Incentives to Recruit Businesses and Attract Redevelopment
Download
1 / 39

Retail Market Answers, LLC Wilmington, DE - PowerPoint PPT Presentation


  • 93 Views
  • Uploaded on

Incentives to Recruit Businesses and Attract Redevelopment National Main Streets Conference, Des Moines, 2011 . Rick Ferrell, Retail Market Answers, LLC Diane Laird, Delaware Economic Development Office, Delaware Main Street. Retail Market Answers, LLC Wilmington, DE.

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'Retail Market Answers, LLC Wilmington, DE' - sileas


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript

Incentives to Recruit Businesses and Attract RedevelopmentNational Main Streets Conference, Des Moines, 2011

Rick Ferrell, Retail Market Answers, LLC

Diane Laird, Delaware Economic Development Office, Delaware Main Street

Retail Market Answers, LLC

Wilmington, DE


Proactive business development
Proactive Business Development

  • Welcome and Introductions

  • Your participation

  • Goals

    …Please silence cell phones


Who we are
Who we are…

  • Rick Ferrell

    • Community development:

      • Main Street (DE, NJ, PA, VA, DC, NY)

    • 20 years experience in Mixed-Use Development Experience

      • Arbor Property Trust

      • Compass Retail

      • EQK Partners

      • The Rouse Company

      • Forest City Ratner Companies

      • Staten Island Ferry Management Company

      • Arbor Realty Trust (NYSE; ARB)

  • Diane Laird

    • State Coordinator

      • Downtown Delaware

      • Delaware +Main Street

      • Small Business Outreach

      • 15 towns participating

    • Previously NCIDQ-certified interior designer, NJ


Who we are1
Who we are…

Margie Johnson

CONSULTING to Small to National Retailers and Economic Development:

  • Comprehensive Business Assessment and Development

  • Revitalizing Sales and Marketing

  • Customer Retention and Loyalty Planning

  • Supporting and Re-energizing Management

  • Store Design and Visual Merchandising

    RESEARCH:

  • Primary and Secondary Market Research

  • Focus Group Design and Facilitation

  • Mystery Shopping and Experience Assessments

  • Competitive Analysis


Proactive business development1
Proactive Business Development

What will take with you today: A “context” to think about Incentives

  • What are they?

  • Why do we need them?

  • How are they used to recruit businesses?

  • How are they used to attract redevelopment


Incentives to recruit businesses and attract redevelopment
Incentives to Recruit Businesses and Attract Redevelopment

What is the biggest pre requisite to successfully creating and using utilizing incentives?

Partners!


Incentives to recruit businesses and attract redevelopment1
Incentives to Recruit Businesses and Attract Redevelopment

Who are good incentive creating Partners?

  • Residents and homeowner/tenant organizations

  • Federal, State and Local government officials, both elected and appointed

  • Banks/small business lenders

  • Civic and cultural groups

  • Local private corporations

  • Economic development organizations

  • Chambers of Commerce

  • Regional planning entities

  • Community development organizations

  • Property owners

  • Realtors

  • Police

  • Utility Providers

  • Historic preservation organizations

  • Transportation and parking authorities

  • Colleges and universities


Incentives to recruit businesses and attract redevelopment2
Incentives to Recruit Businesses and Attract Redevelopment

What is an Incentive?

  • A thing that motivates or encourages one to do something: "incentive to conserve".

  • A payment or concession to stimulate greater output or investment: "tax incentives for investing". 


Incentives to recruit businesses and attract redevelopment3
Incentives to Recruit Businesses and Attract Redevelopment

Incentives should Incentivize…What does this mean?


Incentives to recruit businesses and attract redevelopment4
Incentives to Recruit Businesses and Attract Redevelopment

Why do we need Incentives?

  • Competitive Advantage and/or to “level the playing field

  • Provide a Catalyst for Development or Redevelopment

  • Leverage Opportunity

  • To make the Opportunity


Incentives to recruit businesses and attract redevelopment5
Incentives to Recruit Businesses and Attract Redevelopment

Here are some examples of Incentives being utilized by communities throughout the U.S


Incentives to recruit businesses and attract redevelopment6
Incentives to Recruit Businesses and Attract Redevelopment :

Community Development Block Grants (CDBG)



Incentives to recruit businesses and attract redevelopment8
Incentives to Recruit Businesses and Attract Redevelopment

New Market Tax Credits

www.novoco.com



Incentives to recruit businesses and attract redevelopment10
Incentives to Recruit Businesses and Attract Redevelopment

What is a Special Development District?

  • A Special Development District (SDD) is a governmentally created development district in which required infrastructure is funded by the developer and not the municipality through the use of SDD Bonds.

  • SDD’s first emerged in high growth states such as California and Florida and are now enabled for use in all but one state.

  • SDDs are designed as “non-recourse” funding mechanisms for Towns and Counties to work with developers who will bear the cost and responsibility of infrastructure improvements (i.e. water, sewer, parks, roads, etc.) in growth areas and on large projects.

  • SDDs are designed to work best for new development and in sometimes in combination with Tax Increment Financings (TIF’s).


Incentives to recruit businesses and attract redevelopment11
Incentives to Recruit Businesses and Attract Redevelopment

USDA Funding Sources

  • Technical Assistance (Planning and Visioning)

  • Grant Programs

    • Community Facilities

    • Rural Community Development Initiative

    • Rural Business Opportunity Grants

    • Loans

    • Energy Incentives and Programs

      http://www.rurdev.usda.gov


Incentives to recruit businesses and attract redevelopment12
Incentives to Recruit Businesses and Attract Redevelopment

Catalytic Investment Funds (or related new federal or state programs)

  • As part of the 2011 budget, HUD proposes $150 million for the Catalytic Investment Competition Grants program.


Incentives to recruit businesses and attract redevelopment13
Incentives to Recruit Businesses and Attract Redevelopment

Façade Improvement Programs with a co-match (CRA Funded or funding from creative resources like the vacancy ordinance assessment)


Incentives to recruit businesses and attract redevelopment14
Incentives to Recruit Businesses and Attract Redevelopment

Utility Incentives:

Creation of a downtown Power District – pooling consumption for favorable electric utility rates.


Incentives to recruit businesses and attract redevelopment15
Incentives to Recruit Businesses and Attract Redevelopment

Utility Incentives:

Business Incentives Rates/ 13th month “free” etc. for municipalities that provide electric, or


Incentives to recruit businesses and attract redevelopment16
Incentives to Recruit Businesses and Attract Redevelopment

Utility Incentives:

Abating utility deposits


Incentives to recruit businesses and attract redevelopment17
Incentives to Recruit Businesses and Attract Redevelopment

Tax abatement programs to suspend reassessment for a period of time after the improvements are made to the property


Incentives to recruit businesses and attract redevelopment18
Incentives to Recruit Businesses and Attract Redevelopment

Formation of a Business Improvement District


Incentives to recruit businesses and attract redevelopment19
Incentives to Recruit Businesses and Attract Redevelopment

Gap Financing Tools –

  • Aimed at encouraging “upstairs” occupancy in addition to first floor spaces in downtown buildings.

  • Such programs offer financial assistance to developers on projects where market rent will not support the redevelopment costs.


Incentives to recruit businesses and attract redevelopment20
Incentives to Recruit Businesses and Attract Redevelopment

Low interest/ No interest loans

(Town backed loan guarantees for necessary and pre approved new businesses)


Incentives to recruit businesses and attract redevelopment21
Incentives to Recruit Businesses and Attract Redevelopment

  • Community Initiated development (gaining site control of key property and “flipping” to redevelopers that will work in partnership with the downtown)

    • RFQ and RFP tools

    • Developer Agreements



Incentives to recruit businesses and attract redevelopment23
Incentives to Recruit Businesses and Attract Redevelopment

Extended hours of operation for businesses in the downtown


Incentives to recruit businesses and attract redevelopment24
Incentives to Recruit Businesses and Attract Redevelopment

Enact Signage Ordinances that provide for business success and community aesthetics at the same time


Incentives to recruit businesses and attract redevelopment25
Incentives to Recruit Businesses and Attract Redevelopment

Adoption of a Strategic Merchandising Plan for the downtown (to provide a context for growth, value and targeted businesses


Incentives to recruit businesses and attract redevelopment26
Incentives to Recruit Businesses and Attract Redevelopment

What did developers want the most?

A Single Point of Contact to Assist with the Permitting Process and Answer Questions about the Due Diligence Process


Incentives to recruit businesses and attract redevelopment27
Incentives to Recruit Businesses and Attract Redevelopment

And…Good Business Retention is Good Business Recruitment


Incentives to recruit businesses and attract redevelopment28
Incentives to Recruit Businesses and Attract Redevelopment

For Example: SHOP TALK Retention Strategy

Develop retention strategies to include:

  • Design and deliver up to three group workshops/educational opportunities for retail, restaurants, service, and hospitality sectors

  • Facilitate the process of one-on-one comprehensive technical assistance visits with approximately 4-5 merchants

  • Telephone support to selected businesses between on-site visits


Incentives to recruit businesses and attract redevelopment29
Incentives to Recruit Businesses and Attract Redevelopment

For Example: SHOP TALK Retention Strategy

Develop retention strategies continued:

  • Telephone support to selected businesses between on-site visits

  • Supply Director with a comprehensive list of local, regional, and national resources that can be shared with merchants

  • Provide Ongoing Support As Needed





Thanks
THANKS!

Feel free to contact us:

Diane Laird ,[email protected]

Delaware Economic Development Office

302-672-6834

Rick Ferrell, [email protected]

Retail Market Answers, LLC

917-335-1961

Margie Johnson, [email protected]

Shop Talk

757.491.1411


ad