[Code of Federal Regulations]
[Title 36, Volume 3]
[Revised as of July 1, 2001]
From the U.S. Government Printing Office via GPO Access
[CITE: 36CFR908.14]

[Page 189-190]
 
              TITLE 36--PARKS, FORESTS, AND PUBLIC PROPERTY
 
         CHAPTER IX--PENNSYLVANIA AVENUE DEVELOPMENT CORPORATION
 
PART 908--POLICY AND PROCEDURES TO FACILITATE THE RETENTION OF DISPLACED BUSINESSES AND RESIDENTS IN THE PENNSYLVANIA AVENUE DEVELOPMENT AREA--Table of Contents
 
                Subpart B--Preferential Right To Relocate
 
Sec. 908.14  Requirements placed on developers that have acquired or leased real property from the Corporation.

    Developers who have acquired or leased real property from the 
Corporation shall:
    (a) Notify the Corporation, within six months of the approval of the 
Developer's building permit, of its leasing plan and when it intends to 
begin seeking tenants. The Developer shall include at least the 
following in its leasing plan:
    (1) The mix of uses and estimated square footage for each use;
    (2) The rentals to be charged by type of use and location;
    (3) The terms and conditions to be included in the leases, including 
financial participation;
    (4) The selection criteria to be used by either the Developer or its 
agents; and
    (5) The projected completion and occupancy dates.
    (b) Notify the Corporation of any changes in the Developer's leasing 
plan.
    (c) Send registered letters to all Qualified Persons on the List 
notifying them that the developer is seeking tenants and advising them 
that they have two weeks to provide the developer with written notice of 
their interest and ninety days thereafter for exclusive negotiations. 
This letter shall include a description of the mix of uses in the 
project, the rentals to be charged by type of use and location, the 
terms and conditions to be included in leases, the projected completion 
and occupancy dates, and the selection criteria to be used to choose 
tenants. The Developer will furnish the Corporation with an enumeration 
of the Qualified Persons it has notified and a copy of the letter and 
any attachments sent.
    (d) Notify in writing each Qualified Person whom the Developer has 
previously contacted of changes in the Developer's leasing plan which 
the Corporation determines are major.
    (e) Provide a ninety day period for exclusive negotiations with 
Qualified Persons, said period to commence with the timely receipt by 
the Developer of the written notice of interest from the Qualified 
Person. During this period the Developers shall:
    (1) Negotiate tenanting opportunities only with Qualified Persons 
who have notified the Developer of their interest in the opportunity;
    (2) Not seek other potential tenants or negotiate agreements to 
occupy the Newly Developed Space requested by Qualified Persons with 
anyone other than those Qualified Persons who have timely notified the 
Developer of their interest in the opportunity, except that a Developer 
may negotiate agreements with equity partners in the project who will 
become tenants or with prime tenants; and
    (3) Negotiate in good faith with interested Qualified Persons and 
seek to accommodate them as tenants.
    (f) Report to the Corporation at the conclusion of the ninety day 
period of

[[Page 190]]

exclusive negotiations concerning the results of its efforts. In 
particular the developer shall:
    (1) State the number of responses which it received from Qualified 
Persons;
    (2) State the number of Qualified Persons with whom it has reached 
agreement and the name of each;
    (3) State the number of Qualified Persons with whom it is still 
negotiating and the name of each; and
    (4) Describe the Developer's negotiations with each Qualified Person 
including a summary of each communication between the Developer and each 
Qualified Person with whom agreement has not been reached, the 
Developer's best offer to each Qualified Person, the best offer of each 
Qualified Person to the Developer, and the specific reasons why any 
Qualified Persons did not meet the selection criteria.
    (g) Report to the Corporation quarterly thereafter until the project 
is fully leased or there are no more Qualified Persons interested in 
leasing space, whichever first occurs, concerning the results of its 
nogotiations with Qualified Persons. In particular the Developer shall 
state:
    (1) The number of Qualified Persons with whom it has reached 
agreement and the name of each;
    (2) The percentage of square feet of total leasable space which it 
has leased to Qualified Persons; and
    (3) A description of the Developer's negotiations with each 
Qualified Person including a summary of each communication between the 
Developer and each Qualified Person with whom agreement has not been 
reached, the Developer's best offer to each Qualified Person, the best 
offer of each Qualified Person to the Developer, and the specific reason 
why the Developer determines any Qualified Person did not meet its 
selection criteria.