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Beginning Garland Business District Market Analysis

City of Spokane

Neighborhood Business Centers Program (NBC)

Development Incentives Department Economic Development Division

Fax: 509-625-6013

City of Spokane Phone: 509-625-6300 Web: www.SpokaneCity.org or www.SpokaneNBC.org

Teri Cameron, Project Manager - NBC

E-mail: tcameron@spokanecity.org Phone: 509-625-6597

Project Grant Funding:

Washington State Department of Community, Trade and Economic Development

Growth Management Services 906 Columbia St. SW

PO Box 42525 Olympia, WA 98504-2525

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Contents

Neighborhood Business Centers 4 Garland at a Glance 6 Zoning and Land Use 8 Employment Profile 12 Parks 12 Media, Churches, Hospitals 13 Lifestyle Segments 14 Next Steps 15 Business and Residential Development Strategies 17 Incentives 24 Appendix 27

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Neighborhood Business Centers Map

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Neighborhood Business Centers

The City of Spokane, Economic Development Division’s Neighborhood Business Centers Program (NBC) is revitalizing Spokane’s historic pedestrian oriented commercial districts by implementing Spokane’s Comprehensive Plan in the “Centers and Corridors” which are identified for focused infill growth. These neighborhood centers add strength and diversity to Spokane's economy by providing space and markets to small businesses. NBC fosters community well being, local character, a sense of place, and prosperity by supporting small businesses, community interests, safety, tourism, and local events within vibrant family oriented neighborhood commercial districts.

These walkable, traditional business centers are a unique destination for the tourist or resident at large and yet they are the neighborhood center and community gathering spot. They offer numerous antiques and antiquity expertise; the usual and the unusual music and expertise on instruments, lessons, and production assistance; the funky and fun gift, jewelry, and book stores along with some of the best coffee houses, bakeries, and local restaurants in the city all nestled among historic buildings, playgrounds, and neighborhood parks.

With the City’s assistance in implementation and grant pursuit, some neighborhoods have leveraged private, community development or federal funds as a match to for the design and construction of specific capital improvement projects. Capital improvements take advantage of the districts’ best assets — such as historic buildings and pedestrian-oriented streets — but physical capital improvements are only part of the story.

An inviting atmosphere created through vibrant pedestrian scale streetscapes, economic vitality, traffic calming, attractive window displays, parking areas, building improvements, street furniture, signs, sidewalks, street lights, and landscaping all conveys a positive visual message about the commercial district and what it has to offer.

Inviting physical spaces and activities also include creating a good business mix, lowering vacancy rates, instilling good maintenance practices in the commercial district, enhancing the physical appearance of the commercial district by rehabilitating historic buildings, encouraging appropriate new construction, developing sensitive design management systems, and good event and promotion programming management which all require long-term planning.

Washington State’s Growth Management Act and the City of Spokane’s Comprehensive Plan both encourage more centralized development that improves residents’ quality of life while it also makes maximum use of the investment the public has already made in existing infrastructure.

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The overall goal in neighborhood business center revitalization, driven by the

City of Spokane Comprehensive Plan, is to increase recognition of the investment opportunities that lie in these traditional neighborhood business centers. Thriving businesses attracts a stable and dynamic residential base and vice versa. Successful businesses also expand their workforce, offering increased employment opportunities within the neighborhoods. All of this is consistent with Spokane’s Comprehensive Plan, which focuses growth into these designated Centers and Corridors in order to reduce transportation impacts and increase residents’ ability to conveniently access the goods and services they need for their daily lives. Thriving business districts mean a thriving local economy.

The City of Spokane Neighborhood Business Centers (NBC) program holds a National Trust for Historic Preservation Main Street ™ http://www.mainstreet.org/ network membership and is currently working towards becoming a Main Street Citywide program. Because of our unique status of not yet being a Citywide Main Street program, we are functioning on two levels. As a Citywide program NBC will be providing the technical assistance and guidance to our business districts that are functioning as Main Street programs who will then be handling the implementation within their districts. Currently, NBC is both implementing projects and providing the technical assistance. Though NBC is a few years away from reaching Main Street’s citywide status, we still follow its Four-Point Approach ™ to revitalization. Currently, we provide organizational and business development training, fund and implement capital improvements, and work with five business districts on promotion.

The Main Street program is the only national economic revitalization program that works everywhere and anywhere. Cities, business associations, chamber of commerce and/or volunteer non-profit organizations anywhere can apply its Four-Point approach (Design, Organization, Promotion and Economic Restructuring) to revitalization. The Economic Restructuring point recommends that revitalization organizations conduct market analysis frequently along with engaging in business development, property development, financial incentives programming, planning and zoning, and monitoring economic performance.

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Garland at a Glance

The Garland business district is nestled between some of the City of Spokane’s most heavily traveled arterials and commercial areas. The Garland Market Analysis trade areas radii of ½ mile and 1 mile were chosen (see Appendix 1). North Division and West Wellesley provide a frame around the northeast portion of the half-mile trade area radius used in capturing the Claritas data. In addition, the Maple/Ash couplet runs north/south three-quarters of a mile west of the trade area center point. When the market area is expanded to the 1-mile radius the southern portion overlaps with the one-mile trade area from a center point on the North Monroe Street Corridor. Anecdotal evidence suggests that the steep hill between the two business districts does not discourage nearby residents from walking between the two. The Garland and North Hill Neighborhood residents also have easy walking access to two of the city’s largest shopping centers which are located within one mile of Garland business district: Shadle Center to the northwest and Northtown Mall to the northeast both serve as regional shopping destinations, where as Shadle Center also has a major grocery outlet and 2 miles directly north of the Garland district is another smaller grocery store.

There are two city parks within one-half mile of the Garland district, and four others in the rest of the one-mile radius. The Garland business district is also within 1-½ miles of a regional serving Medical service at the Holy Family Hospital and its medical campus.

The Garland business district’s commercial roots stem from the 1930s and 1940s. Most of the commercial buildings began as home run businesses that expanded in to storefronts erected on the front of the home as the businesses grew.

It’s the Garland Business Association’s desire to preserve the current character (the function, look and feel) of the district, which is why they have gone on to formalize the structure of their business association and pursue the assistance of City departments (NBC, Planning and Historic Preservation).

Originally, the businesses came together over 20 years ago while working with the City to form one of the City’s first Local Improvement Districts (LIDs) for the streetscape improvement we see there today. These improvements, as all such capital improvements should, have stood the test of time. These physical improvements have helped the district thrive economically and socially overtime. This district offers a higher quality of life experience for the businesses as well as the residents.

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Current Garland Statistics

Number of Businesses 87

Commercial Space (sq ft) 702,860

Number of Housing Units (2000) 7,349

Housing Space (sq ft) 89,057

Businesses/Housing Units .012

A zero vacancy rate 87 businesses (see Business

Inventory in Appendix 3) No available 1st floor retail space 702,860 sq ft commercial space

(see Appendix 5) ½ mile area retail sales of

$44,406,836 annually (see Appendix 2)

Consumer expenditures of $63,927,342 annually

Only two buildings are developed to the maximum Floor Area Ratio allowed (see Appendix 4)

Rents are just now beginning to go up (spaces that rented for $300/month 5 yrs ago are now at $600/month)

The Garland “Center” was chosen as one the first “Centers” to undergo this year’s current neighborhood land use and zoning planning process with the new Neighborhood Planner. NBC and the business association both had a serious concern about the potential of upzoning too much property for the market to support without a substantial increase in population density. So, with the emerging issues grant NBC began its market analysis study while the stakeholders began their neighborhood planning process. NBC has supplied the stakeholders with raw data, assistance and opinions that the stakeholders have used to help guide them in their planning process.

This difference in sales and purchasing power represented an opportunity for a modest expansion of commercial zoning for retail and office land uses. This will allow the offices in the area the opportunity to relocate to newly zoned property as well as the recruitment of new businesses into the area.

A large portion retail store frontage is devoted to office space (as rents continue to increase we should see this change)

The businesses report that they are very busy but the retail and restaurant businesses do not yet feel that they can afford to extend their operating hours into the evening

7,349 housing units and within a 1 mile (see Appendix 2) .012 businesses per housing unit (the business per housing unit ratio is

healthier when it is below 1) (see Appendix 2) Possibly 19 buildings that are eligible for listing as historic properties (see

Appendix 3)

Currently Garland has: (Appendix 2 contains Garland market and demographic summaries)

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Garland is part of the City of Spokane Centers & Corridors comprehensive planning process and concentrates future growth in mixed-use district centers, employment centers, neighborhood centers, and activity corridors. The purpose is to re-focus in these areas and to encourage economic activity through new development and revitalization. The result is to make these targeted areas dynamic, vibrant, and healthy urban centers. Garland district recommended zoning designations:

Residential Multifamily (RMF) is a medium-density residential zone. Housing is characterized by one to four story structures. The major types of development include attached and detached single-family residential, condominiums, apartments, duplexes, townhouses and row houses. The minimum and maximum densities are fifteen and thirty units per acre.

Type 1 (CC1-NC), Pedestrian Emphasis/Auto Accommodating promotes the greatest pedestrian orientation of the center and corridor zones. To accomplish this, some limitations are placed on auto-oriented activities and some types and the allowable size of some uses are controlled.

Office (O) zone is used on small sites in or near residential areas or between residential and commercial areas. It is intended to be a low intensity office zone that allows for small-scale offices in or adjacent to residential neighborhoods. The allowed uses are intended to serve nearby neighborhoods and/or have few detrimental impacts on the neighborhood.

Garland district recommended land use designations:

Office is usually freestanding small office sites and larger sites with two or more buildings located along arterial streets or intersections or as a buffer adjacent to residential areas. Sit-down restaurants and drive-thru or drive-in uses are not allowed.

Commercial includes a wide range of commercial uses. Everything from freestanding business sites or grouped businesses (shopping centers) to heavy commercial uses allowing outdoor sales and warehousing are allowed in this designation.

R 15-30 replaces the Medium Density Residential designation. Allowed density is a minimum of 15 units and a maximum of 30 units per acre. The Medium Density Residential designation is often used as a transitional land use designation between arterial streets or commercial activities and single-family residential areas; small apartments on individual lots and large apartment projects on freestanding sites are allowed.

Zoning and Land Use

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Garland Recommended Land Use Map (see Appendix 4 for larger version)

Garland Recommended Zoning Map (see Appendix 4 for larger version)

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Garland Floor Area Ratio Map (see Appendix 4 for larger version)

Garland Façade Condition Map (see Appendix 4 for larger version)

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So far, the outcome of this neighborhood planning process has been a well informed and very modest increase in the amount of commercial zoning added for both retail and office land uses, along with a slight increase in housing density allowed with the overlaying protection of the “Centers & Corridors” zoning. The CC1 zoning will help the district protect the current walkability while requiring that new development will be built to a higher standard with a zero set back and windows on the main floor helping protect the traditional character of the surrounding buildings.

The stakeholder’s proposed zoning and land use changes along with this market analysis will now be moving to the Planning Commission and then on to Council for final approve.

The new zoning and land use regulations along with this analysis will lay the foundation for the future Action Planning this district will enter into this fall with the NBC program. The district will be looking to create a business retention and recruitment plan, along with district programming, and aligning the flow and function of the district’s pedestrian traffic in the newly zoned areas with the old helping to get it contributing to the economic and social vitality of the district.

This neighborhood and business association have been remarkably busy in evaluating their existing conditions and planning for their future. In addition to working closely with NBC and Planning for the Market Analysis and Neighborhood Planning process they have also been working with our Historic Preservation Office and a hired consultant to do a complete historic survey of all buildings within their business district. Interestingly, this historic inventory is likely to include the only java hut yet inventoried in the state. The district had hoped that they had enough contiguous buildings to qualify as a historic district, but they do not. The inventory has helped them identify historically significant buildings. The next step in the district’s plan is for them to work with those property owners whose buildings where identified as possibly qualifying for historic designation and get the nominations submitted as soon as possible so as to protect them and retain the historic fabric in the district. Plus, the designations will also give them another strategy in district revitalization to pursue by marketing themselves for Historic Tourism.

Informing the Planning Process

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Garland City of

Spokane Spokane County

Agriculture, forestry, mining 0.0% 0.4% 0.8% Construction 2.4% 5.9% 6.3% Manufacturing 3.9% 4.7% 10.4% Wholesale trade 0.8% 4.1% 4.6% Retail trade 14.1% 13.0% 12.7% Transportation, warehousing, utilities 1.5% 3.8% 4.7% Information 1.5% 3.0% 2.3% Finance, insurance, real estate 10.3% 8.7% 7.1% Professional, management, administrative services 17.5% 9.4% 8.5% Educational, health and social services 19.3% 26.4% 23.2% Entertainment, accommodations, food services 7.6% 9.2% 7.8% Other services (except public) 13.6% 6.0% 5.5% Public administration 7.6% 5.3% 4.7% Armed forces 0.2% 0.2% 1.6%

Employment Profile by Industry

Shadle Park, 40 acres at Longfellow

and Ash, Softball / Baseball Fields, Tennis Courts Basketball Courts, Swimming, Wading / Spray Pool, Picnic Tables

Emerson Park, 3.5 acres at Alice and Madison, Softball / Baseball Fields, Basketball Courts, Picnic Tables

Clark, B.A. Park, 9.92 acres at Garland and Division, Softball / Baseball Fields, Horseshoes. Picnic Tables, Shelter or Full Picnic Facilities

Corbin Park, 11.5 acres at Waverly Place and Washington, Softball / Baseball Fields, Tennis Courts, Basketball Courts, Horseshoes, Picnic Tables, located in Corbin Neighborhood Historic District

Franklin Park, 43.5 acres at Queen and Division, Softball / Baseball Fields, Tennis Courts, Basketball Courts, Horseshoes, Soccer/ Football, Picnic Tables, Shelter or Full Picnic Facilities

Source: Census Transportation Planning Package (CTPP2000) data on place-of-work of the U.S. population based on 2000 Census long-form questionnaire responses. These Business Place-of-Work Drill Downs were prepared by the University of Wisconsin-Milwaukee Employment and Training Institute, 2005.

General Information

Garland Area Parks (within 1 mile radius)

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Newspapers/Journals Spokesman Review,

www.spokesmanreview.com Pacific Northwest Inlander,

www.inlander.com Journal of Business,

www.spokanejournal.com

Local Television KSPS (public television channel 7) KAYU (Fox channel 28) KHQ (NBC channel 6) KREM (CBS channel 2) KXLY (ABC channel 4) City Cable 5

Libraries Shadle Public Library at

W. 2111 Wellesley Avenue Places of Worship

Second Church of Christian Scientist, 3915 N Monroe St Fowler United Methodist Church, 3928 N Howard St Monroe Park Gospel Chapel, 4123 N Monroe St Crossroads Christian Ministries, 1113 W Gordon Ave The Church In Spokane, 715 W Cora Ave St Francis of Assisi Church, 1104 W Heroy Ave Trinity Lutheran Church, 4704 N Wall St Kingdom Hall of Jehovah’s Witness, 3903 N Oak St First Free Methodist Church, 1725 W Courtland Ave Sunrise Church of Christ, 4718 N Ash St Lidgerwood Evangelical Church, 228 E Gordon Ave Garland Avenue Alliance Church, 2011 W Garland Ave Our Lady of Guadalupe, 3914 N Lidgerwood St Immanuel Baptist Church, 5109 N Adams St Community of Christ, 4004 N Belt St Jesus Lord Church of The Living God, 1129 W Jackson Ave Seventh Day Adventist, 15 E North Foothills Dr St Andrews Episcopal Church, 2404 N Howard St

Hospitals Holy Family Hospital, 5633 N Lidgerwood St Sacred Heart Medical Center, 101 W 8th Ave Sacred Heart Children's Hospital, 101 W 8th Ave Shriners Hospitals for Children Spokane, 911 W 5th Ave Valley Hospital and Medical Center, 112 E 4th Ave Veterans Affairs Medical Center, 4815 N Assembly St

Strongest AM Radio Stations KGA (1510 AM; The Big Talker) KXLY (920 AM; Talk)

Strongest FM Radio Stations

KAEP (105.7 FM; The Buzzard) KCDA (103.1 FM; The Mix) KDRK (94 FM; Cat Country) KEYF (101.1 FM; Oldies) KHTQ (94.5 FM; Rock) KAGU (88.7 FM; Classical/Jazz) KISC (98.1 FM; Lite Rock KISS) KPBX (91.1 FM, Spokane Public Radio) KKZX (98.9 FM; Classic Rock) KWHK (103.9 FM; Wild) ZZU (92.9 FM; Modern)

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Middleburg Managers arose when empty nesters settled in satellite communities that offered a lower cost of living and more relaxed pace. Today, this segment tends to be middle-class and over 55 years old, with solid managerial jobs and comfortable retirements. In their older homes, they enjoy reading, playing musical instruments, indoor gardening and refinishing furniture.

Lifestyle Segments

Claritas PRIZM NE (New Evolution) defines every household in terms of 66 demographically and behaviorally distinct types, or "segments," to help you learn about their likes, dislikes, lifestyles and purchase behavior. PRIZM divides the U.S. consumer into 14 different groups and 66 different segments. Lifestyle segments related to the Garland area are based on the 99205 zip code. Below are the lifestyle groups and related segments most commonly found in the Garland area.

Mobility Blues are young singles and single parents that are part of the working-class neighborhoods in America's satellite cities. Racially mixed and under 25 years old, these transient Americans tend to have modest lifestyles due to their lower-income blue-collar jobs. Surveys show they excel in going to movies, playing basketball and shooting pool.

With three-quarters of all residents over 65 years old, Hometown

Retired is one of the oldest segments. These racially mixed seniors tend to live in aging homes and typically get by on social security and modest pensions.

The small-city cousins of inner-city districts, Family Thrifts contain

young, ethnically diverse parents who have lots of children and work entry-level service jobs. In these apartment-filled neighborhoods, visitors find the streets jam-packed with babies and toddlers, tricycles and basketball hoops, Daewoos and Hyundais.

Bedrock America consists of young, economically challenged families in

small, isolated towns located throughout the nation's heartland. With modest educations, sprawling families and blue-collar jobs, many of these residents struggle to make ends meet. One quarter live in mobile homes.

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Next Steps

Using the districts’ market analysis Garland, with NBC’s assistance, will embark on creating very specific and individual business development strategies based on recruitment and retention. NBC’s recommendation and assistance will mimic and utilize those of the Nation Main Street Program and the “Keeping Businesses Healthy, Happy and Local: Business Retention and Expansion Primer” guidebook by Ginger Rich at Washington State Department of Community Trade and Economic Development (both Garland and Monroe Market Analysis contain extensive information for building individual development strategies).

Residential

Housing is an essential element in revitalization of downtown [and commercial] districts. Demographic and lifestyle changes are creating new opportunities for specific residential segments and housing categories. This section provides an abbreviated method for assessing general market opportunities using a simple demand and supply analysis for a community. A more focused assessment of downtown [and commercial district] housing opportunities is then discussed. For more information see http://www.uwex.edu/ces/cced/downtowns/dma/index.cfm

Retail Trends and Retailer’s Needs

A typical locally owned small business averages $80/sqft. per year in sales, the national average for retailers is $275/sqft. per year in sales and major national retailers’ average $575/sqft. per year in sales. Small independent retailers make about $7/hour and give up approximately 70% of their market share by being closed in the evenings; 75% of all retail merchandise transactions in the US occur between 4:00 p.m. and 11:00 p.m. and on weekends.

Women consumers do 90% of the shopping in a household and “men hate to shop.” However, “shopping is the new chore” it is no longer a pleasure. Currently, to most consumers time is worth more than money. “Consumers are store loyal” and retailers have “1½ seconds to capture the pedestrians” interest while they are walking by – “banners, pavers, and such distract shoppers the “store displays are the view” and “shoppers travel in a counter clockwise path” while on the street or in the store. However, street furniture and its arrangement are very important, pieces should be fresh and new at least every 8-10yrs. and seating should never be isolated. Studies show that women shoppers will not enter a store if a teenage male who may look slightly threatening is sitting on a bench outside or in front of a store. Parks in the business district, even pocket parks cause shoppers to stop shopping. Therefore, the recommendation is to invest in the storefronts rather than making expensive additions to our streetscapes. It is proven that storefronts are what generate the sales for a store. It is suggested that you let the backs of the buildings remain ugly and put all the money into the façade. Most consumers have no need to shop – most have a 1yr. supply of clothing and sundries on hand. Typically, consumers spend approximately 25% on health care, 13% on food, 32% on housing, 4% on apparel, and 18% of their income on transportation. In the US there is approximately 20 square feet of commercial space per person. Each household supports 8-10 square feet of retail space, office workers support 5 square feet of restaurant space and 4 square feet of retail space and the new trend is that office workers are beginning to support a lot of grocery retail space in the vicinity of their work.

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The most successful places have retail spaces, housing, office and civic spaces with a diverse range of land uses for people of all ages because they help support one another. For example, a post office or mail pick-up located net to a coffee shop brings neighbors into a district and then the coffee shop provides a congregation location. Placemaking is about creating and managing (programming – the use of events and residential outreach) a place that people want to be in collectively and connect with one another.

Retail sales per square foot are their highest where auto traffic is high. Retailers need many cars traveling past their stores, 35,000 cars per day or more (business associations should market the district’s traffic counts). Therefore, commercial spaces need to be pedestrian friendly without reducing the traffic volumes. Bob Gibbs says that if the land use requirements are for retail on the street level then on street parking has to be required for it to be successful. You can charge for on street parking and/or supplement it but do not more it or put it between buildings. For example, studies show that on street parking (1 stall) supports one retailer.

National retail anchors in a downtown or even a neighborhood center are a tremendous benefit. A retail center should work with a developer to attract retailers and in particular their anchors. Developers can leverage thing s a city or district organization cannot. Anchors advertise and bring in the customers that the small independents cannot afford to reach. The consumer demographic is a household with an annual income of $45,000/yr with a high school education who believes JC Penny to be a luxury store and 55% of all households shop at a Wal-Mart weekly. If you have, the right consumer market to draw in a national anchor you can control their appearance. The big name anchors can be very demanding – to the extent that you may have to offer tremendous incentives or even build their building for them. Most major retailers want the district where they locate to require a higher level of development – they do not want to locate in a run down area – they want to be assured that the regulations are in place to prevent shoddy development next door. Cities and business district can require that development be at a zero setback with multiple stories, all glass on the main floor, entrance doors every 30-40 feet. Or, allow small shops to wrap the exterior of the big box but it is recommended that you not try to control the overall size, and, major retailers need to have the room to expand as their business grows.

New mall openings have reached their tipping point. The current retail trends are for open-air Main St. type business centers. Open-air centers in cold climates make more money than closed air malls. Successful retail districts have housing above retail with A and B parts; A = Big box retail and B = small independent retailers, the typical district is a 1,000 – 1,200 foot rectangle with a jog in the street grid. It is a convenience retail center with coffee shops and gathering spaces all arranged on platted small lots of 20-30 foot widths.

Larger retailers need to know that they will have the consumers to support their location decisions Bob Gibbs recently shared this information on how many homes are need in a given area for retail space requirements:

Retail Space and Homes Needed in the Trade Area1 Square Feet of Retail Space Miles (Trade Area) Number of Homes 1,000 ½ 500 15,000 1 1,500 150,000 2-3 5,000 500,000 5-7 30,000 1,000,000 12 100,000

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Business and Residential

Development Strategies

The Main Street Four-Point Approach™ to Commercial District Revitalization

Organization involves getting everyone working toward the same goal and assembling the

appropriate human and financial resources to implement a Main Street revitalization program. A governing board and standing committees make up the fundamental organizational structure of the volunteer-driven program. Volunteers are coordinated and supported by a paid program director as well.

Promotion sells a positive image of the commercial district and encourages consumers and

investors to live, work, shop, play and invest in the Main Street district. By marketing a district's unique characteristics to residents, investors, business owners, and visitors, an effective promotional strategy forges a positive image through advertising, retail promotional activity, special events, and marketing campaigns carried out by local volunteers. These activities improve consumer and investor confidence in the district and encourage commercial activity and investment in the area.

Design means getting Main Street into top physical shape. Capitalizing on its best assets —

such as historic buildings and pedestrian-oriented streets — is just part of the story. An inviting atmosphere, created through attractive window displays, parking areas, building improvements, street furniture, signs, sidewalks, street lights, and landscaping, conveys a positive visual message about the commercial district and what it has to offer. Design activities also include instilling good maintenance practices in the commercial district, enhancing the physical appearance of the commercial district by rehabilitating historic buildings, encouraging appropriate new construction, developing sensitive design management systems, and long-term planning.

Economic Restructuring strengthens a community's existing economic assets while

expanding and diversifying its economic base. The Main Street program helps sharpen the competitiveness of existing business owners and recruits compatible new businesses and new economic uses to build a commercial district that responds to today's consumers' needs. Converting unused or underused commercial space into economically productive property also helps boost the profitability of the district.

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The Main Street Philosophy Eight Principles of Success Comprehensive: No single focus — lavish public improvements, name-brand business

recruitment, or endless promotional events — can revitalize Main Street. For successful, sustainable, long-term revitalization, a comprehensive approach, including activity in each of Main Street's Four Points, is essential.

Incremental: Baby steps come before walking. Successful revitalization programs begin with basic, simple activities that demonstrate that "new things are happening " in the commercial district. As public confidence in the Main Street district grows and participants' understanding of the revitalization process becomes more sophisticated, Main Street is able to tackle increasingly complex problems and more ambitious projects. This incremental change leads to much longer-lasting and dramatic positive change in the Main Street area.

Self-help: No one else will save your Main Street. Local leaders must have the will and desire to mobilize local resources and talent. That means convincing residents and business owners of the rewards they'll reap by investing time and money in Main Street — the heart of their community. Only local leadership can produce long-term success by fostering and demonstrating community involvement and commitment to the revitalization effort.

Partnerships: Both the public and private sectors have a vital interest in the district and must work together to achieve common goals of Main Street's revitalization. Each sector has a role to play and each must understand the other's strengths and limitations in order to forge an effective partnership.

Identifying and capitalizing on existing assets: Business districts must capitalize on the assets that make them unique. Every district has unique qualities like distinctive buildings and human scale that give people a sense of belonging. These local assets must serve as the foundation for all aspects of the revitalization program.

Quality: Emphasize quality in every aspect of the revitalization program. This applies to all elements of the process — from storefront designs to promotional campaigns to educational programs. Shoestring budgets and "cut and paste" efforts reinforce a negative image of the commercial district. Instead, concentrate on quality projects over quantity.

Change: Skeptics turn into believers and attitudes on Main Street will turn around. At first, almost no one believes Main Street can really turn around. Changes in attitude and practice are slow but definite — public support for change will build as the Main Street program grows and consistently meets its goals. Change also means engaging in better business practices, altering ways of thinking, and improving the physical appearance of the commercial district. A carefully planned Main Street program will help shift public perceptions and practices to support and sustain the revitalization process.

Implementation: To succeed, Main Street must show visible results that can only come from completing projects. Frequent, visible changes are a reminder that the revitalization effort is under way and succeeding. Small projects at the beginning of the program pave the way for larger ones as the revitalization effort matures, and that constant revitalization activity creates confidence in the Main Street program and ever-greater levels of participation.

(Source: National Trust for Historic Preservation National Trust Main Street Center program)

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Small Business Development Centers (SBDC) The SBDC mission is to promote economic vitality within Washington communities

by providing expert business advising, demand-driven training, and applied research to existing businesses and entrepreneurs. The Washington SBDC is increasingly recognized as a premier economic development resource for business retention, expansion, and entrepreneurial development. (http://www.wsbdc.org/)

Eastern Washington University Center for Entrepreneurial Activities Provides assistance in writing or rewriting a working business plan. The CEA’s overall mission is to stimulate, promote, and support the systematic practice of innovative entrepreneurial enterprises in the Spokane region as well as in the Inland Northwest. Within the community, the CEA enhances the principles of the “engaged university” in which community service is integral to EWU’s mission. (www.ewu.edu/x8255.xml) Inland Northwest Women’s Business Center (WBC) The mission of the WBC is to be the pathway to creation, evolution and success for women-owned businesses in the Inland Northwest. Partially funded by the US Small Business Administration, the WBC is required to match these funds with community partners through sponsorships and in-kind donations. The WBC offers five core services: Free business counseling for those who have a business idea, who are launching a business, or for those who are established in business and want to tap into the next level of success; ongoing workshops on a variety of different topics for a nominal fee. (www.inwbc.org/) BIZStreet is part of the small business program of the Spokane Regional Chamber of Commerce, and provides business assistance, information, resources and regional contacts. The BIZStreet Resource Center provides a one-stop shop for the curious, the hopeful entrepreneur and the frustrated business owner. (www.bizstreetspokane.com)

NBC Partners and Resources

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Institute for Extended Learning (IEL) The Institute for Extended Learning develops individual potential and enhances economic prosperity of the communities they serve. In collaboration with accredited partners, IEL provides a dynamic and responsive spectrum of education and training programs and services for the benefit of individuals, families, employers and organizations. The IEL uses time tested and innovative educational delivery systems to give students, both urban and rural, access to learning opportunities they otherwise might not have. (http://www.iel.spokane.edu/) Spokane Neighborhood Economic Development Alliance (SNEDA) SNEDA is a neighborhood-based, nonprofit organization that aims to help businesses and nonprofits improve their profitability or sustainability, and create jobs and affordable housing. They do this by connecting businesses and nonprofits to existing resources and providing financing to entrepreneurs and nonprofits that have been unable to access it through traditional means. The ultimate goal is to create new and higher paying jobs that will help revitalize low-income neighborhoods. (http://www.sneda.org/) SCORE “Counselors to America's Small Business' is a national nonprofit association dedicated to entrepreneur education and the formation, growth and success of the nation’s small business. SCORE Spokane provides free and confidential business counseling tailored to meet the needs of your small business and your personal objectives. SCORE Spokane also offers workshops, for a modest fee, for both start-up entrepreneurs and in-business small business owners. (www.scorespokane.org) Terabyte Triangle Your business requires high-speed connectivity and access to all things digital. You don't want to hassle with installing and maintaining a box of silicon and a wall full of wires. You want to plug in, but you don't want to break the bank. If you're looking to relocate your business where power is plentiful, people are friendly, and living is good, look no farther. (http://www.terabytetriangle.com/)

Spokane Neighborhood Action Programs (SNAP) SNAP works for low-income and vulnerable people by providing human services, housing and economic opportunities in a manner, which enhances dignity and by advocating for programs, policies and resources that maximize individual capacities and promote communities. (http://www.snapwa.org/)

Eastern Washington University Urban and Regional Planning Community Service & Applied Research for the Region (http://www.ewu.edu/x10390.xml)

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Washington State’s Business Retention and Expansion (BRE) Program Washington State's BRE Program also strengthens Washington’s economy by encouraging companies to invest in the state through relocation or expansion. The program works with domestic and international companies on all aspects of due diligence support and public-private deal structuring and site locating decisions. The group’s partners include economic development organizations in every community in Washington. The objectives of the MRE Program are to: Establish early warning systems for identifying companies at risk or considering expansion Retain a strong manufacturing and processing base in the state Build local capacity for business retention and expansion services Coordinate state and local business and job retention and expansion activities

For more information: http://www.cted.wa.gov/site/42/default.aspx (Source: Keeping Business Healthy, Happy & Local, Department of Community, Trade and Economic Development)

Grassroots Efforts to Help Keep Businesses Local Small Business Innovation Research: Introduce local companies to new opportunities to turn

their good ideas into new, innovative products. Match-Market Analysis: Identify existing and potential customers and suppliers for incoming

and local companies. Market Research: Identify existing and potential new markets for local and new businesses. Manufacturing Councils or Networks: Help local companies build new business relationships

and provide a forum for exchange of ideas and mutual problem solving. Business Incubation Centers: Provide facilities, business services, and other resources to

start-up ventures and entrepreneurs.

(Source: Keeping Business Healthy, Happy & Local, Department of Community, Trade and Economic Development)

Seven Distinct Area of Emphasis are Suggested for the New Downtown Marketer: 1. Promoting downtown merchants as celebrities 2. Promoting museums and cultural institutions as the new downtown anchors 3. Promoting local history as the context for the experience of the downtown 4. Programming smaller, more frequent events 5. Promoting 24/7 mind-set among all of the downtown stakeholders 6. Creating different criteria for new businesses, e.g., actors in the experience 7. Becoming a concierge: scripting the trip/organizing the trip/creating itineraries for locals and

visitors alike (Source: Making Business Districts Work, International Downtown Association)

“What Mainstreet Can Learn from the Mall” A guided tour with a landscape architect and retailing specialist who believes that shopping malls can offer moribund cities that they desperately need: practical lessons in the psychology of commerce. Atlantic Monthly Article (see Appendix 6)

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Essential Elements of a Good Business Plan for Growing Companies

A business plan should be a work-in-progress. Even successful, growing businesses should maintain a current business plan. Every successful business plan should include something about each of the following areas, since these are what make up the essentials of a good business plan:

Executive Summary: The executive summary is the most important section of your business plan. It provides a concise overview of the entire plan along with a history of your company. This section tells your reader where your company is and where you want to take it. It's the first thing your readers see; therefore it is the thing that will either grab their interest and make them want to keep reading or make them want to put it down and forget about it. More than anything else, this section is important because it tells the reader why you think your business idea will be successful.

Market Analysis: The market analysis section should illustrate your knowledge about the particular industry your business is in. It should also present general highlights and conclusions of any marketing research data you have collected; however, the specific details of your marketing research studies should be moved to the appendix section of your business plan. This section should include: an industry description and outlook, target market information, market test results, lead times, and an evaluation of your competition.

Company Description: Without going into detail, this section should include a high level look at how all of the different elements of your business fit together. The company description section should include information about the nature of your business as well as list the primary factors that you believe will make your business a success.

Organization & Management: This section should include: your company's organizational structure, details about the ownership of your company, profiles of your management team, and the qualifications of your board of directors.

Marketing & Sales Management: Marketing is the process of creating customers, and customers are the lifeblood of your business. In this section, the first thing you want to do is define your marketing strategy. There is no single way to approach a marketing strategy; your strategy should be part of an ongoing self-evaluation process and unique to your company.

Service or Product Line: What are you selling? In this section, describe your service or product, emphasizing the benefits to potential and current customers. Focus on the areas where you have a distinct advantage. Identify the problem in your target market for which your service or product provides a solution.

Funding Request: In this section, you will request the amount of funding you will need to start or expand your business. If necessary, you can include different funding scenarios, such as best and worst-case scenarios, but remember that later, in the financial section, you must be able to back up.

(Source: US Small Business Administration)

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Marketing the shopping experience, or retail marketing, is different from other kinds of marketing that you will do for your downtown because it has a key goal – to attract customers to your retailers and get them to buy something. Factors that should be kept in mind when creating a retail-marketing plan: Overall image or brand of downtown: This will have significant impact on how

you market your retailers. Is your message is intimate and historic then your retail advertising cannot be loud and abrasive.

Non-retail events and activities: If you plan other activities, then retailers can take advantage of the crowds attracted to downtown.

The Retail Marketing Planning Process: Develop a Planning Group: A planning group

should involve retailers. Involving retailers will bring more knowledge and experience to the working group and will help retailers see the big picture and not just what works for their business or area.

Agree to Targets and Objectives: An important first step for a working group is to set clear, measurable objectives for the retail-marketing plan.

Agree to Target Market Segments: Downtown workers, other regular downtown visitors (e.g. universities and colleges), irregular visitors to downtown (local residents who come downtown for entertainment or other facilities), downtown residents, local residents, and regional residents.

Develop Budget Allocations: The overall retail marketing budget should be developed on a yearly basis, which allows planners to allocate the total budget over the most important merchandising periods.

Create the Marketing Calendar: The marketing calendar is a great planning and communications vehicle, because it encapsulates all the activities that are happening in on easy-to-read document. The calendar is also ideal for communications to members and other stakeholders.

Implementation Plan: The planning stage is very important, but good implementation key. It is better to take on fewer projects and do them well than to do many, poorly implemented projects.

Review and Measure Results and Make Warranted Changes: The marketing planning group should meet at least twice a year, but preferably quarterly, to review the results of the promotions.

(Source: Making Business Districts Work, International Downtown Association)

Marketing the Shopping Experience

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Incentives

Housing Development - Housing Finance. The City awards HOME (Home Investment Partnership Program, from HUD) funds as low-interest, deferred loans to for-profit, non-profit, and project sponsors. HOME funds must assist in the acquisition, construction and rehabilitation of low-income rental housing. HOME funds serve as "gap financing" leveraging other sources of financing. Projects awarded HOME funds must agree to tenant rent and income restrictions for a period of affordability. Applicants must also provide social services, management, and tenant selection plans for their project. Applications are accepted twice yearly, usually in February and August. Projects are evaluated, in part, on how they meet the housing needs of Spokane's priority populations: large households (requiring units with 3 or more bedrooms) with incomes at or below 50% AMI and households with incomes at or below 30% AMI and one and two bedroom units affordable to households below 50% AMI which are located in areas designated as Centers and Corridors in the City of Spokane's Comprehensive Plan (see Appendix 7). Projects, which are economically viable without HOME assistance, are given a low priority.

For more information: http://www.spokanecitycd.org/housing/rentalhousing.htm#eligible

Information on other housing finance resources available through the City's Community Development Department: http://www.spokanecitycd.org/housing/index.htm Housing Development -Multi-Family Tax Exemption (MFTE). The City of Spokane 's Multi-Family Tax Exemption (MFTE) program provides for a 10-year property tax exemption on new improvements that create multi-family housing. The program is based on state law (http://apps.leg.wa.gov/RCW/default.aspx?cite=84.14 ) and described in the Spokane Municipal Code (http://www.spokanecity.org/services/documents/smc/?Chapter=08.15 ) A couple key things to remember about this program are:

• "Multi-family" is considered to be a minimum of 4 dwelling units in one building on one parcel.

• The MFTE program is available for properties in designated target areas all over the city, not just in the downtown. The target areas are selected based on criteria designed to support the revitalization of urban centers.

• The developer, builder or property owner must apply for this tax exemption BEFORE they apply for their building permit.

• Before purchasing a specific piece of property, investors should either contact Susanne Croft, Incentives Specialist (625-6967, scroft@spokanecity.org ) or come in to use the public access computers at the 3rd floor Current Planning counter in City Hall to double-check that the parcel is actually in a MFTE target area.

The MFTE target areas are generally focused on Spokane 's urban centers, found in the Central Business District (CBD) and neighborhood business districts, known as Centers and Corridors (see appendix). Other development-oriented incentives are available in Centers and Corridors as well, such as a Floor-Area-Ratio Bonus for creating public amenities, structured parking and affordable housing (allows more building on a parcel than the zoning would otherwise allow), and reduced parking requirements (see Appendix 7).

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Historic- Overview. Owning an individual landmark, or property within an historic district, is both a privilege and a responsibility. Property owners can benefit from generally increased property values; local and Federal tax incentives for rehabilitation, and protection from the threat of destructive planning. In return, owners are responsible for helping to maintain the distinctive characteristics that make an historic building or district unique. In order to assist in this effort, the City of Spokane adopted a local preservation ordinance in November 1981; the County quickly followed suit in January 1982. These ordinances established the Spokane City/County Landmarks Commission - a body of private citizens charged with the preservation and protection of Spokane 's historic architectural and archaeological resources. This is accomplished through the designation of historic properties to the Spokane Register of Historic Places, and subsequent design review of exterior changes. (http://www.historicspokane.org) Business Development - Film Incentive. Motion Picture Competitiveness Program: Businesses who contribute to Washington State 's Motion Picture Competitiveness Program are eligible for a B&O tax credit. This important incentive helps to both strengthen Washington 's economy and enable our film industry to compete with other states that have incentive programs. The program provides the funding for rebates to film production companies that use local talent, goods and services. More information is available. For more information contact Susan Croft (625-6967, scroft@spokanecity.org ). Business Development - Historically Underutilized Business (HUB) Zone. The HUBZone Empowerment Contracting Program stimulates economic development and creates jobs in urban and rural communities by providing Federal-contracting preferences to small businesses. These preferences go to small businesses that obtain HUBZone certification in part by employing staff that live in a HUBZone. The company must also maintain a "principal office" in one of these specially designated areas. For more information contact Susan Croft (625-6967, scroft@spokanecity.org ). Competitive contracts can be awarded with a price evaluation preference. The offer of the HUBZone small business must not be 10 percent higher than the offer of a non-small business. In addition, eligible HUBZone firms can qualify for higher SBA-guaranteed surety bonds on construction and service contract bids. More information can be found at https://eweb1.sba.gov/hubzone/internet/ Property Development- ADA Barrier Removal Tax Deduction & Disabled Access Tax Credit. Businesses can take advantage of two Federal tax incentives available to help cover costs of making access improvements for customers with disabilities:

• A tax credit for small businesses who remove access barriers from their facilities, provide accessible services, or take other steps to improve accessibility for customers with disabilities, and

• A tax deduction for businesses of all sizes that remove access barriers in their facilities or vehicles.

These two incentives can be used together by eligible businesses if the expenditures qualify. These incentives can also be used on mixed-use projects that combine housing with commercial or office space. It's a great way to bring more customers into your business! http://www.ada.gov/taxincent.htm.

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Business Development - Community Empowerment Zone (CEZ). The Spokane Community Empowerment Zone (CEZ) program is designed to stimulate economic development throughout Spokane County by offering special tax incentives to qualified businesses in order to create new business and employment opportunities for low-income populations. For more information contact Susan Croft (625-6967, scroft@spokanecity.org ) A range of B&O tax credits are available to certain types of businesses who locate in and/or employ residents of the Spokane Community Empowerment Zone (CEZ): • Sales & Use Tax Deferral / Exemption • B&O New Job Tax Credit • B&O International Business Tax Credit • B&O Training Tax Credit (http://apps.leg.wa.gov/RCW/default.aspx?cite=82.04.4333) • For more information contact Susan Croft (625-6967, scroft@spokanecity.org ). To qualify for tax incentives, businesses must: 1. Be engaged in Manufacturing, Research & Development or Software Development. 2. Apply for tax credits prior to ground breaking or hiring. 3. Locate or expand within the designated geographic area; and/or 4. Locate in a county having a designated zone and hire employees who are residents of the zone. More information: (http://www.spokaneedc.org/home.php) Property Development- Center and Corridor Incentives. The City of Spokane 's Comprehensive Plan contains a fundamental strategy for Spokane 's physical, economic, and social growth. The plan's “Centers and Corridors” growth strategy directs growth to specific mixed-use centers (neighborhood, district, and employment) and corridors in the City (see Appendix 7). The Central Business District (downtown) is also a center. These areas are intended to:

• Bring employment, shopping, and residential activities into shared locations, • Encourage economic activity through new development and rehabilitation, and • Make Spokane a dynamic and healthy urban center. • Development incentives to encourage growth in center areas include: • Mixed-use and higher density development • Broadest range of housing options • Reduced parking requirements • Increased floor area, building heights, and lot coverage • Reduced setback requirements • Credits for shade trees, and • Lower transportation LOS requirements

Property Development- Tax Increment Financing (TIF). Tax increment financing or community redevelopment financing is a method of redistributing property tax collections within designated areas to finance infrastructure improvements within these designated areas. Tax-Increment Financing is an economic development tool established by the State of Washington. TIF is used to pay for publicly owned streets, sewers, sidewalks, parks, and other improvements.

TIF is considered when local government and a developer define a project with significant public infrastructure requirements that cost more than either party can pay alone. Bonds sold by local government or private financing pay for public improvements, and then a portion of the increased property taxes generated within the district is used to pay back the debt. Seventy-five percent of the increased property taxes is used to repay public infrastructure costs, and 25 percent of the increased value goes to government to pay for public services. Once the debt is paid, all the increased property taxes go to government. More information is available at http://www.spokaneplanning.org/TIF/tif_background_material.htm and http://www.spokaneplanning.org/TIF/tif_further_information.htm

27

Appendix 1

28

Garland Trade Area Map (Source: CLARITAS INC, 2007)

29

Appendix 2

30

Market and Demographic Executive Summary

Garland 1/2 Mile1

Garland 1 Mile2 City of

Spokane Spokane County

United States

2000

Population 4,677 17,695 195,629 417,939281,421,906

Population Growth 2000-2006 -0.83% -1.16% 1.16% 5.53% 5.90%

Average Age 35.51 35.58 36.68 36.35 36.31

Number of Households/Housing Units5 2,018 7,349.00 81,512 163,611105,480,101

Household Growth 2000-2006 -1.98% -2.08% 0.81% 5.71% 6.43%

Average Household Income $ 36,261 $ 37,482 $ 43,604 $ 48,178 $ 56,644

Median Household Income $ 31,450 $ 32,283 $ 32,742 $ 37,784 $ 42,729

Per Capita Income

$ 15,808 $ 15,784 $ 18,499 $ 19,233 $ 21,587

Master's/Professional/Doctorate 6.76% 5.91% 9.20% 8.71% 8.86%

Bachelor's 16.52% 13.51% 16.17% 16.31% 15.54%

Dwelling Units Owner-Occupied 62.0% 65.2% 58.8% 65.5% 66.2%

Total Families Below Poverty Level 149 633 5,342 8,889 6,620,945

*Poverty Rate, Families 12.7% 14.5% 6.6% 5.4% 9.22%

2006 Estimates

Population 4,638 17,489 197,895 441,037298,021,266

Population Growth 2006-2011 -0.37% -0.88% 1.39% 4.39% 4.82%

Average Age 36 36 37.55 37.46 37.19

Number of Households/Housing Units 1,978 7,196 82,169 172,950112,267,302

Household Growth 2006-2011 -1.42% -1.76% 1.03% 4.49% 5.04%

Dwellings 1 Unit Detached 76.40% 81.20% 65.80% 65.90% 60.70%

Average Household Income $ 40,328 $ 42,510 $ 50,225 $ 56,420 $ 65,849

Median Household Income $ 34,939 $ 36,771 $ 37,721 $ 43,789 $ 48,775

Per Capita Income $ 17,232 $ 17,606 $ 21,148 $ 22,495 $ 25,129

Population Employed 47.0% 46.0% 46.0% 47.0% 47.0%

Master's/Professional/Doctorate 7.1% 6.0% 9.2% 8.8% 8.9%

Bachelor's 15.9% 13.4% 16.1% 16.5% 15.7%

Dwelling Units Owner-Occupied 61.6% 65.0% 59.1% 66.1% 66.9%

Number Businesses/Household6 .044 .012 -------- -------- --------

Number Businesses/Per Capita .018 .004 -------- -------- --------

Total Families Below Poverty Level 137 581 5,395 9,251 7,108,962

Poverty Rate, Families3 12.11% 13.73% 6.6% 5.3% 9.28%

Total Retail Sales7 $ 44,406,836 $ 280,093,412 -------- -------- --------

Local Sales Tax Revenue4 $ 932,543 $ 5,881,961 -------- -------- --------

1 Center of radius at corner of Garland and Post; north boundary at Wellesley; south boundary at Euclid; east boundary at Division; west boundary at Jefferson

2 Center of radius at corner of Garland and Post; north boundary at Rowan; south boundary at Montgomery; east boundary at Standard; west boundary at Hemlock

3 Poverty rate = families below poverty level/total family households

4 Based on .21 Local Sales Tax Revenue Rate

5 Housing units referenced on page 7 of market analysis

6 Businesses per household referenced on page 7 of market analysis

7 Total retail sales references on page 7 of market analysis

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Appendix 3

32

Garland Business Inventory

Address Street Business Name

1002 Garland B & T Hair Salon 1004 Garland Fabric Care Laundry 1006 Garland B's Garland Market 1007 Garland Garland Auto Service 1015 Garland Taft, Mackin, Pelc, Hanault & Hancock 1017 Garland 10-17 Hairstyling 1101 Garland Jewelry 1104 Garland Concepts A Hair Salon 1137 Garland Windrose Naturopathic Clinic 3808 Monroe The Graphic Shop 3809 Monroe Houk Chiropractor 3810 Monroe Positive Image Hair Salon 3812 Monroe R. W. Dickerson Management Co, Inc. 3817 Monroe The Engraver 3903 Madison Brown Bag Bistro 3908 Lincoln Inner Ventures 3909 Lincoln US Bank 3911 Monroe Northwest Organ Service 3913 Post Simply Divine 3915 Monroe Christian Science Reading Room 3916 Lincoln Quams Watch Center 3917 Post Parkside Properties & Finance 3918 Post Woodland Home Lending 3919 Monroe Bassett & Brush Design 3925 Monroe Carburetor Specialties 3925 Monroe Duanes Automotive Plus 3925 Monroe Orcoe's Coffee & Espresso 3928 Post Blue Heron Candle Company 3928 Madison Eric's Auto Repair 521 Garland Garland Vision Source 600 Garland Beadniks 602 Garland Yoga Motion 603 Garland Sew Ez Too 604 Garland Munchies Rockpile Custom Jewelry 606 Garland Jo's Place 608 Garland Gentle Touch Chiropractor 611 Garland Sicilia Chiropractor 612 Garland Estudio Felisa Arte 614 Garland Porters 623 Garland Garland Animal Hospital 624 Garland Just Impression 626 Garland A & D Scrubwear & Uniforms 628 Garland Top Nails 633 Garland Sneeky Petes 634 Garland Tijuana Tan 635 Garland Bead Addicts Attic 641 Garland Red Line Coins

33

643 Garland Discount Smoke 713 Garland Celebrations

718 Garland Spokanite Cleaners 719 Garland Abe's Baby Bumpers Beds-n-Britches 719 Garland Masterpiece Memories 726 Garland Doma Coffee 727 Garland Graphic Results 727 Garland Quinn Group Advertising & Marketing 733 Garland Priced Rite Foods 802 Garland The Milk Bottle 804 Garland Fergusons Café 805 Garland Discovery Shop 808 Garland Brown Derby Tavern 809 Garland Ruby Slipper 811 Garland Tinman Artworks LLC 815 Garland Blue Door Theatre 816 Garland De La Torre Insurance 817 Garland Interiors by Robin 818 Garland Violin Works 820 Garland Sweet by Design 822 Garland Clock House 822 Garland Quon Nguyen 823 Garland Lacomka Cakes & Sweets 825 Garland Tiger Tattoo 828 Garland Lorraine Fine Jewelry 833 Garland Garland Printing 901 Garland Cole Music Company 903 Garland The Rocket Bakery 903.5 Garland The Porch 905 Garland Destiny Floral 907 Garland Book Traders 909 Garland Accurate Insurance Inc 910 Garland John Cooney & Associates 911 Garland The Frame Shoppe on Garland 913 Garland Elegant Peasant 918 Garland Mark's Guitar Shop 920a Garland Learn to Burn School of Music 921 Garland Rick's Ringside Pub 922, 924 Garland Garland Theatre 927 Garland Kim’s Teriyaki

Note: The italicized/bold businesses retain sufficient integrity for listing on the National Register of Historic Places as determined by the Garland Business District Historic Property Inventory (June 2007)

Buildings Included in the Historic Inventory, Not on Business Inventory 706 Garland Masonic Temple 610 Garland Garland Apartments 520 Garland Sorenson House 516 Garland Sorenson House 2

34

Appendix 4

35

36

Land Use

37

38

Criteria for Determining Facade Condition

Excellent: no evident need for repair Good: tidy and no major repairs required Fair: some peeling, cracking, and stains, but nothing that requires immediate attention Poor: abundant peeling, cracking, stains, and/or missing mortar from blocks, requires repairs Failing: missing siding, chunks of stucco missing, and buckling walls, immediate repairs required

39

Appendix 5

40

Garland Building Inventory Summary

TOTAL # Buildings 137

TOTAL # Businesses 87

TOTAL Business Sq Ft 702,860

TOTAL Housing Sq Ft 89,057

TOTAL Unknown/No Report Sq Ft 163,303

TOTAL Zoning Sq Ft (Business + Housing + Vacant) 791,917

Vacant Residential Units

1 Floor 4

2 Floors 2

Total 6

Total Sq Ft 56,876

Vacancy Rate 4.38%

Number of Floors

1 Floor 117

2 Floors 18

3 Floors 2

Total 137

41

Appendix 6

42

43

44

45

46

47

48

49

50

51

Appendix 7

52

53

54

Appendix 8

55

Garland 1/2 Mile RMP3 Opportunity Gap - Retail Stores 2006

NAICS Industry Title Method 1 Trade Area Sq. Foot Demand1

Method II Trade AreaSq. Foot Demand2

Difference Between Methods

4413 Automotive Parts/Accessories/Tires Stores 6,875 3,278 3,597 44211 Furniture Stores 1,989 2,996 (1,007) 44229 Other Home Furnishing Stores 2,488 2,388 100 44311 Appliance, Television, and Other Electronics Stores 1,658 2,866 (1,208) 44312 Computer and Software Stores 165 468 (303) 44313 Camera and Photographic Supplies Stores 102 151 (49) 4441 Building Material and Supplies Dealers 25,181 11,082 14,099 4442 Lawn and Garden Equipment and Supplies Stores 1,521 1,975 (454) 4451 Grocery Stores 20,449 16,514 3,935 4452 Baked Goods Stores 716 47 669 44531 Beer, Wine, and Liquor Stores (3,911) 47 (3,958) 44611 Pharmacies and drug stores 7,169 1,283 5,886 44612 Cosmetics, Beauty Supplies, and Perfume Stores (168) 5,826 (5,995) 44613 Optical Goods Stores 280 774 (494) 44619 Other Health and Personal Care Stores 185 265 (80) 44711 Gasoline Stations with Convenience Stores (294) 352 (646) 44811 Men's Clothing Stores 520 1,686 (1,167) 44812 Women's Clothing Stores (1,164) 1,550 (2,714) 44813 Children's and Infants' Clothing Stores 43 3,059 (3,016) 44814 Family Clothing Stores 3,565 963 2,603 44815 Clothing Accessories Stores (355) 2,495 (2,850) 44819 Other Clothing Stores (2,894) 123 (3,017) 44821 Shoe Stores 1,494 395 1,099 44831 Jewelry Stores (11,531) 1,699 (13,229) 44832 Luggage and Leather Goods Stores 62 592 (530) 45111 Sporting Goods Stores 1,052 74 978 45112 Hobby, Toy, and Game Stores 992 1,746 (754) 45113 Sewing, Needlework, and Piece Goods Stores (6,549) 1,482 (8,032) 45114 Musical Instrument and Supplies Stores (3,424) 743 (4,167) 45121 Book Stores and News Dealers (33,156) 285 (33,441) 45122 Prerecorded Tape, Compact Disc, and Record Stores 658 1,222 (564) 45311 Florists 468 756 (288) 45321 Office Supplies and Stationery Stores (8,018) 319 (8,337) 45322 Gift, Novelty, and Souvenir Stores 396 1,331 (935) 45331 Used Merchandise Stores (1,434) 904 (2,338)

1 Method 1: 2007 CLARITAS INC. Claritas' RMP data is derived from two major sources of information. The demand data is derived from the Consumer Expenditure Survey (CE Survey), which is fielded by the U.S. Bureau of Labor Statistics (BLS). The supply data is derived from the Census of Retail Trade (CRT), which is made available by the U.S. Census.

2 Method 2: Board of Regents of the University of Wisconsin System, d/b/a Division of Cooperative Extension of the University of Wisconsin-Extension. Sales per square foot data are available from the publication Dollars and Cents of Shopping Centers, 2002, Urban Land Institute, Washington, DC. The assumptions can be over-written using more relevant local data. 3 RMP = Retail Market Power

56

Garland 1 Mile RMP3 Opportunity Gap - Retail Stores 2006

NAICS Industry Title Method 1 Trade Area Sq. Foot Demand1

Method II Trade Area Sq. Foot Demand2

Difference Between Methods

4413 Automotive Parts/Accessories/Tires Stores (17,976) 12,629 (30,605) 4421

1 Furniture Stores (10,352) 11,544 (21,897) 4422

9 Other Home Furnishing Stores (2,165) 9,201 (11,366) 4431

1 Appliance, Television, and Other Electronics Stores 1,615 11,043 (9,428) 4431

2 Computer and Software Stores 1,050 1,802 (752) 4431

3 Camera and Photographic Supplies Stores (36) 581 (618) 4441 Building Material and Supplies Dealers 76,107 42,696 33,411 4442 Lawn and Garden Equipment and Supplies Stores 3,077 7,610 (4,534) 4451 Grocery Stores (7,027) 63,621 (70,648) 4452 Baked Goods Stores 1,734 179 1,555 4453

1 Beer, Wine, and Liquor Stores (3,972) 4,943 (8,916) 4461

1 Pharmacies and drug stores 15,072 22,447 (7,375) 4461

2 Cosmetics, Beauty Supplies, and Perfume Stores 307 2,982 (2,675) 4461

3 Optical Goods Stores (281) 1,021 (1,302) 4461

9 Other Health and Personal Care Stores (2,301) 1,356 (3,656) 4471

1 Gasoline Stations with Convenience Stores 2,837 6,497 (3,659) 4481

1 Men's Clothing Stores 444 5,973 (5,530) 4481

2 Women's Clothing Stores (1,794) 11,786 (13,579) 4481

3 Children's and Infants' Clothing Stores (842) 3,709 (4,550) 4481

4 Family Clothing Stores (1,293) 9,614 (10,907) 4481

5 Clothing Accessories Stores (496) 474 (970) 4481

9 Other Clothing Stores (7,897) 1,522 (9,418) 4482

1 Shoe Stores 5,862 6,544 (682) 4483

1 Jewelry Stores (14,345) 2,280 (16,625) 4483

2 Luggage and Leather Goods Stores (3,795) 287 (4,082) 4511

1 Sporting Goods Stores 2,012 6,726 (4,714) 4511

2 Hobby, Toy, and Game Stores (1,131) 5,711 (6,842) 4511

3 Sewing, Needlework, and Piece Goods Stores (5,079) 2,863 (7,942) 4511

4 Musical Instrument and Supplies Stores (4,557) 1,096 (5,653) 4512 Book Stores and News Dealers (34,444) 4,709 (39,152)

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1 4512

2 Prerecorded Tape, Compact Disc, and Record Stores (1,071) 2,912 (3,983) 4531

1 Florists 1,579 1,228 351 4532

1 Office Supplies and Stationery Stores (15,174) 5,128 (20,302) 4532

2 Gift, Novelty, and Souvenir Stores 1,147 3,482 (2,335) 4533

1 Used Merchandise Stores (6,087) 3,315 (9,403) 1 Method 1: 2007 CLARITAS INC. Claritas' RMP data is derived from two major sources of information. The demand data is derived from the Consumer Expenditure Survey (CE Survey), which is fielded by the U.S. Bureau of Labor Statistics (BLS). The supply data is derived from the Census of Retail Trade (CRT), which is made available by the U.S. Census.

2 Method 2: Board of Regents of the University of Wisconsin System, d/b/a Division of Cooperative Extension of the University of Wisconsin-Extension. Sales per square foot data are available from the publication Dollars and Cents of Shopping Centers, 2002, Urban Land Institute, Washington, DC. The assumptions can be over-written using more relevant local data.

3 RMP = Retail Market Power

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How to use data sets together Estimates of Retail Sales per Square Foot GLA The data in the following table on the estimates of retail sales per square foot should be used in conjunction with the results of the demand calculator (see Garland and Monroe when the district is putting together its recruitment strategies, this data will help decision makers decide if the suggested square footage results will be a viable enough business. For example, the demand calculator results may show that there is only a demand for 100 more square feet of a particular business sector, intuitively we know that 100sq feet of any one business type should not be used to recruit a new retailer but rather maybe someone could expand a product line to fill the demand. However, the analysis and recommendations becomes less intuitive if the demand calculator results are for say 1,000sqft. of a particular sector. Then we would need to use consumer surveying and the information below to help determine if that sector could be a viable addition to the district before we develop recruitment plan. For example, we would take the 1,000sqft. result and multiply it with the dollars in the Average* column below for that specific business sector: 1,000 X $159.81 (Automotive) = $159,810 in annual sales. Automotive parts may or may not turn out to be viable in that space. More research would also need to be done to compare automotive store sizes with one another.

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Average of US Neighborhood, Community and Regional Shopping Centers Based on the 2002 Dollars and Cents of Shopping Centers, Urban Land Institute

NAICS Description Average* ULI Descriptions/Notes

44131 Automotive parts and accessories stores $ 159.81 Automotive (TBA)

44211 Furniture stores $ 214.31 Furniture

44221 Floor covering stores $ 281.47 Floor Coverings

44229 Other home furnishing stores $ 230.14 Home Accessories

44311 Appliance, television, and other electronics stores $ 366.22 Electronics-General

44312 Computer and software stores $ 495.02 Computer/Computer Software

44313 Camera and photographic supplies stores $ 397.25 Cameras

4441 Building material and supplies dealers $ 228.43 Home Improvements and Hardware

4442 Lawn and Garden Equipment and Supplies Stores $ 228.43 **

4451 Grocery Stores $ 353.55 Supermarket

445291 Baked goods stores $ 336.38 Bakery

445292 Confectionery and nut stores $ 320.05 Candy and Nuts

44531 Beer, wine, and liquor stores $ 265.88 Liquor/Wine

44611 Pharmacies and drug stores $ 352.43 Drugstore/Pharmacy

44612 Cosmetics, beauty supplies, and perfume stores $ 331.42 Cosmetics/Beauty Supplies

44613 Optical goods stores $ 353.61 Eyeglasses-Optician

44619 Other health and personal care stores $ 353.55 **

44711 Gasoline stations with convenience stores $ 1,221.82 Service Station

44811 Men's clothing stores $ 229.07 Men's Wear

44812 Women's clothing stores $ 281.11 Women's Ready-to-Wear

44813 Children's and infants' clothing stores $ 304.18 Children's Wear

44814 Family clothing stores $ 274.84 Family Wear

44815 Clothing accessories stores $ 250.00 **

44819 Other clothing stores $ 250.00 **

44821 Shoe stores $ 217.72 Family Shoes

44831 Jewelry stores $ 574.45 Jewelry

44832 Luggage and leather goods stores $ 380.74 Luggage and Leather

45111 Sporting goods stores $ 218.16 Sporting Goods-General

45112 Hobby, toy, and game stores $ 245.22 Toys

45113 Sewing, needlework, and piece goods stores $ 92.01 Fabric Shop

45114 Musical instrument and supplies stores $ 191.64

45121 Book stores and news dealers $ 162.22 Books

45122 Prerecorded tape, compact disc, and record stores $ 220.14 Records and Tapes

45311 Florists $ 228.57 Flowers/Plant Stores

45321 Office supplies and stationery stores $ 245.00 Office Supplies

45322 Gift, novelty, and souvenir stores $ 190.92 Cards and Gifts

45331 Used merchandise stores $ 100.00 **

45391 Pet and pet supplies stores $ 189.20 Pet Shop

45392 Art dealers $ 326.07 Art Gallery

Source: Sales per square foot data is from the publication Dollars and Cents of Shopping Centers, 2002,

Urban Land Institute, Washington, DC.

* Average of US neighborhood, community and regional shopping centers.

** No data available. Based on other stores.

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Appendix 9

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Population and Households

Population and household data allows you to quantify the current market size and examine future growth. Population is defined as all persons living in a geographic area. Households consist of one or more persons who live together in the same housing unit, regardless of their relationship to each other (including all occupied housing units). Typically, demand is generated by individual or household purchases. Households can be categorized by size, composition, or their stage in the family life cycle. Members of the family influence a household purchase, such as a new computer. Anticipated household or population growth may indicate future opportunities for a retailer.

Age Age is an important factor to consider because personal expenditures change as an individual ages. Drug stores and assisted care services flourish in areas with a large elderly population. Accordingly, drug stores often do well in communities with a larger number of people over the age of 65. Additionally, realizing and catering to the needs of an aging population can be beneficial to any retailer. Toy stores, day care centers, and stores with baby care items are successful in areas with many children and infants. Clothing stores and fast food establishments thrive in retail areas that contain a large concentration of adolescents. Theatres serve a broad section of the population; however, specialized entertainment and recreation options can target certain age segments. Income

Household income is a good indicator of spending power of residents. Household income positively correlates with retail expenditures in many product categories. Retailers may consider the median or average household income in a trade area or seek a minimum number of households within a certain income range. Another common practice is to analyze the distribution of household incomes. Discount stores avoid extreme high or low-income areas. Traditional department stores focus on markets with incomes over $35,000, while some specialty fashion stores target incomes above $75,000. A few store categories including auto parts are more commonly found in areas with lower household incomes. Using income as the sole measure of a market's taste preference, however, can be deceptive.

Education Education is another way to determine the socio-economic status of an area. Because income increases with advancing educational attainment, many retailers focus on income level rather than education. One exception is bookstores which are often sited by developers based on the number of college educated individuals in the trade area. Similarly, computer and software stores are often located in areas with high levels of education. Employment Many retailers use the concentration of white or blue-collar workers as another gauge of a market’s taste preferences. Specialty apparel stores thrive on middle to upper income areas and above average white-collar employment. Second hand clothing stores and used car dealerships are successful in areas with a higher concentration of blue-collar workers. Office supply stores

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and large music and video stores are especially sensitive to the occupational profile. These retailers target growth areas with a majority of white-collar workers. Consumer Classification and Lifestyle Segmentation This section provides a description of the people who live in the trade area. This is important because different consumer groups will have different buying behaviors. These differences must be understood before retail development strategies can be established. Personal Income Trends Personal income trends provide an important measure of economic activity for a local area over time. Personal income consists of the income that is received by persons from participation in production, from government and business transfer payments, and from government interest. When compared to state and national trends, it provides an indication of how well the local area's economy is performing. Earnings Mix While personal income trends relate a community's relative economic health as a whole, the earnings in various sectors provide a snapshot of the industry mix in an area. Earnings include wage and salary disbursements, other labor income, and proprietor's income (both farm and nonfarm). These numbers can be related as individual numbers, or as a percentage to provide an understanding of the industry distributions. Furthermore, comparing the numbers for a local area to those of a larger area, such as an entire state, point to differences in the local economy. Employment Data A number of the largest employers in the New Holstein primary trade area are presented below with an approximate number of full time employee equivalents. As shown, there is a strong reliance on manufacturing employment within the trade area, with schools, government, the medical community and service/retail also employing large numbers of people.

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68

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Appendix 10

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Garland Businesses

Property Tax Summaries

Total Annual Charges

Total Assessed Values

Total Amount Returned to City of Spokane

$ 134,687 $ 10,225,520 $ 48,487

Garland 1/2 Mile Garland 1 Mile

Total Retail Sales $ 44,406,836 $ 280,093,412

Local Sales Tax Revenue $ 932,544 $ 5,881,962

* Total annual charges and accessed values based on individual property tax parcel information obtained from the Spokane County Assessors Office. Total amount returned to the City of Spokane determined by calculating.36 percent of the total annual charges (percentage provided by Spokane County Treasurer).

* Total retail sales provided by CLARITAS, INC 2007. Local sales tax revenue based on rate of .21 (provided by Washington State Department of Revenue).

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Appendix 11

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Sources

Bob Gibbs, Gibbs Planning Group, http://www.gibbsplanning.com/. May 2007 Inland Empire APA Conference in Priest Lake ID.

Claritas demographic and Retail Market Power information www.claritas.com

HUD USER U.S. Housing Market Conditions 1st Quarter, 2007 Regional Activity Page 57.

http://www.huduser.org/periodicals/ushmc/spring07/USHMC_Q1_07regional_activity.pdf >

Nick Kalogeresis, AICP, National Trust Main Street Center: 2007 National Main Streets Conference, Seattle WA.

The Downtown and Business District Market Analysis guidebook is a collaborative

effort between the University of Wisconsin - Extension (UWEX) and the Wisconsin Main Street Program of the Wisconsin Department of Commerce http://www.uwex.edu/ces/cced/downtowns/dma/index.cfm

University of Wisconsin - Extension (UWEX)

http://www.uwex.edu/ces/cced/downtowns/dma/index.cfmmodel