Moving to Urbanism TOD and Urban Real Estate Conference May 3, - - PowerPoint PPT Presentation
Corporations Moving to Urbanism TOD and Urban Real Estate Conference May 3, 2016 Adam Ducker, Managing Director THE LAST ONES TO GET IT. . . CORPORATE AMERICA MOVES DOWNTOWN To attract and retain the best talent To build brand
Adam Ducker, Managing Director
TOD and Urban Real Estate Conference
TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
THE LAST ONES TO GET IT. . . CORPORATE AMERICA MOVES DOWNTOWN
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TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
GE GOES TO BEANTOWN
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We want to be at the center of an ecosystem that shares our aspirations,” CEO Jeffrey Immelt
Construction in Boston’s Seaport Neighborhood Old HQ; Fairfield, CT
TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
AND EVEN DETROIT. . .
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“. . . But we found we weren’t getting the kind of young, tech-savvy people we wanted to hire. They just didn’t want to work in that type of setting. To be able to compete, we needed to be where they wanted to be.”
Hello Downtown Old HQ; Fairfield, CT
TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
WHAT THE WORKERS GET?
(ANALYSIS OF 500 COMPANIES THAT MADE SUBURBAN TO URBAN MOVES)
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TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
TRANSIT REVOLUTION IS REAL, BUT MILLENNIALS REALLY ARE DRIVING IT. .
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TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
REALLY A STRUCTURAL CHANGE. . . NOT JUST ABOUT LIFESTAGE
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TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
AND WHY DOES TOD WORK SO WELL? MODE SHARE AND LIFESTYLE OPTIONALITY!
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TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
MORE ABOUT LIFESTYLE THAN ABOUT CONVENIENCE (OR COST!)
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TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
AND SO THE MILLENNIALS IN PARTICULAR (ALTHOUGH NOT EXCLUSIVELY) ARE GOING TOD
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TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
WHY DO THE CORPORATIONS CARE? BECAUSE IT’S THE EDUCATED WORKERS MOST OF ALL
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TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
TODAY’S ELITE EMPLOYEES – MORE BALANCED OBJECTIVES REGARDING INCOME AND MEANING
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TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
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53.5% 52.9% 52.8% 52.6% 55.2% 55.5% 55.3% 55.5% 55.7% 55.8% 40% 45% 50% 55% 60% 20% 22% 24% 26% 28% 30% 32% 34% 36% 38% 40% 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Average Urban Propensity Score Distribution of Households by Density Quartile Age 22-34 Household Residential Locations 1st Densest Quartile (L) 2nd Densest Quartile (L) 3rd Densest Quartile (L) 4th Densest Quartile (L)
TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
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56.1% 57.0% 56.5% 50.0% 52.8% 53.6% 51.0% 54.8% 56.8% 45% 50% 55% 60% 65% 2006 2007 2008 2009 2010 2011 2012 2013 2014 Average Urban Propensity Score Age 22-34 Household Residential Locations by Adjusted Income Level Below $50,000 $50,000 - $100,000 $100,000+
TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
“AGGLOMERATION EXTERNALITY”
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“Sprawl probably reduces productivity. When people cluster more tightly together, they become more productive -- this is known in economics as an agglomeration externality”
TOD AND URBN REAL ESTATE CONFERENCE | MAY 3, 2016
DENSITY DRIVES PRODUCTIVITY!
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RCLCO 7200 Wisconsin Avenue 11th Floor Bethesda, MD 20814 Phone: (240) 644-1300 Fax: (240) 644-1311 www.rclco.com Adam Ducker Managing Director Phone: (240) 644-0980 aducker@rclco.com