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SUMMARY AND RECOMMENDATIONS <br />During the past cen years, Indianapolis has experienced a signi- <br />Ficant grcwtn in the number and variety of adult entertainmen-c <br />businesses located in its jurisdiction. An adult entertainment <br />business, for the purposes of this study, is an establishment <br />which primarily features sexually stimulating material or per- <br />Formances. As of mid -1983 there were sixty-eight such businesses <br />operating in this City. They were located at forty-three separate <br />s i tes. <br />The prol i Feraci on of these businesses heightened the coanun icy's <br />awareness of [heir existence and resulted in numerous requests <br />[hat the Ci ty control thei r presence. Beyond the moral objections <br />raised by many citizens, it was also alleged that such businesses <br />had a detrimental effect on property values and contributed to <br />high crime rates where they were located. <br />The Indianapolis Division of Planning undertook this study in <br />July of 1983. Of the existing adult enterzainment sites, the <br />study examined six representative locations ( the Study Area ) <br />and the presence - or lack thereof - of certain relevant condi- <br />tions therein_ It [hen compared these sites with six physically <br />similar locations ( the Control Area ) containing no adult en- <br />tertainment business. Both groups of sites were compared with <br />the City as a whole. <br />Because of their importance to the public welfare of the commun- <br />ity, the study examined the factors of crime incidence during <br />the period 1978 - 1982 and real estate value appreciation from <br />1979 - 1982. In support of limited real estate data on a small <br />area level, the City collaborated with Indiana University in a <br />national survey of real estate appraisers to develop a "best pro- <br />fessional opinion" as to the effect of adult entertainment busi- <br />nesses on surrounding real estate values. <br />As discussed in 'Appendix III of this report, case law has firmly <br />established the legal and constitutional basis for control of the <br />use of land within their jurisdiction by states and municipalities <br />in order to safeguard "the public health, safety, morals and gen- <br />eral welfare of their citizens". The "public welfare", in this <br />context, embraces the stabi I ization of property values and the <br />promotion of desirable home surroundings. On the other hand, <br />case law has also upheld the right of this business sector to <br />operate in the community under the First and Fourteenth Armiend- <br />mencs of the Consticutien. <br />In establishing an ernpiric base to de[ermine whether controls were <br />warranted in order to direct the location of [hese businesses, <br />analyses of the da[a showed: <br />E VER00003 <br />