Understanding Your Market for Redevelopment

1. Understanding your Market for Redevelopment
Data Analysis for Downtown Revitalization
Approach and Lessons Learned
NJ Future Redevelopment Forum
March 10, 2017
Tina Lund, AICP
Principal
Urbanomics, Inc.

2. Understanding your Market for Redevelopment NJ Future Redevelopment Forum
PENNVAL ROAD GREEN TECHNOLOGY PARK
Project Approach:
Madison Downtown Revitalization Study
Kickoff and Review of Existing/Ongoing Plans &
Studies
Inventories and Market Analysis: Unmet
Existing and Forecasted Demand
Planning, Zoning, and Development Context
Gateway, Design, Branding and Wayfinding
Draft Recommendations and Final Report
Ongoing: Community and Stakeholder Engagement

3. Understanding your Market for Redevelopment NJ Future Redevelopment Forum
PENNVAL ROAD GREEN TECHNOLOGY PARK
Inventory of Existing Businesses
Inventory and Mapping of Off-street & On-street
Parking Supply and Regulations
Overview of Community and Regional Economy
Estimation of Unmet Existing and Future Demand
Inventories and Market Analysis:
Unmet Existing and Forecasted Demand

4. Understanding your Market for Redevelopment NJ Future Redevelopment Forum
PENNVAL ROAD GREEN TECHNOLOGY PARK
 Define Existing Conditions
 Confirm or Refute Perceptions
 High numbers of vacancies
 Substandard share of retail storefronts
 Identify Opportunities for Improvement
 Unmet demand
 Business Mix
 Real Estate
Purpose of Market Analysis

5. Understanding your Market for Redevelopment NJ Future Redevelopment Forum
PENNVAL ROAD GREEN TECHNOLOGY PARK
Study Area

6. Understanding your Market for Redevelopment NJ Future Redevelopment Forum
PENNVAL ROAD GREEN TECHNOLOGY PARK
 CoStar
 REIS
 Local MLS
and Brokers
 Garden State
MLS
 Keller Williams
Data Sources: Real Estate
Source: CoStar.com Retail Trends

7. Understanding your Market for Redevelopment NJ Future Redevelopment Forum
PENNVAL ROAD GREEN TECHNOLOGY PARK
 US Census
 American Community
Survey
 Longitudinal Employer
Household Dataset
 ESRI Business
Analyst Online
Data Sources:
Demographics and Consumer Expenditures
Source: US Census Bureau’s OnTheMap Longitudinal Employer Household Dataset
Employment Heat Map Madison Borough, 2014

8. Understanding your Market for Redevelopment NJ Future Redevelopment Forum
PENNVAL ROAD GREEN TECHNOLOGY PARK
 Reference USA
 ESRI Business
Analyst Online
 Fieldwork
Data Sources: Retail and Other Business Activity
Source: ESRI Business Analyst, Retail Marketplace data
$50.3
$23.6
$17.9
$17.4
$11.1
$6.7
$4.2
$1.5
$1.5
$0.2
$(1.7)
$(11.6)
$(18.9)
$(50.5)
$(60.0) $(40.0) $(20.0) $- $20.0 $40.0 $60.0
Motor Vehicle & Parts Dealers
Clothing & Clothing Accessories Stores
Restaurants/Other Eating Places
Bldg Materials, Garden Equip. & Supply Stores
Gasoline Stations
Furniture & Home Furnishings Stores
Electronics & Appliance Stores
Miscellaneous Store Retailers
Sporting Goods, Hobby, Book & Music Stores
Special Food Services
Drinking Places - Alcoholic Beverages
Beer, Wine & Liquor Stores
Health & Personal Care Stores
Grocery Stores
$Millions
Surplus/Incoming Leakage/Outgoing

9. Understanding your Market for Redevelopment NJ Future Redevelopment Forum
PENNVAL ROAD GREEN TECHNOLOGY PARK
Data Sources: Business Mix
Source: ESRI Business Analyst, Retail Marketplace data
Downtown
Madison Madison 5-Mile Chatham
Florham
Park Morristown Maplewood
Retail Trade 17.0% 13.8% 12.7% 11.2% 7.7% 8.5% 13.2%
Other Services (except
Public Administration) 13.9% 11.9% 10.0% 13.6% 7.6% 10.1% 15.6%
Professional, Scientific &
Tech Services 10.4% 10.9% 12.5% 12.3% 18.3% 15.5% 10.2%
Finance & Insurance 9.1% 8.0% 8.2% 8.5% 13.9% 9.4% 5.1%
Accommodation & Food
Services 9.1% 7.0% 5.3% 5.3% 3.7% 7.0% 5.9%
Construction 7.8% 8.4% 8.1% 7.6% 5.5% 5.0% 6.7%
Public Administration 6.1% 4.8% 3.6% 2.2% 1.4% 6.6% 1.7%
Health Care & Social
Assistance 5.7% 7.3% 9.9% 8.8% 14.7% 13.3% 10.9%
Administrative & Support &
Waste Management &
Remediation Services 4.8% 6.6% 5.2% 3.1% 5.8% 3.2% 3.5%
Real Estate, Rental &
Leasing 4.3% 4.4% 4.8% 4.8% 4.1% 5.4% 4.0%
Unclassified Establishments 3.0% 3.9% 5.0% 5.7% 4.8% 5.4% 6.1%
Educational Services 2.6% 3.6% 2.9% 5.0% 1.5% 1.9% 4.2%
Transportation &
Warehousing 2.2% 2.2% 2.0% 2.2% 1.5% 2.1% 2.5%
Manufacturing 1.3% 1.4% 2.7% 3.9% 2.5% 1.4% 2.1%
Wholesale Trade 0.9% 1.6% 2.9% 1.8% 3.2% 1.4% 3.5%
Information 0.9% 2.4% 2.1% 1.5% 1.3% 1.9% 2.0%
Arts, Entertainment &
Recreation 0.9% 1.9% 2.0% 2.2% 2.4% 1.8% 2.7%
Management of Companies
& Enterprises 0.0% 0.0% 0.1% 0.2% 0.0% 0.2% 0.1%Source: ESRI Business Analyst Online

10. Understanding your Market for Redevelopment NJ Future Redevelopment Forum
PENNVAL ROAD GREEN TECHNOLOGY PARK
Inventory of Existing Businesses
17.0%
13.9%
10.4%
9.1% 9.1%
7.8%
6.1%
5.7%
4.8%
4.3%
3.0%
2.6%
2.2%
1.3%
0.9% 0.9% 0.9%
18.9%
14.8%
18.0%
7.8%
14.3%
4.5%
0.0%
7.0%
0.8%
1.6%
0.8%
3.3%
0.0%
0.8% 0.8%
1.2%
5.3%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
16.0%
18.0%
20.0% ESRI BAO
FIELD COUNT

11. Understanding your Market for Redevelopment NJ Future Redevelopment Forum
PENNVAL ROAD GREEN TECHNOLOGY PARK
Pros and Cons of Data Free and Pay-Based Sources
 Pros
 Expedient
 Cost Effective
 Universal Basis for Comparison
 Things to Take into Account
 Study Area Alignment
 Sample Size
 Data Lag

12. Understanding your Market for Redevelopment NJ Future Redevelopment Forum
PENNVAL ROAD GREEN TECHNOLOGY PARK
Final Thought
Data analysis is invaluable to
any redevelopment assessment
BUT
do not accept any source
without question—
CHECK YOUR DATA!!