2026_Sacramento_County_Business_Districts_-_Strategic_Analysis.pdf

Sacramento County Business Districts:

Strategic Analysis

Sacramento County Business Districts:

Strategic Analysis

Understanding Existing Conditions and Opportunities Across Key Business Corridors

Understanding Existing Conditions and Opportunities Across Key Business Corridors

3 INTRODUCTION

4 METHOLODY

5 FULTON AVENUE ASSOCIATION

17 CARMICHAEL IMPROVEMENT DISTRICT

28 80-WATT PROPERTY AND BUSINESS

IMPROVEMENT DISTRICT

38 ARDEN + HOWE BUSINESS ALLIANCE

48 FLORIN ROAD PARTNERSHIP

58 ANTELOPE BUSINESS COMMUNITY

68 CONCLUSION

69 APPENDIX

72 CONTACT INFORMATION

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INTRODUCTION

The Property and Business Improvement Districts (PBIDs) in unincorporated Sacramento County

— Fulton Avenue Association, Carmichael Improvement District, 80-Watt Property and Business Improvement District, Arden + Howe Business Alliance, Florin Road Partnership, and Antelope Business Community — represent significant assets for the County's economic vitality, tax base, and sense of place.

This Strategic Analysis examines existing conditions across all six districts and recommends strategies for corridor activation and long-term stability. While each district is unique, this analysis surfaces a consistent set of challenges and opportunities: multi-generational and economically diverse communities, corridors with meaningful physical assets but structural barriers to growth, and zoning frameworks that either remain unrealized or require updates.

The analysis opens with a Community and Land Use Profile, presenting data on the surrounding community and the physical characteristics of properties within each district. From there, it identifies the factors that shape whether certain types of businesses would succeed, given each district's demographics and available space. Building on those findings, and drawing on industry and community trends in corridor activation and placemaking, it lays out a set of Strategic Priorities and Implementation Actions designed to bring more people and dollars into each district.

Across all six districts, the path forward centers on strengthening district identity, closing existing market gaps, and creating conditions that give both residents and visitors a reason to stay, return, and spend. Success requires embracing what each district’s community and physical characteristics can support. Districts with existing clusters of civic and commercial assets should build on their position as regional destinations, while others, given their location and available land or property, may need to focus on serving surrounding neighborhoods or supporting industrial uses.

The Strategic Priorities and Implementation Actions are not levers to pull in isolation. They are interdependent, and their power lies in how they reinforce one another. Attracting new businesses is only a viable ask if those businesses can see they are entering a market with momentum. Placemaking events serve as both market testing and proof of concept, demonstrating to prospective restaurateurs, retailers, and service providers that visitors will show up and spend money. Mixed-use infill development creates a new live-work-shop ecosystem where both businesses and events can take root and grow. And while gateway signage and digital branding tools will not move the needle on their own, they become meaningful multipliers once the other strategies are in motion, helping to ensure that the identity being built is visible to visitors drawn in.

Ultimately, this analysis supports the County in taking an intentional approach to growing their PBIDs.

METHODOLOGY

This Strategic Analysis was conducted using a consistent framework applied to each district, allowing for meaningful comparison across corridors while preserving the specificity needed to develop targeted recommendations.

Data Sources

The analysis draws on a range of quantitative and qualitative data sources. Market and property data, including vacancy rates, availability, property types, tenant mix, and consumer spending patterns, were sourced from CoStar Group, Inc., one of the leading providers of commercial real estate information and analytics. Demographic data, including population trends, age and household composition, race and ethnicity, educational attainment, income levels, and homeownership rates, were drawn from a combination of CoStar's integrated demographic datasets and the United States Census Bureau, including the American Community Survey (ACS).

These datasets reflect conditions at both the one-mile radius and ZIP code levels, as noted throughout the report.

Transportation and transit data were informed by Sacramento Regional Transit (SacRT) service maps and route information. Zoning and land use context was developed through a review of Sacramento County Special Planning Areas (SPAs) and Neighborhood Preservation Areas (NPAs), including corridor-specific plans such as the Fair Oaks Boulevard Corridor Plan and the Fulton Avenue SPA. Field observation and local market and community knowledge informed qualitative assessments of anchor institutions, physical conditions, and district character.

Analytical Framework

Each district’s analysis includes the following key components:

The Community Profile examines the demographic and economic characteristics of the residential population surrounding each district, including population trends, age and household composition, race and ethnicity, income levels, homeownership rates, educational attainment, workforce participation, and consumer spending patterns.

The Land Use Profile examines the physical and commercial characteristics of each district, including property types and tenant mix, vacancy and availability rates, zoning and land use flexibility, parking supply, and active transportation infrastructure. It assesses the built environment and identifies infill and redevelopment opportunities.

Influencing Factors are those that impact whether businesses would be drawn to or successful in the district. Drawing on industry research and best practices in corridor activation and placemaking, detailed further in the Appendix, this section examines how demographics, location and accessibility, infrastructure and zoning, and market saturation interact to create opportunities or constraints for business attraction and retention.

Strategic Priorities and Implementation Actions translates the findings from the preceding sections into district-specific recommendations. Each set of strategic priorities is grounded in the district's unique conditions and is designed to be actionable, providing a clear direction for district partners, County staff, and stakeholders to pursue in the near and long term.

Fulton Avenue Association Strategic Analysis

Fulton Avenue Association Strategic Analysis

The 1-mile radius area surrounding the district has a 2024 population of 23,862, with a slight population decline of -0.20% from 2020 to 2024, followed by projected growth of 0.59% from 2024 to 2029. In contrast, Sacramento County as a whole is projected to grow more steadily, with a 2020–2024 growth rate of 0.12% and a 2024–2029 growth rate of 0.65%.

The community surrounding the district is diverse, with the largest population groups identifying as White and Asian, and approximately one-fifth of residents across the one-mile radius and both surrounding ZIP codes identifying as Hispanic.

The age distribution of households surrounding the district point to a multi-generational population, with a mix of school-aged children and older adults. In the 95821 ZIP code, 30.3% of households have children under 18, while 41.2% have individuals aged 60 or older, and 32.7% have someone aged 65 or older. In 95825, 23.6% of households include children under 18, with 33.6% having individuals 60 or older, and 26.3% having someone 65 or older. Among households with their own children, the majority fall into the 6 to 17 years age range, accounting for 42.5% in 95821 and 44.6% in 95825.

Demographic Profile and Population Trends

The 1-mile radius has a relatively lower educational attainment profile, with 18% of residents having no high school diploma and only 23% holding a bachelor’s or advanced degree, compared to higher levels of educational attainment in the broader county. Workforce participation presents another challenge. Across the one-mile radius and the two ZIP codes, more than one-third of the population is not part of the workforce, and unemployment rates are slightly higher than the county average.

Employment in the 1-mile area is concentrated in Professional & Management (28.46%), followed by Services (11.25%), Education & Health (10.59%), and Retail (7.59%). Manufacturing and Construction each represent a smaller share of employment at 2.35% and 8.07%, respectively.

Educational Attainment and Workforce Participation

COMMUNITY PROFILE ANALYSIS Fulton Avenue Assosication

Source: CoStar Group, Inc.

95825 ZIP CODE

95821 ZIP CODE

CENTER OF DISTRICT

DISTRICT BOUNDARY

1-MILE RADIUS FROM DISTRICT CENTER

Source: CoStar Group, Inc.

CENTER OF DISTRICT

Race + Ethnicity 1-Mile Radius 95821 Zip Code 95825 Zip Code Sacramento County

White Black Am. Indian & Alaskan Asian Hawaiian & Pacific Islander 2+ Races 0%

10% 20% 30% 40% 50% 60% 70%

40.99%

63.80% 55.90%

43.75%

10.36% 12.10% 19.50%

9.44%

1.19% 3.20% 3.00% 1.21%

17.12% 17.90% 16.60% 17.69%

0.88% 0.30% 3.10% 1.16%

29.45%

17.10% 19.60% 26.75%

Homeownership Rates

The 1-mile radius has a predominantly renter-occupied housing market, with nearly 70% of households renting, compared to just over 30% who own their homes. This rental-heavy pattern is even more pronounced in ZIP code 95825, where 75.2% of households are renters, while 95821 is more balanced but still renter-leaning at 51.7%. In contrast, Sacramento County overall has a majority of owner-occupied households at 56.7%.

Household Income and Self-Sufficiency

The 1-mile radius has a significantly lower household income profile compared to Sacramento County, with over half of households earning less than $50,000 and a median income of $43,116, far below the county median of $82,388 and the regional self-sufficiency standard of $88,002. Nearby ZIP codes 95821 and 95825 show slightly higher incomes but still fall short of county averages. High-income households are notably underrepresented in the 1-mile area, where only about 12.5% of households earn more than $100,000, compared to 40% countywide.

Consumer Spending Patterns

Despite modest incomes, residents around the district still contribute significantly to the local economy, with spending focused on essential goods and services. The largest expenditure categories are food and alcohol, transportation, and household needs, including maintenance, repairs, and furnishings.

Fulton Avenue Assosication

$0 $20,000,000 $40,000,000 $60,000,000 $80,000,000

Apparel

Entertainment & Hobbies

Food and Alcohol

Household

Transportation/Maint.

Health Care

Education/Day Care

$13,898,000

$35,055,000

$72,364,000

$35,101,000

$61,308,000

$11,516,000

$7,371,000

2024 Annual Spending: 1-Mile Radius

1-Mile Radius 95821 Zip Code 95825 Zip Code

Sacramento County

$43,116 $58,331 $64,264

$82,388

Median Household Income

Owner Occupied

Renter Occupied

0% 20% 40% 60% 80% 100%

1-Mile Radius

95821 Zip Code

95825 Zip Code

Sacramento County

30.32% 69.68%

48.30% 51.70%

24.80% 75.20%

56.72% 43.28%

COMMUNITY PROFILE ANALYSIS

Zoning and Land Use Flexibility

The Fulton Avenue Special Planning Area (SPA), adopted in 2011 as a 20-year vision for the district, significantly reshaped its zoning. As part of this effort, all properties were rezoned to either Corridor Mixed- Use Areas (CMU-A) or Corridor Mixed-Use Centers (CMUC-C). CMU-A zoning supports neighborhood-scaled development that is compatible with transit, while CMUC-C zoning encourages more compact, transit-oriented, mixed-use projects located near transit nodes and areas with planned high pedestrian activity.

The SPA also introduced additional retail by-right uses and increased flexibility in building height, setbacks, and parking requirements. Certain uses, however, were specifically prohibited, including tattoo parlors, pawn shops, adult entertainment venues, firearm sales and gunsmithing, and check cashing establishments. Other uses were conditionally permitted, requiring Planning Commission or Board of Supervisors approval, including major auto repair services, unless the underlying zoning is Auto Commercial (AC). Overall, the SPA aimed to diversify the district’s business mix, promote higher-quality design, and optimize parcels, particularly large, single-owner properties, for redevelopment and business attraction.

Despite these zoning changes and the expanded list of permitted uses, auto-related businesses still dominate the district, and there are a number of vacant parcels.

Current Property Types and Tenant Mix The district is still predominantly characterized by auto-related land uses and single-tenant, freestanding structures. Out of 214 total properties, 165 (or about 77%) are freestanding buildings with open parking, such as fast-food outlets, stand-alone retail stores, and large-format retailers. The remaining properties include 26 auto repair shops, 19 auto dealerships, 8 restaurants, 4 fast-food restaurants, and a small number of storefront retail or office spaces. There are also a few unique uses, including a day care center, a loft/creative space, and a supermarket.

Based on tenant type, nearly a quarter of the properties (49) house auto-related businesses, including maintenance shops, oil change services, car rentals, showrooms, and parts stores. Restaurants account for 22 properties, professional services such as legal and tax services are found in 9 locations, and there are 5 supermarkets. This data highlights a continued concentration of automotive services, despite zoning that supports a broader mix of uses.

Vacancy and Infill Opportunities The district currently has moderate vacancy levels, creating opportunities for strategic infill development.

There are 10 vacant properties totaling 128,529 square feet of unused space. This provides a clear opening for targeted investment in new businesses, mixed-use developments, or neighborhood amenities. The availability of underutilized parcels could also support business retention and attraction strategies, particularly if large properties with single ownership are leveraged for redevelopment.

LAND USE PROFILE ANALYSIS Fulton Avenue Assosication

Anchor Institutions and Spaces The district is home to several key anchor institutions (i.e., single, high-traffic destinations that consistently draw both car and foot traffic). Separate from anchor industries such as auto-related retail and services, these are individual entities that serve as daily draws for residents and visitors alike. Destinations like Town & Country Village, DMV Express Services, 24 Hour Fitness, the Department of Human Assistance, the Arcade Library, and the local Post Office generate consistent activity in the area. This steady flow of people helps support nearby businesses and services, contributing to the overall vitality of the district.

Top businesses in the district can be categorized in two ways: (1) Most Represented by Number of Businesses and (2) Highest Employment Levels. When looking at business count, Health Care & Social Assistance stands out with 581 establishments, followed by Other Services (176) and Retail & Wholesale Trade (205). In terms of employment, Retail & Wholesale Trade leads with 2,150 employees, followed closely by Finance & Insurance with 2,037, and Health Care & Social Assistance with 1,386. This dual lens highlights how certain sectors, like health care and retail, are both numerous and major employers, while others, such as finance, have fewer establishments but high employment density.

Healthcare and Social Assistance businesses in the district include clinics, urgent care centers, and specialized service providers that serve the needs of the surrounding community. The Other Services category covers a wide range of businesses, including auto maintenance shops, repair centers, and personal service providers. Combined with the large concentration of auto-related businesses within the Retail & Wholesale Trade category, these sectors highlight the district’s historical focus on auto-related commerce.

This focus remains a defining characteristic of the corridor, serving as both a regional draw and a major contributor to local tax revenue.

Collectively, these sectors create a commercial ecosystem that serves both the local population and a broader regional customer base.

Top Businesses in the District

Fulton Avenue Assosication

Parking and Active Transportation Surface parking is abundant throughout the district. The availability of large parking lots opens up the possibility for shared parking strategies or redevelopment projects that incorporate structured or consolidated parking to support higher-density uses. These strategies could enhance the district’s walkability while maintaining convenient vehicle access.

From an active transportation perspective, the district has some existing transit and bike infrastructure but also notable gaps. Sacramento Regional Transit’s Bus Route #26 runs along Fulton Avenue, connecting the district to the Watt/Interstate 80 Light Rail Station to the north and the University/65th Street Light Rail Station to the south. However, sidewalks are disconnected in places, and the bike lane network is incomplete, particularly at major intersections. Improving pedestrian and bicycle connectivity would be a critical step toward making the area more accessible and attractive for a broader range of businesses, residents, and visitors.

LAND USE PROFILE ANALYSIS

Town & Country Village 2651 El Paseo Laane

County of Sacramento Department of Human Assistance

2700 Fulton Ave suite

Arcade Library 2443 Marconi Ave 9

INFLUENCING FACTORS

Influencing Factors refer to factors that impact whether businesses would be drawn to or successful in the district. For example: How would the age distribution of households in the residential areas surrounding Fulton Avenue, or the income level of the residents, impact what types of retail or dining establishments would be successful? Or, what types of businesses would be drawn to the district’s zoning opportunities or niche identity?

To activate a district:

1.We need a local, steady customer base from the immediate surrounding community; and 2.We need to draw outside visitors, who see the district as a "destination" worth visiting.

Influencing Factors take what we know about the surrounding community (i.e., all the data points in the Community Profile and Analysis) and what we know about the district's commercial characteristics to inform how we can activate the district.

Fulton Avenue Assosication

Age & Household

Household Income

This suggests limited disposable income in the immediate 1-mile radius, meaning businesses targeting this area will likely need to focus on affordability and value-driven options, particularly for retail and dining. The overall lack of higher-income households reduces opportunities for premium-priced goods or services. This points to a need for careful consideration of pricing strategies, potentially emphasizing essentials, discount options, or accessible family-oriented offerings.

DEMOGAPHICS AND CUSTOMER BASE

Homeownership Rates

The high percentage of renters in the 1-mile radius and surrounding ZIP codes suggests a more transient population with less long-term residential stability. This may make the area more attractive to quick-service restaurants, convenience-oriented retail, or businesses targeting short-term needs rather than those relying on repeat, loyalty-driven customer bases. In contrast, the relatively low homeownership rates may pose a challenge for attracting businesses like grocery stores that prioritize stable, long-term customer relationships.

Educational Attainment and Occupations In and Around the District

The local workforce’s concentration in service, retail, and health support roles, combined with lower educational attainment, suggests demand for accessible, convenience-oriented retail and dining options that fit modest budgets and flexible schedules. Businesses like quick-service restaurants, coffee shops, and salons could perform well, especially if they cater to working-class customers with practical, affordable offerings. The lower presence of high-earning professionals or remote workers may limit opportunities for upscale or niche specialty services in this area.

The district’s multi-generational community, with a mix of school-aged children and older adults, suggests demand for a diverse range of goods and services that cater to both families and seniors. This demographic profile may attract family-friendly businesses like casual dining or quick service restaurants, childcare services, and after-school programs, as well as healthcare providers and amenities geared toward older residents.

Fulton Avenue AssosicationINFLUENCING FACTORS

Location The district’s location along a major, high-traffic corridor presents a significant advantage in terms of visibility and customer exposure. Businesses such as auto sales, repair shops, quick-service restaurants, and convenience retail can capitalize on this by leveraging prominent signage, eye-catching storefronts, and easy-to-navigate parking or access points to attract drive-by customers. However, given the surrounding community's lower disposable income and higher renter population, some businesses may need to balance visibility with competitive pricing and accessible services to convert traffic into actual sales.

LOCATION, ACCESSIBILITY, AND VISIBILITY

Parking and Visibility The abundance of surface parking and the district’s location along a major roadway make Fulton Avenue highly accessible for car-centric businesses, aligning well with current demand for easy vehicular access and customer convenience. This is particularly advantageous for auto-related services, drive-through dining, and businesses that depend on spontaneous visits from passing traffic.

However, its large parking lots also present an opportunity for long-term redevelopment and diversification. By exploring shared parking or structured parking solutions, Fulton Avenue could introduce higher-density retail, dining, and mixed-use projects without losing vehicle convenience. This could expand the district’s appeal beyond auto-oriented services, especially if combined with improvements to pedestrian, bike, and transit infrastructure.

Other Anchors and Destinations The district’s concentration of anchor institutions, such as Town & Country Village, the Arcade Library, the DMV Express Services, and the Department of Human Assistance, makes it more appealing to prospective businesses. These high-traffic destinations signal to investors that there is already a built-in specific type of customer base visiting the area for multiple reasons.

The presence of multiple civic and commercial anchors creates a "critical mass" that encourages complementary businesses, such as cafes, retail shops, or service providers, to locate nearby. This clustering effect can encourage visitors to make multiple stops in one trip.

Facilities like the Arcade Library and 24 Hour Fitness not only drive foot traffic but also serve as community gathering spaces. Their role in hosting events and providing services contributes to the social fabric of the district, making it a destination for both errands and engagement, an appealing dynamic for both public and private investment.

Physical Space

The district features a mix of property types, with retail being the most prevalent use, though office and industrial properties are also present. There are 17 office properties, representing about 7.9% of the total, and 8 industrial properties, making up approximately 3.7%. The office properties include locations such as the Town and Country Office at 2500 Marconi Avenue, while industrial uses typically involve warehousing and auto repair services, like Capitol City Transmission.

The prevalence of retail properties suggests the district is well-suited for businesses that require storefront visibility, customer-facing spaces, and vehicle access, making it attractive for retail, dining, and service-based operations. However, the relatively small number of office and industrial properties indicates more limited availability for businesses needing specialized space, such as professional offices, warehousing, or repair facilities. This means that while the district is positioned to support auto-oriented and retail businesses, there may be constraints for companies seeking larger footprints, back-of-house operations, or flexible-use spaces, potentially limiting diversification unless redevelopment or property conversions are pursued.

INFRASTRUCTURE AND ZONING

Zoning of Adjacent Properties

Because the district is primarily surrounded by low-density single-family residential neighborhoods, it may lack the volume and variety of nearby uses, such as offices, multifamily housing, or entertainment venues, that typically generate steady foot traffic and support a robust daytime and evening customer base. To fully leverage the SPA zoning, Fulton Avenue will likely need targeted redevelopment that introduces more mixed-use and higher-density projects within the district itself to create a self-sustaining ecosystem of activity.

Zoning

The Fulton Avenue SPA zoning creates significant opportunities for a more diverse and vibrant business environment by allowing a mix of retail, office, and residential uses, as well as greater flexibility in development standards. This mix is intended to support businesses that benefit from varied customer bases throughout the day, such as restaurants, coffee shops, and service retailers, by encouraging complementary uses like housing and offices that generate consistent foot traffic.

However, the current reality, where auto-related businesses dominate and some parcels remain vacant, limits the district’s ability to generate consistent foot traffic and a diverse customer base. The district's current strength is its position as a pass-through stop and shop, which runs counter to the current SPA zoning. The lack of complementary uses, such as offices, housing, or active retail centers, can make the area less attractive for businesses like restaurants or service retailers that rely on a steady flow of daytime and evening customers.

MARKET SATURATION AND COMPETITION

Clustering

For the Fulton Avenue Association district, the existing concentration of auto-related businesses, such as dealerships, repair shops, and parts suppliers, creates a natural cluster that offers agglomeration benefits. This clustering makes Fulton Avenue a regional destination for auto sales and services, attracting customers who prefer the convenience of comparing options or completing multiple vehicle-related errands in one trip.

However, for other retail and dining businesses, the dominance of auto uses may limit these same benefits unless complementary clusters are developed. Expanding the district’s mix to include more dining, retail, and service businesses could create a broader "one-stop" destination effect, increasing overall visitation and diversifying the customer base beyond auto-focused trips.

Market Saturation and Gaps

The district is primarily known for its strong concentration of auto-related businesses, including new and used car dealerships, repair shops, auto parts suppliers, and specialty services like detailing and customization. In addition to its automotive focus, the district also features a variety of retail stores, furniture showrooms, and home improvement businesses. Dining options are present but limited, mostly consisting of quick-service and casual restaurants that cater to shoppers and employees in the area. Overall, Fulton Avenue serves as a regional hub for vehicle sales and services, complemented by home goods retailers and supportive service businesses.

The Fulton Avenue district’s heavy concentration of auto-related businesses suggests both opportunity and risk for new entrants. On one hand, the cluster validates that Fulton Avenue is a recognized regional destination for vehicle sales and services, signaling strong consumer demand and drawing consistent traffic. On the other hand, the market could be approaching saturation for certain auto-related services, making it more challenging for new businesses in the same category to differentiate and capture market share. For other sectors, such as retail, dining, or home goods, the current business mix may represent an opportunity to fill gaps and diversify the district’s offerings, reducing reliance on auto-focused traffic alone.

STRATEGIC PRIORITIES & IMPLEMENTATION ACTIONS Fulton Avenue Assosication

The Strategic Priorities and Implementation Actions are informed by industry and community trends in corridor activation and placemaking, as applied specifically to the district’s Community and Land Use profile and their Influencing Factors. The categories of analyses will remain similar across each district across Sacramento County. The same data points will be pulled for the Community and Land Use Profile and Analysis, the same Influencing Factors will be taken into account. However, the Strategic Priorities and Implementation Actions will lift up distinct complementary opportunities. So, for example, a Strategic Priority focused on “Celebrating the Concentration of Auto-Centric Businesses and Leveraging Them as an Identity-Defining Product for the district” is specific to Fulton Avenue, because of its auto-centric identity.

Following an analysis of the Influencing Factors, this is what we know: Fulton Avenue’s identity as a “destination” is largely tied to its concentration of auto-related businesses (e.g., car dealerships, parts stores, and repair shops). However, it also has its local, steady customer base, and its “pass-through” points, like Town & Country Village, which draw consistent traffic from people running errands or making quick stops.

The auto-centric destination provides a stable, high-ticket retail base, whose stability seems unlikely to decline. To build on that foundation, we need to diversify the businesses. Specifically, what Fulton Avenue is missing is a reason for people to come to the district when they’re not buying or servicing a car, or picking up groceries. How do we address that, while also continuing to celebrate and leverage its auto-centric identity?

Cross-Promotion Between Auto- Related Businesses and Retail, Dining, or Other Services

Develop district-wide “while you wait” promotion or loyalty programs where customers who are buying a car, or getting their car repaired or serviced, receive a discount or some other incentive to visit a nearby restaurant or retail establishment.

To complement this, develop a digital directory or map, accessible by QR code, highlighting retail or dining options within a 5–10 minute walk of auto-related businesses.

Auto-Focused Community Events with Retail/Dining Integration

Grow auto-focused events to enhance the customer base [see also the “Placemaking Through Events” strategic priority].

Organize car shows or vehicle maintenance clinics, hosted by existing businesses, that incorporate local food vendors, pop-up retail, and family activities to broaden participation.

Use parking lots for large-scale, car-centric community events that also introduce attendees to other district businesses (e.g., “Cars & Coffee” weekends, classic car nights, EV showcases with tech demos and food trucks).

Way-Finding and Branding

Install additional branded gateway signage at key entry points (e.g., Marconi and Fulton, Alta Arden and Fulton).

Develop a digital directory or map, accessible by QR code, for real-time navigation of businesses and events.

1) Celebrate the Concentration of Auto-Centric Businesses and Leveraging Them as an Identity-Defining Product for the District

Fulton Avenue Assosication

STRATEGIC PRIORITIES &

IMPLEMENTATION ACTIONS

Leveraging Anchor Destinations to Attract Complementary Businesses

Develop a “cluster strategy” that encourages co-location of complementary uses by promoting commercial spaces near these anchor destinations to businesses that benefit from consistent daily foot and vehicle traffic, such as coffee shops, grab-and-go dining, convenience retail, or other service-oriented businesses.

E.g., an "Explore Fulton" passport or punch-card system to reward visitors for making multiple stops.

Pilot small-scale pop-ups or vendor activations near these anchor destinations to test demand and build momentum for longer-term leases.

Create“Micro- Destinations”

Identify key nodes where minor pedestrian improvements can make a difference (e.g., shaded seating near auto shops, resting areas in retail clusters, or improved crossings at major intersections).

Prioritize low-cost, high-impact improvements like clearer crosswalk striping at high-use points, improved lighting, and street furniture that supports brief pedestrian use (benches, shade, trash receptacles near businesses with waiting customers).

Activate Vacant Spaces or Parking Lots with Temporary Amenities

Use portions of large parking lots or underutilized parcels for food trucks, pop-up vendors, mobile services, or weekend markets that encourage visitors to linger and spend more while in the district for its auto-related businesses or anchor destinations.

2) Orient Towards Multi-Stop Visits Encouraging Businesses to Collaborate Around Customer Engagement

Targeted Business Recruitment

Use vacancy data (10 vacant parcels, 128,529 sq. ft.) to proactively recruit tenants that would serve the local, steady customer base:

Family-oriented dining (quick-service or casual)

Childcare or after-school services or activities Healthcare services targeted towards seniors, or other senior services Convenience retail and household goods stores

... As well as others to diversify dining, retail, and service offerings, and encourage multi-tenant centers and shared spaces.

Incentive Programs

Explore possibilities for tenant improvement assistance, through County partnerships or grants, for new businesses filling identified market gaps.

Offer marketing support or shared promotions for new small businesses locating in the district.

Leverage Zoning Flexibility

Promote the SPA’s by-right uses and streamlined permitting as a selling point for developers and businesses considering Fulton Avenue.

3) Attract New and Complementary Businesses

Fulton Avenue Assosication

STRATEGIC PRIORITIES &

IMPLEMENTATION ACTIONS

Adaptive Reuse of Underutilized Properties

Encourage redevelopment of freestanding, single-tenant buildings (77% of district stock) into multi-tenant retail centers or shared spaces. Pilot flexible lease models to support pop-ups, co-working spaces, or creative businesses in vacant storefronts.

Parking Lot Transformation

Explore conversion of excess surface parking into community spaces, green areas, or mixed-use developments with shared parking.Use parklets or temporary installations as proof-of-concept for future redevelopment.

Infill Development

Recruit developers for vertical mixed-use projects (e.g., retail, dining, office), especially on large, single-owner parcels, inline with the goals of the 2011 Fulton Avenue SPA Ordinance.

4) Reuse and Rethink Spaces

Expand Auto- Focused Events

Host car shows, EV expos, or "shop & shine" events that align with the concentration of auto-related businesses, but draw broader audiences.

Collaborate with these auto-related businesses for event sponsorship.

Create Community- Centered Events

Organize family-friendly festivals, food truck nights, or sidewalk sales to broaden the district’s appeal beyond auto services.Partner with local schools and nonprofits to include cultural performances, youth activities, and wellness fairs.

Pop-Up Activation

Use vacant lots or large parking areas for pop-up markets, arts events, or seasonal activities (e.g., holiday markets, night markets) to test new uses and bring foot traffic.

5) Placemaking Through Events

Carmichael Improvement District Strategic Analysis

Carmichael Improvement District

Prof. Management 55.4%

Education & Health 23.2%

Service 21.5%

Race + Ethnicity 1-Mile Radius 95608 Zip Code Sacramento County

White Black Am. Indian & Alaskan Asian Hawaiian & Pacific Islander 2+ Races 0%

20%

40%

60%

80%

66.90% 70.20%

43.75%

5.51% 6.10% 9.44%

0.82% 0.50% 1.21% 7.47% 8.30%

17.69%

0.43% 0.60% 1.16%

18.87%

10.60%

26.75%

The one-mile radius surrounding the district has moderate educational attainment levels: Nine percent have no high school diploma, 35% have some college (no degree), and 26% hold a bachelor’s or higher degree.

Unemployment is lower than the County average, suggesting a relatively stable workforce. Employment is concentrated in the Professional & Management (29.4%), Education & Health (12.3%), and Service (11.4%) industry sectors. In the surrounding ZIP code, Construction, Retail, and Transportation are also top industries, based on employment.

The one-mile radius surrounding the Carmichael Improvement District experienced a slight population decline from 2020–2024 (-0.3%), though projections suggest a modest rebound between 2024–2029 with growth of 0.1%.

In contrast, Sacramento County as a whole is projected to grow more steadily, with a 2020–2024 growth rate of 0.12% and a 2024–2029 growth rate of 0.65%. However, almost one-third of residents in the surrounding ZIP code have lived there since at least 2000, and two-thirds have remained since 2009. This long-term residency, when paired with relatively high homeownership rates, points to a stable and consistent residential base.

The surrounding community is majority White (66.9% in the one-mile radius, 70.2% in the surrounding ZIP code). Smaller percentages account for other races – approximately 7-8% are Asian, and approximately 6% are black. Those who identify as Hispanic make-up approximately 15%.

Demographic Profile and Population Trends

Educational Attainment and Workforce Participation

Source: CoStar Group, Inc.

Zip Code: 95608

Age distribution reveals a multi-generational community with both older adults and families with school-aged children. Nearly half (48%) of households include someone aged 60 or older, and 26% include children under 18.

Among households with children, the majority (59.1%) have school-aged youth (6–17 years old).

COMMUNITY PROFILE ANALYSIS Carmichael Improvement District

DISTRICT BOUNDARY

1-MILE RADIUS FROM DISTRICT CENTER

CENTER OF DISTRICT

There is a near-even split between owner and renter-occupied households in both the one-mile radius and ZIP code area. Within the one-mile radius, just over half of households (52%) are owner-occupied, compared to 48% renter-occupied. Within the ZIP code area, 51.9% are owner-occupied and 48.1% renter-occupied. These homeownership rates are only slightly below Sacramento County, which has a majority of owner-occupied households at 56.7%.

Household Income and Self-Sufficiency

The median household income within one mile is $74,040, below both the ZIP code median ($83,638) and county median ($82,388). Nearly half of households earn under $75,000, and 14.5% fall below $25,000, indicating a significant share below the $88,002 regional self-sufficiency standard for a family of four. In contrast, the ZIP code 95608 features a stronger income distribution, with over 50% of households earning $100K+, and 20% exceeding $200K.

1-Mile Radius 95608 Zip Code Sacramento County

$74,040 $83,638 $82,388

$0 $10,000,000 $20,000,000 $30,000,000 $40,000,000 $50,000,000 $60,000,000

Apparel

Entertainment & Hobbies

Food and Alcohol

Household

Transportation/Maint.

Health Care

Education/Day Care

$10,563,000

$32,573,000

$57,539,000

$35,272,000

$52,317,000

$10,530,000

$13,918,000

Consumer Spending Patterns

In 2024, total consumer spending within a one-mile radius was distributed across 23 categories, with the largest share devoted to household-related expenses, including maintenance, furnishings, and operations.

Food at home represented the second-highest spending area, followed by vehicle purchases.

Median Household Income

Carmichael Improvement District

2024 Annual Spending: 1-Mile Radius

Owner Occupied Renter Occupied

0% 20% 40% 60% 80% 100%

1-Mile Radius

95608 Zip Code

Sacramento County

52.00% 48.00%

51.90% 48.10%

Zoning in the district is built on a series of coordinated planning efforts that establish a foundation, framework, and implementation tools for activating the district in line with the community’s vision for development.

The Carmichael Community Action Plan sought to transform Fair Oaks Boulevard into a vibrant “Main Street” corridor, emphasizing pedestrian safety, alternative transportation, mixed-use development, and a family-oriented business environment. The Action Plan reflected a broad community desire to create a more walkable and connected district that supports both residents and local commerce.

The Fair Oaks Boulevard Corridor Plan, which overlaps almost directly with the district's map, took the community priorities in the Action Plan, and translated them into a corridor-wide set of goals and objectives. It organized the corridor into four distinct districts: Main Street, East Fair Oaks, South Gateway, and Manzanita, and set standards for traffic flow, streetscape upgrades, access/parking, and business attraction.

To implement the Corridor Plan, the Main Street District Special Planning Area (SPA) established binding zoning standards and land-use rules. The SPA permits a mix of retail, dining, services, offices, and multi-family housing, while limiting or prohibiting auto-oriented uses inconsistent with a pedestrian-friendly Main Street character. For example, auto sales and repair are not allowed, and certain uses, such as drive-throughs or large-scale retail over 50,000 square feet, require prior approval.

Despite these coordinated planning efforts and changes to zoning, the district still faces challenges, including vacancies and aging commercial stock, that hinder its activation.

Current Property Types and Tenant Mix The district’s property inventory is heavily weighted toward retail, which accounts for 179 properties, or just over half of the total. These retail sites span a wide range of uses, including 23 auto repair shops, 5 banks, 8 convenience stores, and several restaurants. Office space makes up the next largest share with 56 properties (about 16%), followed by multi-family housing with 46 properties (nearly 13%). Industrial uses are also present, with 35 properties (about 10%), primarily warehouses and service centers.

Vacancy and Infill Opportunities

Vacancy in the Carmichael/Fair Oaks corridor is concentrated in several high-visibility retail and commercial properties. Notable vacant sites include the former Kelly-Moore Paints on Windmill Way, Big Lots on Fair Oaks Boulevard, Western Dental, the former 99 Cents Only store, Walgreens (which remains under lease for three more years but is seeking a subtenant), and the closed Rite Aid on Manzanita Avenue. Additional vacant or underutilized spaces include the property near InShape and Goodwill, which offers significant leasable square footage, as well as the Manzanita Nursery site, which spans 1.66 acres and is currently for sale.

In total, the area has approximately 55,900 square feet of vacant space, representing a significant opportunity for reinvestment and repositioning. These vacancies, many of them large-format retail buildings in prime corridor locations, create both challenges for corridor vitality and openings for attracting new anchor tenants or diversified uses that could draw steady local customers as well as outside visitors.

LAND USE PROFILE ANALYSIS Carmichael Improvement District

The district benefits from several key anchors that draw consistent daily activity from both residents and visitors, generating steady car and foot traffic. Notable amenities include Carmichael Park and the Carmichael Library, while commercial anchors such as the Milagro Centre and the nearby Bel-Air and Safeway centers, alongside Sultan International Market, Goodwill, and Banfield Pet Hospital, create a vibrant commercial cluster along Manzanita Avenue.

Top Businesses in the District

Within a one-mile radius of 7141 Fair Oaks Blvd in Carmichael, 981 businesses employ about 5,295 people.

Education & Health Services leads with both the highest number of businesses (224) and employees (1,553).

Sectors like Other Services (176 businesses, 648 employees) and Professional & Business Services (148 businesses, 632 employees) have many establishments but smaller workforces, reflecting smaller-scale operations. On the other hand, Trade, Transportation & Utilities (116 businesses, 745 employees) and Leisure & Hospitality (74 businesses, 644 employees) employ more people per business. Smaller industries such as Financial Activities, Construction, and Manufacturing contribute modestly.

Carmichael Improvement District

Parking and Active Transportation

Parking is abundant throughout the district. A total of 159 properties in the district offer at least one parking space, with 33 of these properties providing a high parking ratio of 5:1000 or greater. Surface parking is the most common type, available at 97 properties.

From an active transportation perspective, the district has some existing bike infrastructure, but with notable gaps. For example, bike lanes are discontinuous along Fair Oaks Boulevard between Oak Avenue and Marconi Avenue. A nearby connection to the American River Bike Trail is available at Claremont Road, however there is no infrastructure or signage that makes this visible to visitors in the district.

Transit access is provided through connections to both the Blue Line light rail and I-80 via bus service. Bus Route 25 links the Marconi/Arcade Blue Line station to Fair Oaks Boulevard, traveling north through Manzanita and extending to the Louis and Orlando Transit Center near I-80. In addition, Bus Route 23 runs east from Arden Fair Mall along Fair Oaks Boulevard, continuing north on San Juan Avenue to the Sunrise Mall Transit Center.

Carmichael Park 5750 Grant Ave

Milagro Centre 6241 Fair Oaks Blvd

Belair 4005 Manzanita Ave

LAND USE PROFILE ANALYSIS

Influencing Factors refer to factors that impact whether businesses would be drawn to or successful in the district. For example: How would the age distribution of households in the residential areas surrounding the Carmichael Improvement District, or the income level of the residents, impact what types of retail or dining establishments would be successful? Or, what types of businesses would be drawn to the district’s zoning opportunities or niche identity?

To activate a district:

1.We need a local, steady customer base from the immediate surrounding community; and 2.We need to draw outside visitors, who see the district as a "destination" worth visiting.

Influencing Factors take what we know about the surrounding community (i.e., all the data points in the Community Profile and Analysis) and what we know about the district's commercial characteristics to inform how we can activate the district.

Carmichael Improvement District

Age & Household

The area is a multi-generational community, home to both school-aged children and a significant population of older adults. This blend creates demand for a broad mix of family-oriented businesses and services, alongside amenities that cater to older residents, including healthcare, leisure, and accessible retail options.

Household Income

The area reflects a dual market, with both moderate- and higher-income households shaping local demand.

Within the one-mile radius, the median income of $74,040 and the fact that nearly half of households earn under $75,000 point to limited disposable income and a strong preference for affordable, value-driven retail and dining options.

In contrast, the broader ZIP code includes a significant share of higher-income households, over half earning above $100,000 and one-fifth above $200,000, creating parallel demand for mid- to high-end retail, dining, and experience-based establishments. Together, these dynamics support a diverse business mix that cater to both.

DEMOGAPHICS AND CUSTOMER BASE

Homeownership Rates With a nearly even split between homeowners and renters, 52% and 48%, respectively, across both the one-mile radius and ZIP code, the area is on par with county homeownership rates and is attractive to businesses looking for that stable, consistent residential base.

Population Growth

While the area’s population is projected to grow more slowly than the County overall, potentially discouraging larger retail establishments that seek steady growth, it benefits from a stable residential base. Nearly one-third of residents in the surrounding ZIP code have lived there since 2000, and two-thirds since 2009.

Combined with relatively high homeownership rates, this long-term residency signals a consistent, reliable customer base that can be attractive to a variety of businesses, particularly neighborhood-serving retailers like grocery stores.

Location

Although the corridor experiences significant daily traffic, its lack of direct connection to major freeways limits its appeal for commuters and employers seeking easy regional access. At the same time, this “landlocked” quality helps establish the district as a distinct destination rather than merely a pass-through corridor, encouraging visitors to come intentionally for its businesses, services, and amenities.

LOCATION, ACCESSIBILITY, AND VISIBILITY

Parking and Visibility

An abundance of surface parking provides a clear advantage in terms of visibility and convenience for visitors. This creates an opportunity to explore shared parking strategies and thoughtful infill development, supporting higher-density retail, dining, and mixed-use projects without sacrificing vehicle accessibility.

Because multi-family housing is permitted by right within the Main Street District, these strategies could help introduce more vibrant, mixed-use activity.