HomeMy WebLinkAboutADMIN-13-94 THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON
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REPORT
Meeting: General Purpose & Administration Committee File# `
Date: October 17, 1994 Res. # rLZ61—0 -
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Report#:
ADMIN-13-94 File#: By-Law#
Subject: Status Update - Economic Development Office Activity and Industrial
& Commercial Activity From January 1, 1994 - August 31, 1994
Recommendations: It is respectfully submitted that Council receive Report ADMIN-13-94 for
information.
1. Background
1.1 The purpose of this report is to provide Council a status update on two areas of
activity:
a) Economic Development Office Activity
b) Commercial & Industrial Activity
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1.2 In January 1994, Clarington Council established a full-time economic development
office. Section 3 of this report highlights the activities of the economic development
office for the first eight months of this year including information on community
liaison, information requests and marketing product development. Section 4 of this
report highlights commercial and industrial activity during the first eight months
including information on construction, absorption, new businesses and employment
levels.
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2. Summary
2.1.1 The Economic Development Office has been implementing the goals and objectives
established by Council at its conception in January of this year. To date, over one
hundred requests for information have been serviced by the office. The office has
taken an active role in liaising with the local business community and general public.
New products including promotional advertisements, a quarteriv newsletter, fact sheet,
business directory and event newspaper have been produced. Involvement in marketing
events including participation at Clarington Day at the Ex and the Durham Central Fair
have also occurred.
2.1.2 The January to September period of 1994 has seen significant positive activity in the
local economy. Residential construction dominates local construction activity. The
number of both commercial and industrial building permits issued by August 31st of
this year are higher than that of the first eight months in 1993. Although commercial
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construction value is lower than it was at this time in 1993, the combined commercial
and industrial construction value is more than twice that of 1993. Approximately
48,000 sq. ft. of previously vacant industrial space has been absorbed and 31 new
businesses are known to have started operations by August 31 st of this year.
Representative unemployment levels have been declining for the last six months with
major employers reporting new hirings within the first eight months of this year.
3. ECONOMIC DEVELOPMENT OFFICE ACTIVITIES
Figure 3A:
Monthly Information Requests
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25
24 24 24
25
'20
20
14 _
m
15
a
10 -
z
10
5
0
January February March April May June July August
Month
3.1 Monthly Information Requests
3.1.1 To date the Economic Development Office has serviced 149 information requests. The
number of requests have ranged from a low of 9 in the office's first month of operation
to a high of 25 in April of this year. The average number of requests per month is 18.
Figure 3.1 indicates that the highest number of requests were received in the months of
March, April, May and August. Figure 3.2 outlines the type of requests made to the
office.
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3.2 Information Requests By Type
Figure 3.2:
Information Requests By Type
As of September 4, 1994
usiness Start-up 37.3 �� commercial&Industrial 222
)dsling Business&Public 40.5
Table 1: Information Requests By Type,
As Of September 4, 1994
Type Number
Commercial/Industrial 30
Business Start-Up 57
Existing Business/Public E2
Total Number of Requests 149
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3.2.1 Requests for information are categorized into three groups; Commercial/Industrial;
Business Start-up; and Existing Business/Public. Commercial/Industrial requests refer
to clients specifically requesting information on available commercial and industrial
space in Clarington. Business Start-up requests refer to clients requesting information
about starting a new business in our community. The Existing Business/Public category
refers to requests from businesses currently operating or the general public. These
clients require information on demographics, financing, the municipal approval process
or other related matters.
3.2.2 As Figure 3.2 shows, almost 80% of the requests received by the Economic
Development Office are from existing businesses or clients researching new business
start-ups.
3.3 Community Liaison
Figure 3.3:
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Community Liaison
As of September 4, 1994
Legend
L] industrial Tours/Visits
Media Mentions
50
Commerclalffourism Visits
® Community& Business Group Consultation
T 41
40 37
x,30
U
0 22 23
c —
LL 20
■
0
Liaison Type
3.3.1 In establishing the Economic Development Office, Council recognized the importance
of integrating the new office's activities with the needs of the local business
community. Visitation targets have been met in.both the Industrial and Commercial
categories.
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3.3.2 Liaison with local and regional business groups has also been frequent, totalling 41
occasions to date. The Economic Development Office has taken membership with the
Durham Region Manufacturers Association, The Oshawa & District Chamber of
Commerce and Clarington's Economic Development Liaison Team. To date,
presentations have been delivered to the Bowmanville Rotary Club, the Durham Region
Inter-Agency Committee, The Bowmanville Business Improvement Association, the
Economic Development Committee of the Oshawa & District Chamber of Commerce
and the Clarington Business Group. Attendance at the Newcastle & District Chamber of
1 , 04
Commerce events and other important business functions in the region occur on an
ongoing basis.
3.3.3 Purchased advertising and media reports have also assisted in promoting Clarington. In
total, 23 media mentions of the Economic Development Office or its activities were
recorded. Further marketing highlights are reviewed in section 3.4 of this report.
3.4 Marketing Highlights and Product Development
3.4.1 The office has been developing a number of marketing products to promote economic
development in Clarington. This past summer, the inaugural issue of Report On
Clarington, a six page newsletter, was produced and distributed to businesses in
Clarington and the regional area. Clarington Facts &Figures, a brief information
handout, was produced for our event booths at the Canadian National Exhibition and
the Durham Central Fair. The Economic Development Office also participated on the
co-ordinating team for Clarington Day at the Ex including involvement with the
sponsorship of the promotional newspaper.
3.4.2 In addition to coverage and purchased advertising in local and regional media, the
Economic Development Office also purchased advertising in the August site location
issue of the Globe and Mail's Report on Business magazine resulting in approximately
45 responses to date.
3.4.3 The 1994-95 Business & Industrial Directory was completed and distributed to local
businesses in September of this year. Development of an economic development
brochure and video continue and are expected later in the fall of this year.
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4. COMMERCIAL & INDUSTRIAL ACTIVITY
4.1 Year To Date Comparisons of Construction Value and Issued Building Permits
Figure 4.1A: Figure 4.1B:
1993/94 Issued Building Permits 1993/94 Construction Values
As of August 31,Each Year As of August 31,Each Year
Legend
❑ commercialLegend
IN 32 11 Industrial
35 Industrial ( c0mmerdal
;2,500,000 ;1,613,
30-
26
0 25 18 ;2,000,000
a20 '
E 51,500,000
o
Z115
I;1,086,000
10-
$790,700,
4
5 ;500,000
0
0
1993 1994 ;0
Year 1993 1994
Year
4.1.1 Figure 4.1 A illustrates that building permits for commercial and industrial construction
are double that of this time last year. Figure 4.1 B illustrates that although the value of
commercial construction is lower, the combined industrial and commercial construction
value is also more than twice that of the same time last year. The value of industrial
construction to date can be attributed mainly to the construction of a new $1.56 million
silo at St. Mary's Cement. The concrete silo assists in the automated transfer of
concrete on site.
4.1.2 Commercial construction has come from a number of renovations. Companies
involved in larger renovation projects include alterations at 164 Baseline Rd. by Syvan
Developments, alterations at Morris Funeral Home, the Bowmanville Mall expansion,
alterations at Northcutt Elliott Funeral Home, and renovations by a numbered
company to a gas station and restaurant at 3459 Highway 115/35.
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4.2 Value of Construction By Sector
Figure 4.2:
Construction Value By Sector
As of August 31, 1994
FzSector
Residential MID
Commercial, Industrial &Ontario Hydro Government, Institutional &Agriculture
Table 2: CONSTRUCTION VALUE BY SECTOR
As of August 31, 1994- in dollars
SECTOR VALUE
Commercial, Industrial&Ontario Hydro $ 3,477,700
Government, Institutional&Agriculture $ 1,519,000
Residential $53,566,730
Total $58,563,430
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4.2.1 More than ninety percent of construction occurring in Clarington is in the Residential
sector. Residential construction was valued at over fifty-three million dollars in the first
eight months of 1994. The value of various Ontario Hydro construction projects have
totalled $1,074,000 to date. This amount combined with other Commercial and
Industrial construction represents almost six percent of total construction.
4.2.2 Combined construction in the governmental, institutional and agricultural sectors has
totalled $1,519,000 to date, or approximately 2.6% of all construction. The largest
project in the governmental sector is construction of the new fire hall on Hwy 2.
Construction on this project is valued at approximately S1.2 million, j
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4.3 Known Industrial Space Absorption
Table 3: Known Industrial Space Absorption,
As of August 31, 1994
Location Company Approx. Expected
Size Start of
(sq.ft.) Operations
250 Baseline Rd. Blauson Group / New City 79,900 1994
Resources
Clarington Wholesaleeratin
OP g
2021 Baseline Rd. Rushwood Truss (Div. of 21,000 Operating
Millwork)
164 Baseline Rd. Syvan Developments - 19,200 Operating
Lewma Ceramics
Adam Gibson's Tae Kwon Do
Global Fire & Safety
Lifestyles Health & Fitness
241 Simpson Ave. Akorn Steel 6,600 Operating
71 Mearns Court Micro Precision Plastics Ltd. 1,400 Operating
4.3.1 Table 3 outlines known industrial space absorption for the first eight months of this
year. Absorption refers to previously vacant industrial space that has been leased or
sold. According to this table approximately 48,200 sq.ft. of previously vacant industrial
space is currently occupied with operating businesses.
4.3.2 In addition, Claring ton Wholesale became active in September, occupying 42,000 sq.ft.
at 250 Baseline Rd. New City Resources is expected to become active in this location
later this year, representing another 37,900 sq.ft..
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4.4 Known New Businesses
Table 4: Known New Businesses, Operating as of August 31, 1994
Company Location Number of Full-time
Equivalent Jobs
Courtier Dental Ceram King St.E. 4
AcuBow Diagnostics Main St. ata
The Drapery Howe King St.E. I
U-Fie-It Service Centre Baseline Rd.E. n/a
Newcastle Photographic King St.E. 1.5
Newcastle Card&Gift Shoppc King SL E. 2
Tia Mallet Studio King St.W. n/a
Dr.Dean Bennett and Dr.Peter lost,Optometrists King St.E. 3
Tilley Opticians Baldwin St. 2
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Generations Namty and Companion Service King St.E. 12
Global Fire and Safety Supply B—line Rd. 3
Lemma Ceramics Baseline Rd. 2
Deccan Financial Ltd. Division St. 1.5
ProVision Connection Clyster Dr. I
Neighbourhood Rental Centras Prestonvale Place 1.5
Vision Advantage Optical King St.E. a/a
King Enterprises Main St. 1
Calaguian Advent Renovations Birchfald Crt. nta
Old Scugog Country Treasures King St W 2
Regal Capital Planners Rhonda Blvd. I
Akom Steel Sirrspson Avz. 6
Micro Precision Plastics Ltd. Meams Court 2
Rushwood Truss(Div.of Millwork) Baseline Rd. 22 !
Met Man King St.E. 30
Clarington Wholesale Baseline Rd.E. 33
Adam Gibson's Tac Kwon Do Baseline Rd. 2
Lifest}ics Health&Fitness Baseline Rd. 10
Chaagcaorks Coaaession Rd.5 1
Simpson Memorials King St E I
Healthy Choice Bulk Foci&Deli King St.E. 2
Slezp's Computing Centre King St.E. I
Told:143.5
n/a:not available at tine of writing
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4.4.1 Table 4 represents new business operations known to the office as of August 31, 1994.
Since there is no requirement for businesses to register with the Municipality, other
businesses may have opened during this time period. Collectively these 31 businesses
employ 148.5 full-time equivalent jobs. 11 of the new businesses listed in Table 4 have
used the services of the Economic Development Office.
4.5 Representative Employment Status
Figure 4.5:
Representative Unemployment Levels
Oshawa CMA
,ex
,4%
,2%
a _
Jb,0%
E
b
C
b
v
00 6%
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4x
2%
Legend
0%
1889 1884
January F.hru.,y M.rch April May Jun. July Augu.t
Month
4.5.1 Figure 4.5 compares the monthly unemployment levels in the Oshawa CMA (Census
Metropolitan Area) for the first eight months of 1993 and 1994. The Oshawa CMA
includes Oshawa and Whitby. Although Clarington residents are surveyed only as part
of census data, the Labour Market Information branch of Canada Employment Centre
in Oshawa has indicated that the monthly levels contained in Figure 4.5 are also
representative of the unemployment situation in Clarington.
4.5.2 The Economic Development Office is currently undertaking a survey of employment
among the municipality's major employers. Results of this survey will be available later
thisyear. Although Plydesigns, an upholstery manufacturer in Orono, closed earlier
this year affecting approximately 50 jobs it is known that firms including Goodyear,
L & L Tool, Bowmanville Foundry and others have made new hirings in 1994.
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4.5.3 The Economic Development Office has worked closely with the Economic
Development Liaison Team throughout this year. Efforts to generate and
approach development leads in the Greater Toronto Area will continue with this
group.
Recommendation:
It is respectfully submitted that Report ADMIN-13-94 be received by Council for
information.
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Respectfully submitted, Reviewed by,
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Todd Letts, M.B.A. W. H. Stockwell,
Economic Development Officer Chief Administrative Officer
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