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The Village at Market Creek Toward the Resident Ownership of Neighborhood Change

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A Letter to Investors Hard-Hitting Winds Jennifer S. Vanica, President and CEO

As a foundation partnering in community change, we have faced challenges before.

Despite these previous challenges, the economic storm of 2008 hit with unprecedented impact and uncertainty. No one could predict the future based on the past. No blueprint existed. No assumptions provided guideposts. By mid-year, we knew we were facing unique challenges in achieving the vision of The Village at Market Creek The economic storm of 2008 as a vibrant live-work-play hit with unprecedented impact cultural destination.

In 1997, we teamed with a small group of community residents to create a new vision for the Market–Euclid intersection in San Diego’s southeastern Diamond Neighborhoods. We were confronted with long-term disinvestment, dark streets, widespread blight, limited activities for young people, and lack of commercial services.

After seven years in the making, Market Creek’s largest social enterprise — Market Creek Events & Venues, a hospitality, banquet services, and culinary training academy on the first floor of the Joe & Vi Jacobs Center — debuted just as travel and meeting budgets across the country were cut.

Over the next four years, a committed group of residents and funders worked to acquire and develop an abandoned industrial site. We hit every possible obstacle. Yet, in 2001, we opened the first major grocery store to serve these neighborhoods in over 30 years.

San Diego’s restaurant business was hit hard. At Market Creek Plaza, the locally-owned small businesses were impacted by the severe economic downturn and further challenged by eruptions of gang violence in the surrounding neighborhoods.

Even in the face of the economic downturn that followed 9/11, the old factory site was transformed into a vibrant commercial and cultural center. The initial six working teams became over 30 Village teams. Landuse planning and land acquisition expanded. Residents and funders were working more comprehensively, and teams began discussing a broader sense of purpose in creating a strong, safe, vibrant, and caring community.

Shrinking business activity slowed the development timeline for a nearby office and industrial project.

Jacobs Family Foundation Jacobs Center for Neighborhood Innovation

A Year of Extraordinary Challenge

and uncertainty.

With this larger scope, new challenges emerged. We struggled to understand scale at a neighborhood level. We grappled with how to expand the resource network, then had to figure out how to coordinate wide-ranging actions with a growing number of partners. We were challenged by residents to create pioneering tools for collective investment and had to grow to develop the next phase — the Joe & Vi Jacobs Center — as a central resource in The Village.

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One Market Creek Plaza restaurant launched an entertainment series. Another created new product lines and added a buffet to attract evening business.

After two years of planning for the first homeownership project in The Village, high foreclosure rates quickly shifted the housing demand from ownership to rental. In project finance, losses in the financial markets made tax credits questionable. Without completion of a pending mixed-use Community Plan Amendment, status as a smart-growth “shovel-ready” project could not happen fast enough for limited public sector funding. With our assets and those of our foundation partners also impacted, we had to rethink how to gain greater leverage, partner more effectively, and reduce the need for loan guarantees, which strapped our resources.

The Creativity of Teams If the greatest opportunities for innovation come in the most challenging times, then 2008 was prime time for The Village at Market Creek.

In one of the worst years of business losses in history, Market Creek Plaza logged an unprecedented $42 million in economic activity.

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Faced with severe economic circumstances, people became creative. They looked for the synergy, unearthed the opportunity of the moment, and tried to ferret out any potential percolating under the surface of the new reality.

The businesses focused on customer service and launched a concerted effort to help residents make their dollars bounce in their neighborhoods and save jobs at home. Loans were modified, cash-flow forecasting intensified, relationship marketing increased, and meetings with potential customers and community investors focused on “we-care-andwant-your-business.” Market Creek Events & Venues hosted a series of business mixers. Because of its unique multicultural setting and social enterprise mission, it brought wide regional and community interest. Project Safe Way, staffed by residents at key intersections in The Village neighborhoods, initiated a safe-passage-to-school pilot program and partnered with schools and city police to resolve issues at strategic corners. Facing financial challenges, the eight surrounding schools pulled together to share resources. They collaboratively designed a program to serve the most challenged students, strengthen systems that support families, and bolster the learning environment in the broader Village. Young people began stepping into the lead. Writerz Blok, an urban art program, contracted with the San Diego Unified School District to create mural art with youth teams, becoming a juvenile-diversion program. At the same time, an emerging “I Am the Movement” youth campaign rallied students from seven campuses to help their peers stay in school.

The Impact of Innovation In one of the worst years of business losses in history, Market Creek Plaza logged an unprecedented $42 million in economic activity. Gross sales were up 5 percent over the year before. Job counts were stable.


Market Creek Partners, LLC was profitable and paid its 10-percent preferred return to Diamond Community Investors and the Neighborhood Unity Foundation. In the broader Village, an additional $10 million in capital investment created more than 140 new jobs in the area surrounding the Market-Euclid hub. As a year of great challenge, 2008 stands as a testament to the community’s literal and figurative ownership of change and to the ability of residents to innovate in the face of hard times.

A Platform for Learning For all of us who have played a role in Market Creek, it has been a journey into uncharted territory that involves taking risks and breaking new ground together. From this journey, we have learned that independent action around isolated issues can’t get at the underlying conditions that require change. We must work comprehensively at the intersection of social, economic, physical, and civic strategies. We have learned that this work requires long-term alliances among players who traditionally have not worked together — developers and residents, residents and foundations, securities lawyers and community builders, grantmakers and tax-credit investors, museums and graffiti artists, former gang members and police.

A Report Card on Impact This is the third annual Social and Economic We must work comprehensively Impact Report on at the intersection of social, the achievements, economic, physical, and civic challenges, and learnings strategies. of the coordinated effort to raise The Village at Market Creek. As a focal point for joint action, The Village is a strategic effort to connect residents, markets, resources, and communities. While the success of The Village at Market Creek is often measured by square feet of new construction, number of jobs, and value of contracts, Market Creek is mostly about people learning how to work together. In teams, people develop strong and dynamic networks, create bridges to the larger region, and cultivate higher expectations for change. This creates cross-cultural understanding, ownership, and new platforms for problem-solving to improve the health, education, and safety of the community.

We have learned that in a resident-guided process, blight is an opportunity for people to develop individual and community assets while rebuilding their own neighborhoods. We have learned that the most creative breakthroughs happen when residents are the primary leaders in changing their own neighborhoods. Differences, disagreements, and barriers — these are the ingredients for innovation. This kind of ownership brings people to a new vision, instills hope, builds skills, and creates economic value that benefits them.

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Because The Village at Market Creek has grown, this report is organized into five areas. The various teams, partners, and investors who have made this work possible are also organized by these categories: 1. Community Vision and Voice: This section reports on civic engagement and community service. It covers the impact of efforts to mobilize large-scale, cross-cultural resident participation in the planning, decision-making, implementation, and ownership of change. 2. San Diego’s Smart-Growth Pilot Village: This section documents the development of the physical assets of The Village, an effort to reclaim 45 contiguous acres of blight and turn them into a vibrant mixeduse, transit-oriented cultural village that fosters environmental sustainability, social equity, and the resident ownership of assets. It describes the effort to rebuild in a way that maximizes and returns the benefits of development to the immediate community.

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3. Community Enterprise and Ownership: This section reports on the work to build economic opportunity. It recounts efforts to develop community-owned enterprises that bring essential services, create jobs, expand contracting opportunities, and build community wealth. Market Creek’s strategies focus on simplifying and adapting the tools of the marketplace — such as a Community Development IPO — so that residents have a financial stake in their community and businesses benefit from social responsibility. 4. Family and Community Networks: This section documents the work of residents in building the social infrastructure of their neighborhoods. It describes the bridges that connect residents, community organizations, and funders to energize learning, support the potential of children, and encourage healthy lifestyles. 5. Shared Learning: This section reports on Market Creek as a shared learning environment for people across the country. Focused on new approaches to community building, social enterprise, and community ownership, partners are investing in learning, which attracts new ideas to The Village and stimulates ongoing innovation in the field.


Thank You to Our Partners

Leaning into the Wind

This report reflects the combined work of many residents, community organizations, institutions, foundations, public sector partners, and other concerned citizens who care about changing the dynamic of disinvestment and are coming together for greater impact. It traces our collective journey over the past year, highlights where we were challenged, what changed, and what we have learned.

This year, we were reminded of what we learned from Joe Jacobs years ago — when things look like they are not going to work, don’t falter. Lean into the wind. Innovation Innovation will emerge when will emerge when times times are hard, resources are are hard, resources are limited, and human potential limited, and human is challenged. potential is challenged.

We are grateful for the steadfast commitment of the San Diego Neighborhood Funders, our PRI partners, and our community investors. Local friends from San Diego like The Legler Benbough Foundation anchored us in the storm. National partners like The Annie E. Casey Foundation inspired us to keep sailing. Community partners like the Diamond Community Investors turned out to help us adjust the sails. Without planning support and strategic investments for implementation, the achievements of 2008 would not have been possible. We will continue to rely on our public and private partners to bring the vision of The Village at Market Creek to fruition.

We also embraced, like never before, the truth of the African proverb: “To go fast, go alone. To go far, go together.” Don’t just build buildings. Find the connecting points. Start and stay together. Build a commitment to and understanding of our common destiny. Do together what we cannot do alone... Become a community.

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The work at Market Creek is based on the assumption that all people can and must lead.

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Goal Large-scale, cross-cultural resident participation in the planning, decision-making, implementation, and ownership of change.

civic engagement

overview

Community Vision and Voice The Village at Market Creek is about neighbors taking charge of change. Market Creek’s working teams unite residents across neighborhoods, cultures, and generations to strengthen joint action and increase the ability of people to break down barriers, engage in the creative exchange of ideas, and get things done. From the earliest planning, arts and culture have been galvanizing forces in bringing residents from the diverse neighborhoods together to envision and plan, foster a sense of belonging, and celebrate their strength as a community. Participating in building a secure and vibrant place to live, people have brought the best of themselves and their cultures together to promote understanding, encourage creativity and problem-solving, and find their voice. The work at Market Creek is based on the assumption that all people can and must lead — including our youth. Young people are asked to bring their great gifts to the table and take on important roles. This builds skills, relationships, and leadership. It brings new voices to the table.

Innovation “Working Teams” as the platform for residents to become primary leaders of change in their community.

Diverse stakeholders, working across unlikely relationships, are the foundation for the long-term sustainability of community change.

Challenge Creating an infrastructure to support large-scale, cross-cultural organizing.

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Community Vision and Voice Working Teams Amphitheater Team Artists-in-Residence Black Womanhood Exhibit Team Community Listening Survey Team Friends of the Teen Center International Outreach Team NUF “Power in Caring” Niche Team Village Teams Council Writerz Blok Graphic Design Team Writerz Blok Mural Team Youth Advisory Board Youth Movement Working Team Planning and Community Partners AjA Project Balboa Park Cultural Partnership The Legler Benbough Foundation City of San Diego Commission for Arts and Culture City of San Diego Fourth District Council Office Coalition of Neighborhood Councils Common Ground Theatre Elementary Institute of Science Fourth District Youth Action Board Inner City Youth Jackie Robinson Family YMCA Lao Community Cultural Center M.A.N.D.A.T.E. Records Mingei International Museum Morse High School Museum of Photographic Arts Neighborhood Unity Foundation The New Children’s Museum The Old Globe Nu-Way Operation BHILD Outdoor Outreach Pazzaz, Inc. Project New Village San Diego Historical Society San Diego Museum of Art San Diego Museum of Man San Diego Unified School District San Diego Unified School District Police Department San Diego Urban Economic Development Corporation SANA Art Foundation Somali Youth United Southeastern Teen Center Southeastern Economic Development Corporation United African American Ministerial Action Council Urban Warriors Writerz Blok Strategic Investment Partners The Thomas C. Ackerman Foundation Bank of America The Legler Benbough Foundation The California Endowment The Annie E. Casey Foundation City of San Diego Commission for Arts and Culture City of San Diego Fourth District Council Office Coca-Cola Bottling Company of San Diego Cox Communications Jacobs Family Foundation Kaiser Permanente Edmond Kassouf Metropolitan Transit System Neighborhood Unity Foundation The Parker Foundation The Pratt Memorial Fund at the Union Bank of California San Diego National Bank San Diego Neighborhood Funders Sempra Energy Wells Fargo

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The Work Community Vision and Voice Community Organizing For The Village Working Teams and the cultural networks, 2008 was a year of re-assessing the pulse of the neighborhoods and organizing around people’s critical issues. Residents — hit hard by job loss, foreclosures, immigration issues, gang violence, and lack of affordable housing — continued working to create a strong and healthy village. Teams began creating networks to help bridge the community to resources in the broader region. An organizing effort called Project VOCAL (Voices of Community at All Levels) was launched to help people build broader coalitions and address conditions that challenge families. 2008 also gave rise to a Village Teams Council as a way of coordinating the work and keeping the teams’ work connected to the larger Village. The Council, made up of representatives of the various

working teams, became a forum for communicating, decision-making, and planning together. The International Outreach Team, made possible through funding by six local foundations, includes 17 community members that represent three generations and the seven major cultures of The Village. In 2008, the team provided a platform for deeper organizing efforts within and across cultures. As these efforts bridged the various cultural groups, the diversity of the working teams expanded and the number of cultural events at Market Creek grew.

Arts and Culture Discussions and joint activities with the San Diego Museum of Art and other San Diego arts organizations led to an emerging relationship between the residents of The Village and Balboa Park. Out of this grew the concept


MILESTONES • The Village Teams Council was formed to bring together representatives of diverse stakeholders as a platform for large-scale joint action and decision-making. • 350 residents attended “Building Our Community Together,” the first community meeting hosted by the Coalition of Neighborhood Councils (CNC), Southeastern Economic Development Corporation (SEDC), City of San Diego Fourth District Council Office, and Jacobs Center for Neighborhood Innovation (JCNI). • Over 1,500 residents participated in focus groups, surveys, and community forums to provide important input into the planning of The Village.

of “The Benbough Center for Community Arts” as a centerpiece for creative expression and a focal point for Market Creek as a cultural village. This center will become a platform for discussions that cross age, gender, generation, race, and income to address social issues of concern in an atmosphere of creativity and human connection. As part of an effort to build cultural understanding, teams implemented 18 community art projects and hosted 42 amphitheater events. Over 8,000 people participated in arts activities and 11 cultural events attracted 19,000 people.

Youth Voice 2008 spurred the vision of a more cohesive youth voice in The Village, giving rise to The Youth Movement as a platform for youth leadership and peer organizing.

The Youth Movement Working Team — a planning group of 50 young people from seven high schools and representatives from the Teen Center, Writerz Blok, and the International Outreach Team — began by launching “Our Voice in Education,” a campaign to reduce student drop-out rates. Their first outreach event, the Diamond Classic, brought together 900 youth.

• Partnership discussions were initiated with regional arts organizations including San Diego Museum of Art, San Diego Museum of Man, The Old Globe, SANA Art Foundation, the Mingei International Museum, Museum of Photographic Arts, San Diego Historical Society, The New Children’s Museum, and the Balboa Park Cultural Partnership. • An Artists-in-Residence program was piloted with four visual artists working with residents to bring their cultural and artistic traditions to The Village. • The Old Globe opened its technical center for building sets and storing scenery and costumes, launched its Southeastern San Diego Residency Project, and partnered with Lincoln High School and Writerz Blok on Kingdom, a play about gang violence. • The Arts & Culture Fest attracted over 5,000 people as a result of collaboration efforts with local and regional arts and culture organizations and resident teams. • The Youth Movement Working Team, involving 50 youth from seven high schools and representatives from the Teen Center, Writerz Blok, and the International Outreach Team, began organizing the next generation of leadership in The Village. • Attendance at Village activities and events increased 34 percent to nearly 42,000.

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The Impact Community Vision and Voice Resident Voice

2008

2007

1,574

1,582

33

32

Residents Involved in Working Teams Design and Planning Implementation

118 451

115 402

Participation in Village Center Meetings and Forums

750

550

Youth Development

2008

2007

Youth Leadership Team

6

6

Youth Interns

30

12

Youth Movement Working Teams

50

N/A

Youth Community Service Volunteers

57

32

Youth Science Commissioners

15

37

3,848

4,200

Residents Participating in Community Listening (Surveys and Focus Groups) Number of Village Working Teams

Laura Benavidez

International Outreach Team Member Neighborhood Unity Foundation Board Member Diamond Community Investor Spirit of the Diamond Grants Committee Community Listening Survey Team

“I want to rebuild that feeling of community

Youth Classes, Activities, and Event Attendance

that had disappeared. I see a glimmer. There is a feeling that everybody knows everybody by

Village Activities and Events

2008

2007

name. Change is happening.”

Participation in Village Events

41,978

31,300

At 15, Laura Benavidez was one of 24 students involved in The Community Faces Project. In the process of producing videos to honor community leaders, she realized that youth were underrepresented in The Village work. So she joined the Youth Working Team. “There is a lot of talk about what adults and little kids want and need, but teens often don’t get a say. They have a reputation for causing trouble. I want to turn that stereotype around and build a new view of youth. We should all be heard.” Now 23, she is an adult member of the International Outreach Team, representing the Latino community. Along the way, she also participated on the Market Creek Plaza Art & Design Team, the Euclid-Market Action Team, and the Amphitheater Team. “A lot of people mentored me. I am now confident that my opinion does matter. I have a voice and I use it.”

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T

he Village Teams Council was

formed as a way of coordinating work across teams. Made up of representatives

Community Art Projects & Events

2008

2007

Public Art Projects

18

13

Amphitheater Events

42

27

Cultural Events

11

10

2008

2007

Community Artists

133

26

Adult Participants

196

11

Youth Participants

336

383

2008

2007

8,070

2,968

19,125

9,375

Involvement in Public Art Projects

Arts & Culture Community Participation Arts Activities & Workshops Cultural Celebrations

Arts & Culture Venues

600

Market Creek Central Plaza

175

World Court

400

Festival Park

2,000

Joe & Vi Jacobs Center — Celebration Hall

1,700

Joe & Vi Jacobs Center — Outdoor Stage and Event Area

1,000

Capacity for all Market Creek Plazas and Venues

the Council became a platform for communicating, decision-making, and initiating new teams. They began creating networks to help bridge the community to resources in the broader region.

Capacity

Market Creek Plaza Amphitheater and Stage

Joe & Vi Jacobs Center — Rooftop Garden

of the various working teams,

125 6,000

Permanent Art Installations African Batik Tile Tapestry Sempra Energy Children’s Wall Tile Project Community Faces Mural Project “Firefly Dreams” Bronze Sculpture Joe & Vi Jacobs Center Cultural Banners “Jalisco Scenes” Ceiling Dome Lao Tile Tapestry 11


The Village at Market Creek is about smart growth — restoring vitality to older urban neighborhoods with an eye toward transit-centered compact design, mixed land use, environmental sustainability, and community beneďŹ ts.

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Goal A 45-acre mixed-use, transit-oriented cultural village that fosters environmental sustainability, social equity, and the resident ownership of assets.

overview

San Diego’s Smart-Growth physical development Pilot Village The Village at Market Creek is about changing the landscape of a community. Market Creek’s working teams set a goal of reclaiming 45 contiguous acres of blighted land, developing them into vibrant physical environments, and delivering maximum benefits into the neighborhood. A San Diego “City of Villages” pilot project, The Village at Market Creek is about smart growth — restoring vitality to older urban neighborhoods with an eye toward transit-centered compact design, mixed land uses, environmental sustainability, and community benefits. The Village will put 45 acres back into productive use, replace substandard housing with 800 quality, affordable homes, and restore nearly 3,000 linear feet of wetlands. Over 1.9 million square feet of new construction will bring more than $300 million in contracts to our community, over 60 new businesses, and 800 jobs.

Innovation

Market Creek is challenging community teams to think long term

Resident-guided development that maximizes and returns the benefits of rebuilding to the immediate community.

about every aspect of sustainability. Community discussions about green buildings, solar energy generation,

Challenge Lining up the market, capital, entitlements, land, and expertise on such a major undertaking in a difficult economic climate. Achieving scale for long-term sustainability.

and water usage — San Diego’s most critical issue — led to a goal of becoming a LEED (Leadership in Energy and Environmental Design) GoldCertified Neighborhood. Financial and ownership structures are also being designed to create financial sustainability for an integrated set of services, parks, cultural venues, and educational programs.

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Smart-Growth Pilot Village Working Teams Business and Leasing Team Construction Working Team Housing Team Joe & Vi Jacobs Center Design Team Joe & Vi Jacobs Center Exterior Landscape Team Office and Industrial Project Planning Team Village Teams Council

Planning and Community Partners City of San Diego Fourth District Council Office City of San Diego Planning Department Coalition of Neighborhood Councils Diamond Community Investors Diamond Management, Inc. Encanto Planning Group McCormack Baron Salazar Neighborhood Unity Foundation The Office of Mayor Jerry Sanders San Diego Association of Governments (SANDAG) Southeastern Economic Development Corporation Urban Land Institute

Strategic Investment Partners Equity Investors Diamond Community Investors Diamond Management, Inc. Jacobs Center for Neighborhood Innovation Neighborhood Unity Foundation Program-Related Investments The Legler Benbough Foundation The Annie E. Casey Foundation The F.B. Heron Foundation Jacobs Family Foundation The Rockefeller Foundation New Markets Tax Credits Partners & Lenders Chase Clearinghouse Community Development Financial Institution Pacific Western Bank U.S. Bank Wells Fargo and Company Tax Increment Financing Southeastern Economic Development Corporation Grants California State Water Resources Control Board Evelyn & Walter Haas, Jr. Fund Small Business Development Loans California Southern Small Business Development Corporation

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The Work Smart-Growth Pilot Village Community Facilities Heading into 2008, Market Creek Plaza was complete and the Joe & Vi Jacobs Center, a project equal to the scope and scale of the Plaza, was under construction. It opened on a temporary permit in April and received its final permit in August. Nearly 75 percent of construction contracts were awarded to minority- and women-owned businesses. Housing the Jacobs Center for Neighborhood Innovation on the third floor, the Joe & Vi Jacobs Center is also home to the newest Village social enterprise, Market Creek Events & Venues. The second floor is earmarked for community partners and organizations.

Commercial Development Along Market Street, a new 60,000square-foot office complex and a 20,000-square-foot industrial building were planned, teams selected an architect to begin design, and leasing strategies were ready to implement. At Market and 47th streets — the gateway to The Village — teams worked to recruit a drug store, the final business targeted

in the original “Top 10 Most Wanted” list of businesses. Heading into the second half of 2008, however, market conditions brought sharp changes in The Village development priorities and timelines. Knowing that the next few years would be extremely challenging for commercial development, the team shifted strategies away from Market and 47th streets, seeing it as too risky for commercial tenants without the simultaneous development of the northeast and southeast corners. They began working on a site that seemed more feasible — the northwest corner of Market & Euclid.

Residential Development The overall decline in business activity also shifted the focus away from office and industrial space to housing. High foreclosure rates shifted the housing demand from ownership to rental. The Housing Team, which had just completed two years of planning for the first Village housing community, had to set aside plans for ownership. They moved quickly into planning development of the first rental housing components of The Village.


MILESTONES • The 75,000-square-foot Joe & Vi Jacobs Center was completed, drawing 3,400 guests to its grand opening, cultural celebrations, and blessing ceremonies in May. • The Chollas Creek Enhancement Project, a $2.5-million endeavor, restored a portion of the Encanto Tributary. This project, along with the previous Chollas Creek restoration, placed The Village at the forefront of urban stream recovery work. This work was recognized as “project of the year” by the American Public Works Association and received an Orchid award for sustainable design by the San Diego Architectural Foundation. • Construction of the Joe & Vi Jacobs Center and restoration of the Encanto Tributary brought over $15 million in contracts, with 74 percent going to minority- and womenowned businesses. • The Housing Team produced plans for the first two affordable multi-family housing developments and began the process of assembling financial resources for implementation. • Renovation of the BRYCO Business Park, an old industrial property transformed into a light industrial business park, was completed and the facility was fully leased.

To be competitive for public resources like the Affordable Housing Tax Credit and Transit-Oriented Development Funds, the Housing Team expanded its strategy from Trolley Residential, a small 52-unit pilot project that could be developed locally, to a largescale housing project of over 200 units. Because this required a national partner, the team selected McCormack Baron

Salazar (MBS), an industry leader in urban development known for creating long-term public-private partnerships. By year-end, an $80-million project, encompassing the first two Village rental housing communities, was on the drawing board to help address the rising demand for rental housing, childcare, and jobs.

• Four additional properties were purchased or placed in escrow, with the assistance of a $1.5-million “linked deposit” from The Annie E. Casey Foundation, which helps reduce holding costs on the land until it goes into development. • The Urban Land Institute, San Diego/ Tijuana recognized Market Creek Plaza with its smart-growth award for social equity. • Work on a Community Plan Amendment advanced, paving the way for a new mixeduse zone in The Village.

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The Impact Smart-Growth Pilot Village Pilot Village - Scale

2008

2007

1997

Total Acres

44.3

44

20

Acres Developed

21.8

10

0

6.3

11.8

10

Jobs and Homes

2008

2007

1997

Jobs in The Village

559

415

7

New Homes in Development

205

52

0

2008

2007

1997

Acres in Development Planning

Joseph Moore

Housing Team Member Diamond Community Investor Community Investment Fund Investor

Construction Contracts Total Construction Contracts

$38.4 m

$36.2 m

0

“We have to stick up for ourselves. Nobody’s

HUBE* Contracts

$28.5 m

$27.0 m

0

going to do it for us. We need to become more

* Historically Underutilized Business Enterprises

74%

76%

10

Capital Investment

2008

2007

1997

Total Investment

$95 m

$85 m

0

Transit Ridership

2008

knowledgeable, more active, and more involved. Since getting involved with this work, I’ve lived another life.” Joseph has been a strong voice in shaping plans

Percentage of HUBE Contractors

for The Village. Active on various teams and committees, as well as in the community, he became passionate working with the original Housing Team and has never stopped. He was one of many who spoke to the City Council on behalf

Annual Increase

4%

Increase since 1997

71%

of the district’s need for mixed-use zoning. The Housing Team developed a plan for quality, affordable housing to make ownership possible for more community residents. Before it could be implemented, the downturn in the economy and subprime crisis shifted the immediate need for housing from ownership opportunities to rentals.

Before

Market Creek Plaza 102,000 square feet

After the shift from housing ownership to rentals, Joseph stayed the course. Along with the rest of the team, he remains focused on the goal of bringing

After

quality housing to The Village.

Market Creek Plaza Amphitheater 12,440 square feet

“You can’t reach for something if you can’t see it. I’ve opened my eyes and become a community innovator.”

Festival Park & World Court 37,000 square feet After

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K

nowing that the next

Before

Joe & Vi Jacobs Center 75,000 square feet Celebration Hall (inside) 12,000 square feet After

few years will be

extremely challenging for commercial development, the team shifted its focus from home ownership to rental housing. To be more competitive for

Elementary Institute of Science 15,000 square feet

public resources, we partnered with an industry leader

Before

in urban development known for creating long-term public-private partnerships.

After

Wetland Recovery: Chollas Creek Restoration 1,200 linear feet Chollas Creek Encanto Tributary Restoration 900 linear feet Before

After

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The Village at Market Creek Development Overview

Northwest Village Rental Housing Market & 47th Northeast Corner

Construction: 2011 - 2012

Construction: 2013

Trolley Residential Construction: 2010 - 2011

Market & 47th Southeast Corner Construction: 2011 - 2012

Gateway Properties Construction: 2014 - 2015

Youth World

West Village

Construction: 2015 - 2016

Construction: 2017 - 2018

Joe & Vi Jacobs Center

Southwest Village Construction: 2017 - 2018

Retail

Light Industrial

Housing

Marketplace

Community Resource

Park/Open Space

Complete 18

Chollas Creek Enhancement Project


Guymon Apartments Construction: 2012 - 2013

Northwest Village Creek Enhancement Project Construction: 2010 - 2011

Northwest Village — Commercial Construction: 2010 - 2012

Office and Light Industrial Project Construction: 2011 - 2012

Elementary Institute of Science Malcolm X Library

BRYCO Business Park

Transit Station Tubman-Chavez Multicultural Center

The Old Globe Technical Center Chollas Creek Encanto Tributary Enhancement Project

Market Creek Plaza

Naranja Commercial Construction: 2012 - 2013

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In the worst year for business since the Great Depression, Market Creek Partners, LLC paid its 10-percent preferred return to community investors.

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Goal Community-owned enterprises that bring essential services, create jobs, expand contracting opportunities, and build community wealth.

overview

Community Enterprise and economic opportunity Ownership The Village at Market Creek is about residents putting their talents to work. As an anchor project for reinvigorating an urban marketplace, Market Creek is designed to give residents a ďŹ nancial stake in their community, build individual and community assets while rebuilding neighborhoods, and keep social responsibility at the forefront of business. Resident teams work to harness local retail dollars, build an emerging market, and develop a network of community-owned enterprises. Collectively called Market Creek Community Ventures, the goal of these double-bottom-line businesses is to unite diverse communities and recapture the value of economic expansion through individual and community ownership. Market Creek Partners, LLC owns two properties: Market Creek Plaza, anchored by a Food 4 Less supermarket and home to 11 other business suites, and an additional parcel planned to accommodate a major drug store.

Innovation

Jacobs Facilities, LLC owns the Joe & Vi Jacobs Center,

Harnessing the markets for social change and making the tools of ownership and investment accessible to residents.

Challenge Stimulating a culture of risk-taking, encouraging an allegiance to local entrepreneurs, and overcoming negative perceptions of the area.

a 75,000-square-foot community and conference center with a 5,000-square-foot commercial kitchen. Small businesses add to the social enterprise network, including Writerz Blok, a graďŹƒti art and graphic design business, and Where the World Meets, a retail outlet for micro-entrepreneurs.

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Community Enterprise & Ownership Working Teams Business and Leasing Team Cultural Kitchen Team DCI Business Promotion Team DCI Community Investment Fund Guide Team DCI Financial Education Team DCI Governance Team Homeowner Readiness Team International Outreach Team Village Teams Council Where the World Meets Vendors Planning and Community Partners ACCION San Diego California Southern Small Business Development Corporation Coalition of Neighborhood Councils CRASH, Inc. (Community Resources and Self Help) Joe Davis & Associates Diamond Community Investors El Pollo Grill Hawkins Realty Home Start House of Metamorphosis Danielle Jackson, Attorney at Law Julia’s STARS Junior Achievement Lincoln High School Luce Forward Hamilton & Scripps MAAC Project Magnolias Authentic Southern Dining Manpower Mind Treasures Money Management, Inc. Morse High School Neighborhood House Association Neighborhood Unity Foundation The Old Globe Pazzaz, Inc. San Diego National Bank Springboard Union Bank of California United African American Ministerial Action Council Wells Fargo Writerz Blok Strategic Investment Partners The Legler Benbough Foundation The Annie E. Casey Foundation Diamond Community Investors Evelyn & Walter Haas, Jr. Fund The James Irvine Foundation Jacobs Family Foundation Evelyn Lutfy Masserini/French Trust at Wells Fargo Neighborhood Unity Foundation The Rockefeller Foundation San Diego National Bank Wells Fargo

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The Work Community Enterprise Ownership & Investment

Business & Employment

In the worst year overall for business since the Great Depression, Market Creek Partners, LLC paid its 10-percent preferred return to community investors.

The broader economic forces made 2008 a tenuous year. With people losing their homes and unemployment growing, Market Creek’s small businesses struggled to weather the storm. Entrepreneurs hungry to be successful searched for innovation.

The Neighborhood Unity Foundation (NUF), also a community owner of Market Creek Partners, put its profits back into the neighborhood. With a combination of dividends and support from the San Diego Neighborhood Funders, NUF made 39 grants for a total of $97,162 to a wide variety of projects that help people help each other. The 415 Diamond Community Investors (DCI), secured through the Community Development IPO, focused on financial education and took a leadership role in the creation of the next platform for collective investment — the Community Investment Fund. Under the leadership of Reverend Ikenna Kokayi, chairman of the DCI Advisory Council, 60 investors participated in the planning. A Guide Team was then formed to facilitate investment decisions and guidelines for participation. By the end of the year, 158 investors chose to participate in the new investment fund, pooling $39,411 to save for future ownership opportunities.

Work began on two fronts: • Addressing the variables that could be controlled by individual businesses, such as customer service or the creation of new product lines • Launching a concerted effort to encourage residents to make their dollars bounce in their neighborhood to save jobs At Magnolias, interior renovations warmed and opened up the restaurant. Bessie’s Holiday Pies and the “March to Mardi Gras” food and entertainment series helped pull crowds. At El Pollo Grill, a first-of-its-kind Mexican buffet turned evening business around, and new product lines, including hot carrots and frozen burritos, took El Pollo Grill into its first four Unified Grocery stores. While the owner of Curves closed its doors in November, overall business at Market Creek Plaza was a testament to the community’s literal and figurative ownership.


and Ownership MILESTONES • Market Creek Plaza’s overall economic activity totaled $42 million — a 5 percent increase from the year before. • Sales per square foot at the Plaza totaled $430, outperforming its benchmark for comparable shopping centers by 18 percent. • Market Creek’s anchor tenant, Food 4 Less, logged an increase in sales of 8 percent. • Wells Fargo’s branch at Market Creek Plaza reported that deposits and bank transactions held steady despite the economic downturn.

By the end of 2008, Market Creek Plaza captured $42 million in economic activity, up 5 percent, on a site where no economic activity existed just 10 years earlier. In a year when maintaining jobs was the priority, final job counts were up 6.7 percent.

opening of the business, the startup team was working around the clock to manage a high volume of calls, schedule events, cover workloads, run double shifts, and adapt to lastminute menu changes. Rethinking the business plan became a top priority.

Social Enterprise

Without time to hire and train, contract costs escalated. Room discounts that were set to accommodate the local market turned out to be too deep to break even. Capital was needed to buy equipment and initiate marketing, yet it was difficult to raise.

Following the grand opening of the Joe & Vi Jacobs Center in May, teams launched Market Creek’s largest social enterprise — Market Creek Events & Venues (MCEV) — to operate the first-floor meeting and conference destination, along with the Market Creek Plaza Amphitheater, World Court, and Festival Park. The new business was formed to help recapture an estimated $1.5 million in economic leakage associated with meetings, conferences, catering, banquet services, and other hospitalityrelated industries in San Diego. As a training business, Market Creek Events & Venues planned for a slow ramp-up with a few strategic “test” events. Ten days following the May

At the same time, the economic downturn reduced conference budgets and activity across the nation. Despite the overwhelming challenge of 2008, MCEV earned a foothold in the regional market. As local companies downsized, many moved their events to closer venues, providing an increase in event activity in the 200- to 300-person range. By December, MCEV had hosted over 9,000 people at 46 events, booking nearly $300,000 in revenues.

• Business Matters reported a 16 percent increase in sales, and its manager began readiness planning for the store’s transition to ownership. • Market Creek’s newest social enterprise — Market Creek Events & Venues (MCEV) — opened for business in June. From July through December, MCEV hosted over 9,000 people at 46 events, booking nearly $300,000 in revenues. • Market Creek Events & Venues trained 31 people as on-call event staff, 94 percent of them from the community. • The number of jobs in The Village increased from 415 to 559 — an increase of 35 percent. The employment totals include a 6.7 percent increase at Market Creek Plaza, from 193 to 206. • The Property Management team assumed operations of the newly constructed Joe & Vi Jacobs Center, including building and public safety, maintenance, landscaping, and janitorial services. • Writerz Blok’s business operations expanded, generating 31 contracts valued at over $22,000 in gross sales. • Diamond Community Investors created a new collective savings account called the Community Investment Fund, in which 158 people invested $39,411 in its pilot year.

23


The Impact Community Enterprise Civic Participation

2008

Market Creek Partners Community Investors Diamond Community Investors Total Investment

415 $ 500,000

Community Investment Fund Investors Total Investment

$

Attendance in Financial Education

158 39,411 581

Ownership Share

Values of Shares

Return on Investment (FY 2008)

Diamond Community Investors

20%

$ 500,000

10%

Neighborhood Unity Foundation

20%

$ 500,000

10%

“Investing in Market Creek Plaza and learning

Jacobs Center for Neighborhood Innovation

56%

$ 1,400,000

3%

about money management was a great new

Diamond Management, Inc.

$

100,000

3%

FY 2008

FY 2007

Marquis Snowden

Diamond Community Investor Community Investment Fund Investor Mind Treasures Participant

Ownership of Market Creek Partners, LLC

4%

experience. I learned a lot, like how to keep track of my money. That is really cool.”

Market Creek Partners, LLC

As one of the youngest of 415 DCI investors,

Total Revenues

$ 1,703,821

$ 1,733,913

11-year-old Marquis Snowden is also a

Operating Expenses & Loan Interest

$ (959,675)

$ (988,985)

participant in the Community Investment Fund and a graduate of Mind Treasures, a money-

Income after Operating Expenses & Loan Interest

$ 744,146

$ 744,928

management program for kids. He is also

Depreciation & Lease Amortization

$ (633,910)

$ (633,692)

a budding social entrepreneur.

Net Income

$ 110,236

$ 111,236

He and five fourth-grade friends helped their school raise funds to purchase a climbing wall for the playground. They set up a lemonade stand at school, charged 50 cents a cup, and donated

Annual Economic Activity

Original 2007 Projections

2008 $ 42 m

$

40.2 m

$

31 m

Number of Employers

12*

12

12

Number of Jobs

206

193

166

The principal didn’t agree with the idea at first,

Employed from Neighborhood

69%

72%

65%

but the kids were persistent, had a plan in place,

Minority Employees

86%

88%

65%

and did it all on their own. He saw it as a great

Construction to Minorityand Women-Owned Businesses

79%

79%

65%

all proceeds to the climbing wall.

example of school spirit and follow-through that gave the students a real sense of ownership. In the final few weeks of school, the group raised $150, which was added to other raised funds. The wall was installed the day before Marquis and his friends returned to start fifth grade. “It was neat having kids come up and thank us for what we did.”

24

Market Creek Plaza

* Curves, which closed in November, is counted in this annual total.


and Ownership

I

n the worst year for

business since the Great Depression, Market Creek Partners, LLC paid a 10-percent preferred return to its 415 community investors. In addition, 158 investors Joe & Vi Jacobs Center

2008

2007

$ 12.3 m

N/A

3

N/A

124

N/A

Employed from Neighborhood

50%

N/A

Minority Employees

81%

N/A

Construction to Minorityand Women-Owned Businesses

71%

74%

2008

2007

$ 860,000

N/A

12

9

121

71

Annual Economic Activity Number of Employers Number of Jobs

BRYCO Business Park Annual Economic Activity Number of Employers Number of Jobs Employed from Neighborhood

32%

N/A

Minority Employees

83%

N/A

Construction to Minorityand Women-Owned Businesses

68%

68%

2008

2007

Market Creek Events & Venues Number of Guests Events Hosted Revenues

9,300 46 $298,000

N/A N/A N/A

Where the World Meets Store Vendors International Marketplace Vendors Total Vendor Sales

50 46 $ 98,813

24 N/A $ 61,015

Writerz Blok Entrepreneurs/Participants Number of Contracts Total Value of Contracts

18 31 $ 22,085

18 55 $ 15,000

Other Social Enterprises

chose to develop a new fund, jointly investing their returns for future ownership opportunities.

25


Networks formed to initiate hands-on activities that encourage healthy living at home, promote physical activities, and unite families to address youth violence.

26


Goal Strong networks that promote learning, support children in achieving their full potential, and encourage healthy and safe lifestyles.

overview

Family and Community social infrastructure Networks The Village at Market Creek is about connecting and coordinating action. Connecting residents of the community to each other, to businesses and resources, and to the vision of The Village is central to the resident ownership of neighborhood change. Identifying and connecting existing organizations, opening access to systems and services, and listening to find out what is needed create the foundation for sustainable interconnected networks that serve community residents and strengthen the fabric of The Village. Beginning in 1998, these efforts took the form of “Learning Partnerships” that brought diverse non-profits and programs together to share learning and resources, and find ways to work together. Partnerships on employment, youth, and health resulted in more effective coordination of services among participating agencies.

Innovation

These partnerships evolved into collaborations focused on

Collaborative teams of diverse

long-term strategies to improve the quality of life for

partners — private citizens,

children and families.

non-profits, program participants, funders, governmental agencies, and institutions — that strengthen problem solving and promote shared resources.

As these collaborations formed and identified their work, they expanded members from inside and outside the community into networks with the range of expertise and resources required to address the complex issues

Challenge Developing and sustaining networks built upon

of poor school performance, health disparities, and youth and gang violence.

mutual trust and the vision and patience to work toward long-term goals while balancing collective and individual interests, addressing immediate needs, and taking actions that achieve short-term results. 27


Family & Community Networks Working Teams

Childcare Providers Support Group CNC Walk to the Moon Team Coming Home to Stay Planning Team Community Listening Team DMI Safety Ambassadors Family Enhancement Team International Outreach Team NUF Grants Team NUF Power in Caring Team Parents Support Group Project Safe Way Team Village Schools Collaborative Village Teams Council

Planning & Community Partners

Alternative Healing Network Aquatic Adventures Children Having Children City of San Diego Fourth District Council Office Coalition of Neighborhood Councils Diamond Management, Inc. Elementary Institute of Science Family Health Centers of San Diego Groundwork San Diego - Chollas Creek Home Start Inner City Youth Jackie Robinson Family YMCA Outdoor Outreach Overcoming Gangs Pazzaz, Inc. San Diego Commission on Gang Prevention and Intervention San Diego Grantmakers Prisoner Reentry Funders Working Group San Diego Police Department San Diego Unified School District San Diego Unified School District Police Department San Diego Youth Services SAY San Diego UCSD CREATE Union of Pan Asian Communities United African American Ministerial Action Council The Village Schools (see box)

Strategic Investment Partners

Alliance Healthcare Foundation The Legler Benbough Foundation The California Endowment California Southern Small Business Development Corporation The Annie E. Casey Foundation Cox Communications Alice T. and Doug B. Diamond Girard Foundation Norm and Valerie Hapke Jacobs Family Foundation Meg Jacobs Vi Jacobs Kaiser Permanente Edmond Kassouf Neighborhood Unity Foundation The Parker Foundation Price Charities San Diego County Bar Association San Diego District Attorney Office San Diego Foundation for Change San Diego National Bank The Patricia and Christopher Weil Family Foundation Wells Fargo

28

The Work Family and Community Networks In 2008, Village Teams began forming networks to connect residents and local organizations to regional resources.

Education & Family Support The Village Schools Collaborative, including principals and counselors from eight Village schools and university educators, initiated a three-part strategy: • Commissioning a briefing paper on the state of education in the Diamond to identify barriers to quality education with recommendations • Convening San Diego universities to plan for strengthening teacher preparation • Designing “Opening Doors” — a joint effort to encourage a culture of learning and directly support the most disengaged students, their teachers, and families The Childcare Enhancement Center, formed eight years ago by resident family childcare providers to ensure high quality, affordable childcare, expanded its focus and became the Family Enhancement Center.

This network of parents, foster parents, childcare providers, and kinship groups linked with family service organizations to serve over 2,000 children and families. Planning was initiated with the Union of Pan Asian Communities (UPAC), San Diego Youth Services (SDYS), SAY San Diego, and Home Start to develop a joint strategy for providing needed family resources in the community.

Health & Safety In Village planning, health and safety were identified as critical issues. Networks formed to initiate handson activities that encourage healthy living at home, promote physical activities that help people get or stay in shape, and unite families to address youth violence. Throughout 2008, the Family Enhancement Center organized workshops to address family health and safety concerns in the community. The International Outreach Team linked with The California Endowment on a “Healthy Connections” strategy to increase residents’ access to health services. Diamond Management, Inc., the

The Village Schools Collaborative Chollas-Mead Elementary Gompers Charter Middle School Horton Elementary Johnson Elementary Keiller Leadership Academy Lincoln High School Ninth Grade Academy Porter Elementary Valencia Park Elementary


MILESTONES • The Family Enhancement Center piloted four programs that address family and health needs of the community. • Over 400 residents and their children participated in monthly workshops on child and family development, health, and safety.

developer of The Village, linked with the California Resources Water Board to expand the restoration of toxic creek environments. The Coalition of Neighborhood Councils organized “Walk to the Moon,” a campaign to encourage residents to walk 240,000 miles — the distance to the moon.

Passage to School” pilot program that expanded to the full school year. Team leaders and volunteers were stationed at key corners and corridors before and after school. Businesses placed Project Safe Way Partner signs in their windows and reported any unsafe activities or issues to team members.

To address public safety, Project Safe Way was formed. The safe neighborhoods and streetoutreach strategy linked resident team leaders and volunteers with representatives from the San Diego Police Department, the San Diego Gang Commission, the City of San Diego Fourth District Council Office, four youth service programs, and staff from 11 area schools. The network launched a 10-week “Safe

A Youth Leadership Team from Lincoln High School attended a national Students Against Violence Everywhere (SAVE) conference in Raleigh, North Carolina, to develop plans for SAVE Clubs on local school campuses. In planning for the next phase of the project, neighborhoods were divided into six areas with project coordinators trained in community organizing.

• The Village Schools Collaborative designed “Opening Doors,” a comprehensive program to reach disengaged students and participated in a pilot training series on creating a positive behavior culture on their campuses. • The Neighborhood Unity Foundation partnered with the JCNI Artists-in-Residence to launch the second phase of its Power in Caring Campaign. About 100 children, youth, and adults were involved in creating artwork that recognizes resident efforts to help each other and nurture community pride. • Project Safe Way team members conducted 32 interventions to deter serious gang fights or student violence, 55 public safety issues were corrected, and 12 illegal activities were reported to the police and resolved. • Writerz Blok partnered with San Diego City Schools Police to pilot a mural art program at Morse High School, becoming a successful juvenile-diversion strategy. • The United African American Ministerial Action Council (UAAMAC) conducted a gun buy-back program in partnership with the San Diego Police Department that recovered 240 handguns and assault weapons. • San Diego Grantmakers’ Prisoner Re-entry Funders Working Group brought together residents, community-based organizations, former gang members, and law enforcement to design strategies for assisting people who were formerly incarcerated in transitioning back to their neighborhoods. • With Small Grants from the resident-led Neighborhood Unity Foundation, 39 projects were funded to support “people helping people.”

29


The Impact Family and Community Networks Civic Participation Family Enhancement Center Parents Children Childcare Providers Coalition of Neighborhood Councils’ Walk to the Moon Project Safe Way Safety Patrols

2008

2007

527 1,736 196

120 N/A 296

800

N/A

16

N/A

Project Safe Way

Tasha Williamson Project Safe Way Coordinator Project Compassion

Gang Fights or Student Violence Deterred Public Safety Issues Corrected Police Reports of Illegal Activity

32 interventions 55 corrected safety issues 12 incidents reported and resolved

“I feel like I’m a success story. I never thought in a million years I would accomplish what I have. I used to be a person who took from the community. Now I’m an advocate for treating everyone with compassion and fairness.” Just over a year ago, Tasha took her first watch as a Project Safe Way team member stationed on the corner of 47th Street and Imperial Avenue to help kids get safely to and from school. Because many had to cross gang lines to go to school, they needed help negotiating the journey. Project Safe Way has since grown into a network of people with a heart for families. After the tragic deaths of two youth from the community — one of them close to Tasha’s family — she helped form two volunteer-run support groups for families who have lost children. Tasha is now at the center of this network of care. She and her team help meet the needs of families they encounter, from providing a pair of shoes to referring them to family counseling.

30

Walk to the Moon Lead Organization

Coalition of Neighborhood Councils

Funding Partners

Kaiser Permanente, The California Endowment

Goal

Encourage residents to walk 240,000 miles (the distance to the moon)

Achieved for 2008 Number of People Participating

155,000 miles (65% of the goal) 800


I

n 2008, Village Teams

began forming networks to connect residents and local organizations

to regional resources on a variety of fronts, including school collaborations, family support groups, health initiatives, environmental programs, safety and security networks, and youth leadership projects.

31


Working across disciplines is diďŹƒcult. It requires platforms for learning, mechanisms for building understanding, and translation.

32


Goal A network of partners committed to advancing new approaches to community building, equitable development, social enterprise, and community ownership through shared learning and investment that feeds innovation locally and informs the broader field.

shared learning

overview

Investment In Innovation

The Village at Market Creek is about finding new approaches to old obstacles. Market Creek is built on the belief that for change to be sustainable, people need to own their own change. Everyone has to “own” what they know and don’t know and be willing to learn their way. In the process, differences matter. Staying open matters. Learning matters. Partners matter. Success depends on it. Each year, hundreds of people visit Market Creek to learn from its strategies, structures, principles, and practices. It is becoming a gathering place for those who want to undertake large-scale cross-cultural organizing, gain site control of enough land to make a difference, and design creative financing partnerships. It is becoming a research and development partner

for community development practitioners, foundations, and researchers trying to understand the dynamics of supporting, implementing, and sustaining community

Innovation

revitalization efforts. For those interested in public policy, it is

Hands-on applied learning

becoming a place to examine the tools, rules, and regulations

that is comprehensive, resident-

that either facilitate or stand in the way of change.

driven, and cuts across the civic, social, economic, and physical development of a community.

Platforms for learning across disciplines and across the country are critical. Structured learning agendas, reflective practice, and ongoing learning exchanges help those working at the grassroots

Challenge Translating the work across fields, managing a complex set of expectations, and simplifying

to see the forest, provide a forum for residents to share their experience with others, and let residents know they are not alone.

its practices and principles so comprehensive work isn’t overwhelming and the learnings can be applied. 33


Investment in Innovation San Diego Neighborhood Funders Alliance Healthcare Foundation Bank of America The Legler Benbough Foundation The California Endowment California Southern Small Business Development Corporation Cox Communications Alice T. and Douglas B. Diamond Girard Foundation Jacobs Center for Neighborhood Innovation Jacobs Family Foundation Kaiser Permanente Neighborhood Unity Foundation The Parker Foundation San Diego Foundation for Change San Diego Grantmakers San Diego National Bank The Patricia and Christopher Weil Family Foundation Wells Fargo Market Creek Investment Advisory Board The Legler Benbough Foundation California Southern Small Business Development Corporation California State Water Resources Control Board The Annie E. Casey Foundation Chase Clearinghouse Community Development Financial Institution Diamond Community Investors Diamond Management, Inc. Evelyn & Walter Haas, Jr. Fund The F.B. Heron Foundation Jacobs Center for Neighborhood Innovation Jacobs Family Foundation Neighborhood Unity Foundation Pacific Western Bank The Rockefeller Foundation Southeastern Economic Development Corporation U.S. Bank Wells Fargo and Company Learning Exchanges ACCION New Mexico Aspen Institute Roundtable on Community Change The California Endowment The Annie E. Casey Foundation Community Development Financial Institution Fund, United States Treasury Embedded Funders Group Forum on Race & Democracy Grassroots Grantmakers Junior League of San Diego Leadership California PRO Neighborhoods Rasmuson Foundation The Russell Family Foundation The Skillman Foundation The Unity Council

34

The Work Investment in Innovation What is unconventional about the story of Market Creek is its set of unlikely partners working at the intersection of education, public safety, public policy, health, the built environment, law, organizing, real estate, and the economics of race and place. Working across disciplines is difficult. It requires platforms for learning, mechanisms for building understanding, and translation.

Documentation & Evaluation Creative breakthrough is not an accident. It needs structures that encourage and stimulate it. These structures include ongoing feedback through community listening and evaluation design teams of residents that define the outcomes they are seeking. It must incorporate external evaluators on specific areas of the work, such as the Market Creek Partners IPO evaluation. In addition, it must have a team that monitors the social and economic impact reporting process, ensures consistent and centralized documentation of the work, and conducts ongoing team meetings to synthesize learnings.

In 2008, teams supported by the Jacobs Center for Neighborhood Innovation continued the formal evaluation of the IPO with investor interviews and focus groups, conducted the second six-year Quality of Life Survey, and participated in case studies. Teams also involved over 1,500 people in community listening surveys and continued the ongoing documentation of the work through photography, videography, and 90-day written reports.

Learning Networks The work at Market Creek is grounded in the need for and commitment to strengthening platforms for learning and sharing as fundamental to community change. Despite the challenges of 2008, teams working on The Village were able to engage other communities and foundations working in neighborhood revitalization. Visits with foundations, community development practitioners, investors, and government agencies brought over 2,000 people from 20 states and three countries to The Village.


MILESTONES • Village teams hosted 78 site visits, learning exchanges, and conferences with foundations, community development practitioners, investors, and government agencies, involving 2,000 visitors from 20 states and three countries. • Approximately 190 people from The Village Working Teams participated in learning exchanges as trainers, presenters, and discussion group leaders. • The Market Creek Partners IPO Evaluation, an investor baseline report, and a pathway analysis report were completed.

As part of these learning exchanges, about 190 people from The Village Working Teams participated as trainers, presenters, and discussion group leaders — expanding skills and self-confidence, attracting new ideas, encouraging further risk taking, and advancing the ongoing ownership of change. This work points clearly to the need to formalize, crystallize, and simplify the principles and practices used to implement resident-owned change so they can be shared and used broadly.

Investing in Innovation It takes a village to raise a child, and it takes many partners to raise a village. It takes partners committed to testing new ideas and investors willing to take risks working side-byside with residents taking charge of change. In 2008, partners seeking models of responsible, resident-guided urban regeneration and innovative solutions to entrenched social

issues invested in The Village to jointly explore how best to change the conditions of longterm disinvestment by engaging more stakeholders and leveraging different types of capital. The cooperative structure of investment in innovation and learning facilitated investors in targeting large-scale change without the risk that can come with independent action. San Diego Neighborhood Funders, a network of 18 foundations, banks, and individuals, provided $850,000 in grants. The Village Investors, a group of banks and foundation PRI investors, provided project capital, adding over $10 million in capital investment. The Neighborhood Unity Foundation, a resident-led community foundation, doubled its grantmaking capacity and assisted other funders in establishing relationships and exploring how resources can best be invested in solutions that residents consider workable.

• The Institute for Public Health at San Diego State University assisted the Quality of Life Survey team in analyzing data. The final report will be completed in 2009. • Market Creek Plaza and the Community Development Initial Public Offering continued to influence the field through stories in philanthropic newsletters, social enterprise publications, and an upcoming book project. • Eighteen funders joined San Diego Neighborhood Funders (SDNF) around a common learning agenda. Members invested $850,000 in collaborative support for projects that advance Village pilot projects. • Market Creek served as a learning site for Leadership California, The Russell Foundation’s Jane Fellows Program, the Aspen Institute, Embedded Funders, The Annie E. Casey Foundation’s Atlanta Civic Site, and the Junior League of San Diego. • Written and media documentation of team strategies, practices and principles, and key learnings continued.

35


The Impact Investment in Innovation Shared Learning Site Visits and Learning Exchanges Working Team Participants Visitors to The Village for Learning Exchanges States and Districts Visiting (Annual) Countries and Territories Visiting (Annual)

Geographic Representation

Lefaua Leilua

Neighborhood Unity Foundation President International Outreach Team Member

“I have changed in so many ways. I used to have low expectations about what I could accomplish. Now I feel empowered. I take pride in connecting funders and residents to work together in the community.” As president of the Neighborhood Unity Foundation and a board member of the International Outreach Team, Lefaua brings a unique focus to the table. Her shift in roles from resident to grantee to funder took time and patience. She says she never thought she would fit in. Now she is on a first-name basis with people she considers mentors. She has grown in her leadership skills, working to connect cultures and people, needs and resources. She has traveled all over the country to attend conferences and engage in learning exchanges. When she shares the story of the Neighborhood Unity Foundation, others are inspired by residents designing, managing, and governing their community foundation in a network of multicultural neighborhoods. “Some people are in awe of how we’re doing this work as a collaboration of residents. They take what I say very seriously.”

36

States and Districts Visiting (Cumulative) Alaska Arizona Arkansas California Colorado Connecticut Georgia Illinois Kentucky Maryland Massachusetts Michigan Minnesota

2007

78

53

188

160

2,088

495

20

8

3

9

2008

2007

25

18

14

11

Missouri New Mexico New York Ohio Oklahoma Pennsylvania South Carolina Texas Vermont Virginia Washington Washington, DC

Countries and Territories Visiting (Cumulative) Angola Australia England France Gaza Ireland Italy

2008

Kazakhstan Namibia New Zealand Oman Turkey United States Venezuela


P

latforms for learning

across disciplines and across the country are critical. Structured learning agendas, reective practices, and ongoing learning exchanges help those working at the grassroots to see the forest, provide a platform for residents to share their experiences with others, and let residents know they are not alone.

37


Today, The Village at Market Creek is a place where the world meets. Residents from the Diamond are connecting with communities from across the country.

38


To Go Far, Go Together Looking Forward While the economic storm of 2008 posed tough challenges, they have not dimmed our optimism for change nor weakened our belief in people. We know hard times drive innovation and create opportunity. We know teamwork unleashes creativity and that residents will find ways to do what needs to be done. We know when people come together, communities are better places to live. This Social and Economic Impact Report documents what occurred in 2008 — what we learned by doing and what changed by learning. Now, what about the future? On the economic side, Market Creek Plaza has a solid lease with the largest grocery chain in the country. It has experienced an increase in gross sales every year since 2001. Market Creek Partners, LLC has steady income and projects an increase in revenue over the next three years with a combination of rent increases and development of a second property. The issues that have made people fearful in the market, like overinflated lease rates and high competition, don’t exist here, resulting in a strong list of prospective tenants.

of Neighborhood Councils, the Jacobs Center for Neighborhood Innovation, and the Southeastern Economic Development Corporation have jointly initiated broad-based community forums to coordinate planning. In strengthening civic engagement and the social infrastructure of the community, the indicators also look strong. The concept of the working team is now used beyond Village planning. Teams are being organized broadly as a mechanism for addressing key issues around health, education, and public safety. The “Youth Movement” is beginning to gain momentum with the support of a network of groups working together. Using arts and culture as galvanizing forces, working teams are forming collaborations with local and regional arts and cultural organizations. These teams are attracting thousands of people to cultural celebrations and festivals in The Village. Today, The Village at Market Creek is where the world meets. Residents from The Village are connecting with communities from across the country and others to learn from each other, be inspired by change, and celebrate the rich traditions of the world.

For community ownership, the Diamond Community Investors are looking beyond the IPO. After the “Own a Piece of the Block” campaign, residents took the initiative to create a new tool — the Community Investment Fund — and began reinvesting their dividends to prepare for future ownership opportunities. For physical development, a new Community Plan Amendment clears the path for a dynamic smartgrowth agenda in The Village. This plan will facilitate the development of mixed-use, transit-oriented family housing and a vibrant Market-Euclid corridor. In addition, the City of San Diego Fourth District Council Office, the Coalition

39


A Community of Leaders The Village at Market Creek continues to grow into a community of leaders. As leaders do, residents here are stepping up to the challenges and facing issues head-on. They understand the teamwork it takes to create vision, build consensus, and facilitate action. Plans may change, but there are many routes to success. By focusing on what they have — rather than what they don’t — they are finding new and better ways to reach their goals. Working comprehensively at the intersection of social, economic, physical, and civic strategies also requires a national community of leaders, working side-by-side with residents. As partners in community change, it requires us to stay open to new voices, be willing to try new solutions, and be prepared to assume new roles. The key lesson of 2008 was about learning to partner like never before. To reinvigorate disinvested neighborhoods, we must create new platforms for investment and work across the public and private sectors. Success depends on our ability to bring to the table diverse types of capital at the right time to best support community teams. Now, as we launch the next phase, we are inviting many other partners to join us.

40

It is hard to do what we have never done before. But we know that innovation will come in these moments when things get hard. It will come when we look differently at the barrier that is in front of us. It will come when we listen to the elders standing before us and to the next generation coming up from behind. Sustainability of change is in the hands of ordinary people who are creating an extraordinary vision of their future. People are stepping into community service and bringing their unique gifts and talents to the table. We are clearly called to stay the course. To be vigilant and lean into the wind. 2008 was just a moment in time.


“To go fast, go alone... to go far,

go together.” — African Proverb

41


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404 Euclid Avenue | San Diego, CA 92114 (619) 527-6161 | www.JacobsCenter.org ©2009-Jacobs Center for Neighborhood Innovation. All rights reserved.

Social and Economic Impact Report 2008  

http://www.jacobscenter.org/news/resource/SEIR2008.pdf

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