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SCG WEST Development

Proposal For
Cannabis 21+ Palm Desert, CA

Prepared by: Joshua Santos
Prepared for: Sean St. Peter
Jan 18, 2021

Dear Sean St. Peter,

We appreciate the opportunity to provide our proposal for the Turnkey Development of your above-referenced project. Our proposed scope of work is based on our discussions and outlining your project needs. To summarize our conversations: The building is estimated to be an approximate total of 13,972 Sq. Ft. You, the owner, are currently finalizing the lease and wish to complete the interior and building improvements to fit the look and feel of your concept. This will include new interior and/or exterior finishes, common layout, and retail and stock/support modifications, as necessary.

SCGWest Development recommends reusing as much of the existing layout and utilities as possible to minimize the upfront construction cost and reduce the timeline for opening your new Cannabis 21+ location.

We sincerely appreciate the opportunity to work together and look forward to this project and your success.

Best Regards,

Joshua Santos

P: 855.348.5505
E: jsantos@scgwest.com

Development Made Simple

We deliver turn-key commercial real estate solutions so you can focus on your core business. We are full-service firm specializing in the turnkey delivery of retail, restaurant, and medical office projects. SCGWest was founded in Scottsdale, Arizona in 2012 by Kyle Gorman and Brandon Lehman. The co-founders set out to improve on traditional industry standard methods by implementing a more efficient process that opens the lines of communication between all project participants and the ownership. The goal of this process was to form a more cohesive team approach utilizing technology to monitor progress with real time updates and improve efficiency, cost and speed in comparison to what conventional project delivery methods had to offer.

Today, SCGWest is headquartered in Irvine, California and completes projects nationwide. The company has provided development services to some of the nation’s largest retail, restaurant, and medical office brands, all while keeping the same philosophy that the company was founded on; We believe you need a trustworthy partner with your best interest at the forefront to make development simple.

The SCGWest Development Advantage

Preliminary Concept Space Plan Drawing Layout Fits
2D & 3D Renderings (Floor Plans, Elevations, Sections, Isometric & Perspective Views)
Buildertrend Technology & Management Construction
Live Project Daily Updates & Constant Communication
E-Mail Blasts of New Location, Social Media Recognition & Business Marketing
Professional Completed Photos & Video Time Lapse of Renovation
Cost & Schedule Efficiencies can be Achieved
Few Changes, Fewer Claims, and Less Litigation
Earlier Knowledge of Cost
Change Orders Typically Limited to Owner Changes
Enhances Project Coordination
One Point of Contact
Most Proven & Efficient Methods for Multiple Location Rolls Outs
Integrated Team Collaboration

Past Project References

El Torito - Monterey, CA

El Torito - Cypress, CA

Capriotti's - Chatsworth, CA

Project Understanding

SCGWest will provide design-build services related to the Customer, Retail, Stock/Support, and Restroom areas for architectural renovations of the Cannabis 21+ to be located at 39225 Washington St. Palm Desert, CA location.

Cannabis 21+ is looking to develop a new Customer, Retail, Stock/Support, and Restroom areas that create a refined experienced environment emulating their Cannabis 21+ brand and business.

The design will establish a comprehensive look and feel that will allow the customer to experience the quality of their business.

Proposed Scope of Work

Existing Site Information

Vision and Schematic Design

VISIONING (1 week) SCG will build upon discussions and walkthrough had with the Client regarding this project by addressing the vision of the brand and the Cannabis 21+ experience, as well challenges of the potential tenant space.

Upon review of any Client provided research and after reviewing the current schematic design package prepared by an alternate designer, SCG will assist the Client in translating their vision of the brand into the Cannabis 21+ experience. SCG will meet with and assist the Client in interpreting the best Program for this location, as well as it’s merchandising and configuration.

Visioning Meetings:

One (1) meeting Points to be covered include:

  • Applying the concept layout to the proposed suite footprint.
  • Review and analysis of the existing schematic design package.

SCHEMATIC DESIGN (2 weeks) Upon completion of visioning, SCG will work with the Client to confirm that all programming, space planning, and spatial requirements have been met and are code compliant. SCG will provide fixture plans with the latest concept design configuration, confirming the mix of fixture types and the overall fixture counts are in keeping with the Client’s requirements for this office suite. The client’s approval is required on the design concept and refinements prior to the commencement of future phases.

Deliverables:

  1. Preliminary code review and concept plan adjustments.
  2. Space Plan and Program Area Break-down.
  3. Reflected Ceiling Plan.
  4. Finish Plan.
  5. Concept imagery.
  6. Two (2) renderings.

Schematic Design Meetings:

Up to two (2) meetings or calls to review progress.

Design Development & Construction Documentation

Design Development/Construction Documentation. Upon the Client’s approval of the Schematic Design phase, SCG will proceed with design development and construction documents. SCG will work with and lead coordination among the consultant team, including those consultants contracted to the Client, to develop further the details necessary to construct the project. Construction documents consisting of drawings and specifications will be developed for the purpose of obtaining pricing and construction permits including:

Deliverables:

  1. Cover sheets and schedules
  2. Demolition plans as required
  3. Construction plans showing layouts, details, schedules, and dimensions
  4. Floor fixture plan showing the location of furniture and equipment
  5. Reflected ceiling plan showing lighting and equipment locations
  6. Interior elevations including signage locations
  7. Finish schedule indicating extent and location of finishes
  8. Construction details of interior wall and ceiling construction
  9. Millwork fixture details (if applicable)
  10. MEP drawings and specifications (if applicable)
  11. Lighting drawings and specifications (if applicable)
  12. Structural drawings and specifications (if applicable)
  13. Fixture, and equipment cut sheets, and specifications
  14. Optional Services: Furniture and Furnishings. SCG will prepare furniture location drawings and specifications that describe the requirements for pricing, fabricating, and installing furnishings, furniture, and equipment. SCGWest can assist to procure all furnishings, furniture, and equipment directly from manufacturers, fabricators, suppliers, and/or dealers.
  15. Specifications covering the above construction work for the project will be prepared to establish the requirements and standards for the construction work.
  16. SCG will forward reproducible drawings to consultants and will coordinate their work based on the approved design drawings. Background drawings will also be issued to the Client’s consultants and vendors for coordination of their work.

Document Sets will be issued as follows:

  1. Review Set (@ 50% complete)
  2. Permit and Landlord Review Set (@ 100% complete)

Meetings:

Up to three (3) meetings or calls to review weekly progress.

Build-Out Pricing & Permitting

ConstructionPricing. SCG will firm up of pricing and projectstrategies and withselection of sub-contractors and/or vendors. Permit Applications. SCG will assist Client in connection with filing documents required by government authorities having jurisdiction over the Project. At the completion of the Design Development / Construction Documentation phase, a Permit, & Landlord Review Set will be submitted for Plan Check Review to the County’s Compliance Department and local Jurisdiction’s Building Department and any associated agencies for review by the following specialties:

  • Building & Safety
  • Planning (not related to CUP or change in use)
  • Fire Department
  • Mechanical
  • Electrical
  • Plumbing
  • Health Department

It is assumed permitting and approvals for the following will be by others, and may be deferred approvals:

  • Signage (by signage vendor).
  • Fire Sprinklers & Alarms (by fire sprinkler/alarm sub-contractor, if required).
  • Fire Suppression (if applicable)

SCG to address architectural, structural, fire protection, mechanical, electrical,and plumbing comments from the Building Department and/or County Compliance Department. Upon plan check approval SCG will post an Issue for Construction document set. Document Sets will be issued as follows:

  1. Issue for Re-Check (after Plan Check comments are addressed).
  2. Issue for Construction (upon Plan Check approval).

General Construction

  1. Chair weekly project meetings with Owners and Stakeholders–prepare and distribute meeting summaries and action items for the project.
  2. Set Forth and maintain project budgets throughout the project with updates during design milestone if changes occur.
  3. Constructability reviews throughout the design process.
  4. Provide a written report of potential cost-saving measures, risks, and potential unforeseen conditions (if applicable).
  5. Develop the project plan to include a standard communication plan, meetings, document control, reports, budget, and schedule management.
  6. Establish site management and product controls.
  7. Municipally Interface –support Design Team with City, Building and Health Departments coordination and approvals. Including Submission, pick up, and collaboration with governing agencies.
  8. Pay Application Reports for progress payments.
  9. Assist Owner with the buyout of furniture, break room equipment, and other FF&E contracts.
  10. Equipment Delivery Scheduling and Acceptance
  11. Furniture Delivery Scheduling and Acceptance
  12. Prepare and issue project closeout package
  13. Qualifying Vendors and Suppliers
  14. General project advisory services

Compensation

Turn-key Architectural & Engineering Services

Compensation for Architectural Services shall be  $111,776.00.

Turn-key Construction Services

Compensation for Construction Services shall be .

Total Cost

Total cost shall be $111,776.00.

Additional Services

Compensation for Additional Services (if not agreed upon as a lump sum amount) shall be based on SCG’s Standard Hourly Billing Rates

Reimbursable Expenses

Compensation for Reimbursable Expenses including permit processing consultant and City fees incurred by SCG in connection with the Project shall be based on amounts invoiced to SCG, plus fifteen percent (15%).

Excluded Services

This proposal does not include any landlord work or landlord renovations. Excluding line items on Exhibit C-1 from landlord “as is” lease.

AGREEMENT AND ACCEPTANCE

Agreement

This Agreement is comprised of and incorporates the following documents, in order of precedence:

  • this Letter of Agreement.
  • the attached Standard Terms and Conditions (STC)

Where a portion of one document is amended by another of higher precedence, all unmodified portions shall remain in effect.

Effective Date

The effective date of this Agreement is [date].

Deposit

$1,000.00 Deposit Upon Signing

Proposal Agreement

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