[00:00:01]
IS THE, UH, CINCO[Economic Development Authority on May 5, 2025.]
DE MAYOCAN I GET A ROLL CALL? HE RICK NOVA.
DO YOU HAVE AGAIN ANY HERE? THANK, HERE.
UH, HAVE A MOTION TO APPROVE THE MINUTES SO WE CAN DISCUSS THEM.
SO, UM, ANY CONCERNS ABOUT THE MINUTES QUESTION? TERRY TALKED A LOT.
SO HILARY DID A REALLY GOOD JOB OF PARAPHRASING THE THINGS HARRY SAID.
HE WAS VERY, HE WAS VERY INFORMATIVE.
I I THINK WE ALL LEARNED THE ALL HEARING.
UH, ALL IN FAVOR SIGNIFY SAME.
ALL OPPOSED? SO, UH, EXISTING BUSINESS, UH, RETAIL STRATEGIES UPDATE.
UM, I'M CURIOUS 'CAUSE I HAVE A SPEAKER COMING ON, BUT HE HAS NOT JOINED US YET.
COULD WE POSSIBLY MOVE? YEAH, MAYBE.
CAN WE THROW PARKING SIGNAGE UP REAL QUICK? YEAH.
SO PARKING SIGNAGE IS GONNA BE PRETTY BRIEF.
UM, HAD A MEETING WITH PUBLIC WORKS LAST MONTH TO DISCUSS WHAT'S NEEDED TO BE DONE, WHAT WE WERE REFERRING TO AS THE JACKSON STREET PARKING IDENTIFICATION.
UM, WE'VE IDENTIFIED WHAT WE NEED TO DO AND HOW LONG IT'S GONNA TAKE AND HOW MUCH MONEY THEY NEED.
SO NOW WE'RE JUST FIGURING OUT EXACTLY WHO'S DEPARTMENT'S GONNA PICK UP THE STAB, BUT WE ARE WORKING IT.
WE ARE WORKING IT INTO, UM, AROUND ALL OF THE REST OF THEIR REGULAR MAINTENANCE WORK.
UM, SO WE'RE HOPING TO HAVE THAT DONE PRIOR TO THE FESTIVAL OF LEAVE.
SO THAT WOULD BE ADDITIONAL SIGNAGE POINTING FOLKS BACK TO JACKSON STREET.
UM, THAT WOULD BE CLEARLY MARKING THE PUBLIC SPACES BACK THERE.
UM, THERE ARE JUST SHY OF A HUNDRED.
UM, THERE ARE, IT'S BRINGING THE HANDICAP SPACES UP TO NEW COMPLIANCE.
'CAUSE ONCE YOU START EDITING LINES AND THINGS, NOW YOU GOTTA REMEASURE AND ALL THAT GOOD JAZZ.
UM, BUT WE ARE ON THE PATH TO BEING ABLE TO GET THAT DONE IN, IN THIS SEASON, SO.
SO WE DON'T KNOW EXACTLY WHEN IT'S GONNA HAPPEN, BUT BY OCTOBER.
UM, SOMETHING THAT THEY, THAT MY FRIENDS IN THE STREETS TEAM ALWAYS REMIND ME IS THAT THE WEATHER IS NOT ALWAYS THEIR FRIEND.
AND SO THEY MAY BLOCK A DAY TO DO IT AND THEN IT RAINS AND CAN'T PUT DOWN THERMO IN THE RAIN, IS MY UNDERSTANDING.
UM, OR PAINTS OR ANY OF THOSE THINGS.
SO THEY ARE GONNA WORK DILIGENTLY TO WORK IT INTO THEIR PROJECT SCHEDULE, BUT IT'S SOMETHING THAT WE'RE ALL AWARE OF THAT, YOU KNOW, THIS IS A GREAT FIRST STEP INTO, UM, HOPEFULLY, HOPEFULLY MITIGATING SOME OF OUR PARKING STRESS.
ANY OTHER QUESTIONS ON PARKING STUFF? OKAY, SO WE HAVE WITH US TODAY, MICHAEL WARSAW FROM RETAIL STRATEGIES.
SO I FIGURED YOU WOULD WANT AN UPDATE FROM THEM, NOT FROM ME, AND I WAS ABLE TO GET HIM ON THE CALENDAR.
SO HE'S GONNA RUN THROUGH A SLIDE DECK FOR US.
UM, MICHAEL, I BELIEVE WE'LL BE ABLE TO HEAR YOU.
CAN YOU SEE ME? I CAN ALSO SEE YOU, YES.
WELL, I APPRECIATE YOU OBVIOUSLY HAVING ME, LIZZIE.
THANK YOU EVERYBODY FOR BEING HERE.
I'M GONNA SHARE A PRESENTATION WITH YOU ALL TODAY THAT LIZZIE AND I HAVE GONE THROUGH, UM, ALREADY.
BUT I'M GONNA KIND OF, WHAT I WANNA DO TODAY IS REALLY HIGHLIGHT FRONT ROYAL FROM A RETAILER'S PERSPECTIVE, DEVELOPER'S PERSPECTIVE, KIND OF HOW THE OTHER SIDE MAYBE WOULD, WOULD LOOK AT FRONT ROYAL AND THEN TALK ABOUT SORT OF OUR STRATEGY, OUR PLAN FOR RETAIL RECRUITMENT, UM, AND THEN REALLY THE TOOLS THAT WE CAN PROVIDE, OBVIOUSLY ON THE LOCAL SIDE, HOW WE ARE OUT THERE RECRUITING, AND HOW WE'RE REALLY BRINGING RETAILERS TO THE TABLE.
LET ME KNOW WHEN YOU GUYS, UH, CAN SEE IT.
AND I'M GONNA GO AHEAD AND JUMP IN.
WELL, SO LIKE I SAID, REALLY WHAT WE'RE GONNA GO THROUGH IS A COUPLE OF DIFFERENT, COUPLE OF DIFFERENT TOPICS TODAY.
THE WHY WE EXIST, REALLY I WANT TO DIVE INTO WHY DOES RETAIL MATTER? HOW
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IS RETAIL AND EXTENSION OF ECONOMIC DEVELOPMENT? UM, OBVIOUSLY ECONOMIC DEVELOPMENT, AS YOU ALL ARE, ARE ACUTELY AWARE, IS TYPICALLY CENTERED ON WHAT I WOULD SAY IS INDUSTRIAL AND JOB GROWTH.WE'RE GONNA TALK ABOUT RETAIL AND HOW THAT OBVIOUSLY PLAYS INTO THAT.
WE'RE GONNA TALK ABOUT OUR PROCESS, HOW WE DO WHAT WE DO, THE RESEARCH PHASE, AND, UH, AND THEN KIND OF THE TEAM.
UM, WE'RE ALSO GONNA TALK ABOUT THE COMMUNITY BOOTS ON THE GROUND ANALYSIS OF THE COMMUNITY.
WHAT SORT OF RE WHAT SORT OF SITES DO RETAILERS LOOK, LOOK FOR, WHAT IS IMPORTANT TO THEM? UM, AND THEN WE'RE GONNA TALK ABOUT CONNECT, WHICH IS REALLY OUR PROCESS AND OUR ANALYSIS FOR HOW WE ACTUALLY SELECT THE RETAILERS THAT WE'RE GONNA GO AFTER, WHAT THOSE PROSPECTS LOOK LIKE, WHAT KIND OF PROSPECTS WE'RE LOOKING AT, WHO WE THINK WOULD BE A GOOD FIT FOR THE COMMUNITY FROM OUR EXPERTISE AND FROM OUR ANALYSIS.
UM, WE'RE GONNA TALK ABOUT OUR NETWORKING AND HOW WE DO WHAT WE DO, AND THEN WE'RE GONNA KIND OF OPEN IT UP FOR QUESTIONS ONCE WE GET TO THE END.
SO I REALLY WANT TO GET TO THOSE QUESTIONS.
I KNOW THAT EVERYBODY PROBABLY HAS SOME QUESTIONS FOR ME.
UM, WE WILL OBVIOUSLY GET THERE AND KIND OF, UH, TACKLE THOSE AT THE END, WHICH I THINK WILL BE GREAT.
I'M A FAN OF DIALOGUE, SO WHILE I WILL SAY, YOU KNOW, LET'S GET TO THE QUESTIONS AT THE END, CERTAINLY IF THERE'S ANYTHING THAT YOU GUYS ARE REALLY INTERESTED IN OR SOMETHING THAT IS, UM, THAT YOU GUYS NEED TO TAKE SOME MORE TIME ON WHEN WE'RE GOING THROUGH THIS, PLEASE FEEL FREE TO STOP ME AND WE'LL, UH, WE'LL ADDRESS IT THAT.
SO AS LIZZIE MENTIONED, MY NAME IS MICHAEL WARSAW.
I AM THE PORTFOLIO DIRECTOR FOR THE TERRITORY.
UM, WITHIN RETAIL STRATEGIES, WE'VE BEEN AROUND FOR ABOUT 15 YEARS AT THIS POINT.
JIMMY PRITT IS, UH, NOT WITH US TODAY ON THE CALL, BUT JIMMY IS MY RETAIL DEVELOPMENT ASSOCIATE.
WORKS THROUGHOUT OUR TERRITORY IN VIRGINIA TO, UH, REALLY GET TO KNOW THOSE RETAILERS.
HAVE THE BROKERS RELATIONSHIPS, IS OUT THERE OBVIOUSLY EVERY SINGLE DAY SELLING THE MARKET, SELLING FRONT ROYAL TO THOSE RETAILERS, UH, SUPPORTING US FROM THE TOP.
WE'VE GOT ROBERT MEAD, OUR TWO OWNERS, AND THEN CLAY CRAFT IS OUR VICE PRESIDENT OF CLIENT SERVICES.
SO WE ARE CERTAINLY A LARGE TEAM.
WE'VE GOT ABOUT 78 EMPLOYEES ACROSS A NUMBER OF DIFFERENT OFFICES.
UM, OUR ENTIRE TEAM IS WHERE FRONT ROYAL AND, AND IS WORKING WITH ME ON A DAILY BASIS.
SO YOU GUYS ARE WELL SUPPORTED WITH, UH, WITH THIS PARTNERSHIP.
LOOKING AT THE PARTNERSHIP FROM A HIGH LEVEL, I WOULD SAY THAT THE WAY THAT WE REALLY OPERATE, THE WAY THAT WE WANNA OPERATE IS OBVIOUSLY SURROUNDING FRONT ROYAL WITH ALL OF OUR EXPERTISE, ALL OF OUR EXPERIENCES AND OUR RELATIONSHIPS AND THE RESOURCES THAT WE HAVE SO THAT WE CAN REALLY ACT AS AN EXTRA MEMBER OF THE ECONOMIC DEVELOPMENT TEAM LOCALLY.
NOW, I WILL SAY, WITH THAT BEING SAID, WE WILL NEVER BE THE LOCAL EXPERTS LIKE YOU GUYS ARE.
SO I WANT TO MAKE IT VERY, VERY CLEAR THAT WE ARE NOT HERE TO REPLACE ANYBODY.
WE'RE NOT HERE TO ACT, UM, AS IF WE ARE THE EXPERTS.
WHAT WE WANT TO DO IS WE WANT TO REALLY WORK TOGETHER TO WORK WITH THE RELATIONSHIPS THAT WE HAVE AND THE EXPERTISE THAT WE BRING TO THE TABLE, REALLY WITH YOURSELVES, WITH OUR TEAM LOCALLY, SO THAT THEN WE CAN REALLY EX EXPEDITE THIS PROCESS, EXPEDITE THESE RETAILERS COMING TO THE MARKET AND MAKE SURE THAT WE'RE GETTING PEOPLE IN FRONT OF FRONT ROYAL OR FRONT ROYAL IN FRONT OF THEM AT A QUICKER PACE.
SO AGAIN, I ALWAYS, I ALWAYS WANNA STRESS THIS.
YOU GUYS ARE ABSOLUTELY THE LOCAL EXPERTS.
AS MUCH AS I ENJOY FRONT ROYAL, I'VE GOT FAMILY DOWN THE ROAD.
UM, I WILL NEVER BE THE LOCAL EXPERT ON FRONT ROYAL.
I AM NEVER GOING TO KNOW EVERY SINGLE PLAYER, EVERY SINGLE PERSON, EVERY, EVERY LANDOWNER, ET CETERA.
SO THE STRATEGY THAT WE ALWAYS REALLY USE IS THAT PARTNERSHIP STRUCTURE.
WE REALLY RELY ON THAT VERY HEAVILY.
I WENT THE WRONG WAY, I APOLOGIZE.
SO I'M GOING TO, IN A VERY HIGH LEVEL HERE, TRY TO EXPLAIN WHY RETAIL MATTERS.
AND THIS IS ALWAYS KIND OF ONE OF MY FAVORITES.
I AM, I AM, I WILL DIE ON THAT HILL.
AND I, I AM NOT APOLOGETIC ABOUT IT.
UM, NOT JUST BECAUSE I LOVE SHOPPING, BUT BECAUSE I LOVE THE IMPACT THAT IT HAS ON AMERICA.
SO $3.9 TRILLION OF OUR ANNUAL GDP GIVE OR TAKE COMES FROM RETAIL.
WE ARE AMERICANS, WE ARE CONSUMERS, RIGHT? IT IS, UH, IT IS ONE OF THE MOST IMPORTANT THINGS THAT MAKES US WHO WE ARE FROM AN ECONOMIC SENSE.
WE SPEND MONEY, BUT IT ALSO ACTS AS AN EMPLOYMENT CENTER.
52 MILLION AMERICANS, UH, WORK WITHIN RETAIL OR IN A SECTOR DIRECTLY RELATED TO RETAIL.
IT'S ONE OF OUR LARGEST DRIVERS, ONE OF OUR LARGEST ECONOMIC ENGINES.
SO IT IS IMPORTANT, RIGHT? THE OTHER PIECE THAT I THINK IS REALLY IMPORTANT TO HIGHLIGHT.
NOW I KNOW VIRGINIA OBVIOUSLY HAS A DIFFERENT TAX STRUCTURE BASED ON DEALS, TAXES, THINGS LIKE THAT.
SO DON'T, UH, DON'T PUT TOO, TOO MUCH WEIGHT INTO THIS.
BUT WHAT I WILL SAY IS THAT WHEN WE LOOK AT RETAIL, WE LOOK AT IT KIND OF ON AN ECONOMIC DEVELOPMENT LADDER, IS HOW I LIKE TO PHRASE IT.
SO WE LOOK AT IT A COUPLE OF DIFFERENT WAYS.
WE LOOK AT WHERE IS THE COMMUNITY TODAY
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ON THIS LADDER? HOW HIGH DO WE THINK WE CAN GO, AND HOW LONG IS IT GOING TO TAKE TO GET THERE, RIGHT? OBVIOUSLY, NOT EVERY COMMUNITY IS GOING TO FIT THE STANDARDS OR THE POPULATION DENSITY OR THE SIZE FOR A COSTCO, BUT WHEN WE LOOK AT THAT COSTCO ECONOMIC DEVELOPMENT IMPACT, WE WANNA OBVIOUSLY LOOK AT OTHER GROUPS THAT ARE GONNA HAVE SIMILAR IMPACTS AND TRY TO TRACK THOSE AS WELL.UM, THE OTHER KEY FACT THAT I WOULD POINT YOUR ATTENTION TO ON THIS IS GONNA BE THIS JOBS JOB CREATION THROUGH RETAIL IS PRETTY STAGGERING.
UM, ONE OF THE THINGS THAT I'LL ALSO SAY IS THOSE JOBS ARE NO LONGER MINIMUM WAGE JOBS.
HISTORICALLY, THEY HAVE BEEN THAT THAT IS JUST NOT THE CASE ANYMORE.
UM, THE EXAMPLE I'LL USE IS BUCKY'S.
BUCKY'S IS LIKE THE WALMART OF GAS STATIONS.
UM, THEY'VE GOT THREE THAT ARE COMING TO VIRGINIA THE NEXT YEAR AND A HALF TO TWO YEARS.
ONE OF THOSE IS, I THINK ACTUALLY JUST OPENED RIGHT DOWN THE ROAD FROM YOU ALL, UM, OVER TOWARDS HARRISONBURG.
SO BUCKY'S ROCKS, BUCKY, I LOVE BUCKY'S.
I'LL, I'LL, I'LL GO AHEAD AND THROW THIS OUT TO THE GROUP.
CAN ANYBODY TELL ME HOW MUCH A BUCKY'S CAR WASH MANAGER MAKES? HUNDRED 20.
THIS IS HOW MUCH? 120,000 A YEAR, RIGHT AT IT? ABOUT ABOUT A HUNDRED.
BUCKY'S CAR WASH MANAGERS MAKE, YEAH, IT'S ABOUT 120, 126,000 SOMEWHERE IN THAT RANGE EVERY SINGLE YEAR FOR A CAR WASH MANAGER.
BUCKY'S IS, I, THEY'RE KIND OF THE GOLD STANDARD OF PAY, I WILL TELL YOU.
BUT WHAT'S REALLY FASCINATING TO ME IS THAT THE RETAIL JOBS AND RETAIL SALARY GROWTH HAS BEEN PRETTY, UH, PRETTY SHOCKING.
YOU KNOW, WALMART RECENTLY BUMPED THEIR TOTAL COMP PACKAGE FOR THEIR MANAGERS UP.
THEY CAN NOW MAKE, UM, TOTAL COMP OBVIOUSLY, BUT THEY CAN MAKE ABOUT $400,000.
SO RETAIL JOBS, ESPECIALLY WITHIN THE MANAGEMENT LEVEL IN THOSE RETAILERS, IS PRETTY STAGGERING.
THEY ARE HISTORICALLY, AND THEY HAVE CONTINUED TO, UH, PROMOTE FROM WITHIN.
THEY LIKE PEOPLE WHO KNOW THEIR BRAND AND HAVE BEEN WITH THEIR BRAND.
SO I WOULD TELL YOU THAT WHILE OBVIOUSLY THEY LOOK FOR COLLEGE EDUCATION, UH, TYPICALLY FOR THOSE MANAGEMENT LEVEL POSITIONS, THEY'RE GONNA ALSO LOOK FOR PEOPLE WHO HAVE HAD A HISTORY WITH THEIR BRAND.
I CAN TELL YOU FROM PERSONAL EXPERIENCE, I KNOW A MANAGER WHO STARTED IN THE SHOE DEPARTMENT AND WAS STOCKING SHELVES AND MADE IT ALL THE WAY TO THE MANAGEMENT LEVEL.
SO THESE BRANDS OFFER REAL OPPORTUNITIES THAT HISTORICALLY AND MAYBE PREVIOUSLY DID NOT NECESSARILY EXIST.
RETAILERS ARE CONTINUING TO OPEN THESE JOBS ARE CONTINUING TO GROW, THE NUMBER OF JOBS CONTINUING TO GROW, AND THAT SALARY IS ALSO GROWING.
SO ECONOMIC DEVELOPMENT AND RETAIL, IT IS A KEY PIECE OF IT.
WHILE OBVIOUSLY I WANT WORK TO SUPPORT THE GROWTH OF INDUSTRIAL MANUFACTURING, MEDICAL, SOME OF THOSE MORE, UH, TRADITIONAL ECONOMIC DEVELOPMENT ROUTES, RETAIL IS A PIECE OF THAT.
AND I ALWAYS JUST WANT TO HIGHLIGHT THAT AND MAKE SURE THAT WE'RE ALL KIND OF ON THE SAME PAGE.
SO I'M GONNA JUMP INTO THE FUN PART HERE.
NOW, I CAN'T SEE YOU ALL ON MY SCREEN, SO IF ANYBODY FALLS ASLEEP, I WON'T KNOW, BUT WE'RE GONNA TALK ABOUT DATA.
UM, THIS, THIS YES DECK, UH, WILL YOU FORWARD IT TO US SO THAT WE CAN WE HAVE ACCESS? YES.
I'VE GOT EVERYBODY A COPY TODAY.
UH, ANYBODY ELSE? ANY OTHER QUESTIONS ON THAT BEFORE I DIVE INTO THE FUN PART? UH, WHICH IS NUMBERS? I THINK WE'RE GOOD.
SO I'M GONNA WORK, WHAT WE'RE GONNA DO TODAY IS KIND OF A LITTLE EXERCISE.
IT'S A QUICK EXERCISE, BEAR WITH ME.
BUT WE'RE GONNA KIND OF LOOK AT THE MARKET, A FRONT ROYAL FROM TWO DIFFERENT LENSES.
FIRST IS WHAT I WOULD SAY IS OUR MUNICIPAL LENS, RIGHT? THAT IS GONNA BE WITH STRICT BOUNDARIES, STRICT NUMBERS.
WE KNOW WHERE OUR BOUNDARIES ARE.
WE KNOW WHAT IS INCLUDED IN THOSE BOUNDARIES.
SO REALLY LOOKING AT IT TODAY, WE KNOW AGAIN, RIGHT WHERE THOSE LINES ARE.
WE'VE GOT ABOUT 15,500 PEOPLE THAT LIVE WITHIN THOSE BOUNDARIES RIGHT THERE.
I WILL JUST GO AHEAD AND TELL YOU, THROW THIS OUT THE WINDOW.
RETAILERS DO NOT LOOK AT BOUNDARIES.
THEY DON'T, THEY JUST DON'T LOOK AT 'EM, RIGHT? UM, WE ALL USE, IN THE RETAIL SIDE, WE USE THE SOFTWARE.
WE USE SITEWISE, WHICH IS A DATA AGGREGATOR SERVICE.
IT HAS A FILTER ON THERE THAT CAN PULL THESE LINES UP.
I'LL TELL YOU, I'VE BEEN ON PROBABLY A HUNDRED CALLS WITH RETAILERS WHERE WE'VE COMPARED NOTES AND SCREENS.
I'VE NEVER ONCE SEEN THEM PULL UP THE MUNICIPAL BOUNDARIES SECTION.
SO WHAT DO THEY LOOK AT? THEY TYPICALLY ARE GONNA LOOK AT THE MARKET IN A COUPLE OF DIFFERENT WAYS, BUT THE LENS THAT THEY'RE GOING TO USE IS TYPICALLY POPULATION DENSITY AND INCOMES.
THIS IS WHERE THEY'RE GONNA SPEND THEIR TIME.
AND THE WAY THAT THEY'RE GONNA CAPTURE THAT IS THROUGH DRIVE TIMES AND RADIO RINGS TYPICALLY GOING TO BE A THREE AND A FIVE MILE RADIUS RING.
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TYPICALLY GONNA BE A FIVE MINUTE AND A 10 MINUTE DRIVE TIME.THE BIGGER RETAILERS ARE GONNA USE A MUCH LARGER DRIVE TIME.
THEY KNOW THAT THEY'RE GONNA DRAW IN TRAFFIC FROM A MUCH LARGER REGION.
SO THEY'RE GONNA USE A LARGER DRIVE TIME.
UM, WHEREAS KIND OF THE, THE, THE ONE THAT I WOULD SAY DIFFERS FROM THAT IS GONNA BE GROCERS.
GROCERS ARE TYPICALLY GONNA BE USED ABOUT A SEVEN MINUTE DRIVE TIME.
THAT'S THE AVERAGE DRIVE TIME FOR THOSE PEOPLE SHOPPING, UH, GETTING THEIR GROCERIES EVERY WEEK.
SO EVERYBODY HAS A DIFFERENT LENS THEY'RE LOOKING THROUGH.
BUT TYPICALLY WHAT WE WANNA SEE IS WE WANNA SEE THE POPULATION DENSITY, WHICH YOU GUYS ARE A VERY DENSE COMMUNITY.
THAT'S A REALLY STRONG THING AND A GOOD POINT FOR FRONT ROYAL.
AND THEN THEY WANNA LOOK AT THOSE INCOMES.
AGAIN, I'M VERY FAMILIAR WITH FRONT ROYAL, VERY FAMILIAR WITH THE AREA.
UM, YOU GUYS ARE RIGHT IN THE POCKET OF SOME OF THE HIGHEST INCOMES IN AMERICA, NOT JUST IN VIRGINIA, BUT IN AMERICA.
THE ABILITY TO DRAW ON THOSE HIGH INCOMES IS CRITICAL.
SO WHAT WE WANT TO DO IS WE WANT TO EXPLORE REALLY HOW CAN WE EXPAND THOSE DRIVE TIMES, EXPAND THAT RADIUS RING TO CAPTURE MORE OF THOSE INCOMES THAT ARE AN ACCURATE REFLECTION OF FRONT OIL.
SO, LOOKING AT WHAT I'M GONNA CALL YOUR DEMOGRAPHIC PLAYBOOK.
THIS IS GONNA BE A QUICK ANALYSIS REALLY OF THOSE DRIVE TIMES AND OF THOSE RADIAL RIGS.
SO RIGHT NOW, WHAT WE'RE LOOKING AT ON THE 10 MINUTE DRIVE TIME, AND THAT FIVE MINUTE, THAT FIVE MILE RADIUS, I'M GONNA DRAW YOUR ATTENTION TO THOSE.
A FIVE MILE RADIUS IS GONNA BE ABOUT 28,000 PEOPLE.
WE'VE GOT AVERAGE HOME VALUES OF JUST UNDER 400,000.
YOUR POPULATION GROWTH WITHIN THOSE DRIVE TIMES AND IN THOSE RADIAL RINGS IS STELLAR.
YOU GUYS ARE OUTPERFORMING THE US AVERAGE, UH, FOR MARKETS YOUR SIZE PRETTY SIGNIFICANTLY.
YOUR IMMEDIATE HOUSEHOLD INCOMES ARE ALSO GONNA BE VERY STRONG WITHIN THAT FIVE MILE RADIUS.
WE'RE LOOKING AT 75, 70 5,000 GIVE OR TAKE, AND A 10 MINUTE DRIVE TIME, 72,000.
SO ALL OF THIS IS REALLY GOOD.
ALL OF THIS SPEAKS TO THE GROWTH THAT WE KNOW IS HAPPENING IN THE REGION.
IT SPEAKS TO THE GROWTH THAT WE KNOW IS HAPPENING IN PROPER OIL.
BUT WHAT I WANNA SAY IS, THE WAY THAT RETAILERS ARE LOOKING AT THIS IS WITH ANOTHER LAYER ADDED ON TOP OF ALL THIS.
SO EVERYTHING THAT WE TALKED ABOUT IS A HUNDRED CENTURY.
THEY'RE LOOKING AT ALL OF THAT.
BUT THE WAY THAT THEY'RE GOING TO MEASURE IF THEIR STORE IS GOING TO PERFORM WELL IS THROUGH MOBILE DATA COLLECTION.
THIS HAS BEEN A HOT TOPIC IN OUR INDUSTRY FOR PROBABLY ABOUT FIVE YEARS NOW, MAYBE SIX, SEVEN YEARS, SOMEWHERE IN THERE.
UM, BUT WHAT THIS IS, IS THIS PINGS OFF OF EVERYBODY'S CELL PHONE.
YOU KNOW, WHEN YOU CLICK ON THE, UH, THOSE TERMS AND CONDITIONS ON A NEW APP THAT YOU DOWNLOAD, AND WHEN YOU, YOU SCROLL THROUGH, YOU DON'T READ IT, YOU JUST CLICK ACCEPT.
THIS IS WHAT'S HAPPENING WITH YOUR DATA.
THIS IS WHAT'S, THIS IS WHAT THEY'RE SELLING IT TO.
THEY'RE SELLING IT TO GUYS LIKE ME, GUYS LIKE US THAT ARE OUT THERE BUYING THIS DATA FOR REALLY FOR THE PURPOSES OF TRACKING PEOPLE AND UNDERSTANDING WHAT YOUR SPENDING HABITS ARE GONNA BE.
SO WHEN WE LOOK AT THE PURPLE AND PINK THAT YOU'RE SEEING ON THIS MAP, THAT AREA THAT YOU'RE SEEING REPRESENTS APPROXIMATELY 70 TO 75% OF THE OVERALL CONSUMER TRAFFIC TO THE ROYAL PLAZA SHOPPING CENTER.
NOW, WHEN WE DO THAT, WHAT WE'RE DOING IS WE'RE GONNA BASICALLY GO ACROSS THE ENTIRETY OF FRONT ROYAL, AND WE'RE GONNA PICK UP ON EVERY SINGLE MAJOR NATIONAL RETAILER, EVERY ONE.
AND WHAT WE DO IS WE THEN COME UP WITH WHAT'S CALLED A CTA, A CUSTOMIZED TRADE AREA OR A CONSUMER TRADE AREA.
SOMETIMES WE'LL HEAR THE OTHER, SOMETIMES WE'LL HEAR ONE OR THE OTHER.
BUT WHAT THAT MEANS IS THAT 70%, APPROXIMATELY 70, 75% OF YOUR CONSUMERS ARE COMING FROM WITHIN THESE RED LINES RIGHT HERE.
THOSE NUMBERS THEN ARE WHAT WE USE TO REALLY SELL FROM ROYAL TO A RETAILER.
THIS IS GONNA BE A MUCH MORE ACCURATE REPRESENTATION OF WHO THE ACTUAL CONSUMER IS THAT'S COMING INTO FRONT ROYAL TO BUY WHATEVER IT MIGHT BE, FOOD, CLOTHING, WHATEVER IT IS.
THIS IS WHO IS ACTUALLY COMING IN.
SO WHAT YOU'VE SEEN HERE ALREADY IS WE'VE GONE BEYOND THAT THREE MILE, BEYOND THAT FIVE MILE RADIUS.
WE'VE INCLUDED A MUCH LARGER GEOGRAPHIC AREA REALLY TO HELP SELL, BUT ALSO TO HELP UNDERSTAND WHO YOUR CONSUMER IS.
SO WHAT DOES THAT CONSUMER LOOK LIKE? WHAT, WHAT IS NOW YOUR NEW NUMBERS, THE NEW NUMBERS THAT WE'RE PLAYING WITH, WELL, IN 2023, AT LEAST YOUR NUMBERS WERE ABOUT 55,716.
WE'RE UPDATING THIS TO 2024 AS WE SPEAK.
THOSE NUMBERS COME IN A LITTLE BIT LATE, BUT I EXPECT GROWTH EVEN BEYOND THAT.
YOUR PROJECTED GROWTH IS TAKES US TO ABOUT 57,000 PEOPLE, AND YOUR MEDIAN HOUSEHOLD INCOME HAS EXPANDED UP TO ABOUT 77,000.
AGAIN, I'M NOT, I'M NOT SURPRISED BY THIS AT ALL.
UM, WHEN WE TAKE INTO CONSIDERATION WHERE YOU GUYS ARE GEOGRAPHICALLY AND SOME OF THOSE AREAS SURROUNDING YOU, THOSE HOUSEHOLD INCOMES ARE JUST GONNA CONTINUE TO GROW, ESPECIALLY IF WE PULL IN EVEN FURTHER.
IT'S JUST, THEY'RE GONNA GROW, THEY'RE GONNA KEEP GROWING.
UM, LOOKING AT YOUR AVERAGE AGES, YOUR AVERAGE MALE AGE TRENDS BELOW THE US UH, OR RIGHT ABOVE, SORRY,
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THE US AVERAGE PRETTY STRONG THERE.YOUR FEMALE, UH, AVERAGE AGE, ACTUALLY TRENDS BELOW THE US AVERAGE.
SO WHAT THIS SAYS TO ME IS THAT WHILE FRONT ROYAL DOES HAVE A LARGE POPULATION OF RETIREES, THERE'S ALSO A GROWING POPULATION OF YOUNGER FOLKS PROBABLY MOVING OUT FURTHER TO MORE AFFORDABLE AREAS, UM, WITHIN NORTHERN VIRGINIA.
ALL OF THIS IS REALLY, REALLY GOOD.
IT SPEAKS VOLUMES TO THE COMMUNITY AND IT SPEAKS VOLUMES TO REALLY WHAT WE'RE SEEING IN FRONT ROYAL FROM A SPENDING HABIT PROFILE.
THIS CREATES A WHOLE NEW PROFILE OF CONSUMER.
SO BREAKING THAT OUT EVEN FURTHER, WE'VE GOT ABOUT 2000 HOUSEHOLDS.
HOUSEHOLDS MATTER TO RETAILERS.
THIS IS ANOTHER KEY STEP THAT THEY'RE LOOKING AT.
THEY WANNA SEE FAMILIES, THEY WANT SEE HOUSEHOLD SIZE AND FRONT ROYAL HAS REALLY STRONG NUMBERS WITHIN THAT HOUSEHOLD SIZE.
AGAIN, THAT MEDIAN HOUSEHOLD INCOME, VERY STRONG, MUCH HIGHER THAN, UH, THAN THE US AVERAGE.
THIS IS A NUMBER THAT TYPICALLY FOR A MORE RURAL COMMUNITY, EVEN WITHIN NORTHERN VIRGINIA, IS NOT GONNA BE AS HIGH AS YOU GUYS HAVE.
SO DEFINITELY, DEFINITELY BE HAPPY WITH THAT.
LOOKING AT YOUR PEOPLE PER HOUSEHOLD, YOU ARE JUST UNDER THE US AVERAGE FOR THAT, BUT IT'S STILL A VERY STRONG NUMBER, 2.54 PEOPLE PER HOUSEHOLD.
THIS IS A GOOD NUMBER TO BE AT, SPEAKS REALLY TO FAMILIES.
AND WHAT WE WANNA SEE IN THIS CATEGORY IS SOMEWHERE TRACKING CLOSE OR AT THAT US AVERAGE.
THE REASON THAT THIS IS IMPORTANT IS BECAUSE FAMILIES SPEND MORE MONEY.
RETAILERS LOOK AT THIS EVERY SINGLE DAY.
THEY WANT TO KNOW THAT PEOPLE ARE GOING TO BE SPENDING MONEY.
AGAIN, ONE OF THOSE WITHIN THAT CTA THAT'S VERY STRONG.
NOW, LOOKING AT YOUR DAYTIME POPULATION, YOU ACTUALLY DROP A LITTLE BIT.
WHAT THIS SAYS TO ME IS YOU'VE GOT PEOPLE THAT ARE OBVIOUSLY COMMUTING IN, PROBABLY CLOSER INTO DC UH, IN SOME OF THOSE LARGER NORTHERN VIRGINIA COMMUNITIES FOR OFFICE WORK, UM, ET CETERA.
YOUR UNEMPLOYMENT RATE HOVER HOVERING AROUND 2%.
BUT OVERALL, VERY, VERY STRONG NUMBERS ACROSS THE BOARD FROM REALLY THAT DAYTIME POPULATION BASE.
AGAIN, A LOT OF THOSE PEOPLE ARE GONNA BE COMMUTING IN, BUT VERY STRONG OVERALL.
NOW, YOUR AVERAGE POPULATION, THE AVERAGE, UM, AVERAGE EMPLOYEE NOW DOES DROP A LITTLE BIT FROM THAT MEDIAN.
WHAT'S INTERESTING TO ME IS THAT YOU GUYS ARE OBVIOUSLY PRIMARILY BLUE COLLAR WITH ABOUT 36%, THEN STILL BE WHITE COLLAR JOBS.
NO SURPRISE, I'M NOT, AGAIN, NOT SURPRISED BY THIS AT ALL.
THIS IS ACTUALLY LINE REALLY WITH THE MAJORITY OF THE REGION, PRIMARILY, UH, THAT MID-ATLANTIC REGION THERE.
THIS, THIS LINES UP PRETTY CLOSELY.
NEXT I'M GONNA DIVE INTO WHAT WE CALL OUR LIFESTYLE REPORTS.
THIS IS A REALLY FASCINATING WAY THAT RETAILERS LOOK AT YOUR MARKET.
IT IS ONE, I WILL JUST TELL YOU RIGHT OFF THE BAT, MOST OF THE RETAILERS ARE USING THIS ON A DAILY BASIS.
HOWEVER, IT IS TYPICALLY GOING TO BE A VIEWED AS A TRADE SECRET, WHAT THEY'RE ACTUALLY LOOKING FOR.
SO THERE ARE, THERE ARE DIFFERENT CATEGORIES ACROSS THE UNITED STATES, APPROXIMATELY 67 DISTINCT CATEGORIES THAT THE ENTIRETY OF THE US IS BROKEN UP INTO.
THE WAY THAT I'LL PHRASE THIS IS, THE WAY THAT WE KIND OF LOOK AT THIS IS THAT THERE ARE DEMOGRAPHICS AND THEN THERE IS PSYCHOGRAPHICS.
PSYCHOGRAPHICS ARE REALLY THAT NEXT STEP IN THE DEMOGRAPHIC PROFILE.
SO I AM A 30-YEAR-OLD WHITE MALE.
THAT IS WHO I AM ON THE SURFACE, RIGHT? WHEN YOU TAKE THAT INTO CONSIDERATION, I WOULD SPEND THEORETICALLY WOULD SPEND ONE DIFFERENT WAY, AND THIS IS AGAIN, HOW RETAILERS ARE LOOKING AT IT.
SO THEY'RE LOOKING AT ME AS A SPENDER.
THEY'RE LOOKING AT ME AS A CONSUMER.
THEY WOULD SAY, I SPENT THIS PARTICULAR WAY.
WHEN WE TAKE PSYCHOGRAPHICS INTO IT, WHAT IT THEN CONSIDERS IS, WHAT'S MY FAMILY SIZE? WHAT IS, YOU KNOW, HOW DO I IDENTIFY, WHAT ARE ALL OF THESE OTHER LITTLE PIECES OF THAT PUZZLE THAT MAKE ME WHO I AM? SO AGAIN, THE ENTIRE US HAS BROKEN UP INTO ABOUT 67 OF THESE DIFFERENT CATEGORIES.
I WILL TELL YOU JUST AS WE DIVE INTO THIS, I DO NOT PICK THE NAMES.
SO, UM, THE NAMES ARE ALL CHOSEN BY ESRI, WHICH IS A BIG DATA SERVICE DATA PROVIDER.
UM, THEY LOOK AT THAT, THEY BASICALLY PICK THOSE TITLES, THOSE NAMES FOR EACH CATEGORY.
BUT WHAT THIS IS, IS IT BREAKS OUT THE POPULATION INTO SPECIFIC SPENDING CATEGORIES, WHICH ARE FOR
SO YOU GUYS HAVE A PRETTY EVEN DIVIDE AMONG YOUR TOP FOUR THERE.
UM, AGAIN, THESE ARE THE TOP FOUR PROFILES.
THERE'S GONNA BE A, A LIST, UH, A MILE LONG OF WHAT ALL OF THE OTHER CATEGORIES THAT ARE GONNA COME INTO PLAY IN THE COMMUNITY ARE PAY ATTENTION TO THE TOP FOUR.
THIS IS REALLY WHAT THE RETAILERS ARE LOOKING AT.
THEY ARE FOCUSED ON THOSE TOP FOUR.
SO ARE WE, SO LOOKING AT THOSE, GREEN ACRES IS GONNA BE PRIMARILY A SLIGHTLY MORE SLIGHTLY OLDER, UH, POPULATION WITH A HIGHER INCOME AVERAGE INCOMES WITHIN THAT CATEGORY ARE TYPICALLY GONNA BE ABOUT 66,
[00:25:01]
UH, 76,000 PEOPLE.HOME IMPROVEMENT, WHICH IS ANOTHER REALLY STRONG ONE.
I'M HAPPY TO HAVE THAT ONE ON THERE.
SO IT'S KIND OF THE, THE OPPOSITE OF GREEN ACRES.
TRENDS A LITTLE BIT YOUNGER WITH THOSE HIGH INCOMES THOUGH, AT 72,000, UM, MIDDLEBURG IS GONNA BE YOUR ALL AMERICAN FAMILY.
THAT IS GONNA BE AT THE 36TH AGE RANGE.
SO THESE ARE PEOPLE WHO ARE KIND OF GETTING STARTED IN THEIR FAMILY, LIKE, UM, GETTING THEIR, GETTING ESTABLISHED.
THEY ARE HOMEOWNERS, TYPICALLY NOT RENTERS, AND THEY'RE GONNA HAVE MEDIA HOUSEHOLD INCOME, TYPICALLY ABOUT 60,000 PARKS AND REC IS GONNA BE YOUR LAST MAJOR CATEGORY.
THESE ARE GONNA BE, AGAIN, SLIGHTLY OLDER, BUT MORE MIDDLE AGE, WHAT I WOULD SAY.
SO AT ABOUT 40 YEARS OLD, MEDIUM HOUSEHOLD WILL COME ABOUT 16,000.
AGAIN, THE REASON THAT THIS MATTERS IS RETAILERS FOCUS ON THIS ON A DAILY BASIS.
THEY LOOK AT WHAT THEY NEED IN A MARKET AND THEY KNOW THAT THEY CAN MAKE A DECISION REALLY, AND ESTABLISH THEMSELVES IN A MARKET WITH A HIGHER SUCCESS RATE WHEN THEY MEET CERTAIN CRITERIA WITHIN THESE CATEGORIES.
I'LL TELL YOU, 99% OF THE TIME, A RETAILER'S NOT GOING TO ASK FOR THESE, BUT WE WILL PROVIDE THEM, UM, AHEAD OF TIME SO THAT WE KNOW AND WE CAN KIND OF TRACK AND FIGURE OUT WHO IS GOING TO FIT WITHIN THEIR CATEGORIES AND WHO IS NOT.
ANOTHER WAY OF LOOKING AT THIS, ONE GOOD EXAMPLE THAT I WOULD ALWAYS USE IS, YOU KNOW, THERE'S SOME MARKETS IN THE US, UM, LIKE A HUNTSVILLE, ALABAMA THAT IS PREDOMINANTLY IT, IT IT'S EXTREMELY WELL EDUCATED, RIGHT? THEY HAVE A HIGHER CONCENTRATION OF PHDS IN HUNTSVILLE, ALABAMA THAN ANYWHERE ELSE IN AMERICA.
UM, NASA IS THERE, BOEING, RAYTHEON, ALL OF THE MAJOR CONTRACTORS ARE ALL THERE.
NOW WHAT'S INTERESTING IS THEIR INCOMES ARE EXTREMELY HIGH.
THEY HAVE A SUPER, SUPER HIGH AVERAGE INCOME, WELL INTO THE SIX FIGURES IN HUNTSVILLE.
HOWEVER, BECAUSE OF THE PRO, THE THE PREDOMINANT ENGINEERING GROUP THAT IS THERE, WE WOULD LOOK AT THAT AND WE WOULD SAY FROM A CONSUMER STANDPOINT, THEY'RE PROBABLY NOT THE BIGGEST SPENDERS.
ENGINEERS TYPICALLY, THE WAY THAT THEY OPERATE, THE WAY THAT THEY THINK, THE WAY THAT THEY LOOK AT THINGS, THEY MIGHT NOT SPEND THE SAME WAY THAT A DOCTOR OR A LAWYER WOULD.
SO WE LOOK AT THAT, AND I WILL TELL YOU, IT'S THE REASON THAT HUNTSVILLE, ALABAMA DOES NOT HAVE AN ABUNDANCE OF STEAKHOUSES BECAUSE ENGINEERS TYPICALLY, WHEN WE LOOK AT CONSUMERS, ARE NOT SPENDING $300 A NIGHT ON THEIR DINNERS.
SO RETAILERS LOOK AT THIS, EVERYBODY LOOKS AT IT VERY DIFFERENTLY.
THEY DO CARE, THEY DO, IT DOES MATTER TO THEM.
AGAIN, IT'S JUST ONE OF THOSE THINGS THAT THEY TYPICALLY ARE NOT GONNA SHARE WHAT THEY'RE LOOKING FOR.
WE JUST WANT TO HAVE IT WHEN THEY'RE, WHEN, WHEN WE CAN SO THAT WE HAVE THAT TOOL READY FOR THEM.
SO, MOVING ALONG, WE'RE, WE'RE GONNA LEAVE DATA IN DATA BEHIND US A LITTLE BIT, BUT WHAT WE'RE GONNA FOCUS ON IS HOW DO WE BUILD OUT OUR PROSPECTS AND WHO ARE THOSE PROSPECTS? THIS IS PROBABLY THE PIECE THAT MOST PEOPLE ARE INTERESTED IN.
I, THIS IS WHERE I REALLY GET EXCITED.
I LOVE TALKING ABOUT THE PROSPECTS, BUT THE WAY THAT WE DO THIS IS REALLY UNIQUE.
SO ONE OF THE THINGS THAT WE DO WHEN WE'RE BUILDING OUT OUR PROSPECT LIST, FIGURING OUT WHO WOULD BE A GOOD FIT, IS WE ACTUALLY LOOK AT YOUR PEERS.
SO WHEN WE LOOK AT THE PEERS FOR
SO MARKET SUPPLY IS GONNA BE THE ACTUAL SUPPLY OF RETAIL WITHIN A 10 MINUTE DRIVE TIME OF FRONT ROYAL.
SO IF WE DROP A PIN IN THE MIDDLE OF TOWN, WE'RE DOING A 10 MINUTE RADIUS AROUND THAT.
THAT'S REALLY HOW WE DEFINE THAT MARKET SUPPLY.
NOW, WHAT I'LL SAY HERE IS WHEN WE LOOK AT YOUR PEERS, YOU GUYS LINED UP REALLY, REALLY WELL WITH A BUNCH OF THESE.
NOW, PETERSBURG, I'M GONNA, I'M GONNA SAY, IS DEFINITELY UP HERE IN THEIR DOWNTOWN FROM A DRIVE TIME STANDPOINT.
HOWEVER, PETERSBURG ALSO HAS A MALL.
THEY HAVE SOME PRETTY, PRETTY LARGE SHOPPING DIRECTLY TO SOUTH PETERSBURG, IF YOU'RE FAMILIAR WITH THAT AREA.
UM, MOREHEAD CITY, MOUNDSVILLE, WEST VIRGINIA, NEWPORT, NORTH CAROLINA, AND HAMPSTEAD, MARYLAND.
THESE ARE ALL GONNA BE REALLY STRONG MARKET PEERS.
ABINGDON IS ANOTHER ONE THAT IS A REALLY STRONG ONE.
WHAT WE WANNA SEE IS WE WANNA SEE THAT DELTA BETWEEN YOUR MARKET SUPPLY AND THEIR MARKET SUPPLY.
SO WHEN WE KNOW, FOR EXAMPLE, THAT THERE IS A $40 MILLION GAP BETWEEN YOUR SUPPLY AND MOREHEAD CITIES SUPPLY, WE THEN ARE ABLE TO LOOK AND SEE WHO DO THEY HAVE THAT YOU ALL DON'T HAVE.
OR ANOTHER WAY OF PUTTING THAT IS WHAT SECTORS AND CATEGORIES OF RETAIL DO THEY HAVE THAT YOU ALL DON'T HAVE.
NOW, ALL THINGS BEING EQUAL, YOU GUYS WOULD'VE BE OUTPERFORMING THOSE MARKETS BECAUSE OF THE MEDIAN HOUSEHOLD INCOME THAT YOU HAVE.
SHORT OF HAMSTEAD, MARYLAND, NOT REALLY SURPRISED.
YOU GUYS HAVE THE HIGHEST SECOND TO HIGHEST ON HERE.
UH, FROM A HOUSEHOLD INCOME STANDPOINT, THAT MEANS THAT YOU ALL SHOULD BE
[00:30:01]
SUPPORTING A HIGHER QUALITY, HIGHER CATEGORY, AND REALLY A HIGHER DENSITY OFSO AGAIN, WHEN WE'RE BUILDING OUT OUR PROSPECT LIST, THIS IS ONE OF THE KEY TOOLS THAT WE USE THAT MARKET SUPPLY.
FROM A PEER ANALYSIS STANDPOINT, LOOKING AT THE MARKET, ONE OF THE THINGS THAT WE DO IS WE OBVIOUSLY, WE COME TO THE MARKET, WE TAKE A LOOK AT IT, WE DRIVE ALL OF YOUR INTERSECTIONS, DRIVE EVERY MAJOR CORRIDOR, REALLY TAKING ACCOUNT OF WHAT YOUR NATIONAL RETAIL OPTIONS ARE FROM A REAL ESTATE STANDPOINT.
NOW, I WILL TELL YOU THAT FRONT ROYAL RIGHT NOW HAS AN ABUNDANCE OF OPPORTUNITIES, HOW I'M GONNA PHRASE IT.
WHAT THAT MEANS IS YOU HAVE SOME REALLY STRONG VACANCIES THAT ARE REALLY GOOD SPACES.
UM, YOU HAVE AN OPPORTUNITY THAT A LOT OF OTHER MARKETS DO NOT.
NOW, LOOKING AT THIS, THIS IS A GOOD THING.
I KNOW THAT EVERYBODY, OBVIOUSLY WE WANT TO FILL THOSE VACANCIES, WE WANT NEW DEVELOPMENT, WE WANT ALL OF THAT TAKEN CARE OF.
THE REASON THAT THAT IS A GOOD THING IS YOU ALL HAVE SPACES THAT HAVE THOSE HOME RUN INGREDIENTS, RIGHT? YOU HAVE SPACES THAT HAVE STRONG TRAFFIC COUNTS, GOOD CO TENANTS, YOU HAVE REALLY GOOD TENANTS IN, IN THE MARKET ALREADY.
WHAT WE WANT TO DO IS WE WANT TO TAKE THOSE SPACES AND ELEVATE THAT COME TO THAT NEXT STEP, RIGHT? WE WANT TO GO TO THAT NEXT LEVEL OF BRINGING FOLKS IN WHO ARE GONNA BE A GOOD FIT FOR THE ECONOMY, FOR THE MARKET, AND FOR THE CONSUMER.
SO, LOOKING AT THOSE, THE WAY THAT WE DO THIS IS WE REALLY LOOK FOR SITES THAT HAVE ALL OF THESE KEY INGREDIENTS, OR AS MANY OF THEM AS POSSIBLE, SIZE AND VISIBILITY, PARTNERING ACCESS CODES AND TRAFFIC.
THESE ARE THE KEYS TO ANY GOOD REAL ESTATE DECISION.
ANY GOOD REAL ESTATE DIRECTOR FROM ANY, UM, MAJOR NATIONAL RETAILER, THIS IS WHAT THEY'RE LOOKING FOR.
WE'VE IDENTIFIED ABOUT 30 DIFFERENT SITES IN THE MARKET THAT MEET ALL OF THOSE PIECES, ALL OF THOSE CRITERIA.
UM, I WOULD TELL YOU THAT THAT'S A REALLY GOOD THING.
THAT'S A GOOD THING TO HAVE THAT NUMBER OF PERSPECTIVE SITES THAT ARE, UH, THAT ARE AN OPPORTUNITY COULD BE A FIT FOR NATIONAL RETAILERS.
WITH THAT BEING SAID, HAVING THE SPACES IS A GOOD THING.
HOWEVER, UNDERSTAND THAT JUST BECAUSE YOU HAVE THE SPACE DOESN'T MEAN THAT IT DOESN'T TAKE TIME.
RETAIL MAY MORE THAN ANY OTHER SECTOR WITHIN REAL ESTATE.
I, I'VE WORKED IN OFFICE, I'VE DONE INDUSTRIAL, I'VE DONE MULTI-FAMILY.
IT TAKES TIME BECAUSE IT'S DRIVEN BY WALL STREET.
IT'S DRIVEN BY A DEMAND FOR RETURNS FROM THE INVESTMENT MARKET.
UM, YOU PROBABLY HAVE HEARD THE SAYING THAT IF YOU'RE NOT GROWING, YOU'RE DYING.
THAT IS HOW RETAILERS LOOK AT REAL ESTATE.
THAT'S HOW THEY LOOK AT THEIR EXPANSION, HOW THEY LOOK AT THEIR RETURNS.
THEY KNOW THAT THEY HAVE TO OPEN NEW STORES TO CONTINUE THEIR GROWTH.
NOW WITH THAT BEING SAID, SOME RETAILERS EXPAND A LITTLE TOO FAST.
SOME RETAILERS EXPAND TOO WIDELY.
BIG LOTS DID A NUMBER OF DEALS THAT WERE JUST NOT GOOD DEALS.
THEY DID A LOT OF, A LOT OF DIFFERENT OPENINGS THAT JUST DIDN'T MAKE A LOT OF SENSE.
THEY'RE OBVIOUSLY NOW SUFFERING THE CONSEQUENCES OF THAT.
BUT REALLY THE TIMELINE FOR RETAIL THAT I WANT TO JUST MAKE CLEAR IS THAT WE TYPICALLY ARE GONNA LOOK AT ABOUT A TWO AND A HALF TO THREE YEAR TIMELINE.
OBVIOUSLY, THIS CAN BE EXPEDITED BASED ON THE OPPORTUNITIES THAT EXIST, WHICH IS WHY IT IS KEY THAT A MARKET LIKE FRONT ROYAL HAS THOSE OPPORTUNITIES READY TO GO FRONT.
ROYAL IS IN A VERY GOOD POSITION TO OUTPERFORM YOUR COMPETITION IN OTHER MARKETS, RIGHT? BECAUSE YOU HAVE THOSE SPACES, YOU HAVE AVAILABILITIES, YOU HAVE VACANCIES.
ONE OF THE BIGGEST CHALLENGES THAT WE FACE RIGHT NOW IN THE ENTIRE INDUSTRY IS THAT THERE'S JUST NOT SPACES.
PEOPLE ARE NOT BUILDING SPEC LIKE THEY USED TO.
UM, THEY'RE NOT BUILDING NEW OPPORTUNITIES AND, AND NOT WITHOUT LEASES IN PLACE.
SO WHEN RETAILERS LOOK FOR OPPORTUNITIES, THEY'RE LOOKING FOR EXISTING SPACE.
THEY'RE LOOKING FOR PLACES WHERE THEY CAN MOVE IN QUICKLY, GET OPEN QUICKLY AND GET MOVING, GET THEIR CASH REGISTER RATING.
THAT'S WHERE FRONT ROYAL HAS A REAL ABILITY TO POSITION ITSELF AHEAD OF ITS COMPETITION.
SO WHEN WE'RE LOOKING AT THAT, WHEN WE'RE LOOKING AT EVERYTHING THAT WE JUST TALKED ABOUT, EVERYTHING THAT THAT PLAYS INTO OUR PROSPECT LIST, ALL OF THE DATA, ALL OF THE METRICS THAT WE USE, REALLY TO BUILD OUT THAT PROSPECT LIST AND UNDERSTAND WHO WOULD BE A FIT.
WE'VE COME UP WITH THESE THREE CATEGORIES BEING YOUR TOP, YOUR TOP THREE CATEGORIES, FULL SERVICE RESTAURANTS, MEANING SIT DOWN RESTAURANTS OBVIOUSLY SERVE AT TABLE QUICK SERVICE RESTAURANTS, WHICH I'M ALSO GOING TO INCLUDE LIMITED SERVICE.
YOU MIGHT HEAR THAT OCCASIONALLY.
UM, THAT'S GONNA BE
STARBUCKS PLAYS INTO THAT A LITTLE BIT, WHICH YOU GUYS ALREADY HAVE AS WELL.
AND THEN MISCELLANEOUS, WHICH IS GOING TO BE A CATCHALL FOR A NUMBER OF DIFFERENT STRATEGY, DIFFERENT TOP DIFFERENT TYPES OF RETAILERS, BUT WITHIN SMALLER CATEGORIES OF RETAIL.
SO LOOKING AT THOSE THREE AND KIND OF GIVING SOME EXAMPLES OF WHAT WE WOULD BE LOOKING FOR, UM, OBVIOUSLY SOME OF THIS HAS TO BE KEPT CONFIDENTIAL
[00:35:01]
WITH WHO IS A TARGET AND WHO IS NOT A TARGET.BUT WHAT I WOULD SAY IS SPECIFIC EXAMPLES OF THE TYPES OF BRANDS THAT WE WANNA REACH OUT TO AND THAT WE WANT.
HEY MICHAEL, YOU KNOW, THIS IS AN OPEN MEETING, RIGHT? YES.
I JUST, I JUST WANNA MAKE SURE THAT YOU KNOW THAT, SO, ALL RIGHT, THANK YOU.
UM, EXAMPLES ONLY THAT IS, THAT IS WHAT WE'RE DOING TODAY.
SO THERE IS A, THERE IS AN EXTENSIVE, UH, PROSPECT LIST THAT HAS TO BE KEPT CONFIDENTIAL.
UM, THAT IS, THAT IS SEPARATE FROM THE EXAMPLES I'M GONNA USE TODAY.
OKAY? UM, AGAIN, THE REASON BEING JUST BECAUSE IT'S A PUBLIC MEETING, OBVIOUSLY DEALS ARE VERY, VERY, VERY, VERY FINICKY, AND WE WANNA MAKE SURE THAT NONE OF THAT GETS LEAKED OUT.
JUST WE DON'T WANNA PUT ANYBODY AT A DISADVANTAGE OR AN ADVANTAGE IN THESE DEALS.
SO EXAMPLES OF THE TYPES OF RETAILERS THAT WE'RE LOOKING AT FOR FULL SERVICE, WE WOULD BE LOOKING AT WHAT I'M GONNA CONSIDER THE FAMILY DINING CATEGORY.
UM, THAT CATEGORY IS GOING TO INCLUDE BRAND, INCLUDE BRAND LIKE CHILI'S, BUFFALO, WILD WINGS, THAT KIND OF CATEGORY OF RETAILER.
UM, I ALSO THINK THAT THERE'S A STRATEGY FOR MORE AFFORDABLE OPTIONS WITHIN FRONT ROYAL.
I THINK THAT THE TYPE OF RETAILER THAT YOU'RE GOING TO ATTRACT AND THAT ARE GOING TO BE, UM, REALLY SUCCESSFUL.
WE OBVIOUSLY, WE WANT BRANDS TO BE SUCCESSFUL.
WE WANT THEM TO BE THERE FOR A LONG TIME.
THE TYPES OF RETAILERS THAT ARE GOING TO BE SUCCESSFUL ARE THE ONES WHO CAN ATTRACT A WIDE MARGIN OF INCOME LEVELS.
SO WHAT I WOULD SAY IS THAT WE'RE PROBABLY NOT IN THE, UH, RANGE JUST YET FOR A MORTON STEAKHOUSE, BUT WE CAN ATTRACT GROUPS THAT ARE GONNA BE MORE AFFORDABLE FAMILY OPTIONS.
THAT'S REALLY THE GONNA BE THAT FULL SERVICE RESTAURANT CATEGORY THAT WE HIT AND THAT WE, THAT WE LOOK AT LOOKING AT QUICK SERVICE RESTAURANTS.
AGAIN, WHAT WE WANT TO DO IS WE WANT TO HIT EVERY DIFFERENT TYPE OF QUICK SERVICE RESTAURANT FROM THE SMALL GUYS TO THE BIG GUYS.
WE WANT OBVIOUSLY, UM, A WIDE RANGE, BUT AGAIN, THIS WIDE RANGE IS GOING TO HAVE TO BE CATERED TOWARDS REALLY A, WHAT I WOULD SAY IS A DISCERNING PALETTE, BUT ALSO AN AFFORDABLE PALETTE.
WE WANNA MAKE SURE THAT THESE BRANDS STAY AFFORDABLE AND STAY, UM, REALLY ACCESSIBLE TO THE, TO THE POPULATION.
YOU GUYS HAVE ONE OF THE BIGGEST TOOLS IN, UH, OF RECRUITMENT IN THE WORLD, WHICH IS YOU GUYS HAVE A NATIONAL PARK RIGHT ON THE EDGE, RIGHT? WHAT WE WANNA DO IS WE WANT TO HIT EVERYBODY THAT'S COMING TO THE NATIONAL PARK, BUT ALSO CONTINUE TO TAKE CARE OF YOUR LOCAL POPULATION WHO'S THERE AND HAS NOTHING TO DO WITH THE NATIONAL PARK.
WE WANNA MAKE SURE ALL OF THOSE BASES ARE COVERED.
LOOKING AT THAT LAST KIND OF GENERAL SLASH MISCELLANEOUS CATEGORY, WHAT I WOULD SAY IS WE WANNA OBVIOUSLY LOCATE AND FIND THE BRANDS.
AGAIN, JUST A SELECTION OF THE TYPES OF BRANDS WE'VE GOT THE TYPES OF BRANDS HERE, BUT FROM AN EXAMPLE STANDPOINT, WE THINK THAT THERE'S ROOM FOR SPORTING GOODS.
WE THINK THAT THERE'S ROOM FOR GENERAL MERCHANDISE, SOFT GOODS IN PARTICULAR, WHICH IS GOING TO BE CLOTHING.
UM, KINDA A AN ALL ENCOMPASSING CATEGORY.
BUT WE REALLY THINK THAT FIRM OIL NEEDS MORE IN THE WAY OF BRANDS THAT ARE CAPABLE OF CATERING TO THAT WIDER AUDIENCE, RIGHT? WHETHER IT IS PEOPLE VISITING FOR THE NATIONAL PARK, OR JUST THE LOCAL REGULAR POPULATION THAT'S THERE EVERY DAY.
THESE ARE THE KIND OF CATEGORIES AND KIND OF BRANDS THAT WE THINK ARE GONNA FIT WITHIN THAT.
SO AGAIN, THESE ARE JUST EXAMPLES.
WE HAVE A, A, AN EXHAUSTIVE LIST OF PROSPECTS THAT IS, I THINK 200 AND SOMETHING LONG RIGHT NOW THAT IS EVER EXPANDING, GROWING BASED ON WHAT THE RETAILERS ARE DOING, WHO'S GROWING, WHO'S SHRINKING, WHO'S CANDIDLY WHO'S GOING BANKRUPT, UM, AND WHO'S COMING OUT OF THE, OUT OF THE GROUND BRAND NEW.
SO I'M GONNA MOVE INTO KIND OF OUR LAST PHASE, WHICH IS ABOUT HOW DO WE DO WHAT WE DO? REALLY A LITTLE BIT OF A RECAP OF THE WAY THAT WE OPERATE.
FIRST AND FOREMOST, WHAT WE DO IS WE ARE DEAL MAKERS, WE ARE DEAL EXPEDITORS, AND WE ARE CONNECTORS.
WHAT WE WANT TO DO IS WE WANT TO CONNECT A TO B SO THAT WE CAN GET TO C AND THE THE REASON THAT WE DO THAT IS, YOU KNOW, INHERENTLY, I I AM A LICENSED REAL ESTATE GUY.
I HAVE MY LICENSES HERE IN THE SOUTHEAST.
UM, REALLY WHAT I AM IS I'M A CONNECTOR JIMMY ON MY TEAM IS A CONNECTOR.
WHAT WE WANT TO DO IS WE WANT TO CONNECT THE BROKERS WITH THE RETAILERS, WITH THE LANDLORDS SO THAT A DEAL CAN COME TO COME TO FRUITION.
WE JUST PUT EVERYBODY AT THE TABLE, MAKE SURE THAT THEY KNOW THAT FRONT ROYAL IS A PLACE THAT THEY COULD BE SUCCESSFUL, AND THEN WE STEP OUT UNTIL WE'RE NEEDED.
SOMETIMES A RETAILER WILL ASK FOR A SPECIFIC MEETING.
SOMETIMES THEY'LL ASK TO BE INTRODUCED TO CITY OFFICIALS.
THAT'S WHERE WE STEP BACK IN, OBVIOUSLY, TO MAKE SURE THAT THESE DEALS COME TO FRUITION.
JUST REMEMBER, THE BEST DEALS DIE TWICE BEFORE THEY COME TO, THEY COME OUT OF THE GROUND, RIGHT? SO WE ARE OUT THERE, WE'RE EXPEDITING THE PROCESS, WE'RE MOVING THESE DEALS AHEAD, BUT AT THE END OF THE
[00:40:01]
DAY, IT IS THE LOCALS WHO ARE GONNA MAKE THESE DEALS COME, COME ALIVE.IT'S THE BROKERS, THE RETAILERS, AND THE LANDLORDS SLASH LAND OWNERS THAT ARE GONNA ACTUALLY MAKE THE DEAL HAPPEN.
WE ATTEND ABOUT 15 DIFFERENT CONFERENCES EVERY YEAR.
WE'VE GOT LAS VEGAS, THE ICS SHOW COMING UP IN TWO WEEKS, WHICH IS THE LARGEST RETAIL SHOW IN THE WORLD.
THERE'S ABOUT 30,000, 35,000 ATTENDEES, UM, ANNUALLY IS HUGE.
WE'VE ACTUALLY ALREADY GOT A NUMBER OF MEETINGS SET UP WITH RETAILERS TO SPECIFICALLY TALK ABOUT FRONT ROYAL, UM, AND THERE WILL BE A RECAP THAT WILL BE DELIVERED TO OUR POINT OF CONTACT AFTER THAT SHOW AS WELL.
SO, AS A LAST KIND OF SUMMARY OF THE WAY THAT WE OPERATE, WE OPERATE UNDER WHAT WE CALL A THREE PHASE METHOD, WHICH IS DISCOVER, CONNECT, AND ADVANCE.
WHAT I MEAN BY THAT IS WE USE A DISCOVERY METHOD, WHICH IS LEARNING THE MARKET, UNDERSTANDING THE MARKET, TRYING TO FIGURE IT OUT TO THE BEST OF OUR ABILITY, BUT REALLY LOOKING AT IT THROUGH A NATIONAL RETAIL LENS.
WE THEN OPERATE UNDER A CONNECT PROCESS, WHICH MEANS THAT WE ARE OUT THERE CALLING, EMAILING, AND MEETING WITH RETAILERS AT TRADE SHOWS.
UM, AND SITTING HERE IN MY OFFICE EVERY SINGLE DAY, WE ACTUALLY HAVE DEVELOPERS AND RETAILERS THAT COME INTO OUR OFFICE TO MEET WITH US AND JUST TALK ABOUT VIRGINIA.
SO THIS IS WHERE WE REALLY, THIS IS THE NUTS AND BOLTS OF WHAT WE DO, AND THEN WE MOVE FORWARD WITH KIND OF RECYCLING THAT PROCESS ON AN ANNUAL BASIS TO MAKE SURE THAT WE'RE STAYING UP TO DATE WITH EVERYTHING HAPPENING LOCALLY AND EVERYTHING HAPPENING IN THE MARKET, WHILE ALSO ENSURING THAT OUR PROSPECT LISTS ARE UP TO DATE WITH THOSE CARD RETAILERS, THOSE EXPANDING RETAILERS, AND AGAIN, THOSE RETAILERS THAT MAY OR MAY NOT BE SHRINKING.
SO THAT IS THE QUICK DOWN AND DIRTY OF WHAT RETAIL STRATEGIES IS, WHO WE ARE, HOW WE OPERATE, AND WHAT WE VIEW AS THE GOALS FOR OUR PARTNERSHIP.
UM, AGAIN, WE'RE EXTREMELY EXCITED TO BE WORKING WITH FRONT OIL.
I, MY FAMILY TOOK ME TO SHENANDOAH AS A KID, SO I'M EXCITED TO, UH, BE BACK NOW IN A MORE PROFESSIONAL, UH, SENSE.
SO, VERY EXCITED TO BE WORKING WITH YOU ALL.
EXCITED TO BE WORKING WITH THE ENTIRE TEAM.
YOU HAVE, UH, A PHENOMENAL PERSON AND, AND LIZZIE, SHE'S AMAZING.
SO WE'RE REALLY EXCITED TO BE WORKING WITH HER ESPECIALLY.
AND, UH, WITH THAT, I'M GONNA OPEN IT UP FOR QUESTIONS.
Y'ALL FEEL FREE TO ASK ME ANYTHING, UH, ANYTHING YOU'VE GOT, MICHAEL, HAVE YOU HAVE YOU NARROWED DOWN WITHOUT SAYING BUSINESS NAMES, ARE THERE ANY ONE OR TWO, UH, WHAT'S THE BEST WAY TO PUT IT? PRODUCT STORES OR, UH, RESTAURANTS OR SOMETHING? I MEAN, IS THERE, WHAT PRODUCT DO YOU FEEL LIKE WE'RE IN NEED OF THE MOST? IS IT A RETAIL, IS IT A RESTAURANT? WHERE, WHERE'S OUR BEST EXAMPLE OF BRINGING SOMETHING IN QUICKLY? YEAH, I WOULD TELL YOU FIRST AND FOREMOST, THE, THE BIGGEST GAP THAT I SEE IS WITHIN SIT DOWN RESTAURANTS.
I THINK THAT YOU GUYS ARE SHORT ON THE SIT DOWN RESTAURANT CATEGORY.
UM, I ALSO THINK YOU GUYS ARE ARE JUST CANDIDLY VERY SHORT ON THE, UH, CLOTHING SIDE.
I THINK THAT THAT'S AN AREA WHERE THERE'S A REAL OPPORTUNITY FOR QUICK AND EARLY SUCCESS.
DID GROCERY PLAY IN THERE ANYWHERE ON, ON ONE SIDE OF TOWN VERSUS THE OTHER SIDE OF TOWN? OR DID THAT POP UP? WAS THAT GROCERY? IS THAT WHAT YOU SAID? YES.
SO G IT'S ACTUALLY INTERESTING YOU MENTIONED THAT I HAD A CALL ON FRIDAY WITH A GROCER SPECIFICALLY TALKING ABOUT FRONT ROYAL.
THE FEEDBACK WAS THAT YOU GUYS RIGHT NOW ARE PROBABLY IN A PRETTY GOOD POSITION, UM, AND THAT YOU GUYS ARE WELL SUPPLIED.
UNFORTUNATELY, YOUR BIGGEST, UH, THE BIGGEST CONTRIBUTOR TO THE MARKET SUPPLY AND DEMAND IS ACTUALLY JUST OUTSIDE OF YOUR BOUNDARIES, WHICH IS UNFORTUNATE.
THE FEEDBACK FROM GROCERS IN PARTICULAR HAS BEEN BASICALLY THAT PROBABLY NEED MORE POPULATION GROWTH TO, UM, JUSTIFY ANOTHER GROCERY STORE.
I DON'T ALWAYS COME, YOU KNOW, IT'S FUNNY, I DON'T ALWAYS COME TO THESE PRESENTATIONS OR, OR DO A PRESENTATION WHERE I'VE GOT IMMEDIATE FEEDBACK LIKE THAT.
SO THAT'S A GOOD, UH, THIS WAS GOOD TIMING,
SO, UH, MICHAEL, UH, I MEAN, I'LL JUST FILL IN HERE FOR A MINUTE.
SO WHAT ARE THE NEXT STEPS? I MEAN, YOU GOTTA CONTACT, UH, THESE, YES, THE, THE, YOU KNOW, YOUR, YOUR LOW HANGING FRUIT AT THAT CONFERENCE, UM, AND THAT'S WHO YOUR APPOINTMENTS ARE WITH, AND YOU'RE GONNA TALK TO 'EM ABOUT FRONT ROYAL AND OTHER PLACES, I'M IMAGINING.
IS THAT, IS THAT WHERE WE'RE, IS THAT, WHAT'S THAT GONNA HAPPEN NEXT? YEAH, ABSOLUTELY.
NO, YOU, YOU HIT THE NAIL ON THE HEAD.
I MEAN, I, I'LL TELL YOU THAT IT'S LIKE ANYTHING, ANY, UM, YOU KNOW, ANY SORT OF SALES, RIGHT? YOU START WITH THE LOW HANGING FRUIT, YOU, YOU HIT THE NAIL ON THE HEAD THERE.
UM, WHAT WE WANT TO DO IS THE FOLKS WHO WE KNOW WOULD BE THE BEST FIT DAY ONE, THE FOLKS WHERE THEY COULD FIT
[00:45:01]
EXISTING VACANCIES OR EXISTING, UM, GROUND UP DEVELOPMENT SITES, THOSE ARE THE ONES WE'RE GONNA GO AFTER FIRST.VEGAS IS, UH, IS A HUGE SHOW FOR US.
IT IS, UH, IT'S ONE I THINK THAT, UH, THE INVESTMENT PAYS OFF EVERY SINGLE YEAR, BUT IT IS NOT A SMALL INVESTMENT.
SO WE, WE CERTAINLY, UH, BEEN AROUND RUNNING WHEN WE'RE OUT THERE.
THAT IS REALLY A, A LOT OF WHAT WE'RE DOING RIGHT NOW IS CATERED TO SETTING UP MEETINGS FOR THAT SHOW AND HAVING PRE-MEETING, PRE-MEETINGS FOR THE MEETINGS IN THAT SHOW.
AND CANDIDLY, WE'LL HAVE POST-SHOW MEETINGS WITH EVERY SINGLE ONE OF THESE PEOPLE AS WELL.
SO RIGHT NOW IT IS VERY MUCH FOCUSED ON THE TRADE SHOW SIDE OF THINGS.
UM, BUT WHAT I WILL SAY IS ALL OF THAT BEING CENTERED AROUND THE FACT THAT WE ARE ALREADY MAKING THOSE CALLS FOR FRONT ROYAL AT THIS POINT, REALLY, LIKE YOU SAID, AND LIKE I'LL SAY AGAIN, HITTING THOSE LOW LOADING FRUIT, THE EASIEST, QUICKEST OPPORTUNITIES.
OKAY, MICHAEL, I HAVE A QUESTION.
UH, AS FAR AS HOW FRONT ROYAL IS SITUATED, DO YOU SEE A LOT MORE RETAILERS THAT WILL BUILD FROM THE GROUND UP OR LOOK TO, UH, GET INTO VACANT, VACANT, UH, BUILDINGS THAT ARE ALREADY EXISTING? GOOD QUESTION.
UM, WHAT I WOULD TELL YOU IS SOME OF YOUR STANDALONES, SOME OF THE STANDALONE EXISTING OPPORTUNITIES WHERE THERE ARE VACANCIES, UM, CANDIDLY, THEY'RE PROBABLY GONNA GET TORN DOWN AND THEY'LL, THEY'LL BUILD FROM SCRATCH ON THE SITE OF AN EXISTING BUILDING.
YOU HAVE SOME VACANCIES THOUGH, THAT I THINK ARE REALLY GOOD BACKFILL OPPORTUNITIES, PARTICULARLY ON THE SOUTHERN SIDE OF, OF TOWN.
I THINK YOU'VE GOT SOME VACANCIES DOWN THERE WHERE YOU'VE GOT SOME RETAILERS THAT WOULD BE VERY INTERESTED IN GOING IN TO EXISTING SHOPPING CENTERS, EXISTING OPPORTUNITIES THAT ARE THERE.
UH, WHEN WE LOOK AT THOSE STANDALONES THOUGH, YOU KNOW, PART OF THE PROBLEM RIGHT NOW IN RETAIL IS THAT EVERY, EVERY BRAND HAS THEIR PROTOTYPE.
THEY'VE GOT THEIR PROTOTYPE NARROWED DOWN TO AND MEASURED DOWN TO WITHIN AN AN INCH IN THEIR KITCHEN BUILD OUTS.
YOU KNOW, I, I, UH, I'VE BEEN ASKED, THERE'S A, A BRAND OUT THERE THAT EVERYBODY LOVES WHO HAS A REALLY GOOD SPICE AND CHICKEN SANDWICH, BUT THEY'VE NEVER DONE SPICY AND CHICKEN NUGGETS.
THE REASON IS BECAUSE THEY CAN'T FIT ANOTHER FRYER INTO THEIR KITCHENS.
THESE RETAILERS ARE SO, UM, PRECISE WITH HOW THEY'VE DESIGNED THEIR MODELS.
A LOT OF TIMES THE EXISTING BUILDINGS JUST DON'T FIT.
SO IT'S EASIER, SOMETIMES EVEN CHEAPER TO JUST GO IN AND TOTALLY TEAR SOMETHING DOWN AND BUILD, BUILD THE GROUND UP EVEN WHEN CONSTRUCTION IS 350 BUCKS A FOOT.
THIS IS WHY THE PUBLIC IN STEVEN CITY DID NOT GO INTO THE TWO VACANT BOXES IN STEVEN CITY FOR MARKETS.
THEY ARE BUILDING THEIR OWN BECAUSE THAT'S WHAT THEY DO.
THEY, THEY DON'T MOVE INTO EXISTING SPACES AND THEY'RE NOT ALONE IN THAT MORE EXPENSIVE
NOW, YOU KNOW, IT IS FUNNY, CHIPOTLE, RECENTLY THEY, THEY, YOU GUYS PROBABLY HAVE SEEN, THEY HAD A SHIFT AT THE VERY HIGHEST LEVEL.
THEY HAVE A NEW CEO CAME IN AND WITHIN THE FIRST WEEK ACTUALLY REDEFINED THEIR ENTIRE DEVELOPMENT STRETCH THAT SAID, HEY, WE'RE NOT TAKING ANY EXISTING BUILDINGS.
SO I, I HAD A, UH, WE HAD A DEAL IN ANOTHER MARKET FOR A, A BURGER KING TO BE CONVERTED INTO A CHIPOTLE.
UM, AND, UH, THEY WERE DUE TO CLOSE AND THE DAY BEFORE CLOSING, THE CEO ISSUED THIS MANDATE, THEY CAME IN, THEY HAD TO TEAR DOWN AN EXISTING BURGER KING ON THE SITE JUST TO BUILD THE EXACT SAME FOOTPRINT OF A FULL, SO WE'RE RIGHT ABOVE IT.
SO THEY ALL HAVE THEIR FORMAT, THEY STICK WITH THAT FORMAT VERY CLOSELY.
IT'S HARD TO GET THEM OFF OF THAT.
SO, MICHAEL, WHAT COULD WE DO AS A TOWN TO ATTRACT, UH, I MEAN, WE HAVE HUGE TOURISM IN THIS TOWN, BUT IT DOESN'T STAY HERE.
UM, YOU KNOW, AND I DON'T THINK MOST PEOPLE THAT COME HERE FROM THE CITY ARE INTERESTED IN STAYING IN A HOTEL PROPERTY CONVENIENTLY LOCATED ON THE INTERSTATE.
THEY WANT THE CHARM OF A DOWNTOWN.
WHAT CAN WE DO TO GET SOME OF THESE TOURISTS WHO STAY HERE OVERNIGHT? HOW CAN WE ATTRACT A PROPERTY, A HOSPITALITY PROPERTY DOWNTOWN? WELL, I WILL TELL YOU, YOU, YOU, IT SOUNDS LIKE YOU, UH, IT SOUNDS LIKE YOU KNOW, YOU KNOW EXACTLY WHAT I WAS GONNA SAY, WHICH IS I THINK YOU NEED ANOTHER CATEGORY OF HOTEL.
I THINK THAT THE BIGGEST, THE BIGGEST PIECE RIGHT NOW, UM, THAT'S MISSING FROM TOURISM STANDPOINT, AND IT PLAYS INTO RETAIL.
IT'S, IT, IT IS, THE REASON THAT HILTON AND MARRIOTT, UM, EXHIBIT AT THE SHOW THAT I'M GOING TO IN TWO WEEKS IS THAT, UH, I THINK YOU GUYS NEED A HOTEL THAT'S GOING TO BE ATTRACTED TO THOSE FOLKS DRIVING IN FROM THE CITY.
I THINK THAT THAT IS GOING TO BE A KEY PIECE OF THE OVERALL PUZZLE TO INC TO CANDIDLY, TO BUILDING MORE AND, AND BUILDING A MORE EXTENSIVE RETAIL NETWORK.
WE WANT THOSE TOURISTS TO STAY.
WE WANT THEM TO ACTUALLY STAY THE NIGHT AND SPEND THOSE DOLLARS LOCALLY AND NOT COME IN AND HEAD BACK OUT.
YOU KNOW, I THINK THAT WHEN WE LOOK AT SOME OF THE OTHER MARKETS,
[00:50:01]
UM, IN CLOSE PROXIMITY TO YOU ALL THAT HAVE GOOD TOURISM, BUT THEY DON'T EVEN HAVE THE TOURISM.YOU ALL HAVE, YOU KNOW, ONE OF THE THINGS THAT THEY'VE DONE THAT'S BEEN REALLY SUCCESSFUL IS ATTRACTING BOUTIQUE HOTELS.
I THINK THAT BOUTIQUES CAN GO REALLY STRONGLY BE VERY WELL RECEIVED, BUT I ALSO THINK THAT EVEN, EVEN THE IDEA OF BRINGING IN SOME OF THE MORE, UM, ATTRACTIVE NEWER TO MARKET, YOU KNOW, MARRIOTT, HILTON, HYATT END KIND OF CONCEPTS WOULD BE EQUALLY WELL RECEIVED.
SO I THINK THAT, UM, WHAT I WOULD SAY IS BOUTIQUE HOTEL, FIRST AND FOREMOST, ATTRACTING THOSE GUYS IS HARD.
UM, YOU'VE GOTTA OBVIOUSLY SELL THE STORY OF THE TOURISM.
AND HAVING A SITE IN A DOWNTOWN FOR A BOUTIQUE HOTEL IS NOT EASY.
SO, YOU KNOW, THOSE GUYS ARE TYPICALLY GONNA LOOK AT AN ACRE, UM, OR MORE, TYPICALLY MORE.
BUT, UH, DEPENDING ON THE ROOM COUNT, AN ACRE CAN USUALLY GET BY.
IF YOU HAVE OFFSITE PARKING, UM, TYPICALLY THOUGH, YOU KNOW, WE WOULD BE LOOKING AT TWO ACRES TO TWO AND A HALF ACRES, WHICH GETS PRETTY LARGE IF THAT PARKING'S GONNA BE ON SITE.
DOES THAT KIND OF ANSWER TO THAT? I, I, I KNOW THAT I JUST THREW A LINE ON THAT.
NO, IT, IT IS BEEN A HOT BUTTON FOR ME.
I MEAN, IT'S NOT LIKE YOU CAN, YOU'RE NOT GOING TO DRAW IN, THERE'S NOT A LOT OF BUSINESSES BASED ON TOURISM THAT ARE NATIONAL MARKETERS.
YOUR, YOUR SMALL SHOPS ARE GENERALLY YOUR MOM AND POPS AND YOUR THE PEOPLE THAT COME UP WITH INCREDIBLY GREAT PRODUCTS THAT APPEAL TO TOURISTS.
AND ABSOLUTELY, IT'D BE NICE TO KEEP THAT TOURIST DOWNTOWN BESIDES JUST GETTING A LUNCH AND, AND SHOPPING AND, YOU KNOW, A FEW STORES.
AND OBVIOUSLY I LOOK AT THE, THE HOTEL AS BEING AN ANCHOR.
I MEAN, ULTIMATELY THERE'S A, THERE'S AN END GAME PRODUCT THERE WHERE SOMEBODY CAN COME IN AND STAY TWO DAYS AND HAVE A GOOD TIME AND ENJOY OUR TOWN.
YOU KNOW, I, I'VE SEEN, UM, I'LL USE, UH, I'LL USE ONE EXAMPLE OF, OF THE HOTEL, BUT I'VE ACTUALLY STAYED AT, UH, COUNTLESS TIMES DOWN IN VILLE, IF YOU GUYS ARE FAMILIAR WITH VILLE ON 81, KIND OF IN THAT SOUTHWESTERN CORRIDOR STATE.
YOU KNOW, THEY, UH, WHAT THEY DID WAS THEY HAD A SMALL TOWN.
IT'S, IT'S ACTUALLY, I THINK IT'S MUCH SMALLER, MUCH, MUCH SMALLER THAN THE FARM OIL.
THEY DON'T HAVE ANY ANYWHERE NEAR THE TOURISM THAT YOU ALL HAVE.
BUT WHAT THEY DID WAS THEY WERE ABLE TO ATTRACT A GROUP TO COME IN AND CONVERT, UM, AN OLD HISTORIC HOTEL INTO A, OH, I'M, I'M GONNA, I CAN'T REMEMBER THE, THE FLAG THAT'S ON IT, BUT THEY DID, THEY DID A GREAT JOB CONVERTING THIS HISTORIC PROPERTY INTO KIND OF AN DATE BOUTIQUE HOTEL.
AND, YOU KNOW, FUNNY ENOUGH, IT, IT HAS BECOME, WHEN I DRIVE AND OR MY FAMILY DRIVES FROM BIRMINGHAM UP TO DC TO VISIT MY FAMILY, IT, UH, THAT HAS BECOME OUR STOP.
EVERY SINGLE TIME WE STOP, WE STAY, WE EAT DINNER IN TOWN ACROSS THE STREET AT A LOCAL RESTAURANT.
AND THAT, THAT'S OUR STOPPING POINT EVERY SINGLE TIME.
SO I THINK THAT IF YOU CAN ANCHOR DOWNTOWN AND DOWNTOWN TOURISM WITH SOMETHING LIKE A BOUTIQUE HOTEL, I THINK THAT'S A FANTASTIC ROUTE TO GO.
YOU KNOW, ONE STRATEGY FOR DOING THAT, AND THIS KIND OF FALLS BACK ONTO, UH, ON MY TEAM AND OUR COURT, IS, YOU KNOW, WE CAN ALWAYS OBVIOUSLY HAVE THOSE CONVERSATIONS WITH MARRIOTT AND HILTON AND HYATT TO SEE WHO, WHO HAS AN OPERATOR THAT IS LOOKING AND WOULD BE WILLING TO DO SOMETHING WITH THEIR FLAG.
THE OTHER STRATEGY THAT I WOULD SAY IS, IS JUST AS ATTRACTIVE AND WOULD BE JUST AS SUCCESSFUL, IS, YOU KNOW, FIGURE OUT WHO, WHO, AND AGAIN, SOME OF THIS IS MY OWN HOMEWORK THAT I'M ASSIGNING MYSELF HERE.
FIGURE OUT WHO OWNS THOSE BOUTIQUES IN MIDDLEBURG AND IN WARRENTON AND, YOU KNOW, IN SOME OF THESE OTHER MARKETS.
AND LET'S SEE IF WE CAN'T ATTRACT THEM TO DO SOMETHING.
ALRIGHT, MICHAEL, I THINK WE'RE GOOD.
AND UH, AND Y'ALL FEEL FREE TO FEEL IF YOU COME UP WITH ANY OTHER QUESTIONS, ANYTHING THAT I CAN DO, ANYTHING I CAN ANSWER, LET ME KNOW.
THE LAST THING I'M GONNA THROW OUT THERE TO THE ENTIRE GROUP AND THE ENTIRE TEAM IS WE ALSO ARE A FULL SERVICE DATA PROVIDER.
IT IS INCLUDED IN YOUR PARTNERSHIP.
IF YOU GUYS NEED ANYTHING ON A, UH, FROM A DEMOGRAPHIC ANALYSIS STANDPOINT, LET ME KNOW.
I LOVE GETTING THOSE REQUESTS AND LOVE SENDING THEM OUT.
SO Y'ALL LET ME KNOW WHAT I CAN DO TO HELP.
WHAT ABOUT, UH, WHAT ABOUT TRACKING? UH, WHAT ABOUT TRACKING MOBILE FOR A FESTIVAL? THAT IS ONE AREA THAT WE ARE NOT GREAT AT.
BUT I'M GONNA POINT THE FINGER AT THE GROUP THAT, THAT, UH, THAT WE BUY OUR DATA FROM THAT ARE FOCUSED SOLELY ON NATIONAL RETAILERS.
UM, LIZZIE AND I HAVE ACTUALLY HAD A GOOD CONVERSATION ABOUT SPECIFICALLY ANOTHER GROUP
[00:55:01]
WHO DOES A REALLY GOOD JOB OF TRACKING THAT.UH, UNFORTUNATELY THAT IS NOT INCLUDED, UH, IN THE PARTNERSHIP AND
BUT THEY START WITH A, UH, WITH A P AND, AND WITH AI, THEY'RE REALLY STRONG IN THAT SPECIFIC CATEGORY, AND I'M SURE THAT THEY'VE CALLED EVERYBODY.
UH, THEIR MARKETING TEAM HAS PROBABLY CALLED EVERY SINGLE PERSON WITHIN THE CITY.
'CAUSE THAT'S, THAT'S HOW THEY OPERATE.
JUST, YOU KNOW, OUR COMMUNITY FESTIVALS, WE LIKE TO FIGURE OUT HOW MANY PEOPLE ARE COMING TO 'EM AND, YOU KNOW, BUT YOU KNOW, I NUMBER THAT YOU COULD GET LIZZIE, I'M SURE IT'S OUT THERE, I JUST HAVEN'T GOOGLED IT, IS AN UP-TO-DATE TRAFFIC, UH, COUNT THROUGH THE SKYLINE DRIVE ENTRANCE HERE IN FRONT ROYAL.
LIKE THE ONE I HAVE SEVERAL YEARS OLD.
I MEAN, I SAW 125,000 AND I, I THINK THAT'S CHANGED.
WELL, I CAN TELL YOU, UH, I CAN TELL YOU MY, MY PARENTS ARE PROBABLY ABOUT 10 OF THOSE
THEY ABSOLUTELY MAKE, THEY MAKE A WHOLE DAY OUT OF IT, UM, HITTING THE SKYLINE.
WELL, I JUST TOOK THAT NOTE AND, UH, AND WE'LL COMPARE NOTES AND SEE IF THERE'S ANY UPDATES OR CHANGES TO THOSE NUMBERS.
BUT OTHER THAN THAT, LIKE I SAID, PLEASE FEEL FREE TO ASK, UH, ASK LIZZIE, GET, GET WITH HER ON ANY QUESTIONS THAT YOU ALL HAVE THAT, UH, THAT MIGHT NOT HAVE BEEN ANSWERED TODAY.
AND OBVIOUSLY REALLY APPRECIATE THE PARTNERSHIP AND REALLY EXCITED WORK TO, TO WORK WITH FIRM ROYAL.
SO WHEN SHOULD WE START BUGGING LIZZIE ABOUT, YOU KNOW, HEY, HAS MICHAEL AND UH, RETAIL STRATEGIES GOTTEN BACK WITH YOU? THERE YOU GO.
LET US GET THROUGH VEGAS AND, UH, AND THEN WE'LL HAVE A, WE'LL HAVE A SUMMARY OF A SHOW, BASICALLY A, A POST SHOW REPORT, UM, THAT SHE, THAT I'LL MAKE SURE IS DELIVERABLE TO THE GROUP.
THE OTHER THING FROM A REPORTING STANDPOINT, GLAD YOU ACTUALLY ASKED THAT, IS WE PROVIDE QUARTERLY, UM, REDACTED COPIES OF, UH, OF FEEDBACK AND UPDATES THAT WILL BE SHAREABLE WITH THE GROUP AS WELL.
AND WHAT, WHAT DATE IS THE VEGAS CONFERENCE? STARTS ON THE 18TH AND RUNS THROUGH THE 20TH OF THIS MONTH.
GOT FOR A WAFFLE HOUSE WITH THE LONGHORN.
DO YOU WANT PUT A BOW ON THAT OR? UM, WELL, HILLARY AND I BOTH SAT THROUGH THE PRESENTATION WITH HIM LAST WEEK, AND WE CAN TELL YOU THAT THERE WERE MORE DETAILS THAT HE JUST COULDN'T SHARE IN THE OPEN ROOM TODAY.
UM, AND HE COULDN'T BELIEVE WE DON'T HAVE A WAFFLE HOUSE ALREADY.
SO I HAVE A FUNNY FEELING THAT THERE'S A MEETING WITH THEM THAT'S ALREADY OCCURRING.
I MEET THE REGIONAL DIRECTOR UP WHEN THEY HAD BREAKFAST WITH HIM IN STEVENS CITY.
I CAN'T BELIEVE YOU DON'T HAVE ONE.
UM, AND HE, YOU KNOW, HE TALKS ABOUT THE REGION AND HIS PARENTS BEING CLOSE BY.
THEY, THEY LIVE IN RURAL PART OF LAB COUNTY.
LIKE HE, HE IS TRULY FAMILIAR WITH OUR REGION.
LIKE HE, UM, I TOLD HIM HE COULDN'T TELL PEOPLE HE WAS FROM MOM COUNTY, BUT I JUST DID.
UM, BUT YEAH, I MEAN I, OVERALL I FEEL LIKE WE'RE WE'RE HEADED IN A, A POSITIVE DIRECTION.
I DID CHECK IN BASE CAMP, THE, THE ONLINE, UM, UH, PROJECT MANAGEMENT SOFTWARE THAT THEY USE AND HIS PRESENTATION IS NOT IN THERE YET.
SO I WILL, I WILL PING HIM ABOUT GETTING THAT SLIDE DECK.
UM, AND HE'LL BE ABLE TO, THAT'S WHERE THEY SHARE DOCUMENTS WITH US.
SO I WILL GET THAT TO YOU GUYS AS SOON AS I HAVE IT.
I APOLOGIZE WE DIDN'T HAVE IT IN HAND AHEAD OF TIME.
I CHECKED THIS MORNING AND IT WASN'T THERE.
I THOUGHT MAYBE HE PUT IT UP BEFORE THE MEETING, BUT HE DIDN'T.
UH, YOU OR HIM ARE GONNA FORWARD THOSE SLIDES? I AM, YES.
AS SOON AS HE GETS THEM TO ME, DAVID.
UM, ANYBODY HAVE ANY OPEN DISCUSSION ITEMS FOR THE GROUP? UH, LIZ, I DO.
UM, BLUE RIDGE TECH CENTER HAS REACHED OUT ABOUT COMING AND TALKING WITH US IN A MEETING.
I KNOW THAT WE'VE BEEN ON SITE THERE AND, UH, ANNA WALTON WAS HERE.
WAS IT LAST MEETING? LAST MEETING? I DON'T KNOW.
UM, BUT I THINK THAT, UH, THE PRINCIPAL, VINCE, GREG WANTED TO TALK ABOUT SOME PRO PROJECTS THAT THEY HAVE UPCOMING AND, UM, MAYBE SOME WAYS THAT WE CAN HELP PLUG IN.
I WOULD ALSO LIKE TO BRING TO THE TABLE FOR MY END, UM, SOME MORE INFORMATION ABOUT THE GO VIRGINIA GRANT AND US MAYBE BEING ABLE TO GO AFTER THAT TO HELP THEM EXPAND, UM, KIND OF SOME OF THEIR OPERATIONS.
BUT I WANTED TO GET THE FEEL OF THE GROUP AS TO WHETHER OR NOT WE WERE GOOD WITH TRYING TO GET THEM IN IN THE SUMMERTIME.
HAVE 'EM COME TO THE NEXT MEETING.
I DON'T THINK THEY CAN DO JUNE, BUT I THINK WE WERE LOOKING AT JULY,
[01:00:01]
SO, UM, ALRIGHT.UM, SO GO VIRGINIA, IS THAT DIFFERENT THAN LIKE THE DIRTY JOBS GRANT THAT IT IS? OKAY.
AND AIDEN, HAVE YOU HAD ANY LUCK WITH THAT? NO, I HAVEN'T HEARD BACK ON THAT.
YOU DID THROW SOMETHING OUT THERE? YEAH.
AND SO LIKE HOW CAN YOU OUTLINE THAT PROCESS? LIKE WHAT, WHAT, WHAT YOU DID OR WHATEVER FOR THE GROUP? JUST SO
UM, BUT SOME OF THE OTHER ONES, IT'S JUST A MORE GENERAL
UM, SO I PUT TOGETHER A, UM, I CAN PUT TOGETHER THE, LIKE A TEMPLATE THAT YOU CAN USE FOR THAT ONE OR FOR ANY OTHER ONES AND BUILD OFF FROM THERE.
I MEAN, DO YOU THINK YOU COULD, I, I DON'T KNOW WHAT THE, WHEN, WHEN, WHEN THE, WHAT THEIR CYCLE IS APPLICATION PERIOD IS, BUT CAN YOU COME BACK AND TELL US WHAT THE APPLICATION PERIOD IS MAYBE IN JULY? YEAH, ABSOLUTELY.
AND, AND, AND SEE IF, YOU KNOW, WE CAN HELP, YOU KNOW, OUR TECH CENTER YEAH.
AND IF YOU CAN BE A PART OF THAT, THAT WOULD BE GREAT.
YEAH, I WAS REAL EXCITED WHEN YOU SAID THAT MONTHS AGO.
UM, IN PREVIOUS, SEVERAL MONTHS AGO, AND WE, WE, WE WERE TOLD OF A, A BUDGET NUMBER THAT WE HAD IN OUR BUDGET.
OBVIOUSLY WE'VE SPENT SOME MONEY TO DO THIS.
UM, IT WAS NEVER REALLY SPECIFIC.
AND THEN WHEN I MET WITH BJ LAST YEAR WITH THE FINANCE COMMITTEE, THE NUMBERS THAT WERE ALLOCATED TO ECONOMIC DEVELOPMENT OF, UM, IN FRONT ROYAL WERE JUST KIND OF THERE.
AND SO I, I DON'T KNOW IF I WAS CONFUSED BY IT, BUT, AND IT WAS UP IN THE SIX FIGURE RANGE AND FOR US TO BE ABLE TO DO SOME STUFF, I, I'D KIND OF LIKE TO KNOW WHAT IS ACTUALLY PHYSICALLY THERE, EVEN FROM THE PREVIOUS TWO YEARS WHEN THIS ORGANIZATION WASN'T REALLY DOING ANYTHING.
I THINK MONIES WERE STILL BUDGETING TO BE MONEY BEING CARRIED FORWARD.
AND I'D LIKE TO KNOW WHAT THE CURRENT COUNCIL, I, I JUST WANNA SEE HOW SERIOUS WE ARE ABOUT REALLY INVESTING IN THE COMMUNITY AND GOING, I'D LIKE TO KNOW, YOU KNOW, IS THERE A PROPOSED BUDGET NUMBER IN THE BUDGET COMING UP? I, I DON'T KNOW IF IT CAN BE DISCLOSED YET.
IS IT, YOU KNOW, THE, HIS SHOULD BE.
HISTORICALLY, WHAT WERE WE BUDGETED AND WHAT DIDN'T WE SAY? I THINK IT'S CHANGED FROM WHAT WAS BUDGETED YEARS AGO AND I'D JUST LIKE SOME CLARITY.
I'D LIKE TO KNOW WHAT WE CAN FINANCIALLY LOOK FORWARD TO DOING.
UM, IF WE'RE ONLY GONNA BE HANDED, YOU KNOW, 25 OR $50,000, WE'RE NOT GOING TO ACCOMPLISH A LOT.
WE ACCOMPLISH AN INCREDIBLE OPPORTUNITY HERE WITH RETAIL STRATEGIES.
BUT I THINK GOING, YOU KNOW, WE'RE GONNA GET REALLY SERIOUS ABOUT ECONOMIC DEVELOPMENT IN FRONT ROYAL.
WE KIND OF NEED TO KNOW, DO WE HAVE ACCESS TO THOSE PREVIOUS CARRYOVER NUMBERS AND WHAT DOES THE FUTURE HOLD FOR US? I THINK WE NEED TO KNOW, SO PREVIOUSLY THE, THE LAST FEW YEARS, IT'S BEEN ABOUT $50,000 EACH YEAR, WHICH HAS BEEN CARRIED FORWARD.
UM, OBVIOUSLY YEAR ONE OF THE RETAIL STRATEGIES CONTRACT IS LIKE $51,000 OR SOMETHING LIKE THAT.
IT'S VERY CLOSE TO THAT NUMBER.
UM, SO OF COURSE THAT'S, THAT THAT'S SPENT YOUR BUCKET, RIGHT.
UM, AND THOSE PREVIOUS CARRYOVER FUNDS, I, I BELIEVE THE, THE UNDERSTANDING WAS THAT, OKAY, IF WE CONTINUE THE CONTRACT WITH RETRIAL STRATEGIES, WHICH AT THIS POINT WE DON'T HAVE ANY REASON TO BELIEVE, WE WOULDN'T, THOSE WOULD COME OUT OF THOSE CARRYOVER FUNDS.
UM, I I BELIEVE THE NUMBER THAT WAS REQUESTED FOR FY 26 IS APPROXIMATELY THE SAME AT $50,000.
UM, I'M ATTEMPTING TO PULL IT UP NOW FOR YOU.
UM, BUT I'M NOT, I'M NOT, HOW ABOUT JUST COMING THE NEXT MONTH, BUT I CAN COME INTO THE NEXT MEETING WITH MUCH MORE CLARITY, NOT KNOWING TODAY, BUT ABSOLUTELY.
WHEN I, WHEN I MET WITH THE FINANCE DIRECTOR, I WAS UNDER THE IMPRESSION THERE WERE THREE OR FOUR YEARS THERE MM-HMM
PLUS WHAT WAS ALLOCATED THIS PAST YEAR, I BELIEVE THAT'S CORRECT.
BUT THE NUMBER THAT WE WERE TOLD WAS THERE WAS ABOUT 75 OR 85,000.
SO THERE COMES MY CONFUSION, I DON'T KNOW IF WE EVER REALLY, DID WE, OKAY.
WHAT WAS REPORTED, WHAT'S IN THE MINUTES THAT WAS REPORTED TO US.
AND SO I'D LIKE TO JUST LOCK IT DOWN SO WE AS A GROUP CAN START MAKING PLANS FOR THE FUTURE AS WELL AS, HEY, WE'RE GONNA SPEND ANOTHER SOME THOUSAND DOLLARS FOR RETAIL STRATEGIES AND, YOU KNOW, SEE IF WE CAN'T GET SERIOUS ABOUT INVESTING IN SOMETHING, THERE'S PROPERTIES FOR SALE THROUGH THE EDA THAT I THINK WOULD AFFECT THE TOWN DRAMATICALLY.
BUT I MEAN, THAT HAS TO BE DISCUSSED AS A GROUP.
BUT UNTIL WE KNOW WHAT WE HAVE TO WORK WITH, WE'RE KIND OF OUT THERE IN THE DARK.
[01:05:01]
YEAH.I MEAN, HAVING LOOKED THROUGH THE BUDGETS BEFORE, I MEAN IT IS, AND THE A FCR REPORTS, IT'S HARD TO DISCERN ALL THAT.
I MEAN, I KNOW THAT, UM, INITIALLY WE HAD, WE HAD A LOT OF STAFF IN THIS GROUP IN OUR INITIAL MEETINGS.
EVERY ONE OF THOSE WAS BILLING TIME, ESSENTIALLY AGAINST THAT BUDGET.
SO THAT MIGHT BE A REASON WHY YOU REMEMBER THAT, YOU KNOW, ONE 50, WHICH WAS THE ORIGINAL NUMBER, I THINK IT WAS ONE 50, ALL OF THOSE, ALL OF THAT TIME WAS BILLED AGAINST THAT, INCLUDING OURSELVES.
SO, YOU KNOW, THOSE, THOSE WERE, THOSE WERE REALIZED COSTS, I GUESS.
I DON'T KNOW, YOU KNOW, AGAIN, 'CAUSE YOU DON'T GET TO DIAL IT DOWN THAT CLOSELY IN TERMS OF EACH INDIVIDUAL DEPARTMENT AND HOW THEY DO THAT.
UM, BUT I KNOW, YOU KNOW, THAT EXISTS.
UM, WELL, IF A PROPERTY CAME AVAILABLE, I'D JUST LIKE TO KNOW IF WE COULD AFFORD TO BUY IT, SEE IF IT WOULD BE IN THE TOWN'S INTEREST TO BUY IT AND HELP DEVELOP IT AND FIND SOMEBODY TO PURCHASE IT, WHETHER WE'RE IN THE REAL ESTATE BUSINESS OR NOT.
WHETHER IT'S AN INVESTMENT IN SOMETHING WHERE ISN'T RELATED.
I MEAN, WE'RE, WE'RE HERE TO DEVELOP THE E ECONOMY AND I THINK WE NEED TO KNOW.
UM, ANYBODY ELSE FOR THE DATA CENTERS MEETING ON SATURDAY? IS IT TOO LATE TO WANT UP ON THAT? SO HERE, HERE WE ARE.
SO AS, AS A, AS A, UM, AS A PUBLIC BODY.
SO WE'VE GOT SOME RULES WE HAVE TO FOLLOW WHEN IT COMES TO NOTICE OF WHAT THAT WOULD BE, WOULD ESSENTIALLY BE A SPECIAL MEETING.
UM, WE NEED TO KNOW TODAY IN THIS ROOM RIGHT NOW, IF THERE WILL BE MORE THAN AIDEN AND RICK IN THAT MEETING, IT'S OKAY IF IT IS.
WE JUST NEED TO PROVIDE THE PROPER NOTICE SO THAT EVERYONE IS, IS ALL, ALL SQUARED AWAY.
SO IF YOU WANNA DO IT, THAT'S COOL.
THAT WAY WE CAN GET THAT NOTICE OUT.
I MEAN, IT'S JUST, IT'S A SO AGREED, BUT IT'S JUST A PUBLIC MEETING THAT I GUESS AIDEN IS DOING.
UNFORTUNATELY, THAT'S A DISTINCTION WITHOUT A DIFFERENCE WHEN IT COMES TO THAT, THAT NOTICE.
UM, 'CAUSE ANYTIME THAT THERE ARE THREE OR MORE OF YOU AND YOU COULD BE DISCUSSING ECONOMIC DEVELOPMENT, UM, PROJECTS OR OPPORTUNITIES, THAT'S A MEETING AT THAT POINT.
WELL, I THINK YOU, I'M GONNA ENCOURAGE EVERYBODY TO ATTEND IT.
UM, I MEAN, I'M PLANNING TO ATTEND IT AND I WANNA LEARN MORE ABOUT DATA CENTERS.
'CAUSE I THINK DATA CENTERS ARE SOMETHING THAT WE SHOULD EXPLORE AS A COMMUNITY AND TRY AND FIGURE OUT IF IT'S SOMETHING THAT WE THINK IS FOR OUR COMMUNITY AND IF IT IS, HOW DO WE CHANNEL, YOU KNOW, REGULATIONS AND THINGS LIKE THAT.
AND I'M HOPING THAT WHOEVER AIDEN IS HAS, HAS INVITED YOU INVITED THEM, I GUESS, OR YEAH, I, I WAS COULD YOU TELL US A LITTLE BIT ABOUT IT? YEAH, SO I, UM, I JUST WANTED TO HOST AN EVENT COMING OUT OF OUR, UH, DISCUSSION HERE.
UH, AND JUST KIND OF GENERAL DISCUSSIONS HAVE BEEN GOING ON IN TOWN.
I REACHED OUT TO A COUPLE FRIENDS THAT I HAD, UM, IN NORTHERN VIRGINIA TO COORDINATE THIS.
SO WE, THE TWO, UM, WE HAVE A COUNCILMAN FROM WARRENTON COMING TO SPEAK, AND THEN ANOTHER WOMAN WHO'S BEEN INVOLVED, UM, WITH, UH, MORE COMMUNITY ORGANIZATION SIDE OF THINGS.
UM, I THINK THERE'S A COUPLE OF OTHER RSVPS I'M WAITING TO HEAR BACK ON, BUT HOPEFULLY SORT OF THE PANEL.
OH, SO YOU MIGHT HAVE SOME OTHER SPEAKERS? YEAH.
AND SO, SO COUNCILMAN, THAT'S PRETTY OBVIOUS.
AND THEN I THINK THE FLYER YOU EMAILED OR WHATEVER YOU WANT TO CALL IT ANYWAY, IT SAID THAT THE LADY, SHE WAS INVOLVED IN DATA CENTER DEVELOPMENT OR DEVELOPMENT YEAH.
IN RESEARCH AND, UH, PUBLIC SPEAKING ON IT I THINK WAS MORE, I DON'T THINK, I DON'T THINK SHE'S WORKED ON THEM DIRECTLY.
NO, I'M SAYING HER BACKGROUND IS CLIMATE CHANGE, COLLECT ALL SORTS OF DIFFERENT POINTS OF VIEWS AND THROW 'EM IN OUR POT TO MAKE DECISIONS AS A COMMUNITY, I THINK.
UM, IS ANYBODY ELSE THINKING ABOUT POSSIBLY COME INTO THAT? GONNA BE DOWN FOUR.
SO THIS THREE, I MEAN, I, I'LL TELL YOU THAT I'M SKIPPING A CELEBRATION OF LIFE FOR SOMEBODY WHO WAS A FRIEND OF MINE TO COME TO THIS.
SO AIDEN, I HOPE IT'S WORTHWHILE.
YOU GOT ANY THOUGHTS ON THAT?
IT CAN EITHER BE THE CHAIR OR I BELIEVE TWO MEMBERS CAN JUST REQUEST THAT A MEETING REQUEST BE
[01:10:01]
HELD ON REQUEST.WE CAN CONSIDER, DON'T YOU JUST DID THAT.
YOU WANT TO MAKE A MOTION, UM, I MOVE THAT WE CALL A MEETING FOR, UH, DATA CENTER INFORMATION SESSIONS AT, UH, 12:00 PM MAY 10TH AT THE COMMUNITY CENTER.
ALL IN FAVOR SIGNIFY BY SAYING AYE.
I THINK THAT THE WORDING SHOULD BE DIFFERENT.
I MEAN, WE HAVE, WE HAVE ATTENDANCE REQUIREMENTS AND THINGS LIKE THAT.
SO I I CAN'T MAKE A SATURDAY MEETING.
WELL WHAT, SO I THINK, I MEAN, JUST LABEL IT AS A SPECIAL MEETING.
I MEAN, IT'S NOT, IT'S NOT EVEN OUR MEETING, BUT WE'RE GONNA ATTEND IT.
BUT BECAUSE OF NOTICE REQUIREMENTS, WE'RE, WE'RE NOTICING WE'RE PROVIDING NOTICE THAT THERE COULD YES.
IT'S NOT REALLY OUR MEETING AT THIS TIME.
WE'RE GONNA BE THERE POTENTIALLY MEMBERS, SOME OF US ARE GONNA BE THERE.
AT LEAST, AT LEAST THREE OF US CAN DO THAT.
WE'LL, WE'LL FIGURE OUT THE BEST WAY TO DO THAT.
JUST TO MAKE THE PRESS, YOU KNOW? YES.
AND OUR INTENTION IS NOT TO COUNT IT AGAINST ANYONE WHO CANNOT BE THERE.
WANNA MAKE SURE IT'S LABELED THE RIGHT WAY.
UM, I WANTED TO, I DON'T WANNA DERAIL YOU NO, GO RIGHT AHEAD.
I PULLED UP THE PROPOSED BUDGET.
SO, UM, THE 26 REQUEST IS ANOTHER $50,000, AND THAT'S, THAT'S EDA SPECIFIC THAT IS NOT INCLUDING THE STIPEND THAT YOU RECEIVE FOR THESE MEETINGS, UM, NOR THE, UM, TAXES OR THINGS THAT WE PAY ON THOSE STIPENDS THAT YOU RECEIVE.
SO THE KEY IS ADDING UP THE PAST FOUR OR FIVE YEARS.
THE IMPRESSION I GOT WAS, THERE REALLY HASN'T BEEN ANYTHING SPENT SINCE COVID LOOKING TO SEE THIS BUDGET UNFORTUNATELY DOES NOT SHOW THE CARRYOVER, BUT I'LL GET THAT NUMBER TO YOU.
AND SO, UH, UM, I WAS, UH, APPROACHED BY DOWNTOWN FRONT ROYAL ABOUT THEIR, UM, FUNDRAISER, UH, ON JUNE 21ST.
I THOUGHT YOU GUYS MIGHT WANT TO KNOW ABOUT IT.
UM, AND, UH, ANYWAY, DOWNTOWN FRONT ROYAL IS THIS ANOTHER GROUP THAT'S TRYING TO, YOU KNOW, MAKE FRONT ROYAL A BETTER PLACE TO LIVE, WORK, AND PLAY
AND, UM, YOU KNOW, IF SHE, IF YOU MIGHT CONSIDER BEING A PART OF IT IN SOME WAY, SHAPE, OR FORM, I'M SURE THEY WOULD WELCOME BACK AND, UH, ANYWAY FOR YOU TO TAKE AWAY FROM THE MEETING.
ANYBODY HAVE ANYTHING ELSE? ALL RIGHT.
MAKE A MOTION TO AURN HIS SECOND.
ALL IN FAVOR SIGNIFY BY SAYING AYE.
OPPOSED? THANK YOU EVERYBODY FOR YOUR TIME.