HARRISON SQUAREIt’s About our FUTURECouncilmen Tim Pape and Sam TalaricoMarch 27, 2007
WHY DOWNTOWN? • WHY A BALLPARK? • WHY HARRISON SQUARE?
WHY DOWNTOWN? …because a vibrant downtown attracts high-paying jobs in the new economy
Fort Wayne’s Challenge • We’re losing ground in the global competition for high-paying jobs • 20 years ago, Fort Wayne’s average per-person income was greater than the national average. • Today, Fort Wayne’s average per-person income is almost 20% below the national average.
We are losing ground: Why?An Economic Paradigm Shift and Fort Wayne is Behind • In the old economy, people moved where jobs were located • In the new economy, jobs follow workers and where they want to live
Attracting Talented Workers Means Attracting High-Paying Jobs • New York Times: Cities compete in hipness battle to attract the young (November 20, 2006) “These cities are fighting for college-educated, 25-34 year-olds, a demographic group increasingly viewed as the key to an economic future. Global and technologically savvy, the ‘young and restless’ are at the most desirable age because their chances of relocating drop precipitously when they turn 35. Cities that do not attract them now will be hurting in a decade. These are people who, demographers say, are likely to choose a location before finding a job. They like downtown living, public transportation and plenty of entertainment options . . . Cities are focusing on talented workers who want a certain lifestyle instead of big employers that have traditionally been interested in tax credits and infrastructure.”
Old Company Has Strategy for the New Paradigm—Minor League Baseball • Dow Chemical – Midland, Michigan • Fortune 500 • No longer attracting talented workers in Midland • Dow began building a new city • Dow Diamond
From Brain Drain to Brain Gain • Councilman Crawford has shown the problems faced when talented, young workers leave our city. • Governor Daniels is battling to retain college graduates and is implementing programs to solve this problem.
Our Citizens Want a Vibrant Downtown • The Fort Wayne Downtown Housing Study found we can support 387 market-rate units downtown each year. • In a recent Grand Wayne Convention Center survey, 83.4% agreed “the community should continue to invest in downtown Fort Wayne.”
A High Quality of Life Means Business Investment • Economic Development studies, economic development experts, and business owners rank quality of life issues as one of the primary factors of where to locate • More important than regulatory and tax environment • Local economic development experts believe Harrison Square is a necessity
HARRISON SQUARE ENDORSEMENTS • Greater Fort Wayne Chamber of Commerce • Fort Wayne-Allen County Economic Development Alliance • Downtown Improvement District • Fort Wayne Economic Development Commission • Young Leaders of Northeast Indiana • Northeast Indiana Regional Marketing Partnership • Building Contractors Association • Building Trades • Embassy Board of Directors • Chancellor Michael Wartell—IPFW • Bob Taylor—Do it Best Corp.
HARRISON SQUARE ENDORSEMENTS • Jim Cook—Chase Bank • Mike Ottenweller—Ottenweller Co. • Tom Current—Current Mechanical • Chuck Surack—Sweetwater Sound • Charlie Mason—Former Parkview Hospital CEO • Scott Glaze—Fort Wayne Metals • Pat Sullivan—Hylant Group • Bob Sallaz—Kitty Hawk Cargo • Mike Packnett – Parkview Hospital CEO
WHY A BALLPARK?…because it works • To stimulate retail and residential development downtown • To attract more people in evening and weekends to downtown
Today’s Minor League Baseball • Projection of at least 300,000 people • Recently built Class A Parks average 320,000 • High: 583,000 • Projection of 200 event days per year • 70 Wizards games • Alternative uses will bring thousands downtown • Single best available attraction to bring hundreds of thousands downtown
Today’s Minor League Baseball • Not your father’s minor league baseball • Remarkable building boom • 120 teams • 49 new parks • 11 more under development • 39 million attended games in 2002 • Most since 1949 • Increase in attendance is reverse trend of MLB • Attendance gains in new ballparks proved to be sustained • Affordable, family oriented • Lower prices than Memorial Stadium
Minor League Ballpark Case StudiesProven Catalysts • Oklahoma City – SBC Bricktown Ballpark • Cost $35 million; 100% city-financed. • Lost bid for United Airlines maintenance facility to Indianapolis. United Airlines told Oklahoma City it had made the best proposal, but it couldn’t foresee any of its employees wanting to live ina place like Oklahoma City. • The ballpark district is now one of the fastest- growing districts in the region, with a number of high-end restaurants, music clubs and office complexes. • First season of new ballpark, the team set an all-time attendance record that was broken again seven years later in 2005. • Goal of downtown revitalization of $350 million of private-sector investment and resulted in $2.5 billion of such investment. • Property values in the district increased 230% since ballpark completed.
Minor League Ballpark Case StudiesProven Catalysts • Dayton • Every game sold out since 2000 opening (9,500 fans) • 30% increase in retail activity on game days. • Relison Company building - $26 million new headquarters across the street from the ballpark, bringing 500 jobs downtown. • $230 million riverfront development project involving residential, retail and entertainment by Mandalay Group. • Indianapolis –Victory Field (1996) • Cost $21 million; public and private financing. • $3 billion of downtown investment followed.
Minor League Ballpark Case StudiesProven Catalysts • Akron – Canal Park (1997) • $35 million; $31 million paid by city. • $90 million invested in downtown since opening. • Two adjacent warehouses redeveloped as Class A office space and mixed-use project. Oldest law firm in Akron relocated there. Three companies relocated headquarters to redeveloped space in downtown, including AES - $33.4 million invested into one million square feet headquarters adding 200 jobs and $700,000 in tax revenue. • Multi-million planned mixed-use development by private investor included IMAX theater, outdoor amphitheater, offices, retail businesses, and housing.
Minor League Ballpark Case StudiesProven Catalysts • Memphis – Auto Zone Park • Downtown population increased 33% since opening in 2000; residential occupancy at 96%. • 385-residential-unit complex located in outfield vista. • Moore Building redeveloped into 220,000 square feet of Class A office space for $20 million. • “The Ballpark District is famous for the revitalization that it spearheaded in Memphis’ urban core. The ballpark succeeded in not only introducing a successful new development of the downtown area, but changed its residents’ perceptions. It brought people back into Memphis’ core who had not visited for 20 years. The Ballpark District acted as a catalyst for further infill and renovations downtown.”
Minor League Ballpark Case StudiesProven Catalysts • Toledo – 5/3 Park • Attendance jumped 44% over attendance at previous non-downtown stadium. • Adjacent to St. Clair Village developed with 108 lofts and retail space. • Seven surrounding buildings offered for private development; six sold. • Redeveloped space included retail, technology office space, meeting space and 40 condos. • Toledo Journal Newspaper leased redeveloped space in surrounding buildings. • 12 new restaurants and clubs.
Minor League Ballpark Case StudiesProven Catalysts • Greensboro – First Verizon Park (2005; AA) • Old stadium averaged 3,000 per game; new stadium 5,900 per game first year and 6,300 per game second year. • $60 million hotel adjacent to park in planning stages • Multi-million mixed-use project of retail and residential • Other uses: high school reunions, company picnics, “Bands in the Stands”, Willie Nelson and other concerts. • Old ballpark (still existing) hosted 200 games in 2006: local college, high school, youth baseball teams.
Minor League Ballpark Case StudiesProven Catalysts • Buffalo – Dunn Tire Park • Projection was for stadium to attract 350,000 fans per year. It has averaged 872,000 since stadium opened in 1988. • Hosted week-long crusade by evangelist Billy Graham, B.B. King concert, Goo Goo Dolls concert and a host site for annual National Chicken Wing Festival. • Ballpark spurred lofts, apartments and retail.
Minor League Ballpark Case StudiesProven Catalysts • Charleston, WV – Appalachian Power Park • Cost $23 million; $5 million from team owner and rest from state and city. • Attendance doubled since opening new park. • Incorporated old building into stadium that will become restaurant and commercial space. • Loft apartments surrounding ballpark in planning stages.
Minor League Ballpark Case StudiesProven Catalysts • Camden – Campbell Field (2001) • $60 million redevelopment of the Nipper Building into 341 residential units. • Tweeter Center convert venue. • New Jersey State Aquarium.
Minor League Ballpark Case StudiesProven Catalysts • Louisville – Louisville Slugger Field • Total investment of $84.5 million in the neighborhood. • 210,000 square feet of new or renovated retail space. • 115 new residential units; 115 new residential units in planning stage.
Minor League Ballpark Case StudiesProven Catalysts • All or majority public-financed minor league stadiums • AT&T Bricktown Ballpark, Oklahoma City – 100% city-financed; $35 million • Grizzly Stadium, Fresno, CA – 100% public-financed; $46 million • Baseball Grounds, Jacksonville, FL – 100% city financed; $31 million • Canal park, Akron, OH – primarily public-financed; $31 million
Minor League Ballpark Case StudiesProven Catalysts • CitiBank Park, Midland, TX – 100% city-financed; $36 million • Whataburger Field, Corpus Christi, TX - 100% city-financed; $27 million through sales tax • 5/3 Field, Dayton, OH - 100% city-financed; $5.5 million from team; $22.7 million • State Mutual Stadium, Rome, GA - 100% public-financed; $15.8 million • Appalachian Power Park, Charleston, WV - $5 million from team; remainder from state and city; $23 million • Spring Hill, AZ – being planned; 100% public financing proposal; $33 million
How Minor League Ballparks Work • New ballparks spark tens of millions of dollars in new retail, residential and entertainment projects. • New ballparks attract record attendance levels. • New ballparks bring creative alternative uses to the facility and community.
WHY HARRISON SQUARE?…because it is an exceptional deal and it is here NOW! • For $14 million of local unrestricted funds, we generate a total immediate investment of $130 million and a total projected investment of $160 million.
SOUTHTOWN *Unrestricted Funds: $9 million* Restricted Funds: $34 million* Private Investment: $34 million* Total Investment: $77 million (including Public Safety Academy)
Public-Private Partnership Catalyzed • Wal-Mart – $20-22 Million, 329 employees • Menards – $8-10 Million, 120 employees • In planning: a. The Residences at Anthony Pointe b. Victoria Acres 23 acres • PRISE program • Southeast Development Strategy
HARRISON SQUARE - Phase I • $50 million marquee hotel • $12 million 60 residential condominiums • $6 million 30,000 sq/ft of retail • $13 million parking garage • $20 million infrastructure and land acq. • $30 million ballpark • $63 million Public/$66 million Private
HARRISON SQUARE - Private Funding • PHASE I • $47 million hotel • $10 million condos • $5 million retail • $5 million ballpark • $67 million • PHASE II and III • $24 million condos, $4 million retail, $2 million land • $30 million • $97 million total private investment
HARRISON SQUARE – Public Funding • Project Generated Revenue • $7 million CRED • $12 million Projected TIF • $19 million • Geographically Restricted Revenue • $7 million Downtown CEDIT Bond • $1 million Light Lease • $22 Jefferson Pointe TIF • $30 million • Unrestricted Revenue • $13 million CEDIT • $1 million Other • $14 million
What wouldn’t have been built without debt financing • City-County Building • Allen County Courthouse • Memorial Coliseum • Memorial Stadium • Headwaters Park • Grand Wayne Center • Lincoln Tower • Jefferson Pointe • Glenbrook Square • Northeast Indiana Innovation Center • IPFW, St. Francis, Ivy Tech, Indiana Tech • Churches • Libraries • Your Home
Harrison Square fits perfectly within our planning • Plan-it Allen! • Goal • Revitalization and redevelopment • Economic Development Goal • Promote downtown revitalization
Plan-it Allen! Guiding Priniciples • Encourage compact, pedestrian-friendly and mixed-use neighborhoods • Mixed-Use = live, work, and play in area without use of automobile • Encourage downtown and commercial centers • Infill development • Gathering places • Open spaces • Parks • Plazas/Squares • Enable walking to activities of daily life
Downtown Blueprint Plus • Design Principles • Re-establish integrity of downtown core • Redevelop large underused tracts of north and southwest downtown into a walkable, urban center of activity • Development of housing opportunities downtown • Public/Private/Civic partnership
Downtown Blueprint Plus • Initiative No. 4 – Relocation of baseball stadium • Evaluate feasibility of mixed-use baseball stadium downtown • Recommendation • Across from Grand Wayne Center, south of Jefferson Blvd. • Strong boost to Harrison Street, food and entertainment facilities there, and residential areas to the west • Develop regulating plan for mixed-use development along Jefferson Blvd.
BaseballPLUS Committee Report • Recommendations • Development of ballpark must be part of larger development with housing and retail • 60 condominiums, 30,000 square feet of retail, marquee hotel, ballpark • Funding strategy that attracts private capital and public financing options • $5 million Wizard owners’ contribution to ballpark • TIF districts, CRED districts, downtown CEDIT bond • Ballpark must be centerpiece of downtown Fort Wayne and regional destination
BaseballPLUS Committee Report • Design of ballpark must facilitate its use as community gathering place • Take advantage of unique opportunities in the selection of the location • Grand Wayne Center • Library • Embassy • Broadway • West Central neighborhood • Urban Core • Do this in close cooperation with new owners of the Wizards