Anon: Guaranteed Maximum Price (GMP)
The GMP of $6,000,000 was approved by the City on June 7, 2011.
There have not been any adjustments to the GMP.
Potential Cost Impact Issues:
The following items are under consideration as additional scope of
work that may exceed the GMP:
□ The Owner is currently negotiating with potential
tenants. These negations may lead to cost impacts that
are unknown at this time.
□ The Owner has indicated that they will be
incorporating the slab on grade and several demising
walls into the project. A/E to provide appropriate
details so a complete scope impact exercise can take
place.
Anon: Can someone analyze the comment above in plain speak? Thanks.
Skip Rable: Plain speak = get ready for the change orders to start rolling in. There was no way this was to be a max $6 million project.
Depending on the extent and level of tenant fit out, the City may need to do more to the vanilla box spaces. Also the ground floor tenant spaces are normally left as dirt or sand for bars and restaurants. The tenant can design their space and the plumbing and electrical rough can be installed, then the concrete slab (floor) is poured. Sounds like the City may want to pour the slab now. This may result in a tenant to saw cut the slab to install their unique plumbing and electric lines, if needed, then pour back the trenches with more concrete.
And this before we even begin to think of the utility laterals necessary for the NEW Casino building.
Can you say $7 million, maybe $7.5 million????
Monday, January 23, 2012
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3 comments:
First we find out that the cost of the Casino,
if we want a Certificate of Occupancy so that the Tenants can open,
is $2,000,000 to $2,500,000 more that the $6,000,000 Budget.
Now we find out that the $6,000,000 guaranteed Fixed Price Contract excludes a number of normal Budget items that require extra Architectural and Construction Costs.
We have a Leasing Agent who doesn't want to spend any time and effort on Marketing, doesn't know what Market rent is,
and wants to accept every new offer that comes after he claims nobody else is interested.
There is Commissioner Mulvehill and her personal attorney who are pushing for acceptance of uncreditworthy campaign contributors because of a Right of First Refusal that at least one contributor has fraudulently applied for.
Kathleen Margolis was last seen peddling her Resume to every Broward County governmental entity she could find the email for
And can we please not forget the UNANIMOUS vote of the City Commission on December 16, 2008, to INCLUDE ALL THE COSTS of the Beach and Casino redevelopment projects, NOT included in the County $5,000,000 grant, in the cost of the Casino Project that City was taking responsibility for.
Pretty Please?
Telling Carr & Margolis to include ALL COSTS difficult. We had to fight a year to get them to include the Architect's cost and now they refuse to include costs they intend to pay from Future Casino Cash Flows.
Anything short of naming specific line items may not achieve the desired ends.
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