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a State of Downtown 2015 Downtown Tucson State of Downtown 2015
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aState of Downtown 2015

Downtown TucsonState of Downtown 2015

b Downtown Tucson Partnership

University of Arizona

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Downtown Tucson

1State of Downtown 2015

Map Key

Downtown Economic Reporting District

One-mile Radius

Streetcar Route

Table of Contents

Introduction: Being Downtown 2

Living Downtown 3

Downtown Resident Data 3

Housing 5

Doing Business Downtown 6

Investment 6

New Business 6

Retail Space 8

Office Space 8

Getting Downtown 10

By Bike, Foot, and Bus 10

By Car 11

By Train and Plane: Intercity Travel 11

Playing Downtown 12

Arts, Culture and Entertainment 12

Special Events and Tourism 12

Learning Downtown 13

University of Arizona 13

Public Schools 13

Looking Ahead 14

Works Cited 15

Board of Directors and Staff 16

Staff 16

Board of Directors FY2014 16

Ex-officio Directors 16

About the Partnership

Cover photo by David Olsen

2 Downtown Tucson Partnership

Introduction: Being DowntownThe Downtown Tucson Partnership is pleased to share this first edition of the State of Downtown Tucson report with you—the developers, brokers, investors, and community members interested in Downtown’s revitalization.

Over the past seven years, Downtown Tucson has undergone a remarkable transformation, with unprecedented levels of investment, hundreds of new businesses, and thousands of new jobs coming into Tucson’s historic heart. Downtown has re-established itself as the place to be for dining, entertainment, and culture; hosting dozens of major events that attract more than a million people annually. Entrepreneurs working in Downtown’s co-working spaces have developed a culture of innovation that attracts recent university graduates and professional service firms. This is only the beginning of Downtown’s renaissance, with no signs of slowing.

As Downtown has redeveloped, a need has emerged for data collection to benchmark our progress. The Downtown Tucson Partnership has developed new data series, tracking market conditions and other key indicators to meet this need and to complement the other information we share with investors, property owners, businesses, and residents in our role as Downtown’s information clearinghouse.

This report summarizes data from the past several years. It contains timely information on Downtown demographics; public and private investment; retail, office, and residential space; transportation; and arts, culture, and entertainment. Combined, these data show a trend of significant growth.

We invite you to turn the page, read about the healthy state of our Downtown, and learn more about why more people are choosing to live, work, play and invest in Downtown Tucson. It’s a great place to be!

Jan Cervelli, Board President Michael Keith, CEO

SpotlightTucson AccoladesTop 10 City for Export Assistance in Global TradeGlobal Trade Magazine (2014)

Top 5 City for EntrepreneursEntrepreneur Magazine (2013)

#1 Bicycle Friendly CityOutside Magazine (2012)

Top 5 U.S. Solar City Solar Electric Power Association (2012)

Top 5 City for Public Transportation and Job AccessBrookings Institute (2011)

Top 20 Most Innovative CityForbes (2010)

Jan CervelliBoard PresidentDowntown Tucson Partnership

Michael Keith CEO Downtown Tucson Partnership

3State of Downtown 2015

Living DowntownDowntown’s 17 historic neighborhoods are unique, offering diversity and a high quality of life for its growing residential population. Downtown living is accessible and attractive to a wide variety of people. Increasingly, a renewed interest in urban living has led to more people moving into new and renovated apartments directly along the newly launched, 3.9-mile modern streetcar route.

Downtown Resident Data Census Bureau data indicates that nearly 13,000 people lived within a mile of Downtown in 2010, 56.8% of whom are 15-34 years old (US Census Bureau 2010). An estimated 100,000 people live and work within a half-mile of the streetcar route, 20,961 of whom work in Downtown (ESRI). Projections based on 2010 Census data estimate that the population has grown and will continue to grow at a modest rate. However, future population growth is likely underestimated, given the pace of development that Downtown Tucson is currently experiencing.

Table 1Population and Income Profile within One-mile Radius of Downtown

2010 2012 2017

Population 12,908 13,298 13,839

Households 5,751 5,927 6,246

Families 1,662 1,673 1,757

Average Household Size 1.82 1.82 1.81

Owner Occupied Housing Units 1,384 1,274 1,327

Renter Occupied Housing Units 4,367 4,654 4,920

Median Age 26.2 26.3 27.0

Source: US Census Bureau, Census 2010 Summary File 1; ESRI forecasts for 2012 and 2017.

Table 2Households by Income within a One-mile Radius of Downtown

2012 2017 Number % Number %

<$15,000 2,079 35.1 2,172 34.8$15,000-24,999 1,030 17.4 870 13.9$25,000-34,999 815 13.8 659 10.6$35,000-49,999 684 11.5 642 10.3$50,000-74,999 610 10.3 872 14$75,000-99,999 314 5.3 486 7.8$100,000-149,999 231 3.9 316 5.1$150,000-199,999 87 1.5 128 2$200,000+ 78 1.3 101 1.6

The character and color of Downtown Tucson’s Mercado District continue to draw young families as the newest residents of this emerging neighborhood.

4 Downtown Tucson Partnership

Table 3Population by Age within a One-Mile Radius of Downtown

2010 2012 2017Age Number % Number % Number %

0-4 439 3.4 447 3.4 469 3.45-9 398 3.1 406 3.1 426 3.110-14 334 2.6 335 2.5 355 2.615-19 2,232 17.3 2,259 17 2,273 16.420-24 2,714 21.0 2,820 21.2 2,767 2025-34 2,366 18.3 2,468 18.6 2,643 19.1

2010 2012 2017Age Number % Number % Number %

35-44 1,326 10.3 1,327 10 1,385 1045-54 1,175 9.1 1,178 8.9 1,161 8.455-64 1,002 7.8 1,068 8 1,180 8.565-74 527 4.1 578 4.3 731 5.375-84 291 2.3 299 2.2 329 2.485+ 104 0.8 113 0.8 122 0.9

Figure 1Population Trends: Downtown Tucson, Arizona and US, 2012-2017Annual Rate in Percent Tucson Arizona US

2.8

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2.0

1.6

1.2

0.8

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Figure 2Comparison of Population by Age, 2012 and 2017Percentage of Total Population 2012 2017

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SpotlightCompleted Residential Projects

The Cadence350 E. Congress St.Located on the streetcar line at the entrance to Downtown from the 4th Avenue business district, the Cadence is a 456-bed student housing complex with 20,000 SF of retail space and a 378-space parking garage. Opened in August 2013, the building was the result of a public-private partnership wherein the City of Tucson owns and operates the garage component. (Photo Courtesy of The Cadence)

The Herbert202 E. 12th St.Armory Park Apartments, a low-income senior housing complex, underwent substantial renovations and reopened as the Herbert in October 2013. The building contains 144 market-rate studio and one-bedroom apartments with rents ranging from $650-$1,090 per unit. (Photo Courtesy of Peach Properties)

Arena SiteThe winning proposal for the 2014 Arena Site request for proposals combines 96 market-rate apartment units with a new exhibition hall for the Tucson Convention Center, a 140-room convention hotel, a visual arts center, an office building, and a 1,444-space parking structure. This $100 million development will be built along I-10 at Congress St. The developer, Nor-Generations, is currently in talks with the agency managing the RFP, Rio Nuevo. (Rendering courtesy of Nor-Generations)

SpotlightProposed Multifamily Projects

One East Broadway1 E. Broadway Blvd.This mixed-use development combines 24 one-bedroom and two-bedroom apartment units with more than 24,000 SF of office space, 4,000 SF of retail space, and garage parking. Rents range from $1,184-$1,703 per market rate unit. Opened in December 2013, the LEED silver building was partially financed using New Markets Tax Credits. (Photo Courtesy of Hendricks-Berkadia)

0-4 5-9 10-14 15-19 20-24 25-34 35-44 45-54 55-64 65-74 75-84 85+ Population Households Families Owner HHs MedianHH Income

4 Downtown Tucson Partnership

5State of Downtown 2015

Housing1

A recent surge in new housing development has brought significant numbers of new residents to Downtown. New multi-family projects range from student housing to market-rate apartments and condominiums.

Student Housing The opening of The Cadence in August 2013 added more than 400 students to Downtown’s already youthful composition. Along the entire Sun Link streetcar route, more than 3,000 new student beds have been constructed in the last two years and additional projects have been proposed.

Market Rate Housing The luxury apartment complex One East Broadway opened fully leased in November 2013. Renovations to two former low-income housing complexes created more than 200 new market-rate, one-bedroom and studio units at Herbert Residential and One North Fifth. A condo conversion at the Flats at Julian Drew allowed Tucsonans to purchase renovated studio and one-bedroom units.

Housing Demand The demand for housing in Downtown remains strong as demonstrated by a 97% rental occupancy rate (Downtown Tucson Partnership 2014) and Downtown’s designation as the city’s most-searched neighborhood for renters (Craig 2014). All Downtown multifamily buildings built since 2000 have occupancy rates above 90%, and many have waiting lists. In response to this demand, approximately 450 units have been proposed for construction in Downtown (Downtown Tucson Partnership 2014).

Table 5Existing Student Housing Inventory in Downtown

Property Name Year Opened Total Beds

Cadence 2013 456

Table 4Existing Market Rate Inventory

Property Name Year Opened Total UnitsFlats at Julian Drew Block 2013 53Herbert Residential 2013 144One East Broadway 2013 24One North Fifth 2008 96Academy Lofts 2006 30La Entrada Phase 2 2005 66La Entrada Phase 1 1985 120Redondo Towers 1962 100Olde Town Apartments 1961 31Abasto 1947 22

Monier ApartmentsThe Gadsden Company has proposed this multifamily development featuring 122 market-rate units in the master-planned Mercado District at the western terminus of the Sun Link Streetcar. Once completed, the area will feature retail, office, and housing units with a grocery store and cultural amenities. (Rendering courtesy of Gadsden Company)

Historic Trading PostThis 44-unit apartment complex on Congress St. and Scott Ave will feature first floor retail space with a courtyard and on-site parking. The Developer, Bourn Companies, will also reactivate two formerly vacant historic buildings by renovating them into Class A office and retail space. (Rendering Courtesy of Bourn Companies)

1All multifamily vacancy data is collected for buildings with 20 units or greater.

Source: Downtown Tucson Partnership, interviews with management offices, 2014

SpotlightOccupancy Rate at 97%Studio Apartment RentalsRange from $550 to $735

One-bedroom Apartment RentalsRange from $460 to $1,412

Two-bedroom Apartment RentalsRange from $1,050 to $1,703

6 Downtown Tucson Partnership

Figure 4Six-year Total Completed Investment Projects by CategoryDollars in millions

Office 110

Mixed Use 80

Residential/Hotel 60

Retail 40

Utilities 60

Cultural Arts 10

Health/Education 20

Public Construction 530

Source: Downtown Tucson Partnership, interviews with investors

Figure 3Total Completed Investment Projects by Year, 2008-2014Dollars in millions

2008 10

2009 100

2010 50

2011 130

2012 100

2013 190

2014 220

Figures exclude $110 million in multi-year continuous investment projects Source: Downtown Tucson Partnership, interviews with investors

SpotlightWorking DowntownThere are 2,232 employers within a one-mile radius of Downtown with more than 26,000 employees. (Dun & Bradstreet 2014). The establishments are a mix of retail, services, construction and manufacturing firms, along with government.

Total employees within one-mile radius of Downtown: 26,285

•55.6 % of employees Downtown are in service industries (hotel, health, education, legal)

• 27.4% work in government• 7.2% work in retail • 4.3% work in construction or manufacturing

• 2.2% work in finance, insurance, or real estate

• 1.9% work in wholesale trade• 1.4% work in other industries

Doing Business DowntownSince 2008, Downtown business has shown steady growth and diversification. Commercial investments have led to new construction and renovations to the area’s many historic buildings, creating unique spaces for street-level businesses and office-based firms. New construction, primarily located near the Sun Link Streetcar line, has re-established Downtown as a magnet for real estate development and has been a driver for Tucson’s economy.

Investment Over the past six years, $380 million in private investment and $530 million in public investment have been made in Downtown (Downtown Tucson Partnership 2014). As of December 2014, more than $200 million in additional private investment projects have been proposed, ranging from new low-income and market-rate residential projects to hotels and cultural venues (Downtown Tucson Partnership 2014).

As Downtown’s revitalization has advanced, the scale of the projects has increased. Major projects such as the Unisource Energy Building in 2011, the Cadence student housing and new County courthouse scheduled to open in February 2015, and Sun Link Modern Streetcar in 2014 resulted in large differences in year-to-year investment levels.

7State of Downtown 2015

SpotlightUpcoming Retail ProjectsAC HotelThis $32 million, 8-story development will feature a 150-room AC Hotel, first floor retail space, and a 200-car parking garage. The project features a public-private partnership between

the developer, Scott Stiteler, and Rio Nuevo, and construction is expected to begin in the first quarter of 2015 and last 12 to 15 months. (Rendering courtesy of FORS architecture + interiors)

New Business Since 2008, more than 200 new businesses have been established in Downtown (Downtown Tucson Partnership 2014). Streets that were once empty are now bustling with pedestrians exploring the dozens of dining options, retail stores, and nightclub destinations that call Downtown home. Professional services firms have returned to Downtown, improving the office market and increasing demand for lunch options. With a new grocery store set to open in February 2015, Downtown will offer all of the essentials for residents to live car-free.

Figure 5New Business Openings by Year, 2008-2014

2008 9

2009 12

2010 23

2011 38

2012 43

2013 37

2014 49

Source: Downtown Tucson Partnership, New Business Listings, 2008-2014

Figure 6New Businesses by Type, 2008-2014 2014 Total 2008-2014

Cultural Arts 4 25

Offices 15 48

Services 6 19

Shopping 9 49

Nightlife 5 17

Dining 10 53

Source: Downtown Tucson Partnership, New Business Listings 2014

In total, new businesses have brought more than 3,000 new or relocated jobs to Downtown. Remarkably, much of this 75-month surge has been driven through local, small business investment. More than 95% of retail and restaurant businesses in Downtown are independent and owned by Arizonans (Downtown Tucson Partnership 2014).

SpotlightNew Downtown for 2014Dining, Nightlife and Retail

•5 Points Market•About ME Hair Studio•Amp Juice Vapors•Aquadec•Barrio Cuisine•Blu: A Wine and Cheese Stop•Cut, Color, Polish Salon

•Dusty Monk Pub•Fed by Threads•Fired Pie•Flash in the Past•Hi Fi Kitchen & Cocktails•Krikawa Jewelry•L&J Burgers•Littlest Pub•Miss Saigon•Old Town Market

•Pizzeria Bianco•Planet Smoothie•Pueblo Vida•R Bar•Salon Salon•Seis Kitchen and Catering•Street Taco and Beer Co•Transit Cycles•Tucson Olive Central

8 Downtown Tucson Partnership

Table 6Retail Square Footage and Availability

Buildings Building SF Vacancy Avg. Dir. Rate

45 487,913 6.01% $20.00

Source: CBRE, 2014 data analysis using CoStar

SpotlightCompleted Retail Projects Old Market Inn403 N. 6th AvePeach Properties completed renovations to the Old Market Inn in December 2009. The 8,600 SF restored brick warehouse now houses three retail spaces occupied by a coffee shop, a craft beer and wine bar, and an artisan tile shop. (Photo by Benjie Sanders/Arizona Daily Star)

Mercado San Agustin100 S. Avenido del ConventoThis 15,000 SF of retail space was developed by Gadsden Company. Opened in May 2011, the public marketplace features an assortment of local shops and restaurants around an open courtyard, and hosts a weekly farmers market. It is also home to a shared-use kitchen and cannery for small businesses. (Photo courtesy of Zocalo Magazine)

Rialto Block300 E. Congress StAnchored by the historic Rialto Theatre, the 20,000 SF of first-floor commercial space features two restaurants, a butcher shop, a bar, and first-floor entrances for Connect Coworking housed above. Renovations were completed in May 2011 by Tucson Urban LLC. (Photo courtesy of Connect Coworking)

One North Fifth1 N. 5th AveIn August 2012, renovations were completed on MLK Apartments, a former low-income housing building that was converted to market-rate with 9,000 SF of first-floor retail space.

Broadway Brewery Block220 E. BroadwayThis 10,600 SF former warehouse was renovated in October 2012 by Peach Properties. Current tenants include a coffee shop and Downtown’s largest restaurant, which owns its space. (Photo courtesy of Cartel Coffee)

Retail Space2 Downtown has established itself as a destination for shopping, dining, and nightlife. Its diverse, upscale restaurants recently accounted for six of the top ten best places to eat in Tucson (Ruelas 2014). Two of the restaurants are home to James Beard award-winning chefs. Downtown bars and clubs receive top reviews for their creative cocktail combinations and have been featured nationally in publications like Esquire and Food & Wine magazine. These high quality establishments have made Downtown a popular entertainment destination, which has created a high level of demand for Downtown retail space.

Downtown’s retail market has nearly 500,000 SF of storefront space with a 6.01% vacancy rate (CBRE 2014). Much of this retail space is located within restored historic buildings; there are no malls, strip malls, or department stores. Congress Street is the primary retail corridor with a significant number of restaurants, bars, and shops, but storefronts also exist on the side streets and along Broadway Boulevard, Pennington Street, and 6th Avenue. A new 144-unit AC Hotel by Marriott will start construction on Broadway Boulevard in the first quarter of 2015; it, along with proposed projects in the Mercado District, on Congress Street, and at the Arena site along the Interstate will all include first-floor retail space.

8 Downtown Tucson Partnership

9State of Downtown 2015

Table 7Office Square Footage and Availability

Class Buildings Building SF Vacancy Avg. Dir. Rate

A 16 860,938 2.11% $24.65

B 28 472,637 11.76% $17.75

C 17 517,945 37.99% $16.58

Total 61 1,851,520 19.26% $19.13

2All office vacancy data is collected for buildings of 5,000 SF or larger.

SpotlightCompleted Office ProjectsConnect Coworking33 S. 5th Ave.Opened in June 2014, Downtown’s newest collaborative coworking space features over 200 desks or private offices for small businesses, entrepreneurs, and freelancers. Connect Coworking offers a full range of amenities including kitchen, entertainment space, and meeting rooms in 14,000 SF of office as well as two large patios. (Photo Courtesy of Connect Coworking)

MacArthur Building345 E. Toole Ave.In September 2009, Madden Media completed renovations on the historic 24,600 SF MacArthur Building to house its new headquarters. The Partnership collaborated with the City of Tucson to arrange for the $1.7 million sale of the public property to private owners. (Photo Courtesy of Erik Hinote)

Bates Mansion283 N. Stone Ave.Maker House, a collaborative space for artisans, inventors, and entrepreneurs, opened its doors in October 2013 after renovating the historic 11,000 SF Bates Mansion. The distinctive architecture and large courtyard have made Maker House a popular place for events in addition to its role as a hub for innovation. (Photo Courtesy of Maker House)

210 E. BroadwayRenovations were completed in May 2014 to convert a 5,400 SF warehouse that formerly housed a Safeway grocery store into office space for Summit Funding, a residential mortgage company. The space features high ceilings with a loft that contains conference rooms and an employee gym. (Photo Courtesy of Downtown Tucson Partnership)

The Scott64 E. Broadway Blvd.In April 2010, Providence Service Corporation, a nationwide social services provider moved into the historic 10,700 SF Scott building in Downtown Tucson. With more than 8,000 employees in 44 states, Providence is the largest company headquartered in Downtown. (Photo Courtesy of Peach Properties)

Unisource Energy88 E. Broadway Blvd.Work was completed in November 2011 on the $65-million headquarters for Unisource Energy Services. With 170,000 SF of office space distributed across 9 floors, the building houses more than 500 employees. It also has 10,000 SF of first-floor retail space. (Photo Courtesy of Inside Tucson Business)

Office Space Professional services companies are returning to Downtown in search of an innovative community that is attractive to top talent. In 2009, Madden Media renovated the historic MacArthur Building to house its 80 employees. Social service provider Providence Service Corporation relocated its national headquarters to Downtown in 2010. Unisource Energy Services opened its new $65 million, 170,000 SF headquarters with more than 500 employees in 2011. The additions of financial, architectural, translation, and office services companies in 2014 demonstrate that the growth in Downtown’s professional sector is accelerating.

Although conditions are improving, Downtown’s office vacancy rate stands at 19.26% (CBRE 2014), due in part to the economic slowdown in 2008 and the relative newness of Downtown’s redevelopment.

In June 2013, local tech firms and collaborative co-working spaces joined forces to launch the Downtown Innovation District. Together, they aim to make Downtown Tucson a regional tech center for young entrepreneurs by offering collaborative office space, tech open houses, maker events, startup competitions, hack days for civic good, and youth education initiatives. In September 2014, Startup Tucson received a five-year, $1.44 million contract from the Small Business Administration to launch a business growth accelerator program, making Downtown Tucson the only community west of the Mississippi to receive ScaleUp America funding.

9State of Downtown 2015

10 Downtown Tucson Partnership

University of Arizona

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Figure 7 Downtown Daily Bike and Pedestrian Counts

Location Bikes Pedestrians

16th St at 3rd Ave 44 57

18th St at 6th Ave 74 111

6th St at 9th Ave 105 86

7th Ave at 7th St 91 93

7th Ave at Toole Ave 18 70

Alameda St at Church Ave 114 1,068

Broadway Blvd at Presidio Bridge 60 317

Congress St at Granada Ave 76 562

Congress St at Grande Ave 85 66

Congress St at Scott Ave 99 857

Congress St at Toole Ave 293 520

Cushing St at Main Ave 43 181

Santa Cruz Pathway at St. Mary’s Rd 115 51

Source: Pima Association of Governments

Figure 8 Sun Link Streetcar

Opened: July 25, 2014

Ridership: 4,200 daily

Length: 3.9 Miles

Frequency: 10 min.–weekdays 20 min.–evening/weekends

Source: Sun Link

Sun Tran Bus System

Established: 1975

System Ridership: 54,000 daily

Routes Serving Downtown: 14 local service routes and 8 express routes

Recognition: Named America’s Best Transit System (2005)

Source: Sun Tran

Getting DowntownDowntown is the region’s transportation hub. With buses, streetcars, trains, miles of bike lanes, and easy freeway access nearby, there are many convenient ways to get to Downtown to work, visit, and play. Downtown’s dedicated bike paths, wide sidewalks, and public transportation options allow residents to enjoy a car-free lifestyle.

By Bike, Foot, and Bus Instead of driving, many Tucsonans use the alternative transportation modes of biking and walking. Tucson is consistently ranked as a top ten city for bicyclists and boasts the most designated bikeways in the nation—more than 700 miles (Van Duzer 2013). More than 5,600 people cycle to work each day, ranking Tucson 6th among large cities for the percentage of bicycle commuters (Alliance for Biking and Walking 2014). Tucson ranks 20th among large cities for the percentage of people who walk to work (IBID).

Tucsonans also take public transit. The Ronstadt Transit Center is Tucson’s main bus hub serving an estimated 23,000 people per day (Inside Tucson Business 2013). The new Sun Link modern streetcar launched passenger service in July 2014 with daily ridership exceeding expectations at 4,200 (SunLink 2014). The 3.9-mile system links the University of Arizona and its medical center with the Main Gate and 4th Avenue shopping districts, Downtown Tucson, and the Mercado district.

11State of Downtown 2015

Figure 9 Downtown Daily Traffic Counts

4th Ave18th St to Broadway 2,390

5th AveCongress to Broadway 1,346 6th Ave6th St to Congress 5,821 Congress to Broadway 8,608 Broadway to Stone Ave 6,243 Church Ave6th St to Alameda 6,778 Alameda to Congress 7,443 Congress to Cushing 4,640 Granada Ave St. Mary’s to Franklin 9,205 Franklin to Alameda 9,310 Alameda to Congress 11,571 Congress to Cushing 5,179 Grande Ave Speedway to Congress 10,323 Congress to Mission to Starr Pass Ramp 9,955 Main Ave Cushing to 18th St 3,285 Stone Ave 6th St to Franklin 18,820 Franklin to Congress 9,568 Congress to Broadway 9,709 Broadway to 6th Ave 8,491 Toole Ave Stone to 6th Ave 10,090 6th Ave to Congress 8,056 Congress to Broadway 23,224 18th St I-10 to 10th Ave 1,604 10th Ave to 6th Ave 1,298

University of Arizona

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6th St Granada to Stone 23,041 Stone to 6th Ave 22,401 Alameda St Granada to Stone 5,527 Stone to 6th Ave 3,693 Broadway Blvd Congress to Stone 16,654 6th Ave to 4th Ave 21,322 Congress StGrande to I-10 18,253 I-10 to Granada 36,733 Granada to Broadway 43,433 Broadway to Stone 15,343 Stone to 6th Ave 15,478 6th Ave to Toole 16,920 Cushing St Granada to Stone 4,611 Franklin St Granada to Church 2,703 Church to Stone 7,899 Pennington St Church to Stone 1,799 Stone to Toole 3,019 St. Mary’s Rd Silverbell Rd to I-10 31,125 I-10 WB to Granada 28,542

By Car Car and truck traffic in Downtown Tucson is relatively light compared to other similar-sized cities. Recent improvements including the repaving of Congress Street and Broadway Boulevard and the conversion of 6th Avenue to a two-way street have improved traffic flow and reduced congestion. Work is currently underway on Downtown Links, an $85 million project to connect Aviation Parkway with I-10, which will provide alternative vehicular and pedestrian routes into Downtown to accommodate future growth (City of Tucson).

Downtown boasts some of the most customer-friendly parking rates in the nation. On evenings and weekends, metered parking in Downtown is free, and on weekdays metered parking costs just $1 per hour. Weekdays, parking is free in garages for the first hour, then $1 per hour, up to a daily maximum of $8. The completion of two new parking garages has brought the total number of spaces available Downtown up to 15,000 (City of Tucson ParkTucson).

By Train and Plane: Intercity Travel Travellers coming to Tucson by train are just steps away from the city center. The Amtrak station, located Downtown, is the second busiest in Arizona with more than 25,000 on/offs in FY2013 (National Railroad Passenger Corporation 2014). Tucson International Airport had 3.3 million passengers in FY2013 (Tucson Airport Authority 2014). People who are coming into Downtown for business or pleasure are just a short, 15-minute drive away.

12 Downtown Tucson Partnership

Table 8Attendance at Selected Downtown Events, 2014

Event Attendance

2nd Saturdays Monthly 180,000

Dillinger Days January 2,000

Gem, Mineral, and Fossil Showcase (TCC) February 60,000

4th Avenue Street Fair March, December 350,000

Cyclovia April 10,000

Fiesta Grande April 50,000

Event Attendance

Tucson Folk Festival May 15,000

Tucson Meet Yourself October 100,000

All Souls Procession November 100,000

El Tour de Tucson November 35,000

Parade of Lights December 25,000

Source: Downtown Tucson Partnership, interviews with event organizers.

Downtown averages around 300 events each month. One of the largest, November’s All Souls Procession, attracts tens of thousands annually.

Playing DowntownThere are an expanding array of arts events, cultural attractions, live-music performances, and other entertainment in Downtown, all of which is very affordable—or free.

Arts, Culture and Entertainment With seven museums, six theaters, and a thriving art and music scene, Downtown is the cultural heart of Tucson. Every year, Downtown venues host performances by the local symphony, ballet, theater, and opera companies, an offering available in only a few American cities. The Warehouse Arts District contains approximately 120 artists whose studios are located in the historic warehouses for which the area is named (Tucson Pima Arts Council 2013). The Rialto and Fox theaters opened in 1920 and 1930 respectively, were renovated in the 2000s, and now attract many nationally recognized performers. The Fox Theater alone brings in $3.4 million in direct spending to Downtown with nearly half being spent at businesses other than the Fox (AZ Economic Research 2012). The Rialto is now known for the variety of concerts it hosts virtually every night of the week. Across the street from the Rialto, the historic Hotel Congress, is a landmark at the center of Congress Street entertainment; its Club Congress has been called “one of the 10 best rock clubs in the United States.” (LA Times 2010)

The 16 nightlife venues that have opened Downtown since 2008 have brought a new level of excitement to Congress Street. Upscale dance clubs sit alongside long-established lounges providing an authenticity unique to Tucson. The variety and concentration of downtown’s bars and nightclubs keep Congress Street packed until the early hours of the morning.

Special Events and Tourism Downtown’s central location and convenient transportation offerings make it a popular location for major festivals and events. Each year more than 50 large public events bring a combined total of more than 1.1 million visitors to Downtown (Downtown Tucson Partnership 2014). The economic benefits of these events are significant. For example, the Tucson Gem, Mineral and Fossil Showcase— the nation’s largest gem and mineral show—sees 50% of its attendance come from out-of-town visitors and has an estimated economic impact of $120 million (FMR Associates 2014). Many events reflect the unique blend of global cultures that defines Tucson, such as the All Souls Procession, which attracts approximately 100,000 participants and spectators, and generates $17.5 million in economic impact (All Souls Process Brings Millions to Economy 2014).

©2014 Scott Griessel/Creatista.

13State of Downtown 2015

Table 9 University of Arizona by Numbers

Undergraduate Students: 31,565

Graduate Students: 8,658

Faculty and Staff: 17,590

Statewide Economic Impact: $3.6 Billion

Source: University of Arizona, Economic and Social Contribution of the University of Arizona (Tripp Umbach 2014)

The historic Roy Place Building was renovated by Pima County to house the new UA Downtown offices for the College of Architecture, Planning and Landscape Architecture. Housed within are offices, studios and classrooms for the college’s academic and research programs.

Learning DowntownDowntown has also emerged as a center for education.

University of Arizona Now connected to Downtown by the streetcar, the University of Arizona plays an increasingly important role in Downtown’s economy. As an urban institution that plans to continue expanding student enrollment, the University has opened several offices downtown to house programs relating to architecture, urban planning, law, and civil discourse. It has proposed opening performing arts venues, museums, and additional offices in Downtown.

As one of the nation’s top 15 public research institutions, with an enrollment of more than 40,000 and 8,800 students graduating per year, the University of Arizona provides an abundance of highly skilled workers for Downtown businesses. The University’s recent push to have 100 percent of undergraduates engaged in the community has increased student interest in Downtown internships and employment opportunities. Additionally, the collaboration between Innovate UA, Startup Tucson, and the Downtown Innovation District has created a pipeline for developing student ideas into successful businesses.

Downtown’s shopping, restaurant, and nightlife offerings have made it a popular entertainment destination for University students. With the completion of the Sun Link Streetcar and the opening of The Cadence student housing, Downtown businesses are kept busy with student and faculty patrons, in addition to members of general public.

Public Schools Downtown is also the classroom for nearly 1,800 K-12 students (Downtown Tucson Partnership 2014). Public charter schools are among the many new organizations that have made Downtown home. Safford International Baccalaureate K-8 Magnet School, Carillo Elementary Magnet School, City High School, Nosotros Academy, Pima Vocational, Imago Dei, IDEA School, and Paolo Freire Freedom School, have their campuses in Downtown, serving families from across the city. City High recently expanded, transforming a long-vacant storefront into a state-of-the-art facility while preserving the historic façade.

©2014 Scott Griessel/Creatista.

14 Downtown Tucson Partnership

Looking AheadAgainst all odds, Downtown Tucson has reinvented itself. In the midst of the worst recession in Arizona’s history, community members, inspired by Downtown’s historic architecture and unique cultural assets, have come together to create an economic miracle. Collaboration between the private and public sector has created several hundred-million dollars of investment, which has generated thousands of jobs. Hundreds of new residents and more than 200 new businesses coexist alongside long-time community institutions to create an authentic experience that represents the very best Tucson has to offer.

In the coming months, Downtown will welcome dozens of new businesses. Already announced newcomers include Downtown’s first grocery store in 40 years, a distillery, and several shops and restaurants. Construction will start on the first new hotel in decades and several housing projects representing hundreds of new units. In spite of all the development that has already occurred, substantial opportunities remain for future growth on more than 3 million SF of undeveloped land (Downtown Tucson Partnership 2013). With low costs of construction and a high level of interest from the community, we anticipate that Downtown Tucson will continue to be the focus for development for years to come.

Downtown Tucson, looking east from Tumamoc Hill.

15State of Downtown 2015

Works CitedAll Souls Process Brings Millions to Economy. KVOA-TV. Tucson, AZ, 10 November 2014.

Alliance for Biking and Walking. Bicycling and Walking in the United States: 2014 Benchmarking Report. Washington, DC: Alliance for Biking and Walking, 2014.

AZ Economic Research. Economic Impact of the Fox Theatre on Downtown Tucson. Tucson: AZ Economic Research, 2012.

CBRE. Commercial Real Estate in Downtown Tucson: Data analysis using CoStar. CBRE, 2014.

City of Tucson. Downtown Links—Barraza Aviation Project. http://dot.tucsonaz.gov/projects/project.cfm?cip=23814370-DA0B-C395-BBBC08F438FC61DF (accessed November 10, 2014).

City of Tucson Park, Tucson.

Craig, Courtney. Tucson’s Top 10 Neighborhoods Renters Love Most. 11 July 2014. http://www.apartmentguide.com/blog/tucson-neighborhoods/ (accessed November 10, 2014).

“Downtown Multifamily Database.” Tucson, AZ: Downtown Tucson Partnership, 2014.

“Downtown Schools Database.” Tucson, AZ, 2014.Downtown Tucson Partnership, 2014.

Investment Study. Tucson, AZ: Downtown Tucson Partnership, 2014.

“New Business Database.” Tucson, AZ: Downtown Tucson Partnership, 2014.

“Undeveloped Properties Database.” Tucson, AZ, 2013. Downtown Tucson Partnership, 2013.

Dun & Bradstreet. “ESRI Business Summary, Downtown Tucson.” 15 November 2014.

ESRI. “Community Analyst/ Dun and Bradstreet.”

FMR Associates, Inc. “Characteristics and Economic Impact of Tucson Gem, Mineral & Fossil Showcase Tracking Study.” Visit Tucson. February 2014. http://www.visittucson.org/includes/content/docs/media/gemshow-econimpact-results-5-14.pdf (accessed November 10, 2014).

Inside Tucson Business. “Editorial: Downtown Not Just for Sun Tran.” Inside Tucson Business, 26 April 2013.

National Railroad Passenger Corporation.

“Amtrak Sets Ridership Record and Moves the Nation’s Economy Forward.” Amtrak.com. 13 October 2014. http://www.amtrak.com/ccurl/730/658/FY13-Record-Ridership-ATK-13-122.pdf (accessed November 10, 2014).

Ruelas, Richard. “Top 10 Paces to Eat in Tucson.” AZ Central, 25 September 2014.

SunLink, interview by Downtown Tucson Partnership. Ridership Statistics (October 2014).

Tucson Airport Authority. “Comprehensive Annual Financial Report.” 2014.

Tucson Pima Arts Council. Our Town Tucson: A Study of One Naturally Occurring Cultural District. Tucson, AZ: Tucson Pima Arts Council, 2013.

US Census Bureau. “Census 2010 Summary File 1.” 2010.

Van Duzer, Ryan. “Outdoors and Adventure: Top 10 Cycling Cities in the US.” Travel Channel. http://www.travelchannel.com/interests/outdoors-and-adventure/articles/top-10-cycling-cities-in-us (accessed November 5, 2014).

16 Downtown Tucson Partnership

Board of Directors and StaffBoard of Directors FY2014

Roberto Bedoya Tucson Pima Arts Council Don Bourn Bourn Partners Elizabeth Burden Armory Park Neighborhood Association Jan Cervelli University of Arizona Stacy Collins Abby Office Centers Michael Crawford Mesch, Clark & Rothschild PC Darryl Dobras Downtown Development Corporation Randi Dorman MOCA Gene Einfrank Downtown Neighborhoods and Residents Council Tony Ford Maker House Sharon Foltz Tucson Electric Power Susan Gamble Santa Theresa Tileworks Tannya Gaxiola University of Arizona Katie Grogan Tucson Young Professionals Tim Hagyard Dunbar Spring Neighborhood Association Larry Hecker Hecker& Muehlebach Chuck Huckelberry Pima County John Jacobs Maker House Mike Kasser Holualoa Companies Ben Korn Safeguard Tucson Lisa Lovallo Cox Communications Jill Madden Madden Media Katharine Martinez Center for Creative Photography Fletcher McCusker Rio Nuevo District; Sinfonia Richard Miranda City of Tucson Omar Mireles HSL Asset Management Melanie Morrison MEB Management Renee Morton Home Style Galleries Richard Oseran Hotel Congress Kevin Heath Wells Fargo John Humenik Arizona Daily Star Travis Reese 47 Scott Ron Schwabe Peach Properties John Sedwick Fourth Avenue Merchants Association Craig Sumberg Fox Tucson Theatre Bob Vint Vint & Associates Architects Bud Walters Southwest Gas Tom Warne JL Investments Adam Weinstein Gadsden Development

Ex-Officio Directors

Brent DeRaad Visit Tucson Richard Elias Pima County Board of Supervisors, District 5 Gary Molenda Business Development Finance Corporation, Industrial Development Authority, City of Tucson Steve Kozachik Tucson City Council, Ward 6 John O’Dowd Amado & Associates, CPA Marilyn Robinson Industrial Development Authority, City of Tucson; UA Drachman Institute Regina Romero Tucson City Council, Ward 1 Si Schorr ADOT, Pima County Representative Ron Shoopman Southern Arizona Leadership Council Don Durband City of Tucson, Parkwise

Staff

Michael Keith Chief Executive Officer Austin Gilliland Economic Development Manager Brandi Haga -Blackman Operations and Events Manager Caitlin Jensen Marketing Manager Russ Stone Maintenance Manager Stan McIntyre Security Manager

Downtown Tucson Partnership staff from left: Russ Stone, Brandi Haga- Blackman, Stan McIntyre, Michael Keith, Caitlin Jensen, Austin Gilliland

17State of Downtown 2015

About the PartnershipDowntown Tucson the most dynamic urban center in the Southwest. The Partnership is a non-profit, 501(c)(6) corporation that creates a more vibrant community for businesses, property owners, residents, employees, and visitors. Our programs have led to increased investment, growing numbers of businesses of all types, improved streetscapes, and improved quality of life.

The Partnership manages the Tucson Downtown Business Improvement District (BID). The Partnership provides enhanced maintenance and security services, along with marketing, public relations, advocacy, and economic development services to the 33-block area. Commercial property owners in the BID fund these services through an annual surcharge of .053 cents per $100 of assessed property value.

Contact Downtown Tucson Partnership

Economic & Community Development Michael Keith, CEO 520.268.9035 Caitlin Jensen, Marketing and PR Manager 520.268.9033 Brandi Haga-Blackman, Operations and Events Manager 520.268.9032 Austin Gilliland, Economic Development Associate 520.268.9034

Operations: Security and Maintenance Stan McIntyre, Security Supervisor 520.940.5652 Russ Stone, Maintenance Supervisor 520.940.0806

Main Security 520.940.1038 Main Maintenance 520.940.0806G

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18 Downtown Tucson Partnership

Downtown Tucson Partnership

100 N. Stone Avenue Suite 101 Tucson Arizona 85701 www.downtowntucson.org

Published by the Downtown Tucson Partnership January 2015


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