Tap the Southern Rockies

City, county try to boost economy through the outdoors

After just 15 or 20 minutes of driving from the Plaza, a hiker can plant boots on a dirt trail nearly any cardinal direction from town. Ski Santa Fe’s powder-covered slopes, just a half hour away, often call from the horizon. The great outdoors surrounding town are undoubtedly one of the best things about living in Santa Fe, but the city and county would like to make sure it’s not the area’s best-kept secret.

"Santa Fe has done a great job of promoting arts and culture. Everybody knows that 40 percent of revenues coming into our community are related to arts and culture," says David Griscom, economic development manager and film liaison for Santa Fe County. "But we could probably do a better job of promoting other elements of our economy such as outdoor recreation, which is something that we've never done before."

Economic development staff from the city, county, the Regional Development Corporation and state-run New Mexico Partnership are working to not just entice tourists to drop into town for a weekend but also lure outdoor industry businesses to relocate their headquarters or light manufacturing operations to Santa Fe.

"We all have seen the stats on city of Santa Fe and Santa Fe County," says Griscom, referencing the city's median age of 43, ahead of the US average of 37, and the recent drop in population between the age of 22 and 55. "It's very important that we have a pipeline of youth coming in to our community, of people moving in, of businesses moving in to keep our economy fresh and vital, and part of that is attracting the millennial generation. So by demonstrating that we have some really high quality outdoors infrastructure, we think that we can make that sales pitch a little easier. … What we're really selling is quality of life."

The Outdoor Industry Association estimates the industry's economic impact in New Mexico is $6.1 billion. Colorado and Utah still dwarf that number, reporting a $13.2 billion and $12 billion economic impact, respectively.

"We're not trying to out-compete Utah or Colorado. We're just trying to get a foothold into what we see as an emerging opportunity," Griscom says. "There's a big movement to get outdoors and to increase the quality of life for your employees, and that's where we can sell ourselves."

On top of bountiful recreation opportunities that fuel tourism, Colorado and Utah are home to offices for outdoor brands including Scarpa, Black Diamond, Mountainsmith, SmartWool, Pearl Izumi, Gregory Mountain Products, Kühl, Petzl and La Sportiva. In an effort to get a toe into that market, in 2014 and 2015, the city, county, RDC and New Mexico Partnership sent staff to Outdoor Retailer, an outdoor recreation-focused trade show in Salt Lake City. Though Griscom says Santa Fe enjoyed increased recognition on their return trips to the show, no company has yet committed to a site visit. Still, Griscom plans to return to the August edition of the twice-yearly show to run the campaign trail again.

"The outdoor industry makes sense, and when you talk to people, to business owners, to policy makers, to economic development officials, absolutely everybody gets it, and when something like that happens, it's a great opportunity to take advantage of," says Kate Noble, interim director for the city's Housing and Community Development Department.

Noble says she's inclined to agree with a suggestion that the city broaden its approach to search for any business leaders who are outdoor enthusiasts, which came out of a conversation during Outside Bike & Brew, a week of bike, beer, art and music events.

"Santa Fe's greatest advantage in recruiting companies is that bosses fall in love with this community and decide they want to be here, and we understand that advantage and really want to leverage it," Noble says.

The city's big focus this year will be the third installment of Bike & Brew; last year, cold temps and snow thwarted efforts for a serious ramp-up. The city and county organized a luncheon for gear exhibitors, many recommended by bike parts distributor BTI and Outside Magazine, to make the pitch on moving to Santa Fe.

"The reason the outdoor industry is a particular focus of recruitment is because to grow it, we actually do need to bring in companies," Noble says. "We don't have enough of a base right now to grow it organically."

The package of incentives includes possible grants for land, buildings and infrastructure, a high-wage-jobs tax credit and an investment tax credit for manufacturers, as well as the lowest per capita property tax rate in the US.

So far, no takers.

One of the questions he's gotten during the trade show comes down to where these employees would find affordable housing, Griscom says.

But the short supply of affordable rentals and the median home price of $278,400, well above what the median income of $52,917 can afford, Noble contends, may not even come into play here.

"The need, according to the housing needs assessment, is greatest actually at the lower income of the spectrum, so that's not what we're talking about here," she says.

Salaries for these jobs would be closer to $60,000 or $70,000, she guessed (and salary data aggregator PayScale agrees). Following the suggestion that a mortgage max out at two and a half times annual income, that's a $120,000 to $175,000 house.

For those coming from New York City or the Bay Area, which might be a fertile ground for grabbing companies, the housing situation looks comparatively better, she says, adding that the numbers may be skewed by a few very expensive homes.

"There are a lot more options than looking at the macro statistics would have you believe," Noble explains.

Outdoor industry companies reached during the latest Outdoor Retailer show say, simply, they're happy where they are. Others point to New Mexico's image; it's not generally known as an outdoorsy state. Snow-based companies in particular aren't convinced that relocating from notoriously wintery states to one better known for its sandstone-spotted deserts would do much for their reputation.

Letters to the Editor

Mail letters to PO Box 4910 Santa Fe, NM 87502 or email them to editor[at]sfreporter.com. Letters (no more than 200 words) should refer to specific articles in the Reporter. Letters will be edited for space and clarity.

We also welcome you to follow SFR on social media (on Facebook, Instagram and Twitter) and comment there. You can also email specific staff members from our contact page.