Focus Group Meeting Summary
Technology Focus Group - October 15, 2002

Attendees:
Alfredo Echeverria, Department of Economic Development
Henry Bernstein, Department of Economic Development
Robbie Brewer, Lerch, Early, Brewer
Mike Burgett, Qiagen Sciences, Inc.

Karen Kumm, Claudia Kousoulas, Sue Edwards, Nkosi Yearwood, John Carter, Community-Based Planning Division
Fred Peacock, Research Division

The meeting began with a brief explanation of the planning process and initial findings about the Shady Grove planning area. The group then discussed the technology market and its needs, and the potential for redevelopment of the Shady Grove are with technology uses.

Representatives of Human Genome Sciences, BioReliance Corp., Celera, the Maryland Technology Development Center, and the JBG Companies were unable to attend. Notes from the discussion follow.

Locating Technology Businesses
Qiagen first looked at the Life Sciences Center, but finally located in Germantown. Now 25 percent of their employees come from the north (Frederick, etc.), and some use MARC. Germantown turns out to be a good location that gives them access to an expanded pool of employees.

Transit provides further options and access for all employees, manufacturing as well as corporate.

Need to get employees to whatever location. Employer support of transit helps, also need street-friendly improvements for transit riders (sidewalks, crosswalks, etc.).

Transportation is the number one issue in the County, but not when businesses are locating. It becomes an issue after they are in place.

In looking for a site, a company's first criteria will be room to expand and combine functions. R&D, manufacturing, and corporate tend to combine as a company evolves. Is this expansion possible in Shady Grove?

The County's incubator space has a steady list of applicants and is currently 100 percent occupied. Out of 30 companies accommodated, 15 have "graduated" and hundreds of new jobs have been created in the process. Even though the technology economy goes in cycles, we need to plan long-term, since Montgomery County has the base of uses and services to support long-term tech development.

The County is aiming to have seven new incubator sites by 2007. Working on locations in Silver Spring, MD 29, Germantown at Montgomery College campus, and other strategic sites around the County.

Surrounding uses are important to locating companies; they want a congenial environment of similar and compatible uses nearby; not housing. They also need a mix of facilities to serve varied tech uses and their potential expansion.

Can't locate incubator space just anywhere; need to have synergy. Residential doesn't always add to that synergy. Can mix class office, retail with housing, harder with potential industrial tech uses.

The County should strive to diversify its economy beyond biotech and allow and other tech businesses to establish themselves. And, as biotech itself changes, need to allow its evolution.

Consider development patterns that fully use the existing infrastructure. Now I-270 runs only half the way, half the time. Redevelopment can help shift traffic patterns, for example, drawing employees from down county to northern locations.

The market is in the County for new tech uses, public sector needs to provide incentives and opportunities. Demand for biotech will grow. Montgomery County has a huge potential within the desired balanced of development. If the space is available, it will be used.

Residential development built after existing industrial and commercial uses often doesn't build in consideration of previously existing uses, increasing the potential for conflicts.

Shady Grove Potential
Spec-built start-up space might be good in Shady Grove.

Can/will the Sector Plan respond to market demand? Or is its role to identify and offer opportunity?

Transportation dominates the area. I-270, I-370, and Metro provide access but also act as barriers. The public uses at the County Service Park are essential and unlikely to move in the life of the Sector Plan.

The light industrial character of the area should be preserved. The county needs flexible, light industrial space, like Westbard or Oakmont. Tech companies rely on service providers and suppliers that also need a place to locate, such as Roberts Oxygen. Need buildings that are one to three stories, and allow storage and light manufacturing.

Not too many sites in the County offer the opportunities that the Shady Grove area does, proximity to transportation and supporting light industrial uses.

Housing development will squeeze industrial expansion. Infill housing leaves little room for growth to create a new tech park that will attract new businesses.

Transportation and housing both need to be affordable. Consider a pattern than clusters housing around Metro, and leaves larger, outer ring sites for industry. Housing along Crabbs Branch is not the best use, need that land for light industrial uses.

Building and Design Principles
A typical tech building is low-rise development, not the density needed at a Metro station. Building type and Metro density don't necessarily align.

Look beyond I-1 zoning; I-3 provides more flexibility. Or is there another more appropriate zone, since I-3 could just morph into standard office uses that a developer can turn around faster than the desired tech uses.

The R&D zone requirement for 50 percent R&D uses should be redefined for more flexibility.

Biotech park characteristics are changing as companies evolve.

Be aware of changes in the industry and direct development through performance zoning that allows a wide range of uses. Need a different approach. Performance standards can help a mix of uses co-exist.

Clean rooms for lab and manufacturing need height for air handling equipment. I-1 has a three-story limit that limits tech buildings to two stories. Consider not counting interstitial, mechanical space in the FAR calculations.

Parking requirements. Tech businesses have changed from fewer people in more space to a denser employee population, as lab, manufacturing and corporate functions combine in one place. However, this mix of uses doesn't align with the zoning ordinance's parking requirements. Parking can also evolve from surface to structured. Should develop a tech business parking standard that recognizes business evolution.

Amenities. From a business perspective, the goal is to keep employees on-site. In isolated campus locations, larger businesses provide services like convenience retail, food, dry cleaning, atm, and childcare. Another pattern would locate service components into a business park to serve a critical mass of employees. Also need traditional retail visibility and access to ensure success. Lots of convenience uses are already in place at Shady Grove.

Tech parks are a limited initial market, not enough for retail success. Need either an incentive to draw them or an existing proximity with the ability to expand when market dictates.

Implementation
Visualize a horizontal city along I-270. Each Metro station would evolve into a small-scale CBD, with a core density of mixed office and retail uses within walking distance, surrounded by industrial, residential, or institutional uses. Each station center would have its own character and opportunities.

What is the character of Shady Grove, what should it be? It is being influenced by the King Farm, but still need to create a sense of place.

Extend the King Farm pattern and character to Metro, and extend Metro Park business area to the north along Crabbs Branch.

The County has some leverage here if it can offer public land for redevelopment. For example, consider building on Metro air rights.

Consider the needs and value of supporting uses. Don't zone out industry, allow its expansion.

Establish a strong implementation mechanism.

The needed housing is in place at the King Farm. Connect it to redevelopment of Metro and jobs around the station.

Conclusions
Biotechnology will continue to grow and be a major industry in the I-270 Corridor. However, the County needs to diversify and encourage a broader range of technology industries and the services and suppliers that support them. As a technology business location, Shady Grove has the advantage of Metro and Road access, but lacks the synergy that exists in other clusters of tech businesses in the County.

Rezoning the existing industrial land and displacing current businesses is not desirable since there is a limited amount of industrially zoned land in the County. If housing is also needed in the Metro area, it should be located on sites immediately adjacent to the Metro and not displace current, viable uses.

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