HomeMy WebLinkAbout08/20/95AGENDA
ECONOMIC DEVELOPMENT SUMMIT
Sunday, August 20, 1995 - Council Chambers, City Hall
11:OOam - 5:OOpm
Attendees: HERMOSA BEACH CITY COUNCIL
DOWNTOWN ENHANCEMENT COMMISSION
HERMOSA BEACH CHAMBER OF COMMERCE
VISION HERMOSA
CITY STAFF (3)
PARKS, RECREATION & COMMUNITY RESOURCES COMMISSIONERS (2)
PLANNING COMMISSIONERS (2)
Facilitators: HYETT-PALMA
Purpose: TO COORDINATE AND PRIORITIZE THE ACTIVITIES OF LOCAL
GOVERNMENT AND CIVIC ORGANIZATIONS 1N ORDER TO FURTHER
ENHANCE THE ECONOMIC GROWTH OF THE HERMOSA BEACH
BUSINESS DISTRICT.
11:00 Welcome - Mayor John Bowler
11:05 Self -introductions by attendees
11:15 Introduction of Hyett-Palma - Mayor Bowler
11:20 Brief statement of purpose of each organization and short summary of
progress to date by heads of each representative group.
11:45 Opening statements by Hyett-Palma
12:00 Working Lunch - Slide presentation and discussion
1:00 Visioning Session
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2:00 Discussion of Issues
"To mix or not to mix, that is the question."
A discussion of the pro's and con's of manipulation of market forces.
"Who does what?"
An analysis of current responsibilities, identification of duplication of
efforts, and discussion of solutions.
"Who picks up the tab?"
Identification of each group's current and potential funding sources and its
possible contribution to the group effort.
"A new dynamic or another layer of bureaucracy?"
A discussion regarding the need to form a coordinating body to consolidate
efforts and funding.
"How do we get there from here?"
An outline of tasks required for implementation of resulting ideas.
PUBLIC PARTICIPATION
5:00 Adjourn
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LAYNCNINO TNS ECONOMIC RENAISSANCE Of TODAY•S BUSINESS DISTRICTS
THE ROAD TO SUCCESS:
THE NEW DOWNTOWN REALISM
1600 Prince Street • Suite 110
Alexandria, Virginia 22314
Phone 703 683 5126
Fax 703 836 5887
Today, the field of Downtown revitalization is far from new. Instead, for the
last several decades, Downtown revitalization efforts have been actively pursued
in many communities across the country. What has evolved from these decades
of Downtown efforts is a tried and true ethic for bringing success to declining
Downtowns ... an ethic that dispels old myths and breaks new ground. This ethic
- is known as The New Downtown Realism and is built on the following tenets.
FACT: Downtown Success is Spelled E -C -O -N -O -M -I -C -S
MYTH: If We Build It They will Come
There are many reasons that communities decide to revitalize their ailing
Downtowns. These include increasing the community's pride in Downtown, making
Downtown more appealing to residents and visitors, and improving Downtown's
image. To reach these goals, many communities have implemented Downtown
enhancement programs that were primarily physical in nature -- planting trees and
flowers, renovating facades, improving signs, and installing banners. While it is
important to keep Downtown physically appealing, the bottom line is this: a sick
Downtown cannot be revitalized unless its economy is improved. Or, better yet,
by definition:
A successful Downtown is one whose investors (business
owners, property owners, real estate developers, the local
government, etc.) realize an increasing return on their invest-
ments.
Downtown Robbinsdale, MN, provides an example of the New Downtown
Realism in its Downtown enhancement program. Recently, Mayor Joy Robb and
the City Council spearheaded making Downtown revitalization a priority in their
community. The City's elected officials acted as the catalyst for Downtown's
revitalization by having a comprehensive streetscape project designed and
implemented along Downtown's West Broadway. In April of 1994, the City was
presented with a Merit Award for the project from the Minnesota Chapter of the
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American Society of Landscape Architects. The streetscape project also won
broad approval from the community...in a survey of area residents, 87% of those
who had seen the newly completed improvements found them attractive. But,
Mayor Robb and City Council members knew that streetscape improvements alone
-- a physically -driven approach -- would not revitalize Downtown. Instead, the City
and the Downtown business community worked together to take an economic
approach to Downtown. By completing a Downtown market analysis and a
Downtown business plan -- which is being implemented by The Heart of
Robbinsdale Partnership -- Downtown Robbinsdale is on the road to becoming the
symbol of pride envisioned by the community.
FACT: Spenders Count
MYTH: Special Events will Save Downtown
A major goal of all Downtown enhancement programs is to attract additional
people to Downtown. And, over the years, many communities have tried to
accomplish this by holding numerous special events in Downtown. Special events
are important since they "build community," position Downtown as the community's
gathering place, and invite people to have fun in Downtown. However, typically,
special event attendees do not spend money in Downtown's businesses.
Instead, if Downtown's investors are to become more financially successful,
Downtown must offer things that attract spenders. Spenders that Downtown must
attract include retail shoppers, professional service clients, diners, entertainment
users, and apartment renters. Therefore, a Downtown enhancement program must
include efforts to bring the community -at -large to Downtown for enjoyment AND
efforts that bring spenders to Downtown.
Downtowns that accomplish this have been enhanced as mixed-use areas
with a new definition of "Downtown anchors." A mixed-use Downtown that offers
retail businesses, service businesses, restaurants, entertainment, government
offices, cultural activities, and housing becomes attractive to a variety of spenders.
And, spenders attracted by a particular Downtown use often cross-over to other
uses. In other words, a retail shopper who is attracted to Downtown by its shops,
might also dine in a Downtown restaurant as a part of the shopping trip.
New Downtown anchors -- that attract spenders and make Downtown a
mixed-use area -- include the Children's Discovery Museum in Downtown Augusta,
ME; a community college located in a former department store building in Monroe,
NC; a farmer's market in Overland Park, KS; the University of Michigan Pavilion
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in Flint -- an adaptive use of a festival marketplace; the county courthouse in Elko,
NV; city hall in Anniston, AL; and a unique home furnishings boutique in Alexan-
dria, VA. It is important to remember that small, specialty retail stores often act
as very strong Downtown anchors.
FACT: Downtown Can Successfully Co -Exist with the Giants
MYTH: Downtown Can't Survive in an Age of Malls and Discounters
Many Downtowns across the country -- that had once been in decline -- are
now flourishing economically despite the location of shopping malls and
discounters right in their backyards. These Downtowns did not manage to
accomplish this by competing head-on with the giants or by continuing with
"business as usual." Instead, these Downtowns lived by the adage "adapt or die"
and found ways to successfully co -exist with the giants.
The road to successful co -existence with the giants involves:
First, defining a "niche" for which Downtown can be-
come known;
Second, clustering businesses in order to create that
niche; and
Third, ensuring that the clustered businesses are highly
specialized and offer exceptional customer service --
two things which the giants find it hard to offer spend-
ers.
Examples of distinct niches that have been created in Downtowns by
clustering specialty businesses include: the home furnishings cluster in Old Town
Alexandria, VA; the "fudge cluster" on Mackinac Island; the arts cluster in the
French Quarter of New Orleans; the antiques cluster in Pomona, CA; the entertain-
ment cluster on Santa Monica's Third Street Promenade; the high-fashion cluster
on Chicago's Oak Street; and the French cluster in Old Town Alexandria, VA.
FACT: You Can Create the Downtown You Want
MYTH: We Can't Control the Future
Downtowns whose leaders believe that the future is beyond their control are
surely doomed. In these communities, both business and public sector leaders
take a "wait and see" attitude that puts them forever in a reactionary mode.
In Downtowns where economic decline has been reversed, the prevailing
attitude is "we can and will determine our own fate." In these Downtowns, leaders
identify what is best about their Downtown ... and what must be changed .. .
then go about building on the former as they improve the latter.
In St. Charles, IL, this approach involves building on the Arcada Theater --
a historic movie theater that is drawing 5,000 people to Downtown each week
since its recent renovation. The owner of the theater has leased its first floor
space to businesses that will appeal to movie-goers and the Downtown organiza-
tion is encouraging businesses to cross -advertise with the theater.
In Downtown Tupelo, MS, a bankrupt shopping mall had become a
significant drain on Downtown's image. The City of Tupelo purchased the mall and
converted it into a coliseum/convention center. The Downtown organization has
built on this new asset by aggressively recruiting restaurants and shops that
appeal to day -time spenders as well as to evening coliseum -users.
FACT: The Business Sector and the Public Sector Must
Both Revitalize Downtown
MYTH: The Business Sector is Responsible for Downtown's
Decline/Rebirth
The Public Sector is Responsible for Downtown's
Decline/Rebirth
Both the Downtown business sector and the local government have played
a role in Downtown's decline and both must play a part in Downtown's enhance-
ment -- if it is to be enhanced. Downtowns that have been most successfully
enhanced are those whose business and public leaders:
First, agreed to agree that the "status quo" in Down-
town was not acceptable;
• Second, came together to decide what needed to be
done to enhance Downtown;
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Third, identified those actions to be taken by the busi-
ness sector and those to be taken by the public sector;
and
• Fourth, carried their weight by implementing the agreed
upon actions.
This coming together of the business and public sectors often involves
forming a partnership in which the business sector plays the leading role and the
public sector plays a supporting role. Such Downtown partnerships are in place
in communities of all sizes throughout the U.S., including Peabody, KS (population
1410); Monroe, NC; Traverse City, MI; Millville, NJ; Murfreesboro, TN; Denver, CO;
and Seattle, WA.
FACT: A Revitalized Downtown Benefits the Entire Community
MYTH: Downtown Enhancement Only Benefits a Handful
of Downtown Investors
Often, local government officials think it inappropriate to support a
Downtown enhancement effort since it focuses on only one of the community's
commercial areas. And, business sector leaders often will think it inappropriate (or
impossible) to seek funders from outside of Downtown in order to finance the
Downtown enhancement effort.
The most successfully enhanced Downtowns are those whose local public
officials bravely and visibly support Downtown's enhancement and whose business
leaders make Downtown's enhancement a community -wide priority. This approach
is not only appropriate but is essential because an enhanced Downtown does
indeed benefit the entire community. This fact is demonstrated in the following
examples.
The leaders of Peabody, KS, have been able to use
their revitalized Downtown to attract professionals who
work in Wichita (60 miles away) as new residents.
The executives of "Harry and David" (a fruit and gift
firm of exceptional quality having an international mail
order business) support the revitalization of Downtown
Medford, OR, finding that a revitalized Downtown
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increases their ability to attract and keep high quality
employees.
The North East Nevada Development Authority
(NENDA), a county -wide agency in Elko, is heavily
involved in Downtown Elko's revitalization. NENDA's
primary mission is industrial recruitment. And,
NENDA's leaders know that a vibrant Downtown Elko
-- that stands as a symbol of the County's health and
quality of life -- affects the success of industrial recruit-
ment efforts.
City officials have found that bond rating companies
include the health of Downtown as one criterion they
consider when determining a City's bond rating.
All of these examples lead to the indisputable truth that the health of
Downtown affects the health of the entire community.
FACT: To Succeed, Downtown Needs the Tools that Every Business
Needs
MYTH: We Can Wing It and Still Revive Downtown
Downtown enhancement is economic development. And, Downtown's
economy cannot be strengthened without the necessary business tools described
below.
Vision -- A clear, shared community vision of
Downtown's preferred future must be articulated by
bringing together the business community, the civic
sector, interested residents, and local government.
This vision should be used to guide all decisions and
actions affecting Downtown's future.
Market Analysis -- A clear understanding of existing
market opportunities is an essential economic
development tool that Downtown's competition would
not dream of operating without. To level the playing
field, Downtown must also have this basic tool. And,
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the Downtown effort must be built on solid market
information concerning Downtown's realistic retail,
office, and housing potentials.
Business Plan -- Businesses that operate with a
business plan are more successful than those than
don't ... and the same is true of Downtowns. Based
on the market analysis, a definite, manageable and
action -oriented course of action must be defined for
capturing Downtown's market opportunities and
attaining the community's vision. The business plan
must conclude with an Action Agenda -- or
implementation schedule -- that specifies what will be
done, by whom, and the timeline for completion.
Private -Public Partnership -- A partnership of
business sector, civic sector, residential, and public
sector leaders must be formed. This partnership must
be driven by the private sector and committed to
implementing the Downtown business plan.
Funding -- The partnership must raise a level of funds
which allows the business plan to be implemented in
a timely and quality manner. Funds must come from
a variety of sources in both the private and public
sectors and must be raised community -wide -- and not
raised solely from Downtown interests.
For too long, local leaders have tried to enhance their Downtowns by
"winging it" -- guessing about Downtown's market, implementing projects without
a clear vision of what they were trying to accomplish, accepting an "us against
them" attitude between the business and public sectors, operating the Downtown
program with only enough funding "to live from hand to mouth." The commercial
giants -- shopping malls and discounters -- would never operate in this fashion.
Their economic success has been built on solid business tools. Without these
same tools, Downtown cannot operate on a level playing field and, therefore,
cannot be successfully enhanced.