Place Really Does Matter

by Guest Author Stephen Wade

As the economy continues to slide deeper into recession and we debate how to most effectively use the American Recovery and Reinvestment Act, there is the question over what role our cities and metropolitan areas can and should play. Interestingly, the “World is Flat” school of thought espoused by Thomas Friedman that place is becomingly less important seems to be partly undermined by the unequal effects of the economic crisis on different areas. The urban theorist Richard Florida argues in a recent Atlantic article that in reality the “World is Spiky.” Metropolitan areas, magnets of innovation that are able to adjust on the fly to changing economic conditions, are becoming more important. This is good news for the environment and economy because as activities, development, and people cluster, open space is protected. People also drive less, walk and ride transit more, and the economy becomes more diverse and dynamic (see previous post on balance in an economy).

Metropolitan areas and places with multiple assets, such as transportation and IT infrastructure, effective local government, universities, and historic properties, will become even more important as the economy moves away from carbon dependence. A recent Brookings study offers steps for America’s older industrial cities like Detroit, Buffalo, Cleveland, Pittsburgh, and Allentown, which still possess many of the nation’s prosperity driving assets, to capitalize on the changes in the economy. In older industrial cities like these, manufacturing jobs are disappearing, indices of innovation (like new patents) are declining, the middle class is shrinking, and their carbon footprint is expanding. Unless rectified, this trend will lead to further economic stagnation and environmental degradation. To address these challenges, metropolitan areas need to make financial and political investments in innovation, human capital, infrastructure (transportation, telecommunications, and water), and regional collaboration (or regionalism). By taking these steps, older industrial metropolitan areas can become models of sustainable and vibrant 21st century places.

- Stephen Wade is an urban planner in the Northern Virginia area.

Smart Growth, Housing, and Balance

by Guest Author Stephen Wade

Arlington County’s mixed-use development along its public transit corridor has allowed it to weather the financial calamity better than most any other jurisdiction in the country. The balance of residential and commercial development has kept revenue high as the County is not dependent on only one type of development. This balance is similar to the importance of diversifying one’s retirement portfolio. Diversity equals stability with both retirement investment and economic development.

Along with balancing different types of development, sharing prosperity is another pillar of smart growth. An equitable economy will provide employers with access to a strong workforce and workers with housing near job opportunities so they don’t have to spend their days and dollars commuting in a depreciating asset that is polluting the air. This can be achieved by providing a balance of rental and ownership housing opportunities.

There is debate in the current stimulus bill about supporting ownership and/or rental housing. Many have argued that the recent push for an “ownership society” has encouraged many individuals and families into homeownership even though it was beyond their financial means. This situation contributed to the increase in foreclosures and the current financial situation. There needs to be a recognition of the importance of rental housing for our economy. Balancing types of development and types of housing can lead to a more sustainable and stable economy.

- Stephen Wade is an urban planner in the Northern Virginia area.

Smart Growth

by Guest Author Stephen Wade

Smart growth is building our communities compactly with a mix of uses (housing, retail, schools, etc.), reinvesting in areas that already have infrastructure, protecting open space, and providing housing opportunities. Transportation investments benefit our economy and communities when they are coordinated with and leveraged by land use decisions. The infamous example of not coordinating land use and transportation decisions is “the bridge to nowhere”. In contrast, the Arlington County, VA public transit corridor only accounts for about 15% of the land in the county but it produces nearly 90% of the tax revenue. This is one part of smart growth.

An on the ground example of sustainable development in action is the U.S. Green Building Council’s (USGBC) new LEED for affordable housing program. This program encourages affordable housing that is near existing infrastructure and jobs, and that is healthy for the residents and the environment.

Sustainable development is near a tipping point. Whether you are a consumer, developer, employer, or employee, making the sustainable choice will soon be analogous to making the smart economic choice.

- From our 1st guest author, Stephen Wade, an urban planner in the Northern Virginia/DC area