mill river economic development

8/3/2019 Mill River Economic Development

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New HavenMill River

Planning Initiative

Public Meeting #2November 29, 2011


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Agenda01 Overview: Study area, Goals of Study, Process & Timeline

02 Recap Previous Meeting : Previous Observations, Comment Card Summary

03 Summary of Key Findings

04 Emerging Themes and Concepts


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Study Area


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Mill River Planning InitiativeMap developed by Utile, Inc. Architecture + Planning / Data source: New Haven GIS

Study Area


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Goals of StudyThe Mill River District is a light industrial and mixed use district that

is home to businesses engaged in food processing and distribution,precision manufacturing, design and construction support, specialtybuilding supplies fabrication, and other diverse commercialenterprises.

These businesses employ approximately 3,000 people, many whom

reside in the city. With approximately 28% underutilized and vacantland, we know we can grow more jobs!

The city believes that these jobs andbusinesses are a key part of the

vibrancy and success of New Haven!This study is committed to building on the entrepreneurialbusinesses and people that are already working to make the MillRiver a great place to do business, and better integrate thesebusinesses better into adjacent residential populations

.


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Goals of Study

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Goals of Study

1. Preserve + protect, and grow existing businesses, while fosteringopportunities for future growth.

2. Consider needs of all community members, business and residents, andintegrate into the long-term plan.

3. Build on the districts diversity of food manufacturing and distribution,construction and design support, as well as precision manufacturing.

4. Enhance the distinctive role that the Mill River serves in the overalleconomic health of the city.

5. Identify future district improvements and infrastructure to lower barriers

to additional growth on underutilized parcels

6. Prepare design and development guidelines to enhance district characterand provide a framework to further integrate district to the City.

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Updated Process


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Observations from First Meeting

New Havens economy remained relatively stable during the recession due tomajor jobs gains in the areas of healthcare and education offsetting losses insectors like information and professional services

Most of the businesses in the Mill River are locally-owned entrepreneurialfamily companies

Much of Mill River lies within the coastal management zone presenting a rangeof issues from storm surge, flood plain and public access that may influencedevelopment patterns

Mill River provides a location to continue New Havens tradition inmanufacturing and an opportunity to build on some emerging strengths


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Comment Cards!


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Comment Cards

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Public Meeting #1 public comments

List two positive and two negative attributes of the MillRiver District.

- Positives: highway access, development sites and real estate opportunities,available labor pool, waterfront access, between two great neighborhoods,potential for added value, bus connectivity, mix of building types, jobs, power

plant possibilities

- Negatives: environmental issues, flood zone, safety, site control, desolatearea, coastal management zone, dirty, poor pedestrian connectivity, vacancy

and underutilization, traffic, hard to travel by bike or foot, waterfront,disconnected from Wooster Square and Downtown, crime, building condition


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Public Meeting Comments

List three ideas you have for the district. What most wouldyou like to see happen or changed?

Incentives to attract additional companies, environmental plan, amenities within

walking distance, walk to work district, reduce parking on East Street, improvepolicing, shuttle to train station, better lighting, more public transport, new

manufacturers, day AND night activity, ecological restoration, local food distribution

and production, local food value added production, clean up best sites thoseclosest to highway/rail and those near companies that want to expand, create

industrial research park, connect greenways, open docks at State Street,agriculture, bioremediation along buffer zones along river, restore empty buildings

and houses, historic preservation, apartments on Grand Avenue revamped,employment opportunities, energy plan for district, mixed-use development aroundand including English Station, better restaurant/entertainment, recreational boating

on the waterways, improved security, uninterrupted power, need to knock downsome bad buildings


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Land Use, Planning,Transportation + AccessEnvironmental Pressures and Public Realm

Economic + Market Conditions



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Mill River Map Suite


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Businesses are locatedhere because of theexcellent transportationinfrastructure. Any futureredevelopment effortshould leverage thisadvantage.

Transportation

Potentialconflict zones

in orange


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Appropriate safety,connectivity, andstreetscape improvementsfor the community willimprove the attractivenessof local amenities to helpattract new industrialbusinesses in the future.

Transportation

Potentialconflict zones

in orange


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Environmental Maps


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Present Day Mill River


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Open Space Typology


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Coastal Pressures

Coastal pressures of the district will shape its development.


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Zoning and Land Use

Mill River represents 24%of New Havens zoned

industrial land


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A very large percentage of people living in the nearby area work in New Haven

New Haven Labor Shed by Census Tract


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A very large percentage of people living in the nearby area work in New Haven

New Haven Labor Shed by Census Tract

Which underscores the importance of Grand Avenueas a functioning East-West Connector for the City


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New Havens manufacturing base isdominated by small manufacturers

According to federal and state statisticsNew Haven has 69 manufacturingbusinesses located within the cityboundaries

42% of New Havens manufacturing baseis made up of companies with less than10 employees

Source: County Business Patterns, 2010 (2008 data); NP analysis of zip code files

Manufacturing in New Haven


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Most of the manufacturing sector canbe organized into a series of majorindustrial groupings

Food

Manufacturing

Metal

Fabricaon

Material

Applicaon

Technologies

MachiningFittings / EngravingsAerospace partsAutomotive partsHardware

BakeriesMeat processingMiscellaneous food

Commercial printingFabric coatingMetal coating

The level of interaction appearsvery limited from a supplierrelationship perspective



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OEM

manufacturer

Tier1

Tier2

Tier3

Sub assemblies /Intermediate products

Final product

Components

Supplier Structure Role

The food business &

industrial arts business

Metal Fabricators-Cowles-Space-Craft

Example

Radiall

New Havens manufacturingbusinesses span the supply chain



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Ag Producers IntermediateProcessing

Grocery mfgWholesale/Distribution

End CustomerRetail/Rest/DTC/FoodServices

Little evidence of sourcing raw food oringredients from local or regional vendors

from the food mfgs

Several food manufacturers alsoprovide distribution withinapproximately 150 mile radius

New Haven Food Terminal is home toseveral wholesale businessesSize of food business supportsspecialized infrastructureNew businesses have utilized existinginfrastructure

New Haven has companies that participate infinished dessert novelties, packaged meats,

processed meats, ready to eat sauces

Linkage to endcustomer is in a typical vendor

model rather than exclusivesupplier relationship

Shellfish

The New Haven food industry represents a cluster that spans the value chain but the linkagebetween the companies is indirect and not interdependent

Food Industry in New Haven


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New Haven has a robust entrepreneurial creative industries segment

Creative Industry in New Haven


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New Haven is home to over 50 existingthriving businesses, which employ morethan 3,000 people.

Supporting these existing businesses,and learning more about their expansionneeds is a critical part of this study.

Phase II will look at specific opportunities

for businesses to expand, whilesimultaneously marketing underutilizedor vacant parcels for redevelopment.

The emerging identity for Mill River isdriven by the forces both existingbusinesses and infrastructure alreadyin place.

Current Businesses in theMill River


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New Haven is an economy in transition

with a number of economic opportunities that will

require space and land to meet the unique needs of

those business operations..

Mill River is an existing economic center forthe city, a source of employment for nearby

residents and presents one of the lastremaining places with large parcels of

underdeveloped land able to capture thecommercial and industrial economicopportunities emerging in the region.

Implications + Options for the Mill River


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Several what ifs were considered to better understand development economics and sitesuitability, but may not be practical or desirable. Examples include:

Housing unit developments between398 to 880 units were considered forthe district.

Site issues alone raise unit prices ofhousing by $41k per unit requiring abreak even price of $300k per unit apremium sales price in the New Havenmarket.

Would require relocation of someexisting businesses and extensivebuffering to minimize use conflicts.

Manufacturing footprints of 70,000 100,000 sfwere considered for the district.

Only one site is suitable for large scale

manufacturing because it sits outside of theflood zone, but it is occupied by housing.

Utilization of other sites will require extensivefill to raise land levels or other forms of floodplain management and still may not beinsurable.

Several Scenarios Tested

HousingLarge Scale Industry


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The planning analysis, economic assessment and what if scenarios lead us to thefollowing perspectives

High development costs due to needto manage flood zone/storm surge riskfor insurability/financing and potential

clean up costs for some brownfieldsites

An uncertain economic recovery,excess available capacity in industrial

real estate in the region leading to low

property costs and continued tightcredit markets

The scale of the sites, thetransportation infrastructure, existing

building stock / land uses and relative

lack of relocation options within NewHaven

Successful existing businesses usingthe local labor force, rise of industrial &

product entrepreneurs needing places

to work, businesses that attract on-site

customer visits, retail markets withopportunities for strengthening

Planning Parameters

Strategies for the Mill River


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Planning Parameters Implications

Jumpstarting developmentmay require substantial publicsubsidy to close the financing

gap

Focus on high cost sites first coulddrain available resources with

limited impact on existingbusinesses

Large industrial development isoutside of land capacity of thedistrict without major site assembly

and relocation

Residential real estate will likelyrequire high price points puttingpressure on industrial real estate

costs

Classic mixed use runs the risk ofsubstantial transportation and landuse conflict



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Planning Parameters Implications

Jumpstarting developmentmay require substantial publicsubsidy to close the financing

gap

Focus on high cost sites first coulddrain available resources with

limited impact on existingbusinesses

Strategy Considerations

Enhancing the existingeconomic foundations of thedistrict to build real estatevalues that close some of thefinancing gap

Large industrial development isoutside of land capacity of thedistrict without major site assembly

and relocation

Residential real estate will likelyrequire high price points puttingpressure on industrial real estate

costs

Classic mixed use runs the risk ofsubstantial transportation and landuse conflict

Leverage existing businesssuccesses and customervisits to build the districtrather than create conflictsthat impede their continuedsuccess

Mill River is a part of the landdevelopment portfolio forNew Haven and should haveuses that match itscharacteristics and not tryto force fit opportunities



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This combination leads us to the following concepts that seem practical andplausible for Mill River:

Programming Concepts for the Mill River

New HavenHome

ImprovementMarketplace

Grand Paint

S

Smaller Food BizIndustrial Arts

Small Batch ManufacturingNew Media / Creative

Selected Retail

Representative Opportunities for New Haven that are inspired by Mill River


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Mill RiverIndustrialVillage

New HavenHome


Grand Paint Boldwood Interiors/

New England Seating

S



Selected Retail



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Mill RiverIndustrialVillage

New HavenHome


New HavenMercantileFood Hub

S



Selected Retail



Grand Paint Boldwood Interiors/

New England SeatingPalmieri Foods


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The emerging redevelopmentvision is to set off a chain ofevents that will:

Enable redevelopment of themore complicated parcels

Reduce potential subsidiesrequired for siteimprovements

Enhance job creationopportunities accessible to

ALL New Haven residents.

An Integrated Vision Building on What Exists


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Concept #1: Home Improvement Marketplace

Pedestrian-friendly retail environment built around home improvement & interior design. Existing businesses represent 1.5 times the revenue and offer substantially moreproducts than a typical Home Depot.

Interim programming like cart / kiosk marketplaces for underutilized sites.


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More specifically, the home improvement marketplace provides an example ofwhat we hope to accomplish for the district

Concept #1: Home Improvement Marketplace


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Concept #2: Industrial Village

Small scale manufacturing & assembly Retail front ends supporting integrated consumer product manufacturing Live-work environment Designated manufacturing zones with buffer strategies Tech shop factory incubator training academy


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Concept #3: Mercantile Food Hub

Growing, processing, distributing and retailing food productsUrban greenhouses and potential interim usesLocal food market to address $154 million in unmet demand for grocery products


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A mutually reinforcing vision allows for any conceptto serve as the catalyst rather than picking a single

winner

Multiple themes will generate greater diversity of jobopportunities

Increased customer presence and activity drawsinvestor interest

A live-work environment supports theattractiveness for cottage industries and typical

live-work models utilize adaptive reuse ofexisting buildings in the district which improves

the physical environment

Mercantile Food Hub clearly contributes to theincreased programming and customer flow as wellas utilizes the draw of customers into the area for

the home improvement businesses

A food hub that better connects supply chain formanufacturers

A food hub increases the livability of the areaincreasing the viability of a live-work environment

HOME IMPROVEMENT MARKETPLACE INTERRELATIONSHIPS TO CONCEPTS

Not One Theme: Mutually Reinforcing Vision


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Testing development scenarios for the concepts to assess thepotential scale of the vision and its impact on the District

Finding the balance of using the waterfront as a public andaesthetic amenity while protecting its important maritime role, asrequired by the Citys coastal management program

Envisioning the new environment with graphic representations ofpedestrian approaches, alternative programming models, andbuilding types

Recommending a set of enabling tools, policies and practices toallow versions of the concepts to emerge as they are ready and asthe market takes hold

Phase II Scope


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Phase II: Sites for FurtherReview


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Discussion+

Questions

Thank you!

mill river economic development

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