BOMA Presentation: Economic Trends & Development Initiatives in Cleveland

www.RethinkCleveland.org | 216.664.2406

RETHINK CLEVELANDBOMA Cleveland : Dollars and $ense


National Economic Trends• Quantitative Easing in Europe

– Strong Dollar vs. Weak Euro– European Products are less expensive– Keeps Inflation down– Helps keeps US Interest rates low

• Trend of people moving to urban, walkable communities


Local Economic Trends• Urban Core is strengthening

– Unemployment in region remains low– Increased Income Tax Collections shows Job

Growth– Cost of doing business is well below national

average– Attracting New Residents– New Residents are Highly Educated– Venture Capital Remains Strong


Local Economic Trends• Positive Real Estate Trends

– Demand for Residential Rental Remains Strong– Vacancy Rates for Office are fairly steady as we

continue to see conversion of Class B & C– New Class A seeing positive occupancy– Transit Access Increasingly more Important– “Hot” Markets seeing Investment– Rental Rates are moving up– Cleveland as a Tourist Destination


Industry Clusters for Cleveland • Mohr Partners- Cluster Analysis

– Suppliers, Workforce, Sales & Distribution

• Industry ClustersØAutomotive Manufacturing ØBanking & FinanceØElectric & LightingØ Food ProcessingØHealth Technology

Ø Information TechnologyØ Management

Companies/EnterprisesØ Oil & GasØ Paints and Coatings


Development Areas in Cleveland

• Attracting Out of Town Developers– Health Tech Corridor– Ohio City– Downtown– University Circle


Health Tech Corridor: Completed Projects

Long Term Anchor Strategy• New Construction & Renovation• 400,000 sf complete; 85% leased


Health Tech Corridor: Development Sites

• Long Term Brownfield Clean-up Strategy• 11 Acres just sold for a University Hospital Women &

Children’s Clinic and to Hemmingway Development for a Med Tech Campus


Ohio City: Development Map


Downtown Business District: Recent/Upcoming Developments

Drury Hotel rendering Source: cleveland.com

Public Square renovation rendering Source: cleveland.com

The 9 Source: cleveland.com

Heinen’s Source: cleveland.com

Hanna Annex: Residential

Scofield Building: Apartments and Kimpton Hotel


Lakefront Development Plan• 1,000 residential apartments• 80,000 square feet of

commercial office space • 50,000 square feet of retail

and restaurant space • 21 acres of lakefront

property


FlatsPhase I: • 500,000 sf Office (Anchor: Ernst & Young Hdqtrs)• 55,000 sf Retail• 150 Room Aloft Hotel• Opened May 2013• New Infrastructure: Sewers, Pump Station,

ElectricPhase II:• 243 Units of

Housing• 1200 ft Boardwalk• Retail &

Entertainment Venues

• Opens July 2015


NuCLEus

nuCLEus rendering Source: cleveland.com

• Stark Enterprises• 500 Residential Units• Two new parking garages-

1,600 spaces• 130,000 square feet of retail• 200,000 square feet of new

office • “Bridge” will be a new hotel

space


University Circle: Current Developments• Former Third District Police Dept:

10600 Chester Ave (RFP in process)– 1.6 acre site– Future development opportunity

• Intesa (Coral & Panzica): – 2.2 acre site– Mixed use with apartments, office, retail

space, and parking– Phase I: Apartments

• Innova (Finch Group)– 177 Apartments– Ground Level Retail

• One University Circle: (First Interstate)– 14+ story apartment building– Ground Level Retail

Intesa rendering Source: cleveland.com

Innova rendering


Important Initiatives: 100 Gig Network• Creates an ultra-high speed fiber connection between

Downtown & University Circle, through the Health-Tech Corridor

• Supports high tech and biomedical companies and utilizes existing infrastructure, including several data centers

• Provides a marketable advantage for doing business in the Health-Tech Corridor & Cleveland

• City, Idea Center, CWRU & One Community received a $740,000 EDA grant. City & One Community provided $300,000 in match funds to create the network.


Important Initiatives: 100 Gig Network

Purchases Equipment & uses Existing Fiber and adds extra laterals in Health Tech Corridor


Important Initiatives:Nine Twelve District

• In 2010- Highest Level of Blight per State Standards

• Stakeholders Came Together

• Lack of Parking & Green Space

• New Parks, Free Trolley Service to Parking

• Over $500 million in New Investment


For more Information:

Tracey NicholsDirectorEconomic Development(216)[email protected]

Our website: www.rethinkcleveland.org