Jacobs Center for Neighborhood Innovation

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Social and Economic Impact Report

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Jacobs Center for Neighborhood Innovation

  1. 1. The Villageat Market CreekSocial and Economic Impact ReportCalendar Year 2008 Advance Copy
  2. 2. The Village at Market Creek Toward the Resident Ownership of Neighborhood Change2
  3. 3. A Letter to Investors Hard-Hitting Winds Jennifer S. Vanica, Despite these previous challenges, the economic storm President and CEO of 2008 hit with unprecedented impact and uncertainty. Jacobs Family Foundation No one could predict the future based on the past. No Jacobs Center for blueprint existed. No assumptions provided guideposts. Neighborhood Innovation By mid-year, we knew we were facing unique challenges in achieving the vision ofA Year of Extraordinary Challenge The Village at Market Creek The economic storm of 2008As a foundation partnering in community change, as a vibrant live-work-play hit with unprecedented impactwe have faced challenges before. cultural destination. and uncertainty.In 1997, we teamed with a small group of community After seven years in theresidents to create a new vision for the Market–Euclid making, Market Creek’sintersection in San Diego’s southeastern Diamond largest social enterprise — Market Creek Events &Neighborhoods. We were confronted with long-term Venues, a hospitality, banquet services, and culinarydisinvestment, dark streets, widespread blight, limited training academy on the first floor of the Joe & Vi Jacobsactivities for young people, and lack of commercial Center — debuted just as travel and meeting budgetsservices. across the country were cut.Over the next four years, a committed group of San Diego’s restaurant business was hit hard. At Marketresidents and funders worked to acquire and develop Creek Plaza, the locally-owned small businesses werean abandoned industrial site. We hit every possible impacted by the severe economic downturn andobstacle. Yet, in 2001, we opened the first major grocery further challenged by eruptions of gang violencestore to serve these neighborhoods in over 30 years. in the surrounding neighborhoods.Even in the face of the economic downturn that Shrinking business activity slowedfollowed 9/11, the old factory site was transformed into the development timelinea vibrant commercial and cultural center. The initial six for a nearby officeworking teams became over 30 Village teams. Land- and industrialuse planning and land acquisition expanded. Residents project.and funders were working more comprehensively, andteams began discussing a broader sense of purpose increating a strong, safe, vibrant, and caring community.With this larger scope, new challenges emerged.We struggled to understand scale at a neighborhoodlevel. We grappled with how to expand the resourcenetwork, then had to figure out how to coordinatewide-ranging actions with a growing numberof partners. We were challenged by residents tocreate pioneering tools for collective investmentand had to grow to develop the next phase— the Joe & Vi Jacobs Center — as a centralresource in The Village. 1
  4. 4. One Market Creek Plaza restaurant launched an entertainment series. Another created new product lines and added a buffet to attract evening business. The businesses focused on customer service and launched a concerted effort to help residents make their dollars bounce in their neighborhoods and save jobs at home. Loans were modified, cash-flow forecasting intensified, relationship marketing increased, and meetings with potential customers and community investors focused on “we-care-and- want-your-business.” After two years of planning for the first Market Creek Events & Venues hosted a series of homeownership project business mixers. Because of its unique multicultural in The Village, high foreclosure setting and social enterprise mission, it brought wide rates quickly shifted the housing demand regional and community interest. from ownership to rental. Project Safe Way, staffed by residents at key In project finance, losses in the financial markets made intersections in The Village neighborhoods, initiated tax credits questionable. Without completion of a safe-passage-to-school pilot program and partnered a pending mixed-use Community Plan Amendment, with schools and city police to resolve issues at status as a smart-growth “shovel-ready” project strategic corners. could not happen fast enough for limited public Facing financial challenges, the eight surrounding sector funding. schools pulled together to share resources. They With our assets and those of our foundation partners collaboratively designed a program to serve the most also impacted, we had to rethink how to gain greater challenged students, strengthen systems that support leverage, partner more effectively, and reduce the need families, and bolster the learning environment in the for loan guarantees, which strapped our resources. broader Village. Young people began stepping into the lead. The Creativity of Teams Writerz Blok, an urban art program, contracted with If the greatest opportunities for innovation come the San Diego Unified School District to create mural in the most challenging times, then 2008 was prime art with youth teams, becoming a juvenile-diversion time for The Village at Market Creek. program. At the same time, an emerging “I Am the Movement” youth campaign rallied students from Faced with severe economic seven campuses to help their peers stay in school. circumstances, people In one of the worst years of became creative. They looked for the synergy, The Impact of Innovation business losses in history, unearthed the opportunity In one of the worst years of business losses in history, Market Creek Plaza logged of the moment, and tried Market Creek Plaza logged an unprecedented an unprecedented $42 million to ferret out any potential $42 million in economic activity. Gross sales were up in economic activity. percolating under the 5 percent over the year before. Job counts were stable. surface of the new reality.2
  5. 5. Market Creek Partners, LLC was profitable and paid A Report Card on Impactits 10-percent preferred return to Diamond CommunityInvestors and the Neighborhood Unity Foundation. This is the third annual Social and Economic We must work comprehensivelyIn the broader Village, an additional $10 million Impact Report onin capital investment created more than 140 new at the intersection of social, the achievements,jobs in the area surrounding the Market-Euclid hub. challenges, and learnings economic, physical, and civicAs a year of great challenge, 2008 stands as a testament of the coordinated effort strategies.to the community’s literal and figurative ownership to raise The Village atof change and to the ability of residents to innovate Market Creek. As a focalin the face of hard times. point for joint action, The Village is a strategic effort to connect residents, markets, resources, and communities.A Platform for Learning While the success of The Village at Market Creek isFor all of us who have played a role in Market Creek, often measured by square feet of new construction,it has been a journey into uncharted territory that number of jobs, and value of contracts, Market Creekinvolves taking risks and breaking new ground together. is mostly about people learning how to work together.From this journey, we have learned that independent In teams, people develop strong and dynamic networks,action around isolated issues can’t get at the underlying create bridges to the larger region, and cultivate higherconditions that require change. We must work expectations for change. This creates cross-culturalcomprehensively at the intersection of social, understanding, ownership, and new platforms foreconomic, physical, and civic strategies. problem-solving to improve the health, education, and safety of the community.We have learned that this work requires long-termalliances among players who traditionally have notworked together — developers and residents, residentsand foundations, securities lawyers and communitybuilders, grantmakers and tax-credit investors,museums and graffiti artists, former gang membersand police.We have learned that in a resident-guided process,blight is an opportunity for people to developindividual and community assets while rebuildingtheir own neighborhoods.We have learned that the most creative breakthroughshappen when residents are the primary leaders inchanging their own neighborhoods. Differences,disagreements, and barriers — these arethe ingredients for innovation. This kindof ownership brings people to a new vision,instills hope, builds skills, and createseconomic value that benefits them. 3
  6. 6. Because The Village at Market Creek has grown, 3. Community Enterprise and Ownership: This section this report is organized into five areas. The various reports on the work to build economic opportunity. teams, partners, and investors who have made this It recounts efforts to develop community-owned work possible are also organized by these categories: enterprises that bring essential services, create jobs, expand contracting opportunities, and build community 1. Community Vision and Voice: This section wealth. Market Creek’s strategies focus on simplifying reports on civic engagement and community service. and adapting the tools of the marketplace — such as a It covers the impact of efforts to mobilize large-scale, Community Development IPO — so that residents have cross-cultural resident participation in the planning, a financial stake in their community and businesses decision-making, implementation, and ownership benefit from social responsibility. of change. 4. Family and Community Networks: This section 2. San Diego’s Smart-Growth Pilot Village: This documents the work of residents in building the social section documents the development of the physical infrastructure of their neighborhoods. It describes assets of The Village, an effort to reclaim 45 contiguous the bridges that connect residents, community acres of blight and turn them into a vibrant mixed- organizations, and funders to energize learning, use, transit-oriented cultural village that fosters support the potential of children, and encourage environmental sustainability, social equity, and the healthy lifestyles. resident ownership of assets. It describes the effort to rebuild in a way that maximizes and returns the 5. Shared Learning: This section reports on benefits of development to the immediate community. Market Creek as a shared learning environment for people across the country. Focused on new approaches to community building, social enterprise, and community ownership, partners are investing in learning, which attracts new ideas to The Village and stimulates ongoing innovation in the field.4
  7. 7. Thank You to Our Partners Leaning into the WindThis report reflects the combined work of many This year, we were reminded of what we learned fromresidents, community organizations, institutions, Joe Jacobs years ago — when things look like theyfoundations, public sector partners, and other are not going to work,concerned citizens who care about changing the don’t falter. Lean intodynamic of disinvestment and are coming together the wind. Innovation Innovation will emerge whenfor greater impact. It traces our collective journey over will emerge when times times are hard, resources arethe past year, highlights where we were challenged, are hard, resources are limited, and human potentialwhat changed, and what we have learned. limited, and human potential is challenged. is challenged.We are grateful for the steadfast commitmentof the San Diego Neighborhood Funders, our PRI We also embraced, likepartners, and our community investors. Local friends never before, the truth of the African proverb:from San Diego like The Legler Benbough Foundation “To go fast, go alone. To go far, go together.”anchored us in the storm. National partners like Don’t just build buildings. Find the connectingThe Annie E. Casey Foundation inspired us to keep points. Start and stay together. Build a commitmentsailing. Community partners like the Diamond to and understanding of our common destiny.Community Investors turned out to help us adjust Do together what we cannot do alone...the sails. Without planning support and strategicinvestments for implementation, the achievements Become a community.of 2008 would not have been possible. We willcontinue to rely on our public and private partnersto bring the vision of The Village at Market Creekto fruition. 5
  8. 8. The work at Market Creek is based on the assumption that all people can and must lead.6
  9. 9. Goal Large-scale, cross-cultural resident participation in the planning, decision-making, implementation, and ownership of change. civic engagement Community Vision and Voiceoverview The Village at Market Creek is about neighbors taking charge of change. Market Creek’s working teams unite residents across neighborhoods, cultures, and generations to strengthen joint action and increase the ability of people to break down barriers, engage in the creative exchange of ideas, and get things done. From the earliest planning, arts and culture have been galvanizing forces in bringing residents from the diverse neighborhoods together to envision and plan, foster a sense of belonging, and celebrate their strength as a community. Participating in building a secure and vibrant place to live, people have brought the best of themselves and their cultures together to promote understanding, encourage creativity and problem-solving, and find their voice. The work at Market Creek is based on the assumption that all people can and must lead — including our youth. Young people are asked to bring their great gifts to the table and take on important roles. This builds skills, relationships, and leadership. It brings new voices to the table. Diverse stakeholders, working across unlikely relationships, Innovation “Working Teams” as the are the foundation for the long-term sustainability platform for residents to become of community change. primary leaders of change in their community. Challenge Creating an infrastructure to support large-scale, cross-cultural organizing. 7
  10. 10. Community Vision and Voice Working Teams Amphitheater Team Artists-in-Residence The Work Community Vision and Voice Black Womanhood Exhibit Team Community Listening Survey Team Friends of the Teen Center Community Organizing working teams, became a forum for International Outreach Team communicating, decision-making, NUF “Power in Caring” Niche Team For The Village Working Teams Village Teams Council and planning together. Writerz Blok Graphic Design Team and the cultural networks, 2008 Writerz Blok Mural Team was a year of re-assessing the The International Outreach Team, Youth Advisory Board pulse of the neighborhoods and made possible through funding Youth Movement Working Team organizing around people’s critical by six local foundations, includes Planning and Community Partners AjA Project issues. Residents — hit hard by 17 community members that Balboa Park Cultural Partnership job loss, foreclosures, immigration represent three generations and the The Legler Benbough Foundation City of San Diego Commission for Arts and Culture issues, gang violence, and lack of seven major cultures of The Village. City of San Diego Fourth District Council Office affordable housing — continued In 2008, the team provided a Coalition of Neighborhood Councils Common Ground Theatre working to create a strong and platform for deeper organizing Elementary Institute of Science healthy village. Teams began efforts within and across cultures. Fourth District Youth Action Board creating networks to help bridge As these efforts bridged the various Inner City Youth Jackie Robinson Family YMCA the community to resources in the cultural groups, the diversity of Lao Community Cultural Center broader region. An organizing the working teams expanded and M.A.N.D.A.T.E. Records Mingei International Museum effort called Project VOCAL (Voices the number of cultural events Morse High School of Community at All Levels) was at Market Creek grew. Museum of Photographic Arts Neighborhood Unity Foundation launched to help people build The New Children’s Museum broader coalitions and address Arts and Culture The Old Globe conditions that challenge families. Nu-Way Operation BHILD Discussions and joint activities Outdoor Outreach with the San Diego Museum of Pazzaz, Inc. 2008 also gave rise to a Village Project New Village Teams Council as a way of Art and other San Diego arts San Diego Historical Society coordinating the work and keeping organizations led to an emerging San Diego Museum of Art San Diego Museum of Man the teams’ work connected to the relationship between the residents San Diego Unified School District larger Village. The Council, made of The Village and Balboa Park. San Diego Unified School District Police Department Out of this grew the concept San Diego Urban Economic Development Corporation up of representatives of the various SANA Art Foundation Somali Youth United Southeastern Teen Center Southeastern Economic Development Corporation United African American Ministerial Action Council Urban Warriors Writerz Blok Strategic Investment Partners The Thomas C. Ackerman Foundation Bank of America The Legler Benbough Foundation The California Endowment The Annie E. Casey Foundation City of San Diego Commission for Arts and Culture City of San Diego Fourth District Council Office Coca-Cola Bottling Company of San Diego Cox Communications Jacobs Family Foundation Kaiser Permanente Edmond Kassouf Metropolitan Transit System Neighborhood Unity Foundation The Parker Foundation The Pratt Memorial Fund at the Union Bank of California San Diego National Bank San Diego Neighborhood Funders Sempra Energy Wells Fargo8
  11. 11. MILESTONES • The Village Teams Council was formed to bring together representatives of diverse stakeholders as a platform for large-scale joint action and decision-making. • 350 residents attended “Building Our Community Together,” the first community meeting hosted by the Coalition of Neighborhood Councils (CNC), Southeastern Economic Development Corporation (SEDC), City of San Diego Fourth District Council Office, and Jacobs Center for Neighborhood Innovation (JCNI). • Over 1,500 residents participated in focus groups, surveys, and community forums to provide important input into the planning of The Village. • Partnership discussions were initiated with regional arts organizations including San Diego Museum of Art, San Diego Museum of Man, The Old Globe, SANA Art Foundation, the Mingei International Museum, Museum of Photographic Arts, San Diego Historicalof “The Benbough Center for The Youth Movement Working Society, The New Children’s Museum, andCommunity Arts” as a centerpiece Team — a planning group of 50 the Balboa Park Cultural Partnership.for creative expression and a focal young people from seven high • An Artists-in-Residence program was pilotedpoint for Market Creek as a cultural schools and representatives from with four visual artists working with residentsvillage. This center will become a the Teen Center, Writerz Blok, and to bring their cultural and artistic traditionsplatform for discussions that cross the International Outreach Team to The Village.age, gender, generation, race, and — began by launching “Our Voice • The Old Globe opened its technical centerincome to address social issues in Education,” a campaign to reduce for building sets and storing scenery andof concern in an atmosphere of student drop-out rates. Their first costumes, launched its Southeastern San Diegocreativity and human connection. outreach event, the Diamond Residency Project, and partnered with Lincoln Classic, brought together 900 youth. High School and Writerz Blok on Kingdom,As part of an effort to build cultural a play about gang violence.understanding, teams implemented18 community art projects and • The Arts & Culture Fest attracted over 5,000 people as a result of collaboration effortshosted 42 amphitheater events. with local and regional arts and cultureOver 8,000 people participated in organizations and resident teams.arts activities and 11 cultural eventsattracted 19,000 people. • The Youth Movement Working Team, involving 50 youth from seven high schools and representatives from the Teen Center,Youth Voice Writerz Blok, and the International Outreach2008 spurred the vision of a Team, began organizing the next generationmore cohesive youth voice in of leadership in The Village.The Village, giving rise to The Youth • Attendance at Village activities and eventsMovement as a platform for youth increased 34 percent to nearly 42,000.leadership and peer organizing. 9
  12. 12. The Impact Community Vision and Voice Resident Voice 2008 2007 Residents Participating in Community Listening 1,574 1,582 (Surveys and Focus Groups) Number of Village Working Teams 33 32 Residents Involved in Working Teams Design and Planning 118 115 Implementation 451 402 Participation in Village Center Meetings and Forums 750 550 Youth Development 2008 2007 Laura Benavidez Youth Leadership Team 6 6 International Outreach Team Member Youth Interns 30 12 Neighborhood Unity Foundation Board Member Diamond Community Investor Youth Movement Working Teams 50 N/A Spirit of the Diamond Grants Committee Youth Community Service Volunteers 57 32 Community Listening Survey Team Youth Science Commissioners 15 37 “I want to rebuild that feeling of community Youth Classes, Activities, and Event Attendance 3,848 4,200 that had disappeared. I see a glimmer. There is a feeling that everybody knows everybody by Village Activities and Events 2008 2007 name. Change is happening.” Participation in Village Events 41,978 31,300 At 15, Laura Benavidez was one of 24 students involved in The Community Faces Project. In the process of producing videos to honor community leaders, she realized that youth were under- represented in The Village work. So she joined the Youth Working Team. “There is a lot of talk about what adults and little kids want and need, but teens often don’t get a say. They have a reputation for causing trouble. I want to turn that stereotype around and build a new view of youth. We should all be heard.” Now 23, she is an adult member of the International Outreach Team, representing the Latino community. Along the way, she also participated on the Market Creek Plaza Art & Design Team, the Euclid-Market Action Team, and the Amphitheater Team. “A lot of people mentored me. I am now confident that my opinion does matter. I have a voice and I use it.”10
  13. 13. T he Village Teams Council was formed as a way of coordinating work across teams. Made up of representatives of the various working teams,Community Art Projects & Events 2008 2007Public Art Projects 18 13 the Council became a platformAmphitheater Events 42 27 for communicating,Cultural Events 11 10 decision-making, and initiatingInvolvement in Public Art Projects 2008 2007 new teams. They beganCommunity Artists 133 26 creating networks to helpAdult Participants 196 11Youth Participants 336 383 bridge the community to resources in the broader region.Arts & Culture Community Participation 2008 2007Arts Activities & Workshops 8,070 2,968Cultural Celebrations 19,125 9,375Arts & Culture Venues CapacityMarket Creek Plaza Amphitheater and Stage 600Market Creek Central Plaza 175World Court 400Festival Park 2,000Joe & Vi Jacobs Center — Celebration Hall 1,700Joe & Vi Jacobs Center — Outdoor Stage and Event Area 1,000Joe & Vi Jacobs Center — Rooftop Garden 125Capacity for all Market Creek Plazas and Venues 6,000Permanent Art InstallationsAfrican Batik Tile TapestrySempra Energy Children’s Wall Tile ProjectCommunity Faces Mural Project“Firefly Dreams” Bronze SculptureJoe & Vi Jacobs Center Cultural Banners“Jalisco Scenes” Ceiling DomeLao Tile Tapestry 11
  14. 14. The Village at Market Creek is about smart growth — restoring vitality to older urban neighborhoods with an eye toward transit-centered compact design, mixed land use, environmental sustainability, and community benefits.12
  15. 15. Goal A 45-acre mixed-use, transit-oriented cultural village that fosters environmental sustainability, social equity, and the resident ownership of assets. San Diego’s Smart-Growth physical development Pilot Villageoverview The Village at Market Creek is about changing the landscape of a community. Market Creek’s working teams set a goal of reclaiming 45 contiguous acres of blighted land, developing them into vibrant physical environments, and delivering maximum benefits into the neighborhood. A San Diego “City of Villages” pilot project, The Village at Market Creek is about smart growth — restoring vitality to older urban neighborhoods with an eye toward transit-centered compact design, mixed land uses, environmental sustainability, and community benefits. The Village will put 45 acres back into productive use, replace substandard housing with 800 quality, affordable homes, and restore nearly 3,000 linear feet of wetlands. Over 1.9 million square feet of new construction will bring more than $300 million in contracts to our community, over 60 new businesses, and 800 jobs. Market Creek is challenging community teams to think long term Innovation about every aspect of sustainability. Community discussions Resident-guided development about green buildings, solar energy generation, that maximizes and returns the and water usage — San Diego’s most critical issue benefits of rebuilding to the immediate — led to a goal of becoming a LEED (Leadership community. in Energy and Environmental Design) Gold- Certified Neighborhood. Financial and ownership Challenge structures are also being designed to create Lining up the market, capital, entitlements, financial sustainability for an integrated set land, and expertise on such a major of services, parks, cultural venues, and undertaking in a difficult economic climate. educational programs. Achieving scale for long-term sustainability. 13
  16. 16. Smart-Growth Pilot Village Working Teams The Work Smart-Growth Pilot Village Business and Leasing Team Construction Working Team Community Facilities in the original “Top 10 Most Wanted” Housing Team list of businesses. Heading into 2008, Market Creek Joe & Vi Jacobs Center Design Team Plaza was complete and the Heading into the second half of Joe & Vi Jacobs Center Exterior Landscape Team Joe & Vi Jacobs Center, a project 2008, however, market conditions Office and Industrial Project Planning Team equal to the scope and scale of the brought sharp changes in The Village Village Teams Council Plaza, was under construction. development priorities and timelines. Planning and Community Partners It opened on a temporary permit in April and received its final permit Knowing that the next few years City of San Diego Fourth District Council Office would be extremely challenging for City of San Diego Planning Department in August. Nearly 75 percent of construction contracts were awarded commercial development, the team Coalition of Neighborhood Councils shifted strategies away from Market Diamond Community Investors to minority- and women-owned businesses. and 47th streets, seeing it as too risky Diamond Management, Inc. for commercial tenants without the Encanto Planning Group Housing the Jacobs Center for simultaneous development of the McCormack Baron Salazar Neighborhood Innovation on the northeast and southeast corners. Neighborhood Unity Foundation third floor, the Joe & Vi Jacobs Center They began working on a site The Office of Mayor Jerry Sanders is also home to the newest Village that seemed more feasible — the San Diego Association of Governments (SANDAG) social enterprise, Market Creek northwest corner of Market & Euclid. Southeastern Economic Development Corporation Events & Venues. The second floor is Urban Land Institute earmarked for community partners Residential Development Strategic Investment Partners and organizations. The overall decline in business Equity Investors activity also shifted the focus away Diamond Community Investors Commercial Development from office and industrial space Diamond Management, Inc. Along Market Street, a new 60,000- to housing. High foreclosure rates Jacobs Center for Neighborhood Innovation square-foot office complex and a shifted the housing demand from Neighborhood Unity Foundation 20,000-square-foot industrial ownership to rental. The Housing Program-Related Investments building were planned, teams Team, which had just completed two The Legler Benbough Foundation selected an architect to begin design, years of planning for the first Village The Annie E. Casey Foundation and leasing strategies were ready housing community, had to set aside The F.B. Heron Foundation to implement. At Market and 47th plans for ownership. They moved Jacobs Family Foundation streets — the gateway to The Village quickly into planning development The Rockefeller Foundation — teams worked to recruit a drug of the first rental housing New Markets Tax Credits Partners & Lenders store, the final business targeted components of The Village. Chase Clearinghouse Community Development Financial Institution Pacific Western Bank U.S. Bank Wells Fargo and Company Tax Increment Financing Southeastern Economic Development Corporation Grants California State Water Resources Control Board Evelyn & Walter Haas, Jr. Fund Small Business Development Loans California Southern Small Business Development Corporation14
  17. 17. MILESTONES • The 75,000-square-foot Joe & Vi Jacobs Center was completed, drawing 3,400 guests to its grand opening, cultural celebrations, and blessing ceremonies in May. • The Chollas Creek Enhancement Project, a $2.5-million endeavor, restored a portion of the Encanto Tributary. This project, along with the previous Chollas Creek restoration, placed The Village at the forefront of urban stream recovery work. This work was recognized as “project of the year” by the American Public Works Association and received an Orchid award for sustainable design by the San Diego Architectural Foundation. • Construction of the Joe & Vi Jacobs Center and restoration of the Encanto Tributary brought over $15 million in contracts, with 74 percent going to minority- and women- owned businesses. • The Housing Team produced plans for the first two affordable multi-family housing developments and began the process of assembling financial resources for implementation. • Renovation of the BRYCO Business Park, an old industrial property transformed into a light industrial business park, was completed and the facility was fully leased. • Four additional properties were purchased or placed in escrow, with the assistance of a $1.5-million “linked deposit” from The Annie E. Casey Foundation, which helpsTo be competitive for public Salazar (MBS), an industry leader reduce holding costs on the land until it goesresources like the Affordable Housing in urban development known for into development.Tax Credit and Transit-Oriented creating long-term public-privateDevelopment Funds, the Housing partnerships. • The Urban Land Institute, San Diego/ Tijuana recognized Market Creek Plaza withTeam expanded its strategy from By year-end, an $80-million project, its smart-growth award for social equity.Trolley Residential, a small encompassing the first two Village52-unit pilot project that could • Work on a Community Plan Amendment rental housing communities, was onbe developed locally, to a large- advanced, paving the way for a new mixed- the drawing board to help addressscale housing project of over use zone in The Village. the rising demand for rental housing,200 units. Because this required childcare, and jobs.a national partner, the teamselected McCormack Baron 15
  18. 18. The Impact Smart-Growth Pilot Village Pilot Village - Scale 2008 2007 1997 Total Acres 44.3 44 20 Acres Developed 21.8 10 0 Acres in Development Planning 6.3 11.8 10 Jobs and Homes 2008 2007 1997 Jobs in The Village 559 415 7 New Homes in Development 205 52 0 Joseph Moore Housing Team Member Diamond Community Investor Construction Contracts 2008 2007 1997 Community Investment Fund Investor Total Construction Contracts $38.4 m $36.2 m 0 “We have to stick up for ourselves. Nobody’s HUBE* Contracts $28.5 m $27.0 m 0 * Historically Underutilized Business going to do it for us. We need to become more Enterprises knowledgeable, more active, and more involved. Percentage of HUBE Contractors 74% 76% 10 Since getting involved with this work, I’ve lived another life.” Capital Investment 2008 2007 1997 Joseph has been a strong voice in shaping plans Total Investment $95 m $85 m 0 for The Village. Active on various teams and committees, as well as in the community, Transit Ridership 2008 he became passionate working with the original Annual Increase 4% Housing Team and has never stopped. He was one Increase since 1997 71% of many who spoke to the City Council on behalf of the district’s need for mixed-use zoning. The Housing Team developed a plan for quality, affordable housing to make ownership possible for more community residents. Before it could be implemented, the downturn in the economy and subprime crisis shifted the immediate need for housing from ownership opportunities to rentals. Before After the shift from housing ownership to rentals, Market Creek Plaza Joseph stayed the course. Along with the rest of the 102,000 square feet team, he remains focused on the goal of bringing After quality housing to The Village. Market Creek Plaza “You can’t reach for something if you can’t see it. Amphitheater I’ve opened my eyes and become a community 12,440 square feet innovator.” Festival Park & World Court 37,000 square feet After16
  19. 19. Before K nowing that the next few years will be Joe & Vi Jacobs Center 75,000 square feet extremely challenging Celebration Hall (inside) for commercial development, 12,000 square feet After the team shifted its focus from home ownership to rental housing. To be more competitive for Elementary Institute of Science public resources, we partnered 15,000 square feet with an industry leaderBefore in urban development known for creating long-term public-private partnerships. After Wetland Recovery: Chollas Creek Restoration 1,200 linear feet Chollas Creek Encanto Tributary Restoration 900 linear feet Before After 17
  20. 20. The Village at Market Creek Development Overview Northwest Village Rental Housing Market & 47th Construction: 2011 - 2012 Northeast Corner Construction: 2013 Trolley Residential Construction: 2010 - 2011 Market & 47th Southeast Corner Construction: 2011 - 2012 Gateway Properties Construction: 2014 - 2015 Youth World West Village Construction: 2015 - 2016 Construction: 2017 - 2018 Joe & Vi Jacobs Center Southwest Village Construction: 2017 - 2018 Retail Light Industrial Housing Marketplace Community Resource Park/Open Space Chollas Creek Enhancement Project Complete18
  21. 21. Guymon ApartmentsConstruction: 2012 - 2013 Northwest Village Creek Enhancement Project Construction: 2010 - 2011 Northwest Village — Commercial Construction: 2010 - 2012 Office and Light Industrial Project Elementary Institute of Science Construction: 2011 - 2012 Malcolm X Library BRYCO Business Park Transit Station Tubman-Chavez The Old Globe Multicultural Center Technical Center Chollas Creek Encanto Tributary Enhancement Project Market Creek Plaza Naranja Commercial Construction: 2012 - 2013 19
  22. 22. In the worst year for business since the Great Depression, Market Creek Partners, LLC paid its 10-percent preferred return to community investors.20
  23. 23. Goal Community-owned enterprises that bring essential services, create jobs, expand contracting opportunities, and build community wealth. Community Enterprise and economic opportunity Ownershipoverview The Village at Market Creek is about residents putting their talents to work. As an anchor project for reinvigorating an urban marketplace, Market Creek is designed to give residents a financial stake in their community, build individual and community assets while rebuilding neighborhoods, and keep social responsibility at the forefront of business. Resident teams work to harness local retail dollars, build an emerging market, and develop a network of community-owned enterprises. Collectively called Market Creek Community Ventures, the goal of these double-bottom-line businesses is to unite diverse communities and recapture the value of economic expansion through individual and community ownership. Market Creek Partners, LLC owns two properties: Market Creek Plaza, anchored by a Food 4 Less supermarket and home to 11 other business suites, and an additional parcel planned to accommodate a major drug store. Innovation Jacobs Facilities, LLC owns the Joe & Vi Jacobs Center, Harnessing the markets a 75,000-square-foot community and conference for social change and making center with a 5,000-square-foot commercial kitchen. the tools of ownership and Small businesses add to the social enterprise investment accessible to residents. network, including Writerz Blok, a graffiti art and graphic design business, and Challenge Where the World Meets, a retail outlet Stimulating a culture of risk-taking, for micro-entrepreneurs. encouraging an allegiance to local entrepreneurs, and overcoming negative perceptions of the area. 21
  24. 24. Community Enterprise & Ownership Working Teams The Work Community Enterprise Business and Leasing Team Cultural Kitchen Team Ownership & Investment Business & Employment DCI Business Promotion Team DCI Community Investment Fund Guide Team In the worst year overall for business The broader economic forces DCI Financial Education Team since the Great Depression, made 2008 a tenuous year. With DCI Governance Team Market Creek Partners, LLC paid people losing their homes and Homeowner Readiness Team its 10-percent preferred return to unemployment growing, Market International Outreach Team community investors. Creek’s small businesses struggled Village Teams Council Where the World Meets Vendors The Neighborhood Unity Foundation to weather the storm. Entrepreneurs (NUF), also a community owner hungry to be successful searched Planning and Community Partners ACCION San Diego of Market Creek Partners, put its for innovation. California Southern Small Business profits back into the neighborhood. Work began on two fronts: Development Corporation With a combination of dividends Coalition of Neighborhood Councils • Addressing the variables that CRASH, Inc. (Community Resources and Self Help) and support from the San Diego could be controlled by individual Joe Davis & Associates Neighborhood Funders, NUF made businesses, such as customer Diamond Community Investors 39 grants for a total of $97,162 to a service or the creation of new El Pollo Grill wide variety of projects that help product lines Hawkins Realty people help each other. Home Start • Launching a concerted effort House of Metamorphosis The 415 Diamond Community to encourage residents to make Danielle Jackson, Attorney at Law Investors (DCI), secured through their dollars bounce in their Julia’s STARS the Community Development IPO, neighborhood to save jobs Junior Achievement focused on financial education and Lincoln High School At Magnolias, interior renovations Luce Forward Hamilton & Scripps took a leadership role in the creation warmed and opened up the MAAC Project of the next platform for collective restaurant. Bessie’s Holiday Pies and Magnolias Authentic Southern Dining investment — the Community Manpower the “March to Mardi Gras” food and Investment Fund. Mind Treasures entertainment series helped pull Money Management, Inc. Under the leadership of Reverend crowds. Morse High School Ikenna Kokayi, chairman of the Neighborhood House Association At El Pollo Grill, a first-of-its-kind DCI Advisory Council, 60 investors Neighborhood Unity Foundation Mexican buffet turned evening participated in the planning. A Guide The Old Globe business around, and new product Team was then formed to facilitate Pazzaz, Inc. lines, including hot carrots and San Diego National Bank investment decisions and guidelines frozen burritos, took El Pollo Grill into Springboard for participation. its first four Unified Grocery stores. Union Bank of California By the end of the year, 158 investors United African American Ministerial Action Council While the owner of Curves closed Wells Fargo chose to participate in the new its doors in November, overall Writerz Blok investment fund, pooling $39,411 business at Market Creek Plaza was to save for future ownership Strategic Investment Partners a testament to the community’s The Legler Benbough Foundation opportunities. literal and figurative ownership. The Annie E. Casey Foundation Diamond Community Investors Evelyn & Walter Haas, Jr. Fund The James Irvine Foundation Jacobs Family Foundation Evelyn Lutfy Masserini/French Trust at Wells Fargo Neighborhood Unity Foundation The Rockefeller Foundation San Diego National Bank Wells Fargo22
  25. 25. and Ownership MILESTONES • Market Creek Plaza’s overall economic activity totaled $42 million — a 5 percent increase from the year before. • Sales per square foot at the Plaza totaled $430, outperforming its benchmark for comparable shopping centers by 18 percent. • Market Creek’s anchor tenant, Food 4 Less, logged an increase in sales of 8 percent. • Wells Fargo’s branch at Market Creek Plaza reported that deposits and bank transactions held steady despite the economic downturn. • Business Matters reported a 16 percent By the end of 2008, Market Creek opening of the business, the startup increase in sales, and its manager began Plaza captured $42 million in team was working around the clock readiness planning for the store’s transition to ownership. economic activity, up 5 percent, to manage a high volume of calls, on a site where no economic activity schedule events, cover workloads, • Market Creek’s newest social enterprise — existed just 10 years earlier. In a year run double shifts, and adapt to last- Market Creek Events & Venues (MCEV) when maintaining jobs was the minute menu changes. Rethinking — opened for business in June. From July priority, final job counts were the business plan became a top through December, MCEV hosted over up 6.7 percent. priority. 9,000 people at 46 events, booking nearly $300,000 in revenues. Social Enterprise Without time to hire and train, Following the grand opening of the contract costs escalated. Room • Market Creek Events & Venues trained discounts that were set to 31 people as on-call event staff, 94 percent Joe & Vi Jacobs Center in May, teams accommodate the local market of them from the community. launched Market Creek’s largest social enterprise — Market Creek turned out to be too deep to break • The number of jobs in The Village increased Events & Venues (MCEV) — to even. Capital was needed to buy from 415 to 559 — an increase of 35 percent. operate the first-floor meeting equipment and initiate marketing, The employment totals include a 6.7 percent and conference destination, yet it was difficult to raise. increase at Market Creek Plaza, from 193 along with the Market Creek Plaza to 206. At the same time, the economic Amphitheater, World Court, downturn reduced conference • The Property Management team assumed and Festival Park. budgets and activity across operations of the newly constructed The new business was formed the nation. Joe & Vi Jacobs Center, including building and public safety, maintenance, landscaping, to help recapture an estimated Despite the overwhelming challenge and janitorial services. $1.5 million in economic leakage of 2008, MCEV earned a foothold associated with meetings, in the regional market. As local • Writerz Blok’s business operations conferences, catering, banquet companies downsized, many moved expanded, generating 31 contracts valued services, and other hospitality- their events to closer venues, at over $22,000 in gross sales. related industries in San Diego. providing an increase in event • Diamond Community Investors created As a training business, Market Creek activity in the 200- to 300-person a new collective savings account called the Events & Venues planned for a slow range. By December, MCEV had Community Investment Fund, in which ramp-up with a few strategic “test” hosted over 9,000 people at 158 people invested $39,411 in its pilot year. events. Ten days following the May 46 events, booking nearly $300,000 in revenues. 23
  26. 26. The Impact Community Enterprise Civic Participation 2008 Market Creek Partners Community Investors Diamond Community Investors 415 Total Investment $ 500,000 Community Investment Fund Investors 158 Total Investment $ 39,411 Attendance in Financial Education 581 Ownership of Return on Ownership Values of Investment Market Creek Partners, LLC Share Shares Marquis Snowden (FY 2008) Diamond Community Investor Diamond Community Investors 20% $ 500,000 10% Community Investment Fund Investor Mind Treasures Participant Neighborhood Unity Foundation 20% $ 500,000 10% Jacobs Center for Neighborhood “Investing in Market Creek Plaza and learning Innovation 56% $ 1,400,000 3% about money management was a great new Diamond Management, Inc. 4% $ 100,000 3% experience. I learned a lot, like how to keep track of my money. That is really cool.” Market Creek Partners, LLC FY 2008 FY 2007 As one of the youngest of 415 DCI investors, Total Revenues $ 1,703,821 $ 1,733,913 11-year-old Marquis Snowden is also a Operating Expenses & Loan Interest $ (959,675) $ (988,985) participant in the Community Investment Fund Income after Operating Expenses and a graduate of Mind Treasures, a money- & Loan Interest $ 744,146 $ 744,928 management program for kids. He is also Depreciation & Lease Amortization $ (633,910) $ (633,692) a budding social entrepreneur. Net Income $ 110,236 $ 111,236 He and five fourth-grade friends helped their Original school raise funds to purchase a climbing wall Market Creek Plaza 2008 2007 Projections for the playground. They set up a lemonade stand Annual Economic Activity $ 42 m $ 40.2 m $ 31 m at school, charged 50 cents a cup, and donated Number of Employers 12* 12 12 all proceeds to the climbing wall. Number of Jobs 206 193 166 The principal didn’t agree with the idea at first, Employed from Neighborhood 69% 72% 65% but the kids were persistent, had a plan in place, Minority Employees 86% 88% 65% and did it all on their own. He saw it as a great Construction to Minority- example of school spirit and follow-through that and Women-Owned Businesses 79% 79% 65% gave the students a real sense of ownership. * Curves, which closed in November, is counted in this annual total. In the final few weeks of school, the group raised $150, which was added to other raised funds. The wall was installed the day before Marquis and his friends returned to start fifth grade. “It was neat having kids come up and thank us for what we did.”24
  27. 27. and Ownership I n the worst year for business since the Great Depression, Market Creek Partners, LLC paid a 10-percent preferred return to its 415 community investors. In addition, 158 investors Joe & Vi Jacobs Center 2008 2007 chose to develop a new fund, Annual Economic Activity $ 12.3 m N/A jointly investing their returns Number of Employers 3 N/A Number of Jobs 124 N/A for future ownership opportunities. Employed from Neighborhood 50% N/A Minority Employees 81% N/A Construction to Minority- and Women-Owned Businesses 71% 74% BRYCO Business Park 2008 2007 Annual Economic Activity $ 860,000 N/A Number of Employers 12 9 Number of Jobs 121 71 Employed from Neighborhood 32% N/A Minority Employees 83% N/A Construction to Minority- and Women-Owned Businesses 68% 68% Other Social Enterprises 2008 2007 Market Creek Events & Venues Number of Guests 9,300 N/A Events Hosted 46 N/A Revenues $298,000 N/A Where the World Meets Store Vendors 50 24 International Marketplace Vendors 46 N/A Total Vendor Sales $ 98,813 $ 61,015 Writerz Blok Entrepreneurs/Participants 18 18 Number of Contracts 31 55 Total Value of Contracts $ 22,085 $ 15,000 25
  28. 28. Networks formed to initiate hands-on activities that encourage healthy living at home, promote physical activities, and unite families to address youth violence.26
  29. 29. Goal Strong networks that promote learning, support children in achieving their full potential, and encourage healthy and safe lifestyles. Family and Community social infrastructure Networksoverview The Village at Market Creek is about connecting and coordinating action. Connecting residents of the community to each other, to businesses and resources, and to the vision of The Village is central to the resident ownership of neighborhood change. Identifying and connecting existing organizations, opening access to systems and services, and listening to find out what is needed create the foundation for sustainable interconnected networks that serve community residents and strengthen the fabric of The Village. Beginning in 1998, these efforts took the form of “Learning Partnerships” that brought diverse non-profits and programs together to share learning and resources, and find ways to work together. Partnerships on employment, youth, and health resulted in more effective coordination of services among participating agencies. These partnerships evolved into collaborations focused on Innovation long-term strategies to improve the quality of life for Collaborative teams of diverse children and families. partners — private citizens, non-profits, program participants, funders, As these collaborations formed and identified governmental agencies, and institutions — their work, they expanded members from inside that strengthen problem solving and promote and outside the community into networks shared resources. with the range of expertise and resources required to address the complex issues of poor school performance, health Challenge disparities, and youth and gang violence. Developing and sustaining networks built upon mutual trust and the vision and patience to work toward long-term goals while balancing collective and individual interests, addressing immediate needs, and taking actions that achieve short-term results. 27
  30. 30. Family & Community Networks Working Teams Childcare Providers Support Group CNC Walk to the Moon Team The Work Family and Community Networks Coming Home to Stay Planning Team Community Listening Team In 2008, Village Teams began This network of parents, foster DMI Safety Ambassadors Family Enhancement Team forming networks to connect parents, childcare providers, and International Outreach Team residents and local organizations kinship groups linked with family NUF Grants Team to regional resources. service organizations to serve NUF Power in Caring Team Parents Support Group over 2,000 children and families. Project Safe Way Team Education & Planning was initiated with the Village Schools Collaborative Family Support Union of Pan Asian Communities (UPAC), Village Teams Council The Village Schools Collaborative, San Diego Youth Services (SDYS), Planning & Community Partners Alternative Healing Network including principals and counselors SAY San Diego, and Home Start to Aquatic Adventures from eight Village schools and develop a joint strategy for providing Children Having Children needed family resources in the City of San Diego Fourth District Council Office university educators, initiated Coalition of Neighborhood Councils a three-part strategy: community. Diamond Management, Inc. Elementary Institute of Science • Commissioning a briefing paper Family Health Centers of San Diego on the state of education in the Health & Safety Groundwork San Diego - Chollas Creek Diamond to identify barriers In Village planning, health and safety Home Start to quality education with were identified as critical issues. Inner City Youth Jackie Robinson Family YMCA recommendations Networks formed to initiate hands- Outdoor Outreach on activities that encourage Overcoming Gangs • Convening San Diego universities to plan for strengthening teacher healthy living at home, promote Pazzaz, Inc. San Diego Commission on Gang Prevention preparation physical activities that help people and Intervention get or stay in shape, and unite San Diego Grantmakers Prisoner Reentry Funders • Designing “Opening Doors” — Working Group families to address youth violence. San Diego Police Department a joint effort to encourage a San Diego Unified School District culture of learning and directly Throughout 2008, the Family San Diego Unified School District Police Department support the most disengaged Enhancement Center organized San Diego Youth Services workshops to address family SAY San Diego students, their teachers, and UCSD CREATE families health and safety concerns in the Union of Pan Asian Communities community. The International United African American Ministerial Action Council The Childcare Enhancement Center, formed eight years ago by resident Outreach Team linked with The Village Schools (see box) family childcare providers to ensure The California Endowment on a “Healthy Strategic Investment Partners Alliance Healthcare Foundation high quality, affordable childcare, Connections” strategy to increase The Legler Benbough Foundation residents’ access to health services. The California Endowment expanded its focus and became the Family Enhancement Center. Diamond Management, Inc., the California Southern Small Business Development Corporation The Annie E. Casey Foundation Cox Communications Alice T. and Doug B. Diamond The Village Schools Collaborative Girard Foundation Norm and Valerie Hapke Chollas-Mead Elementary Jacobs Family Foundation Meg Jacobs Gompers Charter Middle School Vi Jacobs Kaiser Permanente Horton Elementary Edmond Kassouf Neighborhood Unity Foundation Johnson Elementary The Parker Foundation Keiller Leadership Academy Price Charities San Diego County Bar Association Lincoln High School Ninth Grade San Diego District Attorney Office Academy San Diego Foundation for Change San Diego National Bank Porter Elementary The Patricia and Christopher Weil Family Foundation Wells Fargo Valencia Park Elementary28

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