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Downtown MesaRetail Market Profile

LISC MetroEdge is a program of the Local Initiatives Support Corporation (LISC). It works in urban markets nationwide assisting CDC’s, local governments, developers and business associations to define their market potential and develop and implement strategies to achieve that potential.04/15/2023

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Downtown Mesa Trade AreaThis is a Convenience Trade Area. Its boundaries are:

East: Mesa Drive West: Alma School Road North: Tempe Canal South: Broadway

Shoppers would typically expect to find “Saturday morning” shopping options in this area such as pharmacies, groceries, dry cleaners, auto repair stores or hardware stores.

This area is 3.97 square miles

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Retail Float - DefinedFor the Downtown Mesa Trade Area we analyzed:

Demand – The amount of money people living in the trade area spent in 2014 for specific retail categories. These dollars are spent both within and outside of the trade area.

Supply – The amount of estimated sales by retail stores in the trade area.

Retail Float (also known as retail leakage) – The difference between supply and demand. This represents opportunity – for new businesses to open and capture Float, or for existing businesses to re-tool, adapt and market to capture Float.

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Retail Float ExampleFor the Downtown Mesa Trade Area:

Demand – In 2014, residents in Downtown Mesa spent $32 million at general merchandise stores (both within and outside the trade area)

Supply – In 2014, the general merchandise stores in the Downtown Mesa Trade Area had estimated sales of $25 million.

Retail Float - $32 million – $25 million = $7 millionDowntown Mesa Trade Area residents are spending at least $7 million outside the trade area at general merchandise stores.

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DefinitionsRetail Float, a measure of the amount of retail opportunity in the trade area, and is calculated as the difference between buying power (demand) and retail sales (supply)

When Retail Float is a positive value there is unmet demand by residents in the trade area, representing opportunities for new or existing businesses to target.

When Retail Float is a negative value there is either a healthy concentration of retail to build from, or there is a saturation of retail that indicates limited opportunity for business growth or expansion.

– Retail such as restaurants, clothing or furniture stores attract shoppers looking for multiple stores. In many cases negative float for these categories indicates a business opportunity to start or grow a business to complement what already exists in the market.

– Retail such as hardware stores, general merchandise stores and grocery stores are less likely to grow or expand when there is negative float (when there is little or no unmet demand in the surrounding market)

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Concentrated Buying PowerDefinition: Potential dollars available to be spent by trade area residents per square mile

There is an estimated concentrated buying power of $ 74 million in the Downtown Mesa Trade Area

This represents the buying power for the residential community living in the Trade Area.

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Retail FloatCategory Demand

Trade AreaSupplyTrade Area

Float Float as % of Demand

Furniture & Home Furnishings Stores

4,249,409 5,003,842 -754,433 -18%

Electronics & Appliances Stores

4,554,716 77,575,428 -73,020,712 -1603%

Building Material & Garden Equipment

22,157,919 18,843,875 3,314,044 15%

Food & Beverage Stores 37,504,840 15,592,515 21,912,325 58%

Health & Personal Care 13,024,194 14,113,746 -1,089,552 -8%

Clothing & Clothing Accessories Stores

10,535,026 14,076,152 -3,541,126 -34%

Sporting Goods, Hobby, Book, & Music Stores

4,749,341 16,034,232 -11,284,891 -238%

General Merchandise Stores 32,256,948 24,938,806 7,318,142 23%

Miscellaneous Store Retailers 6,645,817 19,656,916 -13,011,099 -196%

Foodservice & Drinking Places 29,532,463 39,236,700 -9,704,237 -33%

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Food & Beverage StoresCategory Demand

Trade AreaSupply

Trade AreaFloat

Supermarkets & Other Grocery Stores23,810,140 13,536,842 10,273,298

Convenience Stores1,648,961 307,316 1,341,645

Specialty Food Stores3,230,694 747,416 2,483,278

Beer, Wine, & Liquor Stores8,815,044 1,000,941 7,814,103

Source: Nielson 2014, LISC MetroEdge Metrics

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Health & Personal Care Stores

Category DemandTrade Area

SupplyTrade Area

Float

Pharmacies and Drug Stores10,377,723 11,406,884 -1,029,161

Cosmetics, Beauty Supplies and Perfume Stores 907,991 670,443 237,548

Optical Goods Stores535,898 779,830 -243,932

Other Health and Personal Care Stores1,202,582 1,256,589 -54,007

Source: Nielson 2014, LISC MetroEdge Metrics

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Foodservice & Drinking Places

Category DemandTrade Area

SupplyTrade Area

Float

Full-service Restaurants13,274,219 16,105,737 -2,831,518

Limited-service Eating Places11,949,281 20,275,447 -8,326,166

Special Foodservices3,186,242 2,017,449 1,168,793

Drinking Places – Alcoholic Beverages1,122,721 838,067 284,654

Source: Nielson 2014, LISC MetroEdge Metrics

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Top Ten Employers

Source: City of Mesa; Maricopa Association of Governments; Nielson, 2014

Business Name Address NAICS Description Location TypeNumber of Local Employees

Banner Corporate Center Mesa 525 W Brown Rd Health Care and Social Assistance Single Location 784

Canyon State Drywall, Inc 301 S Westwood Drywall & Insulation Contractors Single Location 350

Mesa City Plaza 20 E Main St Public Administration Single Location 302

Westwood High School945 W Rio Salado Pkwy Educational Services Single Location 248

City of Mesa Central Police Bldg 130 N Robson Public Administration Single Location 208

City of Mesa Utilities 640 N Mesa Dr Public Administration Single Location 186

Wells Fargo 305 E Main St Finance and Insurance Single Location 184City Of Mesa Communications Dept. 161 E 6th Pl Public Administration Single Location 147

Mesa Christian Health 255 W Brown Rd Health Care and Social Assistance Single Location 138

City Of Mesa 55 N Center Public Administration Single Location 135

30 min Lunch

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Downtown Mesa Population

Source: Nielson 2014, LISC MetroEdge Metrics

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2010 2014 estimates 2019 Projections

19,418 19,631 20,154

1

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Downtown Mesa Population by Age

Source: Nielson 2014, LISC MetroEdge Metrics

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Age 0 - 4 Age 5 - 9 Age 10 - 14 Age 15 - 17 Age 18 - 20 Age 21 - 24 Age 25 - 34 Age 35 - 44 Age 45 - 54 Age 55 - 64 Age 65 - 74 Age 75 - 84 Age 85 and over

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

18.00%

2010 2014 2019

Median Age 2014 (33)

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Downtown Mesa Race/Ethnicity

Source: Nielson 2014, LISC MetroEdge Metrics

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White African American Asian Alone Other Hispanic0%

10%

20%

30%

40%

50%

60%

70%

80%

2010 2014 2019

Downtown Mesa Households

Source: Nielsen Corporation, 2014;

Households by Tenure and Mortgage Status, 2014

Total 9,854 100%

Owner Occupied 2,504 25%

Owned with a Mortgage/Loan 1,904 76%

Owned Free and Clear 767 24%

Average Household Size 2.46

Renter Occupied 5,607 57%

Downtown Mesa Household Income

Source: Nielsen Corporation, 2014;

Income Less than $25,000 Income $25,000 - $34,999 Income $35,000 - $49,999 Income $50,000 - $99,999 Income $100,000 - $149,999

Income Greater than $150,000

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

2000 2014 2019

Median Income 2014 ($30,559)

Density of Middle to Upper Income Households

Source: Nielsen Corporation, 2014;

2000 2014 2019

501

557589