Preliminary Market Analysis of Boulevard Site Richmond, VA City Council Presentation January 14, 2016 April 25, 2016 Preliminary Market Analysis of Boulevard Site
Presentation Purpose • Context, Challenge, Opportunity • Boulevard Preliminary Market and Impact Analysis • Community Meeting & Public Input Sessions • Online Survey Results • Conclusion and Recommendations • Next Steps
Boulevard Site Area 3 Bounded by I- 64’95 To the north, Hermitage Road to the east, West Leigh Street to the South, and North Boulevard to the west 3
Current Urban Development Context & the Boulevard Neighborhood Site • Economic restructuring has taken a toll on many communities in America • Many places search for a recipe for future prosperity • These concerns are heightened by both cultural and demographic trends • Competitive advantages will come to places that can quickly adapt to change • Viewing the challenge through a comprehensive lens is critical
The Challenge • One of the biggest challenges facing cities is how to generate, leverage, and maximize limited resources • Communities are faced with increasing demands on their budgets • Many cities are faced with rebuilding their tax base • Crafting strategies aligned with these values is a key challenge
With Challenge Comes Opportunity • Strong demographic & economic trends are contributing to an investment return to the urban cities • A combination of lifestyle and economic factors are contributing to this direction • Many communities are exploring ways to target investments to urban cities • Understanding the dynamics associated with this opportunity is important for communities seeking to adapt
Preliminary Market and Impact Analysis
Richmond – The New Urban Core 8 The city’s future development will depend on its ability to remain competitive and attractive within a growing region… Hired to: Conduct preliminary economic analysis for future redevelopment on 60 acre City-owned Boulevard site Goals: Maximize the economic potential Position the City to provide the greatest impact for citizens
9 Key Findings The current site has limited economic impact City-owned or publically- subsidized stadium will not have highest economic impact Urban-scale mixed-use development is the most viable option
10 Key Findings for Development on Boulevard Site The site has tremendous economic potential The City is in a strong position to control the potential of this site Transformative Development
Consultant Conclusions 11 Limited Economic Impact (Current) The site has limited economic impact on the City of Richmond The Boulevard site is not reaching full market potential Tripp Umbach’s analysis indicates that the site generates no more than $400,000 (minus expenses and maintenance costs) in annual total tax revenue to the City A City- owned or publically-subsidized stadium will not have the highest economic impact for potential development
Consultant Conclusions Urban Scale Mixed-Use Development Recommendation: Pursue a high-density, urban, mixed-use, development on the 60 acres of the Boulevard property To maximize the potential of the site while supporting unique place making in the Boulevard neighborhood: Mixed Housing Retail/Entertainment Urban flex space Lodging 12
13 Analysis for Market Potential Phased development over a 20-year period • Represents what can be achieved, based on current market needs and future projections of demographic changes *Note – Each time frame denotes cumulative totals
14 Major Economic Potential for Redevelopment Tripp Umbach projects the potential economic impact per acre is projected to be up to 20 times higher than current impact Current Tf1 per acre, Tf1 cumulative Tf2 per year, Tf2 cumulative Tf3 per year, Tf3 cumulative per acre, per year total per acre total per acre total per year Economic $240,000 $1,145,000 $68,700,000 $2,920,000 $175,200,000 $5,655,000 339,300,000 Impact Employment 4.2 jobs 18.7 jobs 1120 jobs 44.5 jobs 2672 jobs 84.8 jobs 5087 jobs Impact Government $6,667 $30,000 $1,800,000 $76,667 $4,600,000 $146,667 $8,800,000 Tax Revenue Impact [1] Tf1 – ‘Timeframe 1’ period from 2015 to 2020 (5 year period) [2] Tf2 – ‘Timeframe 2’ period from 2015 to 2025 (10 year period) [3] Tf3 – ‘Timeframe 3’ period from 2015 to 2035 (20 year period)
Community Meetings & Public Input Sessions What’s the Community Saying?
Overview • Tripp Umbach held a series of six public community engagement meetings located throughout the City of Richmond. • The six (6) community meetings were as follows: • January 19, 2016 – 6 p.m. – Richmond DMV, 2300 West Broad Street • January 20, 2016 – 6 p.m. – Southside Community Center, 4100 Hull Street • February 4, 2016 – 9 a.m. – Downtown Library, 1001 E. Franklin Street • February 4, 2016 – 6 p.m. – Thomas Jefferson High School, 4100 W. Grace Street • February 11, 2016 – 12 p.m. – Huguenot High School Community Center, 7945 Forest Hill Avenue • February 11, 2016 – 6 p.m. – Martin Luther King, Jr. High School, 1000 Mosby Street
Key Takeaways from the Sessions • Support for baseball and the Richmond Flying Squirrels to remain in the Boulevard neighborhood area was a dominating focal point of discussion • The need for accessible and alternative forms of transportation is essential for community residents in the Boulevard neighborhood • A number of constituents see the scope and size of the project to be much larger than just 60 acres • In time, constituents wish to see the entire Boulevard area under one master planning project • Constituents do not want the City to go at redevelopment on its own
Online Survey Results
Overview • Tripp Umbach and the City of Richmond generated an online survey as a means to receive public input beyond the six public engagement meetings • The survey was open to responses beginning February 1, 2016 until February 29, 2016, using a web-based survey development site, SurveyMonkey • The City of Richmond made the survey link available on www.richmondgov.com, as well as provided the survey link in an email to local community associations and development groups and multiple media outlets • The survey collection provided a way to garner feedback from community members on their vision for the Boulevard site
Top Community Issues Identified Schools/ Public Jobs & Sports & Roads & Retail/ Education Safety Economic Entertainment Transportation Services/ Growth Dining In the City of 874 728 640 142 138 145 Richmond, VA In VA, but 374 350 355 93 62 41 outside City of Richmond Outside 9 12 14 1 0 2 Commonwealth of VA Total Responses 1257 1090 1009 236 200 188 (3980) (32%) (27%) (25%) (6%) (5%) (5%)
Survey Results: Who Participated & Thoughts on Development Strategy Development Strategy in Location of Survey Respondents Boulevard Neighborhood • Sports & Entertainment District 82% Outside of Commonwealth of Virginia 1.26% • Midtown Mixed-Use 76% • Research & Science Technology Park 26% Outside of City but in Commmonwealth of 32.53% Virginia • Hotel/Convention Center 19% • Housing Development 17% City of Richmond 66.21% • Corporate Headquarters 16% • Hospital Campus 15% 0.0% 20.0% 40.0% 60.0% 80.0%
Stadium Financing/Renovation Combin Private Raising City By Total ation/O Developer taxes diverting Participants ther current City taxes from other services In the City of 1215 1362 36 52 2665 Richmond, VA In Virginia, but 734 528 11 26 1299 outside City of Richmond Outside of the 19 18 3 0 40 Commonwealth of VA Total 1968 1908 50 78 4004 (49%) (48%) (1%) (2%)
Key Findings • The creation of a sports and entertainment district emerged as the top development strategy through the public engagement process • The City of Richmond is ready for development on the 60-acre site to begin • A development that is unique and transformative to Richmond is wanted on the Boulevard by citizens • The community is in favor of keeping baseball on the Boulevard that is funded privately or via a combination of sources • A recognition of urban and budget challenges facing the City of Richmond
Conclusion and Recommendation • A multi-stakeholder master plan incorporating sports and entertainment is needed for the whole area surrounding the City- owned 60 acre boulevard site to maximize the social and economic impact for the city • Tripp Umbach views the Boulevard site as a prime location for transformative development in the City of Richmond, Virginia • It's the best interest for the City of Richmond to continue pursuing a high-density, mixed-use development on the City- owned 60-acre Boulevard site as a component of the overall master planning process
25 What’s Next? Recommendation to strategically move forward with the redevelopment: Discussions among key stakeholders on working together toward redevelopment Final “Preliminary Market Analysis” Report RFQ Development of Solicitation Process Conceptual Land Use Plan Through More Public Engagement Implementation Plan and RFP
Questions/Comments
Recommend
More recommend
