at Debt Service Constant $425,506Financing Gap/(Surplus) (Loan Need less Amt of Loan w DSC) (198,025)$ Actual Loan 204,733$ Annual Debt Service Payment 18,015
Amortization Period 20 yearsInterest Rate 5.00%Debt Service Constant 6.600%
Cash Flow -- Year OneEffective Gross Income 54,668$ Net Operating Income 35,104$ Annual Debt Service 18,015$ Surplus/deficit 17,089$ To be reinvested in annual bldg. improvementsYear 1 Return on Equity 75.1%
SOURCES & RETURNSConventional Loan 204,733$ Equity Requirement 22,748$ Owner Equity Contribution
Sub-Total 227,482$
Sources to be Identified -$
State Abandoned Bldg. Tax Deduction
17,089$������������
10% tax deduction of renovation costs of buildings that are 75% or more vacant as to personal or corporate MA income. Benefit is variable as to the tax rate of the Owner.
Surplus Funds for Continual Annual Building Improvements
* 106-120 High Street is an owner-occupied commercial building. The owner operates a retail convenience/general store in all four storefronts. Owner occupants tend to charge themselves below market rental rates.
McCabe Enterprises Holyoke | 106-120 High Street 47
Site 106-120 High StreetLand Area 9,757 PhaseBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
SF per floor & building Bsmt Ground Floor 2nd Flr 3rd Flr 4th Flr Total106-108 High Street 1,970 1,970 1,970 1,630 1,630 9,170 110-112 High Street 1,970 1,970 1,970 1,490 1,490 8,890 114-116 High Street 1,970 1,970 1,200 1,200 1,200 7,540 118-120 High Street 1,970 1,970 1,200 1,200 1,200 7,540
Assessed ValuationLand 25,600$
Roof Area 7,880 Building 189,900$ Extra Features 1,600$
Gross Leasable Space 25,260 Total 217,100$
Building Area SF Proposed UseGround floor (street) 7,880 Continued use as retail2nd floor 6,340 3rd floor 5,520 4th floor 5,520 Basement 7,880 Total 33,140
Hard CostsAcquisition -$ Site Work -$ Construction Hard Costs 124,100$ General Conditions, Bonds, Insurance, Overhead 16,009$ Escalation 0.06 7,446$ Permits 1,364$ Demolition -$ Hazardous Materials/Abatement -$ Tenant Improvements -$ Furniture, Fixtures & EquipmentDesign & Pricing Contingency 22,338$LEED Premium (not applied) 3% -$
SUB-TOTAL HARD COSTS 171,257$
1Stabilization of building with securing building envelope and life safety code compliance. Low Interest
Incremental Hybrid Approach
48 Holyoke | 106-120 High Street McCabe Enterprises
Site 106-120 High StreetLand Area 9,757 PhaseBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
1Stabilization of building with securing building envelope and life safety code compliance. Low Interest
Incremental Hybrid Approach
Soft CostsArch'l & Engineering 5.00% 6,205$ Other Consultants 1.50% 1,862$ Project Management 3.50% 4,344$ Legal 1.00% 1,241$ Utilities 0.25% 310$ Marketing -$ Real Estate Taxes 17,259$
Soft Cost Contingency 5.00% 1,561$
SUB-TOTAL SOFT COSTS 32,782$
Total Hard & Soft Costs, before Financing Costs 204,039$
Loan Financing CostsLegal, Escrow, Title 10,000$ Loan Fees 1% 1,918$ Appraisal 5,000$ Interest Construction Loan 12 months 4.25% 5,529$ Permanent Financing Need 226,486$
Units/ SF AverageAnnual Rent
Annual Gross Income
1st floor Retail * 7880 7.50$ 59,100$ Basement (storage) 1.25$ -$ Office -$ Residential -$ Sub-Total 59,100$
7.5% Discount for Vacancies 7.50% (4,433)$ Effective Gross Income 54,668$
ExpensesMaintenance 10% 5,467$ Taxes 8,630$ Utilities 7.5% 4,100$ Management 2.5% 1,367$ Net Operating Income 35,104$
106-120 High Street Initial Operating Income for Phase 1 Stabilization Using Incremental Hybrid Approach
McCabe Enterprises Holyoke | 106-120 High Street 49
Site 106-120 High StreetLand Area 9,757 PhaseBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
1Stabilization of building with securing building envelope and life safety code compliance. Low Interest
Incremental Hybrid Approach
FinancingDebt Service Coverage 1.25Amount Available for Debt Service 28,083$ Maximum Loan at Debt Service Constant $453,544Financing Gap/(Surplus) (Loan Need less Amt of Loan w DSC) (227,058)$ Actual Loan 203,837$ Annual Debt Service Payment 16,830
Amortization Period 20 yearsInterest Rate 4.25%Debt Service Constant 6.192%
Cash Flow -- Year OneEffective Gross Income 54,668$ Net Operating Income 35,104$ Annual Debt Service 16,830$ Surplus/deficit 18,275$ To be reinvested in annual bldg improvementsYear 1 Return on Equity 80.7%
SOURCES & RETURNSConventional Loan 203,837$ Equity Requirement 22,649$ Owner Equity Contribution
Sub-Total 226,486$
Sources to be Identified -$
State Abandoned Bldg Tax Deduction
18,275$������������
10% tax deduction of renovation costs of buildings that are 75% or more vacant as to personal or corporate MA income. Benefit is variable as to the tax rate of the Owner.
Surplus Funds for Continual Annual Building Improvements
* 106-120 High Street is an owner-occupied commercial building. The owner operates a retail convenience/general store in all four storefronts. Owner occupants tend to charge themselves below market rental rates.
50 Holyoke | 106-120 High Street McCabe Enterprises
Site 106-120 High StreetLand Area 9,757 ScenarioBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
SF per floor & building Bsmt Ground Floor 2nd Flr 3rd Flr 4th Flr Total106-108 High Street 1,970 1,970 1,970 1,630 1,630 9,170 110-112 High Street 1,970 1,970 1,970 1,490 1,490 8,890 114-116 High Street 1,970 1,970 1,200 1,200 1,200 7,540 118-120 High Street 1,970 1,970 1,200 1,200 1,200 7,540
Assessed ValuationLand 25,600$
Roof Area 7,880 Building 189,900$ Extra Features 1,600$
Gross Leasable Space 25,260 Total 217,100$
Building Area SF Proposed UseGround floor (street) 7,880 Continued use as retail2nd floor 6,340 Residential 3rd floor 5,520 Residential 4th floor 5,520 Residential Basement 7,880 Support space for 1st flr retail + ParkingTotal 33,140
Hard CostsAcquisition* -$ Site Work -$ Construction Hard Costs 6,320,072$ General Conditions, Bonds,Insurance, Overhead 815,289$ Escalation 0.06 379,204$ Permits 69,428$ Demolition -$ Hazardous Materials/Abatement -$ Tenant Improvements -$ Furniture, Fixtures & Equipment 228,591$Design & Pricing Contingency 1,010,553$ Escalation to mid point (2 yrs) 336,854$ LEED Premium (not applied) 3% -$
SUB-TOTAL HARD COSTS 9,159,991$
2AFull Redevelopment:15 Upper-Level Residential Units with Street-level Retail
McCabe Enterprises Holyoke | 106-120 High Street 51
Site 106-120 High StreetLand Area 9,757 ScenarioBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
2AFull Redevelopment:15 Upper-Level Residential Units with Street-level Retail
Soft CostsArch'l & Engineering 7.25% 458,205$ Other Consultants 1.50% 94,801$ Project Management 5.00% 316,004$ Legal 1.00% 63,201$ Utilities 0.25% 15,800$ Marketing 1.00% 63,201$ Real Estate Taxes 17,259$
Soft Cost Contingency 5.00% 51,424$
SUB-TOTAL SOFT COSTS 1,079,895$
Total Hard & Soft Costs, before Financing Costs 10,239,886$
Loan Financing CostsLegal, Escrow, Title 10,000$ Loan Fees 1% 99,510.88$ Appraisal 5,000$ Interest Construction Loan 18 months 5.0% 776,097$ Permanent Financing Need 11,130,493$
Operating Income for Scenario 2A
Units/ SF AverageAnnual Rent
Annual Gross Income
1st floor retail 7880 10.00$ 78,800$ Basement (storage) 1.25$ -$ Resl --1 bdrm 0 10,488$ -$ Resl -- 2 brdm 11 12,408$ 136,488$ Resl -- 3 bdrm 0 13,944$ -$ Studio/Efficiencies 4 8,796$ 35,184$ Sub-Total 250,472$
7.5% Discount for Vacancies 7.50% (16,147)$ Effective Gross Income 234,325$
ExpensesMaintenance 10% 23,433$ Taxes 8,630$ Utilities 7.5% 17,574$ Management 2.5% 5,858$ Net Operating Income 178,831$
52 Holyoke | 106-120 High Street McCabe Enterprises
Site 106-120 High StreetLand Area 9,757 ScenarioBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
2AFull Redevelopment:15 Upper-Level Residential Units with Street-level Retail
FinancingDebt Service Coverage 1.25Amount Available for Debt Service 143,064$ Amount of Loan at Debt Service Constant $2,220,808Annual Debt Service Payment 143,064
Amortization Period 30 yearsInterest Rate 5.00%Debt Service Constant 6.442%
Cash Flow -- Year OneEffective Gross Income 234,325$ Net Operating Income 178,831$ Annual Debt Service 143,064$ Surplus/deficit 35,766$ Year 1 Return on Equity 3.6%
SOURCES & RETURNSNew Market Tax Credits 450,000$ $1M NMTC allocation sold at $.55/$1 of credit less add'l legal ($100,000)Historic Tax Credits -- Federal 1,268,876$ 20% of HRTC eligible basis sold at $.60 of equity per $1 of creditState Historic Tax Credits 600,000$ Allocation of $1,000,000 anticipated at $0.6 per $1 of creditEquity Requirement 1,000,000$ Private Equity or Community Investment Grant for EquityPermanent Loan 2,220,808$ Conventional Financing, 5% at 30 yearsSRECs 19,872$ 1 time payment for SRECS for entire complex
Sub-Total 5,559,557$
Sources to be Identified (5,570,936)$
(371,396)$ Required subsidy per housing unit.
McCabe Enterprises Holyoke | 106-120 High Street 53
Site 106-120 High StreetLand Area 9,757 ScenarioBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
SF per floor & building Bsmt Ground Floor 2nd Flr 3rd Flr 4th Flr Total106-108 High Street 1,970 1,970 1,970 1,630 1,630 9,170110-112 High Street 1,970 1,970 1,970 1,490 1,490 8,890114-116 High Street 1,970 1,970 1,200 1,200 1,200 7,540118-120 High Street 1,970 1,970 1,200 1,200 1,200 7,540
Assessed ValuationLand 25,600$
Roof Area 7,880 Building 189,900$ Extra Features 1,600$
Gross Leasable Space 25,260 Total 217,100$
Building Area SF Proposed UseGround floor (street) 7,880 Continued use as retail2nd floor 6,340 Residential 3rd floor 5,520 Residential 4th floor 5,520 Residential Basement 7,880 Support space for ground level commercial Total 33,140
Hard CostsAcquisition* -$ Site Work -$ Construction Hard Costs 5,614,232$ General Conditions, Bonds, Insurance, Overhead 724,237$ Escalation 0.06 336,854$ Permits 61,700$ Demolition -$ Hazardous Materials/Abatement -$ Tenant Improvements -$ Furniture, Fixtures & Equipment 113,285$ Design & Pricing Contingency 1,010,553$ Escalation to mid point (2 yrs) 336,854$ LEED Premium (not applied) 3% -$
SUB-TOTAL HARD COSTS 8,197,715$
2 BIncremental Full RedevelopmentResidential with Street level Retail Phase I
54 Holyoke | 106-120 High Street McCabe Enterprises
Site 106-120 High StreetLand Area 9,757 ScenarioBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
2 BIncremental Full RedevelopmentResidential with Street level Retail Phase I
Soft CostsArch'l & Engineering 7.25% 407,032$ Other Consultants 1.50% 84,213$ Project Management 5.00% 280,712$ Legal 1.00% 56,142$ Utilities 0.25% 14,036$ Marketing 1.00% 56,142$ Real Estate Taxes 17,259$
Soft Cost Contingency 5.00% 45,777$
SUB-TOTAL SOFT COSTS 961,313$
Total Hard & Soft Costs, before Financing Costs 9,159,028$
Cost Allocation of Hard & Soft Costs to Enable Incremental Implementation by Building
SF Bldg Area Percentage
Cost Allocation Phase
106-108 High Street 9,170 27.7% 2,534,348$ I110-112 High Street 8,890 26.8% 2,456,963$ II114-116 High Street 7,540 22.8% 2,083,859$ III118-120 High Street 7,540 22.8% 2,083,859$ IV
Loan Financing Costs for Phase ILegal, Escrow, Title for Phase I 10,000$ Loan Fees 1% 27,471$ Appraisal 5,000$ Interest Construction Loan 18 months 5.0% 197,800$ Permanent Financing Need for Phase I 2,774,619$
Operating Income for Phase I, Scenario 2B
Units/ SF AverageAnnual Rent
Annual Gross Income
1st floor retail 7880 8.50$ 66,980$ Basement (storage) 7880 1.00$ 7,880$ Resl --1 bdrm 0 10,488$ -$ Resl -- 2 bdrm 2 12,408$ 24,816$ Resl -- 3 bdrm 0 13,944$ -$ Studio/Efficiencies 4 8,796$ 35,184$ Sub-Total 134,860$
7.5% Discount for Vacancies 7.50% (7,476)$ Effective Gross Income 127,384$
McCabe Enterprises Holyoke | 106-120 High Street 55
Site 106-120 High StreetLand Area 9,757 ScenarioBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
2 BIncremental Full RedevelopmentResidential with Street level Retail Phase I
Expenses for Phase I, Scenario 2BMaintenance 10% 12,738$ Taxes 8,630$ Utilities 7.5% 9,554$ Management 2.5% 3,185$ Net Operating Income 93,278$
Financing for Phase I, Scenario 2BDebt Service Coverage 1.25Amount Available for Debt Service 74,622$ Amount of Loan at Debt Service Constant 1,158,370$ Annual Debt Service Payment 74,622$
Amortization Period 30 yearsInterest Rate 5.00%Debt Service Constant 6.442%
Cash Flow -- Year OneEffective Gross Income 127,384$ Net Operating Income 93,278$ Annual Debt Service 74,622$ Surplus/deficit 18,656$ Year 1 Return on Equity 9.3%
SOURCES & RETURNS New Market Tax Credits 112,500$ NMTC allocation sold at $.55/ $1 of credit less add'l legal ($25,000/phase)Historic Tax Credits -- Federal 288,916$ 20% of HRTC eligible basis sold at $.60 of equity per $1 of creditState Historic Tax Credits 150,000$ Allocation of $250,000 anticipated at $0.6 per $1 of creditEquity Requirement 200,000$ Owner/Private Equity or Community Investment Grant for EquityPermanent Loan 1,158,370$ Conventional Financing, 5% at 30 yearsSRECS 19,872$
Sub-Total 1,929,657$
Sources to be Identified (844,962)$
1 time payment for SRECS for entire complex (Assumes rehab begins withPhase 1, 106-108 High St. , if this is a later phase, SRECS cannot be counted as revenue twice.)
Current market conditions and costs do not support incremental development starting with Phase I (106-108 High St.), using a phased approach for Full Redevelopment.
56 Holyoke | 106-120 High Street McCabe Enterprises
Site 106-120 High StreetLand Area 9,757 ScenarioBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
SF per floor & building Bsmt Ground Floor 2nd Flr 3rd Flr 4th Flr Total106-108 High Street 1,970 1,970 1,970 1,630 1,630 9,170 110-112 High Street 1,970 1,970 1,970 1,490 1,490 8,890 114-116 High Street 1,970 1,970 1,200 1,200 1,200 7,540 118-120 High Street 1,970 1,970 1,200 1,200 1,200 7,540
Assessed ValuationLand 25,600$
Roof Area 7,880 Building 189,900$ Extra Features 1,600$
Gross Leasable Space 25,260 Total 217,100$
Building Area SF Proposed UseGround floor (street) 7,880 Continued use as retail2nd floor 6,340 Residential 3rd floor 5,520 Residential 4th floor 5,520 Residential Basement 7,880 Support area for ground level com'l or leased storageTotal 33,140
Hard CostsAcquisition* -$ Site Work -$ Construction Hard Costs 5,614,232$ General Conditions, Bonds, Insurance, Overhead 724,237$ Escalation 0.06 336,854$ Permits 61,700$ Demolition -$ Hazardous Materials/Abatement -$ Tenant Improvements -$ Furniture, Fixtures & Equipment 113,285$Design & Pricing Contingency 1,010,553$ Escalation to mid point (2 yrs) 336,854$ LEED Premium (not applied) 3% -$
SUB-TOTAL HARD COSTS 8,197,715$
2 BIncremental Approach to Full RedevelopmentResidential with Street level Retail Phase IV
McCabe Enterprises Holyoke | 106-120 High Street 57
Site 106-120 High StreetLand Area 9,757 ScenarioBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
2 BIncremental Approach to Full RedevelopmentResidential with Street level Retail Phase IV
Soft CostsArch'l & Engineering 7.25% 407,032$ Other Consultants 1.50% 84,213$ Project Management 5.00% 280,712$ Legal 1.00% 56,142$ Utilities 0.25% 14,036$ Marketing 1.00% 56,142$ Real Estate Taxes 17,259$
Soft Cost Contingency 5.00% 45,777$
SUB-TOTAL SOFT COSTS 961,313$
Total Hard & Soft Costs, before Financing Costs 9,159,028$
Cost Allocation of Hard & Soft Costs to Enable Incremental Implementation by Building
SF Bldg. Area Percentage
Cost Allocation Phase
106-108 High Street 9,170 27.7% 2,534,348$ I110-112 High Street 8,890 26.8% 2,456,963$ II114-116 High Street 7,540 22.8% 2,083,859$ III118-120 High Street 7,540 22.8% 2,083,859$ IV
Loan Financing Costs for Phase IVLegal, Escrow, Title for Phase I 10,000$ Loan Fees 1% 22,307$ Appraisal 5,000$ Interest Construction Loan 12 months 5.0% 131,867$ Permanent Financing Need for Phase I 2,253,032$
Operating Income for Phase IV, Scenario 2 B
Units/ SF AverageAnnual Rent
Annual Gross Income
1st floor retail 1970 15.50$ 30,535$ Basement (storage) 1970 1.00$ 1,970$ Resl --1 bdrm 0 10,488$ -$ Resl -- 2 bdrm 3 12,408$ 37,224$ Resl -- 3 bdrm 0 13,944$ -$ Studio/Efficiencies 0 8,796$ -$ Sub-Total 69,729$
7.5% Discount for Vacancies 7.50% (5,230)$ Effective Gross Income 64,499$
58 Holyoke | 106-120 High Street McCabe Enterprises
Site 106-120 High StreetLand Area 9,757 ScenarioBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
2 BIncremental Approach to Full RedevelopmentResidential with Street level Retail Phase IV
ExpensesMaintenance 10% 6,450$ Taxes 8,630$ Utilities 7.5% 4,837$ Management 2.5% 1,612$ Net Operating Income 42,970$
FinancingDebt Service Coverage 1.25Amount Available for Debt Service 34,376$ Amount of Loan at Debt Service Constant $533,620Annual Debt Service Payment 34,376
Amortization Period 30 yearsInterest Rate 5.00%Debt Service Constant 6.442%
Cash Flow -- Year OneEffective Gross Income 64,499$ Net Operating Income 42,970$ Annual Debt Service 34,376$ Surplus/deficit 8,594$ Year 1 Return on Equity 4.3%
SOURCES & RETURNSNew Market Tax Credits 112,500$ NMTC allocation sold at $.55/$1 of credit less add'l legal ($25000/phase)Historic Tax Credits -- Federal 288,916$ 20% of HRTC eligible basis sold at $.60 of equity per $1 of creditState Historic Tax Credits 150,000$ Allocation of $250,000 anticipated at $0.6 per $1 of creditEquity Requirement 200,000$ Owner/Private Equity or Community Investment Grant for EquityPermanent Loan 533,620$ Conventional Financing, 5% at 30 yearsSRECs 19,872$
Sub-Total 1,304,907$
Sources to be Identified (948,125)$
(316,042)$ Required additional subsidy per floor or per housing unit.
1 time payment for SRECS for entire complex (Assumes rehab begins with Phase IV (118-120 High St.) , if this is a later phase, SRECS cannot be counted as revenue twice.)
McCabe Enterprises Holyoke | 106-120 High Street 59
Site 106-120 High StreetLand Area 9,757 ScenarioBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
SF per floor & building Bsmt Ground Floor 2nd Flr 3rd Flr 4th Flr Total106-108 High Street 1,970 1,970 1,970 1,630 1,630 9,170 110-112 High Street 1,970 1,970 1,970 1,490 1,490 8,890 114-116 High Street 1,970 1,970 1,200 1,200 1,200 7,540 118-120 High Street 1,970 1,970 1,200 1,200 1,200 7,540
Assessed ValuationLand 25,600$
Roof Area 7,880 Building 189,900$ Extra Features 1,600$
Gross Leasable Space 25,260 Total 217,100$
Building Area SF Proposed UseGround floor (street) 7,880 Continued use as retail2nd floor 6,340 Office3rd floor 5,520 Office4th floor 5,520 OfficeBasement 7,880 Support space for 1st flr retail + parkingTotal 33,140
Hard CostsAcquisition* -$ Site Work -$ Construction Hard Costs 6,320,072$ General Conditions, Bonds, Insurance, Overhead 815,289$ Escalation 0.06 379,204$ Permits 69,428$ Demolition -$ Hazardous Materials/Abatement -$ Tenant Improvements -$ Furniture, Fixtures & Equipment 8,100$Design & Pricing Contingency 1,010,553$ Escalation to mid point (2 yrs) 336,854$ LEED Premium (not applied) 3% -$
SUB-TOTAL HARD COSTS 8,939,500$
2CFull Redevelopment:Upper Story Office with Street-level Retail
60 Holyoke | 106-120 High Street McCabe Enterprises
Site 106-120 High StreetLand Area 9,757 ScenarioBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
2CFull Redevelopment:Upper Story Office with Street-level Retail
Soft CostsArch'l & Engineering 7.25% 458,205$ Other Consultants 1.50% 94,801$ Project Management 5.00% 316,004$ Legal 1.00% 63,201$ Utilities 0.25% 15,800$ Marketing 1.00% 63,201$ Real Estate Taxes 17,259$
Soft Cost Contingency 5.00% 51,424$
SUB-TOTAL SOFT COSTS 1,079,895$
Total Hard & Soft Costs, before Financing Costs 10,019,395$
Loan Financing CostsLegal, Escrow, Title 10,000$ Loan Fees 1% 97,305.97$ Appraisal 5,000$ Interest Construction Loan 18 months 5.0% 776,097$ Permanent Financing Need 10,907,797$
Operating Income for Scenario 2 B
Units/ SF AverageAnnual Rent
Annual Gross Income
1st floor retail 7880 10.00$ 78,800$ Basement (storage) 1.25$ -$ Office 17,380 15.00$ 260,700$ Sub-Total 339,500$
7.5% Discount for Vacancies 7.50% (25,463)$ Effective Gross Income 314,038$
ExpensesMaintenance 10% 31,404$ Taxes 8,630$ Utilities 7.5% 23,553$ Management 2.5% 7,851$ Net Operating Income 242,600$
McCabe Enterprises Holyoke | 106-120 High Street 61
Site 106-120 High StreetLand Area 9,757 ScenarioBuilding Footprint SF 7,880 aggregatedFloors 4 Buildings 4
2CFull Redevelopment:Upper Story Office with Street-level Retail
FinancingDebt Service Coverage 1.25Amount Available for Debt Service 194,080$ Amount of Loan at Debt Service Constant $3,012,732Annual Debt Service Payment 194,080
Amortization Period 30 yearsInterest Rate 5.00%Debt Service Constant 6.442%
Cash Flow -- Year OneEffective Gross Income 314,038$ Net Operating Income 242,600$ Annual Debt Service 194,080$ Surplus/deficit 48,520$ Year 1 Return on Equity 4.9%
SOURCES & RETURNSNew Market Tax Credits 2,650,000$ $5M NMTC allocation sold at $.55/$1 of credit less add'l legal ($100000)Historic Tax Credits -- Federal 1,243,489$ 20% of HRTC eligible basis sold at $.60 of equity per $1 of creditState Historic Tax Credits 600,000$ Allocation of $1,000,000 anticipated at $0.6 per $1 of creditEquity Requirement 1,000,000$ Private Equity or Community Investment Grant for EquityPermanent Loan 3,012,732$ Conventional Financing, 5% at 30 yearsSRECs 19,872$ 1 time payment for SRECS for entire complex
Sub-Total 8,526,093$
Sources to be Identified (2,381,704)$
62 Holyoke | 106-120 High Street McCabe Enterprises
209HolyokeMcCabe Enterprises
appendix
A1 HUD Lead-Based Paint Fact Sheet
A2 Flood Plain Map
A3.1 Cost Estimate: 106-120 High Street
A3.2 Cost Estimate: 276 High Street
A3.3 Cost Estimate: 200 Race Street
A3.4 Cost Estimate: 380/ 380R Dwight Street
A.4 Pro Forma Definitions
A
210 Holyoke McCabe Enterprises
A1 HUD Lead-Based Paint Fact Sheet
211HolyokeMcCabe Enterprises
A1 HUD Lead-Based Paint Fact Sheet
212 Holyoke McCabe Enterprises
HolyokeMcCabe Enterprises 213
flood plainmap
A2
214 Holyoke McCabe Enterprises
215HolyokeMcCabe Enterprises
FIRM Map with Study Building Locations Identified
study building
106-120 High
200 Race
380/380R Dwight
274 High
McCabe EnterprisesHolyoke | Appendix
McCabe Enterprises Holyoke | Appendix
106-120 High Street
costestimateA
3.1
217
McCabe EnterprisesHolyoke | Appendix
Feasibility Submission
Holyoke; 106-120 High Street BuildingPHASE 1 Stabilization
Holyoke, MA
Prepared for:
McCabe Enterprises
April 8, 2014
Holyoke; 106-120 High Street BuildingPHASE 1 Stabilization 08-Apr-14Holyoke, MA
Feasibility Submission
MAIN CONSTRUCTION COST SUMMARY
Gross FloorArea
$/sf EstimatedConstruction Cost
PHASE 1 STABILIZATION
32,660 $3.80 $124,100
SITEWORK - No Work Assumed NIC
HAZMAT REMOVALS NICSUB-TOTAL 32,660 $3.80 $124,100
GENERAL CONDITIONS 8% $9,928BONDS 0.65% $807INSURANCE 1.25% $1,551PERMIT 1.00% $1,364
OVERHEAD AND FEE 3% $3,7236.00% $7,446
15% $22,338
TOTAL OF ALL CONSTRUCTION - PHASE 1 32,660 $5.24 $171,257
ESCALATION TOMID-POINT (assumed 2years)
DESIGN AND PRICING CONTINGENCY
BUILDING STABILIZATION COSTS
Summary Page 2 PMC - Project Management Cost
Holyoke; 106-120 High Street BuildingPHASE 1 Stabilization 08-Apr-14Holyoke, MA
Feasibility Submission
ITEMS NOT CONSIDERED IN THIS ESTIMATE
Items not included in this estimate are:All professional fees and insuranceBuilding Permit costsLand acquisition, feasibility, and financing costsAll Furnishings, Fixtures and EquipmentItems identified in the design as Not In Contract (NIC)Items identified in the design as by othersOwner supplied and/or installed items (e.g. draperies, furniture and equipment)Rock excavation; special foundations (unless indicated by design engineers)Utility company back charges, including work required off-siteWork to City streets and sidewalks, (except as noted in this estimate)
The estimate is based on prevailing wage rates for construction in this market and represents a reasonable opinion of cost. It is not aprediction of the successful bid from a contractor as bids will vary due to fluctuating market conditions, errors and omissions,proprietary specifications, lack or surplus of bidders, perception of risk, etc. Consequently the estimate is expected to fall within therange of bids from a number of competitive contractors or subcontractors, however we do not warrant that bids or negotiated prices willnot vary from the final construction cost estimate.
This estimate includes all direct construction costs, general contractor’s overhead and profit and design contingency. Cost escalationassumes start dates indicated.
These Feasibility Construction cost estimates were produced from drawings, outline specifications and other documentationprepared by McCabe Enterprises and their design team dated March, 2014. Design and engineering changes occurring subsequentto the issue of these documents have not been incorporated in this estimate.
Bidding conditions are expected to be public bidding under Chapter 149 of the Massachusetts General Laws to pre-qualified generalcontractors, and pre-qualified sub-contractors, open specifications for materials and manufactures.
Summary Page 3 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 08-Apr-14PHASE 1 StabilizationHolyoke, MA
Feasibility Submission GFA 32,660
CONSTRUCTION COST SUMMARYBUILDING SYSTEM SUB-TOTAL TOTAL $/SF %
PHASE 1 STABILIZATIONA10 FOUNDATIONS
A1010 Standard Foundations $0A1020 Special Foundations $0A1030 Lowest Floor Construction $0 $0 $0.00 0.0%
A20 BASEMENT CONSTRUCTIONA2010 Basement Excavation $0A2020 Basement Walls $0 $0 $0.00 0.0%
B10 SUPERSTRUCTUREB1010 Upper Floor Construction $0B1020 Roof Construction $0 $0 $0.00 0.0%
B20 EXTERIOR CLOSUREB2010 Exterior Walls $5,000B2020 Windows $2,900B2030 Exterior Doors $10,000 $17,900 $0.55 14.4%
B30 ROOFINGB3010 Roof Coverings $7,880B3020 Roof Openings $0 $7,880 $0.24 6.3%
C10 INTERIOR CONSTRUCTIONC1010 Partitions $0C1020 Interior Doors $0C1030 Specialties/Millwork $0 $0 $0.00 0.0%
C20 STAIRCASESC2010 Stair Construction $0C2020 Stair Finishes $0 $0 $0.00 0.0%
C30 INTERIOR FINISHESC3010 Wall Finishes $0C3020 Floor Finishes $0C3030 Ceiling Finishes $0 $0 $0.00 0.0%
D10 CONVEYING SYSTEMSD1010 Elevator $0 $0 $0.00 0.0%
D20 PLUMBINGD20 Plumbing $0 $0 $0.00 0.0%
D30 HVACD30 HVAC $0 $0 $0.00 0.0%
Holyoke 106 High Street Estimate PH1 Scope Page 4 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 08-Apr-14PHASE 1 StabilizationHolyoke, MA
Feasibility Submission GFA 32,660
CONSTRUCTION COST SUMMARYBUILDING SYSTEM SUB-TOTAL TOTAL $/SF %
PHASE 1 STABILIZATIOND40 FIRE PROTECTION
D40 Fire Protection $0 $0 $0.00 0.0%
D50 ELECTRICALD5010 New Electrical Systems $10,000 $10,000 $0.31 8.1%
E10 EQUIPMENTE10 Equipment $0 $0 $0.00 0.0%
E20 FURNISHINGSE2010 Fixed Furnishings $0E2020 Movable Furnishings NIC $0 $0.00 0.0%
F10 SPECIAL CONSTRUCTIONF10 Special Construction $0 $0 $0.00 0.0%
F20 HAZMAT REMOVALSF2010 Building Elements Demolition $88,320F2020 Hazardous Components Abatement $0 $88,320 $2.70 71.2%
TOTAL DIRECT COST (Trade Costs) $124,100 $3.80 100.0%
Holyoke 106 High Street Estimate PH1 Scope Page 5 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 08-Apr-14PHASE 1 StabilizationHolyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
PHASE 1 STABILIZATION1 GROSS FLOOR AREA CALCULATION2
3 Areas Below are for 106 - 120 High Street4 Basement 7,8805 1st Floor 7,8806 2nd Floor 5,8607 3rd Floor 5,5208 4th Floor 5,5209
10 TOTAL GROSS FLOOR AREA (GFA) 32,660 sf11
12
13 A10 FOUNDATIONS14
15 A1010 STANDARD FOUNDATIONS16 NoWork in this section17 SUBTOTAL -18
19 A1020 SPECIAL FOUNDATIONS20 NoWork in this section21 SUBTOTAL22
23 A1030 LOWEST FLOOR CONSTRUCTION24 NoWork in this section25 SUBTOTAL26
27 TOTAL - FOUNDATIONS28
29
30 A20 BASEMENT CONSTRUCTION31
32 A2010 BASEMENT EXCAVATION33 NoWork in this section34 SUBTOTAL35
36 A2020 BASEMENTWALLS37 NoWork in this section38 SUBTOTAL39
40 TOTAL - BASEMENT CONSTRUCTION41
4243 B10 SUPERSTRUCTURE44
45 B1010 FLOOR CONSTRUCTION46 NoWork in this section47 SUBTOTAL48
49 B1020 ROOF CONSTRUCTION50 NoWork in this section51 SUBTOTAL52
53 TOTAL - SUPERSTRUCTURE54
55
56 B20 EXTERIOR CLOSURE57
58 B2010 EXTERIORWALLS
Holyoke 106 High Street Estimate PH1 Scope Page 6 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 08-Apr-14PHASE 1 StabilizationHolyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
PHASE 1 STABILIZATION59 New exterior signage 1 ls 5,000.00 5,000
60 SUBTOTAL $5,00061
62 B2020 WINDOWS63 Board up damaged windows 6 loc 150.00 900
64 Repair water leaks 1 ls 2,000.00 2,00065 SUBTOTAL $2,90066
67 B2030 EXTERIOR DOORS68 Repaint/repair exterior doors and storefront 1 ls 10,000.00 10,000
69 SUBTOTAL 10,00070
71 TOTAL - EXTERIOR CLOSURE $17,90072
73
74 B30 ROOFING75
76 B3010 ROOF COVERINGS77 Flat roofing78 Repair water leaks 7,880 sf 1.00 7,88079 SUBTOTAL $7,88080
81 B3020 ROOF OPENINGS82 NoWork in this section83 SUBTOTAL84
85 TOTAL - ROOFING $7,880868788 C10 INTERIOR CONSTRUCTION89
90 C1010 PARTITIONS91 NoWork in this section92 SUBTOTAL93
94 C1020 INTERIOR DOORS95 NoWork in this section96 SUBTOTAL97
98 C1030 SPECIALTIES / MILLWORK99 NoWork in this section100 SUBTOTAL101
102 TOTAL - INTERIOR CONSTRUCTION103
104
105 C20 STAIRCASES106
107 C2010 STAIR CONSTRUCTION108 NoWork in this section109 SUBTOTAL110
111 C2020 STAIR FINISHES112 NoWork in this section113 SUBTOTAL114
115 TOTAL - STAIRCASES116
117
118 C30 INTERIOR FINISHES119
120 C3010 WALL FINISHES
Holyoke 106 High Street Estimate PH1 Scope Page 7 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 08-Apr-14PHASE 1 StabilizationHolyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
PHASE 1 STABILIZATION121 NoWork in this section122 SUBTOTAL123
124 C3020 FLOOR FINISHES125 NoWork in this section126 SUBTOTAL127
128 C3030 CEILING FINISHES129 NoWork in this section130 SUBTOTAL131
132 TOTAL - INTERIOR FINISHES133
134
135 D10 CONVEYING SYSTEMS136
137 D1010 ELEVATOR138 NoWork in this section139 SUBTOTAL140
141 TOTAL - CONVEYING SYSTEMS142
143
144 D20 PLUMBING145
146 D20 PLUMBING, GENERALLY147 NoWork in this section148 SUBTOTAL149
150 TOTAL - PLUMBING151152
153 D30 HVAC154
155 D30 HVAC, GENERALLY156 NoWork in this section157 SUBTOTAL158159 TOTAL - HVAC160
161
162 D40 FIRE PROTECTION163
164 D40 FIRE PROTECTION, GENERALLY165 NoWork in this section166 SUBTOTAL167
168 TOTAL - FIRE PROTECTION169
170
171 D50 ELECTRICAL172
173 D5010 ELECTRICAL SYSTEMS174 Exterior lighting 1 ls 10,000.00 10,000
175 SUBTOTAL $10,000176
177
178 TOTAL - ELECTRICAL $10,000179
180
181 E10 EQUIPMENT182
183 E10 EQUIPMENT, GENERALLY184 NoWork in this section
Holyoke 106 High Street Estimate PH1 Scope Page 8 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 08-Apr-14PHASE 1 StabilizationHolyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
PHASE 1 STABILIZATION185 SUBTOTAL186
187 TOTAL - EQUIPMENT188
189
190 E20 FURNISHINGS191
192 E2010 FIXED FURNISHINGS193 NoWork in this section194 SUBTOTAL195
196 E2020 MOVABLE FURNISHINGS197 All movable furnishings to be provided and installed
by owner198 SUBTOTAL NIC199
200 TOTAL - FURNISHINGS201
202
203 F10 SPECIAL CONSTRUCTION204
205 F10 SPECIAL CONSTRUCTION206 SUBTOTAL207
208 TOTAL - SPECIAL CONSTRUCTION209
210
211 F20 SELECTIVE BUILDING DEMOLITION212
213 F2010 BUILDING ELEMENTS DEMOLITION214 Clean up exterior areas 1 ls 5,000.00 5,000215 Remove and dispose of all debris at all floors including
stairwells32,660 sf 2.00 65,320
216 Remove all vines from rear and side of buildings 1 ls 3,000.00 3,000217 Remove/ clean all graffiti from buildings 1 ls 15,000.00 15,000218 SUBTOTAL $88,320219
220 F2020 HAZARDOUS COMPONENTS ABATEMENT221 Excluded See Summary222 SUBTOTAL223
224 TOTAL - SELECTIVE BUILDING DEMOLITION $88,320
Holyoke 106 High Street Estimate PH1 Scope Page 9 PMC - Project Management Cost
Feasibility Submission
Holyoke; 106-120 High Street BuildingScope 1 and 2
Holyoke, MA
Prepared for:
McCabe Enterprises
March 16, 2014
Holyoke; 106-120 High Street BuildingScope 1 and 2 16-Mar-14Holyoke, MA
Feasibility Submission
MAIN CONSTRUCTION COST SUMMARY
Gross FloorArea
$/sf EstimatedConstruction Cost
SCOPE # 1 INCREMENTAL RENOVATION
32,660 $171.90 $5,614,232
SITEWORK - No Work Assumed NIC
HAZMAT REMOVALS NICSUB-TOTAL 32,660 $171.90 $5,614,232
GENERAL CONDITIONS 8% $449,139BONDS 0.65% $36,493INSURANCE 1.25% $70,178PERMIT 1.00% $61,700
OVERHEAD AND FEE 3% $168,4276.00% $336,854
15% $1,010,553
PREMIUM FOR INCREMENTALWORK 10% $561,423
TOTAL OF ALL CONSTRUCTION - SCOPE #1 32,660 $254.41 $8,308,999
ESCALATION TOMID-POINT (assumed 2years)
DESIGN AND PRICING CONTINGENCY
RENOVATION OF EXISTING BUILDING(Residential on Upper Floors)
Summary Page 2 PMC - Project Management Cost
Holyoke; 106-120 High Street BuildingScope 1 and 2 16-Mar-14Holyoke, MA
Feasibility Submission
SCOPE #2a FULL RENOVATION (Residential)
32,660 $193.51 $6,320,072
SITEWORK NIC
HAZMAT REMOVALS NICSUB-TOTAL 32,660 $193.51 $6,320,072
GENERAL CONDITIONS 8% $505,606BONDS 0.65% $41,080INSURANCE 1.25% $79,001PERMIT 1.00% $69,458
OVERHEAD AND FEE 3% $189,6026.00% $379,204
15% $1,137,603
TOTAL OF ALL CONSTRUCTION - SCOPE #2a 32,660 $267.04 $8,721,626
SCOPE #2b FULL RENOVATION (Office)
32,660 $168.01 $5,487,112
SITEWORK $0
HAZMAT REMOVALS NICSUB-TOTAL 32,660 $168.01 $5,487,112
GENERAL CONDITIONS 8% $438,969BONDS 0.65% $35,666INSURANCE 1.25% $68,589PERMIT 1.00% $60,303
OVERHEAD AND FEE 3% $164,6136.00% $329,227
15% $987,672
TOTAL OF ALL CONSTRUCTION - SCOPE #2b 32,660 $231.85 $7,572,151
RENOVATION OF EXISTING BUILDING(Residential on Upper Floors)
ESCALATION TOMID-POINT (assumed 2years)
DESIGN AND PRICING CONTINGENCY
RENOVATION OF EXISTING BUILDING
ESCALATION TOMID-POINT (assumed 2years)
DESIGN AND PRICING CONTINGENCY
Summary Page 3 PMC - Project Management Cost
Holyoke; 106-120 High Street BuildingScope 1 and 2 16-Mar-14Holyoke, MA
Feasibility Submission
ITEMS NOT CONSIDERED IN THIS ESTIMATE
Items not included in this estimate are:All professional fees and insuranceBuilding Permit costsLand acquisition, feasibility, and financing costsAll Furnishings, Fixtures and EquipmentItems identified in the design as Not In Contract (NIC)Items identified in the design as by othersOwner supplied and/or installed items (e.g. draperies, furniture and equipment)Rock excavation; special foundations (unless indicated by design engineers)Utility company back charges, including work required off-siteWork to City streets and sidewalks, (except as noted in this estimate)
The estimate is based on prevailing wage rates for construction in this market and represents a reasonable opinion of cost. It is not aprediction of the successful bid from a contractor as bids will vary due to fluctuating market conditions, errors and omissions,proprietary specifications, lack or surplus of bidders, perception of risk, etc. Consequently the estimate is expected to fall within therange of bids from a number of competitive contractors or subcontractors, however we do not warrant that bids or negotiated prices willnot vary from the final construction cost estimate.
This estimate includes all direct construction costs, general contractor’s overhead and profit and design contingency. Cost escalationassumes start dates indicated.
These Feasibility Construction cost estimates were produced from drawings, outline specifications and other documentationprepared by McCabe Enterprises and their design team dated March, 2014. Design and engineering changes occurring subsequentto the issue of these documents have not been incorporated in this estimate.
Bidding conditions are expected to be public bidding under Chapter 149 of the Massachusetts General Laws to pre-qualified generalcontractors, and pre-qualified sub-contractors, open specifications for materials and manufactures.
Summary Page 4 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CONSTRUCTION COST SUMMARYBUILDING SYSTEM SUB-TOTAL TOTAL $/SF %
SCOPE # 1 INCREMENTAL RENOVATIONA10 FOUNDATIONS
A1010 Standard Foundations $5,000A1020 Special Foundations $0A1030 Lowest Floor Construction $124,560 $129,560 $3.97 2.3%
A20 BASEMENT CONSTRUCTIONA2010 Basement Excavation $0A2020 Basement Walls $0 $0 $0.00 0.0%
B10 SUPERSTRUCTUREB1010 Upper Floor Construction $65,320B1020 Roof Construction $0 $65,320 $2.00 1.2%
B20 EXTERIOR CLOSUREB2010 Exterior Walls $470,000B2020 Windows $375,560B2030 Exterior Doors $36,000 $881,560 $26.99 15.7%
B30 ROOFINGB3010 Roof Coverings $115,320B3020 Roof Openings $1,500 $116,820 $3.58 2.1%
C10 INTERIOR CONSTRUCTIONC1010 Partitions $545,160C1020 Interior Doors $141,400C1030 Specialties/Millwork $143,192 $829,752 $25.41 14.8%
C20 STAIRCASESC2010 Stair Construction $520,000C2020 Stair Finishes $64,000 $584,000 $17.88 10.4%
C30 INTERIOR FINISHESC3010 Wall Finishes $408,250C3020 Floor Finishes $175,740C3030 Ceiling Finishes $277,960 $861,950 $26.39 15.4%
D10 CONVEYING SYSTEMSD1010 Elevator $0 $0 $0.00 0.0%
D20 PLUMBINGD20 Plumbing $375,400 $375,400 $11.49 6.7%
D30 HVACD30 HVAC $783,840 $783,840 $24.00 14.0%
Holyoke 106 High Street Estimate Page 5 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CONSTRUCTION COST SUMMARYBUILDING SYSTEM SUB-TOTAL TOTAL $/SF %
SCOPE # 1 INCREMENTAL RENOVATIOND40 FIRE PROTECTION
D40 Fire Protection $160,640 $160,640 $4.92 2.9%
D50 ELECTRICALD5010 New Electrical Systems $522,370 $522,370 $15.99 9.3%
E10 EQUIPMENTE10 Equipment $25,380 $25,380 $0.78 0.5%
E20 FURNISHINGSE2010 Fixed Furnishings $99,000E2020 Movable Furnishings NIC $99,000 $3.03 1.8%
F10 SPECIAL CONSTRUCTIONF10 Special Construction $0 $0 $0.00 0.0%
F20 HAZMAT REMOVALSF2010 Building Elements Demolition $178,640F2020 Hazardous Components Abatement $0 $178,640 $5.47 3.2%
TOTAL DIRECT COST (Trade Costs) $5,614,232 $171.90 100.0%
Holyoke 106 High Street Estimate Page 6 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 1 INCREMENTAL RENOVATION1 GROSS FLOOR AREA CALCULATION2
3 Areas Below are for 106 - 120 High Street4 Basement 7,8805 1st Floor 7,8806 2nd Floor 5,8607 3rd Floor 5,5208 4th Floor 5,5209
10 TOTAL GROSS FLOOR AREA (GFA) 32,660 sf11
12
13 A10 FOUNDATIONS14
15 A1010 STANDARD FOUNDATIONS16 Provide allowance for foundation repair along rear
alleyway where condition of brick indicates there mayhave been settlement.
1 ls 5,000.00 5,000
17 SUBTOTAL 5,00018
19 A1020 SPECIAL FOUNDATIONS20 NoWork in this section21 SUBTOTAL22
23 A1030 LOWEST FLOOR CONSTRUCTION24 Slab25 New conc. floor throughout basement 7,880 sf 12.00 94,560
26 Miscellaneous27 Include allowance for new sidewalks/steps at
entryways and storefront entry transitions.1 ls 30,000.00 30,000
28 SUBTOTAL $124,56029
30 TOTAL - FOUNDATIONS $129,56031
32
33 A20 BASEMENT CONSTRUCTION34
35 A2010 BASEMENT EXCAVATION36 NoWork in this section37 SUBTOTAL38
39 A2020 BASEMENTWALLS40 NoWork in this section41 SUBTOTAL42
43 TOTAL - BASEMENT CONSTRUCTION44
4546 B10 SUPERSTRUCTURE47
48 B1010 FLOOR CONSTRUCTION49 Allowance for structural upgrades throughout building 32,660 gfa 2.00 65,320
50 SUBTOTAL $65,32051
52 B1020 ROOF CONSTRUCTION53 NoWork in this section
Holyoke 106 High Street Estimate Page 7 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 1 INCREMENTAL RENOVATION54 SUBTOTAL55
56 TOTAL - SUPERSTRUCTURE $65,32057
58
59 B20 EXTERIOR CLOSURE60
61 B2010 EXTERIORWALLS62 Moderate repointing needed on exterior brick walls on
southeast elevation of building. Some parapet wallrepair needed on southeast elevation.
1 ls 50,000.00 50,000
63 Full repointing and some patch/ repair work onSouthwest elevation (at empty lot) or possible pargingof surface.
1 ls 150,000.00 150,000
64 Two-story rear portion of 118-120 High requires majorrepairs to brick including patch, repair, replacement orreconstruction in some areas.
1 ls 50,000.00 50,000
65 Two-story rear portion of 110-116 High is currentlyparged or reconstructed with cement blocks. Masonrycondition should be reviewed from interior. Somepatching, repair or repointing is anticipated.
1 ls 25,000.00 25,000
66 Three-story rear portion of 118-120 High requiresmajor repairs to brick including patch, repair,replacement or reconstruction in some areas.
1 ls 100,000.00 100,000
67 Masonry in need of cleaning/ powerwashing onnorthwest elevation.
1 ls 20,000.00 20,000
68 New exterior wall assembly will require insulation tomeet the new Stretch Energy Code.
1 ls 75,000.00 75,000
69 SUBTOTAL $470,00070
71 B2020 WINDOWS72 Install new storefront glazing system on High Street
facades.576 sf 85.00 48,960
73 Installation of new energy-rated windows on HighStreet and rear alleyway elevations
32,660 sf 10.00 326,600
74 SUBTOTAL $375,56075
76 B2030 EXTERIOR DOORS77 Remove and replace existing exterior doors within
storefront double; glazed including hardware4 pr 7,500.00 30,000
78 Remove and replace existing Aluminum glazedexterior door; single (Allowance)
2 ea 3,000.00 6,000
79 SUBTOTAL 36,00080
81 TOTAL - EXTERIOR CLOSURE $881,56082
8384 B30 ROOFING85
86 B3010 ROOF COVERINGS87 Flat roofing88 Provide roof insulation and new roofing. 7,880 sf 14.00 110,32089 Miscellaneous Roofing90 Minor reconstruction of cornice cap required. 1 ls 5,000.00 5,00091 SUBTOTAL $115,32092
93 B3020 ROOF OPENINGS94 Roof ladder 1 loc 1,500.00 1,50095 SUBTOTAL $1,50096
97 TOTAL - ROOFING $116,82098
Holyoke 106 High Street Estimate Page 8 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 1 INCREMENTAL RENOVATION99100 C10 INTERIOR CONSTRUCTION101
102 C1010 PARTITIONS103 09250 New partitions to all floors except first 24,780 sf 22.00 545,160104 SUBTOTAL $545,160105
106 C1020 INTERIOR DOORS107 New rated doors throughout as part of new partitions
for residential use.16,900 sf 6.00 101,400
108 Provide new rated doors at stair enclosures. 20 loc 2,000.00 40,000109 SUBTOTAL $141,400110
111 C1030 SPECIALTIES / MILLWORK112 Painted wood standing and running trim throughout. 32,660 gfa 0.50 16,330113 Toilet Partitions and toilet accessories 32,660 sf 1.00 32,660114 Backer panels in electrical closets 1 ls 1,000.00 1,000115 Allowance for exterior signage 2 loc 5,000.00 10,000116 Building directory 1 loc 3,000.00 3,000117 Bronze dedication plaque 1 loc 2,500.00 2,500118 Room Signs 1 ls 2,000.00 2,000119 Fire extinguisher cabinets 11 ea 350.00 3,850120 Miscellaneous structural repair/ reinforcement. 32,660 gfa 2.00 65,320121 Miscellaneous sealants throughout building 32,660 sf 0.20 6,532122 SUBTOTAL $143,192123
124 TOTAL - INTERIOR CONSTRUCTION $829,752125
126
127 C20 STAIRCASES128
129 C2010 STAIR CONSTRUCTION130 Newmetal pan egress stairs at rear stairwells; four
flights4 loc 120,000.00 480,000
131 Repairs to wood entry stairs and handrails, allbuildings
4 loc 10,000.00 40,000
132 SUBTOTAL $520,000133
134 C2020 STAIR FINISHES135 Allowance to refurbish existing stair case 16 flt 4,000.00 64,000136 SUBTOTAL $64,000137
138 TOTAL - STAIRCASES $584,000139
140
141 C30 INTERIOR FINISHES142
143 C3010 WALL FINISHES144 Ground floor restaurant space requires paint only.
Lobby at new entry to uppler levels requires someinstallation of new painted GWB partitions.
7,880 gfa 8.00 63,040
145 Allowance to install new wall finishes at the 1st floorlevel; mainly paint, some millwork finishes inrestaurant area, and tile in the toilet rooms andkitchen.
7,880 gfa 12.00 94,560
146 Wall finishes to residential spaces 16,900 sf 10.00 169,000147 Paint to new walls etc. 32,660 gfa 2.50 81,650148 SUBTOTAL $408,250149
150 C3020 FLOOR FINISHES
Holyoke 106 High Street Estimate Page 9 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 1 INCREMENTAL RENOVATION151 Refinish existing floor at entry lobby to upper levels.
At restaurant space, wood floor in excellent conditionand only needs cleaning/ polish & buff.
7,880 sf 3.00 23,640
152 Allowance to install new floor finishes at theresidential areas
16,900 sf 9.00 152,100
153 SUBTOTAL $175,740154
155 C3030 CEILING FINISHES156 Moderate repairs to decorative tin ceiling at 114-120
High15,080 sf 2.00 30,160
157 New ceiling finishes throughout (level of finishdependent on re-use scenario).
24,780 sf 10.00 247,800
158 SUBTOTAL $277,960159
160 TOTAL - INTERIOR FINISHES $861,950161
162
163 D10 CONVEYING SYSTEMS164
165 D1010 ELEVATOR166 NoWork in this section167 SUBTOTAL168
169 TOTAL - CONVEYING SYSTEMS170
171
172 D20 PLUMBING173
174 D20 PLUMBING, GENERALLY175 Install new plumbing required for basement 7,880 sf 10.00 78,800
176 New accessible restrooms needed on floor 1. 2 loc 30,000.00 60,000
177 Provide new residential bathroom fixtures and allpiping etc. on all residential floors. (3 units/ floor)
16,900 gfa 14.00 236,600
178 SUBTOTAL $375,400179
180 TOTAL - PLUMBING $375,400181182
183 D30 HVAC184
185 D30 HVAC, GENERALLY186 Install a new energy efficient HVAC system. Each
building to have separate system.32,660 gfa 24.00 783,840
187 SUBTOTAL $783,840188189 TOTAL - HVAC $783,840190
191
192 D40 FIRE PROTECTION193
194 D40 FIRE PROTECTION, GENERALLY195 Building sprinkler system will require full upgrade. 32,660 gfa 4.00 130,640
196 New water service 1 ls 30,000.00 30,000197 SUBTOTAL $160,640198
199 TOTAL - FIRE PROTECTION $160,640200
201
202 D50 ELECTRICAL203
204 D5010 ELECTRICAL SYSTEMS
Holyoke 106 High Street Estimate Page 10 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 1 INCREMENTAL RENOVATION205 Lighting - Interior commercial 15,760 sf 4.00 63,040
206 Lighting - Interior residential 16,900 sf 6.00 101,400
207 Lighting - Exterior architectural & sign lights at HighStreet elevation.
1 ls 10,000.00 10,000
208 Building will require new fire alarm panel, egresssignage and emergency lighting throughout.
32,660 gfa 3.00 97,980
209 Provide exterior site lighting at rear alleyway. 1 ls 5,000.00 5,000210 Full tel/ data/ cable installation required 32,660 gfa 1.50 48,990211 Building access/ security system installation. 32,660 gfa 1.00 32,660212 Upgrades to main electrical panel needed. 32,660 gfa 5.00 163,300213 SUBTOTAL $522,370214
215
216 TOTAL - ELECTRICAL $522,370217
218
219 E10 EQUIPMENT220
221 E10 EQUIPMENT, GENERALLY222 Residential appliances 9 units 2,820.00 25,380223 SUBTOTAL $25,380224
225 TOTAL - EQUIPMENT $25,380226
227
228 E20 FURNISHINGS229
230 E2010 FIXED FURNISHINGS231 Entry mats & frames - recessed with carpet/rubber
strips200 sf 45.00 9,000
232 Residential casework Kitchens/baths 9 units 10,000.00 90,000233 SUBTOTAL $99,000234
235 E2020 MOVABLE FURNISHINGS236 All movable furnishings to be provided and installed
by owner237 SUBTOTAL NIC238
239 TOTAL - FURNISHINGS $99,000240
241
242 F10 SPECIAL CONSTRUCTION243
244 F10 SPECIAL CONSTRUCTION245 SUBTOTAL246
247 TOTAL - SPECIAL CONSTRUCTION248
249
250 F20 SELECTIVE BUILDING DEMOLITION251
252 F2010 BUILDING ELEMENTS DEMOLITION253 Extensive interior demolition required (walls, floor
finishes, some drop ceilings)32,660 gfa 4.00 130,640
254 Partial demolition of existing ground level storefrontsas part of refurbishment.
1 ls 15,000.00 15,000
255 Demolition of exterior stairs, platforms at rear alley. 1 ls 5,000.00 5,000
256 Demolition of former furnace room/ chimney at rearalley (1)
1 ls 10,000.00 10,000
257 Remove all vines from rear and side of buildings 1 ls 3,000.00 3,000258 Remove/ clean all graffiti from buildings 1 ls 15,000.00 15,000
Holyoke 106 High Street Estimate Page 11 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 1 INCREMENTAL RENOVATION259 SUBTOTAL $178,640260
261 F2020 HAZARDOUS COMPONENTS ABATEMENT262 Excluded See Summary263 SUBTOTAL264
265 TOTAL - SELECTIVE BUILDING DEMOLITION $178,640
Holyoke 106 High Street Estimate Page 12 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CONSTRUCTION COST SUMMARYBUILDING SYSTEM SUB-TOTAL TOTAL $/SF %
SCOPE # 2a FULL RENOVATION - ResidentialA10 FOUNDATIONS
A1010 Standard Foundations $5,000A1020 Special Foundations $0A1030 Lowest Floor Construction $159,560 $164,560 $5.04 2.6%
A20 BASEMENT CONSTRUCTIONA2010 Basement Excavation $0A2020 Basement Walls $0 $0 $0.00 0.0%
B10 SUPERSTRUCTUREB1010 Upper Floor Construction $163,300B1020 Roof Construction $0 $163,300 $5.00 2.6%
B20 EXTERIOR CLOSUREB2010 Exterior Walls $470,000B2020 Windows $375,560B2030 Exterior Doors $36,000 $881,560 $26.99 13.9%
B30 ROOFINGB3010 Roof Coverings $115,320B3020 Roof Openings $1,500 $116,820 $3.58 1.8%
C10 INTERIOR CONSTRUCTIONC1010 Partitions $545,160C1020 Interior Doors $141,400C1030 Specialties/Millwork $175,852 $862,412 $26.41 13.6%
C20 STAIRCASESC2010 Stair Construction $520,000C2020 Stair Finishes $64,000 $584,000 $17.88 9.2%
C30 INTERIOR FINISHESC3010 Wall Finishes $408,250C3020 Floor Finishes $341,220C3030 Ceiling Finishes $373,880 $1,123,350 $34.40 17.8%
D10 CONVEYING SYSTEMSD1010 Elevator $200,000 $200,000 $6.12 3.2%
D20 PLUMBINGD20 Plumbing $454,200 $454,200 $13.91 7.2%
D30 HVACD30 HVAC $718,520 $718,520 $22.00 11.4%
Holyoke 106 High Street Estimate Page 13 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CONSTRUCTION COST SUMMARYBUILDING SYSTEM SUB-TOTAL TOTAL $/SF %
SCOPE # 2a FULL RENOVATION - ResidentialD40 FIRE PROTECTION
D40 Fire Protection $160,640 $160,640 $4.92 2.5%
D50 ELECTRICALD5010 New Electrical Systems $522,370 $522,370 $15.99 8.3%
E10 EQUIPMENTE10 Equipment $25,380 $25,380 $0.78 0.4%
E20 FURNISHINGSE2010 Fixed Furnishings $99,000E2020 Movable Furnishings NIC $99,000 $3.03 1.6%
F10 SPECIAL CONSTRUCTIONF10 Special Construction $0 $0 $0.00 0.0%
F20 HAZMAT REMOVALSF2010 Building Elements Demolition $243,960F2020 Hazardous Components Abatement $0 $243,960 $7.47 3.9%
TOTAL DIRECT COST (Trade Costs) $6,320,072 $193.51 100.0%
Holyoke 106 High Street Estimate Page 14 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 2a FULL RENOVATION - Residential1 GROSS FLOOR AREA CALCULATION2
3 Areas Below are for 106 - 120 High Street4 Basement 7,8805 1st Floor 7,8806 2nd Floor 5,8607 3rd Floor 5,5208 4th Floor 5,5209
10 TOTAL GROSS FLOOR AREA (GFA) 32,660 sf11
12
13 A10 FOUNDATIONS14
15 A1010 STANDARD FOUNDATIONS16 Provide allowance for foundation repair along rear
alleyway where condition of brick indicates there mayhave been settlement.
1 ls 5,000.00 5,000
17 SUBTOTAL 5,00018
19 A1020 SPECIAL FOUNDATIONS20 NoWork in this section21 SUBTOTAL22
23 A1030 LOWEST FLOOR CONSTRUCTION24 Slab25 New conc. floor throughout basement 7,880 sf 12.00 94,560
26 Miscellaneous27 New elevator pit 1 ls 35,000.00 35,000
28 Include allowance for new sidewalks/steps atentryways and storefront entry transitions.
1 ls 30,000.00 30,000
29 SUBTOTAL $159,56030
31 TOTAL - FOUNDATIONS $164,56032
33
34 A20 BASEMENT CONSTRUCTION35
36 A2010 BASEMENT EXCAVATION37 NoWork in this section38 SUBTOTAL39
40 A2020 BASEMENTWALLS41 NoWork in this section42 SUBTOTAL43
44 TOTAL - BASEMENT CONSTRUCTION45
4647 B10 SUPERSTRUCTURE48
49 B1010 FLOOR CONSTRUCTION50 Allowance for structural upgrades throughout building 32,660 gfa 5.00 163,300
51 SUBTOTAL $163,30052
Holyoke 106 High Street Estimate Page 15 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 2a FULL RENOVATION - Residential53 B1020 ROOF CONSTRUCTION54 NoWork in this section55 SUBTOTAL56
57 TOTAL - SUPERSTRUCTURE $163,30058
59
60 B20 EXTERIOR CLOSURE61
62 B2010 EXTERIORWALLS63 Moderate repointing needed on exterior brick walls on
southeast elevation of building. Some parapet wallrepair needed on southeast elevation.
1 ls 50,000.00 50,000
64 Full repointing and some patch/ repair work onSouthwest elevation (at empty lot) or possible pargingof surface.
1 ls 150,000.00 150,000
65 Two-story rear portion of 118-120 High requires majorrepairs to brick including patch, repair, replacement orreconstruction in some areas.
1 ls 50,000.00 50,000
66 Two-story rear portion of 110-116 High is currentlyparged or reconstructed with cement blocks. Masonrycondition should be reviewed from interior. Somepatching, repair or repointing is anticipated.
1 ls 25,000.00 25,000
67 Three-story rear portion of 118-120 High requiresmajor repairs to brick including patch, repair,replacement or reconstruction in some areas.
1 ls 100,000.00 100,000
68 Masonry in need of cleaning/ powerwashing onnorthwest elevation.
1 ls 20,000.00 20,000
69 New exterior wall assembly will require insulation tomeet the new Stretch Energy Code.
1 ls 75,000.00 75,000
70 SUBTOTAL $470,00071
72 B2020 WINDOWS73 Install new storefront glazing system on High Street
facades.576 sf 85.00 48,960
74 Installation of new energy-rated windows on HighStreet and rear alleyway elevations
32,660 sf 10.00 326,600
75 SUBTOTAL $375,56076
77 B2030 EXTERIOR DOORS78 Remove and replace existing exterior doors within
storefront double; glazed including hardware4 pr 7,500.00 30,000
79 Remove and replace existing Aluminum glazedexterior door; single (Allowance)
2 ea 3,000.00 6,000
80 SUBTOTAL 36,00081
82 TOTAL - EXTERIOR CLOSURE $881,56083
8485 B30 ROOFING86
87 B3010 ROOF COVERINGS88 Flat roofing89 Provide roof insulation and new roofing. 7,880 sf 14.00 110,32090 Miscellaneous Roofing91 Minor reconstruction of cornice cap required. 1 ls 5,000.00 5,00092 SUBTOTAL $115,32093
94 B3020 ROOF OPENINGS95 Roof ladder 1 loc 1,500.00 1,50096 SUBTOTAL $1,500
Holyoke 106 High Street Estimate Page 16 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 2a FULL RENOVATION - Residential97
98 TOTAL - ROOFING $116,82099100101 C10 INTERIOR CONSTRUCTION102
103 C1010 PARTITIONS104 09250 New partitions to all floors except first 24,780 sf 22.00 545,160105 SUBTOTAL $545,160106
107 C1020 INTERIOR DOORS108 New rated doors throughout as part of new partitions
for residential use.16,900 sf 6.00 101,400
109 Provide new rated doors at stair enclosures. 20 loc 2,000.00 40,000110 SUBTOTAL $141,400111
112 C1030 SPECIALTIES / MILLWORK113 Painted wood standing and running trim throughout. 32,660 gfa 0.50 16,330114 Toilet Partitions and toilet accessories 32,660 sf 1.00 32,660115 Backer panels in electrical closets 1 ls 1,000.00 1,000116 Allowance for exterior signage 2 loc 5,000.00 10,000117 Building directory 1 loc 3,000.00 3,000118 Bronze dedication plaque 1 loc 2,500.00 2,500119 Room Signs 1 ls 2,000.00 2,000120 Fire extinguisher cabinets 11 ea 350.00 3,850121 Miscellaneous structural repair/ reinforcement. 32,660 gfa 3.00 97,980122 Miscellaneous sealants throughout building 32,660 sf 0.20 6,532123 SUBTOTAL $175,852124
125 TOTAL - INTERIOR CONSTRUCTION $862,412126
127
128 C20 STAIRCASES129
130 C2010 STAIR CONSTRUCTION131 New metal pan egress stairs at rear stairwells; four
flights4 loc 120,000.00 480,000
132 Repairs to wood entry stairs and handrails, allbuildings
4 loc 10,000.00 40,000
133 SUBTOTAL $520,000134
135 C2020 STAIR FINISHES136 Allowance to refurbish existing stair case 16 flt 4,000.00 64,000137 SUBTOTAL $64,000138
139 TOTAL - STAIRCASES $584,000140
141
142 C30 INTERIOR FINISHES143
144 C3010 WALL FINISHES145 Ground floor restaurant space requires paint only.
Lobby at new entry to uppler levels requires someinstallation of new painted GWB partitions.
7,880 gfa 8.00 63,040
146 Allowance to install new wall finishes at the 1st floorlevel; mainly paint, some millwork finishes inrestaurant area, and tile in the toilet rooms andkitchen.
7,880 gfa 12.00 94,560
147 Wall finishes to residential spaces 16,900 sf 10.00 169,000148 Paint to new walls etc. 32,660 gfa 2.50 81,650149 SUBTOTAL $408,250
Holyoke 106 High Street Estimate Page 17 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 2a FULL RENOVATION - Residential150
151 C3020 FLOOR FINISHES152 Floor finish upgrades to other floors 15,760 sf 12.00 189,120
153 Allowance to install new floor finishes at theresidential areas
16,900 sf 9.00 152,100
154 SUBTOTAL $341,220155
156 C3030 CEILING FINISHES157 Ceiling upgrades to other floors 15,760 sf 8.00 126,080
158 New ceiling finishes throughout (level of finishdependent on re-use scenario).
24,780 sf 10.00 247,800
159 SUBTOTAL $373,880160
161 TOTAL - INTERIOR FINISHES $1,123,350162
163
164 D10 CONVEYING SYSTEMS165
166 D1010 ELEVATOR167 New five stop elevator 1 ls 200,000.00 200,000
168 SUBTOTAL $200,000169
170 TOTAL - CONVEYING SYSTEMS $200,000171
172
173 D20 PLUMBING174
175 D20 PLUMBING, GENERALLY176 Install new plumbing required for basement/first 15,760 sf 10.00 157,600
177 New accessible restrooms needed on floor 1. 2 loc 30,000.00 60,000
178 Provide new residential bathroom fixtures and allpiping etc. on all residential floors. (3 units/ floor)
16,900 gfa 14.00 236,600
179 SUBTOTAL $454,200180
181 TOTAL - PLUMBING $454,200182183
184 D30 HVAC185
186 D30 HVAC, GENERALLY187 Install a new energy efficient HVAC system. 32,660 gfa 22.00 718,520
188 SUBTOTAL $718,520189190 TOTAL - HVAC $718,520191
192
193 D40 FIRE PROTECTION194
195 D40 FIRE PROTECTION, GENERALLY196 Building sprinkler system will require full upgrade. 32,660 gfa 4.00 130,640
197 New water service 1 ls 30,000.00 30,000198 SUBTOTAL $160,640199
200 TOTAL - FIRE PROTECTION $160,640201
202
203 D50 ELECTRICAL204
205 D5010 ELECTRICAL SYSTEMS
Holyoke 106 High Street Estimate Page 18 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 2a FULL RENOVATION - Residential206 Lighting - Interior commercial 15,760 sf 4.00 63,040
207 Lighting - Interior residential 16,900 sf 6.00 101,400
208 Lighting - Exterior architectural & sign lights at HighStreet elevation.
1 ls 10,000.00 10,000
209 Building will require new fire alarm panel, egresssignage and emergency lighting throughout.
32,660 gfa 3.00 97,980
210 Provide exterior site lighting at rear alleyway. 1 ls 5,000.00 5,000211 Full tel/ data/ cable installation required 32,660 gfa 1.50 48,990212 Building access/ security system installation. 32,660 gfa 1.00 32,660213 Upgrades to main electrical panel needed. 32,660 gfa 5.00 163,300214 SUBTOTAL $522,370215
216
217 TOTAL - ELECTRICAL $522,370218
219
220 E10 EQUIPMENT221
222 E10 EQUIPMENT, GENERALLY223 Residential appliances 9 units 2,820.00 25,380224 SUBTOTAL $25,380225
226 TOTAL - EQUIPMENT $25,380227
228
229 E20 FURNISHINGS230
231 E2010 FIXED FURNISHINGS232 Entry mats & frames - recessed with carpet/rubber
strips200 sf 45.00 9,000
233 Residential casework Kitchens/baths 9 units 10,000.00 90,000234 SUBTOTAL $99,000235
236 E2020 MOVABLE FURNISHINGS237 All movable furnishings to be provided and installed
by owner238 SUBTOTAL NIC239
240 TOTAL - FURNISHINGS $99,000241
242
243 F10 SPECIAL CONSTRUCTION244
245 F10 SPECIAL CONSTRUCTION246 SUBTOTAL247
248 TOTAL - SPECIAL CONSTRUCTION249
250
251 F20 SELECTIVE BUILDING DEMOLITION252
253 F2010 BUILDING ELEMENTS DEMOLITION254 Extensive interior demolition required (walls, floor
finishes, some drop ceilings)32,660 gfa 6.00 195,960
255 Partial demolition of existing ground level storefrontsas part of refurbishment.
1 ls 15,000.00 15,000
256 Demolition of exterior stairs, platforms at rear alley. 1 ls 5,000.00 5,000
257 Demolition of former furnace room/ chimney at rearalley (1)
1 ls 10,000.00 10,000
258 Remove all vines from rear and side of buildings 1 ls 3,000.00 3,000259 Remove/ clean all graffiti from buildings 1 ls 15,000.00 15,000
Holyoke 106 High Street Estimate Page 19 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 2a FULL RENOVATION - Residential260 SUBTOTAL $243,960261
262 F2020 HAZARDOUS COMPONENTS ABATEMENT263 Excluded See Summary264 SUBTOTAL265
266 TOTAL - SELECTIVE BUILDING DEMOLITION $243,960
Holyoke 106 High Street Estimate Page 20 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CONSTRUCTION COST SUMMARYBUILDING SYSTEM SUB-TOTAL TOTAL $/SF %
SCOPE # 2b FULL RENOVATION - OfficeA10 FOUNDATIONS
A1010 Standard Foundations $5,000A1020 Special Foundations $0A1030 Lowest Floor Construction $159,560 $164,560 $5.04 3.0%
A20 BASEMENT CONSTRUCTIONA2010 Basement Excavation $0A2020 Basement Walls $0 $0 $0.00 0.0%
B10 SUPERSTRUCTUREB1010 Upper Floor Construction $163,300B1020 Roof Construction $0 $163,300 $5.00 3.0%
B20 EXTERIOR CLOSUREB2010 Exterior Walls $470,000B2020 Windows $375,560B2030 Exterior Doors $36,000 $881,560 $26.99 16.1%
B30 ROOFINGB3010 Roof Coverings $115,320B3020 Roof Openings $1,500 $116,820 $3.58 2.1%
C10 INTERIOR CONSTRUCTIONC1010 Partitions $371,700C1020 Interior Doors $90,700C1030 Specialties/Millwork $175,852 $638,252 $19.54 11.6%
C20 STAIRCASESC2010 Stair Construction $520,000C2020 Stair Finishes $64,000 $584,000 $17.88 10.6%
C30 INTERIOR FINISHESC3010 Wall Finishes $323,750C3020 Floor Finishes $273,620C3030 Ceiling Finishes $249,980 $847,350 $25.94 15.4%
D10 CONVEYING SYSTEMSD1010 Elevator $200,000 $200,000 $6.12 3.6%
D20 PLUMBINGD20 Plumbing $319,000 $319,000 $9.77 5.8%
D30 HVACD30 HVAC $653,200 $653,200 $20.00 11.9%
Holyoke 106 High Street Estimate Page 21 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CONSTRUCTION COST SUMMARYBUILDING SYSTEM SUB-TOTAL TOTAL $/SF %
SCOPE # 2b FULL RENOVATION - OfficeD40 FIRE PROTECTION
D40 Fire Protection $160,640 $160,640 $4.92 2.9%
D50 ELECTRICALD5010 New Electrical Systems $505,470 $505,470 $15.48 9.2%
E10 EQUIPMENTE10 Equipment $0 $0 $0.00 0.0%
E20 FURNISHINGSE2010 Fixed Furnishings $9,000E2020 Movable Furnishings NIC $9,000 $0.28 0.2%
F10 SPECIAL CONSTRUCTIONF10 Special Construction $0 $0 $0.00 0.0%
F20 HAZMAT REMOVALSF2010 Building Elements Demolition $243,960F2020 Hazardous Components Abatement $0 $243,960 $7.47 4.4%
TOTAL DIRECT COST (Trade Costs) $5,487,112 $168.01 100.0%
Holyoke 106 High Street Estimate Page 22 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 2b FULL RENOVATION - Office1 GROSS FLOOR AREA CALCULATION2
3 Areas Below are for 106 - 120 High Street4 Basement 7,8805 1st Floor 7,8806 2nd Floor 5,8607 3rd Floor 5,5208 4th Floor 5,5209
10 TOTAL GROSS FLOOR AREA (GFA) 32,660 sf11
12
13 A10 FOUNDATIONS14
15 A1010 STANDARD FOUNDATIONS16 Provide allowance for foundation repair along rear
alleyway where condition of brick indicates there mayhave been settlement.
1 ls 5,000.00 5,000
17 SUBTOTAL 5,00018
19 A1020 SPECIAL FOUNDATIONS20 NoWork in this section21 SUBTOTAL22
23 A1030 LOWEST FLOOR CONSTRUCTION24 Slab25 New conc. floor throughout basement 7,880 sf 12.00 94,560
26 Miscellaneous27 New elevator pit 1 ls 35,000.00 35,000
28 Include allowance for new sidewalks/steps atentryways and storefront entry transitions.
1 ls 30,000.00 30,000
29 SUBTOTAL $159,56030
31 TOTAL - FOUNDATIONS $164,56032
33
34 A20 BASEMENT CONSTRUCTION35
36 A2010 BASEMENT EXCAVATION37 NoWork in this section38 SUBTOTAL39
40 A2020 BASEMENTWALLS41 NoWork in this section42 SUBTOTAL43
44 TOTAL - BASEMENT CONSTRUCTION45
4647 B10 SUPERSTRUCTURE48
49 B1010 FLOOR CONSTRUCTION50 Allowance for structural upgrades throughout building 32,660 gfa 5.00 163,300
51 SUBTOTAL $163,30052
Holyoke 106 High Street Estimate Page 23 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 2b FULL RENOVATION - Office53 B1020 ROOF CONSTRUCTION54 NoWork in this section55 SUBTOTAL56
57 TOTAL - SUPERSTRUCTURE $163,30058
59
60 B20 EXTERIOR CLOSURE61
62 B2010 EXTERIORWALLS63 Moderate repointing needed on exterior brick walls on
southeast elevation of building. Some parapet wallrepair needed on southeast elevation.
1 ls 50,000.00 50,000
64 Full repointing and some patch/ repair work onSouthwest elevation (at empty lot) or possible pargingof surface.
1 ls 150,000.00 150,000
65 Two-story rear portion of 118-120 High requires majorrepairs to brick including patch, repair, replacement orreconstruction in some areas.
1 ls 50,000.00 50,000
66 Two-story rear portion of 110-116 High is currentlyparged or reconstructed with cement blocks. Masonrycondition should be reviewed from interior. Somepatching, repair or repointing is anticipated.
1 ls 25,000.00 25,000
67 Three-story rear portion of 118-120 High requiresmajor repairs to brick including patch, repair,replacement or reconstruction in some areas.
1 ls 100,000.00 100,000
68 Masonry in need of cleaning/ powerwashing onnorthwest elevation.
1 ls 20,000.00 20,000
69 New exterior wall assembly will require insulation tomeet the new Stretch Energy Code.
1 ls 75,000.00 75,000
70 SUBTOTAL $470,00071
72 B2020 WINDOWS73 Install new storefront glazing system on High Street
facades.576 sf 85.00 48,960
74 Installation of new energy-rated windows on HighStreet and rear alleyway elevations
32,660 sf 10.00 326,600
75 SUBTOTAL $375,56076
77 B2030 EXTERIOR DOORS78 Remove and replace existing exterior doors within
storefront double; glazed including hardware4 pr 7,500.00 30,000
79 Remove and replace existing Aluminum glazedexterior door; single (Allowance)
2 ea 3,000.00 6,000
80 SUBTOTAL 36,00081
82 TOTAL - EXTERIOR CLOSURE $881,56083
8485 B30 ROOFING86
87 B3010 ROOF COVERINGS88 Flat roofing89 Provide roof insulation and new roofing. 7,880 sf 14.00 110,32090 Miscellaneous Roofing91 Minor reconstruction of cornice cap required. 1 ls 5,000.00 5,00092 SUBTOTAL $115,32093
94 B3020 ROOF OPENINGS95 Roof ladder 1 loc 1,500.00 1,50096 SUBTOTAL $1,500
Holyoke 106 High Street Estimate Page 24 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 2b FULL RENOVATION - Office97
98 TOTAL - ROOFING $116,82099100101 C10 INTERIOR CONSTRUCTION102
103 C1010 PARTITIONS104 09250 New partitions to all floors except first 24,780 sf 15.00 371,700105 SUBTOTAL $371,700106
107 C1020 INTERIOR DOORS108 New doors 16,900 sf 3.00 50,700
109 Provide new rated doors at stair enclosures. 20 loc 2,000.00 40,000110 SUBTOTAL $90,700111
112 C1030 SPECIALTIES / MILLWORK113 Painted wood standing and running trim throughout. 32,660 gfa 0.50 16,330114 Toilet Partitions and toilet accessories 32,660 sf 1.00 32,660115 Backer panels in electrical closets 1 ls 1,000.00 1,000116 Allowance for exterior signage 2 loc 5,000.00 10,000117 Building directory 1 loc 3,000.00 3,000118 Bronze dedication plaque 1 loc 2,500.00 2,500119 Room Signs 1 ls 2,000.00 2,000120 Fire extinguisher cabinets 11 ea 350.00 3,850121 Miscellaneous structural repair/ reinforcement. 32,660 gfa 3.00 97,980122 Miscellaneous sealants throughout building 32,660 sf 0.20 6,532123 SUBTOTAL $175,852124
125 TOTAL - INTERIOR CONSTRUCTION $638,252126
127
128 C20 STAIRCASES129
130 C2010 STAIR CONSTRUCTION131 New metal pan egress stairs at rear stairwells; four
flights4 loc 120,000.00 480,000
132 Repairs to wood entry stairs and handrails, allbuildings
4 loc 10,000.00 40,000
133 SUBTOTAL $520,000134
135 C2020 STAIR FINISHES136 Allowance to refurbish existing stair case 16 flt 4,000.00 64,000137 SUBTOTAL $64,000138
139 TOTAL - STAIRCASES $584,000140
141
142 C30 INTERIOR FINISHES143
144 C3010 WALL FINISHES145 Ground floor restaurant space requires paint only.
Lobby at new entry to uppler levels requires someinstallation of new painted GWB partitions.
7,880 gfa 8.00 63,040
146 Allowance to install new wall finishes at the 1st floorlevel; mainly paint, some millwork finishes inrestaurant area, and tile in the toilet rooms andkitchen.
7,880 gfa 12.00 94,560
147 Wall finishes to office spaces 16,900 sf 5.00 84,500148 Paint to new walls etc. 32,660 gfa 2.50 81,650149 SUBTOTAL $323,750150
Holyoke 106 High Street Estimate Page 25 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 2b FULL RENOVATION - Office151 C3020 FLOOR FINISHES152 Floor finish upgrades to other floors 15,760 sf 12.00 189,120
153 Allowance to install new floor finishes at the officeareas
16,900 sf 5.00 84,500
154 SUBTOTAL $273,620155
156 C3030 CEILING FINISHES157 Ceiling upgrades to other floors 15,760 sf 8.00 126,080
158 New ceiling finishes throughout (level of finishdependent on re-use scenario).
24,780 sf 5.00 123,900
159 SUBTOTAL $249,980160
161 TOTAL - INTERIOR FINISHES $847,350162
163
164 D10 CONVEYING SYSTEMS165
166 D1010 ELEVATOR167 New five stop elevator 1 ls 200,000.00 200,000
168 SUBTOTAL $200,000169
170 TOTAL - CONVEYING SYSTEMS $200,000171
172
173 D20 PLUMBING174
175 D20 PLUMBING, GENERALLY176 Install new plumbing required for basement/first 15,760 sf 10.00 157,600
177 New accessible restrooms needed on floor 1. 2 loc 30,000.00 60,000
178 Provide new plumbing to office floors 16,900 gfa 6.00 101,400
179 SUBTOTAL $319,000180
181 TOTAL - PLUMBING $319,000182183
184 D30 HVAC185
186 D30 HVAC, GENERALLY187 Install a new energy efficient HVAC system. 32,660 gfa 20.00 653,200
188 SUBTOTAL $653,200189190 TOTAL - HVAC $653,200191
192
193 D40 FIRE PROTECTION194
195 D40 FIRE PROTECTION, GENERALLY196 Building sprinkler system will require full upgrade. 32,660 gfa 4.00 130,640
197 New water service 1 ls 30,000.00 30,000198 SUBTOTAL $160,640199
200 TOTAL - FIRE PROTECTION $160,640201
202
203 D50 ELECTRICAL204
205 D5010 ELECTRICAL SYSTEMS206 Lighting - Interior commercial 15,760 sf 4.00 63,040
207 Lighting - Interior office 16,900 sf 5.00 84,500
Holyoke 106 High Street Estimate Page 26 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 2b FULL RENOVATION - Office208 Lighting - Exterior architectural & sign lights at High
Street elevation.1 ls 10,000.00 10,000
209 Building will require new fire alarm panel, egresssignage and emergency lighting throughout.
32,660 gfa 3.00 97,980
210 Provide exterior site lighting at rear alleyway. 1 ls 5,000.00 5,000211 Full tel/ data/ cable installation required 32,660 gfa 1.50 48,990212 Building access/ security system installation. 32,660 gfa 1.00 32,660213 Upgrades to main electrical panel needed. 32,660 gfa 5.00 163,300214 SUBTOTAL $505,470215
216
217 TOTAL - ELECTRICAL $505,470218
219
220 E10 EQUIPMENT221
222 E10 EQUIPMENT, GENERALLY223 NoWork in this section224 SUBTOTAL225
226 TOTAL - EQUIPMENT227
228
229 E20 FURNISHINGS230
231 E2010 FIXED FURNISHINGS232 Entry mats & frames - recessed with carpet/rubber
strips200 sf 45.00 9,000
233 SUBTOTAL $9,000234
235 E2020 MOVABLE FURNISHINGS236 All movable furnishings to be provided and installed
by owner237 SUBTOTAL NIC238
239 TOTAL - FURNISHINGS $9,000240
241
242 F10 SPECIAL CONSTRUCTION243
244 F10 SPECIAL CONSTRUCTION245 SUBTOTAL246
247 TOTAL - SPECIAL CONSTRUCTION248
249
250 F20 SELECTIVE BUILDING DEMOLITION251
252 F2010 BUILDING ELEMENTS DEMOLITION253 Extensive interior demolition required (walls, floor
finishes, some drop ceilings)32,660 gfa 6.00 195,960
254 Partial demolition of existing ground level storefrontsas part of refurbishment.
1 ls 15,000.00 15,000
255 Demolition of exterior stairs, platforms at rear alley. 1 ls 5,000.00 5,000
256 Demolition of former furnace room/ chimney at rearalley (1)
1 ls 10,000.00 10,000
257 Remove all vines from rear and side of buildings 1 ls 3,000.00 3,000258 Remove/ clean all graffiti from buildings 1 ls 15,000.00 15,000259 SUBTOTAL $243,960260
261 F2020 HAZARDOUS COMPONENTS ABATEMENT262 Excluded See Summary263 SUBTOTAL
Holyoke 106 High Street Estimate Page 27 PMC - Project Management Cost
Holyoke; 106-120 High Street Building 16-Mar-14Scope 1 and 2Holyoke, MA
Feasibility Submission GFA 32,660
CSI UNIT EST'D SUB TOTALCODE DESCRIPTION QTY UNIT COST COST TOTAL COST
SCOPE # 2b FULL RENOVATION - Office264
265 TOTAL - SELECTIVE BUILDING DEMOLITION $243,960
Holyoke 106 High Street Estimate Page 28 PMC - Project Management Cost
McCabe EnterprisesHolyoke | Appendix
McCabe Enterprises Holyoke | Appendix
pro formadefinitionsA
4
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Notes on Financing –
Definitions, Terms, Sources
Hard Costs. Hard Costs encompass the costs of rehabilitation, construction, site work, selec-tive (where needed), fixtures and equipment, hard cost contingency.
Construction Costs. Construction costs have been estimated by Project Management & Cost, a leading cost estimating firm with experience in experience estimating both private and pub-lic sector vertical construction, including rehabilitation. Construction costs are based on the conceptual plans contained in this report and include direct construction costs, general contractor’s overhead and profit and a design contingency. Costs have been escalated to the mid-point of a two-year period, assuming that it will take one-to-two years to ready the project for rehabilitation. The cost estimate represents a reasonable opinion of cost.
Demolition. Interior gutting, as needed, is included in the construction cost estimate. No building demolition is required in the projects.
Tenant Improvements. No costs were attributed as part of the redevelopment and rehabili-tation to tenant improvement and fit-out. The cost of tenant fit-out will be determined on a case-by-case basis and dependent upon the unique needs of each tenant. Tenant improve-ments are supplemental.
Furniture, Fixtures and Equipment. Fixtures and equipment for commercial bathrooms and for requisite plumbing and fixtures for residential housing units have been budgeted and described in the scope for each scenario.
Hard Cost Contingency. The hard cost contingency is budgeted at 10% of conceptual con-struction cost estimate.
Soft Costs
Architectural & Engineering. Architectural and engineering costs have been budgeted at 7.5% of construction costs, unless otherwise noted.
Other Consultants. Other consultants could include a surveyor, preservation consultant, code consultant, energy consultant, Licensed Site Professional, development or financing con-sultants. The exact constellation of consultant team will depend upon the specifics of each building. Costs are anticipated to be approximately 1.5% of construction costs.
Project Management. To successfully coordinate all project elements from design to final completion of renovation and rehabilitation, 5% of the construction budget has been allocated to project management services.
Legal fees. Legal services will be needed throughout the development process for contracts, construction, permitting land acquisition, review of easements, loan and financing documents,
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etc. One percent of construction costs have been allocated for legal services. In the event that the developer selects to use New Markets Tax Credits or historic tax credits, additional legal expenditures may likely be required.
Permit fees. Fees for building permits, gas, plumbing, wiring, site plan and zoning review will be necessary for the project to proceed with municipal and governmental approvals. Permit fees are included in the construction budget, and thus are zero percent in this soft cost budget.
Insurance. The contractor’s cost of insurance has been included construction hard costs bud-get. The property owner/developer should also retain insurance on the property during the course of development. As such, one-half of one percent (0.5%) has been budgeted for insur-ance costs.
Developer’s Fee. It is typical for a developer to derive a fee for their contribution in managing and assembling the project. Although developers’ fees can range from one to five percent of construction costs, a modest 1.5% is used in the pro forma. Although developer’s fees are standard, this cost has not be included in the pro forma analyses for base stabilization scenario under the Incremental Hybrid approach.
Utilities. The cost of utilities, heat, electric, water and sewer, for the building during the antic-ipated two year development and rehabilitation period are budgeted at one-half of one percent (0.5%) of construction costs.
Soft Cost Contingency. A contingency for soft costs is budgeted at one percent of construc-tion costs. The soft cost contingency is approximately 5.6% of all soft costs.
Marketing. As part of the redevelopment process, marketing costs to attract tenants should be anticipated. One percent of construction costs is budgeted for marketing expenses.
Real Estate Taxes. The cost of real estate taxes includes two years of projected real estate taxes and all outstanding taxes.
Operating Revenue Sources
Rental Income
The major source of operating funds for each building will be rental income based on the desired mix of uses for each scenario. We spoke to property owners and downtown tenants regarding current rents in downtown Holyoke and reviewed the current asking prices on avail-able properties. Projected rents are somewhat higher than current 2014 rents, since it will likely be two years before these properties will be ready for occupancy and leasing.
Several scenarios include residential housing and live/work space. For purpose of analysis, it is assumed that these units will be market rate rental housing. Rental housing is the only type of multi-family housing currently being financed in today’s marketplace. Thus, scenarios with residential condominium development were not prepared. Market rate housing and affordable housing rents using HUD’s FMR (Fair Market Rents) rents are similar. Thus, the pro formas focus on the feasibility of market rate housing.
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Monthly residential rents do not cover the cost of parking. Two properties intensively studied do not have land to provide parking. Tenants with cars or the developer would need to assume an additional $20 to $40 per month above apartment rents for parking. All properties are served by bus and are within two-and-one-half blocks of the Holyoke multi-modal transpor-tation center with PVTA (Pioneer Valley Transit Authority) buses serving Holyoke and nearby communities as well as inner-city bus service offered by Peter Pan. Inner city passenger train service by Amtrak is in the planning stages, with a planned stop in Downtown Holyoke within walking distance of the properties. Moreover, the City of Holyoke’s vision is for a walkable center city. The City is making steady progress towards pedestrian improvements to enhance walkability, most notably the Canalwalk. Thus, the pro formas for building rehabilitation do not incorporate the cost of parking.
The pro forma analyses in this report are based on the following triple net commercial rents and residential rents as follows.
Housing. The variation in monthly housing rental rates is attributable to the variation in the size of the unit.
Live-Work. Live-work space is priced on a per net SF basis.
SRECS
In addition to the typical rental income for commercial and residential tenants, each scenario includes revenue from SRECS. SRECS stands for Solar Renewable Energy Certificate. Mas-sachusetts has created a program where there is a market subsidy for the generation of solar energy which provides a tradable certificate, called an SREC that represents the clean energy benefits generated from a solar electric system, based on the number of 1000 kilowatt hours generated by the system. The amount of projected electricity at each location as to kilowatt hours was estimated based on the Massachusetts climate and the available roof top for solar. The value of SRECS was estimated at the minimum established base price per Massachusetts regulation.
Several of the buildings studied are multi-storied with flat roof tops that have very good sun exposure, which makes them ideal candidates for solar energy production. In two of the cases, construction of new roof systems is anticipated facilitating the deployment of photo voltaic panels for solar energy production. It is anticipated that photo voltaic systems can be installed on the roofs of each building with appropriate rooftop setbacks so that the solar panels are not visible from the street. Although there are federal tax credits for installation of renewable en-ergy, the value of these credits was not factored into the pro forma. The availability of federal solar tax credits expire December 31, 2016 and provide a 30% investment tax credit on allow-able costs. Solar tax credits and SRECs could contribute towards a stronger revenue stream.
Operating Expenses
Since these buildings are principally commercial in nature, it is assumed that tenants will be paying triple net leases (NNN), meaning the tenant will be responsible for payment of real es-tate taxes, building insurance and maintenance. Since leases are a negotiation between a land-
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lord and tenant, funds were nonetheless budgeted for maintenance and utilities, in the event of a vacancy or lease negotiation where the developer assumes some of the maintenance costs and uses a double-net (NN) lease instead. In residential leases, the landlord typically assumes payment of the taxes, common area utilities and general maintenance. Funds for operating expenses inclusive of maintenance costs, utilities, management fees, as well as a pro-rata share of real estate taxes attributable to the residential component are budgeted.
Financing
At the core of each financial scenario is a conventional market-rate financing component based on an interest rate of 5% for permanent financing (5.5% for construction loans) with a thirty year amortization schedule, and a minimum of ten percent equity, plus existing equity in the land and building. Twenty percent equity is the preferred standard by lenders. Property owners and developers may need to augment the equity levels noted in the pro formas. It is anticipated that some projects may utilize New Markets Tax Credits for additional equity or private partners.
In each case, the revenue stream generated by the existing competitive rents in Downtown Holyoke today do not generate sufficient revenue so that a project can rely solely on con-ventional bank financing. The pro formas contained within this report illustrate what could happen to “make the deal” work for each property.
Historic Tax Credits. In all cases it is assumed that the property owner/developer will make full utilization of both state and federal historic tax credits. Each building is over fifty years old and has played an important role in Holyoke’s history as one of America’s first planned industrial cities. The properties are either in a National Register Historic District, or adjacent to an existing district. Each building should be listed individually on the National Register of Historic Places, or at minimum determined to be eligible by the Massachusetts Historical Commission (MHC), to facilitate use of the historic tax credits. Use of historic tax credits requires that the building be renovated in accordance with the Secretary of Interior’s Standards for the Treatment of Historic Properties.
The specific value of historic tax credits may vary. The value of the federal historic tax credits assumes sale of historic tax credits to support the project based on 20% of the eligible basis for each project valued at sixty cents per $1.00 of credit. The amount of federal historic tax credits are automatic based on eligible expenses for a certified project done in accordance with the Secretary of Interior’s Standards.
The amount of state historic tax credits is based on a competitive application to the MHC for use on income-producing property, up to 20% of the cost of certified rehabilitation expendi-tures for state income tax credits. These properties are all projected to undertake substantial rehabilitation activities, which will exceed 25% of the property owner’s adjusted basis within a twenty-four month period, a program requirement. The Massachusetts State Historic Tax Credit program is a pilot program funded through 2017. Although it is not required for a property to be listed on the National Register of Historic Places, it must be deemed eligible for listing by MHC in order to use the tax credits. A small award of state historic tax credits is included in each pro forma.
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New Markets Tax Credits. The New Markets Tax Credit (NMTC) program provides tax credits for the construction and redevelopment of commercial, industrial or mixed-use prop-erties in eligible census tracts. The federal government with the NMTC program is seeking to encourage the private sector to invest in lower income communities so as to spur revitalization and job creation. Although complex, NMTC are a very flexible tool and can be used for ei-ther debt or equity financing for a real estate project. The additional cost of legal services has been factored in each analysis. Prospective users of NMTC can contact an entity that has an allocation of NMTC credits. The allocatee becomes a lender/business partner in the project. Allocatees receiving NMTC in recent rounds in Massachusetts include Massachusetts Housing Investment Corporation (MHIC), Boston Community Capital, MassDevelopment as well as others. Several national entities have substantial NMTC allocations that can be used in Massachusetts, as well.
Additional Funding Sources. In some cases, additional funds will be required to enable the redevelopment of each of these properties. Specific funding depends in part on the public benefits of the project and the desired final use. The City of Holyoke receives an annual ap-propriation of Community Development Block Grant (CDBG) funds. CDBG is a potential source of strategic funding on a limited basis. Holyoke tens to use CDBG funds for commu-nity services assisting the City’s very poor.
Holyoke Gas and Electric have incentives for energy conservation and can be a partner in rede-velopment and rehabilitation. The Massachusetts Clean Energy Center can also be a resource.
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About theTeam
McCabe Enterprises provides strategic solutions in public financing, community planning and economic development to public and private sector clients with innovative and award-winning work. A wholly woman-owned consulting firm founded by Kathleen McCabe, AICP, EDP in 1990, McCabe Enterprises works with clients to develop customized solutions addressing the unique needs of each client and community. Our approach encompasses planning and economic analysis, financing, community consultation, with a focus on implementation. Our work includes market analysis, feasibility studies, downtown revitalization, public funding, urban renewal, neighborhood planning, industrial retention and redevelopment.
McCabe Enterprises can be reached at mccabe@plan-do.com or 617 469-9444.
McCabe Enterprises team members on the MassDevelopment Holyoke Consultancy include Kathleen McCabe, AICP, EDP and:
Jennifer Mecca, RA, is an architect and experienced urban designer with downtown, and neighborhood revitalization and redevelopment projects, including work with Boston Main Streets and Waterfront Square in Revere. Jennifer has been the urban designer for several re-development projects, in both urban settings and new development, in Massachusetts, New York, Virginia and Florida. She brings a breadth of redevelopment experience and work to enable communities to understand proposed redevelopment projects and their impacts.
Peter Bradley, LEED AP, is the principal and founder of Project Management & Cost, a cost estimating and project management firm. PM&C offers a full range of cost estimating, cost and project management services to building owners, real estate developers, architects, and financial institutions.
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McCabe EnterprisesMcCabe Enterprises | 12 Primrose St. Boston, MA 02131
617.469.9444 | www.plan-do.com
Prepared for:
The City of Holyoke, MA & MassDevelopment
June 2014
HolyokeBuilding Redevelopment Studies