Economic Development Update. City Council Work Session March 14, 2016

Transcription

1 Economic Development Update City Council Work Session March 14, 2016

2 City Council Goals Place San Leandro on a firm foundation for long-term fiscal sustainability Advance projects and programs promoting sustainable economic development Including transforming San Leandro into a center for innovation Support and implement programs, activities and strengthen communication that enhances the quality of life and wellness, celebrates the arts and diversity and promotes civic pride

3 Topics City Council Goals Press Coverage and Outreach Economic Overview Business and Employment Building and Construction Real Estate and Vacancy Trends Retail and Sales Activity Major Projects Upcoming Development Projects Downtown San Leandro Public Art Next Gen / Industrial Area Innovation Initiatives

4 Press Coverage & Outreach

5

6 Economic Overview

7 Total Number of Business Licenses 9,628 Total Businesses Licensed Located Outside of San Leandro (1,928) 20% Located in San Leandro (2,994) 31% Residential Rental (3,027) 31% Comm. Rental (620) 6% Home Based (1,059) 11% Source: Business License Database 2015 Excludes non-profits, financial institutions, public agencies, and some trucking operations

8 Number of Businesses by Size 20 + Employees (350) 9% Under 20 Employees (2,664) 65% Home Based (1,059) 26% 91% Small Businesses Excludes property rental and businesses located outside of San Leandro Source: Business License Database 2015

9 Number of Employees by Business Size Home Based (1,367) 4% 20 + Employees (23,593) 64% Under 20 Employees (11,730) 32% Excludes property rental and businesses located outside of San Leandro Source: Business License Database 2015

10 Top 20 San Leandro Employers (Alphabetic Order) Acco Engineering Alameda Co. Industries City of San Leandro CocaCola CostCo Wholesale Enterprise Rent-a-Car Ghirardelli Chocolates Kaiser Hospital Kindred Hospital MV Public Transportation OSIsoft Paramedics Plus San Leandro School District San Leandro Hospital Splay (Green Toys) St. Francis Electric Target ThredUp (online consignment) Wal-Mart Wells Fargo Source: Business License Database 2015

11 Employment by Industry 41,500 Total Employees Construction (4,304) 10% Service (3,007) 7% Health Care (7,631) 18% Wholesale & Warehouse (4,990) 12% Retail (5,774) 14% Professional (5,074) 12% Other (5,116) 12% Manufacturing (5,530) 13% Source: California Economic Development Dept. Q2 2015

12 Employees by Industry 8,000 7,631 7,000 6,000 5,774 5,530 41,500 jobs in ,000 4,000 4,304 6,500 new jobs since ,000 2,000 1,000 3,500 new jobs in Healthcare & Social Assistance 0 Source: California Economic Development Dept. Q2 2015

13 Average Wage by Industry $120,000 $100,000 $105,081 $80,000 $60,000 $61,400 $62,916 $40,000 $20,000 $0 Source: California Economic Development Dept. Q2 2015

14 Unemployment Rate (Annual Average) 14% 12.4% 12% 10% 8% 6% 5.4% 11.2% 6.2% 6% decrease Since % 5.1% 5.1% 2% 0% San Leandro California Source: California Economic Development Dept.

15 Commute Patterns Where Residents Work Oakland (21%) San Leandro (11%) Where Workers Live Other (45%) Oakland (12%) San Leandro (11%) Hayward (7%) San Francisco (15%) Other (68%) Hayward (5%) San Francisco (4%) 11% of Residents Live and Work in San Leandro Source: U.S. Census Bureau

16 Vacancy & Rental Rates - Warehouse Vacancy Rate Rental Rate 14% 12% 10% 8% 6% 4% 2% 0% $6 1% Vacancy Rate Rental Rate 7% $6 $9 1% $16 $14 $12 $10 $8 $6 $4 $2 $ Million Square Feet of Warehouse Space in City 161,000 sf Spec Building under construction at Williams and Doolittle Source: CoStar

17 Vacancy & Rental Rates - Manufacturing Vacancy Rate 14% Rental Rate $25 12% 10% 8% 6% 4% 2% 0% $6 2% Vacancy Rate Rental Rate $5 9% $8 2% $20 $15 $10 $5 $0 4 Million Square Feet of Manufacturing Space in City Source: CoStar

18 Vacancy & Rental Rates - Retail Vacancy Rate Rental Rate 14% $25 12% $24 Vacancy Rate Rental Rate $20 10% 8% 6% $16 $18 $15 $10 6 Million Square Feet of Retail Space in City 4% 2% 0% Source: CoStar 4.3% 3.8% 2.2% $5 $0

19 Housing Units Constructed Over 1,000 new housing units in the pipeline over the next 5 years. Source: Building Department Records 2016 *Forecast

20 Building Permit Construction Valuation Millions of Dollars $180 $160 $140 $120 $100 $80 $60 $40 $20 $72.83 $68.30 $86.75 $39.73 $90 m from Kaiser $ $67.29 $53.18 $46.06 $ $ $400 Million in Development over past 3 years : 73% Commercial 15% Industrial 12% Residential $- Source: Building Department Records 2016 *Forecast

21 Taxable Sales Activity $3.00 $2.7 $2.50 Taxable Sales in Billions $2.00 $1.50 $1.00 $2.1 $1.8 $2.7 Billion in Sales in % Increase Since 2010 $0.50 $ Source: City of San Leandro CAFR 2015

22 Sales Tax Per Capita More than double the State average $300 $250 $70 Diverse Sales Tax Base $200 $34 Business to Business (26%) Construction (13%) Transportation (24%) Food Products (10%) General Retail (27%) $150 $100 $50 $0 $63 $27 $73 San Leandro $268 $34 $15 $41 $29 $21 $11 $30 $25 $39 $35 Alameda County $160 California $124 Source: Muni Services Benchmark Year 2015-Q2

23 Sales Tax Capture and Leakage Auto Parts/Repair Auto Sales-Used Florist/Nursery Department Stores Bldg. Materials Wholesale Business to Business Apparel Stores Auto Sales-New Bldg. Materials Retail Service Stations Drug Stores Liquor Stores Recreation Products Food Markets Restaurants Furniture/Appliance 162% 157% 147% 113% 111% 102% 98% 255% 248% 271% 298% 351% 380% 375% 401% 483% Under 100%= Leakage Over100%= Capture Source: MuniServices Benchmark Year 2015-Q2 0% 100% 200% 300% 400% 500%

24 Questions?

25 Major Projects

26 Major Developments Under Construction Tech Campus Marea Alta Coming Soon Shoreline East 14 th /Callan Mixed Use Kraft Infill Housing Projects Downtown San Leandro Public Art Humanizing the Industrial Area

27 Heinz/Kraft Facility

28 Former Redevelopment Properties

29 Infill Housing Projects 1405 Joaquin 875 Antonio 1659/1693 Thornton 1650 San Thornton

30 Downtown San Leandro San Leandro Improvement Association Downtown Association Parking Strategy New Retail:

31 Downtown San Leandro BART/Pedestrian Access Improvements San Leandro Boulevard Casa Peralta Downtown Events

32 Public Art and Beautification

33 Humanizing the Industrial Area San Leandro Ale Trail

34 Humanizing the Industrial Area Pop-Up Container Park

35 Questions?

36 Innovation Initiatives

37 Innovation: Founders Circle Creating Destination Businesses in a Destination City

38 East Bay Manufacturing Day: 11/5/15 Career Pathways Trust: Attracting talent thru reshaping of K-14 educational system

39 City-Sponsored Conferences Creating a Destination City

40 Factory 510 Launched February 13, 2016