ECONOMY OVERVIEW
Greater Fort Lauderdale 2019 An in-depth review of the key issues facing Broward’s economy featuring the exclusive insights of prominent industry leaders
$159.00 ISBN 978-0-9988966-1-8
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City of Pompano Beach: Roughly equidistant from Boca Raton and Fort Lauderdale, the City of Pompano Beach is perfectly situated for attracting new businesses and residents. With its new public spending mandates, development of a the Innovation District downtown (complete with trendy startups and smart development) and beachfront revitalization, Pompano Beach is poised to compete with any of the other city landmarks in South Florida. Private industries are beginning to take notice of the up-and-coming Pompano Beach.
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City to watch: The City of Pompano Beach is quickly emerging as an up-andcoming hotspot for trendy startups and smart development Pompano Beach is one of Broward County’s cities to watch in 2019. Conveniently located between Boca Raton and Fort Lauderdale, and with I-95 running through its heart, Pompano Beach is perfectly placed to attract businesses and residents. The city has substantial amounts of industrial real estate, which is currently in high demand throughout the region, as well as three miles of beaches, allowing it to benefit from the tourism, manufacturing and e-commerce industries. The city is also undergoing a lot of exciting changes, thanks to the passage of a general obligation bond, as well as the development of a new Innovation District downtown and the revitalization of the beachfront area. Private industry is taking notice of how this once sleepy retirement community born from agricultural roots has morphed into an up-and-coming hotspot for trendy startups and smart development. Pompano’s past The Tequesta Indians were the original inhabitants of what is now Pompano Beach. Their numbers dwindled due to disease and warfare when European explorers first entered the area. In 1763, many of 64 | Invest: Greater Fort Lauderdale 2019
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the survivors were transported to Cuba. A Tequesta burial mound is preserved in the Indian Mound Park, and in 2014 the site was added to the National Register of Historic Places. After the Tequesta, Seminole tribes were pushed down into South Florida by increased settlement farther north. Soon the Seminoles, too, were removed from the land to make way for European settlers. Frank Sheen, a railroad employee, is said to have given Pompano its moniker, naming the area after a fish he caught and ate there. Thanks to the railroad, which first arrived in the Pompano settlement in 1896, the community began to grow and officially was incorporated as a city in 1908, the fifth in all of South Florida. As Pompano grew after World War I, agriculture remained its strongest industry. Tourism became more of a driving force in the wake of World War II as the population continued to expand. The city merged with another settlement to the east in 1947 and officially changed its name to Pompano Beach. Attractive development Pompano Beach is no longer a sleepy agricultural town. The city’s vast industrial real estate offerings ( )
CITY OF POMPANO BEACH INTERVIEW
Resurgence How Pompano Beach is transforming from a small seaside community into a prime location for small business development and corporate relocation
Lamar Fisher Outgoing Mayor – City of Pompano Beach Why should a business owner consider Pompano Beach? I’ve been so blessed in my tenure as mayor to be able to meet with extremely large corporate entities and small businesses about locating to our city. When a major corporation relocates to your city, it’s very rewarding not only because the city receives the name recognition, but also because of the jobs created for the local community. At the other end of the spectrum, you have your small businesses that are just starting, and we work to nurture them as best we can. As mayor, my job is to sell my community, and that’s what I most enjoy about this job. Pompano Beach, for the longest time, was always considered a small seaside community. The beauty of its resurgence and growth lies in the fact that we’ve conserved that flavor. We don’t want to become stuffy and arrogant. We want to welcome you as a part of our community, and that’s the hometown feel that we still and will continue to have. Economically, it’s the most robust time to bring your business here. Business owners have the ability to come in and develop their framework. Today, we’re seeing these businesses coming to our offices wanting to be a part of our growing community. How do you work with neighboring cities to strengthen the region? There are 31 cities that make up Broward County, and it’s imperative that we work together. We work in conjunction with the Broward League of Cities, which has been a great conduit for all of us to understand each other’s issues and needs. We’re in touch constantly with the cities that border us, so I speak frequently with the mayors of Deerfield Beach, Lighthouse Point, Fort Lauderdale and Hillsboro Beach to discuss our common goals. For instance, we partnered with Hillsboro Beach to renovate our inlet bridge, a project that benefits both municipalities. We’re able to collaborate to streamline solutions across city lines.
To what do you attribute Pompano Beach’s growth? The vision for the transformation of this city was stewarded by the elected officials several years ago, but it was created by the community. We listened to what the community wanted, received their input and worked to make it a reality. To have that momentum slow would be devastating to our city. It’s most important that we continue to ride it together to fruition. Our beaches desperately needed renovation and redevelopment for our residents to enjoy their amenities. Now we’re focusing on an Innovation District that will be a major game changer for our downtown. The project will combine class A office, hospitality, market rate housing and retail and will set Pompano Beach apart in Broward. It also creates opportunities for job creation locally. Our efforts are dovetailing nicely with private development. www.capitalanalyticsassociates.com
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CITY OF POMPANO BEACH OVERVIEW
Greg Harrison City Manager City of Pompano Beach
We’re very excited about the impact the general obligation bond will have on our city. The measure will bring $181 million to 25 projects that have been needed for some time. The measure passed by a strong margin because the public understood, thanks to a strong educational effort by our staff, that these projects were sorely needed. During the last 29 years, there were some nice projects that were completed on a very frugal, payas-you-go basis. Recently, the City of Pompano Beach was at a point where it had gotten so far behind that we needed an influx of capital to get a number of badly needed capital improvement projects accomplished within seven short years, which was our projected timeline. We’re looking forward to going through the formal process of selling those bonds to get these projects underway, which will further the opportunities for economic development in Pompano Beach, as well as improve the overall appearance of the city. We want to inspire current property owners to follow suit and take care of their properties to make the city as appealing as possible to individuals who would like to come here and start a business. Pompano Beach is a very smart investment because entrepreneurs will be able to come here and set up shop for much less than in other major cities nearby. With all the current activity here, it’s great time to make an investment that will have a higher rate of return to support a business. Property values here have lagged behind most of the cities in the area. Developers are savvy enough to pick up on that and make considerable investments. Here in Pompano Beach, business owners will be a lot happier and a lot wealthier. We’re going to be very busy in the next few years implementing those projects from the general obligation fund. Our greatest challenge is going to be keeping up with the demand for our services and projects as we move forward.
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( ) have attracted large companies to headquarter in Pompano Beach, which is centrally located between Miami and West Palm Beach and has easy access to I-95 and the Florida Turnpike. Other companies with a presence in the city include FedEx, Gold Coast Beverage Distributors and Stimpson Manufacturing. In fact, the Pompano Beach industrial market totaled about 22 million square feet as of Q4 2017, which makes up an impressive 25 percent of the county’s industrial offerings. As Chris Clemens, economic development director of the City of Pompano Beach, told Invest:, “We annexed the Pompano Highlands neighborhood from Broward County and transferred the land use and zoning, which allowed for further development of the sites. Some of those tracks were larger industrial parcels and have been developed in the last few years. Some had older industrial facilities that will make way for more modern designs.” More space has brought more competition. The vacancy rate in Pompano Beach’s industrial sector dropped to 2.1 percent in Q4 2017, compared with the county’s 2.9 percent. With e-commerce sales growing five times faster than traditional retail sales nationwide, Pompano Beach’s industrial space will continue to be an asset for the city in years to come. While the diminishing land available for industrial development remains a concern, Pompano Beach has several parcels that are being redeveloped already to provide more efficient space. Innovation District Another exciting development for Pompano Beach is its planned Innovation District. The 60-acre area in the middle of Pompano Beach is the largest area of underdeveloped or vacant properties in Broward County and presents a unique opportunity to the city. The land is well positioned to attract hightech companies and their employees. As of Q4 2017, Pompano Beach had 2 percent of the county’s total office space and no class A offerings. By energizing the Innovation District, the city plans to attract companies that will be able to take advantage of the nearby plentiful industrial space. Horacio Danovich, capital improvement project (CIP) manager for the City of Pompano, told Invest:, “We are working hard to move the Innovation District project forward. This $750 million project may be the largest endeavor Pompano Beach will ever undertake. It has the capacity for over 1,000,000 square feet of office and retail, as well as two hotels with 420 rooms combined. We anticipate that the project will generate 4,000 jobs. The location is part of the project’s appeal.
CITY OF POMPANO BEACH OVERVIEW
Andy Fox Director of Operations – BRG Concepts
I didn’t come to Pompano often before we started work on Beach House, so I wasn’t aware of all the activity going on. We came to check out the location and saw the park, the pier renovation and families enjoying the area. We could see the revitalization happening, which made us very excited about the property. We couldn’t sign the deal fast enough. The City of Pompano Beach is really investing in the area, and we’re happy to be a part of the transformation.
It is the only one in the county right off I-95 with a central location that offers waterfront property on almost every side.” The city is going to attract class A office space, as well as more residential options to the area, creating a newly energized downtown. Scenic waterways, navigable by kayaks or paddle boards, will be used for drainage and will add to the attraction of the district. With more businesses comes more development, and the city’s infrastructure will receive a boost thanks to the recently passed general obligation bond, which will pour $180 million into improvement projects throughout the city. The bond will fund safety, infrastructure and recreation projects, including the renovation and construction of fire stations; the improvement of streets, sidewalks and drainage systems; the replacement of the city’s pier; and the construction of new athletic facilities. The measure was passed in March 2018 with about 70 percent approval, which demonstrates the community’s willingness to invest in their city.
keyless locks and sophisticated security systems. These high-tech units will appeal to the employees of the tech companies that Pompano Beach is looking to attract to its Innovation District. The building is slated to open in Q1 2019. Envy apartments, a development by Invesca, broke ground in Q4 2017 in the Koi master-planned community. The luxury apartment complex will feature a pet spa and outdoor movie theater and is slated to be completed in Q2 2019. Atlantico, a modern amenity-heavy apartment complex with 210 units opened its doors in July 2018, adding to the city’s residential offerings. Broadstone Oceanside, another multifamily development, is projected to be completed in 2019 and will offer residents access to the Intercoastal Waterway that the property fronts. The project’s developer is Merrimac Ventures, a firm famous for projects in South Florida like Miami Worldcenter. As of the end of July 2018, 17 projects were in the permitting stage alone throughout the city, with well-known developers eager to get a piece of Pompano Beach.
At the end of July 2018, 17 projects were in the permitting stage alone throughout Pompano Beach.
Prime real estate Real estate projects are easily found in Pompano Beach. On the hospitality side, the beach area is getting a brand-new hotel, further sparking tourist interest in the region. The Hilton will have 150 units, including suites and standard rooms. The hotel is projected to break ground by the end of 2018. In Q2 2018, the Avery Pompano Beach apartment tower topped off. The eight-story project will house 144 high-tech units, including smart home technology,
Innovative infrastructure The general obligation bond that passed in March 2018 will energize the city’s infrastructure and help to make it an even more beautiful and lively place. The first bonds were sold in the fall of 2018, allowing the city to design all the projects at once and begin construction on phase-one projects. The city estimates phase-one projects, including www.capitalanalyticsassociates.com
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CITY OF POMPANO BEACH OVERVIEW
Pompano Beach is focused on economic growth and redevelopment without losing its charming hometown feel, as evidenced by its openair farmers’ markets and other community events.
the construction of a new senior center and the renovation of Mitchell Moore and North Pompano parks, will be completed by 2021, and the remaining projects will be finished by 2024. Private industry is taking notice of the city’s improvement efforts. Alan Goldberg, CEO of Diversified Companies, told Invest:, “Pompano Beach is seeing a lot of growth. The elected officials have been very aggressive about new development and redevelopment in the city. The two community redevelopment agencies (CRAs) have also been very effective at rejuvenating Pompano. They’re doing some really good infrastructure projects with the bond money that came through earlier this year. The government of Pompano Beach is working hard to improve the quality of the city.” Replacing the city’s pier is also covered by the general obligation bond, but construction is already well underway. The project hit its halfway mark in July 2018 and is expected to be complete in March 2019. This project is the latest effort to attract more visitors to the city’s beach. New development and the opening of the Beach House restaurant brought in 50 percent higher parking revenues in March and April 2018 than in the previous year. Pompano Beach also has an ambitious Smart City plan, which involves the creation of a centralized network to 68 | Invest: Greater Fort Lauderdale 2019
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bring multiple services together in one process. Realtime emergency or maintenance information, access to information about city services and parking information and payment would all come together in one mobile app, and kiosks would be installed in high-traffic areas to provide this information to visitors or to those without phones. Along with the spread of information, this technology could also help with traffic congestion by connecting to traffic signals and modifying stop times based on the current traffic flow. It could also be a means of communication between taxi and bus drivers and their riders, with updated pickup times and traffic information available. As of August 2018, the city is working with FPL and other partners to make this smart integration a reality. If it succeeds, Pompano Beach could be the example that other cities in South Florida — and the nation — follow as the integration of technology continues to shape development. Transportation hub Pompano Beach is the home base of the South Florida Regional Transportation Authority (SFRTA), which runs the Tri-Rail system that connects South Florida. As Jack Stephens, executive director of the South Florida Regional Transportation Authority, told Invest:, “Pompano Beach is just about halfway between
POMPANO BEACH OVERVIEW
Shipwreck Park Pompano Beach is a popular offshore diving destination and artificial reef designed to encourage sea life and diving enthusiasts to explore scuttled ships like Okinawa and Lady Luck.
the two ends of South Florida. It’s an hour either way basically, which makes it very convenient for people to access us here. I think the City of Pompano Beach really appreciates the fact that we have invested here and anchored this part of the city in a positive manner. I think that worked well for all of us.” Easily reached via I-95 and the Florida Turnpike, Pompano Beach offers the SFRTA, as well as city residents, an accessible and central area. The Pompano Beach Airpark is located to the east of the city, while the Fort Lauderdale Executive Airport is blocks south of Pompano Beach’s southwest corner, offering multiple opportunities for private chartered travel. Fort
Lauderdale-Hollywood International Airport, one of the fastest-growing airports in the nation, is only 15 miles south of the center of the city. The Pompano Beach Airpark, perhaps best known in the South Florida area for being the home of the Goodyear blimp Spirit of Innovation, sits on 650 acres and offers chartered flights, aviation maintenance service, storage for aircraft and flight instruction, adding to the multibillion-dollar aviation industry throughout Broward County. Daniel Smith, airship PR specialist with the Goodyear Tire & Rubber Company, told Invest:, “We talk about being based in Pompano Beach with media from around the U.S. On the older
Rob Wyre Chairman – Shipwreck Park Pompano Beach
Shipwreck Park was the brainchild of city leaders many years ago. The purpose of the park is to increase Pompano Beach’s prominence as a destination. We got worldwide attention at the beginning of this project with the sinking of the Newtown Creek, which has been hosting between 35,000 and 50,000 divers a year since it was sunk. The sea life that has proliferated has been amazing. As the years go by, the sea life taking root there will grow stronger and stronger.
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CITY OF POMPANO BEACH OVERVIEW
Tim Hernandez Principal New Urban Communities Principal Pompano Pier Associates
blimps, ‘Pompano Beach’ is painted on the side. On the other hand, the signage for the Pompano Beach Airpark includes the blimp. The city recognizes the strength of our partnership. We bring our nationwide attention back here to our local community.” Tourist destination Pompano Beach has invested resources into making the city more friendly to visitors. The CRA spent $15 million on redevelopment projects, including the construction of an iconic parking garage with illuminated sails. The city also invested in its first visitor center for tourists, and more beachside retail space development is underway. The repaving and burying of utility cables on Briney Avenue along the beach will make the region more pleasing to locals and tourists alike, and all this activity spawned two world-class restaurants right on the beach. With investment from the city comes investment from the private sector, and Pompano Beach is no exception. Some old favorites in Pompano Beach are being given facelifts by new owners. Pompano Park opened its doors in the 1960s and has been the winter home of harness racing for years. The original track was superseded by a new facility built about 10 years ago. The casino and track were bought in 2016 by Eldorado Resorts, Inc., and the company has big plans for the property. The original stadium is being torn down to make way for a 223-acre mixed-use entertainment complex, including a hotel
Piers across the country are big centers of activity, and the Pompano Pier is no exception. People love to walk out over the ocean and look back at the city and out over the water. We’re making big changes to that area to make it more accessible. We leased all the land from A1A to the beach from the city for the next 50 years. We created access that will connect the pier and the Intracoastal. I don’t know anywhere else in South Florida where you have anything like that. We’re also environmentalists. We look for the best, most efficient and smartest ways to redevelop underutilized areas and take advantage of the existing infrastructure. On this project, we were of course working on the beach, which brought its own challenges. We have a revegetated dune, and our lighting is all turtle friendly. The project is already adding value to the community. At the halfway mark of construction, there was a 16 percent increase in value on the surrounding 30- to 40-year-old condos. Before, residents had nowhere to go and nothing to do after dark. Now we’re going to have a hotel and multiple restaurant and retail options. People are seeing the value of this particular location. Instead of getting in their cars to drive to Federal Highway, Lauderdaleby-the-Sea or Deerfield, they can just stay here, which encourages pride in the community. Pompano Beach is embracing this new direction due to its leadership; we cannot say enough positive things about Mayor Fisher, the other city commissioners and city staff. The mayor has lived in Pompano Beach his entire life. He is so effective at calmly guiding the city through issues that could be controversial but amazingly never are. We opened our doors in 1998 in Delray Beach, when the city was in its redevelopment infancy. The reason Delray developed the way it did was because there was a political force with everybody pulling in the same direction. The same thing is happening here in Pompano. Everyone is pulling together toward a shared vision. The government and industry here are staying focused, and as a result of that, Pompano is seeing, and will continue to see, the benefit. www.capitalanalyticsassociates.com
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and retail and entertainment venues. The new project could bring thousands of new jobs into Pompano Beach, stimulating its already growing economy. Another local favorite that will receive some attention is the Festival Marketplace. The market, located in the northwest corner of the city, has been providing Pompano Beach residents and visitors with an experiential retail option since 1991 and was purchased in April 2018 by local real estate company IMC Equity. The facility currently houses over 250 stores offering brand-name goods in an open-air market setting. The new owners plan to bring in more dining options, with the addition of several outparcel restaurants and an open-air farmers’ market. Plans for an apartment building and gas station are in the works as well. This new development will make the mall even more attractive to guests and residents. In the summer of 2017, the Okinawa, a 107-foot tugboat, was sunk alongside the Lady Luck as part of Shipwreck Park, an offshore diving destination and artificial reef to encourage sea life and diving enthusiasts to explore the scuttled ships. The Okinawa is proving even more popular than its larger counterpart, as it rests only 40 to 75 feet below the surface (Lady Luck is 100 feet down) so is more accessible to less experienced divers. The city is open to expanding the project and thereby attracting more tourists to Pompano Beach’s waterfront. It is hard to talk about Pompano Beach without mentioning the beach itself. Pompano has three miles of shoreline, and the public beach has lifeguards present every day, making it a safe choice for families. Local businesses also have kayaks and jet skis available for rent. From dinner cruises to fishing, Pompano Beach provides plenty of aquatic options. A new axe-throwing bar, opening in August 2018; the city’s new cultural center, which opened in the spring of 2017; and a new $11 million youth sports complex, to be completed with the other phase-two projects of the city’s general obligation bond, ensure that residents and visitors to Pompano Beach have plenty to do off the water as well.
community. Overcoming this image will help the city attract more South Floridians to explore the city and encourage others to invest and reside there. Luckily Pompano Beach is already getting the reputation as the place to move to and invest in as local businesses and leaders are taking note of the city’s redevelopment and Innovation District plans. With growth comes grumbling, and Pompano Beach is no exception. Increased traffic and disruptions caused by construction might irk some, but the investment in the city will improve the quality of life for residents and businesses alike. The bond projects have a timetable set up to allow construction processes to begin and end quickly, helping to mitigate frustration. Homelessness is an issue throughout Broward County. The number of homeless people in the county jumped by 6 percent from 2016 to 2017. While Pompano Beach has its share of the homeless population, it also has resources available to assist them. The Broward Outreach Center Pompano Beach is a 200-bed facility with an eight-week program to help put homeless individuals back on their feet. Pompano Beach has its share of challenges but does not shy away from them. City leaders are actively working towards smart solutions.
Pompano has three miles of shoreline, and the public beach has lifeguards present every day, making it a safe choice for families.
Growing pains To many South Florida natives, Pompano Beach is still considered a sleepy agricultural and retirement
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Thriving future Pompano Beach is a growing city with a lot to offer businesses and residents. Convenient transportation options are available to visitors and residents, and the area is expanding its entertainment options quickly, with both oceanside and dry venues. Private real estate developers are taking note and investing in the city. The convenient location and real estate for development mark this city as one with great potential, but the passage of the general obligation bond, a thriving industrial real estate sector and invigoration of the downtown and beachside areas set Pompano Beach apart as a city looking to secure its future in crowded Broward County. Capital Analytics would like to thank the City of Pompano Beach for its contribution in compiling this chapter. To learn more, visit their website: pompanobeachfl.gov.