2005/06/15 Council Agenda Packet

economic effect on both businesses and residential property in respect to market value, rental value, and rentability/salability. It was believed that these effects extend even beyond a 1,000 foot radius, and that they are related to the degree of concentration. In addition, there are.adverse effects on the quality of life, Including neighborhood appearance, littering, and graffiti. Minneapolis -St. Paul: The Twin Cities have conducted a number of studies over a period of more than ten years. In a 1978 St. Paul study and a 1980 Minneapolis study, statistically significant correlations were seen between location of adult businesses and neighborhood deterioration. It was concluded that adult businesses tend to locate in somewhat deteriorated areas to begin with, but further deterioration follows the arrival of adult businesses. - In these early studies, significantly higher crime rates were associated with an area containing two adult businesses -than-in an area with only -one such business. Significantly lower property value prevailed in an area with three such businesses than in an area with only one. In 1983, St. Paul examined one neighborhood that had a particularly heavy concentration of adult entertainment establishments. The University -Dale neighborhood had. many signs of deterioration and social distress. While these indicators could not be directly attributable to the presence :of, the adult establishments, it was stated that there was a relationship between the concentrations of certain types of adult entertainment and street prostitution, especially, as well as other crimes. (40 -Acre Studv, prepared by -the `St. Paul Department of Planning and Economic Development, p'.'19.) This perception of.an unsafe and undesirable neighborhood was documented by a survey conducted by Western State Bank which found its efforts to attract employees and customers .being frustrated by people's ,:-perceptions of the neighborhood. (Ibid.,'_ p.23.) _ In a 1987 Memorandum of the St. Paul Plan ning`Departrnen�, :discussing issues raised during the public review of proposed zoning regulations of adult:establishments, it was stated that there Is.a relationship of prostitution activityto adult entertainment establishments, making for a "sex for sale" image of the neighborhood. The variables affecting the incidence of street prostitution include the character of the neighborhood, the effect of the concentration of adult businesses, and the specific , kind of adult businesses associated with other serious land use problems. Ibid., p.53- 54.) While much of the public testimony and the expert analysis described the negative effects on residential areas, it was also stated that such uses should be prohibited from proximity to commercial areas as well, because the purposes are incompatible. (Ibid., p.60.) If such harmful uses do continue to exist in commercial areas, it was recommended in the study that there be sufficient spacing requirements, 6 EVER00192