North Port Retail Market Assessment

CITY OF NORTH PORT Retail Market Assessment

April 2016

City of North Port Retail Market Assessment RMA

1

Table of Contents Executive Summary .................................................................................................................................... 2

Action Plan Summary ............................................................................................................................... 13

Market Maximization Study ..................................................................................................................... 17

Demographic Characteristics ...................................................................................................... 17

Shopping Patterns ....................................................................................................................... 17

Peer and Competitor Opportunities ........................................................................................... 18

Retail Market Characteristics ...................................................................................................... 18

Retail Gap .................................................................................................................................... 19

Potential Space Demand ............................................................................................................. 21

Maximizing Retail Market Potential ........................................................................................... 21

Future Residential Demand for Retail Goods and Services ........................................................ 21

Local Market Area Competitive Position .................................................................................... 22

Retail Sector Opportunities...................................................................................................................... 23

Market Maximization Action Plan............................................................................................................ 26

Strategic Leasing Plan .............................................................................................................................. 27

Current Leasing Opportunities .................................................................................................... 30

Summary of Activity Center Demand ......................................................................................... 31

Price and Toledo Blade ............................................................................................................... 32

Toledo Blade and I-75 ................................................................................................................. 40

Sumter and I-75 .......................................................................................................................... 45

Price and Sumter ......................................................................................................................... 48

Tamiami Trail .............................................................................................................................. 51

West Villages Area ...................................................................................................................... 55

Research Summary ................................................................................................................... Appendix A

Background Data ........................................................................................................................Appendix B


2

Executive Summary Economic development is building wealth in a community, encouraging economic growth and improving quality of life. This is accomplished by the implementation of actions that influence the five key drivers of economic development - Land, Labor, Markets, Capital, and Regulation, and each community’s ability to influence these drivers is different. The market analysis conducted as part of this project provides a realistic assessment of the area’s economic development potential and an overview of the constraints and opportunities influencing the five drivers of economic development, as well as the City’s ability (or inability) to influence each driver:

Redevelopment Management Associates’ (RMA) Market Assessment is a review of demographic and lifestyle data, real estate information, housing conditions, labor market, business types, spending potential and other economic data points which enable the team to develop realistic recommendation of actions and tasks that will assist in the growth of retail in North Port. Following the Market Assessment, RMA identifies Common Business Climate themes and community needs based on public input, which is then followed by identification of Key Opportunities based on market research, observations, public input, the assessment of investment drivers and professional expertise.


3

Current Investment Driver Conditions This assessment begins with an objective evaluation of the five drivers of investment and economic development (Land, Labor, Capital, Markets and Regulation).

Retail Space for Lease

Land

The biggest issue facing retail attraction in North Port is real estate availability. There are only 78,229 square feet of retail space currently available that is ready for occupancy, the majority of which ranges from 1,200 – 4,800 square feet. There is additional retail space planned for development in shopping center format which will eventually need to be leased, and the key land driver for retail attraction in North Port is shopping center development.

Labor

The local workforce is diverse with employment in many different industries, as is the local job market, and retail is already a major employer, with 11% of the city’s jobs and businesses. Retail clusters indicate if an area has a strong retail sector compared to the region by comparing the percentage of all local employment that is in the retail sector versus that of the region. If an area has a higher percentage of retail than the larger region, then a strong retail cluster is present. Port Charlotte has the largest retail employment cluster, but North Port’s retail cluster employment is higher than other nearby market areas which is beneficial to attracting additional retail investment. Other strong employment clusters are education and health care, construction, manufacturing and wholesale trade. Arts and hospitality, information and professional services can be strong drivers of retail but are currently not strong employment sectors.


4

Capital

Average household expenditures in North Port are higher than in other peer and competitive locations which have experienced stronger retail growth than North Port1. Investment and development in North Port continues (Richard’s Foodporium, Whole Foods, Aldi, Warm Mineral Springs, and Coco Plum), which demonstrates that North Port is a market with positive return on investment opportunity.

Markets

There are five primary market areas for goods and services associated with the North Port area. The primary market area is composed of residents living in the City of North Port and generally within a 5 minute drive of the city’s main shopping areas. The secondary market area is comprised of residents living in close proximity to North Port, including residents of Venice and Port Charlotte (Port Charlotte is not an incorporated city, but it is defined as a place by the US Census Bureau, and is a distinct area within Charlotte County), as well as those within a reasonable drive of North Port’s shopping areas. The tertiary market is made up of residents of Sarasota County and of Charlotte County who likely pass through North Port from time to time, either on US41 or I-75. Additional market opportunities can be found in the local employees that work in, but may not live in the city’s shopping areas and the visitors to the area, and travelers along I-75. Most importantly, North Port is well positioned for future growth, from approximately 23,000 households today to 80,000 at full build-out. Unlike surrounding communities, North Port will also continue to be a diverse community of retirees, working professionals and young families.

Regulation

Regulation is the area where cities have significant ability to impact development and business attraction. This is especially true in North Port where business and retail attraction relies on successful execution of shopping center development. Special emphasis must be maintained on city development processes to ensure that North Port enjoys a reputation for responsiveness, timeliness and certainty for developers. Regulations and the process attributed to infrastructure that supports new development can be a significant cost and time factor for real estate development, and the utilities investment into design, planning, and permitting for the I-75 and Sumter AND I-75 and Toledo Blade interchanges makes a significant statement of the City’s business friendliness.

Public Input A survey of North Port retail consumers was conducted, which resulted in the identification of the following general shopping behaviors, which are validated by the expenditure and revenue trends:

• Convenience items such as grocery and pharmacy are bought close to home; • Specialized retail such as furniture, books, clothing and hardware are bought further away; • Residents travel the farthest for dining, nightlife, and entertainment.

1 RMA, North Port Retail Market Assessment Data Summary, 49.


5

The survey also identified that the retail experience is influenced by two primary factors – value and service. Survey respondents identify a clear distinction between the two and differentiate the North Port and Port Charlotte retail sectors from each other using these factors.

In addition to the online survey (which received 874 responses), a 12-hour open house was conducted which allowed residents and business owners to engage with the consulting team one-on-one, and public input forums were held on three consecutive days at different times and locations to maximize participation. Finally, one-on-one meetings with local developers, business owners, and real estate brokers were held to gather additional input.

The public input identified some common Business Climate Themes which can help establish a unique brand identity that can help drive additional retail investment that will attract investors, retailers, entrepreneurs and customers

Common Business Climate Themes Through one-on-one meetings with local stakeholders, the online survey, and an open house and three public forums, some common Business Climate Themes that were identified, which can help establish a unique brand identity that can help drive additional retail investment that will attract investors, retailers, entrepreneurs and customers:

• Community Pride • Small Town Experience, Nice Lifestyle • Warm Mineral Springs is an Asset • Canals, Recreation, Fishing, Fitness, Golf,

Activities • Entertainment, Arts and Culture

• Eco-Tourism, Green Opportunities, Organic and Gourmet

• Need more awareness of assets and opportunities

• Aesthetics can define and differentiate North Port

Key Opportunities Opportunities to maximize market potential are inspired through five questions, which also helps link the public input and the market analysis to financial feasibility, regulatory reality, and brand connection for a realistic, implementable strategy and action plan.

What should be preserved that will support new investment? • The connection to the natural environment - The outdoors and open spaces

What can be enhanced to encourage economic development and investment?

• Warm Mineral Springs and the local Business Climate/’Open for Business’ Reputation What can be exposed and promoted to attract more development?

• The North Port Lifestyle and Strong Market Opportunity What can be invested in that will improve North Port’s competitiveness?

• Aesthetics and Social Offerings What can be capitalized on to establish the district as a good location for investment?

• Community Pride and Developable Sites


6

Retail Gap North Port’s Retail Gap was identified by comparing the amount of retail spending by North Port households with the amount of retail sales that take place within North Port. This evaluation identified North Port’s Retail Gap to be approximately $209 million.

This retail gap of at least $209 million represents the primary market, which is defined as the City of North Port for purposes of this assessment. Conversely, the secondary markets of Venice and Port Charlotte residents are attracting retail surplus (spending by consumers from outside of those markets) of $45 million and $291 million, respectively. All of Sarasota and Charlotte Counties are markets for North Port to the extent that residents from across these counties periodically shop in North Port, and therefore are evaluated as tertiary markets for this assessment. Both counties demonstrate a surplus of retail sales which indicates that customers that are not residents of those two counties are shopping there. The table below demonstrates that the region is a strong retail destination, and North Port is the only one with a retail gap. This characteristic (retail gap in a strong retail region) indicates significant opportunity for retail growth in North Port.

Area Demand (Spending) Supply (Sales) Gap Primary - North Port $589,780,826 $380,496,106 $209,284,720 Secondary – Venice $320,907,236 $366,164,611 -$45,257,375 Secondary - Port Charlotte $547,399,769 $839,202,810 -$291,803,041 Tertiary - Sarasota County $5,210,870,532 $5,646,641,616 -$435,771,084 Tertiary - Charlotte County $1,907,062,400 $2,290,136,364 -$383,073,964

Now that the Retail Gap is identified, an evaluation is conducted which will determine the amount of additional retail space that can be supported with in the market. This process is described in much more detail later in this document. To determine this opportunity, the following methodology is used:

1. Sales are converted into supportable space demand through retail sales productivity and space estimates, utilizing average sales per square foot estimates;

2. The retail gap or surplus spending levels are also separately converted into supportable space demand;

3. An evaluation of market penetration (how much spending North Port attracts from other areas in the region) is conducted for the primary, secondary and tertiary markets;

4. Total retail space demand is estimated by applying penetration levels to the total supportable sales and space associated with the residential marketplace.

The following table demonstrates the amount of additional retail square feet that we feel can be supported by each of the target markets (primary, secondary, and tertiary). There is existing demand within the North Port market that is not being met in six major retail categories, and there is opportunity to attract additional spending from the secondary and tertiary markets. The final column is the sum of the additional retail square feet that the target markets can support in North Port.


7

Primary Secondary Tertiary Total

North Port Venice

Port Charlotte

Sarasota County

Charlotte County

North Port Potential

Furniture & Home Furnishings Stores 20,561 5,067 4,156 6,632 4,646 41,061 Electronics & Appliance Stores 23,804 2,333 1,916 5,035 1,792 34,879 Bldg Materials, Garden Equip. Stores - 7,100 16,920 8,354 3,904 12,469 Food & Beverage Stores - 24,455 21,093 19,873 - 25,480 Health & Personal Care Stores - 2,633 2,581 8,152 - 9,665 Clothing & Clothing Accessories Stores 131,546 2,284 3,802 37,940 7,899 183,471 Sporting Goods, Hobby, Book & Music 24,732 556 991 9,484 1,349 37,111 General Merchandise Stores - 17,830 46,452 43,982 21,401 64,993 Miscellaneous Store Retailers 24,115 216 749 - - 25,079 Food Services & Drinking Places 71,385 11,852 9,647 12,802 4,517 110,203

Retail Sector Opportunities North Port consumers travel outside of the area for furniture & home furnishings, electronics & appliances, sporting goods, hobby, book& music stores, clothing, electronics & appliances, sporting goods, miscellaneous stores and especially dining and nightlife. The Peer and Competitor analysis summarized on page 18 indicated that these sectors are good opportunities for retail growth based on how other similar communities have developed. The analysis of the Retail Gap confirms that these are areas of opportunity for retail growth, and the Potential Space analysis indicates that there is significant demand that can support additional leasing and shopping center development in these categories.

Some of the targeted retailer opportunities include the sectors and retail brands identified on the following page. These are retailers in the marketplace that consider local brand, consumer spending and demographics, and market potential; however, the strategies to attract these brands must also focus on relationships, credibility of the city, and available real estate, especially in situations where the initial market analysis by the individual retailer does not indicate strong market potential. In some cases, the retailers that are identified may only consider a location in a new shopping center, town center, or power center development. In other words, a careful retail attraction strategy is required to be successful.


8

Targeted Retailer Opportunities

Furniture and Home Furnishings

City Furniture Ashley Furniture

Pier 1 Imports Crate and Barrel

Electronics and Appliances

Best Buy HH Gregg

Sporting Goods, Hobby, Book and Music Stores

Sports Authority Dick’s Sporting Goods Cabela’s Gander Mountain

Michaels LA Fitness Planet Fitness Toys R Us

Clothing and Clothing Accessories Stores Sunglass Hut Kay Jewelers American Eagle Outfitters American Apparel

Marshall’s Gymboree The Limited Kohl’s

Food Services and Drinking Places

Golden Corral Cracker Barrel Sweet Tomatoes Texas Roadhouse

Longhorn Steakhouse Jimmy John’s California Pizza Kitchen Chipotle

Additional retailer opportunities include general merchandise stores such as Aldi, Wawa, Target and BJ’s Wholesale Club. These retailers have expressed interest in the North Port market in the past.


9

Activity Centers Further analysis evaluated the retail potential of the City’s Activity Centers that are the primary locations for commercial development and retail attraction to take place in:

• Price and Toledo Blade (Activity Center 5) • Toledo Blade and I-75 (Activity Center 4) • Sumter Blvd and I-75 (Activity Center 3) • Sumter Blvd and Price (Activity Center 2) • Tamiami Trail (Activity Center 1) • West Villages Area (Activity Center 8)

The analysis included a summary of Activity Center Demand that can support additional retail square feet. Each Activity Center has existing local market demand for convenience items and neighborhood-serving retail, and even though there may be limited demand for certain categories citywide, there can still exist supportable demand at the local market level. For many of these sectors, additional citywide retail demand exists above the total identified for the activity centers, and this demand can be supported throughout the city depending on the individual location needs of the retailer. In other words, retail can develop in each activity center that attracts shoppers from outside the local area which will support additional square feet of retail space higher than that identified. For example, a Wal Mart Neighborhood Center is planned for Activity Center 2 (Sumter and Price), which does not demonstrate additional local demand for Food and Beverage or for General Merchandise stores; however, since this location has a suitable site and this establishment will attract shoppers from outside of the immediate local market area the additional square feet is supported at this location by the citywide retail demand for its products.

AC1 AC2 AC3 AC4 AC5 AC8 Total

Furniture & Home Furnishings Stores 1,923 5,162 724 112 2,960 - 10,881

Electronics & Appliance Stores 8,037 6,582 1,085 84 4,249 2,011 22,048

Bldg Materials, Garden Equip. & Supply Stores - - 1,205 120 6,807 3,175 11,307

Food & Beverage Stores - - 7,839 651 16,323 12,398 37,211

Health & Personal Care Stores - - 3,726 253 6,894 932 11,805

Clothing & Clothing Accessories Stores 36,461 30,455 6,522 512 26,908 11,322 112,180

Sporting Goods, Hobby, Book & Music Stores 2,507 2,181 1,562 131 5,949 2,516 14,846

General Merchandise Stores - - 14,394 982 64,079 13,660 93,115

Miscellaneous Store Retailers 4,567 5,444 627 0 5,308 1,668 17,614

Food Services & Drinking Places - 10,051 5,431 428 23,444 9,480 48,834

Total 53,495 59,875 43,115 3,273 162,921 57,162 379,841

Each Activity Center was evaluated for its:

• Trade area • Retail opportunities • Local retail gap • Additional supportable square feet that

can be sustained by local demand • Traffic counts

• Real estate market conditions • Developments and announcements • Recommendations to attract retail

o Goal o Strategy o Actions


10

Price and Toledo Blade (Activity Center 5)

• This is primarily a retail location that serves the local market area, and there is retail demand that can be met locally, which positions this area as a good alternative to Tamiami Trail, especially for local residents that wish to avoid traffic and parking.

• There is strong food and beverage demand, which can establish an identity that will then attract additional customers and retailers.

• Build on anchors which attract shoppers such as grocery, and identify opportunities for local small businesses and entrepreneurs.

• Targets – Jimmy John’s, locally owned furniture and home furnishing stores, and restaurants.

Toledo Blade and I-75 (Activity Center 4)

• This is an undeveloped location with significant market access that ranges from Venice to Punta Gorda along I-75. It represents an opportunity for large-scale retail development that can compete with Port Charlotte Town Center.

• Rather than a recruitment strategy at this time, the retail strategies for this interchange should focus on encouraging and facilitating shopping center development. This approach will constitute a more resource intensive effort on the part of the City and is consistent with the Citywide Strategic Plan.

• Targets – a Town Center or Power Center developer, similar to St. John’s Town Center in Jacksonville.

Sumter and I-75 (Activity Center 3)

• There is good local market demand at this location, and retail development could also penetrate the I-75 transient market. There is also demand in the larger market area (15-30 minute drive time), and successful execution of quality projects by shopping center and retail developers will be necessary to effectively compete at this location in the near term;

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCPHyvdbT58YCFcMaHgodw0wBQA&url=http://berkeleycap.com/&ei=hdWrVbGcC8O1eMOZhYAE&bvm=bv.98197061,d.dmo&psig=AFQjCNEYkA9N7hzcyA_JyFUBGVk45HG0iw&ust=1437411058677146

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCLqStarU58YCFYvVHgodBdwNuA&url=http://www.yourwellness.com/2014/05/st-johns-town-center-nordstrom-feature-floor-tiles-painted-jacksonville-children/&ei=NdarVfqjDIure4W4t8AL&bvm=bv.98197061,d.dmo&psig=AFQjCNGEdV4I7_-_SzpTNPfwVB9L5OlP3A&ust=1437411146634168

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCMWrxcvU58YCFQomHgodlDIAJQ&url=http://www.poi-factory.com/node/9164&ei=etarVcWGKYrMeJTlgKgC&bvm=bv.98197061,d.dmo&psig=AFQjCNGSEq9f-K2kpxbOd0_yxkmPyKacmg&ust=1437411301197822


11

• This interchange has close proximity to many conservation lands and outdoor recreation opportunities.

• Evaluate and pursue brand positioning that can connect retail to the outdoor/recreation theme, such as Gander Mountain, Cabela’s, or Bass Pro Shops. A BJ’s Wholesale Club could potentially be supported at this location.

• Targets – Cabela’s, Gander Mountain, BJ’s Wholesale Club

Price and Sumter (Activity Center 2 - City Center)

• This is primarily a retail location that serves the local market area, generally defined as a 5-minute drive time, with a secondary market that includes the rest of North Port, due to the location of City Hall and the designation of this area as North Port’s City Center. Additional commercial development such as the Wal Mart Neighborhood Center will strengthen this identity, which will help attract additional retail and restaurant investment.

• Currently there is strong local demand from this market area for Clothing and Clothing Accessories and Restaurants. Furthermore, this location is competitive with other locations within the market, especially Tamiami Trail. This area also shows potential in the furniture and home furnishings, electronics and sporting goods sectors, which are opportunities for local entrepreneurs and small

businesses. • Target restaurant uses which can attract demand from outside the area, increasing the area’s market penetration and building additional retailer interest. Restaurants that were identified by stakeholders, forum attendees and the survey included Sweet Tomatoes and Golden Corral. Other potential restaurant targets include California Pizza Kitchen, Cracker Barrel, and Longhorn Steakhouse.

Tamiami Trail (Activity Center 1)

• Tamiami Trail is currently a destination that attracts spending from outside of North Port, and is anchored by Coco Plum Shops, Wal Mart, Home Depot and many other retail uses. It has a strong cluster to build on in all categories.

• This stretch of US-41 in North Port is increasingly being referred to as the Golden Mile of North Port, and we see the value of encouraging the marketing efforts and growing this brand identity.

• Additional retailers that could be targeted for the Golden Mile include Michaels, Toys R Us, and Kay Jewelers. The western end of Tamiami Trail could eventually be appropriate for activities such as LA Fitness and bowling as additional residential develops in the West Villages area.

• Unified, cooperative marketing is needed to build additional shopper

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCJW9_s3V58YCFUXXHgodpI0PEA&url=http://www.htforum.com/forum/threads/restaurantes-lanchonetes-docerias-sorveterias-etc-nos-estados-unidos-dicas-para-comer-bem.238314/page-2&ei=jNerVZXHDsWue6SbvoAB&bvm=bv.98197061,d.dmo&psig=AFQjCNFX5OZYzGcPBtQYWj_t9QdKMggTyA&ust=1437411518040614

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCNuEyPfV58YCFYMrHgodkzAPrg&url=http://www.loopnet.com/Listing/16188469/US-41-and-Sumter-Blvd-North-Port-FL/&ei=49erVZuHGoPXeJPhvPAK&bvm=bv.98197061,d.dmo&psig=AFQjCNGPSy64zaIcbeEaFRqs5UDz6WdaBA&ust=1437411665926129


12

awareness and compete with Port Charlotte Town Center. • Target diversification and expansion of Clothing and Clothing Accessories selections and

Restaurants. • Work with planned shopping center developments to support with their leasing and marketing

plans.

West Villages Area

• Retail demand is strong, with little existing competition in the immediate area. Demand will continue to grow as residential development continues and new higher income households move in.

• This area has good access to North Port and Venice, and is an opportunity to attract shoppers that want to avoid congestion on Tamiami Trail, and/or who want an alternative to I-75. This area has strong town center development opportunity which can include Publix Supermarkets, LA Fitness, an entertainment concept bowling alley such as Lucky Strikes Lanes, a movie theater, and clothing and neighborhood serving retail.

• Rather than a targeted recruitment strategy at this time, retail attraction efforts in this location should focus on supporting developers’ efforts to provide shopping center and retail space opportunities as part of their efforts to attract additional households to this area.

The market research, site analysis, and Activity Center evaluation identified opportunities to fill the retail gaps for a targeted recruitment approach that responds to marketplace conditions.

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCJis54vU58YCFcNcHgodbGAAtw&url=http://m.simon.com/aboutmall.aspx?id%3D857&ei=9dWrVdhdw7l57MCBuAs&bvm=bv.98197061,d.dmo&psig=AFQjCNGEdV4I7_-_SzpTNPfwVB9L5OlP3A&ust=1437411146634168


13

Action Plan Summary This retail assessment includes recommendations for actions for citywide retail attraction, as well as action step recommendations for each Activity Center. Below are the summarized action items for the two-fold implementation strategy recommendations in the Market Maximization Action Plan (page 26) and the Strategic Leasing Plan (page 30).

Citywide Action Items

• Continue implementation of the Citywide Economic Development Strategy, especially: o Promote available sites and buildings; o Create a regulatory environment that embraces collaboration and cooperation; o Encourage development of office and business parks at or near key interchanges; o Enhance exposure and name recognition for the City of North Port; o Explore city assets to determine tourism opportunities; o Increase the amount of new multifamily housing; o Developing a unique, customized database of market and real estate information that can

respond to real-time conditions and prospect and customer needs; • Facilitate new residential development while also focusing on residential retention in North Port. • Continue to work to address aesthetics of the community, especially along Tamiami Trail. • Identify prospective resident entrepreneurs and residents that own or operate retail

establishments in other locations and encourage them to operate in North Port. • Educate local small businesses and entrepreneurs on the potential to tap into additional retail

demand. • Connect market potential and brand differentiation with a theme that uniquely combines health

and wellness, fitness and recreation, outdoors and ecotourism; implement a retail branding and attraction strategy that links these brand assets.

• Work with property owners and developers along I-75 to recruit a hotel to North Port. • Continue to focus on developing commerce and light industrial uses that support a healthy

workforce. • Maintain up-to-date site database and readiness/availability reports for available development sites

and commercial vacancies (focus on responsiveness). • Assist land and building owners in marketing their properties to end users. • Build a responsive market research program to support property owners, developers and

prospects. • Work with large landowners to facilitate development, infrastructure and utilities. • Develop a one page profile sheet for the community and for each targeted area.

Activity Center Action Items

• Business and entrepreneur attraction campaigns. • Partner with organizations such as the Chamber of Commerce and Economic Development

Council to present consistent, unified brand messaging. • Work with property owners to promote vacant spaces.


14

• Implement promotional programs to capture local workforce spending. • Develop site specific marketing materials and Site Readiness Reports for properties that are

available for lease, sale, or development, including information about investments that the city has already made, such as the infrastructure preparation that has been done for the I-75 interchanges.

• Establish strong relationships with commercial real estate brokers and assist their efforts to sale and lease space in North Port.

• Participate in International Council of Shopping Centers (ICSC) events to establish relationships with decision makers and strengthen North Port’s reputation for customer service and investment friendliness.

• Develop marketing campaigns that promote the unique brand for each activity center, including maps, brochures and directories as appropriate, as well as site readiness reports and promotion of specific properties that are available for occupancy or retail development.

• Develop marketing collateral materials that showcase projects and investments that are already planned to position North Port as a location that is attracting new investment.

• Work with planned shopping center and commercial developments to support their leasing and marketing plans.

Conclusion and Recommendations North Port’s Retail Gap is $209 million, which can support an additional 300,000 square feet of retail space, and North Port’s secondary and tertiary markets have potential to support an additional 200,000+ square feet. This represents significant opportunity to attract additional retail investment as the city grows. Opportunities currently exist and will continue to grow, and the City should move forward at this time to target the appropriate sectors and plan for future growth by implementing strategies that can support the growth and evolve with market conditions. There are three key values that should guide North Port’s economic development program, and especially the efforts to attract retailers and retail developers. The Action Plan is based on these three values, as are the following recommendations. These three values are:

1. Responsiveness – Customer service is critical for retail attraction programs. Responsiveness, timeliness, predictability and fairness all contribute to a retailer’s “time-to-market”. Developers and investors evaluate sites based on projected return on investment in consideration of the risk of the venture, and retailers may avoid communities with an “anti-business” reputation or a reputation of longer-than-usual approval timelines. Strengthening North Port’s reputation as a city that supports economic development and that is responsive to the needs of businesses can go a long way during the site evaluation process, because responsiveness and customer service are directly tied to a retail project’s bottom line.

2. Information – Retailers analyze many sites when they are considering new locations, and most of the initial analysis takes place with little or no contact with the prospective city. It is important that information about the city is made easily accessible in multiple formats and includes information that is relevant and meaningful. Unique local information about market strengths, unique assets, and shovel-ready sites will assist retailers during their due diligence period, and help them find growth opportunities that their initial analysis can miss. Retailers need to generate a targeted return on investment and strive to find the “path of least resistance” to that return. The unique local information that a city can provide can help identify the various paths to that return.


15

3. Credibility – A city’s credibility for economic development is dependent on communication and relationships. The relationships that a city’s economic development staff should build include real estate developers, commercial and residential real estate brokers, architects and engineers, property management companies, contractors, branding and marketing companies and most importantly, existing local businesses and entrepreneurs. Participation in trade associations, business associations, and other organizations that these individuals participate in is important to building credibility and assuring them that they have a “go-to” individual that is there to assist them when the right time comes. Additionally, opportunities to speak on panels at conferences and events further strengthens the credibility and reputation of city staff on economic development and real estate matters. The fact that North Port’s economic development efforts are directed from within the City Manager’s Office speaks volumes about the city’s commitment to economic development and establishes credibility with prospective businesses and investors.

Priority recommendations for the City of North Port retail attraction efforts are:

1. Engage a retail attraction effort that includes business attraction and recruitment along with establishing retail attraction-specific branding, marketing and messaging for the City, specific activity centers, and key individual sites

a. Cost - $60,000 - $125,000 annually b. Timing – 3-6 months for engagement, followed by a minimum 2-year commitment.

2. Focus on establishing relationships which will support successful retail attraction and economic

development. These relationships can be established through one-on-one interaction and also through membership and effective participation in networking events with real estate brokers, chambers of commerce, the Urban Land Institute (ULI), the International Council of Shopping Centers (ICSC), Enterprise Florida and Visit Florida, the Community Development Finance Association (CDFA), National Association of Office and Industrial Properties (NAOIP), and other organizations.

a. Cost - $2,000-2,500 for memberships, $2,500-5,000 for event participation. b. Timing – This should be an ongoing activity.

3. Increase communication with local business owners and resident entrepreneurs. Identify

opportunities to partner with the Chamber of Commerce and Economic Development Council to identify local entrepreneurs that may be interested in expanding in or relocating to North Port. Work with these and other technical assistance organizations to establish modified educational series for local business owners and match them to resources. Also maintain a continuous online survey for local business owners to provide information on challenges and market conditions. Create a monthly or quarterly real estate broker roundtable event.

a. Cost - $600 - $4,800 b. Timing – Implementation within 3-6 months (survey is ongoing).

4. Real Estate Promotion efforts should include cooperative marketing opportunities that help

property owners market their properties to end users, develop 1-2 page profile sheets for each activity center for business attraction, and develop site specific marketing materials and site readiness reports for properties that are available for sale, lease or development. These materials should be provided to real estate brokers, site selectors, regional and statewide economic development organizations, and at events such as the ICSC Florida Conference that takes place in Orlando each August.


16

a. Cost – $2,500 – 10,000 for ICSC participation; costs for promotional materials can vary significantly but should be linked with the retail attraction engagement contemplated by number 1 above.

b. Timing – Materials should be updated quarterly or semiannually depending on changes in market conditions. Materials for the ICSC conference should be ready by August 1 of each year.

5. Implement a responsive market research program that can provide up-to-date information on the real estate market, consumer preferences, lifestyles and spending, demographics, traffic patterns, available incentives, and other items that local developers, businesses and prospects identify. This effort should include building relationships with organizations that can provide customized data, as well as periodic training on how to maximize various data sources and for analysis. A contractual relationship can also be established with a firm that can provide updated market data and analysis to the City. This effort can also include entrepreneur assistance with cash flow and proforma projections.

a. Cost – Geographical Information System (GIS) products and Data Service Subscriptions - $4,000 - $7,500; Training - $1,200 - $2,500; Presentation of Data – $1,000 and up; data update and analysis contract - $3,600-12,500 annually.

b. Timing – access to additional data sources can begin within 1-2 months; 6-9 months to finalize the best format for the data and its presentation, with full implementation and final presentation formats within 12 months


17

Market Maximization Study Demographic Characteristics

North Port has diversity of age ranges, with residents that are spread through all age groups rather evenly, and the population includes singles, young families to retirees and senior citizens. The median income is $47,000, equivalent to the median income for Sarasota County and higher than the median incomes of Venice, Port Charlotte and Charlotte County. In the case of Venice however, household net worth is higher due to the higher concentration of retirees and higher housing values.

North Port has the lowest housing vacancy of the market areas, and North Port and Port Charlotte have the highest owner occupancy. The North Port market is also balanced with 22.5% of the units occupied by renters.

The median home value is $134,557, which is lower than Venice’s $220,635 and Sarasota County’s $189,666 values. Median home values are significantly higher than Port Charlotte and Charlotte County however. The disparity in home values while income levels are similar between North Port and Sarasota County is consistent with the theme of value that has been observed about the North Port consumer. This will also keep North Port competitive as a location for residential growth and investment which will drive additional retail and restaurant demand.

Shopping Patterns

A survey of North Port retail consumers was conducted, and the exercise identified the following general shopping behaviors, which are validated by the expenditure and revenue trends:

• Convenience items such as grocery and pharmacy are bought close to home; • Specialized retail such as furniture, books, clothing and hardware are bought further away; • Residents travel the farthest for dining, nightlife, and entertainment.

The retail experience is influenced by two primary factors – Value and Service. Survey respondents identify a clear distinction between the two and differentiate the North Port and Port Charlotte retail sectors from each other.

Port Charlotte is the value market, with better variety, selection, quality, price. This market is more effective with advertising, and ranked highest as the best overall retail setting. Port Charlotte and Port Charlotte Town Center are the biggest competition for North Port’s shopping dollars.

Customers consistently ranked North Port higher in the service area, with more positive response regarding parking, atmosphere, customer service, store hours, convenience, less traffic and safety. Overall however, value is more important to the majority of consumers in this market.


18

Peer and Competitor Analysis

The peer and competitor analysis is comparison of other cities with similar characteristics to North Port2. This analysis included Port Charlotte, Cape Coral, Palm Bay, Deltona, and Port St. Lucie. These are all originally General Development Corporation (GDC) communities and have evolved differently. The two key observations are:

1. As the population grows, demand should increase especially for the following retail sectors: • Furniture • Home Furnishings • Department Stores • Auto Parts • Electronics and Appliances • Office Supplies • Clothing and Accessories • Shoe Stores • Sporting Goods • Food and Beverage

These are the categories which North Port currently loses spending to Port Charlotte; however, continued residential development and population growth, combined with new retail real estate development will increase North Port’s competitiveness in retail site selection.

2. The market opportunity to tap into the additional demand for these categories will increase primarily due North Port’s higher average household spending on most retail goods when compared to similar peer or competitor cities, especially Port Charlotte.

Retail Market Characteristics

Retail market characteristics are identified by analysis and evaluation of the amount of spending that takes place at retail stores in the market, compared to the amount of spending on retail goods that is done by the households that live in the market, to identify opportunities to retain and attract additional retail spending. The following estimates of demand for retail goods and services are based upon various demographic and spending patterns which are identified through various sources, including ESRI and Dun and Bradstreet.

There is an identified retail gap of at least $209 million in the primary market, which is defined as the City of North Port for this assessment. Conversely, the secondary markets of Venice and Port Charlotte are attracting customers from outside of their local areas, resulting in retail surplus of $45 million and $291 million, respectively. All of Sarasota and Charlotte Counties are local markets to the extent that residents from across the counties periodically shop in North Port, and therefore are evaluated as tertiary markets for this assessment. Additionally, both counties are attracting customers from outside of the region, demonstrated by the surplus of retail sales. The table on the following page demonstrates that the region is a strong retail destination, and North Port is the location with a retail gap (unmet retail demand). This



19

characteristic (retail gap in a strong retail region) indicates significant opportunity for retail growth in North Port.

Area Demand (Spending) Supply (Sales) Gap Primary - North Port $589,780,826 $380,496,106 $209,284,720 Secondary – Venice $320,907,236 $366,164,611 -$45,257,375 Secondary - Port Charlotte $547,399,769 $839,202,810 -$291,803,041 Tertiary - Sarasota County $5,210,870,532 $5,646,641,616 -$435,771,084 Tertiary - Charlotte County $1,907,062,400 $2,290,136,364 -$383,073,964

Not all of the spending that residents engage in occurs within the North Port marketplace, however, and non-residents, local employees, and visitors also contribute to the sales activity and current space utilization.3

Sales and spending are evaluated to identify the amount of retail space that is needed to efficiently and adequately serve the retail demand that exists in an area. Sales productivity is measured by average sales per square foot which varies by the retail category. For example, average sales per square foot will be different in a restaurant than in an auto parts store, and will also vary depending on the size of the retailer. Prospective retailers will evaluate the amount of spending that takes place in an area to determine if there is enough spending to support a new location.

Retail Gap

The difference between the Demand (Sales) and Supply (Resident Spending) is known as the Retail Gap:

North Port Demand ($589,780,826) minus North Port Supply ($380,496,106) = Retail Gap ($209,284,720)

A positive number indicates that there is unmet demand in the marketplace, and that residents are leaving the local market to purchase items in that category. A negative number indicates that more spending is occurring than there is resident demand to support, meaning that consumers are coming from outside the local market.

For example, the chart at the top of the page shows that the households in Port Charlotte spent $547 million on retail goods in 2015, while there was a total of $839 million spent at Port Charlotte’s retail establishments. This means that a minimum of $291 million of the retail spending that occurred in Port Charlotte was by customers from outside of the area. Many of those customers were North Port residents. The spending that North Port residents do in Port Charlotte (or other areas) makes up the Retail Gap.

In 2015, the North Port Retail Gap was over $200 million, and occurred in the Furniture & Home Furnishings, Electronics & Appliances, Clothing & Clothing Accessories, Sporting Goods, Hobby, Book & Music, Miscellaneous Stores, and Food Services and Drinking Places sectors.

Sectors that have a Retail Surplus and are attracting customers that are not North Port residents include Building Materials, Food and Beverage (grocery stores), Health & Personal Care stores, and General Merchandise stores.

The basic retail sectors are shown alongside what the residents of North Port have spent in the category in 2015 versus that sector’s retails sales in North Port. A negative number in the last column means that North Port resident spending demand is not being met by what is available in the City and that a Retail



20

Gap exists. A positive number means that in addition to the North Port retailers capturing North Port’s demand, these retailers are also attracting spending by customers from nearby markets (Retail Surplus).

Retail Gap by Sector

North Port Household

Spending North Port

Retail Sales

North Port Retail Gap/

Surplus(-) Furniture & Home Furnishings Stores $13,000,916 $5,804,728 $7,196,188 Electronics & Appliance Stores $14,071,711 $2,169,811 $11,901,900 Bldg Materials, Garden Equip. & Supply $18,312,904 $28,431,309 -$10,118,405 Food & Beverage Stores $89,724,864 $105,701,399 -$15,976,535 Health & Personal Care Stores $42,349,249 $44,107,185 -$1,757,936 Clothing & Clothing Accessories Stores $33,838,827 $7,529,665 $26,309,162 Sporting Goods, Hobby, Book & Music $10,980,889 $4,797,892 $6,182,997 General Merchandise Stores $83,656,680 $99,824,548 -$16,167,868 Miscellaneous Store Retailers $14,785,402 $5,742,404 $9,042,998 Food Services & Drinking Places $57,090,858 $28,537,038 $28,553,820

For retailers, Market penetration occurs when a company penetrates a market in which current or similar products already exist and successfully attracts customers. In other words, when Wal Mart opens a new store in a community, shoppers divert some of their spending from the stores they would normally shop in to the Wal Mart instead. Market penetration can occur at the local and regional level. The residents that start spending at the new Wal Mart may be diverting the spending they would normally do at a local retailer, or at a Wal Mart that is further away in a nearby community. The same principle applies to cities.

Market penetration for economic development occurs when a city’s retail sector grows its share of retail sales within the region, by attracting customers from outside the primary market area. Market penetration involves both the proportion of residents in an area using the commercial activity, as well as the frequency of use.

For example, the opportunity to purchase an automobile or furniture in North Port is extremely limited, therefore market penetration by retailers in those sectors is very low. Additionally, while there are many places in North Port to dine, market penetration is still low as evidenced by that sector’s gap of $28 million, and also by the survey responses that reported that many residents drive more than 20 minutes for dinner.

Conversely, sectors such as grocery stores, pharmacies, building materials and general merchandise have strong market penetration in North Port, as evidenced by the retail surplus that those categories have. Stores such as Wal Mart, Home Depot and Lowe’s, Hobby Lobby, and Publix have established a strong presence that is attracting customers from outside of the immediate area.

Additional retail space that can be supported in the marketplace is estimated by comparing market penetration levels to the total sales and retail space associated with the residential marketplace.

This analysis identifies the amount of additional retail space that can be supported by spending from the primary, secondary and tertiary markets through successful retail development that includes: 1) positioning and branding properties and projects so they are consistent with market conditions and retailer needs, 2) a regulatory environment that is business-friendly, responsive and predictable, and 3) successful delivery of new retail construction by developers and an aggressive commercial real estate industry.


21

Potential Space Demand

The following table demonstrates the amount of additional retail square feet that can be supported by each of the target markets (primary, secondary, and tertiary). There is existing demand within the North Port market that is not being met in six categories, and there is opportunity to attract additional spending from the secondary and tertiary markets. The final column is the sum of the additional retail square feet that the target markets can support in North Port.

Primary Secondary Tertiary Total

North Port Venice

Port Charlotte

Sarasota County

Charlotte County

North Port Potential

Furniture & Home Furnishings Stores 20,561 5,067 4,156 6,632 4,646 41,061 Electronics & Appliance Stores 23,804 2,333 1,916 5,035 1,792 34,879 Bldg Materials, Garden Equip. Stores - 7,100 16,920 8,354 3,904 12,469 Food & Beverage Stores - 24,455 21,093 19,873 - 25,480 Health & Personal Care Stores - 2,633 2,581 8,152 - 9,665 Clothing & Clothing Accessories Stores 131,546 2,284 3,802 37,940 7,899 183,471 Sporting Goods, Hobby, Book & Music 24,732 556 991 9,484 1,349 37,111 General Merchandise Stores - 17,830 46,452 43,982 21,401 64,993 Miscellaneous Store Retailers 24,115 216 749 - - 25,079 Food Services & Drinking Places 71,385 11,852 9,647 12,802 4,517 110,203

Maximizing Retail Market Potential

Survey respondents would like to see more restaurants and food stores, entertainment establishments, hospitality establishments including restaurants and a hotel, and more clothing stores. Specific stores that respondents would like to see in North Port are Trader Joe’s, Target, Costco, a movie theater and a Chipotle restaurant.4

Improvements that could attract more people to North Port that could also increase retail sales were sports facilities and bicycle and jogging trails. Warm Mineral Springs is also an opportunity that could position the western part of North Port for more retail investment. Enhancements that could encourage more retail trips to North Port include more variety of stores, parking, better selection and more restaurants.

Future Residential Demand for Retail Goods and Services

Residential and Household growth in North Port will drive additional retail demand, and create additional opportunities for shopping center development and retail attraction.

In 2014 there were 23,357 households in North Port. This further sensitivity analysis evaluated growth of the number of North Port households by 10%, 25% and 50%, and also by an increase of 1,000, 5,000 and 10,000 households. Based on current household spending trends, current market penetration conditions and future market demand, additional population growth can drive the following retail demand growth ranges (in square feet).

The following chart identifies the amount of additional retail square feet in each category that could be supported as North Port grows. For example, 10% growth in the number of households could support an



22

additional 4,000-5,000 square feet of Health & personal Care Stores, but is not sufficient to support additional Food & Beverage Stores.

Household Growth Retail Space Demand (square feet)

2,335 New Households



10% Growth 25% Growth 50% Growth Low High Low High Low High Furniture & Home Furnishings Stores 728 24,274 895 29,847 1,174 39,134 Electronics & Appliance Stores 9,316 26,617 10,794 30,839 13,257 37,876 Food & Beverage Stores - - 13,714 16,134 61,387 72,220 Health & Personal Care Stores 4,430 5,212 15,799 18,587 34,747 40,879 Clothing & Clothing Accessories Stores 29,692 148,460 34,769 173,843 43,229 216,146 Sporting Goods, Hobby, Book & Music Stores 11,649 29,123 14,285 35,712 18,678 46,695 General Merchandise Stores - - 12,338 18,982 66,722 102,649 Miscellaneous Store Retailers 11,223 28,056 13,588 33,971 17,532 43,829 Food Services & Drinking Places 21,413 85,653 26,766 107,065 35,688 142,751

Local Market Area Competitive Position

The following tables provide a comparison of the population and income characteristics of each of North Port’s different market areas within the different radii that retailers evaluate, and also compares North Port’s market areas to other locations that have experienced commercial development.

Population 3 Miles 5 Miles 10 Miles 20 Miles North Port Local Markets Toledo Blade and Price 30,991 61,029 154,956 340,073 Sumter and Price 40,093 63,024 138,803 358,323 Toledo Blade and I-75 14,402 40,505 137,223 350,984 Sumter and I-75 20,578 50,742 113,167 378,579 Tamiami Trail 29,893 56,869 153,322 341,053 West Villages Area 8,049 34,449 178,501 379,311 Other Nearby Markets Port Charlotte Town Center 85,424 185,481 328,660 Kings Highway and I-75 68,688 149,727 284,077 Miromar Outlets and Gulf Coast Town Center 64,612 168,850 804,862

Median Household Income 3 Miles 5 Miles 10 Miles 20 Miles North Port Local Markets Toledo Blade and Price $ 56,880 $ 51,679 $ 44,041 $ 46,142 Sumter and Price $ 51,096 $ 48,400 $ 45,834 $ 47,927 Toledo Blade and I-75 $ 58,641 $ 56,619 $ 44,366 $ 46,120 Sumter and I-75 $ 55,811 $ 51,312 $ 46,609 $ 48,634 Tamiami Trail $ 57,127 $ 52,297 $ 44,040 $ 46,112 West Villages Area $ 35,415 $ 43,624 $ 46,745 $ 49,220 Other Nearby Markets


23

Port Charlotte Town Center $ 44,518 $ 45,542 $ 45,970 Kings Highway and I-75 $ 40,277 $ 46,668 $ 44,845 Miromar Outlets $ 57,733 $ 58,239 $ 51,449

The previous tables demonstrate that certain areas of North Port have population and income densities that are close to other locations in the region that have experienced retail development and investment, depending on the radius that is being evaluated. This is especially true for the 20-mile radius, which will strengthen the opportunity for retail development in locations that are easily accessible, such as the I-75 interchanges at Sumter and Toledo Blade Boulevards.

Retail Sector Opportunities North Port consumers travel outside of the area for furniture & home furnishings, book stores, clothing, electronics & appliances, sporting goods, and especially dining and nightlife. The Peer and Competitor analysis found on page 49 of the Research Summary document indicated that these sectors are good opportunities for retail growth based on how other similar communities have developed. The analysis of the Retail Gap by Sector confirms that these are areas of opportunity for retail growth, and the Potential Space Demand analysis indicates that there is significant demand that can support additional leasing and shopping center development in these categories.

Some of the targeted retailer opportunities include the following sectors and retail brands. These are opportunities in the marketplace that consider local brand, consumer spending and demographics, and market potential; however, the strategies to attract these brands must also focus on relationships, credibility of the city, and available real estate, especially in situations where the initial market analysis by the individual retailer does not indicate strong market potential. In some cases, the retailers that are identified may only consider a location in a new shopping center, town center, or power center development.

Furniture and Home Furnishings

City Furniture Ashley Furniture

Pier 1 Imports Crate and Barrel

There are many furniture and home furnishing stores in the nearby regional market, especially Port Charlotte and some in Venice. Furniture and Home Furnishings is an area of significant potential to serve not only the existing market, but for retailers to position themselves for North Port’s future growth. North Port’s retail attraction efforts should include identification of area entrepreneurs and small business owners in this sector that will consider expansion or relocation to North Port as space becomes available.

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCLDhrcHI6MYCFUQmHgodTx4GiA&url=http://uncyclopedia.wikia.com/wiki/User:YouKnowWhatTheMusicMeans/Crate_and_Barrel&ei=B1CsVfDBMsTMeM-8mMAI&bvm=bv.98197061,d.dmo&psig=AFQjCNFr-aZfORHq7DkT3TK2LRT10SBg5A&ust=1437442429852355


24

Electronics and Appliances

Best Buy

HH Gregg

Brandsmart USA

The electronics sector is heavily dominated by big box stores and online retailers such as Amazon. This sector has seen significant consolidation and contraction, with liquidation by brands such as Circuit City and significant reductions by Radio Shack. Additionally, retailers such as Wal Mart, Costco and Target provide significant competition in this sector. The presence of large format retailers such as Wal Mart along Tamiami Trail and projects such as Cocoplum, the planned Richard’s Foodporium, and other destinations may be attractive for companies such as Best Buy, HH Gregg, or Brandsmart USA, especially when North Port’s future household growth is considered. Best Buy’s closest stores are in Port Charlotte and Sarasota, while HH Gregg’s closest stores are in Sarasota and Fort Myers. Successful attraction of retailers in this sector is heavily dependent on relationships between the retailers, shopping center developers and real estate brokers.

Sporting Goods, Hobby, Book and Music Stores

Dick’s Sporting Goods Cabela’s Gander Mountain Michaels

LA Fitness Planet Fitness Toys R Us

Cocoplum Shops has been a very successful addition to North Port’s retail offerings, and one of the most popular attractions is Hobby Lobby. North Port’s diversity of age and good education system are elements that support growth of this sector, and the importance of health and wellness, fitness and recreation are additional strengths that the city’s retail attraction efforts can capitalize on to attract retailers in this sector by connecting to their brand identity. While Sports Authority has a presence in Port Charlotte, the nearest Dick’s Sporting Goods

stores are in Fort Myers and Bradenton, with a large gap in market coverage in the North Port area. While some Toys R Us locations have closed, the popularity of Hobby Lobby, the presence of many school age children and North Port’s future household growth indicate that the city may be a strong candidate for a new Toys R Us location.

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCPTEwebI6MYCFUl1Hgod7hYLiQ&url=http://www.pixbam.com/brandsmart&ei=VVCsVbTGLcnqee6trMgI&bvm=bv.98197061,d.dmo&psig=AFQjCNFHoak2979t9zaC1R9pqYEgxXX7gw&ust=1437442513763564

https://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCPPL_4rJ6MYCFcssHgod2cAP0Q&url=https://en.wikipedia.org/wiki/Michaels&ei=olCsVfPyD8vZeNmBv4gN&bvm=bv.98197061,d.dmo&psig=AFQjCNEKEjcZ7qHT_MpL4gbLuySHRPhWVw&ust=1437442577027637


25

Clothing and Clothing Accessories Stores

Sunglass Hut Kay Jewelers American Eagle Outfitters American Apparel Marshall’s Gymboree Ross The Limited Kohl’s

Clothing and Accessories is the sector in which Port Charlotte Town Center attracts significant spending by North Port residents, with the presence of several of the retailer targets identified above. A key element to attracting shoppers to clothing stores is variety and selection. The City’s retail attraction efforts to attract additional clothing retailers should be coordinated with shopping center developers that have the available space to accommodate multiple clothing retailers as well as the relationships with the decision makers at the target retailers.

Food Services and Drinking Places

Golden Corral Cracker Barrel Sweet Tomatoes Texas Roadhouse

Longhorn Steakhouse Jimmy John’s California Pizza Kitchen Chipotle

Dining and entertainment were identified as the items for which North Port residents travel the farthest. There are many establishments in this area, at national, regional and local levels. The city’s efforts to attract restaurants should include national brands such as those identified above and others that are identified through relationships with commercial real estate brokers and at events such as the ICSC conference. Unique-locally owned food and beverage establishments add character and authenticity to an area and should be identified for expansion or relocation to North Port – identification of North Port resident restaurateurs is a key element to successfully attracting new restaurant offerings.

Additional retailer opportunities include general merchandise stores such as Aldi, Wawa, Target and BJ’s Wholesale Club. These retailers have expressed interest in the North Port market in the past.

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCMWFqqrJ6MYCFcnVHgodo7gJZw&url=http://set.modastore.blogsite.org/images-clothing-store.html&ei=41CsVYWIO8mre6PxprgG&bvm=bv.98197061,d.dmo&psig=AFQjCNHy4zW4mpiLUCD6-DmPknYEYAjv7w&ust=1437442638406331

https://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRxqFQoTCMfg6NDJ6MYCFUbYHgod17oAlQ&url=https://www.localresearch.com/listings/california-pizza-kitchen-4/&ei=NFGsVcf2Kcawe9f1gqgJ&bvm=bv.98197061,d.dmo&psig=AFQjCNHqgE54KEin3MP9NrkyPQT3qk2E0w&ust=1437442733147293


26

Market Maximization Action Plan Purpose

The purpose of the Market Maximization Action Plan is to identify strategies and actions that will improve North Port’s competitive position to attract retail and shopping center development and leasing, by creating an environment that enables efficient and successful implementation of the Strategic Leasing Plan.

Recommendation

Continue implementation of a comprehensive diverse economic development strategy which includes retail industry growth as a critical element that provides opportunities for employment, investment, entrepreneurship, social activity, aesthetic improvement and enhanced resident quality of life.

Goals

• Attract additional shopping center development; • Attract additional investment in other industries that support job creation; • Pay attention to residential quality of life so that North Port continues to provide an attractive

lifestyle that attracts and retains residents; • Build a supportive entrepreneurial, small business and investor ecosystem; • Set North Port apart from competitors based on market strength, unique assets and reputation.

Strategies

• Capitalize on community pride and the desire that North Port residents have to support their community and its businesses;

• Connect market potential and brand differentiation with a theme that uniquely combines opportunity with health and wellness, fitness and recreation, outdoors and ecotourism;

• Identify entrepreneurs and small business owners to locate to or expand in North Port, especially in the Furniture and Home Furnishings, Clothing and Accessories, and Food and Beverage sectors;

• Focus on responsiveness to and building relationships with a network of real estate brokers in Sarasota and Charlotte Counties, local property owners and developers, and support their efforts to sale and lease space.

Actions

• Continue implementation of the Citywide Economic Development Strategy. o Retail does not happen in a vacuum. It is an important asset for a community’s quality of life,

and other citywide economic development strategies such as residential development, special events, art and culture, industrial and manufacturing growth, education and health care all influence retail development.

o Continued implementation of the economic development strategy benefits all industries, including retail.


27

o The elements of the Citywide Economic Development Strategy that can significantly benefit retail attraction efforts include: Promotion of available sites and buildings which can assist developers and retailers

during their due diligence stage; Create a regulatory environment that embraces collaboration and cooperation and

ensures fairness, predictability, timeliness and responsiveness. Regulatory hurdles and delays can have a significant impact on a project’s financial feasibility, and a community’s reputation is a critical element that is evaluated during a project’s feasibility analysis;

Encourage development of office and business parks at or near key interchanges which can attract additional commerce, jobs, and workforce to support retail establishments;

Enhance exposure and name recognition for the City of North Port; Explore city assets to determine tourism opportunities to attract additional

visitors that can support the city’s retail stores and restaurants; Increase the amount of new multifamily housing to improve North Port’s metrics

especially during the initial stages of site selection; Develop a unique, customized database of market and real estate information that

can respond to real-time conditions and prospect and customer needs and assist developers, retailers and real estate brokers during due diligence;

• Facilitate new residential development while also focusing on residential retention in North Port. o North Port should continue to work with residential developers to help facilitate their

investments which will attract additional households to the city which will support additional retail development.

o The city should continue open communication with residential developers to identify their unique needs which the city can influence. Responsiveness, customer service and timeliness are critical areas to developers and should be a focus of the City.

o A strong market research program that provides meaningful, relevant information to residential developers should be a priority. This market research program should respond to developers unique needs and requests and grow over time as new data points are identified that are important to developers and investors interested in North Port.

• Continue to work to address aesthetics of the community, especially along Tamiami Trail. • Identify prospective resident entrepreneurs and residents that own or operate retail

establishments in other locations. o Conduct additional online surveys of residents to identify entrepreneurs that live in North

Port, and further identify if their business is in North Port or another location. o Once local entrepreneurs are identified, partner with organizations such as the Chamber

of Commerce and Economic Development Council to conduct outreach to the entrepreneurs to determine: If their business is in North Port, how are they performing, what challenges are

they facing, and are they considering expansion.


28

If their business is not in North Port, provide market and real estate information on opportunities in North Port, and determine if the entrepreneur is a candidate for relocation or expansion to North Port.

Match prospective entrepreneurs with local real estate brokers, property owners and developers.

• Educate local small businesses and entrepreneurs on the potential to tap into additional retail demand.

o Work with organizations such as SCORE, the Small Business Development Center, the SBA, the Chamber of Commerce, and the Economic Development Council to provide an educational series about technical assistance resources that are available for businesses and to promote opportunities in North Port and help the local businesses understand the market opportunities.

• Work with property owners and developers along I-75 to recruit a hotel to North Port. o Update the city’s hotel demand analysis. o Meet with hotel developers that are considering North Port to gain a better understanding of

local market conditions, cost drivers, and other investment criteria. o Develop a marketing campaign that targets residents, day-trippers and tourists with a theme

that uniquely combines health and wellness, fitness and recreation, outdoors and ecotourism.

• Continue to focus on supporting developing commerce and light industrial uses that support a healthy workforce.

• Maintain up-to-date site database and readiness/availability reports for available development sites and commercial vacancies (focus on responsiveness).

o These site readiness reports should include information on: Real estate market conditions including availability, costs, and occupancy. Infrastructure availability Market Analysis Environmental issues and considerations Transportation and access Summary of city actions and efforts that support economic development

• Build a responsive market research program to support property owners, developers and prospects.

o Establish relationships with organizations that can assist with data and information such as the Florida Department of Economic Opportunity, Workforce Florida, Visit Florida, and the Florida Department of Revenue.

o Subscribe to data services including CoStar and ESRI and participate in user training opportunities for online data services.

o Participate in organizations engaged in best practices for economic development research including C2ER and the International Economic Development Council.

o Maintain communication with local developers and real estate brokers to validate the data that is available and identify additional data needs.

o Manage the market research program with a ‘can-do’ approach that is responsive to the needs of the prospect. One of the biggest mistakes that municipal market research


29

programs make is 1) assuming that they know what data should be provided, and 2) not going the extra mile to find a data point that is requested by a prospect but not currently tracked by the municipality.


30

Strategic Leasing Plan

The Strategic Leasing Plan identifies unique opportunities for retail attraction and shopping center development in different commercial areas in North Port. North Port has several Activity Centers which guide land use and development, and which each have unique characteristics.

Current Leasing Opportunities

As of July 2015, there are 23 retail properties in North Port with 42 retail spaces available for lease according to CoStar.

Total Square Feet 375,837 Available Square Feet 71,112 CoStar Rent Estimate Per Square Foot $13.52

Available Properties

These properties are identified on the above map, and the following chart provides the population total and median income for the area within a 5-mile radius of the property. This allows for the ranking of each property according to these two demographic categories to identify the most attractive properties for marketing and retail attraction efforts. This table also includes the number of workers that are employed at locations within the 5-mile radius as well.


31

5- Mile Radius Characteristics of Properties for Lease, July 2015

Address Population Median Income

Local Jobs

Population Rank

Income Rank

Combined Rank

3535-3565 Bobcat Village Center 69,320 $47,387 24,486 1 4 5 1301 S Sumter Blvd 63,877 $46,217 11,588 4 8 12 1339 N Sumter Blvd 63,379 $46,221 11,049 7 7 14 1037 S Sumter Blvd 63,493 $46,199 11,276 5 9 14 5601 Tuscola Blvd 61,716 $46,243 12,072 10 6 16 1081-1251 Toledo Blade Blvd 60,062 $47,928 23,142 15 3 18 2000 Toledo Blade Blvd 52,364 $50,077 20,179 18 1 19 1073-1173 N Toledo Blade Blvd 58,289 $48,321 22,699 17 2 19 14809-14999 Tamiami Trl 63,468 $46,081 14,081 6 13 19 4480 Aidan Ln 66,907 $45,711 20,934 3 18 21 4301-4411 Aidan Ln 67,090 $45,609 21,778 2 19 21 5601 Tuscola Blvd 61,352 $46,195 11,811 12 10 22 5601 Tuscola Blvd 61,702 $46,165 12,156 11 11 22 5601 Tuscola Blvd 62,506 $45,992 12,509 8 15 23 5601 Tuscola Blvd 61,321 $46,136 11,810 13 12 25 14876-14904 Tamiami Trl 62,032 $45,911 12,190 9 17 26 4637 E Price Blvd 47,732 $47,327 19,191 23 5 28 14800-14872 Tamiami Trl 61,097 $46,051 11,788 14 14 28 14525 S Tamiami Trl 59,323 $45,967 10,151 16 16 32 13600-13680 S Tamiami Trl 52,266 $44,757 8,065 19 20 39 12767 S Tamiami Trl 48,396 $43,938 7,773 20 21 41 12731 S Tamiami Trl 48,042 $43,874 7,783 21 22 43 12715 S Tamiami Trl 47,754 $43,831 7,769 22 23 45

Source: CoStar

Summary of Activity Center Demand

Each Activity Center has existing local market demand for convenience items and neighborhood-serving retail, and even though there may be limited demand for certain categories citywide, there still exists supportable demand at the local market level. Below are supportable demand expressed in potential square feet:

AC1 AC2 AC3 AC4 AC5 AC8 Total

Furniture & Home Furnishings Stores 1,923 5,162 724 112 2,960 - 10,881

Electronics & Appliance Stores 8,037 6,582 1,085 84 4,249 2,011 22,048

Bldg Materials, Garden Equip. & Supply Stores - - 1,205 120 6,807 3,175 11,307

Food & Beverage Stores - - 7,839 651 16,323 12,398 37,211

Health & Personal Care Stores - - 3,726 253 6,894 932 11,805

Clothing & Clothing Accessories Stores 36,461 30,455 6,522 512 26,908 11,322 112,180

Sporting Goods, Hobby, Book & Music Stores 2,507 2,181 1,562 131 5,949 2,516 14,846

General Merchandise Stores - - 14,394 982 64,079 13,660 93,115

Miscellaneous Store Retailers 4,567 5,444 627 0 5,308 1,668 17,614

Food Services & Drinking Places - 10,051 5,431 428 23,444 9,480 48,834

Total 53,495 59,875 43,115 3,273 162,921 57,162 379,841

There is overlap of demand between different activity centers, and in some categories, the aggregate activity center demand may exceed the total demand in the marketplace. This is primarily evident in North Port’s already strong retail clusters such as Building Materials, Grocery, Health & Personal Care and


32

General Merchandise. These are dominated by already present large format retailers such as Wal Mart, Home Depot, Lowe’s and Publix. There are certain activity centers however that demonstrate additional demand for these categories, and that demand will increase as the residential population grows. The feasibility and market maximization phase of this project will identify opportunities to capitalize on that growth and attract additional retail in these categories in the following areas and corresponding Activity Centers:

• Price and Toledo Blade (Activity Center 5) • Toledo Blade and I-75 (Activity Center 4) • Sumter Blvd and I-75 (Activity Center 3) • Sumter Blvd and Price (Activity Center 2) • Tamiami Trail (Activity Center 1) • West Villages Area (Activity Center 8)


33

Price and Toledo Blade (Activity Center 5) Trade Area

Population Median Income 3 Miles 8,049 $35,415 5 Miles 34,449 $43,624 10 Miles 178,501 $46,745

Retail Opportunities

This is primarily a retail location that serves the local market area, and there is retail demand that can be met locally, which positions this area as a good alternative to Tamiami Trail, especially for local residents that wish to avoid traffic and parking.

Retail Gaps (The amount of local household spending that is being spent outside of the local market area) Furniture & Home Furnishings Stores $ 1,035,958 Electronics & Appliance Stores $ 2,124,343 Bldg Materials, Garden Equip. & Supply Stores $ 2,892,785 Food & Beverage Stores $ 6,529,163 Health & Personal Care Stores $ 3,274,423 Clothing & Clothing Accessories Stores $ 5,381,589 Sporting Goods, Hobby, Book & Music Stores $ 1,487,297 General Merchandise Stores $ 16,019,628 Miscellaneous Store Retailers $ 1,990,451 Food Services & Drinking Places $ 9,377,525 Additional Supportable Square Feet (that can be supported by existing local demand) Furniture & Home Furnishings Stores 2,960 sq. ft Electronics & Appliance Stores 4,249 sq. ft Bldg Materials, Garden Equip. & Supply Stores 6,807 sq. ft Food & Beverage Stores 16,323 sq. ft Health & Personal Care Stores 6,894 sq. ft Clothing & Clothing Accessories Stores 26,908 sq. ft Sporting Goods, Hobby, Book & Music Stores 5,949 sq. ft General Merchandise Stores 64,079 sq. ft Miscellaneous Store Retailers 5,308 sq. ft Food Services & Drinking Places 23,444 sq. ft

Land For Sale


34

A supermarket and liquor store are now open in Activity Center 5. Despite these offerings, the local market has excess demand that is being supplied outside the study area. Additional supermarkets, specialty food stores and liquor, beer and wine retailers are necessary to support the local area’s needs. There is strong food and beverage demand, which can establish an identity that will then attract additional customers and retailers. A restaurant gap of $9,377,525 suggests the need for an additional 23,444 restaurant square footage.

Nearly 82% of the adults within a 5 minute drive radius of the activity center are expected to have eaten at a Family Restaurant or Steak House within the past 6 months. Nearly 35% went to a Family Restaurant or Steak House more than 4 times per month. The five most popular family restaurant or steak houses visited in the past 6 months for those living within 5 minutes of Activity Center 5 are not located in or near the studied area. All of the popular family restaurant or steak houses visited in the past 6 months can be found in Port Charlotte Town Center, except Cracker Barrel, which is located at the King’s Highway exit of I-75. Family restaurants are well suited to take advantage of Activity Center 5’s growing population of families by adding a location within closer proximity of their residence. 58% of the adults within a 5 minute drive radius of the activity center are expected to have purchased take-out or drive-thru from a Fast food or Drive-in within the past 6 months. 41% went to a Fast food or Drive-in to eat-in, 21.5% to take-out, and 10.5% used home delivery. Over one third have eaten breakfast at a Fast food or Drive-in within the past 6 months, nearly 60% had lunch, and over 50% had dinner.

0.0%5.0%

10.0%15.0%20.0%25.0%30.0%35.0%

Eaten at a Family Restaurant or Steak House in the Past 6 Months


35

Two of the five most popular a Fast food or Drive-in’s visited in the past 6 months for those living within 5 minutes of Activity Center 5 are located in or near the studied area, Burger King and Subway. The remaining three can be found near Port Charlotte Town Center.

Fast food and Drive-in’s are well suited to take advantage of Activity Center 5’s growing population of families that value convenience by adding a location within closer proximity of their residence.

Traffic Counts (Average Annual Daily Traffic - AADT)

Price Blvd: 13,100 AADT Toledo Blade Blvd: 16,300 AADT

Real Estate

There is currently approximately 100,000 square feet of existing retail space, and rent trends are recovering; CoStar reports retail rents are in the range of $14-16 per square foot, although there is little leasing activity recently.

Current retail space availability is limited: • 5,600 square feet currently available at Shoppes at North Port in 3 bays of 1,400 square feet each.

Asking rent is $14 per square foot. • Toledo Blade Retail Center is a proposed retail project with 81,000 square feet of space.

0.0%10.0%20.0%30.0%40.0%50.0%60.0%70.0%

McD

onal

d`s

Taco

Bel

lSu

bway

Burg

er K

ing

Wen

dy`s

KFC

Chic

k-fil

-APi

zza

Hut

Arby

`sSo

nic

Driv

e-In

Dairy

Que

enSt

arbu

cks

Dom

ino`

s Pizz

aLi

ttle

Cae

sars

Papa

John

`sPa

nera

Bre

adPo

peye

s Chi

cken

Jack

in th

e Bo

xDu

nkin

` Don

uts

Hard

ee`s

Chip

otle

Mex

. Gril

lKr

ispy

Krem

eLo

ng Jo

hn S

ilver

`sPa

pa M

urph

y`s

Capt

ain

D`s

Wha

tabu

rger

A &

WSt

eak

`n S

hake

Chur

ch`s

Fr.

Chic

ken

Qui

znos

Chec

kers

Chuc

k E.

Che

ese`

sCa

rl`s J

r.W

hite

Cas

tleCo

ld S

tone

…Ba

skin

-Rob

bins

Bost

on M

arke

tDe

l Tac

o

Fast food/drive-in last 6 months


36

Shoppes at Price Crossing

The above aerial illustrates 195± acres of land that is available for development with potential uses that include office, multi-family development, retail, entertainment, assisted living facilities and medical.

o Parcel A: 13 acres o Parcel B: 40 acres


37

o Parcel C: 22 acres o Parcel D: 21 acres

o Parcel E: 101 acres

An additional 18.47± Acres is available on Toledo Blade Blvd south of Price. This land has been cleared and filled, and improvements include utilities extended to site, buffer landscaping, 6’ sidewalks, brick paver turn lanes and offsite retention. Most major earthwork has been completed on and offsite along with the construction of Citizens Parkway.

Developments and Announcements

Suncoast Plaza is a commercial and multi-family development on four tracts and seven outparcels which make up a 39-acre site. The final 4-phase development program will have 90,000 square feet of commercial and 223 multifamily residential units. This project is located east of South Toledo Blade Blvd and South of East Price Boulevard.

A light automotive repair facility with office space is being built on a 1.4 acre site north of Price Blvd on the west side of Toledo Blade Blvd.

Price Crossing is a planned commercial development on 18 acres on the south of Price Blvd east of Citizen’s parkway and west of Toledo Blade Blvd.


38

Recommendations

Build on anchors which attract shoppers such as grocery, and identify opportunities for local small businesses and entrepreneurs;

There is strong food and beverage demand, which can establish an identity that will then attract additional customers and retailers.

Goal

Establish the area brand as a local “fast casual” family oriented, local area. Attract small target business, particularly locally owned and operated food and beverage tenants and other one-of-a-kind local small retail business entrepreneurs.

Strategy

Capitalize on community pride and desire to support local business identifying entrepreneurs and small businesses that can open and/or expand their operations.

Actions

Hire a firm to design the district sub-brand.

• Upon the establishment of the brand as a local fast casual, family-orientated neighborhood district, embark on a visibility campaign that includes signage, wayfinding, banners and/or flags to identify the district.

Create an “Imagine Your Dream Business Here” campaign showcasing small target business images (small café/sandwich shop – salad/smoothie shop – ice cream/froyo shop) and featuring current available space and proposed development. Develop print and digital brochure.

Distribute print collateral at networking events such as Chamber of Commerce, Economic Development Council or other networking events. Share digital collateral on all online media outlets including website, social platforms, blogs and email.

Contact property owners to gauge interest in participating in an “Imagine Your Dream Business Here" campaign – for example:

• Determine which/how many property owners will donate free or reduced rent for a “Small Business Contest” to “win” a space in their property.

• Participants would receive collateral such as window banners or signage about the program. • Launch and advertise the campaign contest. • Contest applicants could create a 30-60 second video explaining their retail concept. • A committee would review the videos and select semi-finalists, who will then submit a business

plan.


39

• The committee would select three to five finalists, who will present their plan to a public panel in the retail space, allowing the community to help choose the winner.

• Utilize all PR opportunities associated with a local, small business campaign contest such as this to garner local, regional and national attention (i.e. http://downtownsac.org/start-a-business/dreamers-welcome/calling-all-dreamers-contest/).

• Partner with companies that promote small business development such as the Wells Fargo Works Program (https://wellsfargoworks.com/) and include their programs in the campaign.

Consider creating a Business Start-Up Program similar to http://launchgloucester.com/businesses/.

• Determine which North Port businesses offer advertising, marketing, social media services, finance, insurance and/or any other service required to launch a new business and would be interested in to donate to the program/contest winner.

• Utilize all PR opportunities associated with a local, small business campaign contest such as this to garner local, regional and national attention.

Encourage retail business owners to take advantage of the opportunity to capture customers currently working in the Toledo Blade commercial corridor.

• Work with retail business owners to develop a VIP customer loyalty program, such as a punch or VIP card for employees working in the Toledo Blade Commercial Corridor.

• Track usage and cross-promotional benefits with business owners. • Encourage business owners to capture customer emails and other relevant data to facilitate

repeat business through sending out promotions and specials via email newsletters.

Collaborate with the Chamber of Commerce and Shop North Port on campaign and promotional effort.

• Discuss having the Chamber of Commerce and Shop North Port market the “Imagine Your Dream Business Here” campaign on their websites, newsletters and social media campaigns.

• Identify opportunities for the Chamber and/or its members and other organizations such as Shop North Port to participate in the above referenced Business Start-Up Program.

http://downtownsac.org/start-a-business/dreamers-welcome/calling-all-dreamers-contest/


https://wellsfargoworks.com/


40

Toledo Blade and I-75 (Activity Center 4) Trade Area



This is an undeveloped location with significant market access that ranges from Venice to Punta Gorda along I-75. It represents the most significant opportunity for large-scale retail development that can compete with Port Charlotte Town Center.

There is significant demand for all retail categories within a 10 and 20-minute drive time, and this location’s 20-minute drive time compares favorably to other commercial areas such as Port Charlotte Town Center, and King’s Highway and I-75, which could support shopping center development at this location. Furthermore, competitive product, successful developer execution and brand identity can allow future retailers at this location the opportunity to penetrate the regional marketplace.

5, 10, and 20 Minute Drive Times


41

Although the current amount of local market spending leakage is small, due to the lower number of residents in this area, this is a good location to recapture retail spending by North Port residents that is currently being spent outside of the city.

This interchange is also the potential location for other types of commerce, including public and private education, business parks, and hotel uses.

Retail Gaps

5 Minutes 10 Minutes Furniture & Home Furnishings Stores $ 39,298 $ 2,496,573 Electronics & Appliance Stores $ 42,042 $ 4,485,497 Bldg Materials, Garden Equip. & Supply Stores $ 51,137 $ 5,471,810 Food & Beverage Stores $ 260,383 $ 18,007,699 Health & Personal Care Stores $ 120,370 $ 9,235,460 Clothing & Clothing Accessories Stores $ 102,333 $ 11,020,755 Sporting Goods, Hobby, Book & Music Stores $ 32,810 $ 3,203,851 General Merchandise Stores $ 245,482 $ 31,493,130 Miscellaneous Store Retailers $ 15 $ 3,627,060 Food Services & Drinking Places $ 171,148 $ 18,806,943

While there is little demand or market within a 5 minute drive, the existing market within a 10 minute drive is significant, and can support new retail development which can also benefit with I-75 access and proximity to other markets.

This location also provides North Port’s best opportunity to compete for dollars that are currently being spent in Port Charlotte and Charlotte County, and at Port Charlotte Town Center. The market is looking for alternatives to Port Charlotte, and will use this location if it provides new retail product that is competitive in terms of variety, pricing and quality.

A General Merchandise gap of $31,493,130 suggests the need for an additional 125,973 sq. ft. of General Merchandise Stores. All of the major retailers in this category can be found near Port Charlotte Town Center. Walmart and Sears offer additional locations, but none are found within the study area. Discount merchandise retailers are also found near Port Charlotte Town Center and along Tamiami Trail. A single discount retailer exists on W. Price Blvd. within the study area.

Additional Supportable Square Feet (that can be supported by existing local demand) 5 minutes 10 Minutes Furniture & Home Furnishings Stores 112 sq ft 7,133 sq ft Electronics & Appliance Stores 84 sq ft 8,971 sq ft Bldg Materials, Garden Equip. & Supply Stores 120 sq ft 12,875 sq ft Food & Beverage Stores 651 sq ft 45,019 sq ft Health & Personal Care Stores 253 sq ft 19,443 sq ft Clothing & Clothing Accessories Stores 512 sq ft 55,104 sq ft Sporting Goods, Hobby, Book & Music Stores 131 sq ft 12,815 sq ft General Merchandise Stores 982 sq ft 125,973 sq ft Miscellaneous Store Retailers 0 sq ft 9,672 sq ft Food Services & Drinking Places 428 sq ft 47,017 sq ft


42

Traffic Counts (Average Annual Daily Traffic)

I-75: 50,000 AADT Toledo Blade Blvd: 16,300 AADT

Real Estate

There is currently no commercial development at this location.

This location has good connection down Toledo Blade to Tamiami Trail, and is easily accessible by the businesses in the commerce park. Toledo Blade provides good connection between this interchange and the intersection with Price, which allows the two areas to develop in a complementary manner.

The City has already made the utilities investment into design, planning, and permitting for the I-75 and Toledo Blade interchange.

There is no current retail space available for occupancy in this location; however, there is developable land for sale:

• 5000 N Chamberlain Blvd is a 6.35 acre property that is currently for sale for $1,750,000. • 5001 N Toledo Blade Blvd is a 14.19 acre property that is for sale for $3,000,000.

5000 N Chamberlain Blvd


43


Suncoast Technical College is building a technical school with meeting rooms and a public library on 30 acres on the southwest corner of the interchange.

Recommendations

Rather than a recruitment strategy at this time, the retail strategies for this interchange should focus on encouraging and facilitating shopping center development. This approach will constitute a more resource intensive effort on the part of the City and is consistent with the Citywide Strategic Plan. This approach is necessary for this location since retail development at this location must be initiated by the major landowner.

Goal

Attract a cross between a power and lifestyle center (reference St. Johns Town Center, Jacksonville) shopping center development.

Strategy

Capitalize on the opportunity to connect market potential with a theme that uniquely combines health and wellness, fitness and recreation, outdoors and ecotourism and shopping. Identify the potential brand (theme) for the location through strategic marketing and consistent messaging.

Actions

Develop marketing collateral (flyer or brochure) showcasing the unique features and property available. Include testimonials from other developers about the ease of development process in North Port.

Prepare Site Readiness Reports for this location that provide detailed information on land availability; workforce; traffic and infrastructure; local and regional market analysis; news clippings and other narrative about local economic growth, new projects and investments, and the city’s proactive approach to business attraction; and comparisons to other locations within the market and comparisons to competitor locations that highlight the strength of this location.

Identify and contact commercial real estate brokers regarding opportunity and objectives.

Attend/participate in co-op booth featuring cities at ICSC in Orlando in August – establish relationships and promote customer service values and developer friendliness (focus is on shopping center and hotel developers).

Maintain a constant and consistent “sales” message regarding this location – sometimes referred to as simply “making noise”. Use all available avenues (social media, website, press releases, networking


44

events, banker/broker/developer receptions, etc…) to promote this and other available development sites enhancing “word of mouth” marketing.

A dedicated shopping center attraction effort is critical to ensuring the success of the recommendations. The City will be well served in engaging a business attraction firm or hiring a retail development professional to work under the economic development division. A retainer approach may allow the City to engage additional services such as other marketing and branding efforts for retail attraction which must be coordinated with shopping center development efforts. Ultimately, successful retail development at this location depends on significant private sector action and investment, and the city and the economic development division should continue communication with the stakeholders to encourage them to move forward and to provide assistance on issues that the city can address.


45

Sumter and I-75 (Activity Center 3) Trade Area

Population Median Income 3 Miles 20,578 $55,811 5 Miles 50,742 $51,312 10 Miles 113,167 $46,609 Retail Opportunities

There is good local market demand at this location, and retail development could also penetrate the I-75 transient market. There is also demand in the larger market area (15-30 minute drive time), and successful developer execution will be necessary to effectively compete at this location in the near term;

This interchange has close proximity to many conservation lands and outdoor recreation opportunities.

Retail Gaps Furniture & Home Furnishings Stores $ 253,271 Electronics & Appliance Stores $ 542,682 Bldg Materials, Garden Equip. & Supply Stores $ 512,235 Food & Beverage Stores $ 3,135,558 Health & Personal Care Stores $ 1,769,737 Clothing & Clothing Accessories Stores $ 1,304,478 Sporting Goods, Hobby, Book & Music Stores $ 390,479 General Merchandise Stores $ 3,598,592 Miscellaneous Store Retailers $ 235,224 Food Services & Drinking Places $ 2,172,301 Additional Supportable Square Feet Furniture & Home Furnishings Stores 13,075 Electronics & Appliance Stores 15,390 Clothing & Clothing Accessories Stores 84,984 Sporting Goods, Hobby, Book & Music Stores 13,351 Miscellaneous Store Retailers 14,736 Food Services & Drinking Places 43,240


I-75: 56,960 AADT Sumter Blvd: 12,400 AADT

Land for Sale


46

Real Estate

There is currently no commercial development at this location.

The Southeast corner of the intersection may be a future hospital site.

The City has already made the utilities investment into design, planning, and permitting for the I-75 and Sumter Boulevard interchange.

There is no current retail space available for occupancy in this location; however, there is developable land for sale:

• 5001 N. Sumter Blvd is a 25 acre site that is for sale for $10,890,000. • 4901 N Sumter Blvd is a 25 acre site that is for sale for $6,300,000.

Recommendations

Evaluate and pursue brand positioning that can connect retail to the outdoor/recreation theme, such as Gander Mountain, Cabela’s, or Bass Pro Shops. A BJ’s Wholesale Club could potentially be supported at this location.

Goal

Attract a stand-alone niche retailer traveler amenities and outdoor recreation-themed retailers.

Strategy

Connect market potential and brand differentiation with a theme that uniquely combines opportunity with health and wellness, fitness and recreation, outdoors and ecotourism;

Actions

Develop marketing collateral (flyer or brochure/site-specific packet) showcasing the unique features and property available. Include testimonials from other developers and/or local architect/engineer firms and planners to reinforce that the site is shovel-ready (provide access to these professionals).


Attend/participate in co-op booth featuring cities at ICSC in Orlando in August – establish relationships and promote customer service values and developer friendliness (focus is on shopping center and hotel developers), armed with a site specific packet ready to discuss site development to prospects if and when the right contact is identified.



47

Attend/participate in co-op booth featuring cities at ICSC in Orlando in August – establish relationships and promote customer service values and developer friendliness (focus is on stand-alone niche retailers and I-75 traveler amenities).

Prepare Site Readiness Reports for this location that provide detailed information on land availability; workforce; traffic and infrastructure including the design and permitting that has already been completed; local and regional market analysis; news clippings and other narrative about local economic growth, new projects and investments, and the city’s proactive approach to business attraction; and comparisons to other locations within the market and comparisons to competitor locations that highlight the strength of this location.

Contact Cabela’s and restart the connection and continue previous discussions. Utilize any existing relationships with Cabela’s senior management.


48

Price and Sumter (Activity Center 3 - North Port City Center) Trade Area


Retail Gaps

Motor Vehicle & Parts Dealers $ 27,505,929 Furniture & Home Furnishings Stores $ 1,806,545 Electronics & Appliance Stores $ 3,290,756 Gasoline Stations $ 10,374,341 Clothing & Clothing Accessories Stores $ 6,090,945 Sporting Goods, Hobby, Book & Music Stores $ 545,322 Miscellaneous Store Retailers $ 2,041,374 Food Services & Drinking Places $ 4,020,384


This is primarily a retail location that serves the local market area, generally defined as a 5-minute drive time, with a secondary market that includes the rest of North Port, due to the location of City Hall and the designation of this area as North Port’s City Center. Additional commercial development such as the Wal Mart Neighborhood Center will strengthen this identity, which will help attract additional retail and restaurant investment. Currently there is strong local demand from this market area for Clothing and Clothing Accessories and Restaurants. However, this location is competitive with other locations within the market, especially Tamiami Trail. This area also shows potential in the furniture and home furnishings, electronics and sporting goods sectors, which are opportunities for local entrepreneurs and small businesses.

Suitable businesses for this location include Golden Corral restaurant and a Planet Fitness.

Additional Supportable Square Feet Furniture & Home Furnishings Stores 5,162 Electronics & Appliance Stores 6,582 Clothing & Clothing Accessories Stores 30,455 Sporting Goods, Hobby, Book & Music Stores 2,181 Miscellaneous Store Retailers 5,444 Food Services & Drinking Places 10,051


Sumter Blvd: 12,400 AADT Price Blvd: 13,100 AADT


49

Real Estate

This intersection has good location and traffic accessibility.

There is a total of approximately 117,000 square feet of retail, and CoStar reports $15 per square foot rents with very low vacancy.

Current retail space availability is limited:

• 1339 N Sumter Blvd has 1,446 square feet available for lease; • 1307 S Sumter Blvd has 1,200 square feet available for lease (Paradise Shoppes of Heron Creek, a

15,600 s.f. retail center); • 1301 S Sumter Blvd has 2,836 square feet available for lease in a proposed retail building which

will also house a Dunkin’ Donuts;


Heron Creek Place is phase 2 of the commercial subdivision on the Towne Center Property which is North of Price Blvd and East of Sumter. Additionally, Heron Creek Town Center will construct the infrastructure to serve seven commercial parcels and one future residential parcel.

A 2,123 Dunkin’ Donuts is part of 5,000 square foot retail building on Sumter south of Price Blvd;

A 44,000 square foot Wal Mart Neighborhood Market is being constructed with an additional 4,800 square feet of retail south of Price Blvd east of Sumter.

Recommendations

Target restaurant uses which can attract demand from outside the area, increasing the area’s market penetration and building additional retailer interest. Restaurants that were identified by stakeholders, forum attendees and the survey included Sweet Tomatoes and Golden Corral. Other potential restaurant targets include California Pizza Kitchen, Cracker Barrel, and Longhorn Steakhouse.

Goal

Establish the area brand as slightly more upscale (less casual) than Activity Center 5 attracting unique dining experiences and shops to the 3 available spaces. Complete Heron Creek Town Center and attract additional commercial development.

Strategy

Identify entrepreneurs and small business owners to locate to or expand in North Port, especially in the Furniture and Home Furnishings, Clothing and Accessories, and Food and Beverage sectors;

Actions

Hire a firm to design the district sub-brand.

• Upon the establishment of the brand as a somewhat upscale retail and dining district, embark on a visibility campaign that includes signage, wayfinding, banners and/or flags to identify the district.


50

Create an “Imagine Your Dream Business Here” campaign showcasing target business images (fine dining, specialty shops, especially design and home accessories) and featuring current available space and Phase 2 of the Heron Creek Place development. Develop print and digital brochure.

Distribute print collateral at networking events such as Chamber of Commerce, Economic Development Council or other networking events. Share digital collateral on all online media outlets including website, social platforms, blogs and email.

Contact property owners to gauge interest in participating in an “Imagine Your Dream Business Here" campaign – for example:

• Determine which/how many property owners will donate free or reduced rent for a “Small Business Contest” to “win” a space in their property(ies).

• Participants would receive collateral such as window banners or signage about the program. • Launch and advertise the campaign contest. • Contest applicants could create a 30-60 second video explaining their retail concept. • A committee would review the videos and select semi-finalists, who will then submit a business

plan. • The committee would select three to five finalists, who will present their plan to a public panel in

the retail space, allowing the community to help choose the winner. • Utilize all PR opportunities associated with a local, small business campaign contest such as this

to garner local, regional and national attention (i.e. http://downtownsac.org/start-a-business/dreamers-welcome/calling-all-dreamers-contest/).

• Partner with companies that promote small business development such as the Wells Fargo Works Program (https://wellsfargoworks.com/) and include their programs in the campaign.

Consider creating a Business Start-Up Program similar to http://launchgloucester.com/businesses/.

• Determine which North Port businesses offer advertising, marketing, social media services, finance, insurance and/or any other service required to launch a new business and would be interested in to donate to the program/contest winner.

• Utilize all PR opportunities associated with a local, small business campaign contest such as this to garner local, regional and national attention.

Attend ICSC with brokers/developers of the Heron Creek Town Center development to assist with retail recruitment as needed.

Work with local commercial real estate brokers to support their efforts to lease space to restaurants such as Golden Corral and Sweet Tomatoes.



https://wellsfargoworks.com/


51

Tamiami Trail (Activity Center 1) Trade Area


Retail Gaps

Furniture & Home Furnishings Stores $ 673,072 Electronics & Appliance Stores $ 4,018,393 Gasoline Stations $ 10,357,227 Clothing & Clothing Accessories Stores $ 7,292,252 Sporting Goods, Hobby, Book & Music Stores $ 626,750 Miscellaneous Store Retailers $ 1,712,503


Tamiami Trail is currently a destination that attracts spending from outside of North Port, and is anchored by Coco Plum Shops, Wal Mart, Home Depot and many other retail uses. It has a strong cluster to build on in all categories. The following map illustrates the 5, 10, and 10-minute drive time market for Tamiami Trail.

This stretch of US-41 in North Port is increasingly being referred to as the Golden Mile of North Port.


52

Tamiami Trail is currently a destination that attracts spending from outside of North Port, and is anchored by Coco Plum Shops, Wal Mart, Home Depot and many other retail uses. It has a strong cluster to build on in all categories from the County line with Charlotte County west toward Tuscola Crossing. The Golden Mile is an area that already attracts a significant number of shoppers from outside the area and has a Retail Surplus in categories including Food and Beverage Stores, Building Materials, Garden Equipment & Supply Stores, Health & Personal Care Stores and General Merchandise Stores.

Additional retailers that could be targeted for the Golden Mile include Michaels, Toys R Us, and Kay Jewelers. The western end of Tamiami Trail could eventually be appropriate for activities such as LA Fitness and bowling as additional residential develops in the West Villages area. Based on the spending trends and supportable square feet, there can be significant opportunity for additional Clothing and Accessories retailers and Food and Beverage Establishments.


Tamiami Trail: 30,000 AADT

Real Estate

Tamiami Trail is really one market area that extends from the western part of North Port through Port Charlotte. This entire corridor through North Port and Port Charlotte has over 5 million square feet of retail with lower rents (CoStar reports and average of $11-13 per square foot). There is over 500,000 square feet available in this corridor.

The section of Tamiami Trail that is in North Port only has 1.4 million of the corridor’s 5 million square feet of retail. Reported rents are slightly higher ($14-15 per square foot), and only 10% of the corridor’s available retail space in in the North Port section of Tamiami Trail. The public infrastructure and aesthetics are better in the North Port section of Tamiami Trail, as is the quality of most private property. Furthermore, North Port’s market strength is demonstrated by the lower vacancy rates, the popularity of Coco Plum Shoppes, and the slightly higher rent trends.

The majority of the available retail space in North Port is along Tamiami Trail, however most of it is limited to smaller spaces (1,200-5,500 square feet) and not suitable for many users, especially national retailers. These small spaces represent good opportunities for new entrepreneurs and expanding local small businesses.

For Lease • 4301 Aidan Lane (Sumter Crossing East, 37,476 s.f. building) has 15,000 s.f. available; • 4480 Aidan Land has 1,500 square feet available; • 121 Playmore Drive has 2,319 square feet available; • 14800 Tamiami Trail (North Port Commons 42,000 s.f.) has 5,200 square feet available; • 14809 Tamiami Trail (Shoppes of North Port, 96,866 s.f.) has 3,600 square feet available; • 14876 (North Port Commons) has 2,396 square feet available; • 12715 S Tamiami Trail (Warm Mineral Springs Plaza) has 1,400 square feet available; • 12371 S Tamiami Trail has 5,500 square feet available; • 12,767 S Tamiami Trail has 4,810 square feet available;


53

• 13600 S Tamiami Trail has 1,240 square feet available; • 14525 S Tamiami Trail has 3,600 square feet available; • 14942 S Tamiami Trail has 8,400 square feet available; • 5601 Tuscola Blvd has 6,000, 10,500, 10,150, 6,000 and 60,000 square foot buildings proposed.

For Sale

• 12500 S Tamiami Trail is a 9,150 s.f. retail strip center on 2.97 acres, and a total of 6.98 acres on Tamiami Trail at El Prado. 4 acres are vacant. $4,500,000;

• 5.88 acres for sale on Tamiami Trail at River Road in a portfolio of two properties. $2,100,000; • 14876 Tamiami Trail: 23,500 s.f. strip center on Tamiami Trail at Tuscola Blvd has a 1,280 s.f. retail

condominium for sale for $239,000, and a 2,505 s.f. retail condominium for sale for $250,000. • 14980 Tamiami Trail is a 5,000 s.f. retail building built in 2015. $2,750,000; • 9001 S Tamiami Trail is a 4,081 s.f. retail convenience store building built in 1973 on 1.38 acres.

$749,000; • 12000 S Tamiami Trail is a 4,158 s.f. retail building on .57 acre at Tamiami Trail and Ortega Pl.

$799,000;12767 S Tamiami Trail is a 4,810 s.f. retail bank building built in 1986. 0.37 acres, $449,000.


Popeye’s is building a 2,000 square foot location at 14914 Tamiami Trail;

Aldi has a 37,947 square foot building under construction at 6000 Salford Blvd;

Cocoplum Plaza is a new retail center on 17.5 acres east of the existing Cocoplum Shoppes, between Salford and Cranberry Boulevards.

Mattress Firm has a new location on Tamiami Trail.

Land for Sale


54

Tuscola Crossing is located on the North side of Tamiami Trail east of the Lowe’s at Tuscola Blvd.

Recommendations

Unified, cooperative marketing is needed to build additional shopper awareness and compete with Port Charlotte Town Center.

Target diversification and expansion of Clothing and Clothing Accessories selections and Restaurants.

Work with planned shopping center developments to support with their leasing and marketing plans.

Work with local developers and commercial real estate brokers to contact target retailers such as Michaels, Toys R Us, Kay Jewelers, and LA Fitness.

Goal

Tamiami Trail is already being referred to as the “Golden Mile”. This is a strong identity and efforts to brand the area for additional retail attraction could build on and capture this emerging brand that is already evolving in the marketplace. Tamiami Trail is already being Connect existing centers with the development of the new planned centers and market remaining opportunities to complete “the mile”.

Strategy

Continue to work to address aesthetics of the community along Tamiami Trail to create a stronger sense of place, showcasing the area’s position in the marketplace.

Actions

Develop a cooperative marketing program for existing businesses along the “Golden Mile”. Create a map or guide featuring all of the offerings (or a “did you know there are xx salons, xx restaurants, xx fashion shops, etc…) collateral that links to a website with up-to-date business information.

Work with local stakeholders to identify options to develop and install consistent branded wayfinding signage that improves the sense of place and improves messaging to the drive-by market building on what is already provided in the code.

Develop collateral showcasing planned projects and remaining available developable sites. Position the opportunities as part of the greater opportunity to be located within the “Golden Mile”.


Attend/participate in co-op booth featuring cities at ICSC in Orlando in August – establish relationships and promote customer service values and developer friendliness (focus is on shopping center and stand-alone niche retailers).

West Villages and Warm Mineral Springs Area


55

Trade Area



Retail demand is strong, with little existing competition in the immediate area. Demand will continue to grow as residential development continues and new higher income households move in.

This area has good access to North Port and Venice, and is an opportunity to attract shoppers that want to avoid congestion on Tamiami Trail, and/or who want an alternative to I-75. This area has strong town center development opportunity which can include Publix Supermarkets, LA Fitness, an entertainment concept bowling alley such as Lucky Strikes Lanes, a movie theater, and clothing and neighborhood serving retail.

5, 10, and 20 minute drive time marketplace

Retail Gaps

Electronics & Appliance Stores $ 1,005,505


56

Bldg Materials, Garden Equip. & Supply Stores $ 1,349,195 Food & Beverage Stores $ 4,959,267 Health & Personal Care Stores $ 442,699 Gasoline Stations $ 4,060,040 Clothing & Clothing Accessories Stores $ 2,264,414 Sporting Goods, Hobby, Book & Music Stores $ 628,966 General Merchandise Stores $ 3,414,967 Miscellaneous Store Retailers $ 625,613 Food Services & Drinking Places $ 3,792,169

Additional Supportable Square Feet (that can be supported by existing local demand) Electronics & Appliance Stores 2,011 Bldg Materials, Garden Equip. & Supply Stores 3,175 Food & Beverage Stores 12,398 Health & Personal Care Stores 932 Clothing & Clothing Accessories Stores 11,322 Sporting Goods, Hobby, Book & Music Stores 2,516 General Merchandise Stores 13,660 Miscellaneous Store Retailers 1,668 Food Services & Drinking Places 9,480


Tamiami Trail: 17,100 AADT

Real Estate

Significant residential development is planned during the next several decades, and will eventually have between 20-30,000 households.

Commercial development of up to 3 million square feet is planned as the residential development in this area grows. There is significant retail space development planned in the near term.


The Warm Mineral Springs Wellness Center is 14 acres of health and wellness activity and will include recreation, retail, hotel and spa facilities in 270,000 square feet. This project is projected to open in 2017/2018.

Gran Paradiso Phase 3 is 100 new paired villa lots and associated infrastructure on 32 acres within the Gran Paradiso development;

The Preserve is a 106-lot subdivision by Mattamy Homes on 71.55 acres located on the northwest corner of River Road and West Villages Boulevard.

Recommendations