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PHOTO BY JOHN LARSON
SURVEY SAYS. Results from a new survey reveal a desire for more retail businesses in downtown.

Downtown survey results released

By John Larson

Tacoma Weekly
jlarson@tacomaweekly.com
Published on: April 10, 2008

Downtown residents still want a grocery store and business owners still have concerns about parking. These were two of the predictable results from a new downtown survey, along with much other information that points out the strengths of downtown as well as what could be done to improve it.

The city recently hired AngelouEconomics, a consulting firm based in Austin, Texas, to conduct surveys of businesses and residents on various issues affecting downtown. Tacoma City Council’s Economic Development Committee heard a report on the results during its April 8 meeting.

The presentation included some key statistics. Downtown has 43,482 employees, representing 38.2 percent of all workers in the city. Nearly half the jobs downtown are in the health services or government sectors. With 14,000 people employed, health services is by far the largest sector in downtown Tacoma.

Since 1995, total economic activity produced by employment downtown has grown by 139 percent to $4.8 billion. In that time frame, income and retail sales have more than doubled.

The information provided to the committee is based on a recent expanded definition of downtown now used by the city. This includes Stadium District on the north, Dome District to the south, Thea Foss Waterway to the east and a western boundary on Hilltop.

Katie Bullard, senior project manager for the firm, said there were a total of 742 responses. Of these, 123 were in the category for business owners or managers, with the remainder in the resident category.

Bullard said most businesses in the first category were small, with 57 percent having fewer than nine employees. These independent merchants provide much of the heart and soul of the economy in the urban core. “These are companies that are really invested in the economic health of downtown,” she said.

The survey was not limited to those who live or work downtown. Bullard said in the business category, 71 percent are located downtown. Of those, over half have been there less than five years. Three-fourths of them lease their space, and more than half wish to continue doing so. Most are located in low-rise buildings.

The top reasons they are downtown is to be near amenities there and the prestige of a downtown address, Bullard told committee members.

Respondents from businesses not downtown were asked reasons why. The top answers were parking, costs and the location not being conducive or advantageous for their particular type of business.

Asked whether they would consider moving downtown, half replied yes while 23 percent replied no. The remainder did not give direct answers, but listed concerns such as parking and the city’s business and occupation tax.

All business respondents were asked to list the strengths of the workforce. The top answers were education, labor costs and employee loyalty. Asked to list the weaknesses, the top answers were a lack of education, lack of skills and poor work ethic.

Bullard noted that concerns over parking and the cost of doing business “are two things that all downtowns struggle with, not just Tacoma.”

Residents were asked what they want to see downtown in the future. More retail, especially a grocery store, topped the list of their responses.

Mayor Bill Baarsma noted there have been numerous studies done on downtown, and asked how this will end up being any different.

Ryan Petty, director of the city’s Community and Economic Development Department, said this one will be provided to Tacoma Planning Commission for use in adjusting the comprehensive plan for downtown.

“We feel a strong need to ground that in economics,” Petty remarked.

Baarsma mentioned Executive Council for a Greater Tacoma, a group of powerful business leaders widely credited for much of the urban renewal downtown underwent in the 1990s and earlier in this decade through their support for Museum of Glass, the University of Washington-Tacoma and other major projects.

“With all due respect, it is not the driving force it once was,” Baarsma said of the executive council.

Councilmember Rick Talbert also noted there have been many downtown studies over the years. “You don’t change a 130-year-old city in five years,” he said. “This is now the next big step.”’

Talbert wants more Tacoma residents to be part of planning for downtown’s future. Talbert, who represents the East Side, said some of his constituents tell him they never go downtown.

He expressed optimism about the survey results.

“The labor costs are incredible. We have a lot to offer,” Talbert said. “I am bullish on Tacoma.”

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