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HIGHLAND AVENUE CORRIDOR STUDY MEETING 1- October 28, 2020Highland Avenue Corridor Study Community Meeting 1 October 28, 2020 Salem, MA Meeting Agenda 1.Introductions (City) 2.Project Goals & Overview (Sasaki) 3.Community Poll (All) 4. Market Overview (Landwise) 5. Summary (City) 6.Discussion, with Miro Boards (All) INTRODUCTIONS Paul Schlapobersky AIA, LEED AP Associate Principal Urban Designer & Architect, Project Manager Tyler Patrick AICP Principal, Planner Diane Athaide Urban Designer Jon Trementozzi Principal Brian Gridley Strategic Planner Gwendolyn Sands Planner SUSTAINABILITY PLANNERSARCHITECTS CIVIL ENGINEERS PLANNERS GRAPHIC DESIGNERS DATA ANALYSTSURBAN DESIGNERS LANDSCAPE ARCHITECTS INTERIOR DESIGNERS Landwise is an advisory firm helping cities to maximize the quality, utility, and value of their land assets through expertise in planning, economics, and asset positioning. PROJECT GOALS & OVERVIEW City’s Goals for The Corridor Study •Stakeholder dialogue on the future of the Corridor •A community vision for the Corridor •Representation of vision by consultant team •Final report of the study What are the key issues confronting the Corridor? What do you think is the right character for the Corridor? How can the Corridor evolve to meet Salem’s future? Questions / Discussion Points Project Scope & Schedule Corridor Visit Sept 2020 Oct Nov Dec Corridor Framework & Development Scenarios Action Plan & Final Report Concept Deliverables Working Group Meeting 2 Community Meeting 2 •Development Framework •Land Use Program Scenarios •Selection of Preferred Scenarios •Development of Preferred Scenarios •Draft Report •Final Report •Kick-off Meeting •Establish project goals •Corridor Visit •Data Collection •Base Materials Mapping •Opportunities & Constraints •Market Scan •Development Program Scenarios Working Group Meeting 1 Existing Conditions Analysis & Market Scan Community Meeting 1 Jan 2021 Today Prior Studies Corridor Tour, 9.14.20 Study Area Study Area The Corridor Existing Corridor 1 2 3 2 3 1 Walmart Dunkin Donuts 400 Highland 1 3 2 2 3 1 Puleo’s North East Animal Shelter 3 Cinema World site Existing Corridor 1 2 2 1 Home Depot Car 5 Used Car Dealership Existing Corridor Tropical Products 1 2 2 1 Market Basket 3 DaVita clinic 3 Existing Corridor 1 2 2 1 New England Veterinarian Clinic Salem High School Existing Corridor Neighborhoods Highland Ave Witchcraft Heights Castle Hill South Salem Vinnin Square LYNN Context Walmart Puleo’s Dairy Northeast Animal Shelter Home Depot Market Basket Target Shaws Salem High School Tropical Products DaVita Salem NE Dialysis Highland Ave with divider (1.6 miles) Highland Avenue Bus Route Bus stops Bus Route Ecological Constraints Wetlands Wetland Buffer Zone (100’ ) Ponds/Streams Pond/Streams Buffer Zone (100’) Zoning Business highway (B2) Business Park Development (BPD) Residential One Family (R1) Residential Multi family (R3) Industrial (I) Residential Conservation (RC) Walmart Puleo’s Dairy Northeast Animal Shelter Home Depot Market Basket Target Shaws Salem High School Tropical Products DaVita Salem NE Dialysis Parcels Parcels under consideration 44 Highland - Walmart Cinemaworld US Biological 120 Swampscott Rd 15 Robinson Rd Puleo Realty 346, 358 Highland Ave 342 Highland Ave Transfer Station Trader’s Way Development Tropical Products DaVita Salem NE Dialysis Overlook Acres Projects in permitting 1 Dipietro &3 Swampscott Projects underway Overlap of Parcels & Ecological Constraints Wetlands Wetland Buffer Zone Ponds/Streams Pond/Streams Buffer Zone Parcels under consideration Projects in permitting Projects underway 44 Highland - Walmart Cinemaworld US Biological 120 Swampscott Rd 15 Robinson Rd Puleo Realty 346, 358 Highland Ave 342 Highland Ave Transfer Station Trader’s Way Development Tropical Products DaVita Salem NE Dialysis Overlook Acres 1 Dipietro &3 Swampscott What is right for Highland Avenue? Pedestrian Automobile Experience at Ground Level –Sense of Place Belmar, Lakewood CO Mosaic, Fairfax VA ? TodayFuture? Today What is right for Highland Avenue? Commercial / Institutional Residential Program, Uses –Sense of Place Stonebridge at Potomac Town Center, Woodbridge, VA Westbrook, BC, Canada ? Future? What is right for Highland Avenue? Overall Function, and Look and Feel Daybreak, UT Azalea, South Gate, CA Local Regional ? Today Future? COMMUNITY TEXT / ONLINE POLL How to access the poll Two options to join: 1.Go to PollEv.com/sasakipolls 2.Text the word SASAKIPOLLS to this number: 22333 22333 SASAKIPOLLS MARKET OVERVIEW Salem Highland Avenue Market Scan Fall 2020 Source: 2015 Census LEHD OnTheMap Note that employment nodes are aggregated at the Census Block level; points do not represent specific buildings. NSMC Salem Source: 2015 Census LEHD OnTheMap Note that employment nodes are aggregated at the Census Block level; points do not represent specific buildings. McDonald’s, Londi’s, Taco Bell, Burger King, IHOP Existing Conditions Future Conditions -Medical employment clustered around the NSMC Salem Hospital is the primary driver of economic activity along the corridor -Big box retailers continue to draw significant activity along the corridor and these users appear to be healthy relative to national trends -The corridor features a number of chain restaurant options but lacks options for independent and ethnic categories -The corridor is made up primarily of middle-income households and it is experiencing positive household growth and meaningful growth in income levels -Recent expansion in the NSMC Salem Hospital cluster and the closing of a hospital facility in Lynn indicate that future growth in the medical space is likely to occur. -Retail and restaurant uses are likely to continue to face headwinds from the Covid-19 disruption and the rise of e- commerce and so expansion of these uses will be challenging in the near term. -The growth in advanced manufacturing, logistics, warehousing uses is likely to continue so sites that are well suited for these uses may have an advantage -The need for affordable/workforce housing is likely to remain strong in the Salem area due to the lack of supply LOCAL ECONOMIC CONTEXT TAKEAWAYS SUBSECTOR DEVELOPMENT POTENTIAL -In the industrial category the sub sectors of fulfillment centers and warehouse are leading the way -Medical office is very strong and has only been moderately impacted by Covid-19 disruptions -Within multifamily the strongest subsector is moderate-income apartments. -While the office sector has been hit hard, the suburban office sector has actually improved, and there may be some build-to -suit opportunities within the Salem market. -All retail subsectors continue to struggle, and it is likely some of the existing vacant space will convert to other uses over time. Source: ULI Emerging Trends in Real Estate 2021 Land Use Market Strength Site Suitability Economic/ Tax Impact Low Level of Competition Low Level of Traffic Impact TOTAL Residential *** ** * *** ***12 Medical Office *** *** *** * **12 Office * ** *** ** **10 Industrial / Light Manufacturing *** ** ** ** *10 Retail/Restaurant * *** *** * *9 HIGHLAND AVENUE LAND USE MATRIX -SUMMARY *= Low Score **= Medium Score ***= High Score Market Strength –Landwise judgment of how healthy the market is for the given use in the Boston Metro and along the corridor Site Suitability –How appropriate the use is for a typical site located along the corridor factoring in zoning, market requirements, visibility,site needs Economic/Tax Impact-The ability for the use to create jobs and generate a net positive fiscal impact Low Level of Competition –The level of competition in the local market/submarket for the specific use Traffic Impact –The amount of traffic that will be generated from the target use CASE STUDIES Century Bank Headquarters 400 Mystic Ave., Medford o Class A Office Building o Year Built: 2005 o Building Space: 88,000 square feet, 5 stories o Lot Size: 4.87 acres o FAR: 0.42 o Parking Ratio: 3.0 / 1,000 SF o Traffic Count: 22,000 VPD (2018) A new 5-story 50,000 square foot building was built adjacent to the existing 3-story building. This building is located on Mystic Ave. in Medford, a similar corridor that is highly trafficked with a variety of uses. OFFICE MEDICAL OFFICE Route 3A Medical Office Complex 221 Boston Rd., Billerica o Year Built: 2019 (renovated) o Building Space: 12,500 square feet, 2 stories o Lot Size: 1.64 acres o FAR:0.17 o Parking Ratio: 5.5 / 1,000 SF o Traffic Count: 32,000 VPD (2018) This medical office building has 6 separate suites that can be combined for larger spaces if needed. It underwent extensive renovations in 2019, including an entire new façade). It is located on Route 3A in Billerica, a similar corridor with almost identical traffic counts to Highland Ave. (35,000 VPD). LIGHT MFG / IND Salem Glass 3 Technology Way, Salem o Year Built: 2002 o Building Space: 64,000 square feet o Lot Size: 4.4 acres o FAR:0.33 o Parking Ratio: 1.3 / 1,000 SF One of the most successful companies on Technology Way. Their success has inspired other similar companies to move, creating an industrial cluster at Technology Way. RETAIL 370 Highland Ave, Salem o Year Built:2018 o Building Space: 7,200 square feet o Lot Size: 1-acre lot (this building shares a lot with the neighboring Puleo’s Dairy building. The 1-acre is an estimate of the land that St. Jean’s sits on) o FAR: 0.17 o Parking Ratio: 5.5 / 1,000 SF o Traffic Count: 35,000 VPD (2020) St. Jean’s Credit Union Built by Groom Construction (a Salem-based company). CASE STUDY: MIXED-USE Station Landing Medford Route 16 o Year Built: 2008 o Building Details: 2 6-story buildings & 1 7-story building, 460 one, two, and three-bedroom units o Lot Size: 6.7 acres o Traffic Count:68,000 VPD (2019) 50/55 and 75SL make up the apartments at Station Landing. 50/55 Station Landing feature 292 luxury units with 67,000 SF of first-floor retail space and associated underground parking in two six-story buildings. 75SL features 168 loft-style apartments and 8,600 SF restaurant space and is a LEED- certified apartment community. Station Landing also includes over 20 restaurants and retailers, a Boston Sports Club, an AC Hotel by Marriott and a dual-branded 152-key TownePlace/Fairfield Inn. There is direct access to the MBTA at the Wellington station. Potentially introduce walkable moments Potentially introduce walkable moments Mixed Res. & Retail SUMMARY Questions / Discussion Points What are the key issues confronting the Corridor? What do you think is the right character for the Corridor? How can the Corridor evolve to meet Salem’s future? DISCUSSION (With “Miro” Boards) For Additional Questions & Comments, please contact: Amanda Chiancola, Senior Planner City of Salem achiancola@salem.com Thank You