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Tampere Travel and Service Centre Commercial Analysis

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Tampere Travel and Service Centre Commercial Analysis 10 September, 2015 Contents 1. Introduction COMMISSIONED BY: City of Tampere 2. Starting points The Finnish Transport Agency – “The "ReConnecting Tampere"” competition proposal Senate Properties VR‐Group Ltd 3. Identifying opportunities AUTHORS: – Accessibility of the area Realprojekti Oy – Connection to the city centre and the rest of the city Markku Hietala, Managing Director Olli Kovanen, Consultant – The competitive situation Saku Järvinen, Consultant – Population, workplaces and purchasing power Jori Heinonen, Analyst Lauri Jokela, Analyst – Outlook of the retail and office market Lotta Kujala, Analyst – The real estate market in Tampere Email: [email protected] – The commercial role of the travel and service centre 10 September, 2015 4. Development potential of the travel and service centre Translated into English by Translatinki Oy – Analyses and comparisons 5. Conclusions, recommendations, and grounds for further planning 2 1 Introduction This analysis aims to help understand the construction potential offered by the Tampere station area. In addition to the “"ReConnecting Tampere"” competition proposal that forms the basis of this work, the necessary analyses, background materials, and statistical information have been used to provide an understanding of the role that the travel and service centre will have in the development of Tampere’s city centre structure over the coming years. The building production volume of the various space types that are permitted in the project area by the property market were analysed based on the role of the travel and service centre, various surveys, and statistical and historical data. The assessment takes account of the Ratina Shopping Centre and the planned multifunctional arena. Changes in the background assumptions open up opportunities for different solutions for e.g. phasing Source: Design Contest for the Tampere Travel and Service Centre, 2014, City of Tampere of the projects. 3 Starting points 1. Introduction 2. Starting points 3. Identifying the opportunities 4. Development potential of the travel and service centre 5. Conclusions, recommendations, and grounds for further planning 4 Starting points: Extracts from the "ReConnecting Tampere" competition proposal Extracts from: "ReConnecting Tampere". TAMPERE TRAVEL & SERVICE CENTRE DESIGN REPORT 2014. Various new functions that increase customer flows: •Over 20 million travellers and commuters will use Tampere travel and service centre annually. •The new urban heart ‐ an elevated plaza on top of the Centre ‐ will form one of the most important public spaces in Tampere in the future. The plaza will be a covered public space, attractive in the spring, summer, fall and winter. •Multiple restaurants and cafes, a cinema and a sports centre will provide multiple options for travellers to take a break from their journey. •New flexible office spaces and high‐quality housing located around the new public plaza will offer local citizens an opportunity to work and live right in the new pulsing heart of Tampere. •Transit tunnel where busy travellers rush to catch their trams or check‐in to their flights. •The new bus terminal will be located in the current Pakkahuone Square in the same level with the train platforms. •The various cafes, galleries and shops together with flows of people give the place a sense of positive buzz. Restaurants and cultural activities enrich the urban atmosphere. •Small pavilion cafes spread around the plaza during summer days. Information and service kiosks help busy travellers in exploring the city or just getting information on their train or flight connection. •In the southern area, which is located in the crossroad between Tampere Hall Congress and Concert Centre and the city, there will be a sports hybrid that locates a variety of activities, ranging from badminton to wall climbing. •A new health centre and a 6,000m2 swimming hall will be located under the north side of the park where it slopes up to meet the deck level. 5 Starting points: Extracts from the "ReConnecting Tampere" competition proposal Extracts from: "ReConnecting Tampere". TAMPERE TRAVEL & SERVICE CENTRE DESIGN REPORT 2014. Development: •The new Deck can accommodate up to 200,000 m2 of new housing, office and retail spaces •The proposal also includes densification and diversification plans for the Tulli and Tammela districts, with up to 100,000 m2 of new development •Critical parts of the implementation concern new housing. There is a risk of building an excessively high volume of housing within a short period, which could result in oversupply on the housing market. The "ReConnecting Tampere" proposal estimates that the leisure and sport spaces will be less critical to the overall implementation schedule than housing. 6 Starting points: "ReConnecting Tampere" The master plan builds on the current city structure by extending the grid structure across the railway yard. This will connect the two sides, which are currently separated by the railway tracks. The master plan for the "ReConnecting Tampere" competition proposal includes the following six strategies for developing the city structure. STRATEGY 1 STRATEGY 2 STRATEGY 3 UNIFY AND CONNECT –”The Camouflage” A NEW FRONTSIDE –”THE ARCADE” THE INTERMODAL TRANSPORTATION HUB –THE HEART OF THE CITY STRATEGY 4 STRATEGY 5 STRATEGY 6 ”EASE OF TRAVEL” – CONNECTING LOCAL, REGIONAL AND NATIONAL DIVERSIFY & ENHANCE – REVITALIZE THE NEIGHBOURHOODS THE GREEN LUNG IN THE CITY – TAMPERE CENTRAL PARK MODES OF TRANSPORTATION "ReConnecting Tampere". TAMPERE TRAVEL & SERVICE CENTRE DESIGN REPORT 2014. 7 Identifying the opportunities 1. Introduction 2. Starting points 3. Identifying the opportunities 4. Development potential of the travel and service centre 5. Conclusions, recommendations, and grounds for further planning 8 Accessibility The project area enjoys a advantaged position in the centre of Tampere, at the eastern end of Hämeenkatu Street with excellent connections. 5 5min min 1010 minmin There are nearly 64,000 residents and around 63,000 1515 min min workplaces within a five‐minute drive of the area, a radius which covers most of the Tampere city centre. In addition, Lielahti district is just a ten‐minute drive away, and Pirkkala district a 15‐minute drive away. This large catchment area in a central location facilitates the dense construction that is typical of city centres. 9 Public transport Thanks to its central location, public transport connections to and from the area are excellent. The construction of the travel centre in the area will make public transport even more important. Both local and long‐distance connections are excellent. Mode of transport Tampere region survey 1969 Public transport routes, summer 2015 (City of Tampere) Tampere Mode of transport survey 1996 (TALLI 2000) Surrounding municipalities Trips by residents in Tampere Trips to the inner city Other Other By bicycle Tampere By bicycle Mode of transport By car By car survey 2005 (TASE 2025) By bus By bus Surrounding municipalities Tampere Mode of transport On foot On foot survey 2012 Surrounding municipalities By car, as driver By car, as passenger On foot Figure 21. Modes of transport of residents in Tampere By bicycle By bus Other means of transport Figure 22. Changes in the transport habits in Tampere between 1969 Source: The Local Master Plan for the Inner City 2014. and 2012 (November and December, residents of 14 years old or older) Preliminary traffic network development goals within the Tampere inner city area 2014 10 Residents and Residents 31.12.2013 workplaces Currently there are over 6,000 residents and around 13,000 workplaces within a 500‐metre radius of the central square, near the project area. The project area is located in the middle of a dense residential and working district in Tampere city centre, offering excellent opportunities for a wide range of functions. Workplaces 31.12.2013 Source: Statistics Finland, Grid database 11 Table 12. Population projection for Tampere region in 2040 (September 2014). The projection for 2025 is based on the assumption that the demographic structure will develop evenly throughout the inspection period Population projection The population of the entire Tampere region is growing rapidly, creating demand for new premises. Based on the population projection for Tampere Region, the population of the region will increase by up to 118,000 residents between 2012 and 2040. This is an increase of over 30% from the 2012 level. Of this growth, around half will be within the city of Tampere, increasing the city’s population by around 27%. This rapid growth brings added pressure to increase additional construction within the city centre, and to extend the city centre area. As such, expanding the travel and service centre is a logical part of the solution to this problem. Source: Tampere Region Land Use Plan 2040. Tampere Region 12 service network 2040. Regional Board 19 January 2015 The commercial position of Tampere city centre TheTravelandServiceCentreareais adjacent to the city’s commercial centre. It is the most natural direction of growth, making it the most attractive area for new construction in the region. When completed, the area will connect the two sides that are currently separated by the railway tracks, and will provide more city centre space above the tracks. TheTravelandServiceCentrewill strengthen the position of the eastern side of the Tammerkoski Bridge as the city’s commercial heart. Map: The Strategic
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