Now is the time for Tallahassee to leverage CollegeTown’s economic benefits

 

Now is the time for Tallahassee to leverage CollegeTown’s economic benefits

What was once several city blocks of warehouses and empty lots is now one of the most popular destinations for college students and young professionals in Tallahassee.

The story of how this older section of the city transitioned into a premier urban location called CollegeTown is complex. But its history also points to avenues for improving the value of this thriving part of Tallahassee. 

Starting with the revitalization of the Gaines Street corridor, the CollegeTown area was initially envisioned by developers as a place where students and alumni could come together. CollegeTown does precisely this by providing a wide range of amenities – making it a favorable place for students to live, eat, and play.

Within walking distance of Florida State University’s campus and a short drive from Florida A&M University, CollegeTown’s location is its most sought-after amenity.

Since CollegeTown’s completion in 2013, property values have skyrocketed.  In the years prior to the development, combined warehouse property values in the area were all less than $1 million.

Those numbers are much higher now according to our analysis in the DeVoe L. Moore Center in the College of Social Sciences and Public Policy at Florida State.

According to the Florida Department of Revenue, the value of the land that houses popular restaurant Madison Social, is around $1.8 million. The Catalyst Apartment building is worth about $32 million, and the building that rents to Urban Outfitters is just over $1.8 million.

Total property values in the CollegeTown area in 2019 exceeded $861 million, nearly double its worth of $489 million in 2006.

The development makes great use of space by incorporating a variety of mixed-use buildings. Property owners use these buildings to their advantage with three different phases of “CollegeTown Apartments” above commercial spaces for restaurants and shops. Mixed-use buildings help provide different income streams for investors with the ability to collect commercial and residential rent. These mixed-use buildings also increase property value.

Clearly, CollegeTown has made a sizable return on investment for all parties involved in its development.  

While CollegeTown has had great success socially, economically, and aesthetically for the city of Tallahassee, incorporating a few additional elements could improve it as a regional destination for families, students, and alumni. 

For example, the introduction of a park would accentuate the walkability of the area while creating visual appeal and a pet-friendly area for residents. This addition could increase the property value of surrounding buildings and apartment rental prices. 

Attracting national retail brands following in the college student demographic, such as Lululemon or Sephora, would complement the local boutiques that are already present and add more demand to the retail market for college students. 

These improvements could further increase community engagement and make CollegeTown a go-to destination for visitors and strengthen an already crucial asset to Tallahassee.