Revitalizing Cities: How Entertainment Zones Drive Economic Growth

Cities Turn to Entertainment Zones to Revitalize Areas and Boost Economic Growth

In an effort to stimulate local economies and create vibrant community hubs, cities across the United States are increasingly adopting the strategy of establishing dedicated entertainment zones or districts. These designated areas feature specific characteristics regarding permitted land uses, often include relaxed regulations for certain activities like alcohol consumption during events, and impose unique requirements to foster a distinctive atmosphere. Cities such as Fontana, Upland, Westerville, San Antonio, and Cincinnati are among those exploring or implementing these zones to attract visitors, drive economic activity, and enhance cultural appeal.

Last week, the City of Fontana, California, adopted an ordinance establishing an Entertainment Center Overlay District. This district is applied to properties at the intersections of Valley Boulevard and Sierra Avenue, Foothill Boulevard and Sierra Avenue, and Foothill Boulevard and Cherry Avenue. The primary goal of this overlay district is to create entertainment destinations that attract both residents and tourists, thereby enhancing the City’s economic vitality and cultural appeal. The ordinance allows certain entertainment, recreational, and retail uses, while prohibiting certain light industrial uses within these districts. It also revises alcohol beverage sales regulations, allowing restaurants to obtain on-site alcohol licenses without discretionary approval in specific areas. However, a Minor Use Permit may be required for Alcohol Beverage Sales at bars, lounges, or nightclubs, as well as micro-breweries, micro-wineries, and micro-distilleries with tasting rooms.

Specific permitted uses within Planning Area 3 (Foothill Boulevard and Cherry Avenue) of Fontana's overlay district include Recreation and entertainment facilities such as Bowling, Batting Cages, Billiards and Pool Halls, and Commercial Recreation (i.e. Tennis, Go-Kart, Miniature Golf). Studios for various arts and activities like Art, Cooking Classes, Dance Classes, Martial Arts, Music School, Recording/Film, Pilates, Yoga, and Barre are also allowed. Additionally, Theatres (Live Stage and Movie) and Concert Halls are permitted uses. Requirements in Fontana's overlay district include the installation of Route 66 signage along certain properties on Foothill Boulevard for projects subject to a design review or administrative site plan. Public art is also mandated for development projects subject to Design Review, with specific thematic requirements like agricultural/steel mill or Route 66 themes intended to promote a sense of place.

Similarly, the City of Upland also adopted an ordinance last week establishing a Downtown Entertainment Zone. This zone is intended to attract new patrons, create a safe and sociable street atmosphere with signature events, and boost spending at Downtown establishments. A key characteristic of Upland's Entertainment Zone is that it allows for the consumption of open container alcoholic beverages purchased from licensed businesses (restaurants, bars, breweries, and wineries) within the zone to be consumed off-premises. This is permitted only in designated public spaces such as public streets, public rights-of-way, and sidewalks, and only in conjunction with an approved Entertainment Zone Event. Consumption of open containers is prohibited in public or private parking lots, public restrooms, or vacant lots within the zone.

Operating an Entertainment Zone Event in Upland requires both a Special Event Permit and a Street Closure Permit. Mandatory regulations for authorized events include permitting open container alcoholic beverages for off-premises consumption between 11:00 am and 12:00 midnight, with possible more restrictive hours depending on the permit. Patrons drinking open containers must wear a wristband or stamp verifying they are 21 or older. The open containers for off-premises consumption must be plastic or paper cups or containers with the business name printed or stamped; metal or glass containers are not allowed. The zone boundaries must be clearly marked with easily visible, illuminated signage instructing patrons not to carry alcoholic beverages outside the zone. Security during an event is the responsibility of the Event's operator, with requirements determined by the Upland Police Department. Sufficient trash receptacles must also be provided within and around the perimeter of the event area for cup disposal.

In Ohio, the City of Westerville is actively working to establish Community Entertainment Districts (CEDs) in two areas: Uptown and Westar. These CEDs are recognized as an economic development tool aimed at fostering a sense of community and encouraging investment through strategic development and redevelopment, which can create jobs and facilitate the opening of new businesses. A significant feature of CEDs is their ability to generate additional liquor permits (D-5j permits) that are exclusively issued to businesses located within the district boundaries. The establishment of these districts is intended to substantially contribute to entertainment, retail, educational, sporting, social, cultural, or arts opportunities for the community. The proposed Uptown CED covers approximately 42.30 acres, while the Westar CED encompasses about 151.01 acres.

Further initiatives in other cities highlight the diverse applications of the entertainment zone concept. San Antonio, Texas, is considering a proposed Sports and Entertainment District. In response, Councilmember Marc Whyte has formally requested a comprehensive Public Safety Impact Analysis. This analysis is deemed important to evaluate the potential impact on neighborhoods, infrastructure, and emergency services, and to ensure community protection and preparedness of City departments like SAPD, SAFD, and Public Works. The analysis would cover risk identification, impacts on emergency response systems, community safety considerations, and coordination among key departments. Meanwhile, Cincinnati, Ohio, has approved an amendment to a development plan (PD-67) to permit small-scale recreation and entertainment uses. This amendment allows for the conversion of a former commercial bank space into an arcade, providing greater flexibility for future uses on the property to adapt to market and neighborhood changes. This change aligns with the goals of promoting economic health and reviving business districts to preserve culture and history.

These examples underscore a growing trend where cities are strategically using entertainment zones as a mechanism to spur economic growth, enhance their appeal, and provide varied recreational and cultural opportunities for their populations and visitors. While the specifics of each zone, including permitted uses, regulations, and requirements, are tailored to local context and objectives, the overarching aim is to create designated areas where entertainment, recreation, and related enterprises can flourish.