State of Downtown Raleigh Report 2017

BUILDING A CONNECTED & COLLABORATIVE DOWNTOWN 2017

|

DOWNTOWN RALEIGH ALLIANCE

LETTER FROM DRA PRESIDENT & CEO

THE STATE OF DOWNTOWN RALEIGH 2017: BUILDING A CONNECTED AND COLLABORATIVE DOWNTOWN A famous newspaper publisher named Benjamin Franklin once wrote that “an investment in knowledge pays the best interest.” As a former publisher myself and now Interim President and CEO of the Downtown Raleigh Alliance, I could not agree more. Investment and knowledge are key words for downtown Raleigh these days. Downtown is currently in the midst of a $1.75 billion pipeline of investment, which includes 3,672 new residential units, more than 1,000 new hotel rooms, and 346,000 square feet of new retail space. Additionally, this community’s investment in a knowledgeable and talented workforce is driving over 1.5 million square feet of new office space, which will add thousands of workers to downtown. As we add more people, retail continues to grow with more than 16 new stores opening in the past year alone.

The public sector is also making major investments in this downtown with over $200 million in projects including an upcoming renovation to Moore Square and an $88 million multi-modal center with Raleigh Union Station. In 2016, this community also took major strides towards a more connected and sustainable future by approving both a Bike Share system and the Wake Transit Plan, which will bring Bus Rapid Transit, commuter rail and enhanced bus service to connect downtown with communities throughout the county and region. And near and dear to my heart, the city continues to make great progress on Dix Park, which will be our 308acre destination park and a key to Raleigh’s future as a world class city.

In my 17 years in Raleigh and downtown, I have personally witnessed an extraordinary revitalization. In 2000, when I started at The News & Observer, downtown’s population was barely 3,000 residents, most of whom lived along its periphery. Today, though, downtown is home to over 8,000 residents with more coming all the time. As our report shows, this growth and investment show no signs of abating. We continue to attract award winning restaurants, cuttingedge companies, and creative people. Not to mention 3.2 million visitors to our attractions this past year.

ORAGE QUARLES III Downtown Raleigh Alliance, Interim President & CEO

This year’s State of Downtown report aims to provide more knowledge on the many investments being made in this downtown now and in the future. Each chapter provides a detailed look at all of the interrelated aspects of downtown that reinforce each other and make downtown a vibrant and exciting place. We provide both industry-specific data collected by others, as well as original analysis and data from our staff here at DRA on retail, population, density, future projections, and many other areas. Furthermore, this report benchmarks downtown Raleigh to peer central business districts and regional trends, as a way of showing our tremendous success, as well as opportunities for improvement and further growth.

This report is a major, multi-month effort led by Bill King, Senior Director of Planning and Development; designed by Stacey Simeone, Marketing and Communications Director; and aided by project team member Tyler Breazeale, Research Analyst.

Lastly, at DRA we strive to be an excellent resource for our community and our real estate and economic development partners. Please contact us if you have any questions or comments about how DRA can help you invest or expand your footprint in downtown.

We hope this report provides you knowledge on how investment of all kinds in downtown Raleigh pays off and will continue to do so for many years to come.

04 | INTRODUCTION TO DOWNTOWN 14 | DEVELOPMENT & INVESTMENT 24 | FUTURE PLANNING & PUBLIC INVESTMENT 30 | LIVING 40 | OFFICE, INNOVATION, EMPLOYMENT & TALENT 52 | CONNECTIVITY & SUSTAINABILITY 60 | SHOPPING 66 | DINING & NIGHTLIFE 70 | ARTS , CULTURE & TOURISM

Seaboard/ Person Street District

Glenwood South District

Capital District

Moore Square District

Warehouse District Fayetteville Street District

1-mile radius

Downtown

MSD boundaries

FAST FACTS HOTEL ROOMS: 1,247*

SQUARE FEET OF PRIVATE OFFICE SPACE: 7.2 million square feet

HOTEL OCCUPANCY: 71.2% PERCENTAGE OF RESIDENTS WITH AVERAGE DAILY ROOM RATE: $146.23

BACHELOR’S DEGREE OR HIGHER: 46%

RETAILERS: 104

ENROLLMENT IN RALEIGH UNIVERSITIES: 40,186

RESTAURANTS: 141 HOUSING UNITS: 5,733 ARTS & CULTURAL INSTITUTIONS: 42 AVERAGE RENT: $1,265 VISITORS TO TOP ATTRACTIONS: 3.2 million

POPULATION WITHIN ONE MILE: 16,500

VISITORS TO OUTDOOR FESTIVALS: 1.1

AVERAGE WALK SCORE: 90

million ACRES OF PARKS NEAR DOWNTOWN: TOTAL NUMBER OF EMPLOYEES:

447**

45,000+ JAMES BEARD NOMINATIONS SINCE OFFICE OCCUPANCY: 88.6%

*Includes Residence Inn opening mid-2017 **Includes 308-acre Dix Park still in progress

2010: 10

MAJOR DOWNTOWN EVENTS + FESTIVALS

© Tierney Farrell © Carolyn Scott

INTRODUCTION TO DOWNTOWN

Downtown Raleigh is in the midst of historic growth. Since 2005, downtown has seen over $3 billion in development completed, which has added new residences, convention space, offices, retail, entertainment venues, hotels, and restaurants.

This once-sleepy downtown has been transformed into a vibrant center of activity. The future is even brighter for downtown with growth poised to add thousands of new residents, workers, visitors, stores, businesses, parks, and infrastructure. In 2016, downtown’s rapid growth continued in every asset class and the pipeline remains full of exciting projects that will continue to make this one of the fastest growing downtowns in the country.

Downtown is also home to a thriving creative culture with artists, musicians, innovative tech companies, award-winning chefs, and cutting-edge makers all sharing and creating in downtown Raleigh.

PROJECTED IMPACT OF RECENT AND PLANNED DEVELOPMENT RESIDENTS

3,672 residential units

5,500 new residents

OFFICE SPACE

1.5 million square feet

6,000+ new office workers

RETAIL SPACE

346,000+ square feet

100+ stores and restaurants

HOTELS ROOMS

1,000+ new rooms

365,000+ more overnight stays per year INTRODUCTION TO DOWNTOWN | 5

© Flyboy Photography

MORE DEVELOPMENT

MORE EMPLOYEES

$1.75 BILLION+ DEVELOPMENT PIPELINE

1.5 MILLION SQUARE FEET OF NEW OFFICE SPACE

• • • •

• 1 00,000 square feet of co-working space • 77 employees per acre, densest office market in Triangle

$544 million recently delivered $382 million under construction $823 million planned $200 million in public investment

MORE VISITORS 3.2 MILLION VISITORS TO ATTRACTIONS • 1.1 million attendees at outdoor events • 150+ outdoor events 1,097 NEW HOTEL ROOMS UNDER CONSTRUCTION OR PLANNED • 1 1% increase in hotel room occupancy since 2013

MORE STREET-LEVEL ACTIVITY AND VIBRANCY $200 MILLION IN FOOD AND BEVERAGE SALES IN 2016 • 1 40+ restaurants and 31 new restaurants since start of 2016 • 10 James Beard nominations 31 NEW RETAILERS SINCE 2014 AND 84 NEW STREET LEVEL BUSINESSES SINCE START OF 2014

MORE RESIDENTS 3,672 NEW RESIDENTIAL UNITS RECENTLY DELIVERED, UNDER CONSTRUCTION, OR PLANNED • 1,803 units delivered • 564 units under construction • 1,305 units planned

8,000+ RESIDENTS IN DOWNTOWN • 147% growth since 2000 • Will exceed 10,000 in next three years

MORE VALUE

MORE CONNECTIVITY AND GREEN SPACE 57 MILES OF NEW MASS TRANSIT, $88 MILLION MULTI-MODAL CENTER, BIKE SHARE •2 0 miles of Bus Rapid Transit and 37 miles of commuter rail, plus enhanced bus service • 30 stations and 300 bicycles in new bike share 344 ACRES OF NEW AND RENOVATED PARKS •D ix Park, Moore Square, Chavis Park, Devereux Meadows

31% INCREASE IN VALUE FOR DOWNTOWN PROPERTY SINCE 2008¹ 106% INCREASE IN LAND VALUE FOR DOWNTOWN SINCE 2008¹ ¹Wake County Tax Assessor’s Office

INTRODUCTION TO DOWNTOWN | 7

POPULATION | PERCENTAGE INCREASE SINCE 2000

POPULATION | SHARE BY DISTRICT

Downtown Raleigh’s population has grown by 147% since 2000 with the addition of over 3,500 residential units in the past 16 years in buildings like Park Devereux, PNC Plaza, The Hudson Condominiums, The Dawson, Hue Apartments, Palladium Plaza, West at North, 222 Glenwood, 712 Tucker, SkyHouse, The L, Elan City Center, The Edison, The Link, The Gramercy, and St. Mary’s Square.

Every district in downtown is adding units and population, including the Capital District, which has seen recent additions from Elan City Center, Blount Street Commons, and Peace Street Townes. Moore Square also gained a significant number of new units from SkyHouse, The Lincoln, and The Edison, while Glenwood South continues to add hundreds of units from The Link, The Gramercy, and Four25 Devon.

Warehouse Fayetteville Street

9%

17%

DOWNTOWN RALEIGH Capital 8%

Glenwood South

CITY OF RALEIGH

36% Moore Square 30%

STATE OF NC

0%

20%

40%

60%

80%

100%

120%

Source: U.S. Census

140%

160% Source: DRA

DENSITY | PEOPLE PER SQUARE MILE

INCOME | GROWTH

11% growth IN AVERAGE HOUSEHOLD INCOME FOR DOWNTOWN RESIDENTS BETWEEN THE AGES OF 25-54 FROM Downtown

City of Raleigh

Wake County

5,277/SM

3,078/SM

1,195/SM

Sources: U.S. Census, ESRI Business Analyst, City of Raleigh, Wake County

2016-2021.¹ ¹U.S. Census

POPULATION | GROWTH EXPECTED TO CONTINUE IN YEARS TO COME

Downtown Raleigh’s current population is an estimated 8,200 residents. Within one mile of downtown’s center point, the current population is an estimated 16,500. Downtown’s population is projected to be over 11,000 residents by 2022. Also by 2022, 19,640 residents will reside within one mile of downtown’s center with opportunity for even more growth if the present rate of development continues.

CBD

20,000 18,000

Within 1 mile

16,000 14,000 12,000 10,000 8,000 6,000 4,000 2,000 0 2000

2010

2014

2017

2022 (Projected)

Source: U.S. Census, ESRI Business Analyst

AGE | A YOUNG DOWNTOWN 35.4% of downtown residents are between the ages of 25-44 compared to 28% for the Raleigh metropolitan area and 26% nationally.

30%

25%

20%

15%

10%

5%

0% Under 19

20-24

25-34 CBD

35-44 Raleigh MSA

45-54

55-64

65+

US

Source: U.S. Census, American Community Survey

INTRODUCTION TO DOWNTOWN | 9

© Tierney Farrell

© Flyboy Photography

© Flyboy Photography

© Flyboy Photography

© Carolyn Scott

© Stacey Simeone

MAJOR DOWNTOWN EVENTS + FESTIVALS

DOWNTOWN DISTRICTS Capital District The Capital District is the power center of North Carolina and home to some of the state’s biggest tourist attractions. With the State Capitol, Legislative Building, Governor’s Mansion, and 3.5 million square feet of government office space, many of the most important decisions in the state are made in this district. The Capital District is also home to the NC History Museum and NC Museum of Natural Sciences, which combined to attract over 1.3 million visitors last year, more than any other attractions in the state. With new apartments and townhomes opening on the northern edge of the district and more planned, this district will transform into a more vibrant district for downtown.

• 276 new residential units delivered in past year • 1.5 million visitors • 9,000 employees

Fayetteville Street District Home to the civic spine of the city and state with the iconic Fayetteville Street, this district has something for everyone with skyscrapers of Class A office space and condos mixed with award winning restaurants, a major performing arts center, large outdoor event space and amphitheater, independent retailers, galleries, the convention center, and exciting nightlife. This district has also added unique boutiques and a wide array of restaurants over the past few years.

• 44 dining establishments • 19 stores and boutiques • Home to the four tallest buildings in Raleigh and six of the top 10 overall

Moore Square District Moore Square is primed to change dramatically with major public investment helping stimulate large private development. The park will undergo a $12 million renovation beginning in summer 2017, while the nearby GoRaleigh Transit Center, the central hub for Raleigh’s bus system, is finishing a $9 million renovation. Meanwhile, new residential development such as SkyHouse, Edison, and The Lincoln help make this district one of the densest neighborhoods in Raleigh. The district is already a destination for retail and the arts as it’s home to the unique Historic City Market, along with Artspace—30,000 square foot historic building featuring 25 artist studios. There are plenty of entertainment options like Marbles Kids Museum and live music venues such as The Lincoln Theatre and Pour House Music Hall.

• 13 new businesses opened in the past year • 777 units opened in 2015 and 2016 • Over $20 million in public investment in 2016-2017

Glenwood South District One of downtown’s signature streets anchors this eclectic mix of restaurants, art galleries, stores, nightlife, and residences. New restaurants blend in with established favorites, while the exploding population of young workers find plenty to do in the active bar scene, which includes the world record holding Raleigh Beer Garden. With over 600 units under construction or recently delivered and more on the way, Glenwood South will build on its existing residential base to become one of downtown’s most distinctive neighborhoods.

• 1,600+ new residential units recently delivered, under construction, or planned • 30+ dining establishments • 30+ retailers

Seaboard/Person Street District (North End) Containing the commercial centers of Seaboard Station and Person Street Plaza, the northern end of downtown has a neighborhood feel with locally owned businesses such as bakeries, clothing boutiques, hardware and garden stores, and some of downtown’s best restaurants. This area is home to historic anchor institutions like William Peace University, as well as contemporary landmarks like the AIA Center for Architecture, and the new Holy Trinity Anglican Church. Nearby residential development like Blount Street Commons, Elan City Center Apartments, and Peace Street Townes are bringing more residents to this area and increase the demand for retail and services, along with better connectivity to the rest of downtown.

• Over 15 retail stores and services • 10+ dining establishments

Warehouse District Characterized by its red brick warehouses, the Warehouse District has transformed into a vibrant mix of art museums, restaurants, destination retail, technology firms, and will soon add transit-oriented development to the mix with the addition of Raleigh Union Station and The Dillon, a mixed use tower and residential development. The Warehouse District is home to great restaurants, galleries, and entertainment venues and has seen the addition of new destination retail, where retailers make their products and sell them on site.

• Over 250,000 square feet of office space for cutting edge companies under construction or planned • Home to Citrix, HQ Raleigh, and new projects The Dillon and Morgan Street Food Hall • Over 10 restaurants, 10 stores, six art galleries with 62,000 square feet of retail space under construction

INTRODUCTION TO DOWNTOWN | 11

•P remier outdoor event location, now hosts thousands of visitors for Winterfest, concerts, movie series, farmers market, and other events

REVITALIZATION 2003: LIVABLE STREETS PLAN

2010: RED HAT AMPHITHEATER OPENS

Five transformative projects in five years

•P rovides a unique outdoor entertainment venue for the region with the downtown skyline as a backdrop

1. F ayetteville Street reopened to vehicular traffic 2. Build new Raleigh Convention Center 3. Pedestrian environment improvement 4. Upgrade business climate through regulatory reform 5. Expand downtown management and marketing

•M arbles Kids Museum opens, drawing over 600,000 visitors to downtown every year

•P rovides over 500,000 SF of exhibition and meeting space, along with 390 rooms in the heart of downtown

•R aleigh’s tallest building at 538 feet, RBC Plaza (now PNC Plaza) completed • 426 luxury condo units completed this year alone at 222 Glenwood, West at North, and RBC Plaza

© Carolyn Scott

2008: $630 MILLION IN COMPLETED PROJECTS

© Carolyn Scott

2008: RALEIGH CONVENTION CENTER AND MARRIOTT CITY CENTER OPEN

© Carolyn Scott

2007: $123 MILLION IN DEVELOPMENTS

2013: TECH COMPANIES MOVE DOWNTOWN • I preo relocated to the One City Plaza and brings over 250 jobs to downtown • Red Hat moves into Red Hat Tower after a $30 million renovation, bringing 900+ jobs

© Carolyn Scott

•T he Hudson, The Paramount and The Dawson give new residential options

© Carolyn Scott

© Carolyn Scott

2005: $60 MILLION IN DEVELOPMENT COMPLETED

•C ontemporary Art Museum opens anchoring the Warehouse District © Monica Slaney

•R ed Hat Tower completed—the $100 million project added over 350,000 SF of office space

© Tierney Farrell

2011: CAM RALEIGH OPENS

© Carolyn Scott

2004: TWO PROGRESS PLAZA (NOW RED HAT TOWER) OPENS

© Carolyn Scott

2009: CITY PLAZA OPENS

DOWNTOWN RALEIGH

2013: JUSTICE CENTER AND SECU TOWER OPEN •J ustice Center: $153 million investment and LEED Silver certified • SECU: $45 million, 12-story, 240,000 SF, LEED Gold certified

2014: CITRIX MOVES INTO THE WAREHOUSE DISTRICT •O ccupies a 170,000 SF modern office building in a restored warehouse, joining other tech companies to help make downtown a destination for innovative and cutting edge firms.

© Tierney Farrell

2015: UNION STATION BREAKS GROUND • $88 million multi-modal station in the Warehouse District, which will enhance downtown’s transit accessibility and connectivity to the rest of the region and stimulate transit-oriented development

WEST STATION ENTRY

2015: DOWNTOWN EXPERIENCE PLAN APPROVED

HOTEL ROOMS ADDED TO TRY AND MEET GROWING DEMAND

• 1 0-year plan that calls for more green space, retail, density, connectivity, and strategic development

Buoyed by a rising occupancy rate, more business travelers visiting downtown and a strong interest in expanding Raleigh’s successful convention center, more hotels will open

TIMELINE: LOOKING AHEAD 2017- : MORE OFFICE TOWERS AND COLLABORATIVE SPACE OPEN

•W ith 564 units under construction and more than 1,300 planned, downtown continues rapid growth

MORE GROUND-LEVEL SPACE ADDED TO HELP ACCOMMODATE GROWING RETAIL DEMAND

© Flyboy Photography

RESIDENTS FLOCK TO DOWNTOWN AS NEW DEVELOPMENTS OPEN

•T he 308-acre Dix Park gives downtown and Raleigh a signature, urban green space for a wide variety of recreational uses • 12-acre Devereux Meadows provides much needed green space near Glenwood South and the north side of downtown • Moore Square’s renovation provides a dynamic new park in the heart of downtown • 30 stations and 300 bicycles for Raleigh’s new Bike Share • Bus Rapid Transit, Commuter Rail and Enhanced Bus Service make downtown a center for mass transit

Given the rapid growth of downtown’s retail base, food and beverage sales breaking $200 million, and storefront vacancy continues to hover in the single digits, more ground level space will bring new stores and life to downtown’s streets

© Flyboy Photography

•C harter Square II, The Dillon, One Glenwood, The Edison, 400H, and City Centre will add 1.5 million SF of new office space to downtown • New collaborative space like The Nest and HQ Raleigh’s expansion will help more small companies incubate and grow in downtown

MORE GREEN SPACE AND TRANSPORTATION OPTIONS ADDED INCLUDING DIX PARK AND MASS TRANSIT

© Flyboy Photography

•O ver 1,800 units delivered in 2015 and 2016, adding a substantial number of new residents

© Tierney Farrell

2016: RESIDENTIAL GROWTH

•R esidence Inn by Marriott opens in 2017 with 175 rooms near the convention center • Over 900 rooms planned

© Flyboy Photography

• 240,000 SF, Class A office tower opens on Fayetteville Street, providing more high quality office space to downtown’s tight market

© Tierney Farrell

2015: CHARTER SQUARE OPENS

•2 00,000 SF of new ground-floor space added to downtown

INTRODUCTION TO DOWNTOWN | 13

MAJOR DOWNTOWN EVENTS + FESTIVALS

© Flyboy Photography

DEVELOPMENT & INVESTMENT

Downtown Raleigh is exploding with new construction and development. Over the past decade, downtown has seen over $3 billion in investment, which has resulted in more residents, workers, and visitors, along with more retail, restaurants, bars, and services.

$1.75 BILLION 5 MILLION SQUARE FEET of office space being added to downtown

1,097 HOTEL ROOMS planned or under construction

3,672 RESIDENTIAL UNITS recently completed, under construction, or planned

OF RECENTLY COMPLETED, UNDER

$544 M

CONSTRUCTION, OR PLANNED

$400 MILLION in ongoing construction

$200 MILLION in public investment

DEVELOPMENT DELIVERED in 2015 and 2016

DEVELOPMENT

INVESTMENTS IN DOWNTOWN ARE YIELDING BIG PROFITS FOR DEVELOPERS ACROSS ASSET CLASSES, INCLUDING OFFICE, RESIDENTIAL, AND HOTEL PROPERTIES. CHARTER SQUARE: 24% return on investment

SKYHOUSE RALEIGH: Sets record for multifamily property sale in the Triangle at $320,000 per unit $100

$300

$80

$250

Price (in millions)

Price (in millions)

$350

$200 $150 $100

$40

$20

$50 $0

$0 Investment

Source: TBJ

$60

Sold

Investment

Sold DEVELOPMENT & INVESTMENT | 15

© Flyboy Photography

MAJOR DOWNTOWN EVENTS + FESTIVALS HOTELS

DOWNTOWN: VALUABLE AND RISING Downtown is Raleigh’s most valuable area, as shown below, with downtown in the center of the map.

affordable housing or new infrastructure such as sidewalks, bike lanes, green space, and a bike share system for Raleigh.

The additional tax revenue generated by dense, downtown development can provide needed funds for new or additional government services from police and fire protection to

This tax revenue is generated on far less land than development outside the CBD.

Property Values Per Acre, 2016

ASSESSED VALUE PER ACRE Less than $250,000 $250,000-$500,000 $500,000-$1,000,000 $1,000,000-$2,000,000 $2,000,000-$3,000,000 $3,000,000-$4,000,000 $4,000,000-$5,000,000 $5,000,000-$7,500,000 $7,500,000-$10,000,000 More than $10,000,000

Source: City of Raleigh Planning Department, Ray Aull

This map depicts the total assessed value of each parcel on a per acre basis as of February, 2016.

Source: Wake County Revenue Department

By Ray Aull, City of Raleigh Planning

Density and height in downtown office towers pays off. On average, downtown skyscrapers pay $909,693 in property taxes per acre, per year, which is $904,001 more than Raleigh’s big box stores.

TAX REVENUE | AVERAGE PROPERTY TAX YIELD PER ACRE (CITY AND COUNTY) BY DEVELOPMENT TYPE Denser development in downtown results in more efficient use of land and much higher value per acre than low-rise commercial development. For example, a downtown office tower pays an average of $909,693 in property taxes per acre, per year, while a big box retailer in Raleigh pays an average of $5,692 per acre annually. Multifamily apartment buildings in downtown also yield more efficient tax revenue per acre, as they average $213,088 per acre in property taxes to the city and county governments versus just over $14,223 per acre for large apartment complexes throughout the rest of the city.

$1,050,000.00

$909,693

$900,000.00

$750,000.00

$600,000.00

$450,000.00 $213,088 $300,000.00

$2,204

$5,692

$14,223

Single Family Home

Big Box Store in Raleigh

Apartment Complexes Outside CBD

$54,614

$150,000.00

Source: Wake County Tax Assessor’s Office

Malls in Raleigh

Downtown Multifamily Apartment Building

Downtown Skyscraper

DEVELOPMENT & INVESTMENT | 17

© Carolyn Scott Photography

MAJOR DOWNTOWN EVENTS + FESTIVALS

Each of the five downtown districts will see significant private and public investment.

WHAT’S NEW | RECENTLY DELIVERED, UNDER CONSTRUCTION + PLANNED DEVELOPMENT BY DISTRICT

18%

29%

16%

19%

17%

Capital

Glenwood South

Moore Square

Fayetteville Street

Warehouse

$305,100,000

$494,100,000

$271,200,000

$318,600,000

$288,650,000

Over $1.75 billion in recently delivered, under construction, and planned development.

DOWNTOWN DEVELOPMENT PIPELINE | DEVELOPMENT SINCE THE START OF 2015 OFFICE

RESIDENTIAL

HOTEL

RETAIL

COMPLETED

427,318 SF*

1,803 Units

N/A

115,500 SF

UNDER CONSTRUCTION

210,000 SF

564 Units

175

104,000 SF

PLANNED

1,039,500 SF

1,305 Units

922

127,000 SF

TOTAL

1,676,818 SF

3,672 Units

1,097 Rooms

346,500 SF

Estimates based on announced plans * Includes renovated private office space

WHAT’S NEW | MORE THAN $200 MILLION IN CURRENT AND UPCOMING PUBLIC INVESTMENT PROJECT

DISTRICT

AMOUNT

UNION STATION

Warehouse

$87,950,000

GORALEIGH TRANSIT STATION RENOVATION

Moore Square

$9,900,000

CAPITAL BLVD/PEACE ST/WADE AVE EXCHANGE

Capital

$36,900,000

LENOIR AND SOUTH STREET CONVERSIONS

Fayetteville Street/Moore Square

$5,500,000

ALBEMARLE BUILDING RENOVATION

Capital

$42,000,000

MARKET AND EXCHANGE PLAZAS

Fayetteville Street

$2,000,000

MOORE SQUARE RENOVATION

Moore Square

$12,600,000

PEACE STREET STREETSCAPE

Glenwood South/Capital

$2,000,000

BLOUNT-PERSON ST CORRIDOR RENOVATION

Capital/Moore Square

$1,970,000

UNDER CONSTRUCTION

RECENTLY COMPLETED

PLANNED

TOTAL

$200,820,000

Note: Investment numbers are estimated costs and will likely change during the course of construction

DEVELOPMENT & INVESTMENT | 19

DOWNTOWN DEVELOPMENT | UNDER CONSTRUCTION, COMPLETED + PLANNED DEVELOPMENT BY DISTRICT

PROJECT NAME

INVESTMENT

STATUS

DETAILS

GLENWOOD SOUTH DISTRICT METROPOLITAN APARTMENTS

$52,500,000

Under Construction*

250 apartments

THE SAINT

Not Announced

Under Construction

17 townhomes

THE GRAMERCY

$41,000,000

Completed

203 apartments

N. WEST STREET DEVELOPMENT

$5,400,000

Completed

25,500 SF office adaptive reuse

RALEIGH BEER GARDEN

$2,000,000

Completed

8,670 SF

GOOGLE FIBER

$3,000,000

Completed

9,926 SF

CAROLINA ALE HOUSE

$7,500,000

Completed

37,000 SF

FOUR25 BOYLAN

$35,000,000

Completed

261 apartments

TAVERNA AGORA

$4,200,000

Completed

4,900 SF

LINK APARTMENTS

$36,500,000

Completed

204 apartments

ONE GLENWOOD

$100,000,000+

Planned

219,500 SF

SMOKEY HOLLOW

$100,000,000+

Planned

445 residential units, 52,000+ SF retail

PEACE STREET STREETSCAPE

$2,000,000

Planned

Infrastructure

BOYLAN FLATS

Not Announced

Planned

48 residential units

400H

Not Announced

Planned

125,000 SF office, 16,000 SF retail, 220 units

FAYETTEVILLE STREET DISTRICT RESIDENCE INN BY MARRIOTT

$20,000,000

Under Construction

175 hotel rooms

HQ RALEIGH EXPANSION AT CAPITAL CLUB

Not Announced

Under Construction

14,000 SF renovation/expansion

227 FAYETTEVILLE RENOVATION

$9,000,000

Completed

101,439 SF renovation

CHARTER SQUARE

$63,000,000

Completed

243,000 SF

DEATH & TAXES/BRIDGE CLUB RESTAURANT

$3,000,000

Completed

10,903 SF renovation

THE L

$17,000,000

Completed

83 units, 17,400 SF retail/office

EXCHANGE/MARKET PLAZAS RENOVATION

$2,000,000

Completed

Infrastructure

421 FAYETTEVILLE STREET

$11,000,000

Completed

Office renovation

107 FAYETTEVILLE STREET

Not Announced

Completed

Office renovation

CHARTER SQUARE II

Not Announced

Planned

157,000 SF office/retail, 247 units

HILTON GARDEN INN/HOMEWOOD SUITES

Not Announced

Planned

259 hotel rooms

COURTYARD MARRIOTT

Not Announced

Planned

192 hotel rooms

ELEMENT HOTEL (WILMINGTON AT LENOIR ST)

Not Announced

Planned

145 hotel rooms

EXPLORIS SCHOOL/GATEWAY CAMPUS

$20,000,000

Planned

140,000 SF office space plus instructional space

*Construction delayed due to fire.

CAPITAL DISTRICT PEACE STREET/CAPITAL BOULEVARD BRIDGE REALIGNMENT

$36,900,000

Under Construction

Infrastructure

BLOUNT STREET COMMONS

$13,100,000

Completed

46 townhomes

HOLY TRINITY ANGLICAN CHURCH

$7,500,000

Completed

Place of Worship

ELAN CITY CENTER

Not Announced

Completed

213 apartments

PEACE STREET TOWNES

$5,000,000

Completed

17 townhomes

CHRIST CHURCH ADDITION

$7,100,000

Completed

Expansion

ALBEMARLE BUILDING RENOVATION

$42,000,000

Completed

192,370 SF renovation

CITY CENTRE/301 HILLSBOROUGH STREET

$160,000,000

Planned

Mixed Use

MOORE SQUARE DISTRICT GORALEIGH TRANSIT CENTER RENOVATION

$9,900,000

Under Construction

Infrastructure

TRANSFER CO (STONE’S WAREHOUSE)

$19,000,000

Under Construction

42,000 SF food hall/retail, 15 residential units

HARGETT PLACE

Not Announced

Under Construction

19 townhomes

10ARROS

Not Announced

Under Construction

10 townhomes

EDISON LOFTS

$52,000,000

Completed

223 apartments, 16,000 SF retail

THE LINCOLN

$35,000,000

Completed

224 apartments

SKYHOUSE

$60,000,000

Completed

320 apartments

THE TEN AT SOUTH PERSON

$2,400,000

Completed

10 townhomes

BLOUNT AND PERSON STREET CORRIDOR IMPROVEMENTS

$1,970,000

Planned

Infrastructure

EDISON OFFICE

Not Announced

Planned

293,000 SF office, 10,000 SF retail

MOORE SQUARE RENOVATION

$12,600,000

Planned

Green space Renovation

WAREHOUSE DISTRICT THE DILLON

$150,000,000

Under Construction

210,000 SF office, 262 units, 40,000 SF retail

MORGAN STREET FOOD HALL

$2,000,000

Under Construction

22,000 SF renovation

UNION STATION

$87,950,000

Under Construction

43,000 SF multi-modal station

DR. PEPPER WAREHOUSE

$3,200,000

Completed

13,655 SF office adaptive reuse

HQ RALEIGH EXPANSION

Not Announced

Planned

25,000 SF expansion

TWO GLENWOOD

Not Announced

Planned

150 hotel rooms

611 WEST SOUTH

Not Announced

Planned

42 townhomes

WEST STREET TOWNHOMES

Not Announced

Planned

12 townhomes

522 S. HARRINGTON STREET

Not Announced

Planned

47 townhomes

STORAGE FACILITY (410 W. SOUTH ST.)

Not Announced

Planned

123,000 SF storage facility

522 W. LENOIR STREET

Not Announced

Planned

4,583 SF restaurant/retail space DEVELOPMENT & INVESTMENT | 21

Courtesy of The Gramercy

© Flyboy Aerial Photography

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© Flyboy Aerial Photography © Carolyn Scott

© Flyboy Aerial Photography

© Flyboy Aerial Photography

MAJOR DOWNTOWN EVENTS + FESTIVALS

IMPRINT AWARD WINNERS 227 Fayetteville A $9 million renovation of a 126,000 square foot office building on Fayetteville Street. Dating from 1964, this renovation took a vacant building and updated all systems, common areas, and bathrooms to Class A standards. This renovation combines a modern interior with the historic exterior.

Blount Street Commons This residential development adds 16 brick townhomes, eight carriage homes, and 32 additional residences designed in a four-story condo configuration with two-story living stacked over an additional two-story living space. Located among historic homes in the Capital district homes range from 1,400-2,200 square feet.

Christ Church Addition An expansion of 9,100 square feet to one of Raleigh’s only National Historic Landmarks dating to 1848. This project included expanding the historic Parish Hall, common areas, meeting rooms, and commercial kitchen. The historic stone walls were also uncovered and the Gothic Revival style of the original church was maintained.

Dr. Pepper Warehouse The rehabilitation of the Dr. Pepper Bottling Plant balances historic preservation with the needs of today’s office tenants.

The building required a complete renovation—including all new plumbing, electrical and mechanical systems, as well as the careful restoration of historic elements, wood floors, masonry walls, skylights, steel trusses, wood decking, original wood, steel and aluminum windows, and the original wood staircase. Additionally, Empire Properties collaborated with Personify, the tenant, to ensure that design and construction decisions were compatible with Personify’s work flow and office culture. The result fills in a gap in the urban grid and provides Raleigh with a glimpse of its past and future.

Elan City Center A five story mid-rise with 213 apartments, Elan City Center features amenities designed to create a sense of connectedness. From the grand rotunda entrance to the outdoor kitchen with large format seating and gathering areas, the space is designed to bring people together and inspire community. Elan also offers a 24-hour fitness center with panoramic views of the city, a resident lounge with gaming tables and a reading nook, and a pet spa and bark park for four-legged residents. The quarter-acre dog park is available to the neighboring public as well, to further add to the sense of place.

Source: DRA

Link Apartments Located in the popular Glenwood South neighborhood, this 204-unit property includes a large clubroom, a cycle center with bike storage, a dog park, a saltwater pool, a yoga center, and outdoor fire pits in the courtyard. The apartments feature modern kitchens with granite countertops, large walk-in closets, energy-efficient lighting, and oversized windows. In keeping with Grubb Properties’ commitment to sustainability, the building is National Green Building Standard certified.

N. West Street Development A collaboration of The Lundy Group and August Construction Solutions, this project re-purposed historic warehouses along N. West Street to become unique office spaces and a new bar. The renovation painstakingly preserved wood frame ceilings, brick walls, a 1952 freight elevator, and a former railroad loading dock. New finishes were also added and a former cab dispatch office became The Cardinal Bar. Local artists added two murals, providing more character to a project that adds new life to these historic structures.

The Edison Lofts A six-story, 223 unit luxury residential building located immediately across the street from the Red Hat Tower and spanning a full city block. Edison also has 16,000 square feet of ground floor retail space that is leased to a jewelry store, two sundry stores, a pizza restaurant, a gelato dessert shop, and a coffee shop. Extra attention and investment was made in the exterior façade of the building, including metal panel finishes, an exterior courtyard building entrance, ground level walk-up townhome units, and articulating roofline canopies.

The Gramercy A seven-story urban mixed use building, located in the heart of Glenwood South, consisting of 203 apartments and 7,500 square feet of retail space for a total of approximately 324,000 square feet. The building consumes a full city block facing Glenwood Avenue. The entire retail space is leased to the Glenwood South Pharmacy & Market, a combination grocery store, drugstore and pharmacy which has been warmly welcomed as it services the entire downtown residential and commercial community.

DEVELOPMENT & INVESTMENT | 23

MAJOR DOWNTOWN EVENTS + FESTIVALS

© Flyboy Photography

FUTURE PLANNING & PUBLIC INVESTMENT

WITH SEVERAL THOUSAND NEW RESIDENTS AND OFFICE WORKERS coming to downtown over the next few years, the future is bright for downtown Raleigh.

Downtown’s revitalization came together through a mixture of strategic public investments, pioneering developers, a vibrant arts and cultural scene, along with residents and business owners seeking to build a community in an urban core. The future of downtown looks to build off that base and create a true, vibrant center with its best years ahead.

Bus Rapid Transit, Commuter Rail, and Enhanced Bus Service approved in newly passed Wake County Transit Plan

1.75 B DEVELOPMENT pipeline

$200 MILLION+ in public investment

30 STATIONS and 300 bicycles in new Bike Share

10 $88 MILLION multi-modal Union Station opening in 2018

320 ACRES OF PARKS being added plus another 34 acres being renovated in downtown area

10-YEAR MASTER PLAN for downtown

FUTURE PLANNING & PUBLIC INVESTMENT | 25

© Flyboy Photography

MOORE SQUARE: Park and Transit Center Renovations: The Moore Square area is seeing significant public investment through the renovation of the historic square and the adjacent transit center. Moore Square itself will receive a $12.6 million renovation to reinvigorate one of Raleigh’s original historic squares dating to the city’s 1792 master plan. The GoRaleigh Transit Center, which is the primary hub for Raleigh’s bus system, is completing a $9.9 million renovation in spring 2017 to better meet short and long term service needs for the transit system and make the station safer, more attractive, and more welcoming for visitors.

Dix Park: With sweeping views of the downtown skyline, this 308-acre site south of downtown, which was a former state psychiatric hospital campus, is expected to become a destination park for residents and visitors to Raleigh. The city has begun the multi-year planning process for the park and already is holding events at the park.

Raleigh Bike Share: City leaders recently approved a bike share system consisting of 30 stations and 300 bicycles to provide more cycling options for residents, visitors, and students

when traveling throughout downtown and the city. This system helps connect riders with destinations within downtown and other parts of the city, such as the North Carolina Museum of Art, while improving public health, complementing the city’s public transportation network, and serving as an economic development tool for attracting more talent and companies to Raleigh.

OTHER MAJOR INVESTMENTS: Peace Street/Wade Avenue Bridge Replacements on Capital Boulevard: North Carolina Department of Transportation is replacing bridges on the north side of downtown and reconfiguring several major intersections to improve safety and connectivity into and out of downtown. This project is estimated to cost $36.9 million and be completed in 2019.

Conversion of two-way streets: Several downtown streets are being converted from one-way to two-way traffic to improve downtown connectivity and the pedestrian experience. Lenoir and South streets will complete conversion in 2017 with Lane and Jones streets slated for conversion in the near future.

DOWNTOWN RALEIGH 2025 PLAN The City of Raleigh and the Downtown Raleigh Alliance partnered to create a 10-year plan for downtown Raleigh, which builds upon the successes downtown experienced in recent years and provides a new map for guiding growth and development in downtown, and addresses both opportunities and challenges facing downtown over the next decade. This plan seeks to improve park spaces, provide more transportation options, maintain authenticity and character, create a robust retail environment, improve affordable housing options, and establish stronger partnerships for downtown’s future. Many initiatives are well-underway with new parks, transit, development, retail, street-scaping and other projects moving along.

MOVE | MAKE WALKING, BIKING, AND TRANSIT THE PREFERRED WAYS TO GET IN AND AROUND DOWNTOWN The goal of “Move” is to enhance street character and uses along key streets to make walking, biking, and transit the preferred ways to get in and around downtown, while still accommodating automobile traffic. Actions include creating a complete pedestrian and bike network, enhancing transit, and reviewing parking and street grid enhancements.

RETAIL STRATEGY A major initiative of the Downtown Plan and DRA is a robust retail strategy. Improving the retail environment is one of the most important goals for the downtown community and the Downtown Plan highlights this need by building off of DRA’s existing retail efforts (outlined in the Shopping section).

Actions include targeting authentic retailers, identifying a toolkit for retail, and improving wayfinding, art, pop-ups, and parklets.

BREATHE | IMPROVE, EXPAND, AND CONNECT DOWNTOWN’S GREEN SPACE The goal of “Breathe” is to transform downtown Raleigh into a center for innovative urban parks and appealing green spaces, as well as improve existing parks and expand park access to underserved areas of downtown. Actions include renovation of historic squares, addition of new parks at Dix and Devereux Meadows, extending the greenway and creating sustainable funding and governance structure for these parks.

STAY | REALIZE DOWNTOWN’S POTENTIAL AS A DYNAMIC REGIONAL CENTER ANCHORING TOURISM, ENTERTAINMENT, AND CULTURE

The goal of “Stay” is to provide a balance to downtown, where all are welcomed through strategic new growth and redevelopment. Actions include: •M aintaining downtown character and authenticity through historic preservation and adaptive reuse, public art, and high-quality new construction.

• Ensuring downtown remains clean and hospitable.

• Encourage the development of vacant and underbuilt sites to fill the entire downtown with active uses.

• Create a robust retail environment in downtown to include a combination of local and destination retail.

• Ensure downtown has a diversity of housing opportunities at different price points.

• Partner with non-profits and Wake County to address homelessness and work to secure housing for the homeless population.

Source: City of Raleigh

FUTURE PLANNING & PUBLIC INVESTMENT | 27

© Flyboy Aerial Photography

RALEIGH UNION STATION

This $88 million project will transform downtown’s Warehouse District and the city, as a whole, by providing a top-notch transit facility to move thousands of riders and visitors each day. Not only will this project dramatically improve Raleigh’s transit facilities and help connect downtown to the rest of the city and region, but also could Source: City of Raleigh

stimulate transit-oriented development in the Warehouse District. The first phase of the project, the passenger rail facility, will be housed in a renovated Dillon Supply warehouse building located at 510 W. Martin Street with construction finishing in 2018.

CATALYTIC PROJECT AREAS | FIVE AREAS OF DOWNTOWN HAVE BEEN IDENTIFIED TO SERVE AS EXAMPLES OF HOW THE THEMES AND ACTIONS TRANSLATE INTO PHYSICAL FORM.

Gateway Center: On downtown’s southern edge, the opportunity exists to extend downtown several city blocks, facilitated by large parcels, consolidated ownership, and HALIFAX PARK city-owned property.

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Glenwood Green: This project focuses on creating a new urban park at Devereux Meadows, an improved block pattern created by the Peace Street Bridge replacement, and a greenway connecting Glenwood South with areas to the north and south.

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Seaboard/Person Street: This project focuses on improving connectivity through renovations of Peace Street and streetscape improvements to Blount and Person streets with better bicycle and pedestrian access providing connections between urban neighborhoods like Oakwood and Glenwood South.

Moore Square: More than any other catalytic project area, this one focuses on large public investment in the park and transit center renovation, along with redevelopment of key, publicly owned parcels near the square to help revitalize this historic district.

Nash Square-Raleigh Union Station: A renovation of Nash Square, improved streetscaping and programming for the Hargett and Martin street corridors toward more pedestrian and retailoriented uses, and connecting Raleigh Union Station to the rest of downtown are all a part of this project area’s vision.

Source: City of Raleigh

FUTURE PLANNING & PUBLIC INVESTMENT | 29

MAJOR DOWNTOWN EVENTS + FESTIVALS

© Flyboy Aerial Photography

LIVING

Downtown boasts 3,672 residential units recently delivered, under construction, or planned with 1,803 units completed since the start of 2015, 564 units under construction, and 1,300+ units planned.

Over 8,200 residents in downtown and over 16,000 residents live within one mile of downtown’s center.

93% 829 NEW UNITS within two blocks of Moore Square

1,638 NEW UNITS within three blocks of Glenwood Avenue

INCREASE in the number of housing units in downtown

$$

2 MILLION+ SQUARE FEET of residential units delivered or under construction

$1.71

Average asking rent: $1,425/ month for Class A multifamily unit in downtown¹

Average asking rent: $1,265 for all apartment complexes within 2 miles of downtown¹

3% DROP in rental rates from early 2016, due to new supply

MEDIAN RENT per square foot per month for multifamily unit

$1.76

94%

92%

7%

MEDIAN RENT for Class A multifamily unit per square foot per month

¹Integra Realty Resources

OCCUPANCY RATE for all multifamily buildings in downtown

AVERAGE OCCUPANCY of new apartment buildings opened in 2015 + 2016 after stabilization

VACANCY RATE for Class A multifamily apartment buildings¹

LIVING | 31

© Flyboy Photography

MAJOR DOWNTOWN EVENTS + FESTIVALS

RESIDENTIAL | UNITS RECENTLY DELIVERED, UNDER CONSTRUCTION, OR PLANNED BY DISTRICT

Warehouse

Capital

10%

14%

Fayetteville Street

Moore Square

9%

22%

Glenwood South 45%

“Living downtown, I save 30 minutes to an hour a day with no commute so I gain time for work, for running, or anything else I want to do. But I mainly live downtown because it’s more fun. My wife and I walk to bars, restaurants, street festivals, and live shows that we just wouldn’t go to if we didn’t live nearby.”

-DAVID MEEKER, DOWNTOWN RESIDENT

Source: DRA

HOTELS

RESIDENTIAL | MEDIAN RENT PER SQUARE FOOT AMONG PEER DOWNTOWNS Downtown Raleigh has a lower median apartment rent per square foot than several peer CBDs. Downtowns like Austin and Nashville, along with more established CBDs in the north, have median rents well above $2.00 per square foot. $4.50 $4.00 $3.50 $3.00 $2.50 $2.00 $1.50 $1.00 $0.50 $

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LIVING | 33

ON THE MAP | NEW RESIDENTIAL PROJECTS UNDER CONSTRUCTION, RECENTLY DELIVERED, OR PLANNED

440

1

PERSON ST

70

CAPITAL BLVD

GLENWOOD AVE

440

40

401

SEABOARD/PERSON STREET DISTRICT

WILLIAM PEACE UNIVERSITY

RDU AIRPORT PEACE ST

BOUNDARY ST

12

8

6

PELL ST

11

JOHNSON ST

EUCLID ST

10 POLK ST

TUCKER ST

1 3

OAKWOOD AVE

NORTH ST

NORTH ST

2 JONES ST

BLOUNT ST

4

LANE ST

SALISBURY ST

7

MCDOWELL ST

DAWSON ST

LANE ST

JONES ST

CAMPBELL SCHOOL OF LAW

5

EDENTON ST 440

HILLSBOROUGH ST

440

NEW BERN AVE STATE CAPITOL BUILDING

9

NASH SQUARE

MOORE SQUARE BUS TERMINAL

WEST ST

SOUTH ST

WE

DUKE ENERGY CENTER FOR PERFORMING ARTS

STE R

LVD

440

40

70

T YS UR

ISB

NB

L SA

Under Construction

25

WILMINGTON ST

Planned

23 SAUNDERS ST

Complete

17 LENOIR ST

LEGEND Status

CABARRUS ST

SHAW UNIVERSITY

MARTIN LUTHER KING JR BLVD

CHAVIS WAY

20

RALEIGH CONVENTION CENTER

16 BLOODWORTH ST

14 DAVIE ST

24

HARGETT ST

MOORE SQUARE

15

21

18

EAST ST

MARTIN ST

PERSON ST

HARRINGTON ST

22

FUTURE SITE OF UNION STATION

FAYETTEVILLE ST

WEST ST

HARGETT ST

64

MORGAN ST

19

13

1-mile radius

Downtown

16,550+ residents live within one mile of the heart of downtown.

RESIDENTIAL UNITS | UNDER CONSTRUCTION, COMPLETED + PLANNED DEVELOPMENT BY DISTRICT

PROJECT

UNITS

INVESTMENT

TYPE

STATUS

GLENWOOD SOUTH DISTRICT 1

FOUR25 DEVON

261

$35 million

Mixed Use

Complete

2

LINK APARTMENTS

203

$30 million

Apartments

Complete

3

THE GRAMERCY

203

$30 million

Apartments/Retail

Complete

4

220 THE SAINT

17

$7 million

Apartments

Planned

5

400H

220

Not Announced

Mixed Use

Planned

6

BOYLAN FLATS

48

Not Announced

Apartments

Planned

7

THE METROPOLITAN

241

$52 million

Apartments/Retail

Under Construction*

8

SMOKEY HOLLOW

445

$100 million

Mixed Use

Planned

9

CITY CENTRE

242

$160 million

Mixed Use

Planned

CAPITAL DISTRICT 10

BLOUNT STREET COMMONS

46

$8 million

Townhomes

Complete

11

ELAN CITY CENTER

213

$30 million

Apartments

Complete

12

PEACE STREET TOWNES

17

$5 million

Townhomes

Complete

13

10 ARROS

10

Not Announced

Townhomes

Under Construction

MOORE SQUARE DISTRICT 14

EDISON LOFTS

223

$52 million

Apartments/Retail

Complete

15

SKYHOUSE RALEIGH

320

$60 million

Apartments/Retail

Complete

16

THE LINCOLN

224

$35 million

Apartments

Complete

17

THE TEN AT SOUTH PERSON

10

$2.4 million

Townhomes

Complete

18

HARGETT PLACE

19

Not Announced

Townhomes

Under Construction

19

STONE’S WAREHOUSE/ TRANSFER CO.

16

$19 million

Apartments/Retail

Planned

FAYETTEVILLE STREET DISTRICT 20

THE L

83

$17 million

Apartments/Retail

Complete

21

CHARTER SQUARE II

247

Not Announced

Mixed Use

Planned

WAREHOUSE DISTRICT 22

THE DILLON

262

$150 million

Mixed Use

Under Construction

23

WEST + LENOIR TOWNHOMES

12

Not Announced

Townhomes

Under Construction

24

522 SOUTH HARRINGTON

47

Not Announced

Mixed Use

Planned

25

611 WEST SOUTH

42

Not Announced

Residential

Planned

TOTAL

3,671

*Construction delayed due to fire.

LIVING | 35

DOWNTOWN BUILDING BOOM | HOUSING AND POPULATION GROWTH Downtown Raleigh already has doubled the number of housing units since 2000 and is poised to triple the number of units by 2020, if the current pipeline of residential projects is built out. Presently, downtown has an estimated 5,700+ units and will have approximately 7,600 units within the next five years.

12,000 10,000 8,000 6,000 4,000 2,000

2000

Housing Units

2010

2015

2017

2022

Population

RENT | DOWNTOWN MULTIFAMILY AVERAGE RENT 2015-2017 Average rent declined 3% from first quarter 2016-first quarter 2017 due to new supply • $1,325: Average rent for downtown • $1,425: Average rent for Class A multifamily units downtown

$1,600 $1,400 $1,200 $1,000 $800 $600 $400 $200

Downtown Class A MSD

Average Rent 2015

Greater Downtown Class A

Average Rent 2016

Greater Downtown Class A/B/C

Greater Downtown Class B/C

Average Rent 2017 LIVING | 37

© Flyboy Photography

MAJOR DOWNTOWN EVENTS + FESTIVALS

RENT AND VACANCY RATES Occupancy remains high despite 1,803 new units in two years

• 94% occupancy rate for all apartments in downtown • 93.5% occupancy rate for all multifamily buildings within two miles of downtown • 92.9% occupancy rate for Class A multifamily within downtown MULTI-FAMILY APARTMENT VACANCY 8% 6% 4% 2% 0% Downtown MSD Class A

Greater Downtown Class A

Greater Downtown Class A/B/C

Greater Downtown B/C

Triangle Average

*Note: “Greater Downtown” refers to apartments within 1 mile of downtown.

Source: Intregra Realty Resources, Colliers (for regional average)

NEED FOR AFFORDABLE OPTIONS • Only 2.9% vacancy for Class B/C multifamily buildings in downtown • 16% rent growth over past two years for Class B/C buildings Low vacancy and rising rent indicate a strong demand for affordable options in and near downtown. With little existing supply in downtown built before 2000 and a rapidly increasing population in the city and region, most of the older apartments that may decline in value due to new supply will not likely be in the CBD.

PEER CBD NEW HOUSING UNITS | RECENT, UNDER CONSTRUCTION, OR PLANNED Downtown Raleigh is also among other rapidly growing downtowns in residential units delivered, already under construction or planned.

12,000

10,000

8,000

6,000

4,000

2,000

0

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Sources: City of Austin, Nashville Downtown Partnership, Richmond Times Dispatch, Downtown Memphis Commission, Charlotte Center City Partners, Central Atlanta Progress, Upstate Business Journal, Downtown Phoenix Inc, Pittsburgh Downtown Partnership, Minneapolis Star Tribune, US Census.

PEER CBD HOUSING GROWTH (BY %) | RECENT, UNDER CONSTRUCTION, OR PLANNED Downtowns across the U.S. are seeing major booms in housing construction in their CBDs with downtown Raleigh keeping pace.

140% 120% 100% 80% 60% 40% 20% 0%

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Sources: City of Austin, Nashville Downtown Partnership, Richmond Times Dispatch, Downtown Memphis Commission, Charlotte Center City Partners, Midtown Atlanta Alliance, Upstate Business Journal, Downtown Phoenix Inc, Pittsburgh Downtown Partnership, Minneapolis Star Tribune, US Census.

LIVING | 39

© Flyboy Photograhy

MAJOR DOWNTOWN EVENTS + FESTIVALS

OFFICE, INNOVATION, EMPLOYMENT & TALENT

Downtown Raleigh is attracting new companies, tech incubators, Class A office projects, ultra-fast internet service, and is home to an increasingly talented workforce.

OFFICE MARKET Downtown Raleigh’s office market is booming as new supply is built to respond to very low vacancy rates and strong interest in companies moving into downtown over the past few years.

7 m+ SQUARE FEET 400,000+ SQUARE FEET of new or renovated Class A office space on Fayetteville Street at Charter Square, One City Plaza, and 227 Fayetteville

100,000 SQUARE FEET IN CO-WORKING SPACE including expansions at HQ Raleigh and Industrious, along with The Nest and an upcoming new co-working space from Regus

OF PRIVATELYOWNED OFFICE SPACE AND OVER 5.7

88.6%

MILLION SQUARE FEET OF

1,500,000+ SQUARE FEET OF CLASS A space planned/under construction

OCCUPANCY RATE for office space¹

DENSEST OFFICE MARKET in Triangle with more office space and employees per acre than any other submarket

GOVERNMENT OFFICE SPACE

FLOW CHART | TALENTED WORKFORCE LEADS TO STRONG NEED FOR OFFICE SPACE IN RALEIGH

Educated and Talented Workforce ¹JLL

New Companies Starting and Locating in Raleigh

Increasing Demand for New Office Space OFFICE, INNOVATION, EMPLOYMENT & TALENT | 41

“The downtown Raleigh market has transformed substantially over the past 10 years, and we believe that the downtown market will not only continue to grow, but will begin to grow at a faster pace. The city’s infrastructure and urban planning are designed for an 18-hour city, and we believe that downtown Raleigh is in the early stages of that transformation.”

- RYAN BLAIR, HERITAGE PROPERTIES, DEVELOPER OF ONE GLENWOOD

© Flyboy Photograhy

© Flyboy Photograhy

NEW AND UPCOMING OFFICE PROJECTS | EXAMPLES OF SOME RECENT AND FUTURE OFFICE DEVELOPMENTS

Charter Square II

The Dillon

•R enovation of office building in heart of Fayetteville Street • 101,000 square feet of Class A office space • Completed in 2016

• 157,000 square feet office/retail • $100 million+ • Class A office space with ground floor retail • 22 stories • 247 apartment units

• 210,000 square feet Class A office space • 40,000 square feet of retail and 260+ apartment units • $150 million • Tower built within footprint of existing warehouse • Delivery 2018

The Edison

HQ Raleigh expansion

One Glenwood

• 293,000 square feet • 10,000 square feet of retail • 20 stories

•2 5,000 square foot expansion of HQ Raleigh footprint in Warehouse District • C ompliments 14,000 SF expansion at Capital Club building • T otal of 60,000 SF in incubator space after expansions

•2 19,000 square feet with 14,500 square feet of retail space • 10 stories • Located between Glenwood South and Warehouse District • Construction planned to begin in 2017

© Tierney Farrell

227 Fayetteville

CLASS A AND OVERALL AVERAGE OFFICE RENT PER SQUARE FOOT Downtown Raleigh has a competitively priced CBD with high enough rates to encourage new office development, but lower rates than several peer downtowns on the east coast and in the southern U.S. Class A Rate Only

Overall Rate

San Francisco Washington DC Boston Austin Houston Philadelphia Charlotte Atlanta Raleigh Nashville Orlando Richmond Columbia $0.00

$10.00

$20.00

$30.00

$40.00

$60.00

$50.00

$70.00

$80.00

Sources: Collier’s, JLL

CLASS A AND OVERALL AVERAGE RENT PER SQUARE FOOT Strong and increasing demand from the technology and innovation sector keeps Class A rental rates higher in downtown Raleigh relative to many other submarkets in the Triangle, while new supply has kept rates from rising rapidly in recent years.

Class A Rate Only

Overall Rate

$35 $30 $25 $20 $15 $10 $5

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OFFICE, INNOVATION, EMPLOYMENT & TALENT | 43

© Flyboy Photograhy

COMPARED TO THE U.S. WORKFORCE AS A WHOLE, THE RALEIGH METROPOLITAN AREA HAS:

79%

higher share of employees in computer and mathematical occupations

30%

higher share of employees in architecture and engineering occupations

259%

higher share of software and app developers

232%

higher share of civil engineers

EMPLOYMENT | MORE EMPLOYEES PER ACRE THAN ANY OTHER OFFICE SUBMARKET IN THE TRIANGLE

77

employees per acre: more than any other office submarket in the Triangle

800+

businesses located downtown

19%

growth in employees in the past seven years

45,000+ employees

OFFICE, INNOVATION, EMPLOYMENT & TALENT | 45

© Flyboy Photograhy

2015-2030 PROJECTED EMPLOYMENT GROWTH Downtown is home to over 45,000 employees across all sectors and is projected to add 11,500 office and service employees between 2015 and 2030, according to estimates from HR&A and CAMPO. With potential new investments that make downtown even more attractive, such as mass transit, downtown’s employment growth could exceed these projections.

DOWNTOWN WORKERS | LARGEST EMPLOYERS

EMPLOYER

STATE OF NORTH CAROLINA DUKE ENERGY WAKE COUNTY GOVERNMENT

60,000

11,500

50,000

CITY OF RALEIGH RED HAT, INC.

40,000

CITRIX

30,000

45,000

20,000

PNC BANK MCCLATCHY/NEWS AND OBSERVER

10,000

EMPIRE EATS/EMPIRE PROPERTIES

0 2015

2030 Growth

SHAW UNIVERSITY

DOWNTOWN COMPANIES | RECENT MOVES/EXPANSIONS IN DOWNTOWN CITRIX

CLOUDGENIX

HDR ENGINEERING

PHOTOFY

LOGMEIN

FILTEREASY

BITSIGHT

6FUSION

PENDO

HQ RALEIGH

SPECTRAFORCE/LEOFORCE

RMSOURCE

PERSONIFY

KIMLEY HORN

POLSINELLI

COHERA MEDICAL

BDO USA

INFUSION

INDUSTRIOUS

WALKME

MORNINGSTAR LAW

DISTIL NETWORK

Source: ESRI Business Analyst, DRA

EMPLOYMENT HUB | SCIENCE, TECHNOLOGY, ENGINEERING + MATH (STEM) HIGH IN REGION Raleigh had the second highest percent growth in tech jobs for any city in the US from 2010-2015 with 38% growth and was ranked by Forbes as #2 Hottest Spot for Tech Jobs.

#2

UP-AND-COMING CITY FOR TECH JOBS¹

#3

LIFE SCIENCE CLUSTER²

#5

U.S. CITY FOR BEST RETURNS ON VENTURE CAPITAL³

DOWNTOWN EMPLOYMENT BY SECTOR

#3

HIGHEST MEDIAN WAGE FOR STEM WORKERS⁴

#4

TOP TECH STARTUP CITY⁵

AVERAGE EMPLOYEES PER ACRE 80

3% 3% 3%

9%

70

4%

60

42%

4%

50

4% 6.1%

40

6.3% 9%

30

11.2%

20 10

Other Services

Misc.

Health Care

Source: U.S. Bureau of Labor Statistics “May 2014 Metropolitan and Nonmetropolitan Area Occupational Employment and Wage Estimates” ¹Zip Recruiter ²JLL ³Pitchbook ⁴WalletHub ⁵Business Facilities

Ra le (c ig ity h )

Professional, Scientific & Tech Services

0 A re a

Utilities

Construction

RT P

Information

H ill s

Accommodation/ Food Services Retail

Admin, Support, Waste Management

N or th

Education

D ow Ra nto le wn ig h D ow D nto ur w ha n m

Government

Sources: ESRI Business Analyst, DDI, Research Triangle Park, U.S. Census Bureau: Center for Economic Studies

OFFICE, INNOVATION, EMPLOYMENT & TALENT | 47

© Flyboy Photograhy

“We love being headquartered in downtown Raleigh. Many FilterEasy employees either lived downtown or moved downtown once they were hired on at FilterEasy. The vibrant, always-something-happening culture meshes perfectly with who we are as an organization. We have reinvested our time and resources in so many other thriving downtown businesses and feel seamlessly connected to all of what’s happening in the heart of Raleigh. As a company, we utilize the Raleigh City Club, debate about the latest political activism event, stroll over to the Capitol lawn, and our “water cooler talk” always surrounds who tried which new, hot downtown restaurant.”THAD TARKINGTON, CO-FOUNDER AND CEO OF FILTEREASY

© Carolyn Scott

© Tierney Farrell

INCUBATORS + INNOVATION Downtown Raleigh is a center for collaboration, innovation, dense ecosystem of rapidly growing companies.

Expansions and Growth:

•A dditional co-working offices for growing startups recently opened include Industrious, which has already expanded, and The Nest.

•C itrix, Red Hat, and Ipreo added over 2,500 tech employees to downtown in the past five years with Citrix adding another 400 employees in the near future.

Infrastructure: • Google Fiber opened offices in downtown’s Glenwood South district.

•P endo, LogMeIn, WalkMe, Personify, BitSight, FilterEasy, Spectraforce are all in growth mode in downtown.

•R aleigh is home to more than 550 startup companies, totaling 2,500+ jobs.¹

Co-Working Space: •H Q Raleigh is home to over 130 startups and is expanding by more than 40,000 square feet in two downtown locations.

•U ltra-fast internet service with Google Fiber and AT&T U-verse with Gigapower providing competitive advantage • I n the last six years, startups in Raleigh raised over $385 million in Venture Capital and Angel investment and generated economic activity of over $1.1 billion from IPOs and $9.2 billion in acquisitions.¹

•N umber of startups at HQ Raleigh has grown over 150% since 2012

START-UP SPOTLIGHT: FilterEasy •H as raised more than $4.2 million in venture financing

•O nline service for home shipments of HVAC air filters

•A nnual revenue has more than quadrupled

•M ore than doubled employee count in 2016 with expectations to nearly double again in 2017 to 75 employees.

•E xpanding in downtown Raleigh’s Fayetteville Street district

¹City of Raleigh Economic Development

OFFICE, INNOVATION, EMPLOYMENT & TALENT | 49

© Flyboy Photograhy

MAJOR DOWNTOWN EVENTS + FESTIVALS

TALENT One of the major reasons for downtown’s rising profile as a tech hub and new office development is its strong talent and employment base. Raleigh’s universities and colleges, along with other major research universities and higher education institutions in the region, help drive more jobs and companies to downtown.

North Carolina State University: • 4th in Best Overall Public University Value¹ •5 th in Computer Engineering Degrees Awarded² •9 th Among all U.S. Engineering College in Number of B.S. Degrees Awarded²

St. Augustine’s University: •R anked in Top 50 Historically Black Colleges and Universities3

Campbell Law School: •O pened Community Law Clinic in 2016 in downtown for free legal help for those referred by area nonprofits

Approximately 100,000 students attend universities in the Triangle, providing cutting edge research and a well-trained workforce. In addition to the strong academic institutions near downtown, the region boasts several other prestigious universities:

Meredith College: • 6th among South’s Best Regional Colleges3

University of North Carolina at Chapel Hill: •# 5 Top Public University in the nation3

Peace University: • #1 nationally for student internships3

Duke University: • #8 Overall Top University in the nation3

Shaw University: • Opened Innovation and Entrepreneurship Center in downtown Raleigh •F irst historically Black institution of higher education in the south and among the oldest in the nation

N.C. Central: •# 12 Top Historically Black Colleges and Universities3

¹Princeton Review ²American Association of Engineering Education ³U.S. News & World Report

Only the Triangle, Atlanta, Boston, NYC, Los Angeles, Washington D.C., and Chicago have three Tier-1 Research Universities in one metropolitan region.

HIGHER EDUCATION INSTITUTIONS (within three miles of downtown)

TOTAL ENROLLMENT

NORTH CAROLINA STATE UNIVERSITY

33,989

MEREDITH COLLEGE

1,949

SHAW UNIVERSITY

1,707

WILLIAM PEACE UNIVERSITY

1,076

SAINT AUGUSTINE’S UNIVERSITY

1,064

CAMPBELL UNIVERSITY SCHOOL OF LAW

426

NUMBER OF STEM GRADUATES AS A SHARE OF POPULATION (AGES 20-34) The Raleigh metropolitan statistical area (MSA) also has a much larger share of STEM graduates as a portion of its young adult population than the United States or any other region in the country.

40% 35%

Raleigh

30% 25% 20% 15%

U.S.

10% 5%

TOTAL

40,211

0% [ Source: Brookings Institute, Burning Glass ]

Downtown has a higher share of residents with bachelor and graduate degrees than the state and national proportions. 46% of downtown Raleigh residents 25 years and older have a bachelor’s degree or higher, compared to 28% of North Carolinians and 30% of Americans.

Less than 9th Grade

120%

9-12th Grade/No Diploma

100% 80%

High School Diploma/GED

46.2%

29.2%

30.4%

Some College/No Degree Associate’s Degree

60%

Bachelors/Graduate Degrees

40% 20% 0% Downtown Raleigh ¹National Science Foundation

North Carolina

United States OFFICE, INNOVATION, EMPLOYMENT & TALENT | 51

© Flyboy Photography

CONNECTIVITY & SUSTAINABILITY

Downtown Raleigh continued to make major strides in 2016 as a center for connectivity and sustainability in the Triangle. Downtown is already the most walkable part of the region and is a transportation hub that moves thousands of residents, visitors, and employees each year.

Additional investments like Bike Share, a new multi-modal station, additional bike lanes, conversion of one-way streets, and newly approved transit enhancements all saw major progress in 2016. New buildings in downtown are receiving LEED certification as more environmentally friendly and energy efficient. More parks and greenspace in downtown are being planned or renovated, expanding options for recreation and relaxation. Plus, downtown is home to a growing local food and urban farm movement, which helps make downtown a more sustainable and healthier community.

$88 million multi-modal center, Raleigh Union Station, under construction in a former warehouse, opens 2018.

Bus Rapid Transit (BRT): 20 miles of BRT with downtown serving as a central hub

Commuter Rail Transit: 37 miles of service on existing tracks to connect downtown with Garner, Cary, Morrisville, RTP, and Durham

More Enhanced Local and Express Bus Service: Improve bus connections to other municipalities, and increase frequencies on high demand routes

30+ bus routes connecting downtown to the rest of the city and region through the GoRaleigh and GoTriangle systems

200,000 riders on The R-LINE, downtown’s free circulator service featuring hybrid buses that connects all downtown districts

Source: GoTriangle

CONNECTIVITY & SUSTAINABILITY | 53

94

NEBRASKA ILLINOIS

COLORADO KANSAS

INDIANA

OHIO WEST VIRGINIA

VIRGINIA

MISSOURI KENTUCKY

Highest walk score in downtown, making this the most walkable area in the region²

NORTH CAROLINA TENNESSEE OKLAHOMA

SOUTH CAROLINA

ARKANSAS GEORGIA ALABAMA

TEXAS

MISSISSIPPI LOUISIANA

FLORIDA

172 bike racks with room for 601 bicycles¹

Top Five Highest Amtrak Ridership in South. Passenger train service to other cities in the state, region, and country with passengers boarding and alighting topping cities like Denver, Dallas, Houston, Orlando, Tampa, Atlanta, Austin, Pittsburgh, Cleveland, and Miami.

Average Walk Score

Bike Share in development with 30 stations and 300 bicycles¹

Downtown Raleigh has the highest walk score in the region with a high score of 94 in the downtown core and an average of 90 in the downtown core, while other downtowns in the region experience similar walkability and access to a large number of amenities and transportation options. The city is continuing improvements in ADA compliant curb ramps and pedestrian signals throughout downtown.²

DOWNTOWN DURHAM High Walk Score: 94 Average: 88

DOWNTOWN RALEIGH High Walk Score: 94 Average: 90

DOWNTOWN CHAPEL HILL High Walk Score: 90 Average: 87

180 miles of greenway and on-road bike facilities throughout Raleigh¹

AVERAGE OF TRIANGLE CITIES

28 ¹City of Raleigh ²walkscore.com. Cites highest recorded walk score in each downtown and based on Walk Score’s criteria of walkability and access.

Downtown Raleigh App To help make finding parking even easier in downtown, DRA developed an app that directs users to the parking nearest to their destination. The Downtown Raleigh App also has real time information on the R-LINE circulator bus and allows stores and businesses to easily list their specials and promotions.

Driving and Parking

30,000+ parking spaces in downtown

10 major arterial streets connect downtown to the rest of Raleigh

$36.9 MILLION INVESTMENT by the North Carolina DOT to redesign and improve the northern gateway to downtown with the replacements of bridges and interchanges along Capital Boulevard at Peace Street and Wade Avenue

I-40 runs just south of downtown

Monthly parking is 36% below the U.S. national average for downtowns, according to a 2012 report1

CONVERSION TO TWO-WAY STREETS: Several streets in downtown are being converted from one-way to two-way traffic, which reduces confusion, increases pedestrian safety and improves visibility and access for storefront businesses. Lenoir and South Streets are under construction, while Jones and Lane Streets have been identified for future conversion

Flying

400 flights daily²

40 non-stop destinations, now including Paris, as well as London, San Francisco, Los Angeles, Miami, Atlanta, Chicago, New York, Seattle, Washington, and many other cities²

Located just 20 minutes from downtown and accessible via express bus²

10.4% growth in 2016 with 11 million passengers: Most Passengers Ever at Raleigh-Durham International Airport (RDU)²

¹Colliers International, Central Business District Parking Rate Survey, ²Raleigh-Durham Airport Authority

Lowest average airfare among large airports in North Carolina²

CONNECTIVITY & SUSTAINABILITY | 55

© Flyboy Photography

SUSTAINABILITY

SUSTAINABILITY Downtown Raleigh is becoming a leader in sustainability. In addition to walkability and transit, downtown boasts a substantial amount of greenspace, numerous energy efficiency initiatives, and a growing urban food system movement.

PARKS AND GREEN SPACE: Downtown Raleigh’s strong system of parks and green space will see enhancements with renovations and new parks in the near future. The downtown area’s park space includes historic squares, an expansive mall, recreation fields, and a greenway with a new destination park on the way.

320 acres

of new parkland being added in downtown area with Dix Park and Devereux Meadows

100+ acres

of public park space within one mile of downtown

10 parks

within one mile of downtown

120 miles

of greenway and 74 miles of bike lanes in Raleigh

The future of downtown’s green space is bright with projects already underway and more planned in the Downtown Plan: ix Park: The City of Raleigh purchased 308 acres from the D state of the former Dorothea Dix psychiatric hospital campus on the southern end of downtown, which will provide the city and downtown with a destination park with sweeping views of downtown’s skyline. World-renowned design consultants Michael Van Valkenburgh will oversee the multi-year master planning process now underway.

Moore Square Renovation: A $12.6 million renovation of one of Raleigh’s original, historic squares, which will provide a world-class public space for downtown. Construction begins in 2017 and is expected to take a year. arket and Exchange Plazas Renovation: A $2 million M renovation of two plazas connecting Fayetteville and Wilmington Streets to provide small areas of rest in the bustle of downtown’s core with construction concluded in spring 2016.

Devereux Meadows: A future 12-acre park planned for a flood basin on the northern end of downtown, which will provide much needed green space near the growing Glenwood South District.

Chavis Park Renovation: Located just east of downtown, this 28-acre park, featuring a carousel, swimming pool, nature trail, and athletic field, will receive a $12.5 million renovation.

ON THE MAP | GREEN AND CIVIC SPACE NETWORK

HALIFAX COMMUNITY CENTER & PARK

FRED FLETCHER PARK

FUTURE DEVEREUX MEADOWS

MORDECAI HISTORIC PARK

RALEIGH CITY FARM

HALIFAX MALL

OAKWOOD CEMETERY

NC MUSEUM OF NATURAL SCIENCES NC MUSEUM OF HISTORY PULLEN PARK

NASH SQUARE

MARKET & EXCHANGE PLAZAS

MARBLES KIDS MUSEUM

CITY CEMETERY

MOORE SQUARE

CAM

DIX PARK

RED HAT AMPHITHEATER

LENOIR ST PARK

CITY PLAZA

DUKE ENERGY CENTER FOR THE PERFORMING ARTS

Green Space

Plaza

Greenway or On-street Bicycle Link

SOURCE: City of Raleigh

Campus

CHAVIS PARK

Museum or other Civic Building

Creek

CONNECTIVITY & SUSTAINABILITY | 57

© Carolyn Scott

© Stacey Simeone © Stuart Jones

© Flyboy Photography

© Stacey Simeone

© Flyboy Photography

ENERGY + FOOD SYSTEMS Energy

Raleigh Downtown Farmers Market

•L EED Certification: At least 11 new buildings in downtown are being or have recently been constructed to LEED standards, such as the Citrix building which received LEED Gold certification and Charter Square, which is LEED Platinum. These buildings are more environmentally friendly and energy efficient.

Each Wednesday from April-October, City Plaza hosts the Raleigh Downtown Farmers Market, featuring over 30 vendors selling fresh produce and locally made goods. An average of 3,000 people attend the market every week to take a break from work, enjoy the festive atmosphere, and support local farms and businesses.

•S olar: Raleigh is becoming a leader in solar panel installation and was recently ranked one of the top 20 solar cities in the country based on capacity and installation.1

Raleigh Food Corridor

•C harging Stations: Downtown Raleigh is a leader in electric vehicle infrastructure with 11 public charging stations located throughout downtown, which offsets CO2 emissions and reduces gasoline use.

Urban Food System Downtown Raleigh is home to an emerging local food and urban farm movement. Food security and access to fresh food is an important aspect of building a true livework-play community in downtown and helps residents remain healthy and connected to the land. In addition to public health benefits, local food systems and urban farms and gardens have economic impacts, which make downtown neighborhoods more attractive places to live.

Downtown is home to several educational gardens at places like Marbles Kids Museum and Moore Square Magnet Middle School. Additionally, three farmers markets take place in downtown with several more nearby, providing access to fresh produce for downtown residents and workers. Numerous other efforts are underway to improve the local food system by providing fresh food to underprivileged populations and mapping edibles to teaching farm and garden education to residents.

This initiative attempts to build off the local food cluster emerging in a two-mile stretch along the east side of downtown. The goal is to engage the community and create a dialogue about building a dense food system in downtown, which can bring food security, economic development, and public health benefits to the downtown community. The Second Saturday event takes place in this corridor from April-November with pop-up markets, walks, and food-related demonstrations.

Raleigh City Farm The Raleigh City Farm is an urban farm start-up in downtown Raleigh and an anchor of downtown’s emerging local food movement. This communitysupported farm grows food and supports new urban farms, as part of improving access to fresh food and small-scale urban agriculture for downtown residents.

Produce from this farm is purchased and used by local restaurants in downtown, as well as sold directly to neighbors and residents through a Community Supported Agriculture (CSA) farmshare, a farmers market and farm stand. Raleigh City Farm also helps rural farms access the downtown market by helping sell their products, thus, improving urban-rural food connections and access to even more fresh food. The farm has contributed to the revitalization of the nearby Person Street Plaza and surrounding neighborhood, which was named by USA Today as one of the “10 Best Up and Coming Neighborhoods around the U.S.”

1 Environment North Carolina, “Shining Cities: At the Forefront of America’s Solar Energy Revolution,” April 2014.

CONNECTIVITY & SUSTAINABILITY | 59

MAJOR DOWNTOWN EVENTS + FESTIVALS

© Carolyn Scott

SHOPPING

“

As a resident of downtown, I did not, for a second, consider opening Port of Raleigh anywhere else; I wanted to invest in a place that I love and believe in. I feel like people are excited to live, work, and play here because they know that just by doing either (or all three!) they’re contributing to the positive energy and growth of the neighborhood. We all know the potential and every day that a new resident moves in, and a new business opens, we get closer to that shared vision of a diversified, vibrant, and active downtown that more wholly meets the wants and needs of residents and visitors alike.

–ANA MARIA MUNOZ, PORT OF RALEIGH

96% of stores in downtown Raleigh are locally owned.

31 28% Growth in downtown’s retail base since 2010, which is the largest growth in any storefront use for downtown

NEW STORES OPENED since the start of 2014, nearly all of which are independent, locally-owned retailers

$42 million in retail spending estimated to be captured by downtown retailers with future growth of $200+ million in potential retail spending generated by new downtown residents, workers, and visitors.¹

¹HR&A Advisors

6.5% 9 stores awarded retail up-fit grants from DRA in 2015 and 2016 with more coming

VACANCY RATE for leasable downtown retail space

Over 346,000 square feet of ground floor retail space of recently delivered, planned, or under construction

SHOPPING | 61

© Stacey Simeone

POP-UPS: With the help of DRA, downtown has hosted a series of successful pop-up stores including Flight (collaboration among two downtown retailers for creative gifts), Craft Habit (crafting supplies), Twisted Oak (collective of local artists), and an interactive visual art installation. These pop-ups have been used as innovative collaborations to help retailers experiment with new concepts, activate vacant storefronts and make downtown’s streets more vibrant and livelier. LM Restaurants has been a major partner and supporter in this effort.

EMERGING RETAIL CLUSTERS IN...

Home Furnishings: Broad range of furnishings and design stores specializing in vintage, modern, antique and other styles such as Port of Raleigh, Father and Son, Retro Modern Furnishings, Deco Home, Emily & Co., Hunt & Gather, Union Camp Collective, and Finds.

Fashion: Raleigh Denim, Edge of Urge, The Art of Style, Feelgoodz, House of Swank, Revolver Boutique, Stitch-Holly Aiken, Devolve Moto, Flourish Market, Lumina Clothing, Quercus Studio, Gypsy Jule, Runologie, Reliable Jewelry, and House of Landor.

Everyday Needs: Raleigh Provisions, Oak City Market, Glenwood Pharmacy and Market, Unleashed: A Dog and Cat Store, Briggs Hardware, DGX Raleigh, CVS, and TAZ’s.

© Flyboy Photograhy

Local Gifts and Makers: Deco Raleigh, Ramble Supply Co., Videri Chocolate Factory, Moon and Lola, Holder Goods and Crafts, Oak City Roasters, Sorry State Records, Crude Bitters, and Sodas.

#3 BEST PLACE FOR BUSINESS AND CAREER (FORBES, 2016)

2010-2017 | PERCENTAGE OF NET GAIN IN BUSINESSES BY STOREFRONT CLASSIFICATION

30% 25%

28% 24%

20%

22%

21%

15% 10% 5% 0% Retail Source: DRA

Bars/ Nightclubs

Dining

Personal Services

The average downtown worker spends $135 per week on retail purchases (excluding online purchases and transportation costs).¹

FUTURE RETAIL DEMAND | GROWING NEED FOR MORE STORES As downtown continues to grow, demand for more retail will attract even more retailers. According to recent analysis by HR&A Advisors, once downtown’s current development pipeline is built out, downtown residents, office workers and visitors could provide $165 million in total future potential retail sales. An estimated $42 million

of that spending potential could be captured by downtown and support thousands of square feet of new retail. These projections demonstrate the priority to continue bringing new stores downtown and broaden the retail base to reduce sales leakage and meet the growing demand to provide more stores and services in the CBD.

Total future potential retail spending by downtown residents, visitors, office workers

Future spending estimated to be captured by downtown

RETAIL

$165 million

$42 million

GROCERY

$49 million

$20 million

Source: HR&A Advisors

¹ICSC Office-Worker Retail Spending in a Digital Age, 2012

SHOPPING | 63

© Flyboy Photograhy

PEDESTRIANS | ACTIVITY BY TIME OF DAY DRA and the City of Raleigh conduct periodic pedestrian counts, which are helpful for retail prospects to determine where to locate in downtown and how much visibility their location will have.

2,000 1,800 1,600 1,400 1,200 1,000 800 600 400 200 0 7:30 AM

8:30 AM

9:30 AM

Fayetteville St: City Plaza

10:30 AM

11:30 AM

12:30 PM

2:30 PM

3:30 PM

4:30 PM

5:30 PM

Fayetteville St from Davie St to Martin St

Fayetteville St from Martin St to Hargett St Source: DRA and City of Raleigh, 2015

1:30 PM

6:30 PM

7:30 PM

8:30 PM

9:30 PM

10:30 PM

11:30 PM

12:30 AM

Fayetteville St from Hargett St to Morgan St

Wilmington St at Martin St (data ends at 5:30 pm)

LOCATION

FUTURE GROUND FLOOR RETAIL SPACE

400H

16,000 SF ground floor retail on Hillsborough St. near border of Warehouse District and Glenwood South

CHARTER SQUARE II

Ground floor of 22-story tower on Fayetteville Street.

10,000+ SF of ground floor retail

CITY CENTRE (301 HILLSBOROUGH ST.)

40,000+ SF of ground floor retail

THE DILLON

40,000+ SF in Warehouse District under construction. Delivers in 2018

THE EDISON LOFTS

16,000+ SF of retail space opened mid-2016. New tenants include DGX Raleigh, Raleigh Provisions, Reliable Jewelry, Sir Walter Coffee, and Amorino Gelato

ONE GLENWOOD

14,500 SF in Glenwood South

MORGAN STREET FOOD HALL

22,000+ SF of renovated warehouse to incubate small retailers inside a large hall, alongside small food vendors

RESIDENCE INN

6,800 SF ground floor retail at corner of South and Salisbury Streets delivers in mid-2017

TRANSFER CO. (STONE’S WAREHOUSE)

42,000 SF of renovated and expanded historic warehouse space for makers, food producers, vendors, and retailers

RETAIL | DRA RECRUITMENT AND RETENTION EFFORTS As part of its role as the primary retail recruiter for Raleigh’s MSD, the Downtown Raleigh Alliance undertakes a number of initiatives to maintain and improve our retail base.

Recruiting retail prospects: DRA identifies and connects with retail prospects and brokers to bring them to the downtown market. Our assistance includes helping identify locations, connecting with brokers and landlords, and providing resources for business planning, market data, tours, and guidance.

Collecting, maintaining and analyzing data related to retail: DRA provides client-specific recruitment materials, including data and analysis on specific markets or locations. DRA has a more data-driven approach, including storefront inventories, sales leakage, market share, pedestrian counts, surveys of retail sales traffic, and other useful data collection tools to help monitor the retail market and develop business plans for new retailers.

Shop Downtown Raleigh: This program helps promote downtown as a shopping destination through coordinated promotions and events, along with a stand-alone website devoted to downtown shopping. Downtown retailers also participate on a committee to strategize on new efforts and address common challenges.

Retail Up-fit Grant: In 2015, DRA introduced a grant for new retailers to aid with their interior up-fit costs as a way of getting new stores off to a faster start and helping with one of the largest early costs for new businesses. So far, DRA has awarded $39,000 in nine grants to new stores that have helped fill gaps in downtown’s retail mix, such as a pharmacy, pet store, and hardware store, and help build new clusters in downtown’s retail sector.

Pop-up retail: For the past two years, DRA has helped activate a vacant storefront with pop-up retailers. Pop-up retail helps activate storefronts and incubate new retail concepts for downtown.

Downtown Raleigh App: DRA unveiled its new app in February 2016, which includes parking information, along with store locations and advertising opportunities. This app makes downtown easier to navigate for shoppers, identifies the nearest parking for all destinations, and allows merchants to advertise deals and specials.

SHOPPING | 65

DINING & NIGHTLIFE

Photo Courtesy of Vidrio

Downtown Raleigh has become a major food destination regionally and nationally with over 140 dining establishments providing a broad range of cuisines and experiences.

Downtown Raleigh had 15 Gold, Silver, and Best in Class restaurants in 2016 named by The News and Observer, more than any other submarket of the Triangle.

OUTDOOR DINING | 75+ ESTABLISHMENTS FEATURE OUTDOOR DINING CONNECTING PEOPLE WITH THE STREET

Downtown is home to award winning restaurants and chefs including 10 James Beard Award nominations since 2010.

ASHLEY CHRISTENSEN 2014 Best Chef in Southeast Winner 2016 Outstanding Chef Semifinalist

SCOTT CRAWFORD 2016 Best Chef Southeast Semifinalist

CHEETIE KUMAR 2017 Best Chef Southeast Semifinalist

4-12 13-24 25-40 41-64 65-90 91-145

DEATH & TAXES 2016 Best New Restaurant Finalist

Photo credits: Ashley Christensen (by Johnny Autry); Scott Crawford (by Downtowner Magazine); Death & Taxes (by Flyboy Aerial Photography)

DINING & NIGHTLIFE | 67

Food and beverage sales top $200 million in 2016 for first time ever with 77% growth since 2009.

MOMENTUM | FOOD AND BEVERAGE SALES IN DOWNTOWN 2009-2016

GROWTH | FOOD AND BEVERAGE SALES SINCE 2013

All districts have seen major growth in food and beverage sales in the past four years with the Warehouse District and Glenwood South seeing the most growth, percentage-wise.

$200

$150

Dollars (in millions)

© Flyboy Photograhy

MAJOR DOWNTOWN EVENTS + FESTIVALS

50% 40%

$100

30% 20%

$50

10% 0% 2009 2010

2011

Source: Wake County Tax Assessor

2012

2013 2014 2015

2016

Glenwood South Fayetteville St

Moore Square

Warehouse

OPEN

75+

establishments feature outdoor dining connecting people with the street environment

25

restaurants opened in 2016 with 13 more already announced or open in 2017

50+

restaurants participated in DRA’s Downtown Raleigh Restaurant Week

“To cheer up my digits, I considered taking them out on the town. I could smudge them on a martini glass at Capital Club 16; snap them at C. Grace, a live jazz venue; or raise them high at Kings, a live music spot. But no matter what we did that evening, I would keep both thumbs up for Raleigh.”

– ANDREA SACHS, WASHINGTON POST

NATIONAL RECOGNITION: •T he New York Times, Washington Post, Wall Street Journal, Garden and Gun, Huffington Post, and Southern Living all have brought national attention to downtown’s restaurant and nightlife scene recently.

•B ida Manda, a well-regarded Laotian restaurant on Moore Square, was named Best Restaurant in North Carolina by Business Insider.

• I n 2015, Garden and Gun featured Bida Manda, Boulted Bread, Videri Chocolate Factory, and Standard Foods.

•O ther downtown establishements like Videri Chocolate Factory, Standard Foods, Death & Taxes, Crawford and Son, The Pit, Boulted Bread, Bida Manda, Centro, Gravy, Lucettegrace, Bittersweet, and Standard Foods have all been featured in national media recently.

HOME TO A DIVERSE NIGHTLIFE: •C raft beer breweries, such as Clouds Brewing, Trophy Brewing Co, Brewery Bhavana, and Crank Arm Brewing and some of the best beer bars in the country like The Raleigh Times.

•S ports bars like Tobacco Road, Carolina Ale House and The Raleigh Beer Garden, now the Guinness World Record holder for most beer brands and most varieties of beer on tap.

• Music venues Lincoln Theatre, Kings, Neptunes, and The Pour House Music Hall, which feature national and local acts.

•D ive bars like Slim’s Downtown Distillery and Ruby Deluxe, and arcade bars like Boxcar Barcade, and Level Up. •C reative cocktail lounges like Foundation, Whiskey Kitchen, Fox’s Liquor Bar, C. Grace, Watts and Ward, Clockwork, Bittersweet, and The Green Light.

DINING & NIGHTLIFE | 69

© Carolyn Scott

ARTS, CULTURE & TOURISM

Downtown Raleigh is a center of creativity, arts, museums, events, and a diverse range of experiences.

3.2 M

1.1 M

11%

150+

VISITORS to downtown’s top 12 attractions

ATTENDEES at outdoor events in downtown in 2016

INCREASE in hotel room occupancy since 2013

OUTDOOR EVENTS in downtown in 2016

208,755 ATTENDEES AT IBMA WORLD OF BLUEGRASS

36%

922

360 K

40+

INCREASE in visitors over past decade including 7% over past 3 years

NEW HOTEL ROOMS planned and 175 ROOMS opening in 2017

360,000 ATTENDEES at Raleigh Convention Center

ART GALLERIES, entertainment venues, and performance groups based in downtown

FESTIVAL IN FALL 2016, THE LARGEST EVENT IN RALEIGH’S HISTORY

TOP DOWNTOWN ATTRACTIONS IN 2016

VISITORS

NC MUSEUM OF NATURAL SCIENCES

902,721

MARBLES KIDS MUSEUM/WELLS FARGO IMAX® THEATRE

675,890

NC MUSEUM OF HISTORY

415,506

DUKE ENERGY CENTER FOR THE PERFORMING ARTS

370,000

RALEIGH CONVENTION CENTER

360,000

STATE CAPITOL

107,834

RED HAT AMPHITHEATER

123,650

ARTSPACE

96,480

NC LEGISLATIVE BUILDING

53,082

Note: Only counts permanent, year-round attractions. Festivals and events not included.

SOURCE: Greater Raleigh Convention and Visitors Bureau

ARTS, CULTURE & TOURISM | 71

ON THE MAP | DOWNTOWN ATTRACTIONS + HOTELS E FRANKLIN ST

PACE ST

HALIFAX ST

SEMART DR

SEABOARD AVE

Hampton Inn

State Legislative Building NC Museum of Natural Sciences

WILMINGTON WILMING WILMIN NGTON ST

State Government Complex

Governor’s Mansion

NC Museum of History

Holiday Inn NC State Capitol

City Centre

Two Glenwood

Marbles Kids Museum

COR Museum

CAM Raleigh

Moore Square City Market

Hilton Garden/ Homewood Suites

Artspace

KI

ST

KINSEY ST

NS EY

Courtyard Marriott

Red Hat Amphitheater

Sheraton

Raleigh Convention Center

Marriott City Center

LEGEND Complete

Planned

Elementbranded Hotel Residence Inn

Duke Energy Center for the Performing Arts

IBMA WORLD OF BLUEGRASS The International Bluegrass Music Association (IBMA) has held their annual convention in downtown Raleigh for the past four years. The convention and accompanying music festival brought an estimated 208,755 people to downtown in 2016, a record for largest outdoor event in Raleigh’s history. The Greater Raleigh Convention and Visitors Bureau estimates the event in 2016 generated: • $10.8 million in direct visitor spending • $1.3 million in media value to downtown from NBC’s “Today” broadcast with Al Roker •9 2,000 attendees from outside Wake County

SOME OF DOWNTOWN’S LARGEST EVENTS IBMA WORLD OF BLUEGRASS CAPITAL CITY BIKEFEST “THE WORKS” 4TH OF JULY CELEBRATION FIRST FRIDAY (MONTHLY) SLR CHRISTMAS PARADE FIRST NIGHT RALEIGH HOPSCOTCH ARTSPLOSURE SPARKCON BREWGALOO AFRICAN AMERICAN CULTURAL FESTIVAL OF RALEIGH & WAKE COUNTY ST. PATRICK’S DAY PARADE

GROWTH IN DOWNTOWN TOURISM SINCE 2007

3,500,000 3,000,000 2,500,000

36%

2,000,000 1,500,000 1,000,000 500,000 0

2007

2008

2009

Source: Greater Raleigh Convention and Visitors Bureau

2010

2011

2012

2013

2014

2015

2016

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RALEIGH CONVENTION CENTER

500,000 TOTAL SQUARE FEET

150,000 Square Foot Exhibit Hall 32,620 Square Foot Ballroom 32,600 Square Feet of Meeting Rooms

500 Kilowatt Solar Energy System, Comprised of 2,080 Panels, Producing More than 725,000 Kilowatt Hours of Electricity

NEW AND EXISTING HOTELS | Downtown has 1,072 rooms with 175 rooms opening in 2017 and 922 more rooms planned.

NEW AND PLANNED HOTELS

VISITORS

RESIDENCE INN (COMPLETED SPRING 2017)

175 ROOMS

CITY CENTRE

176 ROOMS

TWO GLENWOOD

150 ROOMS

HILTON GARDEN INN

259 ROOMS

ELEMENT-BRANDED HOTEL

145 ROOMS

COURTYARD MARRIOTT

192 ROOMS

Downtown Raleigh hotels consistently outperform county, state, and national averages, demonstrating a growing visitor base and increasing demand for hotels in Raleigh’s CBD.

2016 HOTEL MARKET PERFORMANCE 72%

$160

71%

$140

1,247

hotel rooms in downtown with new hotel in 2017

70% $120

69% 68%

$100

67% $80 66% $60

65% 64%

$40

63% $20

62%

HOTEL ROOM OCCUPANCY: 71.2%, up 11% over past three years

61%

$Downtown

Wake County

Average Daily Rate

North Carolina

Revenue Per Room

U.S.

Occupancy Rate

Note: Applies to four hotels: Marriott, Sheraton, Holiday Inn, and Hampton Inn, which comprise 95% (1,072 rooms) in downtown market.

GROWTH IN HOTEL PERFORMANCE SINCE 2013: DOWNTOWN RALEIGH AND WAKE COUNTY

$ $146.23

Average daily room rate, up 15% over 2013

40% 35% 30% 25% 20% 15% 10% 5% 0% Hotel Room Occupancy Downtown Raleigh

Average Daily Room Rate

Revenue Per Room

34%

growth in Revenue Per Room over 2013 to $104.09 per room

Wake County

Sources: STR Global and Greater Raleigh Convention and Visitors Bureau

ARTS, CULTURE & TOURISM | 75

© Armes Photography

ARTS: RALEIGH’S ARTISTIC HUB 20+ Art Galleries •A rts institutions include the Contemporary Art Museum (CAM), VAE, Artspace, Litmus Gallery & Studios, 311 Gallery, Lump Gallery, and Mahler Fine Art Gallery • 100,000+ attended festivals and celebrations of art including Artsplosure, First Friday, and SPARKcon •$ 143 million in economic activity from arts and cultural sector in Raleigh, supporting 5,699 full-time jobs and $109.3 million in household income¹

Raleigh Arts Plan A community cultural plan that outlines a shared vision for the future of Raleigh’s arts and culture. The plan’s goals include: promote an active arts and culture life throughout the community; expand youth arts participation; ensure equity, access, and inclusion in all cultural programming; support the work of Raleigh’s artists and arts and cultural organizations; enhance the vitality of Raleigh’s neighborhoods and districts through thoughtful placemaking; create a system of sustainable arts funding.

More information can be found at www.raleighnc.gov/parks/ content/ParksRec/Articles/Projects/ArtsPlan.html.

First Friday Gallery Walk A staple of downtown for more than two decades now, over 15,000 people come downtown on the first Friday of each

month to sample downtown’s art galleries, museums, stores and alternative art studios, many of which stay open late for attendees.

Artsplosure Since its first festival in 1980, Artsplosure has produced numerous festivals and outdoor programs featuring thousands of established or emerging visual, performing, and interdisciplinary artists with the goals of bringing recognition and exposure to a wide range of artists and continuing to elevate the arts community of Raleigh.

CAM Raleigh (Contemporary Art Museum) Opened in a spectacular renovated warehouse space in 2011 and located in the Warehouse District, CAM exhibits works in emerging and new areas of art with the goal of stimulating creative thinking in the community. CAM shows works in a wide variety of mediums that both educate and challenge visitors.

SPARKcon Started as a grassroots initiative, SPARKcon is a three-day interdisciplinary festival of art, design, music, film, fashion, poetry, food, theatre, and ideas, which supports emerging artists and creative movements. The annual celebration has showcased the cultural richness of downtown since 2006.

¹Arts and Economic Prosperity IV: The Economic Impact of Nonprofit Arts and Culture Organizations and Their Audiences in the City of Raleigh, North Carolina, 2013

PERFORMING ARTS Red Hat Amphitheater Opened in 2010 and located in the heart of downtown, Red Hat Amphitheater stands out among outdoor venues in the region due to its stunning views of the downtown skyline and proximity to all the restaurants and nightlife in downtown Raleigh. The venue hosted more than 123,000 visitors last year at over 30 events between April and October, which included nationally known touring acts like Chance the Rapper, Alt-J, Erykah Badu, Ray LaMontagne, The 1975, and many others.

Duke Energy Center for the Performing Arts Anchoring the southern end of Fayetteville Street, the Duke Energy Center for the Performing Arts hosted 600 events in 2016 with over 370,000 attendees. Combining the historic Raleigh Memorial Auditorium with three modern venues, the center hosted everything from bluegrass and pop music to Broadway and ballet. This facility includes: • Meymandi Concert Hall: 81,000 square feet, 1,750 seats • Raleigh Memorial Auditorium: 88,000 square feet, 2,263 seats • Fletcher Opera Theater: 36,000 square feet, 600 seats • Kennedy Theater: Experimental Theater, 170 seats In 2016, the performing arts center completed $17.7 million in upgrades and renovations such as new lighting, rebuilt concessions area, safety systems, and new paint throughout the building.

North Carolina Symphony Founded in 1932, the North Carolina Symphony is a full time, professional orchestra with a reputation for innovative programming and collaborative projects. Based at Meymandi Hall at the Duke Energy Center for the Performing Arts, the NC Symphony performs 175 shows a year throughout the state and provides an extensive educational program to children all over North Carolina.

Carolina Ballet Carolina Ballet has staged over 80 world premiere ballets, toured internationally, and performs frequently at the Duke Energy Center for the Performing Arts. The company performs a broad array of ballet from newly commissioned works to traditional classics.

North Carolina Opera Dedicated to presenting high-level operatic performances to the Triangle, North Carolina Opera brings international level artists to downtown Raleigh through a wide-ranging repertoire from Mozart to Philip Glass.

North Carolina Theatre Based at the Duke Energy Center for the Performing Arts, the Theatre seeks to build community and interest in the arts through high-quality productions with both local and national talent.

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Š Tierney Farrell

HUB FOR MUSIC AND PERFORMING ARTS

Downtown boasts a wide range of music and performing arts venues from Duke Energy Center for the Performing Arts to Red Hat Amphitheater to smaller clubs like The Lincoln Theater, Pour House Music Hall, Kings, Slim’s, Deep South The Bar, and C. Grace.

Further, Raleigh is home to a thriving and diverse music scene. From the funk of Boulevards to the twang of American Aquarium, Chatham County Line, and Tift Merritt to the heady psychedelic rock of Birds of Avalon and low-fi pop of The Love Language to the verses of rising hip-hop

artist King Mez, Raleigh is a fertile ground for emerging and established recording artists to both create and perform.

Downtown Raleigh also hosts some of the premiere music festivals in the region. In addition to the massively successful and well-attended IBMA World of Bluegrass festival, Hopscotch Music Festival brings thousands of music fans downtown every year for three days to see over 140 bands, including experimental and underground artists, at venues across downtown with 40% of the performers at Hopscotch from the state of North Carolina.

AMERICAN AQUARIUM “Raleigh is one of the first things our fans think about when they think about the band. Every night, every show, we start off by saying "We're American Aquarium from Raleigh, North Carolina". I lived downtown for over 7 years and really enjoyed becoming a part of such a diverse community. Whether it’s the food, the bar scene, or the museums, there is always something to do. As someone who travels for a living, I have had the fortune of seeing every big city (and most of the small ones) this country has to offer, and I could not see myself living anywhere other than Raleigh.”

– BJ BARHAM, AMERICAN AQUARIUM

BOULEVARDS “The thing that inspires me about downtown Raleigh is the pure growth. There are so many talented young people in Raleigh. It has come a long way since I grew up there all my life. It’s a cool and hip place to be with so many creative people. It’s a beautiful thing to see the growth of Raleigh. People of Raleigh are open to new and exciting things. Change is good, especially if it is in a positive way and impacting the growth of the city.”

– BOULEVARDS

TIFT MERRITT “I grew up in Raleigh, near downtown—I grew up in a place that really had a true sense of place. It was a very singular feel. That was and that has always been palpable to me. It’s been something that I’ve tried very much to give to my work: I want my work to feel like a particular world that you’re stepping into, a particular place and time steeped in a feel of its own. I think I want my work to feel that way because I’ve experienced it firsthand, here in Raleigh.”

– WALTER MAGAZINE, MARCH 2017

KING MEZ “Our music [in North Carolina] is laid back, it’s personal, and it’s based on our inner most thoughts. And what we feel in our soul.”

– THE MSU SPOKESMAN, APRIL 9, 2013

Boulevards Photo Credit: Daniel Topete; Tift Merritt Photo Credit: Alexandria Valneti

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DRA BOARD, STAFF & ACKNOWLEDGEMENTS

ACKNOWLEDGEMENTS

OFFICERS + EXECUTIVE COMMITTEE

BOARD OF DIRECTORS

Jon Wilson Chair Kimley-Horn and Associates, Inc.

Mary-Ann Baldwin (Ex-Officio) City of Raleigh

Andy Holland SunTrust Bank

Pam Blondin Deco Raleigh & Deco Home

Robby Lawson Downtown Resident, The Dawson Condominiums Williams Mullen

Sharon Moe Treasurer/Chair Elect North State Bank Jason Smith Immediate Past Chair 18 Seaboard Restaurant Neil Gray Secretary JDavis Joseph ‘Bo’ Dempster, Jr. Legal Counsel Poyner Spruill Tashni-Ann Dubroy At-Large Shaw University Sally Edwards At-Large Marbles Kids Museum Orage Quarles III (Ex-Officio) Interim President + CEO

Marty Clayton Duke Energy Adrienne Cole (Ex-Officio) Greater Raleigh Chamber of Commerce Leon Cox Sheraton Raleigh Hotel Courtney Crowder Crowder Consulting, LLC Robert Doreauk Regional Director - External Affairs, AT&T North Carolina Sue Glennon Hampton Inn & Suites Hotel at Glenwood South Cameron Gorse Downtown Resident, SkyHouse Raleigh Apartments Ruffin Hall (Ex-Officio) City of Raleigh

Chad T. Lefteris UNC Rex Healthcare J. Rich Leonard Campbell University School of Law D. O’Hara Macken Ipreo Joe Meir Blue Ridge Realty, Inc Sarah Powers City of Raleigh Arts Rebecca Quinn-Wolf PNC Gregg Sandreuter Hamilton Merritt Nate Spilker Citrix Caroline F. Welch ABC 11

Jim Hartmann (Ex-Officio) Wake County Tyler Helikson Happy + Hale

PROFESSIONAL STAFF

Tyler Breazeale Research Analyst Jean Carroll Events Coordinator Roxanne Coffey Office Manager Kimberley Jones Executive Assistant

Bill King Senior Director of Planning & Economic Development

Stacey Simeone Marketing & Communications Director

Orage Quarles III Interim President & CEO

Lyndie Simpson Finance Manager

Craig Reed Events Director

Danny Vivenzio Communications Manager

Americans for the Arts Avison Young Biz 3 Publicity & Management BJ Barham, American Aquarium Campbell Law School Capital Area Transit Authority Carolina Ballet CBRE Cheetie Kumar City of Raleigh: Planning & Development; Urban Design Center; Parks and Recreation; Public Works; Office of Sustainability; Office of Transportation Planning; Special Events Office Colliers International David Meeker Downtown Living Advocates Downtown Raleigh Alliance Ground floor inventory 2011, 2015 Downtowner Magazine Empire Properties FilterEasy The Gramercy Greater Raleigh Chamber of Commerce Greater Raleigh Convention and Visitors Bureau Grubb Properties HR&A Advisors HQ Raleigh Integra Realty Resources Integrated Postsecondary Education Data System Jamil Rashad, Boulevards JLL Julie Brackenbury, Greater Raleigh Convention and Visitors Bureau Loren Gold, Greater Raleigh Convention and Visitors Bureau Patrick Daly, Cohera Medical Port of Raleigh Raleigh City Farm Raleigh Convention Center Raleigh-Durham Airport Authority Sara Casella, Motormouth Media Sasaki Associates Shaw University Smith Travel Research St. Augustine’s University Triangle Business Journal U.S. Bureau of Labor Statistics, LED OnTheMap U.S. Census Bureau Visual Art Exchange Wake County: GIS, Revenue Department William Peace University Graphic Design: Stacey Simeone For errata visit: GoDowntownRaleigh.com

DOWNTOWN RALEIGH ALLIANCE MISSION The Downtown Raleigh Alliance is an award-winning nonprofit organization whose mission is to continue the revitalization of Raleigh’s downtown by enhancing its quality of life and contributing to its economic success. On a day-to-day basis, DRA provides seven core services that have a short-term and long-term impact on downtown:

1. SAFETY & HOSPITALITY AMBASSADORS 2. STRATEGIC BRANDING + COMMUNITY COMMUNICATIONS 3. EVENTS PRODUCTION 4. RETAIL ATTRACTION + MERCHANT PROMOTIONS 5. STRATEGIC PARTNERSHIPS + STAKEHOLDER ENGAGEMENT 6. STRATEGIC PLANNING 7. CONFLICT RESOLUTION

COVER PHOTO BY TRAVIS JACK, FLYBOY PHOTOGRAPHY

PRODUCED BY:

120 S WILMINGTON STREET, SUITE 103 • RALEIGH, NC 27601 • 919.832.1231 WWW.GODOWNTOWNRALEIGH.COM • INFO@DOWNTOWNRALEIGH.ORG