About Durham ScrapExchange

The Scrap Exchange is a 20 year-old creative reuse center that is one of forty-six in the country. The Scrap Exchanges location is 22,000 sq. foot building that is a retail space that is also used as an art gallery, community center, conference and workshop space, birthday parties, etc. The Scrap Exchange defers up to 40 tonnes of waste per year; is 90% self-sufficient through earned income; and can serve as a national model for other waste reuse centers. The client has 32 total staff and represents over 160 local artists.

Challenge

The Scrap Exchange needed several strategic items: 1) a cost-benefit analysis of how to optimize use of their physical plant, and marketing to find potential clients to lease the space 2) a plan to be able to franchise out their operations and procedures to other start-up creative reuse centers. 3) research on how to apply for historical building status and related tax credits.4) A comparative study to learn how other local arts spaces generate revenue

Solution

MCforNC researched several related state, departmental, and federal grants for ScrapExchange and prepared a grant summary report. Next, MCforNC researched the requirements for qualification as a historical building and determined that the client should qualify for this status. MCforNC further researched and outlined the steps the client needs to take in order to apply for historical building status. MCforNC researched the Durham real estate market through the past 10 years. MCforNC also looked into comparisons of surrounding Downtown Durham real estate properties. From the cost projects, MCforNC was able to determine the time and cost required to break even with the the clients new building. Finally, MCforNC looked into various local advertising avenues where the client could list their space. Magazines for advertising were identified and an advertising cost was determined.