“The Economic Impact of CS 451 West Blount Avenue: Methodology, Approach & Conclusions”

Capital Square engaged FTI Consulting to assess the economic and fiscal impacts of the multifamily real estate development project at 451 West Blount Avenue, which will be called “Livano Knoxville.” This apartment building will be located in the South Waterfront neighborhood. This analysis covers the potential economic benefits to the Knoxville MSA resulting from the construction and operational phases of the project.

FTI calculated the economic benefits of the Livano Knoxville project using Capital Square’s financial data. The information provided was analyzed using the IMPLAN model to evaluate the results. FTI calculated the economic benefits of the 451 West Blount Avenue project using information provided by Capital Square regarding its financial activities, the number of available apartments for rent and the planned square footage available for rent by commercial tenants (e.g., restaurants or retail stores) for 451 West Blount Avenue. This information and federal data on the estimated number of employees per square foot of commercial space were used as inputs into IMPLAN – an economic impact model used by academia, consulting firms and government agencies at all levels. IMPLAN works by transforming direct employment or expenditures into their “indirect” effect on supply chains and the “induced” effect of consumer spending (e.g., the wages earned by a construction worker being later spent on groceries).