All grown up?

The number of employees working for the British Columbia Lottery Corp. hasn't changed much since the Campbell administration took office - from 620 full-time equivalent staff in fiscal 2001/02 to a budgeted 625 in fiscal 2007/08. Nevertheless, according to a request for proposal quietly posted on BC Bid, the corporation has "outgrown" its "current facilities in the Richmond, BC area" - which house its "distribution, marketing and public affairs functions." And that's why the corporation is now looking for a real estate advisor "to assist BCLC with assessing the requirements for our lower mainland operations and to identify a suitable Corporate Facility that meets these requirements." The following is a complete copy of the relevant portion of that bid document.

SECTION 1

1 INTRODUCTION

British Columbia Lottery Corporation ("BCLC") is the Crown Corporation which conducts and manages commercial gaming in British Columbia in accordance with the Gaming Control Act (BC) and the Criminal Code. B.C. Lottotech International Inc. ("BCLII") is a wholly owned subsidiary of BCLC. If this RFP is issued by BCLII, references to BCLC throughout are deemed to be references to BCLII.

The purpose of this Request for Proposal (the "RFP") is to select a professional and experienced real estate advisor (hereinafter referred to as "vendor") who will assist BCLC in the assessment of BCLC's lower mainland facility requirements, and assist BCLC with the search for a new facility or facilities (collectively referred to as "Corporate Facility") that meets these requirements.

The vendor will be required to complete a high level needs assessment; provide guidance, direction and management of the review of the lower mainland (Metro Vancouver) realestate market; manage a competitive bid process for a Corporate Facility that meets BCLC's requirements as a public purchaser; assist BCLC with the negotiation of the terms and
conditions for the selected Corporate Facility; and assist BCLC with detailed space planning, construction/leasehold improvements, selection/purchase of office furniture, and transition (physical move) to the selected Corporate Facility. BCLC may be open to an existing building (with little or major leasehold improvements) or a build to suit arrangement with a land developer who would be interested in building a
Corporate Facility to suit BCLC's needs. BCLC may be interested in a lease arrangement or owning the Corporate Facility.

BCLC will be seeking the services of the vendor initially for up to five (5) years. Any contract resulting from this RFP may be extended past the initial period on an annual basis by BCLC for up to three (3), one (1) year options, at BCLC's sole discretion.

1.1 OVERVIEW

BCLC currently manages its operations out of two corporate locations. BCLC's head office, finance and information technology functions are located in Kamloops, BC and BCLC's distribution, marketing and public affairs functions are located in the lower mainland.

BCLC currently operates its lower mainland operations out of the following three locations:

1) Main Office - 10760 Shellbridge Way, Richmond, BC

BCLC's primary office space in the lower mainland currently consists of
approximately 67,000 sq. ft. and provides general office space for approximately 220 employees. This facility is utilized for the distribution of lottery products to a network of approximately 4,400 lottery retailers and is the location of BCLC's back up data centre. Included in this office space is a cafeteria, employee gym, meeting rooms, receiving area, etc. The lease for this property expires on April
30, 2011.

2) Satellite Office - 3751 Shell Road, Richmond, BC

This location consists of approximately 5,500 sq. ft. and provides general office
space for approximately 25 employees. The lease for this property expires on April 30, 2011.

3) Warehouse - 5600 Parkwood Way, Richmond, BC

This location consists of approximately 13,000 sq. ft and provides warehousing and storage space for BCLC operations. BCLC has approximately five (5) employees who work out of this location. The lease for this property expires on April 30, 2011.

BCLC has outgrown our current facilities located in the Richmond, BC area and it is BCLC's objective to establish a professional relationship with a vendor whose purpose will be to assist BCLC with assessing the requirements for our lower mainland operations and to identify a suitable Corporate Facility that meets these requirements.

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