FINAL!REPORT!–December!23 ,2011 (updated:January31,2012) Strategy... ·...

FINAL REPORT – December 23th, 2011 (updated: January 31, 2012)

Terms of Reference & PresentaHon ObjecHves (I)

Prepared by Doyletech Corpora1on 2

Terms of Reference & PresentaHon ObjecHves (II)

•  This presenta1on is intended to provide an end-‐to-‐end view of the conducted study with a set of recommenda1ons that align with the contracted Terms of Reference. These summarize as follows: •  A current view of chapters 4 & 5 in the 2007 Situa1onal Analysis; •  The tac1cal ‘Downtown Corridor Improvement Plan’. (Outside of this Industrial

Strategy project but very relevant to it); •  A profile of available financial assistance programs suited for the Town of

Carleton Place; •  Recommended business types that should be aRracted to each of the Town’s

Business Parks; •  Recommended program for aRrac1ng these desired business types to each

Business Park; •  Recommended program for retaining and expanding desired business types in

each Business Park; and •  Recommended land use provisions.


I. SituaHonal Analysis: Ch. 4 & 5 Updates

•  Demographics •  Retail

•  Retail Demand Analysis

•  Industrial & Residen1al


Survey of SituaHon Analysis Research: Demographics (I)

Demographics: •  Between 2001 and 2006, both Carleton Place (the town) and Beckwith (the township)

experienced fairly good popula1on growth in comparison to the others considered in the regional analysis; however, both grew slower than Ontario as a whole. Also, Carleton Place is growing slower than neighbouring Beckwith Township. Beckwith’s growth rate of 5.6% between 2001 and 2006 compares to 6.7% for Drummond & North Elmsley Township, and 8.0% for Lanark Highlands Township, but it is higher than Montague Township (-‐2.1%).

•  In both 2001 and 2006, Carleton Place (the town) had an unemployment rate (for both sexes) higher than the Ontario average but Beckwith (the township) had rates significantly lower than Ontario’s. However, Beckwith’s unemployment rate seems to be on an upward trend whereas Carleton Place’s appears to be going down.

•  Eastern Ontario communi1es with significant industrial and/or manufacturing ac1vity tend to have higher unemployment rates than those communi1es without such ac1vi1es.

•  The average value of a dwelling in Beckwith Township was the highest among the twelve municipali1es analyzed. However, for both Carleton Place and Beckwith the average value of a dwelling was lower than for Ontario as a whole.


The following slides summarize our situaHon analysis research. For further details, see accompanying Doyletech report “SituaHon Analysis Report”.

Survey of SituaHon Analysis Research: Demographics (II)

Demographics (conHnued): •  Household forma1on growth in Carleton Place and Beckwith are reflec1ve of the Ontario

average (although slightly lower) but notably higher than the other communi1es (except for Casselman). This suggests that the region is aRrac1ng new residents beRer than most communi1es in Eastern Ontario.

•  Median personal income in Carleton Place was $27,248 for the 2006 Census (based on 2005 income) which is essen1ally iden1cal to that for Ontario as a whole ($27,258). Beckwith’s median income ($34,006) is the highest of all the communi1es assessed, as well as higher than that for Ontario.

•  Carleton Place (along with Merrickville) experienced the largest percentage growth in average personal income between 2000 and 2005, both significantly higher than the Ontario growth rate.

•  Median household income increased in all the communi1es assessed between 2000 and 2005, except for Merrickville-‐Wolford. While Beckwith’s percentage change (12.8%) was essen1ally the same as Ontario’s (12.7%) over that period, Carleton Place’s growth rate in median household income is lower than that for Ontario.


Survey of SituaHon Analysis Research: Retail (I)

Demographics (conHnued): •  In the case of both Carleton Place and Beckwith Township, the propor1on of the labour

force working in ORawa decreased between 2001 and 2006, as was the case for most OMATO municipali1es. The analysis suggests there is significant opportunity for Carleton Place (and area) to gain a larger share of commuters to ORawa, especially given the new highway and the diversifica1on of federal government jobs out of East ORawa and downtown, as the federal government con1nues to take advantage of space vacated by the technology sector at several sites in West and South ORawa.

•  Between 2004 and 2009, Lanark County as a whole enjoyed posi1ve net migra1on (of 1,222 people) with ORawa; meaning slightly more people moved from ORawa to Lanark County than vis versa. Slight posi1ve net migra1on was experienced in each year.

Retail:

•  While Sta1s1cs Canada is the premier source of retail sales data for Canada, they publish na1onal and provincial numbers only (along with some data on Toronto, Montreal, and Vancouver). There are some organiza1ons, using the Sta1s1cs Canada data, which develop their own es1mates for smaller ci1es, towns, and regions across Canada (perhaps the most prominent being FPmarkets).

Ontario Municipali1es Adjacent to ORawa -‐ OMATO.


Survey of SituaHon Analysis Research: Retail (II)

Retail (conHnued): •  Strong Canadian retail sales and healthy retail property markets over several years have

aRracted the aRen1on of foreign retailers/developers. They are impressed with Canada’s rela1vely steady sales growth, higher average sales per square foot, and lower density of shopping space per capita. The influx of American and European retailers into Canada is expected to con1nue. Going forward, several analysts expect that some established Canadian retailers will disappear as US-‐based retailers seek easy and quick Canadian market entry through outright acquisi1on rather than by store-‐by-‐store expansion.

•  FPmarkets es1mates that total 2011 retail sales in Carleton Place are $189.2 million while its retail sales per household is $47,700, compared to $30,800 for Ontario and $32,500 for Canada. Carleton Place’s retail sales per capita in 2011 is $18,700 compared to $11,800 for Ontario and $13,000 for Canada. These sta1s1cs paint a healthy compara1ve picture of Carleton Place’s overall retail ac1vity; obviously there is both the ability and opportunity to spend locally. However, Bridge Street (as will be detailed below) has a high current vacancy rate.


Survey of SituaHon Analysis Research: Retail Demand Analysis

Retail (conHnued): •  A Residual Demand Analysis on the Carleton Place (trade area) retail market was developed

by Doyletech. It es1mates that: –  Trade area residents (that is, those in both Carleton Place and Beckwith Township)

spent $268.7 million in 2010 at various retail and service stores, and that this spending is projected to increase by $47.9 million or 18% to $316.6 million in 2016.

–  Spending of trade area residents supported a total of 621,716 to 840,356 sf of retail and service floor space in 2010. By 2013, this space is es1mated to increase to a range of 672,019 to 908,462 sf.

–  Up to 158,164 sf of addi1onal retail and service floor space would be supportable in this area by 2013 (90,058 sf of retail and service space is needed now with another 68,106 sf needed in the next 3 years, for a total of 158,164 sf).

•  An Exis1ng Retail and Service Floor Space Inventory and Vacancy Profile was developed, based on field research and drive-‐bys. It es1mates an overall Carleton Place retail and service space vacancy rate of 2% with vacancy rates ranging from 0% at the Hwy 7 big box area to 11% on Bridge Street. Total inventory is es1mated to be 765,298 sf, with 15,000 sf currently vacant. Automo1ve and Home Improvement (AHIM) represents the largest share of inventory at 30%.


Survey of SituaHon Analysis Research: Industrial & ResidenHal

Industrial: •  ORawa’s loca1on contributes to a rela1vely small inventory of industrial space. Not only is

ORawa within easy trucking distance from Montreal, it is being serviced by major industrial, warehousing, and logis1cs providers in Cornwall, PrescoR, and Brockville. While there is certainly the opportunity for Carleton Place to play a larger role in serving ORawa’s warehousing, industrial, outsourcing, and logis1cs needs (especially given the expanded Highway 7), there is also significant compe11on from current providers / built infrastructure in Cornwall and PrescoR, both of which are located on the 401.

•  Carleton Place con1nues to benefit from its compe11ve loca1onal advantages for industrial development, the most prominent being that it is situated west of ORawa. ORawa’s western suburbs have tradi1onally been its area of strongest industrial demand. It will con1nue to receive spill-‐over demand from ORawa West due to cheaper land, lower rents, and (now) shorter commu1ng 1mes and more local housing choice. The con1nued westward expansion of S1Rsville and Kanata presents opportuni1es for the industrial (as well as retail) development of Carleton Place.

ResidenHal:

•  Na1onally, many analysts have forecasted that the housing market will slow and house prices could drop, but the market has been surprisingly resilient in 2011. Housing market stability is cri1cal to the health of retail sales and needs to be monitored carefully in the coming months.

•  Housing starts in Carleton Place typically range between 60 and 80 units a year.


II. Downtown Corridor Improvement Plan

•  How it links to the Industrial Strategy


DescripHon of Downtown Corridor Workshop: How it Links to the Industrial Strategy (I)

•  Some of the cri1cal factors that emerged from stakeholders

in interviews and at the Downtown Corridor Workshop on

Nov. 15th included: •  retail sales in C.P. are dispropor1onately large for the town’s

popula1on, but come from “big box” stores on McNeely rather than downtown;

•  a percep1on of a decline in the downtown Bridge Street area

through the rela1vely high propor1on of empty spaces; the Nov. 15th Workshop stakeholders, on a scale of 1–to-‐10, gave the downtown

corridor’s appeal overall a middling ra1ng of about “5”, with at least one par1cipant at only a “3”; and

•  nega1ve effects arising from specific closings (e.g., family

restaurant, movie theatre, etc.).


DescripHon of Downtown Corridor Workshop: How it Links to the Industrial Strategy (II)

Coming out of these stakeholder considera1ons, the project team presented 3

op1ons for discussion:

•  OpHon “A”: A[ract new stores downtown

•  but how can the necessary market sales volumes be reached?

•  OpHon “B”: Link to the McNeely corridor by big box development along

Coleman

•  but is this in keeping with the current downtown character? •  OpHon “C”: Isolate the downtown by introducing an expanded new, higher-‐

income, residenHal component based on gentrificaHon (“Centrepointe” or

“Glebe” model)

•  but who would come to live there?

Accordingly, the industrial strategy might make a big difference in the town’s future demographics, par1cularly depending on whether new employment expansion

coming out of the strategy was “quan1ty” (more numerous, but low-‐cost based),

or “quality” (higher-‐income, but specialized advanced skills based).


III. Funding Programs

•  Overview •  Research Constraints

•  Funding Programs for Business

•  Funding Programs for Municipali1es •  Iden1fied Programs for Carleton Place


Survey of Current Funding Programs: Overview

General Findings: •  Similar Doyletech research on funding programs a year ago iden1fied more funding

programs than currently exist today.

•  The availability of funds is limited -‐ given the reduc1on in the overall number of programs

but also to the fact that opera1ng funds have fully allocated their funds for this fiscal year.

•  The status of some funding programs appears uncertain (while the program does not

appear to be closed, it is uncertain when they will receive addi1onal funding).

•  Many Ontario government programs focus on crea1ng innova1on networks and engaging

post-‐secondary and research ins1tu1ons into problem-‐solving for industry. Such

mechanisms may not be ideal for the Town of Carleton Place since it does not have a local

university or research ins1tute.

•  Funding programs in the area of biofuels, bi-‐processing and, generally, agricultural

innova1on are included in the analysis since they could play a role for Carleton Place.

Interes1ngly, Carleton Place does not appear to have any biofuels plants or companies

whereas such ac1vity has been growing in communi1es such as Renfrew, PrescoR, and

elsewhere in Eastern Ontario.


Survey of Current Funding Programs: Research Constraints

Constraints and LimitaHons of the Research: •  Focus of the research: programs that can provide meaningful financial assistance to both

exis1ng and new companies and municipali1es. As such, programs with a core focus on human resources, fellowship, appren1ceship/internship, and training are excluded. For example, the Ontario Centre of Excellence (OCE) and the Ontario Ministry of Research and Innova1on (MRI) have many programs in these areas. Only those which provide direct funding to companies and municipali1es are assessed in our report. Likewise, programs focused largely on mentorship and consulta1on are excluded as are award programs.

•  It is beyond the scope of our research to examine every Ontario tax credit and exemp1on program available but a few that have wider-‐scale applica1on are discussed.

•  The municipal funding programs iden1fied are those which fund specific ac1vi1es and ini1a1ves; they are in addi1on to a municipality’s typical funding sources (such as property taxes, etc.).

•  The research focused on opera8ng programs which may or may not have funds currently available.


The following charts (see next slides) idenHfy funding programs for businesses and municipaliHes considered appropriate for Carleton Place at this Hme.

See accompanying Doyletech report “Review of Assistance Programs” for further details.

Funding

Programs for Business:

17

Sponsor Organization(s) Funding Program Provincial

Ontario Ministry of Economic Development and Trade (MEDT) Strategic Jobs and Investment Fund (SJIF) Eastern Ontario Development Fund (EODF) – Business Stream

Ontario Ministry of Research and Innovation (MRI) Innovation Demonstration Fund (IDF) Ontario Emerging Technologies Fund (OETF) Ontario Tax Exemption for Commercialization (OTEC)

Ontario Power Authority Feed-in Tariff FIT Program Technology Development Fund

MaRS MaRS Investment Accelerator Fund (IAF)

Ontario Centres of Excellence Inc. (OCE) OCE Market Readiness Program OCE Collaborative Research Program OCE Centre for Commercialization of Research CCR Funding

Federal

Business Development Bank of Canada (BDC)

BDC Commercial Real Real Estate Financing BDC Equipment Financing BDC Financing for Starting a Business BDC Financing for Innovation BDC Market Xpansion Loan BDC Financing for Working Capital BDC Subordinate Financing

Industry Canada Canada Small Business Financing Program (CSBF) Strategic Aerospace and Defence Initiative (SADI)

Export Development Canada (EDC) Financing Support for Inbound Foreign Direct Investment

FedDev Ontario / Community Futures The Prosperity Initiative Investing in Business Innovation Eastern Ontario Community Ventures Capital Fund Inc. (CVCF)

Canada Revenue Agency Scientific Research and Experimental Development Tax Credit (SR&ED)

National Research Council Canada Industrial Research Assistance Program (NRC-IRAP)

Natural Sciences and Engineering Research Council (NSERC) Collaborative Research and Development Grants Program (CRD)

Sustainable Development Technology Canada (SDTC) SD Tech Fund NextGen Biofuels Fund

Agriculture and Agri-Food Canada (AAFC)

Agri-Opportunities Program AgriProcessing Initiative / Agricultural Flexibility Fund ecoAgriculture Biofuels Capital Initiative (ecoABC) Canadian Agricultural Adaptation Program (CAAP)

Natural Resources Canada (NRCan) ecoENERGY Innovation Initiative (ecoEII)

Defence Research and Development Canada (DRDC) Technology Demonstration Program (TDP) Defence Industrial Research Program (DIRP)

Funding Programs For MunicipaliHes:


Sponsor Organization(s) Funding Program

Provincial

Ontario Ministry of Agriculture, Food and Rural Affairs (OMAFRA)

Rural Economic Development Program (RED) Brownfields Financial Tax Incentive Program (BFTIP)

Ontario Ministry of Economic Development and Trade (MEDT)

Eastern Ontario Development Fund (EODF) – Regional Sector Dev. Stream Communities in Transition Initiative

Ontario Ministry of Infrastructure (MOI) Infrastructure Ontario Loan Program

Federal

Federation of Canadian Municipalities (FCM) Green Municipal Fund (GMF)

FedDev Ontario Economic Development Initiative (EDI) Technology Development Program

Priority Funding Targets: In order to priori1ze the above programs, the following figure (see next slide) ranks programs based on their poten1al applicability to the Town of Carleton Place. While all of these programs could poten1ally assist Carleton Place and its companies, those at the top of the figure (dark blue) appear somewhat more appropriate than those in the middle (medium blue), which in turn appear somewhat more appropriate than those programs at the boRom of the figure (light blue). This is a subjec1ve assessment on our part; nevertheless, some programs have a wider range of applicability than others.

IV. Carleton Place Industry Clusters

•  Industrial Cluster Overview •  Candidates For Development

•  Enablers For Success

•  Economic Development Officer Support


Carleton Place Industry Clusters: Industrial Cluster Overview (I)

•  Ideally Carleton Place should be iden1fied as par1cipa1ng in industrial clusters. The key characteris1cs of industrial clustering are: –  Strong formal and informal linkages among firms and the suppor1ng

technological and business infrastructure. This maximizes poten1al value-‐add within the local economy and s1mulates the innova1on process, key for growth.

–  Geographic proximity of firms, educaHonal and research insHtuHons, financial and other business insHtuHons. This enhances the effec1veness of the innova1on process and helps ensure an adequate supply of skilled human resources.

–  The larger the cluster, the higher the level of self-‐sufficiency. A large number of firms and workers means that key func1ons (such as materials, financing) can be supplied from inside; the “economic base” is larger, and there is less “leakage” outside the cluster.

•  Accordingly, the approach and methodology for cluster analysis and hence credible development must illuminate how well prospec1ve clusters meet these criteria.

•  Also note that a collec1on of firms is not necessarily a cluster: there have to be linkages.


Carleton Place Industry Clusters: Industrial Cluster Overview (II) •  Three (3) growth strategies:

•  Grow from Within – Encourage firms and other organiza1ons (such as R&D labs) already in the area to expand.

•  A[ract Inbound Investment – Induce firms and organiza1ons outside the area to establish new facili1es within.

•  Link to Another Cluster – Build explicit customer-‐supplier links from local firms and organiza1ons to a client cluster (e.g. ORawa high-‐tech or federal government).

•  Combina1ons of the above are also possible. They are not mutually exclusive.

•  All have pro’s and con’s.


Candidates for Cluster Development in Carleton Place


Six (6) illustra1ve candidates for industrial cluster development in Carleton Place:

1.  Cluster suppor1ng high-‐tech (link to O[awa cluster and grow from within);

2.  Health and medical cluster (grow from within & a[ract inbound investment);

3.  Sports, Fitness, and Physical Recrea1on cluster (grow from within);

4.  Defence cluster (a[ract inbound investment);

5.  Retail cluster (grow from within & a[ract inbound investment);

6.  Cluster for “gentrifica1on” construc1on (grow from within).

The first four are the focus we present as illustra1ons.

OpHon 1 – Cluster SupporHng High-‐Tech


OpHon 1: Support for High-‐Tech (O[awa, Eastern Ontario, Elsewhere)

•  DescripHon: a cluster dedicated to manufacture, outsource, design, maintain, and otherwise support high-‐technology development in other clusters (such as in West ORawa, but also elsewhere).

•  Strategy for Development: link to another cluster.

•  Encouraging Factors: history of past successes (DRS, Dica, Rose, UPE, Hi-‐QA, others), proximity, lower costs than ORawa, technical/skilled workforce.

•  Constraining Factors: who/what would be the market?; are the current firms able to work together easily?; where to find and aRract other, complementary firms?; is a local joint R&D lab needed?

•  Probability of Success: good, because of exis1ng firms.


OpHon 2 – Health and Medical Cluster


OpHon 2: Health and Medical Cluster

•  DescripHon: a cluster that prospers from providing health care and medical support to a regional clientele.

•  Strategy for Development: grow from within and aRract inbound investment.

•  Encouraging Factors: district hospital gives good regional posi1on as an “economic base”; poten1al regional “catchment” area; expanding total popula1on and market.

•  Constraining Factors: where to find and aRract appropriate new specializa1ons?; size of local (as opposed to regional) community.

•  Probability of Success: good, because it builds on exis1ng trends / demographics, and would not require large new capital. But does it need much more specializa1on?


OpHon 3 – Sports, Fitness, and RecreaHon


OpHon 3: Sports, Fitness, and Physical RecreaHon Cluster

•  DescripHon: a cluster built on making Carleton Place a “go-‐to” community for sports, fitness, and outdoor recrea1on.

•  Strategy for Development: grow from within. •  Encouraging Factors: expanding total local popula1on; growing

poten1al Canadian and interna1onal market; ageing popula1on might be turned into an expanding posi1ve market; gentrifica1on of nearby residen1al sectors; could be adroitly linked to health and medical cluster.

•  Constraining Factors: relies considerably on imported equipment, resources and par1cipants; would it net contribute posi1vely to Carleton Place’s “economic base”?; who would be the market?; how best could it be promoted to encourage new visitors from outside the region?

•  Probability of Success: difficult to determine, necessitates sports/recrea1on culture.


OpHon 4 – Defence and Security Cluster


Defence: Supply Block

Defence Related Suppliers Complete Assemblies:

DRS

Health, Medical:

Memorial and District Hospital

Physio-‐therapy: Naismith

Electronic Components, Assemblies:

Dica Electronics

LED Displays: Red Current Technologies

Outdoor Fitness: Heritage Run

Trails: Carleton Place

Trailway

Related Systems Suppliers Electric Control

Systems: Sequence Controls

Renewable Energy Equipment:

Powerbase Energy

Printed Circuit Boards:

UPE Canada

Cable Assemblies, Electronic Products:

Hi-‐QA

Manufactured Buildings: Paddocks

Services Machining, CAD,

CAM: Rose Integra1on

Custom Machine Prototypes: D.F. Metal

Electrical Rebuilding: K.A.R. Auto Electric

Fire, Safety: Seagrave Apparatus

Local Office Space:

North Park

Photographic Services:

Lux Photographic

Training: Cdn Career Academy

OpHon 4: Defence and Security Cluster

•  DescripHon: become a support base for DND HQ in Kanata area. •  Strategy for Development: link to another cluster. •  Encouraging Factors: forthcoming move of DND HQ to Kanata;

existence of current significant defence contractors and suppliers; a growing interna1onal defence and security market; could be excellent residen1al loca1on for DND employees moving from other areas; could be adroitly linked to both health and medical, and sports and outdoor physical recrea1on clusters.

•  Constraining Factors: somewhat limited space for expansion of defence-‐related ac1vi1es; possibly a lack of high-‐security IT support

•  Probability of Success: very good, assuming DND moves HQ as projected.


Other OpHons:

5. Retail cluster (aRract inbound investment & grow from within) •  Carleton Place already has a thriving retail cluster, involving McNeely “big box”

stores, and capitalizing on a rela1vely large regional retail “catchment” area. Further supplier func1ons such as retail sosware, warehousing, and logis1cs transport could be developed.

•  Drawback: quality of jobs might not be improved from current levels.

6. Cluster for “gentrificaHon” construcHon (grow from within) •  Would mesh well with exis1ng excellent construc1on firms and specialized

capabili1es in Carleton Place, and would support new op1ons for downtown corridor (e.g., Op1on “C”, involving new residen1al development in “Centrepoint” or “Glebe” model). In turn, these capabili1es could be exported regionally, adding to the Town’s “economic base”.

•  Drawback: local “gentrifica1on” might not take place.


–  An EDO; –  Lower costs than compe11ve jurisdic1ons; –  Inbound health care investment from the province; –  Growing popula1on, and proximity to ORawa; –  4-‐lane Highway; –  Larger industrial capability than other regional

communi1es; –  Presence of industrial and business parks; –  Others.


Carleton Place Industry Clusters: Enablers for Success

Carleton Place Industry Clusters: Economic Development Officer Support (I)


Stakeholder Input:

•  Champion and executor of strategic plan

•  Outwardly business oriented individual promoHng Carleton Place and the

industries within

•  Sponsor of regular review forums with industry leaders from the town -‐  Providing updates on strategic plan

-‐  Sharing insights on opportuni1es

-‐  Seeking input from stakeholders

-‐  Promo1ng local supply chain

•  OperaHonally aware of town’s industrial performance through economic

performance dashboard systems

•  Facilitator for current business needs –  Re-‐sizing (Expansion/Contrac1on)

–  Reloca1on

•  First point of contact for incoming prospecHve businesses –  Single point of contact providing full support where required

Carleton Place Industry Clusters: Economic Development Officer Support (II)


Summarized Roles and ResponsibiliHes: •  Facilitate the development and execu1on of a comprehensive community

economic development plan with short, medium and long term objec1ves and goals.

•  Act as the facilitator to assist in the planning and development of opportuni1es for the community

•  Be the point person for promoHon of economic development in the community •  Act as a liaison between local business and the town •  IdenHfy and foster and communicate economic development opportuniHes •  Secure outside funding for economic development opportuni1es and programs •  Liaise with other economic development professionals in the region and at all

levels of government. •  Work with community thought leaders to provide a con1nuous feedback loop to

the town. –  i.e. a number of people have suggested that a mentorship / investment / incuba1on

opportuni1es group should be formed to assist small business in Carleton Place.

V. Business Park Growth and RetenHon

•  Progressive Pathway •  Stakeholder Input


Retail & Services Access & Usability Image

Site and Industry Awareness

Business Support Services

Regional Awareness

Marke1ng & Promo1on

Strategic & Sustainable Growth

Business Park Growth and RetenHon: Progressive Pathway


  Base platform to address local elements of the business park   Base platform to improve experience/efficiency & synergies of current and

interested businesses   Focused programs designed to increase effectiveness, reputation

and reach of marketing programs   Precision alignment of Business Park utilization with the Town

of Carleton Place’s industrial strategy

Business Park Growth and RetenHon: Stakeholder Input

•  Industrial Park Specific –  Usability; –  Presenta1on; –  Land ownership and management.

•  Industry Growth –  Need for business focused EDO; –  Promote loca1on as a place to start a business, especially if complemen1ng to

cluster development; –  Need to go out and aggressively pursue targets with scale. –  Establish real estate marke1ng campaign that targets military families resident

in East ORawa (Orleans and area with mul1-‐media messages) •  Industry Specific Comments

–  Machining: Smaller scale systems to support prototypes; –  Medical: Age friendly community, satellite centre of excellence; –  Hi-‐Tech Assembly: Town has highly skilled and respected resources; –  Hi-‐Tech Sosware Dev’t: Bringing young resources in is not a challenge.

•  Overall Business Support –  Improved support and focus on business needs from the Town; –  Simplified way of providing support to support business decisions.


VI. Industrial Space Demands/Usage Analysis

•  Methodology •  Current Baseline

•  New Industrial Clusters

•  Combined View •  Park U1liza1on


Industrial Space Demands/Usage Analysis: Methodology


Using populaHon and current local employment profile staHsHcs, the following process was followed to extrapolate future commercial land space needs.

Base Popula1on Info:

Employment Stats: Occupa1on Profile:

Floor Space Mapping:

Profiles: -‐ Current Baseline -‐ Sports & Rec Cluster -‐ Defense Cluster -‐ Health Cluster

5-‐Year Growth Profiles: 2016 2021 -‐ Current Baseline 45% 15% -‐ Sports & Rec Cluster 15% 25% -‐ Defense Cluster 20% 20% -‐ Health Cluster 20% 40%

Industrial Space Demands/Usage Analysis: Current Baseline

Current Employment Spectrum With Projected Growth: -‐ Based on data from the top 10 employers, skilled labour profiles and na1onal averages, the

following percentage profile was defined as a good representa1ve mix or Carleton Place.


2006 Profile

Projected Growth Profile (using 2006 Census as baseline with Medium growth) (Areas in SQ Ft):

Industrial Space Demands/Usage Analysis: New Industrial Clusters (I)

Industrial Strategy Progression and Impacts:   The iden1fied industrial strategy is a long-‐term vision

  The cons1tuent elements of the strategy will ini1ate and progress at differing rates depending upon external influencing factors

  Presented below is a profile of the differing elements and their rela1ve absorp1on of the an1cipated popula1on growth into the local labour force   Absorp1on is focused on the 40% of the eligible popula1on who do not commute to workplaces outside of Carleton

Place plus 50% of the current rate of inbound employees with respect to local employees


Industrial Space Demands/Usage Analysis: New Industrial Clusters (II)

Sports and Outdoor RecreaHon -‐ AcHviHes:   This industrial cluster focus is agile and rela1vely quick to ini1ate

  The use of a pre-‐allocated land-‐space is dependant upon the actual industries engaged

  The industry not only has a demand for suppor1ng employment, it also directly 1es back to retail demand

  Below is a profile of the projected facility space demands over a chronological period of 1me (Assuming Medium Popula1on Growth)


Es1mated Space Requirements Measured in SQ Ft.

Industrial Space Demands/Usage Analysis: New Industrial Clusters (III)

Sports and Outdoor RecreaHon – Equipment Manufacturing:   This industrial cluster focus is an ac1vity that has a slower start and higher level of reten1on

for the long-‐term.   This cluster focus drives a demand for a skilled labour force with a need for reasonable

work-‐space

  Depending upon the nature of the manufacturing scale, this cluster serves to occupy space in the North Business Park or the planned park south of Hwy #7



Industrial Space Demands/Usage Analysis: New Industrial Clusters (IV)

Defence and Security Focused Cluster:   The establishment of this focused cluster is affiliated with the consolida1on of DND HQ into

the former Nortel complex on Moodie/Carling in West ORawa   Feedback and research indicates there will be a influx of residents into Carleton Place who

are affiliated with DND employment (directly or indirectly)

  Puvng forth a focused effort to provide value-‐add commercial space for DND affiliated businesses is projected to increase local employment

  Below is an outline of the projected workspace increments required in 5 year intervals   These do not include the concept of securing and reloca1ng a large centralized employer



Industrial Space Demands/Usage Analysis: New Industrial Clusters (V)

Health Services Cluster:   Carleton Place already serves as a health and social services centre to the greater Carleton

Place area.   With a concentra1on of current community health services combined with the development

of a new hospital facility and a changing town demographic, a number of ancillary business opportuni1es surface

  Below is an outline projec1ons for incremental work space to support associated businesses & heath services   N.B.: These do not include the space associated with the development of a new hospital



Industrial Space Demands/Usage Analysis: Combined View (I)

All Clusters:   As an aggregate, the overall demand for workspace growth is projected as xxxx, over the

next 20 years assuming a MEDIUM popula1on growth   This projec1on is based on the following popula1on and employment assump1ons across all

studied industrial ini1a1ves:   A star1ng employment base of 3400 people (inbound:40% and outbound: 60%)   Published popula1on growth for Carleton Place alone, growing at a medium rate   Con1nued 60% outbound commuter popula1on are excluded from projec1ons

  40% of local popula1on growth are used as popula1on drivers for new space demands   Inbound working popula1on are excluded



Industrial Space Demands/Usage Analysis: Combined View (II)

Workspace and OccupaHon Profiles (LOW PopulaHon Growth): Outlined profiles are derived using lower popula1on growth forecasts




Industrial Space Demands/Usage Analysis: Combined View (III)

Workspace and OccupaHon Profiles (MEDIUM PopulaHon Growth): Outlined profiles are derived using medium popula1on growth forecasts




Industrial Space Demands/Usage Analysis: Combined View (IV)

Workspace and OccupaHon Profiles (HIGH PopulaHon Growth): Outlined profiles are derived using higher popula1on growth forecasts




Industrial Space Demands/Usage Analysis: Park UHlizaHon (I)

Business Park Alignments With Space/Usage: •  Business Park U1liza1on and Growth is directly associated with the developing industry

clusters via the ancillary business/services within •  Feedback and bi-‐direc1onal discussions with stakeholders through interviews and

workshops reveal following guidance:

North Business Park: -‐ Maintain current industry profile – Key focus Hi-‐Tech, Manufacturing, Construc1on.

South Business Park: -‐ Re-‐Define focus of park as backfill to health services reloca1on into Health Village: Sugges1ons

– Commuter life-‐style services, Real Estate, Post-‐Secondary/Career Educa1on Establishing Business Park (Hooper St):

-‐ Con1nue with Health Village growth and plan space for ancillary business/services

Planned Business Park: (South of Hwy #7): -‐  Plan for support of newly targeted growth industry clusters

-‐  Associated heavier industry businesses localize in North Business Park


Industrial Space Demands/Usage Analysis: Park UHlizaHon (II)

Park Aligment with Work Space: •  As recommended through dialogue and previous slides, the Business Parks are currently

well planned with iden1fiable produc1vity themes •  Building on these themes with a strategic direc1on, more accurate growth and usage

guidelines can be established preserving structure and fostering poten1al business synergies

•  Profile of workspace analyzed is as follows

Prepared by Doyletech Corpora1on 52 Es1mated Space Requirements Measured in SQ Ft.

Annex to OpHon I: History of SupporHng High-‐Tech in Carleton Place


Carleton Place's early manufacturing capability was in wood burning stoves because wood burning stoves were still looked upon as high technology products right up until the middle of the 19th century. The early settlers were accustomed to open hearth heating and the concept of an iron box full of burning wood sitting on a wooden floor in a home or office building was totally foreign to them.

Although Benjamin Franklin is generally credited with the "invention" of the "wood stove", many firms in eastern Ontario were involved in its adaptation to Canadian winters. The Findlay Stove Company was very active in such adaptation and it was the town's major manufacturing facility until the early nineteen sixties when Leigh Instruments was established to commercialize some search and rescue technology that had been developed at the National Research Council's Ottawa laboratories.

This led to the development of products such as the crash position indicator and the cockpit voice recorder. Such instruments were electromechanical in nature and required advanced manufacturing skills. Because some of the early Leigh investors were from the Finlay family, such skills were easily transferred.

As the Finlay facilities were wound down in the nineteen seventies, Carleton Place was left with an abundant supply of skilled manufacturing workers and vacant buildings, both of which were of interest to the high technology industry that was forming in the west end of Ottawa. Shortly after the establishment of Leigh, a U.S. company by the name of Digital Equipment Corporation established its first Canadian manufacturing facility. Although that facility was eventually integrated with its sales and service facilities in Kanata, it spawned many suppliers in Carleton Place and those suppliers continued to grow because many of the displaced workers continued to live there. In fact, Digital established a free bus service for such workers.

Because of the demand for such products (and supporting services) by firms such as Leigh and Digital and even Norpak in Pakenham, Carleton Place became a hub in an industry which has since become known as the Electronic Manufacturing Services (EMS) industry. In fact, it is interesting to note that many of those EMS firms have outlived their early customers. Leigh was eventually acquired by several firms and can be considered a precedent of the current DRS in Carleton Place.

In light of this history, Carleton Place stakeholders can view the EMS industry and its importance to Canada positively, despite the general loss of manufacturing industry in the country.

Annex to Supply Block Analysis: Infrastructure Block for Carleton Place


FINAL!REPORT!–December!23 ,2011 (updated:January31,2012) Strategy... ·...

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