Oakland Renaissance Incentive District 1
An Historic Development Neighborhood Rejuvenation Opportunity Enhancing Cultural Assets Institution and Business Growth Update 12-12-2017 2
Urban Decline: Perceived Negative Trends Sprawl takes new growth far from Urban Core Aging Infrastructure Obsolete Housing Stock 3
Urban Decline: Perceived Negative Trends Cause Downward Spiral Lower Overall Demand in Urban Center. Leads to Declining Property Value, Declining Investment, Middle Class Flight, Causes Eroding City Services Neighborhood Decline, Businesses Leave. Lower Confidence More Nuisance Properties, Fewer Jobs, Increase of Crime. 4
Urban Renaissance: Unique Assets Can Cause Recovery Spiral Unique Historic Neighborhoods- Human Scale-People friendly Lofts & Unique Living Spaces Growth of Smaller Households, Fewer Kids Cultural & Entertainment Assets 5
Urban Renaissance: Unique Assets Can Cause Recovery Spiral Increasing Demand in Historic Districts Leads to Increasing Property Value, Increasing Investment, Middle Class Return, Causes Improved Area Image Neighborhood Recovery, New Jobs, Business Investment Increasing Confidence Fewer Nuisance Properties, Decrease of Crime, Businesses Invest. 6
Historic District Housing Property Value Trends Dayton Historic Districts Recover Value. Lead County in appreciation. 7
Historic District Housing Property Value Trends Dayton Historic Districts Recover Value. Lead County in appreciation. Information from 2015-2016 city of Dayton PreservationTaskForceFinalReport 8
Historic District Housing Property Value Trends Cincinnati Over the Rhine Historic District Recovers Value. https://www.politico.com/magazine/story/2016/06/what-works-cincinnati-ohio-over-the-rhine-crime-neighborhood-turnaround-city-urban-revitalization-213969 9
New Development Areas: Oakland Incentive District TBD Build-able lots for re-development Re-development of Empty, or Derelict Parcels 10
Oakland Incentive District: An Integrated Strategy 1. Redevelopment of Cultural Assets, Carnegie Library, Middle-School 2. Blight Removal, land assembly for new business uses and new housing 3. Historic District Creation: Oakland Incentive District to spur investment and improvement to Neighborhoods 4. New Housing, to recover lost property values, support higher re-appraisals 5. DRD-District:, Interest buy-down, capture increases in valuations, creating a sustainable revolving fund, incentivizing continuing investments and improvements into the district 11
Oakland Recovery: Typical Current Market Value Profile Average 45,000 Empty lot 4,000 Restored 115,000 Boarded 5,000 Average 45,000 Restored 115,000 Average 45,000 Empty lot 4,000 Boarded s Reduce Average Adjacent Values by -7627* (up to 150 ) And by -3500 (300-400 ) *(Temple-U. Study 2001) Current Cumulative Market Value: 378,000 DRD Beginning Valuation: 0 12
Oakland Incentive District: DRDs Impact Average 52,627 New 185,000 Restored 122,627 Restored 122,627 Average 52,627 Restored 122,627 Average 52,627 New 185,000 New s Improve Values (Jane Reece Case Study, Restored Improves Existing Average Values by +7627 2005) New Cumulative Value Baseline: 378,000 DRD Improvements Valuation: 517,762 s Improve Values 13
Oakland Incentive District : Values at Re-appraisal Values Recovering Average 75,000 New 185,000 Restored 145,000 Restored 145,000 Average 75,000 Restored 145,000 Average 75,000 New 185,000 New s Sales Impact Drives Rise in Overall Appraisals (Jane Reece Case Study, 2005) (HD Housing Values 88-94 Study, 1995) Cumulative Value Baseline: DRD Improvements Valuation: TBD 378,000 (x.35)= TBD 652,000 (x.35)= 14
Oakland Incentive District DRD Impact Property Tax Revenue: Normal Pattern of Tax Revenue Growth. F Reappraisals E D C Tax Increase to City, County, Schools Normal Change in value of District DRD Beginning Baseline B A 1 Timeline 5 10 15 20 Tax baseline continues to City, County, & Schools 15
Oakland Incentive District Funding 20 Years of Improvements Property Tax Revenue: Renaissance Alliance Sparks Growth Saving Americas Cities Grants and Resources E jump-start improvements F Reappraisals DRD Beginning Baseline D C B A Grants Rising Tax Receipts in DRD District Fund Oakland Incentive Improvements Tax Increase to County, Schools Continue 1 5 10 15 20 Timeline Tax baseline plus average increases continues to City, County, & Schools 16
Oakland Incentive District DRD Funding Priorities 1. Property Acquisition for New Housing redevelopment 2. Property Acquisition for New Commercial redevelopment 3. Blight Removal 4. Renaissance Alliance Development Revolving Fund- DRD Incentives- Interest Buy-downs 5. Streetscape Improvements & Integrated Marketing in Development Area 17
Oakland Incentive District Funding 20 Years of Improvements Oakland Incentive District: (Potential Ranges) DRD Value Baseline.. 19,575,000 (TBD) Increase in Existing Valuations...282% +(Blight Removal) New DRD Development..TBD New DRD Cumulative Value...78,647,500 DRD Income Potential.. 10,047,000 Potential City Tax Revenue 1,205,000 18
Oakland Incentive District Proposed Next Steps 1. Agreement with City/School Board on time-frames 2. Agreement with City on DRD, National Register, Incentive District 3. Letter of Intent: Developers/Owners 4. Survey and Econ Impacts Study-Completion 5. Contract to Purchase 6. Purchase 7. Redevelopment Commencement 8. DRD Creation 19
Driving 20 Years of Neighborhood Improvements Oakland Renaissance District- Developers, Contacts: Dan Mazum, 513. 615.0699 Dan Barton, 937.781.9750 20