kanata north business park sustainable growth with a bia

Kanata North Business Park Sustainable Growth with a BIA

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What are BIAs?

• Business Improvement Areas or BIAs are established when local business property owners and their tenants join together to undertake initiatives to improve, promote and strengthen their business district or main street

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What are BIAs?

• BIAs establish a Board, committees and retain dedicated staff; and collect and spend funds on priority activities

1. Marketing, Physical Improvements, Events, Environmental Diversity, Social Improvements

2. Communication (City Hall): Issue Management, Representation, Info-sharing

3. Economic Development: Advertising, Promotions, Business Attraction

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Ottawa has 17 existing BIAsBank Street Promenade BIA, Barrhaven BIA, Bells Corners BIA, ByWard Market BIA, Carp Village BIA, Carp Road Corridor BIA, Downtown Rideau BIA, Glebe BIA, Heart Of Orleans BIA, Manotick BIA, Preston Street BIA, Somerset Street Chinatown BIA, Somerset Village BIA, Sparks Street BIA, Quartier Vanier BIA, Wellington West BIA, Westboro Village BIA

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Ottawa’s BIAs are unique in nature and priorities

• Priorities vary based on: local issues, marketing, events, improvements, economic development, available resources

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Westboro Village BIA is known for

robust retail niches and Westfest

Preston Street BIA is known as ‘Little Italy’ for its seasonal decorations; and Italian Week events

Somerset Chinatown boasts a unique Gateway Arch

Vanier is known for its

historical mural program

and Sugarfest event

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What are the unique priorities for the Kanata North Business Park?

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How is a BIA managed?

Board of Management comprised of property owners and business operators and One member of Council

Board nominated at an Annual General Meeting - Approved by City Council

Board hires staff, develops budgets, sets priorities, plans events, drives marketing and branding and approves all activities and expenditures of the BIA

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How is a BIA funded?

• BIA budgets are funded by a special levy collected by the City in the geographic area

• Levy is not a tax!– BIA sets budget, which determines levy– 100% of money collected by City goes

to the BIA

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How is the Levy Calculated?

$10,000,000 x $300,000 = $4,800

$620,000,000

Assessed Property Value

Assessed Value for Entire BIA

Annual Budget for BIA

Annual Levy (paid as part of property taxes)

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Who Pays?

• Property owner is responsible for paying levy to the municipality– Unless stated otherwise in the lease,

landlord will charge the BIA levy to the tenant, based on same method of calculating share of property tax

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Who Pays?A budget has not yet been established for Kanata North Business Park, but here are some examples based on what the levy would be with $200K and $300K annual budgets:

25-person Office

10,000 sq. ft. BIA levy = $170/yr.

100 - person Office

36,000 sq. ft.

BIA levy = $612/yr.

25-person Office

10,000 sq. ft.

BIA levy = $500/yr.

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Annual Levy

Levy per square foot

Annual Levy

Levy per square foot

Sample 200,000 sq. ft. multi-tenant building $6,844 1.7¢ sq. ft. $10,266 5.0¢ sq. ft.Sample 100,000 sq. ft multi-tenant building $3,417 1.7¢ sq. ft. $5,125 5.0¢ sq. ft.Sample 250,000 sq. ft single- tenant building $4,454 1.8¢ sq. ft. $6,680 2.7¢ sq. ft.

$200K Budget $300K Budget

100 - person Office

36,000 sq. ft.

BIA levy = $1,800/yr.

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Support for BIAs• City Hall is accustomed to dealing with BIAs on

policy, development, by-law, maintenance and business services matters

• A City staff person serves as a point person on BIA matters

• City staff rep meets with all BIAs collectively to address matters of common interest - GoBIA

• The City provides funding specifically to BIAs to undertake research projects, and has undertaken marketing campaigns promoting all the BIAs

• Ottawa, Ontario, Canadian and international BIAs work together/share information on matters of common interest

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Benefits of a Kanata North Business Park BIA1. Secure source of funding

2. Credibility – BIAs governed by provincial legislation and approved by City Council

3. Dedicated resource and working committees for:

• Marketing, physical improvements, seasonal events, environmental diversity, social improvements,

• Communication (City Hall): Issue Management, Representation, Info-sharing

• Economic Development: Advertising, Promotions, Business Attraction

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Questions?

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KNBP BIAEconomic growthEngaging lifestyleNatural beauty