Tax Reform and Downtown Rehabilitation

From South Boston to Winchester, St. Paul to Norfolk, many of our Virginia communities have seen significant revitalization as a result of the Federal Historic Tax Credits (HTC). In many cases, if not most cases, rehabilitation of historic structures counts on this funding to make those projects work – and the credits are slated for elimination in the Tax Reform proposal under consideration.

Masonic Theatre, Clifton Forge, VA

The rehabilitation, re-use, and preservation of Virginia’s historic buildings is good for the commonwealth’s economy, according to a recent study conducted by Virginia Commonwealth University.  During a 17-year period, nearly $1 billion in tax credits leveraged almost $3 billion in private investment, resulting in the reuse of 2,375 buildings, ranging from warehouses, hotels, and theaters.

Where do you go for more, so you can put this economic development tool to good use?  Let me introduce you to your partners:

Here are your administrative partners.  While the National Park Service ultimately approves the federal Historic Tax Credit, the Virginia Department of Historic Resources (DHR) acts as the “gatekeeper”, administering both the federal and state tax credit programs. All applications go through DHR first and they also provide technical assistance.

Here are your advocacy partners. The National Trust for Historic Preservation and its subsidiary the National Main Street Center, a proven leader of preservation-based economic development, both work to educate national and local community leaders about its value. Your local preservation advocacy partner, Preservation Virginia, promotes this development tool, too.

Rehabilitated Masonic Theatre, Clifton Forge, VA

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Five Things your Economic Vitality Committee can do Today to Support Downtown

In my Virginia Main Street wanderings and conversations with directors I’ve been hearing a common refrain – “What should our Economic Vitality committee be doing?” A thought provoking question that I am sure goes unasked more often than asked. As fate would have it I recently participated in a Hillary Greenberg webinar on supporting small businesses that provided me with a “lightbulb” moment. Sometimes our boards and committees get caught up in thinking big and miss some of the small, every day, right-in-front-of-your-nose kinds of things that could yield big results for the district.

    1. Is your downtown business friendly? The EV committee can review municipal codes, fees, permit processes and timelines – anything that pertains to establishing or growing a business in the Main Street district. Identify anything that would be a detriment to starting a business or fixing a building then work with the municipality on a making the code friendlier to small business.
    2. Help new businesses navigate the permit process. Now that the EV committee has a thorough understanding of all of the local hoops to jump through to open a business downtown, turn that information into a step-by-step guide for new business owners.
    3. Survey retailers and business owners. In person, with a flyer, online – ask the questions. What would help you to improve your business? Have some check boxes –
      • website development?
      • access to capital?
      • cooperative advertising?
      • loan pool?
      • new signage?
    4. Hold Retailer Round Tables. Use those survey responses to generate topics! One month bring in a marketing guru to discuss website content. The next month (or quarter) have the Promotions committee members come to talk about, and get feedback on, upcoming retailing events. Bring in an accountant to give a Quickbooks lesson. Respond to the retailer’s needs to help them grow their businesses.
    5. Create a Mentorship Network. Every district has those retailers and restaurateurs who are knocking it out of the park. Set up a network of successful business owners to work one-on-one with those that are struggling.

 

This is by no means an exhaustive list, but they are ideas that can be quickly assigned and implemented by a motivated EV committee that can make a real difference on the ground.

Does your EV committee do something innovative to improve downtown? We want to hear about it!

Virginia’s Craft Beer Scene is Booming

Governor Terry McAuliffe recently announced that Virginia is now home to 206 licensed breweries, a 468% growth since 2012, when the tasting room bill, SB604, passed the General Assembly. A newly released economic impact study shows that Virginia’s booming beer industry contributes more than $9.34 billion annually to Virginia’s economy.

“In addition to the direct economic impacts of manufacturing, the industry generates increased tourism-related revenues, provides new production and sales opportunities for our agricultural producers, and enhances community revitalization and development efforts in both rural and urban areas of the Commonwealth”, said Secretary of Commerce and Trade Todd Haymore.

This success story is close to home on Virginia’s Main Streets. One of the latest brewery additions is Sugar Hill Brewing Company in St. Paul, opened fall 2016.  The brewery added a much needed restaurant that is now a local favorite, a tourist destination, and a big economic boost to the small town. It complements the economic development strategy as an ecological and commercial hub – connecting downtown to hiking trails, off-road recreation, and summertime tube floats and kayaking on the Clinch River.

A frothy wave is crashing into our Main Street communities; one that is having a favorable impact on local opportunity, character, and spirits.  Check out more Virginia craft brewery offerings here >>

We’re unveiling more info for Downtown Intersections 2017!


More to come!


 

Downtown Intersections – Winchester – July 10-12, 2017

 

“Booster Rockets” For Downtown Revitalization Momentum

After decades of market preference for suburban development, Main Street and downtowns are hot again! Back in the market, they are once again desirable targets for investment, business startups, expansion, the creative economy, housing, and tourism. So, how do we sustain that momentum, take advantage of the attention, and keep the revitalization progress moving forward?  Our fellow downtown advocates @StrongTowns say communities must keep taking it to the next level without hesitation.

“I like to think of the early, “fun” stages of [revitalization] as the booster rockets on the old space shuttles…they’re necessary to get the things that really matter off the ground and into the atmosphere.  After they do their job, it’s all about making sure you blend that momentum with careful, strategic planning and experience to complete the mission.”

The Cork’s Been Popped…What’s Next For Your City? @StrongTowns

Virginia’s Award Winning Destination Tourism

Governor McAuliffe recently announced that the Virginia Tourism Corporation (VTC) received a national tourism industry award for its work promoting the Virginia Oyster Trail, a new initiative connecting travelers with Virginia’s oyster farms, raw bars, wineries, restaurants, artisans, and downtowns like Urbanna, Cape Charles, and Chincoteague.

VTC was recognized with the prestigious National Council of State Tourism Directors Mercury Award during the U.S. Travel Association’s annual Education Seminar for Tourism Organizations conference. Winning programs serve as models to foster imagination and innovation in the development of future destination programs.

“I am proud of the coalition of partners, both public and private, that are making a difference as we build the new Virginia economy. This award demonstrates that when our state agencies work together, we can make a major impact on the future of our great Commonwealth,” said Governor McAuliffe.

Since its official launch last November, the Virginia Oyster Trail has received significant praise from consumers and has piqued the interest of travelers seeking a unique culinary travel experience. This year, VTC saw a 31 percent increase in visitation to oyster-related content on its website, www.Virginia.org.  Virginia oysters continue to be a major driver for tourism, an industry that is an instant revenue generator for the Commonwealth. Last year, visitors to Virginia spent $23 billion, which supported 222,000 jobs and contributed $1.6 billion in state and local taxes to the Commonwealth.

The Virginia Tourism Corporation partnered with the Virginia Department of Agriculture and Consumer Services, Virginia Department of Housing and Community Development, Shellfish Growers of Virginia, Virginia Seafood Council, Virginia Marine Products Board, and Artisans Center of Virginia, in addition to local tourism offices and planning district commissions, to make the Virginia Oyster Trail project a reality.

To learn more about Virginia oysters and the Oyster Trail, click here.

Downtown Cape Charles, Virginia

Downtown Cape Charles, Virginia

Creating a Successful “Entrepreneurial Ecosystem”

In Main Street districts, one of the best ways to fill vacancies, and prevent new ones, is to foster a setting that is attractive to entrepreneurs and where small businesses can thrive.  The buzz word nowadays for that setting is “entrepreneurial ecosystem,” which refers to the elements outside the individual that encourage entrepreneurship and increase the probability of a successful business following a launch.  That ecosystem is what attracts, or repels, a business from locating in an empty storefront.

entrepreneur-ecosystem

Entrepreneurial activity in the U.S. is up 60% and at its highest level since 2005, according to the newest Global Entrepreneurship Monitor (GEM U.S. Report) with retirees looking for a second career and younger adults driving the trend.  The market is ripe.

Energizing Entrepreneurs was developed by the Center for Rural Entrepreneurship to provide a roadmap for communities looking to build their own Entrepreneurial Ecosystems. It is a great resource for communities, organizations and individuals who want to learn:

  • Why it’s so important to become an entrepreneurial community;
  • The elements of a support system for entrepreneurs;
  • Assessment tools to develop a local strategy;
  • How to understand and connect to entrepreneurs; and
  • The importance of creating, measuring and sustaining local impact.

Exploring the opportunity is a first step and DHCD’s Building Entrepreneurial Economies program can support the effort!

Learn more >>