Attachment B - Deer Valley Proposed Modular Building Analysis.pdf

City of Phoenix — Economic Development and the Arts Subcommittee (2025-02-12)

Extracted text (via pymupdf) 4954 characters

Ms. Juliana Panqueva, Accountant III
City of Phoenix Head Start
251 West Washington Street,
Phoenix, AZ 85003-1611
Re:
Consulting Assignment - Sunrise Elementary School - Headstart Modular Building
17624 North 31st Avenue,
Phoenix, Arizona 85053
BBG File #0123103598
City of Phoenix Cost Center: 8940050001
City of Phoenix Purchase Order: 4400852501
Dear Ms. Panqueva:
In accordance with your authorization, I conducted a search of the Sunrise Elementary School’s competitive
marketplace per the requirements cited below:

Review the provided detailed cost estimate and compare the cost to other available alternatives in
the service area pursuant to 45 CFR § 1303.45 – Cost-comparison to purchase, construct and
renovate facilities.
The proposed modular classroom building to be acquired on behalf of the Early Headstart program is located on the
Sunrise Elementary School campus. I was provided the bid from SBR Skyline Builders & Restoration, Inc. of Phoenix,
Arizona. It is my understanding that the new modular building will contain a total of 1,350 square feet of usable area.
The bid totaled $385,194.31, or $285.33 per square foot, inclusive of all material, labor and equipment necessary to
place the building on the designated site area, being just west of an existing modular building. Although not provided,
it is assumed that the Headstart program has, and will continue to have a long term lease agreement with the Deer
Valley Unified District for the continued use of the underlying land, which includes the existing playground (restricted
to the Headstart program), in addition to the existing modular building which will be converted to storage.
Relocatable classroom buildings pursuant to Marshall Valuation Service, range from $225 to $283 per square, which
include 10% for restroom(s) and 25% for soft costs. When adding an additional $20 per square foot for site
preparation (sewer and electrical), the adjusted range is $245 to $303 per square foot, supporting the provided bid.
My search criteria considered readily available facilities (both for sale and/or lease) ranging from 1,000 to 2,500
square feet in size. Consideration was also given to necessary security and availability of a private playground area.
Data sources include the Multiple Listing Service, CoStar and LoopNet. Although several properties meeting the size
requirements were available within the locational parameters, they all lacked either the building and/or site
characteristics necessary to operate a Headstart program. These buildings consisted of mostly older multi-tenant
retail and/or office buildings, all of which would require some form of modification. The Sunrise Elementary School
site (currently location) is believed to provide both necessary security (site and building) in addition to having a
dedicated playground area.
In conclusion, it is my opinion that there are no readily available alternatives with the desired locational parameters
that could fiscally replace the Sunrise Elementary School location.
ATTACHMENT B

Ms. Panqueva
City of Phoenix Head Start
February 24, 2023
Page 2
Consulting Assignment - Sunrise Elementary School - Headstart Modular Building
Copyright © 2023 BBG, Inc. All rights reserved
BBG, Inc. appreciates the opportunity to have performed this consultation on your behalf. If we may be of further
service, please contact the Client Manager.
Sincerely,
BBG, Inc.
Barott G. Hurd

SUBJECT PROPERTY
Consulting Assignment - Sunrise Elementary School - Headstart Modular Building
Copyright © 2023 BBG, Inc. All rights reserved
SUBJECT PROPERTY
Location For New Modular Building
Headstart Playground
Headstart Playground
Headstart Office Within The Sunrise Elementary School
Sunrise Elementary School

SUBJECT PROPERTY
Consulting Assignment - Sunrise Elementary School - Headstart Modular Building
Copyright © 2023 BBG, Inc. All rights reserved
AERIAL – SUNRISE ELEMENTARY SCHOOL
Existing Modular
Location For New
Modular Building
Playground