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Business News Politics

What Does Cincinnati’s Nativity Rating Mean for Its Long-Term Migration Prospects?

Cincinnati has a migration problem that is two-fold. First, it lags behind most major metropolitan regions in North America when it comes to attracting international migrants. Second, and perhaps more significantly, is that the region has a stagnant domestic population.

This is not because domestic migrants are any more or less important than international migrants. But rather, it is because stagnancy is a major problem for cities.

As many demographers and social scientists have pointed out, focusing public policy on retaining existing talent is a bad approach. In fact, large movements of people out of one region can be a very positive thing. That is, of course, if it is balanced out by a large influx of people into that same region. This is the case for North America’s largest cities, and is also evidenced at a larger scale in California.

But beyond that, older Midwestern cities with a large cluster of high-quality universities also seem to export more people than they import. That, in and of itself, is not the problem.

“This notion of the university as a “factory” gets very close to the truth,” Aaron Renn, owner of The Urbanophile, wrote in 2010. “A friend of mine noted that if we treated steel mills like universities, Indiana would be obsessing over “steel drain” and spending hundreds of millions of dollars on programs to try to keep steel from leaving the state.”

Renn went on to say that the notion of doing such a thing would be ludicrous, and that it is important to understand the details of what is really going on when it comes to a region’s migration patterns.

“Migration does matter. Any city that thinks it can be blasé about this is fooling themselves,” wrote Renn in a separate piece. “On the other hand, surface numbers only tell us so much. We need to understand the dynamics going on underneath the hood.”

By most comparative measure, Cincinnati actually does very well compared to many places at retaining its population. The problem is that it does very poorly at bringing in new people from outside the region.

Based on five-year estimates from the American Community Survey, this stagnation can be clearly seen.

Perhaps not surprisingly, the areas of the Cincinnati Metropolitan Statistical Area (MSA) which have the highest percentage of people living there that were born in another state are near state borders. Since the Cincinnati MSA stretches across three states, you can see that movement of Ohio residents to southeastern Indiana and northern Kentucky has boosted numbers in those locales.

On average, approximately 68% of the 2.2 million person Cincinnati region was born in the state where they currently reside. Meanwhile, Uptown and Cincinnati’s northeast suburbs appear to be the only parts of the region that are actually attracting newcomers to the region.

Another key finding here is the utter lack of movement of people into or out of Cincinnati’s western suburbs, which have a native born population between 80-100%. This number is roughly comparable to most rural areas in Ohio, Kentucky and Indiana.

The Cincinnati region, however, is not alone when it comes to a stagnant population.

While Columbus was seen as a leader amongst big cities in terms of its domestic migration rate, it appears that Columbus is merely attracting new residents to its region from elsewhere in Ohio. Almost the entire Columbus MSA has a native born population between 60-80%.

The numbers are even worse for the Cleveland MSA, which, on average, has a percentage of native born population higher than the average for Ohio, Kentucky and Indiana. This is in spite of the Cleveland MSA attracting more international migrants than any other in the three-state region.

Even though Cincinnati continues to post modest annual population growth, it continues to be on the outside looking in when it comes to North America’s most economically successful cities. If Cincinnati wants to just focus on attracting existing Americans to the region, then it should look to Houston, Dallas or Atlanta, which are all hubs for domestic migration.

This scenario, however, seems unlikely since each of those regions is positioned uniquely in terms of their economy or their geographic location. So, if Cincinnati is to really ramp up its population growth, it better look at what other metropolitan regions are doing to make themselves more attractive to international migrants.

Perhaps Mayor John Cranley’s new, yet-to-be-unveiled initiative can help with this. But does he or his administration actually know what is going on underneath the hood?

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Business Development News Transportation

PHOTOS: Construction Activities for $133M Streetcar Project Move Southward

Since the dust-up in December, construction work on the $133 million first phase of the Cincinnati Streetcar has been proceeding as planned.

Those living, working or visiting Over-the-Rhine, can now see significant visual progress throughout much of the neighborhood. Meanwhile, utility relocation and upgrade work continues near the southern terminus of the initial system; and now track work is beginning to approach as rails are installed along Central Parkway.

Due to the congestion and centuries old utility systems, work in the Central Business District is expected to be messy and lengthy. In order to minimize disruptions, city officials say that they are working as much as possible at night and on weekends.

Vertical construction continues at the system’s northern terminus where the Maintenance & Operations Facility is being built; and officials say that work is now beginning on one of the first power substations at Court Street and Walnut Street.

Restoration of the Central Parkway median is currently taking place following a surge of construction activity along this stretch of the route, which, coincidentally, is located directly above the Race Street Station for the never-completed Cincinnati Subway.

Rail installation will continue to take place throughout Over-the-Rhine in the coming weeks, and gradually work its way south. Meanwhile, expect the heavy lifting that is the modernization and relocation of utilities to continue.

Due to encouraging progress, some project officials believe there is the possibility the system could open several months ahead of schedule sometime in the summer of 2016.

It was also learned this week that the Southwest Ohio Regional Transit Authority (SORTA), the agency who will eventually operate the system, will deposit $268,278 of a remaining 1996 grant from the Federal Transit Administration into the Cincinnati Streetcar’s unallocated contingency fund. That fund, meant to cover unanticipated costs, started out at $4.7 million. Since the start of the project officials have used nearly $900,000 of those funds.

EDITORIAL NOTE: The following 22 photographs were taken by Jake Mecklenborg on Tuesday, May 20, 2014. Those interested in learning more about Cincinnati’s transit history should read his book – Cincinnati’s Incomplete Subway: The Complete History.

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Business Development News

Greiwe Development to Break Ground on $35M Hyde Park Condo Building This Week

Developers are aiming to break ground on a $35 million condo building in Hyde Park this week, following a months-long demolition effort that began in late October and cleared the site of five existing buildings, some of which dated back 80 years.

Greiwe Development and North American Properties (NAP) say that the demolition work cleared the way for what will become a modern four-story building that will house 30 luxury condominiums at the corner of Observatory Avenue and Shaw Avenue in Hyde Park.

Named 2770 Observatory, the development will also include a 77-space underground parking level accessible from Shaw Avenue.

The development will boast some of the priciest new residences in the region, with units priced between $700,000 and $2 million.

“Hyde Park combines the sophisticated lifestyle of Cincinnati’s premier neighborhood with the exciting air of arts, innovative restaurants and blocks of unique shopping,” said Rick Greiwe, principal of Greiwe Development.

Not everyone is thrilled about the luxurious direction in which Hyde Park continues to head. Former residents expressed frustration to UrbanCincy, saying they were given notice to vacate their apartments “by the end of the month” so that demolition work could proceed.

Over the years, this transition has led to a migration of priced-out Hyde Park residents to seek more affordable options nearby in Oakley, East Hyde Park or Evanston.

Griewe, however, says that the vibrancy of Hyde Park Square is part of what drew his development team to this location, and that the active and engaging lifestyle of city living is what is appealing to his firm.

Both Montgomery and downtown Cincinnati are locations where Greiwe says they would like to do additional work.

The announcement of 2770 Observatory comes as a wave of residential infill projects have been sweeping across Cincinnati’s neighborhoods. Thousands of new residential units are either currently under construction or planned to get started soon in Northside, Walnut Hills, Downtown, Over-the-Rhine, College Hill, Corryville, Clifton Heights, Columbia Tusculum and Avondale.

Instead of the residences being rentals, as is the case for most other projects around the region, 2770 Observatory follows in the footsteps of 2801 Erie Avenue and Michigan Terrace, which were completed in 2009 and 2007, by injecting high-end condos into one of the city’s toniest neighborhoods.

Griewe Development has become known for high-end, urban residential projects. In Mariemont, the company has completed 106 units in the heart of the village. That overall development program has been built over four different phases including Emery Park, Nolen Park and Jordan Park.

The development team says that they are pursuing a LEED Silver certification for the Hyde Park project, and that it is being completed without any financial assistance from the City of Cincinnati.

Cincinnati-based GBBN worked as the lead architecture firm on the project, while Messer Construction has been selected to build it in conjunction with NAP. Construction work is expected to begin this week, with units becoming ready for occupancy in fall 2015.

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Business News

The Littlefield to Bring Craft Bourbon Bar to Northside This June

A craft bourbon bar called The Littlefield will open in Northside next month at 3930 Spring Grove Avenue. The approximately 400-square-foot establishment, which will also include a large outdoor terrace, is being opened by four neighborhood residents who say they have been working on the concept for at least four years.

Named after the family that built the house in the 1870s, The Littlefield is hoping to bring something different to the neighborhood that surrounds it, while also complimenting its history and culture. Co-owner Matt Distel says that the goal is to make The Littlefield a great neighborhood bar and kitchen, and hopes that the name grounds them in that direction.

Hoping to build on some of the history of Northside, the four co-owners conducted research in order to find the early settlers of the area, as well as the restaurants and bars that have anchored the neighborhood over the years.

“Ultimately we decided that naming our place after the people who built the actual building in the 1870s was the most direct link we could make,” Distel stated. “These other local histories will find their way into The Littlefield through our menus and artwork.”

While history was a big focus for The Littlefield, it is the food and drink about which the owners are passionate. They say that their main focus is bourbon, bourbon-based cocktails, regional beers and food that pairs well with those offerings.

“We [Cincinnati] were a bit ahead of the curve in terms of bourbon popularity and now you can find a decent bourbon selection around town,” Distel told UrbanCincy. “Fortunately our own interest in bourbon has not waned in the slightest nor does it seem that its popularity is anywhere near decline.”

That being said, the team behind The Littlefield says that they will offer a lot more than just bourbon.

Distel says that they will offer an extensive collection of regional and craft beers, and a full-service bar that will have a wide variety of cocktails and a “thoughtful” wine list.

The group has received help from Shoshannah Friedman, former chef at Honey, when it came to developing their menu. To that end, they say they will also join a growing collection of establishments in sourcing as many local products as possible.

Distel expects to welcome The Littlefield‘s first customers in June; however, no official opening date has been set. Hours of operation have also yet to be finalized.

Categories
Business News Transportation

New, Expanded Services from 321-RIDE to Heat Up Already Hot Ridesharing Market

While Uber and Lyft have been getting a lot of attention lately, following the launch of their services in Cincinnati, they are not the only non-traditional ride sharing services operating locally. The other, of course, is 321-RIDE and has been operating since 2007 primarily as a chauffeur service.

The locally owned and operated company has around 1,100 members presently, but new features, membership options and services are expected to grow that number and make 321-RIDE more competitive in the increasingly congested market.

According to Jon Amster, owner of 321-RIDE, the company’s existing client base is about half corporate and half individuals, and says that they are more of a higher-end service when compared to taxis, Uber and Lyft. He also says that they help those people who are not totally car-free.

“We’re a business that’s set up for a community like Cincinnati and other mid-sized Midwestern cities,” Amster explained. “We don’t have a strong taxi culture here…we have a drive your car to the bar culture, and we understand that.”

The way it works is two workers show up on behalf of 321-RIDE. One of those workers drives the customer home in their car, while the second worker follows them in order to bring both back after dropping off the user.

There are similar such businesses in other markets across North America, including numerous that include only one worker who gets to the customer on a collapsible bike that is stored in the truck until drop-off.

In order to keep up with the changing landscape, 321-RIDE launched a new website, mobile platform and membership options on May 1. Amster says that they are also working with a local developer and database firm to launch a mobile application this fall that will allow for users to geolocate the service and make a reservation in a one- to two-step process.

While the new changes are meant to help continue growth at the company, the University of Cincinnati real estate graduate says that it has not always been smooth sailing.

“We lost $100,000 in the first six months, but eventually paid all of that money back after two years of operation,” Amster said. “We learned from organizations like SCORE and through trial-by-fire, and we’re now a growing business.”

The new model for 321-RIDE allows for customers to sign-up for membership accounts at $8.95 per month, which differs from the previous $200 per year membership option offered. From there, the member’s credit card information is stored so that all ride purchases can be done without an in-car transaction. The average ride fee is around $64, with a minimum charge of $55.

Since 321-RIDE is now a cashless business, it means that gratuity is automatically calculated into the rates.

Amster says that he realizes the more premium service is probably not for everyone, but believes there is a market for ride sharing in Cincinnati at both ends of the spectrum, just as there is a market for steak at both Outback Steakhouse and Morton’s.

As for the new competition from Uber and Lyft, Amster says he welcomes their arrival and believes that they serve different markets.

“I don’t see us as competition,” said Amster. “There are some nights where you’d rather take a cab, but there are some nights where you’d rather have your car home with you.”

There are about 16 to 18 drivers, who operate as contractors, working at any given time for 321-RIDE. Those interested in using the service are able to do so seven nights a week between 9pm and 3am. Daytime and early evening hours are not currently offered, but are being considered as part of expanded operations in the future.