1. Healthcare

Implementation of the El Paso Downtown
2015 Plan: Phase Two
City of El Paso
FINAL DRAFT
July 30, 2008
Table of Contents
Executive Summary
Chapter 1 – Overview …………………………………………………………….
Exhibit 1: Linkages Projects Map ………………………………………….
Exhibit 2: Downtown El Paso Implementation Framework ……………...
Chapter 2 – Implementation Pathway …………………………………………..
Chapter 3 – Linkages ……………………………………………………………..
Chapter 4 – Catalyst Projects ……………………………………………………
Chapter 5 – Public Infrastructure Cost Estimates ……………………………..
Chapter 6 – Financing Plan ……………………………………………………...
Chapter 7 – Economic Impact of New Development ………………………….
Appendix 1 – El Paso Public Infrastructure Assumptions …………………….
Appendix 2 – Downtown Management Structure – Comparison Chart
2
3
5
6
7
11
24
39
43
57
60
63
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
1
Executive Summary
The Phase II study is a refinement of the Downtown 2015 Plan and provides an
implementation pathway to assist City Council, TIRZ Board, and city staff in
successfully implementing the plan.
Chapter 2, Implementation Pathway, discusses the need for a cohesive
management structure in downtown. In addition, a regulatory framework is provided
in this chapter. The need to address linkages - pedestrian, vehicular and transit,
thereby making it easier to negotiate the different parts of downtown, is addressed in
Chapter 3. Building on the recommendations of the Downtown 2015 Plan for
catalyst projects, Chapter 4 looks at emerging projects and recommends additional
future project concepts. Chapter 5 provides ‘order of magnitude’ cost estimates for
recommended streetscape projects. Based on the scope, impact, and level of public
and private participation, this chapter provides the city and the TIRZ board decision
making criteria for funding incentives for downtown redevelopment projects.
The balance of the report deals with financial and economic forecasts, updating the
figures in the original plan, forecasting growth and suggesting scenarios for bond
financing related to the Tax Increment Reinvestment Zone. As a whole, this report
should give the involved parties direction they need to successfully implement the
Downtown 2015 Plan, thus leading to the successful revitalization of the heart of El
Paso.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
2
Chapter 1 – Overview
In a resolution passed and approved on July 10, 2006, the City Council of the City of
El Paso, Texas (the City) expressed its intent to create Tax Increment Reinvestment
Zone Number Five, City of El Paso, Texas (the TIRZ) to enable the redevelopment
of approximately 188.42 acres of land in the downtown area. This land is made up
of five geographically distinct and contiguous redevelopment districts for commercial
and residential uses (the Project). The implementation of the Project was initially
based on the City’s Downtown 2015 Plan prepared by the consulting firm SMWM
and adopted by the City in October 2006. This implementation plan is augmented
by City of El Paso Tax Increment Zone Number Five plan, prepared and adopted in
December 2006, and the current document. This Phase II Report is intended to be a
long-term framework. By establishing an implementation policy, the original
Downtown 2015 Plan and this implementation guide can evolve and embrace
changing conditions and new opportunities.
After decades of decline and failed revitalization efforts, there has been a recent
renaissance in downtowns across the United States. According to a sample of 45
communities done by the Brookings Institution, the number of households living in
the central city rose 13 percent from 1990 to 2000, a trend that undoubtedly has
accelerated in recent years. A variety of factors have contributed to this resurgence,
including:
•
•
•
•
•
•
Demographics, specifically smaller household sizes;
Changes in the structure of the economy, with a heightened emphasis on
adding value through the provision of service and knowledge;
Shifts in consumer tastes and preferences, including a greater acceptance of
owner-occupied multi-family housing and a strong desire for “authenticity”
and “experience”;
Technology, especially as it enables decentralized work and informs
consumer tastes;
Transportation, including congestion and rising energy costs, and
Cultural/entertainment, an element of society that is increasingly multifaceted and diverse.
Underlying all of the above (which influence all of society) is the desire for what has
been termed Walkable Urbanism. According to Brookings, “since the rise of cities
8,000 years ago, humans have only wanted to walk about 1,500 feet (approximately
a quarter mile) until they begin looking for an alternative means of transport: a horse,
a trolley, a bicycle, a car. This distance translates into about 160 acres – about the
size of a super mall, including its parking lot. It is also about the size, plus or minus
25 percent, of Lower Manhattan, downtown Albuquerque, the financial district of San
Francisco, downtown Atlanta, and most other major downtowns in the country.”
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
3
What makes walkable urbanism function is not merely distance, but the experience –
a pedestrian trip where one encounters a mix of sights and sounds in the context of
a range of land uses and a diverse built environment. The translation is that “critical
mass” occurs when visitors can find enough to do for an afternoon or an evening,
residents’ daily needs are largely met within easy access, and the underlying
economics justify ongoing investment. When this happens (and is sustained), a
dynamic system is in place that will create enhanced economic and fiscal value.
Many of the trends outlined above are currently evident in El Paso. For example,
the core of downtown El Paso fits the size criteria for walkability, and already
contains a wide range of land uses, cultural activities, and architectural styles.
Perhaps just as importantly, private sector investment in the central city has
accelerated sharply in recent months, with a number of announced projects and
more in the offing. This is a crucial element of successful revitalization, as evidence
locally and elsewhere indicates that sustainable redevelopment typically requires
both public participation, in the form of both infrastructure and policies/programs,
and private commitments. This public/private partnership creates a sum that is
greater than the parts, in the process offering the community the maximum return on
its collective investment.
The balance of this report provides a roadmap toward implementation of the vision
articulated in the El Paso Downtown 2015 Plan. The focus is on items directly within
the purview of TIRZ #5, although it touches on other downtown issues as well.
Chapter Two provides an implementation pathway, and Chapter Three outlines the
potential linkages within downtown and between downtown and other El Paso
activity centers. Chapter Four outlines the projects that are underway and proposed
in the context of downtown development districts. Chapter Five provides guidance
regarding public infrastructure cost estimates and provides a broad policy for funding
improvements, Chapter Six updates the TIRZ Project and Finance plan, and Chapter
Seven documents the economic impact of new development.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
4
Exhibit 1: Linkages Map
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
5
Exhibit 2: Downtown El Paso Implementation Framework
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
6
Chapter 2 – Implementation Pathway
Successfully implementing the Downtown Plan necessitates a management
structure that is sustainable, adaptive and facilitative of public-private partnerships.
As the pace of downtown redevelopment increases and matures, the structure for
managing downtown will need to transition from ad hoc project-based approaches
into a system of coordinated governance.
The City has recently introduced a coordinated project team to move redevelopment
projects through the city process. That initiative is a good first step. However, much
of the downtown management needs to be addressed on a long-term basis.
Through early listening sessions during this phase of the Downtown Plan, the
current piecemeal approach to downtown management became apparent. For
example, multiple entities currently claim some respective responsibility for trash
collection, parking management, maintenance and code enforcement. A lack of a
coherent and consistent structure led several stakeholders to comment that
downtown management capacity is fundamentally lacking. In this context,
maintaining redevelopment momentum will become challenging and difficult.
Downtown management is fundamentally about customer service. Business
owners, art patrons, residents, potential investors, visitors, tourists, hoteliers and
shoppers are all looking for convenience, safety and urbanity in their downtown
experience. Achieving consistency in these outcomes requires a system of
downtown governance that is grounded in expectation and predictability.
Expectation and predictability flows from coordination across all areas of
responsibility and the availability of tools and resources for every aspect of
downtown management. Whether a “no cigarette butt” tolerance for trash, or a
contemporaneous capacity to identify available properties for investment;
downtown’s success will be measured by its management responsiveness.
Appendix 2 provides a comparison chart of downtown management structures of
selected comparison cities in the nation.
The Downtown Plan is quickly moving from visioning to implementation. The Mills
Plaza District Project, for example, offers the complexity of opportunity that
necessitates the marriage of capital infrastructure design, public space
management, ongoing phased investment, shared parking, retail management,
pedestrian linkages and the leveraging of multiple destination programming. In this
context, a framework is proposed for downtown management.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
7
1. A New Framework
The proposed Downtown El Paso Implementation Framework sets forth a three-part
structure: “Regulatory,” “Management Coordination” and “Linkages.” (See
Downtown El Paso Implementation Pathway- Exhibit 2). As the exhibit
demonstrates, these three areas are connected both substantively and structurally.
2. Management Coordination
In terms of structure, the “Management Coordination” track fundamentally assumes
the implementation of a Downtown Management Coordinating Entity. This entity
could be an existing institution, a new special district or a non-profit corporation.
Regardless, this entity would serve as the central management institution, both in
terms of programmatic needs such as parking and maintenance, and in terms of
governance needs such as implementing the TIRZ capital program. The Downtown
Management District function, the Convention and Visitors Bureau, the Arts and
Historic Preservation entities as well as basic city services departments would all be
represented through this central entity. The main goal is for functional streamlining
and any organizational change should be firmly based on stakeholder input and the
local context of El Paso.
This entity could functionally coordinate three key areas of responsibility that would
tie different relevant institutions, stakeholders and programs together in various
appropriate configurations:
a) Development—this area would focus on the TIRZ capital program,
development and design review, parking, housing, real estate information,
the arts, etc.
b) Public Services—Downtown Management/PID functions such as
maintenance, landscaping, security, as well as Code Enforcement and
Planning support
c) Events—this area would provide support for festivals, special events,
marketing, sponsorships, etc.
3. Design Matters
Central coordination of these traditional functions is critical; but coordination alone
will not suffice in terms of raising the character and quality of the downtown
experience. The recent focus on the arts and historic preservation underscores the
need for a means to manage and support the design aspects of downtown. Design
takes many forms in downtown: the urban design of the public spaces, the
architectural design of buildings, and the aesthetic design of the important details of
the urban experience such as signs, street furniture and public art. Accordingly, two
new institutions should be considered.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
8
A Downtown Design Center could provide support for existing institutional needs
such as implementing the Downtown Historic District. At the same time, it could
provide guidance and creative input for the implementation of needed streetscape
infrastructure, signage, and landscaping elements for the linkages and
improvements needed to connect the various emerging districts of downtown.
At the same time, the Design Center could provide staff support for a Downtown
Design Review Board, which is one of many recommendations in terms of regulatory
reform.
4. Regulatory
The second track for the Downtown El Paso Implementation Framework is
Regulatory. Fundamentally, streamlining has been identified as a critical outcome
for implementation. Streamlining without substantive changes will not result in
sustained quality implementation of the Downtown Plan.
On the front end, functional
changes in the code of
ordinances will be needed in
terms of a form-based or more
performance-based zoning
environment. In other words, an
even more flexible use
environment, complemented with
a prescribed urban design
environment, will provide a more
market-sensitive context for mixed
use redevelopment. Such
reforms in the zoning environment
must be coordinated with other key ordinance factors such as special privilege
considerations, code compliance and historic preservation.
This approach will also enable historic preservation to be elevated through a
combination of additional guidelines and standards, complemented with an
incentive-prioritized system for public-capital investment. For example, key historic
buildings can be targeted for a higher level of incentive support if the applicants take
advantage of a more aggressive preservation strategy, especially if combined with a
preferred outcome such as substantial provision of affordable residential units as a
program component.
Ultimately, design standards for all aspects of urban design and architecture should
be implemented and required to elevate the level of redevelopment over time. In
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
9
order to manage this process effectively, a Downtown Design Review Board should
be instituted with a membership of design experts appointed to consider the granting
of Certificates of Appropriateness on the basis of sufficient design before projects
can proceed. The proposed Downtown Design Center could provide staff to support
the functions of the Downtown Design Review Board. All of the relationships of the
Design Center, the Design Review Board and the Downtown Management
Coordinating Entity are delineated in the Downtown El Paso Implementation
Framework.
5. Linkages
Ultimately design is fleeting if it is not functional. Accordingly, the development of a
comprehensive Linkages Program is provided in the next chapter. As indicated in
the Downtown El Paso Implementation Framework, the Linkages Program is both
physical and temporal.
The physical aspects of the program literally link together destinations within
downtown and destinations outside of downtown. These linkages are comprised of
both pedestrian and transit enhancements of key streets and corridors. All of these
destinations and linkages are then tied together via a system of Wayfinding.
Wayfinding refers to the need to point visitors in the direction of Downtown
destinations and acts as a means of effective access in and out of Downtown.
The Wayfinding Program is temporal in that, while a near-term Wayfinding Program
is described and proposed in the next chapter, an ultimate Wayfinding Program must
be deferred until a full-fledged pedestrian and transit system is in place that links a
substantial number of districts and destinations. This process will ultimately be
driven iteratively through incremental infrastructure investments prioritized through
the system of linkages and market considerations. As the Downtown El Paso
Implementation Framework indicates the evolution of the emergent districts,
infrastructure priorities and pedestrian linkages will feed the maturation of the
Wayfinding Program and ultimately the marketing and branding of downtown.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
10
Chapter 3 – Linkages
The El Paso Downtown 2015 Plan identifies several key strategies to link existing
and future destinations and districts within and around Downtown. This chapter
builds on the recommendations of the Downtown Plan to provide the City strategic
action items to work towards realizing the vision established in the Plan. In addition,
several emerging catalyst projects are creating synergies around which the City
needs immediate recommendations for linkages – vehicular, pedestrian, and transit.
Traffic circulation within Downtown and to adjoining neighborhoods should be
closely considered when catalyst projects are reviewed. Specifically, on-street
parking, access, and retail friendliness are all critical to livable traffic patterns within
Downtown. The emerging Catalyst Project Corridor will thus be activated by both
internal and external linkages (see Linkages Map).
The recommended linkages are based on proposed projects and as such should be
evaluated periodically. The goal of public sector investment in the form of linkages
should be to follow private development projects. As new projects are announced,
new opportunities to link these activities to existing destinations should be prioritized.
Streetscape improvements, public art and wayfinding are all critical elements that
can greatly enhance linkages – pedestrian and vehicular. Streetscape
improvements and public art are discussed under Pedestrian Linkages, while this
chapter ends with a discussion of wayfinding strategies. Wayfinding is a critical
element that will not only enhance the revised linkages plan but will also tie existing
and emerging destinations within downtown and to the region.
1. Vehicular Linkages and Traffic Circulation
Downtown streets in the United States have undergone major transitions in the last
century. At the turn of the 20th Century, downtown streets were focused on being
retailing streets. As downtowns became the centers for regional employment and
use of the automobile increased as the preferred mode of transportation, one-way
streets became the norm to improve capacity and reduce traffic congestion within
downtowns in the 1950’s and 60’s. As downtowns went through the cycle of
disinvestment and reinvestment over the last few decades, the role of traffic
circulation in downtown streets is being evaluated nationwide.
Streets within downtowns should balance the need for circulating traffic while
promoting other significant goals for downtowns. These other goals include retail
friendliness with on-street parking and two-way access, pedestrian orientation,
safety, and streets as the premier public places of a city. Providing efficient traffic
circulation is no longer the most important goal for downtown streets. Rather, a
busy or somewhat congested street is an indicator of a healthy business
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
11
environment and adds to the vibrancy of downtowns. Increasingly, cities around the
country are converting one-way streets to two-way streets in order to implement
these higher goals for downtown streets.
With continuing increases in downtown development activity and recent
recommendations for transition of street character, an evolving strategy for
transportation analysis is recommended. Traffic circulation and parking are critical
elements of implementing successful catalyst projects. To that end, evaluating onstreet parking, structured parking, two-way conversions, and other public
improvements should depend on the impact and scope of each development project
proposed. Specifically, the criteria for such a project-based transportation evaluation
should:
•
•
•
•
•
•
•
Provide the best land use benefit for properties by maximizing the use of
the public realm (street);
Promote the concept of streets as destinations (great streets);
Provide safe and efficient transportation for all modes, including vehicles,
pedestrians, bicyclists, and transit users;
Provide safe and efficient access to a range of parking opportunities – onstreet and off street;
Provide adequate access to emergency and service vehicles;
Provide effective ingress and egress to events and destinations, and
Balance overall vehicular level of service and network operations with
pedestrian access and retail friendliness by evaluating the conversion of
key one-way streets to two-way streets.
2. Pedestrian and Transit Linkages
In order to support the catalyst project corridor and improve connectivity between
these projects within downtown, recommendations are set forth below for pedestrian
and transit improvements.
i.
Pedestrian Linkages & Streetscape improvements
The Downtown 2015 Plan established three distinct categories of pedestrian
improvements in the form of Standard, Secondary, and Special Pedestrian Streets.
Figure 3.1 shows the distribution of these streets and Table 3.1 summarizes the
common features and differences between the three categories of streets
recommended in the 2015 Plan.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
12
Figure 3.1 – El Paso 2015 Downtown Plan Pedestrian Network
(Source: El Paso Downtown 2015 Plan)
Table 3.1 – El Paso 2015 Downtown Plan Pedestrian Street Recommendations
Item
Standard
Secondary
Special Pedestrian Street
Pedestrian Street
Pedestrian Street
Minimum standard for
•
Third
•
First
Streets
all downtown streets
Sidewalk
Amenities
•
•
•
•
•
•
•
Min. of 10’
sidewalk width
Preferred 12’ –
15’
Standard light
fixtures
Street trees at 30’
– 40’ on center
Tree grates
Trash cans
On-street parking
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
Sixth
Stanton
Overland
Magoffin
San Antonio
Oregon
Santa Fe
Min. of 15’ sidewalk
width
Standard light fixtures
Street trees at 30’ –
40’ on center
Tree grates
Trash cans
On-street parking
Paving variations
Banners
Benches
Bike racks
Banners
Sidewalk cafes and
vendors
•
El Paso
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
Wider sidewalks
Corner curb extensions
Street trees at 30’ – 40’ on center
Tree grates
Trash cans
On-street parking
Unique street lighting
Specialty paving
Public art
Sitting areas
Hanging flower baskets
Kiosks
Banners
Sidewalk cafes and vendors
Enhanced landscaping
(Source: El Paso Downtown 2015 Plan)
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
13
The Special Pedestrian Streets were recommended based upon the catalyst
projects recommended in the original 2015 Plan. The First Street improvements and
extension to El Paso were a result of the Life Style retail development recommended
along that corridor. Since other projects are moving forward at this time, this section
recommends a revised pedestrian linkages plan based on the location of those other
projects (see Linkages Map Exhibit 1).
Revised Pedestrian Linkages Plan
Based on the catalyst projects moving forward, this section outlines the critical
pedestrian linkages required within downtown to take advantage of emerging project
synergies. Investment in streetscape improvements should occur in conjunction with
projects as they come on line. This revised linkages plan classifies streets as
“Pedestrian Only” Streets, “Primary Pedestrian” Streets, and “Secondary Pedestrian”
Streets; while retaining that all downtown streets, at a minimum, are “Standard
Pedestrian” Streets (see Exhibit 1, Linkages Map).
Examples of successful Pedestrian Only Streets in Boulder, CO and Burlington, VT.
The Pedestrian Only Street category would address the general design criteria for
the pedestrian plaza to be created from the closure of Mills Street and Sheldon
Court to vehicular traffic from El Paso to Oregon as a result of the Mills Plaza
redevelopment project. Pedestrian Only Streets would have the highest level of
streetscape amenities and would be fully integrated with adjoining land uses, street
furniture, landscaping, and public art.
Primary Pedestrian Streets are intended to connect the core destinations within the
Downtown Area such as the Convention Center to Mills Plaza/San Jacinto Plaza and
to the Government Center and Magoffin Neighborhoods to the east. In addition,
primary pedestrian linkages would also connect the core to the El Paso Street retail
corridor and the US/Mexico border to the south. These streets would have a fairly
high level of pedestrian amenities while conveying vehicular traffic. Improvements to
the Primary Pedestrian Streets would occur as development and redevelopment
occurs along the identified corridors in a public-private partnership approach.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
14
Examples of Successful Primary Pedestrian Streets
Secondary Pedestrian Streets are intended to provide connectivity along downtown
transit corridors and to adjoining neighborhoods. These streets would have fewer
pedestrian amenities, but will have comfortable sidewalks and street trees.
Examples of Secondary Pedestrian Streets
Table 3.2 establishes the streetscape standards by street categories identified –
“Pedestrian Only”, “Primary”, “Secondary, or “Standard”. These streetscape
standards establish an optimal level of improvements based on the function of the
street. However, they are generally intended to be flexible to accommodate a
variety of existing conditions. Streetscape elements may be changed and adapted
so long as the goal of pedestrian orientation is met. The rough estimates of cost for
pedestrian improvements set forth in this table are delineated in Chapter 5.
Table 3.2: Revised Pedestrian Streetscape Recommendations
Streets
Pedestrian Only
Street
Primary
Pedestrian Street
Secondary
Pedestrian
Street
Standard
Pedestrian
Street
•
San Antonio west of
El Paso
El Paso Street
Texas Street
San Antonio /
Magoffin
Missouri
Durango
Santa Fe
Stanton
All downtown
streets
•
•
Mills Street from
Oregon to El Paso
Sheldon Ct. from El
Paso to Oregon
El Paso Street from
Missouri to Franklin
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
15
Pedestrian Only
Street
(existing)
Amenities
No vehicular traffic
Street trees at 30’ on
center
Tree grates
Trash cans
Unique street lighting
Specialty paving
Public art
Sitting areas
Hanging flower baskets
Kiosks
Banners
Sidewalk cafes and
vendors
Bike racks
Enhanced landscaping
Wayfinding signs
Enhanced landscaping
Primary
Pedestrian Street
Secondary
Pedestrian
Street
Standard
Pedestrian
Street
Minimum 15’
sidewalk width
Street trees at 40’
on center
Tree grates
Trash cans
Standard Street
lights
Street light banners
Bike racks
Wayfinding signage
Newspaper corrals
Benches
On-street parking
Minimum 10’
sidewalk width
Preferred 12’ – 15’
Standard light
fixtures
Street trees at 30’ –
40’ on center
Tree grates
Trash cans
On-street parking
Streets around San
Jacinto Plaza
Minimum 20’ sidewalk
width
Street trees at 40’ on
center
Tree grates
Trash cans
Standard Street lights
Street light banners
Bike racks
Specialty paving at
intersections and key
areas
Wayfinding signage
Newspaper corrals
Benches
Sidewalk cafes and
vendors
On-street parking
Images and icons from Downtown El Paso that create the palette for streetscape improvements
Public Art
The recommendations from the El Paso Committee for Public/Private Arts Advocacy
recognize that the Creative Sector can be a critical partner in downtown
redevelopment. To this end, a Public Art Program should be developed to harness
the strengths of the local art community. Such an art program would establish an
overarching framework for the involvement of local artists in the design of several
streetscape amenities. Amenities such as bike racks, bus shelters, benches, and
kiosks could all be designed and installed by local artists for a nominal fee.
Experience in other communities has shown these programs promote art and the
use of the public space by pedestrians and bicyclists. For example, in Louisville,
KY, the bike rack art program has resulted in increased exposure to artists,
increased art commissions, increased bicycle ridership within downtown and
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
16
fostered a student bike art program. In addition, it has become publicly popular thus
creating greater appreciation for public art.
Implementation of a Public Art Program
A Public Art Program is recommended to better coordinate the different art-related
initiatives and to help develop a cohesive framework for public arts along the
different pedestrian linkages corridors. This program could be developed with the
City-wide Public Art Program in cooperation with the El Paso Committee for
Public/Private Arts Advocacy. Major outcomes for such a program would include:
• Engagement of the public art community;
• Public art improvements that create unique themes along corridors and
destination/neighborhood identity as part of each corridor’s streetscape
plan and an overall wayfinding plan for downtown;
• Increased awareness, interest, and public art education; and
• On-going platform for public artists to be coordinated and connected to
the community.
Successfully implemented art programs can lead to event and festival outcomes
such as art studio tours. In addition, such tours could be linked with transit
connectivity such as gallery connector trolleys.
Examples of Bike Rack Public Art in Louisville, KY
(Source: Louisville Downtown Management District)
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
17
ii. Transit Linkages
Sun Metro, the City’s transit agency, is currently undertaking two projects that would
improve connectivity within downtown via the downtown circulator trolley and
connectivity between downtown and major local and regional destinations such as
the UTEP campus and the Texas Tech Medical School via the Bus Rapid Transit
initiative. The Bus Rapid Transit initiative is discussed in the next section of this
chapter dealing with external linkages to adjoining neighborhoods and downtown.
The goal of this section is to recommend improvements in the public realm that
support the Sun Metro’s initiatives such as the Downtown Trolley Circulator and BRT
routes. Specifically, in addition to pedestrian improvements, streetscape
improvements that focus on linking wayfinding and public art with transit amenities
such as bus shelters, bicycle racks, transit signage, should be a priority along all
transit corridors.
Downtown Circulator Routes
Sun Metro is revising the downtown circulator routes in order to serve the existing
and emerging downtown destinations. In an effort to revitalize San Jacinto Plaza as
the pedestrian heart of Downtown El Paso, Sun Metro is moving all transit transfer
operations to the new Union Plaza Transit Terminal on San Antonio Street. The
Downtown Circulator trolley, however, will still provide access to San Jacinto Plaza.
The proposed circulator routes will connect the different areas of downtown and
adjoining neighborhoods to downtown destinations.
San Antonio Street is the major east-west connector and El Paso, Kansas, and
Campbell Streets provide north-south connectivity. Streetscape improvements
along these corridors should emphasize them as transit corridors by providing
adequate seating, shade, and bicycle parking at identified transit stop locations in
addition to wayfinding to destinations at each stop location. These streets should
ultimately become Secondary Pedestrian Streets. Figure 3.2 shows the proposed
downtown circulator routes.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
18
Figure 3.2 – Proposed Downtown Circulator Routes
(Source: Sun Metro)
Bus Rapid Transit (BRT) Initiative
External linkages from downtown to adjoining neighborhoods and regional
destinations are critical to support the revitalization of downtown as the metropolitan
area’s true center. These linkages should be in the form of pedestrian, bicycle,
transit, and automobile connectivity. Pedestrian linkages have been discussed
under the Internal Linkages section. Critical pedestrian and transit linkages to
adjoining neighborhoods (Magoffin, San Francisco, and Sunset Heights) and the
US/Mexico border are identified in the Linkages Map. External automobile linkages
should be evaluated as part of project based transportation analysis recommended
earlier in this Chapter. With respect to transit, Sun Metro is currently undertaking a
Bus Rapid Transit initiative.
Sun Metro’s BRT initiative is intended to link downtown El Paso to destinations such
as University of Texas at El Paso (UTEP)/Hospital District and Texas Tech medical
school. Phase 1 of the BRT line will connect Downtown to UTEP via Oregon Street
(see Figure 3.3 for draft BRT alignment).
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
19
Roadway corridors within downtown identified for the BRT line are Santa Fe
(southbound) and El Paso (northbound). In addition, San Antonio is identified as an
east-west connector. Given the prominent nature of San Antonio as both a Primary
Pedestrian Street and a transit corridor, it should be a high priority street for
streetscape improvements. Other transit corridors should, at a minimum, be
improved as “Secondary Pedestrian Streets” with transit shelters, bike racks,
seating, and landscaping.
Another strategy to create synergies between development and transit is to
undertake a branding initiative for the City’s BRT service lines. The City of Boulder,
CO created distinct identities and brands for 5 of its major transit routes called HOP,
SKIP, JUMP, LEAP and BOUND. Such a system has created new excitement and
interest in transit and has made riding buses fun and easy.
BRT initiatives are an opportunity for redevelopment along these underutilized
corridors with focus on the creation of new residential neighborhoods and
retail/mixed use nodes. Such a transit-oriented corridor plan should leverage the
transit investment and its link to downtown and other destinations by identifying
development opportunities along the corridor.
Redevelopment of these BRT corridors would not only increase transit ridership, but
would also strengthen downtown’s role as the region’s center. The City should
undertake an economic development approach to creating opportunities for
reinvestment through combined land use, urban design, zoning, and economic
development policy frameworks along these BRT Corridors
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
20
Figure 3.3 – Draft BRT Phase 1 Alignment
(Source: Sun Metro)
3. Wayfinding Strategy
“Wayfinding” is the critical third element of the revised Linkages Plan. Easy access
to information about locations (places), destinations, parking, and types of goods
and services within the downtown area increases the value and sociability of
downtown to residents and visitors alike. Wayfinding is typically thought of as just
signage. However, wayfinding within downtown or a region can be achieved through
a consistent streetscape, public art, branding, and signage. A good wayfinding
program would integrate all these aspects of the built environment to provide users
with visual cues and information about the place they are in.
A wayfinding program need not be an “all” or “nothing” strategy. It can be
appropriately phased in and layered as downtown destinations and districts mature
and take on new identities. Downtown El Paso has an immediate need for a
vehicular wayfinding program that directs people to existing destinations and parking
locations. The following is a list of existing destinations/districts that would benefit
from an interim wayfinding program:
•
•
•
•
•
•
•
•
Convention Center district and parking
Union Plaza Transit Terminal
City Hall/Library
Federal Courthouse and adjoining government uses
San Jacinto Plaza
Existing museums
El Paso Street retail district
Adjoining historic districts (Magoffin, San Francisco, and Chihuahuita)
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
21
Emerging destinations such as the Mills Plaza project, Union Plaza
entertainment, Magoffin Corridor redevelopment, and others identified in the
Linkages map (Exhibit 1) would also benefit from this interim strategy. A nearterm strategy is to identify critical automobile decision points at major entry ways
into downtown and direct drivers to major destinations/districts (trailblazer signs)
and then direct drivers to parking locations (both public and private).
Auto-oriented Wayfinding Signage in Oklahoma City, OK, and Atlanta, GA.
Over the long-term though, a layered approach to wayfinding is recommended.
With several catalyst projects underway, Downtown El Paso’s districts are being
formed. These catalyst projects are setting the stage for a larger definition of the
development districts and their image/branding.
In addition, the City is also undertaking a Heritage Tourism Plan which should be
an element of the long-term wayfinding plan. The ultimate wayfinding program
would then be developed incrementally as these new destinations and districts
mature and take on new identities. This ultimate wayfinding system would not
only seamlessly integrate vehicular, bicycle, and pedestrian wayfinding with
public art and streetscape improvements but also incorporate Heritage Tourism
destinations for downtown and the region.
Wayfinding Signage in Center City Philadelphia which incorporates both vehicular and
pedestrian-oriented signage
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
22
Downtown District logos in Louisville reinforce
The districts’ identities and character.
Pedestrian Kiosks in Downtown Louisville that
incorporated public art and signage, thus “branding”
the City’s downtown and development districts.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
23
Chapter 4 – Catalyst Projects
The El Paso Downtown 2015 Plan envisioned catalyst projects in each of the five
Downtown Redevelopment Districts. Subsequent to the Plan’s adoption, a number
of significant redevelopment projects in the Downtown area have been announced.
In December 2007 the City Council amended the boundary of the TIRZ to include
portions of the Historic Incentive District, i.e., roughly 100 additional acres.
This chapter provides an overview of redevelopment activity in each of the original
redevelopment districts, describes the new catalyst projects that have been
announced and are in some phase of development, and identifies concepts for other
projects for possible implementation in the future. Additionally, this chapter provides
the City and the TIRZ Board a basis for a broad project prioritization policy. This is
discussed in more detail in Chapter 5.
1. Downtown 2015 Plan Overview and Development Districts
The El Paso Downtown 2015 Plan categorized development opportunities into 5
distinct development districts (see Figure 4.1) with different goals and
characteristics. In addition, specific project concepts were recommended within
each development district to strengthen its identity. The following is an overview of
the recommendations of the 2015 Plan as they relate to the Development Districts
and the corresponding catalyst projects.
Lifestyle Retail District
The Lifestyle Retail District adjacent to First Street was envisioned to create an
opportunity for pedestrian-oriented retail in an area targeted for upscale and
unique stores that may include thematic retail clusters. The preliminary catalyst
project included the construction of 600,000 square feet of retail space. An
anchor retail facility on First Street was identified as the first catalyst project.
No catalyst projects have emerged in the Lifestyle Retail District at this time. As
the market for lifestyle retail in downtown emerges, such a development would
be feasible. In addition, conversions of existing buildings could accommodate
retail storefronts, offices, and restaurant uses.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
24
Figure 4.1. El Paso Downtown 2015 Plan Redevelopment Districts and Catalyst
Project Locations
(Source: El Paso Downtown 2015 Plan)
Public investment in this district would include the pedestrian streetscape
improvements along El Paso Street as a “Primary Pedestrian Street” connecting
the downtown core to the El Paso Street retail and the border. Primary uses in
this district should continue to be retail activity and supportive uses.
Santa Fe Street Convention/Entertainment/Arena District
The 2015 Plan envisioned a major entertainment area along Santa Fe Street.
Plans for this redevelopment district include a new Downtown arena and arena
hotel. The arena would become a hub for hosting sporting events, trade shows,
conventions and other entertainment programs.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
25
An arena hotel was envisioned as the principal catalyst project for the
redevelopment district. A total of 510 new hotel rooms are expected to come
online over the next 10 years. Projects announced and underway suggest that
three separate hotels (200 rooms, 200 rooms and 110 rooms) will open over the
next several years. This new capacity should help improve overall market
performance, as these hotels will fill a niche that is under-served locally. New
demand in the near-term for Downtown lodging should come from increased
business travelers attributable to growth in office uses as well as leisure travel,
driven in part, by growth in entertainment and heritage tourism. For a more indepth discussion of the hotel demand please refer to Chapter 6.
The former International Hotel Downtown located in the Historic Incentive District
and now in the TIRZ, is now gutted through its 17 floors. Reconstruction of the
hotel began this year. The building is being turned into a 200-room Hilton Double
Tree Hotel. It is expected to open early next year.
In addition, a cineplex multi-screen movie theater and draft house catalyst
project discussed below is a candidate for location in the Convention /
Entertainment / Arena District.
Mercado Retail District
A colorful arts-inspired Mercado was envisioned as the catalyst project for this
redevelopment district. The Mercado would serve as an attraction for local
artisans and retailers to an area designed for shopping, strolling, dining and
attendance at cultural events. Local retail is planned to increase by 200,000
square feet and will include produce, arts, crafts and ethnic markets. A new
plaza, park and arts walk were also envisioned to contribute to the revitalization
of this redevelopment district. No catalyst projects have emerged in the
Mercado Retail District.
Public investment in this district would include the pedestrian streetscape
improvements (including public art and wayfinding) which would be enhanced by
the pedestrian streetscape improvements in the adjacent streets including El
Paso Street as a “Primary Pedestrian Street” connecting the downtown core to
the El Paso Street retail and the border. In addition, with respect to the Mercado
Retail District code enforcement will be a critical element for its success as a
vibrant and sustainable retail district. Special attention to signage, awnings,
paint, and general upkeep of retail storefronts is a high priority for storefronts in
this district. Primary uses in this district should continue to be retail activity and
supportive uses.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
26
Border Retail District
The Border Retail District was envisioned to serve as the anchor to the “Golden
Horseshoe” shopping area and provide an additional 300,000 square feet of
retail space adjacent to the Mexican Border. Additional parking was also
envisioned in this district.
No catalyst projects have emerged in the Border Retail District. Public
investment in this district would include the pedestrian streetscape
improvements (including public art and wayfinding) which would be enhanced by
the pedestrian streetscape improvements in the adjacent streets including El
Paso Street as a “Primary Pedestrian Street” connecting the downtown core to
the El Paso Street retail and the border. In addition, code enforcement will also
be a critical element of the downtown management strategy within this district.
Residential Mixed-Use District
The 2015 Plan envisioned the construction of a mixed-use urban neighborhood
in the Magoffin Area with an estimated total of between 700 and 1,400 new
residential units and 195,000 square feet of retail space. The catalyst project(s)
for this redevelopment was to be 400 units of housing to address the immediate
need for affordable and market rate Downtown housing.
Future catalyst projects and proposed streetscape improvements strengthen this
district as a residential/mixed use area. Specifically, the Magoffin Area is
suitable for Live-Work and professional office uses and adjoining blocks of
different types of residential uses. In addition, the El Paso Committee for
Public/Private Arts Advocacy in its report entitled El Paso: Hot Places, Cool
Spaces: Developing Recommendations for the Integration of the Creative Sector
in Downtown Revitalization; identified “the Downtown/Magoffin Neighborhood,
certain blocks of Texas Avenue, and Union Plaza” for mixed use residential and
live-work development.
Accordingly, the Magoffin corridor has been identified as a “Primary Pedestrian
Street” with streetscape improvements as a high priority. These improvements
and the improvements along San Antonio would connect the Magoffin
neighborhood to the downtown historic core and the entertainment district to the
west.
The Florence Street Project discussed in more detail below, which is in this
District, has been identified as a catalyst project which will generate additional
activity and generate economic demand.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
27
Historic Incentive District
City Council on December 18, 2007 amended the TIRZ Boundary to include
portions of the Historic Incentive District into the TIRZ. Funds generated from the
original five Redevelopment Districts may not be used for projects within the new
TIRZ area, however funds from the Historic Incentive District may be used
anywhere within the TIRZ.
The most significant economic activity throughout the TIRZ is occurring in the
Historic Incentive District as evidenced primarily by the Mills Plaza District
Project and others discussed below.
2. Announced/Emerging Projects
Since the adoption of the Downtown 2015 Plan, several projects have been
announced or are emerging. These projects together with potential projects
identified in Section 3 of this Chapter form a “Corridor of Catalyst Projects” that
stretches from the eastern edge of Downtown in the Magoffin Historic District
westward, along a corridor framed by Texas Avenue and San Antonio Street
through the core of Downtown past San Jacinto Plaza and though the
Entertainment District westward to Union Plaza.
Given this potential “Corridor of Catalyst Projects”, the opportunity to connect the
various Downtown catalyst projects together with pedestrian linkages is
tremendous. This section describes a variety of projects that are already in
some phase of development within Downtown (see Exhibit 1 – Linkages Map for
locations of various projects).
These projects are presented in order of earliest to latest initiation date and are
not presented geographically. It should be noted that few of the projects are
located within the five original redevelopment districts. Those with the most
significant economic impact are within the Historic Incentive District.
Table 4.1 provides a summary of projects underway.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
28
Table 4.1. Summary of Projects Underway and Announced in Downtown El
Paso
PROJECT
Double
Tree Hotel
(Private)
Mills Plaza
District
(Private)
Mills Plaza
District
(Public)
San Jacinto
Plaza
(Public)
USE
Hotel
Mixed-use
ground floor
retail, office,
hotel/housing,
parking
garage
Public Plaza
(“Pedestrian
only street”)
Public Park
and adjoining
Streetscape
improvements
DISTRICT
HID (TIRZ)
HID (TIRZ)
HID (TIRZ)
HID (TIRZ)
LOCATION
PROJECT
DESCRIPTION
El Paso,
Missouri,
Wyoming
200 Room full
service hotel.
Mills at Oregon,
Main, Franklin.
Mills at Sheldon
Renovation of 3
historic buildings
– Mills and Centre
Buildings and
Plaza Hotel
Mix of office
space, retail
space,
restaurants, 2
parking garages &
meeting facilities
Mills between
El Paso and
Oregon
Blocks
bounded by
Oregon, Main,
Mesa, and Mills
Streets
New
Federal
Courthouse
(Public)
Federal
Courthouse
HID (NonTIRZ)
East of
Campbell
between
Magoffin,
Myrtle, 2 blocks
south from
Texas Ave.
Florence
Street
Housing
(Private)
Residential
Mixed-Use
Residential/
Mixed-Use
District
(TIRZ)
S Florence at
First Ave.
Conversion of
vehicular street to
a pedestrian plaza
with streetscape
amenities and
active outdoor
uses such as
cafes, seating,
etc.
Redesign of the
Plaza to be a true
heart of
Downtown with
the transfer of
Sun Metro
operations away
from the Plaza
OTHER
• 1st major hotel
project downtown in
years.
• Visible from I-10.
• 3 blocks from
Convention Center.
• Public incentives
provided
• Adjacent to Main
Public Library, new
Museum of History,
and Cleveland
Square Park
• Evaluation of traffic
circulation in the
vicinity
• In conjunction with
the public
improvements to the
adjacent pedestrian
plaza and San
Jacinto Plaza.
• Renovation of
historic buildings.
• Requires vacation of
streets to vehicular
traffic
• Evaluation of traffic
circulation in the
vicinity
• In conjunction with
the renovation of the
Mills and
Centre/White House
Buildings and Plaza
Hotel.
•
•
High priority project
Will provide project
synergies together
with the Mills Plaza
pedestrian street
improvements
•
Connects Downtown
Core with
Residential / MixedUse District.
Provides opportunity
for revitalization
along the Magoffin
corridor for
professional office
and live-work
development
9 story building,
239,400 square
feet of gross
Courthouse space
•
11,000 sq. ft.
residential lofts,
6,500 sq. ft. office
and retail space
•
Secure tenant
parking & rooftop
terrace.
(Source: City of El Paso)
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
29
Double Tree Hotel
The Double Tree Hilton Hotel is a private sector
redevelopment project of the former International Hotel
located Downtown in the Historic Incentive District of
the TIRZ. It is located on El Paso Street between
Wyoming and Missouri Streets. The hotel is adjacent
to the main library and new Museum of History located
at the refurbished Cleveland Square Park. The project
will provide 200 additional hotel rooms with a full array
of guest services and is expected to open in 2009.
New Federal Courthouse
The new Federal Courthouse now under
construction in Downtown El Paso is
expected to be completed by May 2009.
The Courthouse is being constructed at
the eastern end of the Central Business
District on a 2.3-acre site located between
Magoffin and Myrtle streets, immediately
east of Campbell. It is located within the
Historic Incentive District but outside of the TIRZ and provides a compatible land
use transition between the core of Downtown and the Residential / Mixed-Use
District and creates an opportunity to foster revitalization of an in-town
neighborhood. This nine-story building will provide 239,400 gross square feet
and allow court functions to move from the outdated 1936 courthouse across the
street.
Mills Plaza District Project
Located within the Historic Incentive District, the Mills Plaza District Project
consists of the rehabilitation of three adjacent
buildings along both sides of Mills Street including:
the Anson Mills Building, the Centre Building and
the Plaza Hotel. The owners of the three buildings
are committed to restoring them to their original
stature and glory as historic landmarks. The
private sector project is already underway and
joins the development of office space with
restaurant and retail space with the intention of
restoring the original historic and design aspects of
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
30
renowned architect Henry Trost who designed
all three buildings as well as a number of other
Downtown buildings including the adjacent
Plaza Theater.
The City is considering the vacation of vehicular
traffic from Mills Street to provide for a
pedestrian-only public plaza between the
buildings. In addition, this would provide the
opportunity for outdoor cafes and new public
open space for multiple purposes and events.
This street vacation of vehicular traffic and
creation of the public plaza would constitute a
portion of the public participation of what is to be a public-private partnership
project.
The 12 story Mills Building, once the tallest concrete building in the nation as
well as once being the tallest building in El Paso, and the Centre Building which
once housed the White House Department Store will be rehabilitated to provide
for a ground level shopping promenade with coffee shops, book stores and high
end retail. The basement of the building will be used for art galleries and tenant
storage. The upper floors will be converted to office space with state-of-the-art
technology for business uses. The second floor of the Mills Building overlooking
the renovated San Jacinto Plaza will be reserved for a world-class restaurant.
Plans for the 19-story Plaza Hotel have not been finalized but the building could
be reconfigured as a boutique hotel, a residential building with lofts and/or
apartments, office space or a combination of the three as well as provide ground
floor retail opportunities.
The City of El Paso, working with Sun Metro, has plans to shift the city-wide bus
transfer function from San Jacinto Plaza to the Union Plaza Transit Terminal.
The City has plans to redevelop the Plaza into more appealing, pedestrian
friendly open space where people
can gather for various purposes
such as entertainment, literary
events and artistic presentations.
The project also provides for two
parking garages, one around the
back of the Mills Building, the Centre
Building and the Plaza Theater and
the other on a current surface lot at
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
31
San Antonio & El Paso Streets. The developers have plans to complete a 700 to
1,000 space parking garage named after the long-gone St. Regis Hotel on
whose site the first garage will be built. The plans also call for the construction of
5,000 to 7,000 person meeting room on the top floor of the parking garage.
The creation of the pedestrian plaza (“Pedestrian Only Street”) between the
buildings and the redesign and development of San Jacinto Plaza are high
priority public sector projects that should be considered for TIRZ funding.
Florence Street Housing / Mixed Use Project
The Florence Street Mixed Used Project is located at South Florence Street and
First Avenue and is located within the Residential Mixed Use District. Although
not actually under construction the developer has initiated the development
process and has applied for rezoning of the property to allow for construction of
a mixed-use project.
The mixed-use project will consist of approximately 11,000 square feet of
residential loft and approximately 6,500 square feet of retail and office lease
space. The project will provide a green rooftop terrace and secure parking for
residents and tenants. Public participation on this project could be in the form of
streetscape and sidewalk infrastructure, at a minimum, to be developed as a
“Standard Pedestrian Street”.
3. Future Project Concepts
The following are projects what have been identified or proposed and are in
some phase of planning / conceptualization but are not under development.
Texas Avenue Corridor Redevelopment Opportunities
Texas Avenue is a critical east-west connector linking the Magoffin
neighborhood to downtown. Historically, Texas Avenue was home to large floor
plate buildings that housed the City’s auto dealerships. The auto dealerships
are long gone, but the buildings and their unique architecture provide great
opportunities for redevelopment into a true mixed use corridor. Buildings on
Texas Avenue have tremendous potential to be redeveloped for artists’ studios,
lofts, and unique boutique businesses and stores. It is already home to art
galleries, studios, El Paso Chile Company, and other local businesses. With the
possible redevelopment of the Bassett Tower into residential uses, Texas
Avenue is poised to become a true arts and cultural corridor.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
32
This corridor also offers significant opportunities for a range of affordable and
market-rate residential development. With potential for adaptive reuse, upper
floor lofts, live-work units, artists’ studios, and new construction on vacant
properties, it can provide a wide array of residential development prospects for
downtown living.
In order to provide incentives for redevelopment along this corridor, the City
could potentially redevelop its Records Storage building and associated parking
lot located on Texas Avenue at Ochoa. One of the concepts for this location is
the development of a Culinary Institute with the participation of local businesses
and institutions such as the El Paso Chile Company, El Paso Community
College, University of Texas at El Paso, and local wineries. Such a facility could
include a farmers’ market, a culinary business incubator, food court, and other
related uses.
Historic image of the City’s
Records Storage building
when it was a Ford Car
Dealership
Texas Avenue has been identified as a Primary Pedestrian Street to be
improved as redevelopment occurs along the street (see Exhibit A – Linkages
Map).
Magoffin Area Residential / Mixed-Use Opportunities
The Downtown 2015 Plan envisions the construction of a mixed-use
neighborhood in the Magoffin Area with an estimated total of between 700 and
1,400 residential units and 195,000 square feet of retail space. The immediate
catalyst project for this redevelopment was to be 400 units of affordable and
market rate housing.
The El Paso Committee for Public/Private Arts Advocacy in its report entitled El
Paso: Hot Places, Cool Spaces: Developing Recommendations for the
Integration of the Creative Sector in Downtown Revitalization has also identified
“the Magoffin Neighborhood and certain blocks of Texas Avenue for mixed use
residential spaces”. The Committee goes on to state “the Corridor is an in-town
neighborhood with publicly owned historic assets, existing arts organizations and
a strong connection to Downtown”. The combination of City owned properties, a
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
33
warehouse arts district, the dimensions and character of the buildings, and its
proximity to Downtown make this area an excellent candidate for a work / live
environment for creative conceptual thinking.
The consultants preparing the El Paso Heritage Tourism Plan have also noted
that “a revitalized close-in neighborhood will increase much needed residential
development in Downtown and would provide new opportunities to showcase the
[historic] Magoffin House” through ‘shopkeeper’ development on vacant land
owned by the State and restoration of historic homes”.
Downtown Housing Opportunities
Downtown housing, both affordable and market-rate, is a critical success factor
in revitalizing downtown El Paso. It has been identified as a priority in the
Downtown 2015 Plan and should be a major focus in implementing this plan.
Various districts within Downtown and adjoining blocks offer opportunities for
residential development. To this end, this report tries to identify several
opportunities for housing. In addition, it identifies public-private partnership
opportunities to encourage the development of both market-rate and affordable
housing.
Images showing a variety of housing opportunities within downtowns from adaptive reuse
to new construction.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
34
In addition to housing affordability, a range of housing opportunities is important.
Given the high vacancy of upper-floors of commercial buildings, many
opportunities exist for adaptive reuse into residential lofts and condominiums.
New construction in the form of live-work, town homes, and residential
condominiums on strategic vacant parcels can be integrated into the downtown
fabric.
As residential development is a priority for the city and the TIRZ, projects with a
residential component should be eligible for public partnership participation
through all available public monies. In addition to financial incentives, the city
should consider the following:
• Facilitate the ease of adaptive reuse to upper floor residential uses by
evaluating building, fire, and zoning codes;
• Provision for residential parking (structured and surface)
• Public infrastructure such as utilities, sidewalks, and other streetscape
elements
• Provision for gap financing for residential development
• Discounted fees for building permits, park dedication, etc.
• Downtown housing fund for gap financing with public and private
matching funds including a low interest loan program
• Downtown employee assisted housing – working with employers in
downtown to provide financial incentives for employees to live in
downtown
• Design/technical assistance for historic preservation
• Code/regulatory reform
• RFP on city owned/controlled properties/ ground lease for a nominal fee
(catalyst project)
• Structured parking
• Breaks on park dedication fees
• Creation of a centralized database/clearing house for downtown
properties for sale or lease
• Create a downtown housing developers’ guide (website and printed
brochures)
Other opportunities for housing Downtown exist in the Downtown Core and
Union Plaza Areas. The assembling of land for the construction of affordable
and market rate housing, the provision of parking and parks and open space can
be facilitated by the City and TIRZ as well as flexibility in regulatory policies.
Security and neighborhood services such as groceries, dry cleaners and
laundry, convenience stores and similar amenities could be encouraged through
incentives.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
35
Railroad Dining Car Concept
This is a concept to provide opportunities for more restaurant and entertainment
uses in the vicinity of the Convention Center district and Union Plaza. A unique
dining experience could be created by utilizing existing railroad platforms and
City-owned railroad cars. The platform was constructed as part of the Union
Plaza redevelopment project. TIRZ participation could be sought for the
renovation of the railroad cars and to provide utility connections. In addition, the
Pedestrian Linkages plan recommends connecting this area to the downtown
core along Durango and San Antonio Streets. This connection would be
developed as a “Primary Pedestrian Street” with appropriate streetscape
amenities, public art, and wayfinding (see Exhibit 1 – Linkages Map). In addition
to this concept, other restaurant and entertainment uses should be evaluated in
the Convention Center/Arena district.
This and other similar projects could provide additional destinations in Downtown
for tourists and locals particularly for evening dining and would enhance the
functionality of the convention center by providing dining adjacent to the
convention facility and other private entertainment establishments enhancing
nightlife Downtown and generating additional Downtown activity and economic
demand.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
36
Cineplex Theater with Multiple Screens and Draft-house
This concept is proposed to strengthen entertainment and restaurant uses in the
vicinity of the Convention Center area. The attraction of an upscale multi-screen
movie theater and draft house with food and beverage service in the
Entertainment District has been identified as a strategy to generate additional
activity and economic demand Downtown. A combination movie theater and
restaurant where the best first-run movies and independent arts films are
showing and appetizing foods, beers and wines are served present a powerful
appeal to attract people Downtown. Once Downtown, patrons may stay over to
take advantage of some other entertainment event or have a dessert or drink.
This project could be developed as a complement to the arena project and its
location and timing could depend on the arena project and/or other
entertainment uses. At this time, the extent to which TIRZ funding would be
used for such a project is unclear, however incentives for the location of
entertainment uses should be considered.
Visitors’ Center
The consultants working on the El Paso Heritage Tourism Plan have
recommended the creation of a Visitor Center with visibility and proximity to
Interstate 10 in the Downtown area as a mechanism for attracting traffic off of
the freeway with the destination being Downtown. Implementation of the
Downtown Plan should be coordinated with the Heritage Tourism Plan which has
identified the “Arts Plaza”, restoration of San Jacinto Plaza and linkage of the
core of Downtown with the Magoffin Historic District as priority projects.
4. Project Prioritization / Funding Policy for Catalyst Projects
A critical implementation tool is to provide the City and the TIRZ Board with
broad criteria for evaluating projects that request funding. Most projects
identified within the Catalyst Project Corridor are high priorities that must be
successful in order to jump start downtown redevelopment. A more detailed
section on Funding Prioritization is discussed in Chapter 5, Section 2. This
section provides an overview of two broad categories of projects, with
corresponding funding policy considerations.
i.
Projects that affect multiple property owners and properties. These are
typically projects that would only be realized with public participation on
the front end. In such cases, infrastructure impacting multiple property
owners can be improved in a complementary fashion, in the form of
utilities, streets, parks, and plazas. The Pedestrian Linkages Plan
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
37
recommended in Chapter 3 is an example of a publicly initiated project
for funding through the TIRZ.
ii.
Projects that affect a few property owners and properties: These are
typically no more than 2 or 3 adjoining parcels that are being assembled
for a specific project. The scope of such a project is more limited in its
impact. Public funding participation for infrastructure improvements
impacting the specific project would be project dependant and hence paid
by the developer upfront with reimbursements based on performance.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
38
Chapter 5 – Public Infrastructure Cost Estimates for
Catalyst Projects
Using the analysis discussed in Chapter 6, the TIRZ can expect to receive between
$103 million and $109 million in tax increment revenues over the 30-year life of the
TIRZ. This chapter provides preliminary cost estimates for the major catalyst
projects discussed in the previous chapters. One of the critical public infrastructure
costs is the Pedestrian Linkages Plan. At the end of this chapter, general criteria for
decision makers in evaluating projects that request public funding are discussed.
1. Project Cost Estimates
Based on the recommended Catalyst Projects and Pedestrian Linkages Plan, project
cost estimates have been developed. These cost estimates are intended to provide
an order of magnitude estimates to be used by the TIRZ board to quantify bonding
needs for specific projects. Actual cost estimates should be developed after detailed
streetscape plans have been analyzed in the context of specific conditions for any
given corridor or public space. That analysis is critical due to potential cost impacts
from the need to relocate utilities or other sub-grade conditions present due to
building configurations, etc. The estimates provided here are categorized by type of
pedestrian street. For a detailed street corridor, block-by-block break down and cost
assumptions, please refer to Appendix 1.
The proposed estimates include only items specifically listed. As already noted,
costs do not include moving utilities or burying them underground. In addition, they
do not include demolition, R-O-W purchase, any sub-base preparation for sidewalks,
or reconfiguration of parking lanes or travel lanes. The costs for streetscape
improvements could vary considerably if the level of pedestrian amenities is
increased and with moving utilities underground.
Table 5.1 describes the level of pedestrian amenities assumed for the three different
categories of streets established in Chapter 3 for the Catalyst Corridor. Table 5.2
provides the overall cost estimates by major element and by street type.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
39
Table 5.1. Level of Pedestrian Amenities by Street Type
Item
Pedestrian Only
Streets
Primary Pedestrian
Streets
Secondary
Pedestrian Streets
Sidewalk Pavement
Street Trees
Additional
Landscaping
Benches
Street lights
Trash receptacles
Street light banner
brackets
Hanging flower
baskets
Tree grates
Consolidated
newspaper stalls
Pedestrian Kiosks
Wayfinding signs
Other pedestrian
amenities (Public art)
Bike racks
Brick Pavers
Concrete
Concrete
30’ on center
40’ on center
40’ on center
Yes
No
No
40’ on center
100’ on center
None
40’ on center
80’ on center
80’ on center
40’ on center
100’ on center
2 per block
Yes
Yes
No
Yes
None
None
Yes
Yes
Yes
No
Yes, one per every 4
blocks
Yes, one per every four
blocks
2 per block
1 per 4 blocks
None
2 per block
1 per block
1 per block
2 per block
1 per 4 blocks
None
2 per block
1 per 4 blocks
None
Table 5.2 Overall Cost Estimates by Street Type
Pedestrian
Only Streets
Primary
Pedestrian Streets
Secondary
Pedestrian Streets
2
30
20
52
765,000
816,400
372,300
1,953,700
4,800
326,560
198,560
529,920
-
7,350,750
0
7,350,750
Landscaping
Street Trees (incl.
grates)
71,400
1,071,525
651,525
1,794,450
Other landscaping
204,000
-
0
204,000
273,450
2,286,695
963,625
3,523,770
44,000
176,000
0
220,000
$ 1,362,650
$ 12,027,930
$ 2,186,010
$ 15,576,590
$ 681,325
$ 400,931
$ 109,301
$ 299,550
Item
Number of Blocks
Sidewalks
Brick
pavers/Concrete
Curb and gutter
Intersection
Treatments
Street Furniture
Other (public art, bike
racks)
Total
Average Per Block
cost*
Total
*The average per block cost for a standard pedestrian street is estimated at $188,000. Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
40
In addition to overall estimates, included in Appendix 1 is a cost break down by
street and by block for the Primary and Secondary Pedestrian Streets established.
The estimate for developing a comprehensive Wayfinding Plan should be based on
a competitive process to select a qualified firm that understands the City’s desired
strategy for a wayfinding that is scalable and developed in phases. Such a planning
project could be partially funded with the TIRZ but would have to be incorporated
with a wayfinding strategy for all the major regional destinations and modes of traffic.
2. Funding Prioritization
As downtown revitalization gathers momentum, several projects will be initiated and
may request some public participation. In order to maximize the benefit from these
limited public monies, it is important to establish general prioritization goals. These
are based on the extent to which a proposed project furthers City Council guiding
values for the Downtown Plan (Resolution 06-Guiding Values – Downtown Plan), the
TIRZ goals for supporting implementation efforts, stakeholder input, and level of
private section participations. Increasing the available stock of both market-rate and
affordable housing downtown is another critical priority for the city. To the extent a
project includes a residential component, all other aspects being equal, it should
generally rank as a higher priority project for TIRZ funding. In addition, the proposed
project’s connection to transit, proximity to other projects underway or recent
projects, ability to leverage other public and private funding opportunities, ability to
provide tourism benefits and the opportunity to promote the arts are all factors to be
considered for funding prioritization. Specifically, based on the above criteria,
project scope and impact, development projects may be classified as “Site-Specific
Private” projects or “Public” projects.
i.
Site-Specific Private Projects
Site-Specific projects are those that are implemented primarily through private
funding sources. They typically are limited to individual projects affecting one or
two parcels or property owners. Typically, these are initiated by the private
sector. In most cases, public sector participation will be required to make the
project successful. Such participation may be in the form of regulatory reform
(rezoning), public infrastructure improvements, parking, or other similar
incentives. Typically, any public financial participation in these projects will be in
the form of TIRZ reimbursements with developers paying the upfront costs of
any required public improvements. The city may place conditions on the
reimbursements such as performance, percentage participation, or time limits.
In certain circumstances, the TIRZ may want to facilitate direct funding. But
direct funding should be considered typically only when the Site-Specific Project
actually takes on attributes more akin to Public Projects described below.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
41
ii. Public Projects
Public projects are typically undertaken for major public infrastructure or
amenities such as streets, streetscapes, parks, open space, and plazas. Due to
the impact on multiple property owners, projects such as streetscape
improvements require the City’s leadership because it is often difficult to gain the
simultaneous participation of multiple landowners in funding. In addition,
projects that require continuity (such as streets and other utilities) for successful
implementation also require City participation. Such projects are typically
initiated by the City. Priorities for such publicly initiated projects should
complement current synergies of private development. A good example of this
type of project is the San Jacinto Plaza. The goal of any publicly initiated project
should be to create additional value in conjunction with private development, or
to create or improve a civic space that would never occur through the initiation of
the private-sector alone.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
42
Chapter 6 – Financing Plan
1. Aggregate Market Projections for El Paso
Concerns over the direction of the national economy have been felt in El Paso, as a
number of consumer-related indicators suggest that El Paso's economy has slowed
in recent months. Nevertheless, local forecasters expect performance to outpace
the nation over the next several years.
From the El Paso Times
Short-Term Forecast
According to Tom Fullerton, an economics professor at the University of Texas at El
Paso, El Paso's economy is expected to grow from almost $18 billion in 2006 to
$21.6 billion by 2009, as measured by total personal income. The UTEP forecast
has the annual jobless rate going from a projected 6.2 percent this year to 5.8
percent in 2009. Bob Cook, president of the El Paso Regional Economic
Development Corp. (REDCo), said he thinks that the job-growth rates will be higher
than Fullerton's projection because of the expected growth of Fort Bliss. "Growth at
Fort Bliss will generate another 19,000 (civilian) jobs in the local economy (by
2011)," according to a study done by the Institute for Policy and Economic
Development at UTEP, Cook said.
Table 6.1: El Paso MSA Short-Term Economic/Demographic Projections
2005
2006
2007
2008
2009
721.2
736.3
747.6
758.7
770.4
Personal Income (Billions)
$16.8
$18.0
$19.1
$20.3
$21.6
Total Jobs (000s)
349.2
357.6
365.2
373.2
382.3
Jobless Rate
7.1%
6.9%
6.2%
5.9%
5.8%
$8.0
$8.0
$8.3
$8.7
$9.1
Population (000s)
Retail Sales (Billions)
Source: Border Region Modeling Project, TXP
Table 6.2: El Paso MSA Short-Term Construction/Real Estate Projections
2005
2006
2007
2008
2009
5.1
4.4
4.2
4.4
4.6
-Single-Family Starts (000s)
4.5
4.0
3.8
4.0
4.1
-Multi-Family Starts (000s)
0.6
0.4
0.4
0.4
0.5
239.7
243.9
248.3
252.4
256.8
Median New Home Price (000s)
$114.0
$123.2
$132.9
$138.0
$142.1
Total Nonresidential ($Millions)
$408.3
$477.5
$467.0
$463.6
$456.6
Total Housing Starts (000s)
Total Housing Stock (000s)
Source: Border Region Modeling Project, TXP
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
43
Long-Term Forecast
El Paso's economy and jobs are projected to outpace national growth in the next 20
years with the help of Fort Bliss expansion. Also, El Paso's population will exceed 1
million people by 2027. That's the gist of the latest long-term economic forecast from
Tom Fullerton, an economics professor at the University of Texas at El Paso and coauthor of "Borderplex Long-Term Economic Trends to 2027." The economies of El
Paso, Las Cruces, Juárez and Chihuahua City should show "fairly impressive
growth" in the next 20 years. El Paso's economy as measured by total personal
income is projected to reach $60.2 billion in 2027. It was an estimated $19.1 billion
last year. El Paso's per capita income is projected to grow from an estimated
$25,594 last year to $59,226 in 2027. El Paso's economic output is projected to grow
at an average annual rate of 3.4 percent in the next 20 years, compared with a
national average rate of 2.7 percent a year as projected by Global Insight, a Bostonarea economic forecast firm. El Paso jobs are projected to grow at an average
annual rate of 1.9 percent in the next 20 years while unemployment continues to
decline. National job growth is projected at an annual average rate of 0.8 percent
during the same period as forecast by Global Insight.
Military employment is projected to rise from an estimated 13,500 last year to almost
30,000 in 2027, the UTEP forecast shows. That means military employment will
grow from almost 4 percent of total El Paso County employment in 2007 to almost 6
percent in 2027. Numbers reported by Fort Bliss are different: Troop population of
about 17,000 now and an expected troop population of about 37,000 by 2012. Retail
sales are projected to grow from an estimated $8.3 billion last year to almost $22
billion in 2027. The Juárez maquiladora industry is projected to remain strong in the
next 20 years, with employment growing from an estimated 254,000 last year to
almost 471,000 in 2027, the forecast shows. Juárez's population is projected to grow
from an estimated 1.4 million last year to more than 2.3 million in 2027.
Table 6.3: El Paso MSA Long-Term Economic/Demographic Projections
2010
2015
2020
2025
2030
782.6
845.7
914.5
986.8
1,063.7
Personal Income (Billions)
$23.0
$30.9
$41.0
$54.0
$71.0
Total Jobs (000s)
390.7
432.9
473.3
512.7
553.6
Jobless Rate
5.8%
5.8%
5.7%
5.5%
5.2%
$9.6
$12.3
$15.7
$20.0
$25.3
Population (000s)
Retail Sales (Billions)
Source: Border Region Modeling Project, TXP
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
44
Table 6.4: El Paso MSA Long-Term Construction/Real Estate Projections
Total Housing Starts (000s)
-Single-Family Starts (000s)
-Multi-Family Starts (000s)
Total Housing Stock (000s)
2010
2015
2020
2025
2030
4.3
4.8
5.5
6.1
6.7
4.0
4.2
4.7
5.2
5.7
0.3
0.5
0.7
0.9
1.0
260.2
280.0
300.9
323.7
348.2
Median New Home Price (000s)
$146.5
$172.1
$201.6
$235.2
$273.7
Total Nonresidential (Millions)
$470.7
$523.4
$619.1
$738.2
$885.1
Source: Border Region Modeling Project, TXP
2. Downtown Land Use Patterns
Over time, demand for any type of real estate is largely a function of demographics
and economics, as job growth and household formation create both the need for
space and the means to pay for it. According to UTEP’s Forecast, total El Paso
population will surpass a million over the next twenty years, while the local job base
will pass half a million during the same period. To support this population and
employment growth, the number of housing units, office, and commercial space in
the region must expand.
Indications of market demand (especially as evidenced by recent transactions),
conversations with local real estate professionals, and analysis of current centers of
activity and planned projects and infrastructure point toward
development/rehabilitation over the next ten years of office space, hotels, residential,
and retail/entertainment uses. Some of these categories are fungible; a given
storefront, for example, could easily be used as retail outlet, an office space, and
restaurant over time. From a financial perspective, what matters is the ultimate
appraised value, as opposed to specific use at any given point.
Table 6.5: Land Use Patterns of New Development in TIRZ#5
Commercial
(Sq Ft)
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
TOTAL
65,000
65,000
65,000
65,000
65,000
65,000
65,000
65,000
65,000
65,000
650,000
Residential
(Units)
100
100
100
100
100
100
100
100
100
100
1,000
Hotel
(Rooms)
310
Office
(Sq Ft)
200
25,000
75,000
125,000
125,000
50,000
510
400,000
Source: TXP
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
45
3. New Construction Cost/Value Assumptions
•
•
•
•
Commercial/Office is valued at $125 per sq ft;
Hotels are valued at $75,000/room;
Affordable Housing is assumed to be valued at $82,750 per unit;
Market Rate housing is assumed to be valued at $126,875 per unit.
Based on current announced market activity (see section that follows), experience in
prior studies, discussions with local industry experts, and trends in the construction
materials and labor markets, these costs are likely an accurate reflection of
underlying market conditions for new development in this area. For purposes of this
analysis, values are assumed to reflect full underlying development costs.1
Commercial/Office
A total of 400,000 sq ft of new/rehabilitated office space and 650,000 sq ft of
commercial space is expected to come online over the next ten years. This space is
expected to be valued $125/sq ft. (in today’s dollars).
Perhaps the clearest indication of the direction of downtown land use, at least in the
near term, is market demand. Recent activity in downtown has been brisk, and wellpublicized. The 400,000 sq ft estimate is based largely on recent sales, while the
cost per sq ft is based on current market costs. Similarly, an average of 65,000 sq ft
of commercial is projected to be developed annually in the zone over the next ten
years. Office workers, new residents, cross-border shoppers, and those drawn
downtown for cultural events and entertainment are likely to form the bulk of the
customer base. Cost per sq ft is set at the same level as for office.
1
This has not always been the case in El Paso, but most accounts suggest that there will be a greater effort to
mark appraised values to market in the future. According to one expert, “the assessed market values based on
the income valuation approach often result in values significantly lower that full development costs of
residential developments, and to a lesser extent, with commercial values. This is true in most taxing
jurisdictions throughout the country with assessed values often 70-80 percent of full development costs. This is
particularly true of residential developments. These developments are economically and financially feasible,
even if rental income does not cover full development costs, because of residential tax credits and taxable
losses, including depreciation, that help shelter other income of the investors. Investors are also looking for
future appreciation in value which would later be taxed at capital gain rates.” If values are not marked to
market, then the projected aggregate tax base value and attendant City revenues likely would be 70-80 percent
of what is presented here.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
46
Figure 6.1: Sales Tax Rebates to City of El Paso (calendar year in $millions)
$64.5
$60.7
$43.6
1999
$46.0
$46.9
$47.5
2000
2001
2002
$48.9
2003
$51.4
2004
$54.2
2005
2006
2007
Source: Texas State Comptroller’s Office, TXP
Supporting information collected by Texas A&M Real Estate Center
Two developers have their sights set on resurrecting a historic downtown block and
making it the “heart of El Paso” again. Paul Foster and Brent Harris own three
adjacent buildings in the area — the Plaza Hotel, the Mills Building and the Centre
Building. Their vision for the properties? A business, restaurant and retail district
called Mills Plaza District. Harris’ Plexxar Centre Ltd. purchased the six-story Centre
Building in November. The building was remodeled in 2001 as office space by its
previous owner, El Paso Electric. The vacant Plaza Hotel and Mills Building are both
owned by Mills Plaza Properties, a firm controlled by Foster, the billionaire CEO and
president of Western Refining. Demolition work has already begun on the 12-story
Mills Building, once the City’s tallest building. It will be renovated to include state-ofthe-art technology for business office space. The 19-story Plaza Hotel, which Foster
purchased last month, could be reconfigured as a boutique hotel, residential
building, office space, or a combination of the three. Mills Plaza Properties will also
build a parking garage on the site of the long-gone St. Regis Hotel.
El Paso Electric Co. purchased an office building located at 100 North Stanton in
downtown El Paso for approximately $15 million. The approximately 379,012 square
feet building includes a conference facility on the ground level, as well as basement
storage space. El Paso Electric Co. houses its headquarters in the 18-story building.
The property was acquired from Zurich Alternative Asset Management and RVI
Group.
Local retail broker Richard Amstater of RJL Real Estate Consultants believes this is
the most active market he has seen in the last 30 years. Bob Ayoub, president,
Mimco Inc., believes that many positive things are coming together for El Paso’s
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
47
retail market, including more soldiers at Ft. Bliss, improving maquilas and the new
medical school.
National retailers have tended to underestimate the value of Mexican shoppers,
especially the high-end retail client. Wealthy Mexicans often own homes on both
sides of the border. Surveys have shown that about 20 percent of Mexicans crossing
the border have a U.S. bank account. Mexican nationals often combine shopping
trips with the consumption of other forms of entertainment and services such as
banking or medical services. Astute Mexicans also know that some products are
sold in the U.S. market before being made available in Mexico.
Mexican retail customers have reported that they prefer to shop in the United States
for a variety of reasons including better selection, more consistent availability, lower
prices, more pleasant shopping atmosphere, better quality and superior customer
service. Lower-end customers may even resell what they buy on the U.S. side when
they return to Mexico. American retail chains with no stores in Mexico have become
extremely popular with Mexican shoppers. Examples include Abercrombie & Fitch,
American Eagle Outfitters and Victoria’s Secret. According to the Simon Property
Group, the average Mexican shopper spends twice as much per trip as an American
shopper. Of Mexican nationals entering Texas by car in 2004, 43 percent reported
remaining on the U.S. side one to seven nights before returning. About 98 percent of
Mexican pedestrians crossing by foot into Texas only stay for the day. About 85
percent of Mexicans crossing into Texas list shopping as one their reasons for
crossing. El Paso has been the least affected major Texas border city when swings
occur in the value of the Mexican peso, according to a Dallas Federal Reserve
study.
Hotels
A total of 510 new hotel rooms are expected to come online over the next ten years.
This space is valued at the equivalent of $75,000/room (in today’s dollars).
Projects announced and underway suggest that three separate hotels (200 rooms,
200 rooms, and 110 rooms) will open over the next several years. This new
capacity should help improve overall market performance, as they likely will fill a
niche that is under-served locally. New demand in the near-term for downtown
lodging should come from increased business travel attributable to growth in office
uses, as well leisure travel driven in part by growth in entertainment and heritage
tourism. Per room values are based on the appraised value of the recently opened
Hilton Garden Inn, a project that is near downtown that has a relatively low land
value (consistent with rehabilitation of existing hotels downtown).
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
48
Supporting information collected by Texas A&M Real Estate Center
More competition and fewer guests slowed El Paso's hotel industry last year after a
booming 2006. Revenues for 91 hotels in El Paso County with more than 8,500
rooms increased 1.6 percent to $36.5 million, according to data from the Texas
Comptroller. That's much different from 2006, when the industry's revenues
increased 15 to 17 percent, depending on the data source. Hotel occupancies, which
surged to almost 75 percent in 2006, declined to almost 69 percent in 2007,
according to Smith Travel Research, a Nashville-area company that tracks hotel
data nationwide. Smith Travel data had El Paso hotel revenues increasing 1.2
percent in 2007. While revenues were up citywide, many of El Paso's largest hotels
saw revenues decline last year. Smith Travel data show El Paso's room supply
increased 5 percent last year.
Some of El Paso's new hotels recorded healthy revenues last year. The Hilton
Garden Inn at UTEP had revenues of $4.26 million in its first year of operation. It
ranked tenth in revenues among El Paso hotels.
The former International Hotel Downtown is now gutted through its 17 floors.
Reconstruction of the hotel is has begun and is scheduled to open in Fall 2008. In
2004, the Jim Scherr family bought the long-vacant hotel for about $1 million in a
foreclosure sale. The building is being turned into a 210-room Hilton Double Tree
Hotel.
Residential
The mortgage crisis has had an impact in El Paso, as most indicators of residential
real estate are off peak levels. Nevertheless, the local housing market is faring far
better than many other parts of the nation – while sales are down, prices have
remained relatively stable after rising sharply in recent years.
Figure 6.2: Number of Homes Sold in El Paso (in 000s)
6.97
6.24
5.42
1999
5.43
5.11
5.06
2000
2001
2002
6.22
5.96
5.35
2003
2004
2005
2006
2007
Source: TX A&M Real Estate Center, TXP
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
49
Figure 6.3: Average Price of a Home Sold in El Paso (in $000s)
$151.3
$156.3
$127.3
$94.2
$98.2
1999
2000
$105.2
$107.9
2001
2002
$112.2
2003
$116.4
2004
2005
2006
2007
Source: TX A&M Real Estate Center, TXP
With projections of annual housing starts of approximately 4,000, the forecast of 100
new residential units in downtown El Paso each year over the next ten years might
appear overly conservative. However, new product that likely will be developed
(multi-family that is both owner and tenant-occupied) does not really exist currently,
suggesting that projections should err on the conservative side. The 875 sqf per unit
estimate represents a blended rate, as actual unit sizes will vary depending upon the
mix within specific projects. By the same token, the unit values encapsulate costs for
parking, common areas, etc.
El Paso is committed to a 30 percent affordable housing goal as part of the overall
development of downtown retail. According to the federal Department of Housing
and Urban Development (HUD), the qualifying annual income for a family of four in
El Paso is $34,700. Using HUD income data and experience elsewhere concerning
the likely mix of household sizes, an average unit value of $82,750 is estimated to
be affordable.
Market rate housing values are based on appraised per sq ft values from several
local projects that are somewhat similar, although clear comparables do not appear
to exist presently. Nevertheless, $145/sq ft appears to be a reasonable assumption.
Supporting Information from the El Paso Times
For 2007, construction permits for single-family homes declined 5.1 percent within
the El Paso City limits, and declined 39 percent in Horizon City, data from those
cities show. El Paso house prices continued to rise in 2007, but at a slower pace
from the previous two years. The median used-home sales price increased almost 4
percent last year to $129,900. That's below the double-digit percentage increases in
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
50
2005 and 2006. The toughest sale in the 2007 market was in the $200,000-plus
homes, which were hot sellers in 2006.
According to Tom Fullerton, an economics professor at the University of Texas at El
Paso, and co-author of "Borderplex Economic Outlook: 2007-2009," El Paso housing
prices are projected to continue to rise in the next two years, but at a much more
moderate pace than in the past three years. Median resale prices are projected to
increase at just over 3 percent a year in the next two years. That compares with
increases of 12 percent in 2005, 11.2 percent in 2006, and a projected 6.1 percent
this year to $125,093. El Paso housing starts, including multifamily projects, are
projected to go from a projected 4.3 percent decline this year to increases of 5.1
percent and 4.5 percent in the next two years.
Total housing starts are projected to be more than 4,000 a year through 2009. Mike
Santamaria, vice president of Mountain Vista Builders and president of the El Paso
Association of Builders, said housing starts were down this year because builders
have too many higher-end homes on the market, and they have to get rid of that
inventory before they can increase construction again. The troop growth at Fort Bliss
should boost housing demand in the next two years.
Table 6.6: Projected Values of New Development (No Inflation Factor)
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
TOTAL
Commercial
Residential
Hotel
$0
$17,500,000
$23,750,000
$23,750,000
$14,375,000
$8,125,000
$8,125,000
$8,125,000
$8,125,000
$8,125,000
$8,125,000
$131,250,000
$11,363,750
$11,363,750
$11,363,750
$11,363,750
$11,363,750
$11,363,750
$11,363,750
$11,363,750
$11,363,750
$11,363,750
$0
$113,637,500
$0
$23,250,000
$0
$15,000,000
$0
$0
$0
$0
$0
$0
$0
$38,250,000
Total
(No Inflation)
$11,363,750
$45,863,750
$28,863,750
$50,113,750
$35,113,750
$25,738,750
$19,488,750
$19,488,750
$19,488,750
$19,488,750
$8,125,000
$283,137,500
Total
(InflationAdjusted)
$11,363,750
$47,239,663
$30,621,552
$54,760,648
$39,520,835
$29,838,266
$23,270,587
$23,968,704
$24,687,765
$25,428,398
$10,919,321
$321,619,489
Source: TXP
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
51
4. Property Appreciation Assumptions
•
No specific development assumptions are made beyond the ten-year
horizon.
While new development obviously will occur, the horizon is too extended to
make credible forecasts of specific land use.
•
Longer-Term, the rate of property appreciation is assumed to be 3.0
percent per year.
This assumption applies to both existing properties and new development. This
is conservative in light of both current convention and historical trends – for
example, the Producer Price Index for New Construction grew at compound
annual rate of 2.9 percent from 1987-2007, while the average price of a home
sold in El Paso rose 4.2 percent on the same basis over the same period. The
City’s tax rate is held constant at 0.6711 percent.
5. Financial Forecast
Table 6.7: Projected TIRZ#5 Values (Near-Term)
Cumulative
New
Development
$11.36
2009
Base
Value
$256.03
Base +
Growth
$263.71
2010
$256.03
$271.62
$58.60
2011
$256.03
$279.77
$89.22
$368.99
2012
$256.03
$288.16
$143.99
$432.15
2013
$256.03
$296.81
$183.51
$480.31
2014
$256.03
$305.71
$213.34
$519.06
2015
$256.03
$314.88
$236.62
$551.50
2016
$256.03
$324.33
$260.58
$584.91
2017
$256.03
$334.06
$285.27
$619.33
2018
$256.03
$344.08
$310.70
$654.78
2019
$256.03
$354.40
$321.62
$674.43
(Millions)
Base+Growth+New
Development
$275.07
$330.22
Source: TXP
Table 6.8: Projected TIRZ Values (Longer-Term)
(Millions)
2020
Value
$694.66
2021
$715.50
2022
$736.96
2023
$759.07
2024
$781.84
2025
$805.30
2026
$829.46
2027
$854.34
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
52
(Millions)
2028
Value
$879.97
2029
$906.37
2030
$933.56
2031
$961.57
2032
$990.42
2033
$1,020.13
2034
$1,050.73
2035
$1,082.25
2036
$1,114.72
Source: TXP
Table 6.9: Projected Values & City Revenue
2008
Taxable
Increment
$79,017,147
City Tax Revenue
(100%
collection)
$516,772
City Tax
Revenue
(99% collection)
$511,604
City Tax
Revenue
(95% collection)
$490,934
2009
$98,061,769
$641,324
$634,911
$609,258
2010
$153,212,729
$1,002,011
$991,991
$951,911
2011
$191,982,918
$1,255,568
$1,243,013
$1,192,790
2012
$255,136,661
$1,668,594
$1,651,908
$1,585,164
2013
$303,302,385
$1,983,598
$1,963,762
$1,884,418
2014
$342,044,886
$2,236,974
$2,214,604
$2,125,125
2015
$374,486,835
$2,449,144
$2,424,652
$2,326,687
2016
$407,902,043
$2,667,679
$2,641,003
$2,534,295
2017
$442,319,706
$2,892,771
$2,863,843
$2,748,132
2018
$477,769,900
$3,124,615
$3,093,369
$2,968,384
2019
$497,413,354
$3,253,083
$3,220,553
$3,090,429
2020
$517,646,112
$3,385,406
$3,351,552
$3,216,135
2021
$538,485,853
$3,521,697
$3,486,481
$3,345,613
2022
$559,950,786
$3,662,078
$3,625,457
$3,478,974
2023
$582,059,666
$3,806,670
$3,768,604
$3,616,337
2024
$604,831,814
$3,955,600
$3,916,044
$3,757,820
2025
$628,287,125
$4,108,998
$4,067,908
$3,903,548
2026
$652,446,096
$4,266,997
$4,224,327
$4,053,648
2027
$677,329,836
$4,429,737
$4,385,440
$4,208,250
2028
$702,960,089
$4,597,359
$4,551,385
$4,367,491
2029
$729,359,248
$4,770,009
$4,722,309
$4,531,509
2030
$756,550,383
$4,947,840
$4,898,361
$4,700,448
2031
$784,557,252
$5,131,004
$5,079,694
$4,874,454
2032
$813,404,327
$5,319,664
$5,266,468
$5,053,681
2033
$843,116,814
$5,513,984
$5,458,844
$5,238,285
2034
$873,720,675
$5,714,133
$5,656,992
$5,428,427
2035
$905,242,653
$5,920,287
$5,861,084
$5,624,273
2036
$937,710,289
$6,132,625
$6,071,299
$5,825,994
TOTAL
$102,876,223
$101,847,461
$97,732,412
PV (6%)
$55,968,982
$55,409,292
$53,170,533
Source: TXP
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
53
Table 6.10: Projected Values With Example Coverage Ratios
2008
City Tax
Revenue
(99%
collection)
$516,772
Available for Debt
Service
(1.3 Coverage
Ratio)
$393,542
Available for
Debt Service
(1.35 Coverage
Ratio)
$378,966
Available for
Debt Service
(1.4 Coverage
Ratio)
$365,432
2009
$641,324
$488,393
$470,304
$453,508
2010
$1,002,011
$763,070
$734,808
$708,565
2011
$1,255,568
$956,164
$920,750
$887,866
2012
$1,668,594
$1,270,698
$1,223,635
$1,179,934
2013
$1,983,598
$1,510,586
$1,454,638
$1,402,687
2014
$2,236,974
$1,703,541
$1,640,447
$1,581,860
2015
$2,449,144
$1,865,117
$1,796,039
$1,731,895
2016
$2,667,679
$2,031,540
$1,956,298
$1,886,430
2017
$2,892,771
$2,202,956
$2,121,365
$2,045,602
2018
$3,124,615
$2,379,515
$2,291,384
$2,209,549
2019
$3,253,083
$2,477,348
$2,385,594
$2,300,395
2020
$3,385,406
$2,578,117
$2,482,631
$2,393,965
2021
$3,521,697
$2,681,908
$2,582,578
$2,490,343
2022
$3,662,078
$2,788,813
$2,685,524
$2,589,612
2023
$3,806,670
$2,898,926
$2,791,558
$2,691,860
2024
$3,955,600
$3,012,342
$2,900,773
$2,797,174
2025
$4,108,998
$3,129,160
$3,013,265
$2,905,648
2026
$4,266,997
$3,249,483
$3,129,131
$3,017,377
2027
$4,429,737
$3,373,415
$3,248,474
$3,132,457
2028
$4,597,359
$3,501,066
$3,371,397
$3,250,990
2029
$4,770,009
$3,632,546
$3,498,007
$3,373,078
2030
$4,947,840
$3,767,970
$3,628,416
$3,498,829
2031
$5,131,004
$3,907,457
$3,762,737
$3,628,353
2032
$5,319,664
$4,051,129
$3,901,087
$3,761,763
2033
$5,513,984
$4,199,111
$4,043,588
$3,899,174
2034
$5,714,133
$4,351,532
$4,190,364
$4,040,708
2035
$5,920,287
$4,508,526
$4,341,544
$4,186,489
2036
$6,132,625
$4,670,230
$4,497,259
$4,336,642
TOTAL
$102,876,223
$78,344,201
$75,442,564
$72,748,186
PV (6%)
$55,968,982
$35,440,243
$34,127,641
$32,908,797
Source: TXP
Supporting Information from the El Paso Times
The preliminary value of taxable property is up by $4 billion, almost 17 percent over
last year to $27.5 billion. This continues a double-digit march begun in 2004,
according to the latest figures from the El Paso Central Appraisal District (EPCAD).
The $4 billion increase in the City's tax base is nearly ten times that of 2003, a hike
of more than 50 percent.
According to EPCAD, the market value of the average home at the start of this year
was $131,792, up $22,960 or 21 percent from the same time last year. The net
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
54
taxable value of the average El Paso home was $111,554 compared with $102,220
last year and $90,536 the year before.
The CAD's chief appraiser, Jerry Griffin, said the total preliminary market value of
single-family homes in El Paso this year is $19.2 billion, which is 24.2 percent higher
than last year. Of that increase, 2.5 percent is from newly built homes. Griffin also
said the preliminary market value of commercial property in El Paso is $5.7 billion, a
23 percent increase over last year. Apartment owners are seeing similar increases.
Jeff Siegal, an area professional tax agent, notes that the Office of Federal Housing
Oversight has reported that El Paso had the sixth highest market value increase in
the nation for 2006 at 16.5 percent.
6. Conclusion
With its combination of current activity and an emphasis on mixed-use, urbanist
(including residential) land use and development, the market concept behind the
2015 Downtown Revitalization effort reflects market trends and conditions, and is
consistent with similar patterns elsewhere in Texas and across the nation.
Meanwhile, the overall projections of the local economy and aggregate local demand
for real estate validate estimates of the Project’s demand parameters. Unit values
are adjusted to reflect the full cost of development, and are combined with a
conservative assumption on inflation to generate the expected incremental tax base
values and attendant revenues to the City. As a result, TXP believes these
forecasts reflect a likely outcome of Project and TIF implementation.
That having been said, these projections are just that – forecasts based on the best
available current information related to market conditions. This is subject to change.
For example, the mix of land uses projected has evolved significantly since the initial
analysis was completed during Fall 2006, reflecting both the substantial commitment
of several large developers and further analysis of market trends and opportunities.
This momentum could accelerate, which would yield more rapid growth and greater
values than are projected. At the same time, an extended slowdown in development
as a result of sustained weakness in the national or Mexican economy, negative
changes in key drivers of El Paso (such significantly reduced activity at Fort Bliss),
or unforeseen issues with property owners within the TIRZ could materially reduce
the volume of construction put in place over the next 30 years.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
55
Chapter 7 – Economic Impact of New Development
1. Direct Effects
The new land uses outlined in Chapter 6 can be translated into jobs and economic
activity. While the financial forecast includes the impact of growth in both existing
values and new development, economic impact calculations should focus on only
the latter. Values in the tables that follow are based on standard ratios using El
Paso-specific data where possible.2 As shown, a total of $350.5 million in economic
activity and over 2,200 permanent jobs are expected once buildout is complete.
Table 7.1: Projected Annual New Direct Economic Activity ($2008 Millions)
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
TOTAL
Retail
$0
$19.5
$19.5
$19.5
$19.5
$19.5
$19.5
$19.5
$19.5
$19.5
$19.5
$195.0
Lodging
$0
$6.3
$0
$4.1
$0
$0
$0
$0
$0
$0
$0
$10.4
Office
$0
$10.1
$31.1
$52.0
$52.0
$0
$0
$0
$0
$0
$0
$145.2
Total
$0
$35.9
$50.6
$75.5
$71.5
$19.5
$19.5
$19.5
$19.5
$19.5
$19.5
$350.5
Source: TXP
Table 7.2: Projected Annual New Direct Employment
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
TOTAL
Retail
0
105
105
105
105
105
105
105
105
105
105
1,050
Lodging
0
100
0
65
0
0
0
0
0
0
0
165
Office
0
70
215
360
360
0
0
0
0
0
0
1,005
Total
0
275
320
530
465
105
105
105
105
105
105
2,220
Source: TXP
2. Economic Impact Methodology
2
Texas-level data was used to generate ratios when El Paso-specific data was unavailable.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
56
The economic impacts extend beyond the direct activity outlined above. In an inputoutput analysis of new economic activity, it is useful to distinguish three types of
expenditure effects: direct, indirect, and induced. Direct effects are production
changes associated with the immediate effects or final demand changes. The
payment made by an out-of-town visitor to a hotel operator is an example of a direct
effect, as would be the taxi fare that visitor paid to be transported into town from the
airport.
Indirect effects are production changes in backward-linked industries caused by the
changing input needs of directly affected industries – typically, additional purchases
to produce additional output. Satisfying the demand for an overnight stay will require
the hotel operator to purchase additional cleaning supplies and services, for
example, and the taxi driver will have to replace the gasoline consumed during the
trip from the airport. These downstream purchases affect the economic status of
other local merchants and workers.
Induced effects are the changes in regional household spending patterns caused by
changes in household income generated from the direct and indirect effects. Both
the hotel operator and taxi driver experience increased income from the visitor’s
stay, for example, as do the cleaning supplies outlet and the gas station proprietor.
Induced effects capture the way in which this increased income is in turn spent by
them in the local economy.
Figure 7.1 - The Flow of Economic Impacts
Direct
+
Indirect
+
Induced
=
Total Impact
Once the ripple effects have been calculated, the results can be expressed in a
number of ways. Four of the most common are “Output,” equivalent to sales;
“Value-Added,” which describes the difference between a firm’s top-line revenue and
its cost of goods sold (exclusive of labor-related costs); “Earnings,” which represents
the compensation to employees and proprietors; and “Employment,” which refers to
permanent, full-time jobs that have been created in the local economy. The
interdependence between different sectors of the economy is reflected in the
concept of a “multiplier.” An output multiplier, for example, divides the total (direct,
indirect and induced) effects of an initial spending injection by the value of that
injection – i.e., the direct effect. The higher the multiplier, the greater the
interdependence among different sectors of the economy. An output multiplier of
1.4, for example, means that for every $1,000 injected into the economy, another
$400 in output is produced in all sectors.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
57
3. Economic Impact
The impact of $350.5 million in direct activity at buildout (in 2018) translates into a
total economic impact of $435.5 million worth of output, $132.9 million in earnings,
and approximately 4,800 jobs. See the table that follows for detail by sector.
Table 7.3: Total Economic Impact of New Development ($2008 Millions)
Sector
Economic Activity
Earnings
Jobs
$22.01
$17.58
$63.11
$114.14
$218.62
$435.46
$3.83
$5.19
$9.08
$36.96
$77.79
$132.85
94
128
210
1,523
2,859
4,814
Commodities/Construction/Mfg
Transportation/Utilities
Finance/Real Estate/Information
Trade
Services/Management
TOTAL
Source: TXP
4. Additional Tax Revenue Impacts
In addition to the ad valoreum tax revenues projected in Chapter 6, there will
be additional local sales tax revenue attributable to the new development
expected downtown, projected at approximately $195,000 annually. In
addition, new economic activity creates tax revenue, as jobs and income
translate into taxable sales and increased property values. However, no
measurement of the tax implications of this activity is included.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
58
Appendix 1 - El Paso Public Infrastructure Assumptions
Table A 1. Cost Assumptions for Streetscape Elements
Streetscape Element
4" concrete sidewalk
4" caliper street tree
tree grate
Cost Per Unit
$4
$750
$1,000
irrigation installation
Specialty paving (Stamped and
stained concrete)
Ornamental pedestrian street light
Per sq.ft.
per tree
each
$350
per tree
$225
per sq. yard
$5,000
each
Public art
$10,000
each
Newspaper corrals
$10,000
each
trash receptacles
$1,100
each
benches
hanging baskets (2 per existing
pole)
$1,200
each
Double Banner brackets
$500
per pole
$100
per pole
Bike racks
$1,000
per block (one side)
Pedestrian Kiosk signs
$8,000
each
Wayfinding signs
$5,000
each
Curb and gutter
$16
per linear foot
Landscaping
$400
per linear foot
Brick pavers
$16
per Sq.ft.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
59
Table A2. Cost Estimates by Street Corridor
Primary Pedestrian Streets
San Jacinto
Plaza
Street Name
Number of Blocks
Magoffin
Texas
San Antonio
Secondary Pedestrian Streets
All other
streets
El Paso
Total
San Antonio
Santa Fe
Missouri
All other
streets
Stanton
Total
6
3
8
4
5
4
30
3
6
5
4
2
20
123,200
104,000
185,600
140,000
150,800
112,800
816,400
50,100
111,600
95,400
67,200
48,000
0
372,300
49,280
41,600
74,240
56,000
60,320
45,120
326,560
26,720
59,520
50,880
35,840
25,600
198,560
1,470,150
735,075
1,960,200
980,100
1,225,125
980,100
7,350,750
161,700
136,500
243,600
183,750
197,925
148,050
1,071,525
87,675
195,300
166,950
117,600
84,000
651,525
367,660
278,700
537,947
374,583
414,082
313,723
2,286,695
132,575
288,900
245,750
177,600
118,800
963,625
35,200
17,600
46,933
23,467
29,333
23,467
176,000
0
0
0
0
0
0
$ 2,207,190
$ 1,313,475
$ 3,048,520
$ 1,757,900
$ 2,077,585
$ 1,623,260
$ 12,027,930
$ 297,070
$ 655,320
$ 558,980
$ 398,240
$ 276,400
$ 2,186,010
Sidewalks
Concrete
Curb and gutter
Intersection treatment
(stamped conc. Pavers)
Landscaping
Street Trees (incl.
grates)
Other landscaping
Street Furniture
Other (public art, bike racks)
Total
Table A3. Cost Estimates by Block
Block
#
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
Sidewalks
Street Segment
San Antonio
San Antonio
San Antonio
San Antonio
El Paso
El Paso
El Paso
El Paso
El Paso
Oregon
Oregon
Main
Mills
Mesa
Mesa
Texas
Texas
From Street
Durango
Santa Fe
Stanton
Kansas
San Antonio
Overland
San Antonio
Sheldon
Main
Main
Mills
Oregon
Oregon
Main
Mills
Oregon
Mesa
To Street
Santa Fe
El Paso
Kansas
Campbell
Overland
Paisano
Sheldon
Main
Franklin
Mills
Texas
Mesa
Mesa
Mills
Texas
Mesa
Stanton
Linkage Type
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
Concrete
$ 68,000
$ 24,000
$ 24,000
$ 24,000
$ 20,000
$ 44,000
$ 22,400
$ 42,000
$ 22,400
$ 20,000
$ 22,400
$ 20,000
$ 18,400
$ 20,000
$ 22,400
$ 22,400
$ 22,400
60
Curb &
Gutter
$ 27,200
$ 9,600
$ 9,600
$ 9,600
$ 8,000
$ 17,600
$ 8,960
$ 16,800
$ 8,960
$ 8,000
$ 8,960
$ 8,000
$ 7,360
$ 8,000
$ 8,960
$ 8,960
$ 8,960
Intersection
Treatment
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
Landscaping
Street Trees (incl.
irrigation)
$ 46,750
$ 16,500
$ 16,500
$ 16,500
$ 13,750
$ 30,250
$ 15,400
$ 28,875
$ 15,400
$ 13,750
$ 15,400
$ 13,750
$ 12,650
$ 13,750
$ 15,400
$ 15,400
$ 15,400
Tree Grates
$42,500
$15,000
$15,000
$15,000
$12,500
$27,500
$14,000
$26,250
$14,000
$12,500
$14,000
$12,500
$11,500
$12,500
$14,000
$14,000
$14,000
Street
Furniture
$167,483
$69,033
$69,033
$69,033
$60,083
$113,783
$65,453
$109,308
$65,453
$60,083
$65,453
$60,083
$56,503
$60,083
$65,453
$65,453
$65,453
Other Amenities
(Public Art
avg/block)
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
Total
$602,825
$385,025
$385,025
$385,025
$365,225
$484,025
$377,105
$474,125
$377,105
$365,225
$377,105
$365,225
$357,305
$365,225
$377,105
$377,105
$377,105
Block
#
18
19
20
21
22
23
24
25
26
27
28
29
30
Sidewalks
Street Segment
Texas
Texas
Texas
Texas
Texas
Texas
Magoffin
Magoffin
Magoffin
Campbell
Campbell
Stanton
Durango
From Street
Stanton
Kansas
Campbell
Florence
Ochoa
Virginia
Campbell
Ochoa
Virginia
Texas
Myrtle
Texas
Union Depot
To Street
Kansas
Campbell
Florence
Ochoa
Virginia
Saint Vrain
Ochoa
Virginia
Saint Vrain
Myrtle
Magoffin
San Antonio
San Antonio
Linkage Type
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Primary Pedestrian Street
Total for all Primary Pedestrian Streets
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
San Antonio
San Antonio
San Antonio
Santa Fe
Santa Fe
Santa Fe
Santa Fe
Santa Fe
Santa Fe
Missouri
Missouri
Missouri
Missouri
Missouri
Stanton
Stanton
Stanton
Stanton
Durango
El Paso
El Paso
Oregon
Mesa
San Antonio
Sheldon
Main
Franklin
San Antonio
Overland
Durango
Santa Fe
El Paso
Oregon
Mesa
Missouri
Franklin
Main
Mills
San Francisco
Franklin
Oregon
Mesa
Stanton
Sheldon
Main
Franklin
Missouri
Overland
Paisano
Santa Fe
El Paso
Oregon
Mesa
Stanton
Franklin
Main
Mills
Texas
Missouri
Missouri
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Secondary Pedestrian Street
Total for all Secondary Pedestrian Streets
Implementation of the El Paso Downtown 2015 Plan – Phase Two | July 30, 2008 |
Concrete
$ 24,000
$ 22,400
$ 22,400
$ 24,000
$ 24,000
$ 24,000
$ 56,000
$ 24,000
$ 24,000
$ 24,000
$ 21,600
$ 25,600
$ 41,600
Curb &
Gutter
$ 9,600
$ 8,960
$ 8,960
$ 9,600
$ 9,600
$ 9,600
$ 22,400
$ 9,600
$ 9,600
$ 9,600
$ 8,640
$ 10,240
$ 16,640
$ 816,400
Intersection
Treatment
Landscaping
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
$245,025
Street Trees (incl.
irrigation)
$ 16,500
$ 15,400
$ 15,400
$ 16,500
$ 16,500
$ 16,500
$ 38,500
$ 16,500
$ 16,500
$ 16,500
$ 14,850
$ 17,600
$ 28,600
$ 326,560
$7,350,750
$ 16,800
$ 19,500
$ 13,800
$ 19,200
$ 12,000
$ 16,800
$ 16,800
$ 15,000
$ 31,800
$ 27,000
$ 16,800
$ 18,000
$ 16,800
$ 16,800
$ 16,800
$ 16,800
$ 16,800
$ 16,800
$ 31,200
$ 16,800
$ 8,960
$ 10,400
$ 7,360
$ 10,240
$ 6,400
$ 8,960
$ 8,960
$ 8,000
$ 16,960
$ 14,400
$ 8,960
$ 9,600
$ 8,960
$ 8,960
$ 8,960
$ 8,960
$ 8,960
$ 8,960
$ 16,640
$ 8,960
$372,300
$198,560
61
Tree Grates
Street
Furniture
Other Amenities
(Public Art
avg/block)
Total
$15,000
$14,000
$14,000
$15,000
$15,000
$15,000
$35,000
$15,000
$15,000
$15,000
$13,500
$16,000
$26,000
$69,033
$65,453
$65,453
$69,033
$69,033
$69,033
$140,633
$69,033
$69,033
$69,033
$63,663
$72,613
$108,413
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$5,867
$385,025
$377,105
$377,105
$385,025
$385,025
$385,025
$543,425
$385,025
$385,025
$385,025
$373,145
$392,945
$472,145
$ 561,275
$510,250
$ 2,286,695
$176,000
$ 12,027,930
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$15,400
$17,875
$12,650
$17,600
$11,000
$15,400
$15,400
$13,750
$29,150
$24,750
$15,400
$16,500
$15,400
$15,400
$15,400
$15,400
$15,400
$15,400
$28,600
$15,400
$14,000
$16,250
$11,500
$16,000
$10,000
$14,000
$14,000
$12,500
$26,500
$22,500
$14,000
$15,000
$14,000
$14,000
$14,000
$14,000
$14,000
$14,000
$26,000
$14,000
$44,400
$50,025
$38,150
$49,400
$34,400
$44,400
$44,400
$40,650
$75,650
$65,650
$44,400
$46,900
$44,400
$44,400
$44,400
$44,400
$44,400
$44,400
$74,400
$44,400
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$99,560
$114,050
$83,460
$112,440
$73,800
$99,560
$99,560
$89,900
$180,060
$154,300
$99,560
$106,000
$99,560
$99,560
$99,560
$99,560
$99,560
$99,560
$176,840
$99,560
0
$341,275
$310,250
$963,625
0
$2,186,010
Appendix 2: Downtown Management Structure – Comparison Chart
Type of
organization
Relationship to local
government
Sources of
Funds
Use of Funds
Major responsibilities
El Paso Central
Business
Association
501 (c) (6)
Corporation
El Paso Central
Business
Foundation
501 (c) (3)
Contracted to manage
sidewalk sales program;
coordinates businesses,
property owners & public
on downtown issues.
Works with City Depts.
daily on variety of issues.
Stays involved in
improvement, bridge and
small business issues.
Membership
dues driven and
administrative
sharing
agreement with
Downtown
Management
District
Staff dedicated to issues,
representing downtown
businesses, etc., projects.
Coordinates meetings,
resources and acts as
liaison with City, County,
State and Federal on
downtown issues.
Continually working on improving the
downtown environment and business
conditions through; coordination with
proper entities, representation, promotion,
facilitation, education, organizing. To plan,
disseminate and develop information on
revitalization, and urban design.
Serving as conduit of information and
resource for community, government and
media.
City
El Paso, TX
El Paso Downtown
Management
District
Management
District,
Governmental
Entity. (Similar to
Business
Improvement
District)
Special District to
supplement but not replace
City services. Stand alone
governmental entity
established by Texas Local
Government Code 375.
Special
assessment of
property tax
within the
downtown area
Receive grants
from time to
time.
Cleaning downtown via
coordinated strategy to pick
up trash, remove graffiti.
Programs to address
security issues,
maintenance, of street
furniture and historical
markers, Ambassador
program and streetscape
services. Create programs
to assist property owners
and businesses within DMD
boundaries. To promote
downtown, educate public
on downtown, and address
Parking & Transportation
issues.
Work to provide a better environment by
actively addressing issues concerning;
Sanitation & Cleanliness,
Parking & Transportation,
Promotion & Education.
Create programs to address above
mentioned for the betterment of downtown
El Paso.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | May 28, 2008 | DRAFT
62
City
Portland, OR
Type of
organization
Relationship to local
government
Sources of
Funds
Redevelopment
Authority
The city’s urban renewal
agency created by
Portland voters in 1958.
The agency is a
department of the City and
its Executive Director
reports to the Portland
Development Commission,
governed by a fivemember board of
Commissioners
funded primarily
by federal and
other grants,
program income
earned on asset
management,
contracts for
services, tax
increment
financing, City
of Portland
General Fund
allocations &
private sector
donations &
lending
agreements
Use of Funds
Major responsibilities
Three major service areas:
housing, neighborhood
revitalization and business
retention, recruitment and
expansion
PDC’s role was to put in place the
appropriate infrastructure that would allow
private development to go forward.
Other: PDC’s Develop-ment Department
identifies emerging areas and makes them
available for investment. Development
Dept. brings together the public/ private
partners and financial resources needed for
revitalization projects & redevelopment of
underused or emerging areas.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | May 28, 2008 | DRAFT
63
City
Type of
organization
Relationship to local
government
Sources of
Funds
Business
Improvement
District
Non-profit organization
Special
assessment of
property tax
within the
downtown area
501 (c) (3)
corporation
The Downtown
Development Corporation
also serves as the agent
for Metro Louisville on
downtown projects and
initiatives involving the
public sector.
Use of Funds
Major responsibilities
-Downtown maintenance
- Security
- Research, marketing,
informational services
-promote , market and advance the
economic development business and
residential vitality of Downtown Louisville
-including providing security, maintenance,
ambassadorial and streetscape services
and programs to properties and businesses
within its boundaries.
- Additional activities will include
comprehensive research, marketing,
informational and advocacy services.
- Long-term planning and
implementation of
downtown projects
Brings the public and private sectors
together as partners in downtown
Louisville’s redevelopment and
revitalization.
-activities include long term planning, with
the DDC serving as the lead entity in the
development and implementation of the
Louisville Downtown Development Plan in
2002;
-the creation and administration of
financing mechanisms, such as the
nationally recognized Downtown Housing
Fund; and the initiation of pre-development
activities covering a variety of downtown
development projects.
Louisville, KY
Louisville
Downtown
Management
District
Louisville
Downtown
Development
Corporation
Implementation of the El Paso Downtown 2015 Plan – Phase Two | May 28, 2008 | DRAFT
64
Type of
organization
City
Relationship to local
government
Sources of
Funds
Use of Funds
Major responsibilities
Finance and implement a
comprehensive program of
streetscape improvements
including installing and
maintaining lighting, signs,
banners, trees and
landscape elements
Mission is to keep downtown safe, beautiful
and fun.
Outreach to attract
downtown office tenants.
Inform parents of education
opportunities in Center City.
Promote pedestrian friendly
cultural campus in Center
City.
Conducts research and urban planning.
Advocates for policies that enhance Center
City as a competitive location for business
and entrepreneurship
Philadelphia, PA:
Center City District
(CCD)
Special District to
Business
supplement but not replace
Improvement
District Authorized City services.
under the
Pennsylvania
Municipal
Authorities Act. In
1990 initially
authorized for
only 5 years but
now authorized
through 2025.
Central
Philadelphia
Development Corp
(CPDC)
*CCD &CPDC are
separate
companion
organizations that
share office space
and staff.
Non-profit
Mandatory
payments from
private property
owners
(assessments)
and voluntary
contributions
from tax exempt
properties.
Public / private partnership Dues from
member
shares office space and
companies and
staff with CCD
organizations
range from
$2,000 to
$15,000
annually based
upon size of
organization
and other
factors.
Implementation of the El Paso Downtown 2015 Plan – Phase Two | May 28, 2008 | DRAFT
65
City
Fort Worth, TX
Santa Monica,
CA
Type of
organization
Relationship to local
government
Downtown Fort
Worth,. Inc. a
501(c)(6) nonprofit and a
501(c)(3) nonprofit
501(c)(6) contracts with the
Fort Worth Improvement
District #1 (PID) and the
City of Fort Worth
Downtown TIRZ to
undertake PID’s
responsibilities for
maintenance,
beautification, wayfinding,
etc. as well as TIRZ’s
responsibilities of public
infrastructure programs
Business
Improvement
District; PBAD
Sources of
Funds
501(c)(6)
receives
membership
dues and
contract fees
from TIRZ
(increased
property values)
and PID
(assessments,
contract
revenues and
grants) to
501(c)(3) independent non- undertake the
profit for special initiatives responsibilities
of the TIRZ and
the PID
Board ½ appointed by City
Council, ½ appointed by
private sector, City
Manager breaks the tie
Use of Funds
Major responsibilities
501(c)(6):
Planning, advocacy,
communications, plus the
responsibilities of the PID
and TIRZ (see 4rd column)
Comprehensive management for
investment, operations and maintenance of
downtown
Other: DFW, Inc. also provides
subscription based information on
development activity and economic
indicators; also, facilitates numerous
committees such as the Downtown Urban
Design Committee and provides staff
support to the City Council appointed
Downtown Design Review Board
501(c)(3): Housing support,
special projects, Parades,
etc.
501(c)(3)
receives funding
through
sponsorships
and grants
Special
Maintenance
assessment on Ambassadors
tax rate;
Marketing
membership
Create a consistently clean, inviting and
attractive downtown; make Santa Monica's
"Living Room" comfortable and inclusive;
enhance property values, sales and
occupancies; help downtown Santa Monica
compete; Broaden ratepayer control and
accountability
Implementation of the El Paso Downtown 2015 Plan – Phase Two | May 28, 2008 | DRAFT
66