Ikea as suburban economic engine and sign of suburban change

The wealthy Indianapolis suburb of Fishers now has an Ikea and the community hopes it spurs economic growth:

When Ikea opens Wednesday, it could alter the character of this northern suburb city from a drowsy residential nook into a dynamic regional shopping mecca. The giant Swedish furniture retailer’s gravitational pull has already attracted other businesses nearby and prompted major highway and road work.

Which is why city officials expect the residents to get along just fine with the new kid. For one thing, Ikea has cache, even if the store is three times the size of a Walmart. For another, Ikea’s guests are quiet and well-behaved. And most importantly, Ikea will contribute millions of dollars to the local economy in sales taxes and in-town spending at other stores…

But for Mayor Scott Fadness and the City Council, the wave of development is the cornerstone to expanding and defining the city. It follows a similarly aggressive flurry of construction just blocks away, across I-69 in downtown proper, now called the Nickel Plate District. Over a five-year period, the city encouraged residential and business development to get people living and working downtown. Two high-rent apartment buildings with first-floor restaurants and shops were built next to City Hall and several high-tech firms set up shop nearby, earning Fishers the reputation as a technology hub…

Ikea asserts, and experts agree, that it’s 44 U.S. stores draw customers from as far as 200 miles, and they spend money at more places than just the furniture store.

It is not enough for many places to be well-regarded bedroom suburbs: many of these communities now want more.

  1. An expanded tax base. Bringing in businesses means more money for local services and a reduced tax burden for residents.
  2. Excitement about the community. Many postwar suburbs have experienced decades of development. Newer suburbs or exciting urban neighborhoods offer new options. How will a high-status suburb stay on the radar screens of people within the region and elsewhere? New development always brings excitement.
  3. A new vision for the future. What will the suburb look like in the 21st century? Can they develop new plans and visions? The postwar suburban era is over; what will these suburbs look like by 2050?
  4. Number two and number three above are linked to attracting young professionals. These are high-status people who can contribute to the tax base, provide employees that high-end employers want, and bring energy to the community.

The moves in Fishers echo those of many other suburbs across the United States. Some, like Fishers, are well-positioned with their wealth and location to take advantage of possible opportunities. Others will pursue some of these options but ultimately lack the ability and/or resources to carry them out.

New possible Georgia city just for Amazon

The race is on between cities and communities to put forward an appealing pitch to Amazon regarding its second headquarters. One Georgia community has a unique approach: make a new city just for Amazon.

The Stonecrest City Council voted 4-2 on Monday to de-annex 345 acres of land if the e-commerce giant picks the area for what the company calls HQ2, a corporate hub where Seattle-based Amazon says it will one day house 50,000 jobs…

“There are several major U.S. cities that want Amazon, but none has the branding opportunity we are now offering this visionary company,” said Stonecrest Mayor Jason Lary. “How could you not want your 21st century headquarters to be located in a city named Amazon?”

Amazon is seeking a 175-acre site located near an international airport, public transit and high quality of living. Lary said he hopes MARTA expands rail service to Stonecrest.

The proposed city of Amazon could enter into an agreement with the city of Stonecrest to provide city services, he said.

This would indeed present a unique opportunity for any large company. I could imagine a few stumbling blocks:

  1. Naming a community after your company could have some cool features but also might have drawbacks. If something goes wrong in Amazon, Georgia, is it automatically the company’s fault?
  2. Would Amazon want its own community that is still beholden to its neighbor for city services? Providing all of your own infrastructure could be very expensive but working out deals for essential needs is not necessarily easy.
  3. Would Amazon want the perception of running a company town? This has tended not to work out well in the past. See Pullman as an older example or Facebook as a more recent effort.

I imagine there will be additional creative options proposed by other cities and places. Stay tuned.

The city of Boston to research, act on data regarding economic inequality

The city of Boston is taking steps to do its own research regarding troubling inequality within its borders:

And that’s why it’s so interesting that the city is planning to gather and maintain longitudinal data deep into the future that may help explain what’s going on and what policy levers can change the situation. The new cross-agency project, housed in the Mayor’s Office, is called the Economic Mobility Lab, and it has gotten initial funding from the Rockefeller Foundation…

You can see the germ of this idea in the Resilient Strategy that the city released a couple of months ago. Deep in the report, it says that “The City will build upon ongoing efforts by utilizing new and existing data sources to advance resilience and racial equity across the city.” The existing data simply won’t tell the story, and so the city will need to find those new sources and incorporate them—and study the results. For years.

Jason Ewas, the executive director of the Economic Mobility Lab, tells me, “We’re going to put a stake in the ground and say that we’re going to study in general how people are moving up and down, or staying the same, and see if we can see why.” This is an explicit vision of tracking and improving economic mobility.

It’s not that the city will stop experimenting with programs or improving what it’s doing in the meantime. “We’re going to do [that] while researching,” Ewas tells me.

To me, the most interesting part of this is that the city is doing the research itself. Boston has numerous research institutions that could do such research but the city wants to take this on themselves. Will they find things that academic researchers would not uncover (either because of their perspectives or because of the data and actors they would have access to)? Or, will the city be unable to separate out their research arm from their political concerns?

Of course, perhaps these questions do not matter if Boston is able to successfully combat economic inequality. Many cities face these issues as they both try to keep up with the higher end of the globalized economy and serve residents who are far removed from the global elite.

The same LA bridges in many car commercials

One interesting set of locations is fairly common in car commercials: bridges in Los Angeles. This is not what you might expect: how many people know that bridges are even necessary in Los Angeles? (The Los Angeles River does exist.) This has a long history: a 2004 New York Times story suggests the presence of production companies in southern California plus good weather leads to many shoots in Los Angeles.

One of the past bridge locations was the Sixth Street Viaduct which closed in 2016:

According to Film L.A., the organization that helps the film industry book municipal locations, over 80 movies, television shows, music videos, and commercials are shot on or underneath the Sixth Street Viaduct each year. That’s partially because of the bridge’s swooping metal arches, perched on an art-deco concrete platform; and partially because of the river underneath and that access tunnel: if you want to film something set in Los Angeles that makes reference to the city’s automotive culture, or if you’re just looking for a place to shoot a car chase that’s cheaper and more available than a clogged freeway, the channelized, concretized bed of the Los Angeles River is your best choice.

Except that the bridge officially no longer functions that way, as of last week. It’s going away completely. And the river? It’s on its way to becoming a river again.

Here is a short montage of the bridge being taken down alongside iconic images from films.

The Fourth Street Bridge is also home to a number of shoots and features Art Deco columns as well as views of the downtown skyline. Here is a Google Street View image:

FourthStreetLosAngeles

Are viewers of car commercials more likely to purchase a vehicle if it is shown in Los Angeles compared to other settings? Los Angeles has its own aesthetic which may or may not match with many other places. (In urban sociology, Los Angeles is often held up as the prime example of decentralization. Yet, it also does have a downtown as well as numerous other scenic sites such as the hills behind the city.) In the Chicago television market, we see some car commercials shot in Chicago. Might this help viewers envision themselves driving a new car when they see it in a familiar location? It would be more difficult to do this for all of the metropolitan markets in the United States.

Here are some other common car commercial locations with several more in the Los Angeles area.

Apple: new Chicago store will “transform the riverfront”

The claim that Apple stores can serve as town squares is questionable and another claim about the new Apple store on the Chicago River might be as well:

During the keynote address, Apple’s Angela Ahrendts claimed that the new store will “transform the riverfront.” And in typical Apple fashion, the new store combines form and function to deliver perhaps the most transformative retail offerings in years. Similar to designs for other Apple flagship retail stores, the new Michigan Avenue store boasts a glassy, transparent box shape. However, it is capped with a curved roofline that resembles the lid of its Macbook laptop computer.

The new store has taken over a large portion of Pioneer Court, an outdoor office plaza which had previously served as the location for large-scale art installations. Construction on the new store officially kicked off last March, and after a year, the store began to take shape as workers installed the store’s large glass walls.

Apple is known for its focus on design, and its big move and new location is notable for not just being on the river, but for adding more to Michigan Avenue south of the Magnificent Mile. Once a quiet stretch, the length of Michigan Avenue between the Mag Mile and Millennium Park has gained significant momentum with the delivery of a new apartment tower, a new hotel, and the planned overhaul of the Tribune Tower and its surrounding properties.

This one store has been talked about for months and certainly has a striking design. Yet, can it truly “transform the riverfront”? That remains to be seen. Part of the issue could be exactly how transformation is defined. Is it simply operating an iconic building? Does it involve attracting a lot of people? If it does bring in a lot of people, what if those people primarily stay inside the Apple store rather than lingering on the riverfront and frequenting other spaces and businesses? Is it bringing in big money (sales as well as tax revenues)? Is is transferring the high status of Apple to a development project – the Riverfront – that could use some status?

Let’s see what happens. My guess that this will be an iconic store for Apple but the Chicago Riverfront is going to need much more than this to truly be a destination in its own right.

I disagree: Loop building boom a sign of “the re-urbanization of America”

An insightful analysis of the high-rise construction boom in Chicago’s Loop includes this claim about what all this new development means:

“It’s the re-urbanization of America,” said John Lahey, chairman of Solomon Cordwell Buenz, a Chicago-based firm that specializes in residential high-rises.

It’s also a shift in the urban map: The once-frayed edges of downtown, home to the poor and working-class, are now the glittering home of the affluent. Rental rates, while less expensive than on the coasts, still leave many priced out. City officials last month proposed a pilot program to generate affordable housing in gentrifying areas of the Near North and Near West sides as well as along Milwaukee Avenue. But changing the trajectory of the marketplace won’t be easy.

This is an interesting claim to make in Chicago. The “Super Loop” is indeed growing in population and tall buildings. But, the city as a whole is not doing so well. See the population loss. See the persistent problems – meaning, decades-long concerns – in numerous poor neighborhoods. See the slow population growth in the suburbs within the metropolitan region and also the emerging presence of urban issues (affordable housing, poverty, exclusion) in suburban areas.

A better description might be this: what is happening is the concentration of wealth in urban cores while outlying areas of cities and suburbs are suffering. The same process is happening in New York City, Miami, Seattle, San Francisco, and other major cities.

Can a list of the most beautiful homes in Dallas include McMansions?

An earlier article I published suggested McMansions are not viewed as negatively in Dallas compared to New York City. The list of “the hand-down 10 most beautiful homes in Dallas” from D Magazine includes two references to McMansions:

Each year of the last decade, the editors of D Home have canvassed the city to bring you a list of “10 Most Beautiful Homes” that hopefully appeal to every taste. While on the road, we’ve spilled endless Diet Cokes due to sudden stops, exposed ourselves to the occasional McMansion, and risked looking like embarrassingly low-tech private investigators snapping photos with our iPhones. We do it all for you!…

We once named Tokalon Drive the most beautiful street in Dallas, which we suppose makes this 4236-square-foot dwelling the most beautiful home on the most beautiful street in Dallas. Plus, it reminds us why turrets are actually totally cool and not just something that just gets thrown on a McMansion. All that’s missing is a moat.

Yet, the list of 10 homes includes no McMansions. While these are large and expensive homes, all were constructed prior to World War II and have an architectural coherence that many McMansions lack. However, homes on this list for previous years did include newer homes and I would guess some of these 2017 selections have had major work done to them which might also negate some of their old-image charm.

Even in Dallas, such lists may not be able to select or trumpet McMansions as beautiful homes. If you run in certain circles – particularly when your readers are educated and wealthy – McMansions are a dirty word. A magazine like this that considers itself “a member of the original generation of city magazines: New York Magazine, Washingtonian, Philadelphia, Boston and Chicago” could likely not support such as crass consumer item as the McMansion.

More (pricey) senior housing units in the (expensive) city

Several developers are constructing luxury senior housing in Manhattan and trying to tap a new market:

Senior housing has traditionally been suburban-focused because land is so much cheaper outside cities, and developers hadn’t seen a big enough market to justify paying more, and charging more, for urban locations near transportation and nightlife, Knott said. The aging members of the massive baby-boom generation helped change their minds. Now, he said, many living in cities have the means to pay a premium to remain in familiar environments.

And many will need special care. In New York state alone, about 460,000 residents aged 65 and older are expected to be living with Alzheimer’s-related dementia in 2025, some 18 percent more than there are today, according to the Alzheimer’s Association.

To serve the wealthiest of them, senior-housing developers are taking cues from their tony-apartment building counterparts and putting extra emphasis on finishes and flourishes, to make their facilities look like the places residents left behind…

It is, of course, a rather small group of any age or mental ability that can handle the monthly rents these kinds of places will command. They’ll start at $12,000 at the complex that Maplewood Senior Living and Omega Healthcare Investors Inc. are putting up on Second Avenue and 93rd Street. Some will top more than $20,000 at the building Welltower Inc. and Hines are about to break ground for on the corner of 56th Street and Lexington Avenue.

The top 10% ages as well.

If this catches on, will it make it even harder to construct senior housing for average Americans (those who lived as adults around the median household income)?

I had a somewhat radical thought: many community leaders suggest that their residents should be able to age in their community, if they so desire. Would it be possible to set aside plots of land to be used for senior housing? The community would not necessarily have to designate what kind of housing is placed there but setting aside or zoning certain land might take away some of the market-rate pressure for land. Communities and developers regularly do this for other important uses such as parks or schools. Why not get out ahead of the aging population and make a tangible contribution to allowing senior residents to stay?

Alaska suburbs to become less Alaska, more suburban

Changes are coming to the suburbs of Alaska:

PALMER, Alaska — For years, pet owners in this Anchorage suburb of big homes and lawns have fretted over snares set in the local parks by fur-trappers going after fox, lynx and rabbits. But in a quiet revolution this spring, dog lovers got the upper hand, and after a series of public meetings where few trappers showed up to fight back, trapping was banned by the borough council. The suburbs had won.

“That part of old Alaska is moving further out into the bush,” said Mike Albright, 44, a business owner who was lounging at a park with his three dogs on a recent afternoon. “It’s a good thing.”…

But many longtime residents, writers and businesspeople here said that the sense of “only in Alaska” exceptionalism underlying this place and its identity for generations is fading. Improvements in communications and transport are shrinking the sense of physical distance. High-speed internet is reaching tiny villages, opening communities and families to greater connection with the outside world for everything including social media and commerce.

Sadly, the rest of the article says little more about suburbs and instead looks at the whole state and the Alaska spirit. Yet, it is interesting that this nature-human interchange is used an example of how the suburbs are changing. This comes up occasionally with American suburbs across the country as some suburbs encroach on natural habitats while other places experience natural adaptation (such as overpopulations of deer or the reemergence of coyotes).

This could also lead to helpful questions of how people would know that Alaska suburbs are truly no different than other American suburbs. Cookie-cutter subdivisions? Little to no open land? A landscape dominated by single-family homes and driving? An emphasis on middle-class family life and excluding those who don’t fit those categories? Given that suburbs today take many forms, it may not be very easy to say Alaska suburbs have finally crossed the line.

The difficulty in naming urban neighborhoods

It is not easy to name every neighborhood of New York City:

SoHo, so-called because it is south of Houston Street, was better known until the 1960s as Hell’s Hundred Acres. It was the first to use an acronym, and has spawned imitators. Tribeca (triangle below Canal Street) emerged in the 1970s. Despite, or perhaps because of, its silly name, Dumbo (Down Under the Manhattan Bridge Overpass) is one of the most sought-after areas in the city. NoHo (north of Houston) and NoLita (North of Little Italy) are now on maps. Others, like SoBro (south Bronx), BoCoCa (Carroll Gardens, Cobble Hill and Boerum Hill, which is in fact flat) and Rambo (Right after the Manhattan Bridge Overpass), mercifully did not stick. “None of these worked,” says Philip Kasinitz, a sociologist at City University of New York. “At a certain point they got too silly.”

They also didn’t work, he says, because their residents objected. ProCro, a rebranding of Crown Heights, another historically black neighbourhood in Brooklyn, did not take either. Hell’s Kitchen is equally resilient. Attempts to change the name to the generic Clinton have not been successful. It is a lot easier to rebrand when there are few residents, as was the case in SoHo. Brokers also rely on recent arrivals not knowing the city well.

“You can’t talk about this without talking about race,” says Amy Plitt of Curbed, a property blog. Affluent white New Yorkers have flocked to Harlem, followed by restaurants, bars and shops. The stock of cheap housing has dwindled. Longtime residents, already feeling financial pressure, resent what they see as a deliberate move to erase their history. “It’s about identity,” said Brian Benjamin, a Harlem-born state lawmaker. He recently introduced legislation in Albany requiring estate agents to consult the community on any name change, or face a fine. Others see a clumsy attempt to link SoHa to SoHo in the minds of would-be buyers, making it cooler and justifying higher prices.

This raises a whole host of questions:

  1. Who gets to name the neighborhood? The article mentions several actors including residents and those in real estate but I could also imagine local officials might want a say. The gatekeepers of neighborhood naming have the power to define a place for years to come.
  2. How long does it take for a name to change? Even if it is a relatively short official process – say the city changes it on its official maps – it may take years before residents and others know and use the new name.
  3. How often can the name for a neighborhood change? Urban neighborhoods can be very fluid yet switching names too often will simply confuse people.
  4. How easy is it to define the boundaries of the named place, particularly if things are changing? Each neighborhood is also affected by the activity of the neighborhoods around them.

It would be interesting to compare these processes across major cities. For example, compare Chicago with its well-defined community areas (little major change in names or boundaries since the early 1900s) to New York City or a booming city in the developing world.