Ford Community House – Richmond Hill, GA City of Richmond Hill February 2024

Key Findings 4 Project Recommendations 7 Property Overview 12 Retail and Hospitality Market 21 Retail and Hospitality Market Gap Analysis 25 Comparable Case Studies 54 Location Overview 64 Economic & Demographic Overview 71 Appendix 88

Ford Community House Redevelopment - City of Richmond Hill

Background/Objectives, Key Contacts & Limiting Conditions

BACKGROUND & OBJECTIVES

The City of Richmond Hill (“Client”) recently purchased a historic building, known as The Community House ("Subject"), in downtown Richmond Hill.

The Community House was built in 1936 by Henry Ford to serve as a center for public education. In 1950, the property was sold for use as a private residence and has changed ownership several times since. The City's vision is to revitalize the Subject into a public or private venue that would serve as an attraction for the City's residents and tourists. The Client has requested a feasibility study from Zonda to assist with determining the best redevelopment opportunity for the Subject. Points to consider include the availability of tax credits depending on use and potential historical preservation, cohesion with other city-owned buildings, the City's long-term vision, and who the redevelopment opportunity would serve throughout the local community. Additionally, the Client would like assistance with a high-level cost-benefit analysis to determine the financial feasibility of the various redevelopment options. Our role at Zonda is to provide you with data, analysis, and conclusions for this effort.

Client is responsible for representations about the development plans, marketing expectations and for disclosure of any significant information that might affect the ultimate realization of the projected results. There will usually be differences between projected and actual results because events and circumstances frequently do not occur as expected, and the difference may be material. We have no responsibility to update our report for events and circumstances occurring after the date of our report. Payment of any and all of our fees and expenses is not in any way contingent upon any factor other than our providing services related to this report.

LIMITING CONDITIONS

The following key team members participated on this analysis:

Tim Sullivan, Chief Advisory Officer, oversees our Advisory practice. With over 40 years of experience, Mr. Sullivan is an expert in residential and mixed-use feasibility studies, strategic planning and product development, and regularly conducts market analyses around the United States and internationally.

Susan Heffron, AICP, Vice President, has over 23 years of real estate experience in the public and private sectors. She has worked in market research and analysis, entitlements, land use, and community planning, and process and program management for a wide variety of projects throughout the country, including serving as the Community Development and Code Enforcement Manager for the City of Concord, North Carolina.

Evan Forrest, Vice President. Mr. Forrest has over 18 years in the Real Estate Industry. Mr. Forrest has sourced, developed, performed feasibility analysis, and positioned real estate (residential, commercial, retail, industrial, etc.) throughout the country as well as assisting with capital raises and expert witness cases.

Additional support was provided as needed.

KEY CONTACTS

Key Findings

Zonda’s analysis indicates sufficient support for the redevelopment of the Ford Community House. This is based on several factors, including:

Many of the public facing spaces from the building’s time as a funeral home are in good condition and retain much of the charm of the building as originally built. In other spaces, there are architectural details and features that can be preserved, restored, or rebuilt, including basketweave tilework, lighting fixtures, architectural woodworking, and large doors with transom windows.

The redevelopment of the building would serve as one of the largest public preservation endeavors in Richmond Hill. While the Ford Mansion has been restored, it is privately owned and is not accessible to tourists; multiple small, private residences have also been restored and, in some cases, are available as short-term private rentals. The restoration of the Ford Plantation Bakery in 2019 was viewed as a catalyst for the preservation of other Ford-era structures, including the Community House.

The Subject is located less than one mile from Highway 17 and less than two miles from Interstate 95 and within a 30-minute drive of the City of Savannah. There are a variety of retail, recreation, and health amenities in the area and include a mix of national and local services. Grocery and restaurant chains, such as Kroger and Starbucks, are clustered near the highway entrances. Even with this retail landscape, Zonda’s gap analysis for the trade area within five miles of the site is experiencing significant leakage, especially in segments such as retail, dining, and food and alcohol related shops.

The site has a significant marketing window. Located on Ford Avenue, traffic counts in the area range from 17,000 on Ford Avenue to more than 87,000 vehicles per day on Interstate 95, located less than two miles north of the property. The Site’s proximity to these high-volume transportation corridors bode well for the future redevelopment of the site.

Bryan County experienced a peak in population growth during 2021, adding 1,872 residents. Population increased again in both 2022 and 2023, although it was not as high as it had been for the previous three years. Similar to household growth, population growth in the county has remained above the historic average since 2015. Moody’s projects growth will continue to remain above the historic average from 2024 through 2028. Similar to household growth, increasing population in the area will create additional retail and hospitality demand that can be supported by the redevelopment of the Subject.

Summary of Key Findings

Additional supporting factors include:

Currently, there are $503 million in retail sales within the area while the residents spend $545 million overall creating potential for gaps and needs within the radius to emerge. There is an expected gap of $118 million by 2028 exhibiting a need for retail to be developed in conjunction with expected population growth.

Within five miles of the Subject, most census tracts have a median disposable income of $50,000 or greater. The median disposable income of the Subject’s census tract is $51,525, likely due to the commercial nature of the area, while the more residential tract on the opposite side of Ford Avenue is more than $96,000 and the tract immediately south of the site is nearly $75,000. Areas along the waterfront had disposable incomes higher than $100,000 in 2023.

Median household income growth in Bryan County has historically outpaced the median income for the United States and the MSA as a whole. Annual change in median income peaked in 2022, rising 9% from the previous year. Median household income for the county was at $106,170 in 2023, a 5.6% increase from 2022. Moody’s forecasts income to grow at a lower rate from 2024 through 2026, followed by slight declines through 2028. However, over this time, median income is projected to remain higher than the United States at $107,058. This is more than $25,000 higher than the Savannah MSA is forecasted to reach by 2028.

Additionally, over the next five years, the higher-income households are projected to increase significantly. Household incomes between $150,000 to $199,999 are forecasted to increase by over 51% and over 48% in the city and the five-mile radius surrounding the site, respectively. These high-net-worth households, and the increasing household income over the next five years, supports the redevelopment uses outlined in this study.

Summary of Key Findings

Community House Redevelopment Project Recommendations

Based on the Retail and Hospitality gap analysis, local market conditions, and redevelopment potential, Zonda’s top recommendations for the Site include redevelopment of the property into a multi-purpose retail venue, an establishment for drinking and dining, or a small boutique type, single room, nightly stay venue that would preserve the dormitory style nature of the building. Given the size of the facility, the unique design of rooms within the building itself, and the large ballroom and chapel spaces, the potential also exists for a hybrid of all these targeted uses that could draw inspiration from previous uses of the property, with a twist on the concept of a mixed-use facility. As interest in historic preservation has increased recently, people view historic buildings as a representation of authentic community. Operating an establishment in these rehabilitated and preserved structures provide retailers a unique environment that differentiates them from the competition, an important consideration considering the area’s proximity to Savannah and its abundant historic buildings. Given the Site’s proximity to facilities such as the Richmond Hill City Center, Zonda does not recommend uses that will compete with the City Center, but those that will either compliment the facility (a nightly stay venue) or differentiate itself (mixed use retail location).

Recommendation Overview Community House Redevelopment Recommendations

One of the top areas of leakage identified in the gap analysis was around retail offerings, with a total retail trade gap of more than $48 million in 2023; this is forecasted to increase to more than $117 million by 2028. However, given the nature of the area, as well as the desire from residents (and former residents) to preserve the facility, many of the highest expenditure areas were eliminated from consideration. These uses include motor vehicle and parts dealers, builder material and garden equipment and supplies dealers, and large “big box” retailers such as department stores, general merchandise stores, and warehouse clubs. While these types of retailers have, from time to time, operated within the confines of historic structures issues such as brand standards and product placement are often hindered by the nature of the structure itself.

In order to maintain the overall character of the building, suggested retail establishments for the building include a mix of both material goods and foods; specific uses include targeted, specialty food markets for meats, fruits, and vegetables, children’s and infants clothing stores, jewelry stores, bookstores, and art dealers. The largest spaces within the Community House would be ideal locations for children’s clothing as well as experiencial retail (with a targeted minimum of less than 10,000 square feet), the former dormitory rooms represent opportunities for smaller mom and pop retailers such as local jewelry makers, local artisans, and other cottage industries and higher end locally focused retailers.

Recommendation – Specialty Retail

Source: The Cottage Peddler, Metamora, Indiana

The compartmentalized nature of the Community House also makes the venue an interesting opportunity for a potential restaurant, a central hub for mobile food services, or a restaurant/bar/drinking establishment. While the nearly 61,000 square feet within the entire structure does not lend itself to a single tenant facility, several unique features in the building offer the potential to differentiae the Community House from other such establishments in the area. Similar to the potential for individual retailers within the “dormitory” spaces, these spaces could be reimagined as private dining rooms for a moderate to upscale restauranter while the larger spaces have the potential for more traditional communal dining type restaurants. The existing layout of the building, as well as the large open space adjacent to the building could also serve as an “eat-in” area for local food trucks and mobile food vendors. This type of use ties well to the repurposing of the building itself into a brewery or distillery that could offer residents and tourists the opportunity to experience not only locally sourced alcoholic (and non-alcoholic) beverages but also locally sourced food and dining establishments. Although the area was not accessible to Zonda during site visits, the basement of the building could also be modified to accommodate the machinery necessary to support these endeavors or repurposed as a “secret” speak-easy that could function strictly as a drinking establishment.

Source: Left – Private Dining Room at The Chicago Firehouse Restaurant, Right – Red’s Corner Food Truck Park

Recommendation – Restaurant and Drinking Place

Source: Four Oaks Inn

Perhaps the most obvious potential use of much of the structure of the Community House would be to repurpose the building into a bed and breakfast type facility. However, based on current occupancies for both branded hotels, as well as local short term rental properties, this opportunity is also the most challenging. While the history of the building as well as the layout of bedrooms and en suite bathrooms is conducive towards this end use, the site’s location, removed from the Interstate corridor, will demand significant investment in marketing to pull travelers from these traditional hotels and motels. Additionally, given the lack of dining and entertainment venues in the immediate area, guests would have limited conveniences within walking distance. The age and overall condition of the spaces may also be a challenge for repurposing the building as features such as doorways and bathroom size pre-date the American with Disabilities Act. However, as previously noted, there is a sizeable and growing attraction to restored historic properties in quaint locations; the restoration of this property would be a unique draw for the area.

Recommendation – Overnight Accommodations

Community House Redevelopment Property Overview

Community House is a 1.42-acre parcel located at 10512 Ford Avenue in Richmond Hill, GA. The 60,720 square foot building is within the Ford Avenue Historic District, as outlined below, and, while there is a historic marker on the property, the Site is not currently on the National Historic Registry. Although the area has undergone major suburban developments, such as the expansion of Ford Avenue into four lanes, other nearby historic buildings and open green spaces contribute to the Subject’s character. The property is designated Downtown Commercial per the City of Richmond Hill’s zoning map.

Source: Client, Google Earth

Subject Location Community House Redevelopment Property Overview

Community House

The Community House is a two-story building erected in 1936 by Henry and Clara Ford. The building remains in its original location on Ford Avenue and maintains its Colonial Revival design. Originally, the Community House was a social space used for education and local events. Residents of all ages were able to use the space at no cost.

Educational classes at the Community House were targeted toward young white women with course offerings including cooking, etiquette, and sewing. Girls who attended the classes stayed overnight for up to six weeks during a school year, reflected in the dormitory style bedrooms and bathrooms in the house. Most recently, the Subject functioned as a funeral home, with most of the bedrooms and bathrooms neglected.

Source: Zonda, Henry Ford Museum and Greenfield Village Collections

Subject Overview Community House Redevelopment Property Overview

Despite changes in function, the Community House generally maintains both its original form and Colonial Revival style. The exterior of the structure remains fairly intact. A chapel extension was added in 1997, although the historic integrity of the building remains.

Other additions to the Subject include an Americans with Disabilities Act (ADA) ramp, inoperable window shutters, a casket-lift elevator, and a fire escape all added in 1995. The Community House has a wraparound porch on the first story with two original windows next to the main entrance. A parking lot is located on the northeast and southeast sides of the Subject.

Current Exterior Conditions Community House Redevelopment Property Overview

Source: Zonda

Source: Zonda

Current Interior Conditions Community House Redevelopment Property Overview

The interior of the Community House is a mix of historic form and modern uses. The Subject currently has 12 bedrooms, 11 bathrooms, four restrooms, two living rooms, two office rooms, a dining room, lounge, sitting area, and many office and storage spaces.

The interior of the building ranges from fair to poor condition, with the images pictured below representing the most well-preserved.

These include the lounge, the dining room, ballroom and chapel, which is the most recently constructed space. These rooms are in good condition because they were public-facing areas of the funeral home.

Source: Zonda

Current Interior Conditions Community House Redevelopment Property Overview

Modifications to the original interior spaces reflect the most recent use of the Community House as a funeral home, such as the embalming room pictured on the far right. These images represent the general conditions of the building’s interior, including water damage and potential mold. Throughout the building, however, numerous original features may be able to be restored or replicated, including the basketweave tile bathroom floors and other wet area tile, large doors and transom windows, light fixtures, and woodwork/trim work.

The Pinnacle Building at Patrick Square – JMC Communities

7 Source:Client

Current and Historic Use – Ground Floorplan Community House Redevelopment Property Overview

The Community House maintains its original central hall floor plan on the first floor. Originally, rooms at the northeast end were designed as public space, separated from private space on the other end of the building. This can still be noted in the most recent floor plan with spaces such as the lounge on the opposite end of the building as the bedrooms. During its funeral home era, one of the dormitory rooms was converted into an embalming room and the original kitchen was sectioned into two different break rooms. The original women’s restroom was divided into two separate restrooms.

An additional office was created by enclosing a portion of the wraparound porch facing the chapel addition, which extends from the first floor.

Current and Historic Use – Second Floorplan Community House Redevelopment Property Overview

The second floor of the Community House has the original ballroom and remains in its original form with minor exceptions. All the dormitory rooms retained their original setup, except for Bathroom 11, which was converted into a kitchenette. A restroom was also converted into a storage space (Storage 11). During the building’s time as a funeral home, all rooms on the second floor except for the ballroom were closed off. Originally, the ballroom was used for dance classes and local events, while most recently it was used as a display area for the funeral home. Aside from the ballroom, which does have water damage and broken windows, the second floor is generally in poorer condition than the first floor.

Current and Historic Use – Basement Floorplan Community House Redevelopment Property Overview

The basement of the Community House contains the boiler room, which was converted to gas in 1965. This room has been unaltered since then.

Zonda was not able to examine the basement during site visits.

Retail and Hospitality Market

Overview – 2.5- & 5.0-Mile Retail and Hospitality Growth Retail and Hospitality Market

According to Reonomy in the CMA there is almost two million square feet of retail space within five miles of the Subject. Over the past 20 years, there was an average of 33,742 square feet brought to the market with the majority of that space added prior to 2010. Over the past ten years, the area averaged roughly 20,115 square feet of new retail and hospitality space per year, a noticeable reduction compared the 20-year average. The reduced amount of retail properties brought online provides insight into potential demand in the near future, which will be further discussed during the Retail and Hospitality Gap process in the following section.

Year Built Units Sq. Ft. Per Unit Total Grow th Units Sq. Ft. Per Unit Total Grow th Pre - 2000 51 456,653 8,954 456,653 86 964,880 11,220 964,880

2000 2 15,125 7,563 471,778 3.3% 3 236,296 78,765 1,201,176 24.5% 2001 1 10,500 0 482,278 2.2% 5 21,060 4,212 1,222,236 1.8% 2002 2 16,153 0 498,431 3.3% 5 36,021 7,204 1,258,257 2.9% 2003 1 3,916 3,916 502,347 0.8% 1 3,916 3,916 1,262,173 0.3% 2004 5 42,700 8,540 545,047 8.5% 7 45,635 6,519 1,307,808 3.6% 2005 2 15,580 7,790 560,627 2.9% 5 27,125 5,425 1,334,933 2.1% 2006 10 47,950 4,795 608,577 8.6% 12 121,476 10,123 1,456,409 9.1% 2007 16 108,186 6,762 716,763 17.8% 19 134,291 7,068 1,590,700 9.2% 2008 1 24,720 24,720 741,483 3.4% 1 24,720 24,720 1,615,420 1.6% 2009 2 40,316 0 781,799 5.4% 3 72,790 24,263 1,688,210 4.5% 2010 3 23,293 7,764 805,092 3.0% 3 23,293 7,764 1,711,503 1.4% 2011 2 5,852 0 810,944 0.7% 2 5,852 2,926 1,717,355 0.3% 2012 1 8,181 8,181 819,125 1.0% 2 14,596 7,298 1,731,951 0.8% 2013 1 8,509 8,509 827,634 1.0% 2 16,093 8,047 1,748,044 0.9% 2014 0 0 827,634 0.0% 3 63,266 21,089 1,811,310 3.6% 2015 1 13,800 13,800 841,434 1.7% 1 13,800 13,800 1,825,110 0.8% 2016 1 9,504 9,504 850,938 1.1% 1 9,504 9,504 1,834,614 0.5% 2017 1 4,144 4,144 855,082 0.5% 3 42,064 14,021 1,876,678 2.3% 2018 1 10,500 10,500 865,582 1.2% 2 20,100 10,050 1,896,778 1.1% 2019 1 4,375 4,375 869,957 0.5% 1 4,375 4,375 1,901,153 0.2% 2020 1 4,872 4,872 874,829 0.6% 3 7,948 2,649 1,909,101 0.4% 2021 1 1,902 1,902 876,731 0.2% 2 6,618 3,309 1,915,719 0.3% 2022 2 17,380 8,690 894,111 2.0% 2 17,380 8,690 1,933,099 0.9% Total 109 894,111 174 1,933,099

Source: Reonomy & Zonda

Ford - 5 mi.Ford - 2.5 mi.

Overview Retail and Hospitality Market

The area around the Subject Property is characterized by minimal retail and hospitality properties in the general vicinity. The majority of the current retail is located along US Highway 17 and within closer proximity to Interstate 95. The map below represents an example of the retail clusters in the CMA (the dots do not cover all potential retail properties). The higher concentration of dots are located along the major arterials. Note they are based on zoning as understood by Reonomy. Additional information on specific uses and household spending patterns are discussed later in this report.

Overview – Closings within 5 – Miles Retail and Hospitality Market

To gain a further understanding of the retail and hospitality market in the CMA, closing data for several types of properties was reviewed and analyzed. The closings are highly diverse with the value per square foot further varied. For instance, car washes gain the highest price but can become oversaturated much faster than eateries that will sustain higher demand against growing competition compared car washes. This is also a reflection of the potential taxable sales per square foot that could accompany an eatery. It should be noted that eateries can also be volatile.

$150.00 $200.00 $250.00 $300.00 $350.00 $400.00 $450.00 $500.00 $550.00 $600.00 $650.00 $700.00 $750.00 $800.00 $850.00 $900.00 $950.00

0 2,000 4,000 6,000 8,000 10,000 12,000

Address Last Sale Sales Price Yr Blt Sq. Ft. Price Per Sq. Ft. FAR Acres Property Type | Use

9878 Ford Ave, Richmond Hill, GA 31324 7-Nov-23 $3,000,000 1990 9,757 $307 0.10 --- Retail Stores 3760 S Hwy 17 11, Richmond Hill, GA 31324 31-Aug-23 $430,000 2007 1,512 $284 1.16 0.03 Misc.

3742 Us Highway 17, Richmond Hill, GA 31324 2-Aug-23 $1,412,408 2007 3,272 $432 0.94 0.08 Retail Stores 5971 Ogeechee Rd, Savannah, GA 31419 10-Mar-23 $1,273,284 2005 3,505 $363 0.07 1.14 Fast Food 80 Exchange St, Richmond Hill, GA 31324 10-Mar-23 $1,590,109 2011 3,640 $437 0.12 0.72 Restaurant 5909 Ogeechee Rd, Savannah, GA 31419 22-Aug-22 $4,000,000 2021 4,716 $848 0.08 1.34 Automotive Repair 3756 S Hwy 17 9, Richmond Hill, GA 31324 3-Aug-22 $365,000 2007 1,512 $241 1.16 0.03 Misc.

4 Gateway Blvd W, Savannah, GA 31419 17-May-22 $2,540,000 2001 4,175 $608 0.05 2.05 Restaurant 3651 Us Hwy 17, Richmond Hill, GA 31324 9-May-22 $930,000 2022 6,500 $143 0.05 2.84 Retail Stores Hwy 17, Richmond Hill, GA 31324 21-Dec-21 $3,900,000 2007 2,413 $1,616 0.04 1.46 Car Wash 8990 Ford Ave, Richmond Hill, GA 31324 16-Dec-21 $10,255,037 2019 4,375 $2,344 0.08 1.02 Car Wash

Average $2,699,622 2009 4,125 $693 0.35 1.07 Total $29,695,838 45,377

Retail and Hospitality Gap Analysis

Gap Analysis – CMA Overview Retail and Hospitality Gap Analysis

Retail sales are generally dependent and generated by the local population. This is especially true for the five-mile radius as its location makes it dependent upon local resident demand as well as visitor spending. Still, there appears to be opportunity for different categories of retail space within the five-mile radius due to area growth. When residents do not have sufficient choice to purchase retail goods locally, they are drawn outside of the area. The difference between the area’s retail sales revenue and what the residents are spending is defined as a ‘gap’ which identifies a given category of retail space as over- or undersupplied. Retail levels will need to be monitored carefully due to the current uncertainty of the Market at the present time.

The exhibit below shows the current estimated retail sales/expenditures (source: Claritas), retail stores square footage (source: Reonomy), and population estimates from Neustar that examines the current spending patterns within the CMA. This forms the basis for the types of retail stores that are needed within the CMA with a breakdown on the following page. Currently, there are $503 million in retail sales within the area while the residents spend $545 million overall creating potential for gaps and needs within the radius to emerge. There is an expected gap of $118 million by 2028 exhibiting a clear need for retail to be developed in conjunction with expected population growth. This future gap does not mean that any type of retail should be targeted. The following pages delves into which types of retail are presently needed in the CMA. In the Appendix a full breakdown list of the various retail types is available.

2023 Estimated 2023 Resident 2028 Resident Add'l Space How Add'l Space How

Retail Stores Retail Sales Expenditures Expenditures 2023 2028 Viable? Much(1)? Viable? Much(1)?

GLA in Shopping Centers w /in the CMA 1,933,099sf 2,092,571sf 2,386,206sf 159,472sf 453,107sf 159,472sf 453,107sf Total Retail Sales Incl Eating and Drinking Places $503,685,331 $545,237,104 $621,746,304 $41,551,773 $118,060,973 Retail Expenditures Per Sq.Ft. of Resident Pop $260.56/sf $282.05/sf $282.05/sf Retail Expenditures Per Person of Resident Pop $17,521/person $18,966/person $18,966/person Total Pop. in CMA (incl. subject site): 28,748 persons 28,748 persons 32,782 persons Added Resident Retail Sales Potential From 2023 $76,509,200 Added Total Retail Sales Potential From 2023 $70,678,539 Added Resident Retail Sq.Ft. Potential From 2023 271,258sf Added Total Retail Sq.Ft. Potential From 2023 250,586sf

Opportunity Gap or (Surplus)

Ford - 5 mi.

Retail CMA

CMA 2023 2028

Gap Analysis – Potential Retail Targets Retail and Hospitality Gap Analysis

The most potent potential categories are shown in the table to the right.

When viewing this table, it must be noted that the opportunities exist throughout the radius. Given the limited retail options in the area it is likely that specialty stores, neighborhood stores focused on various service retailers, full-service restaurants, coffee shops, and experiential retail will be in demand in the neighborhood. Limited opportunity exists for larger entries into the Market to address the growing population and homes being planned within the area. Though opportunity exists for select clothing/accessory categories, these categories are trending downward in terms of potential due to the growing impact of online retail competition.

Smaller, boutique versions of department stores are also in demand, but again, these categories are trending downward due to the impact of online retail competitors. Health and personal care stores, and personal services in the form of a fitness/yoga studio, insurance/real estate agencies/brokerages are in demand as well as other experiential retail is in demand. These are uses that are conducive that are somewhat insulated from online competition. Additionally, potential food services will be in demand.

Online competition is growing and will reduce demand for those categories of retail space that offer products easily purchased online. Caution should be applied to select retail-clothing categories. For example, though clothing stores show some potential in the CMA from the gap analysis, this category of retail space is especially susceptible to growing online competition. Local brand specialty shops should plan on online marketing/sales efforts to augment revenues and building designs should accommodate such uses.

The following slides examine several of these potential opportunities, including household expenditures in each category. The ‘gap’ analysis that is summarized on the previous page is shown in more detail in the Appendix and presents positive ‘gaps’ in blue and negative gaps in red, as well as the supportable amount of additional square footage per retail category for those categories that reflect positive gaps.

Category Minimum Square

Footage Type

New car dealers 25,000-50,000sf Regional Used car dealers 25,000-50,000sf Regional

General Merchandise Stores 75,000-200,000sf Regional Warehouse clubs and supercenters 75,000-200,000sf Regional Family clothing stores 10,000-30,000sf Reg/Twn Ctr Furniture stores 10,000-30,000sf Reg/Twn Ctr Electronics stores 10,000-30,000sf Reg/Twn Ctr

Nursery, garden center, and farm supply stores 5,000-10,000sf Neighborhood Automotive parts and accessories stores 5,000-10,000sf Neighborhood

Children's and infants' clothing stores < 10,000sf Rg/Tn/Nb Shoe stores < 5,000sf Rg/Tn/Nb Experiencial Retail < 10,000sf Town/Neighbor Jewelry stores < 2,500 Town/Neighbor Book stores < 1,000 Town/Neighbor Art dealers < 1,000 Town/Neighbor

Full-service restaurants 5,000-10,000sf Rg/Tn/Nb Coffee shops < 2,500sf Rg/Tn/Nb Drinking places < 2,500sf Town/Neighbor Ice cream, soft serve & fzn ygrt < 2,500sf Rg/Tn/Nb Bagel/Bakery/Doughnut Shop < 2,500sf Town/Neighbor Bagel shops < 2,500sf Town/Neighbor Meat markets < 2,500sf Town/Neighbor Fruit and vegetable markets < 2,500sf Town/Neighbor Beer, wine, and liquor stores < 2,500sf Town/Neighbor

Convenience stores 2,500-5,000sf Town/Neighbor Tire dealers 2,500-5,000sf Town/Neighbor Service Retailers < 2,500sf T/N/Bus.

Food service contractors < 2,500sf Light Ind.

Caterers < 2,500sf Bus.Park Mobile food services < 2,500sf Light Ind.

Source: Claritas; Zonda

Potential Food Services

Services

Potential Retail Stores

Dealerships

Potential Anchors or Big Box Retailers

Neighborhood Store

Potential Specialty Stores

Disposable Income Retail and Hospitality Gap Analysis

Within five miles of the Subject, most census tracts have a median disposable income of $50,000 or greater. The median disposable income of the Subject’s census tract is $51,525, likely due to the commercial nature of the area, while the more residential tract on the opposite side of Ford Avenue is more than $96,000 and the tract immediately south of the site is nearly $75,000. Areas along the waterfront had disposable incomes higher than $100,000 in 2023. The following slides examine several of the areas identified in the gap analysis near the Subject that residents may spend their disposable income on, such as bars or restaurants.

Source: ESRI

Five miles

Proximity to Restaurants Retail and Hospitality Gap Analysis

While there are at least 61 restaurants in the five-mile radius surrounding the Subject, Zonda’s gap analysis indicates the need for additional full-service restaurants. These existing businesses include local dining establishments as well as national and regional chains. Most of these restaurants are clustered along transportation corridors, especially US Highway 17.

Several are also located on Ford Avenue, where the Community House is located, between US Highway 17 and Interstate 95.

Based on the gap analysis, the area could support additional full-service restaurants. Minimum square footages for these facilities should be between 5,000 and 10,000 square feet. Future, supportable, businesses could include a mix of regional, town center, or neighborhood style establishments.

A table containing the names and addresses of these restaurants is on the following page.

Proximity to Restaurants (Cont.)

Retail and Hospitality Gap Analysis

Source: ESRI, Foursquare

Name Address Name Address All Things Chocolate & More 10471 Ford Ave McDonald's 4454 US Highway 17 Arby's 4554 US Highway 17 McDonald's 1 Gateway Blvd E Asia Asian Cuisine Highway 144 McDonald's 12100 GA Highway 144 Bubba's Bistro 3881 US Highway 17 Mithaas 11 Gateway Blvd S Burger King 4660 US Highway 17 Mithaas Indian Cuisine 11 Gateway Blvd S Charlie Graingers 10010 Ford Ave Omelette Cafe Richmond 10070 Ford Ave China 1 4110 US Highway 17 Papa John's Pizza 9701 Ford Ave Cracker Barrel 17017 Abercorn St Papa Murphys Take n Bake 3488 US Highway 17 D’Corner Latin American Specialties 3975 US Highway 17 Papaya Thai Cusine & Sushi Bar 2457 US Highway 17 Denny's 3944 US Highway 17 Pizza Hut 60 Exchange St Domino's Pizza 3745 US Highway 17 Popeyes Louisiana Kitchen 4401 US Highway 17 El Potro Mexican Restaurant 2487 US Highway 17 Reece Barbeque 5991 Ogeechee Rd Firehouse Subs 9116 Ford Ave Riverboat Pizza Company 5975 Ogeechee Rd Flacos House 7 Fort Argyle Rd Shogun Japanese Restaurant 9701 Ford Ave Flacos House 4494 US Highway 17 Smokin Pig 3986 US Highway 17 Fuddruckers 4401 US Highway 17 Sonic Drive-In 396 Canebrake Rd Fuji Japanese Restaurant 3748 US Highway 17 Southern Image Restaurant Florist & Catering 3881 US Highway 17 Happy Wok 9701 Ford Ave Sumo 10128 Ford Ave Hardee's 9878 Ford Ave Sumo Hibachi & Sushi 10128 Ford Ave Hardee's 1 Gateway Blvd S Sunshine Breakfast Restaurant 13150 GA Himalayan Curry Kitchen 10074 Ford Ave Taco Bell 40 Oleander St Houlihan's 17029 Abercorn St The Ice Cream Stop 13300 GA Highway 144 IHOP 4 Gateway Blvd E The Shell House Seafood Restaurant 8 Gateway Blvd W Jalapenos Mexican Grill 60 Exchange St The Shellhouse Restaurant 8 Gateway Blvd W KFC 4585 US Highway 17 Waffle House 56 Sommers Blvd La Casita Peruvian Restaurant 104 Dogwood Ave Waffle House 2A Gateway Blvd W La Nopalera Highway 144 Wendy's 5996 Ogeechee Rd Little Caesars Pizza 10082 Ford Ave Wendy's 4545 US Highway 17 Love's Seafood 6817 Chief O F Love Rd Zaxby's 5971 Ogeechee Rd Marco's Pizza 13000 GA Zaxby's 80 Exchange St McDonald's 8436 Ford Ave

Household Expenditures on Restaurants Retail and Hospitality Gap Analysis

Average household expenditures for dining at restaurants vary widely within the five-mile radius surrounding the Subject. Patterns among the census tracts align with their median disposable incomes, with the tract immediately to the east of the site spending the most money on dining out at $5,445 per household. Areas to the east and southeast of the site generally spend more on restaurants than areas to the west. The large tract to the north of the Subject did report significant spending on dining out; this area, however, is primarily farmland or vacant.

Proximity to Coffee Shops Retail and Hospitality Gap Analysis

In the five-mile radius surrounding the Subject, there are at least five coffee shops. Four of these establishments are located on Ford Avenue and are close to the Community House. Only two are chains (both Starbucks) while the other coffee shops are local establishments.

Zonda’s gap analysis indicates that the area could support additional coffee shops within five miles of the Subject. These establishments should be small businesses that utilize less than 2,500 square feet in their day-to-day operations.

Source: ESRI, Foursquare

Five miles

Name Address Starbucks 53 Exchange St Starbucks 9124 Ford Ave The Green Spork Cafe & Market 10747 Ford Ave Tosa Coffee Company 10076 Ford Ave Way Station Coffee Co. 10610 Ford Ave

Household Expenditures on Coffee Shops Retail and Hospitality Gap Analysis

The area to the east of the Subject spends the highest average amount per household on coffee at $208. Two of the five coffee shops are in this census tract, while the other three are in the same tract as the Community House. Residents within the Subject’s census tract spend the least money on buying coffee at under $100 per household, despite having a higher number of coffee shops. The large area to the north of the site does not spend a significant amount of money on coffee, but as previously noted, this area is primarily farmland or vacant.

Proximity to Ice Cream Shops Retail and Hospitality Gap Analysis

At least three ice cream shops are located within the immediate vicinity of the Subject. Of these, one is a chain (Dairy Queen) and the other two are local or regional shops. None of these establishments are on Ford Avenue, however, Plums Ice Cream & Sandwich Shop is less than one mile from the Community House.

Plums is only open Monday through Friday and closes in the afternoon.

Zonda’s gap analysis indicates that the area could support additional ice cream, soft serve, and frozen yogurt type establishments. Minimum square footages for these facilities should be less than 2,500 square feet.

Future, supportable, businesses could include a mix of regional, town center, or neighborhood style establishments.

Source: ESRI, Foursquare

Five miles

Name Address The Ice Cream Stop 13300 GA Highway 144 Plums Ice Cream Sandwich Shop 2409 US Highway 17 Dairy Queen 93 Exchange St

Household Expenditures on Ice Cream Retail and Hospitality Gap Analysis

Household expenditures on ice cream in the area is similar to household spending at bars and other dining establishments. This is likely due to the low number of ice cream shops, as with the low number of drinking establishments. Average household spending on ice cream is highest in the areas to the east and south of the Subject and lowest to the north and west. These are the same patterns that have been observed in previous spending in dining and hospitality categories.

Proximity to Meat Markets Retail and Hospitality Gap Analysis

Two meat markets were identified within five miles surrounding the Community House. One, Ogeechee Meat Market, is a more typical meat market while the other, Ken’s, specializes in seafood. Both are small-scale, local retailers with more limited hours than a larger-scale grocery store. Ken’s Seafood Market is located on Ford Avenue, close the Subject, while the Ogeechee Meat Market has a Savannah Address.

Similarly, Zonda’s gap analysis indicates that the area could support additional meat market type establishments.

Minimum square footages for these facilities should be less than 2,5000 square feet, with supportable, businesses could include a mix of regional, town center, or neighborhood style establishments. Additionally, the analysis indicates that the area could support similar sized fruit and vegetable markets.

Given the current configuration of the building, these small, specialty retailers represent reasonable tenants to target if the structure is repurposed for retail uses.

Source: ESRI, Foursquare

Five miles

Name Address Ogeechee Meat Market 6021 Ogeechee Rd Ken's Seafood Market 9270 Ford Ave

Household Expenditures on Meat Retail and Hospitality Gap Analysis

Most of the census tracts within the five-mile radius of the Subject spend an average of $900 or more per household on meat. Households in the more affluent census tract just east of the Community House spends almost $2,000 on meat on average and the census tract furthest south spends over $2,000 on average.

While this map depicts average household expenditures on meat (including poultry, fish, and eggs) in general, rather than specifically on meat markets, Zonda’s analysis indicates that there is more than $400,000 in expenditures that could be captured today, increasing to more than $500,000 by 2028. Fruit and vegetable markets have the potential to add an additional $375,000 in expenditures today.

Proximity to Bars and Drinking Places Retail and Hospitality Gap Analysis

There are at least two bars in the five-mile radius surrounding the Community House. One, Jukebox, is more of a casual neighborhood bar while the other, Debellation, is a brewery. These do not include establishments that are primarily for eating but have a bar within. Both identified bars are on or near a major transportation corridor – none are located along Ford Avenue or in the Downtown Historic District.

Within the immediate vicinity of the Subject, an additional 853 square feet of retail space is supportable today; this is forecasted to increase to nearly 1,000 square feet of space by 2028.

Source: ESRI, Foursquare

Five miles

Name Address Jukebox Hwy 17 Debellation Brewing Co. 822 Longwood Dr

Household Expenditures on Bars and Drinking Places Retail and Hospitality Gap Analysis

Average household expenditures on drinking places are quite low within the five-mile radius surrounding the Subject. This is likely a reflection of the minimal number of establishments in the local area. Expenditures among the nearby census tracts follow other patterns of discretionary spending examined on the previous slides, with households to the east and south of the site spending the most money at bars. Most of the households in the area spend an average of $60 or more at bars. Given the lack of these facilities in the five-mile radius of the Site, Zonda anticipates that the area could capture more than $1.7 million in resident expenditures by 2028.

Proximity to Beer, Wine, and Liquor Stores Retail and Hospitality Gap Analysis

There are at least five establishments that sell beer, wine, and/or liquor within a five-mile radius of the Subject. Four of these are more general liquor stores that also sell wine and other beverages while Debellation Brewing Company is brewery that functions as a drinking place as well as a retailer. One of these retailers, Jeff’s Beverage, is located on Ford Avenue and is not far from the Community House.

In today’s dollars, the five-mile radius is currently undersupplied as it relates to beer, wine, and liquor stores. There is an opportunity for more than $2.1 million in expenditures this year. Based on growth in the area, this is forecasted to increase to more than an additional $2.8 million in expenditures by 2028.

The following pages highlight household spending patterns for each of these three beverage types.

Based on opportunity and the spending patterns across all beverage types, the area has the potential to support between 2,500 and 3,200 additional square feet of retail space for beer, wine, or liquor.

Source: ESRI, Foursquare

Five milesName Address Debellation Brewing Co. 822 Longwood Dr Jeff's Beverage 10060 Ford Ave Jeff's Beverage Depot 3745 US Highway 17 Richmond Hill Beverage 12750 GA Highway 144 Southern Spirits 12750 GA Highway 144

Household Expenditures on Beer Retail and Hospitality Gap Analysis

Households in the five-mile radius of the Subject spend more money on beer at home on average than they spend at bars. Most census tracts spend an average of $140 or more on beer consumed at home, with the three darkest shaded areas all spending over $200 per household on average. The Subject’s census tract and the area furthest to the northeast spend the least amount of money on beer.

Household Expenditures on Wine Retail and Hospitality Gap Analysis

Households in the local area spend more on wine to consume at home on average than they do on beer at home. Most census tracts spend an average of $150 or more per household on wine. The tract immediately east of the Subject and the one furthest south both spend over $300 per household on average. Similar to other spending patterns previously examined, households within the Subject’s census tract spend some of the least amount of money on wine at home.

Household Expenditures at Liquor Stores Retail and Hospitality Gap Analysis

Most of the households within the five-mile radius surrounding the Community House spend an average of $130 at liquor stores. The census tract furthest to the south of the Subject spends the most on average at over $300 per household and the area just to the east spends nearly $300 per household. Similar to previously observed spending patterns, areas on the west and north sides of the five-mile radius spend the least amount of money at liquor stores.

Proximity to Small Retailers Retail and Hospitality Gap Analysis

There are at least 21 small-scale retail establishments (less than 2,500 square feet) within the five-mile radius surrounding the Subject. Many of these retailers are clustered near major transportation corridors, specifically US Highway 17. The closest small retail location to the Community House is All Things Chocolate & More, which is directly across the street on Ford Avenue. The identified retailers range widely in services sold such as lawn care, food, and electronics.

Zonda’s gap analysis indicates that the five-mile radius surrounding the Site could support nearly 100,000 square feet of general merchandise retail, including department store, warehouse clubs, and other traditional “big box” retailers. However, given the historic nature of the building and the surrounding area, this is not a recommended end use. Instead, Zonda recommends that if retail is considered for the Subject, that it focus on smaller retailers such as children’s clothing, shoes, and jewelry, as well as bookstores, art retailers, and experiencial retail.

The full list of small, existing, retail locations can be found on the following page.

Proximity to Small Retailers (Cont.)

Retail and Hospitality Gap Analysis

Source: ESRI, Foursquare

Name Address Abundance in Store Concepts Ogeechee Rd All Things Chocolate & More Ford Ave Ashleigh Place Plantation Way Auntie Anne's Pretzels Ogeechee Rd Crosby Seafood Daniel Siding Rd Discount Electronics Sommers Blvd Elite Lawn Service Reese Dr Flowers By Rose US Highway 17 Georgia Peach World US Highway 17 Harrison Bev Center & Hawgs LQ US Highway 17 Hawg's Liquors US Highway 17 Jai Ambe 108 Inc Ogeechee Rd Jeff's Beverage Ford Ave M D Ventures, Inc Longwood Dr Metro by T-Mobile Authorized Retailer US Highway 17 Midway Beverage Warehouse Butler Dr Ogeechee Meat Market Ogeechee Rd Prime Communications-AT&T Authorized Retailer Ogeechee Rd R M Coastal Ogeechee Rd Southern Image River Bend Rd Southern Spirits Highway 144

Household Expenditures on Retail Retail and Hospitality Gap Analysis

As expected, households in the local area spend more money at retail establishments than any other category previously examined. Most census tracts spend an average of $15,000 or more per household on retail. The tracts to the east and south of the Subject spend the most money on retail, with the areas immediately east and furthest south spending over $30,000 per household on average. The Subject’s census tract contains the highest concentration of small retail establishments and households spend an average of just over $17,000 on total retail. It is important to note that this map includes all retail establishments, not just those under 2,500 square feet.

The gap analysis indicates that there is an opportunity for more than $850,000 in children’s clothing expenditures leaking to other areas and more than $2 million in jewelry stores. Book stores represent slightly smaller leakage, with the area losing more than $735,000 in today’s dollars. With the recommended footprint of these being primarily less than 2,500 square feet, specialty retail represents another potential end use for the Subject.

Proximity to Hotels Retail and Hospitality Gap Analysis

There are at least 48 lodging establishments in the five-mile radius around the Community House. These include hotels, motels, inns, and vacation rentals. Lodging in the area is concentrated near US Highway 17 and Interstate 95.

None of these accommodations are located along Ford Avenue or in the Downtown Historic District. Most of the identified lodgings are national hotel chains, indicating an opportunity for local, unique stays in the area, especially the historic Downtown. See the following page for a table with names and addresses of all lodging establishments.

Proximity to Hotels Retail and Hospitality Gap Analysis

Source: ESRI, Foursquare

Name Address Name Address America's Best Inn - Savannah 390 Canebrake Rd Home2 Suites by Hilton Richmond Hill Savannah I 95 4784 US Highway 17 avid hotel Savannah South - Gateway, an IHG Hotel 9 Gateway Blvd W Howard Johnson by Wyndham Savannah GA 17003 Abercorn St Baymont Inn & Suites 393 Canebrake Rd La Quinta Inn Savannah I-95 6 Gateway Blvd S Best Western Plus 17 Gateway Blvd E Motel 6 Best Western Plus 4564 US Highway 17 Motel 6 Savannah 4071 US Highway 17 Best Western Plus Richmond Hill Inn 4564 US Highway 17 Quality Inn 4300 Coastal Hwy US Highway 17 South Capital O Hotel Richmond Hill/Savannah area I-95 471 US Highway 17 Quality Inn Savannah I-95 17007 Abercorn St Clarion Pointe Savannah Gateway I-95 17001 Abercorn St Ramada by Wyndham Savannah Gateway 1 Gateway Blvd E Comfort Suites Gateway 596 Al Henderson Blvd Ramada Inn 17007 Abercorn St Country Inn & Suites by Radisson, Savannah Gateway, GA 16 Gateway Blvd E Red Roof Inn 4494 US Highway 17 Country Inn and Suites By Carlson Savannah Gateway 17005 Abercorn St Red Roof Inn & Suites Savannah Gateway 405 Al Henderson Blvd Days Inn 4601 US Highway 17 Red Roof PLUS+ & Suites - Savannah I-95 45 Fort Argyle Rd…