Split Urban Regeneration Masterplan Study for the Eastern Wing of the City Port and the Kopilica Sites

Please note the deadline for submission of Expressions of Interest has been extended until 12 November 2015 at 23:59 London time. The Funding Eligibility has also been revised as follows: "up to a maximum of 40% of the maximum contract amount may be used to finance services of local experts who are nationals of Croatia or consultancy firms registered in Croatia".

Project Description: The European Bank for Reconstruction and Development (“EBRD” or the “Bank”) intend to commission technical assistance for the production of a Masterplan Study for the Split Urban Regeneration Project ("SURP" or the "Project") on behalf of the City of Split and Croatian Railways Infrastructure (HZI), the main stakeholders of SURP (the "Project Stakeholders"). The Masterplan Study shall focus on two major development sites: existing railway and bus station located at the eastern wing of the City Port at the heart of Split’s Old Town (the 'Downtown Site') and a possibility of a partial relocation to a new railway and bus station planned to be developed in the Kopilica area ("Kopilica" or the "New Transport Hub") . The Masterplan Study will be based on an independently conducted demand studies for both locations (the "Demand Studies") establishing the commercial potential of these sites, complemented by public spaces developed with Split’s residents and visitors in mind.

Both sites, majority state owned, are of significant importance in terms of their scale and strategic locations. Due to their vital importance as the transport hubs for locals and tourists visiting Split, surrounding regions and numerous islands, the Project will also help to shape the future development of the City. The Masterplan Study therefore needs to be consistent with strategic directions for the overall development strategy for Split as established by the Municipality, Croatian Ministry of Maritime Affairs, Transport and Infrastructure, and other relevant stakeholders.

The Masterplan Study, subject to the approval of HZI and the City of Split, will form a foundation block of the detailed urbanistic plan for both locations which will be completed with an international architectural competition. It will therefore be a key document that both informs the long-term strategy and development for this part of the City and sets out a scale of development that will bring much needed foreign direct investment into the country.

Given this context, the Project is expected to be guided by a strong vision of sustainable urban development that would reflect the stakeholders' ambitions and attract the interest of, and give confidence to, socially and environmentally aware regional and international investors, as well as private developers, while ensuring full harmony with the UNESCO heritage (in case of the Downtown Site).

Background

City of Split

Developed around the UNESCO protected, Roman era Diocletian Palace, Split is the second largest city in Croatia and the largest passenger port on the Adriatic, as well as the main tourist hub on the Dalmatian coast. The City covers 120 sq km and is home to a population of around 500,000. This number doubles during the summer months, with the port of Split carrying more than 20 million passengers annually to the surrounding islands and Italian coastal towns. The City combines a rich cultural and architectural heritage with tourism and service industry as its economic base. Economic growth based on tourism has enabled significant investments in public services, infrastructure and tourism facilities over the past 20 years and represents the main pillar of economic growth for the future. In 2014, the total contribution of travel and tourism to Croatia’s GDP stood at 28.3% and is projected to rise by 2.2% in 2015 and by 4.2% pa to reach 36.2% in 2025[1]

Sites

The Downtown site is situated in the geographic centre of Split. Its strategic location has the potential to form the core of a new city district and a gateway to more than ten Croatian islands for the rapidly growing tourism industry on which these islands fully depend. It is rare in any major City that such strategic development opportunities appear at this scale. It is even rarer for such development opportunities to concern land that sits next to one of the most significant UNESCO protected sites on the Adriatic coast and is in the majority ownership of a public landowner. This could further integrate the city’s cultural and architectural assets to a new dynamic realm. These factors, combined with the landowner’s desire for a market led, commercially successful, and socially and environmentally sustainable Masterplan, make this a major commercial development opportunity.

The Kopilica site is located in the north of Split. It consists of approximately 100ha of land and is zoned for transport and commercial mixed use. The site is owned by the HZI, Split Port authority and a number of municipal companies. Majority of the site is currently not in use. The Kopilica site would be developed as a location for the new railway and bus transport hub accompanied by commercial and industrial infrastructure, aiming to provide an integrated traffic solution for Split and Dalmatia. The relocation of Split Railway Station and development of Kopilica Site will depend on the results of a demand study ("Demand Study") which will include a feasibility study and cost/benefit analysis. The commercial and other elements of this phased development would be developed consequent to the development of the new transport hub.

Upon the finalisation of the Masterplan Study and consequent international architectural competition, the Downtown Site redevelopment would focus on the removal of a majority of the existing railway tracks and accompanied platforms, scaling down the operating station and creating a city-centre hub that would serve as a link to the new Kopilica-based transport hub via city trains. This move would free up approximately 130,000 sqm of prime land in the Old Town, which is in the ownership of HZI and the Republic of Croatia (maritime good). Some of that land will be allocated to the Municipality of Split for a section of access roads, which will leave approximately 70,000sqm available for redevelopment by the HZI and Municipality of Split in participation with private developers.

Assignment Description: The Bank now intends to engage a consulting company (the "Consultant") to develop a Masterplan Study for the Split Urban Regeneration Project on the feasibility and commercial viability of the potential partial relocation of the railway and bus station to the Kopilica site, and a phased development plan for both sites.

It is the joint objective of public stakeholders and EBRD that the development opportunity will be one of the most significant changes within the City of Split in the coming 10 years. The Masterplan Study should therefore be carried out to the best international standards as an exemplar of sustainable urban development, commercial success and investment value.

The Masterplan Study should envision that the Downtown Site would become:

- A key new centre for the city providing economic development, life and activity adjacent to the heart of the city.

- A place that preserves and enhances the historic character of Split and the setting of the UNESCO World Heritage site.

- A year-round touristic destination adaptable to different flows and touristic demands in summer and winter; providing new activities and uses which would help expand Split's offerings and extend the visitor seasons.

- A highly sustainable place that conserves and enhances the city's environment and minuses the resource use.

- An economically and environmentally resilient place which can recover quickly from short-term shocks and adapts fluidly to long-term changes.

The Kopilica site would become:

- A regional gateway: acting as a key point of arrival and connection within the city, to the wider region, and for international visitors.

- A commercially viable area with mixed use and based on the Demand Study conducted as part of the Masterplan Study.

- A new transport hub, with a fully functional and integrated traffic solution: providing a solution to the current congestion problem in the Downtown site caused by the sub-optimal location of the railway and bus terminal and increasing touristic demand in the City of Split; and an optimised railway solution which would in conjunction with the HZI rehabilitation plan increase use and utilisation of the railway infrastructure.

The Assignment should be guided by the following key strategic objectives:

- There must be a completed commercially-led Masterplan Study that provides the basis for detailed development planning with business infrastructure anchoring both sites as well as phasing and infrastructure investment and be adopted as part of the Municipality’s urban and strategic planning proposals. This is subject to the financial feasibility of partial railway infrastructure relocation.

- There must be a sustainability toolkit that defines key sustainability requirements for spaces, and harmonization with the UNESCO heritage and the city’s historical and architectural heritage. The toolkit should cover requirements for both public and private developments.

- If the public stakeholders decide to stay in the Project as a joint venture partner by contributing to the sites, value of land will be established through an independent valuation conducted by a professional Consultant.

- If the public stakeholders decide to give land in concession, there must be a phased strategy of land release that balances the need to generate early capital receipts with the need to build a long term sustainable and transformational urban development vision.

- EBRD may potentially consider providing debt financing for municipal infrastructure and transport infrastructure, as well as debt and equity financing to international commercial developers, winners of international tenders organised on the basis of the Masterplan Study and consequently conducted international architectural competitions for both sites.

The selected Consultant is expected to provide the following services:

1. Perform a Transport Analysis and Site Development Carrying Capacity for the Downtown Site.

2. Conduct Initial Objectives, Demand Analyses for both Sites and the Relocation Study for the Downtown Site (the scope also includes the Kopilica/New transport hub site where needed).

3. Prepare an Integrated Development Plan, including a Concept Masterplan, Transportation Plan, Business Case, Regulatory Approval Strategy, Phasing and Delivery Strategy, and Operation and Management Strategy for the Downtown Site.

4. Conduct an Options Analysis and Preferred Development Concept for the Downtown Site.

Status of Selection Process: Interested firms or groups of firms are hereby invited to submit expressions of interest.

Assignment Start Date and Duration: The Assignment is expected to start in Q1 2016 and has an estimated overall duration of 12 months.

Cost Estimate for the Assignment: EUR 590,000 (exclusive of VAT).

The Consultant must determine whether any VAT would be chargeable on the services and the basis for that determination, without taking into consideration the special status of the Bank as an IFI and state this to the Bank in their response to the Invitation for Expressions of Interest. To the extent that a Consultant incurs input VAT on goods and services purchased in connection with the provision of services (e.g. VAT on airline ticket) which is not otherwise recoverable by the consultant from the local tax authority, the gross cost to the consultant of such expenses shall be treated as a reimbursable expense.

Funding Source: Austrian Technical Assistance Co-operation Fund.

Eligibility: Consultancy firms shall be entities registered in Austria and all experts proposed by the entity to work on the assignment must be either Austrian nationals or permanent residents of Austria. However, up to a maximum of 40% of the maximum contract amount may be used to finance services of local experts who are nationals of Croatia or consultancy firms registered in Croatia.

Consultant Profile: Corporate services are required. Subject to the eligibility criteria as described above, the Consultant shall be a firm or a group of firms preferably with previous project experience related to complex urban master planning involving historical heritage sites of similar complexity using procurement rules of international financial institutions ("IFIs") such as EBRD, World Bank, ADB or equivalent procedures of other IFIs and implementing projects in Croatia and/or Central Europe and Baltic States.