Methodology Overview

Methodology Overview i

The first step to this study is to identify the right boundaries that capture a downtown district. Geographic parameters often vary across data sources and may not align with a UPMO’s jurisdiction. This study has adopted a definition of the commercial downtown that moves beyond the boundaries of a development authority or a business improvement district. IDA’s Value of Investing in Canadian Downtowns report expresses the challenge well: “Overall, endless debate could be had around the exact boundaries of a downtown, what constitutes a downtown and what elements should be in or out. Yet it is the hope of this study that anyone picking up this report and flicking to their home city will generally think: Give or take a little, this downtown boundary makes sense to me for my home city.”3 IDA worked with each UPMO to identify the boundaries of their downtown for this project, giving priority to alignment with census tracts for ease of incorporating data from the U.S. Census.

To measure the value of downtowns relative to their cities, the analysis relies on data that could be collected efficiently and uniformly for a downtown, its city, and its region. IDA collects data from multiple national databases, such as the U.S. Census, LEHD, and ESRI. In addition, IDA gives each participating UPMO a list of metrics to collect from local sources like county assessors or commercial real estate brokers. IDA then analyzes the data to identify study area trends and benchmark the area against the city, the region, and other downtowns in the study.

The analysis includes meaningful qualitative observations to acknowledge unique features or add nuance and context to trends revealed in the data. As an example, universities often sit on the edge of a downtown study area. Even if not technically inside downtown, the university’s students typically represent a large user and consumer base for downtown and the analysis describes how the student presence influences the downtown environment. The analytical focus of the report is to make and support value statements about downtown by comparing it to the city, identifying its growth trends over time, and illustrating its density. For instance, data patterns revealed this for 2017 employment totals in downtown Seattle:

Downtown is a strong employment and industry hub for the city, with a concentration of high-paying and high-growth employment sectors. 43% of all citywide jobs are located downtown, as are 58% of citywide knowledge jobs. Overall, employment has increased 14% since 2010, outpacing both the city and region. In addition, the number of knowledge jobs grew 28% during that period. Each square mile supports 85,924 workers on average, more than ten times the average job density citywide.