Regional Economy

atlantic tells story of maron family and east fourth
In a recent The Atlantic piece titled “If You Build It, They Will Come: How Cleveland Lured Young Professionals Downtown,” writer Sophie Quinton tells the story of how the Maron family transformed a vision into the East Fourth Street Clevelanders know and love today.
 
"When the Maron family decided to redevelop an entire city block in downtown Cleveland, the area was so blighted no restaurateur would lease space there. A decade later, the East Fourth neighborhood is home to Food Network personalities, a House of Blues, and free Saturday yoga classes. Café-style seating spills into the pedestrian-only street. Apartments on the block are fully leased, and a 100-unit building under construction across the street has already reached full capacity."
 
The article discusses at length the history of the Maron family and the work it took to get the project off paper and onto the street. All the hard work has paid off as East Fourth Street has become a major attraction, with quality restaurants, store fronts, activities, and downtown living that is luring young professionals who want to live and work in the middle of all the action.
 
Enjoy the full piece here.

study shows small startups have huge economic impact on the region
An annual study conducted by CSU’s Center for Economic Development at the Levin College of Urban Affairs shows that start-up companies in Northeast Ohio contribute significantly to the economy. The study surveyed tech-based companies that received assistance, either financially or in services, through JumpStart or the North Coast Angel Fund.
 
The 127 companies who participated in the study generated $211 million in economic benefits in Northeast Ohio in 2012, $270 million state-wide. These companies helped create and retain 1,100 in-state direct jobs, with a total Ohio employment impact of 2,140. The companies and their suppliers also increased total Ohio household earnings by $125 million and contributed nearly $12 million in state and local tax impact.
 
As the early-stage companies grow, their impact increases, according to the study. Among those surveyed, 44 companies participated over three years -- from 2010 to 2012, showing 53 percent job growth and a 36 percent increase in economic impact over those three years.
 
“These numbers quantify the impact small companies made,” says Cathy Belk, JumpStart COO. “Small companies make a big difference.  It’s exciting to see the impact the companies we see every day are having. We see how hard these companies are working.”
 
With all of the organizations in Cleveland that support start-ups, in addition to support from Ohio Third Frontier, which provides funding to organizations like JumpStart, the region is ideal for new businesses.

“We continue to believe that Northeast Ohio is the best place in the country to have a small business or a new business,” says Belk. “We have such a robust ecosystem for startups and small business.”

 
Source: Cathy Belk
Writer: Karin Connelly
welcome weekend draws a dozen artists ready to sign leases, move here
Welcome to Cleveland, an artists' visitation weekend hosted by Northeast Shores CDC and the Community Partnership for Arts and Culture, drew about a dozen artists to Cleveland, many of whom have signed leases and are expected to move here.

"The weekend exceeded our expectations by far," says Brian Friedman, Executive Director of Northeast Shores. "We didn't know they'd be so ready to go."

The artists were impressed not only by Cleveland's affordability but also by the accessibility of the rich arts scene here, Friedman says. "For them it was really the connectedness -- there's a much stronger ability for artists to network and connect here than in many of the communities where they're from."

The artists came from Brooklyn, Boston and Atlanta, among other locations. They were responsible for getting to Cleveland, but the nonprofit partners put them up in a hotel and covered most of their costs once they got here. The group spent the weekend on a whirlwind tour of North Collinwood, Slavic Village, St. Clair Superior, Ohio City, Tremont and Detroit Shoreway. Activities included a visit to the Cleveland Museum of Art and brunch at the Beachland Ballroom.

Northeast Shores and CPAC marketed to 12,000 artists nationally for the Artist-in-Residence program. Friedman says that since launching the effort a few years ago, he's seen 83 artists move to Cleveland, open a business, or do a project here.

Some of the artists who responded to the visitation weekend weren't sure if it was real. "They weren't sure if we would try to sell them a timeshare," says Friedman. "We told them, 'Really, just come. We want you to come be creative in Cleveland.'"

Once the artists move here, the nonprofit partners will help connect them to arts organizations and community efforts in their new neighborhoods. "We'll make sure that they get connected to the fabric of what's going on," says Friedman. "We anticipate that's the beginning of developing deeper roots in Cleveland."


Source: Brian Friedman
Writer: Lee Chilcote
bruell's new burger shack dynomite debuts in star plaza at playhousesquare
Zack Bruell used to watch PlayhouseSquare office workers sit outside at Star Plaza and eat sandwiches in the park. He thought, They could be my customers. Now, thanks to Dynomite, a new fast-casual burger shack in the Star Plaza kiosk, many of them are.

During its first week, Dynomite frequently had lines 30-people deep and ran out of hamburger buns by 3 p.m. (don't worry, they ordered more). Bruell hopes this is an omen.

"I was basically opening it so that we could bring more people to the area," says the restaurateur, who owns five other venues in Cleveland (Parallax, Chinato, Table 45, Cowell and Hubbard, L'Albatros). "I wanted to see more street traffic. This is one of the great neighborhoods in the city, and it's in transition."

You can think of Dynomite as a kind of Zack Bruell burger clearinghouse. Modeled after the legendary Shake Shack in New York City, the venue offers four kinds of burgers that are also available at Parallax, L'Albatros, Chinato and Cowell and Hubbard. Each is different and unique. Additionally, Dynomite offers a killer chicken sandwich, regular burger, vegan burger, hot dog and chili dog.

Sides include fries, chili fries, chili, pickles and soft serve ice cream. The most expensive things on the entire menu are the signature burgers, which are priced at $8.

"We're just doing basic food, but we're doing it right," says Bruell. "We're using the same products that we're working with in all of our restaurants."

Dynomite will soon have a full liquor license. Bruell expects the revamped Star Plaza -- which is nearly complete and includes additional outdoor seating, a fire pit and concert stage -- to look and function like a downtown beer garden.

The venue is the latest addition to PlayhouseSquare, which has in recent years been evolving into a dining destination and vibrant 24-7 neighborhood.


Source: Zack Bruell
Writer: Lee Chilcote
young companies and startups aid both local and state economies
In a Techli story titled “Greater Cleveland Startups Improve Ohio With Jobs, Tax Dollars and Impact,” writer Annie Zaleski explores how important startups and young companies are to the success of a region’s economy.
 
In a study from Cleveland State University, a report found that 127 young companies generated $270 million in economic benefits for Ohio in 2012 alone.
 
“The companies in the report -- a group comprised of businesses that successfully leveraged things such as business assistance or seed capital -- helped create and retain 1,100 in-state direct jobs (with a total Ohio employment impact of 2,140). In the last three years, these very young companies are already contributing significantly -- more than $688 million -- to Ohio’s economy.”
 
The story goes on to discuss that the figures only represent a small portion of development in the region and do not encompass all of Northeast Ohio. Taking that into account, the importance of startups and young companies on the economy becomes even more significant.
 
Enjoy the full piece here.
weekend escape plan for cleveland
In its regularly occurring travel feature "The Five-Point Weekend Escape Plan," New York magazine highlighted a contemporary arts-focused trip to Cleveland. Titled "See Cutting-Edge Contemporary Art in Cleveland," the article touches on where to stay, where to eat, what to do and other insider tips.
 
"This Rust Belt city is transforming into a thriving art hub thanks to two stunning new museum openings and a growing number of galleries," the article states.
 
Featured within is the Cleveland Hostel: "which feels more like a hipster haven than a grungy dorm."
 
Ginko: "Be wowed by extra-large cuts of exotic sushi."
 
The Transformer Station: "The original brickwork and chains contrast with a new addition made of dark-gray polished concrete, providing an industrial-chic setting for shows."
 
Steve's Lunch, "a 24-hour greasy spoon opened in 1953."
 
Explore the rest of the itinerary here.

npr takes close look at cleveland's image
In an NPR story titled “Making Sense Of Cleveland’s Good And Bad News,” Nick Castele writes of the national attention Cleveland has gotten due to its recent high-profile crimes.
 
Castele shares Colette Jones of Positively Cleveland’s thoughts on our fair city as she states, "I think most people have outdated perceptions of Cleveland. Most people don't really know much about the city. I think the things they see typically relate back to what they see on television, whether it has to do with our sports teams or something else like that."
 
While some feel a changed image will be the entire fix Cleveland needs to become a booming town again, others are not so optimistic.  Focus still needs to be placed on poverty, vacancy, and dwindling populations.
 
Check out the full feature here.
university circle development praised in ny times
In a New York Times travel story titled “Culture Blooms in Cleveland,” Ceil Miller Bouchet writes of Cleveland’s University Circle neighborhood and how it is experiencing a “cultural renaissance” of sorts. 
 
“More art-centric expansion is to come, with the Cleveland Institute of Art breaking ground last month on the 80,000-square-foot George Gund Building, which will house the Cinematheque art-house film theater as well as galleries and classrooms.”
 
Bouchet goes on to explain it is not just large-scale expansion that is causing this revival but also a thriving business district and refurbished galleries mixed in with city icons such as the Cleveland Clinic, the Cleveland Museum of Art, the Botanical Garden, and Severance Hall.
 
Check out the full tribute to the neighborhood here.

got to get down to hingetown: introducing ohio city's next hot block
Over the next few months, a handful of next-gen businesses will begin to open in the Striebinger Block, a prominent building at the intersection of Detroit and W. 29th. Billed as the Hingetown development, the project will act as the hinge between existing Cleveland assets like Ohio City, Gordon Square, and downtown.
regional planning initiative says status quo is not sustainable, wants residents to imagine future
The Northeast Ohio Sustainable Communities Consortium (NEOSCC) has mapped out what our region's future looks like if we stay on the same, urban-sprawl-lovin' course. Spoiler alert: It ain't good.

The group's "Business as Usual" scenario attempts to answer the question, "What will happen over the next 27 years if Northeast Ohio just keeps doing what it has been doing?" using sophisticated mapping.

NEOSCC's predictions include 2.4 percent growth in population and 6.2 percent growth in employment across 12 counties. Yet given our current land use patterns, about 92,500 acres will be used for new development and 77,100 acres will be abandoned.

That means Northeast Ohio is "on pace to abandon 10.5 percent of its housing units by 2040" or "18 units abandoned per day," according to the NEOSCC.

Although NEOSCC will not reveal its recommendations at this point, staff will present four scenarios to the public at open houses in the coming weeks.

These scenarios include "business as usual" (sprawl with limited growth), "doing things differently" (more sustainable development with limited growth), "grow the same" (sprawl with growth at a higher level than is occurring now) and "grow differently" (more sustainable development with greater growth). 

After receiving input from residents, NEOSCC will recommend a scenario to the four metropolitan planning organizations that help divvy up transportation dollars for the region and create long-term land use plans. Jeff Anderle of NEOSCC says that the group must create a "shared vision" to be successful with its efforts.

"We're not a governing organization; we don't have implementation power," he says. "It's been tricky, but we've gotten great participation from elected officials throughout the region. There's a lot of 'Let's see how and where this comes out.'"

To participate in the process, Northeast Ohio residents can attend one of the upcoming open houses or check out the Imagine My NEO tool on the website.


Source: Jeff Anderle
Writer: Lee Chilcote
move over silicon valley, here comes the rust belt
In a Forbes feature titled "The Surprising Rebirth Of America's Industrial Centers," Natalie Burg reports on the continued trend of former industrial cities transforming into today's hotbeds of entrepreneurial innovation.
 
"Move over, Silicon Valley. The American Rust Belt is going fiber optic. Though local economies built on manufacturing may not sound like the perfect candidates to transition into the new economy, cities like Cleveland, Detroit and Pittsburgh are proving otherwise."
 
Why would tech-minded entrepreneurs choose to live and work in Detroit, Pittsburgh or Cleveland instead of the sunny Silicon Valley?
 
“They want to see things being made,” the article contends. “These academically high achievers love making things.”
 
That's not all.
 
“There’s been an acceleration of restaurants, urban farms, are everything the tech industry require,” Russo said. “Chefs from other regions are relocating here.”
 
Read the rest of the news right here.

hemingway development and geis companies open third building of midtown tech park campus
Hemingway Development and Geis Companies have completed the third building of the MidTown Tech Park campus at 6555 Carnegie Avenue. The $9 million project brings the campus to a total of 242,000 square feet of new office space.

"When we arrived in MidTown, we wanted to develop one building a year, and we have exceeded that with the opening of this building,” said Fred Geis, a Hemingway principal, in a press release. "With the growth of the MidTown Tech Park campus, we have been able to create a real community where our tenants can interact and grow their businesses."

Radio One
, a national urban media company with four radio stations in Northeast Ohio, is one of the first new tenants. Regional Vice President Jeffrey Wilson says the developer's experience and the area's redevelopment attracted the firm.

"When I first looked at it, you might have thought I'd lost my mind, but we put our trust in Fred Geis," says Wilson of the building, which was raw prior to completion. "Now it's one of the most exciting spaces in all of Radio One."

The company will occupy 12,000 square feet on the first floor, including four main broadcast studios, production studios, a mix studio and a talk studio. Geis worked with Radio One to construct a 180-foot tower alongside the building, which will make it easier to transmit audio to the company's transmitter locations.

"To partake in the rebirth of the MidTown area really fulfills our creed," says Wilson. "We take a sense of pride in contributing to the rebirth of the area."

Talis Clinical, a Cleveland Clinic spinoff, is also leasing office space in the building. Geis says that the building will support 150 jobs and generate $300,000 in annual payroll taxes. The City of Cleveland provided $4.5 million in low-interest loans.


Source: Jeffrey Wilson, Fred Geis
Writer: Lee Chilcote
great lakes brewery helped transform ohio city
In a Massachusetts Republic feature titled "Craft breweries help transform 6 cities," writer Tali Arbel explores how craft breweries have helped to transform the neighborhoods around them.
 
"Small business owners tackled the hard work of transforming industrial buildings, many of which had sat empty as demographic changes pulled manufacturers and residents to the suburbs," she writes.
 
Here's a look at six breweries whose presence helped to change their surroundings:
 
"Great Lakes opened in Cleveland's Ohio City neighborhood in 1988. The downtown neighborhood was "perceived as dangerous and blighted" into the 1980s, says Eric Wobser. He works for Ohio City Inc., a nonprofit that promotes residential and commercial development while trying to preserve the neighborhood's older buildings."
 
"Great Lakes built a brewery and a brewpub. Other breweries and businesses -- a pasta maker, a bike shop, a tortilla factory, as well as restaurants and bars -- followed. Newcomers flock to the neighborhood, even though Cleveland's overall population is still declining. The city repaved the quiet street next to the brewery, Market Ave., with cobblestones, and poured millions into renovating a nearby 19th-century market."
 
Read the rest here.

workadvance exceeds enrollment goal for employment training program
WorkAdvance, a national program that provides low-income and low-skilled individuals with employment training, in conjunction with Towards Employment, a Cuyahoga County-based employment readiness agency, and seven other collaborators, has enrolled 465 local participants in its training program.

Enrollment began in June. The participants are receiving skills training and career services in manufacturing and healthcare. Rebecca Kusner, director of WorkAdvance, says two-thirds of the Cuyahoga County participants are from Cleveland.
 
The WorkAdvance program is part of a study to show that low-skill and low-income people with barriers to employment can meet companies’ needs if they are offered coordinated skills training and career coaching. “Often, people get GED services, but not technical training,” says Kusner. “WorkAdvance puts together all the services people need to not only get a job, but continue along a career pathway so they don’t end up back on public assistance.”
 
Northeast Ohio is one of four sites nationwide in the study. The program operates through federal funding from the Social Innovation Fund and under a local investment from the Fund for Our Economic Future.
 
Manufacturing and health care are two areas most in need of trained workers, Kusner says. “We talked to employers in both fields and asked them where they feel the pain,” she explains, adding that qualified welders were particularly in demand in Northeast Ohio.
 
Participants received training at places like Tri-C, Lincoln Electric, and Lakeland Community College. Kusner reports that 30 percent of those participants in jobs after training have already received wage increases.
 

Source: Rebecca Kusner
Writer: Karin Connelly
great lakes, ohio city highlighted in usa today feature
In a USA Today article titled "Build a craft brewery, urban revival will come," writer Tali Arbel describes the positive effects that craft breweries often have on their surrounding neighborhoods. In the piece, Great Lakes Brewing and its host Ohio City are given robust attention.
 
"The arrival of a craft brewery was also often one of the first signs that a neighborhood was changing. From New England to the West Coast, new businesses bubbled up around breweries, drawing young people and creating a vibrant community where families could plant roots and small businesses could thrive. It happened in Cleveland."
 
Great Lakes Brewing, which opened in 1988, built a brewery and a brewpub from historic structures.
 
"Other breweries and businesses -- a pasta maker, a bike shop, a tortilla factory, as well as restaurants and bars -- followed. Newcomers are flocking to the neighborhood, even though Cleveland's overall population is still declining. The city repaved the quiet street next to the brewery, Market Ave., with cobblestones, and poured millions into renovating the West Side Market, whose origins date back to the 19th century. Today, more than 100 vendors sell produce, meat, cheese and other foods there."
 
Read the rest of the article here.

ride along with fresh fork market, a farm-to-table slideshow
Each week, Fresh Fork Market delivers "grab bags" of locally grown ingredients to thousands of subscribers at various drop-off sites around town. From the customer's point of view, the process is a breeze. But ride along with owner Trevor Clatterbuck, as photographer Bob Perkoski did for this slideshow, and you'll see how much work goes into each bag.
columbus news crew road trips to cleveland
In an ABC 6 report titled “Road Trippin #3: Cleveland,” Columbus reporter Ashley Yore headed north on I-71 to Cleveland to explore our city’s $2 billion worth of new tourism related developments and improvements.
 
“According to Cleveland representatives, most of the improvements are on the East 4th Street, one of the city’s entertainment districts. Some of the projects include a new casino, a museum of contemporary art and a new aquarium. In addition, The National Senior Games are coming to the city on July 19, as well as “The Rolling Stone: 50 years of Satisfaction,” an interactive exhibit at the Rock and Roll Hall of Fame.”
 
Other stops along the route included Melt Bar and Grilled, The Western Reserve Historical Society, and the Great Lakes Science Center.
 
The full story and a video broadcast of the report are available here.

pipe dreams: will ohio be the next state to legalize medical marijuana
With medical marijuana becoming more mainstream every year, backers who favor legalizing it say the moment is ripe for Ohio to join the movement. To that aim, one group is collecting signatures to place the issue on the November 2014 ballot, allowing voters to decide whether or not medical marijuana should be allowed.
bluebridge networks announces $6m tech investment, plans to double staff
BlueBridge Networks isn’t trying to be the biggest cloud-based data storage and recovery company; the Cleveland-based company simply wants to be the best for its customers. To ensure that it is, BlueBridge recently announced a $6 million investment in technology to build the best network and facilities possible.

“We are controlling our own destiny,” explains managing director and partner Kevin Goodman. “We’re building our network to be cheaper, better and faster. Over time, the $6 million will be about time, talent and treasure.”
 
The three key players at BlueBridge -- Goodman, CFO Phillip Weihe, and director of operations Petar Bojovic -- sat down and made a plan for strategic growth that includes hardware and software improvements, updates to facilities and hiring the right people to make it all happen.
 
“The three of us strategically put together what we have to do to build it better,” says Goodman. “It’s a terrific time for us. Our focus has always been the next step. We always look at operational excellence, but we’re also always poised for growth.”
 
Pat Garcia, associate partner of technology at Rosetta, one of BlueBridge’s long-term customers, backs up Goodman’s mission to be the best provider to its customers. “We’ve really had a good experience with their response time,” Garcia says. “They are service oriented and all about customers and getting things done right.”
 
In addition to its Cleveland headquarters, Bluebridge has data centers in Mayfield Heights, Columbus and, more recently, Grand Rapids, Michigan. Goodman says the centers are all located on the line of the technology telecom track and centrally located. The bulk of the investment will be in the Cleveland headquarters, Goodman says, where the majority of the cloud platform is located. The new and improved platform is called bCloud2.0.
 
BlueBridge currently has 14 employees and 30 contractors. Goodman says they plan to bring on 15 additional people this year, and already are hiring people from all over the country.

 
Source: Kevin Goodman
Writer: Karin Connelly
writer proposes dream rapid system for region
In a RustWire post titled “Imagining a Dream Rapid for Cleveland,” Christopher Lohr explores the impact that expanding the rapid transit system would have on the greater Cleveland metropolitan area.
 
Lohr was inspired by a pair of articles that related to the Baltimore and NYC systems in a somewhat playful fashion.  He opted for a more serious approach when creating the “Dream Rapid” for Cleveland that would both serve the community and allow for continued economic growth.
 
“These articles inspired me to create what I called the Dream Rapid. Rather than base it on existing Subway routes or plans from decades ago, I instead set out to base in on plausible rail and interstate corridors that could accommodate transit.”
 
The article goes on to detail the various routes and communities served by this dream expansion.
 
View the full piece here.