Monthly Archives: December 2013

Describing the 20% of temporary rich (“mass affluent”) Americans

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New survey data looks at new rich Americans who draw a lot of attention from companies and who might have outsized political influence:

Fully 20 percent of U.S. adults become rich for parts of their lives, wielding outsize influence on America’s economy and politics. This little-known group may pose the biggest barrier to reducing the nation’s income inequality…

Made up largely of older professionals, working married couples and more educated singles, the new rich are those with household income of $250,000 or more at some point during their working lives. That puts them, if sometimes temporarily, in the top 2 percent of earners…

Companies increasingly are marketing to this rising demographic, fueling a surge of “mass luxury” products and services from premium Starbucks coffee and organic groceries to concierge medicine and VIP lanes at airports. Political parties are taking a renewed look at the up-for-grabs group, once solidly Republican…

In a country where poverty is at a record high, today’s new rich are notable for their sense of economic fragility. They’ve reached the top 2 percent, only to fall below it, in many cases. That makes them much more fiscally conservative than other Americans, polling suggests, and less likely to support public programs, such as food stamps or early public education, to help the disadvantaged…

As the fastest-growing group based on take-home pay, the new rich tend to enjoy better schools, employment and gated communities, making it easier to pass on their privilege to their children…

Sometimes referred to by marketers as the “mass affluent,” the new rich make up roughly 25 million U.S. households and account for nearly 40 percent of total U.S. consumer spending.

This sounds like a group that would call themselves upper middle-class: wealthy enough to enjoy some luxuries and good things for their kids but not wealthy enough to truly compete with the millionaires and CEOs. They resent the idea that they are rich as they think middle-class values, such as hard work and providing for their kids, helped them arrive at their current position.

Yet, when the median household income in the United States is around $50,000 it is hard not see this group as wealthy. To some degree, it is all relative: the mass affluent might not be able to consistently live the high life in Manhattan or San Francisco but they could do really well in cheaper places like the Midwest or Atlanta or Dallas. Perhaps it is the perceived fragility that matters most: losing their job might be enough to move them down back near the median income, though unemployment rates are much lower for the educated and well-trained.

A few questions after reading this article:

1. How big should this group be in the United States?

2. Long-term, which party will capture these voters?

3. Will this group get a lot of negative attention as they are more accessible than the ultra-wealthy who can live more cloistered lives?

Review of the updated “A Field Guide to American Houses”

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The 1984 version is a classic and there is now an updated version of A Field Guide to American Houses:

Architecture buffs, decorators, historians and anyone who studies the built environment will have Virginia Savage McAlester’s encyclopedic update of her 1984 book “A Field Guide to American Houses,” (Alfred A Knopf, 2013) on their wish lists.

For example: For those who think “prairie palace” and “McMansion” are merely envious epithets for “house bigger than mine,” the author explores the 1980s birth of the Millenium Mansion style and explores the reasons for the wide criticisms (“These complicated roofs can be thought of as crowns, or, more satirically, as the Future Roofers of America Relief Act.”)

For fans of modern ranches, Savage McAlester breaks them down into submovements with different roots. For lovers of historic homes, this is a rich trove of not just details, but reasons for them.

And for those seeking a homeplace that makes sense, the new chapter on neighborhoods is nothing less than essential.

It is hard to find another source that combines the technical features of different styles of American housing architecture as well as good summaries of each architectural movement.It can be hard to keep track of all the different exterior parts that are associated with different architectural styles – keeping your Italianate from your Georgian to your Colonial straight – and this book has helpful diagrams and descriptions.

I’m looking forward to seeing the section on McMansions. If I remember correctly, the 1984 version had a section on more postmodern or eclectic housing styles and McMansions would have likely fallen into that category. But, a reference book like this has the ability to shape understandings of McMansions for years to come.

Sociological musings about American culture in “It’s A Wonderful Life”

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This talk by a sociologist about It’s A Wonderful Life serves as a reminder that the film provides a nice window into modern American life. Although it is a holiday movie, here are a few sociological ideas that still resonate today:

1. Mr. Potter is the evil banker and the primary villain. While hero George Bailey just wants to help his family and others in the community, the banker only cares about money. Could be connected to discussions of inequality, the wealth of bankers, and the role of the finance industry in helping to build communities.

2. Hero George Bailey wants to build suburban-like homes in a new subdivision in his community. The movie came out at the beginning of the post-World War II suburban boom and anticipates that many Americans simply want a home of their own.

3. The movie is set in a relatively small town where George Bailey and his family can know lots of people. Even as Americans look to private single-family homes, there is still often a small-town ideal where everyone gets along and helps each other (and often the assumption that we have lost this over time).

4. George Bailey seeks meaning in his work and life. When he doesn’t find it, he considers suicide. Bailey wants to provide for his family and friends and struggles when he cannot do this.

5. George’s life is saved by an angel. Americans tend to like angels even as more Americans say they are not religious. Angels fit with a spirituality where God generally wants people to succeed.

6. The celebratory ending of the film comes as George is surrounded by his family and friends. The emphasis on family life is not unusual in American stories but this also highlights the small town coming together. Bailey has the American Dream at the end: a home, a loving family, helpful friends, and is optimistic about his future.

Of course, this film has been analyzed plenty as a classic sitting at #20 on the AFI’s top 100 movies. Yet, it is an important moment as America started seeing itself as the prosperous superpower.

If you don’t like McMansions, be prepared to renovate and live in older homes

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Older homes are an alternative to McMansions but someone has to renovate them and then choose in them:

Enter Barbara Jones. The Needham contractor launched Little Pink Houses a couple years ago to provide an alternative to homeowners who want to sell but aren’t keen to see all their memories bulldozed away to make way for some cold, grotesquely large, and soulless box.

Jones’s aim is to hit the $600,000 to $800,000 end of the market in Needham, where listings are comparatively scarce, while saving some of the town’s graceful older homes from the wrecking ball…

My goal on my houses is to keep the original footprint but to update the entire inside to provide a “brand new” old house for the buyer. Staying within the existing footprint enables the end price to be well below the $1million+ price tag that is becoming the norm here in Needham.

I want to preserve the older homes and keep the charming feel of our 300-year-old town while providing homes in the price range that is becoming increasingly rare: $600k – $800.

The number of people who have expressed their gratitude to me around the preserving of my home has been overwhelming. I credit the woman we purchased my home from. She had multiple offers from builders who wanted to buy the 4 acres my home sits on and turn it into a development. We are thankful that she “waited” for us to come along.

The steady march of McMansions requires that good citizens do nothing – or something like that. Two things strike me by this particular approach:

1. It is still not cheap to preserve these older homes. The average homeowner in Needham might be able to make more money by selling the home and lot to someone who desires a teardown and can pay more. In many places, it might be difficult for owners to take less simply to preserve the houses.

2. It sounds like the older homes are completely renovated inside. So while the exterior appears old, the new buyer gets all the modern conveniences they might expect in a new home. It seems a bit strange that older homes might only be attractive to buyers if they basically look like new homes on the inside. Yes, these older homes may not have been turned into McMansions but this might have been the goal with the interiors.

All together, it can be quite a bit of work to preserve older homes and it requires willing sellers, buyers, and neighbors. It would be interesting to then find out whether it is “easier” to have teardowns and McMansions rather than organize to keep older homes that enough buyers still want.

New study: “The Urbanization of the Eastern Gray Squirrel in the United States”

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Continuing the discussion of nature and urban areas, read about a new study of the urban patterns of the Eastern Gray Squirrel:

Benson explains that though many people may think that squirrels have simply persisted in urban landscapes since Europeans arrived in the U.S., their presence is actually the result of intentional introductions.

“By the mid-19th century, squirrels had been eradicated from cities,” he said. “In order to end up with squirrels in the middle of cities, you had to transform the urban landscape by planting trees and building parks and changing the way that people behave. People had to stop shooting squirrels and start feeding them.”

In researching the history of squirrels in American cities, Benson found the first documented introduction occurred in Philadelphia’s Franklin Square in 1847. Other introductions followed in Boston and New Haven in the 1850s. These early releases were small in scale, and intended to “beautify and add interest to the parks,” Benson says…

Benson also found signs in his research that squirrels played another important role for city residents, particularly children: as moral educators.

“Feeding squirrels becomes adopted as a way of encouraging humane behavior,” Benson said…

By the time the environmental movement took hold in the 1960s and 1970s, Benson argued, squirrels in the urban environment were no longer widely seen as morally significant members of the community and instead began to be viewed with a more ecological mindset. Ideas of letting them live out life “as nature intended” took a stronger hold.

In other words, Americans have been influencing the habitats and behaviors of squirrels for over a century and a half. It is interesting to see the progression from wanting to have more squirrels and nature (within a particular urban vision of parks), to feeding squirrels, to taking a more hands-off approach. What how will humans interact with squirrels in a few decades?

One of the stranger places for human-squirrel interactions is the campus of the University of Notre Dame. Squirrels are regularly seen outside the dining halls with large pieces of food, like muffins or cookies. Some of these squirrels were also quite large which appeared to hamper their running abilities. I have no doubt that students or visitors occasionally fed the squirrels. See some examples at the Squirrels of Notre Dame Facebook page or this 2011 column from the student newspaper on how the squirrels are viewed (hint: the title is “Reasons we love squirrels”).

Older workers left behind when companies move back to the city?

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As some companies choose to return to the big city, are older workers left behind?

After decades of big businesses leaving the city for the suburbs, U.S. firms have begun a new era of corporate urbanism. Nearly 200 Fortune 500 companies are currently headquartered in the top 50 cities. Many others are staying put in the suburbs but opening high-profile satellite offices in nearby cities, sometimes aided by tax breaks and a recession that tempered downtown rents. And upstart companies are following suit, according to urban planners. The bottom line: companies are under pressure to establish an urban presence that projects an image of dynamism and innovation…

For longtime employees, however, corporate moves to the city mean longer commutes and disrupted schedules and family life. And the corporate quest for youth and innovation can leave some workers feeling slightly unwelcome.

“We joked about the older suburbanites being excluded from the new [business] model,” said Jon Scherf, age 42, a marketing professional who left Hillshire shortly before its December 2012 move to downtown Chicago. “They would’ve been happy to have me but they’re also happy to bring in new blood.”…

For longtime employees, it has been a more complicated switch. Melissa Napier, treasurer and senior VP of investor relations at Hillshire, bought a house in Downers Grove in 2007 and lives there with her husband and two sons. While she now attends more social and networking events downtown, her commute, once a 10-minute drive, now gets her home at 7:30, an hour later than before…

But the employers that sought them out in the city are unlikely to follow them back to the suburbs, said Mr. Phillips of the Urban Land Institute.

Now that I think about it, I don’t remember Richard Florida, known for analyzing the young creative class that wants urban amenities, discussing the possible impact on older workers. I suppose the argument could be made that attracting young workers, wherever they might work, would help raise all boats. But, as long as the perception continues that suburbs are better places for raising families due to their schools and safer spaces, this divide between younger/urban workers and older/suburban workers may continue.

Big city mayors discuss why no sitting mayor has ever been elected President

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Watch this video of current big city mayors talking about why no one has ever moved from sitting mayor to American President. The most common reason given: mayors have to make decisions, big and small and often pragmatic, all the time and this doesn’t line up with the gotcha politics of today and keeping all the constituents happy. It may be just me reading into the video but it seems like these mayors give this reason with both a sense of pride and regret: “Hey, we make tough decisions all the time and this can make people mad. Unfortunately, we don’t get rewarded at the highest level for such choices.”

I suspect there is more to this story, particularly if we asked the mayors of the biggest cities, and it would be worth hearing more.

Once residents become more “architecturally aware,” they won’t choose McMansions

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An Australian architect says more residents in Perth would avoid McMansions once they become “architecturally aware”:

Designer homes are popping up across Perth as the city becomes more ‘architecturally’ conscious.

Aspects such as strong horizontal lines, cut outs and bold rectangular features are increasingly popular in new residential homes.

As Perth’s architectural style grows up, McMansions will be out and clean, simple modernist designs will be in, according to David Karotkin, the WA President of the Australian Institute of Architects…

“In more recent years there has been an increased awareness of architecture in Perth,” Mr Karotkin said…

“There’s awareness about the importance of the designs and the buildings we live in, work in and play in – it’s all architecture.”

There are several ways such statements might be interpreted:

1. Perth residents are finally becoming knowledgeable about architecture and are rejecting architecturally-deficient McMansions. There is an element of snobbery here: McMansions are for the less knowledgeable while the more educated pick homes designed by architects.

2. Perth is developing its own architectural style. Building styles might be drawn from other cities or countries but a new Perth School might be emerging. Having common design, particularly if it is recognized by outsiders, can become a mark of pride.

3. Architects are looking to increase the number of homes they design. In the United States, most homes are designed by builders and architects have just a small slice of the market. Educating people about the benefits of designed homes means more money.

I wonder what this architect would think if there are still some people who choose McMansions even with higher levels of education.

More than hunting needed in considering having too much nature in the suburbs, city

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A recent Time cover story called for hunting to thin out the wildlife that is now flourishing in many American suburbs and cities. While the story focuses more on the resurgent populations of deer, Canadian geese, and other animals that have thrived because humans have changed the setting (often removing the predators, providing easy food sources, etc.), the story presents a chance to have a larger conversation about the intersection of nature and suburbs.

The formation of the first suburbs, in England in the late 1700s and in the United States in the mid-1800s, was driven in part by a desire to be closer to nature. The growing cities of the Industrial Revolution, places like London and New York City, were home to an increasing number of polluting factories and more disease. Interestingly, the nature in the early suburbs was often still quite curated: building around central parks or building winding streets to take advantage of natural ridges and groves. As suburbs expanded, lots were generally smaller and nature was reduced to smaller lawns. Of course, these lawns today can’t be “natural” – most places have regulations about the height of the grass as the appearance of a well-manicured lawn. Similarly, suburban critic James Howard Kuntsler makes fun of some of the “natural” features of today’s suburbs, like the trees in the middle of big parking lots outside big box stores.

The best book I’ve read on the subject is The Bulldozer in the Countryside by historian Adam Rome. Many suburbs and cities today are plagued by the consequences of running roughshod over nature in matters like dealing with stormwater or residents hoping to save open space or Forest Preserves now trying to acquire land.

Calling local McMansion restrictions a “McMansion diet”

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Plenty of American communities have changed their zoning guidelines to limit the size of new McMansions, particularly teardowns in older neighborhoods. But, I’ve never seen this phrase before:

McMansion Diet? Continuation of Public Hearing to amend local law Chapter 197, Zoning, of the Rye City Code, Section §197-1, “Definitions and Usage”, to amend the definition of “STORY, HALF”, and Section §197-43.2, Subsection B, “Attics” to amend the Calculation of Attics in Gross Floor Area.

At its most basic level, the term implies the slimming down of McMansions. In teardown situations, a new home might not be that big compared to the average new home size in the United States of 2,500 square feet. But, if some of the neighborhood homes are 1,200 square feet and the new home is 2,300 square feet or the older and smaller homes are 1950s ranches and the new home is a Spanish with Tudor elements two story structure, the difference is more striking. The diet, which here looks like it relates to how attics should count toward square footage, will lead to smaller homes.

But, such a term also implies that McMansions need diets, that they are obese, that they may be the result of gluttony. These judgments are more involved with teardowns though the implication for McMansion in new sprawling neighborhoods is that they are unnecessarily large as well. And, some McMansion critics would argue, this diet should really be applied to an entire American consumption mindset that ranges from houses to fast food portions to SUVs.

I’ll be on the lookout for more links between McMansions and food diets and how this connection is presented.