A Public for Lower Manhattan - Cloud Object Storage ... · Preliminary Feasibility Study THE NEW YORK CITY COUNCIL ... the South Street Seaport, ... goods to meat and fish to prepared

A PublicMarket for LowerManhattan

The New York City CouncilGifford Miller, Speaker Alan J. Gerson, ChairpersonSelect Committee on LowerManhattan Redevelopment

James Sanders, Jr., ChairpersonCommittee on EconomicDevelopment

Domenic M. Recchia, Jr. Chairperson, Subcommittee onSmall Business, Retail andEmerging Industries

October 2002

PreliminaryFeasibilityStudy

A PUBLIC MARKET FOR LOWER MANHATTANPreliminary Feasibility Study

THE NEW YORK CITY COUNCIL

Gifford Miller, Speaker

Alan J. Gerson, ChairpersonSelect Committee on Lower Manhattan Redevelopment

James Sanders, Jr., ChairpersonCommittee on Economic Development

Domenic M. Recchia, Jr., ChairpersonSubcommittee on Small Business, Retail and Emerging Industries

Prepared byPROJECT FOR PUBLIC SPACES, INC./PUBLIC MARKET COLLABORATIVE 153 Waverly Place New York, NY 10014 212-620-5660; www.pps.orgwithUrban Space Management, New York, NYReal Estate Planning Group, Chicago, IL

October 2002

Cover images, clockwise from top left: FindlayFarmers Market, Ohio; poultry monger, WashingtonMarket, and Museum of the City of New York;Budapest Public Market; 1914 map of WashingtonMarket; New Rochelle Farmers Market; Thanksgivingat Washington Market, Leslie’s Weekly, November,1892. This page, Robinson Map of the City of NewYork, 1885. All photos © Project for Public Spacesunless otherwise indicated.

Table of Contents

A Public Market for Lower Manhattan 3

Executive Summary 4

Introduction 6

Chapter I: History of Washington Market 9

Chapter II: Definition of a Public Market 11

Chapter III: Site Characteristics 15

Chapter IV: Market Types 17

Chapter V: Proposed Options 19

Chapter VI: Economic Feasibility Analysis 37

Chapter VII: Implementation 45

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4 A Public Market for Lower Manhattan

A downtown public market would significantlyadvance many of the important goals outlined by theCity Council, the Lower Manhattan DevelopmentCorporation, and the Port Authority of New Yorkand New Jersey, including activating public spaces,providing social and cultural amenities, providingnew jobs and needed services in the neighborhood,and attracting businesses and residents to the area.

In addition, a public market featuring prepared andfresh food could be a culturally diverse tribute tothe former World Trade Center itself, as well as cre-ate a vital link with the cultural history of the site—the area in and immediately around the World TradeCenter was the site of Washington Market, createdin 1771 and finally closed in 1956. For much ofthat time it was the most important market in thecity.

Public markets are basically places where vendorsor merchants meet on a regular basis under theaegis of a sponsoring entity that has legal and finan-cial responsibility over their operations. Oftenthere are structures or facilities to house the marketactivity. What distinguishes public markets fromother types of related retail activity are the followingthree characteristics:

• Public markets have public goals. The LowerManhattan public market would highlight andpromote the international diversity and talent inNew York and create a much-needed amenity forthe surrounding neighborhoods.

• A true public market creates a public space andpublic amenity.

• Public markets are made up of locally owned,independent businesses operated by their own-ers. Public markets consciously seek out localentrepreneurs-not chain stores-and businesses,and therefore offer an alternative to commonretail practices.

The New York City Council asked Project for PublicSpaces/Public Market Collaborative (PPS/PMC) toassess the feasibility of four different forms of apublic market for Lower Manhattan (open air mar-ket, shed, market hall and market district) and toprepare a guide to help planners and designers whoare studying various alternatives for the WorldTrade Center site.

The conclusion of this study is that while a smallermarket would be feasible, based on the demograph-ic analysis conducted for this report, a market hallof approximately one acre would do more to achievethe public goals for the site, including attractingbusinesses and residents, creating a lively atmos-phere, supporting more small businesses, and draw-ing shoppers from a larger range of the city. Also,while other sites in Lower Manhattan could beavailable for a public market, the World TradeCenter site offers superior site characteristicsincluding access, visibility and convenience todowntown residents, workers and visitors.

We are therefore recommending a 42,000 squarefoot market hall, and suggest the planners considerjoining the market to a flexible plaza or other pub-lic space that can function as an open-air market,providing a greater mix of products, and a strongeridentity for both the area and the market itself. Thismarket would emphasize prepared food, but alsooffer a range of fresh produce and other offerings.We also recommend that the market be managed bya nonprofit organization to maintain its publicintegrity and to assure that opportunities for smallbusinesses are created. The construction of themarket should be financed so that it can open debtfree, allowing the market to become a self-sustain-ing entity not requiring operational subsidy from thecity.

Executive Summary

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This report presents examples of each type of pub-lic market from New York and other cities as wellas operational budget overviews. The report alsopresents a detailed market analysis and economicprojection of market sales. The large market hallwe recommend has the potential to generate $15.5million in sales. The estimated operating expens-es for the market hall is $985,000, which is sixpercent of estimated sales potential and well with-in the range of feasibility.

This feasibility does not take into consideration theimpact of tourists and other visitors. Additionalstudy will be needed to evaluate the effect that themillions of visitors expected for the WTC site wouldhave on a market as well as the appropriateness oflocations that are suggested during the planningprocess.

Benefits of a PublicMarket for the World

Trade Center Site

• An important, highly visible` aidfor small businesses (surveys ofother markets in New York showthat nearly 90% of participatingbusinesses are women andminority owned).

• A significant new cultural ameni-ty/destination for New York (morepeople visit Seattle’s public mar-ket than attend the city’s majorsporting events).

• The creation of a vital link withthe cultural history of the site(the area under the destroyed USCustom's House building wasfirst contributed to New York'sCommon Council in 1771 byTrinity Church who "releasedtheir right and claim to theground ... to be built for the use ofthe market forever."1 By the mid19th Century Washington Marketwas, "without doubt the greatestdepot for the sale of all manner ofedibles in the United States.”2

1 De Voe, Thomas F. The Market Book: A History of the Public Markets of the City of New York. 1862, reprinted by Augustus M. Kelley, Publishers, 1970, p. 454.

2 Ibid, p 308.

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IntroductionIn "Building a Better New York," the New York CityCouncil has set down a mandate - "Plan the memo-rial and public spaces first because public spacesare the center of city lifeand should dictate howthe rest of downtown isredeveloped." In this far-reaching document, theCouncil has also called forthe development of a pub-lic market - a space forvendors, as well as a pub-lic space for programma-ble events, as a civic andneighborhood amenity.These two pieces of theCouncil's plan fit togethernicely.

In fact, active, vital andpractical public spaces that support the communityliving in, working in, and visiting Lower Manhattan,are also key to the recommendations of the PortAuthority of New York and New Jersey, and theLower Manhattan Development Commission'sdesign guidelines for the site (A Vision for LowerManhattan: Context and Program for the InnovativeDesign Study, October 11, 2002), which states:

"In addition to whatever open space may be includ-ed in the memorial area(s), proposals shouldinclude a variety of parks and open spaces that sup-port diverse activities, serving residents, visitorsand workers…[and] should include places for out-door performances, public artworks, quiet sitting,playgrounds, outdoor markets, etc." (Pg. 7)

A public market on Lower Manhattan's west side,once the site of the historic Washington Market, cancertainly help bring this much needed economic

and social activity to the neighborhoods around theWorld Trade Center site. Moreover, the public mar-ket - itself a form of world trade - can be a tribute to

the diversity of cultures andcountries that the victims ofthe attack represented. Inaddition, a public market inLower Manhattan would bea significant and muchneeded neighborhoodamenity, not only for thosewho live in the area, butalso for those who worknearby and of course, for themillions of expected visi-tors.

This study concludes that alarge public market hallwith a floor plan of nearly

one acre would be quite feasible, as would severalsmaller options. A larger market could become a"destination" for residents and employees in LowerManhattan, as well as for visitors. Previous experi-ence strongly suggests that a well-located and oper-ated market would be a powerful draw for residentsfrom more distant neighborhoods as well.

WHAT IS A PUBLIC MARKET?

A public market is a civic amenity with publicgoals; quite distinct from the kinds of markets gen-erally being built in urban centers today, includingthe South Street Seaport, which itself was builtaround the soon-to-be-vacated Fulton Fish Marketin New York. Instead of being a "festival market-place" or an area generally strictly meant to encour-age tourism and commercial activity, a public mar-ket is seen and felt by the citizens to be a true pub-lic amenity, providing both a variety of local and

A public market is a civicamenity with public goals.

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culturally significant products and experiences, aswell as being a public space where all ages, income,and ethnic groups mix to enjoy the city.

A public market can be a combination of flexibleindoor and outdoor public spaces and a hall withstalls, permanent shops and restaurants. While tra-ditionally focused on fresh, regional and ethnic foodproducts, public markets today offer a broad rangeof products in indoor and outdoor facilities and pub-lic spaces—by businesses that are locally owned,and usually managed by a nonprofit organizationthat keeps the market focused on public goals whileensuring that financial goals are met. Public mar-kets provide outlets for farmers and independentvendors alike to sell all kinds of food productsdirectly to customers—from produce to bakedgoods to meat and fish to prepared and ethnic foods.Portions of public markets can provide outlets forlocal artisans, performers, and other uses that flexi-ble public spaces provide.

Public markets, until recently a tradition in decline,have made a comeback across the country over thepast 20 years as existing markets have been revital-ized and new public markets established in world-class cities around the globe. This revitalization istaking place because city leaders realize that pub-lic markets can be catalysts for the "vibrant, mixed-use community" that the City Council is encourag-ing for Lower Manhattan, because they are the kindof public spaces that make a neighborhood and citya diverse and exciting place to live and visit, andbecause they offer an opportunity to promote andencourage independent businesses.

ABOUT THIS REPORT

The New York City Council asked Project for PublicSpaces/Public Market Collaborative (PPS/PMC) toassess the feasibility of different forms of a publicmarket for Lower Manhattan and to prepare a guideto help planners and designers who are studyingvarious alternatives for the World Trade Center site.This report therefore also seeks to present the vari-ous forces that shape public markets, what econom-ic forces drive them, and how their locations, man-agement structures, size, merchandise mix, anddesign govern their use and success. This conceptshould and will continue to be discussed andexplored by the communities living and working inLower Manhattan, the families affected by thetragedy and other stakeholders

Our overall conclusion: With the right plan, busi-ness mix and management, a public market can ani-mate public spaces, help revitalize the neighbor-hood, create business opportunities, and provideneeded services for residents, workers and visitors.In Lower Manhattan, a public market can be amajor facility for the assistance of small businessesincluding merchants from Chinatown, Little Italyand Tribeca, as well as artists and craftspeople. Itcan shine as a significant new cultural institutionfor New York.

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WASHINGTON MARKET, 1853.MUSEUM OF THE CITY OF NEW YORK

BROMLEY MAP OF MANHATTAN, 1879.

BROMLEY MAP OF MANHATTAN, 1974.

"An enticing array of food offered

including caviar from Siberia,

Gorgonzola cheese from Italy, hams

from Flanders, sardines from Norway,

English partridge, native quail,

squabs, wilds ducks and pheasants:

also fresh swordfish, frogs-legs, brook

trout, pompanos, red snappers, codfish

tongues and cheeks, bluefish cheeks,

and venison and bear steaks."

-Description of Washington Market, 19393

3 WPA Guide to New York City, The New Press, New York, original copyright, 1939, p 74.

CHAPTER I

History of Washington Market

history of washington m

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Unlike Pennsylvania Station, which disappearedphysically but remains firmly etched in memory,many New Yorkers are largely unaware of the equal-ly remarkable buildings that once stood on the for-mer World Trade Center site, which was designedfor the movement of foodinstead of people.Washington Market was oneof the most impressive mar-ket structures in the countryand played a pivotal role inthe entire New York region'sfood distribution system. Itwas natural for the nation'smost commercial city tohave its most magnificentcommercial hall rivalingSpitalfield's and CoventGarden in London and Les Halles in Paris.

Washington Market was bounded by Fulton, Vesey,Greenwich and West Streets, the approximate loca-tion of the former U.S. Customs House that was partof the World Trade Center complex. Both historicaland legal precedent exists for a market at this site.In 1771, the land was contributed to New York'sCommon Council by Trinity Church, which"released their right and claim to the ground onwhich the same is proposed to be built for the use ofthe market forever."4

The first market on the World Trade Center site wasknown as the Bear Market, because a butcher shotand killed a bear as it was crossing the Hudson, andoffered it there for display and sale. Bear Marketwas eventually torn down and replaced byWashington Market in 1813. By 1862 an observerwrote that:

[Washington] market is without doubt the greatestdepot for the sale of all manner of edibles in theUnited States; it not only supplies many thousands ofour citizens, but I may say, many of the surroundingcities, towns, villages, hotels, steamers (both ocean

and river) and shipping vessels ofall descriptions.5

In 1883 the market was rebuiltagain with a larger retail hall. Bythis time the wholesale markethad spread for 12 blocks northalong Washington Street into thepier sheds, warehouses andstreet stalls. The retail marketwas rebuilt again in 1914 and atleast once after the Depression,and was closed by the city in

1956. The remnants of the wholesale WashingtonMarket complex to the north were finally replacedby Hunt's Point in the Bronx in 1967.

Of course, public markets have been vital to thegrowth and identity of Lower Manhattan and notlimited to food. Some of the world's great publicequities and commodities markets, including theNew York Stock Exchange, the MercantileExchange, the American Stock Exchange, and theNew York Coffee, Sugar and Cocoa Exchange,began life as open-air markets. The buttonwood treeon Wall Street where merchants agreed to meet tobuy and sell securities in 1792 became the NewYork Stock Exchange. The American StockExchange began as The Curb Exchange, an open-air market that operated on Broad Street from themid 19th century until 1921, when it changed itsname and moved indoors.

4 De Voe, Thomas F. The Market Book: A History of the Public Markets of the City of New York. 1862, reprinted by AugustusM. Kelley, Publishers, 1970, p. 454. 5 Ibid, p 308.

Washington Market was oneof the most impressive mar-ket structures in the coun-try and played a pivotal rolein the entire New Yorkregion's food distributionsystem.

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VESEY AND WASHINGTON STREETS, 2001.MUSEUM OF THE CITY OF NEW YORK

CURB MARKET, BROAD STREET, NYC, ND — POSTCARD

WASHINGTON MARKET, 1914. MUSEUM OF THE CITY OF NEW YORK

WASHINGTON MARKET, 1877.MUSEUM OF THE CITY OF NEW YORK

definition of a public market

One way to define a public market is by what it isnot. It is not a "festival marketplace" like the SouthStreet Seaport or BaltimoreInner Harbor. It is not a"street festival" of the kindthat populate New York'savenues in the warm months.It is not a shopping centerwith national brand stores.

A public market is a placeunderstood by the citizens asa public amenity, providingboth a variety of local and culturally significantproducts and experiences, and public spaces to

enjoy the city and appreciate its residents. Beloware three key characteristics of a public market, andsome specifics as to how they pertain to the WorldTrade Center site.

1. AA ppuubblliicc mmaarrkkeett hhaass ppuubblliicc ggooaallss.. The goal of acommercial market, mall or shopping center is toturn a profit. While a public market should beprofitable, or at least sustainable, this is not itsprimary public mission. Its public goals are to:

• Create an anchor for economic activity thatis more than just a shopping mall or a tourist

destination. A public mar-ket holds tremendouspotential for being a desti-nation for a wide variety ofpeople — residents, officeworkers and tourists —throwing off economic activ-ity both in the market itselfand in surrounding areas.Granville Island, a marketdistrict in Vancouver,

British Columbia, attracts 3 million visitorseach year, and supports over 260 business-

es, studios and facilities, including theatergroups, performers and marinas. A marketis also an incubator for small businesses, inparticular those run by woman and minori-ties. For example, 90% of the businessesoperating at the popular Union SquareHoliday Market are woman or minority-owned, although no specific recruiting orleasing practices encouraged this.

CHAPTER II

Definition of a Public Market


GRANVILLE ISLAND MARKET, VANCOUVER, BC. HAYMARKET, BOSTON, MA.

A public market...provid[es]both a variety of local and cul-turally significant productsand experiences, and publicspaces to enjoy the city andappreciate its residents.

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• Highlight and promote the internationaldiversity and talent in New York City's foodand arts. By attracting and fostering NewYork-based food and products, a market inlower Manhattan would become a tribute toethnic and cultural diversity in the city.Food is the key anchor for the public mar-ket, and there is no city in the world wherethe diversity of its residents can yield sucha plethora of food and culture. The marketcan also draw on fresh, regionally-producedfarm products. By zoning different parts ofthe market for different types of uses, it ispossible to mix products of artists and arti-sans into the market — again, which repre-sent the best of New York, and, by exten-sion, the world.

• Create a much-needed amenity for the sur-rounding neighborhoods. Residents ofLower Manhattan have long complainedabout the dearth of supermarkets. A recentstudy by the Alliance for Downtown NewYork noted that, despite the opening of sev-eral new stores in Battery Park City, resi-dents felt they were not being served byenough community-oriented retail, specifi-cally greengrocers and delis.6 A publicmarket will not only enhance the availabili-ty of fresh food but its quality as well. Withmultiple vendors within the market sellingsimilar categories of food, competition iscreated that keeps prices low and qualityhigh. The current residential population ofthe area is quite dense compared to otherUS urban areas, and the average income


6. Downtown New York, A Community Comes of Age, Alliance for Downtown New York, 2001, pg 5.

PUBLIC MARKET, STOCKHOLM, SWEDEN.

level (over $140,000/year) is affluent.These preliminary demographics, combinedwith evidence that the Greenmarket thatwas located in the WTC plaza was one of thecity's most successful, strongly suggests amarket would be welcomed by local resi-dents, as well as the working population.

2. AA ttrruuee ppuubblliicc mmaarrkkeett ccrreeaatteess aa ggrreeaatt ppuubblliiccssppaaccee aanndd aammeenniittyy. Public markets are civicinstitutions and therefore can function as casualand planned gathering spaces, where people ofall backgrounds can mix comfortably. Publicmarkets thereby enhance the potential for socialintegration in public spaces — attracting diverseincome levels, ages and ethnicities. Marketsalso help to animate a public space that may beused for other cultural uses and activities whenthe market is not operating — as well as anattractive outdoor space for people to eat pre-pared meals from the market, or meet friends.Indeed, markets are integral parts of some of thegreat public spaces of the world.

3. LLooccaallllyy oowwnneedd,, iinnddeeppeennddeenntt bbuussiinneesssseess.. It wouldbe of utmost importance that the providers in themarket are not chain stores, but rather representthe diversity and cultural significance of NewYork's global community. Public markets areparticularly good at incubating small businessesand helping them thrive because it takes rela-tively little startup capital to open a shop in apublic market, and because stalls are small andmanageable. Through special user clauses builtinto the market’s operating agreement, chainstores and franchises can be prohibited; onlylocally owned and operated businesses can beallowed to operate. While the market vendorswould certainly expect tourists to shop there, it isnot a tourist attraction per se, but a real publicamenity for workers, residents and visitors to the

area. As noted on their website, Seattle's PikePlace Market supports more than 100 farmers,150 craftspeople, nearly 300 commercial busi-nesspeople and 50 performers.

definition of a public market


READING TERMINAL MARKET, PHILADELPHIA, PAS

Three Characteristics of a Public Market

1. Public goals2. Public space3. Locally-owned

or independent businesses

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MARKET IN STOCKHOLM, SWEDEN, LOCATED NEXT TO A PUBLIC SQUARE

DOWNTOWN MARKET IN COPENHAGEN, DENMARK

site characteristics

A market downtown must be convenient for all itsintended customers: residents of Lower Manhattanand other nearby neighborhoods, office workers andvisitors. However, its ability to attract each of theseaudiences will be challenged by the site chosen andits relationship to the memorial, transit facility andthe street grid itself. If the market is too close to thememorial, it may become overwhelmed by tourists,and may also be less-frequently visited by locals, bethey workers or residents. However, if the market isintegrated into the transit facility, but lacks a rela-tionship to public outdoor spaces, tourists may notfind it as appealing, and workers may not use it forlunch — a critical factor.

Therefore, site selection is instrumental to a down-town public market’s success. A common mistakeby planners and developers is to assume that a pub-lic market will be a sufficient draw to support a mar-

ginal location. Worse, public markets are sometimesshunted to a side location in favor of national chainstores or other more commercial uses. It is thereforeof the utmost importance that the market be locatedin a space — whether stand alone or integrated intoan office building or other facility — that not onlywill be heavy with foot traffic to and from the trainsand ferries, but also linked to a visible outdoor pub-lic space that can be used for an open air green-market, events, and other programming suitable forthe site and context. Indeed, one type of publicmarket choice for this location is a strictly open airfacility.

VVIISSIIBBIILLIITTYYThe market must be visible and approachable fromas many vantage points as possible. The bustlingactivity of the market is one of its most importantforms of advertising.

PPRROOXXIIMMIITTYY TTOO TTRRAANNSSIITTThe market must be located adjacent to mass tran-sit. In Montreal, for instance, the city locates mar-kets adjacent to central public transportation hubs.

PPAARRKKIINNGGCustomer parking is not necessary in LowerManhattan as long as the proximity to public trans-portation is good. Convenient, short-term parkingand pick-up or drop-off areas are helpful for cus-tomers who drive or take a taxi. Vendor parking, andloading and unloading areas need to be providedbut could be off-site. Some markets allow vendors topark in their spaces and sell “from the back of thetruck.” In other cases, vendors are required tounload, set up displays and move their vehicles to aremote location.

CCOONNTTEEXXTT AANNDD SSUURRRROOUUNNDDIINNGGSSMarkets are synergistic and attract activity, includ-ing other retailers and even housing. An enjoyableenvironment is created not only by the market ambi-

CHAPTER III

Site Characteristics


A market downtown mustbe convenient for all itsintended customers.

VANCOUVER, BC

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ence itself, but also by what surrounds it. Marketsare extremely social and opportunities for places tosit, people-watch or meet friends and these factorsall add to the desirability of the market place as adestination.

AACCCCEESSSSIIBBIILLIITTYYOnce the market is seen, customers must be able toget there crossing as few obstacles as possible.Access should be easy whether customers arrive byfoot, bicycle, public transportation or automobile.Most markets have multiple entrances.

FFLLOOWWMarkets perform optimally with logical and easypedestrian flow. This can be facilitated with multipleentrances and exits into the market and multipleaisles and cross aisles within the market itself.


WEEKLY STREET MARKET, DORDOGNE, FRANCE

ENTRANCE TO GRANVILLE ISLAND MARKET

market types

MARKET TYPES BY USE

Markets can be categorized, at the broadest level,into wholesale and retail functions.

WWHHOOLLEESSAALLEEWholesale markets are those that are only open tothe trade; they are frequently specialize in a partic-ular product or products, such as flowers, produce,meat, and fish. Some of New York's retail districts(the diamond district is one example) serve aswholesale markets for their industries. In the 20thcentury, updated methods of product storage anddistribution made many wholesale market facilitiesobsolete, both in this country and abroad.Frequently, this transformation was accompanied byconsolidation to a few major distributors. Markets,by contrast, are facilities designed to handlenumerous small distributors and buyers.

RREETTAAIILLRetail markets are facilities for multiple small mer-chants to sell directly to consumers. Retail markets

have in some cases taken over from obsolete whole-sale market facilities, taking advantage of the his-torical, aesthetic and functional properties of oldermarket structures. In order to qualify as a publicmarket, the facility must be maintained for smallbusinesses only and conform to the public goalsstated elsewhere in this document.

FFAARRMMEERRSS MMAARRKKEETTSSFarmers markets are places where farmers, usuallylocal to the region, can sell to consumers at fullretail mark-up. In New York City, the Greenmarketprogram provides an important source of income forarea farmers, thus helping to maintain regionalfarmland. They also give city residents the choice tobuy local produce directly from producers.

IIMMPPOORRTTEEDD FFOOOODD MMAARRKKEETTSSNon-local foods can also be sold in public markets.These foods are imported from other states orregions and can be both fresh or packaged; fre-quently they include ethnic specialty foods fromaround the world.

CHAPTER IV

Market Types


WHOLESALE VENDOR, DETROIT EASTERNMARKET

DANE COUNTY FARMERS MARKET, WISCONSIN

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PPRREEPPAARREEDD FFOOOODD MMAARRKKEETTSSMarkets can also be places to buy prepared foods toeat on-site or take-away. Philadelphia’s ReadingTerminal Market and the Los Angeles FarmersMarket are popular examples of places where localresidents, workers and tourists go for a wide selec-tion of prepared foods from local restaurateurs.

NNOONN-FFOOOODD MMAARRKKEETTSSThere are nearly as many types of non-food marketuses as there are things to sell. Different non-foodmarkets in Paris, for example, specialize inantiques, coins and stamps; there is even a birdmarket on Ile de la Cite. Non-food items are oftenoriented towards handcrafted products, high-qualityimported goods, art and decorative items, and a fullarray of specialty, non-branded goods.

MARKET TYPES — LAYOUTS

Markets have many forms and tend to evolve overtime, ranging from small outdoor market with ahandful of vendors to large market districts cover-ing tens of acres. Market halls are often combinedwith a shed or outdoor vending areas. There aresome market vendors who do not like a permanentleasehold and prefer to sell at market in season oron a daily rental basis. Markets, as noted, can becombined with transportation centers, traditionalretail storefronts or arcades, parks, office buildingsor even parking facilities.

In the examples on the following pages, we investi-gate the feasibility of several market types for theWorld Trade Center site in Lower Manhattan.

PREPARED FOOD MARKET, TOULOUSE, FRANCE

BOOK MARKET, AMSTERDAM, THE NETHERLANDS

proposed options

While public markets vary in size, shape and typesof items sold, it is possible to broadly generalizeabout and suggest market types that—from ouranalysis—are feasible for Lower Manhattan. Wehave selected a classic market hall, a market shed,an open-air market, and a market district, which isa combination of these forms. While a market shedand open-air market could be established with rela-tively little capital investment, a market hall is asomewhat more intensive endeavor. Of course,open-air markets often function in combination withmarket halls and sheds, and can easily and veryeffectively be incorporated into a more permanentmarket scheme.

The demand for fresh and prepared food is likely tocome from an aggregate of three sources: residents,office workers, and visitors, with prepared foodaccounting for the greatest potential in sales. Whilethe ultimate location of the market is yet to be deter-mined, the location will ultimately have a stronginfluence upon the customer mix. Locations closeto, or integrated with public transit, and near resi-dential areas such as Battery Park City are prefer-able to locations on the east side.

This section presents three options for a publicmarket in Lower Manhattan, as well as an option fora "market district" that integrates them. Each ofthe three market types would be feasible (see belowfor detailed economic feasibility analysis). Some ofthe principle demographic points that illustrate thisconclusion are:

• The residential and office population are under-served by fresh and prepared food vendors.

• None of the food alternatives within the downtownarea are greater than 12,000 square feet in sizeand the closest supermarket is 1.5 miles away.

• While the residential population is consideredsmall compared to other neighborhoods, it repre-sents the lion's share of the potential for marketpurchases, mostly for prepared food.

• While each of these market prototypes meet thetest of self-sufficiency, the larger market halloffers a much higher potential to generate activ-ity in the area, and draw from a more significantrange of residents and workers.

• Any expenditures by the estimated 7.2 millionvisitors to the area, which would likely have asignificant impact on sales, have not been fac-tored-into this analysis.

Note: The following financial projections and lay-outs are examples only and can be modified to fit aspecific location. The stall sizes, rents, and costassumptions are meant to give a general insight intothe operations of a public market.

CHAPTER V

Proposed Options


ENGLISH MARKET HALL

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This is the simplest type of market: the easiest tostart, manage and fund. Open-air markets are usu-ally located in public spaces such as parks,squares, plazas or streets. An open-air market canwork in a site that serves other purposes, as themarket typically does not operate all day longand/or every day of the week.

Open-air markets are inherently flexible and canchange their layouts with ease. The infrastructurefor open-air markets is minimal, however, access towater and electricity should be made available forvendors. An open-air market can also operate inconjunction with a market shed or market hall.

We are proposing a medium-sized open-air marketof 9,800 square feet measuring approximately 152'x 64' accommodating 56 stalls. This layout does notinclude parking and loading for delivery vehicles.The project costs for an open-air market are forequipment and moveable stalls only-no permanentstructure is included. The open-air market is ableto generate a positive cash flow assuming no capitalor land costs.

Option 1: Open-Air Markets

10' 10' 10' 10' 10' 10'

10'

152' 12' 10' 10' 10' 10' 10' 10' 10'

10' 12' 10' 10' 12' 10' 64'

proposed options


FUNCTIONAL ANDDESIGNCONSIDERATIONS

• Highly adaptable to local con-ditions and configurations.

• The market “look” is estab-lished with vendor setups andmerchandise.

• Aisle widths for customers canbe as narrow as six feet.

• Vendor spaces need a mini-mum depth of six feet withfrontages of varying sizes.

• Permanent anchors forcanopies or tents can beimbedded just below-grade.

• Too much wind or sun can cre-ate functional difficulties.

• Public lighting allows marketto operate in the evening.

• Access to rest rooms is needed.

• Access to minimal electricityand water is needed.

• Layouts can be lateral, circularor random, with single- or double-sided aisles.

• Open-air markets can be com-bined with market halls orsheds.

USES OF CASH % OF TOTAL $/SF YEAR 1

Land Price None Hard Costs 87% $ 15 $ 145,920 Soft Costs @ 13% $ 2 $ 21,888 Total Costs 100% $ 17 $ 167,808

INCOME # UNITS RENT/MONTH Stabilized YR

Stall Rent 56 $ 400 $ 268,800 Total 56 $ 268,800 Less Vacancy @ 15% $ (40,320) Gross Potential Income $ 228,480

OPERATING EXPENSES STABILIZED YR

Ground Rent & PILOT TBD Insurance $ 20,000 Repairs & Maintenance $ 10,000 Utilities/Fuel $ 10,000 Payroll Manager $ 50,000 Custodian $ 35,000 Accounting/Legal $ 15,000 Marketing & PR $ 50,000 Reserve for Replacement $ 3,000 Total Operating $ 193,000 Net Operating Income $ 35,480

prop

osed

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ions Option 1: Open Air Markets


Paris has an outdoor public market system that iswithout parallel in the world. In a study conductedby the city, officials found that 56% of Parisiansregularly use the markets, with 29% of those goingmore than once a week. There are 60 open-air mar-kets in Paris that operate Tuesday - Sunday, gener-ally between the hours of 7:00am and 2:30pm.

Paris' outdoor markets thrive in spite of the reloca-tion of the central market, Les Halles (a market thathad flourished for 800 years in the city center), toRungis, seven miles outside of the city, now thewholesale food market for the region. Many of thestreet vendors get their supplies from Rungis andbring them into the city to resell. It is estimated thatonly ten percent of the city's vendors are actuallyfarmers.

Most of the markets use an anchoring system where-by vendors attach uniform aluminum frames into thepavement. These stalls/shelters are usually set upthe day before the market and removed at the con-clusion of the day’s business. Beginning in the late1970's the city government added electricalhookups at the markets for the vendors’ use. The

city also provides trash-hauling services for themarkets.

The city's outdoor markets are more popular thanever and there is a waiting list for vendors. Manyvendors have had the rights to sell at a market foryears and leases are passed down through genera-tions. There are 1800 regular vendors at the out-door markets.

The markets range greatly in size, the smallest hasjust 10 vendors, while the largest is over a half-milelong and has 150 vendors.

The city is also changing the way the markets aremanaged and have been hiring outside contractorsto operate the markets.

Paris, France

ART MARKET, PARIS

BIRD MARKET, PARIS

PARIS OUTDOOR FRUIT MARKET

proposed options

Since 1976, Greenmarket has organized and man-aged open-air farmers markets in New York City. Itspurpose is to support farmers and preserve farmlandby providing an opportunity for growers to sell over600 varieties of fruits, vegetables and other farmproducts directly to New Yorkers. Greenmarket wasfounded in the belief that the open market providesthe most beneficial means of exchange betweenfarmers and residents.

Markets are held in parks, playgrounds, parkinglots, closed streets or other available open spaces,and most run one day a week,rain or shine, though some runmultiple days.

Over 200 farmers and producerssell at Greenmarkets, generallyaround 8 to 12 in any one loca-tion. At a few locations, such asUnion Square and Grand ArmyPlaza, between 30 and 80 ven-dors will attend in peak season.

The markets are supported byvendor fees, ranging from $35 to$80 a day per selling spacedepending on location and pay-ment method. The balance of

costs are covered by foundations, chiefly theVinmont Foundation and the J.M. Kaplan Fundwhich have generously funded Greenmarket since itbegan.

Greenmarket is a program of the Council on theEnvironment of New York City, a privately funded,not for profit organization operating out of the Officeof the Mayor.

TEXT SUPPLIED BY GREENMARKET

Option 1: Open Air Markets


Greenmarkets, New York City

Option 2: Market ShedMarket sheds provide a layer of protection and per-manency not found in the open air. A shed is aroofed structure, open on the sides and generallyhas a central walkway for customers flanked withvendor spaces and displays. Larger sheds can havemultiple parallel walkways, while others can becross-shaped with intersecting walkways. Still oth-ers have more organic shapes, customized to fit intoa particular topography or site.

Infrastructure in a shed includes water, electricity,lighting, drainage and optional display counters.Some sheds are built with a two-story head house atone end. The upper story can be used for publicmeetings, offices, museums or additional retail.The first floor often has public restrooms or storage.

We are proposing one shed with a central break of11,000 square feet-approximately 304' x 36' with52 10' x 12' deep stalls. The shed would providevendors with shelter from the weather and power butis not fully enclosed and has no climate control.The roof height would be 15' - 25' tall.

A market shed with 52 stalls is able to cover itsoperating expenses. A smaller facility would requireoperating subsidies and a larger facility wouldinsure greater economic freedom. Market sheds areoften combined with open-air markets.

prop

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ions


10' 10' 10' 10' 10' 10' 10'

12' 10' 10' 10' 10' 10' 10'

304' 12' 10' 10' 10' 10' 10' 10' 12' 10' 10' 10' 10' 10' 10' 10'

12' 12' 12' 36'


proposed optionsFUCNTIONAL ANDDESIGNCONSIDERATIONS

• Can work in combination with anopen-air market or market hall.

• Must be strong, as marketsheds take a beating.

• Roof heights and column spac-ings must be practical and allowease of access for customers,trucks and maintenance.

• The layout of individual spacesshould not be fixed.

• The floor must have a properslope for drainage and mainte-nance.

• Water and electricity must beaccessible for all vendors.

• Vendor areas should be slopedaway from customer walkways.

• Sheds may be enclosed withcurtains, doors or panels —although many are not.

• Interior lighting or skylightsadd to the ambience of the expe-rience.

• Public restrooms may beincluded within a shed. If not,other access is needed.

• Aisle widths can comfortablyrange from 7 to 12 feet.

• Vendor selling spaces shouldbe within the roofline.

• Sheds should be emptied andcleaned every night, except onspecial occasions.


Land Price None Hard Costs 80% $100 $1,094,400 Soft Costs @ 20% $25 $273,600 Total Costs 100% $125 $1,368,000


Stalls 52 $600 374,400 Less Vacancy 15% (56,160) Gross Potential Income 318,240


Ground Rent & PILOT TBD Insurance $ 30,000 Repairs/ Maintenance/Trash $ 30,000 Utilities/Fuel $ 15,000 Payroll Manager $ 55,000 Custodian (2) $ 60,000 Accounting/Legal $ 15,000 Marketing & PR $ 50,000 Reserve for Replacement $ 5,000 Total Operating $ 260,000 Net Operating Income $ 58,240

prop

osed

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ions Option 2: Market Shed


EASTERN MARKET SHED, DETROIT, MICHIGAN

proposed options

It would be difficult to find a local institution asimportant to a city as Eastern Market is to Detroit.It is a simple array of warehouses, sheds, parkinglots, retail and loft buildings, but it has a place inthe hearts of seemingly everyone in the metropolitanarea.

Although the farmers market only operates onSaturdays, the market district is busy nearly 24hours a day, seven days a week, with wholesalersdriving business during the evening and early morn-ing weekdays, restaurants attracting a busy lunchcrowd from downtown, jazz clubs, art galleries,farmers and butchers drawing weekend food shop-pers. Most important, however, is the continuity ofthe market itself. Many vendors and merchantshave conducted business there for 50 years or more,and most shoppers consider a trip to Eastern Marketfor produce, flowers, and other foodstuffs to be afamily tradition.

Eastern Market is located on land that had been acemetery until the graves were relocated to GrossePoint in 1869. The market is an 80-acre marketdistrict which includes five sheds. The sheds wereadded, one at a time, beginning in 1891 with thelast going up in 1965. Eastern Market is the lastand biggest of the inner city market districts in theUnited States. It attracts thousands of retail shop-pers and wholesale buyers, who in turn support over

350 businesses and farmers.

The sheds at Eastern Market are owned and operat-ed by the city of Detroit. The hundreds of surround-ing properties are privately owned and comprisefood wholesalers and manufacturers, butchers, coldstorage warehouses and retail storefronts. TheEastern Market district is seeing the early signs ofchange as old buildings are being recycled into loftapartments, artist studios and music clubs.

The market’s outdated management structure can-not cope with many challenges the city and marketcurrently face, and a new entrepreneurial organiza-tional structure driven by a public/private partern-ship is currently being considered by the city.

Option 2: Market Shed

Eastern Market, Detroit


Option 3: Market Hall

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osed

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ions


The market hall first evolved as an enclosed shedand has grown to be the most sophisticated of mar-ket structures. A market hall is the most expensivetype to develop and most intensive to manage.However, most public market halls do not carry anydebt and are operationally self-sustaining.

Market hall interiors are laid out in a manner thatecho the grid of city streets with permanent stalls

flanking a series of north-south and east-west aislesto optimize display frontage. Up to half of the floorspace in a market hall is used for customer circula-tion.

Since prepared food would be a necessity in thislocation, vendors would need full-scale cooking andpreparation facilities in their stalls. As a resultmany of the stalls are larger than usual. In addition,market halls are often designed with flexible openpublic areas around the exterior, which can act asopen-air markets one day and a park on other days.Although the costs of an open-air market have notbeen factored into this particular analysis, but areanalyzed separately, this should not lead the readerto assume that the two are mutually exclusive.

Based on our feasibility analysis (see followingchapter), we are proposing a minimum size of42,000 square-feet for a market hall (for reference,1 acre = 43,560 sq ft). The hall would be approxi-mately 304' x 138' on two levels with space for 252vendor stalls. The middle aisle stalls would be 10' x10' and could be leased in multiple increments toaccommodate larger businesses. The perimeterstalls would be 10' x 15' deep to accommodate wetservices and refrigerators for food service. The mez-zanine level stalls would be along the perimeteronly and overlook the ground floor of the hall. In atraditional hall, the ceiling would be 30' - 40' highwith skylights. Alternatively, a vaulted ceiling couldbe used if other uses existed above the market.

As discussed in the following chapter, if the markethall were located in a visible and accessible site, alarger hall may also be feasible, based on its abilityto draw customer from outside of the immediateneighborhood.

10' 10' 10' 10' 10' 10' 10'

12' 10' 10' 10' 10' 10' 10' 304' 10' 10' 10' 10' 10' 10' 10'

12' 10' 10' 10' 10' 10' 10' 10' 15' 12' 10' 10' 12' 10' 10' 12' 10' 10' 12' 15'

138'

proposed options


FUNCTIONAL ANDDESIGNCONSIDERATIONS

• Requires complete mechanicalsystems and code compliance

• Requires full-time manage-ment, promotion and mainte-nance

• Other required elements: coldstorage, dry storage, office,bathrooms, loading areas, trashhandling area, HVAC, interiorand exterior lighting, signage,tenant space allocation, cus-tomer aisles, common seatingareas, utility grid to all tenants,good ceiling heights, columnspacing that does not interferewith market layout, slopedfloor for cleaning, excellentdrainage system, centralizedexhaust system, and a mainte-nance workshop

• Development and constructioncosts can exceed $300 persquare foot

• Market halls can have comple-mentary uses on floors above orbelow the project such as trainstations, office buildings, gym-nasiums, lecture halls, day-care, restaurants, parking andhousing

MARKET HALL, VALENCIA, SPAIN

prop

osed

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ions Option 3: Market Halls



100sf Ground Level Stalls 144 $ 450 $ 777,600 150sf Ground Level Stalls 54 $ 600 $ 388,800 100sf Mezz Level Stalls 54 $ 200 $129,600 Total 252 stalls $1,296,000 Less Vacancy @ 15% $ (194,400) Gross Potential Income $ 1,101,600


Land Price None Hard Costs 87% $ 250 $10,488,000 Soft Costs 13% $ 38 $ 1,573,200 Total Costs 100% $ 288 $12,061,200


Ground Rent & PILOT TBD Insurance $ 125,000 Repairs & Maintenance $ 50,000 Utilities/Fuel $ 150,000 Payroll inclusive of Benefits Manager $ 70,000 Assistant Manager $ 40,000 Custodian (5) $ 150,000 Accounting/Legal $ 25,000 Marketing & PR $ 250,000 Supplies and Office $ 40,000 Rubbish Removal $ 60,000 Reserve for Replacement $ 25,000 Total Operating $ 985,000 Net Operating Income $ 116,600

Operating expenses include typical expense items.There is no budget for ground rent, PILOT (paymentin lieu of taxes) or debt service (it is assumed therewill be no debt on the project). The market hall gen-erates a positive net operating income and could beself-sufficient.

Income is based upon the first stabilized year withfull occupancy. Rents are expressed on a cost-per-month basis and are inclusive of all common areamaintenance charges. Projected rents are below-market to enable management to reach out to smallNew York-based businesses.

Hard costs include actual constructioncosts. Soft costs include architect, engi-neering, legal, other consultants and anyclosing or financing costs (see Table 1).

proposed options

Reading Terminal Market, built by the ReadingRailroad, was the world's largest indoor food marketwhen it opened in 1892. Above the market is the130,000-square foot train shed of the ReadingRailroad that helped transport millions of passen-gers every year until the trains were rerouted under-ground in 1984. The train shed now serves as anentrance hall to a convention center. The markettraces its development to the late 1600's whenfarmers and fishermen set up informally on thebanks of the Delaware River. The market grew froman open-air facility to a shed market to a medium-sized market hall and finally into the current build-ing at the turn of the last century.

The market was a marvel of its time with refrigera-tion in the basement, marble counters and all man-ner of goods from local producers and from aroundthe world.

The market was operated privately by the ReadingRailroad until 1990, when the company sold it tothe Pennsylvania Convention Center Authority,which built part of its new $500 million facility ontop of the market.

The market flourished for nearly half a century andthen, almost imperceptibly, went into a slow declineafter World War II, which continued up until the1970's when the market nearly closed. TheReading Railroad, having recently emerged frombankruptcy proceedings, decided to reinvest in themarket as well as other properties it owned adjacentto the market in the late 70's. The market's fortuneswere reversed, and it once again regained its pre-eminence as the' place to shop for high-quality freshfoods.

The mission of Reading Terminal Market isunchanged since its inception in 1892:

"To provide Philadelphians the opportunity tochoose among, and buy at reasonable prices, a widevariety of produce, meat, fish, dairy products andother foodstuffs, brought to public market in thecenter of the city by farmers, growers, and produc-ers, and to do this in a setting that recognizes andcelebrates the diversity of our citizens and stimu-lates their interaction and which reinforces the his-toric link and mutual dependency of the rural andurban centers."

Option 3: Market Halls

Reading Terminal Market, Philadelphia


©BURKE UZZLE

prop

osed

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ions Option 3: Market Halls


proposed options

A market has stood at the site of the presentLeadenhall Market since Roman times, althoughthe first meat and fish market opened in the 14thcentury. The market was a thriving poultry, meat,fish and corn market when it was destroyed in theGreat Fire of 1666. The current glass and steelstructure was built in 1881 by Horace Jones.

Located directly adjacent to the Lloyd's buildingand the Stock Exchange, the market is frequentedby workers in the financial district, though theymostly patronize its chic cafes and shops, neglect-ing the few remaining butchers and cheese-mon-gers.

The streets of London run through the market’sarcades: four avenues, entered through tall, stonearches, meet in a central crossing. On the groundlevel the spaces are divided into shops. The vend-ing stalls also spill out onto the cobbled streetsevoking the market activity of old.

According to the Corporation of London website:“A celebrated character in Leadenhall during the18th century was 'Old Tom', a gander which man-aged to escape execution even though it is recordedthat 34,000 geese were slaughtered there in twodays. He became a great favourite in the market andwas fed at the local inns. After his death in 1835 atthe age of 38, he lay in state in the market and wasburied there.”7

Option 3: Market Halls

Leadenhall Market, London


7. http://www.cityoflondon.gov.uk/our_services/markets/leadenhall.htm

RUDOLF ACKERMANN, LEADENHALL MARKET, 1808

Market districts represent the most mature andintensive type of market facility. A district general-ly encompasses a variety of market uses and caninclude multiple market halls, sheds and open-airvending spaces. Districts often have wholesale andretail components and operate around the clock, allyear long. Most true historic market districts areremnants of central food distribution centers, whichare now typically located on the outskirts of the citycenter.

For the purposes of this analysis, it is possible toview a market district as a combination of the threetypes of markets previously described. Very often,market sheds are attached to market halls, givingvendors additional weather protection and expand-ing their season. Perhaps the best option for theWTC site would be an open-air market in combina-tion with a market hall. The hall could be used pri-marily for prepared food and items that need refrig-eration (meat, cheese, etc.) while the open-air mar-ket could provide produce and flowers seasonally(much like the Greenmarket that used to operate inthe WTC plaza). In addition, the public spacewould give a market hall a strong identity. For thisreason, PPS/PMC strongly recommends that thisoption be given serious consideration.

Option 4:Market District/Combined Option

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osed

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ions


PIKE PLACE MARKET, SEATTLE

proposed options


Pike Place Market, Seattle

The Pike Place Market, which was nearly torn downin the 1970's, is now one of the most successfulmarkets in the world and draws more people into thecity than Seattle’s sporting and entertainment eventscombined.

Pike Place is a market district comprising manybuildings, streets, housing, senior and children's cen-ters, restaurants, shops, farmers, craft vendors andstrolling musicians who are actually licensed by man-agement. There is now a serious tourist trade at themarket that threatens the local character and charm.

Although Pike Place traces its origins as an open-air market at the turn of the century, it was therecipient of nearly $35 million in UDAG money inthe 1970's when the market was completely retrofit-ted after winning a preservation battle.

The Pike Place Market PDA (Preservation andDevelopment Authority) is a nonprofit public corpo-ration chartered by the city of Seattle in 1973 toserve as caretaker and steward of the city's historicpublic-market center.

The market is also helped by a nonprofit 501 c(3),The Market Foundation, which works to supporthuman service agencies, advocates for low-incomeand needy residents and raise funds to support thepublic purposes of the PDA.

PDA staff activities are governed by the PDACouncil, a 12-member volunteer board consisting offour mayoral appointees, four members elected bythe market constituency, and four members appoint-ed by the PDA Council itself. Council membersserve four-year terms.

PDA serves as landlord and manager for 80% of theproperties located within the nine-acre market his-torical district. The remaining properties are ownedby various private interests. All buildings andactivities within the Pike Place Market, regardlessof ownership, are governed by the covenants andordinances designed to protect and preserve the tra-ditional commercial and cultural uses of the market.Revenues for the market are derived through prop-erty management activities. The market is not tax-supported.

The Pike Place Market Historical Commission is anarm of the city of Seattle Department ofNeighborhoods. The Historical Commission hasauthority over allowable design and use of spacewithin the market, in accordance with City guide-lines and policies designed to maintain and pre-serve the market's historic character. Commissionmembers are appointed from property owners, mer-chants and residents within the historic district.

PIKE PLACE MARKET — POSTCARD PIKE PLACE MARKET — POSTCARD

Option 4: Market Districts

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LOWER MANHATTAN DOWNTOWN BUSINESS DISTRICT CENSUS TRACTS(SOUTH TRIBECA TRACT 21, WTC TRACT 13, BATTER PARK CITY TRACT 317.1, FINANCIALDISTRICT TRACTS 7 & 9, INSURANCE DISTRICT TRACTS 319, 15.01, & 15.0 THESE TRACTSFORM THE BOUNDARIES FOR THE NEIGHBORHOODS ANALYZED IN THE FOLLOWING SECTION.


feasibilitySSUUMMMMAARRYY OOFF EECCOONNOOMMIICC FFEEAASSIIBBIILLIITTYY OOFFTTHHRREEEE PPRROOPPOOSSEEDD TTYYPPEESS OOFF MMAARRKKEETTSS

All three market prototypes, open-air market, mar-ket shed and market hall, are economically feasible(meaning self-sufficient or profitable) based uponthe recommendations outlined above. Self-suffi-ciency is measured by the rent as a percentage ofestimated potential sales. Small independent foodoperators in shopping centers usually pay between5 percent and 10 percent of sales in occupancy cost.This is a much higher percentage than supermar-kets pay, but the economics are different for small-er food vendors. With this in mind:

The large market hall prototype has the potential togenerate $15.5 million in sales. The estimatedoperating expenses for the market hall is $985,000,which is six percent of estimated sales potential andwell within the range of feasibility.

The market shed prototype has estimated operatingexpenses of $260,000 annually and an estimatedmarket potential of $5.5 million. The operatingexpenses are 5 percent of sales.

The open-air market prototype has estimated oper-ating expenses of $193,000 with the same annualestimated market potential of $5.5 million. Thisprototype reflects operating expenses at four per-cent of sales.

MMAARRKKEETT AANNAALLYYSSIISS OOFF PPOOTTEENNTTIIAALL PPUUBBLLIICCMMAARRKKEETT CCUUSSTTOOMMEERRSS

DDOOWWNNTTOOWWNN RREESSIIDDEENNTTSS KKeeyy PPooiinnttss::• The downtown residential population is growing,

and is more affluent than other parts of the city,with strong buying power.

• Residents show a stronger demand for preparedor take-out foods than for fresh food.

• Many residents also work in the neighborhood ornearby and few have cars, creating a captivemarket for a public market. A public market cantherefore greatly enhance the desirability of thedowntown as a place to live, helping to attractnew residents.

• Residents have a potential for $40.7 million insales for unprepared food for at-home consump-tion, and $13.7 million in sales for fresh foodproducts. This is sufficient to support a publicmarket with both components.

TThhee ddoowwnnttoowwnn rreessiiddeennttiiaall ppooppuullaattiioonn iiss ggrroowwiinngg,,aanndd iiss mmoorree aafffflluueenntt tthhaann ootthheerr ppaarrttss ooff tthhee cciittyy,, wwiitthhssttrroonngg bbuuyyiinngg ppoowweerr.. The study area for this feasi-bility analysis is primarily south of Chambers Streetbetween the Hudson and East Rivers. It includessuch submarkets as the southern portion of Tribeca,

CHAPTER VI

Economic Feasibility Analysis

DOWNTOWN MARKET AREA

POPULATION 2000

HOUSEHOLDS 2000

AGGREGATE INCOME

AVERAGE HOUSEHOLD

INC. WTC/South Tribeca 3,932 1,918 $291.6 $152,033 Battery Park 7,951 4,419 $659.5 $149,242 Financial Dist. 2,350 1,103 $125.2 $113,509 Insurance Dist. 8,499 3,830 $335.4 $87,650 Total 22,732 11,207 $1,411.7 $125,966

SOURCE: CENSUS AND REPG

(MIL)


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ty

the Financial District, Insurance District, part ofCity Hall, and the World Trade Center/Battery ParkCity area. This area represents the "source ofdemand" or the location of residents who will be themarket's primary customers. In the previousdecade (1990-2000) the population in the area grewfrom 13,893 people to 22,732 people, now livingwithin 11,270 households. The households have anaverage annual income of $125,966 and the areahas a total buying power of more than $1.4 billion.

RReessiiddeennttss sshhooww aa ssttrroonnggeerr ddeemmaanndd ffoorr pprreeppaarreedd oorrttaakkee-oouutt ffooooddss tthhaann ffoorr ffrreesshh ffoooodd.. Another impor-tant statistic is the number of one-person house-holds in the area. Almost half the households(47%) consist of just one person (the average house-hold size is 1.8 person). Since single householdsspend 32 percent of their food dollars at home,while a typical metropolitan New York residentspends 58 percent of their food dollar at home, thelarge number of single households represents a con-siderably more robust picture for prepared food overfresh food.

MMaannyy rreessiiddeennttss aallssoo wwoorrkk iinn tthhee nneeiigghhbboorrhhoooodd oorrnneeaarrbbyy aanndd ffeeww hhaavvee ccaarrss,, ccrreeaattiinngg aa ccaappttiivvee mmaarrkkeettffoorr aa ppuubblliicc mmaarrkkeett.. A public market can thereforegreatly enhance the desirability of the downtown asa place to live, helping to attract new residents.Almost two-thirds (63%) of the people in downtownare in the work force. About 12 percent work athome, 32 percent walk to work, and most of theremaining 56 percent take public transit (includingtaxi) to work. A high 73 percent of households donot have a vehicle, making it difficult for many toleave the area to buy food products.

RReessiiddeennttss hhaavvee aa ppootteennttiiaall ffoorr $$4400..77 mmiilllliioonn iinn ssaalleessffoorr uunnpprreeppaarreedd ffoooodd ffoorr aatt-hhoommee ccoonnssuummppttiioonn,, aanndd$$1133..77 mmiilllliioonn iinn ssaalleess ffoorr ffrreesshh ffoooodd pprroodduuccttss.. TThhiissiiss ssuuffffiicciieenntt ttoo ssuuppppoorrtt aa ppuubblliicc mmaarrkkeett wwiitthh bbootthhccoommppoonneennttss.. The food for at-home consumption(i.e. unprepared food) for the downtown area of NewYork City is estimated at $30.5 million. However,this is a gross potential and is shared by anyone whosells food for "at-home consumption," but it doesnot include take-out restaurant food. Demand for apublic fresh food market is more limited in salespotential. Their products usually consist of bakerygoods, meats, poultry, fish, and fresh produce. Thetotal estimated gross potential for these items is$13.5 million.

SELECTED FOOD ITEMS AVERAGE ANNUAL

HOUSEHOLD EXPENDITURE

Bakery $262 Beef $181 Pork $100 Other Meats $72 Poultry $130 Fish & Seafood $114 Fresh Fruits $162 Fresh Vegetables $160 Total of Selected Items $1,181

SOURCE: CONSUMER EXPENDITURE SURVEY ANDREPG

Finance District

10%

WTC7%

South Tribeca

10%

Battery Park City

38%

Insurance District

35%

DISTRIBUTION OF FRESH FOOD SALES POTENTIALBY DOWNTOWN SUBMARKET


feasibility

Finally, it is important to note how residentialdemographics surrounding a potential World TradeCenter site compares with demographics surround-ing other major public markets. We selected threeother markets to compare with the World TradeCenter location: the Grand Central Station Marketin New York City, the Reading Terminal Market indowntown Philadelphia, and the Pike Place Marketin downtown Seattle. In comparison to other publicmarkets in downtown commercial centers, the quar-ter mile ring around the World Trade Center siteoffers superior demographics in terms of householdincome and residential growth.

DDOOWWNNTTOOWWNN EEMMPPLLOOYYEEEESS KKeeyy PPooiinnttss::

• While the number of downtown office workersdeclined after 9/11, a market can act as a mag-net to draw new workers to the area.

• While fresh and prepared food sales by workersis less than for residents, office workers still add$8 million in food products, of which $3 millionwould be in fresh food, from a ¼ mile radiusaround the WTC site.

• Additional sales potential of $7.9 million(including $0.2 million in fresh food) are gener-

ANALOGS OF PUBLIC FOOD MARKETS

Selected Markets Population Households

Agg. Total

Income (M)

Avg. Hshld.

Income

Change 1990- 2002

Hshld. Grand Central Station Market/0.25 Mi Ring 9,692 6,194 $642.9 $103,267 446

Pike Place Market, Seattle, WA .25 Mi ring 3,173 2,106 $122.4 $56,879 898

Reading Terminal Market, Phil. PA .25 Mi Ring 1,831 5,760 $32.0 $38,219 185 World Trade Center/.25 Mi ring 6,500 3,424 $903.7 $139,030 2,340

Grand Central Station Market/0.5 Mi Ring 45,113 29,075 $3,136.3 $107,543 2,262 Pike Place Market, Seattle, WA .5 Mi Ring 8,138 5,130 $306.1 $57,549 1,872

Reading Terminal Market, Phil. AP .5 Mi Ring 11,777 5,760 $267.1 $42,819 1,105 World Trade Center/.5 Mi Ring 21,109 10,585 $1,225.5 $115,774 7,140

Grand Central Station Market/1 Mi Ring 149,344 91,320 $9,806.6 $106,787 6,237

Pike Place Market, Seattle, WA. 1 Mi Ring 37,130 21,506 $1,248.2 $47,834 7,503 Reading Terminal Market, Phil. PA 1 Mi Ring 58,162 34,460 $1,900.1 $53,823 2,045 World Trade Center/1 Mi Ring 68,253 29,252 $2,721.0 $93,020 11,578

SOURCE: SCANUS AND REPG


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ated from the secondary area (area beyond ¼mile but within the downtown area).

WWhhiillee tthhee nnuummbbeerr ooff ddoowwnnttoowwnn ooffffiiccee wwoorrkkeerrss hhaassddeecclliinneedd aafftteerr 99//1111,, aa mmaarrkkeett ccaann aacctt aass aa mmaaggnneett ttooddrraaww nneeww wwoorrkkeerrss ttoo tthhee aarreeaa.. Although the resi-dential population of downtown New York has grownby almost two-thirds in the past decade, it is still apredominately office market. The seven buildingsthat were destroyed contained 13.9 million squarefeet employing an estimated 46,400 people. Inaddition, three other buildings with a combinedtotal of 1.75 million square feet and an estimatedoffice population of 5,850 people received majordamage and have not been reoccupied.

Prior to 9/11, the downtown office population wasprojected to increase by almost 10,000 people overthe next decade. While the rate of increase willlikely slow, we believe that the fresh food marketwill help the area return to its previous populationgrowth projections, in part because the market canhelp bring a sense of vitality, helping to addresssome non-measurable effects that 9/11 brought toLower Manhattan.

The downtown area had 368,000 people who hadbeen working there before September 11, 2001.Since the attack, the Downtown Alliance has esti-mated that about 300,000 people now work south ofCanal Street.

Within the primary area of the World Trade Centersite, which we have defined as a quarter-mile, weestimate that there is a total of 32.2 million squarefeet of undamaged office space, which could beoccupied by almost 110,000 people. Within theremaining part of downtown, which for our studypurposes does not include the City Hall office mar-ket area, we estimate another 31.5 million squarefeet of office space with 105,000 daytime employees.

WWhhiillee ffrreesshh aanndd pprreeppaarreedd ffoooodd ppuurrcchhaasseess bbyy wwoorrkk-eerrss iiss lleessss tthhaann ffoorr rreessiiddeennttss,, ooffffiiccee wwoorrkkeerrss ffrroomm aa¼¼ mmiillee rraaddiiuuss aarroouunndd tthhee WWTTCC ssiittee ssttiillll aadddd $$88 mmiill-lliioonn iinn ffoooodd pprroodduuccttss,, ooff wwhhiicchh $$33 mmiilllliioonn wwoouulldd bbeeiinn ffrreesshh ffoooodd.. It is very difficult to estimate demandfor fresh food from the daytime office populationwithout additional primary research. The best com-parison would be the Grand Central Market on

DOWNTOWN OFFICE MARKET POPULATION ESTIMATES BY SUBMARKETS

Trade Area Square Feet Offices Estimated Day-Time Population

World Trade Center/Battery City Submarket Prime 20,397,992 67,993 Secondary 3,156,655 10,522 Subtotal 23,554,647 78,515

Financial District Submarket Prime 10,308,718 34,362 Secondary 10,408,548 34,695 Subtotal 20,717,266 69,057

Insurance District Submarket Prime 1,526,760 5,089 Secondary 17,906,288 59,688 Subtotal 19,433,048 64,777

Downtown Office Market (without City Hall District Submarket) Prime 32,233,470 107,445 Secondary 31,471,491 104,905 Grand Total 63,704,961 212,349

SOURCE: TENANTWISE.COM AND REPG


feasibilityLexington Avenue, but we have no studies showingwhat office workers in that market area buy or spendon fresh food items. However, based on other stud-ies by REPG, we have estimated an average annualexpenditure on food products of $75 per person, ofwhich $40 would be on fresh food items.

Within this quarter-mile radius, we therefore esti-mate food products expenditure of $8 million andfresh food expenditure of $4.3 million. TThheerree iiss aannaaddddiittiioonnaall ssaalleess ppootteennttiiaall ooff aapppprrooxxiimmaatteellyy $$77..99mmiilllliioonn ffoorr ffoooodd pprroodduuccttss ((ooff wwhhiicchh tthhee ffrreesshh ffooooddppootteennttiiaall iiss $$44..22 mmiilllliioonn)) ffrroomm tthhee sseeccoonnddaarryy aarreeaa..

DDOOWWNNTTOOWWNN VVIISSIITTOORRSSKKeeyy PPooiinnttss::

• Tourists and visitors will come to the area in sub-stantial numbers.

• Visitors can benefit the market in terms ofadding to its vitality, but can also be detrimentalif the market is perceived to be a tourist attrac-tion with products that are not of interest to resi-dents and employees.

While it is impossible to estimate what visitors willspend on food products and fresh food products, itis quite possible that they would contribute enor-mously to the economic and social vitality of thepublic market, especially to the extent that there isprepared food, vending, information and eventshappening in and around the public spaces associ-ated with the market. However, tourist-specificitems (t-shirts, souvenirs, etc) should not be anypart of the market mix, as they would be totallyinappropriate, and serve to reduce market sharefrom the residents, the backbone of the market'ssupport.

TToouurriissttss aanndd vviissiittoorrss wwiillll ccoommee ttoo tthhee aarreeaa iinn ssuubb-ssttaannttiiaall nnuummbbeerrss.. The Downtown Alliance has esti-mated that approximately 7.2 million visitors come

to the downtown area.8 The main attraction has his-torically been the Statue of Liberty. However, sinceSeptember 11, 2001, the World Trade Center sitehas joined the Statue of Liberty as a place wherevisitors must come.

PPOOTTEENNTTIIAALL MMAARRKKEETT SSHHAARREE FFOORR AA PPUUBBLLIICCMMAARRKKEETTKKeeyy PPooiinnttss::

• Because of its size, the market hall has poten-tially significant drawing power.

• The market hall could capture 70 percent of thefresh food potential downtown.

• The two smaller market types would be capableof capturing 33 percent of the primary trade areasales and 20 percent of the secondary salespotential.

The sales potential of a public food market dependsin part upon the size of the market, the competition,and the market's location. TThhee llaarrggeerr tthhee mmaarrkkeetttthhee mmoorree ddrraawwiinngg ppoowweerr iitt hhaass because it can offergreater internal competition among vendors andtherefore more selection, inventory, and competitiveprices. The competition is important because whilepublic food markets are quite different from theneighborhood grocery store, consumers still valueconvenience and will frequently shop at the closeststore that offers the products that interest them.Finally, the market's location or convenience playsa part in a consumer's decision of where to shop.Therefore, while a variety of locations for a market

8. See "Downtown New York, a Community Comes of Age" available at www.downtownny.com


feas

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in Lower Manhattan could be considered, the WorldTrade Center site offers distinct advantages in termsof visibility, access to transit, and convenience toBattery Park City and other residential areas.While sites at South Street Seaport might be avail-able, for example, that site is less convenient totransit and residents, and is more of a tourist area.

CCOOMMPPEETTIITTIIOONN FFOORR FFOOOODD SSAALLEESS DDOOLLLLAARRSS

Analysis of the study area finds only six places forserious food shopping. These include the twoGristedes stores, a Food Emporium, the AmishMarket, Associated, and Jubilee Marketplace. Noneof these operations have more than 12,000 squarefeet of space. Residents in the area typically go tothe Pathmark located a mile-and-a-half away onweekends or into New Jersey to stock up on items.

As for fresh food, the only analog would be NewYork City's Greenmarkets. The World Trade Centersite reportedly had one of the higher grossingGreenmarkets in the city, and its former success isa positive indication that another Greenmarket orfresh food market would again have the potential fora good performance.

EESSTTIIMMAATTEEDD DDRRAAWWIINNGG PPOOWWEERR OOFF TTHHRREEEETTYYPPEESS OOFF PPRROOPPOOSSEEDD PPUUBBLLIICC MMAARRKKEETTSS

The supermarket industry frequently uses a model9

that estimates the probability of shoppers going to aspecific location based on weighing the factors ofselection and distance. This model was applied to

the three public market models that have been pre-sented. The model has been adjusted to recognizethat a public food market selling primarily freshfood products is offering a much higher concentra-tion of such products than its traditional grocerystore competitors, and we have adjusted the modelto reflect this greater drawing power.

Three types of markets have been proposed. Themarket hall is a large indoor facility with 42,000square feet of gross building area and space for 252vendor stalls. This type has a useable area of27,900 square feet. The market shed is a smallermarket with 11,000 gross square feet with 52 ven-dor stalls. This typology has 6,250 square feet ofuseable area. The open-air market has 9,800square feet of gross covered area and space for 56vendor stalls. The useable area is 5,600 squarefeet.

Because of its size, the market hall would have sig-nificant drawing power. TThhee mmooddeell eessttiimmaatteess tthhaatttthhiiss mmaarrkkeett hhaass tthhee ppootteennttiiaall ttoo ccaappttuurree aann aavveerraaggeeooff 7733 ppeerrcceenntt ooff tthhee ffrreesshh ffoooodd ssaalleess wwiitthhiinn tthhee pprrii-mmaarryy ¼¼ mmiillee pprriimmaarryy ttrraaddee aarreeaa,, and an average of70 percent of the secondary trade area. The marketshed and the open-air market are much smaller andthe model estimates that it would attract between 33percent and 35 percent of the primary trade area'sfresh food potential, and between 20 percent and 23percent of the secondary trade area's fresh foodpotential. TThhee aavveerraaggee mmaarrkkeett sshhaarree ffoorr tthhee ddoowwnn-ttoowwnn iinn tthhee ttwwoo ssmmaalllleerr pprroottoottyyppeess iiss 2255 ppeerrcceenntt..

9 The Huff model: Huff, D. L. 1963. "A probabilistic analysis of shopping center trade areas", Land Economics,

39, pp. 81-90. adapted by REPG and SCANUS for public markets.

feasiblity


SSUUMMMMAARRYY OOFF OOVVEERRAALLLL FFOOOODD SSAALLEESSPPOOTTEENNTTIIAALL FFOORR TTHHRREEEE TTYYPPEESS OOFF PPUUBBLLIICCMMAARRKKEETTSS

• The gross potential for all food products is esti-mated at $38.5 million within the primary area.

• When the secondary office market is factoredin,s the numbers increase to $46.4 million for allfood products.

• The market hall model could capture a 70 per-cent market share from the area, and has thepotential to generate $15.5 million from theoffice and the residential population in thedowntown area.

• A market larger than 42,000 square feet mayindeed be feasible because it would draw fromother neighborhoods outside the primary andsecondary areas.

GROCERY STORE LOCATIONS IN DOWNTOWN AREA

feas

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Combining the residential and day-time office pop-ulation’s demand for food products in the primarymarket area leads to a gross potential for all foodproducts of approximately $38.5 million. The freshfood component of this amount (bakery, meats, fish,poultry, and produce) has an estimated gross annu-al potential of $17.8 million. When the secondaryoffice market is added—the buildings that are with-in downtown, but outside a quarter mile from theWorld Trade Center site—the numbers increase to$46.4 million for all food products, and $22 millionfor the fresh food component. The potential fromtourism runs into the hundreds of millions of dol-lars, but estimating what market share a particularsite can capture is conjectural at this time.

The large proposed market hall has the potential tocapture 70 percent of the $8.5 million in fresh foodsales—or $6 million—generated by the daytimeoffice population. The gross potential for residentsis $13.5 million and a 70 percent capture wouldgenerate $9.5 million in fresh food sales. Therefore,the market hall model has the potential to generate$15.5 million from the office and residential popu-lations in the downtown area.

The other two prototypes, the market shed and theopen-air market, have the potential to capture 25percent of gross combined potential. The reasonthese percentages are much lower than the markethall prototype is because of the size differencebetween these prototypes. The market hall has thepotential of becoming the dominant food draw.Because of its range of offering, customers will fre-quently bypass closer food establishments to shopthe market hall. It is less likely, as a generality, thatcustomers will bypass their closer food establish-ments to shop at either the market shed or the open-air market.

The downtown office population has the potential togenerate $8.5 million in sales and the residentialpopulation has the potential to generate $13.5 mil-lion in sales, for a total of $21.9 million. With acapture rate of 25 percent, these smaller marketswould capture an estimated $5.5 million in freshfood sales potential.

However, the entire fresh food potential will not bespent within the downtown area. We have assumedthat at least 10 percent of the potential will occur atplaces within the downtown area that we have notconsidered, such as sundry stands or street peddlersthat sell fruits. Some sales potential will be spentoutside the downtown area. This loss, however,should be more than offset by customers from out-side the trade area coming to this market.

AADDDDIITTIIOONNAALL SSAALLEESS PPOOTTEENNTTIIAALL

We also know that, in general, the larger the offer-ing, the greater the attraction and the more peoplewill spend at a food venue. A market larger than42,000 square feet may indeed be feasible becauseit would draw from other neighborhoods outside theprimary and secondary areas. Additional study,however, will be needed to examine what marketshares are truly possible. In addition, as statedelsewhere in this report, the location and size of thefresh food market—the extent to which it is a focalpoint with great visibility and convenient access—has a significant influence on what share the marketcan obtain from both the potential residential cus-tomers as well as the office market.


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Proposed Organizational StructureIt is our recommendation that a private, nonprofitcorporation govern any public market in LowerManhattan. Most large, urban markets have con-verted to private, nonprofit management over thelast 30 years to enable them to be more competitive,responsive and accountable. Under this system, thecity still retains ownership and control over thefacility and establishes a long-term lease with anindependent 501 (c)(3) corporation to operate themarket. The structure of most of the nonprofitsincludes a broad-based board of directors includingcitizens, vendors, nearby businesses and usuallyone or more representatives of the city government.

Nonprofit management allows market-decision-making to be guided by public rather than purelyeconomic goals. The direction of the market isclearly spelled out in the articles of incorporation tomaximize the benefit to the community and localeconomy. Other advantages of nonprofit manage-ment include the ability to:

• coordinate public and private interests• allow for more flexible, entrepreneurial management• raise funds from private donors, foundations and

corporations• increase potential for raising state and federal grants• work with small-scale producers and businesses• operate high standards of maintenance and security• make decisions quickly• attract volunteers• establish strategic partnerships• promote the market as a fresh food destination• recruit farmers, minorities and immigrant vendors• create a welcoming atmosphere• listen to customers

Examples of other public markets run by nonprofitorganizations are:

LLEEXXIINNGGTTOONN MMAARRKKEETT,, BBAALLTTIIMMOORREE,, MMDD

The city established the nonprofit Lexington MarketCorporation in 1979 and wrote a Lease and CharterAgreement establishing the parameters of controland obligation for the city and the corporation. Theagreement contains a renewable 20-year lease for$10 per year. All operating profits go to the city.However, prior to the 1979 agreement, there weremany years of losses which is now depreciatedagainst market revenues and the corporation has notpaid the city any rent over the $10. This allows themarket to put operating profits into a capital fund.

PPIIKKEE PPLLAACCEE MMAARRKKEETT,, SSEEAATTTTLLEE,,WWAASSHHIINNGGTTOONN

The Pike Place Market Preservation andDevelopment Authority (PDA) is a nonprofit publiccorporation chartered by the City of Seattle in 1973to serve as caretaker and steward of the city's his-toric public market center. The market also has a501(c)(3), The Market Foundation, which works tosupport human service agencies, advocate for lowincome and needy residents, and raise funds to sup-port the public purposes of the PDA.

RREEAADDIINNGG TTEERRMMIINNAALL MMAARRKKEETT,,PPHHIILLAADDEELLPPHHIIAA,, PPEENNNNSSYYLLVVAANNIIAA

The historic market is owned by the PennsylvaniaConvention Center Authority and leased to the non-profit Reading Terminal Market Corporation, whosegoal is to maintain the markets position "as a pre-mier farmers market in the Philadelphia region."The seven-member board is further guided by aDeclaration of Covenants and Restrictions formulat-ed to preserve the public goals. The market is oper-ationally self-sustaining and receives no tax or oper-ating subsidies from the city.

CHAPTER VII

Implementation

FinancingToday, a centrally-located urban public marketmust raise its capital costs, open debt free, and havea mandate to operate as a self-sustaining entity. Apublic market in Lower Manhattan should beviewed as a public investment, and be eligible forfull funding from federal, state, and local sources.

A public market project can also be part of a mixed-use development that combines public and privatesources of funds. While most of the large urbanmarkets today are stand alone projects, it is con-ceivable that a market in Lower Manhattan could bepart of a larger project. For instance, the marketcould be located on the ground floor of a commer-cial building, or could be part of a large transitfacility. Such an approach would allow the market tobe financed in a more conventional method, andwould not preclude the use of a proportionateamount of public funds for the market piece of theproject.

The immediate and accessible benefits of publicmarkets are recognized as something fundamentalto city living, and as such markets are able to attractfunds from a variety of sources. The followingsources and methods have recently been used tosupport other market projects around the country:

EECCOONNOOMMIICC DDEEVVEELLOOPPMMEENNTTAADDMMIINNIISSTTRRAATTIIOONN ((EEDDAA))Grants of up to $1,000,000 have been awarded forconstruction of new markets. Markets receiving

grants typically promote entrepreneurialism for lowincome, minority and immigrant vendors.

UU..SS.. CCOONNGGRREESSSSIIOONNAALL AAPPPPRROOPPRRIIAATTIIOONNCapital funding was provided for the establishmentand construction of the Erie Street Market inToledo, OH, a market district development projectthat anchored the redevelopment of the larger ware-house district downtown.

SSTTAATTEE AAPPPPRROOPPRRIIAATTIIOONNState funds for economic and community develop-ments have been routed to markets that provide startup opportunities for small businesses and farmers.

CCIITTYY AANNDD LLOOCCAALL GGOOVVEERRNNMMEENNTTThe local municipality often provides grants forconstruction and renovation.

FFOOUUNNDDAATTIIOONNSS AANNDD IINNDDIIVVIIDDUUAALLSSFoundations have provided significant funding formany markets in the country both historically andtoday. Many of the historic markets in the countrytoday operate on land that was deeded to a city by abenefactor with the stipulation that it be used for amarket in perpetuity.

UUSSDDAAThe USDA provides planning grants for marketswith a strong farmer component.

TTAAXX IINNCCRREEMMEENNTT FFIINNAANNCCIINNGGThis method is currently being investigated inKansas City, which is undergoing a $12 million dol-lar improvement program at its historic City Market.

CCOORRPPOORRAATTIIOONNSSMarkets are amenities that increase the health andenjoyment of the local workforce and corporationshave been supporting markets with capital grantsand operating sponsorships.

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A public market project can alsobe part of a mixed-use develop-ment that combines public andprivate sources of funds.

Planning and Design

We are hopeful that the current planning efforts forthe World Trade Center site will yield ideas aboutpotential ways to integrate a public market on thissite. As planning progresses, more detailed studiesand analysis will be needed, including:

• Evaluations of different location alternativeswithin the site;

• Development of a more detailed program for thepublic market based on the site chosen;

• Further feasibility assessments based on specif-ic proposals;

• Selection of a preferred proposal and initiation ofa typical planning and design process for thepublic market within the context of the redevel-opment of the site.

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A PUBLIC MARKET FOR LOWER MANHATTANPreliminary Feasibility Study

PREPARED BY

PROJECT FOR PUBLIC SPACES, INC./PUBLIC MARKET COLLABORATIVE 153 Waverly Place New York, NY 10014 212-620-5660 www.pps.org

Fred Kent, presidentSteve Davies, vice presidentDavid O’Neil, senior associate, markets

Andy Wiley-Schwartz, director of research Carly Clark, design

Urban Space Management131 Greene Street, NY, NY 10012 212 529-9262

Eldon ScottLiz Rees

Real Estate Planning GroupSuite 18-L, 1030 North State StreetChicago, IL 60610-2829 (312) 751-1250

Larry Lund, principal

WWHHOO WWEE AARREEThe Public Market Collaborative, a program of Project for Public Spaces, Inc. (PPS), is a network of individuals andorganizations involved in the planning, design, development and operation of public markets. PPS, a national nonprofitorganization specializing in the design, planning and management of public spaces and downtown districts, has long rec-ognized the catalytic role that markets can play in community development. Project for Public Spaces, Inc. formed thePublic Market Collaborative in 1987 to further the preservation and establishment of public markets through research andeducation programs and through assistance to communities in market development, renewal, design and operations.

In 1995 the Collaborative co-published, with the Urban Land Institute, the first major handbook on public markets,Public Markets and Community Revitalization. The Collaborative has also sponsored four national conferences on pub-lic markets in Seattle, Washington (1987, 1998), New Orleans, Louisiana (1991) and Philadelphia, Pennsylvania (1996).The fifth conference will be in New York, November 9-11, 2002. Thus, the Collaborative has a particularly wide per-spective on market activities throughout the United States and internationally.

Since its creation, the Collaborative has provided assistance to public market projects in more than 60 cities and townsin both the U.S. and internationally. The goal of the Collaborative's technical assistance program is to transfer marketskills to participating market sponsors, managers, and community development officials.

Through the Collaborative, PPS brings together the most noteworthy people in markets today to work on its technical assis-tance projects. These include the nation's top market managers, market developers, retail planners, and food marketers.Drawing from this broad pool of professionals, the Collaborative creates and coordinates teams of market experts and PPSstaff. These teams use PPS's planning and design expertise and project management experience to help market sponsorswho are interested in improving their markets or creating new ones.

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A Public for Lower Manhattan - Cloud Object Storage ... · Preliminary Feasibility Study THE NEW YORK CITY COUNCIL ... the South Street Seaport, ... goods to meat and fish to prepared