Roosevelt Roads Puerto Rico Promise Zone

ROOSEVELT ROADS PUERTO RICO
PROMISE ZONE
April 20, 2017
Hon. Manuel A. Laboy Rivera
Secretary, Department of Economic Development and Commerce
DISCLOSURE
The materials contained in this presentation are for informational purposes only. This
document does not constitute an offer to sell or a solicitation of an offer to buy any securities.
This document is a summary of certain matters for discussion only. You may not rely solely
upon this document in evaluating the merits of a project, investment venture, or any business
referred to herein. This document does not constitute and should not be interpreted as either a
project recommendation, investment advice or any other recommendation including legal, tax
or accounting advice.
Future results are impossible to predict. Opinions, figures, estimates and market trends offered
in this document constitute a preliminary assessment and are subject to change without notice.
Data on this document are based on current market conditions but should not be relied upon
without further assessment and verification. This presentation may include forward-looking
statements that represent opinions, estimates and forecasts, which may be subject to
significant uncertainties, many of which are outside the control of the Puerto Rico PublicPrivate Partnerships Authority, the Government of Puerto Rico and its agencies and
instrumentalities.
Roosevelt Roads Puerto Rico Promise Zone - Overview
The Roosevelt Roads Puerto Rico
Promise Zone is located in the
Northeast corner of Puerto Rico.
Lead Organization:
The area suffered a big financial loss
when the Roosevelt Roads Naval
Station closed in 2004. The three
communities affected by this closure
have joined forces with the Local
Redevelopment Authority of Roosevelt
(LRA).
June 6, 2016
Local Redevelopment Authority for Roosevelt Roads (LRA)
Designation Date:
Population:
77,344
Average Poverty Rate:
47.2%
Fajardo
Unemployment Rate:
The LRA plans to not only improve
community infrastructure but also to
rejuvenate economic activity in the
region, increase access to health care,
improve
educational
opportunity,
reduce violent crime, and jumpstart job
creation.
Ceiba
17.34%
Average Family Income
$19, 722
Key Partners:
Municipalities of Ceiba
Fajardo and Naguabo;
Naguabo
Roosevelt
Roads
Roosevelt Roads Puerto Rico Promise Zone – Plans and Goals
Identify private developers with the ability to advance
the business objectives of the LRA, by creating
partnerships that will jumpstart the redevelopment of
RR and transcend government administrations.
Upgrade the infrastructure system through P3’s, and
federal programs and/or other mechanisms, to allow
the continuation of current operations and set the
groundwork for the upcoming redevelopment, further
enhancing the attributes and the value of this
redevelopment project to private investors.
Finding the right partners to collaborate on this
endeavor is of the uttermost importance.
PROMSE ZONE
Location of the Roosevelt Roads Puerto Rico Promise Zone
Roosevelt Roads
Puerto Rico
Promise Zone
San Juan
Airport
Puerto Rico, USA
Fajardo
Ceiba
Roosevelt Roads
Naguabo
Roosevelt Roads Puerto Rico
Promise Zone
Transferred
Lands
In 2013, the Navy
completed the
transfer of 3,409
acres and 1,600
facilities to LRA.
Development Zones
Master Plan
Airport
Fajardo
Ceiba
Roosevelt Roads
Naguabo
Status of Redevelopment Project
2004
• Base closure
BRAC
• Law 508-2004
created the
LRA for 10
years
• LRA
developed
Reuse Master
Plan
2010
• LRA
developed
Addendum to
Reuse Master
Plan
2011
• RR Land Use
Zoning Plan
approved by
Puerto Rico
Planning
Board
• RR
Infrastructure
Master Plan
completed
2012
• U.S. Navy
transferred
Parcel 3 to
the LRA
2013
• U.S. Navy
completed
transfer of
Parcels 1 & 2
to the LRA
(all land
transfer
completed and
transferred to
Puerto Rico
Government)
2014
• PR Planning
Board
Amendment
to Land Use
Zoning PlanROTFU
approved
• Development
Zones Master
Plan
• Law 508-2004
is amended to
extend term
for an
additional
thirty (30)
years
2015
• U.S. Navy
completed
transfer of
the Hospital
Parcel
2016
• Promise
Zone
Designation
by President
Obama
2017
• Land available
for the
redevelopment
Roosevelt Roads Land Available for the Redevelopment
Renewable Energy Generation, Distribution and Operation
Land available for the
redevelopment.
Based on market demand,
four (4) major projects are
on the works:
Redevelopment of the Waterfront for a Mega Yacht Marina
Establishment of a Retirement Community including independent
housing, assisted living and all medical services
Private Ferry Route to Vieques, Culebra and other Islands
The Site
Over 8,000 acres of Opportunities & Amenities
Location of
Projects for
Immediate
Implementation
Roosevelt Roads Infrastructure
The LRA currently owns and operates all of the infrastructure and utility
systems at FNSRR. This presents a unique opportunity for interested
utility developers
General
Infrastructure
Overview
Existing infrastructure at Roosevelt Roads was developed throughout
60+ years to satisfy the demands of low density, military uses
Existing infrastructure requires update and major modifications in
order to support current operations in FNSRR and set the
groundwork for the master planned multi-use redevelopment
The investment for these upgrades has been estimated at
$150-$200 million dollars
Potential Infrastructure Projects
Main infrastructure components at FNSRR include:
Roads and Access
Potable Water
Distribution System
Sanitary Collection
System
None Existing
Telecommunication System
Power Distribution
System
Roosevelt Roads Infrastructure - Roads and Access
STATE ROADS
• FNSRR connects the municipalities of Naguabo and Ceiba mainly through the state
roads PR-3 and PR-53
Roads and Access
• Roads are in excellent condition and have the sufficient capacity to meet the
required development capacity for the next 25 years
FNSRR ROADS
• The Interior of the FNSRR contains over 100 miles of main and secondary roads
• Most of them are in good condition. In general most of the existing roads can be
repaired by patching or paving certain areas
ACCESS
• In the past, the access points to FNSRR were through four main gates: 1, 2, 3 and 4
• Gate 1 is the current and main entrance that connects FSNRR with PR #3 on the north
• For security reasons, all other gates are currently closed
Roosevelt Roads Infrastructure – Potable Water Distribution System
WATER INTAKE
Water Distribution System
FNBRR is completely
independent of PRASA
• WI for the water system takes place in the Rio Blanco River of Naguabo, via a 27” diameter
pipe that is connected to a lift station pump that directs the water to the reservoir located at
the base
WATER FILTRATION PLANT
• The WFP filtrates and distributes the potable water throughout the FNSRR
• It is comprised of aeration, sedimentation tanks and sand filters
It consists of three main
components:
A. Water Intake
B. Water Filtration Plant
C. Distribution System
• It has enough capacity to fulfill the estimated water demand for the future development for
over 25 years
DISTRIBUTION SYSTEM
• It has over 64 miles of pipelines, seven pumping stations and a Storage tank among other
components
• Actual condition of this system is fair. Current tenants are being served with this system
Roosevelt Roads Infrastructure – Sanitary Collection System
• FNSRR has its own used water treatment system
Treatment Plants and
Sanitary Collection
System
• It consists of a network of:
 Approximately 32 miles of pipes that collect the sanitary discharge by gravity
 Approximately 9.5 miles of force lines
 28 pumping stations
 Which converge in three independent water treatment plants:
 Bundy,
 Forrestal
 Capehart
• All three treatment plants are currently non-operational
• All sewer and sanitary components, such as manholes and piping systems, are in
good condition
• All current sanitary collection is managed by sanitary extraction trucks
Roosevelt Roads Infrastructure – Power Distribution System
• All the electrical infrastructure and components within FNSRR are property of the LRA
Power Distribution
System
• There are 11 substations (of various capacities) in FNSRR. Substation “India” is the
only one currently operational
• “India” supplies the electrical load for all current operations within FNSRR
• Power is supplied by the Puerto Rico Electrical & Power Authority (PREPA) from the
Daguao Station
• Power is supplied by two main lines of 38kv that enter the base via Gate 3 to
substation “India”
• “India” distributes power to the different tenants using 13.2kv lines that run
from Forrestal to Langley Road
What
What do
do We
We Need?
Need?
I
EE
INFRASTRUCTUR
INFRASTRUCTURE
E
ECONOMIC
ECONOMIC
DEVELOPMENT
DEVELOPMENT
Develop
Identify
interested
Infrastructure
investors
to develop &
operate
Infrastructure
Projects:
Projects:
Energy, Potable
Energy, Potable Water,
Water,
Sanitary
Sanitary Water, Roads
Water,
Roads
&
and
Telecom
Systems
Telecom
Rejuvenate
Rejuvenate
economic
activity
economic
activity
in
the in
region
the region
J
J RR OO
JOB
JOB
CREATION
CREATION
RE-POPULATE
Jumpstart
job
Jumpstart job
creation
creation
Populate Roosevelt
Roads again
OPERATE
Customer Service
Next Steps
1
Identify interested investors to develop Infrastructure Projects:
Energy, Potable Water, Sanitary Water, and Roads.
2
Engage in direct negotiations with private investors developers/zone developers who
will partner with the LRA and acquire a leasehold, fee-simple or other appropriate
interest in the property.
3
Continue to identify potential federal government programs through RR’s Promise Zone
designation to provide funding for required infrastructure upgrades.
4
Perform assessment process for Private Ferry Route from RR, Renewable Energy
Generation and Distribution, Mega Yacht Marina, and Medical and Retirement
Community.
CONTACT US
Hon. Manuel Laboy Rivera
Secretary
Department of Economic Development and Commerce
P.O. Box 362350
San Juan, PR 00936-2350
PHONE: 787-765-2900
EMAIL: [email protected]
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