State of Downtown FY20

FY20 STATE OF DOWNTOWN

A N S WE R I N G TO DAY ’ S C R I T I CA L N E E D S WH I L E B U I L D I N G O N TO M O R R OW ’ S LO N G -T E R M VI S I O N

DOWNTOWN FOR EVERYONE Downtown’s upward trajectory has been strong. The last several years have seen remarkable growth across all sectors. And as we worked to develop and attract more residential options, corporate offices, hotels, amenities, and people, our future Downtown was our guide. Looking back for a moment, we see the progress clearly. We see our Downtown community as vibrant, attractive, compelling, and poised to continue the momentum.

Although faced with a turbulent and unrecognizable 2020, our focus remained steadfast on developing a better Downtown, a Downtown for everyone.

As we proceed into 2021, that intention and commitment will not change.

Our working orders demand that we continue to look forward. This year’s unprecedented challenges compelled us to reconsider our toolkits and strategies. They called us to re-calibrate our response to the timely needs of our community. And through it all, we have seen the collective strength of our stakeholders - the business owners and neighborhood champions who have demonstrated deep and palpable loyalty, dedication, and devotion to Downtown Memphis.

It is clear that the combination of our strengthened built environment coupled with our passionate community bode well for the future of our Downtown.

Photo by Phillip Van Zandt | Courtesy of Memphis Tourism

Dear Downtown Stakeholder, Downtown Memphis entered 2020 with unparalleled growth and activity. While we will not be able to gather in person this year to celebrate the wins and commemorate the struggles, we take this opportunity to share the state of our Downtown with you and thank you for your continuing contributions.

During the first three quarters of our fiscal year, the Downtown Memphis Commission (DMC) saw heightened development interest and activity. We furthered our mission by expanding our MWBE and minority-outreach strategies. And we made significant progress in our efforts to entice, enhance, and engage development and activation in our core city.

We are proud of our work, alongside developers and community partners – work that continues to produce tangible results today.

Today, the state-of-the-art Renasant Convention Center is nearing completion. The Canopy

by Hilton across from AutoZone Park has opened its doors. The apartments in One Beale will be move-in ready by year’s end, and it recently announced its second hotel flag.

FedEx Logistics’ global headquarters are complete at the former Gibson Guitar Factory.

Varsity Spirit has executed its lease agreement to join the Snuff District in Uptown.

New retailers, like Feelin’ Memphis and former DMC pop-up participant Paper & Clay, have chosen to plant their businesses on South Main. Construction on Raw Girls’ in the Downtown Core is underway. And, bookending our district, both Wiseacre and Grind City Brewing have opened their taprooms. We have seen restaurants become micro-markets, streets become patios, and collaboration between businesses of all types. And through it all, faced with multiple pandemic-related challenges, Downtown remained open for business.

Thanks to the wisdom of our boards and staff, we were able to swiftly pivot and adjust our toolkit when the COVID-19 disruption required a quick, appropriate, and thoughtful response on behalf of our neighborhood businesses. COVID-related grants, virtual programs, and amended PILOT agreements were only part of our response.

Since March, our interventions have helped some survive and navigate the pandemic.

They have also spurred new openings, construction progress, and innovations across hospitality, restaurant, retail and commercial spaces in our CBID.

PROGRESSING THROUGH THE PANDEMIC While we appreciate the success of our investments, we are focused on the future development of Downtown. To further our long-term strategy, we need your short-term support.

It is essential to recognize the very unique situation of our hospitality, restaurant, and retail neighbors – businesses built on a thriving Downtown. While more apartment and condo developments are on the way and our residential population remains at nearly 26,000, our daytime population has dramatically dropped from our pre-COVID 88,000. Additionally, concerts and conventions have been delayed; and the 11 million tourists and their $3.5B in spending we welcome each year to Memphis have severely declined.

The combination of these realities, in addition to the general economic health of our community, have put our Downtown hospitality, retail, and restaurant operations in great jeopardy.

These businesses have been here for you in the past. We need you to be here for them now and in the future. We sincerely encourage you to actively support these most critical but challenged categories of our Downtown. Whether you consider buying gift certificates for your staff, picking up a meal for your family, or shopping Downtown this holiday season, every purchase makes a tremendous impact.

In the following pages, you will find the fiscal year 2020 highlights and program details that continue to answer today’s critical needs while building on tomorrow’s long-term vision.

Thank you for your commitment to understanding that a vibrant Downtown is critical to a vibrant city. We ask that you remain committed.

We ask you to #BackDowntown now like never before.

Jennifer Oswalt, Outgoing President & CEO

Bobbi Gillis, Chairman

DMC

Center City Revenue Finance Corporation Board

Ray Brown, Interim President & CEO

Michael B. Chance, Chairman

DMC

Center City Development Corp

Deni Reilly, Chairman

Joyce Selina Love, Chairman

DMC Board

Design Review Board

Shanea McKinney, Chariman Downtown Mobility Authority Board

 DOWNTOWN DEVELOPMENT

03

RESIDENTIAL DEVELOPMENT

05

HOTEL DEVELOPMENT

07

OFFICE + RETAIL DEVELOPMENT

 CLEAN + GREEN PROGRAMS

01

09

 HOSPITALITY + SAFETY

11

 PARKING + MOBILITY

13

 EVENTS + ACTIVATION

15

 TIMELY RESPONSE

17

 DMC BOARD + STAFF

19

TABLE OF CONTENTS

01

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FY20 STATE OF DOWNTOWN

DOWNTOWN DEVELOPMENT Downtown Memphis is a distinctive and continually evolving environment of historic properties, potential restoration projects, and opportunities for new development.

The DMC is called to navigate and guide the area’s progressive growth with an eye toward maintaining its unique history, authenticity, and culture.

Through direct investment, intervention, and project oversight, the DMC takes a multilevel role in ensuring the development and maintenance of sound, high-quality, successful developments and design improvements within our built environment.

We increase the value and potential of projects through planning, consultation, and antineglect and anti-blight initiatives. We provide financial incentives for development through Downtown Property PILOTs; Development Loans; Retail, Storefront, and Pre-Development Grants. And our Design Review Board ensures the aesthetic appeal and continuity of the CBID by administering and evaluating sign regulations and design guidelines.

$5 BILLION

Currently in the Downtown development pipeline WITH

$1,064,514,669 Added in FY20

L A R G E ST CO M PL E T E D D EVE LO PM E N T

THE CITIZEN $33,583,182

L A R G E S T D E LVE LO P M E N T U N D E R CO N S T R U C T I O N

ONE BEALE $77M

L A R G E ST PL A N N E D D EVE LO P M E N T

THE WALK $741M

FY20 PROJECTS RECEIVING DMC INCENTIVES

134 TOTAL PROJECTS R E C E N T LY C O M P L E T E D , UNDER CONSTRUCTION, OR PLANNED IN FY20

18 5 3 9 3

PILOT Applications

Development Loans

Exterior Improvement Grants

Good Neighbor Grants

Tenant Improvements

WITH 107 DRB BOARD + ADMINISTRATIVE APPROVALS

03

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FY20 STATE OF DOWNTOWN

RESIDENTIAL DEVELOPMENT As Downtown’s unique, dynamic, and dense culinary, entertainment, and activity opportunities continue to grow, diversify, and advance, so does the desire for folks to call it home. The demand for residency is attracting more developers who are bringing an ever-increasing range of living possibilities. From condominiums, homes, and apartments, the range of living accommodations continues to expand. The scope of options invites a diverse mix of residents, which significantly adds to our districts’ vitality.

The DMC’s commitment to developing a Downtown for everyone extends beyond property development. We support residential growth by creating a vibrant, walkable, and engaging neighborhood. Our ongoing free programming across the CBID includes fitness, concerts, professional development, and art happenings.

Photo by Alex Shansky | Courtesy of Memphis Tourism

IN FY20, INCENTIVIZED PROJECTS ADDED

1,490 2,801

A PARTM ENTS UNIT S LEADING TO CAPACITY FOR

N EW R ESI DE NT S WITH AN ADDITIONAL

3,058

R E SI DENTI A L UNIT S I N PI PELINE

PL A N N E D

46 KEEL AVENUE $45,958,275

PLANNED

316 + 324 SOUTH FRONT $30,218,096

U N D E R CO N ST R U C T I O N

MARINE HOSPITAL $18,736,056

CO M P L E T E D

THE RISE APARTMENTS $73,061,578

05

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FY20 STATE OF DOWNTOWN

HOTEL DEVELOPMENT The $175 million renovation of the Renasant Convention Center is a hospitality game changer. The major upgrade will attract more conventions and meetings, increasing our 11+ million tourists each year, and has already helped recruit multiple hotel developers.

The additional hotel options bring the added capacity needed to recruit larger groups and a heightened level of style and service, elevating the entire Downtown hospitality sector.

IN FY20, INCENTIVIZED PROJECTS ADDED

1,210 363,000 H OTEL R O O M S

LEADING TO CAPACITY FOR

A DDITIO N A L DOWNTOWN VIS ITO R N IG HT S TOTALLING

4,160

CUR R EN T H OTEL RO O M S

In FY20, we welcomed The Arrive and Central Station hotels into the South Main neighborhood, and the Canopy opened its doors across from AutoZone Park in October of 2020.

These 3 additional developments increased the total by 359 to reach 4,160 Downtown hotel rooms.

Photo by Holly Whitfield | Courtesy of Memphis Tourism

CO M P L E T E D

ARRIVE $14,206,000

CO M PL E T E D

CANOPY BY HILTON $42,972,661

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FY20 STATE OF DOWNTOWN

OFFICE + RETAIL DEVELOPMENT Downtowns are often seen as the preferred address of office and corporate locations, and with the major influx of new construction and renovation, Memphis is no exception. Additional office occupancy brings more people and, in turn, increases demand for residential, restaurant, entertainment, and retail options. The symbiotic relationship between our workforce, residents, tourist, activities, and entertainment is critical, and no piece provides more stability than corporate commitment.

With the most walkable neighborhoods in our city, access to culture, arts, music, dining, and the great outdoors - we believe Downtown is the perfect place to plant corporate roots, and FedEx Logistics, Varsity Spirit, IndigoAg, Preserver Partners, and Kemmons Wilson Companies agree.

B U S I N E S S AT T R A C T I O N I S A K E Y F O C U S F O R T H E D M C ; W E H AV E S U C C E S S F U L LY C R E AT E D T H E M O S T E N G A G I N G O F F I C E C A M P U S I N O U R R E G I O N .

IN FY20, INCENTIVIZED PROJECTS ADDED

272,441 338,415

SQ FT

OF RETAIL SPACE

SQ FT

OF OFFICE SPACE

LEADING TO CAPACITY FOR

1,184

NEW DOWNTOWN EMPLOYEES

U N D E R CO N ST R U C T I O N

18 S. MAIN $4,696,029

CO M P L E T E D

FEDEX LOGISTICS HEADQUARTERS $62,522,503

U N D E R CO N ST R U C T I O N

RAW GIRLS $120,852

CO M P L E T E D

WISEACRE BREWING CO. $9,850,000

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FY20 STATE OF DOWNTOWN

CLEAN + GREEN PROGRAMS Our work to create an inviting Downtown begins long before we sit down with a potential developer or resident. It begins on our sidewalks, streets, and parks. In the service of welcoming Memphians and visitors to Downtown, we are dedicated to year-round management of landscaping and beautification of Court Square and the Main Street Pedestrian Mall.

We coordinate and commission public art. We encourage and celebrate with our Clean & Green Neighborhood Champion awards. And we partner with additional Downtown cleaning crews and programs to enhance our work.

In FY20, we celebrated the opening of Central Bark dog park in South Main, which created an engaging neighborhood asset on the site of a previously blighted empty lot. We also augmented our work with the Hospitality Hub via a CARES act grant to increase capacity for the neighborhood blight-fighting Work Local program. The Hospitality Hub’s Work Local program provides work seven days a week for clients. Workers receive a fair wage and a hot meal as payment for their work. Both men and women are offered an option to work Tuesday through Friday. Work Local runs women-only crews on Saturday, Sunday, and Monday.

21 1,400 140

Clean & Green Neighborhood Champion Awards

Pounds of trash and recycling per week

Number of alley pressure-washings as part of our weekly schedule

PLANTERS + BEDS • Added 236 planters and beds • 38 hanging baskets • 12 new flower beds to Court Square Park

COURT SQUARE IMPROVEMENTS

• Painted and repaired the Gazebo • Repaired and expanded the north driveway entrance • Added multiple flower beds with seating • Added two light poles to north driveway

CENTRAL BARK Created Central Bark, a nationally recognized dog park on previously vacant lot

HOSPITALITY HUB Expanded partnership with Hospitality Hub and the Work Local program to fund the dedicated crew to pick up the downtown core seven days a week.

11

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FY20 STATE OF DOWNTOWN

HOSPITALITY + SAFETY Our safety and hospitality program works to create a welcoming Downtown for all.

The Blue Suede Brigade’s 30+ brigadiers act as concierge, chaperone, tour guide, and safety ambassador for our residents and guests by adding a helpful, hospitable face to every corner of Downtown.

This year, our team stepped up their service to a city-wide level. Our BSB was called upon by the City of Memphis to help train Parks volunteers to effectively encourage guest compliance.

Throughout the COVID disruption, our BSB team has provided continuity, safety, and an encouraging smile behind their signature blue masks.

T R AC K E D

511,877 Community interactions

A N S WE R E D

4,033 Service calls for business

D I ST R I B UT E D

24,812 Maps throughout Downtown

D I S T R I B UT E D

3,000+ Masks on Beale Street

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FY20 STATE OF DOWNTOWN

PARKING + MOBILITY This year saw the beginning of implementation of strategies based on the results of our comprehensive Downtown Parking Study. One of the most significant, although subtle, transformations was changing the name of the Downtown Parking Authority to the Downtown Mobility Authority. The change in name is coupled with an expanded focus on a holistic approach to mobility, through our developing Transportation Management Association, includes micro-mobility, transit options, as well as parking. Serving to coordinate more comprehensive and connected mobility solutions will provide our constituents a more equitable, safe, appropriate, flexible, and sustainable way to move throughout our downtown.

Our recent engagement with Premium Parking for our parking facilities management and operations brings many additional opportunities. The state of the art, technology-driven, gateless parking approach brings a more seamless and appropriate consumer process along with more transparent access to parking data and trends that will enhance our knowledge of our visitors’ parking habits and desires.

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P R O P E R T I E S C U R R E N T LY M A N A G E D

DMC PROPERTIES

NR

OE

LOCATION #

SPACES

TYPE

P2701

353

GARAGE

P2702

62

SURFACE LOT

P2703

36

SURFACE LOT

P2704

58

SURFACE LOT

P2705

515

GARAGE

P2706

112

SURFACE LOT

P2709

491

GARAGE

P2710

124

SURFACE LOT

P2711

57

SURFACE LOT

P2712

525

SURFACE LOT

P2713

500

EVENT

P2714

350

OFF-AIRPORT

P2715

25

SURFACE LOT

N

SURFACE LOT SURFACE LOT

8.5 MILLION+ Pedestrians counted in targetd retail zones across the CBID

Photo by Craig Thompson | Courtesy of Memphis Tourism

2,000 Scooters active Downtown

14,734 Explore Bike Share check-outs

Photo by Craig Thompson | Courtesy of Memphis Tourism

49 Explore Bike Share stations

15

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FY20 STATE OF DOWNTOWN

EVENTS + ACTIVATION Creating an equitable, engaging Downtown community is at the core of our mission.

We believe our work enables people, organizations, and businesses to build stronger connections. By offering free classes, concerts, and community discussions, we invite both Downtowners and those from across our region to feel ownership and equity in Downtown.

Our events’ calendar works to do more than entertain - although with more than 30 free concerts each year, we do entertain. Our programming invites our community to play a key role in Downtown’s development and progress.

Our work to increase the area’s vitality includes event grants for Downtown activators, participating in business recruitment and retention, and creating the communication strategy and public messaging to make Downtown’s guests and residents aware of all of our resources.

S O C I A L LY E N G A G E D

UP 8.6% TO 56,741

UP 30.83% TO 29,946

15,806

EMAIL NEWLSETTER SUBSCRIBERS

DOWNTOWN EVENTS

• 237 Community-building activations and events • 205 Free Events • 49 Downtown Activation Grant Recipients • 270K Attendees

OPEN ON MAIN 5 operators/21 months of activation • Beg & Borrow + Dinstuhl’s at 145 S. Main • Hester Lane and MEK at 5 S. Main • Head to Toe at 100 S. Main

FOOD TRUCK THURSDAYS • 35 Weeks with 15,500 attendees • Normally 52 weeks; during COVID-19 disruption - transitioned to Carry-out Concerts Photo by Alex Shansky | Courtesy of Memphis Tourism

FREE FITNESS CLASSES

• 25K Yoga Attendees (Tuesday, Friday, and Sunday nights) • 12.5K Outdoor Core Fitness Attendees • 32 Zip codes represented

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FY20 STATE OF DOWNTOWN

TIMELY RESPONSE This year’s unprecedented disruption demanded that we call on our boards and staff to reconsider how we apply our resources, and to our capacity in new and innovative ways to respond to our community’s needs.

In Q3 of FY20, the DMC approached the COVID-19 pandemic and its associated economic impacts by quickly creating processes and tools to support both businesses and users of Downtown Memphis. This proactive response resulted in overwhelming community engagement while helping to keep Downtown business doors open.

With agility, focus, and expediency, we regularly polled our Downtown community to understand what they were facing firsthand. With that information inhand, we responded with unique support programs designed to provide assistance where most needed.

Our Business Continuity Forgivable Loan provided a lifeline, and our Marketing Micro-Grants funded district-wide community-focused promotion.

From short term needs, like bagging parking meters for picking up to-go orders and transitioning to an all-virtual event lineup, to long-term responses like creating a more comprehensive MWBE business directory and pre-development database, we listened and responded.

And we continue to respond.

DOWNTOWN BUSINESS CONTINUITY FORGIVABLE LOANS Designed to assist eligible businesses in serious jeopardy of permanent closure due solely to the recent COVID-19 panedemic and associated economic impacts • 46 approved - $260,000 total • 63% awarded to MWBE businesses • 70% awarded to Food & Beverage category

MICRO-MARKETING GRANTS $30K in micro-marketing grants to 30 restaurants, retailers, and service providers as a COVID-19 response for customeracquisition and new-segment marketing strategies

VIRTUAL EVENTS • 35 Free Fitness Classes - 34,854 views • 13 Carry Out Concerts - 15,617 views • 4 Art Chats - 4,254 views • 3 Downtown Tours - 2,264 views • 2 Cooking Classes - 2,858 views • 1 City Tasting Tour - 333 views

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FY20 STATE OF DOWNTOWN

About the Downtown Memphis Commission.

The DMC drives Downtown’s role as the community’s economic, cultural, and governmental core. Solely funded by an assessment on commercial property in the Central Business Improvement District (CBID), we reinvest those resources into incentives, programs, and activation for the continued development of Downtown and the betterment of all of Memphis and Shelby County. We are the official partnership between local government and the private business community in Downtown’s development.

Affiliate Boards The DMC board works along with four other affiliate boards that play different roles but share our same goals. Although each is a separate board, they operate in efficient coordination by sharing the same offices and staff.

DMC Board

Center City Revenue Finance Corporation Board

Deni Reilly, Chairman

Bobbi Gillis, Chairman & Treasurer

Terry Woodard, Vice Chairman

Eric Mathews, Vice Chairman

Benjamin Orgel, Secretary

Jim Crone, Secretary

John Pontius, Treasurer

Glenn Floyd

Raumesh Akbari

Brandy Johnson-Ward

Williams Brack

Christina Kurdilla

Mauricio Calvo

Jeri Moskovitz

Rep. Barbara Cooper

Sean Norris

Julie Ellis

Kevin Woods

Councilman Cheyenne Johnson Elizabeth Low Commissioner Mickell Lowery Cheryl Pesce Joann Massey Demar Roberts John Zeanah

Center City Development Corporation Board Michael B. Chance, Chairman Julie Lansky, Secretary Ray Brown, Treasurer Sharon Leicham Anton Mack Carl Person Benjamin Orgel Deni Reilly Terry Woodard

Design Review Board Joyce Selina Love, Chair Roderick DeBerry

114 North Main Street

Colin McDoniel

Memphis, TN 38103

Deni Reilly

901.575.0540

Mike Hammond

downtownmemphis.com

Michelle Ye Non-voting Office of Planning & Development representative: Brett Ragsdale Downtown Mobility Authority Board Shanea McKinney, Chairman John Golwen, Secretary & Treasurer Suzanne Carlson Alvin Crook Shara Goldin Travis Green Wayne West DMC Staff Jennifer Oswalt, Outgoing President & CEO Ray Brown, Interim President & CEO Christine Taylor, Office Manager Penelope Springer, Chief Financial Officer | Chief Compliance Officer Penelope Huston, Vice President of Marketing | Communications and Events Jonathan Mosley, Events & Programming Senior Coordinator Kaeyla Willis, Marketing Coordinator Theresa Taylor, Marketing Coordinator Jaske (Jay) Goff, Chief Diversity Officer | VP of Operations Clint Burke, Manager of Clean & Green Debra Streeter, Director of Security & Hospitality Erik Stevenson, EBO Specialist Brett Roler, AICP; Vice President of Planning and Development Katie Flynn, Development Project Manager Abram Lueders, Planning and Development Analyst

Cover photo of Bishop | Courtesy of Loaded For Bear