Encouraging sprawl or downtown growth

A recent Canadian conference brought together scholars and practitioners interested in strengthening downtowns. Several of the participants made comments regarding the relationship between a city downtown and the suburbs:

By themselves, speakers warned, studios, galleries and quaint little bistros won’t solve the problems of troubled downtowns. Real solutions will have to overcome public policies that favour urban sprawl and punish core businesses with excessive parking requirements.

Consultant Pamela Blais pointed an accusing finger at municipal development charges that she argues favour suburban “McMansions” over turning downtown buildings into condos.

As one example, she pointed to one Ontario municipality that collects lot levies of $31,000 per parcel regardless of size — that means a house with a 30-foot frontage actually pays more toward the cost of water and sewer mains and parks than a bigger property.

Michael Manville, of Cornell University’s city and regional planning department, argued minimum parking requirements in city centres actually harm development by driving buildings farther apart.

“Most parking policies turn downtown into a sorry imitation of a mall,” he said. “We have to stop this quiet process of turning downtowns into suburbs one parking lot at a time.”

He argued for maximum parking requirements, rather than minimums, a policy he said will make downtown living attractive to people whose lives aren’t centred on their cars.

There are a lot of moving pieces here including big cultural forces favoring suburbs over denser environments (though perhaps not with younger generations). For planners in individual communities, it can be difficult to counter all of this at once.

At the same time, this is not a new issue. Urban (and suburban) downtowns really started to face these issues in the 1950s with the advent of the strip mall and shopping mall. Some of these same issues are reflected in the comments above: what to do about parking? How can a downtown compete against a mall where there are a number of interesting stores within a climate-controlled space? Other communities may not be completely on-board with promoting condos over single-family homes, particularly when condos can be tied to higher densities and bigger buildings which might clash with a community’s character.

One thing I have wondered before: is it always worthwhile for a community to try to revive a downtown? On one hand, a core is a valuable asset as it represents an opportunity to bring people together and to share a common history. Some newer communities have no real core or public space. On the other hand, downtowns can require a lot of revitalization and it can require fighting an uphill battle in some communities to put the kind of money and attention needed to get a downtown up and running again. It is one thing to present people with a thriving downtown that is attractive and exciting (see: downtown Naperville, which can lead to its own issues) but another to ask a lot of people to undergo a 5 to 20 year project to really transform a downtown. Frankly, some people don’t care about having a downtown and see it as a relic of the past – why not just build the newer versions of downtowns: lifestyle centers?

Here seems to be the primary strategies for downtown revitalization these days:

1. Promote mixed-use development, preferably buildings with retail on the first floor and then condos or offices above. This ensures social spaces and residents to use them.

2. Take advantage of transportation advantages such as mass transit. If you can increase density around important rail or subway lines, you can attract more people.

3. Generally aim to attract two sets of residents: younger professionals and creative types (a la the creative class). These groups like the idea of denser, exciting areas and are more willing to try things out. If you need a third group, aim for downshifters and young retirees who are also looking for a new scene.

Republican secret to success: “a rich-poor alliance of affluent suburbs and poor rural counties”

In discussing the outcome of the recall election in Wisconsin, one analyst argues Republican electoral success is based on combining votes from two geographic areas:

McCabe argues the secret behind Walker and decades of Republican success nationwide is “a rich-poor alliance of affluent suburbs and poor rural counties.” In the recall election, Walker swept Milwaukee’s suburbs by huge margins and dominated the countryside. McCabe says in 2010, “Walker carried the 10 poorest counties in the state by a 13% margin”; these counties used to be reliably Democratic. He elaborates:

“Republicans use powerful economic wedge issues to great impact. They go into rural counties and say, do you have pensions? ‘No.’ Well, you’re paying for theirs, referring to public sector workers. Do you have healthcare? ‘No.’ Well, you’re paying for theirs? Do you get wage increases? ‘No.’ Well, you’re paying for theirs.”

The scenario was far different 50 years ago, explains McCabe:

“The Democrats were identified with programs like Social Security, the G.I. Bill and rural electrification. People could see tangible benefits. Today, they ask, ‘Is government working for us?’ And often their answer is no. They see government as crooked and corrupt. They figure if the government is not working for us, let’s keep it as small as possible.”

Another way to look at this would be to say that Democrats tend to get votes from large cities and less affluent suburbs. This is not the first time this suggestion has been made: Joel Kotkin has discussed how Republicans appeal to suburban voters  and others noted in the 2004 election how George Bush won a clear majority of votes in fast-growing exurban counties.

In the lead-up to the November 2012 elections, when there is commentary about geography, it tends to be about which states are toss-ups between the two candidates. But you can rest assured that the advisers for the candidates are looking at much finer-grained data and how to get more votes from more specific geographic areas like inner-ring suburbs, monied burbs, and the metropolitan fringe. States are too large to analyze quickly: think of Illinois and the differences between Chicago, Chicago suburb, and downstate voters. The analysis in the media could at least be about the areas in the states where there are greater population concentrations. Will Mitt Romney primarily campaign in “affluent suburbs and poor rural suburbs” while Obama will stick to the big cities and middle to lower-class suburbs? Is Romney making a suburban/rural pitch in a majority suburban nation while Obama is promoting a more urban campaign?

Quick Review: The Great Inversion

I recently read The Great Inversion, a book by Alan Ehrenhalt (see an interview about the book here), about how more Americans are seeking denser living areas. This is not a new idea as plenty of commentators have addressed this in recent years but this book attempts to provide a broad overview of the phenomenon. Here are four thoughts about the urban trends discussed in this book:

1. This book is built around case studies. This is both a strength and weakness. As a strength, Ehrenhalt examines several American cities such as Phoenix, Atlanta, and Denver that don’t get as much attention from urban sociologists. Even as urban sociologists admit that the urban landscape in America has changed a lot since the beginnings of the Chicago School in the early 1900s, most studies examine “traditional” American cities like Chicago, Philadelphia, New York City, and Boston. But these case studies seem more impressionistic than anything else; hard data is difficult to find in this book. There are few figures about how many Americans have actually made the choice to move (versus surveys that suggest Baby Boomers and Millennials desire denser homes). The case studies often look at smaller areas of a metropolitan region, such as the Sheffield neighborhood in Chicago, but don’t address the big picture across regions or throughout the United States.

2. Ehrenhalt is careful to try to straddle the middle line between urbanists and suburbanists (defined a few times as people like Joel Kotkin). But the problem with this is that I don’t think he makes his argument very strongly. Here is what he wants to argue: American urban areas will look quite different in a few decades as more Americans seek out denser housing. However, he doesn’t want to argue this too strongly and backpedals from this at points. Here is his conclusion about Tysons Corner, the last case study of the book:

I’m convinced of that because I see all around me a generation of young, mainstream, middle-class adults who are looking for some form of midlevel urban experience: not bohemian inner-city adventure, but definitely not cul-de-sacs and long automobile commutes. There are more of them coming into the residential market every year. They like the idea of having some space, but they aren’t feeling in terror at the mention of density. They aren’t willing to sell their cars, but they appreciate the advantage of having another way to get around. If Tysons Corner is rebuilt on a reasonable human scale and with a modicum of physical appeal, they will go for it, imperfect as it may be.

And then we will begin to see experiments of this sort in suburbs all over the country, launched by developers and local governments that may still be a little nervous about density but will know one thing for sure: If Tysons Corner can be reborn, nothing in the suburbs is beyond hope. If the effort to rebuild Tysons Corner somehow succeeds, it will become a national model for retrofitting suburbia for the millennial generation.

It is less of an argument that there is a strong push for these options and more of an argument that demographics will change urban forms. This may be correct but it seems like Ehrenhalt seems unwilling to push too hard for this.

3. Ehrenhalt suggests our cities will look more European in a few decades as poorer Americans move to the suburbs and wealthier Americans move back to the cities. This may indeed happen but I think Ehrenhalt generally downplays the cultural factors behind American suburbia and the difficulties that may occur in this demographic inversion (see #4 below).

4. This book reminds me that there are a lot of potentially interesting things that could happen in American suburbs in the coming decades. In particular, the densification of suburbs has the potential to change the character of a number of larger and/or thriving suburbs. Many communities might turn to retrofitting out of desperation in order to start generating tax revenues from vacant properties. However, while Ehrenhalt thinks that demographics will push in this direction, I think there will still be substantial pushback in some places. I’m thinking of a suburb like Naperville, a community that definitely could incorporate high-rises in the downtown and along the I-88 corridor but has thus far resisted big projects. Perhaps circumstances could change but I imagine it might take a while for this to happen.

Builders constructing denser, more urban developments in the suburbs

USA Today reports that more builders are constructing denser suburban subdivisions:

The nation’s development patterns may be at a historic juncture as builders begin to reverse 60-year-old trends. They’re shifting from giant communities on wide-open “greenfields” to compact “infill” housing in already-developed urban settings…

“It’s the kids (ages 18 to 32), the empty nesters (Baby Boomers with no kids at home),” says Chris Leinberger, president of Smart Growth America’s LOCUS (Latin for “place”), a national coalition of real estate developers and investors who support urban developments that encourage walking over driving. “These two generations combined are more than half of the American population.”…

Most major builders have created “urban” divisions in the past five years to scout for available land in already-developed parts of cities and closer suburbs — even if it means former industrial and commercial sites or land that may require environmental cleanup…

Even traditional communities built on greenfields are transforming. In Southern California’s Inland Empire, an area where housing prices are lower and appeal to first-time buyers, Brookfield is building Edenglen in Ontario. The homes are built on smaller lots — 4,500 square feet instead of the more conventional 7,200 square feet — and priced from $200,000 to $300,000.

This phenomenon has been noted by a number of commentators in recent years though I wonder if it will last.

A few other consequences of this for suburbs:

1. How will existing suburban residents respond to dense, infill projects? I would guess that a good number of suburbanites would object to these dense projects being built near them, spoiling their neighborhoods.

2. Related to the first question about NIMBYism, how will these new developments change the character of existing suburbs? If a community is used to wide suburban streets and big lots, narrow lots and denser housing could change things.

3. This article hints at this but this could also be a product of the age of many American suburbs. Outside of the suburban fringe or exurbs, many suburbs not have at least a few decades of history and perhaps little to no open land (reaching build-out). If these suburbs want to continue to grow (boosting revenues and fees as well as prestige), infill development might be the only choice.

4. This article makes a common claim: certain generations (emerging adults and baby boomers) desire more urban kinds of housing. However, I wonder if it less about generational differences and more about the changing structure of American households. Is the increasing number of single households (which might be located more in these generations) really driving this? If so, this would be have bigger effects as the American suburbs have traditionally been communities build around family life and child-rearing.

Fuel efficiency goes up, gas tax revenues go down $50 billion (or so)

A new report from the Congressional Budget Office suggests that increasing standards for fuel efficiency will leave a large deficit in highway funding:

This week, the CBO issued a new report that looked at how the upcoming, higher CAFE fuel economy rules will affect the Highway Trust Fund. The short answer? Between 2012 and 2022, the Fund will see revenues that are $57 billion lower than they would be without the new CAFE rules. The slightly longer answer:

The proposed CAFE standards eventually would cause a significant reduction in in fuel consumption by light-duty vehicles. That decrease in fuel consumption would result in a proportionate drop in gasoline tax receipts: CBO estimates that the proposed CAFE standards would gradually lower gasoline tax revenues, eventually causing them to fall by 21 percent. That full effect would not be realized until 2040 because the standards would gradually increase in stringency (only reaching their maximum level in 2025) and because the vehicle fleet changes slowly as older vehicles are replaced with new ones.

To illustrate the effect that the standards would eventually have on the trust fund’s cash flows (in 2040 and beyond), CBO examined how a 21 percent reduction in gasoline tax collections would alter the agency’s current budget projections for the trust fund, which span the period from 2012 through 2022. CBO estimates that such a decrease would result in a $57 billion drop in revenues credited to the fund over those 11 years, a 13 percent reduction in the total receipts credited to the fund.

The CBO suggests three ways to deal with the shortfalls: do nothing (i.e., keep on transferring money from the general fund), spend less on highways and mass transit or raise the gas tax (or other taxes and direct them to the Fund). An increase to the gas tax wouldn’t have to be huge. Just five cents a gallon would be enough to offset the $57 billion, the CBO says. But until Congress can agree on this simple change, there’s always the voluntary gas tax.

This isn’t idle speculation. Joel noted some commentary about this in early February 2012.

This reminds me of a recent post about the possible unsustainability of suburbia. Under the current system, we either need more drivers overall (which could then be based on population growth plus more car ownership) or people to use more gasoline (which goes against a push to be more green). Are either of these options really optimal or even desirable? Of course, the gas tax could be increased by a small amount (perhaps just a few pennies?) and the deficit would disappear. However, would this simply lead to more gas tax hikes down the road compared to the option of resetting the system so that highways are funded through a more consistent mechanism? Which politicians want to tackle this? Perhaps we are closer to a tax per mile driven than we might know?

h/t Instapundit

French suburbs known as “zones of banishment”

The French suburbs are getting more media attention in the lead-up to the run-off election. This article talks about the current status of the “urban sensitive zones”:

Inside the French suburbs, referred to here as “zones of banishment” or “the lost territories of France,” the 2012 presidential elections seemed like a good time to wake up the nation.

In a small office in the suburb of Clichy-sous-Bois, a group of mostly Arab and African 20-somethings hit on an idea: Create a “crisis ministry of the suburbs.” It would address France’s ignorance about the 731 areas ringing the country’s biggest cities, known officially as “urban sensitive zones,” where most of France’s non-European minorities live. Geographically, they are suburbs, but socioeconomically, they resemble the US inner city.

Paris Mayor Bertrand Delanoe gave the upstart “ministry” a temporary office next to City Hall. For two days, rappers, artists, and activists merrily held court with a French media that rarely makes it to the suburbs and worked on a 120-point reform plan. Several presidential candidates, including front-runner François Hollande, showed up.

But the good vibe didn’t last. Days later, Mohammed Merah, a self-styled Islamist radical born to Algerian parents in a Toulouse suburb, shot and killed two soldiers, three children, and a rabbi. The killings seemed to reinforce all the stereotypes and fears about the troubled suburbs.

A fascinating overview.

A few quick thoughts:

1. I think many Americans would have difficulty processing this given our images of the suburbs.

2. Issues of race/ethnicity and class take place all over the world. The article suggests French students hear that their country is “an egalitarian utopia without issues of race and religion” but the situation on the ground suggests otherwise.

3. It would be interesting to read a more complete story of government involvement in the suburbs. How did this happen (politically and funding-wise) and is this what the government prefers?

Worried about NATO protests in the Chicago suburbs? Look for graffiti, flyers

I know there is a lot of preparation going on for the upcoming NATO summit in Chicago but should this really include warning people in the suburbs? Here is what was printed in the May 2012 edition of our community’s newsletter:

While the G8 Summit has been moved to Camp David, the NATO Summit is still planned for the City of Chicago from May 19 through May 21, 2012. At this time, it is unknown what impact that Summit will have on the City. [Our] Police and Fire Departments are well aware of the upcoming event, and have been involved in pre-event strategy meetings and preparations. Please be assured that there is no anticipation, or information at this point, that any significant incident(s) will occur within the City, and [our] residents may expect the same level of security they have come to know and trust.

Being part of the community, residents and business owners have the unique opportunity to be observant and are encouraged to report suspicious activity, especially graffiti. It is one of the most basic indicators that certain extremist groups are making an appearance. Flyers advocating direct actions against government, businesses, or other institutions are another indicator of suspicious activity. For more information…

One could argue that there is already graffiti in the suburbs; was this done by extremist groups? And flyers about direct action – are we expecting anarchists or violent groups at the local strip mall or subdivision? Additionally, these sound like gross generalizations.

On one hand, perhaps it is good that our local government is trying reassure people about the protests that will get a lot of attention in the media. See all the coverage yesterday about the small May Day protests in Chicago. Even if much doesn’t happen during the NATO Summit, residents of Chicagoland will certainly be aware of the possibilities.  On the other hand, I’m disturbed that suburbanites may think that these protests will affect their suburban paradises more than 15 miles from the Loop…

Argument: we need to question today’s economic equations that are based on the suburban experiment

Here is an interesting argument regarding the American suburbs: Charles Marohn suggests the economic equations behind suburban development need to be questioned.

I’m struck by how strongly our culture associates growth and prosperity with highway construction and expansion. Tom Friedman, a respected left-of-center columnist with the New York Times, had an entire chapter in his most recent book, That Used to Be Us: How America fell behind in the world it invented and how we can come back, devoted to the concept that “our winning equation” is, in part, to invest in infrastructure and then watch prosperity flourish, just like it did in the 1950’s and 1960’s.

Of course, this ignores that fact that our investments during the first generation of America’s Suburban Experiment (1950-1975) were higher return investments that generated a lot of positive cash flow. I like to point out that, when we built the 35W bridge here in Minnesota for the first time, it connected far flung areas of the Minneapolis/St. Paul metropolitan region in a way that had not been done before. Following that investment, new commercial real estate was developed, new residential housing went in and the resulting influx of tax receipts made us feel wealthy. When the bridge fell down and had to be rebuilt, we didn’t experience all that new growth, just the costs of construction and delay. Maintenance has an entirely different set of financial metrics than new construction…

Unfortunately, we base this belief on the illusion of wealth that was created in the early years of the Suburban Experiment, where the first life cycle of horizontal expansion had produced growth for our economy and that pesky overhang of maintenance was still a decade or more away. We should know better by now, but there are few in a position to change the system that don’t benefit, at least in the short term, from it being perpetuated…

Now let me drop the bomb I’ve been alluding too: Those “benefits” that we kind of think of as prosperity, wealth or GDP; they really aren’t. There are derived from a set of narrow correlations between time saved and prosperity that we witnessed in the early 1950’s when we built those initial highways. We connected these far flung places — places only served by railroads or poorly constructed roadways prior — and we saw all kinds of economic gains. We then used that knowledge to build equations to justify expansion of the system. Nobody ever questions those equations today (why would they) and nobody stops to consider the diminishing returns of the system.

So there is not actually any money here, just a few seconds of saved time here and there that economists and engineers equate with money when they are trying to justify a project. Do you take home more money, generate more wealth for the economy or spend more of your income when you can arrive at work 45 seconds more quickly? Not me either. These equations are a joke. (If you want to learn more, read our 2010 series on Costs and Benefits.)

An interesting update to an old argument: the suburbs are unsustainable in the long run because they are based on new growth and continuous reinvestment. In the end, there won’t be enough money left to sustain it all, even if we could keep the infrastructure up to date.

Is Marohn really saying that the economic growth of the United States since the 1950s is largely an illusion? I’d like to hear about more of this aspect of the argument…

This reminds me of some of my research on suburban communities that are approaching build-out. In their earlier growth phases, these communities could expect a certain amount of money to flow in from new development and fees. However, once this stopped (and combined with the recent economic crisis), these towns are left scrambling for money. Without a good amount of new development, the budgets aren’t increasing much even as residents continue to push for equal or increased levels of service plus everything is aging (infrastructure, housing stock which makes it less attractive, municipal buildings, etc.). Is this an analogous situation?

Bonus: you even get a financial analysis of a diverging diamond interchange!

100 year old Wilmette L station illustrates suburban exclusion

A celebration today for a 100 year old L station in Wilmette illustrates some of the issues between cities and suburbs:

The station [today serving more than 315,000 people per year] originally came as an unwelcome overnight surprise. After coming to loggerheads with village officials, a crew secretly worked “under cover of darkness” to create a small depot at Fourth Street and Linden Avenue.

According to a story in the Chicago Tribune on April 3, 1912: “During the night the Northwestern Elevated company invaded the suburb with a large force of men. At dawn the evidence of their work was plainly visible.”

Back then, the people of Wilmette enjoyed their lakefront, and their seclusion.

“Exclusive residents opposed the entrance of a new line largely because they believe trainloads of picnic parties will be dumped there in summer,” the Tribune story said.

Some things haven’t changed. During a recent Wilmette Park District discussion regarding a fence to limit access to the south beach at Gillson Park, resident Fred Fitzsimmons referred to nonresidents picnicking lakeside as “freeloaders.”

The period one hundred years ago was an interesting period for relationships between cities and suburbs. Prior to 1900, many cities annexed adjacent suburbs. These suburbs were generally agreeable to this as they needed the infrastructure that cities could provide (sewers, water, fire protection, etc.) and the status of being part of the growing city was exciting. But around 1900, things changed. More suburbs rejected annexation. Building their own infrastructure became cheaper. Being part of the big city, seen more and more as big, dirty, and home to many new residents, was no longer a draw. It was at this point that the size of many cities in the Northeast and Midwest drastically slowed.

Thus, a new L stop was seen as a threat in Wilmette, a means by which the city could still come to the suburbs. Back then, just as today, part of the reason for moving to Wilmette was to get away from the city and its residents, not to have encounter them through public transportation. It is intriguing that the Chicago Tribune ties these old concerns to current concerns in Wilmette. In this sense, the suburban mindset promoting exclusivity has not changed much in a century. (At the same time, I assume many in the Wilmette area see the L stop as a nice amenity since it means they don’t have to drive into Chicago.)

Another thought: could this also illustrate why suburbanites might be opposed to public transportation? There could be more than just the idea that cars are considered more convenient; public transportation could be associated with different kinds of people. If you can afford it in the United States, you generally pay (outside of a few denser cities) to avoid having to ride public transportation.

Fighting for presidential votes in the French suburbs illustrates a different kind of suburbia

American suburbs are often considered home to a lot of white and wealthy residents who have fled the city. This is not how suburbs work in some European settings: two stories about politicians fighting for presidential votes in France illustrate these differences.

It was here that Marine Le Pen managed to secure the greatest percentage vote for any village in the country; of its 60 residents, nearly three quarters put the far-Right candidate above all others…

“What has worked has been to turn this campaign towards rurality, and the far suburbs, poor France,” said Bertrand Dutheil de La Rochère, one of Miss Le Pen’s campaign spokesmen. “Her people versus the elites seems to have taken root.”…

According to sociologist Christophe Guilluy, these rural areas, along with many middle-sized towns hit by de-industrialisation and layoffs represent, 40 per cent of the electorate.

Here is another report:

But “rural” areas today does not mean villages full of farmers. It means small provincial towns, and the new housing-estate commuter belts being built on the distant outskirts of the cities.

“The rural underclass is no longer agricultural. It is people who have fled the big cities and the inner suburbs because they can no longer afford to live there,” says Mr Crepon.

“Many of these people will have had recent experience of living in the banlieues (high immigration suburbs) – and have had contact with the problems of insecurity.”

In this semi-urbanised countryside, people feel the hopelessness of a life in poverty uncompensated-for by the traditions and structures that would have made it bearable in the past.

In these stories, the wealthy live in cities and inner-ring suburbs while the poor live in more far-flung suburbs (what Americans might call “exurbs”) and more rural areas.

If Americans read about this run-off in France, I wonder how many will notice this difference in suburban life in France compared to the United States. Actually, I wonder if many Americans simply think that Americans suburbs are a common feature of metropolitan areas around the world rather than a more unusual case.