2020 State of Downtown Madison

2020 STATE OF DOWNTOWN MADISON

TABLE OF CONTENTS Introduction

16-17

Education

4-5

Development & Investment

18-19

Retail & Restaurants

6-7

Residents

20-21

Tourism & Attractions

8-9

Housing

22-23

Mobility

10-11

Quality of Life & Safety

24-25

Sustainability

12-13

Office Market

26-27

Capitol East District

14-15

Employment

28-31

COVID-19 Impact

3

ACKNOWLEDGMENTS A special thank you to the following people and organizations for their contributions and assistance with the compilation of the 2020 State of the Downtown report: • Broadwing Advisors, LLC (Craig Stanley & Kyle Kopplin) • CBRE (Gretchen Richards)

•F oundation for Madison’s Public Schools (Melinda Heinritz & Sam Schneider)

• Clean Lakes Alliance (Adam Sodersten)

•M adison Area Transportation Planning Board (Zia Brucaya)

• City of Madison Assessor’s Office (Michelle Drea)

•M adison BCycle (Morgan Ramaker & Helen Bradley)

• City of Madison Economic Development Division (Meghan Blake-Horst)

•M adison’s Central Business Improvement District (Tiffany Kenney & Tim Jenquin)

• City of Madison Parking Utility (Sabrina Tolley)

•M adison Metropolitan School District (Kelly Ruppel)

• City of Madison Planning Division (Heather Stouder, Colin Punt & Kevin Firchow)

•M adison Region Economic Partnership (Jessica Reilly & Jana Moore)

• City of Madison Police Department (Daniel Haueter & Julie Laundrie)

•M etro Transit (Ann Schroeder & Drew Beck)

• City of Madison Treasurer’s Office (Craig Franklin)

•N elson Schmidt, Inc. (Sara Peterson, Sarah Lockwood, Robert Knuth, Sarah Hand)

• Destination Madison (Diane Morgenthaler)

•U W-Extension (Matt Kures)

And all other people, businesses and data sources who contributed time and information to this report!

2 | State of the Downtown

INTRODUCTION Downtown Madison, Inc. (DMI) is proud to present its tenth annual State of the Downtown, a data driven report that provides objective and accurate information about downtown Madison. Ten years of data has provided us a wealth of information to better understand the current state of our downtown and to help plan for future projects, growth, challenges, and opportunities to maintain a healthy and vital central city.

2020 has been an unprecedented year, and like cities and communities around the country and world, the impact on downtown Madison has been significant. Although much of the information in this report reflects data prior to 2020, a special section has been included at the end of this year’s report highlighting the impact of the COVID-19 pandemic so far on downtown Madison. We hope the numbers in this year’s report will help begin to inform us on the work needed to best reimagine downtown Madison and position us for the future. We encourage residents, businesses, community organizations, and city officials to join DMI in using the information in this report to help ensure downtown Madison is a thriving, inclusive, and welcoming place for all.

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BOUNDARIES & MAP The central downtown is defined in this report as the area bounded by Lake Mendota, Lake Monona, Blair Street and Park Street. The majority of data compiled in this report focuses on the central downtown area. On a broader scale, downtown Madison is often viewed as the Madison isthmus from Camp Randall Stadium on the West to the Yahara River on the East. This broader definition is reflected in various metrics throughout the report, but the primary focus is the central downtown. The geographic boundaries of Madison’s Central Business Improvement District (BID), 53703 zip code area as well as the Capitol East District are also used in the report.

State of the Downtown |

3

DEVELOPMENT & INVESTMENT › N ew development approved in downtown Madison in 2019: • 7 projects

• 253 hotel rooms (re-approved with changes)

• 262 new residential units

• 18,780 sq. ft. of commercial space

› R esidential units

constructed or approved for construction in downtown Madison since 2010: 5,311, which is 28% of the total residential units constructed and approved citywide

› A cres in downtown

Madison: 419, which is about 1% of acres citywide*

› P ercentage of tax exempt

parcel acres in downtown Madison: 39%*

Sources: City of Madison Planning Division, City of Madison Assessors Office (*compiled by DMI)

New Construction in Downtown Madison (in millions) Residential

Commercial

Total $0.6 $247.1

$247.7

$250 $225 $200 $175

$12.3 $124.1

$150

$136.4

$125

$2.7 $89.8

$92.6

$100

$1.0 $74.0

$75.0

$75 $3.7

$2.5 $32.3 $0.7 $50 $26.8 $1.4 $36.1 $29.3 $17.1 $22.2 $22.9 $18.5 $25

0

2011

2012

$2.4 $17.3

$3.5 $16.6

$19.6 $20.1

2013 2014* 2015* 2016* 2017* 2018* 2019* 2020*

Source: City of Madison Assessors Office (*compiled by DMI). Residential defined as Single-Family, Condominium, 2-unit and 3-7 unit properties only. All other properties including large apartment buildings defined as commercial. Central Downtown area only.

Figures represent new and rehab construction projects.

4 | State of the Downtown

Citywide Taxes Generated from Downtown Madison

Real Estate and Personal Property Taxes Generated (in millions) Downtown Madison

City of Madison

11%

11%

10.9% 2011 $43.0

$474.5

10.2% 10%

10% 9.6% 9.3% 9.1% 9.1%

2020 $67.2*

10.5%

9.7%

9%

$641.8

2011 2012 2013 2014* 2015* 2016* 2017* 2018* 2019* 2020*

Source: City of Madison Assessors Office & Treasurers Office (*compiled by DMI)

Source: City of Madison Assessors Office & Treasurers Office (*compiled by DMI)

In 2020, the tax base in downtown Madison was $3.08 billion, an increase of $1.2 billion, or 64%, since 2011*.

Sources: City of Madison Assessors Office 2011 & 2020 (*compiled by DMI)

Development in Downtown Madison 2010-2019 Drury Plaza Hotel

Arden

Madison Youth Arts Center

Multi-Family Buildings Constructed 2010-2019 Total Units: 4,741 Approved/Under Construciton Units: 570 1

2

2-24

3

25-49 50-74 75-99 100-124 125-149

150-225

226-348

Other Projects 3KRQH

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State of the Downtown |

5

RESIDENTS Population

Age in Downtown Madison

Downtown Madison

City of Madison

Dane County

2000 22,168

208,054

426,526

2010 24,009

233,209

488,073

2020 28,951 2025

264,742

557,909

PROJECTION

31,278

281,515

595,155

Source: U.S. Census Bureau, 2000, 2010 Census; ESRI estimates, 2020 and 2025 projections*

Age Cohort

2000

2020

Under 15 years

0.8%

0.9%

15 to 34 years

87.4%

84.7%

35 to 54 years

7.7%

7.1%

55 to 74 years

2.1%

5.3%

75 years and older

2.0%

2.0%

Source: U.S. Census Bureau, 2000 Census; ESRI estimates, 2020*

In 2019, the median age of the population in downtown Madison was 23.3 years old.

Source: CBRE, ESRI 2020

Race/Ethnicity (percentage change by race) Downtown Madison American Indian & Alaska Native

City of Madison Asian

Black or African American

Hispanic or Latino (of any race)

White

Other Race / 2 or More Races

2000

0.3% | 0.4%

6.1% | 5.8%

4.3% | 5.8%

3.7% | 4.1%

85.8% | 84.0%

3.4% | 4.0%

2020

0.3% | 0.4%

11.6% | 10.1%

4.9% | 7.3%

4.9% | 7.7%

78.5% | 75.1%

4.7% | 7.1%

+5.5% +4.3%

6%

+3.6%

4% 2% 0%

0%

0%

+0.6%

+1.5%

+1.2%

+3.1% -7.3%

-8.9%

+1.3%

-2% -4% -6% -8% -10% Source: U.S. Census Bureau, 2000 Census; ESRI estimates, 2020*

6 | State of the Downtown

Gender City of Madison

Downtown Madison

Female 46.8%

Female 50.4%

Male 53.2%

Male 49.6%

City of Madison

51.7%

34.8%

Households With vs. Without Related Children Under 18 Years

Average Household Size Downtown Madison

City of Madison

1.79

2.15

Downtown Madison

City of Madison

4.1%

95.9%

22.3%

77.7%

Source: U.S. Census Bureau, 2018 ACS 5-Year Estimates*

Source: ESRI estimates, 2020*

Per Capita Income

Vehicles Available per Household City of Madison

40,000 $36,211

Downtown Madison

Source: U.S. Census Bureau, 2018 ACS 5-Year estimates* (Households spending over 30% of their income on housing are considered cost-burdened).

Source: ESRI estimates, 2020*

Downtown Madison

Occupied Housing Units Spending 30% or More of Income on Monthly Housing Costs

$35,792 $36,458

$37,174

35,000 $34,599 30,000 $33,643 $33,431 $33,819

Dane County

$37,952

Downtown Madison

City of Madison

$38,757

$35,449 $36,372

25,000 $20,700

20,000 15,000

$18,927

$22,695 $22,860 $22,302 $22,530

2009-13 2010-14 2011-15 2012-16 2013-17 2014-18

Source: U.S. Census Bureau, 2009-2013, 2010-2014, 2011-2015, 2012-2016, 2013-2017, 2014-2018 American Community Survey 5-year estimates*

One or Fewer 74.8%

One or Fewer 53.3%

Two or More 25.2%

Two or More 46.7%

Source: U.S. Census Bureau, 2018 ACS 5-Year estimates*

*ESRI data are estimates only that may not include local changes or factors such as the increase of population due to recent development projects. These estimates and Census figures are also not direct comparisons due to differences in the sources and data collection methodologies. Comparisons are for estimates only. U.S. Census Bureau, American Community Survey 5-year estimates figures are subject to a margin of error based on a 90 percent confidence interval. Per capita income figures are based on periods that contain overlapping years. Period differences in the figures may not be statistically significant.

Figures are adjusted for inflation in 2018 dollars. Income for downtown includes student population. Downtown defined as 53703 zip code for household spending on housing, available vehicles and related children under 18 years data.

State of the Downtown |

7

HOUSING › C entral downtown Madison neighborhoods/associations: 6 (Bassett, First Settlement, James Madison Park, Mansion Hill, Miffland [all part of Capitol Neighborhoods, Inc.] and State-Langdon)

› G reater downtown Madison area neighborhoods/associations: 9 (Bayview Foundation, Inc., Brittingham Apartments Resident’s Association, Greenbush, Marquette, Monona Bay, Parkside Resident Association, South Campus Property Owners Association, Tenney-Lapham and Vilas)

Apartment units in downtown Madison: 10,203, an increase of 37.5% from 2011* Source: City of Madison Assessors Office (*compiled by DMI)

Types of Units in Downtown Madison

Apartment Units Condo Living Units Duplexes Single-Family Properties Source: City of Madison Assessors Office (*compiled by DMI)

8 | State of the Downtown

251

170

239 1,181

147

7,423

10,203

2011

2020*

1,244

Multi-Family Rental Vacancy Rates in Downtown Madison

5.89%

6% 4.98% 5%

5.31% 4.95%

4.64% 3.70%

4%

3.37% 3.36%

3.63%

3.25%

3.56% 2.87%

3%

4.46%

3.68%

3.02% 2.56%

2% 2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2019

2018

2020

Source: Madison Gas & Electric, www.mge.com, Q2 figures for the 53703 zip code area

Occupied Housing Units by Tenure Downtown Madison

Median Value of Owner-Occupied Housing Units

City of Madison

Downtown Madison Owner Occupied 6.7%

Renter Occupied 93.3%

Owner Occupied 45.5%

Renter Occupied 54.5%

$400,495 City of Madison

$243,650

Source: CBRE, ESRI 2020

Source: ESRI estimates, 2020

Median Sales Price in Greater Downtown Madison

Home Sales in Greater Downtown Madison Single-Family 200 150 107 100 50 0

129

152

Condos 205

161 158

181 195 186

Single-Family $450k $400k $350k $300k $250k $200k

155

73 56 78 71 61 60 53 44 38 50 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Condos

$356K

$340K

$225K $247K 2010

2019

Source: REALTORS® Association of South Central Wisconsin/South Central MLS *downtown defined as the greater downtown area

Source: REALTORS® Association of South Central Wisconsin/South Central MLS *downtown defined as the greater downtown area

Average Rental Rates Location

Downtown Madison* City of Madison Downtown Minneapolis, MN Downtown Ann Arbor, MI Downtown Austin, TX Downtown Denver, CO Downtown Raleigh, NC Central Business District Seattle, WA Downtown Washington DC

Average Rent

Average Apartment Size Citywide

$1,655

844 sq. ft.

$1,272

844 sq. ft.

$1,593

786 sq. ft.

$1,843

882 sq. ft.

$2,826

864 sq. ft.

$2,145

842 sq. ft.

$1,469

958 sq. ft.

$2,531

693 sq. ft.

$2,552

744 sq. ft.

Source: RENTcafé, February 2020, *downtown Madison defined as the Capitol neighborhood area. Per RENTcafé, 1-bedroom apartments are closer to the average apartment size.

State of the Downtown |

9

QUALITY OF LIFE & SAFETY › C hildcare Facilities in Greater Downtown Madison • Spots Available: 652 Sources: Wisconsin Department of Children & Families, YoungStar Program. *Downtown facilities include: Creative Learning Preschool Inc., Cultured Kids Vilas, Dane County Parent Council Wee Start, Meriter Children’s Center, Red Caboose Child Care Center, SSM Health Child Care Center, University Avenue Day Care, Inc., UW Child Development Lab, and Tenney Nursery & Parent Center, Inc. Additional child care facilities may be located in downtown Madison that are not included in these numbers.

› P laces of Worship in Greater Downtown Madison • Members: 16,588 • Average Weekly Service Attendance: 4,414 (in-person and/or virtual) •M eals/people served at onsite food pantries/ meal programs in 2019: 38,572 (4% higher than 2018) Sources: Bethel Lutheran Church*, Blackhawk Church-Downtown, Calvary Lutheran Chapel, Faith Community Bible Church, First United Methodist Church*, Grace Episcopal Church*, Pres House (numbers based on students served), Madison Catholic Diocese (St. Raphael Cathedral Parish and St. Paul University Catholic Center), St. John’s Lutheran Church, UW Hillel (numbers based on Jewish undergraduate and graduate students at UW-Madison and attendance at Friday services and dinners), and Wisconsin Lutheran Chapel. Additional places of worship may be located in downtown that are not included in these numbers. Some numbers are based on calendar year 2019. *Place of worship included in onsite food pantry/meal program figure.

The Beacon, operated by Catholic Charities, is a comprehensive day resource center for people experiencing homelessness in Dane County.

From June 2019 – May 2020: • Average daily guest visits: 208 • Guests who obtained jobs: 38 • Guests housed: 48 • Average monthly volunteers: 120 Source: The Beacon

10 | State of the Downtown

• Volunteer hours: 16,046 • Number of partner agencies as of February 2020: 26 (*services suspended on March 14, 2020, due to COVID-19)

Lakes in Downtown Madison Lake Mendota

Phosphorus Concentration (mg/L)

Goal = <0.02-0.032

Lake Monona

0.045

0.045 0.040 0.035

0.028

0.030 0.025

0.037

0.034

0.032

0.018

0.020 0.015

0.027

0.030 0.026

0.022

0.030 0.026

2010

2011

0.036

0.026

0.025

0.022

0.020 2012

2013

2014

0.045

0.030

0.030

2015

2016

2017

2018

2019

Source: Clean Lakes Alliance, State of the Yahara Lakes reports

Lake Mendota

Water Clarity (ft)

Goal= >5 – 8.1

Lake Monona

9.7

10 9

7.2

8 7

5.6

6

4.3

5 4

4.6 4.8

3

3.6 2010

2011

4.9

4.9 2012

3.6 2013

4.1 2014

4.9

5.1 6.2

5.9 6.6 3.9

4.9

4.6 2015

6.6

2016

2017

2018

2019

Source: Clean Lakes Alliance, State of the Yahara Lakes reports

› Parks

in central downtown Madison: 6 (Brittingham Park, James Madison Park, Law Park, Peace Park, Period Gardens & Proudfit Park)

› Parks in greater downtown Madison: 19 in greater downtown Madison: 5 (B.B. Clarke Beach Park, Brittingham › Beaches

Park, James Madison Park, Tenney Park & Vilas Park)

Source: City of Madison Parks Division website

Criminal Offenses in Downtown Madison* 4000 3750

3,883 3,735

3,623

3,635

3,400

3500

3,542

3,497 3,173

3250

3,167 2,998

3000 2750 2500 2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

Source: City of Madison Police Department (*offenses include: battery simple assault, burglary, theft from building, theft from vehicle, all other larceny, damage/vandalism of property, drug/narcotic violations, disorderly conduct, liquor law violations, and trespass of real property)

State of the Downtown |

11

OFFICE MARKET › V acancy rate for office space in downtown Madison: 9.05%, up 1.7% from 2019 › D owntown Madison is comprised of 57.9% Class A, 30.3% Class B and 11.7% Class C office space

Source: Broadwing Advisors, LLC and REDI/Catylist, Q2 2020

Office Space by Class in Downtown Madison

Class A

Class B

Class C

Inventory: 2,027,560 sq. ft.

Inventory: 1,062,705 sq. ft.

Inventory: 411,385 sq. ft.

Vacancy Rate: 6.56%

Vacancy Rate: 6.84%

Vacancy Rate: 27.05%

Average Asking Lease Rate: $29.00 - $36.00

Average Asking Lease Rate: $25.00 - $28.50

Average Asking Lease Rate: $19.00 - $24.50

Total Inventory: 3,501,650 sq. ft. Vacancy Rate: 9.05% Average Asking Lease Rate: $19.00 - $36.00

Source: Broadwing Advisors, LLC and REDI/Catylist, Q2 2020

12 | State of the Downtown

Office Space Vacancy Rates in Downtown Madison 20 17.17% 15.85% 13.91% 15

13.4%

10.77%

9.8% 10

8.99%

7.95%

9.35%

7.35%

9.05%

2016

2017

2018

2019

2020

5 2010

2011

2012

2013

2014

2015

Source: Broadwing Advisors, LLC; Xceligent, Q3 2010-2011, Q2 2012-2017; and REDI/Catylist, Q2 2018-2020

Office Space Vacancy Rate Comparisons in 2020

City of Madison, WI Vacancy Rate: 8.4%

Minneapolis, MN

Downtown Madison, WI

Vacancy Rate: 14.6%

Vacancy Rate: 9.05%

Milwaukee, WI

Portland, OR

Vacancy Rate: 18.4%

Vacancy Rate: 12.8%

Austin, TX

Vacancy Rate: 10.6%

Indianapolis, IN

Vacancy Rate: 19%

Source: Broadwing Advisors, LLC, REDI/Catylist, and JLL

State of the Downtown |

13

EMPLOYMENT Number of Employees

Number of Businesses

Employment Status in Downtown Madison

Downtown: 50,627

Downtown: 1,992

Employed: 97.2%

City of Madison: 236,099

City of Madison: 11,565

Unemployed: 2.8%

Dane County: 410,694

Dane County: 22,240

Source: CBRE, ESRI 2020

Source: CBRE, ESRI 2020

Source: CBRE, ESRI 2020 (civilian population 16+ in labor force)

In 2019, 21.4% of employees citywide were located in downtown Madison.

Source: CBRE, ESRI 2020

14 | State of the Downtown

Employment by Industry in Downtown Madison (Top 10) 0%

10%

20%

30%

40%

Public Administration

35.7%

Educational Services

20.7%

Accommodation and Food Services Food Services and Drinking Places Professional, Scientific and Technical Services

10.9%

Finance and Insurance

5.3%

Information

4.2%

Legal Services

3.8%

Other Services (excluding Public Administration) Insurance, Funds, Trusts and Other

3.5%

8.2% 6.4%

3.0%

Source: CBRE, ESRI 2020

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Ri ve Private-Sector Businesses in Greater Downtown Madison (Top 10 by Number of Employees) r

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SSM Health St. Mary's Hospital 700 S. Park St.

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UnityPoint Health-Meriter Hospital 202 S. Park St.

ST

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J.H. Findorff & Son Inc. 300 S. Bedford St. Madison Gas & Electric Co. 133 S. Blair St. EatStreet Inc. 316 W. Washington Ave. Zendesk 25 W. Main St.

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JP Cullen 1 S. Pinckney St.

NO

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Camp Randall Stadium

State Capitol

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Research Products Corp.

1015 E. Washington Ave.

Lake Monona

Shopbop.com 1245 E. Washington Ave. National Guardian Life Insurance Co. 2 E. Gilman St.

â&#x20AC;ş 1 0,337 people are employed by the 10 largest private-sector businesses in

downtown Madison compared to 25,721 by the University of Wisconsin-Madison, State of Wisconsin, Dane County and City of Madison combined.

Sources: Madison Regional Economic Partnership (MadREP), June 2020, InBusiness September 2020, 100 Largest Employers in Dane County and University of Wisconsin-Madison, www.wisc.edu/about/facts, November 2019. Size measured by the combined number of full-time and part-time employees. Not all employees work onsite. Downtown defined as 53703, 53706 and 53715 zip code. Data from InBusiness is based on company self-reporting. Data for individual businesses from MadREP is provided by DatabaseUSA.com, which maintains a database of more than 14 million U.S. business entities and InBusiness Book of Lists 2019. Note that in aggregate, data from DatabaseUSA.com will not be consistent with Emsi labor market data due to differences in definitions, methodology, coverage, and industry/ geographic classification. Due to a lack of source data at the ZIP code level, Emsi's ZIP-level estimates can be less accurate when looking at a small number of ZIP codes. This is especially likely to occur in rural areas.

State of the Downtown |

15

EDUCATION HIGHER EDUCATION IN DOWNTOWN MADISON

University of Wisconsin-Madison

Enrollment (Fall 2019)

45,317

Campus

Budget (2018-2019)

936 acres (main campus)

$3,185,300,000

Research

Schools & Colleges

Expenditure ranking (national), 2017: 6th

13

Faculty & Staff

Living Alumni (2019)

22,365

451,142 Source: University of Wisconsin-Madison, www.wisc.edu/about/facts, November 2019

16 | State of the Downtown

PRIMARY EDUCATION IN DOWNTOWN MADISON Madison Metropolitan School District (MMSD)

District Enrollment

Languages (all-district)

Over 27,000 students

Staff (all-district)

100+ languages spoken 27% of students are English Language Learners 14+ Dual-Language Immersion programs

2,760 teachers (60% w/ master’s degree or higher); Total staff = 5,468

Operating Budget 2019-2020: $432,928,941

Development Partner

DMI Member Orgs

Key philanthropic and resource development partner to MMSD: Foundation for Madison’s Public Schools

who are foundation-based Adopt-A-School partners: 12

Source: Foundation for Madison’s Public Schools, July 2020

MMSD K-5 Enrollment by Free & Reduced Price Meals

MMSD K-5 Enrollment Downtown Madison

All-District

Downtown Madison 60 50 40 30 20 10 0

2010-2011 1,189

11,960

2019-2020 1,112

12,413

Source: Madison Metropolitan School District, www.madison.k12.wi.us for 2010-2011 and 2019-20 Analysis: Equitable Distribution of Staffing for 2019-2020*

All-District

50.7%

49% 30.2%

26.2%

2010-2011

2019-2020

Source: Madison Metropolitan School District, www.madison.k12.wi.us for 2010-2011 and 2019-20 Analysis: Equitable Distribution of Staffing for 2019-2020*

MMSD K-5 Enrollment by Race and Ethnicity Race

Downtown Madison 2010-2011

Native American Asian African American Hispanic White Other/Multiracial

2019-2020

All-District 2010-2011

2019-2020

0.2%

0.4%

0.4%

7.3%

4.8%

10.0%

0.3% 9.0%

8.4%

10.8%

18.8%

18.0%

9.9%

8.9%

19.6%

21.0%

68.4%

65.4%

44.4%

42.0%

5.7%

9.7%

6.8%

10.0%

Source: Madison Metropolitan School District, www.madison.k12.wi.us for 2010-2011 and 2019-20 Analysis: Equitable Distribution of Staffing for 2019-2020* *Downtown schools include: Lapham (K-2), Marquette (3-5), Franklin (K-2) and Randall (3-5). Figures exclude 4K and PK programs for 2010-2011 and factor 4K at 60% for 2019-2020.

State of the Downtown |

17

RETAIL & RESTAURANTS Madison’s Central Business Improvement District (BID) Madison’s Central BID is at the heart of downtown’s retail/restaurant area and encompasses the greater State Street, Capitol Square and King Street areas (see map on page 3). The Downtown Madison Mall Concourse is roughly the same boundaries as the BID.

› C ustomers helped by the BID’s Downtown Information Ambassador Program in 2019: 39,091

› C ustomers helped at the BID’s Visitor Center on State Street since its opening in 2010: 195,628

Source: Madison’s Central BID

BID Business Type Mix Food & Drink

Retail

Total: 212

Total: 360

Total: 392

50%

50 40

Service

42%

38%

37%

38%

35% 28%

30

20%

20

12%

10 0

1998*

2010

2020

Sources: Madison’s Central BID and Gibbs Report 1998 (BID boundaries expanded in 2018 impacting the number of businesses and spaces available.

Available spaces do not include properties slated for development.) *greater State Street area only

18 | State of the Downtown

BID Business Ownership Mix

BID Business Space Vacancy Rates

8.1%

7.5% 7.4%

8 7

7.1% 6.3%

6.3%

5.5%

6

5.9%

5 4

4.7%

4.6% 4.6%

3

12% 82% 6%

National Companies, Chains Regional Companies, Chainlets Locally Owned

2 1

3%

1998* 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Sources: Madison’s Central BID and Gibbs Report 1998 (BID boundaries expanded in 2018 impacting the number of businesses and spaces available. Available spaces do not include properties slated for development.) *greater State Street area only

Source: Madison’s Central BID, 2020 (Ownership mix figures do not include non-profits. Locally owned includes Wisconsin ownership, locally owned franchises.)

Street Vending in Downtown Madison Mall Concourse Food Carts Vending Licenses: 43

Sidewalk Café Licenses across the City of Madison: 79

Art and Craft Vending Licenses: 49

Merchant Vending Licenses: 7

› O f all the sidewalk café licenses across the City of Madison, 79% are located inside the BID boundaries.

Source: City of Madison Economic Development Division, 2020

Pedestrian Counts along State Street & King Street Daily Average:

64,425

Weekly Average:

453,453

Monthly Average:

1,964,965

Source: Madison’s Central BID (counts for May 2019-April 2020)

State of the Downtown |

19

TOURISM & ATTRACTIONS › V isitor spending, visitor supported jobs, and business sales in downtown

Madison generated $38 million in state and local governmental revenues in 2019, an increase of 19% since 2015

› V isitor spending in downtown Madison in 2019: $303.7 million, an increase of 23% since 2015

› J obs supported by visitor activity in downtown Madison in 2019: 4,431, an increase of 9.2% since 2015

Visitor Spending in Downtown Madison in 2019 (in millions)

› C onferences and conventions at Monona Terrace Community & Convention Center in 2019: Number: 60 Average attendance: 718 Economic impact: $33.3 million Room nights generated: 31,568

› M etro Transit bus detours from the Capitol Square due to events in 2019: 32

$66 $33.9

$86.5

$24.5

Recreation Transportation Retail Lodging Food and Beverage

Total: $303.7 Sources: Destination Madison, Tourism Economics, IMPLAN, Wisconsin Department of Revenue (downtown defined as 53703 zip code), Monona Terrace Community & Convention Center Annual Report 2019, Madison Metro

20 | State of the Downtown

Source: Destination Madison, Tourism Economics (downtown defined as 53703 zip code)

$92.8

Visitor Spending in Downtown Madison (in millions)

Number of Hotel Rooms/Accommodations Downtown Madison

305 300

7,541

$296.5

295

7000

285

5000

280

$276.1

275

4000

270

3000

265 255 250 245

6,184

6000

290

260

City of Madison

$303.7

$257.3

1,365

1000

$247.5 2015

1,969

2000

2016

2017

0

2019

2018

Source: Destination Madison,Tourism Economics (downtown defined as 53703 zip code)

2010

2020*

Source: Destination Madison (downtown defined as 53703 zip code) *includes hotel/motel/resort, bed & breakfast and hostel rooms

Visits to Destinations in Greater Downtown Madison for 2019*

Ya h

ar

a

Ri

ve

r

Memorial Union: 2,398,930 Union South: 1,512,628

N

N R

AI

BL

E

AS W

G

IN

H

Lake Mendota

TO

E AV

UW-Madison Athletic Facilities: 1,477,768 Alliant Energy Center: 725,806

ST

Henry Vilas Zoo: 780,000 Wisconsin Institutes for Discovery: 722,078

N PARK ST

STATE ST

N

AS W

Overture Center for the Arts: 690,175 Monona Terrace Community & Convention Center: 428,112 Madison Central Library: 421,564

E AV

G

IN

H

W

TO

KING ST

Madison Children’s Museum: 130,000

Lake Monona

Madison Museum of Contemporary Art: 173,788 Wisconsin Veterans Museum: 73,813 Wisconsin State Capitol Tours: 97,367 Breese Stevens Field: 150,000 Wisconsin Historical Museum: 71,335

Total: 9,853,364

›

I n 2019-2020, visits to destinations in greater downtown Madison decreased by 16.7% from 2018-2019.

Sources: Alliant Energy Center, Big Top Baseball Breese Stevens Field, Henry Vilas Zoo, Madison Children’s Museum (fiscal year ending June 30, 2020), Madison Museum of Contemporary Art, Madison Public Library, Monona Terrace Community & Convention Center Annual Report (guests served at all catered functions), Overture Center for the Arts Annual Report (patron experiences 2018-2019 season), UW Athletic Department (all facilities, July 1, 2019–June 30, 2020), Wisconsin Department of Administration, Wisconsin Historical Museum, Wisconsin Institutes for Discovery (door counts), Wisconsin Union (fiscal year ending June 30, 2020), Wisconsin Veterans Museum. *Additional destinations may be located in downtown Madison that are not included in these numbers.

State of the Downtown |

21

MOBILITY MOBILITY IN DOWNTOWN MADISON IN 2019

Bus (Metro Transit) • Fixed route ridership: 12,856,514, an increase of 28% since 2000 • Paratransit ridership: 113,325 • Routes serving downtown: 35, including UW circulators

Air

Bicycle

• Dane County Regional Airport passengers: 2,380,047, an increase of 57% since 2010

• Bicycle counts on Southwest Path at Monroe St.: 343,431, a decrease of 16% since 2015 • Bicycle counts on Capital City Trail at North Shore Dr.: 495,432, an increase of 40% since 2015

Automobile

Pedestrian

• City of Madison parking spaces in downtown: 4,055 off-street and 1,213 on-street metered

• Daily average pedestrian count on State Street and King Street: 64,425

•A verage weekday traffic crossing the isthmus in 2017: 113,172 vehicles, a decrease of 11% since 2010

Bike Share (Madison Bcycle) • Stations: 47 • Miles biked: 537,923, an increase of 757% since 2012 • Trips: 231,000+, an increase of 124% over 2018 and the most trips in Madison BCycle history Sources: Metro Transit, Madison BCycle, Dane County Regional Airport, City of Madison Traffic Engineering Eco-Totem counts, City of Madison Traffic Volume Report 2017 (downtown counts taken at the Midtown screen line, Wisconsin Ave. & MLK Jr. Blvd.), City of Madison Parking Utility (Off-street parking spaces include State Street Capitol, Government East, Overture Center, State Street Campus, and Capitol Square North Garages; Brayton, Buckeye, Blair, and Wilson Lots. On-street metered spaces exclude periphery spaces (Schenk’s Corner and Monroe St.) and spaces out-of-service long-term.), Madison’s Central BID (pedestrian counts from May 2019-April 2020)

22 | State of the Downtown

Metro Transit Bus System Ridership

Median Daily Parking Rates Comparison in 2019

$40

$40 15

$35

14,358,261

14

$30 $25

13,623,461

13

$20

12 11

$11

$11

$12

Minneapolis

Madison

Milwaukee

$15

12,856,514

11,475,597

$10 $5

10

$0

10,065,495

9 8

2000

2005

2010

2015

Chicago

Sources: City of Milwaukee, City of Minneapolis, City of Madison, Chicago: www. millenniumgarages.com/drive-up-rates/. *Rates are from covered parking facilities owned by each city.There are 3 in Milwaukee, 15 in Minneapolis, and 5 in Madison (Capitol Square North, Government East, Overture Center, State Street Campus, and State Street Capitol Garages.The S. Livingston Street Garage rates were not included in calculations). Chicago’s garages are all leased to commercial enterprises. Early-bird special rates were not considered. Rates were calculated for an 8am-5pm parking day and rounded to the nearest dollar.

2019

Source: Metro Transit

Means of Transportation to Work Drove Alone

Carpooled

Public Transportation

Walked

3.4% 0.3% 3.4%

Bicycle

3.8% 1.7%

10.1%

Other (Taxi, Motorcycle, or Other Means)

3.4%

4.5%

8.2%

1.5%

6.7%

4.5%

38.0%

40.1%

15.2%

Worked at Home

8.5% 65.4%

15.1%

10% 28.8%

27.5%

Downtown Madison 2011

Downtown Madison 2018

City of Madison 2018

Source: U.S. Census Bureau, 2011 and 2018 American Community Survey 5-Year estimates; figures are subject to a margin of error. Downtown Madison defined as 53703 zip code.

Walk, Transit & Bike Score Comparison Location

Occupancy Rates for Garages and Lots in Downtown Madison (percentage)

Walk

Transit

Bike

Downtown Portland, OR

96

94

90

Downtown West Minneapolis, MN

93

94

89

70%

Downtown Madison, WI

93

62

89

60%

Downtown Austin, TX

92

68

89

50%

Downtown Boulder, CO

83

57

89

Source: Walk Score®, www.walkscore.com, July 2020* *Walk Score® measures the walkability of any address based on the distance to nearby places and pedestrian friendliness.Transit Score measures how well a location is served by public transit based on the distance and type of nearby transit lines. Bike Score measures whether an area is good for biking based on bike lanes and trails, hills, road connectivity, and destinations.The scores are based on a weighted average of the scores of many addresses in the neighborhood. 100=high, 0=low.

90% 80%

40% 30%

2011 2012 2013 2014 2015 2016 2017 2018 2019

Overture Center (G)

State Street Campus (G)

Capitol Square North (G)

Buckeye (L)

State Street Capitol (G)

Government East (G)

South Livingston St. (G) Source: City of Madison Parking Utility (occupancy rates measured from 10am-2pm).

G=garage, L=lot.

State of the Downtown |

23

SUSTAINABILITY › L EED Certified and Registered Projects: • Downtown Madison: 27

• City of Madison: 122

Source: U.S. Green Building Council, www.usgbc.org, LEED Project Directory, August 2020 (downtown Madison defined as 53703 zip code)

22% of all LEED Certified and Registered Projects in the City of Madison are located downtown.

Source: U.S. Green Building Council, www.usgbc.org, LEED Project Directory, August 2020 (downtown Madison defined as 53703 zip code)

Electric Vehicle Charging Locations in Greater Downtown Madison 2020 Ya h

ar

a

Ri

ve

r

UW-Madison Lot 36 UW-Madison Lot 17 UW-Madison Lot 20

N

N R

AI

BL

E

G

IN

H

AS W

TO

E AV

Wisconsin Union Hotel Henry Vilas Zoo UW-Madison Lot 7

ST

UW-Madison Lot 29 City of Madison State Street Campus Garage Ovation 309

N PARK ST

STATE ST

N

W

G

IN

H

AS W

TO

KING ST

E AV

City of Madison Overture Center Garage Hilton Madison Monona Terrace The Edgewater Hotel City of Madison Capitol Square North Garage Madison Gas and Electric – 2 Madison Gas and Electric – 3 City of Madison South Livingston St Garage Festival Foods Lyric Apartments Willy Street Co-op East

Source: PlugShare, www.plugshare.com, August 2020

24 | State of the Downtown

Solar Installations Downtown Madison

Community Gardens City of Madison

Downtown Madison

City of Madison

28

5 (25% higher than 2014)

49 Source: The Gardens Network, danegardens.net, August 2020

Electric Vehicle Charging Stations

251

Downtown Madison

Source: Google Project Sunroof, last updated 11/2018, www.google. com/get/sunroof/data-explorer. (downtown Madison defined as 53703 zip code)

Community-Supported Agriculture Pick-up Locations Downtown Madison

19 Source: PlugShare, www.plugshare.com, August 2020

Bike-Friendly Businesses Downtown Madison

City of Madison

9 23 Source: Fair Share CSA Coalition, www.csacoalition.org, Farm Search CSA pickup location map, August 2020

14 Source: The League of American Bicyclists, bikeleague.org, August 2020

State of the Downtown |

25

CAPITOL EAST DISTRICT The Capitol East District is directly east of the central downtown and is bounded by Lake Mendota, Lake Monona, Blair Street and the Yahara River (see map on page 3).

› N ew development approved in the Capitol East District in 2019: • 8 projects

• 37,999 sq. ft. of office space

• 168 residential units

• 61,446 sq. ft. of institutional space

• 13,227 sq. ft. of commercial space

› R esidential units constructed or approved for construction in the Capitol East District since 2010: 1,727

› T ax base in the Capitol East District in 2020: $1.3 billion, an increase of 78% since 2013* › R eal estate and personal property taxes generated in the Capitol East District in 2020: $27.2 million, up $9.7 million since 2013*

› O ccupancy rate for the City of Madison South Livingston Street Garage in 2019: 42% Sources: City of Madison Planning Division, City of Madison Assessors Office (*compiled by DMI), City of Madison Parking Utility (occupancy rates measured from 10am-2pm)

26 | State of the Downtown

Population in Capitol East District 2000

2010

2020

2025 projection

7,930

7,962

9,835

10,717

Source: U.S. Census Bureau, 2000, 2010 Census; ESRI estimates, 2020 and 2025 projection*

From 2000 to 2020, the population of the Capitol East District has increased by 19%.

Source: U.S. Census Bureau, 2000 Census and ESRI estimates, 2020*

Employment in Capitol East District

New Construction in Capitol East District (in millions) Residential

Commercial

Total

60

$3.2 $52.2

55

$55.4 $54.2

$12.7 $41.4

$3.8 $54.1

$57.9

50 45 40 35

$3.6 $21.6

30

$25.2

25 20 15

$2.5 $5.9

10

$8.4

5

$3.3 $4.6

$7.9

$2.9 $0.3

$2.5 $5.9

$8.4

$3.2

0

6,833 Source: CBRE, ESRI 2020

2013 2014* 2015* 2016* 2017* 2018* 2019* 2020* Source: City of Madison Assessors Office (*compiled by DMI) Residential defined as Single-Family, Condominium, 2-unit and 3-7 unit properties only. All other properties including large apartment buildings defined as commercial.

*ESRI data are estimates only that may not include local changes or factors such as the increase of population due to recent development projects. These estimates and Census figures are also not direct comparisons due to differences in the sources and data collection methodologies. Comparisons are for estimates only.

State of the Downtown |

27

COVID-19 IMPACT EMPLOYMENT IMPACT Madison Region Remote Work Survey â&#x20AC;&#x201D; COVID-19 Impact The Madison Area Transportation Planning Board conducted the Madison Region Remote Work Survey in Dane County between June 9-30, 2020, to assess the impact of COVID-19 on remote work trends and attitudes in the greater Madison region. The survey received 1,881 responses from employees, managers, and executive leaders from a broad range of business, agency, and organization sizes and types. Some key findings from the survey relevant to downtown Madison are listed below.

Demographics for survey responses:

38% work in the

11%

53703 zip code 16%

5% live in the

73%

53703 zip code

99% are actively working

28 | State of the Downtown

Employees/Non-Managers Managers Executive Leader

T

During the Pandemic:*

Prior to the COVID-19 Pandemic:

39% 34%

64%

78% 1%

Primarily telecommuted

80%

Remote work was not allowed Remote work was allowed, but not common

Worked from home 5+ days/week Worked from home at least 1 day/week

Never worked from home

*When the most restrictions were in place defined as March 25-May 26, 2020

61% said their organization was somewhat prepared to transition to remote work while 10% said their organization was not at all prepared.

When business returns to normal: 79% of respondents would prefer to continue working from home at least 1 day per week 69% of respondents will view an employer more favorably if they have the option to work remotely

â&#x20AC;ş O f the executive leaders & managers, 69% believe more employees will work from home periodically in the future, and 51% intend to take steps to make it easier for employees to work from home in case of future emergencies.

Source: Madison Area Transportation Planning Board (statistics not based on an official survey write-up)

State of the Downtown |

29

TOURISM IMPACT Destination Madison Cancellations (as of 8/6/2020) 71

146,000+

Cancelled Events

100,000+

Expected Attendees

Room Nights

› T hese events were expected to generate over $52 million in direct spending in the community.

Source: Destination Madison (*numbers represent cancellations experienced among the business booked by Destination Madison and don’t include the impact of events such as WIAA or World Dairy Expo, or any business booked directly through hotels or other venues)

Wisconsin Athletics Cancellations (all facilities between 7/1/2019–6/30/2020) 318

Estimated Cancelled Events

340,214

Estimated Attendees

› $ 16 million lost in total economic impact on the Wisconsin economy for each cancelled home football game without fans.

Source: UW Athletic Department (*numbers are for all UW Athletics facilities), Wisconsin Athletics Economic Impact Report, June 2019

MOBILITY IMPACT Pedestrian Counts

Metro Transit 80% decrease in fixed monthly ridership in June 2020 compared to June 2019

65% decrease in pedestrians counted from March-July 2020 compared to the same timeframe in 2019 Source: Madison’s Central BID (counts are from a total of 14 pedestrian counters located throughout the BID—12 on State Street and 2 on King Street)

Source: Metro Transit

Madison BCycle (Bike Share)

› 1 09% increase in total miles ridden during January-July 2020 compared to the same timeframe in 2019

› 5 8% increase in ridership during March-June 2020 compared to the same timeframe in 2019

› 1 1,000+ more riders in June 2020 compared to June 2019 Source: Madison BCycle

30 | State of the Downtown

City of Madison Parking Utility

Bicycle Counts

› 1 1% decrease in

bicycles counted on Southwest Path at Monroe St. from January-July 2020 compared to the same timeframe in 2019

›

1 2% increase in bicycles counted on Capital City Trail at North Shore Dr. from January-July 2020 compared to the same timeframe in 2019

Source: City of Madison Traffic Engineering Eco-Totem counts

› L ess than 5% parking

occupancy from midMarch through early-June 2020*

› 6 9% decrease in parking revenue in June 2020 compared to June 2019

› B etween $900K and $1.3 million of revenue was lost each month from April-June 2020

Source: City of Madison Parking Utility (*parking occupancy numbers not official and were based on snapshots of data at various times. Revenue impacts were due to fee waivers for on-street parking meters for streateries and loading zones, and the significant decline in use/occupancy)

Dane County Regional Airport 45.5% decrease in passengers to date through May 2020 compared to the same timeframe in 2019 Source: Dane County Regional Airport

RETAIL & RESTAURANTS IMPACT

Business Turnover in Madison’s Central Business Improvement District (BID) 18

24

known new/incoming businesses

known closed/closing businesses

Source: Madison’s Central BID (numbers are year-to-date as of September 30, 2020)

Downtown Madison Streatery Program The City of Madison created the Streatery program to temporarily allow restaurants, taverns and other eligible businesses to expand their business footprint onto the public rights of-way or in privately owned parking facilities if approved.

26 approved on private property

41 expansions approved on sidewalks and parking lanes

4 café

zones downtown

STREET CLOSURE

of State St. from Friday evening – Sunday

Source: City of Madison Economic Development Division (numbers as of 7/6/2020)

State of the Downtown |

31

THANK YOU TO THE 2020 STATE OF THE DOWNTOWN SPONSORS Presenting Sponsor

Supporting Sponsors

Major Sponsors

Associate Sponsors

Designed By

360 Commercial Real Estate Alliant Energy Ho-Chunk Gaming Madison Monona Terrace Community & Convention Center

Produced in October 2020 by:

MISSION STATEMENT: Downtown Madison, Inc. is committed to planning for, sustaining and growing downtown Madison as a thriving regional economic engine that offers a best-in-class quality of life for businesses, residents and visitors.

VALUES STATEMENT: DMI strives to be an inclusive organization committed to respect and generosity of spirit. We believe that diversity strengthens downtown Madison and our entire community and encourage our members to engage with, learn from, and develop an understanding of others. We expect behavior that exhibits respect for all people and supports these values at DMI gatherings.

Downtown Madison, Inc. | 122 W. Washington Ave., Suite 250 | Madison, WI 53703 | www.downtownmadison.org