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MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.1
Welcome to the 2016Regional Economic DevelopmentForum
June 2, 2016
Thank You To Our Event Sponsors
Thank You toOur Corporate Sponsors
Premier Sponsor
Community Builder Sponsors Media Sponsor
Gold Sponsors Bronze Sponsors
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.2
Agenda
• Welcome and Municipal Partnership Initiative• The Municipal Perspective: Planning and Collaboration• A Massachusetts Success Story• Regional Real Estate Availability• Government Incentives for Real Estate Expansions• Q&A, Discussion
Why Am I Here?
• Diary of an Economic Development Wonk
• R.E.D.O.WE DO!
• Time to Market and Career Limiting Moves
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.3
Why Economic Development MUST bea MUNICIPAL Priority
Source: The Boston Globe
Why Economic Development MUST bea MUNICIPAL Priority
Source: The Boston Globe
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.4
Why Economic Development MUST bea MUNICIPAL Priority
Source: The Boston Globe
Why Economic Development MUST bean BUSINESS Priority
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.5
Where Are We? Who’s Here?
• MetroWest• Greater MetroWest• 495/MetroWest• 495/MetroWest Corridor• Greater Boston• Central Mass
• Retail/Wholesale• High Tech• Life Sciences• Professional/Business
Services• Creative Economy• Healthcare• Education• Government
Observations:Confusion, Competition, Dilution
• Commercial market is served by MANY organizations– B2B, B2C, B2B2C:
• 8 Chambers within MWCoC service region, several more on perimeter• (Private) Municipal business associations (e.g., NCCD/NCA, FDR, ABA, etc.), BNIs, Clubs, Affinity Groups• (Public) Municipal EDCs/EDICs emerging in region• MWVB
– Policy, Infrastructure, and Economic Development• 495/MW Partnership
– Business and Economic Development• MOBD• MassEcon• MassDevelopment• MassBIO, Mass High Tech, Mass Robotics,
Mass Clean Energy, Mass Life Sciences, etc.– Regional Planning
• MWRC• MAPC
– Transportation Services• TMA, MWRTA
– Labor/Workforce• PSW, ETR, Public and Private Educational Institutions, Etc.• Community Services Organizations (e.g., SMOC, NSC, etc.)
© 2016 MetroWest Chamber of Commerce
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.6
Action PlanningMarketing Plan – Regional, “Net Neutral” and Consistent
• Towns: Messaging Platform, Sales Kit, Training,Scorecards, CRM, Promotion
• Businesses: Advertising and Promotion – Access, Talent,
Quality of Life Trade Shows –Industry and HR focused Local Events – Networking, Talent Development,
Business Growth Local Resources – SMB “Center of Excellence”
Town-Level Competition – Varying Advantages
Ease of doing business, tax rates, incentives, etc. Commercial vacancies and re-development opportunities Transit, housing Local Amenities/Quality of Life
History Culture Open space Schools
Facilitate BRE“Coopetition”
© 2016 MetroWest Chamber of Commerce (adapted from © 2014 Contexed, LLC)
2016 R.E.D.O. Areas of Focus1. Develop and implement a regional business/industrial marketing plan that will
effectively brand and promote the MetroWest region based on the attributes shared by many ofour area’s municipalities (e.g., favorable location, educated workforce, and quality of life);
2. Create a municipal “commercial sales kit” that can be leveraged by MetroWestmunicipalities to support (in a complementary way) their targeted efforts to identify, promote,and/or develop local, underutilized industrial and commercial properties as regional clustersand/or for mixed use and transit-oriented development.
3. Build a resource library for local small businesses whose entrepreneurial lives andlong working hours preclude them from investing in professional development and businesseducation (e.g. using social media technology to promote their businesses) during regularworking hours;
4. (a) Invest in programs for both managerial and entrepreneurial skillsdevelopment that will support our local employers’ efforts to attract and retain the talentedemployees and military veterans that are vital to our Region’s vibrant technology-and service-based businesses, such as the U.S. Army’s “Soldier for Life” program and (b) promote theavailability of local resources for funding (e.g., SMOC’s and MEDC’s microloan initiativesand consulting resources (e.g., ERT, SCORE, and SBDC).
© 2016 MetroWest Chamber of Commerce
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.7
Marketing and PromotionMarket and Business Development
Municipal Partnership Initiative“Marketecture”
Municipal Partnership 1.0
Managed Service Provider (NDAs, SLAs)
CoStar(std)
WebEx(closed)
CommunityShowcase
MW Referral
ClusterDevelopment
MarketingSupport
(content, web, apps)
Municipal Partnership 2.0+
Regional DataAnalytics
Knowledge Base/Training/ LMS
Foundational Services: Networking, Advocacy (Legislation, LOS, TownMeetings, etc.), Business Attraction/Retention, Promotion, TMA
Current Service Level
CoStar(Intell)
WebEx(broadcast)
Prospecting/Sales Support
MarketingResearch
Regional BrandingProgram/
Promo (TBA)
© 2016 MetroWest Chamber of Commerce
Thank you!
Contact [email protected] x.2104https://www.linkedin.com/in/pjoseph
Join/Follow the MetroWest Chamber of Commerce@MWCoChttps://www.linkedin.com/groups/1816646https://www.facebook.com/MetroWestChamber
www.metrowest.org
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.8
Jamie Errickson, DirectorDepartment of Community and Economic Development
Community & EconomicDevelopment
Housing &CommunityDevelopment
BuildingDepartment
ConservationCommission
EconomicDevelopment
Planning BoardShort & Long
Range Planning
TransportationPlanning
Zoning Board ofAppealsInspections
Permitting
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.9
Where we are now – Existing Conditions
Where we want to be – Vision
How do we get there – Goals & Action Steps
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.10
Key questions asked:
Is Natick realizing the maximum potential from the few remaining industrial and commercialdistricts in the community? What are the challenges and opportunities to unlocking the growthpotential in these areas?
Are the current zoning/land-use regulations supporting and encouraging the right mix of highestand best uses for these districts when it comes to the community’s vision and market realities?
Is Natick missing an opportunity to encourage the building of certain types of commercial/industrialspace in Town, thereby maximizing revenues?
Do Natick’s land use regulations and processes need to be adapted/amended to better match therealities of what present-day and future market demand?
What is the external perception of Natick’s business climate in terms of the regulatory process andas compared to similar communities?
How is Natick positioned within the larger region to continue to capture economic developmentopportunities, and who are or should be Natick’s regional competitors?
What are Natick’s strengths, weaknesses, opportunities, and threats when it comes to the Town’seconomic stability and growth?
What are the perceptions and status of Natick when assessed through the lens of hypothetical siteselection processes?
Targeted Economic Development Plan:• Where we are now – Existing Conditions• Where we want to be – Vision• How do we get there – Goals & Action Steps
Overall goals:• Develop a vision for economic development• Educate & Inform decision makers, stakeholders, and population• Improve local policies and procedures• Create predictability and value
• Take advantage of Opportunities
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.11
Framingham:Economic Development
Planning & Collaboration inMetrowestArthur P. Robert
DirectorCommunity & Economic Development
OPPORTUNITIESDynamic & diverse community -urban, suburban, & rural areas
Strategic location – midway betweenBoston & Worcester, New England’slargest cities
Access to growth assets – road, rail &air access to markets, innovationcenters, skilled workers & academiccenters
Town commitments to:• Streamlined permitting,
predictability, & timely businessassistance
• Economic Development marketing• Downtown TOD
http://www.framinghamma.gov/planbuildgrow
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.12
CHALLENGES• Downtown TOD – attracting a “first mover”
• Managing Framingham’s success
• Managing Metrowest’s success• Traffic & State control of critical roadways• Limited transportation alternatives
• Strengthening neighborhood commercial centers
• Multifamily housing
• Moving from marketing to robust economicdevelopment capability
COLLABORATION• Permitting - coordinated & timely action
across borders
• Planning - Joint effort to define Exit 13– Set a development vision that is clear,
attainable, & shared– Set an action plan– Estimate infrastructure impacts, to inform
Town & MassDOT investment decisions
• Regional initiatives– Metrowest Chamber: site selection,
possibly tactical marketing support– 495/Metrowest Partnership
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.13
MASSPIKE EXIT 13 AREA
QUESTIONSArthur P. RobertDirector, Community & Economic Development• [email protected]• 508.532.5455
http://www.framinghamma.gov/103/Community-Economic-Development
http://www.framinghamma.gov/TOD
www.chooseframingham.com
@ChooseFram
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.14
Consigli Construction Co., Inc.A Massachusetts Success Story
Presenter:
Vance Freymann,Director of Project Development
Origins: Milford, Massachusetts 1905
Early Years in Milford
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.15
1994: Anthony & Matthew Consigli Assume Control
• Annual Volume, 1994: $2 MillionAnthony and Matthew Consigli, 2015
Significant Massachusetts Projects
UMass Medical School, Ambulatory CareCenter, Worcester
Cambridge Public Library
North Hall, Framingham State University Community Rowing, Inc., Boston
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.16
2003: Maine
Consigli’s Portland Office
Bowdoin College, Chapel Towers Restoration
2006: Connecticut
Consigli’s Hartford Office
Trinity College, The Long Walk
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.17
2008: Upstate New York
New York State Capitol, Albany
Franklin D. Roosevelt Presidential Library &Museum, Hyde Park
2013: Boston
Rendering, 131 Beverly at Lovejoy Wharf
Progress, 131 Beverly at Lovejoy Wharf
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.18
2013: New York City
Enclave at the Cathedral, Manhattan
2014: Washington, D.C.
Renwick Gallery, Smithsonian American ArtMuseum
Current Pursuit: Architect of theCapitol
Current Pursuit: National Air and SpaceMuseum
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.19
2016: Consigli at a Glance
• $1.2 Billion in Projected 2016 Volume
• Family of Five Companies
• 1,000+ Employees
• 8 Offices
MetroWest Roots & Commitments
• 111 Years (and counting) in Milford• 350+ Employees in
MetroWest Communities• 4th Generation of Local
Family Ownership
• Unending Commitment to “RavingFans” Customer Service
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.20
MathWorks Lakeside Campus, Natick
MetroWest Roots & Commitments
40MassEcon.com
Regional Economic Development Forum
Verve Crowne PlazaNatick, MA
June 2, 2016
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.21
41MassEcon.com
ReadyMA 100 Process
Why have the ReadyMA 100?
• Statewide Outreach
• Application
• Evaluation Committee of Experts
• Properties go Online www.massecon.com
• $250 Annual Fee (per property)
• Local and National Marketing
• Update and Maintain
42MassEcon.com
Minimum Criteria
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.22
43MassEcon.com
44MassEcon.com
495/MetroWest Properties
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.23
45MassEcon.com
SuccessStories
2015SouthCoast
Life Science &Technology
Park, Fall River1,000,000 SF
2015650 EastKendall,
Cambridge206,000 SF
2014125
PennsylvaniaAvenue,
Framingham10 Acres
201220 Walkup
Drive,Westborough
113,045 SF
201350 Post Office
Square, Boston410,297 SF
2014450 FortuneBoulevard,
Milford64,138 SF
20141000 Tech
Center Drive,Stoughton332,000 SF
46MassEcon.com
Doug KehlhemSenior Director
617-924-4600 x12
Contact Information
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.24
Government Incentivesfor
MetroWestRegional Economic Development
Forum
June 2, 2016
About Business DevelopmentStrategies, Inc.
BDS assists companies acrossthe Commonwealth to identify,negotiate and secure state andlocal tax incentives.
Incentives reduce a company’scosts of doing business andprovide financial value as aresult of a real estate expansion.
Primary Industries Manufacturing, R&D, Distribution, Biotech, Medical Devices andPharmaceuticals, Technology and Financial Services
© 2016. Business Development Strategies 48
Business Development Strategies, Inc.
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.25
Types of Incentives
+ State Investment Tax Credits
+ State Abandoned Building TaxDeductions
+ Municipal Tax IncrementFinancing (TIF)
+ Municipal Personal PropertyTax Relief
+ Municipal Special TaxAssessment (STA)
© 2016 Business Development Strategies 49
Business Development Strategies, Inc.
Economic DevelopmentIncentive Program (EDIP)
EDIP stimulates jobcreation, retains andattracts businesses,and encouragesbusinesses to expand.
1,640EDIP projects
21,707Jobs retained inCommonwealth
95,329New permanent,
full-time jobs
$28BPrivate
investment
Through December 2015
© 2016 Business Development Strategies 50
Business Development Strategies, Inc.
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.26
Certified Project Eligibility
Certified Projects are eligible forincentives if they ultimately meet the
following criteria:
© 2016 Business Development Strategies 51
A business that isexpanding existingoperations
Relocating operations
Renovating or buildingnew facilities located inany part of the state.
May be a purchase or leasearrangement
• Create new net permanentfull time jobs
• Generate new real estateinvestment = new local taxrevenue
• Generate substantial salesoutside of theCommonwealth
Business Development Strategies, Inc.
Certified Project Categories
© 2016 Business Development Strategies 52
ExpansionCreate new full-time jobs
EnhancedExpansion
Create 100 new jobs in first 2years.
ManufacturingRetention
Located in a Gateway MunicipalityRetain 50 full-time manufacturing jobs or
Create 25 new manufacturing jobs
Job CreationProject
Create 100 new jobs in first 2years. Does not qualify for local
incentives
Business Development Strategies, Inc.
LocalIncentives
Life Science CompanyRetain jobs
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.27
Certified Project Benefits
© 2016 Business Development Strategies 53
State EDIP Investment Tax Credit (ITC)State tax credit for qualifying investments; the law caps the ITC at $25 million annually;
State 10% State Abandoned Building Tax DeductionFor costs associated with renovating an abandoned building at least 75% vacant for two years;
Municipal Real Estate Tax Incentive — Tax Increment Financing(TIF)Negotiated real estate property tax exemption up to 20 years based on the increased incrementalassessed value of the project property due to new construction or other significant improvements;
Municipal Personal Property Tax ExemptionNegotiated Personal Property Tax Exemption with TIFs; or
Special Tax Assessment (STA)Negotiated real estate property tax exemption up to 20 years on the total base value of the projectproperty.
Business Development Strategies, Inc.
Approval Process
© 2016 Business Development Strategies 54
+ Local Incentives Teamnegotiates mutual incentiveswith project proponent.
+ Board of Selectmen/CityCouncil vote to recommendincentives proposal to TownMeeting or City Council.
+ Requires Town Meeting or CityCouncil vote.
Business Development Strategies, Inc.
+ If approved, Town mustsubmit required EDIPapplications to EACC.
+ Certified Project presented toEACC for final vote forTIF/STA and potential EDIPITC.
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.28
Success: Consigli ConstructionMilford, MA
© 2016 Business Development Strategies 55
Construct new 20,000 SF on-siteexpansion
Retain 329 new jobs
Create 50 new jobs
$5.5 M private investment
Est. benefits secured: $800,000
Benefits Included:
State EDIP Investment TaxCredit
15-Year Tax IncrementFinancing
Business Development Strategies, Inc.
a
Success: IPG Photonics CorporationMarlborough, MA
© 2016 Business Development Strategies 56
Renovated 112,000 SF for R&D
Retain 24 jobs
Create 100 new jobs
$13.5 M private investment
Est. benefits secured:$860,000
Benefits Included:
State EDIP Investment TaxCredit
5-Year Tax IncrementFinancing
Oxford, MA Incentives
Business Development Strategies, Inc.
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.29
Success: Trip AdvisorNeedham, MA
© 2016 Business Development Strategies 57
Construct 290,000 SF forcorporate headquarters
Retain 450 jobs
Create 250 jobs
Est. benefits secured: $3.2 M
Benefits Included:
3% State EDIP InvestmentTax Credit
13 Year Tax IncrementFinancing
Community outreach
Business Development Strategies, Inc.
Success: Green Mountain Coffee RoastersBurlington, MA
© 2016 Business Development Strategies 58
Renovate 80,000 SF buildingConstruct 344,000 SF expansionfor corporate headquarters
Retain 368 jobs
Create 400 new jobs
$114 M private investment
Est. benefits secured: $7 M
Benefits Included:
3% State EDIP InvestmentTax Credit
13-Year Tax IncrementFinancing
100% Personal Property TaxExemption
MassWorks grant assistance
Business Development Strategies, Inc.
MetroWest Chamber of Commerce Regional Economic Development ForumJune 2, 2016
© 2016 MetroWest Chamber of Commerce. Individual presenter sections retain copyrights of their respective presenters/organizations.30
© 2016 Business Development Strategies 59
Lynn TokarczykGovernment Incentives Consultant
Phone: 508-966-4300 | Email:[email protected]
www.businessdevelopment-strategies.com
Thank You for Attendingthe 2016 Regional
Economic Development Forum
Thank You To Our Event Sponsors