stone brewing company johnson city, tn east coast proposal

JOHNSON CITY/ Washington

county, TENNESSEE

Mitch Miller, CEO Washington County, TN

Economic Development Council 423.202.3510

[email protected]

Table of Contents

2

Why Should Stone Brewing Company Locate Here Page 3

Proposed Site Page 5

Area Description Page 12

Operational Requirements Page 33

Climate Averages Page 40

Biology/Quarry Report Page 42

Sustainability Page 45

Community Profile Page 48

Commercial Activity Page 56

Education Page 60

Labor Force Page 65

Healthcare Page 71

Housing Page 76

Incentives Page 80

WHY SHOULD

LOCATE HERE?

3

VIDEO – JOHNSON CITY, TN

4

http://www.youtube.com/watch?v=uP_fW7Rn18k



PROPOSED SITE

5

Looking across Legion St. from the site at the Johnson City Cardinals ballpark.

Looking onto the site from State of Franklin Road

PROPOSED SITE

116 Legion Street Johnson City, Tennessee 37601

Located in Washington County, Tennessee

Located in the heart of downtown Johnson City

6

Proposed

Site

Expansion

Parcels

7

Four buildings currently sit on the site.

Could incorporate buildings

into the design of brewery, or could demo and start fresh.

Demolition for the four buildings has been estimated at $130,000.

Current Zoning 5 Acres zoned B-3

(Commercial Business) 11 Acres zoned I-2

(Industrial)

Historical Use: Tobacco Warehouse

Current Use:

Abandon Buildings Warehouse Storage Vacant land

Existing Buildings

PROPOSED SITE

8

The Site yields great visibility and access to Interstate 26. A short line rail road track runs along the southern portion

of the site and switching services can be provided by CSX and Norfolk Southern to bring in materials by rail.

Also, It is positioned right in the middle of the major growth area of Downtown Johnson City. A new 10 mile

recreational trail (Tweetsie Trail) is being built 300 ft from the site and an existing trail network is located 0.4 Miles

away. This site could serve as a major linkage between the two trails connecting Johnson City Medical Center/East

Tennessee State University/Downtown Johnson City/Elizabethton, TN.

Directly across the street from the site is a Minor League ballpark home to the Johnson City Cardinals and a new

community center used for recreational and entertainment purposes.

SITE CHARACTERISTICS

9

SITE PHOTO

LOOKING ONTO THE SITE FROM STATE OF FRANKLIN RD & LEGION STREET INTERSECTION

BUFFALO MOUNTAIN IN THE BACKDROP

5 Acres of the site is Owned by the City of Johnson City with an additional 11 acres owned by a private

landowner but the Economic Development Council currently holds an option on the property. We have permission by the City to include their land as part of the project to locate Stone Brewing to Johnson City, TN.

RELATIONSHIP TO THE SITE

10

The 11 acre site is privately owned and has been for sale for a few years

TIF funds could be made available to purchase the site

The City would consider providing the land for this project

SAMPLE CONCEPTUAL

11

AREA DESCRIPTION DOWNTOWN

JOHNSON CITY

12

EVOLVE MILL CITY VIEW

Evolve Mill City View will begin construction in March of 2014.

Represents a $20 Million investment that will bring 216 new apartment units to Downtown.

14

FOUNDER’S PARK $2.8 million, 5-acre green-space and flood

mitigation project along State of Franklin Road One of the first projects in the city’s $30 million

flood mitigation plan.

15

TUPELO HONEY CAFE

$2 million investment New restaurant located in the old

CC&O railroad depot in downtown Johnson City

Opening August 2014

16

With a price tag of $1.6 Million, the Pavilion will become the new home of the Johnson City Farmers Market and numerous events to bring folks to Downtown.

Opportunities are currently being explored to identify a corporate sponsor to hold naming rights to the pavilion.

Construction is set to start in the Spring of 2014.

DOWNTOWN PAVILION

17

Known as one of the catalyst projects to spur redevelopment in Downtown Johnson City.

Tipton Street features unique downtown lofts and numerous dining & entertainment opportunities.

Businesses include One12 Downtown (Sushi), Tipton St Pub, Buffalo Street Downtown Deli, LIT Hookah Lounge, ETSU’s Tipton Art Gallery and Korean Taco.

TIPTON STREET REDEVELOPMENT

18

LONDON’S LOFTS AND MARKET

Scheduled for construction to begin spring/summer of 2014.

London’s Lofts will feature 40 residential units and Downtown Johnson City’s first natural meat market, which will include a craft beer brew barn.

19

NORTHEAST STATE COMMUNITY COLLEGE

Set for classes to begin in January of 2015, Northeast State Community College will bring over 500 more students into the heart of Downtown.

Rehabbing the former Washington County Courthouse, this $3.2 Million dollar project will be a driving force for redevelopment.

Within three years, Northeast State expects enrollment to top 1,000 students.

20

PAXTON PLACE/ RESIDENTIAL PROJECTS

Paxton Place features 26 new luxury apartment units in downtown Johnson City, completed January 2014.

$2 million investment, taking place of two long-vacant buildings at the corner of

E. State of Franklin Road and S. Roan Street.

The former Tennessee National Bank building on the corner of E. Main Street and Spring Street is soon to be converted into a mixed-use complex.

First floor will host a restaurant or retail store. Second and third floors will host 12

apartments and studio lofts.

Paxton Place

Bank Building

21

JOHNSON CITY CARDINALS

The Johnson City Cardinals are a rookie league baseball team affiliated with the St. Louis Cardinals organization.

They play with the Appalachian League, of which they are currently the two-time defending champions.

The Cardinals home field is located directly across Legion Street from the proposed site.

22

The $15 million, 67,000-square-foot recreation center is equipped with a 75-foot-long lap pool, splash pool and teaching pool.

Outdoors features tennis courts, an amphitheater, wrought iron fencing, a plaza honoring veterans with the famous Doughboy as its centerpiece, as well as concrete walkways and other amenities.

The center is located next to the home field of the Johnson City Cardinals and across the street from the proposed site.

MEMORIAL PARK COMMUNITY

CENTER

23

The Tweetsie Trail is a 10 mile biking, walking, hiking, running, (multi-purpose) trail, running from Alabama Street in downtown Johnson City to Sycamore Shoals in Elizabethton, that follows the old ET & WNC railroad line. Set to open by Labor Day 2014.

The trail is designed to run adjacent to the proposed site.

www.tweetsietrail.com

TWEETSIE TRAIL

24

Downtown Restaurants/ Local Atmosphere

Downtown Johnson City is known as place to find a local flavor for food.

With 16 local restaurants located in the core of Downtown you can find almost any cuisine from Korean to German to the best burger in the Tri-Cities TN/VA Region.

One12 Downtown

Scratch Pizza

One12 Downtown Sushi Bar

25

DOWNTOWN ENTERTAINMENT

The Down Home – Downtown Johnson City, TN

Downtown Johnson City, TN

Downtown Johnson City is on the upswing with venues for entertainment and festivals. The Memorial Park Community Center and the newly constructed Founders Park offer outdoor amphitheaters for events like the Blue Plum Festival and the Thirsty Orange festival, which bring thousands of folks to the downtown area.

Annabelle's Curse – Capones, Downtown Johnson City

26

LADY OF THE FOUNTAIN

The Lady of the Fountain project truly showed the passion of the citizens for the community.

Over $25,000 was generated in 8 weeks from public fundraising efforts to restore the Lady of the Fountain, a historic icon in downtown Johnson City, and turn her back into a fountain, as she historically was.

27

State of Franklin Corridor Projects

28

DOWNTOWN JOHNSON CITY

29

DOWNTOWN PROJECTS & IMPROVEMENTS

30

OPERATIONAL REQUIREMENTS

33

ELECTRIC

Minimum utility Requirements

A. Electric service

The Johnson City Power Board (JCPB) provides electricity in a 350 square mile region in and around Johnson City. JCPB purchases it

electricity from the Tennessee Valley Authority (TVA). JCPB takes delivery of electricity at 5 different locations and distributes the electricity

across 30 distribution substations and over 2,000 miles of line. JCPB is 99.99% reliable in regard to electricity delivery. JCPB serves over

76,000 customers that includes many business sectors and electrical load requirements. JCPB standard distribution voltage is 13,200 volts but

we can provide different voltage levels as needed. JCPB has three different breakers that we can use to switch load to and from the proposed

location for Project Brick in an emergency situation. JCPB has various rate option based on the customers demand (kW) usage and

capacity. For loads in excess of 1,000 kW, we have seasonal time of use rates available. For commercial loads less than 1,000 kW but greater

than 50 kW, we have seasonal electric rates (included with

II. Proposal Response). In addition to the base rates, JCPB passes through a total fuel cost adjustment from TVA that changes monthly to

reflect the variable cost of generation fuels. Recently the TVA total monthly fuel cost adjustment has been in the 2 cent range. A detailed rate

analysis may be performed if we have more specific usage details. Also, in conjunction with TVA, we have programs designed for

manufacturing customers. Below is a list of some of the programs:

TVA Valley Investment Initiative - possible credits for 5 years based on the customer’s electricity usage, capital investment, wages paid,

and jobs created. See attached flyer.

Small Manufacturing credit - Credit for manufacturers on their monthly bill for firm power loads between 1,001 and 5,000 kW.

TVA Valley Commitment Credit - $.002 cent per kWh credit for manufacturing customers above 1,001 kW

TVA Economic Development Loans - Low interest loans for manufacturing customers. The most current rate quoted was .6%.

Comprehensive Services - In conjunction with TVA, JCPB offers energy audits, infrared scans, air leaks, power quality audits, etc., to

major customers at no charge. JCPB and TVA pays for the cost of these services.

TVA Technical Services - TVA may be able to provide site evaluations and site development plans, along with photographic renderings

and 3-D modeling. All to assist you in locating your business in our area.

34

ELECTRIC RATES

Seasonal Rate Periods (applicable to all rates) Summer Billing Months are defined as June, July, August, and September. Winter Billing Months are defined as December, January, February, and March. Transition Billing Months are defined as April, May, October, and November. TVA Total Fuel Cost Adjustment In addition to the base rates listed in this schedule, the TVA Total Monthly Fuel Cost Adjustment (FCA) is applicable. TVA’s FCA is provided on a separate schedule as the rate changes each month. Johnson City Power Board will post the monthly TVA FCA schedule each month. Therefore, please apply the appropriate FCA rate when calculating bills. C General Power Rate – Schedule GSA2 (Rate Class 50) (For electrical usage levels of >50 kW & <1,000 kW, or <50 kW but > 15,000 kWh) Base Charge $ 87.96 per month Summer Demand Charge

First 50 kW $ 0.00 per kW Over 50 kW $ 13.33 per kW

Energy Charge

First 15,000 kWh $ 0.07942 per kWh Over 15,000 kWh $ 0.03982 per kWh

Winter Demand Charge


Energy Charge First 15,000 kWh $ 0.07651 per kWh Over 15,000 kWh $ 0.03697 per kWh

Transition Demand Charge


Energy Charge First 15,000 kWh $ 0.07470 per kWh Over 15,000 kWh $ 0.03573 per kWh

35

NATURAL GAS SERVICE & RATES

36

Request Response

Min 20,000 CFH (5 psi) Currently 2” line to site. Will require expansion of the distribution system – 2 month timeline to

complete (cost $43,000)

Maximum Service to Site Available Expansion would allow needed requirements needed to serve the site along with additional capacity

Character of Service Natural gas, with a heating value of approximately 1,000 Btu pel' cubic foot, supplied through a single delivery point and a single meter, at the delivery pressure of the distribution system in the area, or at such higher delivery pressure as agreed upon by Customer and Company. Service under this rate schedule may be terminated by either party following twelve (12) months notice to the other party. Customer Charge A monthly customer charge of $375.00 is payable regardless of the usage of gas, Monthly Rate All Consumption, per Ccf $.2036 Cost For Service – Rate Schedule

Large Comm/Ind 230

Total Unit Rate $ 0.7306

Base $ 0.2036

PGA $ 0.5270

Rider $ -

Facilities Charge $ 375.00

WATER/WASTEWATER

Item Request Response

Domestic Water Min 225,000 gal/day Available

Source Potable, odor free, clear Available

Hardness 75-300 ppm Range 29-71 ppm (46 ppm average)

Alkalinity 50-100 ppm Range 15-65 ppm (36 ppm average)

Chloride Less than or equal to 100 ppm 12 ppm

Maximum Service to site Greater than 1000 gallons per min

Wastewater Minimum of 100,000 gal/day Available

BOD Strength 5000 ppm Surcharges potentially apply for waste streams over 200 ppm. This

Item will need further discussion on whether a poundage based

limit might be developed.

Additional Building 80 gpm domestic Available

4” Sewer Line 8” sanitary sewer available at public r.o.w.

3000 grease interceptor Not provided by public utility service

Further discussions need to be held regarding an interim and long term discharge

strength. Our understanding is that most breweries in Asheville provide a certain

level of pretreatment. As mentioned previously that strength surcharge rates can

apply to anything over 200 ppm at a rate of $503.07/ton discharged.

37

WATER/WASTEWATER RATES

38

Request 20 day production month 30 day production month

Water @ 225,000 gpd $9947.00 $14,829.00

Wastewater Flow @ 100,000 gpd $10,385.00 $15,575.00

JOHNSON CITY REGIONAL WASTEWATER TREATMENT FACILITY

HYDROLOGIC SYSTEM & WATER QUALITY

39

The City of Johnson City has two water sources and surface water plants with a combined capacity

of 28 million gallons per day (MGD). Present demand is 16.1 MGD. Both facilities have stand-by

power to allow production during extreme weather events. One source is on a protected

watershed, the other source is the Watauga River which at the withdrawal point is classified as

Trophy Trout Stream. The prospective site in question can be supplied from either source in an

emergency event. Water production was expanded in 2000 in accordance with our water master

plan which projects and accounts for future growth. Main water customers are primarily

institutional and include East Tennessee State University, Veterans Administration, and Mountain

States Hospital. Our water system has an emergency operations plan to deal with most

emergencies within reason and expected probability.

CLIMATE AVERAGES

40

CLIMATE NORMALS & RECORDS

41

SOURCE

WWW.NWS.NOAA.GOV/CLIMATE/XMACIS.PHP

BIOLOGY/QUARRY REPORT

42

NATIVE VEGETATION

43

SOURCE

USFS PUBLICATION (ECOREGIONS OF THE U.S.)

OBTAINED BY DR. FOSTER LEVY, ETSU BIOLOGY DEPT

Southern Ridge and Valley:

Potential Natural Vegetation. K\"uchler mapped vegetation as oak-hickory-pine forest and southern mixed forest. The predominant vegetation form is needle-leaved,

evergreen trees with cold deciduous, broad-leaved forest. The principal cover type is oak-hickory, which includes southern red oak, white oak, post oak, red maple,

winged elm, flowering dogwood, pignut hickory, and loblolly pine. In some areas, loblolly and shortleaf pines are dominant.

Southern Blue Ridge (from Patillo 1998 in Castanea):

The contemporary vegetation of the southern Blue Ridge is complex and diverse (Figure 4). On the higher peaks (those generally above 1,500 m) a spruce-fir forest

(Picea rubens, Abies fraseri) is still evident, though over a relatively small area (Saunders 1980, White et al. 1993) compared to the area occupied within the past

hundred years. Below this is a mixture of hard-wood species usually described as high-elevation hardwoods with northern affinities (Fagus grandifolia, Betula

alleghaniensis, Acer saccharum, Tilia americana var. heterophylla, Aesculus flava, Quercus rubra). Interspersed within these two types are Grassy Balds (DeSelm and

Mur-dock 1993; Danthonia spicata, Carex spp., Deschampsia fle-xuosa) and Heath Balds (White et al. 1993; Rhododendron spp., Kalmia latifolia, Vaccinium spp.). The

Grassy Balds may have persisted up to historic times as a subset of the high elevation vegetation as a function of grazing, fire, or other disturbances. Heath Balds can

exist for long periods if there is adequate moisture but shallow soils that would preclude forest development (White et al. 1993). Some sites have successional with

American chestnut (Castanea dentata). Northern red oak forest is confined to the higher elevations, whereas white oak (Q. alba) Heath Balds that occur in sites

following fire, grazing, timber cutting, or other disturbances. At elevations below 1,500 m, deciduous oak forests dominate much of the region (Stephenson et al. 1993),

though formerly this dominance was shared and chestnut-oak forests (Q. montana) often occupy sites in the 1,200-1,400 m elevational range (White et al. 1993,

Schafale and Weakley 1990). Drier slopes, usually on southerly aspects, are occupied by mixed oaks and sometimes hickories on fertile soils (Q. alba, Q. montana, Q.

coccinea, Q. velutina and Carya tomentosa, C. glabra; Stephenson et al. 1993). Often drier ridges are often dominated by pines (Pittillo and Smathers 1979, Stephenson

et al. 1993), especially Pinus rigida, P. echinata, or P. pungens, though they are dependent to a large extent on periodic fire. In portions of the region, such as the

Highlands area, Pinus strobus is commonly associated with oaks and other hardwoods, though mostly as a post-disturbance species. Cove Hardwoods, the most species-

rich vegetation type, occupy the valley flats and lower slopes, extending into the narrow upper-valley ravines (Whittaker 1956, Clebsch 1989). Among these rich forests

are species such as Liriodendron tulipifera, Fraxinus americana, Tilia americana var. heterophylla, Fagus grandifolia, Carya cordiformis, Acer rubrum, A. saccharum,

Aesculus flava, Prunus serotina, Robinia pseudoacacia, Halesia tetraptera, Betula alleghaniensis, and B. lenta. Cove Hardwoods often grade into Hemlock (Tsuga

canadensis) forest that usually includes an admixture of hardwood species such as Magnolia fraseri, M. acuminata, Acer rub-rum, Betula spp., and in the higher plateau

areas, Pinus strobus (Schafale and Weakley 1990). Although dominant vegetation can give us clues to the historical vegetational patterns, it is the presence of relict

species that provides the most information on past vegetational distributions. At higher elevations, around grass balds and rock outcrops where light is abundant and

trees sparse, we find many relict species (Quarterman et al. 1993). Among them are the alpine tundra-type species such as Geum radiatum, Huperzia appalachiana,

Juncus trifidus, Trichophorum cespitosum, and Sibbaldiopsis tridentata (Wiser 1994, Wiser et al. 1996). These species have been able to survive since the last glacial

maximum because they could occupy special habitats such as cool but exposed cliff ledges from which the more dominant vegetational types did not have competitive

advantage.

QUARRY/MINERAL REPORT

44

SOURCE

TENNESSEE DEPARTMENT OF

ENVIRONMENT AND CONSERVATION

• Formerly American Limestone Company • Located 6 Miles from the Proposed Site • Serving Northeast Tennessee For Over 50 Years • Stone For Roads, Drain Fields, Masonry & Concrete Sand • State Approved Stone • In Business since 1954

WATAUGA ROCK QUARRY

SUSTAINABILITY

45

SUSTAINABILITY

46

SUSTAINABILITY

Washington County is the first county in northeast Tennessee recognized by TVA as

a Gold Sustainable Community in it’s Sustainable Valley Initiative program. The

gold level designation recognizes that a community has taken a leadership role in

implementing sustainable practices and has made a commitment to sustainability efforts

focused on economic development. Johnson City Started Tennessee’s First Curbside Recycling Program in the 1980’s

Franklin Woods Tennessee’s First LEED Certified Hospital

47

COMMUNITY

48

REGIONAL MAP—

CENTRALLY LOCATED Johnson City/Washington County is the core of the

Northeast Tennessee and Southwest Virginia region.

49

DEMOGRAPHICS— TRI-CITIES CSA

Johnson City.. ..is the 8th largest city in Tennessee (64,344 - 2013)

Largest City in the Johnson City/Kingsport/Bristol TN-VA CSA Washington County increased in population from 2000 through

2010 over 15,500 people Population Density (2010): 1470.7 people/square mile Housing Density (2010): 710.5 housing units/square mile Retail hub for the Tri-Cities Region (Over 600,000 Residents) Home to East Tennessee State University (16,000 + Students) Projected Growth for 2018

Johnson City - 66,542

51

TRANSPORTATION HIGHWAY SYSTEM Direct access from site to all points north, south, east, and west Site is adjacent to I-26 (East, West) Site is 15 miles away from I-81

(North, South) Distance to other major interstates: I-40: 55 miles I-77: 90 miles I-75: 90 miles I-85: 115 miles I-64: 155 miles

RAIL NETWORK Site is adjacent to rail access Over 275 trains run through

Washington County weekly Links to 22 states in the eastern US Access to Foreign Trade Zone #204 CSX Transportation and Norfolk

Southern Railway are primary service providers

Double stack trains East Tennessee Railway (ETRY),

located in Johnson City, is a 14-mile short line freight railroad that interchanges with CSX Transportation and Norfolk Southern

52

Located 16 miles away from proposed site Provides non-stop service to major hubs

such as Charlotte-Douglas International, Hartsfield-Jackson Atlanta International, Clearwater-St. Petersburg International, and Orlando Sanford

Allegiant, Delta, and US Airways Express airlines

The official administrator for Foreign Trade Zone #204

TRI-CITIES REGIONAL

AIRPORT

53

RECENT INDUSTRIAL/OFFICE ACTIVITY

$66,550,000 INVESTMENT 1,559 NEW JOBS

$30,000,000 Investment 65 New Jobs




$750,000 Investment 120 New Jobs






54

REGIONAL PROPERTY TAX RATES

$0.0000

$0.5000

$1.0000

$1.5000

$2.0000

$2.5000

$3.0000

$3.5000

$4.0000

$4.5000

$3.4839

$4.3007 $4.5207

JOHNSON CITY, TN KINGSPORT, TN

Commercial Property Tax Calculations (Includes County Rate) Personal and real property are taxed per $100 of the assessed value. Personal property is assessed at 30% of its appraised value and real estate at 40%.

BRISTOL, TN

Johnson City has the lowest property tax in the Tri-Cities region, making it an affordable and desirable place to live and do business.

23.6% higher than

Johnson City

29.9% higher than

Johnson City

55

COMMERCIAL

56

JOHNSON CITY RETAIL

Johnson City has the largest presence and highest concentration of retail in the entire region.

Continues to lead the region in retail sales every year.

The Mall at Johnson City has over 565,000 square feet of retail space.

The “Roan Street Corridor” has over 1.15 million square feet of retail space.

The “State of Franklin Corridor” has over 1.5 million square feet of retail space.

57

RETAIL SALES (2006 – 2012)

2006 2007 2008 2009 2010 2011 2012

Johnson City

1.747 B 1.855 B 1.848 B 1.760 B 1.792 B 1.888 B 1.910 B

Kingsport 1.398 B 1.408 B 1.445 B 1.350 B 1.380 B 1.456 B 1.491 B

Bristol TN/VA 1.018 B 1.119 B 1.071 B 982.8 M 972.8 M 1.015 B 1.088 B

58

NEW COMMERCIAL ACTIVITY

2nd Freestanding Johnson City location

2nd Freestanding Johnson City location

59

EDUCATION

60

EAST TENNESSEE STATE UNIVERSITY (ETSU)

Enrollment: 15,000+ Graduate &

Undergraduate students

Colleges & Schools: College of Pharmacy,

Education, Arts and Sciences, Business and

Technology, Clinical and Rehabilitative

Health Sciences, Nursing, Public Health,

Honors College, College of Medicine,

Continuing Studies & Graduate Studies

1.5 miles away from proposed site

08/09 09/10 10/11 11/12 12/13

Student Enrollment

13,841 14,677 15,234 15,532 15,404

61

UNIVERSITY EDGE & THOMAS STADIUM—ETSU

University Edge Apartments & New ETSU Baseball Stadium (Thomas Stadium) $28 Million Investment

Downtown TIF Project

62

PERFORMING ARTS CENTER—ETSU

Expected to be a driver of economic development for the region.

A $38 million project, with approximately $5 to $6 million currently raised from private donations.

Can receive funding from the state once private donations reach $9.5 million.

Center is expected to have a 1400-seat concert hall, a 500-seat theatre and a 250-seat recital hall.

63

Football stadium is an $18 million project with approximately $7.5 million to come from university fees, and $10.5 million to come from state and private funds.

First game to be held on

September 3, 2015 against Kennesaw State.

Location of the stadium is approximately 2.5 miles away from proposed site

FOOTBALL PROGRAM—ETSU

64

LABOR FORCE

65

INCOME—TRI-CITIES REGION

AVG. HOUSEHOLD INCOME (2000)

AVG. HOUSEHOLD INCOME (2010)

PERCENTAGE CHANGE (2000-2010)

JOHNSON CITY, TN $44,019 $56,619 28.6 %

Kingsport, TN $44,263 $53,965 21.9 %

Bristol, TN $42,721 $54,600 27.8 %

Bristol, VA $38,457 $46,957 22.1 %

Johnson City has the highest concentration of wealth, and the fastest growing household income in the Tri-Cities region.

Home in The Ridges subdivision Golf course at the

Johnson City Country Club

66

BACHELOR’S DEGREE (2012)

GRADUATE DEGREE (2012)

JOHNSON CITY, TN 9262 (21.8 %) 5914 (13.9%)

Kingsport, TN 5169 (15.0 %) 2660 (7.7 %)

Bristol, TN 2944 (15.5%) 1064 (5.6 %)

Bristol, VA 1772 (14.1 %) 768 (6.1 %)

EDUCATIONAL ATTAINMENT— TRI-CITIES REGION

Johnson City has the highest concentration of

people educated with both Bachelor’s degrees and Graduate degrees. This

could be largely due to the presence of East Tennessee

State University, and it’s Colleges of Medicine and

Pharmacy.

67

WASHINGTON TN

MEDIAN AGE BY COUNTY— TRI-CITIES REGION

Washington County has the youngest population out of all of the counties in the northeast Tennessee region.

68

TOP 10 EMPLOYERS IN WASHINGTON COUNTY, 2013

RANK EMPLOYER NUMBER

EMPLOYED

1 Mountain States Health

Alliance 8,995

2 East Tennessee State

University 2,350

3 VA Medical Center 2,188

4 Citi 1,700

5 Washington County

Schools 1,200

6 ACT 1,179

7 AO Smith 1,070

8 Frontier Health 998

9 Johnson City Schools 832

10 Mullican Flooring 420

69


EMPLOYED

1 MOUNTAIN STATES HEALTH ALLIANCE

8,995

2 Eastman Chemical

Company 6,728

3 Wellmont Health System 6,225

4 K-VA-T (Food City) 5,201

5 EAST TENNESSEE

STATE UNIVERSITY 2,350

6 VA MEDICAL CENTER 2,188

7 CITI 1,700

8 Sullivan County Schools 1,620

9 Hawkins County Schools 1,300

10 WASHINGTON COUNTY

SCHOOLS 1,200


EMPLOYED

11 ACT 1,179

12 AO SMITH 1,070

13 DTR Tennessee 1,000

14 FRONTIER HEALTH 998

15 Pal's Sudden Service 925

16 JOHNSON CITY

SCHOOLS 832

17 Laughlin Memorial Hospital 788

18 Nuclear Fuel Services 700

19 Bristol Compressors 656

20 Barette Outdoor Living 650

**Burgundy color indicates headquarters in Washington County

TOP 20 EMPLOYERS IN THE REGION 2013

Out of the top 20 employers in the region, with regard to number employed, 9 (45 %) of those employers have their headquarters in Washington County.

70

HEALTH CARE

71

HEALTHCARE— MOUNTAIN STATES HEALTH ALLIANCE

Johnson City Medical Center - Flagship Hospital

Niswonger Children’s Hospital

Services

The Regions Leading Level 1 Trauma

Center

Serves 5 States – TN, VA, WVA, NC,

KY

Offers Medical Surveillance Programs for

Businesses & Industry

Children’s Emergency Department &

Hospital located in Johnson City – Affiliate

of St Jude Children’s Hospital

72

HEALTHCARE—REGIONAL MEDICAL HUB

Johnson City Medical Center Franklin Woods Community Hospital

Niswonger Children’s Hospital

Med-Tech Park

Med-Tech Park – State of Franklin Rd Mountain Home VA Medical Center

73

3,514 Employees

Mountain State Health Alliance’s flagship facility

445-bed regional tertiary referral center

One of six Level 1 Trauma Centers in TN

East Tennessee’s leading Heart Hospital

Named as a Top 100 Heart Hospitals by Solucient

Leading Cancer Center in the region, with relationships with Harvard, Duke, and Vanderbilt Universities

The first, and one of two, Nurse Magnet hospitals in TN

JOHNSON CITY MEDICAL CENTER

74

FRANKLIN WOODS COMMUNITY HOSPITAL

Mountain States Health Alliance facility The first LEED-certified, “green”

hospital in the state of Tennessee A not-for-profit hospital with 80 beds,

offering a full array of primary care and some specialty services

240,000 +/- square foot building on a 25 acre lot adjacent to The Wellness Center inside Med Tech Park

75

HOUSING

76

TOTAL HOMES SOLD

HOUSING

$52.1 million is the total value of single-family housing permits pulled in Washington County/Johnson City/Jonesborough in the 12 months ended May 2013.

9.3% is the increase in Washington County in the average home sale price in 2013 compared to 2012.

AVERAGE SALE PRICE

77

REGIONAL HOUSING STATISTICS

HOMES LISTED AT $400,000 OR HIGHER

HOMES SOLD AT $400,000 OR HIGHER WITHIN THE LAST

YEAR

OF THOSE HOMES SOLD: LESS THAN 10 YEARS OLD

JOHNSON CITY 83 72 45

Kingsport, TN 29 18 5

Bristol TN/VA 16 4 1

DATA FROM NOVEMBER 2013

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Source: National Association of Home Builders,

http://www.nahb.org/reference_list.aspx?sectionID=2694

LMI tracks the recovery in housing markets, and is calculated using current levels of three components:

1. Employment

-Data from the Bureau of Labor Statistics

2. House Prices

-Data from Freddie Mac

3. Single-Family Building Permits

-Data from the U.S. Census

Rank* MSA Score**

7 Johnson City 1.33

54 Clarksville, TN 1.00

117 Asheville, NC 0.90

136 Knoxville, TN 0.89

137 Kingsport-Bristol, TN 0.88

145 Greenville, SC 0.87

161 Chattanooga, TN 0.86

--- U.S. 0.86

*Rank is out of 359

**A score above 1 indicates the market has advanced beyond the previous sustainable

level of economic activity.

Rankings as of January 7, 2014

NAHB/FIRST AMERICAN LEADING MARKETS INDEX (LMI)

The Johnson City MSA is currently ranked 7th out of 359 MSA’s in the nation, with a score of 1.33, indicating that the housing market is recovering extraordinarily well.

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http://www.nahb.org/reference_list.aspx?sectionID=2694

INCENTIVES

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LOCAL

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PILOT (payment-in-lieu-of-taxes) Program

Companies meeting the job creation and capital investment thresholds are eligible for

varying levels of property tax abatements. Unique projects allow for a strong abatement to

be negotiated between the prospect and Industrial Development Board.

Downtown Johnson City TIF District

The site is located in the Downtown Johnson City TIF District and would be eligible for TIF

funds to help:

• Acquire Property/Buildings

• Demo Existing Structures

• Enhance Infrastructure to and on the Site

• Create Public & Private Parking

• Assist With Other Public Improvements

• Example - Recreational Trail Extensions

Other Incentives

• Consideration of Stone Brewing Company as the preferred brewing partner to provide

beer at Johnson City Cardinal games.

• Extend the Tweetsie Trail & Millennium Trail to connect at the proposed site

• Other recreational/entertainment amenities would be considered in conjunction with

Stone Brewing Company

STATE OF TENNESSEE

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Employee training grants, Public infrastructure grants, Tax credits and sales and use tax exemptions.

Incentives are based on - Number of new jobs created - Amount of capital invested - Type of business

FEDERAL

TVA Valley Investment Initiative TVA can provide electricity bill credits to qualified power customers who make significant commitments to invest in the Tennessee Valley

TVA Economic Development Loan Funds TVA can provide loans with below-market interest rates to financially sound companies which are relocating or expanding their operations in the Tennessee Valley

US Economic Development Administration Eligible projects could receive up to a $1.5 million grant with a $1.5 million match

THANK YOU!

Mitch Miller, CEO Washington County, TN

Economic Development Council 423.202.3510

[email protected]

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stone brewing company johnson city, tn east coast proposal

Documents

city of johnson city

proposed site page

site photo

site characteristics

video johnson city

city view

johnson city washington

legion street johnson