A Public Private Partnership for Economic Development Structure, Program, Priorities The World Bank May 14, 2008 www.wdcep.com JOBS DC has more jobs than residents. DC jobs provide the highest wages in the US. The region has fastest annual job growth in the US (2.3%) yet DC unemployment is rising. *July 2006 Mayor s Draft Comprehensive Plan 1
Jobs Growth through 2009* Region/DC The DC Metro Region (DC, No. VA & Suburban MD) Estimated 43,400 new payroll jobs created in region in 2007 expected to edge down to 37,600 new jobs in 2008 and increase to 39,000 in 2009 The District will add an estimated 5,600 jobs per year through 2009 *Source: Delta Associates, January 2008 Institutional Key Facts Colleges, Universities, and professional schools employ 30,500 or 5% of total workforce. George Washington and Georgetown are the top two private sector employers in DC. Colleges will gain 4,500 job annually through 2012. Hospitals employ 22,500 or 3.4% of private sector employment. 2
Washington Area Core Industries 1. Federal Government 2. Technology 3. Building Industry 4. International Business 5. Hospitality & Tourism Gross Regional Product 3
Private Sector Industries in DC Professional and Technical Lawyers, Architects, Engineers, Consultants Associations Industry, Trade, Interest Groups Admin and Support Services Services supporting the office sector from secretaries to janitors Educational Services Food Services and Drinking Places Hospitals Accommodation Social Assistance Ambulatory Health Care Services Real Estate Publishing Employment 93,841 44,078 41,415 35,798 30,483 22,466 14,795 10,696 10,215 9,301 9,180 Source: U.S. Bureau of Labor Statistics; DC Department of Employment Services % Private 21.9 10.3 9.6 8.3 7.1 5.2 3.4 2.5 2.4 2.2 2.1 % Public + Private 14.7 6.7 6.3 5.5 4.7 3.4 2.3 1.6 1.6 1.4 1.4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Industry Title Social Assistance High Growth Industries in DC Services to Buildings and Dwellings Accommodation Elementary and Secondary Schools Employment Services 2002-2012 Religious, Grantmaking, Civic, Professional and Similar Organizations Federal Government Computer Systems Design and Related Services Colleges, Universities, Professional Schools Legal Services Food Services and Drinking Places Self-Employed Workers, Primary Job Management, Scientific, and Technical Consulting Services Architectural, Engineering, and Related Services Scientific Research and Development Services Source: DC Department of Employment Services Employment Growth 5,789 5,596 4,713 4,460 4,125 3,219 3,180 2,671 2,480 2,396 2,326 1,910 1,833 1,786 1,759 4
Three Economies Retail Economy Tourism and Hospitality Economy Institutional Economy Retail and Tourism Clusters Retail Cluster* Tourism Food Services, Drinking Places and Accommodation Jobs 43,000 17,500 *50% of the job growth expected in the District between 2002 and 2012 5
Retail Key Facts $1B or $4,000 per household annual outflow DC is under stored Tax Revenue by Space Type Retail Office Condo Revenue per 100 sq. ft. $1,995 $1,246 $869 Source: July 2006 Mayor s Draft Comprehensive Plan Tourism and Hospitality 2005 Direct Indirect Induced Total Visitor Spending $5.05B Economic Impact $2.74B $761M $280M $3.78B Wages $1.76B $509M $220M $2.49B Jobs 59,397 7,190 3,781 70,368 Source: Global Insight, D.K. Shifflet & Associates; WCTC Visitor Spending increased by $220 Million or from 2004 to 2005 6
evolve How does an organization evolve? How does change to meet the needs of the city? Are the political needs different from the business need? How do you set priorities? Washington DC Economic Partnership What kind of organization do you need to recruit retail for the downtown and Neighborhoods? What are the other areas of opportunity for DC? 7
Organization A 501c3, Not for Profit Private sector board Staff of 10+ Funding: DC Government/Corporate Sponsors Annual budget $2.5 million 20 member Board of Directors Priorities Retail Recruitment Research Cluster Development Communications 8
Retail Recruitment Online Space Search Neighborhood Retail Summits Retail Opportunities Publication (annual) Mid-Atlantic ICSC National ICSC Research 9
Research Projects (cluster development) Retail Action Strategy Green Collar Jobs Labor Demand Analysis The Creativity Economy Technology Incubator Feasibility Study Neighborhood Profiles Retail Opportunities Retail Action Strategy 10
DC Development Dynamic Over $62 Billion in Development Activity 231 million sq. ft. of development 84 million sq. ft. of Office Completed Under Construction Planned Proposed 10.1 million sq. ft. of Retail 83,795 Residential Units Source: DC Economic Partnership (completed since 1/2001, under construction, planned or proposed 8/2007) People Per Grocery Store Ward P.P.G.S 4 Ward 1 35,000 3 1 5 Ward 2 Ward 3 11,000 6,400 2 6 7 Ward 4 Ward 5 35,800 22,800 8 Ward 6 Ward 7 & 8 32,500 67,600 US 8,500 Source: Food World, Clarita, Delta Associates (1/2007) includes only grocery stores with $2 million or more in sales 11
Major DC Grocery Stores Sites Existing East Capitol Gateway Market Future Safeway Giant Poplar Point Penn Ave SE Potential Site Skyland Major DC Area Grocery Stores Grocery Stores Giant Safeway Poplar Point East Capitol Gateway Market Skyland Penn Ave SE Shoppers Food Balducci s Harris Teeter MOMs Trader Joe s Whole Foods I-495 12
Social Compact Research $1 billion in retail sales leakage $176 million in grocery store leakage 21 District neighborhoods are without a full service grocer Estimated DC population of 603,238 22,000 more than the 2006 Census estimate Source: Social Compact DC DrillDown Research, November 2007 Social Compact Research Neighborhood Population Density Income Density (Persons per Acre) (Income Per Acre) Chinatown / Mt. Vernon 18 $587,013 Anacostia / Fairfax 13.1 $342,549 District of Columbia 15 $504,000 Washington Metro (DC-Arlington-Alexandria) 1.4 $50,000 Source: Social Compact DC DrillDown Research, November 2007 13
Communications (convener and conduit) Thank You Steve Moore President & CEO Washington, DC Economic Partnership smoore@wdcep.com 14