ANA LYSIS
Variables Affecting O&I Demand Residential
Office / Industrial
Retail
As laptops, phones, and tablets increase business efficiency, office space per worker is declining sharply. Offices averaged 500 to 700 sq. ft. per worker in the 1970s and 250 sq. ft. per worker in the 1990s, but some experts say that the current average is 175 sq. ft. and that office footprints could be as small as 50 sq. ft. per worker by 2015.
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Retail Demand Residential
Office / Industrial
Retail
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Land Zoned Business / Industrial Residential
Bloomington Total Area: Land Zoned Business: Land Zoned Industrial:
Office / Industrial
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Drivers of Retail Demand Retail
16,861 acres 670 acres 126 acres
Residential
Office / Industrial
Retail
Analysis
Sources: Office Walls are Closing in on Corporate Workers, LA Times; Greenstreet Ltd.
Market
Not all white collar workers require physical office space (i.e. salesmen), and not all blue collar workers require industrial space (i.e. truck drivers). Office and industrial demand will shift as the portion of workers needing work space changes.
Households. Retail follows rooftops. Population and household growth increase density in the trade area, making a site more attractive to retailers. In general, most retailers will consider demographics, density, and total population in the one, three, and five mile trade areas. Access. Many retailers have requirements about average daily traffic (ADT) and ingress/egress to arterial roads, as well as road visibility, signage and parking. Consumer Spending. Household spending is directly related to household income, and different retailers will target areas with particular incomes. Consumer spending was fairly strong in 1Q 2012, but sales volume has not driven retail demand. Non-store retailers (i.e. Amazon, Ebay, Schwann’s) are the fastest growing retail sub-sector, and e-sales outpaced in-store sales for the first time in the 4Q 2011. Other Retail. Most retailers actively seek co-location opportunities with other retailers that serve a similar clientele. Known as the cluster effect, retail is more likely to locate where their “sister stores” already operate, particularly anchor stores that attract a lot of customers.
Business / Office Industrial Sources: Bloomington Zoning GIS Layer
Sources: Greenstreet Ltd.
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Switchyard Park | May 4, 2012 | © Greenstreet Ltd. 28
SWITCHYARD PARK MASTER PLAN
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