HomeMy WebLinkAboutEconomic Impact Study•
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4649 PONCE GE d—e=.C3ni BLVD..
SUETY 4.04
CORAL. L2ABL5s. FL . 3 1 46 2 7 1 w
TEL: 305-562-72 72
FAX; . 05-66Z-426E
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ROADS END
VILLAGE
ECONOMIC IMPACT STUD Y
Submitted to:
City of Miami
Prepared for:
ROADS END VILLAGE, LLLP.
Prepared by:
ALBERNI, CABALLERO & ALBERNI, P.A.
4649 Ponce De Leon Blvd.
Suite 404
Coral Gables, FL 33146-2118
305.662.7272
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Page 2
Project Overview
ROADS END VILLAGE (the "Project") will be an intimate
neighborhood of twenty-six (26) charming single family Urban Villas and one of
the areas first projects to address the City of Miami's vision for a new urban
streetscape. Located at 928 S.W. 10th Street, the Project is centrally located just
minutes from Downtown Miami, Brickell, Key Biscayne and Coral Gables. The
project's unique Caribbean design is brought to life by one of Miami's most
innovative architectural firms, COLLADO & MOLINA. Capturing the distinct
Caribbean flavor through its use of rich colors, tin roofs, varied verandas and
shutters, the project's designers have taken a novel "urban" approach to a
traditional theme. The villas three-story floor plans range in size from 1,500 to
2,500 square feet and prices begin at over 400 thousand dollars.
Introduction
This document is an economic and tax benefits analysis of the
development and operation of a twenty-six (26) single family Urban Villa
community. This analysis covers the entire Project and estimates the economic
and tax benefits for both its developmental and operational stages. The Project
will result in important economic benefits to the City of Miami, including but
not limited to, new employment and increased revenue to the public sector.
Employment includes direct employment attributable to the Project's
construction for approximately seventy (70) employees and an additional two
(2) employees once the Project is completed to manage the maintenance and
operations of the community.
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Wages
New employment wages were computed from budgeted data directly
related to the developmental and operational phases of the Project. Total direct
and indirect impacts expected from wages associated with the new development
are approximately:
Non -Recurring: $10,971,230
Annual: $ 93,960
Tax Revenue
Public Sector revenues associated with the Project include taxes and other
ancillary revenue produced directly by the development. Annual tax revenue
expected to be produced is approximately $140,000.
Total Economic Impact (Output)
This estimate analysis the economic impact of developmental costs and
continuing operational expenses. Total economic impact anticipated to be
generated as a result of this Project's development is approximately:
Non -Recurring: $11,651,040
Annual: $ 246,551
Summary
The following summarizes the economic impact of the ROADS END VILLAGE
Project:
Economic Impact (Output)
Wages
Taxes
Non -Recurring
$11,651,040
10,971,230
Annual
246,551
93,960
139.526
$22,622,270 $ 480,037
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Page 4
Economic Impact of Construction
The site preparation and construction costs, including soft costs are
estimated to be $6,200,000. This construction activity is anticipated to create
approximately seventy (70) new full time equivalent jobs and employ up to a
maximum of 98 workers during peak periods. These employees will earn
approximately $5,800,000 dollars in direct wages.
Non -recurring
(Development) OUTPUT WAGES TAXES EMPLOYMENT
Direct $ 6,200,000 5,838,245 70
Indirect 4,451,040 5,132,985
$ 11,651,040 10,971,230 70
Annual
Direct $ 131,200 50,000 139,526 2
Indirect 115,351 43,960
$ 246,551 93,960 139,526 2
Impact on Local Tax Revenues
An important benefit attributable to the development of the Project is
taxes. Several type of tax revenue will be generated from this Project, including
ad valorem taxes. The projected annual real property taxes are approximately
$140,000. Total ad valorem taxes assessed by Miami -Dade County are allocated
based on mileage rates to certain governmental entities, including but not
limited to City operating, School operating, and County operating taxes.
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Page S
Impact Fees
A major factor in determining a Project's economic impact on a region is
the amount of impact and development fees required. For the purpose of this
analysis, these fees are made a part of the total development costs (Output).
Impact fees are approximately $235,000 and other fees total approximately
$145,000.
Summary
Direct
-Developmental:
-Operational:
Total Direct:
Indirect
-Developmental:
-Operational:
Total Indirect:
Output Wages Employ. Taxes
6,200,000 5,838,245 70
131,200 50,000 2 139,526
6,331,200 5,888,245 72 139,526
$ 5,451,040 5,132,985
115,351 43,960
$ 5,566,391 5,176,945
TOTAL BENEFITS: $
Total
Developmental:
Total
Operational:
11,897,591
$ 11,651,040
246.551
11,065,190 72 139,526
10,971,230 70
93,960 2 139,526
TOTAL
BENEFITS: $ 11,897,591 11,065,190 72 139,526