Cultivating Development: Sowing the Seeds of Innovation Maureen - - PowerPoint PPT Presentation

Cultivating Development: Sowing the Seeds of Innovation

Maureen McAvey

ULI Report on Food an and Real al Es Estate Central Theme

Incorporating opportunities to:

• Grow
• Purchase
• Consume

Food within development projects can pay dividends in terms of health, sustainability, social equity and profitability.

FOOD-CENTRIC DEVELOPMENT TYPES

AGRIHOODS

• Residential
• Working

farm FOOD- CENTERED MIXED-USE DEVELOPMENT

• Restaurants
• Food stores
• Mixed-use

FOOD-CENTRIC RESIDENTIAL DEVELOPMENT

• Community

gardens

• Restaurants
• Residential

FOOD HUBS + CULINARY INCUBATORS

• Regional

processing

• Distribution

centers

• Workforce

development

NEXT- GENERATION URBAN MARKETS

• Food halls
• Workforce

Development

• Mixed-use

development INNOVATIONS + INNOVATORS

• Sustainability
• Access to

healthy food

• Economic

development

Changing Nature e of Agric icult lture

18th & 19th Century 21st Century

Changing Nature e of Foo Food

More meat & high calorie fast food Fewer fruits, veggies & whole grains

Food Facts

• Agricultural production is a major source of greenhouse

gases – 13% of all global emissions.

• More than 1/3 of all food in the US is wasted
• 19 % of food in US is discarded or uneaten at home.
• On average, US produce travels 1500 miles before reaching

the plate.

• More than 29 million Americans live in “food deserts”.

Today there is a growing interest in food, food systems, and agriculture.

Why the Growing Interest in Food?

• Growing interest in fresh, local

and healthy.

• Growing interest in green and

sustainable.

• We all eat 3 times a day.
• You can’t eat the Internet.
• Young people prefer experiences

more than stuff.

• Growing, preparing and eating

food can all be social activities

Tre rends in Food & & Re Real al Esta tate

• Incorporating farms and community gardens into

communities is a trend in Residential Development

• 5 fold increase in number of Farmers Markets
• European Style Food Halls are proliferating
• Proliferation of celebrity chefs and concept driven

restaurants

• Malls & mixed use projects replacing apparel with food
• Craft brewing has doubled its market share in last 5 years
• Food Truck Revenue is Growing 12.4% a year
• Grocery Stores changing locations, formats and offerings
• 36% of American households grow vegetables at home

Agrihoods

One of the hottest trends in new home development is incorporating farms into communities

Conservation Development

• Saves land
• Increases value
• Reduces infrastructure
• Preserves rural character

Agrihoods Everywhere

• Agritopa - AZ
• Bucking Horse – CO
• The Cannery - CA
• Harvest – TX
• Kukui’ula – HI
• Prairie Commons – KS
• Sendro – CA
• Serenbe – GA
• Skokomish Farms – WA
• South Village, VT
• Wetrock Farm - NC
• Willowsford - VA

Agrihoods

Prairie Crossing, Grays Lake, IL Serenbe, Fulton County, GA The Cannery, Davis , CA Harvest, Argyle, TX

200801

Agricultural Space Can Add Value

• “As a developer it’s been

humbling to see how such a simple thing and such an inexpensive thing as a small farm can be a development’s most loved amenity.” – Brent Herrington, DMB Associates

Serenbe – Fulton County, GA

• 220 townhouses,

cottages & estate homes

• 25 acre organic farm
• 3 restaurants
• A country inn
• System of interconnecting

trails and pathways

• Abundant green space
• Edible Landscaping

Willowsford Farm – Loudoun County, VA

• 50 varieties of fruits and

vegetables

• Small livestock – laying

chickens and hens for poultry

• Goats for mowing
• Bees for honey & pollination
• Weekly CSA Program
• Market stand – Open 3 days a

week

• Educational programing and

farm events

Agrihoods – Lessons Learned

• Farms are the new golf.
• Farms create an ethos of sustainability & community building.
• Novelty creates interest and energy around projects.
• Open space can be a source of revenue.
• Eases concerns about density in suburbs and rural areas.
• Appeals to buyers seeking something a little more authentic.
• Consumers will pay a premium for access to trails, open space

and protected land, but want assurances that it will be protected in perpetuity.

• Don’t count on residents to do the farming or gardening.

Food Centric Residential Developments

• Multi-family residential or

mixed use communities focused around community gardens, restaurants or a strong food identity.

• These developments tend to be

smaller than Agrihoods and are

• ften redevelopments and/or in

urban settings.

• Community gardens are a

relatively low cost amenity.

Grow Community – Bainbridge Island, WA Eco- Modern Flats – Fayetteville, AR

Arbor House – New York, NY

• Eco-friendly, health promoting

building.

• 124 units of affordable housing
• 10,000 sq.ft. hydroponic rooftop farm
• Food available to residents through a
• CSA. Extra food sold in neighborhood
• Indoor and outdoor fitness areas
• Smoke-free policy
• Low VOC paints/Green Walls
• Accessible stairwell, daylighted, plays

music

ECO Modern Flats – Fayetteville, AR

• Rehab of a 1960’s apartment

complex (93 units)

• Arkansas’s first LEED

certified(Platinum) multi-family complex

• Strict non-smoking policy
• Clean indoor air (non-VOC paints,

ductless, energy efficient, mini- split HVAC

• Community Gardens, roof top

decks, BBQ areas, other social interaction areas Before After

Eco Modern Flats - Results

• Fully leased since completion,

with a waiting list

• Current rents 113% to 140%

above pro-forma estimates

• Rent rates of $1.42 per sq. ft.

exceed market average of .99 per sq. ft.

• Turnover rates 15% below

market average

“Creating community gardens was not just about growing food. It was also about growing community.”

Jeremy Hudson, Specialized Real Estate Group

Increase Access to Healthy Food

Community Garden Osage Cafe Cooking & Nutrition Classes Culinary Institute

Foo Food-Centered Retail il & Mi Mixed Use se

• Large, mixed-use (office,

residential, shopping, theater) projects designed around a range of food and dining offerings.

• Restaurants, markets,

grocery stores, etc. – to enhance amenities, value, place-making.

O Street Market – Washington, DC

Pearl District – San Antonio, TX

The Pear arl District – A A Culinary Destination

• 22 acre site of former Pearl Brewery
• 16 restaurants, 2 breweries, a bakery
• Culinary Institute of America (CIA)
• Twice Weekly Farmers Market

(attracts 5,000 to 7,000 per day)

• Emma Hotel (146 Rooms)
• 432 Multi-family housing units
• Office and Retail
• 2.5 acre park
• Banquet & Meeting Facilities
• Adjacent to River Walk

Pearl District – San Antonio, Texas

Pear arl l Di Distri trict – San Antonio io

Hotel Emma Stables – Wedding & Banquet Facility Neighborhood Park & Apartments Culinary Institute in Former Warehouse

Pear arl l Di Distri trict – San Antonio io

Food Hall in former Bottling Plant Restaurant in former Manager’s House Micro Brewery in Pearl District Restaurant in former Brewery Offices

Outdoor Dining & Urban Vibrancy

• In 1990 Center City Philadelphia

had no sidewalk cafes.

• Today Center City Philadelphia

has 4,400 outdoor café tables.

• Center City is now the fastest

growing zip code in Pennsylvania.

Source: Better Cities & Towns, 2015

Place Making Dividend

People stay longer, come back more often and spend more money in places that attract their affection.

• Urban agriculture is the practice
• f growing, raising or cultivating

food in or around a city or town.

• It can involve urban horticulture,

beekeeping, animal husbandry and other practices.

• It may also involve processing

and distributing food.

Urban Agriculture

Urban an Gar ardens Cropping g Up: Everywhere!

AT&T Baseball Park Urban Garden Urban Farm – Cleveland, OH Urban Garden on Chicago City Hall Detroit has 1500 urban gardens

Ro Roof f Top Farm rms – Me Metr tro DC DC

Rooftop Farm – Downtown Washington Rooftop Farm – Bethesda, MD

Urban an Ag Agriculture: about more than Food

• Community Revitalization
• Jobs
• Environmental Justice
• Fostering Social Interaction
• Helping to solve the food desert problem

Access to Healthy Food

Easy to find in urban neighborhoods Hard to find in many urban neighborhoods

Whole Foods With Rooftop Farm

Farmers Markets

Farmers Markets

Benefits to Farmers

• Sell direct to consumers
• Less transport
• Less handling
• Less refrigeration
• Less time in storage
• Increased profit over selling

to wholesalers or food processors

Benefits to Consumers

• Fresher foods/seasonal foods
• A better variety of foods
• A place to meet neighbors
• Market traffic benefits other

local businesses

• Creates links between urban

and rural population

• Market accepts WIC & SNAP

Fresh and Local

Innovations and Innovators

• Communities, companies and
• rganizations are trying a wide

array of new policies, approaches and concepts to reduce food waste, increase access to healthy food, and improve sustainability.

Gotham Greens, Brooklyn, NY The Food Trust, Philadelphia

Daily Table – Dorchester, MA

• Non-profit supermarket sells

discounted fruits & veggies, inexpensive surplus goods and healthy to go meals.

• Founded by former President
• f Trader Joes
• “Hunger and wasted food are

two problems with one solution.”

Lessons Learned

• Food can catalyze residential and mixed-use projects, especially if it is part of a

larger placemaking strategy.

• Buying and eating food can drive foot traffic and meet a vital community need.
• Farms and gardens are relatively low cost amenities, especially compared to
• ther MPC amenities such as golf courses, spas or clubhouses.
• A market exists for high quality food stores in low and moderate income

neighborhoods.

• Managing food services & restaurants can be risky. Successful projects require

careful curation and management.

• Successful projects often involve partnerships with non-profits, institutions,

chefs, farmers or others.

• When we think about the future of real estate, food and farming can be a

profitable part of the equation.

• Conserve farmland & allocate space to gardening and/or agriculture.
• Create programs or classes on nutrition, cooking, canning, beekeeping, etc.
• Reduce food waste and distance food travels between field and fork.
• Help low income consumers by accepting SNAP benefits, establish pay as you

go food stands, offer job training in culinary arts, etc.

• Provide space for innovative restaurateurs and/or food retail concepts.
• Sponsor events or festivals to celebrate local foods and beverages (beer

festivals, food fests, etc.

• Partner with chefs, restauranteurs, farmers, colleges and/or non-profits.

Opportunities To Incorporate Food into Deve velopment

Thank You!

www.uli.org/health