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HomeMy WebLinkAbout1. Imperial Highway Strategic PlanCity of Downey Imperial Highway Economic Development Strategic Action Plan - DRAFT - April 2017 JWA Urban Consultants, Inc. Stanley R. Hoffman Associates, Inc. Statistical Research, Inc. PC Agenda Page 3 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | i TABLE OF CONTENTS TABLE OF CONTENTS i Chapter 1: Executive Summary 1 Introduction 1 Sub-Areas 1 Key Economic and Demographic Issues 2 Projected Growth Scenarios 3 Goals and Strategies 5 Chapter 2: Imperial Highway Corridor Economic Development Strategic Action Plan 8 Introduction 8 Background and Methodology 9 Public Outreach 9 Public Outreach Comments 9 SWOT 10 Key Findings 11 South Campus 12 Proposed Master Plan Development 12 Potential Sites to be Vacated 15 Economic Development Strategic Action Plan 16 Goal 1: Make Economic Development a Priority 16 Goal 2: Develop Leadership, Support, and Coordination with Local Partners 17 Goal 3: Retain, Expand, and Attract Businesses 18 Goal 4: Promote and Develop Positive Brand Identity 20 Goal 5: Update Key Planning and Development Codes 21 Goal 6: Improve Public Infrastructure and Amenities 21 Chapter 3: Implementation Plan 23 Chapter 4: Performance Metrics 36 Chapter 5: Development Opportunity Sites 38 Chapter 6: Summary of Research Findings 45 Two Concurrent Studies 45 Key Socio-Economic Findings 46 Population and Household Characteristics 46 Housing Inventory Characteristics 46 SCAG Baseline Growth Forecasts: 2012 - 2040 48 Economic Base and Target Industry Analysis 50 PC Agenda Page 4 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | ii Industry Sales Performance 52 Retail Sales Performance 52 Assessed Land Valuation Analysis 54 Projected Growth Scenarios 56 Land Availability 62 Traffic and Vehicular Speed 62 Zoning Ordinance Review 63 PC Agenda Page 5 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 1 Chapter 1: Executive Summary Introduction The purpose of the Imperial Highway Corridor Economic Development Strategic Plan (Strategic Plan) is to understand the current economic trends and conditions, identify key findings and observations, and future economic development opportunities, so as to identify an economic development strategy that the City of Downey should move toward in its retail, commercial, and residential revitalization efforts. For over the past four decades, the City of Downey has attracted residents and businesses to its stable residential neighborhoods and vibrant commercial districts. Downey benefited with the role of aerospace and aeronautical industries but when this industry started to decline in the 1980s and with the closing of the Boeing plant in 1999, the City aggressively pursued redevelopment activities to reinvigorate its local economy and redeveloped the plant site into highly successful retail, entertainment, and health/hospital centers. Through strategic planning and proactive decisions, Downey has maintained its prominence within the Los Angeles region. This Strategic Plan addresses economic development opportunities and challenges facing the Imperial Highway Corridor, identifies potential opportunity sites, and includes an implementation plan with performance metrics to measure annual progress. Sub-Areas Imperial Highway is a major east/west arterial, running approximately 41 miles in length and connecting the cities of Anaheim Hills, Yorba Linda, La Mirada and Brea in the east to Inglewood, Hawthorne and El Segundo, near the Los Angeles International Airport, in the west. Within the City of Downey, Imperial Highway is approximately three miles in length and is characterized by one and two story buildings with the exception of the two major medical facilities- Rancho Los Amigos National Rehabilitation Center and Kaiser Permanente Medical Center- and the multi-story County of Los Angeles public administration buildings. To facilitate our research and understanding of the Corridor, Imperial Highway was divided into four subareas as shown in Figure 1. The four subareas are: 1) Rancho Los Amigos; 2) Paramount; 3) Lakewood; and 4) Bellflower-Woodruff. The Rancho Los Amigos subarea is named for the Rancho Los Amigos National Rehabilitation Center. The Rancho Los Amigos South Campus (South Campus) area is directly south of the Rancho Los Amigos subarea, where, over time, consolidated Los Angeles County facilities will be relocated. The remaining three (3) sub-areas are named for the major arterials that are within each subarea: Paramount Boulevard, Lakewood Boulevard, and Bellflower Boulevard-Woodruff PC Agenda Page 6 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 2 Avenue. The Bellflower-Woodruff subarea includes the Kaiser Permanente Medical Center and the Los Angeles County facilities that will potentially be relocated to the South Campus. Figure 1 Study Area, Imperial Highway Corridor Source: Statistical Research, Inc. Key Economic and Demographic Factors ●Lack of readily available land for development, which is further constrained by the existing parcel configurations, lot sizes, and zoning requirements. ●Corridor has not experienced significant growth in commercial development, population, or households. ●Strong employment base in medical and public administration. ●Recent economic activity with the ongoing expansion of medical facilities and the successful openings of neighborhood-serving retail. ●The potential relocation of Los Angeles County facilities over time to the South Campus area would provide a major land development opportunity and potential to expand upon the Corridor’s base of quality higher-wage jobs at the South Campus area and on the former County- vacated parcels, as shown in Figure 2. ●On a smaller scale, there will be development opportunities primarily from underutilized sites along the Corridor with local serving retail, restaurants/fast food and opportunities created from through traffic. PC Agenda Page 7 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 3 ● Demand for ownership housing options could increase over time, commensurate with the significant expansion of higher-wage jobs. ● Public investment in entry monument signs, street infrastructure, and coordination and marketing efforts between the local business community and the City of Downey will help create a sense of place. ● Potential of METRO Green LRT station is not fully realized due to a deficiency of on-site parking and incompatibility of surrounding land uses for Transit Oriented Development (TOD) alternatives. With the current expansion of Green line service to LAX, the potential significance of the LRT station will increase. The proposed future development of another LRT at the South Campus area will heighten light rail connectivity between Downy and the Los Angeles region. Figure 2 Los Angeles County Facilities Source: Stanley R. Hoffman Associates; Google Earth Projected Growth Scenarios Imperial Highway is poised to becoming a new, grand thoroughfare in Downey. The future development pattern, type, and intensity that may occur along Imperial Highway will, in large part, be influenced by PC Agenda Page 8 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 4 the disposition of the County facilities. The proposed relocation of specific County facilities to South Campus will have a catalytic impact on the Corridor with the revitalization of the South Campus as well as the tremendous potential for the redevelopment of the vacated County facilities along Imperial Highway. In addition to this economic development strategic action plan, there are two other major studies that are currently being conducted- the first study is commissioned by the City of Downey to analyze the feasibility of implementing bio-medical overlays in various areas of the City- including Imperial Highway. The other study is commissioned by the County of Los Angeles for the master planning of the South Campus area for the relocation of specific County operations plus other additional land uses. The importance of these two studies are significant and their findings will have profound impact on the Imperial Highway Corridor. The economic development potential of the Imperial Highway Corridor is driven by the expansion of the Kaiser Permanente Medical Center facilities and the potential relocation of some of the County of Los Angeles facilities to the South Campus with the subsequent redevelopment of the vacated 14.2-acre County property into projected bio-medical and professional/technical office employment. Under this first scenario, total employment is projected to increase by about 2,770 jobs. About 45 percent of these jobs are projected to be in the bio-medical and professional/technical categories on the former County land with about 17 percent in the Kaiser Hospital complex; the remaining 35 percent is projected in local services, retail, and restaurants, and other professional/technical jobs on selected urban infill opportunity sites. Under the second scenario with the longer term redevelopment of 42 acres of County properties, total employment is projected to increase to about 4,990 jobs. About 73 percent of these jobs are projected to be in the bio-medical and professional/technical categories on the former County lands with about 15 percent in the Kaiser Hospital complex; the remaining 12 percent is projected in local services, retail and restaurants, and other professional/technical jobs on selected urban infill opportunity sites. The above growth scenarios were developed from discussions with representatives from Kaiser Permanente and County of Los Angeles CAO Office. The projected employment growth is greatly tied to the redevelopment of properties that are not under City of Downey ownership. However, the City can play a major role in the future redevelopment of these properties through its entitlement process, service delivery and coordination, and continued discussions with each of the key stakeholders. Maintaining the City’s positive working relationship with each stakeholder can lead to “joint partnership” of key properties, sharing ideas and understanding potential obstacles and pitfalls. This is exhibited in the City’s current working relationship with the County of Los Angeles and the master planning process for the proposed revitalization of the South Campus area, which represents a major redevelopment effort and has resulted in the transfer of property for a City recreational complex. By working closely with Kaiser Permanente and the County of Los Angles, the City will be able to forge strong partnerships that can influence the development process, leading to mutually beneficial projects. PC Agenda Page 9 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 5 Goals and Strategies This Strategic Plan identifies six goals to revitalize the Imperial Highway Corridor. These goals are supported by strategies and action steps that provide a roadmap for enhancing economic development. The revitalization of Imperial Highway will require the leadership of city government, taking an active role in organizing municipal resources and cultivating community interest and support. The business expansion that is currently occurring at Rancho Los Amigos National Rehabilitation Center and Kaiser Permanente Medical Center are providing quality higher-wage jobs and it is anticipated that this growth will continue in the near term. There are limited opportunities for development of underdeveloped properties that do not require land assemblage but with the future development of the South Campus Master Plan, there will be an increased demand for new developments, which will encourage greater recycling of underdeveloped properties. The relocation of County facilities from their current locations on Imperial Highway to the South Campus is an important factor for the future economic development potential of the Imperial Highway Corridor. The relocation of County offices from their former locations will make these sites available for redevelopment. Large single-ownership properties are rare in the metropolitan Los Angeles area and will receive heightened development interest. By maintaining the City’s close working relationship with the County, the City can have an influential role in the future development of these parcels as the County plans the marketing and method of developing its properties. The County properties are unique due to their substantial size, which can provide a greater development opportunity for the creation of high quality job centers. Goal 1: Make Economic Development a Priority This goal represents the City’s commitment to revitalize Imperial Highway. The full potential of the Corridor has not been realized and will require the coordination of the city government, local business organizations, businesses, merchants, and property owners. Strategy 1: Evaluate the current staffing and budget sufficiency within the Economic Development Division. Strategy 2: Continue to assist distressed businesses. Strategy 3: Continue to instill economic development policies as a priority among all City departments. Goal 2: Develop Leadership, Support, and Coordination with Local Partners This goal recognizes that the successful implementation of the Strategic plan will require the continued commitment and coordination of key local economic developers and stakeholders. The vision must be shared and communicated with residents, developers, and businesses interested in relocating to or expanding within the Corridor. Strategy 1: Continue to promote active partnerships between City Hall, residents, and business community. Strategy 2: Educate community about benefits of economic development. PC Agenda Page 10 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 6 Goal 3: Retain, Expand, and Attract Businesses This goal represents the overarching goal of local economic development, which is to expand and diversify the local economic base and create higher-wage jobs and economic opportunities for residents, workers, and businesses. When businesses expand and employment rises, the demand for quality ownership housing also grows and represents an additional market demand for existing and new businesses, restaurants, retailers, and entertainment venues. Strategy 1: Support Key Economic Assets. Strategy 2: Continue to coordinate with and support Chamber of Commerce. Strategy 3: Provide further Business Assistance Services. Strategy 4: Develop a list of Preferred Target Businesses. Strategy 5: Evaluate the development potential of smaller Opportunity Sites up to 3-acres in size. Strategy 6: Evaluate the development potential of larger Opportunity Sites. Strategy 7: Provide incentives for site consolidation and adaptive reuse of buildings. Strategy 8: Foster opportunities for business expansion. Goal 4: Promote and Develop Positive Brand Identity This goal recognizes that perception and image are powerful factors the can attract or dissuade investment. It is important to invest in public infrastructure that enhances the overall quality of life and promotes the Corridor as an attractive location for economic development. In 2014, the City proactively pursued an extensive and effective branding campaign-Discover Downey- with a local non-profit organization developing a new community logo, specified color palette and typeface for certain media presentations. A similar approach could be applied to the Imperial Highway Corridor. Strategy 1: Establish a Marketing Committee for the Imperial Highway Corridor. Strategy 2: Create a sense of place. Strategy 3: Promote City’s historic connection to the aerospace industry and space exploration. Strategy 4: Increase the connection of public parks to Imperial Highway. Goal 5: Update Key Planning and Development Codes This goal recognizes that a substantial percentage of the Imperial Highway Corridor is comprised of commercially-zoned properties that are adjacent to residentially-zoned properties. To preserve the quality of life along the Corridor, the City has adopted a number of zoning code standards that are intended to minimize the impacts of commercial properties on residents. These zoning measures are working well, but as the larger potential sites are developed, such as South Campus and the County properties along Imperial Highway, these catalytic projects will increase development pressures on the smaller underutilized parcels along the Corridor. Strategy 1: Conduct periodic review of Zoning Code development standards. Strategy 2: Consider rezoning the opportunity sites to maximize development potential. PC Agenda Page 11 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 7 Strategy 3: Extend the Existing Mixed-Use Zone from the Green Line Station at Lakewood Blvd/Century Freeway to include the Lakewood Blvd/Imperial Highway intersection. Strategy 4: Develop a specific plan for the Imperial Highway Corridor. Goal 6: Improve Public Infrastructure and Amenities This goal recognizes that in order to attract high quality businesses and higher-wage jobs, the City must enhance the Corridor’s economic competitiveness. The public infrastructure should meet existing and future anticipated needs. Also, Corridor businesses frequently mentioned the need to address the high vehicular speed on Imperial Highway, which restricts the ability of patrons to enter and exit from business properties. Increasing housing opportunities near employment centers was also mentioned. Strategic public investments can stimulate the revitalization of the Corridor. Strategy 1: Match present and future public infrastructure demands. Strategy 2: Identify options to reduce vehicular speed. Strategy 3: Provide opportunities for improved transit experiences. Strategy 4: Develop a driveway replacement program. PC Agenda Page 12 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 8 Chapter 2: Imperial Highway Corridor Economic Development Strategic Action Plan Vision for future Prosperity! To revitalize the Imperial Highway Corridor by creating economic development incentives and programs for businesses to thrive, identifying catalytic opportunities, transforming the vehicular-oriented streetscape into an attractive and cohesive urban street with new medical, biomedical/research and development and professional offices, neighborhood-serving retail and restaurants, new ownership housing opportunities, and creating a proud brand identity. Introduction Economic development is a critical element of community development. Economic development provides jobs and creates the wealth that supports public infrastructure, parks and open space, and cultural amenities of our community. This Economic Development Strategic Action Plan (Strategic Plan) is intended to serve as a guide for economic activities in the City and as a compass for how to get there. The Strategic Plan was prepared with input and assistance from the City of Downey staff and elected officials, and comments received from participants at several stakeholders’ meetings, meetings and discussions with local and regional economic development agencies, public workshop, and an extensive quantitative research of data resources. The Strategic Plan will identify strategies to facilitate economic development, maximize job growth, and create a sense of place. The chapter entitled Framework of Economic Development Strategic Action Plan discusses six broad economic development goals for the Imperial Highway Corridor. It summarizes the high priority goals and provides a number of strategies and action steps targeted to address the goals. This chapter is followed by the Implementation Plan chapter, which identifies a process for City staff to coordinate economic development activities and addresses the general roles and responsibilities of key City staff members, departments and the city’s relationship and communication with outside agencies. The next chapter is entitled Performance Metrics. This chapter outlines a process for the City to establish an internal evaluation and analysis of performance and a reporting procedure concerning progress and results. The annual evaluation parallels the City’s budgeting process to enhance program performance. PC Agenda Page 13 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 9 Background and Methodology On July 27, 2016, the City Council awarded a contract to JWA Urban Consultants, Inc. to prepare an economic development strategic plan for the Imperial Highway Corridor. The City realized that a coordinated approach to revitalize the Corridor was needed to uncover its possibilities. In mid-August 2016, the City and JWA conducted a Kick-Off Meeting and work started in earnest with data gathering and public outreach conducted throughout the next four months. JWA team members examined economic and demographic trends for the Imperial Highway Corridor in comparison to trends in the City of Downey to identify future economic development opportunities. Sources such as U.S. Census Bureau, Esri, California Employment Development Department, Los Angeles County Office of the Assessor, and Costar Group data, among other sources, were consulted. As various portions of the research were completed, JWA provided the City with working papers and memorandums for review and comment, which later formed the basis for completing the Strategic Plan. Public Outreach JWA conducted a two-month public outreach program with person-to-person interviews, a public community workshop, and stakeholder discussions in person and over the phone, including representatives from the County of Los Angeles CEO’s Office, Kaiser Permanente Medical Center, Chamber of Commerce, property owners, business operators, a financial institution, City staff and public officials. JWA team members also spoke with the County regarding the South Campus plan and potential relocation of County employees as well as with the City’s consultant- Civic Solutions- concerning the preparation and early findings related to the biomedical overlay study. The information gathered helped in the preparation of the draft report along with field observations and third-party data sources. Public Outreach Comments The following comments are intended to provide an indication of the public sentiments, concerns, and aspirations: ● Traffic speed on Imperial Highway is too fast; traffic congestion on Imperial Highway and, in particular, the north/south street intersections; highest congestion during the afternoon rush hour. ● Difficult to get into and out of parking lots due to narrow driveways, traffic speed, and landscaped median has restricted left turn access to a number of commercial sites. ● Existing businesses unfamiliar with available business assistance programs but would like to know more. ● Ownership housing in appropriate locations is desired, especially if it is near employment generators; also, open to housing planned in relationship to light rail station; less favorable towards rental housing. ● Homeless issue exists at various locations along Imperial Highway. ● Favorable perception of safety and security; “Police Department is great.” ● Imperial Highway is generally clean and well lit. PC Agenda Page 14 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 10 ● Small lots with narrow widths and shallow depths along Imperial Highway are not conducive to efficient, new development. ● Lack of available street parking along Imperial Highway. ● Imperial Highway has been ignored “…like a stepchild” and area is known as “South Downey.” ● Lack of identity along Imperial Highway; “hodge-podge” of uses; would like it to be similar to Firestone Boulevard; better landscaping in the median; more vibrant; attractive entry signs and better landscaping in the gateway areas into the Imperial Highway Corridor. ● Lack of awareness of South Campus development plans; potential for positive catalytic impact on Imperial Highway with future relocations of County offices. ● Desire for more neighborhood-serving retail and restaurant uses; Vallarta Market and Starbucks were well received within the Paramount subarea. ● Recent larger shopping centers, on recycled aerospace land, has “drained” significant retail and restaurant business from Imperial Highway. ● Need for more code enforcement of building violations and better signage controls. SWOT A SWOT assessment focusing on the Imperial Highway Corridor’s Strengths, Weaknesses, Opportunities, and Threats (SWOT), is a qualitative method to identify issues and opportunities for economic development in the context of local resources and competitive regional forces. This Strategic Plan seeks to build upon the strengths of the Corridor and overcome its weaknesses with recommended action steps. The following summarize the findings from interviews and discussions with City staff, local businesses, and community stakeholders as well as the analysis of the local and regional economic and demographic trends and conditions. Table 1: SWOT Assessment, Imperial Highway Corridor No. Strengths Weaknesses Opportunities Threats 1 Major regional thoroughfare and strong employment base, particularly in the health services and public administration sectors. Limited land supply that are further constrained by small parcel configurations and sizes and Zoning Code regulations. Potential relocation of Los Angeles County facilities to South Campus, thus freeing up sizeable land acreage for redevelopment. Uncertainty of timing when County facilities will relocate to South Campus. 2 Ongoing expansions at the Rancho Los Amigos National Rehabilitation Center and Kaiser Permanente will further solidify the Corridor’s quality job outlook and stimulating economic opportunities on adjacent sites. High volume and speed of traffic on Imperial Highway, making it difficult for motorists to access narrow driveways onto commercial properties. Smaller development opportunity sites near major commercial nodes; in particular, the Lakewood Boulevard and Bellflower Boulevard intersections with Imperial Highway. Significant retail and restaurant competition from nearby Downey Landing and The Promenade at Downey. PC Agenda Page 15 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 11 No. Strengths Weaknesses Opportunities Threats 3 Strong regional presence of major medical facilities and County public administration offices represent viable customer base from employees and visitors. Common perception that Imperial Highway is a weak retail street with a “hodge- podge” of land uses along the Corridor. Improve the overall appeal of the area through entry signage and landscaping at both ends of the Corridor and colorful street furniture. Uncertainty of reliable and sufficient funding options available for economic development, public improvements, and housing projects and programs. 4 Recent economic development success on the neighborhood level driven by demand for local serving goods and services. Current lack of identity or sense of place due to general lack of coordination and marketing. New employment developments can stimulate the demand for medium- density ownership housing and local serving retail and restaurants. Uncertainty of economic cycles due to external forces that can increase or decrease the pace of development and government funding programs. 5 Location of the light rail station at Lakewood Boulevard and Century Freeway. The light rail station is about ½ mile from the nearest major intersection and corridor needs better (e.g. shuttle) access. Improve connections with the METRO Light Rail Station at Lakewood Boulevard and Century Freeway. Neighborhood resistance to higher density housing and mixed use development and lack of funding to provide better access Key Findings The urban form of Imperial Highway reinforces the notion of the corridor as lacking identity and a sense of place, given the generous presence of residential uses interspersed with commercial parcels. Although there are retail uses along the Corridor, the retail uses are generally small and located at the intersections of major north/south streets intersecting Imperial Highway. There are two major uses that bookend the Corridor- Rancho Los Amigos National Rehabilitation Center on the west and Kaiser Permanente Medical Center on the east. In between, there is a significant presence of County public administration facilities and interspersed residential uses. On-street parking is prohibited to facilitate vehicular travel on Imperial Highway through the area. The mixture of land uses with structures typically set back away from the Corridor further muddles the reading of the built form and distracts from a sense of place. From field observations, interviews, and research evaluating the existing conditions of the Corridor, a number of critical issues are apparent: ●Imperial Highway is a heavily travelled corridor that carries both regional and local traffic, much of it heading to and from the Century Freeway to the south of the Corridor. ●Poor or unclear access to local businesses. Cars and trucks travel at high speeds across three lanes in each direction making it especially difficult for drivers to safely perceive access points for driveways into commercial businesses. ●Unattractive appearance of some older retail stores with a mixture of residential districts interspersed with strip shopping centers, stand-alone retail stores, and major institutional office and medical land uses. PC Agenda Page 16 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 12 ●Imperial Highway Corridor lacks readily available land for development and is further constrained by the existing parcel configurations, lot sizes, and zoning requirements. ●The Corridor has a strong employment base with the presence of the Kaiser Permanente Medical Center, the Rancho Los Amigos National Rehabilitation Center, and the Los Angeles County Internal Services, Probation, and Board of Education facilities. ●The Corridor is having some economic development success with the ongoing expansion of Kaiser Permanente facilities, and on a smaller scale, with the successful openings of a Vallarta Supermarket and adjacent Starbucks west of the Imperial Highway and Paramount Boulevard intersection. In addition, a second drive-thru Starbucks was recently constructed at the intersection of Imperial Highway and Bellflower Boulevard. ●Economic development possibilities center around the potential future relocation of Los Angeles County facilities, as shown in Figure 2 (above), to the South Campus, and the potential addition of quality professional office, bio-technical and research and development jobs made available from these relocations. ●On a smaller scale, there will be development opportunities primarily from smaller under- utilized sites along the Corridor with local serving retail, restaurants/fast food and drive-by opportunities. ●The potential relocation of Los Angeles County facilities over time to the South Campus would provide a major land development opportunity and potential to expand upon the Corridor’s base of quality healthcare jobs. ●Although the Corridor has a higher proportion of multi-family housing than other areas of Downey, the demand for multi-family ownership housing could increase commensurate with the significant expansion potential of quality bio-medical, technology, and professional office jobs. ●And finally, coordination and marketing efforts between the local business community and the City of Downey and public signage will help create a sense of place that meets the needs of local residents and visitors to the Corridor. South Campus Proposed Master Plan Development On August 9, 2016, the County of Los Angeles Board of Supervisors contracted with M. Arthur Gensler Jr. and Associates to prepare a master plan for the development of the Rancho Los Amigos South Campus (“South Campus”) as shown in Figure 3. This 70-acre site is primarily an abandoned and underdeveloped site. It is anticipated that the master plan will accommodate the relocation of County facilities from various locations throughout the County, including those located along the Imperial Highway, as well as provide for the possible development of other commercial and residential uses. PC Agenda Page 17 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 13 Although the full build out of the South Campus is not known at this time, it is anticipated that the early development phases will include the relocation of the Los Angeles County’s facilities in Downey- excluding the Offices of Education, creating jobs for approximately 2,480 employees and constructing 535,000 square feet of new buildings. Of the estimated 2,480 employees, 1,572 employees are estimated to be from Internal Services, 840 from Probation Services, and 68 employees from the Sheriff Crime Lab. There are an estimated 840 employees currently employed by the County in the City of Downey and the estimated new employment in the South Campus area would be an estimated net increase of 1,640 employees from other locations in Los Angeles County. The proposed new building square footage and future employment is shown in Table 2. Figure 3 Rancho Los Amigos South Campus, Imperial Highway Corridor Source: Stanley R. Hoffman Associates, Inc.; Statistical Research, Inc. PC Agenda Page 18 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 14 Table 2: Proposed Rancho Los Amigos South Campus Project, Imperial Highway Corridor LA County Offices New Building SF Estimated Employees SF/Employee Internal Services Department New Building 314,400 1,572 200 Probation Department New Building 168,000 840 200 Sheriff’s Crime Lab New Building 52,950 68 779 Total 535,350 2,480 216 Source: Stanley R. Hoffman Associates, Inc.; County of Los Angeles, Chief Executive Office Some consolidation of County facilities is expected to occur within the next 5-10 years with other County facility relocations occurring much later. In the initial phase, the expansion is expected to include the relocation of the County’s Internal Services and Probation Services operations. In a later phase, a Eco-Rapid Light Rail Transit (LRT) station is planned near the intersection of Gardendale Street and Garfield Boulevard within the site. Although timing of the LRT station is presently unknown, the City has recently issued an RFP to develop a Specific Plan for Transit-Oriented Development at this location. Other major components of this project include: ● Internal Service Department (ISD) Administrative Offices located at 9150 Imperial Highway (as shown in Figure 4) and 1100 North Eastern Avenue will be relocated to the South Campus into a proposed new building of approximately 314,400 square feet within the next 5-10 years. ● A new Probation Headquarters building of approximately 168,000 square feet is proposed. ● The consolidation of three (3) crime laboratories into a proposed 52,950-square foot building. ● A proposed 5-acre regional park to be operated and maintained by the City of Downey. ● The total project cost for the proposed development is estimated at $468.2 million ● After about $49.2 million is allocated to the project by the County, the remaining $419 million of costs would be financed with long-term bonds. ● The first year of debt service would become due in Fiscal 2021-2022, following expected completion of the new facilities. ● After the ISD and the Probation Headquarters vacate their existing County-owned facility on 9150 Imperial Highway, the facility would be sold (estimated value by the County between $12 to $15 million) and the proceeds would go toward offsetting project capital costs. ● The Los Angeles County Office of Education has invested in significant tenant improvements at their current facilities, and is not currently interested in relocating to the South Campus. PC Agenda Page 19 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 15 Figure 4 Potential Sites to be Vacated, Imperial Highway Corridor Source: Stanley R. Hoffman Associates, Inc. Potential Sites to be Vacated Table 3 describes the sites to be potentially vacated, as previously shown in Figure 4, and presents the estimated acreage of each site. There is an estimated total of 41.65 acres, with an estimated 14.24 acres for the existing Los Angeles County Administration building, and another 27.41 acres for the existing Los Angeles County Office of Education buildings. Figure 4 shows the Los Angeles County administrative offices and the Los Angeles County Office of Education sites that would potentially be vacated in the future, and relocated into new buildings on the South Campus. At this time, only the Los Angeles County Administration building is planned for relocation. As mentioned previously, once the Internal Services Department and the Probation Headquarters are relocated into the South Campus, the proceeds from the sale of the land will be used to offset some of the capital costs of the South Campus project. The Los Angeles County offices is estimated to relocate within 5-10 years, but the Los Angeles County Office of Education is not interested in relocating at this time, so any future relocation time period is unknown. The relocation of County facilities from the Imperial Highway Corridor to the South Campus area will present a major development opportunity within the Imperial Highway Corridor to provide substantially more higher-wage jobs potentially in the form of bio-medical, technology, research and development PC Agenda Page 20 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 16 and professional office jobs. The City has commissioned another study to analyze the feasibility of creating bio-medical overlays within specific City locations, including major stretches of Imperial Highway. Table 3: Relocation Sites, Imperial Highway Corridor Relocation Sites Acreage LA County Administration Buildings Internal Services and Probation Department 11.66 LA County Parking Lot 2.58 Subtotal 14.24 LA County Office of Education Columbia Way/Adoree St. 18.79 Imperial Highways/Ardis Ave. 8.62 Subtotal 27.41 Total Acreage 41.65 Sources: Stanley R. Hoffman Associates, Inc.; County of Los Angeles, Chief Executive Office Economic Development Strategic Action Plan This chapter identifies six general goals for the economic development of the Imperial Highway Corridor. These goals serve as a framework to organize a series of more specific strategies that the City may undertake in order to enhance and expand the local economy. Goal 1: Make Economic Development a Priority This goal represents the City’s continued commitment to revitalize Imperial Highway. The full potential of the Corridor has not been realized and will require the coordination of the city government, local business organizations, businesses, merchants, and property owners. It is extremely important that financial and human resources are made available to implement the revitalization goals, some of which may not be readily apparent for several years. Strategy 1: Evaluate the current staffing and budget within the Economic Development Division and determine if additional staffing, contracting, and funds will be required. Strategy 2: Continue to assist distressed businesses. PC Agenda Page 21 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 17 Strategy 3: Continue to instill economic development policies as a priority among all City departments beyond just the Community Development Department. ● City Council and City Manager working in close coordination with key City staff. ● Maintain close working relationship between the Community Development Department and Public Works Department to formulate a unified vision and coordinate public/private developments for the Corridor. Goal 2: Develop Leadership, Support, and Coordination with Local Partners This goal recognizes that the successful implementation of the Strategic plan will require the continued commitment and coordination of key local economic developers. The vision must be continually shared and communicated with residents, developers, and businesses interested in relocating to or expanding within the Corridor. Strategy 1: Continue to promote active partnerships between City Hall, residents, and business community. ● Organize a business roundtable or business advisory committee to discuss local concerns, challenges and opportunities on a regular basis. ● Continue coordination with outside organizations involved in economic development-related activities e.g. County of Los Angeles Economic Development Corporation (LAEDC) and Community Development Commission (LACDC). ● Conduct regular workshops, annual breakfast meetings, and present business-related information to community service groups, real estate brokers, property owners and managers . Strategy 2: Educate community about benefits of economic development. ● Continue creating an inventory of local and regional resources for use in regular business visitation program. ● Continue utilizing periodic business surveys, advertising and outreach activities to identify business interests, challenges, and needs ● Continue pursuing grant funding opportunities to address economic development projects (e.g. commercial façade program), and public improvement projects (e.g. proposed eco-rapid light rail station and public park space). ● Continue publicizing new businesses and issuing press releases on successful projects and programs. ● Continue enhancing and updating business and economic development information on the City’s website i.e. City of Downey Business Guide; “Obtaining a Business License” webpage. ● Expand local public/private partnerships involving school-to-workforce programs and programs that address workforce skills gap. ● Enhance public facilities and park connections to Imperial Highway through community events at the Columbia Memorial Space Center, Apollo Park, and Barbara J. Riley Center. PC Agenda Page 22 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 18 ● Update the “How to do Business in Downey” handbook, so as to provide critical information to new and existing businesses. Goal 3: Retain, Expand, and Attract Businesses This goal represents the overarching goal of local economic development, which is to expand and diversify the local economic base and create quality jobs and economic opportunities for residents, workers, and businesses. This goal not only means retaining and expanding the existing businesses within the Corridor, but also attracting and expanding businesses that will provide quality higher-wage jobs. When businesses expand and employment rises, the demand for quality ownership housing also grows and represents an additional market demand for existing and new businesses, restaurants, retailers, and entertainment venues. Strategy 1: Support Key Economic Assets ● Continue to maintain regular communication with medical facilities and County of Los Angeles concerning ongoing business operations, planned expansions and new developments. ● Research and attract compatible businesses to form a support network. Strategy 2: Coordinate and support Chamber of Commerce to attract and retain businesses ● Continue to provide Chamber with listings of new business license applicants. ● Continue to conduct joint outreach to new and existing businesses. Strategy 3: Provide Business Assistance Services ● Continue to provide information concerning financing, bookkeeping, marketing and other business-related skills (SBA, etc). ● Publish news articles and caption boxes to highlight business advisory and informational services. ● Continue Business Visitation Program to existing businesses to conduct outreach, address issues, offer technical assistance. Strategy 4: Develop a list of Target Businesses ● Develop a list of key businesses that the City desires and is a good match with business location site criteria e.g. square footage, location, Average Daily Travel (ADT), demographics, co-tenancy, etc. ● Incentivize brokers who secure pre-identified key retail tenants and businesses with either a commission, fee, or bonus. ● Create a low-interest loan/grant program to assist with interior and exterior renovations for desired key businesses. This program could supplement facade improvement program. ● Contact real estate brokers, property managers, and developers regarding businesses expanding into the market area. Strategy 5: Evaluate the development potential of smaller Opportunity Sites up to 3-acres in size PC Agenda Page 23 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 19 ● Contact property owners to determine business plans and development interest. ● Develop a list of key businesses that do not require large parcels of land and whose site location criteria are a good fit for the Imperial Highway Corridor marketplace. ● Establish a business incubator by working with regional economic agencies, community college and universities, and technical and medical facilities. ● Continue to utilize city website to market available locations for lease and sale with critical site characteristics and contact information. Strategy 6: Evaluate the development potential of larger Opportunity Sites ● Continue to work with the County of Los Angeles to develop a reuse plan for the yet-to-be vacated County parcels, e.g. the 14-acre County Probation and Internal Services parcel. ● Continue to coordinate with County of Los Angeles to develop the South Campus Master Plan. ● Identify businesses that would be a good match for potentially available larger parcels for redevelopment, such as the future 14-acre County parcel on Imperial Highway. ● Determine the market potential for biomedical uses for larger parcels and capacity of current public infrastructure. ● Complete a Transit-Oriented Development specific plan for the proposed Eco-Rapid light rail station that will integrate seamlessly with the South Campus Master Plan. Strategy 7: Provide incentives for site consolidation and adaptive reuse of buildings ● Continue providing technical incentives: one-stop permit processing, expedited plan check, regulatory streamlining, personal project manager, owner participation agreements, operating covenant agreements, and specific plans. ● Continue providing financial incentives: Section 108 Loan Guarantees, tax abatements, infrastructure improvements, city fee waivers, loans and grants for key targeted businesses and tied to job creation, and sales tax sharing agreements. ● Consider new incentives such as parking reductions, increased FAR or height limits, and other zoning code modifications for projects that are primarily neighborhood-serving uses. Strategy 8: Foster opportunities for business expansion ● Determine growth potential and challenges faced by existing industries, such as Rancho Los Amigos National Rehabilitation Center and Kaiser Permanente Medical Center. ● Facilitate and organize regular networking workshops to promote local business awareness, and communication. ● Participate in trade association conventions and conferences to identify new businesses and to promote the Corridor. ● Research entrepreneurial businesses and restaurants in other cities for potential relocation to Imperial Highway. ● Compile comprehensive listing of existing occupied and unoccupied storefronts PC Agenda Page 24 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 20 Goal 4: Promote and Develop Positive Brand Identity This goal recognizes that a coordinated and focused effort is necessary to inform and educate the region around the City of Downey that the Imperial Highway Corridor is an attractive location for economic development. Perception and image are powerful factors the can attract or dissuade investment. It is important to invest in public infrastructure that is attractive, enhances overall quality of life measures and promotes the Corridor as an area that meets the key requirements of targeted restaurants, businesses, and residents. In 2014, the City proactively pursued an extensive and effective branding campaign-Discover Downey- with a local non-profit organization developing a new community logo, specified color palette and typeface for certain media presentations. A similar branding campaign could be applied to the Imperial Highway Corridor by working with the local non-profit or conducting a solicitation for outside marketing firms with marketing and branding experience with municipalities. Strategy 1: Establish a Marketing Committee for the Imperial Highway Corridor ● Develop marketing materials and an ongoing marketing and branding campaign specific to the corridor. ● Distribute marketing information at trade shows, in direct mailings, newsletter articles and on the City’s website. ● Publicize completion of projects and early “wins” to build momentum and community support. Strategy 2: Create a sense of place ● Redesign the east and west entry areas to provide a grand impression of arrival (e.g. center median with ornamental trees and monument entry sign) and enhanced tree plantings along both sides of the street. ● Install public art in appropriate locations. ● Install colorful street furniture, improved bus shelters, pedestrian street lighting, and street trees and attractive banners on light standards to reinforce human scale. ● Create a wayfinding signage program. ● Redesign intersections to enhance pedestrian travel and slow down traffic. ● Create a façade improvement program for commercial and residential property rehabilitation, with priority given to corner locations to maximize visual impact. ● Conduct proactive code enforcement along Corridor. Strategy 3: Increase connection and awareness of public parks to Imperial Highway ● Conduct City festivals, and celebrations at public parks and Barbara J. Riley Center. ● Coordinate events with local merchants and businesses for joint marketing opportunities. ● Promote City’s historic connection to the aerospace industry and space exploration with special community events at the Columbia Memorial Space Center. ● Install an attractive, changeable copy sign at Apollo Park, near Imperial Highway, to notice upcoming park activities and availability of public parking spaces at the Smallwood lot. PC Agenda Page 25 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 21 Goal 5: Update Key Planning and Development Codes This goal recognizes that a substantial percentage of the Imperial Highway Corridor is comprised of commercially-zoned properties that are adjacent to residentially-zoned properties. To preserve quality of life for the Corridor residents, the City has adopted a number of zoning code standards that minimize the impacts of commercial properties on residents. However, as larger potential sites are developed, such as the South Campus area and the County parcels along Imperial Highway, these catalytic projects will increase development pressures on the smaller parcels along the Corridor. However, many of these smaller parcels are not ideally configured for development and are hampered by zoning code regulations that further reduce the buildable area of the parcel, thus reducing the economic incentive to develop the site. Strategy 1: Conduct periodic review of Zoning Code development standards. ● Consider providing incentives for neighborhood-serving uses on smaller parcels that do not rely heavily on vehicular access e.g. compact parking spaces. ● Consider prohibiting particular uses that are incompatible within a specific distance of residential uses (e.g. live entertainment, night clubs and bars). ● Consider amending Section 9820.04 so that not all improvements to R-3 properties and above are required to be approved by the Planning Commission. ● Consider modifications to Sign Code that will highlight and provide greater prominence to the planned sign program to promote innovative sign designs. Strategy 2: Consider rezoning development opportunity sites within the Corridor ● Consider rezoning for neighborhood serving retail on east side of Bellflower Boulevard and Lakewood Boulevard, south of Imperial Highway, due to the large homeward bound traffic volume from Century Freeway. ● Consider rezoning opportunity sites to maximize development potential. Strategy 3: Extend the Existing Mixed-Use Zone from Lakewood Blvd/Century Freeway to include the intersection at Lakewood Blvd/Imperial Highway ● Consider extending the existing Mixed-Use Zone to include the intersection at Lakewood Boulevard and Imperial Highway to encourage flexible design and development of surrounding intersection sites. Strategy 4: Develop a specific plan for the Imperial Highway Corridor ● Develop a Specific Plan to encourage and accommodate the desired level of future development with minimal disruption and impacts on adjacent residential neighborhoods. Goal 6: Improve Public Infrastructure and Amenities This goal recognizes that in order to attract high quality businesses and living-wage jobs, the City must enhance the Corridor’s economic competitiveness. The public infrastructure should meet existing and PC Agenda Page 26 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 22 future anticipated needs. The Corridor has major employers in the medical and public administration industries with the potential for added bio-medical technology employers. Also, Corridor businesses frequently mentioned the need to address the high vehicular speed on Imperial Highway, which restricts the ability of patrons to enter and exit from the business properties. Increasing housing opportunities near employment centers was also mentioned. Strategic public investments can stimulate the revitalization of the Corridor. Strategy 1: Match present and future public infrastructure demands ● Evaluate existing capacity of public utilities, and enhanced telecommunications and fiber optic cable infrastructure for current businesses and anticipated new developments. ● Revise long range capital improvement program to match anticipated demand. ● Seek grant funds to construct public improvements particularly those that enhance better connectivity to the light rail station. Strategy 2: Identify options to reduce vehicular speed along Corridor ● Evaluate potential options to slow down traffic, e.g. narrowing traffic lane widths, reducing maximum speed limits, requiring acceleration and deceleration right-turn lanes for new and existing busy centers, and installing rumble strips (raised dots) on the third traffic lane closest to the curb to provide safer ingress and egress from properties. Because vehicle traffic tends to slow in urban areas, the perception of speed can be psychologically improved by locating building structures and public improvements closer to Imperial Highway, creating a more urban feel to the street. Strategy 3: Provide opportunities for improved transit experiences and connection to METRO Green LRT ● Consider improving bus stops with rain shelters and bus stop turnouts where possible (e.g. redevelopment of 14-acre County parcel, Kaiser Permanente Medical Center, and Rancho Los Amigos National Rehabilitation Center). ● Establish new shuttle service to connect existing METRO Green LRT Station and large employers. Strategy 4: Develop a driveway replacement program ● Replace the existing “dustpan” driveways, which are difficult to access and require a wide turning radius, with new “radius” driveways, which are easier to access and require a smaller turning-radius. ● Expand the driveways to maximum code width of 40’ where appropriate. PC Agenda Page 27 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 23 Chapter 3: Implementation Plan The purpose of this section is to demonstrate how the City will work to implement the Strategic Plan, with an emphasis on the coordination of City resources. Successful local economic development is a long-term process and it requires the cooperation of a number of stakeholders. This section, therefore, describes how the City can implement the Strategic Plan by focusing on its own internal economic development resources as well as how the City may seek the cooperation and assistance of other local organizations, such as the local Chamber of Commerce. The Implementation Plan identifies economic development related activities or actions within a timeframe: short-term actions within five years, mid-term actions within five to ten years, and long-term actions beyond ten years. The time frame schedule is an advisory guide and is subject to periodic updates, availability of funding and staff resources and identification of priorities. The actions listed for each goal are intended to be flexible as circumstances and conditions change over time. The following table provides an outline of the tasks, responsible party who will be tasked with undertaking the endeavor, timeframe for accomplishing the task, and potential funding sources. Table 4 Implementation Plan Timeline Legend: High Priority Short-Terms Goals Short-Term Goals Mid-Term Goals Long-Term Goals Abbreviations: City Manager: CM Community Development Director: CDD Economic Development Manager: EDM Planning Manager: PM Director of Public Works: DPW Parks and Recreation Director: PRD Chamber of Commerce Executive Director: CCED PC Agenda Page 28 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 24 TASK DESCRIPTION PRIMARY RESPONSIBLE PARTY TIMELINE STATUS OR TIMEFRAME FUNDING SOURCE GOAL 1: Make Economic Development a Priority for the Imperial Highway Corridor 1.1.0 Strategy #1: Evaluate the current staffing and budget sufficiency within the Economic Development Division Conduct budget and staffing review at inception and annually thereafter during city budget preparation. CDD Short Term Annually General Fund 1.2.0 Strategy #2: Continue to assist distressed businesses Organize a special team of individuals to meet with businesses and address potential issues. EDM CCED Short Term Annually Staff Time 1.3.0 Strategy #3: Continue to instill economic development policies as a priority among all City departments 1.3.1 City Council and City Manager working in close coordination with key City staff. CM CDD EDM Short Term Review Annually Staff Time 1.3.2 Maintain close working relationship between the Community Development Department and Public Works Department to formulate a unified vision and coordinate public/private developments for the Corridor. CDD EDM DPW Short Term Quarterly Staff Time PC Agenda Page 29 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 25 TASK DESCRIPTION PRIMARY RESPONSIBLE PARTY TIMELINE STATUS OR TIMEFRAME FUNDING SOURCE GOAL 2: Develop Leadership, Support, and Coordination with Local Partners 2.1.0 Strategy #1: Continue to promote active partnerships between City Hall, residents, and business community 2.1.1 Organize a business roundtable or business advisory committee to discuss local concerns, challenges and opportunities on a regular basis. EDM CCED Short Term Quarterly Staff Time 2.1.2 Continue coordination with outside organizations involved in economic development- related activities e.g. County of Los Angeles Economic Development Corporation (LAEDC) and Community Development Commission (LACDC). EDM Short Term Quarterly Staff Time 2.1.3 Conduct regular workshops and present business-related information to community service groups, real estate brokers, property owners and managers. CDD EDM CCED Short Term Semi-Annually Staff Time 2.2.0 Strategy #2: Educate community about benefits of economic development 2.2.1 Continue creating an inventory of local and regional resources for use in regular business visitation program. EDM CCED Short Term Quarterly Staff Time 2.2.2 Continue utilizing periodic business surveys, advertising and outreach activities to identify business interests, challenges, and needs. EDM CCED Short Term Quarterly Staff Time PC Agenda Page 30 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 26 TASK DESCRIPTION PRIMARY RESPONSIBLE PARTY TIMELINE STATUS OR TIMEFRAME FUNDING SOURCE 2.2.3 Continue pursuing grant funding opportunities to address economic development projects (e.g. commercial façade program), and public improvement projects (e.g. proposed eco- rapid light rail station and public park space). EDM DPW Short Term On-going Staff Time 2.2.4 Continue publicizing new businesses and issuing press releases on successful projects and programs. EDM CCED Short Term Quarterly Staff Time 2.2.5 Continue enhancing and updating business and economic development information on the City’s website i.e. City of Downey Business Guide; “Obtaining a Business License” webpage. EDM Short Term On-going Staff Time 2.2.6 Expand local public/private partnerships involving school- to-workforce programs and programs that address workforce skills gap e.g. County of Los Angeles Work Ready Communities Program and the Southeast Los Angeles County Workforce Investment Board. EDM Short Term On-going Staff Time 2.2.7 Update the “How to do Business in Downey” handbook, to provide critical information to new and existing businesses. EDM Short Term Annually Staff Time PC Agenda Page 31 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 27 TASK DESCRIPTION PRIMARY RESPONSIBLE PARTY TIMELINE STATUS OR TIMEFRAME FUNDING SOURCE GOAL 3: Retain, Expand, and Attract Businesses 3.1.0 Strategy #1: Support Key Economic Assets 3.1.1 Continue to maintain regular communication with medical facilities and County of Los Angeles. CDD EDM Short Term Semi-Annually Staff Time 3.1.2 Research and attract compatible synergistic businesses. EDM Short Term On-going Staff Time 3.2.0 Strategy #2: Continue to coordinate with and support Chamber of Commerce to attract and retain businesses 3.1.1 Continue providing Chamber with listings of new business license. applicants EDM CCED Short Term On-going Staff Time 3.1.2 Continue to conduct joint outreach to new and existing businesses EDM CCED Short Term Semi-Annually Staff Time 3.3.0 Strategy #3: Provide further business assistance services 3.3.1 Continue providing information concerning bookkeeping, financing, marketing and other business skills related information (SCORE, SBA, etc.). EDM CCED Short Term On-going Staff Time 3.3.2 Continue publishing news articles and caption boxes to highlight business advisory and informational services. EDM Short Term On-going Staff Time 3.3.3 Continue Business Visitation program to conduct outreach, address issues and offer technical assistance (without Chamber of Commerce). EDM Short Term Quarterly Staff Time PC Agenda Page 32 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 28 TASK DESCRIPTION PRIMARY RESPONSIBLE PARTY TIMELINE STATUS OR TIMEFRAME FUNDING SOURCE 3.4.0 Strategy #4: Develop a List of Preferred Target Businesses 3.4.1 Develop a list of key businesses that the City believes is a good match with business location site criteria e.g. square footage, location, ADT, demographics, etc. CDD EDM Short Term Quarterly Staff Time 3.4.2 Incentivize real estate brokers to secure pre-identified key retail tenants and businesses with either a commission, fee, or bonus. CDD Short Term On-going General Fund 3.4.3 Create a low-interest loan/grant program to assist with renovations for desired key businesses. This program could supplement facade improvement program. CDD EDM Short Term On-going General Fund 3.4.4 Continue to maintain communication with real estate brokers, property managers, and developers regarding businesses expanding into the market area. EDM Short Term On-going Staff Time 3.5.0 Strategy #5: Evaluate the development potential of smaller Opportunity Sites of up to 3-acres in size 3.5.1 Contact property owners to determine business plans and development interest EDM Short Term Quarterly Staff Time 3.5.2 Develop a list of key businesses that do not require large parcels of land and whose site location criteria are a good fit for the Imperial Highway Corridor marketplace. EDM Short Term Semi-Annually Staff Time 3.5.3 Establish a business incubator by working with regional economic agencies, community college and universities, and technical and medical facilities. EDM Mid Term Annually Staff Time PC Agenda Page 33 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 29 TASK DESCRIPTION PRIMARY RESPONSIBLE PARTY TIMELINE STATUS OR TIMEFRAME FUNDING SOURCE 3.5.4 Continue to utilize City website- in addition to Gateway Cities COG website- to market available locations for lease and sale with critical site characteristics and contact information. EDM Short Term On-going Staff Time 3.6.0 Strategy #6: Evaluate the development potential of larger Opportunity Sites 3.6.1 Continue working with the County of Los Angeles to develop a reuse plan for the vacated County parcels, e.g. the 14-acre County Probation and Internal Services parcel. CM CDD DPW Short Term On-going Staff Time 3.6.2 Continue coordinating with County of Los Angeles to develop the South Campus Master Plan. CM CDD DPW Short Term On-going Staff Time 3.6.3 Identify businesses that would be a good match for potentially available larger parcels for redevelopment, such as the future 14-acre County parcel on Imperial Highway. CDD EDM Mid Term Annually Staff Time 3.6.4 Determine the market potential for bio-medical uses for larger parcels and capacity of current public infrastructure- upon conclusion of Bio-Medical Overlay Study. CDD EDM PM Short Term Annually Staff Time 3.6.5 Complete a Transit-Oriented Development specific plan for the proposed Eco-Rapid light rail station that will integrate seamlessly with the South Campus Master Plan. CDD DPW Short Term On-going Staff Time PC Agenda Page 34 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 30 TASK DESCRIPTION PRIMARY RESPONSIBLE PARTY TIMELINE STATUS OR TIMEFRAME FUNDING SOURCE 3.7.0 Strategy #7: Provide incentives for site consolidation and adaptive reuse of buildings 3.7.1 Continue providing technical incentives: one-stop permit processing, expedited plan check, regulatory streamlining, personal project manager, owner participation agreements, operating covenant agreements, and specific plans. CDD EDM Short Term On-going Staff Time 3.7.2 Continue providing financial incentives: Section 108 Loan Guarantees, tax abatements, infrastructure improvements, city fee waivers, loans and grants for key targeted businesses and tied to job creation, and sales tax sharing agreements. CDD EDM PM Short Term On-going Staff Time 3.7.3 Consider new incentives such as parking reductions, increased FAR or height limits, and other zoning code modifications for projects that are primarily neighborhood- serving uses. CDD PM Short Term On-going Staff Time 3.8.0 Strategy #8: Foster opportunities for business expansion 3.8.1 Determine growth potential and challenges faced by existing industries, such as Rancho Los Amigos National Rehabilitation Center and Kaiser Permanente Medical Center. CDD EDM Short Term Annually Staff Time 3.8.2 Facilitate and organize regular networking workshops to promote local business awareness and communication. EDM CCED Short Term Annually Staff Time PC Agenda Page 35 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 31 TASK DESCRIPTION PRIMARY RESPONSIBLE PARTY TIMELINE STATUS OR TIMEFRAME FUNDING SOURCE 3.8.3 Participate in trade association conventions and conferences to identify new businesses and promote the Corridor. EDM CCED Short Term On-going Staff Time 3.8.4 Research entrepreneurial businesses and restaurants in other cities for potential relocation to Imperial Highway. CDD EDM Short Term On-going Staff Time 3.8.5 Compile comprehensive listing of existing occupied and unoccupied storefronts. EDM Short Term On-going Staff Time GOAL 4: Promote and Develop Positive Brand Identity 4.1.0 Strategy #1: Establish a Marketing Committee for the Imperial Highway Corridor 4.1.1 Develop marketing materials and an ongoing marketing and branding campaign specific to the corridor. CDD EDM CCED Short Term On-going Staff Time 4.1.2 Distribute marketing information at trade shows, in direct mailings, newsletter articles and on the City’s website. EDM CCED Short Term On-going Staff Time 4.1.3 Publicize completion of projects and early “wins” to build momentum and community support. EDM CCED Short Term On-going Staff Time 4.2.0 Strategy #2: Create a Sense of Place 4.2.1 Redesign the east and west entry areas to provide a grand impression of arrival e.g. center median with ornamental trees and monument entry sign and enhanced tree plantings along both sides of the street. CDD DPW Short Term On-going Staff Time 4.2.2 Install public art in appropriate locations. CDD EDM Short Term On-going Staff Time PC Agenda Page 36 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 32 TASK DESCRIPTION PRIMARY RESPONSIBLE PARTY TIMELINE STATUS OR TIMEFRAME FUNDING SOURCE 4.2.3 Install colorful street furniture, improved bus shelters, pedestrian street lighting, and street trees and attractive banners on light standards to reinforce human scale. CDD DPW Short Term On-going Staff Time 4.2.4 Create a way-finding signage program. CDD DPW Short Term Annually Staff Time 4.2.5 Redesign intersections to enhance pedestrian travel and slow down traffic. DPW Mid Term n.a. Staff Time 4.2.6 Create a façade improvement program for commercial and residential property rehabilitation, with priority given to corner locations to maximize visual impact. CDD EDM Short Term On-going Staff Time 4.2.7 Conduct proactive Code Enforcement along Corridor. CDD Short Term On-going Staff Time 4.3.0 Strategy #3: Increase connection and awareness of public parks to Imperial Highway 4.3.1 Conduct City festivals and celebrations at public parks and Barbara J. Riley Center. PRD EDM Short Term On-going Staff Time 4.3.2 Coordinate events with local merchants and businesses for joint marketing opportunities. PRD EDM Short Term On-going Staff Time 4.3.3 Promote City’s historic connection to the aerospace industry and space exploration with special community events at the Columbia Memorial Space Center. CDD PRD EDM Short Term On-going Staff Time 4.3.4 Install an attractive, changeable copy sign at Apollo Park, near Imperial Highway, to notice upcoming park activities and availability of public parking spaces at Smallwood lot. PRD DPW EDM Short Term Annually Staff Time PC Agenda Page 37 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 33 TASK DESCRIPTION PRIMARY RESPONSIBLE PARTY TIMELINE STATUS OR TIMEFRAME FUNDING SOURCE Goal 5: Update Key Planning and Development Codes 5.1.0 Strategy #1: Conduct periodic review of Zoning Code development standards 5.1.1 Consider providing incentives for neighborhood-serving uses on smaller parcels that do not rely heavily on vehicular access e.g. compact parking spaces. CDD PM Short Term On-going Staff Time 5.1.2 Consider prohibiting particular uses that are incompatible within a specific distance of residential uses e.g. live entertainment, night clubs and bars. CDD PM Short Term On-going Staff Time 5.1.3 Consider amending Section 9820.04 so that not all improvements to R-3 properties and above are required to be approved by the Planning Commission. CDD PM Short Term On-going Staff Time 5.1.4 Consider modifications to Sign Code that will highlight and provide greater prominence to the planned sign program for innovative sign design. CDD PM Short Term On-going Staff Time 5.2.0 Strategy #2: Consider rezoning development opportunity sites within the Corridor 5.2.1 Consider rezoning for neighborhood serving retail on east side of Bellflower Boulevard and Lakewood Boulevard, south of Imperial Highway, due to large volume of homeward bound traffic from Century Freeway. CDD PM Short Term Annually Staff Time 5.2.2 Consider rezoning opportunity sites to maximize development potential. CDD PM Short Term On-going Staff Time PC Agenda Page 38 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 34 TASK DESCRIPTION PRIMARY RESPONSIBLE PARTY TIMELINE STATUS OR TIMEFRAME FUNDING SOURCE 5.3.0 Strategy #3: Extend the existing Mixed-Use Zone 5.3.1 Consider extending the existing Mixed-Use Zone from METRO Green LRT to include the surrounding properties at the intersection of Lakewood Boulevard and Imperial Highway to encourage flexible design and development of sites. CDD PM Short Term Annually Staff Time 5.4.0 Strategy #4: Develop a Specific Plan for the Imperial Highway Corridor 5.4.1 Develop a specific plan to encourage and accommodate the desired level of future development. CDD PM Short Term Annually Staff Time Goal 6: Improve Public Infrastructure and Amenities 6.1.0 Strategy #1: Match present and future public infrastructure demands 6.1.1 Evaluate existing capacity of public utilities, and enhanced telecommunications and fiber optic cable infrastructure for current businesses and anticipated new developments. DPW CDD Short Term Annually Staff Time 6.1.2 Revise long range capital improvement program to match anticipated demand. DPW Short Term Annually Staff Time 6.1.3 Seek grant funds to construct public improvements. DPW CDD Short Term On-going Staff Time PC Agenda Page 39 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 35 TASK DESCRIPTION PRIMARY RESPONSIBLE PARTY TIMELINE STATUS OR TIMEFRAME FUNDING SOURCE 6.2.0 Strategy #2: Identify options to reduce vehicular speed along Corridor 6.2.1 Evaluate potential options to slow down traffic, e.g. narrowing traffic lane widths, reducing maximum speed limits, requiring acceleration and deceleration right-turn lanes for new and existing busy centers, and installing rumble strips (raised dots) on the third traffic lane closest to the curb to provide safer ingress and egress from properties. DPW CDD PM Short Term Annually Staff Time 6.3.0 Strategy #3: Provide opportunities for improved transit experiences 6.3.1 Consider improving bus stops with rain shelters and bus stop turnouts where possible at larger sites. PWD Short Term Annually Staff Time 6.3.2 Establish new shuttle service to connect existing METRO Green LRT Station and large employers. PWD CDD Short Term Annually Staff Time 6.4.0 Strategy #4: Develop a driveway replacement program. 6.4.1 Replace the existing “dustpan” driveways with new “radius” driveways. DPW PM Short Term Annually Staff Time 6.4.2 Expand existing driveways to maximum code width of 40’ where appropriate. DPW PM Short Term Annually Staff Time PC Agenda Page 40 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 36 Chapter 4: Performance Metrics To transform the goals and strategies of this Strategic Plan into reality, City staff can prepare, on an annual basis, an internal economic development assessment of current year’s accomplishments as well as a projection for next year’s economic development program and projects. The reporting of prior year’s results will inform the City Council of the effectiveness of the City’s economic development activities and can be completed in conjunction with the City annual budgetary process and Capital Improvement Program process. The performance measures listed in this section should be considered as indicators of economic performance and can provide regular feedback to the Implementation Plan. Table 5: Performance Metrics Benchmark Activity Metric Value Economic Growth in Corridor Sales Tax Revenue Change in total and per capita taxable sales Property Tax Values Change in total property assessed values and per square foot Occupied Commercial spaces Change in percentage occupied spaces and vacancy rate Employment Employment Change in number of employees- Full Time and Part Time-employed by major industry sectors Wage Distribution Change in number of workers by wage categories Residential Growth Housing Units Change in number of new housing units by type of units and density Diversity of Units Proportion of rental vs ownership housing units Price Points Price per square foot by product type Connectivity, Accessibility, and Safety Average Daily Vehicular Trips ADT counts at key intersections Traffic Speed Average Speed recorded along major sections of Imperial Highway Shuttle Ridership Increase in ridership to/from GREEN Line Station Public Transit Increase in bus ridership on transit lines serving Corridor Accidents Reduction in traffic accidents PC Agenda Page 41 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 37 Benchmark Activity Metric Value Publicity, Promotions, Networking, and Marketing Brochures, flyers, press releases, etc. Number of publications completed for distribution Website, social media Number of “hits” on economic development pages Public meetings, conferences Number of presentations made at events as well as estimated attendance; develop electronic mailing list of attendees Business visitations Number and types of businesses visited Farmers Market Number of markets held and number of attendees PC Agenda Page 42 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 38 Chapter 5: Development Opportunity Sites Several development opportunity sites have been identified for detailed analysis as examples of potential development feasibility for the Imperial Highway Corridor for retail, office/business park and residential land uses. This chapter represents the culmination of research concerning traffic flow, land valuations, square footage of uses, retail leakage, and the location, configuration, and zoning assumptions of the four potential opportunity sites. The selection of opportunity sites was based on market research, discussions with city staff, and interviews with stakeholders and property owners along the Corridor. Lakewood Boulevard and Imperial Highway: Southwest Corner The intersection of Lakewood Boulevard and Imperial Highway contains two adjacent sites that could be considered as development opportunity sites, as shown in Figure 5: ● Site 1 is an estimated 1.5-acre site located on the southwest corner (SWC) of Lakewood Boulevard and Imperial Highway. The site currently has small retail and service tenants and is about 20 percent vacant. ● Site 2 is an estimated 1.3-acre site to the west of Site 1. This site currently has strip commercial with various service and retail outlets, and residential units directly behind retail stores. Figure 5 Opportunity Site 1 and 2: SWC Lakewood Boulevard and Imperial Highway Imperial Highway Corridor Source: Stanley R. Hoffman Associates, Inc. PC Agenda Page 43 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 39 Table 6 and Table 7 detail the existing conditions and proposed developments of each site, including the potential uses and the proposed zoning that could be considered if the sites were to be redeveloped. ● Due to the relatively high traffic volume at the major intersection of Lakewood Boulevard and Imperial Highway, and because of the surrounding residential neighborhoods, both sites may be considered for more vibrant retail developments that serve local households and through traffic ● Currently, the site’s configuration hinders its development potential due to the difficult points of access caused by the high traffic flows along Imperial Highway and Lakewood Boulevard, and the buildings lack a cohesiveness that is able to attract potential tenants and customers ● Due to the challenges of the site’s current configuration, it was concluded that the most efficient alternative for the site would be to redevelop it completely into a one-story retail development that could capitalize upon its location at the intersection of Lakewood Boulevard and Imperial Highway ● As shown in Table 6, Site 1 currently has retail uses and is zoned C-2 (General Commercial) with an existing building square footage of about 16,550 square feet ● The new estimated building square footage of a hypothetical retail development on Site 1 would be about 26,630 square feet ● A second alternative considers either Site 2 as a standalone development, or combines both Site 1 and Site 2 to create a larger retail development opportunity that will encourage the consolidation of these neighboring parcels; in this scenario; relocation sites for displaced housing would need to be found ● The site’s current configuration of a disjointed mixture of single-family housing and scattered, smaller retail uses does not maximize its development potential; rezoning the site to allow for a more efficient retail use would allow for a development that could contribute to the revitalization of the Corridor ● As shown in Table 7, Site 2 currently has about 10,150 square feet of retail uses and 10 single- family residential units; the site is currently zoned C-2 and R-3 (Multi-Family) ● The new estimated building square footage of a proposed retail development on this site would be about 22,650 square feet, and the entire site would be rezoned to C-2 ● Due to the cost of purchasing the existing housing and relocating the households, it was determined that this proposed development alternative would not be financially feasible. However, a mixed-use alternative with retail at-grade and residential above may be feasible. PC Agenda Page 44 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 40 Table 6: Current Conditions and Proposed Development: Site 1, SWC Lakewood Boulevard and Imperial Highway Panel A. Current Conditions Opportunity Site Acreage Existing Building SF1 Current Use Current Zoning Site 1 1.5 16,550 Retail C-2 Panel B. Proposed Development Opportunity Site Acreage Proposed Building SF3 Proposed Use Proposed Zoning 2 Site 1 1.5 26,630 Retail C-2 1. The site has an estimated vacancy rate of about 20.0 percent. 2. C-2 is a commercial zone. 3. The proposed building square footage was calculated based on an assumed floor area ratio (FAR) of 0.40 and assumed setback requirements based on the City of Downey Zoning Code. Source: Stanley R. Hoffman Associates, Inc. Table 7: Current Conditions and Proposed Development: Site 2, Property West of SWC Lakewood Boulevard and Imperial Highway Panel A. Current Conditions Opportunity Site Acreage Existing Building SF1/Units Current Use Current Zoning Site 2 1.3 10,150 SF (10 Units) Retail and Residential C-2; R-3 Panel B. Proposed Development Opportunity Site Acreage Proposed Building SF3 Proposed Use Proposed Zoning 2 Site 2 1.3 22,650 Retail C-2 1. The building square footage for Site 2 only includes the commercial buildings directly fronting Imperial Highway. 2. C-2 is a commercial zone; there are also several residential structures behind the strip commercial which is zoned R-3 for residential use. 3. The proposed building square footage was calculated based on an assumed floor area ratio (FAR) of 0.40 and assumed setback requirements based on the City of Downey Zoning Code. Source: Stanley R. Hoffman Associates, Inc. Bellflower Boulevard and Imperial Highway: Southwest Corner The SWC of Bellflower Boulevard and Imperial Highway, as shown in Figure 6, are considered a potential opportunity site. ● Site 3 is an estimated 3.2-acre site that currently has several vacant, deteriorated buildings as well as an office building with some existing tenants ● Table 8 details the current conditions and the proposed development of the site, including the potential use and the proposed zoning that could be considered if it was to be redeveloped. PC Agenda Page 45 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 41 ● Bellflower Boulevard is currently undergoing traffic improvements, and a recently constructed drive-through Starbucks on the southeast corner of this intersection ● The site’s prime location at Bellflower Boulevard and Imperial Highway near the 105 Freeway, and within close proximity to the County facilities as well as Kaiser Permanente presents an ideal opportunity for developing this site as an office project ● The site’s location is strengthened due to the ongoing traffic improvements along Bellflower Boulevard, the opening of a drive-through Starbucks on the southeast corner of this intersection, and the short distance to shopping, dining and entertainment opportunities at the Downey Landing and the Promenade at Downey shopping centers ● The site is currently zoned C-2 (a commercial zone) and M-2 (a manufacturing zone) with an existing building square footage of about 28,660 square feet ● If the site were to be redeveloped, it is estimated that the site would hypothetically be rezoned to C-P, which is a commercial zone that allows up to five (5) stories and the new proposed building square footage would be about 104,540 square feet ● In addition to the high-quality jobs provided by Kaiser Permanente and the Los Angeles County facilities, redeveloping this currently under-utilized site to allow for an office development could attract employers that will continue to provide higher wage jobs to the Corridor Figure 6 Opportunity Site 3: SWC Bellflower Boulevard and Imperial Highway Imperial Highway Corridor Source: Stanley R. Hoffman Associates, Inc. PC Agenda Page 46 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 42 Table 8: Current Conditions and Proposed Development: Site 3, SWC Bellflower Boulevard and Imperial Highway Panel A. Current Conditions Opportunity Site Acreage Existing Building SF1 Current Use1 Current Zoning2 Site 3 3.2 28,660 Offices C-2; M-2 Panel B. Proposed Development Opportunity Site Acreage Proposed Building SF4 Proposed Use Proposed Zoning 3 Site 3 3.2 104,540 Office C-P 1. Most of the existing buildings on this site are currently vacant. 2. There is a parcel of about 0.85 acres at the northeast corner of the site that is zoned C-2 with the remainder zoned M-2 (Manufacturing). 3. C-P is a commercial zone that allows up to 5 stories. 4. The proposed building square footage was calculated based on an assumed floor area ratio (FAR) of 0.70 and assumed setback requirements based on the City of Downey Zoning Code. Source: Stanley R. Hoffman Associates, Inc. Bellflower Boulevard and Imperial Highway: Northeast Quadrant The northeast quadrant of Bellflower Boulevard and the Imperial Highway, as shown in Figure 7, contains one (1) site that could be considered a development opportunity. ● Site 4 is an estimated 3.7-acre site that is currently being used for trucking and distribution ● Table 9 details the current conditions and the hypothetical development of the site, including the potential uses that might be possible if it is to be redeveloped. ● Site 4 is viewed as having two potential, alternative land uses: 1) Office/Research and Development (R&D), or 2) Medium Density, Ownership Residential Housing. ● The sizeable acreage of this site provides an opportunity for a unique office or business park environment that would be able to potentially attract high quality, higher wage professional/technical jobs. ● The site is also in close proximity to other multi-family residential units along Imperial Highway, and new ownership housing is also considered as an option as the Corridor currently provides very few options for multi-family ownership housing; additionally, new housing on this site could satisfy potential future demand if the Corridor experiences an influx of new jobs. ● In both alternatives, the potential projects would ideally be able to capitalize upon their locations near the 105 Freeway, the neighboring Independence Park, and the close proximity to shopping, dining and entertainment opportunities at the Downey Landing and the Promenade at Downey shopping centers. ● The existing building square footage on the site is about 5,670 square feet and is zoned C-M (Commercial Manufacturing). ● In Alternative 1, the hypothetical development alternative includes a new building square footage estimated at about 112,820 square feet for Office/Business Park and the site would PC Agenda Page 47 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 43 continue to be zoned C-M; additionally, the project would be a low rise, 3-story building which is viewed to be more appropriate given the lower intensity uses that surround the site. ● In Alternative 2, the site would be developed for residential uses with an estimated 78 residential units and it would be rezoned for a residential planned unit development. ● The expansion of Independence Park to Imperial Highway on this site was discussed as another option for the reuse of this site, however, expansion of the park at this location was not viewed as ideal since it was viewed as generating minimal economic impact; the addition of beautification and landscaping and lighting along the Corridor could be realized through alternative measures (e.g, landscaping, lighting, entry monuments, signage, etc.). Figure 7 Opportunity Site 4: Northeast Quadrant Bellflower Boulevard and Imperial Highway Imperial Highway Corridor Source: Stanley R. Hoffman Associates, Inc. PC Agenda Page 48 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 44 Table 9: Current Conditions and Proposed Development: Site 4, Northeast Quadrant Bellflower Boulevard and Imperial Highway Panel A. Current Conditions Opportunity Site Acreage Existing Building SF1 Current Use1 Current Zoning2 Site 4 3.7 5,670 Trucking/Distribution C-M Panel B. Proposed Development Opportunity Site Acreage Proposed Building SF/Units3 Proposed Use Proposed Zoning 2 Alternative 1. Site 4 3.7 112,820 Office/R&D C-M Alternative 2. Site 4 3.7 78 Units Residential PUD 1. C-M is commercial-manufacturing. 2. A PUD is a planned unit development 3. The proposed building square footage and housing units were calculated based on an assumed floor area ratio (FAR) of 0.75 an assumed dwelling units per acre of 21.0. Also, certain setback requirements were assumed based on the City of Downey Zoning Code. Source: Stanley R. Hoffman Associates, Inc. PC Agenda Page 49 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 45 Chapter 6: Summary of Research Findings Two Concurrent Studies There are two other substantive reports and analyses that are being conducted at the same time as this report is being prepared. The results of these two plans will have significant impact on the future revitalization of the Imperial Highway Corridor. M. Arthur Gensler Jr. and Associates was selected on August 9, 2016 by the County of Los Angeles to prepare a master plan for the development of the Rancho Los Amigos South Campus (“South Campus”) to accommodate the relocation of County facilities from various locations throughout the County, including those located along the Imperial Highway, as well as for other commercial and possibly residential uses. The preparation of the South Campus master plan is in its early stages, but represents a major redevelopment potential for the largely abandoned 70-acre site into a mixture of various land uses with the potential for a new light rail eco-rapid transit station. There is a second benefit of the South Campus Master Plan, as it will also potentially relocate certain existing County departments and employees from throughout the County and along Imperial Highway to the facilities in South Campus, thus providing potential redevelopment sites that are of substantial size for additional quality professional and technical jobs, and possibly quality ownership housing. The redevelopment of the South Campus will have a ripple effect upon Imperial Highway and the surrounding region by attracting new and diverse investments and development opportunities. It may also have the potential effect of driving an intensification of office and retail/restaurant uses, particularly in the adjacent Paramount subarea of this study. Additionally, Civic Solutions was awarded a professional services agreement from the City of Downey to research the feasibility of developing biomedical overlay zones throughout the City. Should a biomedical overlay be recommended for specific locations along Imperial Highway, the overlay will enable potential sites to be redeveloped into high quality, high wage job centers. The creation of the overlay zone will not supplant the underlying base zoning of a property, but rather it will work in conjunction with the base zoning as an additional alternative for development. This future biomedical overlay zone provides the basis for the majority of job growth under the Alternative One and Two scenarios previously presented. PC Agenda Page 50 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 46 Key Socio-Economic Findings This chapter presents a summary of salient findings, which provides a framework to formulate future economic and residential development goals and policies for the Imperial Highway Corridor. Population and Household Characteristics ● The Imperial Highway Corridor study area currently has a population of about 13,100 persons, representing an 11.4 percent share of the City’s population. ● As shown in Figure 8, Bellflower-Woodruff and Lakewood are the two largest subareas within the Corridor, comprising about 38 percent each of the study area population, followed by Paramount at 24.0 percent, while Rancho Los Amigos has less than 1 percent of the Corridor’s population share. ● As shown in Figure 9, household distribution within the study area differs from the population distribution with Bellflower-Woodruff comprising about 42 percent of the study area households followed by the Lakewood area with about 35 percent of the total. ● The Hispanic-Latino population is the largest racial-ethnic group within the Imperial Highway Corridor, comprising almost 73 percent share of the population. ● Nearly 56 percent of the study area population is currently under the age of 35 years, compared to 51 percent in Downey. ● Median household income in the study area is estimated at $54,000, about 7% lower compared to the city-wide average of $58,000. ● About 25 percent of the population along the Corridor has a high school diploma only (including equivalency), and another 24 percent has attended some form of college, but no higher degree. ● Nearly 56 percent of the labor-force in the study area is employed in white collar jobs, slightly lower than the comparable share of 59 percent for the overall city. Housing Inventory Characteristics ● As shown in Figure 10, housing tenure along the Corridor is skewed towards renter-occupied households (64 percent share), which is in contrast to the City of Downey, where the distribution is almost evenly split between renter-occupied (51 percent) and owner-occupied households (49 percent). PC Agenda Page 51 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 47 Figure 8 Population: 2016 Estimates, Imperial Highway Corridor and City of Downey Source: Stanley R. Hoffman Associates, Inc. Figure 9 Households: 2016 Estimates, Imperial Highway Corridor and City of Downey Source: Stanley R. Hoffman Associates, Inc. PC Agenda Page 52 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 48 Figure 10 Household Tenure: 2016 Estimates, Imperial Highway Corridor and City of Downey Source: Stanley R. Hoffman Associates, Inc. ● Figure 11 shows a largely built out Imperial Highway Corridor and City of Downey, where the rate of new construction has slowed considerably. Since the year 2000, only 2.7 percent of the inventory has been built compared with 1.8 percent in the Corridor. ● While new housing inventory expansion has slowed down considerably, the Corridor and Downey have experienced high levels of household turnover; about an estimated two-thirds of all households have moved into their current residence over the last decade and a half. ● At about 31 percent, the Corridor has a larger share of high density housing units (20 units or more per structure) than the City of Downey (18 percent). ● As shown in Figure 12, of the estimated 43,078 Downey residents in the labor force, about 92 percent commuted to jobs outside Downey, while only about 8 percent both lived and worked in the City. Southern California Association of Governments (SCAG) Baseline Growth Forecasts: 2012 - 2040 ● SCAG’s employment growth forecasts for the study area show the Corridor growing at a slightly slower annual pace (0.2%) compared to the City (0.4%); however, these are SCAG’s current baseline forecasts, which do not include future economic development policy initiatives that may be undertaken to spur development. ● Current SCAG baseline forecasts for the study area shows population and household annual growth at 0.2% each over the 2012 to 2040 time period; this compares with 0.3% to 0.4% annual growth, respectively, for population and households in Downey. PC Agenda Page 53 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 49 Figure 11 Housing Units by Year Structure Built1 Imperial Highway Corridor and City of Downey 1. Census survey data was over the period from 2010-2014 Source: Stanley R. Hoffman Associates, Inc. Figure 12 Worker Inflow/Outflow Components: 2014, City of Downey Source: Stanley R. Hoffman Associates, Inc.; U.S. Census Bureau, Longitudinal Employer Household Dynamics (LEHD), 2014 PC Agenda Page 54 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 50 Economic Base and Target Industry Analysis ● Total jobs in the study area increased about 1,970 from around 13,380 in 2010 to about 15,350 in 2014 at an average annual growth rate (AAGR) of 3.5 percent, which was faster when compared to Downey at an AAGR of 1.5 percent. ● The Corridor represented a 35 percent share of jobs in Downey in 2014, up from 32 percent in 2010, with Educational Services (53 percent) and Health Care and Social Assistance (52 percent) showing greater shares than this average level relative to the City. ● Sectors of direct relevance to land use development within the corridor include retail and food services, but these sectors comprise lower average shares of these same sectors in the City’s total employment base. ● As shown in Figure 13, Healthcare, Education and Public Administration together form about 75 percent of all the jobs in the study area, while Accommodation and Food Services and Retail Trade comprise about 12 percent, and Manufacturing only comprises another 3 percent. Figure 13 Employment Distribution by Industry Sectors, 2014, Within Imperial Highway Corridor Source: Stanley R. Hoffman Associates, Inc.; Census Longitudinal Employee Household Dynamic (LEHD) PC Agenda Page 55 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 51 ● The Corridor’s net growth performance has been robust relative to the City; compared to about 2,560 jobs added in Downey between 2010 and 2014, total gains in the Corridor were estimated at 1,967 jobs, or a 77 percent share of job growth citywide. ● Strong job growth along the Corridor between 2010 and 2014 is attributed primarily in Public Administration (1,606 jobs) - largely due to the expansion of the Los Angeles County work force. ● As shown in Figure 14, the non-public administration industry sectors with the largest employment gains in the corridor included Retail Trade, Accommodation and Food Services, Finance and Insurance, Manufacturing and Health Care and Social Assistance. ● In terms of subarea distribution, Bellflower-Woodruff comprised nearly 82 percent of all jobs in 2014 within the Corridor which also has the largest concentration of Los Angeles County jobs. Figure 14 Growth Sectors with the Largest Net Job Gains Imperial Highway Corridor and Downey City Imperial Highway Corridor City of Downey Source: Stanley R. Hoffman Associates, Inc.; Census Longitudinal Employee Household Dynamic (LEHD) PC Agenda Page 56 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 52 Industry Sales Performance ● Of the total estimated $1.4 billion in sales in the Corridor, Wholesale Trade and the Hospital Sector (Health Care Services and Stores) were the two largest sectors accounting for a 77 percent share of the total. ● Across all industries, the overall sales per employee in the study area for fiscal year 2015-16 was estimated at $159,000 per employee, about 87 percent of the citywide level of $183,000. Retail Sales Performance ● The City of Downey has various regional shopping centers such as the Stonewood Center, Downey Landing, and The Promenade at Downey which all include national retail chains that draw customers throughout the surrounding market area and into the City. ● Per capita taxable retail sales in Downey were estimated at $10,939 in 2014, up by 1.2 percent from $10,814 in 2008, in constant 2014 dollars. ● In comparison, per capita sales in the adjacent market area cities, as shown in Figure 15, decreased about 3.4 percent over this time period. ● Retail sales categories with the strongest per capita performance in the city, compared to the market area, include Clothing and Accessories, Home Furnishings and Appliances, Motor Vehicles and Parts, and Food and Drinking Places. ● Turning to the Corridor, a total of $89 million in taxable sales (6% of citywide taxable sales) are estimated for the study area for fiscal year 2015-16. ● As shown in Figure 16, Bellflower-Woodruff comprises the largest share of the total retail store sales in the study area at 36 percent, followed by Lakewood and Paramount at 26 percent each. ● In Bellflower-Woodruff, about 62 percent of their retail sales comes from building materials and health/personal care businesses ● In terms of performance, retail stores and restaurants taken together registered overall sales of about $158,000 per employee in the study area, which was 85 percent of the citywide estimate of about $186,000 per employee. ● Retail categories with the highest per employee output in the study area included Gas Stations ($689,000), Building Material Stores ($338,000), Motor Vehicles, Parts and Dealers ($298,000) and Food Stores ($258,000). PC Agenda Page 57 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 53 Figure 15 Downey and Adjacent Cities Market Area Imperial Highway Corridor Economic Development Strategy Source: Stanley R. Hoffman Associates, Inc.; Google Earth Figure 16 Total Taxable Sales by Subarea, Imperial Highway Corridor Source: Stanley R. Hoffman Associates, Inc. PC Agenda Page 58 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 54 Assessed Land Valuation Analysis ● Total assessed valuation in the study area increased by about $440.2 million from 2011 to 2016, as reported by the Los Angeles County Assessor, unadjusted for inflation. ● The Bellflower-Woodruff subarea comprised a 76 percent share of the total assessed valuation change in the Corridor, growing at a 1.7 percent AAGR compared to the Corridor-wide 1.4 percent average annual growth rate (AAGR) over the 2011-16 period. ● Land use categories in the study area with the largest shares of the valuation change include Retail/Service category ($275.4 million) and the Residential category ($155.7 million), accounting for nearly a 97 percent share of the valuation change. ● As shown in Table 10, an analysis of vacant and under-utilized parcels that are over 20,000 square feet in size within the Corridor shows that an estimated 17.8 acres fall under this category, which includes about 8.3 acres estimated for vacant parcels. ● The vacant and underutilized parcels within each subarea were estimated for parcels over 20,000 square feet; underutilized parcels were defined as those parcels where the assessed improvement value ratio to total assessed value was 25 percent or less; this measure has been used as an indicator of where the market may see an opportunity to redevelop these sites. ● As shown in Table 10, the Bellflower-Woodruff subarea includes about 77 percent, or the bulk of this estimated vacant and under-utilized acreage in the Corridor, and the Lakewood subarea comprises the remaining 23 percent of this acreage; no significant vacant or underutilized parcels were identified for the Paramount subarea. The under-utilized and vacant parcels in the Bellflower-Woodruff and Lakewood subareas are shown in Figures 17 and 18, respectively. ● This analysis shows that other than the development occurring on the Kaiser Hospital complex and the potential relocation of the Los Angeles County facilities to the County’s South Campus location, the opportunities for development on vacant or underutilized sites are limited. Table 10: Underutilized and Vacant Parcels, Imperial Highway Corridor Subarea Underutilized Land1 (Acres) Vacant Land (Acres) Total Percent Distribution Bellflower-Woodruff 6.54 7.21 13.75 77.4% Lakewood 2.94 1.08 4.02 22.6% Paramount N/A 0.00 0.00 0.0% Corridor Total 9.47 8.29 17.77 100.0% 1. Underutilized is defined when the “Assessed improvement value” to “assessed total value” ratio is 0.25 or less, after excluding vacant parcels. In addition, only parcels greater than 20,000 square feet were chosen in order to identify parcels with the greatest development potential. Source: Stanley R. Hoffman Associates, Inc. PC Agenda Page 59 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 55 Figure 17 Under-utilized and Vacant Parcels: Bellflower-Woodruff, Imperial Highway Corridor Source: Statistical Research, Inc. Figure 18 Under-utilized and Vacant Parcels: Lakewood, Imperial Highway Corridor Source: Statistical Research, Inc. PC Agenda Page 60 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 56 Projected Growth Scenarios The following section discusses the projected growth scenarios for each subarea based on identified development opportunity sites and the impact of other potential changes along the Imperial Highway Corridor. Two alternative growth scenarios are presented for each subarea which are primarily influenced by the potential relocation of the Los Angeles County facilities to the Rancho Los Amigos South Campus area. Alternative 1 includes less intensive changes and has an estimated time frame of ten years or less. Alternative 2 includes more intensive changes and has an estimated time frame of twenty years or less. Summary: The range of employment growth along the Corridor is largely driven by the expansion of the Kaiser Permanente Hospital facilities and the potential relocation of Los Angeles County facilities to the Rancho Los Amigos South Campus area with the subsequent development of projected bio-medical and professional/technical office employment in their place. As shown in Figure 19 and Table 11, under Alternative 1, total employment is projected to increase by about 2,770 jobs. About 45 percent of these jobs are projected to be in the bio-medical and professional/technical categories on the former County land with about 17 percent in the Kaiser Hospital complex; the remaining 35 percent is projected in local services, retail, and restaurants, and other professional/technical jobs on selected opportunity sites. As also shown in Figure 19 and Table 11, under Alternative 2, total employment is projected to increase by 80 percent more to about 4,990 jobs. About 73 percent of these jobs are projected to be in the bio- medical and professional/technical categories on the former County lands with about 15 percent in the Kaiser Hospital complex; the remaining 12 percent is projected in local services, retail and restaurants, and other professional/technical jobs on selected opportunity sites. Neither alternative has any significant population increase projected with only an increase of about 250 individuals under Alternative 2. This growth in housing units and population assumes that an ownership townhome project-similar to other recent townhome projects in Downey- would be developed on a former underutilized trucking/distribution site. PC Agenda Page 61 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 57 Figure 19 Projected Population and Employment Growth: Alternative 1 and 2 Paramount, Lakewood, and Bellflower-Woodruff Subareas Source: Stanley R. Hoffman Associates, Inc. PC Agenda Page 62 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 58 Table 11: Projected Population and Employment Growth: Alternative 1 and 2, Paramount, Lakewood, and Bellflower-Woodruff Subareas Subarea Alternative 1 Alternative 2 Population Employment Population Employment Paramount 0 45 0 91 Lakewood 0 53 0 98 Bellflower Woodruff 0 2,581 248 4,798 Total 0 2,679 248 4,987 Note: Alternative growth projections for the Rancho Los Amigos (RLA) subarea were not prepared due to the area being largely developed at this time. Source: Stanley R. Hoffman Associates, Inc. Paramount: The potential growth in the Paramount subarea is driven by the ongoing expansion of the Rancho Los Amigos National Rehabilitation Center as well as the future development of the Rancho Los Amigos South Campus Area. As shown in Table 12 and Table 13, the two areas in particular that could experience intensification are the commercial sites at the northwest corner of Imperial Highway and Paramount Boulevard, as well as the commercial area to the west of the southwest corner of Imperial Highway and Paramount Boulevard. ● Under Alternative 1, only 50 percent of the commercial acreage is assumed to experience intensification which amounts to a projected employment growth of about 45 jobs ● Under Alternative 2, it is assumed that all of the commercial acreage in each area would experience intensification which amounts to a projected employment growth of 91 jobs Table 12: Projected Growth Scenario: Alternative 1, Paramount Subarea Paramount Subarea Avg. FAR Alt 1 Parcel Acrg Alt1 Parcel Sq. Ft. Alt 1 Bldg Sq. Ft. Sq. Ft/Emp.1 Alt 1 Pop. Alt 1 Employment Potential Intensification Area 1 NWC Commercial Area2 0.40 0.5 21,780 8,712 500 17 Potential Intensification Area 2 Commercial Area West of SWC3 0.40 0.8 34,848 13,939 500 28 Total 1.3 56,628 22,651 0 45 1. Square Foot per Employee 2. It is assumed that about 50 percent of the commercial acreage in this area would experience intensification. 3. It is assumed that about 50 percent of the commercial acreage in this area would experience intensification. Source: Stanley R. Hoffman Associates, Inc. PC Agenda Page 63 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 59 Lakewood: Potential growth in the Lakewood subarea is driven by two opportunity sites: the southwest corner of Imperial Highway and Lakewood Boulevard, and the parcels to the west of the southwest corner of Imperial Highway and Lakewood Boulevard. The projected employment growth is based on retail developments on both sites. ● As shown in Table 14, under Alternative 1, only the southwest corner is considered for development which amounts to a total employment growth of 53 jobs ● As shown in Table 15, under Alternative 2, both the southwest corner and the parcels to the west of the southwest corner are considered for development which amounts to a total employment growth of 98 jobs Table 14: Projected Growth Scenario: Alternative 1, Lakewood Subarea Lakewood Subarea Avg. FAR Alt 1 Parcel Acrg Alt1 Parcel Sq. Ft. Alt 1 Bldg Sq. Ft. Sq. Ft/Emp.1 Alt 1 Pop. Alt 1 Employment Intersection - Imperial Hwy/Lakewood SWC Commercial Site 0.40 1.4 60,984 26,630 500 53 Identified Opportunity Sites: Strip Commercial West of SWC2 0.40 1.3 N/A N/A 500 Total 2.7 60,984 26,630 0 53 1. Square Feet per Employee 12. Strip retail west of SWC could become a deeper site if row of residential behind the stores is assembled. Source: Stanley R. Hoffman Associates, Inc. Table 13: Projected Growth Scenario: Alternative 2, Paramount Subarea Paramount Subarea Avg. FAR Alt 2 Parcel Acrg Alt 2 Parcel Sq. Ft. Alt 2 Bldg Sq. Ft. Sq. Ft/Emp.1 Alt 2 Pop. Alt 2 Employment Potential Intensification Area 1 NWC Commercial Area2 0.40 1.0 43,560 17,424 500 35 Potential Intensification Area 2 Commercial Area West of SWC3 0.40 1.6 69,696 27,878 500 56 Total 2.6 113,256 45,302 0 91 1. Square Feet per Employee 2. It is assumed that all of the commercial acreage in this area would experience intensification. 23. It is assumed that all of the commercial acreage in this area would experience intensification. Source: Stanley R. Hoffman Associates, Inc. PC Agenda Page 64 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 60 Table 15: Projected Growth Scenario: Alternative 2, Lakewood Subarea Lakewood Subarea Avg. FAR Alt 2 Parcel Acrg Alt 2 Parcel Sq. Ft. Alt 2 Bldg Sq. Ft. Sq. Ft/Emp.1 Alt 2 Pop. Alt 2 Employment Intersection - Imperial Hwy/Lakewood SWC Commercial Site 0.40 1.4 60,984 26,630 500 53 Identified Opportunity Sites: Strip Commercial West of SWC2 0.40 1.3 56,628 22,650 500 45 Total 2.7 117,612 49,280 0 98 1. Square Feet per Employee 2. Strip retail west of SWC could become a deeper site if row of residential behind the stores is assembled. Source: Stanley R. Hoffman Associates, Inc. Bellflower-Woodruff: Potential growth in the Bellflower-Woodruff subarea is driven by the expansion of Kaiser Permanente and the relocation of County facilities into the Rancho Los Amigos South Campus Area, which could potentially create the opportunity for biotechnical jobs on the newly vacated sites. ● As shown in Table 16, Alternative 1 only accounts for the tower expansion of Kaiser Permanente and the relocation of County facilities from the estimated 14.2-acre site. ● Also, in Alternative 1, the southwest corner of Imperial Highway and Bellflower Boulevard as well as a trucking and distribution parcel in the northeast quadrant of Imperial Highway and Bellflower Boulevard are assumed to be converted into office/research and development projects. ● In Alternative 1, the projected employment growth is about 2,580 jobs ● As shown in Table 17, Alternative 2 also includes a new medical office building for the expansion of Kaiser Permanente and an additional 27.4-acre site where County facilities may potentially vacate. ● Also, in Alternative 2, the trucking and distribution parcel is assumed to be converted into a residential townhome project with an estimated 78 units. ● In Alternative 2, the projected population growth is about 250 persons and the projected employment growth is about 4,800 jobs. PC Agenda Page 65 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 61 Table 16: Projected Growth Scenario: Alternative 1, Bellflower-Woodruff Subarea Bellflower-Woodruff Subarea Avg. Density/ FAR Alt 1 Parcel Acrg Alt 1 Parcel Sq. Ft. Alt 1 Bldg Sq. Ft./Units Sq. Ft./Emp.1 Alt 1 Pop. Alt 1 Employment Kaiser Medical Expansion Tower Expansion Medical Office Building (MOB) 2 N/A N/A N/A N/A N/A N/A 141,364 0 300 300 471 0 Future Bio-Tech Center: Relocation Site 1 Relocation Site 2 1.00 1.00 14.2 27.4 620,294 0 620,294 0 500 500 1,241 0 Identified Opportunity Sites: SWC Imperial Highway & Bellflower Truck/Distribution Parcel 0.75 0.75 3.2 3.7 139,392 161,172 104,544 112,820 250 250 418 451 Total 48.6 920,858 979,023 0 2,581 1. Square Feet per Employee Source: Stanley R. Hoffman Associates, Inc. Table 17: Projected Growth Scenario: Alternative 2, Bellflower-Woodruff Subarea Bellflower-Woodruff Subarea Avg. Density/ FAR Alt 2 Parcel Acrg Alt 2 Parcel Sq. Ft. Alt 2 Bldg Sq. Ft./Units Sq. Ft./Emp.1 Alt 2 Pop. Alt 2 Employment Kaiser Medical Expansion Tower Expansion Medical Office Building (MOB) 2 N/A N/A N/A N/A N/A N/A 141,364 83,954 300 300 471 280 Future Bio-Tech Center: Relocation Site 1 Relocation Site 2 1.00 1.00 14.2 27.4 620,294 1,193,980 620,294 1,193,980 500 500 1,241 2,388 Identified Opportunity Sites: SWC Imperial Highway & Bellflower Truck/Distribution Parcel2 0.75 21.00 3.2 3.7 139,392 161,172 104,544 78 250 3.19 248 418 Total Acres/SF Total Units 48.6 2,114,838 2,144,136 78 248 4,789 1. Square Feet per Employee 2. For this scenario, a persons per household (PPH) of 3.19 was used to calculate the estimated population. Source: Stanley R. Hoffman Associates, Inc. PC Agenda Page 66 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 62 Land Availability One of the two primary obstacles to revitalizing the Imperial Highway Corridor is the lack of available land parcels that are of sufficient size and configuration for redevelopment. The lack of land availability is further compounded by certain zoning restrictions, such as setbacks and building height restrictions, which further erodes the economic feasibility of redeveloping underdeveloped parcels by reducing the buildable area. City of Downey has proactively used various development incentives to facilitate economic growth. The City has used federal Section 108 Loan Guarantees, owner participation agreements, operating covenant agreements and tax sharing agreements for construction and land acquisition with owner/developers. The City of Downey also utilizes specific plans and other planning techniques to provide flexibility and greater focus on critical neighborhood concerns. The City has blended the interests of developers and residents into a citywide winning formula. Further consideration should be given to encourage developers to aggregate small parcels of land into a larger parcel that will provide greater flexibility in design, siting, and land use potential while simultaneously ensuring attention to neighborhood concerns: consideration may include such aspects as parking reductions, increased Floor Area Ratio (FAR), and zoning waivers. Traffic and Vehicular Speed Convenient accessibility to businesses is a critical factor for effective revitalization. However, the traffic conditions on Imperial Highway is an economic detractor due to the composition and speed of the traffic. Imperial Highway has three lanes of traffic in each direction and the posted speed is 40 mph. The vast number of large trucks, excessive speed limit, and lack of deceleration lanes into driveways creates a general sense of unease and frustration for the occasional visitor, who is uncertain of the exact location of driveways. Firestone Boulevard is quite similar to Imperial Highway and yet the perception of speed and ease of navigation is substantially different from that of Imperial Highway. Both streets are major east/west corridors, with three-lanes in each direction and both streets are signalized at each north/south intersection. Although Firestone Boulevard carries on average 20,000 more vehicles daily than Imperial Highway, it does not have the same perceived issues of excessive speed and ingress/egress difficulty as are commonly associated with Imperial Highway. The difference in perception may be attributed to the fact that Firestone Boulevard has a posted speed of 35 mph, west of Lakewood Boulevard, and its urban form is comprised of smaller blocks, with signal lights interspersed closer together, and retail buildings located closer to the sidewalk edge. The downtown area is further defined with attractive pedestrian improvements, colorful pole banners, and grand landscaping treatments, which contributes to a sense of enclosure and further helps reduce traffic speeds. Imperial Highway is comprised of longer blocks and buildings set further back away from the sidewalk edge, and a lack of public improvements-covered bus shelters, street furniture, etc., which contributes to a sense of openness. PC Agenda Page 67 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 63 Zoning Ordinance Review The zoning categories as provided in the City’s Zoning Ordinance and Map are generally sufficient and appropriate for the revitalization of the Imperial Highway Corridor. However, there are two major land use studies being conducted presently that may have a dramatic impact on the Corridor in the near future. The Rancho Los Amigos South Campus Master Plan will provide for the possible relocation of County operations and employees from along Imperial Highway to new facilities to be built in the South Campus area. The Master Plan will have significant development and employment impacts not only within the immediate area of Rancho Los Amigos National Rehabilitation Center but also along the remainder of the Imperial Highway Corridor. With the actual relocation of County facilities and employees to South Campus, this will result in large, vacant parcels on Imperial Highway that can then be redeveloped. In anticipation of such a possibility, the City has commissioned another study to consider the feasibility of including a biomedical overlay within various sections of the City, including the Imperial Highway Corridor. The City of Downey has balanced development pressures with quality of life concerns that have made Downey a much sought after destination for living and working. As such, the City has in the past, evaluated development projects based on the merits of each case. This process has worked well in the past, but as development pressures intensify, the following zoning code comments are offered for consideration. ● Rear Setback: The current City Code requires a minimum 46’ rear setback from properties zoned residential. This code standard restricts a sizeable area from development and is particularly detrimental to redevelopment of underutilized parcels, especially for those properties that are shallow and have minimal depth from the street. However, this code standard reinforces and preserves the quality of life concerns over privacy, noise, light, odors and vibration. City staff is currently evaluating projects on a case-by-case basis in terms of equity and balancing the rights of residential and business property owners pursuant to Section 9534.20 Modification of Required Setback. The application of this code standard has thus far worked well in balancing the merits of each individual case. However, as development pressures intensifies, requests for code modifications will increase. Furthermore, restaurants, cafes, and coffee establishments, in the C-P Zones, with live entertainment cannot be developed within 100’ of residentially-zoned properties. ● Building Height: The current City Code requires that maximum building height restrictions be imposed for commercial uses abutting the R-1 and R-2 Residential Zones (Section 9534.24). The maximum height limit is prescribed by a diagonal tangent line pursuant to a mathematical formula, which would typically be the lesser of the tangent line height or 45’ or 3-story in height for the prevailing C-2 zone on Imperial Highway. This code standard is not the most restrictive condition that would impede redevelopment of underdeveloped properties but is, nonetheless, a potential impediment to development. ● Compact Parking Spaces: Currently, compact parking spaces are allowed only in the Downtown Specific Plan area when located within a parking structure. Compact parking spaces are not PC Agenda Page 68 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 64 allowed elsewhere in the City. However, the Corridor suffers from a general lack of parking and if compact parking spaces were allowed, the design and circulation within parking constrained sites may be improved plus the potential benefit of providing additional parking spaces. A typical standard right-angle parking space dimension is 9’x20’ whereas a compact parking space varies between 8’x15’ and 8’x17’. There are several areas within the Parking Code that are business friendly and innovative. The Code was updated in 2008 to address common everyday problems with workable solutions. For example, the City staff amended Section 9728 to allow for assigned parking spaces in multi- tenant commercial buildings, which is not a mainstream code requirement. Another pro- business parking treatment is the option to consider joint-use of a parking lot and allowing off- site parking within 600’ with a Conditional Use Permit (CUP). In several cities, the off-site parking spaces are generally limited to a much shorter distance of between 300’-400’. It is also noted that the current Zoning Code does allow for tandem parking in commercial zones through a CUP process under the Valet Parking Section of the code. Also, tandem parking for residential units is principally permitted. ● Signage: The implementation of the current Sign Code is meeting expectations but with the understandable refrain of businesses wanting larger signs and freestanding pole signs. The current code states that a minimum property frontage of 150’ is required for a freestanding sign. To reduce visual clutter, this code requirement can be modified by increasing the minimum frontage per pole sign. However, there is some degree of flexibility provided in the City’s approved Planned Sign Program, where properties with three or more tenants can vary from actual sign requirements provided that the maximum square footage sign area is not exceeded (Section 9610.04b). ● Site Plan Reviews: Currently, the City Zoning Code requires all improvements that are made to properties located in all zones except R-1 and R-2, a site plan review must be approved by the Planning Commission (Section 9820.04). The Code does not differentiate between the type, size, or cost of the improvement. The requirement of this Code section would result in additional time delay and cost for the applicant. It is recommended that this Code section be reviewed to remove potential time delays for insignificant projects. The applicability of zone, the definition of improvements that would trigger this section, or the delineation of “discretionary” and “ministerial” may resolve this issue. Because ministerial projects typically do not have significant impacts on the neighborhood, they can be approved by City staff. Ministerial projects do not require a public hearing and are exempt from CEQA and the Permit Streamlining Act. ● Zone Change: To optimize the development potential of certain sites, it is recommended that underutilized properties be analyzed in light of different land uses to optimize its highest and best use. For example, there are two potential sites that can be candidates for zone change consideration within the context and compatibility with the immediate neighborhood and adjacent land uses. One of the two Opportunity Sites that are discussed in this report is located at the southwest corner of Lakewood Boulevard and Imperial Highway. The development alternative for this site that includes the adjacent residential properties would require the rezoning of the site to C-2 for new commercial uses. The other Opportunity Site is located at the southwest corner of Bellflower Boulevard and Imperial Highway. This Opportunity Site is PC Agenda Page 69 City of Downey Imperial Highway Economic Development Strategic Action Plan DRAFT | 65 comprised of two different zones (C-2 and M-2) and is recommended that the zone be changed to CP for the entire site. ● Specific Plan: The Code contains provisions for a Planned Unit Development (PUD) (Section 9324) but it is more oriented for residential developments and is not as well suited for commercial office, retail, and mixed-use projects. With the tremendous potential of new developments along Imperial Highway as well as on nearby properties, the development of a specific plan for the Imperial Highway Corridor should be considered. The Specific Plan will contain a Vision plus development standards and design guidelines to advocate the type of developments that would revitalize the Corridor and create a sense of place. There are several key events that will frame the future for the Corridor, namely, the proposed development of the Eco-Rapid light rail station within South Campus, the potential relocation of existing County employees to new office buildings in South Campus, the redevelopment of the former County properties along Imperial Highway, the implementation of a Biomedical Overlay within close proximity to Kaiser Permanente Medical Center and the Rancho Los Amigos National Rehabilitation Center, the continued expansion the Corridor’s major medical employers, and the ongoing success of the three adjacent regional shopping centers and development of the vacant Back 20-Acre parcel. A specific plan created for the Imperial Highway Corridor will provide a roadmap for the future revitalization and re-imagination of the Corridor. PC Agenda Page 70