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New Haven CBD Retail Strategic Plan
Prepared for The Town Green Special Services District Board
December 17, 1999
DRAFT: Confidential Draft Final Report i!J ERNST & YOUNG LLP Not for Distribution New Haven CBD Retail Strategic Plan
Influencing Development Outcomes The City of New Haven has a superb historic architectural and cultural framework in place to create a vibrant and active Central Business District (CBD). Key elements in the revitalization of New Haven's CBD were put in place over the last three decades -- which include the Coliseum, the Chapel Square Mall and other cultural and educational attractions. These investments have led to increased private investment in existing structures, along with the construction of selected new residential and renovated hotel properties. Specialty Retail was also included in this revitalization. New Haven as a Unique Destination
Market cycle reversals have slowed the pace of that continuing revitalization, which now requires consideration of a Strategic Plan for the CBD. This Plan establishes a framework for integrating a rational and balanced view of potential additional retail development, occupying vacant shopfronts, increasing public I cultural attractors and workforce amenities, and constructing new residential projects. We believe New Haven's CBD must be broadly perceived as a unique destination -- vibrant and pedestrian friendly - with unique supporting choices in food-service, retail, and cultural and educational offerings. Retail as Strategic Amenity
Retail is seen as a key element of most urban revitalization plans -- and retail will be seen as even more strategic in the future development of New Haven's CBD. A vibrant CBD retail core certainly has strategic value-- as retail encourages pedestrian density, and that density, combined with new CBD residential options, will increase security advantages and the perception of downtown New Haven as a safe, secure environment. Increased weekend and evening activities in the CBD will also prompt positive perceptions of the city's well-being. Retail is also a powerful workforce amenity. Diverse offerings which are concentrated in the CBD plan can distinguish downtown New Haven from large scale suburban shopping complexes with their vast parking structures and standardized experiences. Retail will also have an increasingly Strategic Value in retaining the existing workforce by resisting erosion due to expanding suburban office developments.
1 DRAFT- Confidential Draft Final Report. Not to be distributed. ill ERNST & YOUNG LLP \
New Haven CBD Retail Strategic Plan
New Haven's CBD is at a crucial transition point-- with traditional Dept Store Retailing fully evaporated, and an adjacent Three-anchor Regional Mall in near-term development. The Traditional Function of the city has changed -- and the immediate strategic question is - how can New Haven best capitalize on its inherent strengths, and can a concept-driven, well-executed Strategic Plan capture market support from new sources--- including the New Galleria at Long Wharf.
Strengths Weaknesses • Building stock with outstanding architectural and • Lack of defined re-use concepts and market historic quality recognition • Concentrated CBD Workforce • Underspent CBD I Regional Residents retail • Strong consumers in Yale University Students & potential due to limited offerings Faculty • Diffuse CBD focus with adequate retail clusters • Drawing power of University Events nearby campus • " Experience" value -- of cultural offerings & • Latent market expansion requires deliberate architectural settings intervention • Opposed to typical Regional Mall Merchandising, • Lacking Plan /Implementation to augment and Niches exist -- in Lifestyle Retail expand the Retail experience • Lacking plan to capture Urban Entertainment I Big Box I Lifestyle I Food I Crafts potentials
2 DRAFT- Confidential Draft Final Report. Not to be distributed. ill ERNST & YOUNG LLP New Haven CBD Retail Strategic Plan
Eight Downtown Retail Zones Downtown New Haven has Eight distinct Retail Zones, each of which enjoys a recognizable identity in terms of major uses, pedestrian and vehicular access, and architectural features. The most important consideration of this analysis is to focus efforts within these zones, not as self contained areas, but as interconnecting "Clusters" of retail uses. I '(} I Lower Chapel Street -- Value Oriented Retail Crown St. Corridor -- Restaurants & Clubs ~ • Existing Partial two- sided retail • Older buildings with • Shubert and Palace are • Several new site possibilities inc I MXD • Shartenberg site development surface/street parking strong Theater destinations behind Palace potential • Vacancies at Ninth Square • " Front Door" to Medical • Potential to strengthen Upper Chapel • New Shoreline Commuter Train interface School and very important Street station planned Grand Central site • Strong 2-sided potential
I :;.. I Chapel Square Mall -- Interim Retail Broadway Corridor -- Specialty Retail ~ •1 00% CBD location • Served by existing Temple • Well-executed Retail/ • Limited expansion • Omni/Conf/ Synergy Street Garage U Specialty Focus possibilities • Large Retail footprint potential • Yale Co-op is partial student • Caters to Yale population • Two-sided only at • Crown St. visibility draw with uncertain future intersection • Large office bldg and Long Wharf • Existing York Sq Cinema is Theater potential at Malley's site narrowly_ focused
I fi} .I Upper Chapel -- Single-Sided Specialty Retail I rl I Office District -- Chapel Sq. to Upper Church ~ • Existing Specialty Retail Base • Arts/Theater concentration 1,.....1 •Concentrated Office • Corporate leasing potential for • Potential Retail synergy with • MXD projects possible workforce SNETCo Bldg Crown St. • Office expansion sites • Large mid-block parking garage unclear -- except on lower possibility Church St
9th Square -- Neighborhood Service Retail & Restaurants 1 , -~1 Whitney Grove-- Two Sided Service & Specialty Retail • Potential capture of • Opportunity to increase two- ~ • Neighborhood Arts Cluster • Culture, Art I Office I Residential uses Coliseum population sided retail • Music School are well-executed mixed-used • Artist Housing project good • Crown St extension has • Office cluster patterns stabilizer major role for Retail/ Restaurant access
3 DRAFT- Confidential Draft Final Report. Not to be distributed. ill ERNST & YOUNG LLP - } t
New Haven CBD Retail Strategic Plan
Downtown Retail To implement change in downtown New Haven, and to effect a transformation of the existing streetscapes into Mixed Use and Retail developments - - including new loft offices, residential entertainment and specialty retail, broadened food-service choices, and cultural attractions- - will require attention to selected Critical Success Factors as follows:
r .I Maximize Retail Penetration of Existing 1 I Encourage Mixed Use I Demograehic Market Sueeort I • Require Retail under Residential • Better Serve the Downtown Workforce • Test Loft Offices with service Retail • Get Fair Share of Suburban Residents • Explore Entertainment/Retail Destination • Increase Penetration and Capitalize on Prototype at Chapel Square Mall Tourist/Visitor Market • Establish " Clusters" of In-Fill Retail categories
lmerove Regional Drawing Power by Creating 1·,~I Address Constraints -- Available Sites, New Sueeort I I Access & Parking Infrastructure, Security • Increase Visitor and Family Attractions • Limited Number of Large Footprint with Heritage and Cultural emphasis Development Sites • Increase Residential and Workforce • Actual vs. Perceived Parking Populations with residential development Demand & Supply • Search for Cross-Income Concepts (Farmers • Security, Street Lighting, Way Finding Market, Crafts Bazaar Auction Hall)
.., I ~,I Develoe Seecific Site Strategies I ) I Endorse Public/Private Partnering • Respond to the " 8 Downtown Districts" • Create Common Planning Objectives • Target In-Fill Zones • Anticipate need for Developer and Tenant • Identify Potential Full-Block Retail Sites Incentives • Target Live/Work Zones • Establish Retail Outreach with • Concentrate Office & Conference Core Coordinated New Haven Promotion
5 DRAFT- Confidential Draft Final Report. Not to be distributed. i!JERNST & YOUNG LLP ) ) \ t ~ l \
New Haven CBD Retail Strategic Plan
Analysis of Selected Zip Codes • An analysis of certain zip codes selected for effective drive time and adjacency to New Haven would exhibit much different characteristics in number of households, median age and, most importantly, median household incomes than a simple radius capture of the New Haven MSA. These targeted market segments could be attracted to a downtown themed specialty retail "district". The notable differences between this selected group of zip codes include: 0 Median household income $50,249 (vs. $40,553 in New Haven MSA) -- 24% higher 0 852,748 population (vs. 791 ,4000 in New Haven MSA) --8% larger 0 367,109 households (vs. 301 ,755 in New Haven MSA) --22% larger • The following chart compares several demographic markets:
.. al 'Mile-Radlus
, Qly;.of NewHawn NewHa~n~A ~w ;Jtilven~ Le,cteq,2lpJ~:>QQ~ Population1 127,327 791,400 1,825,194 852,748 1 Households 48,178 al1,755 691,454 ~ .109 Median Household lncome1 $27, 1 To ta l GAFO Re ta ilS pending pe r a nnum .:::::(G AFO Re ta ilS pe nding per Co ns ume r HH pe r Annum)~Households).. As pe r Uudget Re po rt fro m CAC I Marke ting Sys te ms. Inc . New Have n MSA • is Ne w Ha ven Co unty, as ddin ed by CAC I Ma rke ting Sys te ms , h1c. New Ha ve n 30 Mile Ra dius - druwn a round the inte rs ec tio n o f Church and Cha pe l S lree ts • GAFO Spending includes the following categories: General Merchandise, Apparel, Furniture/ Furnishings and Other, and includes such items as equipment, apparel & services, entertainment, hobbies, personal care, tobacco & smoking supplies and books/periodicals. 6 DRAFT- Confidential Draft Final Report. Not to be distributed. ill ERNST & YOUNG LLP } t ' ~ New Haven CBD Retail Strategic Plan New Haven Metro Attractions/Audiences Positive Support Factors for Retail New Haven Note: Destination concepts located Downtown offer a potent opportunity for capturing percentage of large regional VisitorfTourisUResidential populations; Note: visitation amounts may include multiple visits. 7 DRAFT- Confidential Draft Final Report. Not to be distributed. iJJERNST & YOUNG LLP } > ~ New Haven CBD Retail Strategic Plan Demand Generators To achieve the results envisioned in this Strategic Plan, new Retail Demand must come from a series of distinct sources -- not from new population growth. Therefore it is critical to the results that a special co-ordinated implementation strategy focus on the following --- Existing Yale Symposiums-- currently each Yale school or department hosts selected D industry events, including the Law School, YNH Hospital and SOM etc. No reliable estimate for the number and frequency of these events exists at this time-- but soon could be soon confirmed by the Conference Center Study expected shortly. Future Symposia@ New Conference Center-- based on a world-class facility, and a dedicated 6 marketing effort, there is an opportunity to significantly add new industry symposia and educational series-- establishing strong regional presence for New Haven. Capture of the Galleria at Long Wharf -- a 4%-6% capture of visitor population could be El achievable given a complete change in the New Haven CBD with the proposed UEC, and improved Streetscape character of the Chapel/ Crown Lifestyle Retail Districts. Sustained Yale Capture--- Students, Faculty and Workforce--- requires dedicated efforts to ID target merchandise and services to contrast the necessarily formulaic approach of the Galleria at Long Wharf. CBD Workforce Spending --- Currently underspent compared to National averages, due to H Loss of Major Dept Stores and Mall Retailing, the excess misspent potential can be converted into "Increased Spending" as source of support. Theater & Performance Audiences-- A wide variety of high-caliber cultural offerings clearly m differentiate New Haven from other regional cities--- and most existing venues can and should expand their visitor I attendee profiles. 8 DRAFT- Confidential Draft Final Report. Not to be distributed. i!J ERNST & YOUNG LLP l New Haven CBD Retail Strategic Plan New Retail Summary Other Uses Summary 230,500 • UEC (incl 30k Chapel / Church) Residential 125,000 47,000 • • Lower Chapel Office 70,000 Ninth Square 90,000 • • Live I Work Loft Office 66,000 MXD Crown St 24,500 • • Museum 71,000 Crown I College I Temple 24,000 • • • Conference Center 55,000 Proposed Retail GLA 446,000 • Other (Bus/Train Stas.) 46,000 Proposed Other 433,000 There are five major Market Groups that we estimate will support New Haven's Retail Development: The Selected Regional zip code areas represents a significant retail market. Assuming slight increases in Local and Regional spending, based upon new strategic programs we estimate an increased II spending potential of-- $83,368,041 Yale represents the second largest support group for New haven's CBD Retail. Counting the lfJ students, faculty & aluminum/symposia, this group represents spending of approximately -- $77,029,267 The CBD Workforce, including YNH Hospital, we believe is a partially untapped market niche in the II heart of New Haven. Given the appropriate improvements, there may be future spending of -- $74,752,128 We believe the Galleria at Long Wharf could represent a small percentage of New Haven's CBD II Retail support. Capturing just 5% of the Galleria's sales potential could yield approximately -- $15,532,000 The Visitors/Museums/Hospitals/Festivals/Theaters is a stable market group with no significant II increase expected. Conservative estimates place this capture at -- $6,171 ,283 These Market Support Segments of future spending potentials represents a total of - $256,852,718 Less Existing Retail and Restaurant I FoodService of 580,822 SF @ $175 psf sales = $101 ,643,850 Net new Regional GAFO = $155,208,868 When calculated at $300 psf sales, the supportable Retail GLA is-- 517,363 SF 9 DRAFT- Confidential Draft Final Report. Not to be distributed. ill ERNST & YOUNG LLP New Haven CBD Retail Strategic Plan • Metro Museums • Palace, Schubert, Yale Rep , , & Long Wharf Theaters • lnt'l. Festival of Arts and Ideas • YNH Hospital • City of New Haven • City of New Haven • Close-in Cities • SNETCo • 10-Mile Radius • Knights of Columbus • Selected 30-Mile Radius • Other $74,752,128 $83,368,041 • Students • Faculty • 5% of Shoppers • Alumni /Syposia $1'5j532,000 $77 ,029 ,267 Total Spending $25:6,852,718 DRAFT- Confidential Draft Final Report. Not to be distributed. ill ERNST & YOUNG LLP -\ -:.---· Urban Entertainment Center (UEC) Anchor I Big Box Retail Conference Center Yale Collections New Long Wharf Theater Mini-Anchors Public Market I FoodHail Crafts Bazaar Lifestyle f Community Retail Artist Ho using Auc tion Hall/ Antiques Bus Station Shoreline Bridge New Residential Crown Street Mid-Block MXD : ~n Courtyard Specially Retail • ·n I I " ' ' ~ I ' r' ' 'p Jt)Liq f'[J. I --. - .;.. ;:11 ·l _7-"=·-- -]~-·n ',I 1:-~_ _ ·-F .. f (. ~;:1L r --ot=.:! -==:::-o II ., ~.--=:J ' fJ [l I ,c_c-.:-·1 !.. '------" ~ / 1 _~ lr• i carr-, .-if-1/r-~~ .· - .II ____!j=''- ·~.. ---1 ~~- ~ ~ 1; ~·-s:=::::::= ··~ I J J ~( 1 r L'' I --- ~-- '~?~~ :2'"~(.:.-~_..,ST"'lt·-- ---=-":._~..··.:../. I • . 1 ,____.. ! , ·r -- ·--·-----.... ---~ ----- I l 1 - ·--- ""~-~~-_, ·u ,5' -~..., . - --...... ,.;::: -~~ :=...... _,_r.,_=~, ~ -._ , "'--:,:-_-~..-::::""~A--:- . \r----~-~ ~:--~~.... _: l! c;---- - ··-,""""-:..:""...... ~ --~ ....::----- _ __ ···; ._i_;,:j ':_~~~,~~ . ' ~ l·-1 \'t !(: '' -.. c·\\--, '.1\~ \\ '-..J ,.#, :,{ ~-- 11 DRAFT - Confidential Draft Final Report. Not to be distributed. g}/ ERNST & YOUNG LLP r J New Haven CBD Retail Strategic Plan This multi-level destination environment is designed to celebrate urban entertainment and features daytime Big Box Retail and nighttime Entertainment uses, organized around a strong architectural statement. Second level terraces for themed Restaurants and Club/Performance Venues could be located along Church Street with an exuberant electronic marquee at the Church I Crown intersection. A range of food service choices, entertainment options, lifestyle retail and fashion experiences will attract regional residents and tourists. The location could well accommodate an Angelica or Sundance Cinema, with a potential for a significant expansion of cinema/performance presence in the city. Several national developers are now exploring urban prototypes of this concept, which can be combined with other close by "Big Box" downtown sites for an expanded Street Entertainment Retail project. UEC (Urban Entertainment Center)- Chapel Sq Mall Block Retail Other Co-Op (Alternate Anchor @ 2 levels) , • 48000$~ • Big Box Anchors (Comers@ 21evels) 30,000 SF • Church Street Retail 20,000 SF • 2"d level Exercise Club I Spa 8,500 SF • Street of Cafes @ Crown St. 10,000 SF • 1"1 & 2nd level Conference Center 55,000 SF • Angelika Cinema & Cafe @ upper level 30,000 SF Macy's Block • Big Box Anchors (2 levels @ comers) 27,000 SF Crown St Boutiques 6,000 SF • 14,000 SF Church Street Retail • 7,000 SF 2nd floor Performance Club Venue • 30,000 SF • 2nd floor Sports I Entertainment Super Club 71,000 SF 1 • Yale Collections & Exhibition 1" + 2"d + 70,000 SF basement (approx 27,000 per level x 3) • Offices @ 3rd floor GRAND TOTAL UEC 230,500 196,000 i!J f& Y KENNETH LEVENTHAL REAL ESTATE GROUP DRAFT- Confidential Draft Final Report. Not to be distributed. ERNST & YOUNG l.LP New Haven CBD Retail Strategic Plan Retail Anchors -- UEC Re-Positioning (Urban Entertainment I Lifestyle and Big Box Retail) Chapel Sq. Mall Street frontages can be transformed with glassy two-story Retail Anchors at Chapel & Crown, along with street level retail shopfronts and signage at the upper level fascia. The proposed upper level Cinema is perfect interior use for the otherwise blank blank facade. DRAFT- Confidential Draft Final Report. Not to be distributed. ill ERNST & YOUNG LLP New Haven CBD Retail Strategic Plan Chapel/ Church Intersection - Mini-Anchor Locations Photos show opportunities for Two-story "Mini-Anchors" on East and West Church St. frontages-- both with good visibility and identity from the historic New Haven Town Green. Currently, both Locations have sealed or blank second floors, which could be architecturally transformed with glass and graphics to provide "Twin Retail Lanterns" facing the Green, announcing both the Chapel Sq UEC project and the re-vitalized Lower Chapel St. DRAFT- Confidential Draft Final Report. Not to be distributed. all ERNST & YOUNG LLP New Haven CBD Retail Strategic Plan Urban Entertainment Center (UEC) -- The Key Intersection Photo shows the overwhelmingly static and inert mass of Macy's and the dead 2nd floor of the Chapel Sq. Mall. Both corners could be transformed with double height glass entrys to the entertainment components with Supergraphics and electronic Marquees -- including access to the Crown St. pedestrian bridge. ···- This proposed new visually dramatic and "Media-Heavy" space will connect the multi plex Cinema in the Mall on the right, and to the two Entertainment I Performance Venues in Macy's on the left. Note also the Greek Revival First Union Building on the right facing Church St. -- a dramatic opportunity for conversion to Lifestyle retailer showcase. DRAFT- Confidential Draft Final Report. Not to be distributed. i.!/ ERNST & YOUNG LLP t New Haven CBD Retail Strategic Plan Macy's Blank Facade Views show the "pedestrian unfriendly" Macy's frontages on Church St --- which could be transformed with glass shopfronts, retail signage on the overhang above, and selected hi-profile architectural features such as an overlook to 2nd or 3rd level of the UEC I Urban Entertainment Center. DRAFT- Confidential Draft Final Report. Not to be distributed. ill ERNST & YOUNG LLP - 0 ~ 11I .,..., j I ~ ~ g.::::!! ~ ~ 0 Ql ·~"" ~ .,~ s· -Q) ~ ~ \ "8 ~ ~ ...... ~ 0 ~ ·: g- ~ S' 0' ~ c:: ~ Cii !=l. ...... (X) - New Haven CBD Retail Strategic Plan Conference Center - Arrival/ Drop-Off Photo shows location of possible Church St. auto arrival Drop-Off for the proposed Conference Center to be constructed in the former interior area of the Chapel Sq Mall. This Drop-Off could also provide valet parking and direct pedestrian access to both the new Conference Center and the Omni Hotel. DRAFT- Confidential Draft Final Report. Not to be distributed. ill ERNST & YOUNG LLP New Haven CBD Retail Strategic Plan New Haven's position as host to an internationally recognized University provides a strong base for a state-of-the-art Conference Center facility located in the heart of New Haven directly adjacent to Yale. Drawing upon strength of Yale and the City's position as a world-class university, and the immediate adjacency to the downtown office district, a dedicated facility could provide a unique conference/training environment for: • Business Organization Meetings, Government Organizations and Trade Association Conferences • University-sponsored Professional Seminars and Corporate training programs • Convening/Briefing center for numerous Yale Alumni events • Expansion of the Omni's current conference facilities • Academia Symposia sponsored by major departments • Hi-Tech I Medical Expositions and Training Sessions • Law School Legal Symposiums and SOM Senior Management Retreats • School of Forestry sponsored Environmental Management Conferences ~,-.~., .~ - 11_ . '~ . ~~ -~•. . ,l ill f& Y KENNETHLEVENTHAL REALESTATE GROUP DRAFT- Confidential Draft Final Report. Not to be distributed. ERNST & YOUNG LLP New Haven CBD Retail Strategic Plan The Executive I Academic Conference Center An opportunity exists to shape a world-class Conference Center, re-using the interior common areas of the Chapel Sq. Mall, with entrances on Church and Temple Streets and direct connection to the Omni Hotel. • Conversion of Chapel Square Mall Common Area to 4 major Conference Halls on levels 1 & 2. • Use of extensive Break-out areas Adjacent each Conference Hall allows a series of Conferences/Symposia at one time. • No such conferencing environment currently exists -- and as a new venue for Yale Symposia, this new Conference Center could draw support from: 0 Yale Law School 0 YNH Hospital Training 0 School of Management 0 Medical Research Symposia 0 Alumni Events Total Revenue per Occupied Room Historical Growth in Operating Margins $400 <1:~7? $350 $300 $250 $200 $150 $100 $50 $0 I£ I Executive Resort Full-Service Resort Executive Resort Full-Service Resort Conference Conference Hotels Hotels Conference Conference Hotels Hotels Centers Centers Centers Centers • From 1985 to 1998, Total Daily REVPAR at Conference • Operating Profit Margins have grown from 1996 to 1998 Centers has grown at a greater pace than traditional for Conference Centers and Traditional Hotels hotels. 21 DRAFT- Confidential Draft Final Report. Not to be distributed. S!/ERNST & YOUNG LLP New Haven CBD Retail Strategic Plan Public Market Site & Mid-Block Passages The Mid-Block site between Crown and Center Streets for the Public Market is wide enough for a 60 ft + 25 ft ramp 3 level parking garage abutting the Gas Co Tower, and a Pitched-Roof "Market Hall" spanning the block. The Market will promote thru block pedestrian traffic between Crown and Center --- with another interior mid-block "Passage" to Lower Chapel St via the T shaped Grants Bldg. possibly re-positioned as an Auction Hall/ Antique Center. Intensive Mid-Block use also catalyzes currently vacant facades at either end (Tune Inn and T -shaped Grants Dept. Store @ Center St; and New Haven Water Co block on Crown St). DRAFT- Confidential Draft Final Report. Not to be distributed. ill ERNST & YOUNG LLP New Haven CBD Retail Strategic Plan From the great MarketHalls of Europe to the FarmersMarkets of a young American republic, the New Haven Public Market will focus on New England - cuisine, farm-fresh foods, and the delights of the gastronomic experience. A celebration of regionalism at its best, with concentrations of Connecticut cooking, unique food products and displays. The Public Market also serves as a powerful amenity for the downtown Workforce, for both prepared take-home foods and a unique lunch experience - - and provides extraordinary value to the expanded urban residential community. There hasn't been a city in the United States which has tom down a Public Food Market and didn't live to regret it. New Haven's Public Market can create a great new sustainable tradition, celebrating regionalism and Connecticut I I-.....-----.--....._,...... ,_ ,....,...... ,.-- N....:e_w_England products. Public Market Merchandise Mix - Hearthstone Bakery (&Cafe) 1,000 SF • Fresh Produce (& Juicery) 2@ 500 1,000 SF • Fresh Pasta I Sauces 350SF • Wineshop 1,000 SF • Day/Week Vendors (6 @ 200) 1,200 SF • Farm Cheese Shop 350SF • Country Deli/Butcher Shop 1,000 SF • Atlantic Fish Store (& Raw Bar) 750SF • Coffee/Tea 300SF • Country Candies I Jams & Jellies 350SF • Smokehouse Specialty Meats 350SF • Ice Cream I Dairy Store 500SF • The Spice Market 350SF • Gourmet Charcuterie (& Cafe) 1000 SF • Flower Market 700SF • The Cookie Store 400SF • Storage (10@ 150) 1,500 SF • Mezzanine Cookware Shop & Cooking School 2,400 SF • Subtotal Leaseable 14,500 SF • Circulation @ 25% 5,500SF GRAND TOTAL BUILDING AREA 20,000SF ill f& Y KENNETH LEVENTHAL REAL ESTATEGROUP DRAFT- Confidential Draft Final Report. Not to be distributed. ERNST & YOUNG l.LP New Haven CBD Retail Strategic Plan Ninth Square Crown Street Southside Crown St. Facades which face the proposed Public Market are historic assets, and could be filled with retail influenced by the destinational appeal of the Public Market and the adjacent I Crafts Alley in the Chamberlain Bldg. Ninth Square Crown Street & Chamberlain Building At the key intersection of Crown/Orange/and adjacent to the proposed Public Market, the now-vacant Chamberlain could easily accommodate the Crafts Alley with an interior Juried Crafts Gallery. DRAFT - Confidential Draft Final Report. Not to be distributed. i!/ ERNST & YOUNG LLP l New Haven CBD Retail Strategic Plan Every region has groups of talented Craftspeople, many of whom produce more than the hobby alone requires, and have a dream of a "Studio Environment" in which their retail sales could also occur. This Crafts Bazaar capitalizes on the presence of a Juried Crafts Gallery -- in which recognized artists would convene on a regular basis to evaluate and select artisans' submissions for display and sale. The presence of this Gallery, proper1y arrayed in a dramatic architectural setting, serves as a focus for a series of Studio/Sales spaces -- all made legitimate by the presence of the Juried Gallery. The concentration of craftspeople in such a facility would represent a unique destination in the region, and would support efforts to create a downtown New Haven "Arts Scene", including the nearby Arts Center development. Crafts Bazaar Tenant Mix Jurled Crafts Gallery - 2,000 SF Workstudlos - 10 @ 500 SF + 6,500 SF • Silversmith 6 @ 250 SF • Glassworks • Pottery • Weaving/Textiles • Jewelry • Designer Clothing • Woodcrafts • Print-making • Leathergoods Joint Studio Resources - 6 @ 750 4,500 SF • Photographers/Digital Effects • Computer/Illustrators • Sculptor/Painter • Custom Furniture • Glass Blowing and Metalworking Total Leasable 13,000 SF t.l~l>tlh" 1\'III'I LMII ·.\1 11•"1 "'''dl> /l.).. ... , .. ht.JJ .\-..11 UlkJ..\ta 11t~.\k:r.:.I.I"~\UI"(ll ALl.lr...U.U-.1.\ (Circulation/Mech@ 25%) 4,500SF Grand Total Building Area f7,500 SF The Craib Report Magazine ~ ART CENTER~ S!Jf& Y KENNETHLEVENTHAL REALESTATE GROUP DRAFT- Confidential Draft Final Report. Not to be distributed. ERNST & YOUNG LLP ] New Haven CBD Retail Strategic Plan Center St. Pedestrian Passage View at left shows Pedestrian Passage past Orange St. to a key future access point, the State St. North Sq. Garage, which may be able to accommodate additional parking decks above, or expand laterally to the north. View at right from Tune Inn and T -shaped Grants Bldg. on left, with proposed Public Market site on right, looking toward Center St. DRAFT- Confidential Draft Final Report. Not to be distributed. ill ERNST & YOUNG LLP New Haven CBD Retail Strategic Plan Artist's Housing I Lower Crown Street Corridor View at left illustrates Ninth Sq. Corridor up to Macy's UEC from lower Crown St. Proposed Artist's Housing on left has potential to generate retail uses and renovation of significant structures such as Firehouse shown below, and retention of the significant entertainment I music destination of Cafe Nine as shown on left photo. DRAFT- Confidential Draft Final Report. Not to be distributed. a/ ERNST & YOUNG LLP New Haven CBD Retail Strategic Plan Lower Chapel St Now a low-end value-oriented retail area, with almost 50% of the shopfronts as one-sided retail, facing the empty Shartenburg parking Lot. Some major specialty retailers such as Rocks World, Goldie & Libro and Horowitz could be strengthened with both the proposed Commuter Shoreline Train Station and the Bus Station on the Shartenburg site. • The new Bus Station Street must maximize the amount retail shopfront opportunities facing Chapel St. • Basement Level parking could utilize the existing underground access, and might accommodate the full replacement parking promised to existing high-rise offices. • If the lower level parking can match the replacement obligation , then a much more reasonable pavilion-style Bus Station could be constructed along and with new shopfronts . If an upper level parking garage, is required, " Keep it Simple" without impingement of other uses such as the Farmer's market would be the most cost-effective. • Expansion of Lower Chapel St crossing the railway tracks with a pedestrian " Merchandised Bridge" could provide direct, sheltered access to new Commuter Shoreline Station stop and a new user-friendly access to the Eastside Wooster Sq Residential District. Current proposed Commuter Access from State St. does not provide this key pathway. • The " Smoothie" brick mid-rise on Northside, and the current one story Tire outlet on the Southside, both represent natural residential/ Loft housing districts --- adjacent amenities on Wooster St, and easy access by the new Merchandised Lower Chapel Bridge to the Public Market and the Ninth Square. 29 DRAFT- Confidential Draft Final Report. Not to be distributed. §!I ERNST & YOUNG LLP New Haven CBD Retail Strategic Plan The "T" -Shaped Grant Dept Store Building With three mid-block frontages facing Chapel, Orange and Center Sts, this building could provide thru-block pedestrian access from the Crown St. Public Market I Crafts Bazaar to Chapel St., energizing retail at each frontage. Re-use concepts should include destination retail with critical mass of vendors, such as Auction Hall I Antique Center for regularly advertised estate sales programs. DRAFT- Confidential Draft Final Report. Not to be distributed. E!/ERNST & YOUNG LLP New Haven CBD Retail Strategic Plan The Antiques Auction Hall is a new destination attraction that builds upon the variety of the antiques shops clustered in Southern New England. Positioned within a re-habbed Dept Store, with multiple vendors, Residential development -- and positioned as a unique amenity for the Ninth Square as a whole -the Auction Hall will be 1;1pproximately 15,000 square feet, flexible enough to house both large and small events. A~vantageouscross-marketing of big Auction events in conjunction with already established Regional I Tourist attractions, such as the established New England Antiques circuits and other seasonal happenings, could establish a strong Regional presence, with potential for other events such as a location for the Antiques Traveling Road Show (televised collectibles fair) and other non auction events. Much depends on the Antique Center's central management for security and vendor assistance, and the Auction House must be capable of assembling a regular series of estate sales. We believe this concept is an essential component in stabilizing the Ninth Square, solidifying its already established retail concentration while strengthening the diversity of existing specialty retail , dining and new residential development. ill f&Y KENNETH LEVENTHAL The Collectors' Eye Magazine REALEsTATE GRouP DRAFT- Confidential Draft Final Report. Not to be distributed. ERNST & YOUNG LLP New Haven CBD Retail Strategic Plan Lower Chapel Street Vacant shopfronts and value-oriented retail, with selected specialty tenants like Goldie & Libra, can be positively influenced by the new Commuter Rail stop and Shartenberg Bus Station, Orange St. is an important Ninth Sq. access corridor to/from the North -- and has potent re-hab opportunities at this intersection. DRAFT- Confidential Draft Final Report. Not to be distributed. ill ERNST & YOUNG LLP New Haven CBD Retail Strategic Plan Commuter Shoreline Rail Stop & Merchandised Pedestrian Bridge Photo shows proposed location of State St. Shoreline Station. We have recommended a Chapel St. Pedestrian Bridge connecting to the Smoothie site at left below (future residential conversion) and significant potential high density residential site to right (currently single-story Discount Tire operation), all within easy walk of CBD, Yale, Wooster Sq. and the Ninth Sq. amenities. DRAFT - Confidential Draft Final Report. Not to be distributed. ill ERNST & YOUNG LLP \ ~ New Haven CBD Retail Strategic Plan Shartenburg Site The proposed Lower Chapel Bus Station could utilize underground parking, connected to the existing rear ramp -- see photo below for reference to land elevation at left of ramp. The Bus Station shelter/structure should offer as much new Chapel St. Retail frontage as possible, perhaps in a continuous Arcade -- to provide much needed double-sided retail on lower Chapel St, and to provide pedestrian shelter on the path to the new Shoreline "Bridge Station" over Chapel St. DRAFT- Confidential Draft Final Report. Not to be distributed. EllERNST & YOUNG LLP l 1 \' New Haven CBD Retail Strategic Plan Upper Chapel -- Specialty Retail The defined three to four block Upper Chapel St Specialty Retail District consists primarily of one-sided retail, facing either Vale or the Town Green. A series of specialty shops inhabit a collection of unusual quality buildings on the Southside of this distinguished street. Many of the shopfronts have very good architectural characteristics --- and some feature extraordinary courtyards and pathways reaching back from Chapel St -- as for example, the Palace I Louie's Lunch parking lot. • Very significant opportunity to energize Crown St as a retail "couplet" with additional specialty shops. • Emphasis on the quality of the Pedestrian environment -- and selected additions to both Streetscape and to the pathways and courtyards -- should ensure a unique setting for Specialty retail compared to the new Long Wharf Mall. • Additional retail will be required to establish a "Critical Mass" of fashion I gift I Lifestyle categories to provide a viable destination. Upper Chapel/ Crown St. Mid-Block MXD Specialty retail predominates at upper Chapel St, along with a good variety of restaurants and clubs along parts of upper Crown St. This District will require more infill and re-leasing than new development -- and probably more parking over the long term. • The center-of-gravity is the parking lot behind Union Garage I Palace Theater. • A new (MXD mixed-use development) Residential/ Live-Work mid-rise with Maximum Street retail could be constructed with a new I expanded parking garage in the Palace I Union League Lot. • This new project could serve as catalyst for other retail / cafe infill along Chapel / Crown Streets--- provided the pedestrian-friendly interior walkways and retail Courtyards are extended from upper Chapel -- such as from the Union League -- through to Crown St. • The significant destination " magnets" of the British I Vale Art Gallery museums should also be better exploited and merchandised -- as part of the New Haven CBD Marketing Plan. • With additional better-configured new garage the " Neon Garage" could be converted to live/work lofts above and Specialty Retail below. • Similarly the Goodwill store could be relocated to provide additional specialty retail shopfronts. 35 DRAFT - Confidential Draft Final Report. Not to be distributed. ill ERNST & YOUNG LLP ) l •, New Haven CBD Retail Strategic Plan For the proposed Crown Street MXD, as well as close-in Eastside I Wooster Sq sites, New Haven should be poised to capitalize on a new residential movement whose aim is to reinvigorate and intensify inner city areas by developing compact, integrated sustainable environments with pedestrian Specialty Retail at grade. Many people are discovering the advantages of these dense, live work I shopping environments containing traditional and loft offices, restaurants and retail. Their success stems from fostering a sense of community, of neighborhood security and the advantages of reclaiming vibrant urban street life. • Typical USA city development patterns now show positive growth of new Close-in CBD Neighborhoods. Examples: D Dallas - Uptown District 0 Atlanta -- Mid-Town Neighborhood 0 Charlotte -- Uptown I 3rd & 4th Wards 0 Seattle -- Pike Place Market Area • Nee-Traditional Design and Retail Specialty Shops and Cafes at grade predominate 0 Market Mix Includes Residential Lofts/Live Work environments 0 Pedestrian-Friendly street retail 0 3-5 Story "Streetwalls" maintain Urban City Scale • New projects such as these have increased credibility with National Developers: 0 Post Properties 0 Avalon Bay Communities 0 JPI 0 Camden Property Trust • High Density CBD Residential fits with New Haven's interest in growth of a concentrated Live-World environment with continued Demand for Middle-range Housing to suit Workforce objectives i!Jf& Y KENNETHLEVENTHAL Uptown Housing. Denver, An:hitect RTKL REALESTATE GROUP DRAFT- Confidential Draft Final Report. Not to be distributed. ERNST & YOUNG LLP } New Haven CBD Retail Strategic Plan UEC (Urban Entertainment Center) Retail Other Uses • UEC (Urban Entertainment Center) Retail Other Uses Chapel Sq Mall Block Crown I College I Temple- In-Fill Retail 0 Co-Op (Alternate Anchor @ 0 Garage Ground floor Club 5,000 corners@ 2 levels) 48,000 0 In-Fill Existing Vacancies @ Crown 5,000 0 Big Box Anchors (2 lvls @ corners) 30,000 0 Showcase Mini-Anchor @ Temple 6,000 0 Church Street Retail 20,000 0 Temple Garage Retail 8.000 0 2nd level Exercise Club I Spa 8,500 24,000 0 Street of Cafes @ Crown St 10,000 0 1st and 2rid level Conference Center 55,000 Chapel / Church 0 Angelica Cinema & Cafe @ 2nd lvl. 30,000 D Loft Residential Units 20,000 Macy's Block D Big Box Anchor & Showcase 20,000 0 Big Box Anchors D In-Fill Lifestyle I Community 10,000 (2 levels @ corners) 27,000 30,000 20,000 D Crown St Boutiques 6,000 Lower Chapel 0 Church Street Retail 14,000 D In-Fill Retail 15,000 D 2nd floor Performance Club D Shoreline Commuter Bridge 2,000 10,000 Venue 7,000 D Bus Station 36,000 0 2nd floor Sports I Entertainment D New Street Retail 10,000 0 Super Club 30,000 D Auction Hall / Antiques 20.000 __ o D Yale Collections & Exhibition 1st + 2nd floors + basement 47,000 46,000 (approx 27,000 per level x 3) 71,000 Ninth Square (Crown & Center Sts) D Offices @ 3rd floor - -- 70.000 D Public Market 20,000 GLA GRAND TOTAL UEC 230,500 196,000 D Crafts Bazaar 25,000 Crown St Mid-Block MXD D Crown I Orange I Center Sts 0 MXD Residential 55,000 In-Fill Lifestyle Retail/ Cafes 45,000 50,000 D MXD Live I Work Loft Offices 20,000 D Crown St Artist's Housing 30.000 D MXD Street Specialty Retail 10,000 D 9th Sq Loft Live I Work Offices Q 80,000 D Courtyard Retail 2,500 90,000 D Salvation Army Re-leased 4,000 GRAND TOTAL 446,000 433,000 D Neon Garage Retail 8,000 0 Neon Garage Live I Work Lofts -- 16.000 24,500 91,000 38 DRAFT - Confidential Draft Final Report. Not to be distributed. E!JER NST & YOUNG LLP - .-, - I ~ I - I New Haven CBD Retail Strategic Plan Barriers to Entry Certain retail concepts which might be appropriate for downtown New Haven have substantial barriers to entry in terms of cost or tenant requirements, as well as heavy parking demands. In this study we have selected retail concepts which have Medium to Light Development Costs and Tenant requirements and which can share parking in an urban setting. Cost/Tenant Requirements Parking Heavy Medium Light Req 's/SF Dept Store-Anchored MXD 5/1000 500 - 700K Total with 2 anchors & specialty Retail • 150K SF min anchor size) Public Market/FoodHall • shared n-Fill Specialty Retail shared • i ! Live Performance/Clubs 7/1000 • (shared Nighttime) . Arts & Crafts Bazaar • shared nfill Office I Service Retail • shared Urban Entertainment Center 5/1000 • (shared Nighttime) Residential (above Retail) • 1.5/unit Big Box Retail • 3-5/1000 Auction Hall / Antiques • 5/1 000 39 DRAFT- Confidential Draft Final Report. Not to be distributed. i!l ERNST & YOUNG LLP