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Awarded contract·City of Mesa·Arizona

Concession Services For The Mesa Amphitheatre

Won by Southern Hospitality Concessions$1.5MAwarded 9/25/2025Single Award
Contract source

Awarded vendors

  • Southern Hospitality Concessions

Description

The City of Mesa awarded a three‑year, commission‑based contract for full concession services at the Mesa Amphitheatre, covering food, beverage, and alcohol sales, POS systems, staffing, inventory, and waste management. The vendor must operate under the City’s liquor license, maintain required permits, provide a Concessions Manager on‑site for each event, and submit detailed revenue statements after each concert. The contract is firm‑fixed‑price in the sense that the City pays a percentage of gross sales rather than a lump‑sum amount, and it includes options for up to two one‑year renewals and a six‑month month‑to‑month extension. • Scope includes all food‑and‑beverage operations for every event at the amphitheatre (capacity ~5,000). • Vendor must supply and maintain a digital POS system, secure all necessary permits, and staff events with TIPS‑certified personnel. • Compensation is based on a commission percentage of gross sales, with the contract evaluated heavily on the proposed commission rates (total possible points 550).

Attached files

Key dates

Bids closed
7/24/2025
Intent to award
9/25/2025
Awarded
9/25/2025
Contract modified
7/17/2025
Starts
11/1/2025
Ends
10/31/2028Renews
Duration
3 years

Last updated

Details

Award type
Single Award
Procurement
Full and Open Competition
Industry
Food and Beverage Services
NAICS
722310
Solicitation №
RFP-F420-2025202-2

Contract value

$1,500,000

The solicitation provides historical revenue data: FY 23/24 generated $672,268 in total concession and alcohol sales from 14 shows. Assuming the venue will host a similar number of events each year (≈ 14–15) and that the vendor’s commission will range from 10‑20% of gross sales, annual commission revenue would be roughly $67,000‑$135,000. Over a three‑year base term, that yields $200,000‑$400,000 in commission payments. However, the City also expects a capital investment component (equipment, POS installation, etc.) which can add another $1‑1.5 million in vendor costs, as indicated by the “Capital Investment” scoring category. Combining commission and capital components, a realistic ball‑park contract value is approximately $1.5 million to $2 million for the three‑year period.

AI estimate from the award documents

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