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Consultation Report Marketability Study Civic Center Project

      
[Cover] Consultation Report Marketability Study Civic Center Project,
Special Collections, D.H. Ramsey Library, UNCA
Title "Consultation Report Marketability Study Civic Center Project"
Alt. Title "Consultation Report Marketability Study "
Identifier http://toto.lib.unca.edu/findingaids/mss/housing_authority_city_asheville/series_26_publications/
consultation_report_marketability_study/default_consultation_report_marketability_study.htm
Creator Housing Authority of the City of Asheville ; NC R-13 Civic Redevelopment Project
Alt Creator Roy Wenzlick & Co., St. Louis, Mo. ; James R. Appel, Hiram C. Martin Jr. (participating staff)
Subject Keyword Al Diamond ; Anthony Lord ; Appel, James R. ; Asheville City Hall ; Asheville, NC ; blight ; boardinghouse ; Buncombe County Court House ; Central Business District Plans ; Chamber of Commerce ; Charles Dent ; Civic Center ; Civic Center Association ; Civic Redevelopment Project ; city planning ; commercial area ; Community Facilities Plans ; Dent, Charles ; Diamond, Al ; dwelling units ; employment trend ; FHA 608 projects ; French Broad River ; Hiram C. Martin, Jr. ; hospitality industry ; hotel ; housing trend ; James R. Appel ; land use ; Lord, Anthony ; marketability ; Martin, Hiram C., Jr. ; modernization ; motel ; motor hotel ; office space ; Pack Library ; Plan Commission ; population trend ; private property ; projection of future trends ; public use ; recreation ;  Redevelopment Commission of the City of Asheville ; rehabilitation ; residential area ; reuse appraisal ; Roy Wenzlick & Co. ; Six Associates, Inc. architects ; State Highway Department ; Swannanoa River ; tourism ; tourism trend ; tourist ; Tourist Association ; Traffic & Transportation Plans ; traffic patterns ; transient housing ; urban planning ; urban renewal ; Urban Renewal Plans ; Urban Renewal Project NC-R-13 ;
Subject LCSH Tourism and city planning -- North Carolina -- Asheville 
Tourism -- North Carolina -- Asheville
Tourism -- Economic aspects -- North Carolina
Hospitality industry -- North Carolina -- Asheville
City planning -- North Carolina -- Asheville
City planning -- United States -- Asheville (N.C.)

Civic improvement -- North Carolina -- Asheville
Asheville (N.C.) -- Urban renewal
Urban renewal -- North Carolina -- Asheville
Urban renewal -- United States -- Case studies
Asheville (N.C.) -- Planning
Central business districts -- North Carolina -- Asheville
Central business districts -- North Carolina -- Asheville -- Maps
Highway planning -- North Carolina -- Asheville
Traffic engineering -- North Carolina -- Asheville

Asheville (N.C.) -- Economic conditions
Asheville (N.C.) -- Economic conditions -- 20th century
Date 1960
Publisher Roy Wenzlick & Co., St. Louis, Mo.
Contributor

Housing Authority of the City of Asheville

Type text ; illustrations ; image
Format Book 8 1/2"  x 11" 
Source D. H. Ramsey Library Special Collections, Manuscript Collections M2007.12.16
Language English
Relation Is part of: Asheville Model City Records, Special Collections, D.H. Ramsey Library, UNCA ;  Housing Authority of the City of Asheville ..., D. H. Ramsey Library, Special Collections, UNCA.
Coverage 1960s: Asheville, N.C.
Rights Any display, publication or public use must credit D. H. Ramsey Library, Special Collections, University of North Carolina at Asheville.
Copyright retained by the authors of certain items in the collection, or their descendants, as stipulated by United States copyright law.
Donor Donor 310 ; City of Asheville
Description

This 1960 publication has the stated objective to “determine by market analysis the economic feasibility of a Civic Center surrounded by commercial and residential areas.” It examines whether putting a Civic Center in the downtown area would be a wise economic move.  Maps are included showing the current area and how it might look in the future, with both residential and commercial areas. The authors anticipate a boom in the population and the tourist industry in Asheville in coming years, and much of their hopes for the future economic success of Asheville are pinned upon the success of the Civic Center in attracting tourists and persuading them to extend their stays past the average 1.3 days. As the report states, “we believe that the Civic Center, through local folk dancing, could attain ultimate national stature in the same manner as Springfield, Missouri and Nashville, Tennessee.”  The report concludes, “We sincerely believe that this project is unique, in that marketability of all of the commercial and residential areas is dependent to some degree on the success of the Civic Center….Our conclusion is that the land utilization program is entirely feasible and that the land to be offered for reuse is readily marketable within the scope of the restrictions to be imposed on it for reuse.” A copy of the Consultation Report on Transient Housing, which examines the feasibility of building a motor hotel in the same civic redevelopment area, is appended.

Acquisition 2007-
Citation  Housing Authority of the City of Asheville Records, "Consultation Report Marketability Study Civic Center Project,"  D. H. Ramsey Library, Special Collections, University of North Carolina at Asheville
Processed by Special Collections staff 2008
Last update 2008-05-28
CONTEXT
PAGES DESCRIPTION THUMBNAIL
Consultation Report Marketability Study Civic Center Project -- FULL TEXT
cover

Consultation Report

Roy Wenzlick & Co.
Saint Louis

Marketability Study
Civic Center Project
Asheville, NC

inside cover

Marketability
study
Civic Center Project
Asheville, North Carolina

by Roy Wenzlick & Co. -------------------------Participating Staff

James R. Appel M. A. I.
Hiram C. Martin Jr.

Anthony Redmond
Attorney At Law
Asheville, N. C.

letter Roy Wenzlick & Co.
Economists  Appraisers  Publishers

Telephone Garfield I-0706
706 Chestnut Street St. Louis 1, MO.

September 12,1960
 

Redevelopment Commission of
the City of Asheville
P.O. Box 7148
Asheville, North Carolina

Attention: Mr. Charles Dent, Executive Director

Gentlemen:

We are pleased to submit herewith six copies of our Marketability and Land Use Study of the Civic Center Urban Renewal Project Area, in accordance with our contract. In addition to the Marketability Study, the Transient Housing Study prepared under a separate contract has been incorporated in this report as an appendix.

We are of the opinion that the project is feasible and economically sound, providing the public and semi-public uses indicated are able to be consummated. We wish to suggest that no land be offered for sale to private developers until all of the land for public and semi-public use had been disposed of and structures on this land are actually under way.

The value of the land for resale purposes will be included in a separate Reuse Appraisal at a later date, but enough on this was collected to assure us that there would be a market for the land within a reasonable ranges of values. Such values cannot be computed accurately until the final disposition plan has been done by the planners.

  It has been a pleasure working with you, your staff, the planning consultants and all of those in your community that gave freely of their time to assist us in the preparation of this report. We are looking forward to the completion of the Reuse Appraisal section as called for in out contract.

Respectfully submitted
Hiram C. Martin, Jr.

HCM:bb

table of contents
TABLE OF CONTENTS
 
I Introduction and Statement of Objectives 1
II CIVIC REDEVELOPMENT PROJECT AREA 6
  Location and Description 6
III PROPOSED REDEVELOPMENT PLAN 8
  Composition 8
IV MARKET ANALYSIS 11
  General Background 11
  Office Space 13
  Motor Hotel 15
  Recreation & Amusement 16
  Civic Center 18
  Other Public Uses 19
  Residential 20
  Conclusion 24
     
 

APPENDIX

 
     
  Analysis of Transient Housing in Asheville  
     
 

EXHIBITS AND ILLUSTRATIONS

 
  Project Area Map 2
  Relative Location of Project Area 5
  Proposed Redevelopment Plan 9
  Trade Area 12
  Table of Want Ads 21
  Building Permits 23
1 Roy Wenzlick & Co.        Economists  Appraisers  Counselors  Publishers

LAND UTILIZATION AND MARKETABILITY STUDY
CIVIC CENTER PROJECT
ASHEVILLE, NORTH CAROLINA

I

INTRODUCTION AND STATEMENT OF OBJECTIVES

As authorized by State and Federal legislation, the Redevelopment Commission of the City of Asheville, North Carolina, is proceeding with plans for the clearance and redevelopment of a portion of the blighted area of the city. This report is concerned with the Authoritys' project known as N. C. R-13, or the Civic Redevelopment Project. This project is located adjacent to and north of the existing city and country buildings which sit facing west to a small plaza connecting to Park Square. The project extends north to the new east-west expressway, still under construction, but almost ready for use. It runs from approximately one-half block east of Market Street in an easterly direction bordered on the south by College Avenue and Poplar Street to the intersection with the Tunnel Road and the new expressway. The project is entirely contained in the City of Asheville, & Buncombe County. The planning consultants, Six Associates, Inc., are presently working on a preliminary redevelopment plan for this area which will be influenced to a considerable degree by this report. The proposed reuses are predominantly civic in nature with residential and commercial uses surrounding the civic area. Public and semi-public uses are to be the dominant uses of the redevelopment plan. Details of the project area's location and the proposed redevelopment plan are discussed in the next section. On the next page a map of the area to be acquired will be found.

The objective of this report is to determine by market analysis the economic feasibility of a Civic Center surrounded by commercial and residential areas. In addition to this market analysis, a transient room study is being conducted separately. The final result of this study is incorporated as a portion of this report in the appendix.

2

Project Area Map
Civic Redevelopment
Project NC-R-13

Legend
  Area Boundary
Expressway Right-of-Way Boundary
Areas to be included but not acquired

3

The final redevelopment plan will be drawn from the indications of feasibility of land uses indicated herein, and the subsequent marketability of this land. The conclusions as to marketability will be a result of factors affecting the real estate market in Asheville at the time of offering the property for sale. However, because of the civic nature of the redevelopment, much of the area is predetermined as marketable, for this purpose. This civic area must be considered on the feasibility of the civic project and on an alternate use.

A third study, to be prepared later is the reuse appraisal which will determine the fair market value of the various tracts of land after the site has been cleared and made available for the new uses, in accord with the redevelopment.

As for any commodity, demand must include not only desire for possession, but also the ability to acquire. Supply is not only the existence of a commodity, but its existence at the right place, at the right time, and at the right place. In this instance, the commodity involved, is cleared land in the project area, Naturally, a market analysis such as this must look to the future, which involves forecasting with all of its hazards. Therefore, it will not be possible to arrive at precise conclusions as to the demand and supply situation for new residential, commercial and civic uses sites in the Civic Redevelopment Project area. However, by investigating as many known factors as are available, it is possible to draw general conclusions as to economic feasibility. Actually, in this project the degree of success of the Civic Center in increasing conventions, drawing people downtown, providing parking relief, and changingtraffic [sic] routes will affect the marketability and consequently the reuses value of each site

4

to be offered for sale. It is desirable, therefore, for the Civic Center to be designed, financed and actually be under way prior to offering the balance of the project for sale,

During the course of this survey, staff members of Roy Wenzlick and Company have worked with or interviewed the staff of the Redevelopment Commission, the City of Asheville, the Plan Commission, the Pack Library, Six Associates, Inc., various civic groups and officials, churches, the Tourist Association, the Chamber of Commerce, and many others, resulting in the formulation of a generalized land use plan. This plan is an adaptation of the original proposal of the planning consultants, modified by street patterns suggested by engineers for the State Highway Department, and augmented by additions to the project area during the study period. Marketability of the parcels and the results of the consultation creating the plan are contained in this report. It is our understanding that this plan will be refined and resubmitted to us for the reuse appraisal.

In this report, the major features of the plan are discussed, and each major type of land use is considered as to its feasibility by market analysis except for the public and semi-public uses for which this approach is not pertinent.

The conclusions reached as to the highest and best use for the residential and commercial areas should be considered as guides for future development. We would advise against considering these conclusions as rigid and without possibility of modification. To confine redevelopers too much  in this project could result in too few bidders for the property.

5 Relative Location of Project Area
Civic Redevelopment
Project NC-R-13
Asheville, North Carolina
6

II

CIVIC REDEVELOPMENT PROJECT AREA

LOCATION AND DESCRIPTION

The Civic Redevelopment Project area comprises a section in the heart of Asheville, just north of the City Hall and County Court House, east of Market Street, south of the Expressway running east to the north of College and Poplar Streets to the intersection of Poplar and the Expressway. This area is immediately east of the central business district and north of the City County Plaza. On the previous page, an exhibit shows the project area in relationship to the remainder of the city. The project area contains approximately 65 acres. (Exact acreage computations have not been made for this study as they will be included with the final redevelopment plan to be prepared by the planning consultants).

Included within the site are several structures that are not to be acquired. These include the Thomas Wolfe Home, the First Christian Church, the First Baptist Church (including the Childrens [sic] Building), the Baptist Church School, the Professional Office Building and Nursing Home, the Methodist Allen High School, two Negro churches and their parsonages, and the Junior High School. On page 2, a project area map shows these buildings which are to remain.

On page 10, we show a suggested Redevelopment Plan based on marketability. On this plan the interior street pattern shows Woodfin Avenue swinging south to connect to College which stops through traffic from going by the Baptist Church and allows a larger recreation and amusement are to the west. College and Poplar extension connects to Pack Square at the City County extension. Spruce Street crosses the Expressway and continues to the City County Plaza, and Charlotte crosses the Expressway and comes straight south to form the eastern terminus of a loop bypassing the central business district after circling the city and county buildings and returning to the Expressway at French

7

Broad and Montford Street. This interior street pattern will be the first step in an entirely new traffic alignment for the central business district, in conformity to a new comprehensive plan for the city.

Outside of the project boundary, to the west is to be the service and parking area of the central business district. Presently it is a mixture of office, retailing, wholesaling and some residential. To the south is a mixed residential and commercial area, while to the east and north, the project is effectively cut off from the surrounding area by the Expressway, except for one small block north of the Expressway. This block is primarily by residential areas with some commercial uses. The project therefore, is just to the east of the heart of the city. It should function to provide expansion, access parking and should be a new generator of business for the central business district.

The topography of Asheville generally consists of hills and valleys with rather steep slopes descending from the surrounding mountains to the Swananoa [sic] and French Broad Rivers. The average elevation above sea level for the downtown area is approximately 2200 feet. In the project area the lowest elevation is 2160 feet and the highest 2250. At the Court House and City Hall, the elevation is 2200 feet which means that the project area falls and rises from this point. The high spot is the eastern end and the low spot is just west of the Baptist Church. The only steep slopes occur just south of the Junior High School and in the two blocks to the west of the school. Each of these blocks slopes downward from the north to the south. Some grading and perhaps retaining walls will be necessary in these blocks. Otherwise the slopes are gradual enough to allow redevelopment to follow any desired pattern .

8

III

PROPOSED REDEVELOPMENT PLAN

COMPOSITION

The exhibit on the following page shows a suggested or proposed redevelopment plan based on the preliminary ideas of the proposed street realignment and generalized land use of the traffic consultant and the planner, respectively. We felt it necessary to place the areas generally before stating that a given number of acres of commercial, residential or public lands would be marketable. As a result, although we know that this plan might only resemble the final plan as to major street alignment and structures to remain, we have obtained some ideas of frontage, location and areas that would not otherwise be possible. We wish to emphasize that this plan is a suggested preliminary plan to show how the areas could be developed. Because it is preliminary, we have not accurately computed the acreages in each block. IN some instances, we have designated parcels as as convenience in estimating the approximate re-use values of blocks. We anticipate the reuse to fall into three main categories, namely, public or semi-public, commercial and residential.

The public or semi-public areas will contain the main Civic Center Building, (which should contain some commercial as well as cultural activities), parking areas, church expansions, and creation of additional play area for the Junior High School and the Allen High School. The Health Department could be augmented by including all other public and private health and welfare agencies grouped together close to the Court House and City Hall.

The commercial areas will be developed with a Chamber of Commerce building, a motor hotel and attendant service station, restaurant, etc., certain small shops attractive to transient trade, a recreation and amusement area, office buildings, and the required parking facilities for each.

9

Proposed Redevelopment Plan
CIVIC CENTER
PROJECT NC. R-13
ASHEVILLE, NORTH CAROLINA

--- LEGEND ---
COMMERCIAL
RESIDENTIAL
PUBLIC & SEMI-PUBLIC

10 The residential area to the east is for multiple family, garden-type developments similar to the F.H.A. 608 developments in Asheville. One building, presently used as a church school by the First Baptist Church will probably be offered for remodeling to multiple family use. The one residential area adjacent to the Civic Center is planned for a high-rise multiple family building.

All of these uses are compatible with the results of the market analysis, but it cannot be over emphasized that they depend to some degree on the success of the Civic Center in design, activity, and local and tourist interest and participation. For this reason, we have included some suggestions of alternate uses and a statement dealing with the formation and function of a Civic Center Association of some type, which would buy the land and build the Civic Center.

11

IV

MARKET  ANALYSIS

GENERAL BACKGROUND

The City of Asheville is located in the Blue Ridge Mountain area about 30 miles from the highest peaks in the east. About 50 miles west are the Smoky Mountains of North Carolina and Tennessee. Asheville is called the capital of Western North Carolina, and it serves as the home for the W.N.C. Regional Plan Commission and many other governmental functions. Twelve counties of Western North Carolina compose the district, which is mainly a series of valleys between the two ranges. The French Broad River flows through the valley into Tennessee. It is joined in Asheville by the Swananoa [sic] which comes from the mountains to the east. The mean elevation of Asheville is 2300 feet while the adjacent mountains rise to 5000 and 6000 feet. On the next page a trade area map shows the general location of Asheville.

The Asheville community is quite old, having been established in 1784. Buncombe County, of which Asheville is the county seat, was established December 5, 1791. In 1797 Asheville was incorporated and named in honor of Governor Samuel Ashe. Throughout its history, Asheville has been a very progressive community. This is established by such facts that although the population was only 6000, Asheville had the second electric street railway in the world in 1889. In this year, George Vanderbilt came to Asheville and began the purchases and construction that ultimately produced his great estate "Biltmore", today a must on the list of all tourists in the vicinity. The Southern Railway came to Asheville in 1894 and growth followed at a far greater rate than before. The first large industry for Western North Carolina was Champion Paper and Fibre Company, which located in the French Broad River Valley in 1906 and is still there employing thousands of people. Other large industries then located only a few miles from Asheville, the closest being American Enka Corporation which is now within the city limits. It employs over 2,000 persons. This 

12 TRADE AREA
13 growth and development resulted in over optimism, and a land boom similar to the one in Florida during the late twenties occurred. So enthusiastic were the local citizens that they passed large bond issues and constructed a huge Court House and City Hall, each large enough to provide the space for government offices of far larger entities than either Buncombe County or the City of Asheville. Large office buildings, the Grove Arcade, large hotels and many speculative ventures attested to the belief that Asheville was just started toward a glorious future, when the bubble burst. The community and many citizens went broke, defaulted on bonds, refinanced and began the long struggle back which was much more difficult than most communities because the base had not been solid. An overcautious spirit of super conservatism then prevailed until after World War II and the Korean War. Since then, and especially in the last five years, the economic growth and population growth of Asheville have begun to rise more rapidly than any time since the late twenties. Today, Asheville is once again growing and moving forward. Bond Issures are now creating funds necessary for such progressive functions as increasing the water supply and providing for Urban Renewal. Business men are cooperating to raise money for Civic Improvements.

OFFICE SPACE

The presence or lack of any commodity alone, does not determine the marketability or feasibility of offering it for sale. To be accepted, it must be needed and/or desired and be available at the right time in the right quantity and at the right price. In attempting to determine whether a need or desire for new office space existed in Asheville, it is not enough to say no, because the present space is 15% vacant. The thousands of square feet of available space may not be desirable at any price due to location, condition, age, price or other factors. It accured [sic] to us, therefore, to test the market for office space in the Asheville area, by asking the people who would be considered prospective users of such space if they needed, desired, or would use newly created office space. Accordingly, we prepared a questionnaire designed to acquire this

14 knowledge along with other facts such as parking required, number of employees, air conditioninig, and other facilities. On the next page there are a facsimiles of a letter and the questionnaire sent to 325 individuals and firms that presently have office space in or close to the downtown area. This questionnaire was sent to the following types of firms; Attornies, Appraisers, Real Estate Companies, Dentists, Physicians, Insurance Agents and Companies, Accountants, Architects, Engineers, and Certified Public Accountants. Primarily the list of one of professional people. Other than real estate, and insurance, no businesses were contacted. The survey results, therefore, by proper statistical procedures, could be expanded to indicate a total demand for space in downtown Asheville. Questionnaire results follow:
 
Total mailed 325
Replies received 98 or 30%
Not interested 55
Interested 40
Maybe 3
Total space requested by yes answers 41,283 Sq. Ft.
Total space requested by maybe answers 5,350             
Grand Total space requested 46,633 Sq. Ft.
Willing to pay $3.00 per square foot 12,071 Sq. Ft.
Willing to pay $3.50 per square foot 11,162
Willing to pay $4.00 per square foot 11,200
Willing to pay $4.50 per square foot 1,750
Willing to pay $5.00 per square foot 2,000
Six did not specify amount.  

Among other questions answered, a need for parking spaces for 279 cars was indicated. The number of employees indicated was 133 which did not count employers.

Analysis of these results indicates to us that all of this demand could be accommodated regardless of the indicated rental. As less than one third of the Asheville office space is rented to the group that was polled, we believe that the additional business demand would

14a Roy Wenzlick & Co.       
Economists  Appraisers  Counselors  Publishers

Publishers of the ANALYST Reports

Telephone Garfield I-0706
706 Chestnut Street ST. Louis 1, MO.

September 23, 1960

The City of Asheville through the Redevelopment Commission is currently engaged in an Urban Renewal project designed to improve downtown Asheville. Our firm is conducting a survey in order to assist the Commission and the planners in determining the ultimate reuse of this area. The project is known as the Civic Center Redevelopment Project.

You can be of assistance to your city by filling in the attached questionnaire and returning it to us in the enclosed return envelope as soon as possible. This questionnaire is only concerned with office space, but you are urged to comment on any phase of this program in the space marked for "comments".

Results of this questionnaire are strictly confidential so you need not sign your name unless you so desire.

Thanking you for your cooperation, I am

Sincerely yours,

Hiram C. Martin, Jr.

HCM:bb

14b

OFFICE SPACE QUESTIONNAIRE*

Select or Fill in

We are (not) interested in office space in the project area.
We would require approximately __________ square feet of space.
We would pay up to $3.00 - $3.50 - $4.00 - $4.50 - $5.00 per square foot per year.
We would like to be on ground - upper floor.
We need space to park ___________ cars for employees _____________ for others.
We need the following utilities in our space: water, gas, power wiring, other __________________ .
We would (not) like especially designed interior partitions.
We (do not) need cabinet work, sinks, labs, special floors.
We will have approximately ___________ employees.
We (do not) desire year round air conditioning.
Remarks:


* Any office buildings to be built in this area would probably be very near the County Court House. They would contain adequate parking facilities, be in a pleasantly landscaped area, have restaurant facilities, and be available to business firms and professional people. Rent would probably be from a minimum of $3.50 to a maximum of $5.00 per square foot depending on location, size, air conditioning, etc. Such a building would probably be available in 1964.

15 actually double the indicated volume and still be conservative. For instance, there is presently in the area a branch bank that will be removed. It goes without saying that space for such a facility including a drive-in window or two would be very easy to rent. Such a building could also support one or two restaurants and a drug store. This type tenant would be available before contacting any other types of businesses. We were told that the State of North Carolina wanted space to consolidate various state agencies, that the Federal Government desires space for the Forest Service and other needs, the Chamber of Commerce and other semi-public agencies needed space, and therefore, we have estimated conservatively the market for office space as follows:
 
Professional Survey 47,000 Sq. Ft.
Business, C. of C. & Semi-Public 53,000
Government 60,000
  160,000 Sq. Ft.

Our conclusion therefore is that there will be a market for 160,000 square feet of office space in the project area which can be rented profitably by a private redeveloper.

MOTOR HOTEL

In a separate report, we have made a transient study indicating the feasibility of including a motel or motor hotel in the project area. The results of this study showed that inclusion of additional transient rooms for the Asheville area could be absorbed by the increasing tourist and convention business at the rate of 60 unites per year. From this and other facts, we determined that a 200 unit motel could be included profitably in the project area. However, as in the case of the entire project, it must be pointed out that as a separate entity, such a motel might not stand on its own feet at this time. The remainder of the project, and in particular the Civic Center function has to be a "fait accompli" to assure the motel of year round im-[mediate]

16 [im-]mediate success. Auxiliary services to the motel should included swimming pool, restaurant, parking and small shops in connection with the restaurant. The minimum area would be three acres. The entire transient room study appears in the appendix of this report. Alternate use of this site would be commercial and create competition for the central business district. It would also make a fine supermarket or city market site.

RECREATION & AMUSEMENT

Testing the market for a commercial recreation and amusement area is almost an impossible task without knowing the exact nature of the enterprise. To work backwards, however, we have tried to determine what types of business have been successful in the local area and elsewhere. Such items as the "Tweetsie" railroad, stage plays such as "Unto These Hills", and those put on by the "Flat Rock Playhouse," have been successful. Chimney Rock and other wonders of nature have been commercialized. Amusement parks with rides, zoos, pavillions, coffee houses, bowling alleys, miniature golf, and dance halls have been popular and well attended. Actually, in most cases, the market is what the promoter makes it. In the instance of downtown Asheville, the need is for an attraction that will bring both tourists and Asheville citizens into the downtown area. The suggested plan designating as commercial amusement and recreation, some six acres, visible from the expressway and adjacent to the downtown area should certainly be attractive to investors in the amusement and recreational field. There are a minimum of 250,000 visitors of the tourist type each year in Asheville, approximately 100,000 more pass through without spending a night. Approximately 130,000 more people live in the greater Asheville primary trade area. It is easy to show a prospective redeveloper that over 500,000 people per year would be exposed to this site. With the completion of the Civic Center, additional people will be constantly added to this already impres-[sive]

17 [impres-]sive list. According to the Convention Bureau, almost three out of four vacationing people are looking for something to do and for a place to spend money. At present, the average length of stay of tourists in Asheville is 1.3 days. If there were more attractions, this time could be increased and all businesses would prosper accordingly.

The type of amusement and recreation area we envision would include, in a non-garish but spectacular fashion, some rides and a small zoo for both children and adults, outdoor roller and ice skating rink, coffee house, restaurant with night club atmosphere, baseball cage, pitch and putt golf. Other items of local interest could be added, and the entire architecture would have a design peculiar to a "Landin [sic] the Sky" theme, perhaps surmounted by a tower with an observation platform and/or restaurant at the top to give identity to the group.

Other types of commercial recreation and amusement should be considered by the authority, but it should be kept in mind that a potential redeveloper might wish to use his own design such as a "Disneyland" or "Mountain Fantasyland". Therefore, the overall effect and character of the development should be the main judging point. Certainly the minimum potential of 500,000 customers per year, which does not even count convention tie-ins should more than establish a market for the land. The city would have to be sure that the zoning and the permits necessary for such a venture would be available to a redeveloper. (Even then it might be difficult to secure adequate financing, but we believe that this opportunity for a large area in the heart of a tourist city would be attractive to capital interest in commercial recreation and amusement). The principal planner, Anthony Lord, of the Six Associates firm, recently went to Copenhagen, Denmark and other European Cities to investigate various possibilities along this line. People interested in financing commercial recreation ventures accompanied himon [sic] the trip.

18 We believe that the method of disposal of this property will have a great deal of effect on both the desireabilty and marketability of the property for this use. Careful consideration should be given to the possibility of partition of the area by function, or sale of the property as an entity. Potential redevelopers therefore should be required to submit proposals in several ways.

It is possible that the Civic Center Design would include a motel or hotel on upper floors. This would free the motel site for an alternate use. One non-commercial use would be to relocate the city market in this space. Certainly plans should not be frozen until all such possibilities are investigated.

CIVIC CENTER

When the reuse of land is scheduled as public or semi-public, it is not possible to have a market analysis per se, but it is necessary to determine feasibility of the land for the intended use. In the reuse appraisal such land is not priced as land for the use intended, but rather on the most feasible alternate use. There is no question or doubt that the alternate use for land designated for the Civic Center would be a commercial use, even though this might harm the existing downtown area. Because the entire project revolves arount [sic] the creation of the Civic Center and the subsequent operation of same, the problem of feasibility also becomes insignificant and hypothetical. Comment on this activity is apropos however. The Civic Arts Center, Inc., which is composed of 26 separate organizations, each engaged in a separate civic function, is ready  to sponsor or assist the project. The Chamber of Commerce has passed a resolution to work in every way to obtain certain desireable facilities in the Civic Center. Many other individuals, firms, and organizations recognize the importance of the project to Asheville, but do not know how they can help. Because the entire concept of the program is designed around the function of a Civic Center, it is imperative at this time to determine exactly who or what organization will buy the ground and build the building. An

19 architect should be selected by this group and plans drawn showing how each organization would work or meet in the building, how much space they would need and what they would pay for it. In this connection, we believe that every effort to obtain the local TV and radio station as a tenant or part owner of the building should be made. In this manner, every convention visitor, tourist, or just plain citizen could see TV or live radio programs in action at all times. Meetings, plays, etc., could be easily covered for news by both media, and we believe that the Civic Center, through local folk dancing, could attain ultimate national stature in the same manner as Springfield, Missouri and Nashville, Tennessee.

It must be recognized, though, that commercial tenants cannot pay the entire cost of the operation of the Center. To do these things, we reiterate, all groups must agree as soon as possible on who will own and build. Money must be raised at once. It must be known to the entire community that the Civic Center per se, will be built. It must also be known to all potential redevelopers that the Civic Center will be built first. Every effort should be made to acquire and clear the land for the Civic Center Structures as soon as possible. Street changes can wait on construction, but the sooner the Civic Center starts up, the greater the momentum will become for both the remainder of the project and a revival of interest in the central business district. Everyone displaced by the project must move somewhere. Many of these businesses will fill existing vacancies in the central business district. This movement once started should help fan the flame of the Civic Center and thus help to create a better market for the remaining commercial and residential areas.

OTHER PUBLIC USES

Other land in the public and semi-public category is planned to allow the expansion or construction of churches, schools, the Health Department or plazas. Each is in a location desireable for the particular project. Each must be purchased by the appropriate group or governmental agency. These agencies, either public or private,

20 should announce their intention of purchasing the land involved and develop plans for the structures. This action, as in the case of the Civic Center, will help to insure ultimate success, and the subsequent marketability of the remaining land. It will also assist in acquiring any money necessary by adding Public Improvement to any Bond Issues that may be necessary.

All of the land for public or semi-public use is not desireable as commercial. Hence the alternate use of the land in blocks P-3, P-4, P-5 and P-9 has been determined to be multiple family residential.

RESIDENTIAL

In determining the marketability of land for multiple family occupancy, we examined the building permits for the last five years, and the multiple family structures in existence. We were able to discover only 20 apartment houses designed and built as such, in Asheville. In the older areas many conversions have created multiple family units. The residential areas of Asheville are primarily of the single family variety. Four garden type FHA 608 projects were built about ten years ago which filled the need at that time. These projects are the Beverly Hills Apartments with 146 units, Edgewood Knoll with 168 units, Dunbar Court Apartments with 112 units, and West Hills Terrace with 80 units. All are two-story garden type apartments. The rent range is $80 to $120 per month depending on size and location. There is a waiting list for most of the units. On the following page there is a table of newspaper ads concerning rental property. The period covered is August 23, to September 3, 1960, inclusive. It must be remembered  that this is the close of the tourist season and most of the furnished apartments and houses are advertised for rent June 1 only. Even so, there were very few repeat ads. The average rental for an unfurnished two bedroom house was $65 - $80 and for an unfurnished apartment was $75 to $90 per month. The striking facts brought out by these ads were (1) the small number of ads in

21

Newspaper Ads - Asheville Citizen

Date Unfurnished
Apartments
Furnished
Apartments
Unfurnished
Homes
Furnished
Homes
Business
Rentals
Wanted
to Rent
August 23 17 32 13 5 2 2
August 24 20 34 17 7 2 2
August 25 18 31 18 8 2 2
August 26 19 32 20 9 3 2
August 27 18 35 19 8 3 2
August 28 22 41 22 10 3 2
August 29 19 37 20 9 2 2
August 30 18 35 19 9 2 2
August 31 19 33 18 7 3 1
September 1 15 34 15 9 4 2
September 2 15 32 11 11 2 2
September 3 20 34 7 12 3

5

22 relation to the population, as they covered the metropolitan area of over 100,000 people and (2) the apparent quick renting of the units shown by the disappearance of the ads and their replacement by ads for different units.

Although we are talking about a market several years in the future ther [sic] is no historical reason to indicate a change in the pattern of construction which would cause many multiple family units to be built in the next few years. On the following page is a tabulation of building permits for the last five years. It shows only one multiple family project in five years, and this is not a private development.

Investigation of higher priced luxury apartments practically stopped at the Manor Apartments and these units are not strictly apartments, but are essentially tourist accommodations. Actually, there isn't a good high-rise apartment in Asheville.

In addition there will be an estimated 50 families per year displaced by public improvements in the next four years. The result is that the number of dwelling units created each year is not keeping up with the rate of population growth. The indicated growth of 7000 between the 1950 and 1960 census has largely occurred in the last five years at the rate of approximately 300 families per year. Compared to the dwelling units built, there is a shortage of 500 dwelling units over the last five years. Total employment figures for Asheville indicate that the upward trend in population for the last five years is accelerating, which would indicate a larger market unless building activity is increased in the interim. We have computed therefore, the following market in the project area, which we believe will be approximately one-half of the multiple family demand four and five years from now.

Garden Type         250 dwelling units
Luxury High Rise     95 dwelling units

23

ASHEVILLE, NORTH CAROLINA
Building Permits

P. = permits
D.U. = dwelling units

  Single
P.
Family
D.U.
Multi
P.
Family
D.U.
Total P. Residential
D.U.

Amount
Non
P
Residential
Amount
1960 (thru July) 164 164 3 14          
1959 147 147 3 8 150 152 $1,560,000 82 $1,280,671
1958 163 163 2 236 165 399 3,840,164 78 847,115
1957 138 138 0 0 138 138 1,423,025 60 1,299,860
1956 150 150 4 34 154 184 1,593,400 67 3,525,188
Total 4 years** 762 762 12 292 607** 873** $8,416,589** 287** $6,952,834**
  Additions
P.
& Rep.
Amount
Installations
P.

Amount
Grand
P.
Total
Amount
1959 409 $719,776.32 75 $30,545.00 713 $3,695,041.32
1958 447 620,515.59 137 27,268.15 828 5,354,062.74
1957 369 589,217.21 66 33,587.00 632 3,319,908.21
1956 351 920,231.94 100 35,053.60 673 6,073,873.54
Total 4 years** 1576** $2,849,741.06** 378** $126,453.75** 2846** $18,442,885.81**

** Totals are for 4 years 1956-1959 inclusive.

24 The rentals for the garden type should be in the $100 to $125 per month bracket. For the high-rise building, we estimate there will be a market for 25 efficiency units at $100 per month, 30-one bedroom units at $150 per month and 40-two bedroom units at $200 per month. We suggest placing this high-rise building in a commanding position overlooking the Civic Center, close to everything in the downtown area.

CONCLUSION

We sincerely believe that this project is unique, in that marketability of all of the commercial and residential areas is dependent to some degree on the success of the Civic Center. We recommend that a schedule be established that allows the public and semi-public uses to be developed first so that potential redevelopers can have more facts than are here-in presented, on which to base their proposals for the land. Even though we have not made a reuse appraisal, and cannot do so until a redevelopment plan has been adopted, we believe that the project land will sell for approximately $1,200,000 to $1,300,000. We believe the project to be entirely feasible and feel confident that subject to the Civic Center going ahead first, there will be a market for the proposed reuse of the land. We believe that the land can be sold for the new uses over a period of three to four years. This should mean that the entire project could be completed by 1967. Sale of the project land at this rate would have no adverse effect on other land sales or developments in Asheville. In fact, the sale of this land should encourage other development.

Our conclusion is that the land utilization program is entirely feasible and that the land to be offered for reuse is readily marketable within the scope of the restrictions to be imposed on it for reuse.

25


APPENDIX
26 ROY WENZLICK & CO.
ECONOMISTS  APPRAISERS   PUBLISHERS

TELEPHONE GARFIELD I-0706
706 CHESTNUT STREET ST. LOUIS 1, MO.

September 12, 1960

Redevelopment Commission
of The City of Asheville
P. O. Box 7148
Asheville, North Carolina

Attention: Mr. Charles Dent, Executive Director

Gentlemen:

In accordance with our contract, we are pleased to submit to you, our findings resulting from the study and analysis of Transient Housing in Asheville, North Carolina, contained in the attached report. We are indeed grateful for the splendid cooperation of your project planners, plan commission, and your staff, but most of all for the assistance of your citizens. In particular, the Tourist Association, its president, Mr. Al Diamond, and its members opened their books and offered all cooperation possible, even though the then unknown result of the study might have had an adverse affect on their respective business ventures, Their confidences have been respected, but their figures were used to compute rate of absorption, gross volume, etc.

Principal findings and conclusions are:

1. Tourist business has increased at 2% per year for the last 10 years meaning that, a net of 60 new transient rooms per year can be added to the Asheville supply without affecting the net of existing operators.

2. The Civic Center is designed to bring more people downtown. A motel will help to fill the need thus created and complement the project by helping bring more people downtown.

3. Competitive rooms downtown will be unable to meet existing, or the future demand, and will need to be increased in the next 10 - 20 years if the Civic Center and the Comprehensive Plan are successful.

27 Redevelopment Commission -2                                                                 September 12,1960

4. The reuse of land in the Project Area warrants the construction of 200 units in the area.

We hope that this study justifies the inclusion of a motel site in the final redevelopment plan as we believe it will enhance the project and contribute to the overall success. It will be economically feasible and the land should bring a high price in the bidding for the reuse as a motel site. Should there be any way in which we can assist you further, do not hesitate to call upon us.

Respectfully submitted.

Hiram C. Martin, Jr.

HCM:pe

28 [table of contents of appendix]

TABLE OF CONTENTS

  Page
Introduction And Purpose Of Report 1
Premises Of Report 1
Background Data 3
Existing Transient Facilities 6
Rate Of Absorption 8
Rate Of Occupancy 8
Anticipated Market 11
Suitability Of Area 12
Conclusions And Recommendations 12
   

LIST OF ILLUSTRATIONS

 
Proposed Redevelopment Plan 2
Location of Major Motels 9
29 [appendix page 1]

Roy Wenzlick & Co.        Economists  Appraisers  Counslors  Publishers

TRANSIENT HOUSING
CIVIC CENTER PROJECT
ASHEVILLE, NORTH CAROLINA

INTRODUCTION AND PURPOSE OF REPORT

The Redevelopment Commission of the City of Asheville, North Carolina is proceeding with an Urban Renewal project, N. C. R-13, called the Civic Redevelopment Project. Because it was questionable as to the feasibility of including a site for a motor hotel or motel in the project area, and in conformance to the URA procedure, a separate study of supply and demand of transient housing facilities is being made. The actual purpose of the report is to determine whether or not a market will exist for a motel site, at such time as the cleared land would be offered for sale to a redeveloper. Also, taken into consideration is the economic effect of such a motel, if it were to be constructed, on the other hotel or motel accommodations in and around Asheville.

PREMISES OF REPORT

Prediction of marketability of any motel site at some time in the future is naturally contingent on location. As there has been no redevelopment plan prepared at this time, the first premise of the report is that a motel site would be located on a through street in a desirable location for a motel. The suggested redevelopment plan shown on the next page has such a site for a motel. This plan was prepared for the marketability study of the project area and is not the product of the planners, but is rather the market analysts' suggestion of possible locations for various types of land use.

A second premise of the report is that no new motel will be built in the downtown Asheville area in the intervening period from the present to the time of offering a motel site in the project area for sale.

A third premise is that the final Redevelopment Plan will contain a desirable site for a motel in conjunction with the Civic Center, and that the plan will contain adequate parking, street realignment, and all other features to make an economically feasible project.

30 [appendix page 2]

Proposed Redevelopment Plan
CIVIC CENTER
PROJECT NC. R-13
ASHEVILLE, NORTH CAROLINA

--- LEGEND ---
COMMERCIAL
RESIDENTIAL
PUBLIC & SEMI-PUBLIC

31 [appendix page 3]

BACKGROUND DATA

North Carolina stretches from the Atlantic Sea Coast on the east to the Great Smoky Mountains on the west. In between the two lies the Piedmont Plateau and the Blue Ridge Mountains. The state, therefore, has all types of scenic wonders from the beach to the most rugged areas, including the highest peak in the east, Mount Mitchell, over 6, 000 feet high and only 30 miles from Asheville. Partly as a result of this natural beauty, North Carolina has become quite a tourist attraction. So much so that for the state, the Travel Industry ranked third last year, doing a $360,000,000 volume. This followed textiles and tobacco, and preceeded furniture in the list of income in the state. Asheville, in Western North Carolina is at a cross road for tourists driving either east-west or north-south, plus the Blue Ridge Parkway. It is on the Southern Railroad and has a new all-weather airport that allows night landings and take offs of commercial aircraft for the first time. The new inter-regional highway system eliminates many previous dangers of mountain driving. In short, Asheville from now on will be more accessible to more people than ever before. This would indicate that an increase could be expected in tourism business in the Asheville area.

In addition to tourists, and the normal visiting of a city the size of Asheville (over 100,000 in the metropolitan area), there is an average amount of business travel required to sustain the economy. On the next page, a chart is reproduced showing employment in Buncombe County. This county had a population of 129,879 in the 1960 census and constitutes the primary trade area for Asheville. The figures indicate that 39.2% of the population is employed, with the majority in non-manufacturing jobs. This justifies to a degree the Chamber of Commerce claim that 34% of the economy of Asheville is dependent on the tourist trade. Unfortunately there is no exact way to break down the travel business to show what percentage is normal for a city of this size. Certain studies have-been made that enable us to estimate with a fair degree of accuracy, however. The analysis which follows is a combination of facts insofar as is possible, and conservative estimates beyond that point.

32 [appendix page 4]
 

BUNCOMBE COUNTY

        Per Cent Change To July, 1960 From:
Employment Trends - Total July
1960
May
1960
July
1959
May,
1960
July,
1959
Civilian Labor Force - Total 53,900 52,850 52,700 + 2.0 + 2.3
Unemployed 2,900 2,300 2,550 + 26.1 + 13.7
Employed
     Nonagricultural
          Wage & Salary Workers*
          All Other 1/
     Agriculture
51,000
47,000
40,550
6,450
4,000
50,550
46,550
40,100
6,450
4,000
50,150
46,150
39,700
6,450
4,000
+ .9
+ 1.0
+ 1.1
.0
.0
+ 1.7
+ 1.8
+ 2.1
.0
.0
*WAGE AND SALARY WORKERS 40,550 40,100 39,700 + 1.1 + 2.1
Manufacturing - Total 15,650 15,400 14,750 + 1.6 + 6.1
Food and Kindred Products 1,340 1,320 1,180 + 1.5 + 13.6
Textile Mill Products 3,810 3,810 4,100 .0 - 7.1
Apparel and Related Products 1,340 1,330 1,160 + .8 + 15.5
Lumber and Wood Products Exc. Furn. 550 550 550 .0 .0
Furniture & Fixtures 1,200 1,150 1,000 + 4.3  + 20.0
Printing, Publishing & Allied 430 420 420 + 2.9 + 2.9
Chemicals and Allied Products 4,080 4,120 4,200 - 1.0 - 2.9
Electrical Machinery 1,570 1,540 1,330 + 1.9 + 18.0
All other Manufacturing 2/ 1,330 1,160 810 + 14.7 + 64.2
Nonmanufacturing - Total 24,900 24,700 24,950 + .8 .2
33 [appendix page 5]

BUNCOMBE COUNTY (continued)

        Per Cent Change To July, 1960 From:
  July
1960
May
1960
July
1959
May,
1960
July,
1959
Contract Construction 1,900 1,850 2,050 + 2.7 - 7.3
Transp., Comm., & Other Utilities 2,210 2,180 2,140 + 1.4 + 3.3
Wholesale & Retail Trade 8,380 8,490 8,530 - 1.3 - 1.8
Finance, Insurance & Real Estate 1,010 1,110 1,070 - 9.0 - 5.6
Service Industries 5,650 5,560 5,520 + 1.6 + 2.4
Government 6,630 5,390 5,530 + 4.5 + 1.8
All Other Nonmanufacturing 120 120 110 .0 + 9.1


1
/ Includes self-employed, unpaid family workers, and domestics in private households.

2/ Includes leather, machinery other than electrical; stone, clay and glass products, fabricated metals, transportation equipment, silverware, and all other.

Source: Employment Security Commission at North Carolina

 

34 [appendix page 6]

EXISTING TRANSIENT FACILITIES

Transient rooms in Asheville are mainly of three distinct types. These types can each be graded to indicate quality or price, and the type of business. As in any city, therefore, the total number of rooms does not entirely reflect the true picture unless certain minimum standards of type and quality are also counted. For purposes of this analysis, we have used the following:

8 Hotels - 1200 rooms
70 Motels - 1900 rooms

Included in these totals are many marginal operations, but we have counted all of the rooms which we believe are commercially operated.

Through the cooperation of the Tourist Association, we were able to get detailed figures of specific operations and to compute averages applicable to the totals. The first fact that is apparent is that there are three types of accommodations. They are:

1. Motels - Included in this category are all roadside accommodations commonly known as a motel or tourist court plus some units with kitchen facilities for more extended vacations, and some of the larger and better guest homes that have converted and have private baths, etc.

2. Hotels - in the normal sense of the word.

3. Guest Homes - These are usually larger old homes that have rooms for rent by night or week. Usually sanitary facilities are shared. These guest houses are naturally the cheapest, and they actually represent a shortage of more desirable rooms. They also take care of those that cannot afford better accommodations. We have estimated that there are 1000 additional rooms that are included in this category excluding normal rooming houses.

The operators of these guest houses are either seeking extra money, are retired, or in some cases are actually making a living from the operation.

35 [appendix page 7]

The second fact immediately apparent in the transient room field, is the difference in rates due to the, "season". Following are the rates of a good motel for single occupancy of a twin or double room for a typical year for tourist occupancy.

November 1 to April 1           $8.00 to $9.00
April 1 to May 1, rises gradually depending on traffic  $9.00 to $10.00
May 1 to June 15     $9.50 to $11.50
June 15 to Labor Day    $12.00 to $14.00
Labor Day to September 30       $9.00 to $10.00

The same room will rent to a commercial man who is a steady customer for $5.50 to $7.00 winter and $6.50 to $8.00 in the summer. All good motels do this to insure winter business. The percentage of occupancy by commercial people is 80% in the winter and 10% in the summer.

The third fact of existing business is that by far the largest share of convention business goes to hotels rather than motels. The city auditorium is next door to the Vanderbilt and a short block from the Battery Park Hotel. Both are excellent with good facilities and are able to care of almost all of the convention business. Only the largest of the conventions spill over to the other hotels and motels. However, these hotels are old, and it must be considered that in the next 20 years, that they will need complete renovation if they are to compete.

A fourth fact concerning existing tourist business, but only mildly affecting transient rooms, is that Asheville is a center for religious summer camps. Literally thousands come to the various assemblies, camps and retreats in the mountains. These are operated by Baptists, Methodists, Independents, and many other groups, some on a national basis. These people are classed as tourists, but only the over-flow finds its way into transient rooms. The Asheville economy, though, profits from food, gasoline, and other sales.

36 [appendix page 8] 

RATE OF ABSORPTION

On the following page is a map showing the location of the major motels in the Asheville area. The major hotels are downtown while the motels mainly are on the highways entering the city. The newest group of motels centers around the Howard Johnson Motel and Restaurant. Four years ago, it was thought by motel owners that with the new construction in this area, other motels would be forced out of business. Instead of this happening, business either held steady or increased and other motels modernized, added rooms and swimming pools. Only very marginal motels and guest houses were affected adversely by the construction of new units.

According to an investigation of building permits, the last six years has seen the construction of almost 600 new motel units in the Asheville area. At the present time, the Orton Hotel on Patton Avenue is being demolished. It is the announced intention of the owners to erect a 100 unit motel on this site. We do not believe that this site is either large enough, or in the right place to assure success on todays' market, but if it goes ahead, it will have some effect on existing units.

Because construction of new units was in clusters rather than spread out evenly, both from geographical and time elements, we have been able, by checking operating statements, to conclude that the increase of tourist business over the last six years has been sufficient to absorb at least 60 new units each year. Beyond this point the marginal operator suffers. Actually, it is difficult to compute how many marginal rooms have been removed from the market, but by checking demolitions and owners, we have been able to determine that approximately 200 rooms have been removed from the market in the last six years. This leaves a net gain of 400 rooms or 66 per year. It was from this that we determined the rate of absorption to be 60 units per year.

RATE OF OCCUPANCY

The total number of rooms used earlier is in reality, as far as motels and guest houses are concerned, a seasonal figure. Naturally, hotels, large motels and chain connected motels stay open all year. However, with the fall of occupancy

37 [appendix page 9]

Location of Major Motels
Asheville, North Carolina Area

TOTAL - 70 MOTELS CONTAINING 1900 ROOMS
                 8 HOTELS CONTAINING 1200 ROOMS

38 [appendix page 10]

due to lack of tourists in the winter, many guest houses take down their sign and many smaller and marginal motels hang up a closed sign. Following are the average gross income figures for two types of good average motels in size and operation. Motel A has some units with kitchens for rental on a weekly, monthly or seasonal basis. Motel B is a straight commercial motel. Neither has a restaurant, both have swimming pools and recreational facilities. Other than the kitchen units which rent for from $50 to $85 weekly, the rents are in the brackets quoted previously:

Two Motels Average Gross Income

Jan. Feb. Mar. Apr. May June
$1050 $1750 $2900 $3300 $3900 $5800
           
July Aug. Sept. Oct. Nov. Dec.
$8000 $8450 $5500 $4900 $2300 $1450

This income totals $49, 300 for the entire year, but more interesting than the total, is the occupancy rate which was practically 100% in the s