Confusing a City and its Structures – On Purpose

Much has been written about shifting preferences toward urban living. I admit to skepticism, despite my hopes as a city resident and redevelopment consultant, of convergent preferences among the Millennial and Baby Boom generations. Alas, it appears real – extensive survey data from the National Association of Realtors, amid other quantitative and anecdotal evidence, is unambiguous. These two demographic groups, which comprise half of the U.S. population, are reshaping the landscape by leaving a less urban land use pattern for a more urban one.

The transition is noticeable. Residential building permit data for Minneapolis illustrate the fundamental reversal from market emphasis on single-family unit construction (maroon) to multi-family unit construction (blue), starting in 1996. Denser living will never be for everyone, but it seems to be increasingly attractive to many.

Human networks are the premise of urban economies. By providing a physical format for exchange of ideas, development of trusting relationships, communication about reputation and quality of products and services, cities reduce the costs associated with trade (as well as training and education or cultural events, for example). As Bob Weissbourd presents in his collaborative “Dynamic Neighborhoods,” concentrations of people and investment follow the development of stable, vibrant networks.

The majority of population, intellectual assets and economic activity located in U.S. metro areas continues to grow. We have to wonder: How can cities’ physical form be encouraged to fill in, to maximize the product of this combination of ideas and relationships? Public and private actors share a compulsion to intensify what fruits emerge from urban economies.

Ed Glaeser has asserted that decisions falter when based on “the all-too-common error of confusing a city, which is really a mass of connected humanity, with its structures.” With increasing market demand for structures that increase human connectedness, Glaeser’s bifurcation loses some of its value. As the housing crash reminded us, the development pattern of core cities isn’t a mistake – it’s an eclectic but durable form that has withstood the stresses of growth and prosperity as well as economic crash. Cities, and the neighborhoods that comprise them, are strongest when most flexible. Denser land use makes more efficient use of infrastructure for transport, housing, training and education, leaving more public resources to invest in people, who are the most essential asset in any city.

In Glaeser’s words, a city is a mass of connected humanity. True. But the degree to which that humanity is connected in a city is influenced by how the city’s structures allow people to interact. The growing momentum of higher-density building will provide basis for experimentation, and for us to better understand the relationship of structures, land use, innovation and productivity.

Travels with Donjek: The Marked Up Map

I love the last week of the year. It reminds me of evenings looking at maps on canoeing and hiking trips, reviewing the day’s travel and preparing for what is to come. On a broader scale, I enjoy the retrospectives of the year that become available mid-December. This year, I recommend you check out The Atlantic Cities’ Year in Review page, featuring the year in ideas, the best city reads, and the “best of ‘best ofs’ of 2011.”

For Donjek, it’s been a vivid and productive road in 2011. I hope you’ll indulge my short list of key developments.

In February, after an intense competition against three other teams, Minneapolis Riverfront Design Competition judges awarded victory to the Donjek team, led by Kennedy Violich Architecture and the Tom Leader Studio. My role on the team focused on developing a narrative for the future of the Mississippi River as connector of North and Northeast Minneapolis, on the future of industrial uses currently on the river, and historical research of land uses dating to 1860. Read my February post, and visit what has now become the Minneapolis Riverfront Design Initiative.

Following an application and interview process, Minnesota Governor Mark Dayton appointed me in March to represent Saint Paul on the Metropolitan Council. The Council operates the region’s expanding transit system (mainly bus, light rail and commuter rail) and its wastewater treatment system. The Council also provides affordable housing, guides local planning with an overarching regional framework, and funds priorities like brownfield remediation, transit oriented development, and affordable housing. Its regional scale allows the Council to undertake these core services in a cost-effective and aligned way, and I am invested in advancing its work.

In April, Saint Paul Mayor Chris Coleman and Minneapolis Mayor R.T. Rybak presented the Minneapolis Saint Paul Metropolitan Business Plan to an audience of policy makers and thinkers at the Brookings Institution in Washington, D.C. As project manager, lead researcher and writer of the plan, I was gratified by their charismatic joint presentation of a document that links together a panoply of interrelated efforts currently underway in the region. See the final business plan and executive summary, or see the mayors’ comments and other content at the Brookings web page.

In September, I completed work on an extensive reuse study of the historic Hudson Manufacturing Building in Hastings, Minnesota, along with team lead Stark Preservation and collaborators Claybaugh Preservation Architecture and Peter Musty LLC. The project represented a demonstration of how the value of land can evolve. The Mississippi River-front location was attractive for the manufacturer for one set of reasons in 1870; today, the location and historic portions of the building derive value in a very different marketplace, driven by demand for access to a rehabilitated river and its views. Read my earlier post with more detail about the reuse study.

Toward the end of the year, I presented findings of a Donjek economic impact study of a prospective linear park in downtown Minneapolis, linking the downtown employment base, light rail and bus transit, the Minneapolis Central Library, and the Mississippi River, via underutilized spaces ripe for redevelopment with both open space and structures. Stay tuned for more detail about the study and its findings; in the meantime, take a look at the 34-story Nicollet Residence development now approved to proceed at the southern boundary of this space.

It’s December 30, and time to unfold the map leading into 2012. I wish you good luck and look forward to working together.

Donjek Project: Site Evaluation and Selection

Over the last few months, I’ve been partnering with a client to examine potential redevelopment sites along a planned rail transit corridor. As I described in this previous post, some property owners and users are in search of sites that are not only near station areas and other nearby assets, but clearly and conveniently connected.

In my home market in the Minneapolis Saint Paul region, the same impulse can be observed. Take, for example, the 34-story residential redevelopment recently approved by the Minneapolis Planning Commission, which is adjacent to a light rail transit platform at the Nicollet Mall station, next to the prospective Gateway Park, and reachable (both by pedestrian and transit mall and skyway) from all work, civic and entertainment locations in the central business district.

The Minneapolis example, however, made for easy site selection – its value is obvious. As customer preferences shift and transportation (both in mode and in cost) evolves, new opportunities will arise to identify and redevelop less evident, but very high-potential sites. Welcome to the future.

Related Articles:

 

The Business Case: Connect to Your Surroundings

“We’re at a very interesting inflection point in real estate history. The next 10 years will be very different than the last 30.” – Peter Miscovich, Jones Lang LaSalle, 2010

Connections bring foot traffic, and foot traffic underlies prosperous places. We depend on and value connections in different ways than in the past. Census data released this year confirms falling commuting by car and rising use of transit, bike commuting, and walking. America’s two largest demographic groups – Baby Boomers and the “Millennials” – are aligned in driving this trend.

Stronger links between buildings and their surroundings have long been values of urban designers. Increasingly, because these links present a business case by reducing vacancy and increasing lease rates, commercial tenants, property managers and owners are focusing on connections to neighboring property.

Connections nearly always involve interaction with both private and public sectors. Consider these examples:

  • Average space per employee has fallen from 500-700 square feet to 200 today, and is still dropping. Accommodating the needs of more employees, and maximizing spillover benefits, involves the public and private sectors, and can distinguish property owners and increase demand and values.
  • In 2011, transit in the region will move over 80 million passengers, including 69% who choose transit instead of their cars. In Minneapolis, the number of bicycle commuters increased by 27% from 2007-10. Property owners and managers prepared to engage these audiences will link to a growing base of consumers arriving by bicycle and foot.

Donjek has demonstrated expertise in real estate finance, public/private sector negotiations, and planning to help owners, managers and other users of urban real estate increase the function and desirability of property. More specifically – we can work with you to:

  • Serve as your “R&D” function to take advantage of ways to attract feet
  • Enhance visibility, increase safety, and boost foot traffic
  • Create value by taking advantage of proximity to nearby large employers or institutions
  • Produce real-time analysis of TIF cash flow of any district that may contain your property
  • Monitor the development process of nearby parcels in transition, for impacts on your transportation, zoning, or other assets
  • Create communication about these initiatives in a way that sets you apart.

The preferences of businesses and their customers are evolving. Tenants and their customers are leading the way, and you have an opportunity to attract and retain them with innovative strategies that reflect an evolving set of demands.

Related Articles:

Mobility Understood Best at Metro Scale, Not State

Analysis of 2010 Census data reveals that Americans are relocating at the lowest levels recorded since the public began tracking these trends in 1948. Mobility is influenced by conditions in housing and labor markets, which vary substantially by region or metropolitan area, and are continuously shifting.

That’s why I take issue with an interpretation recently put forth by respected author and speaker, Richard Florida, in a pair of short posts (“America the Stuck” and “The Geography of Stuck“). He distills his interpretation into a claim that “America can be divided into two distinct classes, the stuck and the mobile.” These “classes,” in his view, are not only sorting themselves geographically, but by state: Residents of coastal states are mobile, others are not.

In my view, the Census data really don’t support this narrative. As Florida and others have documented, America’s economic and cultural landscape is increasingly metropolitan. Those metro areas with the highest proportion of residents born in another state are found primarily in states that Florida highlights as “mobile”:

These data don’t support the “two class” thesis for two reasons. First, while clearly in-migration is good for regions in forms including new ideas, cultural vitality and diverse labor pools, the specific kind of mobility Florida is calling out doesn’t appear to correlate with economic strength. The right column in the table shows each region’s rank (out of 366) in income growth from 2009-10; these aren’t the nation’s star performers. Second, as the map below illustrates (click on it for a larger image or see the source brief here), mobility continues to occur within states, from rural or micropolitan regions to larger metros and among metros. This is occurring in the states he calls mobile, and in many of the states he deems “stuck.” As it turns out, neither label accurately reflects recent trends.

There are structural shifts underway, and Florida has named some aspects of these in recent years. This most recent chapter strikes me as a departure from his record of nuanced analysis. Some American communities are clearly less mobile than others, but these dynamics haven’t developed in clean ways that follow state boundaries in an either/or fashion. They’ve developed by region, subregion, and neighborhood – and that’s where our focus belongs.

Related Articles: