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HomeMy WebLinkAboutItem 05 Strategic Plan progress report memo and attachmentsCity of Lakeville Community & Economic Development Memorandum To: Economic Development Commission From: Kati Bachmayer, Economic Development Specialist Copy: Justin Miller, City Administrator David Olson, Community and Economic Development Director Date: June 25, 2019 Subject: Progress Report on 2017-19 Economic Development Strategic Plan The EDC and City Council approved the 2017-19 Economic Development Strategic Plan in January 2017. The Strategic Plan identified the following Strategic Priorities for Economic Development for 2017-19: • Business Retention and Expansion • Maintain a Competitive Edge • Housing to Support Economic Goals • Workforce The attached summary page of the 2017-19 Plan also lists Desired Outcomes, Key Outcome Indicators (KOI), and Strategic Initiatives. Staff has prepared the attached 2018 Progress Report on the Strategic Plan that lists the specific projects or initiatives that were completed or begun through June 2019 that are consistent with the Plan. Significant progress has been made for most or all of the Strategic Priorities and conclusive data on Targets and Key Outcome Indicators can be determined at the end of the three-year plan (2019). This report is provided as an update to the EDC members on the Strategic Plan progress. EDC members will be updating the Economic Development Strategic Plan in the Fall of 2019 to set priorities for 2020-2022. No action needed, but recommendations and feedback for the remainder of 2019 are welcome. PROGRESS REPORT ON 2017-2019 ECONOMIC DEVELOPMENT STRATEGIC PLAN Business Retention & Expansion Maintain a Competitive Advantage Housing to Support Economic Goals Workforce HOBO, Inc. (expansion), Buddy’s Kitchen (expansion), Schneiderman’s Distribution Center (new), QA1 Precision Products Inc. (new), Launch Park I (Menasha expansion), Bass Flexible Packaging (addition), Hy-Vee area: Dunn Brothers Coffee, Freddy’s Frozen Custard & Steakburgers, Pilot Knob Dental, River’s Edge Dental, Exuberance Chiropractic, Minnesota Orthodontics, Club Pilates, Genisys Credit Union, Wings Financial Credit Union, Valvoline Instant Oil Change Avonlea 4th Addition - 60 attached townhome units Under construction Workforce Development Panel Discussion (Manufacturers Week) Hy-Vee Fast & Fresh Convenience Store, Lakeville Liquor sale/leaseback (addition of 2 retail spaces) Caribou Coffee & Einstein Bros Bagels, Cream of the Cakes, Mi Pueblo Mexican Restaurant, MedExpress Urgent Care, Christian Brothers Automotive Lakeside Flats apartments (market- rate) – 120 units Complete (98% leased) Lakeville Works partnership with the Chamber Northland Collision Center (expansion), Motoprimo Motorsports (expansion) I-35/CSAH 46 area: YMCA Early Childhood Center (1st standalone in MN), Power Plate Meals, Waffle Bar Spero Senior Living (market-rate senior apartments) – 55 units Under construction Dunwoody tour of Lakeville with community leaders Juniper Commons: ISD 194 District Office, Mi5 Fitness Downtown: Board & Brush, Escape MSP, Reina’s Boutique, The Bonus Room, Property Geeks, Alibi Drinkery, B-52 Burgers and Brew, Hypointe Childcare, EXIT Realty Beehive Homes (senior memory care) – 20 units Under construction Workforce Development snapshot video White Funeral Home (addition), McDonald Eye Care (new building), Lakeville Dental Dodd/CSAH 50 Area: Advanced Oral Surgery, O’Reilly Auto Parts, Wag N’ Wash, Rainbow Child Care Edison at Avonlea apartments (market rate) – 146 units Complete (94% leased) Dakota-Scott County Workforce Summit Cosmopolitan Orthodontics (second location), Exuberance Chiropractic (second location) Data Center Certification process (Deloitte/Great River Energy) Edison at Spirit apartments (market rate) – 160 units Under construction Business Subsidy Policy updated to provide preference to companies offering higher paying jobs Board & Batten (expansion), Super Target (refresh), Total Hockey (relocation) I-35/Kenwood Tr Area: AT&T, Bank of America, Chipotle Mexican Grill, Viverant Downtown Development Guide overlay district Employment numbers up to 17,427 (DEED QCEW Q4 2018) Spotlight on Business videos (Interstate PowerSystems, FedEx Freight, HOBO Inc.) Minnesota Marketing Partnership, Open to Business program and bankers meeting Support senior housing through coordination of Lakeville LOOP senior circulator bus PIPELINE Program meeting (DEED) The Hair Studio (new, expanded location), Miller- Hartwig Insurance (expansion) DEED magazine ad (7,500 copies distributed to site selectors), Focus on Business magazine, Expansion Solutions magazine #1 in Twin Cities Metro residential permits from 2012-2018 MNTRN workforce seminar Lakeview Bank (addition), Gander Outdoors, Emagine Lakeville Theater (remodel), Schneiderman’s Furniture (new) Thrive! Newsletters & Economic Development Snapshot videos Argonne Hills apartments (senior affordable) – 62 units Completed & occupied 2017 record year for building permit valuation ($270M) MN Real Estate Journal summit (sponsor & speaker), MNCAR Expo sponsor Lakeville Pointe apartments (affordable workforce) – 49 units Completed & occupied Park Nicollet HealthPartners Clinic (new) Industrial Park: Agape Mechanical, Buddy’s Kitchen, Consulting Engineers Group (CEG), Globus Transport, Sherwin Williams, Proposed 150,000 SF spec building in Interstate South Logistics Park The Moments (senior memory care) – 32 units Completed & partially occupied I-35/CSAH 70 Area: Compeer Financial Services, Hampton Inn & Suites, ALDI New high and medium- density housing areas in 2018 Comp Plan Near Target/I-35: HomeGoods, Northern Taphouse, Panera Identified additional high-density and medium/high-density areas through Downtown Development Guide new proposed Overlay District Interactive Development Map on lakevillemn.gov The Moments Memory Care – Phase II (adding 60 units) Lakeville EDC- Strategic Plan Summary 2017-2019 Strategic Priority Desired Outcome Key Outcome Indicator (KOI) Target Strategic Initiatives Business Retention and Expansion Limit loss of existing business -Lakeville business inventory -Bldg. permits No net loss over three years -Update and monitor current business database with info on expansions and job growth -Communicate to existing businesses the benefits of expanding in Lakeville -Implement a system to follow-up with businesses that choose to expand in Lakeville or elsewhere to determine factors that impacted location decisions --Periodically report to EDC and City Council on information received Lakeville is the first choice for expansion -Business expansion & relocation lists >75% of current businesses expand rather than relocate Have a clear understanding of relocation and expansion decisions -Interview results -Expansion & relocation reports > 60% of all businesses report on relocation and expansion decisions -EDC and City Council understand relocation and expansion requirements Maintain a Competitive Edge Be the community of choice Competitive data on development decisions Track wins/conversion rate by year and improve % of wins each year ___ -Review 2012 City Business Marketing Plan and improve and expand as necessary - Continue review of regulatory processes and development fees -Review incentives guidelines-for measurable ROI’s -Communicate and publicize major commercial and industrial expansions and new construction projects Be the community of choice -Industry evaluations - Survey results Improve C/I Real Estate industry recognition, awareness and opinion of Lakeville Housing to Support Economic Goals Balanced housing options to support market demands Housing inventory 250 additional higher density units that address needs -Work with developers to identify scattered sites that are potential sites for higher density development -Work with developers to obtain the necessary approvals to allow construction to commence -Work with Planning staff and consultant to identify future sites and zoning districts to be guided for higher density development Housing developed in areas that stimulate/enhance commercial development Sites that leverage commercial development 2 sites developed Policy guidance in place to achieve a variety of housing in the city -Policies -Comprehensive plan New comp plan update w/ new provisions & zoning ordinance changes-by end of 2019 Workforce More quality jobs -DEED reports -Incentives reports 200 new jobs paying over $60k/yr. -Review current TIF and Tax Abatement policies to better correlate assistance levels to proposed wage levels -Initiate discussions with existing higher education providers -Pursue possible partnerships or collaborations with Chamber of Commerce, School Districts, and Higher Education Providers Improved access to specialized training & education -List of available providers A commitment for a higher education presence and/or availability for local businesses and residents