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TRANSIT ORIENTED DEVELOPMENT

Transit-Oriented Development PortfolioCity of Kenosha Appendix



Stakeholder Interviews


TRANSIT ORIENTED DEVELOPMENT SSttaakkeehhoollddeerr IInntteerrvviieewwss

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City of Kenosha: Stakeholder Interviews Summary Below is a summary of comments received during Stakeholder Interviews conducted in the City of Kenosha on February 2, 2006. A listing of interviewees is included at the end of the summary.

What are the areas assets and advantages?

• Reinvestment is occurring in the community, especially around the downtown • Recent downtown investment, like new restaurants and bars • Downtown vicinity around 56th and 6th is booming • Kenosha is a growing business and tourist center • Great lakefront development (Harbor Park) • Lakefront is much more accessible now than compared to the past • Infusion of new residents • New street car connects the harbor, downtown, and the station; expansion plans

being considered • Redevelopment opportunities in the station area • Great location near many municipal and public facilities • Existing train station and Metra service (since 1855) • Neighborhoods east of the railroad are re-developing and improving • Strong potential for further improvement/investment • Walkable environment • Urban population center

What are the areas weaknesses and challenges ? • “Westside” neighborhoods need investment (i.e. housing stock, streets, lighting) • Junkyard north of 52nd Street at 14th Street is an obstacle for adjacent

redevelopment • Train whistles for slow-moving trains and idling trains in residential areas is not

necessary; there needs to be a “quiet zone” established



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• Downtown properties are being bought for speculative reasons with no additional investment

• Expanded commuter parking at the station is necessary • Need regular train service • Create stronger neighborhood connections between the east and wide sides of

railroad • City’s westward expansion towards the Interstate is a challenge • Upper story rentals in downtown • Physical and psychological barrier caused by the elevated railroad • Downtown vacancies • Costly infrastructure for new rolling stock for rail extension to Milwaukee • Safety concerns particularly west of the railroad

How has the area changed over time? • Over the last 50 years the area has declined as a vibrant, urban center but it has

been improving over the last 5 years; pedestrian mall built in the late 60s negatively impacted the downtown

• The City expanded west toward I-94 over the years, with new residential and commercial

• Over the last 10 years the study area has gone from bottoming out to revitalizing neighborhood; however, downtown development is stalled due to property speculation; “Westside” neighborhoods are witnessing new in-fill houses, historic home improvements, and lower crime rates

• Positive change on the east side but negative change on the west side • Dramatic changes in development along the Lakefront • More safety issues related to downtown tenants • Downtown’s pedestrian mall was torn out, which helped improve the area • Buildings cleared for new development, such as the AMC plant on the lakefront • Lakefront has become more accessible due to new development (i.e. Harbor

Park)



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• In the early 1990s Kenohsa has come to be viewed as the northern most community of Chicago

• More progressive leadership has helped turn the city around

What businesses are needed in the area? • General service businesses, such as a dry cleaners • Grocery store or food market • High-end food market (i.e. Whole Foods or Trader Joe’s) geared to new

residents and boaters • Bookstore, such as Borders • Fresh fish market • More office space • More restaurants • Restaurant district • Conference facility • Office supply store • Businesses catering to tourists

What public uses and/or recreational uses are needed? • Simmons Island Park needs more active recreational uses and beach

improvements • Simmons Island Park is underutilized • Bike path along the west side of RR tracks • Maintain accessibility and cleanliness of the Lakefront • Good parks already nearby

What type(s) of housing are needed?

• A healthy inventory of condominiums are proposed, so focus on improving the existing housing stock

• Need more ownership opportunities for existing housing and less rentals



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• Mixed-use development with housing along 13th Court • Better housing stock that is reasonably priced • Higher density condominium buildings • More housing near the Lake and downtown • City is involved in constructing affordable housing through CDBG funds • Dense housing around the station • Condominiums are very popular

Are there any physical or urban design issues or opportunities? • Parking demand should be addressed for the station and for new development • The elevated UP RR embankment and structures require significant maintenance • Limited east-west pedestrian access due to railroad • Commuter station users are parking in the residential neighborhoods • Trolley service routes to the station may be expanded for service beyond Harbor

Park. • Tunnels under the RR tracks needs to be improved • Boat storage facility at the end of 56th Avenue blocks view to the Lake • A parking garage is planned at State and Sheridan Sts, near the station • Downtown is “off” of the main arterial, Sheridan Road • Above ground utilities are unsightly and should be buried • Need for street improvements along 8th Avenue near City Hall • City has plans to move recycling center away from its current study area location • Industrial uses near railroad should be redeveloped over time

Are there aspects of the community that make it difficult to attract new investment?

• There is not a strong connection between downtown and developed areas to the west, southwest, and south.

• Real estate speculation in Downtown is stalling downtown re-investment



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• Residential speculators in the “Westside” neighborhoods are holding properties as rentals

• Crime and safety perception issues • Stringent planning regulations and process may be an issue • Reputation as a blue-collar industrial town

Please Identify any planned or recommended improvements within the next 10 years.

• Improve existing housing stock • Spur more development related to the station • Flourishing, vibrant downtown • Higher funding levels for city infrastructure improvements • Higher intensity development east of the railroad, including a dynamic downtown,

adaptive re-use buildings, and more redevelopment; improve infrastructure and housing on the west side

• Build the commuter rail extension • More residential development and revitalization

Do you have any other general comments or observations ? • Kenosha Hospital, major employer south of study area, wants to expand its

facilities and parking • Health and education are the largest employment sectors in Kenosha County • Downtown is a service and retail area, but not a major employment area; about

44% of the people that live in Kenosha work elsewhere • American Brass site redevelopment is occurring as a mixed-use project, with a

Pick-N-Save supermarket, strip commercial, and adjacent housing • Mayor and Planning Department has done a lot to keep the City connected to the

Interstate • More development occurs adjacent to the Interstate, which makes it hard to

create vibrant centers • Kenosha was a close-knit, working-class town but that is changing



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• Kenosha is a bedroom community for Northeastern Illinois, as well as Racine and Milwaukee

• Abbot Labs is Kenosha’s biggest private employer • April 1971 is when the rail service from Kenosha to Milwaukee was discontinued

City of Kenosha Interviewees 1. John Milisauskas, Manager, Kenosha County Job Center 2. Julia Robinson, Acting Council President, 7th District Alderman 3. Tony Garza, Architect, President, TGAR Group 4. Ken Dowdell, Publisher, Kenosha News 5. Mike Lemens, City Engineer, Public Works Dept. 6. Jeff Labahn, Interim Director of City Development 7. Lou Rugani, citizen, local historian and activist 8. Tom O’Connell, Architect, President, Partners in Design Architects 9. Bob Watring, local residential developer



Community Area Workshops


TRANSIT ORIENTED DEVELOPMENT CCoommmmuunniittyy AArreeaa WWoorrkksshhooppss

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Kenosha Station Area: Issues and Opportunities Workshop Kenosha Municipal Building, Room 202 625 52nd Street, Kenosha, WI Monday, April 26th, 2006 6:30 – 8:30 pm

Summary Workshop (9 completed questionnaires received) Note: Numbers in parentheses indicate multiple responses for a particular response.

1) List the five most important problems/ issues confronting the station area: General • Loitering (2) • Traffic • Pollution • Protection of historic districts • Freedom from political influence Station / Service • Station – should provide weather protection, be safe, free of damage, bathrooms (9) • Coordination of bus and train schedules (5) • Public access from west side of tracks (2) • Embankments to act as barriers • Location Land Use / Development • No attractions in the station area, desolate, poor image of the area/ city (5)



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• Blight (3), dilapidated buildings • Limited existing retail (5) • Proximity to housing, variety of housing (4) • Reuse of existing structures Transportation • Need multi-modal connections to station via bus, taxi, secure bike racks (5) • Need for parking (7) • Not pedestrian friendly / pedestrian safety, pedestrian connections • Handicap access (2) • Need increased train frequency (3) • Need more traffic density/increased flow speed/management (3)

2) List the three most important issues mentioned thus far The issues are ranked in order of importance, the most important issue being number one.

1. Improved neighborhood safety, perception of neighborhood safety (7), especially parking

2. Parking (5) 3.

a.) Redevelopment (3) b.) Handicap access (3) c.) Lack of pedestrians needed for retail development (3) d.) Embankments to act as barriers (3)

Other Responses • Sanitation (2) • Upgrade existing infrastructure (2)



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• Positive vendor at station house (2) • Traffic • Public Transportation • Abandoned housing • Service frequency • Low marketing of train

3) List three projects/ improvements would like to see made in the station area General • Improve security (3), increased Railroad Police presence • Employment • Infrastructure Station / Service • Safe and clean train station with concession stalls, weather protection, transit service

personnel • Increased Train frequency (4) • Increased Parking (5) Land Use/ Development • Institutional uses – Police parking (2) • Streetscape improvements (22nd to Lake) • Housing (2) • Entertainment • Remove vacant buildings • Historic Preservation • West side redevelopment, make parking, part of transit center, open space • Creation of an inter-modal transportation hub



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Transportation • Traffic control • Safe pedestrian access • Increased public transportation frequency

4) List the primary assets and advantages of the station area General • More housing and diversity (3) • Higher property values • Increased tourism (3) Station/ Service • Easy access to station • Pedestrian accessibility • Inexpensive weekend travel Land Use/ Development • Land / buildings available for redevelopment (2) • Historic buildings (3) • More businesses • Development to the west of the tracks (4) • Natural resources – lake, river, etc. (4) • Proximity to downtown (2) • More entertainment



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Transportation • Decreased traffic • Increased accessibility to residential areas (2) • Multiple modes of transit (2) • Easy access to businesses and restaurants



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Kenosha: Preliminary Station Area Plans Kenosha Municipal Building, Room 202 625 52nd Street, Kenosha Tuesday, June 20th 2006 6:30 – 8:30 pm Workshop Summary (1 group comment sheets received) After a project presentation, the audience was asked to form small groups to discuss and make comments on the preliminary station area plans for future land use, access and circulation, and urban design. The following summarizes all group comments, which will be used to refine the preliminary station area plans. Preliminary Future Land Use • Residential developments too close to Sheridan and 52nd (busy streets) • Area west of tracks is quiet and better for residential • Reduce density and create more open spaces, especially on 52nd Preliminary Future Access and Circulation Patterns • Is widening 52nd still a possibility? • Freight train switching at night; street level usage and noise on the UP • 54th Street is a better bike route than 56th • Better link between bus depot and train station is needed (bridge over Sheridan) • Approach on 54th to station should be maximized Preliminary Future Urban Design Framework • What happens outside the ½-mile radius? • Should gateways be at the ½-mile radius?



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• Only westbound access to overflow lot on 56th and 13th Streets • Not much green space near station for waiting • Extra open space for pedestrian waiting



Market Assessment Reports


KENOSHA MARKET ASSESSMENT

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Table of Contents

I. EXECUTIVE SUMMARY 3 Station Area Land Uses and Business Activity 3 Demographic and Economic Trends and Projections 3 Residential Development Potential 4 Retail Development Potential 5 Office Development Potential 6 Summary of Demand 7 II. METHODOLOGY 8 Residential Demand 8 Retail Demand 9 Office Demand 9 III. STATION AREA LAND USES AND BUSINESS ACTIVITY 10 Kenosha Metra Station 10 Adjacent Uses 10

Half-Mile Study Area 12 Recent Development Activity in the Half-Mile Area 18

Development Opportunity Sites 18 IV. EXISTING RAIL SERVICE 20 Frequency of Service 20 Current Ridership Levels 20 Ridership Origins and Destinations 20 Mode of Access to the Train Station 21 Development Implications 22



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V. DEMOGRAPHIC TRENDS AND FORECASTS 23 Kenosha Population and Household Trends 23 Employment Trends 24 Population and Household Projections – County and City of Kenosha 24 Population and Household Projections – Half-Mile Station Area 27 VI. RESIDENTIAL MARKET CONDITIONS AND STATION AREA OPPORTUNITIES 29 Housing Market Trends 29 Downtown Condominium Developments Currently in Active Marketing 31 New Kenosha Condominiums Beyond the Station Area 33 Residential Land Prices 33 Rental Apartment Market 37

Opportunities for Residential Development in the Station Area 39

VII. RETAIL MARKET CONDITIONS AND STATION AREA OPPORTUNITIES 42 Retail Sales and Sales Per Household 42 Expenditure Potential in 2005 42 Shopping Concentrations in the City of Kenosha 43 Retail and Services in the Station Area 44

Planned Retail Space in the Station Area and the Waterfront 45 Future Retail Demand in the Station Area 45 VIII. OFFICE MARKET CONDITIONS AND DEVELOPMENT OPPORTUNITIES

IN THE STATION AREA 47 Kenosha Office Market Conditions 47 Office Demand 48 IX. APPENDIX 50



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I. EXECUTIVE SUMMARY Station Area Land Uses and Business Activity

Of all of the communities in the KRM study area, only the City of Kenosha currently has commuter rail service. The Kenosha Metra station is located on the west side of downtown at 54th Street and 13th Avenue.

The half-mile area surrounding the station has an estimated 2005 population of 6,418. Its

density is higher than at any of Metra’s station areas in Lake County, Illinois and any of the other proposed stations on the KRM route.

The station area includes the City’s traditional downtown business district, but it does not

extend as far east as the lakefront.

A mix of land uses surrounds the east side of the station, including a large apartment complex, the City of Kenosha police headquarters, small historic buildings used primarily for offices, and nearby County facilities. To the west is an older residential neighborhood that has seen recent renovation activity.

The blocks surrounding the station on both the east and west sides of the tracks contain

industrial uses as well as vacant parcels that could be part of future station-oriented development. Four large parcels are City-owned.

Demographic and Economic Trends and Projections

According to the Census Bureau, the population of the City of Kenosha as of July 1, 2004 was 93,798, an increase of 3,446 (3.8%) when compared to the 2000 Census count.

City residents account for nearly 60% of the County’s population. Despite growth in

suburban municipalities, the City has come close to maintaining its share of the County’s population base.



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Kenosha County generated over 5,000 net new jobs between the third quarter of 2000 and 2005, despite losses in the manufacturing sector.

The State of Wisconsin projects that the City of Kenosha will gain 2,133 households

between 2005 and 2010, and another 4,371 between 2010 and 2020.

Recent data suggest that these projections, issued in early 2004, underestimated growth that has already occurred in both the County and the City. Also, the State household projections do not take into account housing demand from second home buyers.

Residential Development Potential

Kenosha’s affordable prices are drawing households who work in Lake County, Illinois but are priced out of the residential market in metropolitan Chicago.

Condominium sales accounted for just under 13% of all sales (new and existing units) in

2004, the last year for which data are available.

The City captured 47% of the residential building permits issued in Kenosha County between 2000 and 2005.

Interest in waterfront living, and the growing demand for second homes, resulted in the

successful development of Harbor Park, a 351-unit condominium complex that is partially located within the half-mile station area. The project was completed in early 2006.

More than 250 additional downtown condominiums in five projects are under construction

or planned, at prices significantly higher than have been seen elsewhere in Kenosha. Two of these projects are within a half mile of the station. No new rental projects have been completed within the last ten years, and none have been announced.

Waterfront condominium developers indicate that the presence of rail service is an

important factor in attracting buyers, many of whom are coming from Illinois. At least 20% of Harbor Park buyers were investors or second home buyers whose primary



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residence is in Chicago and who continue to work there. Projects now being marketed report similar interest.

At the present time, more Kenosha County residents work in metropolitan Chicago than

in Milwaukee. Adding rail service to Milwaukee offers an opportunity for Kenosha to attract more households where one or more family members work to the north. Offering more frequent service to downtown Chicago and its northern suburbs will increase the attractiveness of mass transit for people who commute to the south.

Expanded rail service offers the potential for capturing a higher share of future housing

construction within the half-mile station area. Condominium prices would be more modest than along the lakefront, but comparable or slightly higher than for new projects built in other City neighborhoods.

Valerie S. Kretchmer Associates, Inc. (VSKA) estimates that there will be demand for

8,619 new housing units in the City of Kenosha (575 per year on average) between 2005 and 2020. A total of 1,036 units (69 per year on average) could be in the half mile station area assuming improved commuter rail service. At the present time, this area is capturing only a small faction of citywide demand.

Demand in the waterfront area (beyond the half-mile area) will also be strengthened by

expanded rail service. Retail Development Potential

There are few retail stores or restaurants in the area immediately surrounding the station. Kenosha’s downtown retail core has a mix of specialty shops and restaurants, but has few national chain retailers. No new retail space has been developed in many years, and many ground floor spaces are vacant.

62,500 square feet of new ground floor retail space will be part of three condominium

projects currently under construction or planned in the downtown/waterfront area, of which 15,000 square feet will be in the half-mile station area.



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Existing shopping centers are concentrated near the intersection of Route 50 and Green

Bay Road, and on Route 158 west of 47th Street. These areas offer discount department stores, supermarkets, and other everyday shopping needs. New centers are being built to the northwest of downtown on 18th Street near 30th Avenue. In addition, a large supermarket and other new shops will soon open just a mile south of downtown in the Uptown Brass redevelopment. There are plans to link the existing downtown trolley to this project.

Expanded rail service will improve the retail environment in the vicinity of the train station.

The most probable tenants will be stores offering breakfast items, snacks, sandwiches, and prepared foods to take home after work. Commuters will also need additional convenience services such as dry cleaners and personal care (beauty and barbershops), as well as flower shops, cards, etc. However, it is critical that stores in the station area be open long hours, including early in the morning and in the early evening when commuters return from work.

Valerie S. Kretchmer Associates, Inc. (VSKA) estimates demand for 140,000 square feet

of new retail space in the half-mile station area over the next 15 years. This includes the 15,000 square feet of space planned in one of the condominium projects in the next couple of years. This will include space in new transit-oriented mixed-use projects, as well as at the edges of existing neighborhoods to the west of the tracks.

Occupancy in the historic downtown retail core is also likely to improve as more housing

units are built, taking advantage of the demand from second home buyers as well as commuters.

Office Development Potential

Kenosha has over one million square feet of office space. Despite high occupancy in newer office buildings, demand for additional multi-tenant office space remains weak.



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A considerable inventory of older space in the downtown core is underutilized or vacant, and rents are not high enough to stimulate developer interest in new construction.

Office brokers interviewed by VSKA were not optimistic about the potential for a revival in

demand for downtown office space, and were cautious about encouraging office development in the station area.

The strongest demand for new multi-tenant office space near the train station would be

from professional and business services firms who want to be close to County and City agencies and the courts. Such firms are currently located in older low rise buildings; some are owner-occupied.

It is possible that a growing upscale downtown population could generate demand for

more professional services firms, especially health care providers. Proximity to expanded train service would improve access to potential employees.

VSKA estimates that the half-mile station area could accommodate 80,000 square feet of

new office space over the next 15 years, at least some of which would be part of mixed use buildings.

Summary of Demand

STATION AREA DEVELOPMENT DEMAND 2005-2020

2005-2010 2010-2015 2015-2020 TOTAL Residential units 282 370 384 1,036 Retail (square feet) 30,000 50,000 60,000 140,000 Office (square feet) 20,000 30,000 30,000 80,000



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II. METHODOLOGY Residential Demand To calculate demand for new housing units within the half-mile station area, Valerie S. Kretchmer Associates, Inc. (VSKA) started with the State of Wisconsin Department of Administration forecasts of population and households for Kenosha County and the City of Kenosha from 2005-2020. From this, VSKA estimated the share of new housing demand that would be within the half-mile station area without the commuter rail extension and then with the commuter rail extension. These calculations assume that expanded rail service is available in 2014. The projections assume that there will be an increase in development activity a few years prior to the opening of the rail line (2010) as people realize that the rail extension is a reality. Since the Harbor area has attracted a significant amount of new residential development over the past five years, and a small portion of this area is within the half-mile station area, VSKA also estimated the demand for the Harbor area over the next 15 years. The methodology also recognizes that State of Wisconsin household projections do not incorporate demand from investors or second home buyers, as these buyers do not have their primary place of residence in Kenosha. But the methodology makes assumptions about development of second home/investor-owned units and adds these units to the housing demand generated by local household growth. Demand is increased by 20% over the primary resident demand to account for “non-resident” buyers. The demand forecast assumes a 5% residential vacancy factor, which is a conservative estimate. This is also added to the demand generated by the number of new households forecast here. Assumptions are also made regarding the need to replace older housing units in the City. The annual rate of replacement is based on one-half of 1% of housing units built prior to 1970, as reported in the 2000 Census.



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Retail Demand VSKA assessed the availability of land in the station area, retail concentrations elsewhere in the city, and overall competitiveness of the station area for retail development. VSKA identified the type and scale of retail development that would be supportable at the station by assessing population density, area demographics, retail sales, level of competition and retail market conditions. The estimates of supportable retail space were based on the strength of each location and scale of retail development that the market can support. This assessment also incorporated recommendations in the City’s plans for the station area and for other competing areas in the community. Office Demand VSKA assessed the office potential at the station area by evaluating the existing office inventory in the city, vacancy and rental rates for office space in this area, office-prone employment trends, and the employment base in Kenosha. VSKA also assessed the availability of land in the station area and the scale and type of development that could be supported. This assessment also incorporated recommendations in the City’s plans for the station area and for other competing areas in the city.



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III. STATION AREA LAND USES AND BUSINESS ACTIVITY Kenosha Metra Station

Of all of the communities in the KRM study area, only the City of Kenosha currently has commuter rail service. The Kenosha Metra station is located on the west side of downtown, at 54th Street and 13th Avenue. See the map on the following page. The station building has a sandwich/coffee shop that serves train commuters. The entrance to the station faces east, and surface parking is provided in a lot to the east of the station entrance and along 13th Avenue. There is no clear pedestrian access into the station from the neighborhood to the west of the tracks. Pedestrians who live to the west of the tracks must walk under the railroad viaduct at 56th or 52nd Streets to access the station entrance. Additional transit connections are possible from the Kenosha station. A restored historic trolley service began running along 56th Street from the station to the lakefront in 2000, with bus connections available at the Kenosha Transportation Center at 54th Street and 7th Avenue. There are plans to extend the trolley line to the southwest to serve the Uptown neighborhood. Adjacent Uses

A mix of land uses surrounds the station. Between 52nd and 54th Streets to the east are the Stationside Village Apartments, a 150-unit complex offering two bedroom flats and townhomes. To the southeast, between 54th and 56th Streets, are the Kenosha Police Station and a mix of small one- to three- story older buildings. Four of the buildings (on 55th Street between 11th and 13th Avenues) comprise the Pearl Street Historic District. These buildings were renovated in the early 1990s by private owners. Many of the tenants in these buildings are law firms and title companies. The County has plans to build a parking garage at the northwest corner of Sheridan Road and 54th Street. A vacant lot on the northeast corner of 56th Street and 13th Avenue is used for surface parking for the adjacent office building. Across the street (on the south side of 56th Street) is Zinane Sheet Metal; Loving Care Child Care is on the southwest corner of 56th Street and 11th Avenue.

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Mag 15.00Mon May 15 11:56 2006Scale 1:15,625 (at center)

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Kenosha StationKenosha StationKenosha StationKenosha StationKenosha Station

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The small offices described above are located just a short walk east on 56th Street from the Kenosha County Courthouse and the adjacent County government office building at 10th Street. At the corner of 56th Street and Sheridan Road are Reuther High School and the main post office. The former Public Museum building, now used as a cultural center, is also in this area. Half-Mile Study Area

The half mile area surrounding the train station stretches east as far as 4th Avenue, north to 49th Street, west to 21st Avenue, and south to 61st Street. It includes most of Kenosha’s traditional downtown business district (centered on 6th Avenue) and the Municipal Building at 52nd Street at 7th Avenue. The half-mile ring also includes a portion of the recently-completed Harbor Park condominium development, but the study area does not extend as far as the lakefront and the Public Museum. The map on the following page shows the boundaries of the half mile station area and the larger three mile radius from the station.

1. Study Area Demographics According to estimates provided by Demographics Now (a national demographic data vendor) and shown in Table 1, the half-mile area has an estimated 2005 population of 6,418, with a density of 8,170 persons per square mile. Population density in this area is higher than at any of Metra’s suburban stations in Lake County, Illinois and exceeds the estimated current density of any of the other proposed stations in the KRM corridor. There are over 6,000 employees within the half-mile area as well. The median age of the population is 27.3 years, and only 7.1% of the residents are age 65 and older, indicating a young population that is typical of downtown neighborhoods. A significant share of the households living near the train station do not have a motor vehicle (19.5%), which is often the case in low and moderate income areas near downtowns. Median household income is estimated to be a low $29,757. Owner occupancy is also fairly low (less than 30% of all units). The statistics for this half-mile area do not include most of the new lakefront housing, whose inhabitants are considerably more well-to-do than those in the immediate station area.



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Table 1 that follows compares the characteristics of the station area with a larger area within three miles. The larger area has an estimated population of 84,711, and the overall density is much lower. The population of the three mile area is somewhat older, better educated and considerably more affluent (its median household income is $45,444). Its homeownership rate is a much higher 63.5 %. Only 8.2 % of its households have no access to a private vehicle. Demographic maps in the Appendix show the median household income, population density and average household size by block group for the area surrounding the Kenosha Metra station. They show that the average household size is considerably lower east of the railroad tracks than west of the tracks; population density is higher on the west side of the tracks and that median household income appears lower east of Sheridan Road only because many of the harborfront dwelling units are not occupied by full-time residents.



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Table 1

KEY DEMOGRAPHICS FOR 1/2 AND 3 MILE RADII

FROM THE KENOSHA RAIL STATION

2005 1/2 Mile 3 Mile Population 6,418 84,711 Households 2,119 32,361 Population Density/Square Mile 8,170 2,996 Median Age 27.3 34.8 % of Population Aged 65+ 7.1% 12.6% Median Household Income $29,757 $45,444 % of Households with No Vehicle Available 19.5% 8.2% % of Population 25+ with at least some College 38.2% 50.0% Total Housing Units 2,378 34,096 % Vacant Housing Units 10.9% 5.1% % Owner-Occupied Housing Units 29.3% 63.5% Employment 6,285 31,689

Source: Demographics Now

2. Study Area East of the Tracks The downtown business district is characterized by a mix of older mid-rise buildings with ground floor retail space and offices above. There are also a number of free-standing banks and single-story or low-rise office/service buildings. The newest multi-tenant office building, Harbor View, is located north of the Municipal Building. The mix of retail stores is not especially strong, with few national chains represented (other than a Walgreens pharmacy). With the exception of restaurants located near the harbor, evening activity is limited. However, efforts at redeveloping the waterfront and revitalizing the downtown are drawing new residents to condominiums recently completed and underway.



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Going south, the half-mile area includes the Library Park Historic District and ends just to the north of the Kenosha Hospital and Medical Center at 63rd Street and 8th Avenue. Land uses consist of small apartment buildings, single family homes, institutional buildings (such as the Public Library and the Masonic Temple), mixed office and retail buildings, and operations of government agencies and non-profit organizations.

The area to the north of 52nd Street contains a mix of industrial and water-related businesses, including a boat storage facility located between Sheridan Road and the tracks. East of Sheridan are a number of restaurants and a Best Western hotel. As indicated above, the half-mile study area does not extend as far east as the lakefront. Portions of the recently-completed Harbor Park condominium development, as well as Virginia Towers (a condominium building with ground-floor retail that is under construction) and Harbor Place (a planned mixed use development) are beyond the study area, as is the marina and the Public Museum. The map on the following page shows the location of the station in relation to other development in and near the station area. 3. Neighborhoods West of the Tracks

The area south of 52nd Street and north of 63rd Street on the west side of the tracks is known as the Columbus Neighborhood. The area between the tracks and 13th Court is used for rail-related storage and does not offer direct access into the station. Visually, it presents an unattractive entryway. Land use in Columbus is predominantly residential, but with some older industrial uses as well. Homes are older and smaller than those near the lakefront or the library, but there is evidence of housing rehabilitation. The area has a large park and an elementary school. Industrial uses include a Metra office facility and Nelson Storage and Warehouse at 54th Street and 13th Court, Lociero Produce at 56th and 14th, and Kenosha Lumber at 56th Street and 15th Avenue. (The Nelson operation generates truck traffic along 13th Court south of 52nd Street.) The Daimler-Chrysler plant borders the Columbus Neighborhood on the west, but is not within the half-mile study area. It sits along a rail spur that connects the plant with the Metra yards.



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Recent Development Activity in the Half-Mile Area The City of Kenosha embarked on a variety of downtown revitalization and waterfront redevelopment efforts during the last decade. Most notable is the development of Harbor Park, on a formerly-contaminated lakefront site once occupied by an American Motors assembly plant. Harbor Park now provides 351 condominium flats (in three-story elevator buildings) and townhouses in the area between 54th and 57th Street, 5th Avenue on the west to 2nd Avenue on the east. (Only those units to the west of 4th Avenue are within the half-mile study area; most of Harbor Park is beyond the boundary.) The first units were occupied in 2001, and construction was completed in early 2006. Many units have views of the Southport Marina. The Harbor Park project also included construction of a new Public Museum as well as new outdoor gathering places, bicycle paths, and fountains on the waterfront. A Civil War Museum is being built. A second mixed use project to the east of Harbor Park is now being marketed, Harbor Place. The site is just beyond the half-mile study area. Currently under construction is the Virginia Towers condominium building at the corner of 58th Street and 4th Avenue, also outside of the half-mile study area. One planned project that is within the boundaries of the study area is The Brindisi condominium. The site is located to the north of the Municipal Building and west of the Harbor View office building. In contrast to the seemingly strong developer interest in residential construction, downtown Kenosha has seen relatively little in the way of new office or retail development during the last decade. Only one major multi-tenant office structure, Harbor View, was completed during this period. New retailers and restaurants have opened in downtown Kenosha, but not in new space. The original concept for Harbor Park was to have included office and retail space, but these elements of the plan have not been realized due to weak market conditions. However, the former Kenosha National Bank Building (80,000 square feet) is planned for renovation into a mix of office and retail space. Development Opportunity Sites Within the half-mile radius east of the station are three sizable municipally-owned properties that could offer opportunities for future development. One is currently used as a solid waste transfer



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station, located on the south side of 50th Street between 13th Avenue and Sheridan Road. Another is to the west of the Municipal Building, south of 52nd and east of Sheridan. The third is a smaller parcel on the southwest corner of 54th Street and 5th Avenue. The existing Metra parking lot could be redeveloped with a mix of uses, including parking. To the west of the tracks is a very large, vacant, city-owned parcel bordered by 50th Street on the north, 14th Avenue on the west, and 52nd Street on the south. Its proximity to the station, its visibility on heavily-traveled 52nd Street, and its sheer size suggest that it would be an important potential location for a mixed use transit-oriented development. Another potential area for redevelopment is west of the railroad tracks between 52nd and 54th Streets, now occupied primarily by small industrial uses. Recently, the Kenosha downtown YMCA issued a request for proposals for redeveloping its existing building. Although the Y is committed to maintaining its presence in downtown, the current building (on 59th Place north of Library Park) has nearly 100,000 square feet of space and is only partially utilized. The Y would require any re-use proposal to maintain the building’s historic character.



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IV. EXISTING RAIL SERVICE Frequency of Service The Kenosha Metra station is 51.5 miles north of the Ogilvie Transportation Center terminus in downtown Chicago. On weekdays, nine daily trains serve Kenosha in each direction, six of which depart Kenosha during the morning hours from 5:55 to 8:49 AM. Return trips to Kenosha from Chicago on weekday late afternoons and early evenings depart from 4:13 to 6:31 PM. After that there are only two trains that go as far as Kenosha. On weekends, service is less frequent, with two morning trips on Saturday and two on Sunday, with no afternoon service. Current Ridership Levels According to Metra’s most recent ridership survey (conducted in November 2002), 341 riders embark at Kenosha on a typical weekday. Of this total, 292 ride Metra during the morning hours. Only 49 rode the three trains that depart Kenosha in the afternoon and evening hours. Although Kenosha embarkations are more numerous than at the two northernmost suburban stations in Lake County, Illinois (Zion and Winthrop Harbor), they are far lower than at Metra’s busiest suburban stops on the UP North line. In contrast, over 1,000 riders use the Wilmette, Evanston Central Street, and Highland Park stations. Ridership Origins and Destinations

At the time of Metra’s 2002 study, two-thirds of riders using the Kenosha station resided in Kenosha; another 19% lived in Racine. As seen in Table 2, relatively few people who reside in other towns in the KRM study area now use the Kenosha station. Mapping provided by Metra’s Office of Planning and Analysis indicates that the vast majority of Kenosha rail riders live east of Green Bay Road (Route 31). A number of riders indicated that they walk to the station, including persons living both east and west of the tracks.



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Table 2

ORIGINS OF ALL RIDERS USING THE KENOSHA STATION

Origin City (in Wisconsin) Boardings till Noon Percent of Total Kenosha 195 66.8% Racine 55 18.7% Pleasant Prairie 5 1.9% Milwaukee 4 1.4% Waukesha 4 1.4% Caledonia 1 0.5% Cudahy 1 0.5% Glendale 1 0.5% Manitowoc 1 0.5% Oak Creek 1 0.5% Paddock Lake 1 0.5% Sturtevant 1 0.5% Sussex 1 0.5% Undetermined 18 6.1% Total 292 100.0%

Source: Metra Fall 2002 Origin-Destination Survey

Mode of Access to the Train Station At the time of the 2002 survey, 60% of persons riding the train from Kenosha during the morning hours reached the station by driving alone, compared to an average of only 31% for all stations on the UP-N line. (However, Kenosha riders were more likely to be dropped off at the station or use carpooling than was typical for the entire UP-N line.) Relatively few Kenosha riders (11%) walked to the station, compared to 41% of riders on the entire line. This finding is interesting in



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light of the high population density within a half mile of the station, which would be considered a reasonable walking distance. The lack of visible access to the station from the west side of the tracks may be a factor in the limited pedestrian activity. Development Implications Interviews with knowledgeable Kenosha observers (and Census data) indicate that more Kenosha County residents commute to Chicago and its suburbs either by car or by train than commute to Milwaukee. Although employment growth in Milwaukee is less significant than in Chicago’s north suburbs or its downtown core, extending rail service to Milwaukee offers the potential for attracting people who work in downtown Milwaukee to live in Kenosha and commute by train. Developers involved in the construction of new condominium projects in downtown Kenosha stress the importance of extending rail service to Milwaukee, which would allow commuters to live in Kenosha while working further north and south. More frequent service to Lake County, Illinois and downtown Chicago would also boost ridership. Interviews with staff at Stationside Village Apartments indicate that a number of their residents use the train to commute to jobs in Lake County or Chicago. Many go to Great Lakes Naval Station in North Chicago. Developers of new condominiums close to the waterfront indicate that the presence of rail service is an important factor in attracting buyers, many of whom are coming from Illinois. A significant share of Harbor Park buyers are investors or second home buyers whose primary residence is in Chicago and who continue to work there. They may not use rail every day, but they consider the presence of rail to be an important factor in their purchase decision. Extension of the trolley line would improve access to the station for people who reside in the Uptown area of Kenosha. Better pedestrian access from the west side of the tracks would also enhance the attractiveness of sites in this area for transit-oriented development.



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V. DEMOGRAPHIC TRENDS AND FORECASTS Kenosha Population Trends According to the Census Bureau, the population of Kenosha County as of July 1, 2005 was 160,544, an increase of 10,967 (7.3%) when compared to the 2000 Census count. The City of Kenosha had an estimated 93,798 residents in 2004 (the last year for which Census Bureau estimates are available for incorporated places), a gain of 3.8% compared to 2000. City residents accounted for 60.4% of the County’s population in 2000. Despite growth in suburban municipalities (mainly in the Village of Pleasant Prairie and the Town of Salem), the City has come close to maintaining its share of the County’s population base.

Table 3

CENSUS BUREAU POPULATION ESTIMATES Kenosha County and City

2005

Estimate 2004

Estimate 2000

Census Change % Change

Kenosha County 160,544 149,577 10,967 7.3% City of Kenosha 93,798 90,352 3,446 3.8%

Source: U.S. Census Bureau

Recent population and household gains in the Kenosha area are attributable, in part, to the County’s proximity to the Chicago metropolitan area. Lake County’s population grew by 58,326 between 2000 and 2005 according to the Census Bureau, resulting in upward pressure on home prices. In many Lake County municipalities, the median price of homes sold in 2005 exceeded $500,000, compared with the median sales price in Kenosha County during the fourth quarter of 2005 (only $172,900). Median home sales prices for the nearby Lake County municipalities of



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Winthrop Harbor, Zion, Antioch and Gurnee range from $169,000 in Zion to $242,000 in Gurnee according to statistics published in the Chicago Tribune. Kenosha County is considered to be an affordable housing alternative, especially for persons who work in Lake County. Homebuilders can find reasonably-priced developable land north of the Wisconsin border, and still cater to buyers who work in Chicago’s north suburbs. Employment Trends Despite the loss of jobs in Kenosha County’s traditional manufacturing base, the County showed a 10% gain in total employment between the third quarter of 2000 and 2005. The largest numerical increases were seen in education and health services (+2,977) and professional and business services (+2,175). The County’s economic base benefits from the presence of three major hospital complexes (Kenosha, Aurora, and St. Catherine’s) and college campuses (University of Wisconsin-Parkside, Carthage College and Gateway Technical College). Two large business parks (Lakeview Corporate Park and Kenosha Business Park) with easy access to I-94 have provided attractive locations for warehouses and light assembly facilities. However, the County is not a magnet for the types of employers (financial services, investment companies, insurance companies, real estate developers and managers, engineers, accountants, construction companies, etc.) that typically use multi-tenant office space in downtown locations. Table 4 on the following page shows the employment by industry for Kenosha County. C. Population and Household Projections – County and City of Kenosha The State of Wisconsin issued population and household projections to 2030 for counties and to 2025 for municipalities in January 2004. These projections are the only available forecasts for the period 2010 to 2020 – the first decade in which KRM line service would be available. The projections for Kenosha County and the City of Kenosha are shown in Table 5 below.



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Table 4

KENOSHA COUNTY EMPLOYMENT BY INDUSTRY

Third Quarter 2000 and 2005

Industry

Average Employment 3rd Qtr 2000

Average Employment 3rd Qtr 2005

Increase (Decrease)

Percent Change

Natural Resources & Mining 161 202 41 25.5% Construction 2,305 2,870 565 24.5% Manufacturing 12,407 10,266 (2,141) -17.3% Trade, Transportation, Utilities 10,473 10,453 (20) -0.2% Information S 451 NA NA Financial Activities 1,368 1,662 294 21.5% Professional & Business Services 3,214 5,389 2,175 67.7% Education & Health Services 9,572 12,549 2,977 31.1% Leisure & Hospitality 6,161 6,802 641 10.4% Other Services 1,706 1,825 119 7.0% Public Administration 2,818 3,177 359 12.7% Unclassified S 0 NA NA TOTAL 50,609 55,646 5,037 10.0%

S=Supressed to avoid disclosure of individual company information. Source: Wisconsin Department of Workforce Development (ES202)



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Table 5

PROJECTED GROWTH IN POPULATION AND HOUSEHOLDS

Kenosha County and City of Kenosha

Kenosha County City of Kenosha Number % Change Number % Change Population 2000 149,577 90,352 2005 157,935 94,700 2010 165,678 98,638 Projected Growth, 2005-2010 7,743 4.9% 3,938 4.2% 2015 173,624 102,700 Projected Growth, 2010-2015 7,946 4.8% 4,062 4.1% 2020 181,693 106,837 Projected Growth, 2015-2020 8,069 4.6% 4,137 4.0% Households 2000 56,057 34,411 2005 59,956 36,537 2010 63,897 38,670 Projected Growth, 2005-2010 3,941 6.6% 2,133 5.8% 2015 67,870 40,825 Projected Growth, 2010-2015 3,973 6.2% 2,155 5.6% 2020 71,944 43,041 Projected Growth, 2015-2020 4,074 6.0% 2,216 5.4%

Source: Wisconsin Department of Administration. Issued January 2004.



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The projections show steady growth for both the County and the City. However, it is apparent that the State population projection for 2005 (157,935) underestimated the population growth that occurred in Kenosha County during the previous five years, as estimated by the Census Bureau (160,544). For the City of Kenosha, State projections for 2005 are higher than the 2004 Census estimate, but may not account for the new housing development that has occurred within the City limits. Population and Household Projections – Half-Mile Station Area Table 6 on the following page presents population and household projections for 2010 for the half-mile and three-mile areas around the Kenosha Metra station, as estimated by Demographics Now, a national data vendor. The population of the half-mile area is projected to grow by 2.1 % between 2005 and 2010, and the number of households by 2.2 %. The data suggest that the rate of growth in the station area will be less than that projected by the State of Wisconsin for the City as a whole. This pattern is consistent with recent development patterns in the City of Kenosha, where residential construction has been concentrated in neighborhoods west of 30th Avenue or near the lakefront. Growth rates are higher in the three-mile ring, which encompasses a high percentage of the entire city. It should be noted that household projections do not account for potential demand for new housing units from second home buyers whose main residence is outside the area.



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Table 6

POPULATION AND HOUSEHOLD PROJECTIONS, 2005-2010

Half-mile and Three-Miles from Kenosha Metra Station

Population Households 0.5 mile radius 2000 6,270 2,068 2005 6,418 2,119 Change 2000-2005 148 51 % change 2000-2005 2.4% 2.5% 2010 6,553 2,166 Change 2005-2010 135 47 % change 2005-2010 2.1% 2.2% 3 mile radius 2000 80,381 30,628 2005 84,711 32,361 Change 2000-2005 4,330 1,733 % change 2000-2005 5.4% 5.7% 2010 88,786 34,048 Change 2005-2010 4,075 1,687 % change 2005-2010 4.8% 5.21%

Source: Demographics Now



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VI. RESIDENTIAL MARKET CONDITIONS AND STATION AREA OPPORTUNITIES Housing Market Trends

1. Building Permits and Construction Activity The residential construction market in the City of Kenosha and its suburbs has been quite active since 2000, as seen in Table 7. Countywide, an average of 1,180 units were permitted annually from 2000 through 2005, of which 33% were in multi-unit buildings. The City of Kenosha captured 46.9% of the total permits issued, but nearly three out of four permits for attached or multi-family units. Development in the station area is likely to contain a mix of single-family attached and multi-family buildings; the City’s success in capturing such a high share of this type of development is an important indicator of the acceptance of city living.

YearSingle- Family 2+ Units Total

Single- Family 2+ Units Total 2+ Units Total

2000 233 289 522 626 388 1,014 74.5% 51.5%2001 209 266 475 732 321 1,053 82.9% 45.1%2002 227 192 419 813 348 1,161 55.2% 36.1%2003 222 455 677 880 566 1,446 80.4% 46.8%2004 326 374 700 824 482 1,306 77.6% 53.6%2005 375 150 525 862 238 1,100 63.0% 47.7%Total 1,592 1,726 3,318 4,737 2,343 7,080 73.7% 46.9%Annual Average 265 288 553 790 391 1,180

Source: Census Bureau.

Kenosha CountyCity of Kenosha

Table 7

RESIDENTIAL BUILDING PERMITS ISSUED 2000-2005Kenosha County and City of Kenosha

City Share of



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2. Home Sales and Prices The Wisconsin Realtors Association reports that 2,589 existing homes were sold in Kenosha County in 2005. The number of sales has increased each year since 2000, when Realtors sold 1,836 homes. The median sales price in the fourth quarter of 2005 was $172,900, up from $154,700 a year earlier and $115,300 in the fourth quarter of 2000. These statistics include condominiums as well as single family homes. In 2004, condominium sales accounted for just under 13% of all sales of new and existing units in the County (the 2005 share is not available). Sales data show considerable increases in resale prices in individual developments between 2004 and 2005. Although the pace of sales has been slowing in 2006, the market is still considered to be healthy. The Multiple Listing Service shows nearly 600 single-family homes and 162 condominiums for sale in the City of Kenosha as of April 2006. Home prices range from less than $100,000 for an older single family home with one or two bedrooms to over $500,000 for spacious newer or historic homes. Some of the more modestly-priced homes are located in the neighborhoods within a half-mile to the west of the train tracks. 3. Recent Condominium Sales in the City of Kenosha Realtors provided information on condominium sales in Kenosha from 2004 through the first quarter of 2006. Realtors sold a total of 55 condos during this period. Some of these sales were units in older developments. Resale prices for Kenosha condos range from a low of $52,500 for an older three bedroom unit to $649,000 for a four bedroom/three bath unit at Harbor Park sold at the end of 2005. The new 351-unit Harbor Park development accounted for the largest number of Realtor-assisted sales (40); as indicated earlier, a portion of this project is located within the half-mile station area. Harbor Park had only three units remaining as of January 2006. Prices for these units ranged from $197,900 for a two bedroom/two bath unit with 1,199 square feet and one garage space ($165 per square foot) to $497,000 for a 2,400 square foot unit with three bedrooms, 2.5 baths, and two garage spaces ($207 per square foot). The developer indicates that many Harbor Park buyers were from the Chicago area and intend to use



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their condominiums as second homes or as investments. The availability of Metra service from Kenosha and the ability to use the trolley to reach the train station from Harbor Park were factors in the project’s ability to attract Chicago-area buyers. Resale units are also becoming available at Harbor Park now that the project has sold out. Current listing prices range from $113,900 for a small one bedroom units (605 square feet) to $369,900 for a large three bedroom unit with water views. Resale prices vary considerably based on upgrades and views. On a per square foot basis, the range is $148 to $215. In contrast to the prices seen at Harbor Park, older condominiums listed for resale on the far west side of the city are typically priced below $150,000.

Downtown Condominium Developments Currently in Active Marketing

As noted earlier in this report, a number of new condominium projects are actively marketing units within or just beyond the half-mile station area. Details on these properties are provided in Table 8 at the end of this section.

1. The Brindisi

A total of 87 condominiums are planned at the Brindisi, which will be located at 52nd Street and 7th Avenue (within the station area). Units will have a minimum of 1,594 square feet, while the penthouse units will be as large as 3,439 square feet. This nine-story building will have a small amount of ground floor retail space (15,000 square feet) and covered parking. There will be 14 to 16 units on floors four though eight, and nine units on the top floor. The Brindisi will be built on a now vacant parcel next to downtown Kenosha’s newest office building and across 52nd Street from the Municipal Building. Ground had not yet been broken as of March 2006, but reportedly 25 units have been reserved. Completion is planned for 2007.



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All of the units are listed at prices over $450,000. As with other properties in the area, pricing depends on views (with higher floors and water views commanding substantial premiums). Units will have floor-to-ceiling glass windows, 10-foot ceilings, custom cabinetry, upgraded baths, granite countertops, and built-in appliances. Upgrades will also be available. The building will have a party room, exercise room, garden terrace on the fourth floor, and two enclosed parking spaces per unit. This project is more luxurious than Harbor Park, but it may be more difficult to market given its location, which is further from the waterfront.

2. Harbor Place

Harbor Place is a low-rise mixed-use project planned for a site at 57th Street and 3rd Avenue, adjacent to Harbor Park and the Southport Marina. However, this development will be much smaller in scale than its predecessor. Only 58 units are planned, including 16 townhomes, 24 lofts, and 18 marina units; 29 units have already been reserved. The flats will have a minimum of 1,000 square feet, with prices starting at $259,000. The townhomes will start at 1,830 square feet, priced from $500,000 and up. The largest townhome will be a corner unit with three bedrooms, an office, and a wraparound porch, totaling 3,026 square feet. The average price is expected to be $450,000. Completion is planned for the fall of 2007. The developer is using the availability of train service to Kenosha in his marketing plan. The bulk of deposits have come from people living in the Chicago area; approximately 60% are boaters attracted to the availability of boat slips at the marina. Harbor Place will also have 43,000 square feet of ground floor retail space. 3. Virginia Towers

This 24-unit, nine-story condominium is under construction at the corner of 57th Street and 4th Avenue, one block to the west of Harbor Place. The property offers eight floor plans and three penthouses. Nearly two-thirds of the units have been reserved. Still available are two bedroom/two bath and three bedroom/three bath units, all with private balconies. Prices for a 1,304 square foot unit on the fourth floor start at $471,345. Penthouse units start at $822,500 for a two bedroom unit and run as high as $1,047,375. There will be 4,500 square feet of ground floor retail space, a fitness center, and two parking spaces per unit.



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4. Other Planned Condominium Projects in/near Downtown Kenosha Another condominium building, with six stories and 45 units, is planned for a site on the 4800 block of 5th Avenue. This site is beyond the boundary of the half-mile ring to the northeast. A site on the 5900 block of Sixth Avenue is also being considered for condominiums.

New Kenosha Condominiums Beyond the Station Area

A number of low rise condominium projects are in active marketing in Kenosha neighborhoods to the west of the station area. Avalon Parc, at 45th Street and Green Bay Road, is offering duplex ranch-style units with two bedrooms and two baths and two story units with two bedrooms plus den and two baths, priced starting in the $250,000s. The Falls at Pike Creek (south of 67th Street and east of 70th Court) will eventually have 252 condominiums in six buildings. One bedroom units with 780 square feet start at $99,000, two bedroom units with two baths have 975 to 1,031 square feet ($127,900+), and the three bedrooms (1,183 square feet) start at $141,900. Some price reductions were being advertised in February 2006, and some units are being rented. As can be seen, these prices are well below those in the downtown area. Residential Land Prices Residential land transactions in the City of Kenosha consist primarily of single lots in subdivisions, with few sales of parcels in the downtown or elsewhere in the half-mile study area. Lots sold through the Multiple Listing Service from the start of 2004 through the end of the first quarter of 2006 were priced from the low $50,000s to over $100,000, with considerable variation based on size and location. None of these sales are in the half-mile study area. The City of Kenosha owns much of the land in the harbor area and has sold parcels to developers as part of the area’s redevelopment.

Development Name and Address Age Total # Types of Units Monthly Occupany Rate/ Comments(all Kenosha) (Years) of Units Units Available Sizes Rent or Condo Price % Sold

(Bedroom/Bath) (sq. ft.) $

CondominiumsNew and Planned/Under ConstructionVirginia Towers Under 34 Condominiums4th Ave. & 58th St. Construction 1/1 940-1,032 $156,975-$203,595 NA 22 units already pre-sold; only 1BR262-694-2166 1/2 940 $156,975-$203,595 available; Four 2BR available; Eight 3BR

2/1.5 1,277 $386,085-$501,795 are still available as of April 2006.2/2 1,142-2,036 $386,085-$1,047,375 Two parking spaces for 2BR & 3 BR2/3 2,178 $671,895-$769,545 units3/2 2,727 $1,207,395

Harbor Place Planned 58 Townhomes (16) 29 reserved; only 30 units left;3rd Ave. & 57th St. 2/2.5 1,831-1,873 $498,645 - 75% Building planned to be completed847-508-0386 3/2.5 2,018-3,026 $800,000+ in 2007; 5 condo buildings and

Condominiums(42) 2 TH buildings2/2 1,042-1,552 $293,895-$498,645 50%

Brindisi Condominiums Planned 87 Condominiums52nd Ave. & 7th St. 2/2 1,594 - 2,218 $450,000 - $690,000 29% Construction begins spring 2006262-694-4444 3/2 1,872 - 2,313 $577,000 - $720,000 and is to be completed by spring 2007.

penthouses 2,534-3,439 $1,004,900-$1,362,900 Many units still available as of April 2006.25 units are reserved

Condominium Resales*Harbor Park Finished 351 Townhomes NA 70 THs + 72 villas + 209 condo units =209 54th Street early 2006 2/2 1,199 - $199,900 - 351 total units.262-605-3500 3/2 2,400 $487,900

Condominiumsstudio 500 - $80,000-

1/1 3,000 $550,0002/23/2

Villas2/1.5 1,600 - $150,000-2/2 2,200 $250,000

KENOSHA STATION AREA CONDOMINIUMS AND APARTMENTS

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Development Name and Address Age Total # Types of Units Monthly Occupany Rate/ Comments(all Kenosha) (Years) of Units Units Available Sizes Rent or Condo Price % Sold

(Bedroom/Bath) (sq. ft.) $

KENOSHA STATION AREA CONDOMINIUMS AND APARTMENTS

Rental ApartmentsStationside Village Apartments 15 151 Apartments 95% Few LIHTC apartments rent for $615,5215 11th Ave. 2/1 854 $655 based on incomes of $18,000-$32,000;262- 656-1010 2/2 885 $665 tenants pay electricity, water/sewer,

2/2 965 $685 garage available for rent at $60/mo;2/2 1,044-1,057 $705 storage units available for $20/mo.

Townhomes Tenants pay electricity, gas,2/1.5 1,116 $845 water/sewer. Upper/lower flats include2/1.5 1,057 $820 washer/dryer. TH's have attached2/1.5 1,173 $895 garage; some TH's have fireplace.2/2 965 $735 All TH have central AC & gas heat.2/2 900 $695

Imperial House Apartments 46 51 Apartments: NA Units have central AC, stove, dishwasher,62nd & 7th Ave. 1/1 800 $615 refrigerator, garbage disposal, storage262-942-8399 2/2 1,000-1,200 $750-$795 areas; no 1BR available

Library Park Apartments NA NA studio 500 $525 NA5947 7th Ave. 1/1 650 $625262-652-5160 2/1.5 900 $725

Planned RentalUptown Brass Center Planned 62 Apartments 62 Apartments in Phase I.63rd St & 20th Ave sizes not available 700 $1/sq.ft. NA Construction begins April 2006.608-836-9727 yet 850 Apartments have not yet been put on the

850-1,100 market.1,100

* Resales from January 2004 through March 2006

NA Not Available

Source: Valerie S. Kretchmer Associates, Inc.; Realtor.com

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Rental Apartment Market Downtown Kenosha does not have a large inventory of rental apartment buildings. Three properties in the station area, described in Table 8, comprise the majority of multi-family rental units. Additional competition comes from renting single family homes, duplexes, and condominiums. For example, some rentals at Harbor Park are available, at $775 per month for a one bedroom and $1,000 for two bedroom units. In general, rents at downtown Kenosha apartment buildings are lower than at rental complexes located west of the station area. Building new market-rate rentals can be difficult given the relatively low rents achievable downtown and the availability of affordable homeownership options.

1. Properties in the Station Area

a. Stationside Village

This is the largest rental complex in the area, with 151 flats and townhouses. It borders the train station, and management reports that tenants make use of the train. All of the units have two bedrooms. The flats range in size from 854 square feet (with one bath) to 1,057 square feet (with two baths). Rents range from $655 to $705 per month. The townhouses have 900 to 1,173 square feet and 1.5 or two baths. Rents are $695 to $895. All utilities are additional. The townhouses have attached garages and some have fireplaces. All units have central air conditioning. Some of the units have low-income housing tax credits, which allow for rents as low as $615. Occupancy is strong, with a vacancy rate of less than 5%.

b. Imperial House

This building, at 62nd Street and 7th Avenue near the medical complex, has 51 units and was built in the 1960s. The building offers spacious one and two bedroom apartments with rents ranging from $615 to $795. Gas heat and hot



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water are included in the rent. No one bedroom units are available. We would expect these units to be very popular with hospital personnel.

c. Library Park Apartments

Located on 7th Avenue between 59th and 60th Streets, this three-story building offers studio, one and two bedroom units with 500 to 900 square feet. Rents range from $495 to $695. Heat is included. Covered parking is available on the ground floor.

2. Comparison with Other Rental Properties in the City of Kenosha In comparison to the downtown properties mentioned above, newer apartment complexes on the west side of Kenosha are more expensive. Rents range from $505 for a newer studio unit up to $1,300 for spacious three bedroom units. These complexes have more recreational amenities such as pool, clubhouse, fitness center, etc.

3. Proposed Rental Developments

The first phase of the Uptown Brass Center (the redevelopment of the former American Brass factory at 63rd Street east of 20th Avenue) is focusing on retail space (see the chapter that follows). However, the first phase will also have a residential component consisting of 62 apartments over shops. Unit sizes will range from 700 to 1,100 square feet, with rents expected to average $1 per square foot (higher than those at Stationside Village or older downtown apartment buildings). Later phases of this project are expected to have both for-sale and rental components, including senior citizen apartments.



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Opportunities for Residential Development in the Station Area 1. General Observations Over the last decade, the half-mile area around the existing Kenosha Metra station has not been the focus of residential development activity in the City. Prior to 2000, new development was concentrated in more “suburban” locations closer to Interstate 94. More recently, Harbor Park’s successful absorption of 351 condominium units – at prices much higher than typical for Kenosha – suggested demand for development along the lakefront or on sites that could offer water views. New projects (Harbor Place, Virginia Towers and The Brindisi) are capitalizing on this opportunity. A high percentage of the buyers have been Chicago area residents looking for well-designed lakefront units at prices lower than they can find in Cook or Lake County. Others have been investors capitalizing on the strong housing market. All of these projects stress the availability of train connections in their marketing materials. Although there are sites within the half-mile station area that would be suitable for residential development, these locations would not be competing with waterfront locations for the same upscale buyer. Prices and rents will decrease with distance from the waterfront. Also, any new development near the station would be competing with other more traditional low-density suburban condominium projects as well as new units planned for the Uptown Brass Center. 2. Future Demand From 2005-2020, the household projections indicate that there will be demand for 8,619 new housing units in the City of Kenosha (575 per year on average). VSKA estimates that a total of 1,036 (69 per year on average) could be in the half-mile station area assuming improved commuter rail service. Without the improved commuter rail to Milwaukee, demand in the station area is estimated to be 862 units (57 per year on average). Table 9 on the following page provides additional details on the demand for new units and the methodology used.



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Table 9

KENOSHA STATION AREA RESIDENTIAL DEMAND FROM 2005-2020 Number of Housing Units

Short term Medium term Long term Total Average2005-2010 2010-2015 2015-2020 15 years Annual

County Demand due to household growth (1) 3,941 3,973 4,074 11,988 799 Plus 5% vacancy allowance 197 199 204 599 40 Replacement demand (2) 868 868 868 2,604 174 Total county demand 5,006 5,040 5,146 15,191 1,013

City of Kenosha Demand due to household growth 2,133 2,155 2,256 6,544 436 Plus 5% vacancy allowance 107 108 113 327 22 Replacement demand (2) 583 583 583 1,748 117 Total City demand - baseline 2,822 2,845 2,951 8,619 575 City share of countywide demand 56.4% 56.5% 57.4% 56.7% Demand Alternatives Harbor/lakefront area share (beyond half mile) - baseline 564 711 738 2,014 134 Harbor/lakefront baseline plus second home (3) 677 854 885 2,416 161

Half mile station area - baseline 282 285 295 862 57 Half mile station area w/expanded rail service (4) 282 370 384 1,036 69

Notes: (1) From State of Wisconsin household projections (2) Assumes annual replacement demand equal to ½ of one percent of housing stock built prior to 1970 (as

reported in the 2000 Census) (3) Assumes that harbor area demand is expanded by 20% to account for second home or investor buyers, all

of whom are purchasing condos in the harbor area. Harbor baseline capture increases from 20% of the City total in 2005-2010 to 25% in 2010-2015 and stays steady from 2015-2020.

(4) Assumes that rail service improvements are completed between 2010 and 2015, resulting in 30% increase in demand in half-mile area. Without rail improvements, station area baseline capture remains the same (10% of the City total)

Source: Valerie S. Kretchmer Associates, Inc.



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Condominium prices and apartment rents in the station area will be lower than those achieved by waterfront projects, but should be priced to compete with new projects being built at other locations in the City of Kenosha. In 2006 dollars, rental units could be expected to average $1 to $1.10 per square foot (plus utilities), and condominiums would be priced averaging $150 to $175 per square foot.

The Harbor area east of the half-mile station area is estimated to have a demand for 2,416 units over the 15 year period (161 units per year) assuming continued and increased demand from second home buyers. A majority of new units that will be built in Kenosha over the next 15 years will continue to be located in areas west, northwest, and southwest of downtown and the station area. However, the results show that the share of residential development activity in the station area and along the waterfront will increase.



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VII. RETAIL MARKET CONDITIONS AND STATION AREA OPPORTUNITIES Retail Sales and Sales Per Household The 2002 Census of Retail Trade provides insight into retail sales activity in Kenosha County and the City of Kenosha. A detailed table showing sales by category is included in the Appendix. The County had 544 retail establishments (including motor vehicle dealerships) in 2002, and generated nearly $1.5 billion in sales. The City had 337 establishments (62% of the County total) and $975.7 million in sales (66.2%). A detailed table is in the Appendix. The City’s sales capture rate is slightly higher than its share of the County’s 2000 households. This is due to the fact that high volume retailers (Target, Wal-Mart, Shopko, Woodman’s supermarket and other “big box” stores) are located within the City limits. It must be noted, however, that the factory outlet malls along Interstate 94 are located outside the City limits and generate considerable sales dollars from shoppers who do not live in Kenosha County. The City of Kenosha benefits very little from the inflow of tourists’ retail spending at the present time. Because of these offsetting factors, per household retail spending in 2002 (based on 2002 sales divided by the number of households at the time of the 2000 Census) is $28,026 for the City and $26,287 for the County as a whole. This indicates that people who live outside of the City are shopping in Kenosha. Expenditure Potential in 2005 Based on its estimated average household income of $59,351 in 2005 and its household composition and age characteristics, Demographics Now estimates that City of Kenosha households have an aggregate retail expenditure potential of $885.4 million, or $24,105 per household. Of this, grocery stores account for 15.5% of household spending, gasoline stations 10.2%, and department stores (including discount stores), 7.5%. The Appendix provides additional details from Demographics Now regarding spending patterns by resident households. Additional sales generated above these levels result from “inflow” – dollars spent in the City by households who do not live there (visitors to the area or suburbanites who work and/or shop



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inside the City limits). It is clear that Kenosha benefits from inflow, especially at grocery stores and general merchandise stores. This occurs despite the fact that there is no traditional enclosed regional mall in Kenosha County; residents use Regency Mall in Racine or Gurnee Mills in Gurnee, Illinois. Shopping Concentrations in the City of Kenosha The City of Kenosha has two main shopping nodes. On Route 50 and Green Bay Road (Route 31) are three large community centers whose tenants include Menards, Target, Kohl’s, Office Max, Walgreens, Marshalls and a multi-screen cinema, as well as Pick ‘N Save, Jewel/Osco, and Aldi supermarkets. Southport Plaza is the largest of these centers. A new center opened on Route 31 north of Southport Plaza in January 2006; it is anchored by a Lowe’s home improvement store and has a total of 300,000 square feet of in-line space. Numerous fast-food and family restaurants are also found near this intersection, along with banks and other convenience services. A second concentration of stores is on Route 158 (52nd Street) near 47th Avenue, with Kmart and Wal-Mart, Dollar Tree, and Sav-A-Lot Foods. Further west on Route 158 at 54th Avenue is a Shopko discount department store. New retail nodes are emerging.

• The Uptown Brass project’s first phase will have 114,000 square feet of new retail space in the City’s Uptown neighborhood, about a mile southwest of the Metra station. The mix of stores includes a new Pick ‘N Save supermarket with nearly 56,000 square feet that will be completed in the spring of 2006. This will be an important addition for downtown and harborfront residents.

• On the far north side, retailers are opening near the intersection of 18th Street and 28th

Avenue. New stores in this area serve both the north side of the City and the Town of Somers, and are conveniently located for college students. This intersection is nearly equidistant from UW-Parkside on the north, Carthage College on the east, and Gateway Technical on the south. The area has a Pick ‘N Save market, three banks,



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and restaurants. Another market, Piggly Wiggly, is located just a few blocks to the north. Two new shopping centers are planned for the area. With new dormitories planned at Carthage College, retail sales in this developing area will be increasing.

• A Wal-Mat Superstore and Sam’s Club warehouse store are proposed for a site on the

northwest corner of Washington Road (38th Street) and Green Bay Road. Although this site is in the Town of Somers and not in Kenosha, it will draw patrons from the north side of the City.

Retail rents at newer strip centers range from $12 to over $20 per square foot triple net (common area expenses, real estate taxes and insurance are extra), with small spaces (under 3,000 square feet) having the highest rents. Store space at the Uptown Brass Center is listed for $16 to $18. At Hunters Plaza, under construction at 18th Street and 30th Avenue, asking rent for a 9,000 square foot space is $19. A proposed mixed-use center in this emerging area lists a 9,000 square foot space at $15. The new Indian Trail Plaza on Green Bay Road has 150,000 square feet of available space at asking rents of $12 to $30. Retail and Services in the Station Area Aside from the coffee/sandwich shop inside the station, and a Wendy’s fast food restaurant/drive-up on the southwest corner of 52nd Street and Sheridan Road, there are no stores or restaurants in the immediate vicinity of the station. There are suitable spaces on the ground floors of the small historic buildings on blocks adjacent to the station east of Sheridan (in/near the Pearl Street Historic District), but retailing has not taken hold in these spaces. Small “ma and pa” stores on 52nd Street west of the tracks cater to neighborhood residents and businesses, but many of the older commercial structures in this area are in need of upgrading. Most of Kenosha’s traditional downtown business district is within a half mile of the station. Retail stores are concentrated on 6th and 7th Avenues both north and south of 56th Street. Few national chains are represented other than Walgreens. The area does have a number of banks, antique shops, gift stores, delicatessens, and specialty shops. Sit-down restaurants and pubs are concentrated north of 52nd between the Municipal Building and Simmons Island Park. The Best Western hotel is also in this part of downtown.



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In general, downtown retail occupancy is not strong. Many ground floor retail spaces have been vacant for some time and are in need of rehab to make them marketable. Retail rents for the older space downtown is in the $8-12 per square foot range on a gross basis (common area expenses, real estate taxes and insurance are included). Smaller spaces (under 3,000 square feet) have been leasing more readily than the larger spaces over 8,000 square feet. The addition of 351 new condominiums at Harbor Park does not seem to have helped conditions in the downtown retail area, perhaps because many Harbor Park property owners are not permanent year-round residents. Continued development of housing near the waterfront and in the station area will strengthen demand. Planned Retail Space in the Station Area and the Waterfront The only known retail space planned in the station area is the ground floor space at The Brindisi condominium building (15,000 square feet). Closer to the lake, 43,000 square feet of space are planned at Harbor Place, and another 4,500 on the first floor of Virginia Towers. These spaces will provide convenience services for waterfront residents. The Brindisi space will also be a convenient location for workers at the Municipal Building and the Harbor View office building. Future Retail Demand in the Station Area The expenditure categories that are most relevant for built-up areas immediately adjacent to commuter rail stations are convenience stores, specialty stores (including prepared food specialties), pharmacies, eating and drinking places, and personal services. These areas rarely have the physical space to accommodate discount department stores, home improvement stores, car dealerships, and other large retailers and the parking areas they typically require. Nor do these types of stores benefit from being adjacent to suburban rail stations. Time-pressed commuters (especially those who are riding long distances to Chicago) will use the station area to buy breakfast items, snacks, sandwiches, and prepared foods to take home after work. They will also need conveniences such as dry cleaners and personal care (beauty and barbershops), as well as easy-to-carry specialty items such as flowers and cards.



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Retailers that cater to office workers, tourists, and upscale condominium buyers are more likely to locate on a revitalized 6th or 7th Avenue than to the west of Sheridan Road near the Metra station. Much of the new demand would be captured within the half-mile area, but may not be on blocks adjacent to the station itself. The best potential for new stores west of Sheridan would be as part of mixed used projects on the following sites:

Vacant block north of 52nd Street and just west of the tracks Blocks between 52nd and 54th Streets just west of the tracks Block west of Sheridan Road north of 52nd Street, now occupied by a boat storage facility

and the City’s waste transfer facility Potential redevelopment of the existing Metra parking lot

Although the downtown area lacks a supermarket, the new Pick ‘N Save at Uptown Brass will be only a mile southwest of the station. If the trolley line is extended to this area, downtown residents may find it a convenient place to shop even if they do not have a car. This new market makes it unlikely that the station area could attract a full-line grocery store. The table below shows the additional retail space that could be absorbed in the half-mile station area. This does not include a calculation of the improved retail offerings in existing downtown buildings that are expected to occur as a result of the additional housing in the area. These estimates are dependent on the aforementioned development of new housing in the half-mile area beyond that proposed along the lakefront.

2005-2010 (Square Feet)



Total (Square Feet)

30,000 50,000 60,000 140,000



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VIII. OFFICE MARKET CONDITIONS AND DEVELOPMENT OPPORTUNITIES IN THE STATION AREA

Kenosha Office Market Conditions According to local brokers, the inventory of multi-tenant office space in the City of Kenosha totals just over 1.2 million square feet. A total of 55,085 square feet were available for rent as of March, 2006, for an overall vacancy rate of only 4.2 %. Office space currently available for rent now downtown tends to be lower in quality. Currently available properties range in rent from $8-14 per square foot, sometimes on a gross basis and sometimes on a triple net basis (in which the tenant is responsible for their pro rata share of common area expenses, real estate taxes and insurance). The newest downtown multi-tenant building, Harbor View, is a fully-occupied three-story building across from the Municipal Building. It was completed in the mid-to late 1990s. The building is an office condominium with a few owners occupying their space. A small portion of the space is rented out, but none is currently available. There are indications that the office market is getting stronger. There have been more property sales in the past couple of years, many of which have been to Illinois buyers. Some of these buildings are being rehabbed. However, the market for office space in downtown Kenosha is not deep for a variety of reasons:

As indicated earlier, office-prone businesses other than government agencies are under-represented in Kenosha’s employment base.

Many law firms and other businesses who want to be near the courthouse and the

County office building have purchased small buildings for their own use.

The County is not a big user of rented space in the downtown.

Medical professionals are able to find space close to Kenosha Hospital and Medical Center (south of downtown) or on the west side near St. Catherine’s or Aurora Medical Center.



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A number of vintage office buildings in the heart of downtown are in need of renovation

and are not being actively marketed. Renovation and re-tenanting of the 80,000 square foot former Kenosha National Bank building would be an important boost to the image of downtown as an office location.

Rents in the downtown core are far too low to support the cost of constructing new

buildings or doing major renovations on existing older space. Along Green Bay Road and in areas further west, offices rent for a minimum of $13 per square foot triple net.

Office brokers interviewed by VSKA were not optimistic about the potential for a revival in demand for downtown office space, and were cautious about encouraging office development in the station area. Office Demand The strongest demand for office space near the train station would be from professional services firms who do business with the County and City agencies and the courts. Their buildings are located just a short walk from the station. At the present time, these firms tend to be located in small historic office buildings with low rents rather than in new Class A multi-tenant space. Many firms own their own buildings. However, it is possible that a growing upscale downtown population could generate demand for more professional services firms, especially health care providers. With expanded rail service, more firms might find a downtown location attractive. A modest amount of new space could be absorbed in free-standing single- or multi-tenant office buildings, or as part of mixed-use buildings to serve government agencies, medical professionals and allied health care practitioners, attorneys, financial services, insurance agents, etc.



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The table below suggests a modest amount of office space that might be absorbed in the station area over the next fifteen years.




Total (Square Feet)

20,000 30,000 30,000 80,000



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IX. APPENDIX A. Demographic Maps

1. Median Household Income for ½ and 3 Mile Radii from the Kenosha Station 2. Average Household Size for ½ and 3 Mile Radii from the Kenosha Station 3. Population Density per Square Mile for ½ and 3 Mile Radii from the Kenosha

Station B. Census of Retail Trade for Kenosha County and City of Kenosha C. Retail Expenditure Potential for City of Kenosha

Valerie S. Kretchmer Associates, Inc.

2005 Median Household Income for ½ and 3 Mile Radii from Kenosha Station

31

32

50


Sheridan Rd

Sheridan Rd

Sheridan Rd

Sheridan Rd

Sheridan Rd

30th Ave30th Ave30th Ave30th Ave30th Ave

75th St75th St75th St75th St75th St

52nd St52nd St52nd St52nd St52nd St

61st St61st St61st St61st St61st St

85th St85th St85th St85th St85th St 85th St85th St85th St85th St85th St

52nd Ave52nd Ave52nd Ave52nd Ave52nd Ave


14th Pl14th Pl14th Pl14th Pl14th Pl





LakeshLakeshL ake shL ake shL ake sh


22nd Ave22nd Ave22nd A

ve22nd Ave22nd Ave





22nd

Ave

22nd

Ave

22nd

Ave

22nd

Ave

22nd

Ave


54TH ST & 13TH AVE, KENOSHA, WI 53140

Legend

Block Groups Basic Variables (2005) Income:Household Income: Median Household Income

Above 100,000 75,000 to 100,000 50,000 to 75,000 25,000 to 50,000 Below 25,000 No Data

Subject Site 0.5,3 mile radii Block Group Bndry

Big City Ctr Medium City Ctr Small City Ctr

Prim. Hwy Secd. Hwy Maj. Rds Parks Aerial Photo Coverage

Source: Applied Geographic Solutions © 2005. DemographicsNow is brought to you by SRC,

LLC. © 2005 All Rights Reserved

Date: 05/24/06

Page 51 of 57


2005 Average Household Size for ½ and 3 Mile Radii from Kenosha Station

31

32

50


Sheridan Rd

Sheridan Rd

Sheridan Rd

Sheridan Rd

Sheridan Rd
















ve22nd Ave22nd Ave





22nd

Ave

22nd

Ave

22nd

Ave

22nd

Ave

22nd

Ave



Legend

Block Groups Basic Variables (2005) Average Household Size

Above 3 2.50 to 3 2 to 2.50 1.50 to 2 Below 1.50 No Data






Date: 05/24/06

Page 52 of 57


2005 Population Density Per Square Mile for ½ and 3 Mile Radii from Kenosha Station

31

32

50


Sheridan Rd

Sheridan Rd

Sheridan Rd

Sheridan Rd

Sheridan Rd
















ve22nd Ave22nd Ave





22nd

Ave

22nd

Ave

22nd

Ave

22nd

Ave

22nd

Ave



Legend

Block Groups Basic Variables (2005) Population Density

Above 10,000 7,500 to 10,000 5,000 to 7,500 3,000 to 5,000 Below 3,000 No Data






Date: 05/24/06

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2002 KENOSHA COUNTY RETAIL SALES AND SALES PER HOUSEHOLD

SIC Code Category Establishments Sales 2000 Households Sales/Household # $ Total Households 56,057 441 Motor Vehicle/parts dealers 57 $431,216,000 $7,692 442 Furniture/home furnishing stores 40 $35,066,000 $626 443 Electronics/appliance stores 25 NA NA 444 Building material/garden equipment/supply stores 37 $88,030,000 $1,570 445 Food/beverage stores 60 $277,827,000 $4,956 446 Health/personal care stores 42 $106,120,000 $1,893 447 Gasoline Stations 78 $147,300,000 $2,628 448 Clothing/clothing accessories stores 86 $107,436,000 $1,917 451 Sporting goods, hobby, book, music stores 33 $31,498,000 $562 452 General Merchandise stores 13 $156,810,000 $2,797 453 Miscellaneous stores 51 NA NA 4532 Office supplies/stationery stores 16 $20,086,000 $358 4539 Other miscellaneous store retailers 20 NA NA 454 Non-store retailers 22 NA NA

Total Retail Sales 544 $1,473,555,000 $26,287

NA Not Disclosed due to small number of establishments. Source: U.S Census, "2002 Census of Retail Trade"; "2000 Census".

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2002 CITY OF KENOSHA RETAIL SALES AND AVERAGE SALES PER HOUSEHOLD

SIC Code Category Establishments Sales 2000 Households Sales/Household # $ Kenosha Kenosha County Total Households 34,815 441 Motor Vehicle/parts dealers 39 $176,121,000 $5,059 $7,692 442 Furniture/home furnishing stores 22 $19,732,000 $567 $626 443 Electronics/appliance stores 17 $11,557,000 $332 NA 444 Building material/garden equipment/supply stores 21 $60,305,000 $1,732 $1,570 445 Food/beverage stores 37 $244,184,000 $7,014 $4,956 446 Health/personal care stores 33 $87,149,000 $2,503 $1,893 447 Gasoline Stations 48 $82,913,000 $2,382 $2,628 448 Clothing/clothing accessories stores 40 $61,283,000 $1,760 $1,917 451 Sporting goods, hobby, book, music stores 21 $12,115,000 $348 $562 452 General Merchandise stores 11 NA NA $2,797 453 Miscellaneous stores 31 NA NA NA 4532 Office supplies/stationery stores 12 $18,987,000 $545 $358 4539 Other miscellaneous store retailers 13 NA NA NA 454 Non-store retailers 17 NA NA NA

Total 337 $975,724,000 $28,026 $26,287 NA Not Disclosed due to small number of establishments.

Source: U.S.Census, "2002 Census of Retail Trade"; 2000 Census.

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Index Base Average = 100 Index Base File: US

Total Population 95,825 Total Households 36,730 Median Income $46,117

% Male Population 49.30% Average Household Size 2.5 Per Capita Income $23,226

% Female Population 50.70% Household Growth from 1990 to 2000 13.90% Average Household Income $59,351

Median Age 34.6 % Owner Occupied Housing Units 59.00% Employees 34,965

Population Density 4,006.90 % Renter Occupied Housing Units 36.10% Establishments 2,877

% Vacant Housing Units 5.00%

Store Category Aggregate Dollars Average Household Dollars % of Total Index

Appliances and Electronics Stores $13,203,998 $359.49 1.50% 96

Art Dealers $48,820 $1.33 0.00% 93

Auto Parts and Accessories $8,761,614 $238.54 1.00% 98

Book Stores $4,896,863 $133.32 0.60% 93

Camera and Photography Stores $1,316,744 $35.85 0.10% 97

Childrens' and Infant's Clothing Stores $2,782,147 $75.75 0.30% 95

Clothing Accessory Stores $536,261 $14.60 0.10% 94

Computer Stores $6,443,888 $175.44 0.70% 95

Convenience Stores $6,343,947 $172.72 0.70% 98

Costmetics and Beauty Stores $736,581 $20.05 0.10% 96

Department Stores $66,257,485 $1,803.92 7.50% 96

Drinking Places $3,332,183 $90.72 0.40% 95

Family Clothing Stores $13,459,970 $366.46 1.50% 96

Fish and Seafood Markets $423,212 $11.52 0.00% 99

Floor Covering Stores $2,619,135 $71.31 0.30% 91

Florists $709,709 $19.32 0.10% 95

Fruit and Vegetable Markets $831,150 $22.63 0.10% 99

Fuel Dealers $6,135,569 $167.05 0.70% 98

Full Service Restaurants $42,108,262 $1,146.44 4.80% 96

Furniture Stores $15,322,203 $417.16 1.70% 94

Gasoline Stations with Convenience Stores $62,153,625 $1,692.19 7.00% 98

Gasoline Stations without Convenience Stores $28,032,435 $763.21 3.20% 98

Gift and Souvenir Stores $1,678,198 $45.69 0.20% 95

Grocery Stores $137,633,527 $3,747.21 15.50% 98

Hardware Stores $8,054,673 $219.30 0.90% 95

Hobby, Toy, and Game Stores $3,958,803 $107.78 0.40% 97

Home Centers $17,343,424 $472.19 2.00% 95

Hotels and Other Travel Accomodations $6,169,485 $167.97 0.70% 96

Jewelry Stores $4,085,111 $111.22 0.50% 91

Limited Service Restaurants $42,338,221 $1,152.70 4.80% 96

Liquor Stores $5,774,141 $157.21 0.70% 95

Luggage Stores $437,456 $11.91 0.10% 95

Mail Order and Catalog Stores $19,554,729 $532.40 2.20% 96

Meat Markets $1,771,601 $48.23 0.20% 99

Men's Clothing Stores $2,753,250 $74.96 0.30% 96

Mobile Home Dealers $21,312 $0.58 0.00% 95

Motorcycle and Boat Dealers $7,414,302 $201.86 0.80% 97

Musical Instrument Stores $1,528,378 $41.61 0.20% 97

New Car Dealers $179,575,175 $4,889.11 20.30% 98

Nursery and Garden Stores $3,432,678 $93.46 0.40% 95

Office and Stationary Stores $1,635,037 $44.52 0.20% 94

Optical Goods Stores $4,220,606 $114.91 0.50% 99

Other Apparel Stores $2,081,286 $56.67 0.20% 96

Other Building Materials Stores $23,340,222 $635.46 2.60% 94

Other Direct Selling Establishments $3,931,534 $107.04 0.40% 96

Other General Merchandise Stores $7,772,175 $211.60 0.90% 96

Other Health and Personal Care Stores $1,531,565 $41.70 0.20% 97

Other Home Furnishing Stores $3,724,202 $101.39 0.40% 95

Other Miscellaneous Retail Stores $1,824,753 $49.68 0.20% 98

Other Specialty Food Markets $1,313,301 $35.76 0.10% 99

Outdoor Power Equipment Stores $431,295 $11.74 0.00% 95

Paint and Wallpaper Stores $720,115 $19.61 0.10% 95

Pet and Pet Supply Stores $2,435,756 $66.32 0.30% 97

Pharmacy and Drug Stores $18,258,527 $497.11 2.10% 97

RV Parks $80,465 $2.19 0.00% 97

City of Kenosha Retail Sales Potential Summary Report

2005 Demographic Overview

Page 56 of 57



Store Category Aggregate Dollars Average Household Dollars % of Total Index

Record, Tape, and CD Stores $2,929,682 $79.76 0.30% 97

Recreational Vehicle Dealers $222,325 $6.05 0.00% 98

Rooming and Boarding Houses $43,464 $1.18 0.00% 96

Sewing and Needlecraft Stores $735,657 $20.03 0.10% 94

Shoe Stores $7,497,423 $204.12 0.80% 98

Special Food Services and Catering $7,089,838 $193.03 0.80% 96

Sporting Goods Stores $8,112,511 $220.87 0.90% 96

Tire Dealers $3,981,245 $108.39 0.50% 98

Used Merchandise Stores $1,437,395 $39.13 0.20% 95

User Car Dealers $12,589,131 $342.75 1.40% 98

Vending Machines $2,649,545 $72.14 0.30% 98

Warehouse Superstores $27,026,347 $735.82 3.10% 97

Women's Clothing Stores $7,775,184 $211.69 0.90% 95

Total Annual Retail $885,370,850 $24,105.07 100% 97

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Demographic data © 2005 by Experian/Applied Geographic Solutions.

Current year data is for the year 2005, 5 year projected data is for the year 2010. More About Our Data.

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