NYU 2015 Lean LaunchPad class

1. Team Members
Fernanda Alves
Joshua Denholtz
Manuel Roggero
We help initiate and accelerate
the revitalization process for
depressed cities
Customer Segments
4
Local Government
Private Owners*
Community Members 70
6
Total
3Event Organizers
83
+ High Line: Director facilities & engineering
+ HPD: Assistant Commissioner for Building and Land Development

2. Business Model Canvass Designed by: City Vision
Date: 08.23.2015 Version: 1.0
Key Partners Key Activities Value Proposition Customer Relationships Customer Segments
Private Abandoned Property Owners Red Tape Management (Permits)
Local Government Technical Assessment of Spaces
Cultural performce Associations Insurance Compliance
Event Organizers Community Engagement
Key Resources
Property use Contracts
Key People:
- Legal Experts
- Digital Front Back end Programmers
Government Permits
Partnerships with Local SMBs
Cost Structure
1. Variable Cost: Lease contract of
abandoned spaces.
2. Fixed Cost: Capital Improvements to
abandoned spaces to get them up to
"usable" status.
3. Insurance
Multi-sided Platform
This project is a multi-sided platform
because value is exponentially
generated as the two of the main
agents decide to join.
The three main agents are:
(1) Owners of the Abandoned Spaces
(2) Event Organizers
(3) Customers: People who currently
assist cultural activities (Broadway
Musicals, Opera, Ballet, Theater)
Designed for: Lean Launch Pad (MG-GY 9781)
Revenue Streams
1. Pay per Show
2. Annual Subscription
3. Sponsorships
Platform for joining 4 key stake holders in
order to repurpose large urban abandoned
spaces within NYC:
(1) Community members
(2) Local Government
(3) Private Owners
(4) Event Organizers
Community Needs
People need to feel that their community has
a clearly defined identity. They feel that
communities are being lost to larger spaces
such as cities. They urge for spaces to speak
and get to know their fellow neighbors.
GET
- Partnerships with Cultural performance
associations
- Revenue share from ticket sales through
local SMBs.
- Parnerships with Event Organizers.
KEEP
- Community engagement: online voting of
events.
GROW
- Deploy platform into other US cities
- Referral discount program
- Referral revenue share program
- Free entrance for community members
Channels
Digital Channels
1. Mobile APP (Android & iOS)
2. Web Site
3. On site Digital Kiosks
Physical Channels
Local Supermarkets, Bodegas, Coffee Shops and Barber Shops.
Mass Ticket Sales Platforms
Purchase of event tickets through already established sites: Ticket Master, eTix,
Eventbrite.
Day 1

3. What we thought What we learned
We defined vacant properties and abandoned
properties as the same
Many government agencies would be our
customers
Most industrial spaces apt for repurposing
were privately owned
Abandoned: Properties not paying taxes
Vacant: Simply not used
Narrowed down the government customers: HPD, EDC,
Parks & Recreation
Most are government owned by way of county title
search
Key Learnings: Day 1
The value Proposition only had to be one:
Betterment of the community
In a multisided market: each customer segment
needed a unique value proposition
Property Owners were one customer segment
Property Owners had two distinct segments: Private &
Public.

4. Finding the Owner
See Unique Space
City Tax Map to find the block and lot number
Complete a title search using County Clerk’s Records
Owner
Business (Anonymous)
State, Department of Business Records
Office Clerk
(by mail only in NY)

5. Market Size – Day 1 Business Model Canvas
$3.65 Million
$3 Billion
34 US cities with population over ½ million
One event per week
$10 community member ticket sale
US Census age 20-34 (20.9%)
Median population of 34 cities
Percent of NY Market
$913 Million
If 10% of population goes twice per year

6. 1.Red Tape Management
(Permits)
2.Technical Assessment of
Spaces
3.Insurance Compliance
4.Community
Engagement
1.Property use
Contracts
2.Legal Experts
3.Digital Front Back end
Programmers
4.Government Permits
5.Partnerships w/Local
SMBs
1.Private Abandoned
Property Owners
2.Cultural performance
Associations
3.Event Organizers
4.Local Government
Digital Channels
1. Mobile APP (Android & iOS)
2. Web Site
3. On site Digital Kiosks
4. Ticket Master, eTix,
Eventbrite.
Physical Channels
Local Supermarkets, Bodegas,
Coffee Shops and Barber
Shops.
1. Pay per Show
2. Annual Subscription
3. Sponsorships
1. Variable Cost: Lease contract of abandoned spaces.
2. Fixed Cost: Capital Improvements to abandoned spaces to
get them up to "usable" status.
3. Insurance
GET: WOM Local SMBs, Cultural
performance associations
customer list, Event Organizers
customer list
KEEP: Online voting of events.
GROW: Other cities, Referral
discount/rev share program,
Free entrance for community
members
Local Government
HPD
Community
Engagement
Lower administrative
costs
Private Owners
Agents
Industrial /
Commercial Buildings
Capital Improvements
Maintaining Tax
Revenue
Maximize Cash Flow
Safety to people
around building
Affordable Housing
Local Government
EDC
Local Government
Dpt. Parks
Day 2

7. Key Learnings: Day 2
What we thought What we learned
Event organizers are willing to sign up front
lease contracts for a unique venue
Revenue Model: Product Sale (tickets sales)
Subscription
No, it is too risky for an event organizer to have an
upfront lease
Revenue Model: Leasing
Government segment clearly defined: HDP
(Housing Preservation & Dev)
Government segment clearly defined: EDC (Economic
Development Corp)
HPD is willing to invest in capital
improvements to get industrial buildings up
and running
HPD only interested in developing affordable housing
not cultural activity venues

8. 1.Red Tape Management
(Permits)
2.Technical Assessment of
Spaces
3.Insurance Compliance
4.Community
Engagement
1.Property use
Contracts
2.Legal Experts
3.Digital Front Back end
Programmers
4.Government Permits
5.Partnerships w/Local
SMBs
1.Private Abandoned
Property Owners
2.Cultural performance
Associations
3.Event Organizers
4.Local Government
1. Variable Cost: Lease contract of abandoned spaces.
2. Fixed Cost: Capital Improvements to abandoned spaces to
get them up to "usable" status.
3. Insurance
GET: WOM Local SMBs, Cultural
performance associations
customer list, Event Organizers
customer list
KEEP: Online voting of events.
GROW: Other cities, Referral
discount/rev share program,
Free entrance for community
members
Private Owners /
Agents
(Industrial)
Capital Improvements
Day 3
Maintaining Tax
Revenue??
Maximize Cash Flow
Safety to people
around building??
Local Government
EDC
Concert Goers
(18-34)Socialization
Event Organizers
(5000+ people)Unique and Turn Key
site (20,000 + sqft)
Govt Processes, Mail, Email, Phone
Multiple Listing Sheets, Real Estate
Agencies, Mail (private owners)
Mobile App, Website, Ticket Websites,
Local Business Networks
Website, Sales, Telemarketing
Paid from event-term sublease
Fee per ticket sale, subscription

9. Key Learnings: Day 3
What we thought What we learned
Competitors rented city spaces in
competition with us
We thought that we were bound to NYC
Customer Segment were all community
members
The EDC would be our customer
Petal Diagram: No competitors in our unique space of
repurposed industrial buildings
New Hypothesis: Expand to cities that have revitalization
on gov. agenda
Narrow down to a specific subgroup: Millennials (20-34)
university goers
The EDC does not have an interest in our services
We thought that these unique venues had
more value for our customer segment
True: 30% of targeted Millennials were willing to pay more
than double for a unique concert venue. Event organizers
can reap more value (revenue) from our unique venues.

10. Corporate Events
Mass Market Events
Pop up Stores
Office Space

11. Approvals Process Rights to the space
Municipal Zoning approval
(Zoning Officer/Panel)
Engineer
Engineer (local Department of Buildings)
General Contractor
Building Permits (local Department of Buildings) Plumbing, Structural, Electrical
General Contractor begins work
Building Inspector conducts plumbing, structural, electrical and final inspections
Building Inspector issues Certificate of Occupancy
Engineer (local Department of Buildings) issues site approval

12. LIVE NATION PRESENTS
CODE
10967-ZX4
SEC #
103
STAND UP
THU SEP 24 2015
TheKillers
LIVE AT THE GOWANUS BAT CAVE
Brooklyn, NYC
ADULT
THISTICKETISNOTFORRESALE,NOINREFUNDABLE
$65.00
LIVE NATION PRESENTS
CODE
10967-ZX4
SEC #
103
STAND UP
THU SEP 24 2015
TheKillers
LIVE AT YANKEE STADIUM
Bronx, NYC
ADULT
THISTICKETISNOTFORRESALE,NOINREFUNDABLE
$30.00
The Millennial Experiment

13. 1.Red Tape Management
(Permits)
2.Technical Assessment of
Spaces
3.Insurance Compliance
4.Community
Engagement
1.Property use
Contracts
2.Legal Experts
3.Digital Front Back end
Programmers
4.Government Permits
5.Partnerships w/Local
SMBs
1.Private Abandoned
Property Owners
2.Cultural performance
Associations
3.Event Organizers
4.Local Government
1. Variable Cost: Lease contract of abandoned spaces.
2. Fixed Cost: Capital Improvements to abandoned spaces to
get them up to "usable" status.
3. Insurance
GET: WOM Local SMBs, Cultural
performance associations
customer list, Event Organizers
customer list
KEEP: Online voting of events.
GROW: Other cities, Referral
discount/rev share program,
Free entrance for community
members
Private Owners /
Agents
(Industrial)
Capital Improvements
Day 4
Maintaining Tax
Revenue??
Maximize Cash Flow
Safety to people
around building??
Government: Brooklyn
Council Members
Concert Goers
(18-34)
Socialization
Event Organizers
(5000+ people)
Unique and Turn Key
site (20,000 + sqft)
Govt Processes, Mail, Email, Phone
Multiple Listing Sheets, Real Estate
Agencies, Mail (private owners)
Mobile App, Website, Ticket Websites,
Local Business Networks
Website, Sales, Telemarketing
Paid from event-term sublease??
Fee per ticket sale, subscription??
Brand Sponsorships??
Commission from space sharing platform
Platform for a
unique, large space
marketplace (airbnb)

14. Key Learnings: Day 4
What we thought What we learned
Concert goers are part of our customer
segments
We had event planners and concert
goers as customers
Local people in the Gowanus community
would be interested in revitalizing the
Bat Cave
Individual government agencies have
funds for repurposing buildings.
Event goers are not a segment for our
business model, they are a key partner
Our best customers are city council
member and renters of the unique
space, not exclusively event planners
Over 50% of people in the neighboring
Whole Foods Market were willing to sign
a petition to revitalize the Bat Cave
Our government segment are the local
council members.
Event Planners would sublease unique
space in the range of $10k to $100k
For a space Event Planners would not
realistically pay over $50k

15. Customer Segment Personas
Concert Goers - Millenials
• Millennial’s age 20-34, male and female
• College students or had just entered into a career and/or
first jobs.
• Love music, always walk around with headphones.
• Ethnically and racially diverse
• They purchase multiple concert tickets a year
• They desire an active social life
• Music is an important, if not the most, part of their lives
• They value technology and are extremely “connected”,
they use multiple devices
• They value authenticity as more important than content
• They aren’t usually influenced by advertising, they are
looking for a more personal approach
• Young, active council members.
• On the committee Housing & Buildings and or Land Use.
• Understands vibrancy as unique venues for cultural
activities.
• Engaging and prone to take innovative risks.
• Needs supports from community members in order for
reelection.
City Council Members

16. Location price experiment
Dear Amanda,
Thank you so much once again for taking the time to talk to me last Tuesday. I hope you can also help us with
a few follow up questions.
Through EDC we have some investors really passionate about our idea and ready to put down $1.8 million
dollars into the property you see below, with the before and after version.
The Before Version After Version
The property will be fully renovated and ready to host any kind of events. Would your company pay $200,000 per event
at this historical and unique location? How often would you rent it?
We really appreciate your feedback.

17. GET:
KEEP:
GROW:
V 1.1
Local Council
Members
Socialization, Events
Renters
(Event Organizer,
Retail)
Unique Real Estate
Location
Sublease
Keeping voter base
happy
Local Political
Motivations
(safety, community
activities, spur
business with
interesting venues)
Established amount
of exclusive access or
rights to the property
for income generation
Council Member
Chief of Staff by
phone/email
Event Goers
Identify value added
govt properties with
revitalization interest
Organize Financing
and Execution of
Fix Ups
Crowd Funding
Platform
Voters
(community
members)
Retail Space
Web Listing
Website/Phone Calls
to Event Organizers
Fundraising
Fixed: Engineering, Raw Materials, Contracting,
Permit/City Fees, Insurance, Web Development
Variable: Maintenance, Telemarketer
Lobbyist
Web based Petition
Long term Contract
Social Media
Content
Advertising

19. The Petition for Gowanus Bat Cave Revitalization
Petition served two purposes
1. An experiment to test voting base of a
counsel member’s interest in taking action
to rehabilitate the Gowanus Bat Cave
2. Establish and begin developing the
Customer Relationship with City Council
Members by way of a petition

20. Testing Hypothesis with Experiments
Hypothesis Experiment Pass/Fail Criteria
Cities beyond NYC are interested in
revitalizing abandoned spaces.
Price range for lease per event between
$10k – $100K
20% of our targeted abandoned
properties can be fixed up at an
economically feasible price for under
$1M
People within a community care for
repurposing vacant industrial buildings.
Millennial event goers are willing to pay
more for an event held in a unique
venue.
Call various city government with a
donation pitch for revitalizing industrial
spaces
Direct email to event organizers offering
a lease of $200k per event on a
repurposed industrial building
Solicit a non binding quote from an
engineer and contractor
Sign a petition for repurposing Gowanus
Bat Cave (Proxy)
True ticket sale comparison: Yankee
Stadium Concert ($30 ticket) vs. Gowanus
Bat Cave ($65 ticket)
At least 25% of possible
customers choose higher
ticket value
Result
31%
59%
At least 50% of community
members sign petition
Range of lease amount at
least: $30K
Max
$50K
Within five phone calls
reach an interested official TBD
TBD
1 of 5 visited sites meets the
capital expense
requirements

21. Here’s What we are Going to Do Next
1. COMPLETE EXPERIMENT: Call various city government with a donation pitch for
revitalizing industrial spaces
2. COMPLETE EXPERIMENT: Solicit a non binding quote from an engineer and
contractor
3. FORM HYPOTHESIZE: How can we grow the city council members as customers?
4. FORM HYPOTHESIZE: What kind of agreements, contracts, and opportunities
can get from revitalizing government spaces?
5. FORM HYPOTHESIZE: What revenue amount can we fund raise from crowd
sourcing and other resources?
Customer Segments
Cost Structure
Business Canvass Box
Customer Relationships
Revenue Streams
Distribution Channel