Study: There’s buying power on Near Eastside; Only now, call it the ‘NearEast’

Over the past few years, the slow makeover of the Near Eastside has included the shiny and new John H. Boner Center, the completion of the Jefferson Apartments and the soon-to-be-realized

The 10 East Main Street marketing study comes on the heels of a previously announced plan to restructure several blocks of 10th Street into a more pedestrian-friendly thoroughfare.

remodeling of 10th Street.

The Near Eastside’s image has been even slower, however, exacerbated by a commercial corridor dotted with empty storefronts and edged by neglected houses and vacant lots.

But stakeholders believe the image timeline will soon accelerate, boosted by the recently announced plan to rehabilitate or build 25 to 30 homes, along with the construction of St. Clair Place, a $6.5 million senior apartment complex.

The marketing study will help, as well, stakeholders believe. The newly released data provide insights on the income and demographic makeup of the 10th Street district and the adjoining neighborhoods, which encompasses a nine-block project area – now being called “10 East Main Street.” More than 25 neighborhood-serving retail businesses and organizations are located between Temple and Olney streets.

Among the insights offered by the study:

The area shows a strong core population with growth potential, with about 35,000 residents. New developments will add to that total.
There is market demand: Within a six-minute drive of 10 East Main Street there are 111,000 people, and 345,000 people within a 15 minute drive –all potential customers seeking goods and services.
The area features income diversity. Middle-income households, a key demographic for retailers, are densely concentrated in the core market.
The 10 East Main Street area has good proximity to Downtown and good highway access.

The study was unveiled by the 2012 Indianapolis Super Bowl Legacy Economic Development Committee in partnership with the East 10th Street Civic Association. The effort included a re-branding effort, with a new identity. If successful, the Near Eastside will become known as:

NearEast.

Organizers believe the data and branding campaign will help existing businesses expand and attract amenities to recruit additional neighborhood residents, as well as identify market niches that may create a regional business cluster to fill storefronts and create employment opportunities.

“Information from the study validates our belief that if the right commercial businesses locate on East 10th Street, they have a market ready to shop, dine and support their business. Now, our job is to match qualified businesses with the right location and building on the district” said Patrick Dooley, NearEast resident and co-chair of the 2012 Indianapolis Super Bowl Legacy Economic Development Committee.

Based on an analysis of gaps in service and unmet demands, the following observations were noted:

There is demand for storefronts on 10 East Main Street.
There is an opportunity to serve those living within a six-minute drive as retail gaps are higher than in the convenience trade boundaries.
10 East Main Street has potential to grow as an alternative for people coming to downtown looking for something different.
Overall, the top four categories showing new or expansion opportunities are general merchandise, grocery (food and beverage stores), restaurants (food and drinking places), and miscellaneous retail such as used and thrift stores, florists and other niche enterprises.

The study indicates that the immediate NearEast zone generates about $85 million in annual retail sales – but $269 million in retail demand.

Expand the zone to a six-minute drive time, and those numbers are $696 million in sales and $1.04 billion in demand.

The gap in those numbers represents money being lost to the NearEast because consumers go elsewhere to spend their money.

The study was conducted by LISC MetroEdge, combining innovated market research, quantitative analysis and grassroots community engagement to define the urban market and identify the area’s hidden assets to further the ongoing community development efforts that have been occurring in the area.

“The Near Eastside community is becoming more vibrant and thriving every day,” said James Taylor, chief executive officer of the John H. Boner Community Center and lead staff member of the Super Bowl Legacy Project. Taylor said the area features “more housing, more businesses, more energy as a result of a resident-led effort to create our own Quality of Life Plan.”

He added that the spotlight provided by the Super Bowl brings more attention to the dedication and work of residents and organizations like the East 10th Street Civic Association.

That organization – identified as the lead agency focusing on economic redevelopment along the East 10th Street neighborhood-serving retail district – will utilize the market profile data to expand its existing business and tenant recruitment program.

“Completion of the market profile, and more importantly, utilizing the positive market potential, could mean the difference between recruiting a sustainable and viable business or settling for a less than desirable one,” said Tammi Hughes, executive director of the East 10th Street Civic Association. “Both the Association and Legacy Project team members are excited to put the data into practice.”