Presented by

Industrial Land StrategiesComox Valley Economic Development Society Workshop

Brock Dickinson, Principal

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Agenda

Welcome and Introductions

Overview of Workshop

Group Discussion - Industrial Development Ideas (All)

Changing Trends in Investment Attraction and Economic Development

Investment Targeting in the ComoxValley

Coffee Break

Small Group Exercise #1 -Investment Targeting

Discussion topic

Investment Readiness / Creating an Industrial Land Strategy

Small Group Exercise #2 -Investment Readiness

Discussion topic

Next Steps & Wrap-up

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Investment Attraction& Economic Development

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Georgia Power

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Flint, Michigan

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Detroit, Michigan

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Detroit, Michigan

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Detroit, Michigan

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Employment Development Indexby Millier Dickinson Blais

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“We are entering the world of the invisible.”

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Richard Florida

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What is the Creative Class?

“People who are paid principally to do creative work for a living.”

• Scientists

• Engineers

• Artists

• Musicians

• Designers

• Knowledge-based professionals

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The Creative Class is Growing

In 1900, fewer than 10% of the US workforce was in the creative class

In 1945, it was less than 15%

In 1980, it was less than 20%

Today, across the industrialized world it is about 33% -accounting for 50% of all wages

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“The most critical resource wears shoes and walks out the door around five o’clock every day.”

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The World is Spiky

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Economic Development Today

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Forces of Attraction

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Forces of Attraction

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Investment Readiness & Creating an Industrial Land Strategy

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Location Selection Process

Evaluate Strategic Alternatives

Screen & Evaluate Communities/Sites

Conduct Due Diligence at Local Level

Engage With Community

Negotiate and Close Investment Deal

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Economic Developers of Alberta

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Economic Developers of Alberta

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Economic Developers of Alberta

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International Economic Development Council

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Target Sector Investment Factors

Economic Developers Council of Ontario

Insurance

Industries

Professional,

Scientific &

Technical

Services

Advanced

Manufacturing

Information &

Communications

Technologies

Category Weight

(%)

Category Weight

(%)

Category Weight

(%)

Category Weight

(%)

Labour Force Characteristics 18 18 15 18

Local Industry 10 10 8 10

Transportation / Distribution 5 5 12 5

Taxes 8 8 8 8

Utilities 8 8 12 8

Local Business Environment 9 9 8 9

Property Availability and Cost 10 10 10 10

Incentives / Business Support Programs 10 10 10 10

Education & Training 12 12 12 12

Quality of Life 10 10 5 10

Total 100 100 100 100

INVESTMENT FACTORS

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Investment

Factors in

Increasing

Detail…

Category

Weight %

Location Factor

Importance

Category

Weight %

Location Factor

Importance

Category

Weight %

Location Factor

Importance

Category

Weight %

Location Factor

Importance

Labour Force Characteristics - - - -

Population (Current Counts, Future Projections) M H H H

Age Profile M H H H

Commuting Patterns M H H H

Income (Average Income, Household Income) H H H H

Ethnicity Profile L L L L

Size of total labour force / Participation rate H H H H

Unemployment Rate / Employment Rate H M M M

Availability of Skilled Workers H H H H

Cost of Skilled Workers H H H H

Availability of Unskilled Workers L L L L

Cost of Unskilled Workers L L L L

Competition for Required Skill Sets H H H H

Level of Education H H H H

Turnover / Absenteeism H M M M

Presence of Union (labour management relations) H L L L

Language Skills L H H H

Workers compensation and employment insurance H L L LLocal Industry - - - -

Largest Employers (type of company and employee counts) H M M M

Other local employers (type of company and employee counts) H M M M

Locally Targeted Industries H M M M

Recent projects / Companies new to the area H H H H

Same Industry Cluster H M M M

Presence of Supplier/Support Businesses H M M M

Existing Research Base H H H H

Presence of military base and installations L M M MTransportation / Distribution - - - -

Proximity to Current and Future Customer Markets H L L L

Proximity to Suppliers/Raw Materials H L L L

Proximity to Highways H M M M

Proximity to Airports H M M M

Proximity to Railways / Intermodal Facilities H L L L

Proximity to Port Facilities H L L L

3rd Party Trucking Availability H L L L

3rd Party Warehousing Availability H L L LTaxes - - - -

Local Property Rates M H H H

Provincial Tax Rates M H H H

Federal Tax Rates / Corporate Tax Rate M H H HUtilities - - - -

Electricity (Capacity, Availability, Rate, Reliability) H H H H

Natural Gas (Capacity, Availability, Rate) M M H H

Water (Capacity, Availability, Rate, Connection Fees, Quality) M L L L

Water Quality M L L L

Sewer (Capacity, Availability, Rate, Connection Fees) M L L L

Waste Management / Hazardous Waste Carriers & Facilities M L L L

Telecommunications (High Speed Internet, Cell Phone carriers) H H H HLocal Business Environment - - - -

ED involvement in local business community ("Business Friendliness") M H H H

Environmental Policies M L L L

Costs for Permitting, Construction, Occupancy H M M M

Time Required to Process Zoning Permit, Site Plan, Building Permits H M M M

Recent Level of Development Activity M M M MProperty Availability and Cost - - - -

Industrial Building Availability H L L L

Serviced Industrial Land Availability (shovel ready sites) H L L L

Commercial (Office) Building Availability L H H H

Commercial (Office) Land Availability L H H H

Cost of Land / Lease Rates H H H HIncentives / Business Support Programs - - - -

Business Financing (Long term financing, etc.) H M M M

Provincial and Local Incentive Programs (tax exemptions, grants, etc) H H H H

Provincial and Local Business Development Programs H H H H

International Resources / Government Services H H H H

Local Chambers of Commerce M H H HEducation & Training - - - -

Elementary School Performance Rankings M H H H

Secondary School Performance Rankings M H H H

Community Colleges - Availability and Quality of Programs H H H H

Universities - Availability and Appllicable Programs H H H H

Technical/Vocational Colleges - Availability and Quality of Programs H H M M

Local Employment and Training Services H H H HQuality of Life - - - -

Health Care Facilities M H H H

Emergency Services (Police, Fire, EMS) H H H H

Crime Rate M H H H

Recreation and Cultural Facilities L H H H

Climate M M M M

Housing Availability and Cost H H H HPerception of Attractiveness to Employees Outside of Area L M M M

High Importance = H 100 100 100 100

Medium Importance = M

Low Importance = L

10

5

14

7

7

14

5

10

7

12

9

8

5

8

7

12

Investment Factors

Digital Media

25

14

5

16

Advanced Manufacturing

13

Professional, Scientific &

Technical Services

20

12

5

8

10

Life Sciences

22

12

5

6

8

7

10

7

13

10

8

7

10

7

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Location Selection Process

Evaluate Strategic Alternatives

Screen & Evaluate Communities/Sites

Conduct Due Diligence at Local Level

Engage With Community

Negotiate and Close Investment Deal

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Evaluation criteria for Tiffany?

A community with a high unemployment rate

A community with a history of manufacturing relying on hand-eye coordination

A community with a history of close partnerships with neighbouring First Nations

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A “Business-Friendly” Community

Successful business & industry retention program

Responsive, open local government with quick, clear systems

Regional cooperation, partnerships and resources

Community takes pride in its appearance, its image and its infrastructure

Local business community is engaged, supportive and positive

Community actively celebrates itself – and celebrates its successes

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What does this mean?

For some communities:

A “rapid response team”

A pre-made plan for welcoming investment visitors

A positive, consistent story – not airing dirty laundry in public

An informed (trained?) community

A detailed Employment (Industrial) Lands Strategy

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What is an Employment Lands Strategy?

An Employment Lands Strategy is designed to create a long-term vision and plan for employment lands within a municipality

Provides guidance and direction to the management and development of employment lands

Strategy aims to ensure that community is competitive with respect to future business retention and attraction

Meets the requirements of provincial policy direction

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New Brunswick

“There are 68 industrial parks in New Brunswick…

but only 3 that are successful.”

-anonymous economic development professional

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Components of Employment Lands Strategies

Policy Context

Regional Competitiveness Analysis

Profile of Employment Lands

Lands Supply Analysis

Proposed Conversions

Employment Forecast and Employment Land Demand

Long-Term Employment Land Needs Analysis

Policy Recommendations

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The Land Question: Supply

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The Land Question: Demand

Target Sector Trends

Historical Analysis9

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11

20

9

25 25

18 18

2

11 11 11 11 11 11

30 30 30 30 30

23 23 23 23 23

21 21 21 21 2119 19 19 19 19

0

5

10

15

20

25

30

35N

et

Hecta

res

Year

Figure 8-1City of Barrie

Historical and Forecast Absorption on Employment Lands, 2000-2036 (Net Ha)

Historical Forecast

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The Land Question

An Employment Lands Strategy will answer the question:

“Does the municipality have sufficient vacant industrial land supply to accommodate industrial land demand through forecast period (e.g. 10, 20, 20+ year period)?”

But may also consider how to bolster demand (and link to economic development strategy)

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Strathcona County, Alberta

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Strathcona County Objectives

Anticipate future industry growth (e.g. energy sector, agri-industry)

Identify opportunities for highest and best use of existing lands

Identify potential new lands

Conduct a SWOT assessment

Create a road map (“rules”)

Ensure shovel readiness

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Strathcona County Objectives

Defining “industry”

Light, heavy, medium?

Wet, dry?

Specialized areas – “agri-industry”

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Bulkley-Nechako, British Columbia

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Bulkley-Nechako Objectives

Anticipate growth in key resource sectors

Plan land supply out to 2044

Identify and describe (map) optimal locations for future investment and site preparation

Identify opportunities for cross-boundary municipal co-operation, and co-operation with First Nations