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SIOUX FALLS SPORTS AND ENTERTAINMENT DISTRICT AREA DEVELOPMENT PLAN

A plan for the enhancement and development of northwest Sioux Falls.

C i t y o f S i o u x F a l l s Updated March 2014

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Sections

Introduction and Purpose Background Boundary Description History Residential Employment Property Parcel Data Significant Features Zoning and Land Uses Infrastructure Neighborhood Issues Stakeholder Issues Objectives Tasks Implementation Conclusion

Maps & Exhibits

A. Boundary Map/Major Attractions Pg. 3 B. Public Facilities Pg. 4 C. Demographic Charts Pg. 5-6 D. Shape SF 2035 Land Use Plan Pg. 7 E. Current Zoning Pg. 8 F. Anticipated Facility/Road Improvements Pg. 9 G. Public Utilities Pg. 10 H. Undeveloped Parcels/Floodplain Pg. 12 I. Current Lodging Choices Pg. 18 J. Future Development Areas Pg. 19

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Purpose There are numerous neighborhood/subarea plans developed throughout Sioux Falls in order to consider existing conditions and propose what the future should present for property owners, residents, interested citizens, and the community of Sioux Falls. These plans start the discussions between all stakeholders regarding how to achieve the end results. These plans are meant to be fluid and flexible in order to meet the changing population and times that we live in. However, the ultimate purpose is for all who are involved to continue communication, discussion, and debate regarding issues and opportunities for the Sioux Falls Sports and Entertainment District.

Background The Sports and Entertainment District is in the northwest/north central area of Sioux Falls and has had a long and varied history. For this study it’s named the Sports and Entertainment District because it represents the new vitality and potential of the area generated by significant public and private investment – including the Denny Sanford Premier Center, a 12,000 seat multipurpose events center scheduled to open in 2014. This facility will be located on the newly named Sanford Place, which also includes the Sioux Falls Convention Center and Sioux Falls Arena. Also onsite and adjacent to these public sports and entertainment facilities are the Sioux Falls Stadium (baseball) and Howard Wood Field (football, track & field).

This area is also being transformed by the currently developing Sanford Sports Complex, located in the center of the district, just east of Interstate 29 and west of the Sioux Falls Regional Airport. This 162 acre complex will be the home for Sioux Falls Junior Football League, Sioux Falls Tennis, Sioux Falls ICE, Dakota Alliance Soccer Club and the Sanford Fieldhouse.

This area of Sioux Falls has hosted residential, employment, educational, entertainment, and transportation opportunities for the entire region. The West Sioux neighborhood, Airport Addition industrial park, Southeast Technical Institute, University Center, the highway and interstate system, and the Sioux Falls Regional Airport all continue to be important features in the Sioux Falls community.

Boundary Description The boundary area for this enhancement district is east of I-29 and west to the railroad tracks adjacent to Minnesota Avenue, south of I-90 to Sixth Street.

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History The Sioux Falls Regional Airport (FSD) is also known as Joe Foss Field, honoring Brig. Gen. Joseph J. Foss. Established in 1937 as a civil airport, it was leased from the City of Sioux Falls by the U.S. government in 1942, establishing the Sioux Falls Army base. After WWII, the airport returned to the City with a south portion leased to the newly formed SDANG. South Dakota’s 114th Fighter Group, nicknamed “Lobos,” is today stationed here. The Air National Guard base portion has all the standard facilities of any small USAF installation except family housing. The 114th’s F-16C and F-16 “Fighting Falcon” F-16D aircraft are a frequent sight over the Sioux Falls area. Interstates I-29 and I-90 connect within the boundaries of this area. This is a rare exception for any community to have direct access to two interstate highways. Russell Street was a state highway (38a) prior to being accessed as a regional arterial for the city.

The Sioux Falls Arena is a 7,500-seat multipurpose event center. The facility was originally built in 1961 and has served the region’s needs extremely well. The 125,000 square foot Sioux Falls Convention Center, which opened in 1996, has become the region’s premier facility for conventions, trade shows and other events. This entertainment area also includes Howard Wood Field, Sioux Falls Stadium, Terrace Park, Japanese Gardens, Covell Lake, Terrace Park Family Aquatics Center, Miracle League Ball Fields, McCart Fields, Burnside Park, Elmwood Golf Course, Elmwood Park, Sanford Sports Center, and Veterans’ Park.

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Existing public facilities.

In January 2001, the City completed a report for the State Transportation Commission and the Department of Transportation regarding the future infrastructure needs based upon growth projections of the northwest quadrant of the city.

o Objective—five interstate interchanges. o Growth proposed—

Projections for area west of Interstate 29 and north of 12th Street

1990 2025 Increase

Housing Units (h.u.) 1,573 8,822* 7,249

Trips (h.u. [10 a day]) 15,730 88,220 72,490

Population 4,606 20,468 15,862

*60% single family (5,293) o Outcomes—Maple Street, Marion Road, 12th Street, Madison Street, Benson Road.

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2010

Housing Units (h.u.) 2,591

Trips (h.u. [10 a day]) 25,910

Population 6,836 Residential As stated previously, residential housing began in this area prior to the 20th century and expanded greatly during the time of the Army base and the need for housing for those stationed here. Today there are approximately 1,259 housing units within the area which consists of both single-family and multifamily units. City Planning expectations are for limited additional residential units in this area, based upon available land area and preservation of the existing housing stock. Each area represents a three-mile radius from the noted intersection.

A more detailed demographic breakdown of residential characteristics is available from the United States Census Bureau at: http://2010.census.gov/2010census/popmap/

Figures within Regional Employment Center land areas:

2010 Population 2035 Population 2010 Households 2035 Households Northwest (60th Street North and I-29)

3,468

14,239

1,259

6,352 Southwest (85th Street and I-29)

33,493

51,732

14,811

21,896

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Employees in 2008

Employees in 2035

Northwest (60th Street North and I-29)

19,502

34,384

Southwest (85th Street and I-29)

15,725

30,283

Employment It’s evident that this area has always been a large contributor to the employment ranks for Sioux Falls and the region. With efficient access to the airport, interstate, highways, and rail transportation, businesses have typically been more industrial in nature. The distribution and freight businesses have benefited from this convenience. The area has had time periods of increased demands for goods and services, including a time when it was a prominent dining area [Time Out, Bull and Lion, Galley]. Currently there are approximately 20,000 employees within this area. City Planning expectations are for increased need for industrial land and large parcels for employers.

Projected traffic volumes within the Sports and Entertainment District.

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Shape Sioux Falls Land Use Plan.

Property/Parcel Data Land development throughout the community generally follows the process where utility infrastructure is constructed first, which allows for residential development to be constructed. Based upon the residential population, there’s a need for schools, fire stations, and parks once an area has houses and schools. Then medical facilities open, which are not only convenient but necessary. Finally, when most everything is in place, comes the retail and the service industry to serve those who live and work in the area.

Significant Features The enhancement area and the related boundaries are defined by existing significant features starting with the two interstate highways, airport environs, park areas, entertainment campus, and sports/activities facilities. It’s also valuable to realize the location of the Big Sioux River running along the west boundary, the higher terrain from south to the north plateau (along Kiwanis Avenue—1,428' to 1,520'), the natural tree groves within the conservation areas, and the proximity to higher education campuses.

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Zoning and Land Uses The enhancement area contains the following occupied zoning classifications:

Zoning Developed Acres Zoning Developed Acres RS-2 67 C-2 104 RD 102 C-4 60 RC 680 I-1 459 RA 25

Zoning Undeveloped Acres Zoning Undeveloped Acres RS-2 1 C-2 31 RD 6 C-4 66 RC 121 I-1 472 RA 0 Again, notice the expectation for more commercial and industrial land development, but very limited residential land development.

Current zoning within the district.

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Infrastructure Anticipated public facility and road network improvements.

Streets Russell Street from Westport Avenue to Minnesota Avenue is a major east/west arterial street for the city of Sioux Falls. The City is currently studying the future traffic needs with regard to lane configuration, pedestrian and bicycle accommodations, and safety improvements.

Sewer The area is served by a trunk and lateral sanitary sewer system. The system consists of 8" lines.

Drainage The area is served by a public storm drainage system.

Water The area is served with a trunk and lateral water distribution system. The system consists of both 12" trunk and 6" lateral lines.

Public Facilities The area is served through a fire station, park system, elementary school and a future middle school and elementary school just west of the district boundaries.

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Private Private utilities are in easements but within the public rights-of-way.

Public utilities within the district.

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Neighborhood Feedback On January 31, 2012, staff facilitated a meeting with the West Sioux neighborhood property owners to discuss enhancement and preservation of the area; the issues raised were as follows:

[What happens with the] existing space? Parking? School building, McCart Fields, on street. Storm Sewers—Holly, open space area [for detention] Intersections of Burnside and Madison [Is the City] buying homes? Timeframe: Fall 2014 More public meetings Property rights? Specific development? Dairy Dream. Streets—improvements including drainage Utility billing office/school building Brookings Street traffic Elmwood Park—CIP 2015 Parking ramp? Russell Street—CIP 2013, pedestrian overpass Construction activity—street widening? Property maintenance—litter, cleanup Pedestrians—walking through campus Sound/noise impacts Madison improvements Fireworks—frequency, time of day Special events—KRRO RVs/bus parking Postcards [good]—website? Soil boring results? Communication Ideas—website, newsletter, meetings Sertoma Bingo redevelopment—church, day care

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Future Development areas/floodplain/Airport Overlay.

During January 2012, City staff met with individual stakeholders regarding redevelopment within the enhancement area; the issues raised are as follows:

Stakeholder Feedback Sports and Entertainment District:

• “Set The Tone” [everyone needs an understanding of the City’s plan—put it into an approved

report and identify the area]. • “Make sure the plan is positioned for flexibility”; flexibility to adjust to a changing market.

Existing Conditions:

o Present the traffic volumes—both existing and 2035 (interstate visibility is beneficial);

24/7: traffic and activity—traffic volumes and visibility. o Present property ownership information—parcels––zoning and utilities. o Continue to discuss the need for pedestrian elements—the ability to see a business and then

walk to the business.

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o Walkability—line of sight convenience—1/4-mile walk—or a block and a half walk—the public is able to use www.Walkscore.com.

o May include shuttle services. o On-site parking is an issue that continues to be raised. o Maple Street tends to address destination, not convenience uses; look into access issues. o Access off of Russell Street is also important. It needs to be convenient and supportive of

retail/restaurant/hotel development. o Business park can be good land use area and buffers between commercial and residential;

[business] offices are destinations and appreciate the visibility without all the access issues. o Review existing frontage roads, ease of access, and traffic signals. o Airport Overlay District is adopted and addresses land development under the flight paths.

Proposed Needs:

o Update public infrastructure. o Need a significant number of “roof tops” in order to support nighttime activity—Restaurants

need residents. Office workers add to the activity during the noon time, and people within residential units at night add to evening time.

o Need corporate/office/education for daytime activity. o Need to increase the weekday demand generators. o Activity breeds activity. Therefore any new retail would be a plus, adding to the activity and

freshness of the area. o Public tends to drink/eat at to primary locations 41st Street and downtown—use Trip

Advisor.com. o Need to work to balance the spike and peaks (from the valleys); service industry works to be all

to all—adding large rooms or theaters for Continuing Education Unit programs or water parks for families—these are the improvements that assist your business. However, be aware of the amenity creep within the industry (docking stations, pillow tops, sheets, room décor).

o Needs more of a “driver.” Within the area what are the big drivers: Events Center, Sanford Sports Complex, Airport; then Terrace Park, education campus, I-90/ I-29.

o Local lending practices have adjusted to failures and so has the market. o Look into adding incentives—time frames need to be extended for when they are available and

to what type of development. o Need lease/rent controls over Events enter; taking profit; what’s the incentive to be better. o Lodging—control on conference rooms and banquet facilities whereas renting these areas and

profit stays in-house. o Any Russell Street development may need incentives unless right next to Events Center or I-29.

Other areas might need incentives as a kick-start. o Any hotel incentives should be fair to all, including existing facilities, expansions, and new

hotels. Incentivize for a specific time period vs. indefinitely. o TIF needed, properties are only 30–40 years old and have used up only half of their economic

life—what’s the incentive to improve a site with a half-life left? $5,000 a job?

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o Review and compare Sioux City’s program—13 benefits to housing development within Sioux City.

Opportunities:

o The best candidates for a hotel location are in close proximity to the Events Center site, near Russell Street and I-29, and at I-29/Benson Road interchange. A golf course location was supported by those who knew it was an option. Interstate traffic will be a key driver. Favorable sites are those that are easily developable and not requiring demolition or considerable site preparation due to previous uses.

o County work release/Elks—remove and redevelop. o Army/Navy building—McKinney Act—remove and redevelop. o Happy Chef/Bull and Lion—remove and redevelop. o Make Elmwood Golf Course an attraction—redo clubhouse, market land.

Market and accentuate the Events Center, Sanford Sports, regional Airport.

o Need to market, expand, and develop the local/specialty attractions. o Brands—retail brands: Bass, Dicks, Cabelas. o Boutiques within retail strips—need banks within area for travelers vs. ATM. o Additional tournament dates—not during the summer, but off-peak. Hotels offer play rates and

once occupancy is reached other travelers spill over to second tier of hotels, therefore raising everyone’s occupancy.

- If there are “four” tournaments—equates to 8 nights out of 365. Need more activities. o More rooftops—large commercial tracts serve 6,000 houses. o Amenities like Rapid City’s commons—the ice rink requires higher rates, won’t sustain

businesses. o Find opportunities to include Terrace Park in development plan and connect to onsite Events

Center facilities. o Fayetteville, AK—did CEUs with the U of Arkansas. Can we advance corporate spinoff from

University Center and SETI? o Multiple small-scale office parks in the range of 1,000 to 1,500 people per office will add activity

and need services. Large corporations have wellness, day care, break rooms, and therefore employees don’t go off campus for services.

o Correlation between office and residence—where are the employees coming from, where are the CEOs coming from?

o Groupings of hotels serve multiple users, interests, and needs. o Groupings of restaurant parks—lunch and dinner—add to the convenience and synergy. o Business travelers want additional activities that “sports bars” offer. o Dining and restaurants—market and take advantage to the events, customer “drivers,” and

workers within the area.

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o Noon drivers have a limited range for services—Subway at Maple Street, lunch-only crowd. o With large employers—what do you do the rest of the week, no weekend traffic. o Some can make it with lunch, but need dinner traffic in P.M.—where do people “reside”? o When a hotel has limited service—serving breakfast, then lunch and dinner goes elsewhere. o Develop maps marketing destinations close to home—short commutes. o Can’t make up loss with holiday buffet banquets—advertising, pay extra for staff, therefore the

event needs a higher rate. o Are we bringing in business, but not new business? o Group increases—forecast and book out five years—industries that tend to have business travel

banking, health care—as well as new corporate software rollouts. o Association groups—they are paying not corporations—enrollment numbers for associations,

highlight attractions—Agri Business used trolley. o Meeting room or room side—business—Rapid City bids as a city. o Types of hotel services—limited service is expectation for this area. o Additional 80–100 rooms up north—140–180 (five-story) on Sioux Falls Plaza campus. o What’s trending around other centers? Lincoln, Fargo, Sioux City, Omaha. o Waterparks—Stoneybrook (S.C), Canad Inns (Grand Forks), Sky Harbor (Phoenix). o Should look to go “national.” It would be good to pursue out-of-town investment.

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Stakeholder Objectives Below is a listing of those stated objectives as identified by the various stakeholders:

• Outreach A. Develop a consensus regarding the overall future vision of this area. B. Achievable objectives should be set forth regarding public and private infrastructure as well

as incentives for development or redevelopment within this area. C. Develop a report and plan to facilitate the vision and enhancement of this area of Sioux

Falls. D. Communication with all stakeholders shall continue through various means including

meetings, emails, direct mailings, and news briefings. • Infrastructure

A. Traffic Controls 1. Intersections of Burnside and Madison 2. Brookings Street traffic 3. Madison improvements

B. On-site parking is an issue that continues to be raised 1. Parking locations: school building, McCart Fields, on street 2. Consider a parking ramp? 3. RVs/bus parking

C. Drainage 1. Holly, open space area [for detention]

D. Impacts to Property 1. Present property ownership information—parcels—existing data—zoning and

utilities 2. Present the traffic volumes—both existing and 2035 (interstate visibility counts) 3. Property maintenance—litter, cleanup 4. Fireworks—frequency, time of day 5. Special events—KRRO

• Incentives A. Look into adding incentives—time frames need to be extended for when they are available

and to what type of development. 1. Tax Increment Financing

o TIF needed, properties are only 30–40 years old and have used up only half of their economic life—what’s the incentive to improve?

2. Business Improvement District o $5,000 a job?

3. Can we advance corporate spinoff from University Center and SETI?

4. Make Elmwood Golf Course an attraction 5. Need lease/rent controls over Events Center; taking profit; what’s the incentive to

be better?

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Implementation Assessment of Strategic Opportunities

Goal: Identify sites that have development potential, identify limitations, and coordinate efforts to ensure redevelopment potential.

Much of the Sports and Entertainment District consists of open greenfield areas that are ready for development, while other areas, having already been developed, may need additional assistance in the redevelopment process. The City of Sioux Falls can facilitate discussions between private property owners to help identify and assess a specific property’s suitability for development or redevelopment.

Areas along West Russell Street are likely to experience additional hospitality and service-related needs, and assisting with the facilitation of project possibilities along an already developed corridor will be essential to ensuring high-quality development.

This process will include assessing the current zoning districts that are in place to determine if existing zoning is appropriate for development, neighborhood protection, and identify the process to make any necessary changes.

Current lodging facilities within the district.

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Potential development areas.

Goal: Utilize, enhance, and encourage traffic generators in the area to ensure activity and demand for services exist in nonpeak portions of the calendar.

In addition to the activity, recreation, and outdoor facilities that have been established in the area, development of office, residential, and retail uses will be necessary to ensure that demand for services in the area is maintained during weekdays and winter months. Facilitation and proposals of development opportunities for multiple-use developments will be necessary, and the growth of residential properties will be imperative in this area.

Generation of single-theme signage or unique identifying packages for major facilities in the area can be one tool used for directing traffic to the Events Center Complex, Veterans’ Memorial and Terrace Parks, Elmwood Golf Course, and the Sanford Sports Complex

Development Process

Goal: Ensure the City of Sioux Falls maintains an effective and reasonable development process.

One of the strategic assets the City of Sioux Falls can utilize is the friendly and hospitable approach to development proposals in the Sports and Entertainment District, and throughout the city, that Sioux Falls has been known for. Sections of the Sports and Entertainment District that have yet to realize full development potential may need assistance with the development process. To that end, the City has

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begun implementing a one-stop shop approach to development, where a point of contact (see below) within the city can enable the conversations necessary to assist with the development process.

Public Involvement

Goal: Involve the public to participate in project development and discussion to ensure the surrounding communities help shape the environment in which they live.

As in the past, the City holds neighborhood meetings to involve the public in major infrastructure planning issues, event planning, and other outreach to address and mitigate potential impacts from changes in the surrounding environment. As the Sports and Entertainment District continues to develop and transition, there will be additional opportunity for public involvement.

Proposals for private development are strongly advised to hold discussions with adjacent neighborhoods prior to beginning the formal application process for public hearings on a proposed project. Those neighborhoods have key roles to play in the continued development of the area, and through neighborhood meetings, public involvement at Planning Commission and City Council hearings, proposed projects can be an asset to the neighborhood and the Sports and Entertainment District in general.

Partnerships

Goal: Expand on new and existing relationships to foster unique partnerships in order to enable development and redevelopment of sites in the corridor.

The City of Sioux Falls works strongly with organizations such as the Sioux Falls Convention & Visitors Bureau, the Sioux Falls Area Chamber of Commerce, and the Sioux Falls Development Foundation to provide assistance with development processes, marketing the community, resource provision, and communication of major projects and events.

The City should assess publicly owned properties in the area to determine the need for continued public ownership, redevelopment potential, and begin the process of joint collaborations with private, semi- private, and other public entities for assessment of these sites.

By development of public-private partnerships, the City is enabled to reach planned-for goals, and fosters a genuine collaborative spirit in the community at large.

Economic Development Programs

Goal: Develop and provide public resources necessary to ensure high-quality and best use land development in the area.

Tax Increment Financing (TIF) is available for possible utilization for projects that have both extraordinary site conditions or infrastructure needs and/or those projects that provide a large-scale community-wide benefit. TIF is assessed on a case-by-case basis by the taxing authorities impacted by a proposal.

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Assessment of current property tax incentive programs should be undertaken to determine if expansion of those programs is appropriate for the Sports and Entertainment District.

Infrastructure planning and coordination are critical pieces of ensuring traffic and demand for services can be met in this area. Roadway, sewer, and water capacities should continue to be evaluated and planned for if expansion is warranted.

Conclusion The Sioux Falls Sports and Entertainment District represents an opportunity for the community to highlight its sports and entertainment activities. As activity and interest in this quadrant of the city continues to increase, numerous challenges exist to provide the services and opportunities needed to take full advantage of the developing nexus in this area.

Through partnerships with community and neighborhood leaders, implementation of the tasks, objectives, and goals outlined in this plan will benefit not only the Sports and Entertainment District but the community and region as a whole.

For further information: Economic Development Office 100 S. Dakota Avenue P.O. Box 7402 Sioux Falls, SD 57117-7402 605-367-8180

Planning Office 224 West Ninth Street P.O. Box 7402 Sioux Falls, SD 57117-7402 605-367-8888