Downtown Laramie Retail Market Analysis and Consumer Intercept Survey December 2014 Contents ................................................................................................................................... 2 • ............................................................................................ 2 Introduction • ....................................................................................... 2 The Main Street Approach • ............................................................................ 3 Laramie Main Street Alliance • ................................................................................................ 4 Downtown Development Authority • ................................................................................. 8 Main Street Boundaries • .......................................................................................... 8 Building and Business Inventory ............................................................................................................ 9 Consumer Intercept Survey • ...................................................................................................... 9 Baseline Economic Profile • ................................................................................................... 2 Nielsen Market Data ............................................................................................................................... 8 Employment Analysis .............................................................................................................. 14 Retail Analysis .................................................................................................... 17 Retail Leakage Analysis ........................................................................................................................... 37 Building and Business Survey ........................................................................................................ 39 Updating Model ................................................................................................................................... 59 Consumer Intercept Survey Appendices 1 Downtown Laramie Retail Analysis Introduction Laramie Main Street Alliance (LMSA) retained Community Builders, Inc. (CBI), a consulting firm based in Douglas, Wyoming, to conduct a Retail Market Analysis and Consumer Intercept Survey of the Laramie Main Street service area. This project followed an earlier study that had been completed in 2007 - Historic Downtown Laramie Retail Market Analysis. That study had been completed by Business Resource Group, LLC (BRG). The purpose of this study was to give LMSA and the Laramie Downtown Development Authority (DDA) team a better understanding of the current retail, restaurant, and service environment in downtown Laramie while identifying market opportunities and underutilized space. The Main Street Approach "Main Street" is a nationwide approach that works to revitalize historic downtowns. The National Trust for Historic Preservation created the comprehensive preservation-based economic development model in 1977 in reaction to economic decline and threats to traditional architecture in core commercial districts. LMSA is implementing Main Street’s 4-point strategy to revitalize the downtown district, including: • A Promotion Committee (the Downtown Laramie Business Association) that is charged with enhancing the downtown’s unique social, economic, and cultural character through special events and marketing campaigns. • An Organization Committee serves as Main Street’s Human Resources arm, bringing resources (both people and funds) into the program. • The Design Committee works to make visual improvements to downtown facilities through good design compatible with historic features. • The Economic Restructuring Committee, which helps existing businesses expand, also recruits new businesses into the district to revitalize underutilized properties. This committee is responsible for the commissioning of this study. Laramie Main Street Alliance Laramie was selected as a Wyoming Main Street community in January 2005 and became fully accredited in June of that year. In 2014, the Laramie Main Street Program was recognized as the Program of the Year at the annual Preserve Wyoming conference. The mission statement of the LMSA is to "preserve historic Downtown Laramie while enhancing its economic and social vitality." LMSA’s vision statement is as follows: Downtown Laramie will be an attractive, vibrant destination for community residents and visitors. The Downtown will offer ample dining, shopping, living, entertainment, and cultural and educational opportunities while remaining a welcoming, pedestrian-friendly neighborhood. The downtown will reflect the civic, academic, economic, social, and 2 Downtown Laramie Retail Analysis cultural vitality of the entire community while highlighting the historic quality of its traditional architecture and railroad history. LMSA’s Branding Statement: We are Laramie, Wyoming: We are a railroad town. It was here, in 1860’s, the Transcontinental Railroad put us on the map. Nearly overnight, we grew from a tent town to a city of over 2,000. Today, the Union Pacific is our link to the world and we watch the trains that pass through our downtown with the awe of knowing the role we play in connecting this great nation. We are a western town. We are proud of our Cowboy culture where we do what has to be done, we live each day with courage, and we always finish what we start. We look to our surroundings with the respect and wonder that inspired the first settlers: our clear blue skies, our snow capped mountains, and the sweeping plains that surround us. We are a progressive town. It was here that Louisa Ann Swain became the first woman to cast a legal vote in the United States decades before it became a right throughout the country. It is here that people from all cultures and backgrounds still gather to learn, to explore, and to work. We are a college town. We are home to Wyoming’s institutions of higher learning where the young people of the Equality State and places from across the country and the world gather to learn. We are Poke Pride and the welcoming host to the UW family that returns here each year to celebrate the teams in brown and gold. We are all of these things and more. We are a vibrant downtown where sophisticated shops and restaurants mesh comfortably with relaxed places and down home dives. We are an authentic place with deep appreciation of our past and the role we play to this day. We are Laramie, Wyoming: Spirit of the Bold West. Downtown Development Authority The Downtown Development Authority is a City of Laramie board originally created in 1989 that has the following identified goals: • Assist in development and redevelopment of the central business district • Assist in overall planning to restore and/or provide for continuance of a healthy central business district • Prevent/halt deterioration of property values and/or structures within the central business district • Prevent/halt growth of blighted areas in the central business district • Promote health, safety, prosperity, security, and general welfare of inhabitants of the central business district. 3 Downtown Laramie Retail Analysis In 2013 (City of Laramie Resolution No. 2013-29), the DDA and the LMSA were merged into one coordinated entity, with the DDA members joining other members of the Main Street Board to become the Economic Restructuring Committee (one of the four required components of the National Main Street program). Consolidation of the boards was important to streamline operations of both boards and to fulfill the role of the DDA as the economic restructuring entity for the LMSA. Although no plans have been developed to propose a tax, the DDA has the statutory ability to propose a mill levy to help support downtown development. Main Street Boundaries The broader Main Street boundary encompasses both the Downtown Laramie Historic District (listed on the National Register of Historic Places) and the Downtown Development Authority boundaries. Laramie's downtown is a vibrant, active, attractive space, enhanced by the Laramie Mural Project with local artists reflecting Laramie's cultural assets Property owners have the opportunity to opt in or out of the designated Main Street boundaries. This leads to some anomalies and slight Albany County Courthouse - 420 E. Ivinson gerrymandering of the defined area. The general boundaries of the designated 27-block Main Street boundary include the railroad tracks on the West, Clark Street on the North, 4th Street on the East (with some deviation further east to 7th Street along both sides of Ivinson), and Kearney to the South. Clark Street is a natural dividing line on the north with the viaduct that crosses to West Laramie. The Depot building to the south provides a good anchor point at that end. The railroad tracks on the West clearly demarcate Historic Downtown Laramie. The eastern boundaries are a bit more ill-defined as one ventures up Ivinson to 7th but stopping at 4th Street at Custer. Front Street Tavern - 213 S. 1st St. Matthew's Cathedral - 104 S. 4th St. 4 Downtown Laramie Retail Analysis Laramie Downtown District Designated Main Street Boundary The dark blue lines in the map above indicate recent modifications to the downtown district; the light blue lines outline the previous district. This area is shown on the following page by block number for easier reference with the Excel data base that accompanies this report. 5 Downtown Laramie Retail Analysis CBI evaluated the overall size of the district and feels that it fits the vision for Downtown Laramie - it is an attractive, vibrant destination with ample dining, shopping, living, entertainment opportunities. It is pedestrian-friendly and highlights the historic qualities of the community. A couple of general observations about the boundaries: • The blocks north of University (blocks 166, 165, 164, 147, 148 and 149) define the north end of the district. However, these are, for the most part, not typical businesses or historically significant structures. For example, businesses in this area include Wyoming Automotive Company, Subway, Spic n Span Laundry and Travel Inn. LMSA should make efforts to include this area in promotions and activities so as not to further distance this section from the Downtown culture. • Block 187 is Advance Autoparts and Ace Hardware, not typical "downtown" businesses. 6 Downtown Laramie Retail Analysis • Block 178 includes the Laramie Plains Museum on the east. However, the American Legion and Masonic Temple in Block 176 (across from City Hall), are historic structures that could and probably should be brought into the district. Not in District - American Legion - Ivinson and 4th Street - Block 176 In District - Advance Auto Parts - Grand Avenue - Block 187 In District - Travel Inn - Block 148, 3rd and Clark In District - Spic n Span Laundry - 272 North 4th St. In District - Block 178 - Laramie Plains Museum 7 Downtown Laramie Retail Analysis Building and Business Inventory In order to assess potential economic development opportunities, it is important to understand the current business and retail environment in the area, including the desires and preferences of the consumers who shop Downtown Laramie. One of the major tasks of this project included a Building and Business Inventory of the Downtown Laramie area. CBI conducted a survey of the downtown businesses area in order to create a census of properties in the designated area. This written survey complemented the visual survey and records research conducted by CBI representatives. Ninety-nine (99) out of 258 business surveys were returned. Downtown Laramie is a mix of commercial and retail businesses, county and municipal services, churches, nonprofit entities and a high percentage of upper level residential units (perhaps as high as 100 living units in Downtown Laramie). There are at least 258 physically separate businesses within the boundaries. There are also 19 parking lots, both public and private, and fewer than 25 vacant spaces (vacant buildings, vacant lots, or upper levels that are currently not in use). To categorize businesses, CBI uses the North American Industry Classification System (NAICS) to identify industry sectors and sub-sectors. As noted in the Baseline Economic Profile on page 7, there are over 3,000 total employees (full-time, part-time and temporary), within a 0.3 mile radius of the intersection of Grand Avenue and 3rd Street. Consumer Intercept Survey A separate piece of this analysis included a targeted survey of shoppers to evaluate consumer preferences, buying patterns, and general attitudes about shopping in Downtown Laramie. The goal of the consumer intercept survey is to allow for adaptation to a larger retail leakage analysis. The consumer survey could become even more helpful if it were expanded to include shopping patterns in the entire Laramie community. Surveys were conducted at two of the Weekly Farmer's Markets in Downtown Laramie, at the UW Student Union, and online (through Facebook, website, and table tent promotion). A total of 110 in-person surveys were collected (those administered by CBI representatives), and another 305 surveys were completed online, for 415 total consumer surveys. Figure 1Anong's Thai Cuisine and Big Hollow Food Coop - 119 South 1st St. "Escape" Mural at 2nd and Garfield 8 Downtown Laramie Retail Analysis Baseline Economic Profile Nielsen Market Data For this study, CBI is using data provided by The Nielsen Company (formerly known as Claritas), a private market data analysis company. Nielsen gathers data from many official government sources (such as the U.S. Census Bureau and the U.S. Bureau of Labor Statistics) and combines it with internal information and other data sources to which Nielsen has proprietary access. This unique combination of data streams creates a robust profile of any economy. Unfortunately, CBI is unable to replicate the exact downtown district with Nielsen’s reporting system. Instead, CBI has gathered data for all businesses within a small radius (0.3 miles) of the corner of Grand Avenue and Third Street). The downtown area for the Nielsen data is shown on the following map. The Nielsen study area is shown by the red circle, and the downtown district is outlined in light blue. Source: Base map is from The Nielsen Company, altered by CBI. Based on the Nielsen data, there are up to 3,277 employees working at downtown businesses, generating $537.1 in sales in downtown Laramie. It should be noted that the study area (0.3- mile radius) is slightly larger than the downtown district and includes some businesses and employer numbers that are not part of the designated downtown area. The number of employees includes part-time jobs, (so the actual number of worker is lower, since many people have more than one job). These employees, and sales are distributed across many industry sectors, as shown in the table that follows. 9 Downtown Laramie Retail Analysis