Downtown Cincinnati experiencing steady population growth and stable selling prices

http://www.soapboxmedia.com/devnews/0519downtownres.aspx

 

During a time when residential markets are crashing and home buyers are wary to make a significant investment in home-buying, downtown Cincinnati is experiencing not only steady population growth, but also a stable housing market.

 

Downtown Cincinnati Inc. released their 2008 study that illustrates stable numbers of home sales and consistent home prices. In 2008, 150 condo and single-family homes were sold in downtown Cincinnati for an average price of $241,516 for condominiums and $172,551 for single-family homes.

 

These numbers illustrate that downtown is maintaining value in its housing stock while also adding additional housing units to the market.  In 2008 downtown Cincinnati added an additional 147 housing units in the form of both condominiums and single-family dwellings.

 

This maintenance of value in such a tough market is a positive sign for future residential growth in downtown Cincinnati.  There are presently 5,583 total residential units in the downtown area, with an additional 3,642 units either under construction or proposed.

 

The number of new units added in 2008 is a slightly lower than in previous years and is the one indication that the market downtown has slowed down a bit.  Over the previous three years, the downtown area was adding an average of 192 new residential units per year with an average of 185 sales.

 

One of the strongest sub-markets within the downtown area is the Gateway Quarter in historic Over-the-Rhine.  That southern-most portion of Over-the-Rhine accounted for roughly one-fifth of the overall sales for the downtown area in 2008.  Duncanson Lofts, which is located in the Gateway Quarter, is the building that saw the most activity in 2008 recorded 12 total sales.  Within the Central Business District, 353 W. Fifth registered 10 sales in 2008 making it the most active in that district.

 

The growing number of people living downtown is also a positive sign for future service retail in the area.  There are presently an estimated 8,375 people living in the downtown area in 2008; a number that is expected to grow to 13,838 in three short years.

 

Downtown has long been trying to attract a full-service grocery store. As the number of people living downtown continues to grow the market becomes more attractive for food retail.  Of the retail presently downtown only 9 percent is considered to be personal service while another 42 percent constitutes shopping with 49 percent including dining.

 

Over time, if the city core is to realize its goal of a  24/7 downtown, then residential dwelling sales will need to continue to grow so that service establishments are warranted.

 

^ What is included in the "downtown area?"  Does this go slightly beyond the CBD boundaries? 

Randy, are those your charts? I'm curious as to where the 13,838 projection came from. I think that's great news, but downtown has only been adding a few hundred each year previously, so going up by 5,000 in 3 years seems a bit steep.

 

I hope it happens.

The article I wrote was based on the data presented in the 2008 State of Downtown Report that was just recently released.  The methodology and everything of that nature is explained in the report...I was just summarizing that information in a nice neat package for everyone's viewing pleasure.  The charts also come directly from the report.

 

Download the full report here:

http://downtowncincinnati.com/files/uploaded/State_of_Downtown_2008.pdf

I'm curious as to where the 13,838 projection came from. I think that's great news, but downtown has only been adding a few hundred each year previously, so going up by 5,000 in 3 years seems a bit steep.

 

You should consider that the first phase of The Banks will be occupied within three years...that will cause a giant jump.

Barnes Dennig moving to Fourth and Main

 

Barnes Dennig & Co., a downtown Cincinnati accounting and consulting firm, is leaving the Carew Tower after 44 years.  The business is vacating three floors in the Vine Street landmark overlooking Fountain Square and relocating to larger quarters on a single floor of the Federal Reserve Building at Fourth and Main streets.

 

The firm is one of the largest tenants in the Carew Tower, behind Kendle International Inc. and the law firm Wood Herron & Evans LLP, spokesman Chris Perrino said. Wood Herron has been in the Art Deco complex since it was built in 1930.

 

Being on a single floor at the Federal Reserve Building will facilitate better internal communications and collaboration for Barnes Dennig’s client service teams, Perrino said. It will occupy 28,000 square feet that became available as a result of reduced operations by the Federal Reserve Bank. It will make the move in mid-July.

 

Read full article here:

http://cincinnati.bizjournals.com/cincinnati/stories/2009/06/08/daily28.html

The firm decided to stay downtown in response to an employee survey that singled out downtown as the most convenient location based on where its clients are and where employees live.

 

It's nice to see that some businesses and people still get it.  :)

^ Ditto that!

Downtown Cincinnati improvement district approved for 2010-2013

http://www.building-cincinnati.com/2009/06/downtown-cincinnati-improvement.html

 

Cincinnati City Council has approved special assessments called for in the 2010-2013 Downtown Cincinnati Improvement District plan and budget.

 

Beginning in January 2010, property owners will pay the additional assessment along with their real property taxes in eight semi-annual installments.

 

The assessment is expected to generate for DCI $2.25 million annually in 2010-2011 and $2.39 million annually in 2012-2013.

 

The council resolution says that the improvement district will improve Downtown's cleanliness and safety, help recruit and retain Downtown businesses, and lead to the development of more Downtown residential units.

 

A petition signed by owners of more than 60 percent of the district's street frontage was accepted by council late last month.

Survey: Downtown Cincinnati perceptions improve

 

The rejuvenated Fountain Square has helped improve local perceptions of downtown, Downtown Cincinnati Inc. said Tuesday.  The nonprofit organization released results of its 2009 Downtown Perceptions Survey Tuesday. The online survey was completed by 794 people between April 17 and May 6, DCI said in a news release.

 

Highlights of the survey include:

• 71 percent said their impression of downtown was “extremely” or “somewhat" positive, versus 49 percent in 2008, DCI said.
  
• 79 percent said downtown “is getting better” and 74 percent said it’s “better than people give it credit for.”
  
• 62 percent said they have attended events on Fountain Square over the past year, up from 35 percent in 2008.

 

Read full article here:

http://www.bizjournals.com/cincinnati/stories/2009/06/29/daily16.html

I was in downtown Cincinnati at around 9 PM on a Sunday night last week, and I had to drive around a while before I finally found a place to park on the street. I was actually getting a little frustrated, until I realized that ten years ago, the place would've been a ghost town at that time and I would've been able to park anywhere.

All the preaching about public transportation, and you choose to drive!  Why should the rest of us support it if the vocal supporters drive downtown?

Oh, shut up. I ride the NYC subway almost everyday to and from work.

 

When Cincinnati builds a viable public transit system, I'll be the first in line to ride it, too.

Even though he sounded like an ass with that last comment, I do agree with DanB to an extent.  The great proponents of public transit in Cincinnati should be doing everything they can to embrace and support it.  It shouldn't matter that it's not in the most preferable state right now.

Supporters like myself would love to take public transit, but the system as it is right now is not set up in such a way that it's feasible.  I have taken the bus, but my job requires me to be able to drive to various locations sometime.  And my wife works in various offices and sometimes we carpool when she's working near my office.  will a better transit system (including rail) help me solve all those issues? no, probably not. But i still think it's best for the region.

Magazine Names Cincinnati Among Nation's Best Cities

http://www.local12.com/news/local/story/Magazine-Names-Cincinnati-Among-Nations-Best/W63M1zYT3U6UAzFe1uQNkA.cspx

 

(www.cincinnati-oh.gov) The city of Cincinnati is getting national recognition, named as one of America's Best Cities by Outside Magazine. The editors put Cincinnati at #9 on their list, citing a low cost of living and "resilient and well-balanced blend of industries (everything from aerospace to advertising)".

 

One of the former Outside staff members is now the editor in chief of Cincinnati Magazine. He sings the city's praises, saying our downtown is "very urban and completely walkable," and the city is home to green spaces, parks, and lush hillsides.

 

The magazine praises the push for a downtown Cincinnati streetcar line, a downtown bike-commuter complex, and the work done on the riverfront development known as the Banks. The article also mentions unique architecture, a plethora of independent restaurants, and the Oktoberfest celebration.

 

Outside Magazine puts Colorado Springs at number one on it's list.  Other cities mentioned in the top ten include Charlotte, Portland, Atlanta, and Boston. 

 

If you want to live in a dump, you can live in OTR for under $500/mo.  By dump, I mean some place that hasn't been worked on in any way in 40 years, so it'll have that cheap adhesive plastic flooring, an oven with knobs missing, and some really weird dude living across the hall. 

or just get roommates and live in a decent place for less than that

my boyfriend lived in a great studio on Main Street for $400/month.  It felt like a big space too with how it was laid out.  Hardwood floors, newly renovated...ish.  But yes, I would live there. 

If you want to live in a dump, you can live in OTR for under $500/mo. By dump, I mean some place that hasn't been worked on in any way in 40 years, so it'll have that cheap adhesive plastic flooring, an oven with knobs missing, and some really weird dude living across the hall.

 

Back in early 2003 I actually lived in OTR in a newly renovated two bedroom apartment with a friend and free washer/dryer for $250 a month.  Right across from the Emery.  The only thing that sucked about it was it was so close to Alchemize, which I don't think is a word.

http://dictionary.reference.com/browse/alchemize

Now I really know these lists are hogwash at best. Not knocking Cincy but I lived in Colorado Springs for 18 long years. And while parts of it are nice, and the view of Pikes Peak is fine, the Springs is a complete DUD of a town. Manitou Springs which some would consider the Springs if you didn't live there is much nicer and has some character but the Springs has almost zero charachter. No neighborhoods, No culture (outside of some "Western Art") Almost nothing to do. I can't believe the article mentions local restaurants because there are none worth mentioning. Most of the Springs restaurants are of the "Chain" variety. Very little diversity to be found anywhere and don't even talk about the "backwards" mentality of the vast majority of the locals. Visiting the Springs can be very deceiving. Looks nice, walk around some of what looks a litte quaint town, but look under the hood and stay a while because you will see how much this place sucks. If a little scenery, some outdoor activity and you don't mind the massive amount of Evangelical Christian groups that are based there, then you will love the Springs but that is all this place has.

Between Final Friday, the event going on in the Gateway Quarter, the Reds game and fireworks, the Macys Music Festival, and the concert on Fountain Square, downtown was absolutely SLAMMED tonight. I was with a friend and his girlfriend who is from Cleveland and she kept saying "wow, Cincinnati has so much going on, I think it's definitely cooler than Cleveland!".

 

Music to my ears...

The Reds SUCK. At least that's the state of the Reds downtown .;)

Yeah, downtown was ridiculous tonight.  The final friday stuff in the Gateway looked pretty well attended, but still has nothing on the Columbus final friday. 

Yeah, downtown was ridiculous tonight.  The final friday stuff in the Gateway looked pretty well attended, but still has nothing on the Columbus final friday. 

 

its called the gallery hop.  But the gallery hop is quite pretentious now-a-days.  Final Friday doesn't have that vibe.  With that said, the amount of people at a typical gallery hop makes you feel all warm inside about Columbus and the Short North.  Love it. 

Downtown improvement assessments near council vote

http://www.building-cincinnati.com/2009/08/downtown-improvement-assessments-near.html

 

On August 5, Cincinnati city council will consider two ordinances to help keep Downtown safe and clean from 2010 to 2013.

 

A first ordinance would accept the Downtown Cincinnati Improvement District (DCID) Board of Equalization's findings of estimated assessments for Downtown property owners, finalized at its meeting on July 13.

 

A second ordinance would impose those findings, making the assessments enforceable by law.

 

Assessments will be payable with Hamilton County property tax bills, in eight semi-annual installments.

 

The DCID is expected to generate $2.25 million annually in 2010-2011 and $2.39 million annually in 2012-2013, and will be used to improve Downtown's cleanliness and safety, to help recruit and retain Downtown businesses, and to lead to the development of more Downtown residential units.

 

Property owners have until September 14 to appeal the assessments with the county auditor's office.

Musical chairs? We need new tune

Business Courier of Cincinnati - by Doug Bolton

 

Like many people watching downtown Cincinnati’s office market, I’m happy for law firm Frost Brown Todd and its recent decision to relocate 300 employees in 2011 three blocks from PNC Center to the under-construction Great American Tower at Queen City Square.

 

“I think the Frost Brown Todd deal shows that there still is a market for ‘glass and glitter’ trophy space,” said Shawn Gilreath of Cincinnati’s CresaPartners, which represents tenants looking for new space.

 

But I have a challenge to Western & Southern Financial Group CEO John Barrett, who marvelously brought to fruition at the end of last year a 20-year vision for the block at Sycamore and Third streets. The challenge extends to any other company located downtown considering moving to the remaining seven floors and 175,000 square feet of space available in what will be the city’s tallest building: Don’t do it.

 

Read full article here:

http://cincinnati.bizjournals.com/cincinnati/stories/2009/08/10/editorial1.html

You can find pretty much this same article every time a new building gets erected downtown and tenants move within the core, the articles are almost identical word-for-word.  It would obviously be nice if all the tenants came from outside downtown or the region, but come on this is typical Cincinnati journalism.  We are getting our largest office building ever downtown and someone has to put a negative spin on it.

My own employer is apparently looking to relocate, and we'll be in the market for about 20,000 square feet of affordable office space. Unfortunately, my efforts to convince the partners to relocate the firm from Midtown Manhattan to downtown Cincinnati have been unsuccessful so far. :)

You can find pretty much this same article every time a new building gets erected downtown and tenants move within the core, the articles are almost identical word-for-word.  It would obviously be nice if all the tenants came from outside downtown or the region, but come on this is typical Cincinnati journalism.  We are getting our largest office building ever downtown and someone has to put a negative spin on it.

 

I have met and spoken with Douglas Bolton several times and I get the feeling that he is very pro-city.  I think this editorial piece from him is more of a challenge for the companies here in Cincinnati to start putting forth more of an effort.

 

Eagle Realty is owned by Western & Southern...they built this new tower as a prize project for the firm and have seemingly settled for other members of the good ol' boys network in Cincinnati to fill the space (sans Frost Brown Todd).  When I interviewed the VP from Eagle Realty a couple of weeks ago I didn't get a direct answer about how aggressively they were pursuing companies from outside the region (read into that what you want).

 

So far everyone involved with this project has come out smelling like roses, but the real task of filling the additional net space put on the center city office market has been externalized to other companies who won't get nearly the amount of positive press that Eagle/W&S/Great American have gotten.

Brandt Retail Group opening downtown office, creating urban focus

http://www.soapboxmedia.com/devnews/0811brandtretail.aspx

 

Cincinnati-based Brandt Retail Group sees an opportunity in the urban retail market and intends to open a new downtown office led by urban specialist Kathleen Norris. Norris is responsible for the wildly successful Gateway Quarter shopping district that has evolved over the past couple of years, and is credited with bringing more than 20 new businesses to Over-the-Rhine.

 

Norris will be joined by research director of the urban division, Doug Brandt who is the son of Brandt CEO Steve Brandt.  Doug says that he intends to work hard to make downtown Cincinnati a "hip, unique place," and that he is driven by the desire to make the city appealing to tomorrow’s leaders.

 

The new urban focus for Brandt Retail Group is a unique change in direction for the company that has specialized in suburban shopping centers for 30 years representing the likes of IKEA, Target, Home Depot, Trader Joe's and Costco.

 

"Downtown Cincinnati is the heart of this region.  It deserves a bold urban vision, and both within this area and beyond there are neighborhoods, cities and town where Main Street retail is a crucial economic engine – an engine that we know how to fine-tune," says Steve Brandt.

 

The goal will to be fill empty storefronts and create a market strategy for the center city.  "Cincinnati has a particularly nice downtown.  It’s clean, safe, walkable and it has wonderful amenities," says Norris.  "What it lacks is a retail focus to create unique and interesting experiences and distinct opportunities."

 

So far the firm has identified roughly 200,000 square feet of available retail space that they hope to match with appropriate retailers that can activate those storefronts and energize the streetscape.  Long-term the retail group would like to assist in developing retail strategies for more than just Downtown, but also other nearby retail clusters and eventually even other cities in the region.

 

While Downtown has experienced tremendous success over recent years a retail strategy has not yet been developed.  Norris sees this as one of their best opportunities to leveraging the existing success Downtown and in Over-the-Rhine.

 

"There is a strong re-urbanization movement underway in this country now, and Cincinnati has a chance to be at the forefront.  We have a wonderful downtown and an utterly unique asset in Over-the-Rhine.  That's beginning to be recognized, but untapped potential still exists," says Norris.

 

As the new urban division of Brandt Retail Group gets settled in to their Downtown offices, they will also be looking to engage the area's stakeholders and come up with that comprehensive retailing strategy for the downtown area.  Steve Brandt says that the division first needs to figure out what people want Downtown to be, and how they can help make that happen.

 

For that Norris hopes to get input from the community and encourages everyone to share their thoughts with her at [email protected].  "I think a thriving Downtown is a significant economic generator.  I’ll help as best I can with some retail recruitment, but this is a team effort."

Your point stands, but Frost Brown Todd (which is really the old Frost Jacobs) is an essential part of Cincinnati's old boy network.

^^ I'm liking what I'm reading!

I would also argue that it is not a private landlord's job to attract companies from outside the region (but they will take tenants wherever they can get them), that is what the Chamber of Commerce, other organizations and city economic development agencies are for and why most companies are members of those organizations and support their activities.  While QCS may be a prize project, they built it to make money pure and simple and there is nothing wrong with that. 

And to cap off the career of Uncle Carl.

Advantage IQ to expand downtown Cincinnati presence 40%

http://www.urbancincy.com/2009/08/advantage-iq-to-expand-downtown.html

 

The City of Cincinnati’s Economic Development Department is reporting that Advantage IQ will be expanding their Downtown presence over the next three years by 40 percent.

 

The company currently has its offices in The Center at 600 Vine and will add the additional capacity there where it already employs 75 people. Advantage IQ is headquartered out of Spokane, Washington and provides expense management services for multi-site businesses.

 

The expansion was made possible by a job creation tax credit from the City of Cincinnati and the Ohio Department of Development. City officials say that a $1.1 million return is expected for the City in terms of the revenues generated from the new and retained jobs.

Lots of fantastic photos with article link...

 

The New Heart of Downtown: Redirecting the Flow to Fountain Square

http://www.soapboxmedia.com/features/0929fountainsquare.aspx

By Jonathan DeHart | Soapbox Cincinnati, September 29, 2009

 

To thrive, a city needs a healthy heart.  Thankfully, Cincinnati has one: Fountain Square.

 

"It's been a rallying point for everybody, no matter where they live," says Conrad Thiede, Communications Committee Chair of the Downtown Residents' Council.  "It's where the whole neighborhood comes together."

 

Each stroll through Fountain Square transports visitors on a new experience.  During the warm months, Cincinnati gets its Latin fix with salsa nights on Thursday.  Saturday afternoon is Family Day, followed by a movie at night.  Bands from the homegrown MidPoint Music Festival rock the city on Friday nights, while the soothing sounds of Gospel and Jazz provide the soundtrack for the new story playing out downtown on Sunday.

 

"My TV isn't on," Thiede says.  "Downtowners probably watch a lot less TV.  They're out and the first place they're going to stop is Fountain Square.  That's where we go."

 

Impressed by the offerings, keen residents regularly head to the Square and provide the feedback loop needed to keep the events relevant.  To be exact, 200,000 visitors have shown up for events so far in 2009.

 

Yet, ten years ago, this wasn't the case.  It's taken a real, street level transformation to shake things up in the Square.

 

Using Portland, Oregon's Pioneer Courthouse Square as a model, a group of visionary community leaders created this vibrant public space over the course of a decade.  And their work paid off.  Today the Square pulsates with the energy of a new city. 

 

When asked about the impetus for this turnaround, Bill Donabedian, Managing Director of Fountain Square Management Group, insists that clever ad campaigns would not have had the same effect.

 

"People wouldn't have believed it," he says.  "It would have just been advertising."

 

But now there are believers in Cincinnati's midst.

 

Donabedian attributes the Square's turnaround to positive momentum from increasingly popular events, word of mouth, and an improved image in the media.  Some front page stories appeared, a slew of new bars and restaurants set up shop, and people ventured downtown to check things out for themselves.  The tides have gradually changed ever since.

 

Donabedian explains that even the "weird, oddball" events like the fish toss or turkey bowl "get a lot of buzz" when people take pictures and videos and post them online.  The speed of the internet has had other implications for the nature of the events in the Square.

 

"The neat thing that is starting to happen is we're doing events without much lead time or advertising, and they're well attended," Donabedian explains.

 

A perfect example was THE Cincinnati Beer Festival, held recently in Fountain Square.

 

A mere six weeks ago the 3CDC crew decided to throw this bash, which proved to be one of the Square's biggest events to date.They rounded up 38 brands and over 180 varieties of beer.  Even without much in the way of preparation time or advertising, over 8,000 showed up for this six hour event.

 

"It was packed," Donabedian says.

 

So packed, in fact, that the Bengal Bash, Reds Game and nearby Oktoberfest in Northern Kentucky - all happening the same day - did not deter revelers.

 

"A lot of it is keeping your eyes and ears open.  It was my distributor who suggested a beer fest," Donabedian laughs.

 

And this is just the beginning.  Donabedian sees expanding the beer fest event to include a conference and collaboration with restaurants around the Square, of which there are many.  Via Vite, Nada, Bootsy's, The Righteous Room, and Mynt Ultra Lounge, set to open next month, to name several.

 

These darlings of the restaurant scene create a synergy with the programmed events.  This collaboration injects a much needed resilience into the city's economy during these tough economic times.

 

"Even in an economic downtown, we're not seeing it like other regions, as far as businesses and restaurants," Thiede says.  "Would all those restaurants be so successful if Fountain Square didn't have the programming?  I don't think so." 

 

Alas, the fun in the Square comes with a privately funded price tag.  This is the nature of non-tax funded public spaces and events.

 

"The corporate community and the people who come to these events can't take it for granted," Donabedian says.  "If they stop participating in this, it will die."

 

However, there are huge incentives for corporate sponsors to support the Square. Donabedian describes their efforts as "double dipping:" marketing for the company and doing a service for the city. These good deeds pay off in dividends.  With an exciting city center, Casey Gilmore, Sponsorship Manager at 3CDC, says that she has found most new transplants to Cincinnati to be very satisfied with the quality of life they find here.

 

"And they're usually coming from bigger cities," she says.

 

One example is the recent exodus of Gillette employees from Boston to Cincinnati. 

 

"They've made an educated decision to move and live where they live," Thiede says.  "They want to live in an environment that's faster paced, eclectic, not cookie cutter."

 

And families are making the residential jump to downtown as well.  Margo and Doug Joseph made the move to Downtown Cincinnati from Michigan with their two daughters.

 

"My family loves Fountain Square,” says Margo Joseph.  "We go at least three times a week, sometimes more.  It is nice to see so many more people and families enjoying the square since its renovation. The events and layout make it so much more inviting."

 

Fountain Square's transformation is a significant indicator of the overall health of the city.  It positions Cincinnati in an enviable position in the region and attracts guests. 

 

Ultimately, the revitalization of Fountain Square is "part of a much bigger plan," Donabedian says.  "We're trying to get people to live down here.  Cities that are active and alive and well lit and safe and clean and livable and vibrant - people want to live and stay."

 

And stay they are.  Numbers tell the story best.

 

According to official data, the downtown population, including the Central Business District (CBD) and the greater CBD area, has essentially doubled in the last ten years. With this kind of progress, it's official.  Downtown is blossoming.

 

There's a growing community of downtown residents, a corporate community and non-profit sector supporting an exciting array of events in the Square, and a city government with the vision to push Cincinnati further into the regional lime light.  And Fountain Square is at the center of it all.

 

"Let's celebrate that we have a focal point called Fountain Square," Thiede says.  "Success breeds success.  I think that if people would embrace the success going on downtown, there could be some hope for success in other areas."

Fountain Square

Plante & Moran moves to riverfront

Business Courier of Cincinnati

 

 

Plante & Moran, formerly Jackson, Rolfes, Spurgeon & Co., is moving to offices on Pete Rose Way downtown, the accounting firm said.

 

The 24,000-square-foot space, on the second floor of the Midland Building, is more than 10,000 square feet larger than Plante & Moran’s current home on Florence Avenue in Walnut Hills.

 

 

 

http://cincinnati.bizjournals.com/cincinnati/stories/2009/09/28/daily29.html

Special Downtown assessments approved

http://www.building-cincinnati.com/2009/09/special-downtown-assessments-approved.html

 

The Downtown Cincinnati Improvement District Services Plan for 2010-2013 is now law, thanks to two ordinances passed unanimously by City Council earlier this month.

 

The two ordinances provide the mechanism for special tax assessments to Downtown property owners –expected to generate $2.25 million annually in 2010-2011 and $2.39 million annually in 2012-2013 – which will be used to improve Downtown's cleanliness and safety, to help recruit and retain Downtown businesses, and to lead to the development of more Downtown residential units.

 

The assessments will be payable with Hamilton County property tax bills, in eight semi-annual installments.

Downtown Cincinnati hotel market strongest in region

http://www.soapboxmedia.com/devnews/1006downtownhotels.aspx

By Randy A. Simes | Soapbox Cincinnati, October 6, 2009

 

Like most urban cores, downtown Cincinnati boasts a large collection of hotels catering to tourists, business travelers, conventioneers and more.  Downtown counts three Four Diamond Award winning hotels - Hilton Cincinnati Netherland Plaza, The Cincinnatian Hotel, The Westin Cincinnati - among its affordable offerings.

 

Recently, the downtown hotel market has experienced a surge of interest for a new boutique hotel, raising the question: does it makes good economic sense to develop a new hotel, or will a surplus of available rooms simply canibalize other existing accomodations? The numbers make the case that things are looking up.

 

According to Downtown Cincinnati Inc. (DCI), in 2008, downtown Cincinnati compared favorably with the rest of the metropolitan region with a 55 percent occupancy rate, while the three state region that comprises Greater Cincinnati/Hamilton County and Cincinnati USA logged 54.5 and 54.7 percent occupancy rates respectively.  The higher occupancy rate downtown was coupled with a slightly higher rate per night and revenue per available room as well.

 

Downtown's largest gains have been seen in room rates - the average room rate in Downtown Cincinnati is now $123.49 compared to $89.72 in 2008.  Comparatively, room rates in the rest of the region have remained somewhat stagnant.

 

While some of downtown's success was predicted with large conventions booked years in advance, higher than expected room night consumption by some of those conventions have helped raise the numbers tremendously according to DCI.

 

Most recently, the Garfield Suites Hotel sold out all of its rooms during the three-day Midpoint Music Festival that took place throughout Downtown and Over-the-Rhine.

 

"This was our first time partnering with Midpoint, but we had pretty high expectations going in, and it delivered for us," said Gary Wachs, general manager.

Jan-July 2009 State of Downtown: http://downtowncincinnati.com/files/uploaded/January_June_2009_SOD_Report.pdf

 

 

Interesting to note that downtown has one of the higher vacancy rates in the region, with the lowest being north of I-275. As for residential sales, I'll snip a bit out of the report:

 

"When comparing the first half of 2009 to the first half of last year, the number of residential sales downtown** was up in first quarter, while the average sale price was down. The second quarter showed a decrease in the number of sales, however the average sale price was on the rise."

 

That includes downtown, OTR and areas near that. That's good news on most fronts, and the price dips should make more units affordable.

 

The convention aspect looks very good and hotel occupancy rates and average prices are on the rise. The news regarding the Ambassador program is also very welcoming -- they are doing one hell of a job in increasing the perceptions of downtown and cleaning it up.

 

Looking over the development highlights:

617 Vine St. - Enquirer Building, has no completion date. Has Middle Earth stalled, given their tax issues? That's a lot of units (150) that would be a huge boom for downtown.

 

What is the status of the 166-residential unit Broadway Tower?

 

 

The Middle Earth tax problem was supposedly fixed and is a non issue, the Broadway Tower is on schedule to get two more parking floors for P&G, and must therefore be redesigned, I wouldn't hold my breath for any new residential new construction anytime soon.

What is Broadway Tower?

A proposed residential stack on top of a garage that was built in 2002.

 

http://cincinnati.bizjournals.com/cincinnati/stories/2009/10/26/story5.html

 

 

This developer has been working on a condo tower since '01? w/ all due respetc, I think it's ime to move on.  Since this is already a garage, I have no problems building up.  In fact, I wish there were more garages and less surface lots downtown but that is another debate.

^They will have to build a new garage somewhere once the casino is up and going. The downtown workers that drive there has to park some where. Im sure the casino will not allow them to park in their lot. Well of course if they pay.

First Financial moving HQ to Atrium One

Business Courier of Cincinnati - by Steve Watkins Staff Reporter

 

 

First Financial Bancorp will relocate its corporate headquarters to the Atrium One building downtown early next year.

 

First Financial will move headquarters employees from its location at the Cornerstone at Norwood because it has outgrown that space at 4000 Smith Road in Norwood, the company said in a news release.

 

 

http://cincinnati.bizjournals.com/cincinnati/stories/2009/12/14/daily24.html