Upper Georgia Avenue Main Street Retail Market Analysis
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Upper Georgia Avenue Main Street Retail Market Analysis Prepared For: Upper Georgia Avenue Main Street DC Department of Small and Local Business Development Economic Prepared By: JS&A Development Consultants Jon Stover & Associates Analysis And Report Created By: May 2020 Jon Stover & Associates www.jonstoverandassociates.com INTRODUCTION Study Participants Upper Georgia Avenue Main Downtown Silver Spring Street has a 1.6-mile-long Upper Georgia Avenue Main Street program corridor, extending from Missouri Avenue NW to Upper Georgia Avenue Main Street promotes Eastern Avenue NW. revitalization and investment in commercial centers to ensure economic stability for its businesses and a safe, beautiful dwelling for its people in the framework of the National Main Street Center. Jon Stover & Associates Takoma Metro Station Jon Stover & Associates (JS&A) specializes in economic analysis, retail revitalization, and helping public, Rock Creek Park private, and nonprofit organizations collaborate to meet economic development objectives. JS&A has helped a wide range of clients implement plans and programs that have successfully enhanced urban Upper Georgia The Parks at neighborhoods and commercial corridors. Walter Reed Avenue Main Street Dept. of Small and Local Business Development Program Area The DC Department of Small and Local Business Development (DSLBD) supports the development, Defining Retail economic growth, and retention of District-based For the purposes of this study, retail is defined in three categories that are businesses, and promotes economic development common in the retail landscape and used by DC’s Office of Planning. throughout the District’s commercial corridors. DSLBD manages the DC Main Street program and provides Neighborhood Goods & Services resources to local programs. Establishments serving residents and workers such as dry cleaners, fresh produce stands, pharmacies, florists, nail salons, barber shops, convenience stores, and more. About This Analysis This analysis relies on data provided by Upper Georgia Avenue Main Food & Beverage Upper Georgia Avenue Main Street was formed in late 2019 and is to help Upper Georgia Avenue Main Street understand its Street, the Washington DC Economic Partnership, ESRI, CoStar, Restaurants, cafes, bars, nightclubs, fast-casual dining, take-out is in the process of establishing awareness, understanding its neighborhood retail environment within a city-wide context; WalkScore.com, a large variety of local planning and visioning constituency, developing organizational objectives and documents, local real estate blogs such as CurbedDC and UrbanTurf, establishments, coffee shops, and more. identify collective preliminary needs, constraints, and concerns programs, and building lasting relationships with a variety of in-person site visits, and conversations with local business owners and of the business constituency; and identify opportunities for the staff. Retail metrics and evaluation criteria correspond with the DC Merchandise stakeholders. Office of Planning Vibrant Retail Streets Tool Kit. All findings presented Main Street to capitalize on retail conditions, trends, and in this report reflect the conditions at the time of the analysis. Businesses selling general merchandise, accessories, furniture, apparel, This report summarizes retail market analysis findings for the projections to play a leading role in helping to serve local 2 electronics, and more. Upper Georgia Avenue neighborhood. The purpose of this study businesses. © Jon Stover & Associates, 2019 3 © Jon Stover & Associates, 2020 DEMOGRAPHICS Upper Georgia Avenue Demographics Upper Georgia Avenue Population $74,320 39 Insert Photo 14,006 residents live within a ¼-mile radius. Median Household Income Median Age 32,390 residents live within a ½-mile radius. Household incomes in Upper Georgia Avenue are Upper Georgia Avenue has an older slightly below the city-wide median of $78,000. median age than the District’s 66,001 residents live within a 1-mile radius. median age (34). Education Attainment Household Summary Population Growth Rate (Since 2010) Upper Georgia Avenue is the primary transportation corridor serving Ward 4 in 17% Northwest DC. The corridor is surrounded by predominantly residential, family- 12% friendly neighborhoods, with a mix of apartment buildings and single-family homes. 48% 37% 9% 54% of residents have a Household incomes around Upper Georgia Avenue have moderate levels of disposable income with a median household income Bachelor’s Degree. Households 1-Person 2+ Person slightly under the District average. Over half of households have children, reflecting the quiet, residential character of surrounding with Households Households neighborhoods. Upper Georgia Avenue not only serves as the primary commercial corridor for nearby residents but is also a major Children 27% Upper Georgia Ave DC commuting corridor connecting central DC to Silver Spring, Maryland – creating an opportunity for businesses to take advantage of the regional accessibility of the corridor to capture more spending from commuters, Silver Spring residents, and customers from of residents have a Upper Georgia Avenue has more family Over the past decade, Upper Georgia Avenue has grown at Graduate Degree. households than single-person households. a slower rate than the District. neighborhoods further south around Georgia Avenue, including Petworth, Park View, Columbia Heights and Pleasant Plains. Note: Data reflects demographics of a ½ mile buffer around the program boundary of Upper Georgia Avenue Main Street. Data Sources: ESRI, business surveys Annual Average Daily Traffic: 24,143 Vehicles on Georgia Avenue NW Upper Georgia Avenue NW is a major commuting route for drivers traveling between downtown DC, upper NW DC, and Maryland. As a result, Upper Georgia Avenue businesses benefit from substantial visibility and capture spending from commuters on their way to and from work. 4 5 Data Sources: DDOT (2017), ESRI © Jon Stover & Associates, 2019 RETAIL MARKET AREAS & CUSTOMER BASE Where are Upper Georgia Avenue customers coming from? Upper Georgia Avenue Customer Base Retail Customer Profile Demographics of all retail customers Upper Georgia Avenue is a predominantly local-serving Approximately two thirds of customers along Upper in Upper Georgia Avenue commercial corridor, with most customers coming from Georgia Avenue live in neighborhoods within walking Customer Age neighborhoods within one mile of the corridor. distance or a short drive from the corridor. < 25 years old 26% Primary Market Area (One-Mile Radius) Approximately 65% of customers originate from neighborhoods 25-34 years old 18% The remaining customers travel from various parts within the DC region to visit one or within a one-mile buffer from Upper Georgia Avenue. This area, which is cut off at Rock Creek Park, businesses along the street including commuters on their way to and from work. The 35-44 years old 13% covers several DC neighborhoods including Brightwood, Sixteenth Street Heights, Manor Park, Takoma, Walmart and Target, at the southern and northern ends of the program area respectively, and Shephard Park. This market area also extends into Takoma Park, Maryland and the southern portion 45-54 years old 16% primarily attract customers from the same market area, though the Target attracts nearly of Silver Spring, Maryland. 55-64 years old 8% one-fifth of its customers from Silver Spring. Secondary Market Area (DC Region) Upper Georgia Avenue’s secondary market area covers the entire > 64 years old 19% The development of The Parks at Walter Reed is not expected to significantly change the DC region. This market area accounts for approximately 30% of overall customer traffic in the study area area’s primary market area, unless new amenities within the project creates a significant and includes both commuters and destination visitors traveling specifically to Georgia Avenue to visit The age distribution of Upper Georgia increase in destination visitors to the area. The increase in nearby residential density one or more businesses. Avenue customers leans slightly created by the development may instead expand the share of nearby residents in the young, with 44% of customers under Outside DC Region Approximately 5% of customers along the corridor originate from outside the DC area’s customer mix – creating less of a need to attract customers from outside the the age of 35. metropolitan area. primary market area. Given that Georgia Avenue is a major regional thoroughfare, an opportunity exists to Most Common Customer attract additional residents who live in neighborhoods farther north and south along Household Income of Primary Market Area Zip Codes Georgia Avenue. These neighborhoods include Petworth and Park View as well as Customers (One-Mile Buffer) Downtown Silver Spring and Woodside, Maryland. 20011 Less than $20,000 17% 34% (Brightwood, Fort Totten, Petworth, Manor Park) $20,000 - $75,000 34% 20012 30% 11% (Takoma, Shepherd Park, 65% 5% $75,000 - $150,000 36% Colonial Village, Brightwood) Destination Visitors & Nearby Residents Other Greater than 13% 20912 Commuters $150,000 Upper Georgia Avenue Main Street 5% (Takoma Park, MD) Program Boundary 66,000 residents live 1.9 million residents live 41,500 office workers Reflecting the demographics surrounding within a one-mile buffer within a ten-mile radius work within a one-mile neighborhoods, the customer base of 20910 5% around the Upper around the Upper Georgia buffer around the Upper Upper Georgia Avenue