Agenda - Economic Development Authority - 01/12/2017

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Chairperson Steffen asked if CBRE could do what Member Williams described or was that not in their purview. Member Williams suspected CBRE could expand on their current role and provide more service to the EDA. She stated they should consider something other than the structure they currently have in place and not just reconsider their dealings with CBRE. Chairperson Steffen stated the EDA was not involved with hiring CBRE so they were not involved in the RFP process. He thought the City Council handled that so he did not know what else was out there and what that price is. Member Riley stated they had other businesses that they reviewed and they went with CBRE with the name, size, reach and presentation and the traditional broker. Chairperson Steffen asked if they felt they received some additional services with CBRE versus local. Member Riley thought CBRE has a much larger reach, bigger base and better name recognition globally than other firms. Chairperson Steffen thought they were looking for something more than shiny signs and web links. He thought maybe now they are looking for additional services which would be taking the next step. Economic Dev. Mgr/Assistant City Administrator Brama thought Member Williams had a good point. He thought this case and this discussion was more about the City setting their expectations for a broker. He stated as far as brokers go, on one end they had some lower price brokers with a straight commission and on the other end of the broker spectrum they have value added; what they did get back as far as 2013, RFP was Coldwell Banker, now IAG and they proposed a 7% commission with a $500/month fee and with that they provided monthly updates, status reports and they were going to take a much more grass roots, pro-active cold calling approach and they were going to act more as a consultant and broker versus purely listing property. That was at the time, service wise, the most effective product they could get while balancing and not dishing out as much money as when they went the Landform route, but still receiving a valuable product at an efficient price. He stated at the time the City was going through budget cuts and chose to go with the firm that had a good reach, good reputation, well established and at no risk to the City. City Administrator Ulrich stated one of the solutions suggested is to go back and review the different packages and what they could provide and what it would cost to provide additional services. Another option would be to look for a different brokerage firm that would give the City a more personal relationship because CBRE is huge and he was not sure they that they are geared to get down to a more personal level but maybe they are for the right price. Member Burandt asked if they have benefited by CBRE's wide global reach. Economic Development Authority/December 8, 2016 Page 7 of 11