The services provided by The Vance Group, LLC (TVG) will vary with the needs and unique conditions of each asset/project.  The following is a list of typical services, described in detail.  Additional and/or alternative services can be provided based on the specific requirements of each asset/project.

Property/Project/Asset Selection

• By leveraging TVG’s extensive network of commercial real estate brokers including CB Richard Ellis, Cushman Wakefield, Don Bennett, EBS, Grubb & Ellis, GVA Daum, Lee & Associates and Hogan & Associates, TVG will select potential properties that meet asset/project requirements.
• Letter of Intent – Assist broker and/or attorney with preparation and negotiation of letter of intent for property purchase or lease.
  

Site/Project Analysis

• Zoning/Entitlement Research and Analysis – Collect pertinent zoning/entitlement information from municipal/jurisdictional agencies. Prepare Property Analysis Summary Report.
• Financial Analysis – Using projected financial parameters in conjunction with historical cost data and municipal specific fee requirements, build financial pro forma model using state-of-the-art analysis software (Argus Developer®). Prepare custom output reports that can be used for investor/lender solicitation.
• Preliminary Project Schedule/Plan – TVG will use Microsoft Project® scheduling software to prepare a preliminary project schedule/plan showing projected timeframes and milestones for due diligence, planning/entitlements, design, city reviews and approvals, construction document review, construction contract bidding or negotiation, construction, and project close-out while assigning specific tasks to individual entities, i.e. architect, civil engineer, TVG, contractor, etc.
• Conceptual Site Layout Plan(s) – TVG shall prepare conceptual site layout plan(s) for the project based on existing conditions and project goals. TVG shall also research City requirements/standards regarding: landscape and building setbacks, proposed right-of-way dedications (if any), required landscape area, required landscaping in parking areas, lot coverage limits, building height restrictions, required parking ratios, parking space and drive dimensions and storm water retention/detention requirements.

Due Diligence/Feasibility

• Site Inspection Report – TVG will perform a site visit to visually inspect site and exterior building improvements (if any) to evaluate general physical condition of site. Prepare a report including photographs and findings of site inspection. (If specific detailed inspection of building systems such as mechanical, electrical, plumbing, etc. is required, TVG can engage professionals to perform such inspections).
• Review of Title Document/ALTA Survey and Seller Provided Due Diligence Documents – TVG will review and analyze title documents, ALTA survey and due diligence materials and prepare a summary report that will highlight findings, project impact of noted conditions and suggest further investigation as necessary, i.e. updated/advanced environmental studies, etc.
• Third Party Investigation Coordination – Solicit and evaluate (scope of work, cost and schedule) written proposals for investigation services consultants. These consultants may include Environmental, Geotechnical, Survey, Mechanical, Plumbing, Electrical, and Roof Specialist. Negotiate service agreements with the newly selected consultant(s). Meet consultants on-site, as necessary, to ensure that consultants are able to access areas required for inspection. TVG will track progress of consultants’ services and maintain regular contact to ensure that consultants’ reports are completed by specified deadlines.
• Review of Third Party Investigation Reports – TVG will review and analyze reports provided by consultants and make recommendations regarding findings of reports.
• Utility Service Research – TVG will interface with utility providers to determine locations of existing utility services and possible extensions required to bring utility services to project site.
• Site Plan Development – TVG shall manage architect’s development of site plan to ensure conformance with project goals and jurisdictional requirements.
• Lender Coordination – Coordinate with lender as necessary to fulfill lender’s pre-closing requirements.
• Existing Lease Review/Abstract Reports – Review and prepare lease abstract reports based on existing leases. Abstract reports shall include detailed descriptions of CAM charges/responsibilities.
• Service Contract Review – Review and prepare summary reports of existing service contracts. Terminate existing service contracts as necessary and engage new service providers.
• Review of As-Built Drawings – Review available as-built drawings and provide written analysis.
• Client Meetings – Attend regularly scheduled meetings (or participate in conference calls) to discuss project.

Property Acquisition

• Assist attorney with purchase agreement preparation and/or negotiation.
• Preparation of lender required information/materials and/or equity investor packages.

Project Accounting
*Services provided by or under supervision of Certified Public Accountant

• Preparation and filing of project entity/partnership formation and organization materials.
• Set up and maintain Job Cost Accounting system that satisfies requirements of lender and/or investors.
• Set up and maintain asset/project bank accounts.
• Process monthly invoices submitted by consultants, track billing vs. contract fee schedules to ensure accuracy. Prepare and maintain billing summaries for each consultant.
• Loan Package – Preparation of lender required financial materials and information.
• Set up and maintain pre-lien log to ensure that required lien releases are received.
• “For Sale” closing management – Interface with title/escrow agency and review closing statements to ensure accuracy.

Entitlement/Zoning/Design
*Coordinate consultants’ efforts to achieve Annexation, Rezoning, General Plan Amendment, Site Plan, Design Review and Construction Documents Approvals

• Assemble Project Team – Solicit and evaluate written proposals for any entitlement/design consulting services. Negotiate service agreements with the selected consultant(s). TVG will also prepare and distribute a project directory with names and addresses of all individuals and organizations associated with the project.
• Research Permits & Fees – Using the most updated site plan prepared by the architect and additional information, estimate all permits and fees associated with the project, including site plan review fees, construction documentation review fees, site & building permit fees, impact fees, etc.
• Prepare Master Development Schedule – Prepare a realistic development schedule which will establish major milestone dates and include appropriate time frames for planning, design, city reviews and approvals, construction document review, contract negotiation, construction, and project close-out. TVG will also update the project schedule and expand the level of detail as the project progresses
• Master Development Budget – In collaboration with contractor, establish overall project budget including soft costs and hard cost. TVG will periodically update project budget.
• Design Meetings - Establish and chair design and construction document coordination meetings with design consultants to establish milestones, inform all parties of deadlines, resolve outstanding issues, and provide on-going evaluation of the program and project budget requirements.
• Design Development Review – Establish aesthetic goals, budget constraints, and other design criteria. Review the design development documents to evaluate whether or not they reflect the stipulated design criteria and overall objectives of asset/project.
• City Entitlements – Assist the architect with the coordination of the development process through the City. Meet with planning staff as necessary to obtain preliminary approvals.

Permitting/Contract Negotiation

• Permits – Assist the architect with the coordination of the City’s construction drawing review. Meet with the planner for the purpose of performing a cursory review of the building plans and obtaining approval to submit for first plan review. Meet with Building Safety Department and Planning & Engineering staff members as necessary to ensure plans are processed through the City in a timely manner.
• Contract Document Review – Perform a thorough contract document review concurrent with the City’s first review of the construction drawings and specifications in an effort to ensure completeness, accuracy and consistency. Recommend alternative solutions whenever design details are identified to have a negative affect on construction feasibility, cost or schedule. TVG will provide recommendations to the architect to reduce the potential for errors and omissions in the documents.
  

Negotiated Construction Contract

• General Contractor Estimates – Ensure that general contractor receives current and complete construction material submittals as made available by consultants. Coordinate with the general contractor to obtain progress estimates after completion of the schematic design documents, design development documents and construction documents. Answer questions posed by general contractor. At the appropriate time, solicit a Guaranteed Maximum Price (GMP) proposal from the general contractor; and, negotiate terms of proposal for purposes of establishing a GMP contract.
• Review General Contractor Pricing – Prepare construction document pricing package and transmit to general contractor. Receive pricing results and accept or reject subcontractor bids.

Competitive Bid Construction Contract

• Solicit and Review General Contractor Proposals – Prepare a comprehensive “Request for Proposal” package, issue to select group of general contractors. Answer questions posed by general contractors. In conjunction with applicable Project Team members, review and evaluate the contractor proposals. Prepare a cross-referenced proposal analysis for use in determining which contractor to award with a construction contract.
• Contract Negotiation and Review – Assist legal counsel with preparation of construction contract with the general contractor. Perform review of subcontractor proposals and coordinate with general contractor in an effort to ensure that project scope of work is complete and that pricing is consistent with project budget. In collaboration with legal counsel, negotiate the final terms and conditions of the construction contract.
• Lender Coordination – Ensure fulfillment of loan requirements such as regular construction progress reports, project cost reports, budget modifications, etc.
• Finalize Contract – Meet with the general contractor to review and discuss the Owner/Contractor Agreement. Issue Intent to Award and Notice to Proceed letter as necessary.
• Pre-Construction Conference – Organize and participate in a pre-construction meeting with the consultants, general contractor and subcontractors to establish on-site protocol. Identify potential work interruptions and/or anticipated challenges to complete the work; establish programs to avoid and/or overcome such interruptions and challenges.

Construction

• Administration of Contracts – In cooperation with architect, TVG will provide administration of the construction contract to complete the project in accordance with cost, time, and quality objectives.
• Conduct On-Site Project Meetings – Schedule and chair on-site progress meetings with the project team; discuss such matters as procedures, progress, potential problems, safety issues, and scheduling. Ensure that the general contractor prepares and promptly distributes meeting minutes that accurately record meeting results.
• Construction Observations – In concert with all other project consultants, inspect the work of the contractors for consistency with the requirements of the contract documents and endeavor to guard against defects and deficiencies in the work. As appropriate, coordinate special inspections or testing (as required by applicable governing agencies), and make recommendations to the architect regarding work identified as not in accordance with the contract documents. Report observed deviations and monitor corrective action.
• Reporting - TVG shall prepare written Field Observation Reports addressing such issues as site conditions, stored materials, trades on-site, construction progress, schedule, notable observations and discussion items, design conformance and quality of work. The report shall include photographs and be distributed to all invested parties.
• Scheduling Updates – Periodically review the general contractor’s construction schedule for feasibility and consistency with the intended completion and occupancy dates. Make recommendations for schedule modifications that expedite the work or help to avoid potential conflicts without generating counter-productive influences or risking undesirable cost increases.
  
• Shop Drawing Coordination – In collaboration with the general contractor and architect, establish and implement procedures for expediting the processing and approval of shop drawings, color selections, product data and other submittals.
  
• Contract Performance Review – Endeavor to achieve satisfactory performance from the general contractor, each subcontractor and consultant. Recommend a course of action when requirements of a contract are not being fulfilled and the non-performing party will not take satisfactory corrective action.
  
• Process Change Orders – Review all change order requests, define the cause of the change and determine if the general contractor’s request is reasonable. Negotiate with the general contractor regarding payment terms and track change orders throughout the project.
  
• Process Pay Requests – Develop and implement a procedure for reviewing and processing the general contractor’s applications for payment. Review the schedule of values for use in processing payments. Evaluate pay requests and effect changes as needed before approval; assure receipt of required lien waivers and other supporting documentation as required by the contract.
  
• Substantial Completion – Confer with the architect to establish when the construction phase of work is substantially complete and facilitate the issuance of Certificates of Substantial Completion by the architect and Certificates of Occupancies (if applicable) from the local municipality.

Buyer/Tenant Coordination and Sales/Leasing Assistance

• Purchase Contract/Lease Review - In conjunction with legal counsel, review proposed purchase contracts and leases.
• Prepare deal summary sheet for each buyer based on executed contract. Track sales of reserved parking, monument signage etc. Coordinate with Title Company to ensure closings are executed properly.
• Purchase Contract Administration – Ensure completion of actions required in conjunction with purchase contracts such as required notices etc.
• Prepare lease abstract summaries for each tenant based on executed lease. Track lease time frames and notify consultants of upcoming deadlines.
• In concert with the architect, review tenant lease agreements, tenant criteria and tenant drawings for compliance with the design and construction of the building and site. When conflicts are discovered, recommend action based on estimated cost and schedule impacts. Manage tenant negotiations when the tenant’s criteria information is not consistent with the project’s design and/or budget.
• Buyer/Tenant Design Requirements – Compile and distribute Buyer/Tenant’s prototype plans, specifications and design criteria to all applicable parties. Meet with consultants to facilitate inclusion of Buyer/Tenant’s design requirements. Review construction drawings to check for compatibility with Buyer/Tenant’s requirements. Assist consultants with required revisions.
  
• Develop a tracking system for the review and approval of tenant design documents. Periodically distribute an updated status report to applicable team members.
  
• Review tenant drawings for compliance with comprehensive development packages (i.e., signage and amenities criteria). When conflicts are discovered, manage negotiations as necessary.
  
• During construction, track all extra costs incurred due to tenant changes. Assist accounting staff with the development of a system for the invoicing of tenants for reimbursable costs. TVG will assist accounting staff with monitoring payment of tenant reimbursable costs by creating, maintaining, and periodically distributing a Tenant Reimbursement Log.
  
• Develop standard “Tenant Notice” letters to be maintained on file. Issue formal notices, i.e. turnover letters, to all tenants in accordance with the individual lease agreements. Create and maintain a log that tracks when tenant notices are issued. Periodically distribute the log to the applicable team members.
  
• Set up utility accounts and make application for utility meters to avoid construction delays or to prevent a tenant from not accepting their space at turnover.
• Construction Monitoring – Periodically inspect construction of project to check for adherence to Buyer/Tenant’s design requirements as shown in construction drawings and critical dates per the purchase contract/lease. Make recommendations to contractor regarding potential issues as discovered. Assist in resolution of issues by acting as liaison between Buyer/Tenant and contractor.
• Space/Building Turnover and Punchlist – Coordinate with Buyer/Tenant to schedule and complete space/building punchlist/turnover meeting on site. Ensure that punchlist items are fully documented and monitor contractor’s progress regarding completion of punchlist items.

Project Closeout

• Punchlist Coordination – In concert with the general contractor and architect, schedule and attend a punchlist walk-through upon substantial completion of the project. Ensure that the project inspection procedures are followed, facilitate architect’s preparation of the punchlist, and monitor satisfactory completion of contractor’s corrective work.
• Close-out Document Review – Secure all close-out documents required per the contract, including but not limited to, warranties, guarantees, equipment manuals, and as-built drawings from the architect and general contractor for permanent records.
  
• Release Final Payment – Prior to release of final payment, ensure completion of all outstanding punchlist items, receipt of all closeout documents, and receipt of unconditional lien releases and miscellaneous assurances.
  

Post Construction Phase

• Project Follow-Up – Upon construction completion, TVG shall meet with all applicable team members to review the original objectives and performance of the Project Team.
  
• Warranty Period – Conduct an inspection of the completed project prior to the expiration of the warranty period specified in the general construction contract and report observed deficiencies. Should any repairs be necessary, TVG will expedite such repairs and corrections.