5508 Incubator Exchange

Size: px

Start display at page:

Download "5508 Incubator Exchange"

Ariel Morris
5 years ago
Views:

CRED Tampa Bay 2014 5508 Incubator Exchange Business - Training - Entrepreneurial Program Developer/Owner: Coastal

1 CRED Tampa Bay Incubator Exchange Business - Training - Entrepreneurial Program Developer/Owner: Coastal Bay Properties, Inc. Non-Profit: Thap-Inc.org Project team: Derrick Blue Team Lead Michael Holmes Roberta Meade-Curry

Project Development Team The THAP GROUP Five Nonprofit Agencies--One Vision: "A Community where every individual is self-sufficient, has dignity, pride, and self respect.

2 Project Development Team The THAP GROUP Five Nonprofit Agencies--One Vision: "A Community where every individual is self-sufficient, has dignity, pride, and self respect. Tampa Hillsborough Action Plan, Inc. Jeannette Bradley, CEO Coastal Bay Properties, Inc. Derrick Blue, Executive Director Synergy Health Centers, Inc. Mimi Ghosh, Executive Director Oakhurst Square I Oakhurst Square II

3 Why 5508 Incubator Exchange?

5 Development Concept 5508 Incubator Exchange offers furnished professional work space and business assistance services to highly motivated entrepreneurs and freelancers in the Tampa Community -- with special emphasis on individuals who typically experience difficulty accessing mainstream resources and Veterans. A Phased Retrofit is located at 5508 N. 50 th Street in Tampa, Florida. The Project Scope involves 30,000 square feet of Existing Warehouse and Storage Space into a facility where East Tampa, Tampa Bay Region, as well as, Hillsborough County Residents can come and receive job-skill training and administrative, maintenance, general office support while starting or growing a small business. Included in this Phased Development will be a small Restaurant/Cafe and small Childcare Facility. Provide ongoing business support by a dedicated team of local professionals, partners, and organizations in addition to accessing an array of affordable business support resources, services and technology.

7 Existing Façade of Incubators Existing Shell 12 w x 24 d Single Incubator Existing Furnished Quad

8 10.02 QCT METROPOLITAN DDA Brownfield Zone Our S I T E Incentives: Enterprise Zone CRA District: East Tampa Overlay District: East Tampa Zoning District: CI Future Land Use: CC - 35

10 Site Development

12 Co-WORKING Space Membership $25/day 6 $140/month $155/month

13 5508 INCUBATORS BUSINESS INCUBATORS AVAILABLE NOW! QUAD Incubator Membership (6x12) 6 $175/month $190/month SINGLE Incubator Membership (12X24) 6 $350/month $375/month DOUBLE Incubator Membership (24x48) 6 $700/month $750/month

14 Market Research Community Need Market Analysis Market Demand Market Competition

Market Research 1 Community Need 2 Market Analysis 3 Market Demand Unemployment Underemployment High school drop out rate Low number of community owned businesses Low opportunity for business

15 Market Research 1 Community Need 2 Market Analysis 3 Market Demand Unemployment Underemployment High school drop out rate Low number of community owned businesses Low opportunity for business workshops/ training to residents/veterans Limited assistance to small businesses Need vehicle to combat deterioration and blight % of population below Poverty 42 % < H. S. Education 39 % Graduate / Professional Degree 3.4 % Median Income $ K Median age Single Parents 19 % Affordable office space Flexible worker needs flexible environment to work Assistance to increase credit worthiness opportunities High population of active duty returning to civilian life High population of active duty spouses Business Coaching from experienced mentors Job Creation, Job Readiness

16 Market Research - Competition Nationally/Globally Locally Incubator and Co-Working trend on the rise From one in 2005, to 781 by 2013, in the U.S., to 2,498 worldwide. Doubled annually between 2006 and Corporations including these environments as part of their business plans to increase productivity and creativity amongst their workforce Mobility of the worker, mobility of the technology continues to escalate 0 - Incubator and Co-Working spaces in East Tampa Downtown Tampa, West Tampa, Largo, Sarasota 1 - Daycare/Nursery children enrolled on average 5 miles nearest one 15 Educational Service Venues 57 Food Service Venues 42 Healthcare and Social Services Our Facility actively offers these services now

17 Feasibility..let s do the numbers..let s do the numbers..let s do the numbers Development Budget Funding Sources ProForma What s the bottom line?

18 Feasibility ACQUISITION SITE IMPROVEMENTS $ 150, $ 195, CONSTRUCTION PROFESSIONAL FEES $ 691, $ 131, PROPERTY TAXES RESERVES $ 155, CONTINGENCY 10% DEVELOPER FEE 3% $ 160, $ 48, DEVELOPMENT BUDGET $ 1,544, Development Budget Funding Sources ProForma What s the bottom line?

19 Feasibility DEVELOPMENT BUDGET EQUITY 1,544, $ 365, EXISTING LOAN ON PROPERTY 6.0 % 20 YRS NEW LOAN 6.0 % 20 YRS CRA FAÇADE IMPROVEMENT GRANT ENTERPRISE ZONE COMMUNITY CONTRIBUTION TAX CREDITS $ $ 216, ($ 50,000.00) ($ ) BROWNFIELD GRANT PROGRAM ($ 400,000.00) G A P 0 Development Budget Funding Sources ProForma What s the bottom line?

20 INCUBATOR RENTAL INCOME 82 UNITS $ 345, Feasibility CO-WORKING RENTAL INCOME 200 MEMBERSHI PS $ 366, COMMERCIAL LEASE INCOME - CAFE COMMERCIAL LEASE INCOME - NURSERY COMMERCIAL LEASE INCOME Trade Services in Bldgs. 3 & 4 $10.00/ SQ.FT. $ 25, $10.00/ SQ.FT. $ 6, $0.00/ SQ.FT. LESS VACANCY ASSUMPTION 12 % 1 ST YEAR FOLDED INTO INCUBATOR UNIT NUMBERS ($ 85,428.00) EGI - EFFECTIVE GROSS INCOME $ 602, Development Budget Funding Sources ProForma TOTAL OPERATING EXPENSES w/ TRANSFER TO RESERVES ($ 608,423.00) What s the bottom line? N O I $ 20,331.00

21 YEAR ONE YEAR TWO YEAR THREE Feasibility N O I $ 20, $ 51, $ 45, DEBT SERVICE $ 13, $ 13, $ 13, Development Budget NET CASH FLOW AFTER TAX $ 7, $ 38, $ 32, Funding Sources DCR DEBT COVERAGE RATIO ProForma What s the bottom line?

22 Management JULY AUG FALL COMMUNITY COLLABORATIONS Visit by CRA Director Visits by Local and State Politicians Continue to develop relationships with existing and potentially new partners PLANNING SCOPE Architect Firm Hired Begin Interviews for MEPS Team FUNDING SCOPE CRA Facade Grant application submitted CCTC application Prepped CCTC Resolution requested to be on City Council s Agenda July 31 PLANNING SCOPE Interviews with General Contractors Select MEPS Team Design Development Drawings FUNDING SCOPE CRA Facade Grant Award Granted CCTC Resolution Received CCTC Application submitted to State PLANNING SCOPE Construction Documents Phase FUNDING SCOPE Finalized Marketing Packet for CCTC CCTC Application Approved Begin Solicitation of CCTC Develop Fundraiser Committee Begin Planning 1 st Event Begin Brownfield Grant Applications PLANNING SCOPE Break Ground Phase I Parking Area FUNDING SCOPE Continue CCTC Solicitations Submit Brownfield applications

23 Potential Funding Sources The CRA Facade Improvement Grant Community Contribution Tax Credit Program Seeking $400,000 in Business Tax Credit Donations Florida Community Loan Fund Black Business Loan Program Tampa Bay Black Business Investment Corporation U.S. Department of Veterans Affairs Financial Institutions Bank of America PNC Bank

24 Impact & Benefits Community Impact Economic Benefits Unemployment reduced Employable Job Skills Training for residents and veterans Foster community owned businesses Increase opportunity for business workshops Increase assistance to small businesses Only Co-Working/Incubator in area On-site Café and Daycare Job creation Training & Funding for entrepreneurs to launch & thrive Shared employee resources Initiate & Foster Community Partnerships Decrease initial need for 3 C s for Startups (Capital, Collateral, Commitment) Increase median income Stimulate revenue to local retailers

25 Challenges & Opportunities Our Strengths Own and occupy property Rehabilitation vs. New Construction Existing operations/clientele Political awareness/visitations Existing Community Partnerships Location Strong leadership and vision in our committed Staff/Volunteers /Board of Directors Commitment from Area Philanthropists Marketing & Business Plan complete Architect/Design Team confirmed Façade Grant application submitted CCTC Resolution on Council s Agenda Our Weakness/Threats Loss of or reduced Grant Funding Denied /Delay of Resolution for CCTC Lack of Companies to contribute under the CCTC Denied Brownfield Designation Not acquire property to North Increase building material/equipment costs Increase labor costs Membership decrease Individual s perception/fear of going into business Reduced commitment from Community Partnerships / Philanthropists

26 Collaborations Omar A. Maach Maach Designs Wells Fargo - Bank of America - Railroad Credit Union

27 .are you ready to hatch your golden egg? 5508 Incubator Exchange

East Tampa Business Exchange

East Tampa Business Exchange Brenda Grove Glorida Parham Stephen Yerrakadu Cherrise Wilks Florida Institute of Government Community Real Estate Development: Class 2013 2 East Tampa Business Exchange Plan