HomeMy WebLinkAboutCAO-08-020 - 2007 Downtown Trends & Indicators (formerly Monitoring Report)J
KITC~~R
Economic Development
REPORT
Report To:
Date of Meeting:
Submitted By:
Prepared By:
Wards}Involved:
Date of Report:
Report No.:
Subject:
RECOMMENDATION:
Finance & Corporate Services Committee
June 16, 2008
Silvia Wright, Manager, Downtown and Community Development
Janette MacDonald, Technical Analyst, Business Development
1&6
June 07, 2008
cAO-o8-o20
2007 Downtown Trends & Indicators (formerly Monitoring Report)
That Report CAO-08-020 and attached "2007 Downtown Trends & Indicators" be received as information
only.
BACKGROUND:
The Downtown Strategic Plan Volume 3 provides action items which are intended to guide the process of
creating an environment for sustained and balanced vitality in the heart of the city. It is directed toward
creating authentic community vitality through people living, working, playing and learning downtown.
Thus, the 2007 Downtown Trends & Indicators report captures activity in these four areas to attempt to
measure progress pertaining to the Downtown Strategic Plan. The Trends & Indicators report also
includes the additional "Grow" section intended to summarize much of the work related to the Downtown
Strategic Plan and the newly adopted 2007 - 2010 Economic Development Strategy.
REPORT:
The results from the 2007 Downtown Trends & Indicators report indicate that the Downtown Strategic
Plan and the catalyst investments realized through EDIF (Economic Development Investment Fund) are
making a positive impact in the urban core. In particular, "dive" indicators including population increases,
and residential construction of new units demonstrate sustainable economic development in downtown
Kitchener.
Live
• 18,862 residents or 8.7 percent of total population in downtown neighbourhoods in 2007
• 1,118 new units since 2001; 499 units in 2006-2007
• $78,358,400 in residential construction values since 2001
• Construction values in 2007 were nearly double 2001 values
• Rental vacancy rate at 5 year low since data became available
Work
• 11,985 employees in city centre in 2007
• Net growth of 48 businesses in past 3 years
• $48 million in construction at corner of King St W and Victoria St S
• $50.4 million in commercial construction since 2001
Play
• 28.2 percent increase in event attendance in 2007 for a total of 394,854
• 65,000 at 2007 Blues Festival over 3 days in downtown core
• 1.3 million have attended downtown events since 2004
Learn
• 2,167 students in the downtown core
• Another 595 students when Health Sciences Campus is fully operational
Grow
• Approved Economic Development Strategy with significant attention devoted to downtown
revitalization activities
• Consulted and developed `pedestrian-first' streetscape design
• Downtown provide with wireless Internet access and iXpress bus service
• Continued work on key initiatives included Centre Block and Your Kitchener Market
The indicators in the 2007 Downtown Trends & Indicators report provide evidence of a positive
momentum in downtown development, supported by the strategic direction and catalyst investments. In
particular, in both 2006 and 2007 there are especially strong indicators for increased residential
development, which will provide a sustainable market for downtown businesses.
FINANCIAL IMPLICATIONS:
None
COMMUNICATIONS:
This year the City will release two versions of the Trends & Indicators report as is has become evident
that there are two audiences with different needs. Staff will prepare:
1. A detailed version for statistical background required by investors and developers. (attached
2. A high-level marketing piece for interested citizens. (to be completed on Council approval of this report
The use of two formats permits staff to enclose more detail in the background document. This year's
background report shows all results since 2001 -where available - to permit comparison over time. The
marketing report will provide summary numbers, and will be prepared by Communications staff to ensure
consistency with other downtown marketing materials.
Staff will prepare a media release, an article in Your Kitchener, and post results on both
www.kitchener.ca, and www.downtownkitchener.ca
Silvia Wright, Manager
Downtown Community Development
Janette MacDonald, Technical Analyst
Business Development
Attach: Appendix A: 2007 Downtown Trends & Indicators
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2007 Downtown r~e~ds a ~~d~~ato.s
Background Report
Released June 2008
City of Kitchener
Economic Development Department
200 King St W, PO Box 1118
Kitchener, ON Canada N2G 4G7
Phone: 519.741.2292 Fax: 519.741.2722
downtown@kitchener.ca
www.downtownkitchener.ca
2007 Downtown Trends & Indicators
Contents:
Highlights
Preface
2007 Trends & Indicators
Live
Highlights
Population
Residential Developments
Apartment Rental Market .
Work
Highlights
Businesses and Employees
Top Employers (>100 employees)
New Businesses
Commercial Market
Building Permits
Play
Highlights
Events
1
2
1
1
1
1
1
2
3
3
3
3
4
4
5
6
6
6
7
Attractions
Learn
8
Highlights
Downtown Universities and Training Facilities
Economic Benefits
Grow
8
8
8
9
Highlights
2007 - 2010 Economic Development Strategy
Downtown Strategic Plan Update
Infrastructure and Improvements
Transportation
Development Projects
Conclusion
For more information contact:
_9
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10
11
11
13
Janette MacDonald Silvia Wright Sandy Curzon
Technical Analyst Manager, Downtown Development Downtown Service Administrator
519.741.2760 519.741.2392 519.741.2310
janette.macdonald@kitchener.ca silvia.wright@kitchener.ca sandy.curzon@kitchener.ca
2007 Downtown Trends & Indicators
Highlights
In 2007 downtown Kitchener continued to demonstrate positive indications of renewal. Population
growth, new residential developments, lower commercial vacancy rates and surging event attendance
reflect an increasing interest in living, working and playing in downtown Kitchener. Student numbers and
the future enrollment at the new Health Sciences Campus suggest that downtown Kitchener is poised to
become a centre for learning as well.
Highlights from 2007:
• Annual population growth of 1.4 percent to nearly 19,000 residents
• Almost 12,000 people work in the downtown core
• 245 new residential units approved for construction which account for 14.2 percent of new units city-
wide
• Decrease in apartment vacancy rate to 3.6 percent, a 5 year low
• 36.3 million in construction values representing 8.3 percent of city-wide activity.
• Decrease in commercial vacancy rate to 9.9 percent.
• 28 percent increase in event attendance
• More than 2,000 students learning in downtown Kitchener
These indictors along with others presented in this report suggest that the catalyst investments realized
through the Economic Development Investment Fund (EDIF) and Downtown Strategic Plan are making a
difference in downtown Kitchener.
2007 Downtown Trends & Indicators
Preface
Unless otherwise specified the indicators within this document refer to the downtown study area which
consists of 7 planning communities or neighbourhoods.
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1. City Commercial Core
2. Civic Centre
3. King East
4. Cedar Hill
5. Mill Courtland Woodside Park
7. Victoria Park
13. Central Frederick
The information in this report has been carefully gathered to obtain accurate information. While every
effort has been made to ensure the accuracy of information, the possibility for error or omission exists.
We would appreciate your assistance by notifying us of any inaccuracies. We can be contacted at
519.741.2292 or at ecodev@kitchener.ca, or by faxing 519.741.2722.
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2007 Trends & Indicators
2007 Downtown Trends & Indicators
Live
Highlights
• 18,862 residents or 8.7 percent of total population in downtown neighbourhoods
• 1,118 new units since 2001; 499 units in 2006-2007
• 1,542 new residents since 2001
• $78,358,400 in residential construction values since 2001
• Construction values in 2007 were nearly double 2001 values
• 1,104 new units currently being proposed for future development
• Rental vacancy rate at 5 year low since data became available
Population
The residential population of downtown Kitchener has grown steadily with 1,542 new residents since
2001. The estimated population of 18,862 represents 8.7 percent of the city's total population. The rate
of population growth has increased since 2005 after an unusual spike in 2003, and is now very close to
the growth rate city-wide. The population is expected to continue to increase in upcoming years with more
than 1,100 additional residential units currently being proposed.
Annual Population Estimate
18,862
3.9%
18,596
18,450 18,498
18, 348
,1
2.8%
~, 2.5% 2.4%
2.3%
17,665 ~ 1.9%
17,424 ~ -
17,320 1.4%°
1.0%
06% 0.5%
'° 0.3%
0.6 /
u
Census 2001 (Year 2002 2003 2004 2005 2006
(Mid Year) End)
O DT Population %In crease DT %I ncrease City-wide
Source: City of Kitchener AMANDA database
Residential Developments
1.7%
1.4
2007
There have been 1,118 new residential units approved for construction since 2001, and almost 500 of
those were in 2006-2007. Future developments include a proposed 1,104 new units including
construction of The InTowns on 90 Woodside Ave, winner of the 2007 CUI Brownie Awards for Best
Small-Scale Project, and the Arrow Lofts development.
1
2007 Downtown Trends & Indicators
Downtown Net New Residential Units -Permits Issued
296
245
21,621,0 0
2001 2002 2003 2004 2005 2006 2007
ODT Construction Value of New Units ~DT Net New Units
Source: City of Kitchener AMANDA database
Apartment Rental Market
Rental vacancy in Kitchener Central continues to fall, reaching a new low for the past 5 years at 3.6
percent. This is a positive indication of the desirability of downtown residential living especially given that
new units have become available in that time, and were quickly absorbed.
Apartment Rental Vacancy Rate -Kitchener Central
Downtown City-wide
Source: CMHC, 2007, refers to Central Kitchener area
2
2003 2004 2005 2006 2007
2007 Downtown Trends & Indicators
Work
Highlights
• 11,985 employees in city centre
• 85 restaurants in city centre
• Net growth of 48 businesses in past 3 years
• $48 million in construction at corner of King St W and Victoria St S
• $50.4 million in commercial construction since 2001
Businesses and Employees
The number of businesses has climbed steadily for the past 4 years, with the biggest corresponding gains
in employment realized in 2005-2006. Many of the new businesses added in 2007 were small retail
shops which reflects the increasing demand for retail shops by the office workers added in prior years.
Employment and Business Counts
2004 2005 2006 2007
D Employment Businesses
Source: City of Kitchener Downtown Database, refers to Civic Centre planning community ~ only
Top Employers (>100 employees)
Name # of Em I
Manulife Financial 1,300
Arvato Services Inc. 954
Ro ers Communications 720
Canada Revenue A enc 550
Cit Of Kitchener - Cit Hall 475
Re Tonal Admin. Buildin 455
Bell Canada 450
The Record 350
Nordia Inc. 300
Stantec Consultin Ltd 259
MCAP 214
continued.. .
Name # of Em I
The Centre In The S uare 170
Cit of Kitchener -Operations 159
YWCA of Kitchener-Waterloo 140
Delta Kitchener-Waterloo 140
Desire2Learn 134
Waterloo Re Tonal Police Admin Bld 125
Kitchener Public Librar Main 109
St. Louis Adult Learnin Centre 103
C I BC 100
WLU Facult of Social Work 100
Source: City of Kitchener Downtown Database, refers to Civic Centre planning community ~ only
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2007 Downtown Trends & Indicators
New Businesses
The following is a sample of some of the exciting new businesses in downtown Kitchener. Recent
additions such as David's Gourmet, the Golden Hearth Baking Co. and Full Circle Natural Foods are
helping meet grocery needs for the many new residents in downtown.
Name Street Em to ees Cate o
Morneau Sobeco 30 Duke St W 35 Financial Services
David's Gourmet 179 Kin St W 10 Grocer
Deli Works 40 Weber St E 6 Deli
J & B Famil Restaurant 79 Victoria St N 4 Casual Dinin
Pho Son Lan 265 Kin St E 4 Chinese
Full Circle Natural Foods 3 Charles St W 3 Groce
In asha 265 Kin St E 2 Art & Photo ra h
Civilian Printin 8 Duke St E 2 A arel, Accessories
East African Cafe 50 Ontario St S 2 Cafes and Bakeries
Golden Hearth Bakin Co 343 Kin St E 2 Cafes and Bakeries
Fairfax Ex ress Cash Refund 50 Ontario St S 2 Financial Services
Discount Mort a e Canada Inc. 50 Queen St S 2 Financial Services
To Of The Line Clothin 91 Queen St S 1 A arel, Accessories
Fanc Salon 83 Ontario St S 1 Beaut
Black & White Barbers 206 Kin St E 1 Beaut
Maestro Cafe 24 Kin St E 1 Cafes and Bakeries
The Cake Box 271 Kin St W 1 Cafes and Bakeries
Island Ink'et 206 Kin St E 1 Com uters, Electronics
Cit Fries & Grill 103 Ontario St S 1 Fast Food
K-W Granite Counterto s 91 Queen St S 1 S ecialt Sho s
Les Fleurs 10 Kin St E 1 S ecialt Sho s
Source: city of rutcnener uowntown uatapase, raters to civic centre planning community ~ only
Commercial Market
Vacancy has continued to fall as demand for commercial space increases city-wide. Vacancy is still
slightly higher downtown compared to the rest of the city. The average asking lease rate has typically
been higher than the rest of the city. The average annual asking lease rate rose for the third consecutive
year and is now almost the same as the city-wide rate.
Commercial Vacancy and Lease Rates
13.9% Average Annual Vacancy Rate
12.1% 12.0%
9.9%
10.1% 10.3% 10.4%
7.0%
Average Annual Asking Lease Rate per sq.ft.
$11.73
$11.11
$9.41 $9.74
$11.40 $11.55
_~
$10.40 $10.41
2004 2005 2006 2007
'-' Core - -City-wide
Source: CB Richard Ellis Market View, refers to core area (similar to PC ~ ~
4
2007 Downtown Trends & Indicators
Building Permits
In 2006, the total value of downtown permits rose significantly, but this can be primarily attributed to the
nearly 30 million dollar permit associated with the University of Waterloo School of Pharmacy. As well, 18
million can be attributed to the residential development of Kaufman Lofts. These projects represent
nearly 48 million in construction at the corner of Victoria and King St W, and will be key to the
redevelopment of this district.
Therefore, it is misleading to compare 2007 to 2006 values. Rather, a comparison of 2007 to 2005 shows
a 30 percent increase in permits. As well, from 2005 to 2007 permits as a percentage of city-wide
construction activity rose from 6.8 percent to 8.3 percent, reflecting the increasing amount of
redevelopment activity in downtown Kitchener.
Annual Construction Value of Building Permits
(millions)
18.7%
29.3 million for
School of Pharmacy
10.5%
9.9%
35.6 35.0 6.6% 6.6% 6.8%
n
28.3 28.0
20.5
8.3%
36.3
2001 2002 2003 2004 2005 2006 2007
ODT Construction Values % of City wide
Source: City of Kitchener AMANDA database
There has been 254.1 million in construction since 2001, led primarily by Residential and Institutional
development. Commercial activity closely follows institutional, and industrial has been insignificant as
downtown moves to become an information and commercial hub. Residential development since 2001
was $108.5 million of which $78.4 million is linked to new units.
Total Construction Values
Type 2001 2002 2003 2004 2005 2006 2007
Residential* 18,090,250 24,970,000 3,827,800 4,793,572 6,824,400 26,024,200 23,962,600
Commercial 7,992,188 6,284,000 2,551,200 15,455,900 5,543,800 5,754,600 6,830,000
Industrial 340,000 642,500 40,000 106,000 1,987,000 130,000 798,600
Institutional 8,903,000 1,263,000 1,607,500 7,653,000 11,976,800 32,211,500 4,228,500
Multiple Use 1,400 1,634,000 10,900,000 192,000 - 6,000,000 31,600
Other** 291,850 248,200 1,524,350 102,500 1,646,700 258,450 483,600
Total 35,618,688 35,041,700 20,450,850 28,302,972 27,978,700 70,378,750 36,334,900
*Reflects total residential construction including finish work
**Other is Non-Res and Res Electrical, Plumbing and HVAC.
Source: City of Kitchener AMANDA database
70.4
5
2007 Downtown Trends & Indicators
Play
Highlights
• 28.2 percent increase in event attendance in 2007 for a total of 394,854
• 65,000 at Blues Festival over 3 days in downtown core
• 1.3 million have attended downtown events since 2004
Events
Total event attendance in 2007 was 394,854, up
28.2 percent from 2006. Since 2004, 1.3 million
people have attended events in downtown
Kitchener. Starting in 2007 there is a steady
parade of colour on King Street from April to
December. The banner program is designed to
promote all the major events in Kitchener
throughout the year, going through several
colourful cycles as the events are promoted for a
period of 4 - 6 weeks. In 2008 the program will
be expanded beyond King Street.
2007 Major Events (>7,500 in attendance)
Kitchener Blues Festival 65,000
Multicultural Festival 63,000
Christkindl Market 42,000
Open Ears Festival 40,000
Cruise Ni ht 20,000
KidSpark 18,000
The Beat 14,000
Festival of the Ni ht 10,000
Festival of Trees and Li ht 9,000
Artworks/MFA CAFKA 7,500
BBQ Cookoff 7,500
Word on the Street 7,500
Source: City of Kitchener AMANDA database
Downtown Event Attendance
394,854
2001 2002 2003 2004 2005 2006 2007
Source: City of Kitchener Community Services
6
2007 Downtown Trends & Indicators
Attractions
The Centre in the Square experienced a 2.2 percent increase in attendance which is primarily the result
of an increase in the number of performances held during the 2007 season. The Children's Museum
experienced 2.5 percent increase in attendance and the Kitchener-Waterloo Art Gallery experienced a
23.4 percent increase in attendance in 2007.
Sample of Cultural Attractions
2004 2005 2006 2007
Centre in the Square 172,532 162,600 178,381 182,332
Children's Museum 68,283 51,255 46,556 47,756
Kitchener-Waterloo
Art Gallery 25,609 24,756 30,541
Source: Centre in the Sauare. Waterloo Reaion Children's Museum. Kitchener-Waterloo Art Gallery
7
2007 Downtown Trends & Indicators
Learn
Highlights
• 2,212 students in the downtown core
• Another 595 students when Health Sciences Campus is fully operational
• 1St new school of pharmacy in 100 years in Ontario
Downtown Universities and Training Facilities
Current
Wilfrid Laurier University Lyle S Hallman Faculty of Social Work
St. Louis Adult Learning Centre
Everest College
Trios College Of Business/Technology/Healthcare
Voila Institute
Future
University of Waterloo School of Pharmacy
McMaster University's Michael G. DeGroote School of Medicine
Other
Nexient Learning Inc.
Economic Benefits
Employees Students
100 250
103 1, 500
21 177
10 240
4 45
50 550
TBD 45
6 20/average/day
The Faculty of Social Work and Health Sciences Campus represent two major advances in the education
and knowledge creation sector in downtown Kitchener. The Faculty of Social Work is projected to provide
downtown Kitchener with an economic benefit of $1.48 million annually. It has been operating out of its
downtown location since 2006.
Construction is under way on the University of Waterloo Downtown Kitchener Health Sciences Campus,
with occupancy scheduled for the fall of 2008. It will be home to the School of Pharmacy as well as the
McMaster School of Medicine, and the Centre for Family Medicine.
UW One-time Impacts:
• 358 full-time jobs = $21 million in wages and salaries during construction.
• $11 million in public revenues to federal, provincial, regional and local levels of government.
• $147 million for construction of 120,000 square-foot building, including site work and preparation; $30
million City of Kitchener contribution; $75 million to $90 million in capital funding; $20 million to $30
million in private sector donations.
UW Recurring impacts:
• $28 million annually from operations, research and expenditures by students and visitors.
• Employment creation of 766 person years annually.
• $25 million annually in wages from the creation of employment.
• $9 million annually in public revenues for all levels of government.
• Private sector impact of $20-$30 million annually for the provision of housing to students.
• $6 million to $10 million per year from external sources, including government and private sources.
• $25 million to $30 million for operating costs, scholarships, fellowships, professorships.
• $15 million in annual operating costs.
8
2007 Downtown Trends & Indicators
Grow
Highlights
• Approved Economic Development Strategy with significant attention devoted to downtown
revitalization activities
• Consulted and developed `pedestrian-first' streetscape design
• Downtown provide with wireless Internet access and iXpress bus service
• Continued work on key initiatives included Centre Block and Your Kitchener Market
2007 - 2010 Economic Development Strategy
In 2007, Kitchener Council approved the 2007 - 2010 Economic Development Strategy. The strategy
builds on much of the work involved in executing the Downtown Strategic Plan, but also addresses city-
wide economic development through six areas of focus. They are:
1. Diversify the urban economy;
2. Support manufacturing competitiveness;
3. Create, attract, retain, and develop talent;
4. Build a dynamic Downtown;
5. Put more contaminated lands back to work;
6. Grow small businesses.
Downtown Strategic Plan Update
The Downtown Strategic Plan Volume III: Implementation Plan was approved by Council October 20,
2004. The plan focuses on strengthening the downtown are primarily through attracting more people to
live, learn, work and play in the heart of the city. Most significant to sustaining a healthy and balanced
downtown is the attraction of new residential opportunities - creating a sustainable market for goods,
services and culture within downtown Kitchener. The Downtown Strategic Plan outlines actions for
implementation that ensure major catalyst investments have a positive impact on the downtown
community.
Staff members are implementing the Downtown Strategic Plan and ensure that the strategies and actions
outlined are implemented across the corporation. There are a number of cross-functional teams in place
to ensure communication and support for plan objectives.
Highlights for 2007 were action items related to business, residential, vitality and community
development:
• Centre Block property being presented to national developers as a Request for Proposal (Downtown
Strategic Plan -Action Item 1)
• Urban Design Guidelines for the public and private realm (Downtown Strategic Plan - Action Items
26, 27)
• Business Community/Cluster Strategies including the development of the Health Sciences Campus in
conjunction with McMaster School of Medicine; Initiation and development of the Digital Media
Working Group (Downtown Strategic Plan -Action item 37, modified)
• Anew streetscape design has been developed to create a contemporary, well lit competitive
environment for business to grow, developing a renewed sense of pride for the heart of the City
(Downtown Strategic Plan -Action item 33)
• Downtown Brand Development including digital marketing, video, web site and student welcome tours
of the downtown area "Centre Yourself' campaign (Downtown Strategic Plan -Action item 4, 37, 57)
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2007 Downtown Trends & Indicators
Sustained participation in downtown incentives activity including Upper Storey, Fagade and Interior
and other incentives for downtown development (Downtown Strategic Plan -Action item 4, 52, 53)
Support business attraction and retention with improved downtown business survey, database and
mapping (Downtown Strategic Plan -Action item 2)
Provide customized presentations to engage business owners, building owners, employees and
neighbourhoods in the significant strategy for developing the urban heart of the city. Consistent with
the new economy, redeveloping downtown creates a more densely populated vibrant centre that
supports the environment through higher densities, shorter commuting distances and cleaned
Brownfield sites. The message includes an encouragement of 24-7 vitality and embracing diverse
community, which, while attracting 'talent' as young professionals, actually creates a safe and
comfortable community for citizens of all ages. The communication of this modern message
strengthens the economy and supports a Healthy Communities Plan for positive downtown
perceptions and community pride (Downtown Strategic Plan -Action item 57)
Infrastructure and Improvements
Streetscaping
In the spring of 2007, the community and downtown stakeholders offered their input as to how the King
Street streetscape should be reconstructed. It was determined that the street should be designed with a
'pedestrian-first' approach, while incorporating sustainable design techniques where possible. In the fall
of 2007, a public open house was held where the community offered feedback on the proposed 60
percent streetscape design. In 2008, finalization of the tender package and cost estimate are expected to
be completed for Council consideration. Through the Municipal Infrastructure Investment Initiative, the
Province of Ontario has committed $3.2 million towards the cost of the project.
Victoria Park
With the completion of work on the entrance to Victoria Park, the City is focusing attention on the park
itself with the approval of staff/citizens working group. The group will look at issues affecting Victoria
Parkand to give neighbourhood residents a new venue to express park-related ideas and concerns to
staff.
Financial Incentives
Since 1989 the Fagade/Interior Loan Program provides financial assistance to the owners of downtown
commercial properties who want to make improvements either to the exterior or interior of their buildings.
In 2007, four Fagade/Interior loans were approved totaling $150,000. Construction value for these
projects is estimated at $244,000.
As a further catalyst in the re-development of downtown Kitchener, in 2007, the City launched the Upper
Storey Renovation Program to provide opportunities for commercial property owners to convert upper
floors into residential spaces. This benefits the downtown economy by increased people activity and
consumer spending. Applications were first considered in 2006, with $400,000 available in the form of
loan and grant funding. The balance of the $1 million program will be available for three more years, with
up to $200,000 available each year until 2009. In 2007, there were no upper storey applications that met
the criteria.
The Downtown Financial Incentives Program also facilitates renovations by providing building owners
with various rebates. These include building permits, planning related fees and tax rebates. In 2007, 18
rebates were provided totalling $8,370.
In future Trends & Indicators Reports, a statement will be made in relation to generated tax revenues
from the properties associated with these financial incentives. At this point, it is premature to report any
values due to MPAC's (Municipal Property Assessment Corporation) assessment schedule.
The following table summarizes the annual activity of all Downtown Financial Incentives since 2001.
Total incentives issued of $1,652,118 were leveraged by the private sector to generate $4,309,288 in
investment in downtown projects, or 2.6 times the initial investment by the City.
10
2007 Downtown Trends & Indicators
Total Incentives (issued) (leveraged)
Number
of Loans Number of
Rebates Rebate
Value Facade
Interior Upper
Store Total Incentive
Pro'ect Value
2001 2 0 45,407 65,407
2002 6 5 84, 242 225, 000 1,155,000
2003 2 5 200, 000 90, 000 500,000
2004 4 3 21, 230 130, 000 605,000
2005 4 4 40,784 75,585 171,881
2006 10 8 61, 500 255, 000 265, 000 1,568,000
2007 4 18 8, 370 150, 000 244,000
TOTAL 32 43 416,126 970, 992 265, 000 4,309,288
Source: City of Kitchener Financial Service Department
Estimated improvements are based solely on loans issued through the downtown financial incentive loan program
Wireless
Downtown Kitchener now has wireless Internet service through whereever.ca and Atria. Access spreads
down the King Street area from Union Street to Cameron Street. Kitchener Public Library is now a free
Wi-Fi Hotspot at 85 Queen Street, North, allowing library patrons to access the Internet at no cost. While
enjoying Your Kitchener Market, with unique urban vendors and atmosphere, this community gathering
place is Wi-Fi ready for your next visit.
Web Visitors
In 2007 the number of unique web visitors increased to 82,061, up 187 percent from 2006. One of the
top pages that visitors view is on residential projects suggesting increased interest in living downtown.
Transportation
Parking
The current monthly parking occupancy rate for municipally owned lots is 98 percent. All but 2 lots are at
or over capacity on monthly permits. There are currently 260 people on wait lists for monthly parking
permits. For applicable lots, hourly usage exceeded 101 percent of capacity in the month of December
2007.
Transit
The iXpress bus service was created by the Region to build ridership in the Central Transit Corridor
(CTC) to support a rapid transit system. iXpress is one component in the development of a rapid transit
system that will revitalize downtown areas throughout the region. There are 13 stations along the route,
from North Waterloo to South Cambridge, running every 15 minutes during rush hour.
Development Projects
Centre Block
In early 2007 the City of Kitchener received expressions of interest on the Centre Block Request for
Proposals. In June, Andrin submitted its detailed development proposal for Centre Block and the Centre
Block Evaluation Committee and launched an exhaustive public consultation on the Andrin proposal.
During the latter half of 2007 the Committee conducted an evaluation and engaged in a discussion of the
proposal with Andrin. Negotiations on elements relating to various aspects of the project continued
through to 2008.
Your Kitchener Market
In September of 2007, City Council directed staff to explore the viability of five options for the future use
of the 9,000 square feet of vacant space on the second floor of Your Kitchener Market. Those options
included:
1. Opening a temporary arts and culture incubator in part of the market space to support the
11
2007 Downtown Trends & Indicators
transition to a vibrant, permanent urban market facility on that level over the next three to five
years;
2. Engaging a private management firm to operate the facility and lease out the unoccupied space;
3. Recruiting a single major grocery-type operator to fill most of the vacant space;
4. Retesting the City's original vision of having a number of independent vendors providing food or
food-related services;
5. Selling the market facility, business and parking garage.
In November of 2007, Community Services Committee approved the 6th option; a vendor based co-
operative operating on the second floor of the Market. Staff are exploring these opportunities through a
combination of recruitment strategies, consultant work and business cases, with a final recommendation
to be brought to Council early in 2008. While staff were investigating these options they also continued to
recruit vendors which resulted in 100 percent occupancy on the lower level.
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2007 Downtown Trends & Indicators
Conclusion
While there were positive developments realized in all five domains in 2007, the amount of growth seen
through residential or "Live" indicators demonstrate the greatest progress toward sustainable vitality.
Investment in catalyst projects through EDIF leads to investor confidence, and corresponding increases in
residential construction. The return on investment is especially clear through the example of the Health
Sciences Campus, which resulted in over $100 million in investment based on a $30 million investment
made possible through EDIF. The spin-offs from this single project demonstrate the positive impacts of
strategic investments in downtown Kitchener.
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