1. BALL STATE UNIVERSITY EDUCATION REDEFINED Historic Preservation as an Economic Development Tool Dr. Mary Ann Heidemann, Director Graduate Program in Historic Preservation Ball State University

2. BALL STATE UNIVERSITY EDUCATION REDEFINED Preservation and Economic Development? Are you Kidding? Those preservationists want to stop all new development, right? Those are the folks who stand in front of the bulldozer, right? Purpose of my ED Talk: Dump your Historic Notions Preservationist?

3. BALL STATE UNIVERSITY EDUCATION REDEFINED Preservation is Actually a Development Tool Kit Revitalize downtowns Support entrepreneurs Attract creative talent Increase real estate investment and profits Create jobs Incentivize development

4. BALL STATE UNIVERSITY EDUCATION REDEFINED PRESERVATION TOOL #1: THE MAIN STREET PROGRAM Started by the National Trust for Historic Preservation in 1977 TOOLS OF THE TRADE

5. BALL STATE UNIVERSITY EDUCATION REDEFINED Main Street Program In Indiana Madison IN original pilot community in 1977 IN one of largest Main Street programs in US 106 communities enrolled 19 nationally accredited Had funding problems during the meltdown, but Still the most successful downtown revitalization tool available to date

6. BALL STATE UNIVERSITY EDUCATION REDEFINED Main Street is Built on Four Pillars Organization –Paid Manager –Committee Structure Promotion & Marketing –Positive Image Design –Improve physical space Economic Restructuring –Analyze business market –Suit today’s consumers Wait, doesn’t that sound like an Economic Developer’s Job?

7. BALL STATE UNIVERSITY EDUCATION REDEFINED Main Street Success to 2012 Dollars Reinvested: $55.7 Billion Net gain in businesses: 109,664 Net gain in jobs:473,439 Number of bldg. rehabs:236,201 Reinvestment Ratio:$18 to $1 Indiana Results in 2012 Private investment:$38.5 Million Public investment:$16.6 Million Businesses added:161 Jobs created:775 Building rehabs:248

8. BALL STATE UNIVERSITY EDUCATION REDEFINED PRESERVATION TOOL #2: SUPPORT ENTREPRENEURS Small business is key to community economic health

9. BALL STATE UNIVERSITY EDUCATION REDEFINED New Findings from the Trust’s Preservation Green Lab

10. BALL STATE UNIVERSITY EDUCATION REDEFINED Why do Entrepreneurs Benefit from Older, Smaller Buildings? “Analysis of data from three major American cities shows that areas with a mix of older, smaller buildings perform better than districts with larger, newer structures when tested against a range of economic, social, and environmental outcome measures.” – Green Lab, Older, Smaller, Better, 2014

11. BALL STATE UNIVERSITY EDUCATION REDEFINED Study Findings on Advantages of Older & Smaller 37% more jobs per building sq. ft. 2X women & minority business owners More local businesses compared to chains Lower median age Day and night activity More foot traffic

12. BALL STATE UNIVERSITY EDUCATION REDEFINED PRESERVATION TOOL #3: ATTRACT CREATIVE TALENT What does your local talent pool look like?

13. BALL STATE UNIVERSITY EDUCATION REDEFINED Creative Trends In San Francisco:  Young tech-savvy professionals do not want to live in the outskirts near big suburban tech parks  They want the vitality of the older, more diverse center city neighborhoods  So Google busses them to work in a modern version of reverse commuting Artist’s Rendition of a Google Bus & Protester Armed with a Fly Swatter

14. BALL STATE UNIVERSITY EDUCATION REDEFINED Creative Class Trends Here Our businesses follow creative talent Talent is attracted to places with character Live/Work space Mixed uses Business incubators Work from home Active street life Walkability Diversity of residents Indy’s own Fountain Square Historic District

15. BALL STATE UNIVERSITY EDUCATION REDEFINED PRESERVATION TOOL #4: INCENTIVIZING REAL ESTATE INVESTMENTS What do you know about historic rehabilitation tax credits?

16. BALL STATE UNIVERSITY EDUCATION REDEFINED Historic Rehab Tax Credits Historic rehab tax credits have been around for 35 yrs. They can cover up to 20% of eligible rehabilitation costs Note: rehab creates more jobs than new construction Owners can increase their real estate profit potential Rehab activates vacant & underutilized properties Combine with other incentives

17. BALL STATE UNIVERSITY EDUCATION REDEFINED PRESERVATION TOOL #5: WE DON’T WASTE A NICKEL Preservation is applied, practical Green Development

18. BALL STATE UNIVERSITY EDUCATION REDEFINED Preservation Captures Both Up Front and Operational Savings Lower purchase costs Infrastructure savings Transit in place Existing neighborhood services & amenities Materials recycling LEED energy retrofits Community-based ROI

19. BALL STATE UNIVERSITY EDUCATION REDEFINED Bottom Line: If you aren’t using preservation tools, you are leaving client and community cash on the table Sources of Assistance: Indiana Landmarks Indiana Main Street Program DNR Division of Historic Preservation Ball State Historic Preservation Program

20. BALL STATE UNIVERSITY EDUCATION REDEFINED Thanks for your Good Work! Send questions or comments to: maheidemann@bsu.edu