Reposted from the Las Cruces Bulletin, May 9, 2008
Now is the time to stake your claim Downtown
Are you a retailer in search of customers who would jump at the chance to use your products or services? Let’s take that question a step further: Are you a retailer in search of customers who would jump at the chance to use your products or services, and who also suffer from a lack of access to those products and services where they live and work?
Let’s expand the question even more: Are you a retailer in search of customers who would jump at the chance to use your products or services, who also suffer from a lack of access to those products or services where they live and work, and who also earn millions-upon-millions of dollars in salaries and wages each year? If you are such a retailer, Downtown Las Cruces may be just the spot for your business or service.
After eight years of arduous planning, fundraising and diligent “boots on the ground” legwork by hundreds of enthusiastic folks in both the public and private sectors, the revitalization of Las Cruces’ Downtown district is in full swing and making amazing progress. Phase I of the project, which was the reopening of Main Street between Griggs and Las Cruces avenues, has been completed and has already been home to many Downtown events. And more construction is about to begin. But there’s more to Downtown than just the reopening of streets and the addition of new infrastructure. There’s also the economics of the area to consider. And what a consideration it is!
A recent study conducted by the University of New Mexico’s Bureau of Business and Economic Research revealed that Downtown Las Cruces has much to offer, but is suffering from a severe lack of retail facilities. In simple terms, there just aren’t enough retailers in the Downtown area to serve the huge number of people who live and work there. How many people, you ask, live and work in and around the Downtown district?
In a nutshell, more than 18,000 people either live and/or work in the Downtown district or within three minutes of its boundaries – by Picacho Avenue on the north, Colorado Street on the south, Alameda Boulevard on the east and Campo Street to the east. Together, those 18,000+ people earn in excess of $277 million in salaries and wages (last week’s estimate of $269.8 million was incorrect) each and every year … year in and year out. The economic challenge at hand is to bring more retailers and their products and services to those thousands of downtown area people who want and need them.
According to the UNM study, retail employment in our Downtown district currently accounts for only 2 percent of total downtown employment. In comparison, the report points out that retail activities make up about 20 to 25 percent of Downtown employment in New Mexico’s vibrant Downtown districts. So what types of products and services would those 18,000+ folks enjoy having access to in their neighborhood?
According to two recent polls taken on my weekly Real Estate Connection radio show, the callers were interested in having more restaurant choices. They especially envisioned outdoor patio or sidewalk seating. Other notable desires were for personal services businesses such as beauty shops, dry cleaners, florists, drug stores and supermarkets. Boutique retailers, such as Trader Joe’s, also made the list. So what’s in it for retailers who might consider Downtown as their new business home? I thought you’d never ask.
Let’s begin with the economics part of the equation. In the near term, more jobs are coming to the Downtown district. Employment will be consolidated Downtown once the new federal building and city hall projects are completed. There’s also the prospect of the expansion (or possible relocation) of the district court operation. And then there are the rampant rumors about the State of New Mexico’s interest in the Wells Fargo tower on Main Street. Estimates of the exact number of additional employees the consolidations may generate are impossible to quantify at the moment. There’s no doubt, however, that the employment numbers will rise.
In the long term, which may not be as long term as one might imagine, new retail construction and the addition of 400 to 750 new residential units will bring hundreds more Las Crucens citizens to the total.
In addition to the positive economics of the area, great strides have been and are being made on the physical side of the equation. The following is a partial and less-than-complete list of just some of the activity currently going on behind the scenes Downtown:
- Civic Plaza. This is Phase II of the project and will be located directly east of Phase I. Construction is anticipated to begin later this year. The area will be open for gatherings and can accommodate the farmers and crafts market. Three designs were presented to the public last month and are currently under review by city staff.
- Reopening Main Street. The New Mexico Department of Transportation has approved $1.176 million as a preliminary budget for the opening of Main Street between Griggs and Lohman avenues. The design is currently underway and funds will be released this October.
- La Placita/Organ Street Connection. The New Mexico Economic Development Department has provided a $298,000 grant towards the design and construction of the La Placita/ Organ Street connection. A Memorandum of Understanding may come before the city council next month.
- Workforce Housing. Plans are being formulated to bring to Downtown new multistory structures that will house mixed-use retail, commercial and parking on various sites downtown. The residences will take the form of townhomes, condominiums and apartments that will be priced within the qualifying range of our area’s first responders. Phase I housing and parking evaluation is currently underway and funding is in process. The project will qualify for a portion of the $110 million is U.S. Treasury New Market Tax Credits to be received by New Mexico this year.
- Roundabouts. Would you like to drive in circles like the Griswalds did in their European Vacation movie? You may be able to do just that if plans for roundabouts at each end of Main Street come to fruition.
These projects are just the tip of the iceberg, ladies and gentlemen. New infrastructure will be installed to accommodate the newly constructed and refurbished buildings, while communication connections will be upgraded to bring our downtown area technology into the 21st century. Our city museums are being consolidated in the Downtown district as we speak, and major renovations are planned for the old courthouse and the Amador Hotel.
City codes will most likely be upgraded to pave the way for downtown remodeling projects and to address the issue of vacant buildings, while tax credits and incentives will be offered to those wishing to locate their businesses in the district.
Additional information regarding downtown development can be easily obtained by contacting Cindi Fargo of the Las Cruces Downtown Organization at 525-1955 or by email at cfargo@lascrucesdowntown.org, William Slettom of the City of Las Cruces at 541- 2289 or wslettom@las-cruces.org, and from Christine Logan, also from the City of Las Cruces, at 541-2286 or clogan@lascruces.org can provide additional details.
If I don’t see you Downtown, I hope to …