Retail Development Provides Direct Boost to Local Economy
[NEWS RELEASE] In the first half of 2018, Maricopa welcomed several new retailers to the community. The opening of Edison Pointe brought Planet Fitness, Goodwill, Dollar Tree and most recently, Ross Dress for Less and Burger King. Earlier this year, Denny’s opened at the southeast corner of State Route 238 and John Wayne Parkway. In the six months since celebrating their grand opening, Denny’s has been bursting with customers, showing how Maricopa residents embrace new dining options.According to the U.S. Bureau of Labor Statistics, retail is the nation’s largest non-farm employment sector. Retail development is an important part of any local economy, providing direct benefits in three distinct ways.
1. Increased Sales Tax Revenue
The primary driver of retail recruitment efforts is sales tax collection. As shown in the infographic below, U.S. shopping centers account for $27.8 billion in local property taxes and $167.3 billion in state and local taxes. In 2017, Maricopa’s Retail Leakage was $368,777,211, representing money spent outside the community. As Maricopa’s retail options grow, more residents are able to shop local and keep tax revenues in their community.
2. Enhance Quality of Life
This benefit is especially true for Maricopa as many retail and dining options are located in the southeast valley, 15 miles or more from the city limits. Convenient shopping and dining options greatly contribute to a community’s quality of life, saving time, creating shorter drive-times and lowering fuel costs.
3. Support Local Businesses
Retail development efforts are not focused solely on recruiting retailers outside the community. Development provides space for established local retailers to grow and home-based businesses to move to storefront locations. Maricopa has virtually 0% vacancy in the retail sector, exhibiting a high demand for new commercial space.
The infographic below, created by the International Council of Shopping Centers (ICSC) shows the impact of shopping centers on the U.S. economy. A few of the highlights include: 90.7% of all sales are generated by retailers with physical establishments; 88% of U.S. shopping centers are neighborhood/community centers, almost half of these are occupied by locally-owned businesses; retail related employment accounts for 34 million U.S. jobs. Also included below are pictures from the Ross Dress for Less grand opening July 21.
