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1 Benefits of Historic Preservation Missoula City Council Presentation, June 2009 Jenny Buddenborg, Program Officer ---PAGE BREAK--- 2 Preservation is protecting and preserving Story Mansion, Bozeman Story Mansion, Bozeman Story Mansion, Bozeman Story Mansion, Bozeman For many of us, our first introduction to historic preservation comes from visiting a historic site, such as Independence Hall in Philadelphia or the Alamo in San Antonio. Pictured here is the Story Mansion in Bozeman. ---PAGE BREAK--- 3 It includes libraries, courthouses and ranches… Missoula County Courthouse Missoula County Courthouse Missoula County Courthouse Missoula County Courthouse McCafferty McCafferty McCafferty McCafferty Ranch, Belt Ranch, Belt Ranch, Belt Ranch, Belt Preservation is also about protecting and preserving the buildings that make local places important. That tell the story of the community and how it came to be. Missoula County Courthouse/McCafferty Ranch, Belt ---PAGE BREAK--- 4 School buildings and theatres in your community… Lincoln School, Missoula Lincoln School, Missoula Lincoln School, Missoula Lincoln School, Missoula Rialto Theatre, Deer Lodge Rialto Theatre, Deer Lodge Rialto Theatre, Deer Lodge Rialto Theatre, Deer Lodge Preservation is not just about the rich and the famous. Equally important are the homes, schools, banks, cemeteries, bridges, gardens, and farmsteads that give meaning and substance to the generations that have gone before us. Lincoln School, Missoula/Rialto Theatre, Deer Lodge ---PAGE BREAK--- 5 As well as roadside attractions and internment camps… World Famous 50,000 Silver World Famous 50,000 Silver World Famous 50,000 Silver World Famous 50,000 Silver Dollar Bar, Dollar Bar, Dollar Bar, Dollar Bar, Haugan Haugan Haugan Haugan Fort Missoula Alien Fort Missoula Alien Fort Missoula Alien Fort Missoula Alien Detention Center Detention Center Detention Center Detention Center Preservation is about protecting sites from the more recent past such as 20th century roadside attractions and internment camps. World Famous 50,000 Silver Dollar Bar, Haugan/Fort Missoula Alien Detention Center ---PAGE BREAK--- 6 Baseball parks, gas stations and headframes… Along I Along I Along I Along I-94 Near Glendive 94 Near Glendive 94 Near Glendive 94 Near Glendive Anselmo Anselmo Anselmo Anselmo Mine Mine Mine Mine Headframe Headframe Headframe Headframe, , , , Butte Butte Butte Butte Preservation is about protecting a diverse range of buildings, from bridges to theaters, from cemeteries to ball parks, from military bases to factories. Gas pump along I-94 near Glendive/Anselmo Mine Headframe, Butte ---PAGE BREAK--- 7 Preservation is about preserving what makes your community unique! Downtown Missoula Downtown Missoula Downtown Missoula Downtown Missoula But most of all, preservation is about saving whatever it is that makes your community unique. Downtown Missoula ---PAGE BREAK--- 8 Why Preserve? Why Preserve? Why Preserve? Why Preserve? • To maintain tangible connections to our history • To enjoy places of antiquity, aesthetic interest, and architectural beauty • To revitalize older neighborhoods and commercial areas • To stimulate economic activity and growth • To conserve resources, reduce greenhouse gases and make our communities more sustainable Many of us love old buildings because of their fine craftsmanship and sense of history. But there are other reasons why we preserve them: to maintain tangible connections to our history; to enjoy places of antiquity, aesthetic interest and architectural beauty; to revitalize older neighborhoods and commercial areas; to stimulate economic activity and growth; to conserve resources, reduce greenhouse gases and make our communities more sustainable. ---PAGE BREAK--- 9 "Every place becomes more like every other place, all adding up to no place." Jane Jacobs, Death and Life of Great American Cities ---PAGE BREAK--- 10 How does preservation work in the How does preservation work in the How does preservation work in the How does preservation work in the public sector? public sector? public sector? public sector? Federal Federal Federal Federal National Park Service Advisory Council on Historic Preservation Federally Federally Federally Federally Designated Designated Designated Designated Tribes Tribes Tribes Tribes Tribal Historic Preservation Offices (THPO) State State State State State Historic Preservation Offices (SHPO) State Main Street Programs • Montana Main Street Local Local Local Local Certified Local Governments (CLG) Local Preservation Commissions ---PAGE BREAK--- 11 Local Preservation Commissions Local Preservation Commissions Local Preservation Commissions Local Preservation Commissions • Identify and promote locally significant properties. • Review applications to alter historic properties. Local preservation commissions are the principal local level, public sector preservation partners. These commissions are established through the adoption of a local preservation ordinance and have a wide range of responsibilities and powers depending on state and local laws. The local preservation commission is the governmental agency that approves or denies changes to designated historic properties that are privately owned. ---PAGE BREAK--- 12 Local Designation Local Designation Local Designation Local Designation • Established by a preservation ordinance. • Tailored to community needs. • Provides greater protection for privately- owned resources. At the local level, properties may be designated as individual landmarks or as contributing structures within a historic district pursuant to a local historic preservation ordinance. The primary strength of local designation is that it is tailored to the specific community and is based on locally developed criteria. Local designation offers the most protection because it triggers review of proposed changes to historic resources by any historic district commission. ---PAGE BREAK--- 13 Local Preservation Ordinances Local Preservation Ordinances Local Preservation Ordinances Local Preservation Ordinances • Establish a local preservation commission. • Often create a design review process. • May have binding or advisory review authority. A preservation ordinance establishes the preservation commission and sets up a process for reviewing changes to historic properties. This review may be binding or advisory. For example, local ordinances establish a process for reviewing changes to a historic property. Contrary to popular belief, historic preservation ordinances do not freeze properties in time. Rather they help to ensure that alterations and additions are consistent with a property’s historic or architectural character. ---PAGE BREAK--- 14 Why a Local Historic District? Why a Local Historic District? Why a Local Historic District? Why a Local Historic District? • Protects investment of property owners. • Encourages better quality design. • Results in a positive economic impact from tourism. • Attracts new businesses. • Provides an attractive place to live and work. Since the first historic district was established in Charleston, SC, in 1931, more than 2300 communities across the country have established one or more historic districts. Over the years, the benefits have become clear: local designation protects investment of property owners; it encourages better quality design; its results in a positive economic impact from tourism; it attracts new businesses; and it provides an attractive place to live and work. ---PAGE BREAK--- 15 How does preservation work in the How does preservation work in the How does preservation work in the How does preservation work in the private sector? private sector? private sector? private sector? National National National National National Trust for Historic Preservation Preservation Action National Alliance of Preservation Commissions State State State State Statewide Preservation Organizations • Montana Preservation Alliance Local Local Local Local Local Preservation Organizations • Preserve Historic Missoula Main Street Organizations ---PAGE BREAK--- 16 Local Preservation Organizations Local Preservation Organizations Local Preservation Organizations Local Preservation Organizations Local nonprofit preservation organizations can be found in large cities and small towns across the country. Much like their statewide counterparts, they publish newsletters, sponsor tours, lectures, and awards programs, and advocate for local preservation issues. ---PAGE BREAK--- 17 12 12 Economic & Community Benefits of Historic Preservation ---PAGE BREAK--- 18 1 1 Historic Preservation Historic Preservation Historic Preservation Historic Preservation Rehab costs are roughly Rehab costs are roughly Rehab costs are roughly Rehab costs are roughly the same as building new the same as building new the same as building new the same as building new If no demolition is required, a major rehabilitation will cost between 12% less and 9% more than new construction. If constructing a new building requires demolition of a significant existing structure, the cost savings from rehabilitation will be between 3% and 16%. Life spans for new buildings are often 30-40 years vs. more than 100 years for most historic structures. ---PAGE BREAK--- 19 2 Historic Preservation Historic Preservation Historic Preservation Historic Preservation Creates jobs Creates jobs Creates jobs Creates jobs In a typical rehabilitation project, 60 to 70% of the total cost is labor. Laborers are almost always hired locally. They, in turn, spend their money locally, supporting the local economy. A California study found that rehabilitation resulted in 10% greater wholesale purchases and 43% greater retail purchases from suppliers than the same amount spent on new construction activity. ---PAGE BREAK--- 20 2 Historic Preservation Historic Preservation Historic Preservation Historic Preservation Creates jobs Creates jobs Creates jobs Creates jobs $1M spent on building rehabilitation creates: 12 more jobs than $1M spent on manufacturing in Michigan 20 more jobs than $1M spent mining coal in West Virginia 29 more jobs than $1M spent pumping oil in Oklahoma 22 more jobs than $1M spent cutting timber in Oregon ---PAGE BREAK--- 21 3 Historic Preservation Historic Preservation Historic Preservation Historic Preservation Increases property values Increases property values Increases property values Increases property values In a study of National Register districts in Philadelphia, homes in historic districts received a sales price premium of 131% over comparable properties in undesignated neighborhoods. A study of nine Texas cities found that local designation increased property values from between 5% and 20%. ---PAGE BREAK--- 22 4 Historic Preservation Historic Preservation Historic Preservation Historic Preservation Conserves resources Conserves resources Conserves resources Conserves resources Approximately 25% of the material being added to landfills is demolition and construction waste. Demolishing one typical two story commercial building on Main Street eliminates all of the environmental benefits of recycling 1,344,000 aluminum cans. Historic buildings contain significant embodied energy. That’s the amount of energy associated with extracting, processing, manufacturing, transporting and assembling building materials. ---PAGE BREAK--- 23 4 Historic Preservation Historic Preservation Historic Preservation Historic Preservation Conserves resources Conserves resources Conserves resources Conserves resources “We can’t build (or consume) our way out of this climate crisis, we must conserve our way out.” - Richard Moe, NTHP President The National Trust Sustainability Initiative: Reuse existing buildings Reinvest in our older & historic communities Retrofit our existing building stock ---PAGE BREAK--- 24 5 Historic Preservation Historic Preservation Historic Preservation Historic Preservation Uses existing public Uses existing public Uses existing public Uses existing public investments investments investments investments Every community has significant investments in public infrastructure, including roads, sewers, parks and schools. Historic preservation directs development to places where infrastructure is already in place. Rehabbing historic schools instead of building new saves money for education and often creates a better learning environment. ---PAGE BREAK--- 25 6 Historic Preservation Historic Preservation Historic Preservation Historic Preservation Supports small business Supports small business Supports small business Supports small business 75% of all net new jobs in US are created by small businesses. Older buildings make ideal locations for small, independent businesses and for start-ups. 60 cents of every dollar spent at independent businesses remains in local economy vs. less than 10 cents at national discounters. ---PAGE BREAK--- 26 7 Historic Preservation Historic Preservation Historic Preservation Historic Preservation Revitalizes Main Street Revitalizes Main Street Revitalizes Main Street Revitalizes Main Street Since 1980, local Main Street Programs have: Stimulated $48.8 billion in total private and public investment. Created 87,850 net new businesses. Generated 391,050 net new jobs. Generated a reinvestment ratio of $25 to $1 per community.* * The average number of dollars generated in each community for every dollar used to operate the local Main Street program. ---PAGE BREAK--- 27 8 Historic Preservation Historic Preservation Historic Preservation Historic Preservation Attracts investment Attracts investment Attracts investment Attracts investment “In economics, it is the differentiated product that commands a high premium. If in the long run we want to attract capital, to attract investment in our communities, we must differentiate them from anywhere else.” - Donovan Rypkema ---PAGE BREAK--- 28 9 Historic Preservation Historic Preservation Historic Preservation Historic Preservation Attracts visitors Attracts visitors Attracts visitors Attracts visitors Cultural heritage travel increased 13% between 1996 and 2002, more than twice the growth of travel overall Cultural heritage travelers spend, on average, $623 per trip compared to $457 for all U.S. travelers. Cultural heritage travelers stay, on average, 5.2 nights away from home as compared to 3.4 nights for other travelers. ---PAGE BREAK--- 29 10 10 Historic Preservation Historic Preservation Historic Preservation Historic Preservation Prevents sprawl Prevents sprawl Prevents sprawl Prevents sprawl Saving historic buildings and keeping our towns and cities healthy reduces the pressure to pave the In 1970, the state of Maine spent $8.7 million to bus students to and from school. By 1995, with fewer students enrolled, the cost had risen to $54 million. When we reinvest in older neighborhoods, we are reinvesting in inherently sustainable communities that are generally dense, walkable, transit-accessible, and feature mixed-uses. ---PAGE BREAK--- 30 1111 Historic Preservation Historic Preservation Historic Preservation Historic Preservation Creates affordable housing Creates affordable housing Creates affordable housing Creates affordable housing To replace the current housing units occupied by lower income residents would cost $335 billion. In 2005, 1,101 units of affordable housing were created in historic buildings using the federal rehabilitation tax credits. Historic structures are often located close to services and public transportation, reducing transportation costs for residents. ---PAGE BREAK--- 31 12 12 Historic Preservation Historic Preservation Historic Preservation Historic Preservation Is good economic development Is good economic development Is good economic development Is good economic development In Nebraska, historic preservation generates $170 million per year: Between 2001 and 2005, an estimated total of $1.5 billion was spent on rehabilitation of buildings. Twenty-two jobs are created for every $1 million spent on historic preservation, which currently supports 3,869 jobs in the state. Historic designation of neighborhoods and downtowns enhances and protects property values. Of the districts studied, property values as a whole showed increases in historic districts. ---PAGE BREAK--- 32 Jenny Buddenborg Mountains/Plains Office National Trust for Historic Preservation Denver, CO [EMAIL REDACTED] [PHONE REDACTED] www.PreservationNation.org