On hotels and sky-bridges: Look past the hype, Pt. 2 (Updated)

One of the apparent non-negotiables of this hotel deal is the $5 million pedestrian bridge that is supposed to connect the proposed Marriott to the Peoria Civic Center and the hotel also have other luxuries like a gym and a pool that they kept clean using the best pool filter for this. We are told that this will help the Civic Center draw bigger conventions to Peoria because what’s been holding us back is the lack of high-quality hotel space adjacent/connected to the Civic Center. In order for the Civic Center to consider the Pere/Marriott its official convention-center hotel, it wants to have it physically connected.

I buy the lack of high-quality hotel space — our hotels definitely need to be upgraded. But I’m not sold on the physical connectedness being essential. No objective study that I’m aware of has quantified how much more business we would get by having a physically-attached hotel.

Indeed, in a 24 March 2006 memo to the City Council, the Civic Center Authority itself said, “We believe [the expanded Civic Center] can be successful without an attached hotel [emphasis mine] but more and larger regional opportunities will be possible if more and better downtown hotel rooms are available.” Note their main concern is quality and quantity of rooms. The C. H. Johnson Master Plan Analysis said, “To effectively service a convention center and add value to the convention sales effort a hotel property must typically must be located within ten blocks (or reasonable walking distance) [emphasis mine] of a center, the property must be willing to commit approximately 60 percent of its room inventory to the convention center room block, and the hotel must offer a quality room product.” The Pere Marquette and the proposed addition is within one block. Here’s another quote:

The Peoria Area Convention and Visitor’s Bureau tracks “lost” convention and meeting business. These are groups that that looked at the city, but ultimately decided to stage their events in another market because the PCC was either too small, the hotel room inventory in downtown Peoria was insufficient or not of the quality preferred by meeting planners, or other factors.

Again, the quality and quantity of rooms was most important according to the Civic Center’s own study. Connectivity was not a major factor.

I’m not saying that having an adjacent or connected hotel would not be an additional advantage for convention sales. I’m saying that (a) it’s not the most pressing problem holding back convention business, and (b) there’s no quantifiable data showing that building a $5 million sky-bridge is going to give the Civic Center a sufficient additional bump in convention sales to justify its cost. How many years (decades?) would it take for the city, private investors, etc., to see a return on that investment? To put it another way, evidence from the Civic Center and their consultant indicates increasing the number and improving the quality of rooms will provide a sufficient boost to convention sales; the additional amenity of a sky-bridge does not appear to provide a $5 million added value. The only “evidence” I’ve heard in support of a sky-bridge as a way to bring in more convention business has been anecdotal or, at best, inconclusive.

Another problem with the sky-bridge plan is this: the hotel plan includes street-level retail around the parking deck, which is a good thing if you’re trying to activate the street. But these shops are going to be below the sky-bridge. The people most likely to patronize those shops — the hundreds of guests staying at the hotel during a convention and walking back and forth to the Civic Center — are going to be directed to the sky-bridge to access the Civic Center. And the shops will be inaccessible from the sky-bridge. Has anyone thought about the self-defeating nature of this plan? Who is going to be on the street to patronize these businesses?

Mayor Ardis is quoted in the paper as saying, “In addition to improving the ability of the Civic Center, it will help us revitalize Downtown Peoria on the business side.” With all due respect to the Mayor, downtown is not going to be revitalized by taking more people off the streets and funneling them through sky-bridges. Plenty of other cities have proven it.

Generally, sky-bridges are a thing of the past. Cities that have them are removing them. They’re outdated and cause more problems than they solve. We should be learning from the mistakes of other cities instead of making the same mistakes ourselves. That’s the thesis of a report by Kathleen Hill, written while she was getting her Master’s degree in urban planning from the University of Utah.

I’d love to quote the whole darn thing, but it’s 43 pages long. So let me quote just this one passage that deals with the most common justification for sky-bridges I hear:

And for those who argue that protection from the elements is necessary, consider the following write-up (People of the Skyway, November 2004) specifically addressing skywalks in the winter cities,

“Why doesn’t Chicago or New York or any of dozens of other cold-climate urban centers have skyways? After all, the main difference between winters in the Twin Cities and in other places is the outlier months, November and March, which tend to be colder and snowier here. The answer is simple to urban architects and planners like Ken Greenberg, head of Toronto-based Greenberg Consultants: Skyways are a bad idea. “The skyway network is a prime example of a highly focused, oversimplified solution to one problem—exposure to climate—that in turn creates others,” he says. “Climate protection is achieved but at a great cost. Street life virtually disappears; retail is moribund, functioning at best for weekday noon hours but not on weekends or in the evening.” That criticism hits its mark in both downtowns, but particularly in St. Paul, which practically ceases to exist outside regular office hours. As one fellow bus-rider remarked to another the other day, heading from downtown toward Lowertown, “This really is a ghost town after five.”

A primary mover behind the downtown development blueprint St. Paul has been following since 1996, “The Saint Paul on the Mississippi Development Framework,” Greenberg points out that retail and street life can and do thrive in similar, very cold urban areas without skyways—even in places just outside downtown. “A good example is Grand Avenue in St. Paul,” he says. And downtown St. Paul itself, before the skyways. “Where skyway solutions have been employed in other cities like Toronto, Calgary, and Edmonton,” Greenberg adds, “the results have been similar.”

For evidence, Greenberg points to an April 11, 2004, editorial in the Hartford Courant, in which urban planner Toni Gold delights in the demise of that city’s twenty-year-old skyways (which they called “skywalks”). Gold, who works at a New York City nonprofit called Project for Public Spaces, begins her commentary: “Hartford’s skywalks are coming down, with barely a whimper of protest from their one-time proponents, or even a hurray from their one-time opponents. Well, hurray, I say. Two cheers for city sidewalks. It’s now become obvious and widely acknowledged that cities should reinforce their sidewalks, not compete with them.”

Incidentally, the report goes on to state that Minneapolis mayor R.T. Rybak “refus[ed] to build a large hotel adjacent to the Minneapolis Convention Center, precisely because ‘people wouldn’t get out on the streets enough’.” I’ll bet they still get more conventions than we do, even without an attached hotel.

UPDATE: When I wrote this post, I was unable to access the entire C. H. Johnson study because the Civic Center’s link to it had been removed, so I was relying on incomplete information. Never a good idea. I have since been able to obtain a copy of the full report (now available here on my site), and it does, in fact, propose a sky-bridge to connect the Pere Marquette to the Civic Center:

With the recommended expanded and renovated facilities, Peoria will need a larger, higher-quality hotel package. In order to not only be competitive, but to accommodate more and larger groups, Peoria should consider:

  • Connecting the Hotel Pere Marquette to the Peoria Civic Center via walkway, as is the case in many cities in the US. One recent example is the 257-room Radisson Hotel in Lansing, Michigan, which is connected to the Lansing Center via a heated sky bridge over the Grand River.

That correction made, however, my larger point still stands. The report does, in fact, focus primarily on the number and quality of rooms available within close proximity. The additional boost that physical attachment would give is not quantified. And, I’m sorry, but I just don’t see Fulton Street as the same kind of physical barrier as the Grand River in Lansing.

On hotels and sky-bridges: Look past the hype, Pt. 1

At its next meeting scheduled for Monday, Dec. 15, the City Council will almost assuredly approve a new hotel development in downtown Peoria that includes an elevated pedestrian walkway, or sky-bridge, connecting the hotel to the Civic Center.

Naturally, the prospect of getting a downtown hotel of the caliber of a Marriott is exciting. New and/or improved hotels are desperately needed in our central business district by all accounts. When someone comes to the city and waves a $102 million project under their noses, it’s hard not to jump at the opportunity.

But this isn’t a purely private venture. The developer and investors are asking for just under $40 million in revenue bonds from the city to help pay for construction. These bonds would be paid back with revenues from the hotel over a 23-year period. It’s being presented as a sure thing — but there is a risk to consider — whether the hotel will perform well enough to pay back those bonds. The council members have an obligation to weigh that risk and make their decisions based on facts and the long-term interests of Peoria’s citizens, not hype.

And there’s no small amount of hype, starting with one city official’s pronouncement that this is a “wonderful development” before it was even made public. More recently, it’s been described as “a key to bringing large conventions to central Illinois and generating millions in revenues every year,” as the Journal Star put it. But are these predictions about the Civic Center and the need for a hotel with a sky-bridge to be believed?

Heywood Sanders warned the Peoria City Council back in 2004 — before they voted to expand the Civic Center — that similar predictions then of “millions in revenues” from “large conventions” being lured here were wildly optimistic. The Journal Star reported on October 18, 2004:

Since the mid-1980s, Sanders has reviewed more than 80 feasibility studies for new or expanded convention centers and tracked the outcome of those facilities in terms of new conventions and trade shows added to the annual roster, attendance at those events and hotel nights resulting from new convention business.

Without exception, every report has assured cities that if they “build it, you’ll do great.” But high expectations laid out within the studies are going unrealized as the convention market stagnates and new or recently renovated centers add millions of square feet of space per year, effectively shrinking the share of business to go around, Sanders said.

Sanders told a U.S. House of Representatives subcommittee basically the same thing in 2007:

The expansion of convention center supply, coupled with changes in demand and convention attendance since the late 1990s, has resulted in a highly competitive market. A great many cities have seen significant decreases in their annual convention and tradeshow attendance in recent years, and have come to rely on a variety of financial incentives.

And what are those “incentives”? Mainly discounts on rental costs and hotel rates. He goes on:

The increased competition for convention business has two direct implications for communities that have invested in new or expanded centers. First, discounts and incentives reduce the operating revenues of a center, increasing annual operating losses and the public subsidies required for convention center operation. Second, the volume of annual convention attendees has become increasingly uncertain, as groups and organizers face a growing roster of medium to large size centers seeking to gain new business.

So, what are the projected revenues for this hotel? Are they realistic? Or are they based on optimistic numbers in a consultant study like the C.H. Johnson Consulting study from August 2002 upon which the $55 million expansion of the Civic Center was based? Johnson Consulting at that time predicted “an additional 221,600 visitors to Downtown Peoria in the first year after improvements are complete, with 87,500 attending 66 new events in the convention and ballroom areas,” according to the Journal Star, and “The total of new visitors would spend an estimated $19 million, generating $1.4 million in general sales taxes, $188,000 in hotel taxes, $102,000 in restaurant taxes and $36,000 in amusement taxes.”

So, let’s add those numbers up and compare them to actual figures. In the first year after the expansion was completed, we should have seen 66 new events and $326,000 more in HRA tax revenue. The expansion was completed in 2007. At the end of fiscal year 2007, the Civic Center reported 544 events and $1,729,846 in HRA tax revenues. At the end of fiscal year 2008, the Civic Center reported 590 events and $1,779,762 in HRA tax revenues. That works out to an increase of 46 events and $49,916 in increased HRA tax revenues — both well short of projections, just as Sanders had predicted.

Note in particular how far short the HRA tax revenues fell — they rose only 15% of what was projected: $49,916 instead of $326,000. Will the hotel’s occupancy and revenue projections be more accurate? St. Louis’s taxpayer-owned convention center hotel (also a Marriott, incidentally), which opened in 2000, is on the verge of having its bondholders foreclose on it since it started missing payments due to lower occupancy than expected. Peoria would be wise to double- and triple-check the numbers before agreeing to put the city on the hook for $40 million.

“Wonderful development” revealed

The much-ballyhooed “wonderful development” we’ve been hearing about — a new/expanded Pere Marquette hotel — has been revealed to the public, complete with pictures, in today’s paper:

Here are the specs:

  • 14-stories
  • $102 million project
  • Developed by EM Properties
  • $39.3 million of public financing “that would be financed through bonds and repaid through new revenues the project would generate” over 23 years; represents approx. 40% of total project cost
  • Full-service hotel
  • 489 rooms
  • Additional meeting, convention and banquet space
  • Under Marriott Hotel flag
  • 500-vehicle parking deck
  • Sky-bridge connects hotel to Civic Center

This project is, of course, a done deal. It’s been hammered out in the back room for weeks if not months and more than enough council members are on board now. So it’s sure to pass at the Dec. 15 meeting.

My thoughts: It’s predominantly glass and steel, which has all the charm and appeal of GEM Terrace and One Technology Plaza. The front of it is concave for no apparent reason. But the rest of it does front the street, which is good. And the parking garage includes street-level retail, which is great. On the other hand, there is a completely unnecessary sky-bridge which will mar Fulton Street for generations. This design is light years ahead of the proposed riverfront museum (thank goodness for that!), but I still think it could have been better, especially in building materials.

Obligatory post on Blagojevich

It’s really a shame I don’t have time to blog. I’d love to talk about this some more:

Gov. Rod Blagojevich and his chief of staff, John Harris, were arrested today by FBI agents for what U.S. Atty. Patrick Fitzgerald called a “staggering” level of corruption involving pay-to-play politics in Illinois’ top office.

But, alas, I can’t. But here’s a post about it so you all can discuss it. It’s disgusting, isn’t it? Especially after we just sent one corrupt governor up the river.

Which reminds me, any word on whether Dick Durbin has asked Bush to pardon Blagojevich yet?

Condolences

I just received word that the Chairman of the Heart of Peoria Commission, Bill Washkuhn, has passed away. Here’s the e-mail I received from Planning and Growth Director Pat Landes:

Our office just received word that Bill Washkuhn, current chair of the HOP/C, died this morning. Our office has worked with Bill for nearly 30 years on land use issues, usually as the applicant representing clients for zoning and subdivisions. Bill also generously contributed his time and expertise, serving on various ad-hoc groups focusing on development processing and zoning issues. More recently he served on the Heart of Peoria Commission and was appointed by the Mayor as chair. We’ve always enjoyed our working relationship with Bill, particularly his treatment of staff and good communication with our elected officials.

Please keep Bill, his wife Linda, and their two sons in your thoughts and prayers.

I just saw Bill on Friday — three days ago — at our last Heart of Peoria Commission meeting. Although he was in a wheelchair due to some recent surgery, he was his usual affable self. The news of his passing comes as a real shock to me.

I didn’t know Bill very well personally. I only saw him at commission meetings and occasionally at a City Council meeting. But he was always friendly, well-informed, and full of amusing turns of phrase. I always enjoyed talking to him.

We disagreed on whether HOPC should continue or not. He voted for disbanding, and I voted against it. But afterward, I helped him get to the parking garage where his ride was waiting and we talked briefly about the prospect of starting a private advocacy committee for the Heart of Peoria Plan. I was looking forward to working with him more in the future. I’m so saddened to hear of his passing.

My deepest condolences to his family. May the Lord comfort them.

Peoria deserves great places, not dead spaces

I’ve been reading a book by James Howard Kunstler called “The Geography of Nowhere.” Great book — you should pick it up. It was written in 1993, so I looked online for some more recent talks he’s given, and found this one (warning: contains some strong language). In that talk, he made a great observation that should be obvious to all of us: people like to inhabit great places. He shows this graphic as an example:

He explains:

It’s a good public space. It’s a place worth caring about. It’s well-defined. It is emphatically an outdoor public room. It has something that is terribly important. It has what’s called an active and permeable membrane around the edge. That’s a fancy way of saying it’s got shops, bars, bistros, destinations. Things go in and out of it — it’s permeable. The beer goes in and out, the waitresses go in and out. And that activates the center of this place and makes it a place that people want to hang out in. You know, in these places in other cultures, people just go there voluntarily because they like them. We don’t have to have a craft fair here to get people to come here. You know, you don’t have to have a Kwanzaa festival. People just go because it’s pleasurable to be there.

This should be common sense, but we’ve become so accustomed to poor public spaces that we don’t even notice them anymore. We have been conditioned to expect and accept mediocrity.

Consider some of Peoria’s public spaces: Riverfront Village, Festival Park, the area around the Civic Center. These are not places where people want to hang out. It’s not pleasurable to be in these spaces. The best the city can do is have the Park District “program” the space with festivals, carnivals, and other things that entice people to come down and visit. But go down there when there’s no program, and the space is vacant. There’s a reason for that: nobody wants to be there.

And that’s what’s wrong with this proposed public space, too:

To borrow a line from Kunstler, there’s not enough Prozac in the world to make a person feel good about being in this space. Ask yourself, honestly, if this is a place you would want to hang out with your friends. Yet, as you can see from the bird’s-eye view picture, the designers have provided ample open space for you to (theoretically) congregate. But the sad truth is that nobody wants to drive downtown (too bad they can’t live here) with their sack lunch (because there are no cafes) and stand around on a big concrete slab (because there’s no shade or bench) between two collections of blank metal walls (that have no retail draw). Museum backers tacitly admit that no one will want to come to this space, because their plan to attract people revolves totally around programming, just like Festival Park and the rest of the riverfront. There is no “active and permeable membrane around the edge” of this proposed development. And so, if it’s built, it will look just like this artist’s rendering: empty, stark, colorless, vacant, and depressing.

This would be a travesty if it were built at all, but the prospect of it being built with public funds is unconscionable. Peoria doesn’t need another tax-subsidized dead space downtown. We have enough of them. Peoria needs great places. And if taxpayers are going to contribute to a project, they deserve to get a great place for their money. If the museum folks want our tax money, they are obligated to provide something a whole lot better than what they’ve proposed. Peoria residents should demand it.

Sears block may remain parking lot until 2010

There are a couple of items regarding the Sears block on the City Council’s agenda for Tuesday night, Dec. 9.

The first one is a six-month deadline extension of the Museum Block Redevelopment Agreement. The original redevelopment agreement was signed way back in 2004, and the deadline for the agreement was December 2006. Each year since then, the deadlines have been pushed back as the council waited for the museum group to get the funds they needed; there was always one more avenue that was sure to bring in the money. Each attempt to secure the needed funding has failed.

The latest plan is to ask Peorians in the midst of a recession to voluntarily raise sales taxes on themselves via referendum to pay for the construction and ongoing maintenance of the proposed museum. The county board will be discussing this ballot question soon, even as Caterpillar contractors are being laid off, and other local bodies (such as the school board) are realizing dramatically lower tax revenues due to the current economic climate. Could the museum folks and our elected officials from the city and county be any more out of touch? Why are they continuing to pursue this?

No doubt there will be a fourth amendment on the agenda for June 2009 after this latest plan fails and all the players look for a way to get that tax money anyway by circumventing the voters (anyone want to take bets that they’ll be asking the Public Building Commission for the money?). That seems to be the M. O. of our “public servants” these days.

Even if the museum project folds up after June, we’re still going to have a big parking lot on the Sears block because the council will also be approving an agreement to extend Caterpillar’s lease of the block for use as a parking lot until December 31, 2009. Why not extend it only until June 30, just like the redevelopment agreement? Under this parking plan, the city would potentially be unable to pursue other development projects for this block until 2010.

Both of these items are on the consent agenda, which means there will be no discussion on them unless a council member asks for them to be voted on separately.

HOPC votes to disband

At the Heart of Peoria Commission meeting this morning, commissioners in attendance voted 5-2 to disband. Voting in favor were Chairman Bill Washkuhn and Commissioners Henry Lawrence, Mark Misselhorn, Julie Waldschmidt, and Geoff Smith. Voting against were Vice Chair Beth Akeson and me. Commissioner Nancy Biggins was undecided and did not vote. Commissioners Dick Schwebel and Joe Richey were unable to attend the meeting.

The vote was technically a recommendation to dissolve the commission. That recommendation goes to the City Council as they will have the final say on whether to disband the commission or not. Planning and Growth Director Pat Landes informed the commission that the council will consider our request at their December 15 meeting, which starts at 5 p.m.

Included in the recommendation is a request that all commissioners be appointed to another city commission if they aren’t already. Those who are not currently dual appointed are Akeson, Waldschmidt, Washkuhn, and me. However, Waldschmidt lives in East Peoria and Washkuhn lives in Peoria Heights, so they would be ineligible for most other commission appointments.

There’s a possibility that a private advocacy group could be established to take up the mantle of a disbanded Heart of Peoria Commission. I’ll let you know if anything develops.

Chronicle December slow-down begins

As regular readers of the Chronicle know, December is my busiest month at work, which means I have very little time to blog. So from now until Christmas, there will not be many posts. I’ll still post occasionally (e.g., I’ll definitely report the outcome of the HOPC meeting this week, and I’ll no doubt have some comments on the hotel development if it gets revealed this month), but I won’t be able to post something every day or do a lot of research on anything during the next few weeks.

In short, posting will be light until after Christmas. Have a great month, everyone, and a Merry Christmas!