jll cincinnati: full circle report 2017
TRANSCRIPT
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Full circle: CincinnatiAn in-depth look at how residential demand, corporate
growth, and development activity sparked the
resurgence of downtown Cincinnati
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Cincinnati becomes destination through urban growthDowntown Cincinnati has undergone a tremendous transformation over the last five years that has positioned its urban core to
be a live-work-play destination for companies, professionals, and visitors. Cincinnati is home to a mature corporate community
consisting of 10 Fortune 500 companies. In addition, Downtown Cincinnati has become a hotbed for startup activity as
companies flock to the Central Business District and Over-The-Rhine to attract and retain top talent.
The urban core is in a historic expansion phase for downtown population and residential units, which in return is
catalyzing its growth in retail and entertainment. The market fundamentals that have led to Downtown Cincinnati’s growth
are projected to continue through 2017 and further solidify the urban core as one of the more desirable destinations in
the Midwest for companies and professionals alike.
Downtown Cincinnati
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Downtown Cincinnati by the numbers
33%Percent Millennials
151,700Total employment
39Office tenants
2016 Business attraction and retention
71# of investment projects (2012-planned)
$2.4B Total investment
79%Private investment
3.3Square miles
22,900Residential population
13%Population growth since 2000
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1,400,000
1,800,000
2,200,000
18,000
21,000
24,000
2000 2010 2017
Population growth
Downtown Cincinnati has seen recent
population growth during a period of steady
growth at the metro level.
1.9M
2.1M
2.2M
20.3K19.7K
22.9K
Downtown population Metro population
Demographics
19%
33%23%
20%
Millennials make up one third of the
downtown population, a significant factor
driving business attraction and retention.
Generation Z (0-19)
Millennials (20-36)
Generation X (37-52)
Baby Boomers (53-71)
The Silent Generation (72+)
11,000
13,000
15,000
2000 2010 2017
Residential development
12.8K12.6K
14.6K
Downtown housing units
Unlocking pent-up demand: Developers have
added 2,000 residential units downtown since
2010, and yet, occupancy remains above 95%.
People
Downtown Cincinnati
2017 downtown population by age
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Largest employers
The largest private employers in downtown
Cincinnati span a broad range of industries,
illustrating the diversification of the region’s
economy.
Procter & Gamble
Fifth Third Bancorp
Western & Southern
American Financial Group
Rock Gaming
3,900
2,000
1,800
1,700
1,700
U.S Bank
The Kroger Company
Duke Energy
Macy’s Corporate
Cincinnati Bell
1,300
1,300
1,000
800
700
Business attraction and retention
In 2016, downtown business attraction and
retention efforts secured commitments from
more than 39 office tenants. Below are the
companies that made the largest office
commitments in 2016.
Bricker & Eckler
Coca-Cola
CTI
Dean Houston
Arthur J. Gallagher
Bahl & Gaynor
Brandcraft Srategies
Cincinnati Convention Bureau
Cors and Basset
Doc Halo
Fifth Third Bank
Freking Myers & Reul
Graydon Head
JLL
Key Bank
Landor
Miller Coors
Northcreek Mezzanine
Retention or expansion (285,000+ s.f.)
Attraction (315,000+ s.f.)
Employment by industry
Construction, manufacturing and transportation
Professional and business services
Hospitality, leisure and retail
Government
Downtown employment by industry
Information
Education and healthcare
Other
Downtown Cincinnati has a thriving 21st
century economy with significant employment
in the business and technology industries.
28%
25%
25%
7%
5%
7%
Business
Empower Media Marketing
Interbrand
The Health Collaborative
Downtown Cincinnati
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Downtown Cincinnati
65%
14%
21%
Investment by project status
Downtown Cincinnati has transformed due to
increased investment activity, and current
projects planned and underway show no
signs of a slow down.
Completed (2012-16)
Under construction
Planned
$1.5B
$319.4M
$498.3M
51
8
12
Status Investment
# of
projects
Investment by funding type
Private investors have taken notice of the
momentum downtown and are answering the
call by funding the lions share of downtown
investment dollars.
79%
21%
Private investment dollars
Public investment dollars
$0
$250
$500
$750
Education,infrastructure,
public use
Entertainment,retail
Hotel Office Residential
Investment by property type
Residential development has driven investment
as investors work to address a underserved
market with occupancy over 95%.
9
projects
33
projects
11
projects
10
projects
($M)
8
projects
Investment
Downtown Cincinnati
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7 Lytle Park Tunnel Renovation
8 Market Square
9 Merchants Building Lofts
10 Music Hall Revitalization
11 Streitmann Biscuit Co. Building
12 Ziegler Park
1 309 Vine
2 4th & Race
3 AC Hotel
4 Cincinnati Shakespeare Company
5 Empower MediaMarketing HQ
6 Lytle Park Renovation
Significant projects under construction
1 4th & Walnut
2 824 Broadway
3 8th & Main
4 8th & Sycamore Phase
5 8th & Sycamore Phase 2
6 Freeport Row
7 Jewlers Exchange Building
8 Textile Building
16 John Weld Federal Building
17 KAO Office Expansion
18 Mercer Townhomes
19 Morelein Lager House
20 Renaissance Cincinnati
21 Seven at Broadway
22 Smale Park Phase 1 & 2
23 Smale Park Phase 3 & 4
24 Smale Park Phase 5
25 Sotto/Boca
26 Taft’s Ale House Place
27 Tea Company Townhomes
28 The Banks Phase 2 A
29 The Banks 2 B
30 YMCA
1 84.51
2 Abington Flats
3 Alumni Lofts
4 Anna Louise Inn
5 Aqua on the Levee & Aloft Hotel
6 AT 580
7 Cincinnati Streetcar
8 Cintrifuse
9 Cincinnati Parking Garage
10 Cutter Apartments
11 The Reserve
12 Holiday Inn Hotel
13 Homewood Suites
14 Horshoe Casino
15 Hyatt Regency Renovation
Significant projects completed in 2015-16
Investment map
Notable proposed projects
Completed in 2015-16 Under construction Proposed
Downtown Cincinnati
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Contact
Abby Armbruster
Research Analyst
+1 513 252 2148
www.jll.com/research
www.jll.com/cincinnati
© 2017 Jones Lang LaSalle IP, Inc. All rights reserved.
Ross Bratcher
Research Analyst
+1 513 719 3706