2011 Annual State of Downtown

Page 1

state of downtown report

2011


About Downtown Cincinnati Incorporated DCI is a non-profit organization with a mission to build a dynamic metropolitan center valued as the heart of the region. DCI supports this mission by providing unique services in three areas: safe and clean, marketing and communications, and stakeholder services. The organization is funded by the property owners in the Downtown Cincinnati Improvement District, which includes all property within the boundaries of Eggleston Avenue, Central Parkway, Central Avenue, and the Ohio River.* DCI provides leadership and information regarding community and development issues, working together with public and private partners to ensure long-term downtown vitality. *Excluding Great American Ballpark and Paul Brown Stadium.

partners Downtown Cincinnati Inc. thanks the following individuals and organizations for their assistance in compiling the 2011 annual State of Downtown Report: 4C for Children Apartment Realty Advisors Cincinnati’s arts, culture, sports and entertainment venues Cincinnati Multiple Listing Service Cincinnati USA Convention & Visitors Bureau Cincinnati USA Regional Chamber City of Cincinnati Colliers International Shertok Design, Inc. Smith Travel Research Xceligent, Inc. Photos courtesy of: 5chw4r7z Craig Beachler Mark Bowen Cincinnati USA Convention & Visitors Bureau Cincinnati Reds Current at the Banks/Village Green Dan Ledbetter Photography Eagle Realty Group Thadd Fiala Jayson Gomes, cincyimages.com Phillip Groshong, Cincinnati Opera The Public Library of Cincinnati and Hamilton County, Main Library Metro Ryan Noga, Go Vibrant Erin O’Brien Michael Providenti, Queen City Bike Phillip Ranley, Towne Properties David Siders Randy Simes, UrbanCincy.com Taft Theatre

The data presented in this report is derived from many sources, including reports by the media and information collected directly from organizations where available. To provide us with more accurate data on any information contained in this report, to request information not contained in this report, or to place your name on our e-mail list for future report mailings, please send an email to SODreport@downtowncincinnati.com. Please visit DCI’s website for other publications at downtowncincinnati.com. Also visit these websites for additional information on downtown Cincinnati: • choosecincy.com • cincinnati-oh.gov • cincinnatichamber.com • cincinnatiUSA.com • cincyusa.com • ilivedowntown.com • myfountainsquare.com


contents

2 Introduction

4 Live

12

Work

20 Play

28

Destination: Downtown

33

On the Horizon

1


introduction A business district, an entertainment hub, and a vibrant, livable neighborhood, downtown Cincinnati is where locals live, work and play. For out of town guests, downtown offers the experience of an historic city center with the modern, urban amenities that make Cincinnati a top destination for corporate and organizational meetings. With revitalizing development stretching from the Ohio River to Over-the-Rhine and new, sustainable modes of transit set to connect all points in between, downtown Cincinnati is abuzz with activity and excitement for a bright future. 2011 saw more downtown residents, new businesses bringing more daytime workers, and more people visiting downtown for fun. An evolving nightlife scene with restaurants, bars, and arts and cultural events serves diverse tastes. Street festivals in the Central Business District and Over-the-Rhine are attracting more pedestrian traffic, and retail is on the rise. Today, more than ever, public perception surveys, incoming businesses, lease renewals and expansions, and thriving retail and entertainment attendance reflect the reality that downtown is safe, clean and welcoming. In 2011, as a result of strong community engagement, ongoing partnerships and increasing investment, stakeholders celebrated a successful downtown that is more accessible and inclusive than ever before. With the World Choir Games coming in July, downtown Cincinnati is staged to open its doors to visitors from around the world in 2012 and beyond.

2


About This Report Downtown Cincinnati Inc. is pleased to present the eighth annual State of Downtown Report. This report serves as an annual “snapshot� with the goal to provide a comprehensive profile that assists stakeholders with their continued success in downtown Cincinnati. The 2011 State of Downtown Report is organized into sections which represent the key ways in which people interact with downtown: Live, Work, Play and Destination: Downtown (transportation). The report includes data on residential issues; safety and cleanliness; development; office and employment; retail and restaurants; conventions and hotels; arts, culture, and entertainment; and access and parking. This year we have added a special feature called On the Horizon, which highlights upcoming projects.

3


live More people are choosing to make downtown Cincinnati their home. The 2011 estimated downtown residential population reached over 13,000 individuals, a 12% increase over the previous year. More than 600 residential units were completed in the downtown area, from new apartments at Current at The Banks to rehabbed, historic condos in Over-the-Rhine.

4


Downtown Population estimate CBD

OTR and PEN 13,214*

14,000 11,848

12,000 10,000 population

About This Map:

8,154

8,375

2007

2008

Residential data reported in the 2011 State of Downtown Report is focused on the growing neighborhoods of the Central Business District (CBD), Over-the-Rhine (OTR) and Pendleton (PEN).

9,026

8,000 6,000 4,000 2,000 0

2009

2010

2011

year *2011 Downtown Population Estimate = 2011 total number of units x average residents per unit, based on the 2010 U.S. Census.

OTR PEN

CBD

5


Perceptions about Downtown 2011

2010

80%

Overall positive impression

67%

73%

Improving every year

72%

69%

Police are visible

66%

48%

Ambassadors are visible

46%

63% Safe overall 58%

70% Clean overall

60% 0

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Source: 2011 Perceptions Survey conducted by LaVerdad Marketing & Media for Downtown Cincinnati Inc. For more detailed findings, visit downtowncincinnati.com.

Over 80% of respondents reported an overall positive impression of downtown in 2011, with key indicators of perceptions of downtown as safe and clean on the rise.

6


Safe, Clean and Green: In 2011, the city welcomed Chief James E. Craig, and the Cincinnati Police Welcome Center at The Banks became the new home to the Cincinnati Police Department’s Special Events Department, the Downtown Services Unit (renamed the Central Business Section in 2012) and horse and bike patrols.

CBD crime statistics Part 1 Crime

Part 2 Crime

2,500 2,000 1,310

1,500 1,000

474 500 0

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

year Source: Cincinnati Police Department. Note: Part 1 crimes are defined as more serious crimes, but include crimes such as shoplifting in which no use of force or violence occurs; Part 2 crimes are defined as “quality of life” crimes, which include aggressive panhandling and vandalism.

Crime in the Central Business District has been trending downward for the past ten years, with an overall reduction of over 25% in Part 1 and Part 2 crimes. In that time, Part 1 theft crimes, including shoplifting, have accounted for 58% of the crimes in the CBD. Downtown was kept clean and green spaces were maintained in 2011, thanks in part to the efforts of the City of Cincinnati’s Public Services Department, Cincinnati Parks, and Downtown Cincinnati Inc. Ambassadors. Keep Cincinnati Beautiful awarded the Central Business District an average score of 1.1 on the litter index, on a scale of 1 to 4 with 1 being the cleanest. This average score has been consistent in the CBD for the past five years.

7


Apartment Rentals: As of December 2011, the rental units at Current at The Banks had reached over 98% occupancy. Throughout the CBD, the average market rent per unit increased by 9%, from $923 in 2010 to $1,019 in 2011.

total Residential Units 2010 Total Units*

Completed in 2011

CBD

2011 Under Construction

3,738

Total Number of Properties Surveyed Total Number of Units Surveyed Average Number of units/property Weighted Occupancy Average rent/unit Average rent/sq. ft.

15 2,357 157 96.4% $1,019.00 $1.11

neighborhood

Apartment Survey - Central Business District* OTR

4,650

PEN

653

Source: Apartment Realty Advisors semiannual survey of the multifamily investment market, reported August 2011. *Central Business District includes five properties in NKY and Mt. Adams. 0

1,000

2,000

3,000 units

*Source for 2010 Total Units: 2010 U.S. Census

8

4,000

5,000

6,000


CBD Residential Unit Sales Condominiums Sold

Single Family Homes Sold

70 60

60 54

number sold

50

42

40 27

30

18

20 10 0

0

0

2007

1

0

2008

2009

0

2010

2011

year

OTR Residential Unit Sales Condominiums Sold 50

39

40

number sold

Single Family Homes Sold

46 39

37

30 21 20 12

10

10

7 4

0

2007

4

2008

2009

2010

2011

year

PEN Residential Unit Sales Condominiums Sold

Single Family Homes Sold

7 6 6 5 number sold

5 4 4 3

3

3

3

3 2 1

1 1 0 0

2007

2008

2009

2010

Schools: Growing downtown families can select from diverse educational options for children. Within a two mile radius of downtown, there are over 130 child care options, including licensed centers, preschools, school-age programs, and family child care providers. For older students, there are over 30 public and private elementary, middle, and high schools within five miles.

2011

year

Source: Cincinnati Multiple Listing Service (MLS)

9


CBD AVERAGE SELLING PRICES Condominiums

average selling price

$350,000

$300,641

$297,699

Single Family Homes $304,235

$311,491

$300,000

$257,535

$250,000 $185,000

$200,000 $150,000 $100,000 $50,000

$0

$0

$0

2007

2008

2009

$0

$0 2010

2011

year

otr AVERAGE SELLING PRICES Condominiums

Single Family Homes

average selling price

$250,000 $193,980 $200,000

$172,188

$150,000

$168,458

$168,145

$164,173

$167,638

$157,885 $100,000

$131,213 $105,925

$103,500

$50,000 0

2007

2008

2009

2010

2011

year

pen AVERAGE SELLING PRICES Condominiums

average selling price

$300,000

Single Family Homes

$250,000

$203,820 $185,817

$200,000

$165,047

$147,067 $150,000

$118,407 $126,150

$100,000 $50,000 0

$0 2007

2008

2009 year

Source: Cincinnati Multiple Listing Service (MLS)

10

$282,500

$272,477 $249,900

2010

2011

Pets: Fido Field on Eggleston Avenue, the first officially sanctioned off-leash, dog recreation area in downtown, opened in 2011, an effort led by the Fido Field Committee and the Downtown Residents Council, and co-sponsored by Procter & Gamble.


Community: Members of the Downtown Residents Council, as part of the Great American Cleanup and in cooperation with the Office of Councilmember Laure Quinlivan, dedicated more than 140 hours to help beautify and improve wayfinding on the ‘Path to the Taft’ in 2011.

Worship: There are over fifteen places of worship in downtown Cincinnati representing diverse faiths and denominations, including the St. Xavier Church shown here.

11


Downtown development is on the fast track. Over $577 million was invested in 2011, and more than $700 million in projects are under construction and scheduled for completion by 2013. In the Central Business District alone, over 830,000 square feet of gross leasing activity, with transactions

work 12

averaging 15,000 square feet, contributed to signs of recovery in commercial real estate. The arrival of companies like Omnicare and Nielsen added 1,100 workers to a dynamic daytime population in the CBD. Renewed and expanded commitments to downtown from fast growing businesses like First Financial Bancorp and dunnhumbyUSA will continue to bring new jobs, adding to an improving employment outlook both downtown and across the region.


The CBD is now headquarters to ten Fortune 1000 companies— seven of which are in the Fortune 500: n Kroger (No. 25) n Procter & Gamble (No. 26) n Macy’s (No. 107) n Fifth Third Bancorp (No. 326)

Major 2011 lease Transactions: Cincinnati CBD

Company Location Sq. Ft.

Omnicare Atrium I First Financial Bank First Financial Center Nielsen Chiquita Center Vorys, Sater, Seymour and Pease Great American Tower Weltman Weinberg & Reis Co. 525 Vine Street Strauss & Troy Federal Reserve Bank Building FRCH Design Worldwide 311 Elm Street Rendigs, Fry, Kiely & Dennis, LLP Center at 600 Vine Clark Schaefer & Hackett One East Fourth Street TOTAL

Type

165,000 85,700 77,700 60,000 37,400 37,000 33,800 25,900 22,000 544,500

Relocation Relocation Relocation Relocation Expansion Renewal Renewal Relocation Relocation

Source: Xceligent, Inc. Please note: This list comprises leases exceeding 20,000 sq. ft. that were signed in 2011. Start dates of occupancy vary.

n Omnicare (No. 371) n Western & Southern Financial (No. 456) n American Financial Group (No. 489)

2011 Cincinnati cBD Office Stats

Inventory of Rentable Sq. Ft. Vacancy Rate

Class A Class B Class C

8,815,068 6,232,749 2,960,469

18.9% 12.2% 25.7%

Average Rental Rate

2011 Net Absorption

$23.37 $15.83 $11.84

262,765 (64,261) (262,323)

Source: Colliers International. 2011 data is from Q4 Cincinnati Office Report.

2011 Regional Office Stats

Inventory of Rentable Sq. Ft. Vacancy Rate

Blue Ash CBD CBD - Periphery East I-71 Corridor North (of I-275) I-75 Corridor North (of I-275) Kenwood/Montgomery Midtown Northern KY Tri-County West

4,553,708 18,008,286 3,498,638 2,454,545 4,058,537 2,247,624 2,070,071 3,317,554 7,366,882 4,754,848 774,742

17.2% 17.6% 28.6% 18.5% 23.2% 11.4% 14.2% 15.2% 19.5% 31.2% 22.8%

Average Rental Rate

$18.53 $19.21 $17.41 $15.48 $18.73 $20.12 $22.36 $17.40 $18.25 $15.75 $18.04

2011 Net Absorption

85,696 (63,819) (42,948) 57,379 130,533 11,437 (55,614) 34,784 (47,509) (39,820) (19,956)

Source: Colliers International. 2011 data is from Q4 Cincinnati Office Report.

13


Downtown Development

2011 CBD Development by Project Type

Completed

Investment Project Name Address Type ($M)

$54M $102M

$168M

$54M $168M

$658M $658M

$897M $897M

Under Construction

$102M

Q Mixed Use (MIX) Q Cultural/Entertainment/Education (CEE) Q Office (OFF)

Q Mixed Use (MIX) Q Residential (RES)

Q Office (OFF)

Q Residential (RES)

Note: Includes projects with a disclosed amount of $1 million or more. Mixed Use (MIX) are developments with multiple uses, for instance a building with retail on the ground floor and office or residential above.

Pre-Development/Proposed

Q Access/Parking (ACC)

Q Access/Parking (ACC) Q Cultural/Entertainment/Education (CEE)

1 The Banks (Phase IA) 2 The Banks (Phase II Public Infrastructure) 3 City Home (Phase I) 4 City Home (Phase IB) 5 Friar’s Court 6 Great American Tower at Queen City Square 7 McFarland Lofts 8 OTR Development (Phase I - IV) 9 Residence Inn Cincinnati Downtown 10 Saengerhalle 11 Taft Theater 12 Westfalen Lofts 13 21c Museum Hotel 14 The Banks (Phase II Private) 15 City Home (Phase II) 16 East Sixth Street Properties 17 The Edge 18 Horseshoe Casino 19 John Weld Peck Federal Building 20 Moerlein Lager House 21 Park Haus 22 The Reserve at 4th and Race (Federal Reserve Building) 23 Rothenberg Preparatory Academy 24 Smale Riverfront Park (Phase 1) 25 Washington Park (includes Garage) 26 15th & Republic 27 Abington Flats 28 Anna Louise Inn 29 The Banks (Phase IB-Office) 30 The Banks (Phase IC-Hotel) 31 The Banks (Phase ID-Residential) 32 Casino Area Public Infrastructure Improvements 33 Cincinnati Streetcar 34 City Hall Events Atrium 35 City of Cincinnati Parking Garage 36 Holiday Inn Hotel 37 Mercer Commons 38 Music Hall Revitalization 39 Nicolay 40 Paint Building (Cincinnati Color Building) 41 Parvis II 42 Smale Riverfront Park (Phase 2-5) 43 Westfalen Lofts II

Completion/ Anticipated Completion

Riverfront

MIX

$85.00

2011

Second Street

ACC

$24.00

2011

1406-1422 Pleasant Street 1401 Race Street 1623 Republic, 1616 Race, 1626 Race, 23 Green Street Corner of Fourth & Sycamore Streets 304 McFarland Street 1400 Race Block, 4 acres around Vine & Mercer

RES MIX

$3.95 $1.60

2011 2011

RES

$4.30

2011

MIX

$340.00

2011

RES

$1.80

2011

MIX

$86.70

2011

506 East Fourth Street

CEE

$15.00

2011

1400-16 Race Street 317 East Fifth Street 1418-1422 Race Street 609 Walnut Street Riverfront Pleasant Street 114, 118, 122 East Sixth Street 310 Culvert Street Broadway Commons 550 Main Street 115 Joe Nuxhall Way Washington Park Area

OFF CEE RES CEE MIX RES CEE OFF CEE OFF CEE RES

$8.30 $3.20 $3.38 $56.00 $62.00 $2.16 $14.60 $10.00 $400.00 $34.00 $10.00 $5.18

2011 2011 2011 2012 N/A 2012 2012 2012 2013 2013 2012 2012

Corner of Fourth & Race Streets

MIX

$16.50

2012

East McMicken Avenue & Main Street Riverfront Washington Park 1427,1428,1437 Republic Street & 13 West 15th Street 33 Green Street 300 Lytle Street Riverfront Riverfront Riverfront

CEE CEE CEE

$17.00 $30.00 $48.00

2013 2012 2012

RES

$4.80

2013

RES RES OFF CEE RES

$3.80 $12.40 $50.00 $30.00 $10.00

2014 2012 N/A N/A N/A

Broadway Commons & Pendleton Areas

ACC

$22.90

2013

CBD/OTR 801 Plum Street Sycamore Street between Seventh & Eighth Corner of Broadway & Seventh Streets East 13th & 14th Streets, between Vine & Walnut Streets 1243 Elm Street Corner of 14th & Republic Streets

ACC CEE

$110.00 $4.40

2014 2014

ACC

$11.50

2013

CEE

$14.00

2013

MIX

$53.50

2013

CEE MIX

$165.00 $2.30

2014 2013

1400 Vine Street

MIX

$4.20

2012

1400 Block Republic Street Riverfront 1400 Race Street

RES CEE MIX

$2.60 $90.00 $6.20

2013 2018 2013

See map on next page.

14


Downtown Development

27 5

23

41 12 43 15 8 26 40 3 4 10 39 38 25 37 21 33

32

18

34 35 36

Development Highlights:

13 16 19

17 11

7

22

6

9 28

The Horseshoe Casino Cincinnati at Broadway Commons broke ground on February 4, 2011. The 354,000 sq. ft. casino will employ 1,700 workers and will feature 2,300 slot machines, 72 table games, 3 street-side restaurants, and a 33,000 sq. ft. second level meeting space. The Great American Tower at Queen City Square opened on January 1, 2011. The 41-story, 800,000 square foot skyscraper has been precertified as Gold by the U.S. Green Building Council under the acclaimed LEED (Leadership in Energy and Environmental Design) program. The building is currently 90% leased.

2 1 14 29 30 31 20 42

24

15


Class A - Cincinnati cBD Office Inventory

% Vacant YTD Absorption Weighted Rate

2007 18.0% 153,957 $21.79 2008 16.7% 120,250 $21.61 2009 18.2% (125,860) $21.77 2010 19.0% (50,447) $21.89 2011 18.9% 262,765 $23.37

Class B - Cincinnati cBD Office Inventory

2007 2008 2009 2010 2011

% Vacant YTD Absorption Weighted Rate

14.1% 18.2% 19.7% 15.3% 12.2%

56,487 $14.66 (146,618) $14.58 35,557 $15.00 (29,545) $15.80 (64,261) $15.83

Source: Colliers International. 2011 data is from Q4 Cincinnati Office Report.

Office Market Net Absorption: Although the total net absorption for the year fluctuated, the office market did see positive net absorption during the fourth quarter. Average Class A and Class B rental rates rose slightly over 2010.

Financial Institutions Transactions: First Financial Bancorp doubled its office space, moving its headquarters from Atrium One to 255 East Fifth Street—renamed First Financial Center. The bank will also open its first downtown branch on the ground floor of the building in 2012. Bank of Kentucky opened its first Ohio branch in 2011 at the high profile corner of Fourth and Walnut.

16


Downtown Small Business in the News: Downtown-based Libertas Technologies LLC was among three Cincinnati businesses to receive the “Blue Ribbon Small Business Award� from the U.S. Chamber of Commerce. The software development and consulting firm was recognized for the third consecutive year for its role in creating jobs, growing the economy and improving the lives of employees, customers and the community. The Cincinnati USA Regional Chamber named Traction LLC, a brand-design firm in Over-the-Rhine, Emerging Business of the Year in 2011. Pep, a promotion and management firm located in the Central Business District, won Minority Business of the Year. Pep was also recognized with a 2011 Silver ADDY Award from the Cincinnati American Advertising Federation.

2011 U.S. Rental Rates: CBD Class A

2011 U.S. Vacancy: CBD Class A & B

Washington DC New York City (Downtown Manhattan) Boston Los Angeles Houston Chicago Denver Philadelphia Portland Dallas/Ft. Worth Cincinnati Atlanta Nashville Raleigh/Durham Detroit Cleveland Kansas City Indianapolis Columbus St. Louis Memphis

Dallas/Ft. Worth Nashville Detroit St. Louis Cincinnati Cleveland Los Angeles Atlanta Memphis Houston New York City (Downtown Manhattan) Boston Chicago Kansas City Denver Philadelphia Washington, DC Indianapolis Portland Raleigh/Durham Columbus

$52.85 $48.17 $47.75 $38.52 $35.29 $35.00 $28.04 $26.41 $25.20 $25.00 $23.37 $22.73 $22.57 $22.56 $22.46 $20.68 $19.57 $19.27 $18.80 $17.78 $16.65

23.7% 22.7% 19.4% 19.1% 19.0% 18.5% 18.0% 17.9% 17.9% 16.6% 15.9% 15.8% 14.1% 13.0% 12.7% 11.7% 10.5% 9.8% 8.4% 5.8% 2.9%

Source: Colliers International Q4 2011 North America Highlights

17


work

CINCINNATI CBD Office RENTAL Rates CBD Class A

CBD Class B

Average CBD All Classes

CBD Class C

Average Regional Rental All Classes

$25

$15

0

2007

2008

2009 year

2010

$11.84

$15.83

$23.37

$11.72

$15.80

$21.90

$11.74

$15.00

$21.77

$11.72

$15.93

$23.20

$11.79

$5

$15.87

$10 $23.02

rental rate

$20

2011

U.S. AND CINCINNATI Office Vacancy Rates Cincinnati CBD

U.S. CBD

Cincinnati Sub

U.S. Suburban

25%

0

2007

2008

2009 year

Source: Colliers International. 2011 data is from Q4 Cincinnati Office Report.

18

2010

2011

15.6%

20.7%

13.7%

19.0%

16.7%

24.3%

14.8%

21.9%

17.4%

23.3%

14.5%

19.4%

15.4%

21.8%

14.7%

17.7%

14.0%

5%

19.8%

10%

11.2%

15%

16.6%

vacancy rate

20%


Cincinnati Downtown Workers CBD CBD, OTR and PEN

55,266 60,218

S ource: OntheMap, an application from the U.S. Census Bureau Longitudinal Employer-Household Dynamics (LEHD) program, in partnership with state labor market information agencies. Note: Employment numbers fluctuate from year to year. Employment data available in this application is about 18 months in arrears. Includes workers with primary jobs in the defined area. Approximately 21% of workers live more than 25 miles from downtown.

Versatex LLC, a staffing firm with offices across the nation and its corporate headquarters on Ninth Street, won a nine-figure contract from consumer products giant Procter & Gamble,

the largest contract P&G has ever awarded to a minority-owned firm.

19


In 2011, visitation increased with more people choosing downtown as a gathering place for conducting business and having fun. People filled the streets, from Sawyer Point to Fountain Square, to the Brewery District, for festivals and events which attracted more than 1,632,800 visitors. Twenty eight new establishments opened in the Central Business District offering additional retail, dining, nightlife and services such as fitness and personal training. The Cincinnati USA Convention & Visitors Bureau estimated an economic impact, based on room nights booked in 2011, of $61 million.

20

play


DOWNTOWN RETAIL MIX

Downtown Retail Availability Base SF

2011 2010 2009 2008 2007

3,011,603 2,988,441 2,403,000 2,403,035 3,098,350

Available SF

% Available

136,269 137,529 278,923 208,338 213,289

4.52% 4.60% 11.61% 8.67% 6.88%

Shopping 29%

Source: CBRE

Dining 51% Retail Leasing: Tiffany & Co. renewed its lease in 2011 at its 7,500square-foot retail space at Fountain Place.

Services 21%

DINING Bars/Nightclubs Coffee/Bakeries/Ice Cream Lunch Restaurants Fast Casual Dining Full Fare Restaurants Private Membership Clubs Banquet Rooms Total

SERVICES 31 21 65 19 44 2 6 188

Beauty Fitness/Health Eyewear Auto Care/Home Repair Car/Bike Rentals Florists/Wedding Libraries Pets Tickets/Travel Wireless/Electronics Cleaners/Tailors/Shoe Repair Total

SHOPPING 26 12 5 6 3 4 3 2 4 6 6 77

Antiques/Auction Houses 3 Apparel/Shoes/Accessories 27 Department Stores 4 Gifts/Books/Novelty 28 Home Furnishings/Art 10 Jewelry/Furs 10 Food Convenience Markets 19 Pharmacies/Newsstands 6 Total 107

21


cbd Daytime Pedestrian Counts 6,012 4th & Walnut

7,200 5,804

5th & Vine

5,013 5,175

Fountain Square

2011 New Downtown Establishments

4,412 4,530

7th & Vine

5,184 3,583

intersections

6th & Walnut

3,949 3,133

Vine & Court

2,627 2,482

9th & Main

2,871 2,382

4th & Race

2,686 2,206

7th & Main

3,062 1,127

8th & Elm

2010

1,022

2008 935 4th & Plum

1,256 0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

pedestrians Source: Brandstetter Carroll. Note: As of 2010, pedestrian studies are conducted by Downtown Cincinnati Inc. on a biennial basis.

22

Name

Address

Al-Amir Cafe Bar 5.0.6 Blush Boutique Cincy by the Slice Court & Main Market Everyone Massage Face It Spa Gallery in the Sky Greek to Me Holy Grail Tavern & Grille Humler & Nolan Hustler Hollywood Istanbul Grill (formerly Turquoise) Jimmy G’s Johnny Rockets Luxe Over Vine Play Queen City CrossFit Servatii Cafe Slammin’ Burger Snap Fitness 24-7 Sparkling Wireless Subway Sungarden Lounge The Center Walnut Street Grill What If Gift Solutions TOTAL

410 Vine Street 506 E. Fourth Street 613 Race Street 825 Main Street 139 E. Court Street 602 Main Street 229 W. Ninth Street 310 Culvert Street 125 E. Court Street 161 Joe Nuxhall Way 28 W. Fourth Street 18 E. Seventh Street 628 Vine Street 435 Elm Street 191 E. Freedom Way 601 Main Street 21 E. Fifth Street 35 E. Seventh Street 18 W. Seventh Street 511 Walnut Street 28 W. Fourth Street 15 E. Seventh Street 608 Main Street 250 E. Fifth Street 151 W. Fifth Street 115 E. Fifth Street 631 Walnut Street 580 Walnut Street 28 Opened


Year-End Hotel Comparison

Downtown Gr. Cincinnati Cincinnati USA (OH-KY-IN) National

Avg. Occupancy 2010 2011

Avg. Rate/Night 2010 2011

62.2% 62.9% 53.1% 55.5%

$117.98 $122.56 $83.61 $86.39

RevPAR* 2010 2011

$73.41 $77.04 $44.44 $47.92

52.3% 55.6%

$84.54

$84.71

$44.24 $47.11

57.8% 60.1%

$98.08 $101.64

$56.47 $61.06

*RevPAR: Revenue per available room Source: All hotel and convention data provided by Cincinnati USA Convention & Visitors Bureau.

Downtown Hotels Hotel

Rooms

Millennium Hotel Cincinnati Hilton Cincinnati Netherland Plaza Hyatt Regency Cincinnati Westin Hotel Cincinnati Garfield Suites Hotel The Cincinnatian Hotel The Residence Inn by Marriott Cincinnati Downtown

872 561 486 456 152 146 134

Source: All hotel and convention data provided by Cincinnati USA Convention & Visitors Bureau.

Hotels: The first new downtown hotel in nearly thirty years, the Residence Inn by Marriott Cincinnati Downtown, opened in March 2011. A renovation of the former Phelps Apartments, built in 1926, the hotel features 134 extended stay suites and views of Lytle Park and the Ohio River.

Conventions: Downtown Cincinnati hosted the League of United Latin American Citizens (LULAC), which held its annual convention in downtown Cincinnati June 27–July 2. The six day event drew total attendees of up to 20,000, according to LULAC, including U.S. government officials and the former president of Mexico, Vicente Fox.

Top 10 Conventions Hosted in 2011 (by Total Hotel Room Nights) Group

Educational Testing Service Prince Hall Shriners State Wars Hockey GovEnergy IBPO Elks of the World V-Twin Expo LULAC North American Christian Convention American Jail Association National Society for Histotechnology TOTAL

Room Nights Economic Impact

22,856 19,515 9,360 6,759 6,723 6,244 5,857 5,760 4,585 4,545 92,204

$6,811,088 $5,815,470 $2,789,280 $2,014,182 $2,003,454 $1,860,712 $1,745,386 $1,716,480 $1,366,330 $1,354,410 $27,476,792

23


total CvB room nights and GROUPs booked 250,000

Total Room Nights

$52

2007

200,000 $56

2008

200

160

100,000 205,586

50,000

100 200,317

$60

2011

150

198,219

2010

141

138

130

187,887

$59

150,000

176,061

room nights

year

141 2009

250

Groups Booked

2007

2008

2009

2010

2011

rooms booked

economic impact of total CBD room nights booked

50

$61 0

$10

$20

$30

$40

$50

$60

0

$70

millions of dollars

year

hotel occupancy rates National*

70%

Cinci USA

0

Gr Cinci

downtown hotel performance Downtown

Avg. Room Rate/Night

$130

Rev PAR* $77.04

$80

$73.62

$60

2008

2008 year

*PricewaterhouseCoopers Hospitality Directions Report January 2012

2010

2011

$100

$122.56

$110

$117.98

$65

$115.32

2007

$70

$66.25

$124.14

0

$75

$115

$105

10%

$73.41

$126.97

30% 20%

24

$120 rate/night

40%

63%

56%

56%

60%

62%

53%

52%

58%

57%

52%

51%

55%

60%

55%

55%

60%

58%

53%

56%

63%

occupancy rate

50%

$73.89

$125

2007

2008

2009 year

2010

2011

$55

$50

revPAR

60%


Arts & Culture HIghlights: The Main Library of the Public Library of Cincinnati and Hamilton County had a total circulation of 5,966,955 books and other materials, up 15% from 2010. Visits were also higher in 2011— up 4%, program attendance was up by 7% and sales at the Library Friends’ Shop increased by 8.6%. Attendance at the Cincinnati Reds set a new single-season record with 12 sellouts, totaling 2,213,498 fans in 2011. Great American Ball Park also hosted Paul McCartney’s On the Run Tour in early August, where more than 40,000 enjoyed the first major concert held at the ballpark. The Taft Theatre renovation was completed in September 2011, at a cost of $3.2 million, including the installation of new seating and the expansion of restrooms. With the planned revitalization of Music Hall, the Taft Theatre will be temporary home to the Cincinnati Symphony Orchestra. With visitation at Findlay Market steadily rising over the past five years, the historic market saw an increase in attendees in 2011 of 10% over the previous year. Shoppers spent an estimated $30 million at Findlay Market during 2011 with 35 full-time, year round merchants, 58 local farmers and cottage food producers, and more than 70 seasonal and part-time vendors. The Betts House, located at 416 Clark Street in the oldest surviving brick building in Cincinnati, hosted The Big Shake – How the 1811–1812 New Madrid Earthquakes Rocked the Ohio River Valley. The Big Shake was the best attended exhibit at The Betts House to date, resulting in an increase in paid attendance, up 36% from 2010.

25


Arts and Culture Attendance Theaters Organization

2006-2007 2007-2008

2008-2009 2009-2010 2010-2011

Children’s Theatre of Cincinnati 91,663 105,230 97,654 Cincinnati Arts Association* 223,737 239,203 205,000 Cincinnati Ballet 55,687 40,739 45,516 Cincinnati May Festival 15,944 15,663 14,563 Cincinnati Opera 30,435 25,072 25,907 Cincinnati Playhouse in the Park 214,069 207,614 188,336 Cincinnati Shakespeare Company 14,632 16,069 16,765 Cincinnati Symphony Orchestra/ 171,000 229,368 192,000 Cincinnati POPS Ensemble Theatre Cincinnati N/A 24,145 30,270 Fifth Third Bank Broadway Across 332,000 296,157 212,800 America – Cincinnati Know Theatre of Cincinnati 6,100 5,154 5,615 School for Creative & Performing Arts 13,903 10,324 8,699 Showboat Majestic 20,401 17,905 15,127 Total 975,502 1,232,643 1,058,252

80,000 172,164 54,576 11,123 21,410 188,327 17,800

86,000 225,000 53,676 11,325 22,675 194,512 22,681

190,875

185,255

30,020

27,539

194,698

144,935

5,808 3,523 10,200 14,150 14,886 15,331 991,887 1,006,602

Cultural Attractions Organization

Cincinnati Art Museum Fire Museum of Greater Cincinnati Cincinnati Museum Center Contemporary Arts Center National Underground Railroad Freedom Center Taft Museum of Art The Betts House Krohn Conservatory Main Library/Public Library of Cincinnati & Hamilton County Mercantile Library Total

2007

2008

2009

2010

2011

232,937 245,247 228,745 203,212 272,352 7,453 9,041 8,990 8,998 9,632 1,200,000 1,310,000 1,484,607 1,308,658 1,572,554 61,283 54,364 44,167 57,848 55,388 162,427

138,016

113,873

113,213

109,500

54,017 N/A 162,091

59,139 969 273,903

54,263 1,363 294,890

52,625 1,234 336,572

56,107 1,390 283,169

1,137,533 1,344,302 1,408,323 1,363,971 1,419,754 4,358 4,411 3,591 5,517 4,288 3,022,099 3,439,392 3,642,812 3,451,848 3,784,134

*Does not include Cincinnati Symphony Orchestra/Cincinnati Pops, Cincinnati Ballet, Cincinnati Opera, Cincinnati May Festival or Broadway in Cincinnati.

26


Arts and Culture Attendance (continued) Sports and Recreation Venues Organization

2007

2008

2009

2010

2011

Cincinnati Bengals 656,790 645,583 684,557 589,897 475,541 Cincinnati Reds 2,058,593 2,058,632 1,747,919 2,060,550 2,213,498 Findlay Market 580,873 612,230 760,421 802,862 881,409 Riverfront Events/Cincinnati Park Board* 573,083 545,255 527,087 739,911 900,000 Riverfront Daily Park Users 150,000 150,000 175,000 175,000 200,000 US Bank Arena 472,635 564,909 524,792 539,397 516,970 Total* 4,491,974 4,576,609 4,419,776 4,907,617 5,187,418

Festivals Organization

Black Family Reunion Cincinnati Brew Ha-Ha Fine Arts Sampler Weekend** Cincinnati Fringe Festival MidPoint Music Festival*** Oktoberfest Zinzinnati Riverfest Bluesfest Taste of Cincinnati Total

2007

2008

2009

2010

2011

85,000 75,000 50,000 42,000 47,000 N/A 8,000 13,000 15,000 17,500 9,470 13,794 14,260 14,000 9,579 6,500 6,610 7,541 6,734 7,500 40,000 13,000 15,000 20,000 22,800 500,000 500,000 500,000 500,000 500,000 300,000 250,000 250,000 250,000 250,000 11,000 11,000 11,000 15,000 16,500 500,000 500,000 500,000 500,000 500,000 1,451,970 1,377,404 1,360,801 1,362,734 1,370,879

Fountain Square - 3CDC

2010–2011

PNC Summer Music Series U.S. Bank Ice Rink Macy’s Light Up the Square Toyota’s New Year’s Eve Downtown Dazzle TOTAL****

148,000 50,000 25,000 15,000 15,000 253,000

Over the Rhine Neighborhood Festivals

2011

Second Sundays on Main Go OTR 5K Summer Celebration Bockfest TOTAL

7,000 1,000 1,000 9,000

*Events included but not limited to philanthropic walks, music festivals and cultural festivals not otherwise listed. **Only includes downtown venues/events. ***2007 attendance included year-round promotional events (in addition to September music series). ****Including these series, there were a total of 430 events on Fountain Square in July 2010–June 2011. In all, over 2 million people were estimated to be in attendance throughout the year.

27


Getting to and around downtown became easier and greener in 2011 with expanded parking options and innovations in transportation. Monthly parking spaces in the Central Business District totaled over 36,000 by year end, with the opening of new facilities at The Banks and Queen City Square. An attractive $25 monthly parking rate from the OKI Regional Council of Governments and Hamilton County Commissioners incentivized carpooling. And Metro introduced the first of 14 new hybrid buses, which helped to reduce greenhouse gas emissions by an estimated 823 tons.

28

destination: downtown


National Monthly and Daily Parking Survey: Unreserved Parking Rates Market

Median

Atlanta Boston Chicago Cincinnati Cleveland Columbus Dallas Denver Houston Indianapolis Los Angeles Memphis New York Philadelphia San Diego San Francisco Washington, DC National Average

$95.00 $438.00 $289.00 $160.00 $140.00 $110.00 $85.00 $175.00 $153.00 $120.00 $209.00 $57.00 $533.00 $303.63 $170.00 $375.00 $260.00 $155.22

Monthly % Change from 2010

Median

2.2% 3.1% -9.7% 6.7% -9.7% -12.0% 0.0% 0.0% 4.8% 4.3% -0.2% 0.0% 0.8% 1.2% 0.0% 0.0% 6.1% -0.2%

Daily % Change from 2010

$12.00 $34.00 $32.00 $10.00 $8.50 $10.00 $10.25 $16.00 $14.50 $12.00 $30.00 $4.00 $30.00 $26.00 $26.00 $26.00 $18.00 $16.12

0.0% 6.3% 3.2% 2.6% 1.4% 0.0% 2.5% 0.0% 20.8% -7.7% 1.2% 0.0% -3.2% 0.0% 0.0% 4.0% 20.0% 0.8%

The average monthly parking rate in garages and surface lots downtown increased this year, on par with the national average. CBD parking inventory totaled over 36,000 parking spaces, with new facilities at The Banks and Queen City Square increasing options for monthly parkers. For short term parkers, the

City of Cincinnati added 1,400 new “card and coin� parking meters, accepting both credit/debit cards and coins. The first ten minutes are FREE.

Source: Colliers International Note: This list is a sampling of the cities included in the national average. Survey only includes covered and underground parking garages located in CBDs.

Cincinnnati cBD monthly parking and prices

40,000

Available Spaces

CBD Average Price 36,473

35,091 31,170

35,000

31,618

30,203

parking spaces

30,000

$103

$100 $80

25,000 20,000

$120

$69

15,000

$62

$64

$60

$67

average price

Total Spaces

$40

10,000 $20

5,000 0

2007

2008

2009 year

2010

2011

0

Note: Reflects average price and availability for monthly contract parking in surface lots and garages as of January 2012. 2011 price increase due in part to the inclusion of new facilities at Great American Tower and The Banks.

29


CBD Daily Parking Rates Cincinnati

National

$20

the opening of a new parking facility at Freedom Way and Race Street,

0

adding 729 parking spaces to the Central Riverfront Garage system. Now completed, Freedom Way runs east and west from Great American Ball Park at Main Street (Joe Nuxhall Way) to Paul Brown Stadium at Elm Street, creating greater accessibility for Riverfront residents and visitors.

2007

2008

2009 year

2010

$10.00

$16.12

$9.75

$16.36

$9.50

$15.96

$9.50

$15.42

$5

The Banks Public Partnership celebrated

$8.00

$10

$15.38

rate

$15

2011

CBD monthly Parking Rates (Median) Cincinnati

National

$200

0

2007

Source: Colliers International

30

2008

2009 year

2010

2011

$160.00

$155.22

$150.00

$161.56

$127.50

$154.23

$125.00

$153.79

$50

$100.00

$100

$152.38

rate

$150


Metro and TANK worked together to provide a

comprehensive map of public transit routes supporting travel to, from and throughout downtown. Metro also improved service to riders by adding new fareboxes to allow for smartcards and is introducing new technology that will provide real-time information for downtown routes in 2012.

31


A study released by The Atlantic Cities showed a

200% increase in bike commuting in Cincinnati over the last decade. Among 22

cities recognized nationwide in 2011, Cincinnati received “Honorable Mention� at the 2011 Bicycle Friendly Community awards held in Washington D.C. To better serve downtown Cincinnati bike commuters and visitors, the Cincinnati Bike Center at Smale Riverfront Park, an indoor, two level facility with showers, lockers, and hundreds of bicycles for rent, opened in April 2012. Not just for getting from point A to point B, walking got a push from Go Vibrant, a health-focused public awareness campaign that encouraged downtown workers to take a break and hit the sidewalks.

32


on the horizon With new projects springing up across downtown, new corporate tenants, more modern modes of transit on the way, and more options for entertainment than ever before, 2012 is shaping up to be the biggest year yet for downtown. n 2012 World Choir Games – CVB expects 45,000 room nights and an economic impact of $73.5 million. (July 4–14, 2012) n Bunbury Music Festival – 100 live performances of local indie bands and national acts performing throughout Sawyer Point and Yeatman’s Cove. Upwards of 30,000 people per day are expected to attend the three-day inaugural event. (July 13–15, 2012) n KAO USA Inc. – Headquarters of KAO USA, part of Tokyo-based KAO Corp., will move its headquarters to 55,000 sq. ft. on three floors of the 312 Plum Street Buildings. 200 employees will move and 50 additional jobs will be created. (Summer 2012) n Reserve at 4th and Race – 88 luxury apartments on 13 floors to rent for $800 to $2,100 per month. (Summer 2012) n East Sixth Street Properties – Redevelopment of the historic Maisonette restaurant, soon to be home to the new Boca and a 16,000-square-foot, four-story lounge and nightclub, by Four Entertainment Group (4EG). (2012) n 21C Museum Hotel – 156 rooms, 8,000 sq. ft. of art exhibition space, restaurant and spa. (Late 2012) n Bus Rapid Transit (BRT) – Regional plan by Metro in cooperation with the City of Cincinnati, OKI Regional Council of Governments, Cincinnati USA Regional Chamber, Agenda 360 and Vision 2015, and TANK. To provide faster connections and more customer amenities along major corridors. (First corridor to open 2012) n Horseshoe Casino Cincinnati – $400 million investment. 354,000 total sq. ft. Caesar’s Entertainment expects 6 million visitors per year. n Cincinnati Streetcar – 3.6 mile route will include The Banks, 18 stops between downtown and OTR, and level floor boarding for accessibility. (2014) n dunnhumbyUSA – New building at Fifth and Race, to include a public parking garage, street-level commercial space, and potential residential. (Late 2014) n Music Hall Revitalization – Renovation of 144-year performance venue including infrastructure repairs. Expected to take five years for completion. (To begin 2014)

33


35 East Seventh Street, Suite 202 Cincinnati, OH 45202 513.421.4440 www.downtowncincinnati.com


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