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The Economics of Downtown Revitalization in Florida

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REGISTRATION OPEN:

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REGISTRATION COMING SOON:

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Donovan D. Rypkema, Principal

PlaceEconomics

PlaceEconomics is a Washington, DC-based real

estate and economic development consulting firm

dealing with downtown and neighborhood

commercial district revitalization and the reuse of

historic structures

In 2004 established Heritage Strategies

International for worldwide clients

Has consulted with hundreds of clients

worldwide in feasibility analyses for real estate

development, training in community-based

development, economic revitalization of

downtowns and neighborhood commercial

centers, and the rehabilitation of historic

structures

Teaches a graduate course in preservation

economics at the University of Pennsylvania

Educated at Columbia University,

receiving a Masters of Science

degree in Historic Preservation

Doris Tillman, Manager

Fort Pierce Main Street

Born in Jacksonville, she attended Jacksonville University and graduated from the University of North Florida

In 1991 became Fort Pierce’s second Main Street manager

The accomplishments of the organization have been many:

– Successfully renovated the Historic City Hall

– Built the Manatee Observation and Education Center

– Completed the successful master plan for downtown in 1995

– Restored the Sunrise Theatre.

– Restored the Platts/Backus House.

– Many community events including Taste of the Sea/Sandy Shoes Seafood Festival, Sights and Sounds on Second, Friday Fest, and historic walking and trolley tours.

In 2011 Main Street Fort Pierce won the coveted national Great American Main Street Award

Carol A. Westmoreland, Executive Director

Florida Redevelopment Association

Has worked with city governments and their elected and appointed representatives for over thirty years

Duties working for the Florida League of Cities (FLC) included lobbying for over 18 years at the Florida Capitol

Also administering a contract for management services with the Florida Redevelopment Association (FRA)

Has served as the Executive Director of the FRA since 2000

The Economics of Florida Main Street

Donovan D. Rypkema, Principal PlaceEconomics

The Economics of Downtown Revitalization in Florida

1000 Friends of Florida Webinar December 9, 2015

Donovan Rypkema

PlaceEconomics

Washington, DC

Main Street:

Economic Development in

the context of historic

preservation

Four Points of Main Street

Promotion

Economic

Restructuring Design

Organization

Promotions

Advertising

Image Promotion

Special Events

Festivals

Retail Promotions

Organization

Board of Directors

Program Manager

Fundraising

Communication

Management

Volunteers

Design

Preservation

Education

Architectural

assistance

Public Spaces

Design Review

Economic

Restructuring

Customer surveys

Business retention and

recruitment

Technical assistance

Incentives

Main Street Over the past 30 years in Main Street Communities

$61.7 Billion invested in Physical

Improvements

121,500 Net New Businesses

529,000 Net New Jobs

251,000 Building Rehabilitation &

Construction Projects

Leverage of Public Funds -- $26.52 to $1.00

Does Main Street = Historic Preservation?

Main Street

does NOT

Debate “authenticity”

Worry about

conservation theory

Have doubts about

adaptive reuse

Main Street

DOES

Establish standards for conservation

Attract investment

Restore role of downtown

Make allies for heritage conservation

Not this but also Not this

Thirty Years of Florida Main Street

1985-2015

Prepared for the Florida Division of Historical

Resources

August, 2015

The Program

Since 1985, 96 communities have participated in the Florida Main Street program

0

10

20

30

40

50

60

1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015

# of Active Main Street Programs

• Today 42 communities have active programs

• Currently active programs have been Main Street communities an average of nearly 17 years!

Persistence Pays

Taxpayers Getting Their Money’s Worth

In 2014 Estimated Sale Tax Receipts from Net New Businesses in Main Street Communities was approximately 22 times the budget of the

State Main Street Program

$0

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

$3,000,000

$3,500,000

$4,000,000

PROGRAM COST SALES TAX FROM NET NEW BUSINESSES

CONSERVATIVE ESTIMATE OF STATE SALES TAX FROM NET NEW BUSINESSES – 2014

The Big Numbers

0

5,000

10,000

15,000

20,000

25,000

1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015

Cumulative Net New Jobs

-1000

-500

0

500

1000

1500

2000

2500

2008 2009 2010 2011 2012 2013 2014 2015

Job Gains and Losses – Florida Main Street 2008 – 2015

New Jobs Jobs Lost

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

2008 2009 2010 2011 2012

Jobs Gained to Jobs Lost Ratio

US Florida Main Street

0

1000

2000

3000

4000

5000

6000

7000

8000

1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015

Cumulative Net New Businesses

-200

-100

0

100

200

300

400

500

600

2008 2009 2010 2011 2012 2013 2014 2015

Florida Main Street Business Openings/Closings

Open Close

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

2008 2009 2010 2011 2012

Business Open/Close Ratio

US Florida MS

95.0

96.0

97.0

98.0

99.0

100.0

101.0

102.0

103.0

104.0

105.0

0

200

400

600

800

1000

1200

1400

1600

1800

2000

2007 2008 2009 2010 2011 2012

Flo

rid

a Es

tab

slis

hm

en

ts (

20

07

= 1

00

)

Cu

mu

lati

ve N

et N

ew B

usi

nes

ses

FMS

Business Growth During Recession

FMS Florida

$0

$50,000,000

$100,000,000

$150,000,000

$200,000,000

$250,000,000

$300,000,000

$350,000,000

$400,000,000

$450,000,000

$500,000,000

1985198719891991199319951997199920012003200520072009201120132015

Cumulative Private Investment Rehabilitation

$0

$100,000,000

$200,000,000

$300,000,000

$400,000,000

$500,000,000

$600,000,000

$700,000,000

$800,000,000

$900,000,000

$1,000,000,000

Cumulative Private Investment New Construction

$0

$200,000,000

$400,000,000

$600,000,000

$800,000,000

$1,000,000,000

$1,200,000,000

19

93

19

94

19

95

19

96

19

97

19

98

19

99

20

00

20

01

20

02

20

03

20

04

20

05

20

06

20

07

20

08

20

09

20

10

20

11

20

12

20

13

20

14

20

15

Public Investment

Public Rehabilitation Public New Construction Infrastructure

$469,252,441

$947,165,688

$407,372,852

$639,071,999

$0

$100,000,000

$200,000,000

$300,000,000

$400,000,000

$500,000,000

$600,000,000

$700,000,000

$800,000,000

$900,000,000

$1,000,000,000

PrivateRehabilitation

Private NewConstruction

PublicRehabilitation

Public NewConstruction and

Infrastructure

Nearly $2.5 BILLION in Investment

• Total Private Investment $1,416,418,129

• Total Public Investment $1,046,444,851

Average Annual Construction-Related Jobs

Direct Jobs 748.5 Indirect Jobs 838.6

= 100 Jobs

Direct Jobs

Indirect Jobs

$0

$10,000,000

$20,000,000

$30,000,000

$40,000,000

$50,000,000

$60,000,000

Average Annual Construction-Related Income

1985-2015

The Case Studies

Bloomfield Global Commerce from Small Town Iowa

Apalachicola Diversifying it Economy through Arts, Culture

and History

Year Designated Main Street 2011

Population (2013) 2,200

Cumulative Net New Jobs 65

Cumulative Net New Businesses 14

Cumulative Private Investment $1,420,216

Cumulative Public Investment $4,725,049

We know we need a balanced economy and Main Street is

helping us to develop one.

Fort Pierce

Year Designated Main Street 1988

Population (2013) 43,000

Cumulative Net New Jobs 558

Cumulative Net New Businesses 126

Cumulative Private Investment $50,929,000

Cumulative Public Investment $172,023,522

Main Street hasn’t done everything but we have been the promoter, the cheerleader, the advocate, the nudge!

Long term commitment pays off for this Great American Main Street

Homestead

Year Designated Main Street 1993

Population (2013) 64,000

Cumulative Net New Jobs 112

Cumulative Net New Businesses 16

Cumulative Private Investment $4,480,032

Cumulative Public Investment $23,370,000

Downtown is more vital and connected to the community than ever before

Downtown central to revival

Leesburg

Year Designated Main Street 1994

Population (2013) 20,000

Cumulative Net New Jobs 592

Cumulative Net New Businesses -2

Cumulative Private Investment $23,469,026

Cumulative Public Investment $19,202,008

Main Street became the way to build consensus and political will

Events as Gateway to Economic Development

Monticello

Year Designated Main Street 1997

Population (2013) 2,400

Cumulative Net New Jobs 135

Cumulative Net New Businesses 62

Cumulative Private Investment $10,526,247

Cumulative Public Investment $6,334,813

A Small Town Face to the World

Main Street: Good for Taxpayers

Property Tax

EVERY YEAR the Property Taxes from private sector investment in buildings on

Main Street provide an additional

$12,500,000 to local governments

Sales Tax

Conservatively, the Net New Businesses in Florida Main Street towns provide over $88

million each year in Sales Tax Revenues to the State

66

What has Main Street done for Florida?

Incomes

Value

Public Space

Catalyst

Stewardship

Local Sales Tax

Loan Demand

Incomes

Downtown Revitalization is Happening Worldwide

Donovan Rypkema PlaceEconomics Washington, DC

And it’s happening in Florida Main Street

Communities

Thank you very much

Main Street Fort Pierce

Doris Tillman, Manager Main Street Fort Pierce

Doris Tillman, CMSM

USA TODAY Aug. 2014 Topvaluereviews.net Oct.

2015

#1 Fort Pierce 50 Best Small Town Main Streets from top value reviews

Thumbs up: Downtown Fort Pierce recognized as special by USA Today

In a blistering rain storm hundreds of

citizens came out to discuss changes for

the City of Fort Pierce. The positive results of this study

brought a new downtown library, new streetscape,

private investments and pride back to the

community.

Main Street is currently updating this brochure.

Our event budget every year for Main Street is over $350,000. We put on Friday Fest,

Sights and Sounds on Second Christmas Event, Sandy Shoes/Taste of the Sea Seafood Festival, 4th of July Fireworks, and Ghost Walk.

Events and Activities

Main Street Fort Pierce, Inc. restored so it would not be torn down. Many community events held in the building. Approximately $250,000 in State Preservation grants.

Main Street Fort Pierce, Inc. managed the grant for the City.

The first year MOEC opened 75,000 people went through it’s doors.

A State Grant, City Grant and donations from the community made this project a reality.

The benefits back to the neighborhood are priceless!

Micro Brewery

Franchise Clothing Store

Public/Private Investment

$202,490,522

New Businesses 121

New Jobs

594

Volunteer Hours 44,050 = $651,940

Main Street Projects

$15,000,000.00

Florida’s Community Redevelopment Agencies

Carol Westmoreland, Executive Director Florida Redevelopment Association

SUGGESTIONS FOR SUCCESS

Presented by

Carol Westmoreland

Executive Director

87

Remove slum and blight

Create clean, safe places

Prevent crime

Economic Development

Affordable housing

Streets/other capital improvements

Preserve historic buildings

Retain/recruit business

Parks and recreation

Restore/sustain tax base

88

Only for projects or purposes in Plan (even if statute allows it, it must be in Plan!)

Administrative and overhead expenses

Property acquisition/disposition

Clearance, preparation, relocation

Bonds/Debt

Affordable housing

Landscaping? Yes if in the plan

Signs? Yes if in the plan

Incentives? Yes if in the plan

89

General operating expenses of city/county

Uses not described in Plan

Paying board members

Projects outside of CRA

AGO says CRAs should focus on “brick & mortar” projects, other things ok if

in the plan and the district

90

Governing body (City or County Commission)

Dept. of Financial Services

State Attorney

Florida Commission on Ethics

Joint Legislative Auditing

Committee (JLAC)

Auditor General

91

Education

Vision

Leadership

Plan the work, work the Plan

Passion for partnerships

Community support and trust

Patience/“guts” to stick with it

Wisdom to evolve and

embrace the next opportunity

92

Comprehensive resource for all info CRA

Redevelopment resources other than CRAs

Economic Development resources

News Clips, Before and After, Award Winners

Projects, projects, projects – all online

Compliance and Reporting

Annual Conference Oct 12-14 Orlando

Legal opinions

Best Practices and Tech Asst.

93

City of Stuart Downtown Micro-Transit

Pompano Beach 731 MLK

William Square Downtown Daytona Beach

East Tampa N. 22nd Street Enhancement

Ybor City Business Watch

Gainesville Just a Sidewalk Story

Lake Worth LaJoya Affordable Housing

Parramore Comprehensive Neighborhood Plan

94

Carol Westmoreland, Executive Director

Florida Redevelopment Association

(850) 701-3608

cwestmoreland@flcities.com

95

If you have questions:

Your webinar control panel

includes a “Questions” box

Please click on “+” sign and type

any questions in this box

Please refer to the slide number

and/or speaker when you post

your question

Please keep your questions

succinct!

Staff will ask the presenters

questions, as time permits

This webinar has been approved for:

1.5 AICP CM credits for planners (#9002847)

2 CLE credits for Florida Attorneys (#1507820N)

Please complete the survey in the post-webinar email

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Wednesday, February 10, 2016, noon to 1:30 p.m.

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Wednesday, March 23, 2016, noon to 1:30 p.m.

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