25J - AGMT - NEGOTIATING AGMT FOR YMCA REUSE

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EXHIBIT 7 RFQ SUMMARIES AND PROJECT FINANCIALS FOR TOP TWO PROPOSALS FOR YMCA REUSE CARIBOU INDUSTRIES RFQ SUMMARY Caribou Industries, Inc. (Caribou) owns approximately 4 million square feet of commercial property in Santa Ana including the development site for the proposed One Broadway Plaza project. Other significant projects include the Masonic Temple and Original Mike's restaurant. Caribou also completed the design /build of the Orange County High School of the Arts and the OC Pavilion. Caribou is proposing to consolidate three parcels downtown and build a two -phase hotel and conference facility. They have a long history of development in Santa Ana and have demonstrated an ability to renovate older, challenging buildings. Phase I entails modernization of the YMCA including upgrading the mechanical, electrical and plumbing systems, seismic compliance, Air Quality Management District (AQMD) and asbestos abatement compliance. Phase II entails building out the main lobby in the YMCA as an historic arts display /reception area and hotel front desk. The basement would be restored to a full service gym, including a pool for both hotel guests and public membership use. The basketball court would be converted into a 300 person multi- purpose event center. Additionally, Caribou is proposing to build a 12 -story west wing hotel tower consisting of 133 rooms, 8 penthouse suites, 1 presidential suite, and a combination of 20 -40 hotel room suites on the second and third floor of the YMCA. Additional space would be reserved for conference rooms in a variety of sizes. Pursuant to Caribou's proposal, the new conference facility would serve as a focal point for the community and give local businesses the ability to hold presentations, mini conventions, host live theater and serve as a fund raising venue. Caribou is proposing to complete the proposed project within approximately 60 months. However, they are not in negotiations with a hotel operator at this time, nor have they undertaken a formal market study to assess the potential for hotel development on the site. Caribou indicates that the ultimate construction of the hotel and choice of an operator type will be based on the tenant leasing One Broadway Plaza, and their potential hotel requirements. If Caribou is unsuccessful in attracting a tenant to the proposed One Broadway Plaza project during this period, they may decide to build more of a residential suite /business hotel in an effort to attract government users and existing local businesses. PROJECT FINANCIAL OVERVIEW Caribou proposes to renovate the existing structure, and build an additional hotel building on the site. As proposed, the project would be completed in two phases, with Phase I consisting of the renovation of the YMCA building and Phase II consisting of the construction of the hotel tower. Caribou has not yet decided what type of hotel will be Page 1 of 4 25J -5