REPORT TO THE COMMUNITY
2016
WELCOME Unprecedented Development Marks an Impressive 2015
terrific year for our organization, and we are thrilled to share the good news and achievements!
2015 was an exceptional year in King of Prussia (KOP). Construction cranes appeared to dot the landscape everywhere, from the King of Prussia Mall to the Valley Forge Shopping Center to The Village at Valley Forge. The cranes made a bold statement about developer and investor interest in KOP. As a result of that interest and renewed confidence in this market, KOP is experiencing an exciting and unprecedented surge in economic development activity and job growth.
As exciting as 2015 was in UMT/KOP, there is so much more to do. We pledge to redouble our efforts to make sure that KOP positions itself correctly in a new world of changing demographic preferences. We seek to: continue our work to expand transportation options; work This 5th Annual Report to the with UMT, the community and Community fully documents all the developers to impressive developments happening design more in King of Prussia right now. walkable and more accessible neighborhoods; advocate for lower business taxes; market our assets effectively and consistently; and continue to modernize zoning codes to attract business and grow jobs. With you, we will get there!
While retail development led the way, KOP also experienced substantial multi-family housing starts and approvals, some industrial development and solid year-end leasing The cranes made a bold statement activity in the about developer and investor Class-A commercial We hope that you use and enjoy the information interest in King of Prussia. office market. provided in this Report. Please note that the full U.S. Census (2013) data now shows Upper Merion Report is also available online to read or download at Township (UMT)/KOP with more than 59,000 visitKOP.com/about/publications. On behalf of the employees. That number is sure to grow by several King of Prussia District’s Board of Directors and staff, thousand in the next two to three years as FedEx, the we thank you for your continued support of Mall expansion and the KOP Town Center projects this organization. come online. The employment number is impressive Here’s to a prosperous 2016! and solidifies KOP’s position as the 3rd largest employment center in the Philadelphia region, behind only downtown Philadelphia and University City! This 5th Annual Report to the Community fully documents all of the impressive developments happening in KOP. The Report also provides a statistical snapshot of the UMT/KOP community, information about transportation & access, tourism & hospitality, retail & dining, commercial activity & employment, and resident life & schools (a new addition to the Report). The Report concludes with information about the King of Prussia District and the progress we have made on behalf of our stakeholders. 2015 was a
Robert Hart Chairman of the Board
Eric T. Goldstein Executive Director
2 King of Prussia is… 4 Get To Know King of Prussia » Demographics
6 Located at the Heart of Growth » Transportation
12 Where Great Minds Connect » Hotels & Attractions
18 For Every Taste » Retail & Dining
22 A Wealth of Opportunity » Commercial Real Estate & Employment
28 Where Work Meets Life » New Housing Options » Schools, Colleges, Universities
32 Culture of Growth » Economic Development Projects
38 King of Prussia District » About » Economic Development Awards » Marketing & Communications » Physical Improvements » Transportation » Land Use & Zoning » Tax Policy
50 Revenue & Expenses 51 Board of Directors & Staff 52 Event Sponsors
KING OF PRUSSIA IS King of Prussia (KOP) lives at the intersection of prosperity and opportunity. It is the largest commercial office, retail, hospitality and employment center in the suburban Philadelphia region.
5 Number of KOP Companies in the Top 50 Fast-Growth Firms in the Philadelphia region Source: Philadelphia Business Journal, 2015
44 2
Valley Forge National Historical Park ranks #44 of 367 National Parks for highest number of visitors - over 2M annual visitors. Source: National Park Service
14 Upper Merion Township ranked #14 of Top 100 Best Suburbs to Buy a House in the Philadelphia region. Source: Niche.com, 2015
King of Prussia Mall is the largest mall in the country per SF of gross leasable space. Source: International Council of Shopping Centers, 2014
TOP 50 KOP named one of the top 50 suburban office markets in the U.S. and Canada. Source: Boyd Co. Inc., 2015
LARGEST IN THE SUBURBAN PHILADELPHIA REGION » 5.8M (and growing!) SF Retail Space
Source: CoStar 2016
» 2,607 Hotel Rooms 31% of all hotel rooms in Montgomery County
» 9.2M SF Industrial/Flex Space
Source: CoStar 2016
» 7.68M SF Commercial Office Space
Source: CoStar 2016
» 59,129 Employees
Source: U.S. Census, OnTheMap 2013
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GET TO KNOW KING OF PRUSSIA
28,395
Occupation of Resident Labor Force*
Population
39.6
Natural Resources, Construction, Maintenance
Production
Median Age 7.2%
16.6% Residents 65 & older
4
Service
4.3%
10.4%
Population Under 5 Years Old* 1,870
23.4%
1,766
54.7%
1,476
Management, Business, Science
Sales
Race*
2000 2010 2014 UMT/KOP continues to attract young families with school-aged children *Source: U.S. Census, 2000-2014 ACS 5-year estimate
DEMOGRAPHICS
White 74.2%
Asian 17.2%
Black 4.8%
Hispanic 4.5%
24.5%
24.5%
55.7%
28.1%
$80,068 Median Household Income*
49%
93.5%
Pennsylvania
94.1%
11.2%
46.2%
Montgomery County
Upper Merion Township/King of Prussia
Educational Attainment*
89%
Households earning over $100,000 annually*
12,027 Total Households*
• HS or higher • BS or higher • Graduate School or higher
$98,131 Median Family Income*
94.2% Resident Population With Health Coverage*
2.8%
Unemployment Rate Source: U.S. Bureau of Labor Statistics, 2015
5
LOCATED AT THE HEART OF GROWTH The cornerstone of what drives King of Prussia (KOP) forward is, and always will be, convenience and accessibility. Whether working, living or playing in KOP, it’s easy to get here. With convenient access from Routes 23, 76, 202, 276 and 422, ample free parking throughout the business/retail areas, public transportation and theconnector commuter shuttle, life flows in KOP. To make sure KOP remains a viable center for commerce and economic growth, leaders in the Township, County and State, along with a number of private organizations, are leading the charge to create better access to public transportation through projects like the KOP Rail Extension. Other significant infrastructure projects to improve access include: the reconstruction of the Schuylkill River Crossing Complex, that includes the new pedestrian and bicycle bridge over the Schuylkill River and the widening and reconstruction of the vehicular bridge along Route 422; trail connections that now link Heuser Park to the Valley Forge National Historical Park; and proposed vehicular access improvements to the Pennsylvania Turnpike at Henderson Road and the Valley Forge interchange. Making KOP more accessible for vehicles, transit riders, pedestrians and bicyclists will enable this community to attract and retain companies, grow jobs, reduce congestion, improve air quality and grow the tax base.
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ADAPTIVE TRAFFIC SIGNAL TECHNOLOGY Between 2009-2015, UMT installed Adaptive Traffic Signal technology at 30 intersections along DeKalb Pike, Gulph Road, Henderson Road and Mall Boulevard, significantly reducing traffic congestion and travel times along King of Prussia’s most heavily traveled roadways.
6 Electric Vehicle Charging Stations at the King of Prussia Mall and Upper Merion Township Building
Source: DVRPC and Tourism Economics, 2014
TRANSPORTATION
21 Interstate Exits in King of Prussia
He e nd n rso . Rd
. 23
Rte
Rte. 23
76
476
King 202 of Prussia Business Park
276
422
7
Al
476
al
5 276
76
202
10422 76
422
8
Rd .
4
Prussia Mall
202
1
S. G
h urc
d. hR
rc Chu
Rd.
ulph
276
Rd. 202
. Rd
476
S. G
422
Average Daily Traffic Counts of High Visibility Commercial Corridors 1. Route I-76 (west) @ Croton Rd. Underpass
49,548
2. PA Turnpike (west)
35,948
3. PA Turnpike (east)
33,229
4. Route 202 (both) (btwn Allendale Rd. & N. Gulph Rd.)
33,800
5. N. Gulph Rd. (both) (west of DeKalb Pk.)
25,941
6. Henderson Rd. (both) (btwn Church Rd. & DeKalb Pk.) 23,014 7. First Ave. (both) (btwn. N. Gulph Rd. & Moore Rd.)
15,720
8. Route 202 (at Henderson Rd. south)
17,766
9. Swedesford Rd. (between Guthrie & Warner Rd.)
11,415
10. Conrad Blvd. (exit 327 off I-76)
4,953
Source: DVRPC
. Rd
7
on
76
202
Ch
ers
422
ulph
276
422
3
422
476
6
2
476 King 276 of 202
202
276
nd
9
276
e
476
He
476
476
202
276
422
76
nd
First Ave.
76 76
76
le
62,989 Average daily traffic at the Valley Forge/KOP interchange. Highest total on PA Turnpike Source: Pennsylvania Turnpike Commission, 2014
LOCATED AT THE HEART OF GROWTH Daily Travel Between Philadelphia and Montgomery Counties 64,383 (ADT)
Distance to Work in KOP Source: U.S. Census, Center for Economic Studies
< 10 miles 29.3% 10-24 miles 46.6%
MONTGOMERY COUNTY PHILADELPHIA COUNTY
24-50 miles 12% > 50 miles 12.1% SEPTA Buses
60,563 (ADT)
95 | connecting Eastern Montco to KOP 99 | connecting Phoenixville to KOP
KOP Commuting Characteristics
8
Source: U.S. Census, 2010-2014 ACS 5-YR est.
124 | connecting Center City, Phila to KOP 125 | connecting Center City, Phila to KOP
80.2% Drive Alone
5%
6.9% Carpool
1.6% Walk
6.1% Work from Home
1%
Public Transportation
Bike
139 | connecting Limerick to KOP
1M+
SEPTA bus trips made each year by passengers to the King of Prussia Mall Transportation Center Source: SEPTA
21% Increase in people commuting to King of Prussia since 2002 46,414 commuting in 2002
56,129 commuting in 2014
Source: U.S. Census, OnTheMap
TRANSPORTATION
SEPTA supports efforts to provide more efficient and reliable public transportation in this area. An enhanced array of transportation options will allow the King of Prussia area to continue to thrive and adapt to the changing needs of area companies, employees, residents and visitors. JEFF KNUEPPEL, GENERAL MANAGER, SEPTA
EXISTING KOP PUBLIC TRANSPORTATION SEPTA Route 100 Norristown High Speed Line station stops at Gulph Mills, Hughes Park and DeKalb Street Nearby regional rail access via the Manayunk/Norristown (Norristown Transportation Center) and Paoli/ Thorndale (Wayne, Radnor or Strafford Stations) lines
KOP-BID's theconnector commuter shuttle service, connects KOP employees to the King of Prussia business park M-F (during peak commuter hours) from SEPTA’s Norristown Transportation Center and Wayne Station. As little as a $1 per ride*. (*for employees/tenants of participating companies. $2 for all other riders) » FREE Wi-Fi » ADA Compliant » Bike Racks
Rambler Shuttle serving various Upper Merion Township locations via two routes that run from 9 AM to 4 PM, M-SA
» 14-Passenger Vehicles
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LOCATED AT THE HEART OF GROWTH
Schuylkill River West Trail at Heuser Park
THE SCHUYLKILL RIVER TRAIL NAMED BEST URBAN TRAIL
10
The Schuylkill River Trail was named 'Best Urban Trail in the U.S.' by USA Today and 'One of the Best Urban Bike Paths in the U.S.' by Fodors Travel.
Upper Merion Township (UMT) has made implementing sidewalks throughout UMT a major priority. In 2015, new sidewalks were installed on Valley Forge Road, DeKalb Pike and Henderson Road. Source: Upper Merion Township
TRANSPORTATION
Eighteen miles of the Schuylkill River Trail are located in Montgomery County, providing pedestrians and bicyclists the opportunity to bike, run or walk. A 2.2 mile extension of the trail was opened in Heuser Park in November 2015, connecting King of Prussia to Philadelphia.
King of Prussia Rail Extension Project The King of Prussia Rail project is a proposed 4-5 mile extension of SEPTA’s existing Norristown High Speed Line (NHSL) that, when complete, will provide direct rail access to the largest commercial and employment center in the suburban Philadelphia region – King of Prussia.
KOP RAIL COALITION To help garner regional support for the King of Prussia Rail Extension project, KOP-BID and GVF formed the KOP Rail Coalition (Coalition) in 2015. The Coalition seeks to build support from residents, commercial property owners, elected officials, employees, visitors, regional economic development and job growth agencies, chambers of commerce and more. The Coalition believes that connecting KOP to passenger rail will: » Reduce congestion on area roadways
The Coalition endorses the PECO/TURNPIKE/FIRST AVE route.
» Be a catalyst for economic development in KOP and other points along the existing line » Grow short and long-term jobs » I ncrease property values along the line, especially near the proposed stations » Create walkable, mixed-use neighborhoods in and around the proposed stations
Support the KOP Rail Extension TODAY! connectKOP.com/endorse
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WHERE GREAT MINDS CONNECT Accessible to both business and leisure travelers, King of Prussia (KOP) is the ideal tourism destination. From major conventions and large sporting tournaments to weddings and family getaways, KOP makes it easy for great minds to connect.
Sleeping Rooms
Meeting Space SF
Best Western Plus The Inn at King of Prussia
167
2,020
Comfort Inn - Valley Forge
121
200
Crowne Plaza - Valley Forge/ Liberty Conference Center
225
24,000
DoubleTree by Hilton King of Prussia
327
24,000
Extended Stay America
140
0
80
0
Hampton Inn - King of Prussia
147
528
Holiday Inn Express Hotel & Suites - KOP
155
0
HYATT house King of Prussia
147
3,011
HYATT Place - Philadelphia/KOP
129
1,064
HOTELS
Fairfield Inn Philadelphia - Valley Forge
12
Motel 6 - King of Prussia
170
0
Radisson Hotel Valley Forge
328
38,000
SpringHill Suites Philadelphia/ Valley Forge/KOP
131
350
Sheraton Valley Forge
180
25,000
Valley Forge Casino Tower & Conference Center
160
62,000
TOTAL
2,607 180,173
DoubleTree by Hilton King of Prussia
HOSPITALITY & TOURISM
2,607 Hotel Rooms 31% of all Montgomery County hotel rooms
411,831 Hotel Rooms Booked In 2015 2.8% increase in occupancy over 2014
$116.40 Average Daily Rate For Hotel Room In 2015
$76.60 Revenue Per Available (RevPar) Room 4.2% increase in RevPAR from 2014
Saturday At 79.8% occupancy, Saturday is the highest hotel occupancy day of the week. 9.8% increase from 2014 Friday At 70.43% occupancy, Friday is the second highest hotel occupancy day of the week.
Significant retail and entertainment development in KOP has caused increases in weekend occupancy levels; producing a 5.3 % change* year over year increase in weekend occupancy. Within this positive economic demand environment, KOP hotels achieved attractive weekend rate growth, most significantly with weekend group business, overall resulting in a 3.1%* year over year increase in weekend Average Daily Rate (ADR).
63.1% Average weekday occupancy 72.5% Average weekend occupancy
HYATT house Source: Valley Forge Tourism & Convention Board, *Smith Travel Report
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WHERE GREAT MINDS CONNECT KOP has plenty of new attractions ready to thrill, like iFly indoor skydiving and entertainment every night at the Valley Forge Casino Resort. Or for those looking to relax and unwind, there is nothing more tranquil than a walk, hike or bike ride through the Valley Forge National Historical Park.
2.12M Annual visitors to the Valley Forge National Historical Park 6% increase from 2014 Source: Valley Forge National Historical Park
40th Valley Forge National Historical Park is celebrating it's 40th anniversary as a National Historical Park in 2016.
14
Valley Forge National Historical Park is one of the nation’s premiere historical sites. The Park’s beautiful landscape and 26 miles of trails provide a perfect setting for a picnic, hike, bird watching or just a spot for residents, employees and visitors to relax and enjoy our history. KATE HAMMOND, SUPERINTENDENT, VALLEY FORGE NATIONAL HISTORICAL PARK
HOSPITALITY & TOURISM
Valley Forge Casino Resort
1.1M Annual Visitors to the Valley Forge Casino Resort 3.4% increase from 2014
ADVENTURE UNLIKE ANYTHING ELSE Get Air Indoor Trampoline Park features foam pits, trampolines, slam ball, dodge ball, slacklines and more!
Source: Valley Forge Casino Resort
Valley Forge Casino Resort, the regionâ&#x20AC;&#x2122;s only full-amenity gaming resort, featuring 600 slot machines, 50 table games, signature restaurants, live entertainment & concerts!
Escape Room Mystery is the hottest trend in the U.S.! Get locked into themed adventures and work as a team to solve puzzles and Opening May 2016 escape before time is up! iFly Indoor Skydiving simulates the skydiving experience in an indoor flight chamber. Â
iFly Indoor Skydiving
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2015 Best Outdoor & Best Foodie Event by Montco. Happening KOP Beerfest Royale & Donnerstag: Happy Hour The largest outdoor beer festival in the suburban Philadelphia region brings 3,000 people to King of Prussia the first full weekend in October each year. KOP Beerfest Royale, produced by KOP-BID, features more than 50 craft and international brewers, 100+ beers, live music, King of Prussiaâ&#x20AC;&#x2122;s best restaurants and more!
kopbeerfest.com
16
EVENTS
dineKOP restaurant week features special prixfixe lunch and/or dinner menus at dozens of your favorite King of Prussia restaurants. dineKOP, produced by KOP-BID, takes place the first week in March each year. visitKOP.com/dineKOP
dine
KOp
Upper Merion Farmers Market, now in its 7th year, offers farm fresh goods and sustainable products from more than 20 vendors, as well as fun-filled events and live music. The regular season is Saturdays, 9 AM-1 PM, May-November; while the winter market is every other Saturday, 10 AM-12 PM. uppermerionfarmersmarket.org
The Valley Forge Revolutionary 5-Mile Run is a unique challenge for runners of all skill levels taking place April 17, 2016. It is produced by the Valley Forge Tourism & Convention Board and proceeds benefit the Friends of Valley Forge. valleyforge.org/revolutionary-run
Valley Forge Casino Resort Music Fair brings to life a 40-year tradition featuring legendary musical acts and comedy shows throughout the year. vfcasino.com
Concerts Under the Stars is perfect for the whole family, featuring live music Sundays in June, outdoors at the Upper Merion Township Building. umtownship.org
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FOR EVERY TASTE King of Prussia (KOP) is home to one of the world’s greatest shopping malls, but that is only one chapter in KOP’s grand story of retail and dining amenities for businesses, residents and visitors. Currently home to more than 5.8M SF of retail space, including over 400 stores at the King of Prussia Mall, KOP will add over 400,000 SF and nearly 100 new retailers in 2016. The 155,000 SF expansion at the King of Prussia Mall will welcome 50 new retailers and restaurants, while the 260,000 SF King of Prussia Town Center will create a ‘main street’ with new retailers and restaurants exclusive to the region. New tenants are expected to be open in both projects by summer/fall 2016.
King of Prussia [is] one of the best suburban markets in Philadelphia, if not the entire country. When we’re looking to get into the market, we want to make sure [we get into] what we consider ‘prime markets’. King of Prussia was definitely very high on our list. DAVID SLOAN, CO-CEO NAF NAF GRILL PHILADELPHIA BUSINESS JOURNAL, 2015
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King of Prussia Town Center
RETAIL & DINING
260,000 SF New retail & dining space opening at the King of Prussia Town Center
5.8M SF
Source: The JBG Companies
Retail space in King of Prussia vs. 38.8M SF retail space in Montgomery County
$11.3B
Currently, KOP accounts for 15% of all SF of retail space in Montgomery County. Source: Montgomery County Planning Commission
Annual retail, food and beverage sales in KOP Source: InfoUSA and Tourism Economics, 2014
20M
400+
Annual visitors to the King of Prussia Mall
Retailers at the King of Prussia Mall. Fifty new retailers and restaurants slated to open in summer/fall 2016 with the completed expansion project.
Source: King of Prussia Mall, Simon Property Group
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#WELCOMETOKOP
Opening in 2016
1st PA Locations
KOP continues to be a test market for retailers and restaurants. Three retailers and restaurants opened their first Pennsylvania locations in KOP in 2015, with 8 more slated to open in 2016!
Opened in 2015
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• 1st PA Location • 1st Northeast Retail Location • 2nd PA Location • 2nd US Location
RETAIL & DINING
» Asian Bento Café » Ballard Designs » Bonefish Grill » BYT Bake Shoppe » Grand Lux Café » Hanna Andersson » ivivva athletica » LP Steak » Megumi » Microsoft » Moe’s Southwest Grill » Pep Boys » PetSmart » Primark » The Vault » Uno de 50 » Verizon » Yogibo
» b.good » CH Carolina Herrera » City Works » Clarins » Davio’s Northern Italian Steakhouse » Diane von Furstenberg » Fogo de Chao » Fortunoff Backyard Store » Hair Cuttery » Honeygrow » Jimmy Choo » LA Fitness » Mission BBQ » Mitchell Gold & Bob Williams » Nordstrom Rack (new location!) » Paladar Latin Kitchen & Rum Bar » Philadelphia Floors » PNC Bank » REI » Robert Graham » Road Runner Sports » Shake Shack » St. John » Stein Mart » Stuart Weitzman » ULTA Beauty » Vince
use
When the Valley Forge Casino Resort offered me the opportunity to do an Americanstyle Steakhouse, I jumped at the chance. I have been very impressed with every aspect of the Casino Resort â&#x20AC;&#x201C; the hardworking team and the surrounding community. And since many of my customers live nearby, it was the perfect fit. LUKE PALLADINO, CHEF & OWNER, LP STEAK
21
r
Primark is delighted to be part of the King of Prussia Mall. The commercial reach, together with the retail assortment and customer foot traffic made it a perfect choice for Primarkâ&#x20AC;&#x2122;s first mall location in the U.S. TERRY MCQUADE, REGIONAL MANAGER-RETAIL US, PRIMARK
A WEALTH OF OPPORTUNITY These are truly exciting times in King of Prussia (KOP). Economic development activity, job growth, commercial transactions and leasing activity were all strong in 2015. The U.S. Census now reports that KOP has grown to more than 59,000 jobs, and that number will easily climb above 60,000 in the next few years as many of the development projects, now under construction, come online. But, while Class A commercial office space continued to see higher occupancy rates, Class B remains a concern. Vacancy rates in the mid-20% range are troubling. Job growth, while strong, is primarily limited to low-paying service and retail sector jobs. In order to strengthen the commercial office sector in KOP, we must continue to work toward better access (KOP Rail Extension, PA Turnpike expansion), improve the business tax environment (lower business taxes) and reposition older office parks to appeal to changes in company and employee demands (mixed-use, walkable neighborhoods, accessible recreational amenities).
Private Companies 22
5 KOP Companies listed on Philadelphiaâ&#x20AC;&#x2122;s 100 Fastest Growing Private Companies List #4 Veterinary Practice Partners #28 J2 Solutions #32 Philly Marketing Labs #45 Thanhauser Computer Services LLC #98 Liberty Personnel Services Inc. Source: Philadelphia Business Journal
SmartCEO
Fortune 500
4 KOP Companies Receive SmartCEOâ&#x20AC;&#x2122;s 2016 Future 50 Awards The Dagit Group J2 Solutions JM Search QuadGen Wireless Solutions
KOP Companies on Fortune 500's 2015 List #324 Universal Health Services #349 UGI Corporation Source: PoliticsPA.com
COMMERCIAL REAL ESTATE & EMPLOYMENT
Live & Work in KOP Live outside, commute to KOP
52,694
Wages $1,359 average weekly wage $3.7B annual wages of KOP employees Source: Montgomery County Planning Commission, U.S. Census 2010
Live inside, commute out of KOP
3,003
15,077
TOTAL TAX BURDEN ON BUSINESS Least Expensive King of Prussia/Upper Merion Plymouth Meeting Conshohocken Radnor Philadelphia
UMT has NO wage tax
Jobs 480,721 total non-farm jobs in MontCo. 59,129 jobs in KOP Source: U.S. Census, 2013
Most Expensive Source: IRS (2011), ECONSULT Solutions, Inc. (2011). Data based on a study of multiple business archetypes.
Although King of Prussia has a Gross Receipts Tax ($1.50 per $1,000), Research & Development and Non-Profit Entities are exempt and the rate for wholesale businesses is one third or $.50 per $1,000.
23
A WEALTH OF OPPORTUNITY LEED Certified in King of Prussia Source: U.S. Green Building Council, 2016
LEED Certified in King of Prussia Starbucks | DeKalb Pike | 2014
21
Chick-fil-A | DeKalb Pike | 2014 Tozour Trane | Horizon Drive | 2012 Bala Consulting Engineers | S. Gulph Road | 2006 LEED Silver UGI Corporation | N. Gulph Road | 2012
There are 21 commercial office and public school buildings with Energy Star Certifications in KOP. Source: EnergyStar.gov
1000 Continental Drive | 2008 LEED Gold
24
151 S. Warner Road | 2010 Buildings Currently Pursuing LEED Certification 933 First Avenue (project in design) 150 S. Warner Road Oak Hill Plaza | 200 N. Warner Road 1000 Continental Spa (interior) | 1000 Continental Drive
Brandywine Realty Trust is excited about the potential of KOP. Not only does it have $1B of development activity underway, it has a REAL vision for the future. The discussions involving the KOP Rail Extension, expansion of exits along the PA Turnpike, new zoning and land use policies, if executed well, will be a tremendous catalyst for growth throughout the region, as we compete in a more global market for talent and economic vitality. JEFF DEVUONO, EXECUTIVE VP & MANAGING DIRECTOR â&#x20AC;&#x201C; PA, BRANDYWINE REALTY TRUST
COMMERCIAL REAL ESTATE & EMPLOYMENT
NEW & RENEWED LEASES Commercial office leases (over 2,500 SF) reported to KOP-BID in 2015. Not a complete listing. *represents renewed leases
Judge Group (90,000 SF) Reed Elsevier* (42,000 SF) Marsh McLennan (Trion)* (41,516 SF) DrugDev (31,000 SF) CardConnect (22,750 SF) Crown Castle (20,000 SF) Aspire* (16,463 SF) 2701 Renaissance Boulevard (16,622 SF) 700 American Avenue (13,833 SF) Execupharm* (12,240 SF) Neopost (11,672 SF) First Senior Financial Group* (10,000 SF) 2010 Renaissance Boulevard (9,613 SF) 1045 First Avenue (8,100 SF) 1018 W. 9th Avenue (7,995 SF) 2009 Renaissance Boulevard (7,089 SF) 600 American Avenue (4,266 SF) 1019 W. 9th Avenue (4,003 SF) 1004 W Ninth Avenue (2,547 SF)
2015 COMMERCIAL SALES *transactions over $4.5M
$63.5M 1170-1190 Devon Park Drive sold by Liberty Property Trust
$49.5M 260 Mall Boulevard sold by KOP Hotel Partners
$21M 211 S. Gulph Road sold by Oâ&#x20AC;&#x2122;Neill Properties Group
$18.5M 700 S. Henderson Road sold by Merion Building Associates
$15.25M 300 Village Drive sold by Realen Properties
$14.4M 200 Village Drive sold by Realen Properties
$12M 601 River Road sold by Keystone Coke Company
$9.98M 620 DeKalb Pike sold by 620 KOP Partners
$6.55M 751 Vandenberg sold by SI Organization
$4.9M 741 First Avenue sold by Brandywine Realty Trust
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A WEALTH OF OPPORTUNITY King of Prussia has historically been a top option for our site searches in the greater Philly area, but now we identified it as the most prized market in the region.
Class A commercial office property in KOP performs well, especially in situations when the property is renovated within the past few years. CoStar reports that high-quality Class A property has double the absorption rate of lesser classes nationally.
JOHN BOYD JR., PRINCIPAL THE BOYD CO. INC. THE TIMES HERALD, 2015
The higher Class B vacancy rate is an indication of a typical “flight to quality” effect that follows a downturn in the market when Class A prices decline and companies move to lower rent, higher quality locations.
Commercial Office Data 25%
196,504 SF
CLASS B
Non-Residential Built 2014 28% of Montgomery County total #1 in Montgomery County
20%
26 15% CLASS A
26.1%
CLASS C
Class A vacancy rate declined 9.7% year over year compared to Q4 2014
10%
5%
0%
13.3%
9.7%
15.9%
82.7% KOP Aggregate Commercial Office occupancy rate Source: CoStar 2016
Q4 2015 VACANCY RATE*
Class A, B, and C commercial office space was determined by selecting properties in Upper Merion Township only that are larger than 10,000 SF and non-owner occupied.
CLASS A 3,865,115 SF CLASS B 1,860,348 SF CLASS C 537,480 SF
*Vacancy rates are calculated using Direct Available Square Footage
COMMERCIAL REAL ESTATE & EMPLOYMENT
Gross Asking Rent Per SF in King of Prussia $25.00 $24.80
2.3%
$24.60
Q4 2015 Vacancy Rate of KOP Industrial and Flex Properties
$24.40 $24.20 $24.00
9,233,126
$23.80 $23.60
Total SF of Industrial/Flex Space in KOP
$23.40 $23.20 $23.00
11
12
13
14
15
16
Source: CoStar2016
2.8% KOP unemployment rate lowest since November 2007 Source: U.S. Bureau of Labor Statistics December 2015
3,737 Number of companies in UMT/KOP Source: 2007 Survey of Business Owners
LARGEST EMPLOYMENT CENTER King of Prussia is the largest employment center in the suburban Philadelphia region.
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WHERE WORK MEETS LIFE In our 2015 Report, we described the need to add housing in Upper Merion Township/King of Prussia (UMT/KOP) to help keep pace with a continually increasing employment base that overwhelmingly commutes from areas outside the Township. This continued employment growth, now over 59,000 employees, coupled with no new multi-family housing developments in over 15 years, has increased congestion and made it more difficult for companies to recruit employees who need to drive long distances over crowded highways. Since the 2015 Report was released, six new housing projects have been announced, totaling nearly 2,000 units in The Village at Valley Forge and the King of Prussia business park. An additional 650 units are being redeveloped. The opportunity for employees to live close to where they work is becoming a reality!
Average Home Values
12,741 28
Total Housing Units in UMT/KOP
4,054 Total Rental Units 7.8% Rental Vacancy Rate
Source: MCPC, Board of Assessment Appeals
Upper Merion Township/King of Prussia » Single Family $295,00 » Multi-Family $156,000 Montgomery County » Single Family $314,990 » Multi-Family $145,900
Multi-Family Rental Averages Source: U.S. Census, ACS 2010-2014 5-yr estimate
» 1 Bedroom $969 » 2 Bedroom $1,168 » 3 Bedroom $1,454
27.6%
Percentage of families with children living in the home, ages 18 and younger. Increase of 2.5% from 2009 Source: U.S. Census, ACS 2010-2014 5-yr estimate
NEW HOUSING OPTIONS
3rd Upper Merion Township has the 3rd lowest real estate tax rate in Montgomery County.
1 251 DeKalb The 650 unit studio, one, two, and three bedroom luxury apartment complex, formerly known as The Marquis, was purchased in 2014 for $63M, by Candlebrook Properties. The project is currently undergoing a $50M renovation. 2 AVE King of Prussia A 275-unit, luxury apartment complex will feature furnished suites ideal for corporate and business. The project is expected to break ground in spring 2016.
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3 The first active adult (55+) rental apartments in UMT are planned to be a 5-story building, with enclosed first floor parking, spacious floor plans and fantastic amenities. 4 4 Indigo 301 Luxurious new one, two and three bedroom apartments opening next to the new King of Prussia Town Center in 2016.
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5 751 Vandenberg The first development to take advantage of the new mixed-use zoning in the King of Prussia business park, this project will include 310 luxury apartments in four buildings. 6 Hanover Properties This extremely upscale 339unit one and two bedroom apartment complex will include luxury amenities for its residents in the new King of Prussia Town Center. 7 The Brownstones at The Village at Valley Forge Three bedroom, 2.5 bath stacked townhomes are set to begin construction in spring 2016 in The Village at Valley Forge. (Not pictured)
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WHERE WORK MEETS LIFE UMT/KOP residents enjoy low real estate taxes, great schools, excellent municipal government, a strong commercial tax base, access to jobs, numerous parks and recreational resources! Residents are also fortunate to have the Upper Merion Area School District (UMASD), that provides educational instruction, arts and sports programs to about 4,000 students. UMASD is rich in tradition, with a wide range of curricular and extra-curricular activity offerings. KOP is located in a metropolitan region that enjoys one of the largest clusters of colleges and universities in the country. Within 20 miles, there are more than 25 institutions of higher education. Proximity to these prestigious educational facilities are ideal for families seeking an outstanding education for their children and critical for KOP corporations that are constantly seeking highly educated, top-tier, young talent.
90%
TOP 5% UMASD ranking on the Pennsylvania School Performance Profile for Districts in the Commonwealth
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percent of UMASD graduates that attend two and four year post secondary institutions
37 UMASD ranked #37 of Best High Schools in Pennsylvania. Source: U.S. News and World Report, 2015
$2.7M* Annual revenue received by Upper Merion Township from the Local Service Tax on UMT/ KOP employees
$285,000* Annual revenue received by UMASD from the Local Service Tax on UMT/KOP employees *Source: Upper Merion Township, 2015
EDUCATION
Job creation in Upper Merion Township/King of Prussia is directly tied to the economic growth that our community has seen. Without our business community and the jobs it creates, Upper Merionâ&#x20AC;&#x2122;s tax structure and our status as the Philadelphia area municipality with the lowest tax burden for residents would be in jeopardy. GREG WAKS, UPPER MERION TOWNSHIP SUPERVISOR & KOP RESIDENT
25+ 4-year Colleges and Universities within 20 miles of King of Prussia
Four convenient elementary schools, one middle school and one high school serve the 28,000+ residents of UMT/KOP. Upper Merion Area High School Upper Merion Area Middle School Bridgeport Elementary School Caley Elementary School Candlebrook Elementary School Roberts Elementary School
College
University
American College Bryn Mawr College Cabrini College Chestnut Hill College Delaware County Community College Haverford College Montgomery County Community College Philadelphia College of Osteopathic Medicine Rosemont College Swarthmore College The Restaurant School at Walnut Hill College Ursinus College Valley Forge Christian College
Arcadia University Delaware Valley University Drexel University Eastern University Immaculate University La Salle University Penn State University (Delaware County) Penn State University (Great Valley) Philadelphia University Saint Josephâ&#x20AC;&#x2122;s University Temple University University of Pennsylvania University of the Sciences Villanova University West Chester University
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CULTURE OF GROWTH Upper Merion Township/King of Prussia (UMT/KOP) is experiencing an unprecedented amount of economic development and job growth. UMT/ KOP leads the County in development square footage under construction and slated for construction. Here is a comprehensive look at the most notable economic development projects:
$1B
350,000 SF
17 projects totaling more than $1B are underway in King of Prussia with more to come in the next few years.
Non-Residential Proposed Development 24% of Montgomery County total #1 in Montgomery County
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Construction progress at the King of Prussia Town Center
ECONOMIC DEVELOPMENT PROJECTS
Completed in 2015 1
Primark
On November 25, 2015, Primark opened their 2nd U.S. location, at the King of Prussia Mall. The 100,000 SF (retail) store employs 480 people, bringing European fashion to Montgomery County. King of Prussia Mall
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1
Petsmart
The Valley Forge Shopping Center was transformed once again with a 14,000 SF PetSmart that opened December 5, 2015. 131 Town Center Road The Children's Hospital of Philadelphia's King of Prussia Specialty Care & Surgery Center The Childrenâ&#x20AC;&#x2122;s Hospital of Philadelphia opened their new 135,000 SF King of Prussia Specialty Care & Surgery Center in summer 2015. The four-floor facility was designed to expand up to a total of 195,000 SF to allow for future program growth. The Center currently has more than 175 employees. The Village at Valley Forge, 550 S. Goddard Blvd.
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Verizon Store
KOPâ&#x20AC;&#x2122;s main thorofare is being transformed thanks to major redevelopment projects from Allendale Road to S. Gulph Road. Recently, underutilized properties were developed into a Verizon store that opened on November 19, 2015. 715 W. DeKalb Pike. (Not Pictured)
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CULTURE OF GROWTH 2016 & Beyond 5
6
King of Prussia Mall Expansion
In late summer 2016, the King of Prussia Mallâ&#x20AC;&#x2122;s 155,000 SF expansion will be complete. At that point, the Mall will no longer be known as The Plaza and The Court, but one contiguous shopping mecca with more than 450 retailers and restaurants. The $150M expansion is expected to bring hundreds of new jobs to KOP and generate more than $100M in annual sales. 160 N. Gulph Road
6
FedEx Distribution Center
SunCap Property Group is constructing a 315,897 SF FedEx Distribution Center that is expected to employ about 200 people. Construction on the $52M center is expected to be complete in 2016. 600 River Road
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iFly Indoor Skydiving
King of Prussiaâ&#x20AC;&#x2122;s newest attraction is sure to thrill! The 6,000 SF iFly indoor skydiving facility offers participants the sensation of skydiving without ever getting into a plane. 300 Goddard Boulevard
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ECONOMIC DEVELOPMENT PROJECTS
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Goodman Properties
Goodman Properties is redeveloping the former Sports Authority at the corner of DeKalb Pike and Henderson Road into multiple retail locations, including a Wine & Spirits superstore, Fortunoff Backyard Store and a Stein Mart. 125 W DeKalb Pike. (Not Pictured)
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Upper Merion Township Community Center
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Slated for a spring 2016 opening, the new Upper Merion Township Community Center will offer Upper Merion residents a state-of-the-art fitness facility, recreational programs, gym space, Senior Service Center and new walking trails. 431 W. Valley Forge Road
10 251 DeKalb Candlebrook Properties has transformed the former Marquis apartment complex into 650 studio, one, two and three bedroom luxury apartments. The apartment complex is in the final phase of a $50M renovation including European and stateof-the-art interior design and finishes and exclusive amenities like Kidville, a fitness center and an outdoor saltwater pool and lounge. Three of the five buildings at 251 DeKalb are completed and leased, with the final two towers scheduled for delivery in Spring 2016. 251 DeKalb Pike
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751 Vandenberg
Bentley Homes has partnered with Cornerstone Communities, of Villanova, to transform the former 290,000 SF SI Organization building, which sits on 20 acres in the newly rezoned King of Prussia business park, into 310 luxury apartments. The $60M Vandenberg project will consist of four buildings surrounding a courtyard. 751 Vandenberg Boulevard
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CULTURE OF GROWTH The Village at Valley Forge 2016 & Beyond 12
King of Prussia Town Center
The King of Prussia Town Center, once open in summer 2016, will offer 260,000 SF of outdoor shopping and dining. This new lifestyle center will feature a programmed ‘main street’ with lush landscaping, active water features and community events. Some of the tenants expected to be open by summer 2016 include: b.good, Fogo de Chao, Honeygrow, Davio’s Italian Steakhouse, LA Fitness, Nordstrom Rack, REI, Road Runner Sports and ULTA Beauty. The Village at Valley Forge
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Indigo 301
Contemporary apartments will compliment KOP’s newest ‘main street’ in the King of Prussia Town Center. The luxurious one, two and three bedroom apartments at Indigo 301 come complete with incredible amenities like a golf simulator, yoga studio, pool, outdoor grilling stations and a dog park. The project is being developed and constructed by The Bozzuto Group. 301 Village Drive
14 Brownstones at The Village at Valley Forge 36
The Brownstones at The Village at Valley Forge will be luxurious three bedroom, 2.5 bath stacked townhomes, with optional basements and roof decks. This new and unique option, in the heart of the area’s newest shopping/dining destination, will have two spacious floor plans, ranging in size from 1,535 to 2,467 SF. Construction is slated to begin in 2016. The Village at Valley Forge. (Not pictured)
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ECONOMIC DEVELOPMENT PROJECTS
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Active Adult (55+) Apartments
The first active adult (55+) apartments in UMT are planned to be a 5-story building, with enclosed first floor parking, spacious floor plans and fantastic indoor and outdoor amenities, including: a pool, spa, dog park and a community garden. The one and two bedroom apartment rentals are slated to begin construction in spring 2016, with an early 2018 completion date. The project is being developed and constructed by The Bozzuto Group. 101 Bryce Lane
16 AVE King of Prussia Cornerstone Communities, Inc. has plans to build AVE King of Prussia, a 275-unit, luxury apartment complex that will also feature furnished suites for corporate and business. Substantial amenities include two-level structured parking, fitness center, swimming pool and many more tailored to the corporate market. The project is expected to break ground in spring 2016. The Village at Valley Forge
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Realen Properties and Hanover Properties
Realen Properties and Hanover Properties are developing 339-unit ultra high-end, luxury one and two bedroom apartments in The Village at Valley Forge. Amenities for residents will include a landscaped courtyard, resort-style pool, fire pit, outdoor grill, and a clubhouse complete with a fitness center, cinema, demonstration kitchen and gaming area. The six-story complex is expected to begin construction in 2016. The Village at Valley Forge
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As King of Prussia grows and changes, the need for multi-family housing is increasing as well. Indigo 301 is part of the first new mixed-use town center in the area, featuring highly desired pedestrian friendly walkways, great retail and contemporary apartment homes. With its close proximity to one of the largest malls in the country and top rated restaurants, Indigo 301 offers an extraordinary experience of home and community. STEPHANIE WILLIAMS, PRESIDENT, BOZZUTO MANAGEMENT COMPANY
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KING OF PRUSSIA DISTRICT The King of Prussia District (KOP-BID) creates an environment for success in King of Prussia (KOP). We connect businesses with a culture of growth, improve the economic climate and facilitate initiatives that are designed to make KOP the greatest community for work, life and recreation. KOP-BID strategically markets KOP throughout Philadelphia and the Mid-Atlantic region – promoting KOP’s incredible assets as the leader in retail, dining, hospitality, commercial office and employment! In addition, KOP-BID directs programs designed to promote: » high quality, attractive public spaces » a comprehensive and cohesive master plan for the future of KOP » a regionally competitive tax structure » multi-modal transportation options » KOP's profile through marketing, communications and special events
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ABOUT KING OF PRUSSIA DISTRICT
Corr
idor
MISSION King of Prussia District engages public and private partners to collaboratively improve the economic environment in King of Prussia by making it more vibrant, attractive and prosperous.
294*
Commercial property owners assessed within the KOP-BID boundaries * 1/1/16 assessment billing
$1.3B Total assessed value of properties assessed by KOP-BID
KOP-BID AWARDS
AWARD RECIPIENTS
In 2015, KOP-BID received the following awards:
King of Prussia District Award recipients represent individuals and companies in King of Prussia that exemplify the goals and mission of KOP-BID.
»2 015 Planning Advocate Award Montgomery County Planning Commission »2 015 Landscape Design Award Norristown Garden Club »2 015 Best Outdoor & Best Foodie Event, KOP Beerfest Royale Montco Happening »2 015 Community Connections Program Grant Wells Fargo
» Leadership: PA Secretary of Transportation, Leslie Richards » Commercial Office Property: CSL Behring » Economic Development Project: The Children’s Hospital of Philadelphia’s KOP Specialty Care & Surgical Center » Planning: Upper Merion Township & Simon Property Group » Hospitality: Valley Forge Casino Resort » Retailers of the Year: Bonefish Grill & Primark » Community Outreach: Conlin’s Digital Print & Copy Center and Megan Tomlinson
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CREATING AN ENVIRONMENT OF SUCCESS Telling A New Narrative Our Edge. In 2015, KOP-BID hired a new marketing agency to define who we are, what we do and what we deliver as an organization â&#x20AC;&#x201C; to define the KOP-BID brand. With a fresh perspective, a new logo, tagline and website were developed to speak to KOPâ&#x20AC;&#x2122;s prominence as a one of America's great edge cities. KOP-BID will roll out the new campaign throughout 2016 with a variety of advertising and media outreach.
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NEW Logo: To emulate iconic destination markers and balance the overall shape of the logo, the pointed icon was placed in a circular graphic emblem. Subtle shifts in color softened the logo, while the solid underline creates a mark of importance.
MARKETING & COMMUNICATIONS
36 news stories generated from KOP-BID initiatives, events and press releases in 2015
ur for KO Happy Ho Free Yoga this summer s employee Tracey Rom
ero, Sports
Medicine
Editor, Phil
AM 2015, 5:30 y, May 8, Posted: Frida Tracey Romero er: Filed Und
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Spotted Gr ee for First Av n Space: Linear Park Plan enue in Ki and ped ned ng of Prus estrian paths, seat sia ing area
Bicycle
BY ANG ELLY CAR RION
s, and mor e.
| MAY 19, 2015 AT 2:00 PM
Well, che ck you out, KoP! We’ Improvemen ve caught t District word of the joining forc King of Pru new Linear es with Upp ssia Busines Park alon er Merion g First Ave s is part of Township nue. Accord their “Compl to spearh ing to a pres ete Streets” ead a strip of und s release, plan for Firs er-utilized the busines t Avenue lawn area s park of Prussia and is slat s between ’s recently ed to repl North Gul rezoned mix ace a ph and Alle ed-use dist ndale Roa rict . ds in King Public ame nities to look forw ard to with the upcoming green space incl ude multi-use bicycle and pedestr ian paths, seat ing areas, ben ches, trash rece ptacles and site ligh ting. From a long -term view, the new space is exp ected to become “a venue for people opportuniti to exercise es for ecol , socialize, ogical stew or reflect, (the firm ardship,” and creates was hired as LRSLAs as the land tudio prin anticipated scape arch cipal Julie to increase itect). The Bush put access thro First Avenue pedestrian it ughout the safety, and Linear Par business k is make way among othe park district for potentia r things. , amp up l green infr astructure opportuniti Funding for es, the Linear Park is com Infrastructu ing out of re and Enh four gran ancement ts (Transp Fund, $1.2 ortation million; Mu ltimodal Tra nsportation
P-BID) is District (KO ry Tuesday in of Prussia Eve e the King from last summer. ur outdoor yoga r rs becaus r calenda 0 First free one-ho Happy Hou Get out you k its popular Yoga can join a plex at 100 employees ellmac Office Com lthy happy hour bringing bac , King of Prussia sch at the hea h salads, July dios at Ma June and hanging out fres nt Yoga Stu by Stillpoi y refreshments and P, will be supplying class led KO enjo , n ans the gm Avenue and ediately follow. We ored water. that will imm cks and flav organic sna be a 9 class will take The yoga you BY BRITTANY TREVICK rse and if will week cou POSTED JULY 29, 2015 series, you the whole ssion in your gre see a pro but you also The King of Prussia District and the Valley Forge Tourism & Convention Board recently released , movement ion of just the findings of a study on the feasibility of a meetings and events center in Montgomery County, Pa. opt have the during in any time Hersh, dropping Brooke H. Excitingly, the research shows the the series. marketing and idea of a center with 125,000 square of g Kin manager the for tions feet of space, including an exhibit communica trict explained, hall, banquet hall and meeting Dis of Prussia a levels, yog all rooms, is highly supported. The for “It is great ers and 2014 study also found that those in favor y Hour -tim Yoga Happ ls. both first ography) Phot believed (c) theWeld facility would have professiona k and a- a ed son /Free-Yog sia District sea /sportsdoc King of Prus hilly/ positive on the economic blogseffect up after wor a om/p ge courtesy illy.c (Ima Just show and w.ph t development of the county. at http://ww r own ma can Read more you t bring you er.” wha ed be dios explain r the 9 weeks will bottle of wat Stu a Yog s ove nt focu Specifically, the study concluded er of Stillpoi style that we will lead centering, with a Claofssthe s stein, own that the economic impact nayama). start off with k (or Dianne Rut the series: “The clas prafirst classes will year and wouldthe be roughly breath wor center’s expect from low Flow style. The a practice Vinyas ing calm with $49.2 million. Five years (withdown the a Vinyasa/S of your day and find ng and lead into the are familiar with t we line, the total geconomic tchi go ox impact is tha det stre es and nsin pos on letting clea warm up be $85 million, including $15.6 million in employee salaries and wages. The center of Warrior t juicy andestimated rtodiffe ren with will start with such as the series flow offe would create a totalring total jobs. It also is estimated that after year five, the center will host 226 new and will ctice will es, offe of 719 andnearly Yoga pos !). The pra healthy and strong praevents cticewith 111,000 attendees generating 52,737 hotel room nights. poses too us some new s to keep ing confidence in the movement twists and week to work on gain h "In the past three years, Montgomery County has added 10 new hotels, increasing its room night eac poses .” supply by approximately 10 percent," says Mike Bowman, president, Valley Forge Tourism & challenges
STUDY SHOWS HIGH SUPPORT FOR MONTGOMERY COUNTY FACILITY
A quarterly Commercial Property eNewsletter was developed to provide a more accurate picture of KOP’s commercial property performance.
Convention Board. "In 2012, when the Valley Forge Casino Resort opened, that added a new attraction and recreation option to the region, but it also resulted in a reduction of 54,000 square feet, or about one third of the meeting space, at the Valley Forge Convention Center. Given the increase in hotel rooms and the decrease in large meeting space, KOP-BID and VFTCB felt it was time to explore the concept of a new, state-of-the-art meeting facility as a way of growing corporate, association and convention business in the region and creating greater demand for overnight visitation." Through an unbiased scorecard, which analyzed local market conditions, including infrastructure; companies and employees; existing hotels; retail offerings; and demographics, the study found King of Prussia would be the ideal location for the venue.
A new, responsive website was designed to allow for a better user experience while highlighting KOPBID initiatives, area highlights, events and development throughout KOP. Accompanying collateral was also designed to match the new brand.
KOP-BID manages three website: visitKOP.com | connectKOP.com | kopbeerfest.com
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OUR EDGE. YOUR Events
.
A vibrant community, full of excitement and growth, KOP has an incredible story to tell. And KOP-BID is proud to share it with the Philadelphia and Mid-Atlantic regions. KOP-BID plans and executes dozens of events each year in order to elevate KOP’s profile and attract visitors, companies, residents and employees from around the region! Business Networking Join area leaders from a variety of industry sectors to network, exchange ideas and stay informed about all that is happening in KOP at networking events throughout the year. dineKOP Restaurant Week King of Prussia restaurant week featuring dozens of KOP’s finest restaurants. A portion of the proceeds from participating restaurants is donated to The Children’s Hospital of Philadelphia’s (CHOP) King of Prussia Specialty Care Center. First full week in March. Rock Your Lunch summer concert series Free summer concerts held during lunch for KOP employees to enjoy live music and free food samples in the KOP business park. Every Thursday in June.
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Yoga Happy Hour Take your exercise outdoors with a multi-week yoga course and healthy happy hour. Perfect for all levels of practice. Every Tuesday in June & July.
dine
KOp
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In 2015, KOP-BID hosted 26 events, including two new events for the business community: Economic Outlook and Broker Breakfast.
EVENTS
Sold-Out Crowds 4 years of sold-out crowds of over 3,000 people!
All proceeds raised are used by KOP-BID for physical improvement projects throughout KOP
KING OF PRUSSIA BEERFEST ROYALE & DONNERSTAG HAPPY HOUR The Signature Event for KOP-BID, KOP Beerfest Royale and Donnerstag: Happy Hour not only bring over 3,000 people to KOP but feature many of the wonderful businesses in KOP. From dozens of restaurants and transportation providers to printers and hotels, KOP businesses are represented!
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CREATING A SENSE OF PLACE KOP-BID pilots aesthetic changes to make KOP a handsome environment for conducting business. With over $1M of landscape improvements already implemented in the past five years, and with much more on the horizon, conducting business in KOP has never looked better.
Designing An Active, Friendly Business Park Once complete the First Avenue Linear Park will bring to life 1.3 miles along First Avenue with sidewalks, landscaping, pedestrian lighting, pocket parks, lounge areas, active game zones and food truck stations. The full Linear Park is expected to begin construction in 2017.
$144K
$4M+
Money raised to construct a 450 foot 'demonstration project' at 650 Park Avenue. Construction scheduled for 2016.
KOP-BID, in partnership with UMT, has raised more than $4M for design and implementation of the First Avenue Linear Park and Road Diet for First Avenue and Moore Road.
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Current
Demonstration Project: Proposed
Current
Linear Park: Proposed
PHYSICAL IMPROVEMENTS
$1M Over $1M of landscape improvements completed by KOPBID in the last five years.
King of Prussia Gateway Signs were modified with energy-efficient LED lighting that be can be adjusted to a variety of colors for holidays, themed months and other events.
KOP-BID IS TURNING KOP INTO A COMMUNITY OF NATURAL BEAUTY Since 2011, KOP-BID has installed: » 8 landscaped medians » 6 ‘Welcome to KOP’ Gateway Signs, with landscaping » 1 business park entry, with flag poles and landscaping » landscaping on portions of Henderson Road » 11,470 perennials » 8,808 bulbs » 3,013 grasses » 1,188 shrubs » 106 trees
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GROWTH THROUGH ACCESSIBILITY KOP-BID leads the charge in effecting transportation solutions in KOP, both planning and implementing strategies that enhance vehicular, pedestrian, bicycle and public transportation access. KOP-BID is dedicated to making life flow in KOP.
theconnector This commuter shuttle service creates the last link from public transportation to the office for KOP employees.
Since its inception, theconnector has prevented an estimated 143,451 vehicle miles from being traveled, saved 17,931 gallons of gasoline and prevented 159 metric tons of CO2. Source: GVF for KOP-BID, 2015
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1,500 Average monthly rides in 2015
36%
Year over year increase in ridership from 2014 to 2015
KOP Rail Coalition To help garner regional support for the King of Prussia Rail Extension project, KOP-BID and GVF formed the KOP Rail Coalition (Coalition) in 2015. The Coalition endorses the PECO/TURNPIKE/FIRST AVE route. Support the KOP Rail Extension TODAY! connectKOP.com/endorse
TRANSPORTATION
FIRST AVENUE ROAD DIET Design was completed for the proposed First Avenue Road Diet in 2015. The Road Diet will improve safety conditions for both vehicles and passengers along the 1.3 mile stretch by adding safe, center turn lanes, bicycle lanes and pedestrian crosswalks with marked paving and overhead flashers. Construction of the project, a partnership between KOP-BID and UMT, will get underway in late 2016 with funds coming from a $432K Transportation Alternatives Program grant and matching funds from UMT. KOP-BID contributed the total cost of engineering and design.
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PA TURNPIKE INTERCHANGE KOP-BID continues to work with property owners, UMT, Montgomery County officials, PennDOT officials and the Turnpike Authority to derive plans for a westbound â&#x20AC;&#x153;sliprampâ&#x20AC;? into the King of Prussia business park. If successful, the slip-ramp will relieve congestion on local roads by providing a more direct route into the largest employment center in the Township. Long range plans call for a full interchange that would seamlessly link the business park with Route 76 and the Pennsylvania Turnpike in all directions.
PROGRESSIVE ZONING KOP-BID provides a progressive approach to zoning, so that your career, family and fun are never far apart. As such, KOP is evolving into a mixeduse, increasingly walkable environment that integrates the most important components of a healthy life.
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751 Vandenberg Bentley Homes and Cornerstone Communities are the first to take advantage of the mixed-use zoning in the King of Prussia business park, with a planned $60M, 310-unit luxury apartment complex.
LAND USE, ZONING & TAX POLICY
King of Prussia enjoys Montgomery Countyâ&#x20AC;&#x2122;s lowest real estate taxes and business taxes that are highly competitive with its peers.
KOP-BID believes that a healthy balance of taxes on businesses and residents will lead to the best opportunities for future economic development and job growth.
KEEPING KOP COMPETITIVE In an effort to ensure that KOP has a regionally competitive tax structure that promotes and grows business, KOP-BID continues to examine the existing tax codes of UMT, as well as nine of the regionâ&#x20AC;&#x2122;s largest employment centers that compete for companies and employees.
KOP-BID released its first Tax Policy Summary Report on the state of tax impact on businesses in Upper Merion Township (UMT).
KOP-BID and its consultants use the data and research gathered to develop meaningful recommendations for UMT to consider for potential tax reforms. KOP-BID continues to advocate for tax policy revisions in an effort to help stimulate the commercial office sector, grow jobs and increase the revenue base for UMT.
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2015 REVENUE & EXPENSE SUMMARY
Revenues Assessment Fees
$1,138,810
$1,121,489
theconnector
$299,416 $339,478
Sponsorships
$13,000 $17,500
Special Event Income*
$46,207
$41,063
Contributions
$4,156 $2,955
Interest
$1,473 $1,387
TOTAL REVENUES:
$180,500
Cash & in-kind sponsorships raised by KOP-BID to support 2015 events
$1,503,062
$1,523,872
2015
2014
Physical Improvements
$269,682
$430,808
Total $ for theconnector - 2015
Marketing & Communications
$252,607
$273,829
• Grant Revenue*: $140,000
Transportation
$534,703 $496,543
Functional Allocation of Expenses
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2015 2014
• Corporate Contributions: $128,354
Land Use & Zoning
$18,602
$69,522
• Ticket Sales: $18,362
Tax Policy
$14,330
$14,019
• Advertising Revenue: $12,700
$175,069
$179,941
Management & General Fundraising Carry Forward for 2016 Programs TOTAL REVENUES: * Revenue net of expenses of $101,804
$33,377 $34,647 $204,692
$24,563
$1,503,062
$1,523,872
TOTAL REVENUE: $299,416 *Final year of 3-year CMAQ Grant
BOARD OF DIRECTORS & STAFF
Chairman Robert Hart Simon Property Group Vice Chairman Suzanne Ryan PECO Treasurer Eric Davies Wurzak Hotel Group Secretary Kevin Lang Wegmans Food Market Past Chairman Jeff DeVuono Brandywine Realty Trust
Christopher Doyle Hersha Hospitality Trust David Fahey Avison Young Bruce Hartlein Liberty Property Trust Rob Henry GVF
Staff Eric T. Goldstein Executive Director Brooke Hersh Manager, Marketing & Communications Julie DeMasi Administration & Finance Assistant Shauna Sanchez Digital Marketing Associate
David Kraynik Upper Merion Township Skip Kunda Kunda Beverage Richard Kubach Best Western Plus â&#x20AC;&#x201C; The Inn at King of Prussia Dennis Maloomian Realen Properties Carol McCoy eBay inc. Brian McElwee Valley Forge Investment Co. Daniel Platt UGI Corporation Andrew Tod GF Management
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2015 Beerfest Royale Sponsors
Improving Lives & Environments
Since 1921
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2015 Quarterly Event Sponsors
2015 Rock Your Lunch Sponsors
2015 dineKOP Sponsors
2015 Yoga Happy Hour Sponsors
2015 Economic Outlook Sponsors
Photography/Renderings Courtesy: 251 DeKalb, AgileCat, BCT, Bergmann Associates, Bernardon Harber Holloway Architects PC, Boles Smyth Associates, Bozzuto Management Company, Brandywine Realty Trust, Candlebrook Properties, Cantina Laredo, Cornerstone Communities Inc., Don Pearse Photographers Inc., DoubleTree by Hilton, FedEx, Greenphire, Greg Benson, Ground Reconsidered, HYATT house, iFly, IMC Construction, KTGY Group, Inc., Liberty Property Trust, MIM-Hayden Realty, Pennoni Associates, Realen Properties, SEPTA, Sheraton Valley Forge, Simon Property Group, Simone Collins, The Children's Hospital of Philadelphia, The JBG Companies, UGI Corporation, Upper Merion Area School District, Upper Merion Farmers Market, Upper Merion Township, Valley Forge Casino Resort, Valley Forge Tourism & Convention Board, Weld Photography.
The King of Prussia District (KOP-BID) 2016 Report to the Community was researched and written by KOP-BID staff and designed by Laura Snyder. Special thanks to the Valley Forge Tourism & Convention Board. Copies are available online at visitKOP.com/about/publications and at King of Prussia District 234 Mall Boulevard, Suite 150 King of Prussia, PA 19406 Sign up for the KOP-BID monthly eNewsletter and Commercial Property eNewsletter at visitKOP.com. KOP-BID has made every effort to avoid errors in this publication.
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234 Mall Boulevard, Suite 150 King of Prussia, PA 19406 484.681.9452 info@kopbid.com visitKOP.com