Hartford Business Journal

20 Hartford Business Journal • May 13, 2019 • www.HartfordBusiness.com EDITOR'S TAKE Commercial realty conference airs bearish outlook C onnecticut has not created one new job in over a decade. The state is losing high school graduates as well as high value-added jobs. Home prices have still not recovered from the Great Recession. Hartford has lost its luster as the insurance capital of the world, and Cigna and Aetna are likely to relocate their corporate headquarters outside of Con- necticut over the next decade or so. Those were some of the opening comments and predictions shared by UConn business school professor John Glascock, director of the Center for Real Estate and Urban Economics, at a recent commercial real estate conference in West Hartford, where there was no shortage of negative sentiments raised about the fiscal, economic and political climate in Connecticut. In a state known for being down on itself, some people — including policymakers — might dismiss the tone of the 2019 Connecticut commercial real estate conference as just an- other event where business leaders pan the state's economy. That would be a mistake because the commercial realty bro- kers, developers and bankers who filled up a conference room at the Delamar Hotel May 2, are literally on the frontlines of eco- nomic and business development, and if they are unable to pitch a positive story about why individuals and businesses should buy and own real estate here, Connecticut is in big trouble. After all, commercial brokers' livelihoods depend on business owners and investors expanding their footprint here, not shrinking it. Commercial realtors should be the chief salespeople for the state. But who can blame them, to some degree, for lamenting Connecticut's eco- nomic and fiscal problems, given the lost decade the state just experienced and the seeming lack of understanding at the Capitol of the need to create a more business-friendly environment — or, at the very least, do no further damage. State lawmakers need to hear loud and clear the concerns of the commercial real estate community. The state's regulatory climate and high taxes were discussed at the conference but so too were efforts to raise the minimum wage and adopt paid family medical leave. Tolls brought mixed feelings. One broker dismissed all the attention being paid to sports betting and recre- ational marijuana legalization — while they may bring sexy headlines and new revenues they do nothing to change the state's economic trajectory. The conference wasn't all doom and gloom. Some positive realty trends were discussed. Industrial real estate and the apartment market are still hot. There also seems to be a lot of interest in Opportunity Zones, which offer fed- eral capital-gains tax benefits for investments in distressed municipalities. Meantime, a panel that included David Griggs and Garrett Sheehan, respec- tive heads of the MetroHartford Alliance and Greater New Haven Chamber of Commerce, took a much more positive tack, trying to underscore Connecticut's economic advantages (highly educated workforce, good quality of life, well positioned between Boston and New York City, etc.) and progress that has been made in the Capital and Elm cities. Department of Economic and Community Development Commissioner David Lehman also spoke on that panel about myriad issues, including the Lamont admin- istration's desire to help ease the regulatory burden in the state. Griggs, who acknowledged the dour tone in the room, also talked about the need for brokers to work more closely with his organization to help sell the region and its assets. That certainly needs to happen, but Greater Hartford's and the state's for- tunes won't be turned around simply through positive messaging. The reality is you can't change tone without changing the fiscal and economic trajectory of the state. COMMUNITY CONNECTIONS Strengthen and grow your business by doing good By Jennifer Smithberger T he sole purpose of business is to increase profits for its owners. So said economist and Nobel laureate Milton Friedman in a 1970 essay that remains among the most controversial business theories. Times have changed. Today, 86 per- cent of consumers expect companies to improve their lo- cal communities and the world, and companies hear them. In 2011, rough- ly 20 percent of the S&P 500 companies pub- lished corporate social-responsi- bility reports; in 2017 that number was 85 percent. A recent survey found that 64 percent of CEOs view social responsibility as core to their business strategy. With all its benefits, social respon- sibility is not merely an approach for big companies anymore. Doing good helps make a business of any size better, stronger and more relevant. Is your company ready to start or expand on what you are already doing? Here are five steps to build a competitive advantage for your busi- ness by doing good. Get a good fit You're running a lean business, and every dollar, every minute matters, so start with one cause to support and scale your efforts over time. Choose one that connects to the core of your business and its areas of ex- pertise. Make sure the cause matters to your employees and customers, and that it's in an area where you can make a significant impact. Empower your team Once you have a cause tied to your business brand, engage your people. Share your vision for community involvement, what goals you want to achieve, how efforts connect back to your business, and then lead by example. Encourage your employees to have a voice in developing your com- munity initiatives. If you want your efforts to become a movement rather than just a moment, employees need to take ownership of them. Assess what you can give You don't need to be in the million- dollar club to make a meaningful donation. There are many creative options beyond writing a check. Donations of goods or services can be just as valuable and let you showcase your business while giving employees a chance to put their expertise toward something they are passionate about. Seek and build partnerships Whatever cause you select, it's likely there are nonprofits dedicated to that issue. If you're seeking ways to deepen your community con- nections, focus on local activities to make it easier for your employees and customers to participate. Look for ways to give year-round to create greater opportunities to interact with potential new customers. The steady exposure builds positive word of mouth and encourages your employees to strengthen ties to the community. While business is competitive, giving thrives on collaboration. If you see other businesses taking on your cause, join forces. Combining your resources can help you achieve greater impact. Share your story There is a school of thought that giving back is a private, personal obligation. We are taught to give without expectations, so it's natural that wanting something in return may feel less genuine. But consum- ers across all generations are using their purchasing power to support companies that help them make the world a better place. This influences their buying deci- sions; and when businesses proac- tively get the word out about the good they do, they gain a powerful advantage over those that do not. It's never too early or too late to start doing good. If you are already doing good, evaluate your efforts to see how you can further align them with your business objectives. Community involvement deliv- ers the greatest returns when it is a long- term commitment. With a united team, like-minded partner- ships and work that doubles as good- will, giving back can be one of the most fulfilling and valuable market- ing investments you make. Jennifer Smithberger is chief seeder and co-founder for seedership, a social impact and kindness platform for local businesses. Opinion & Commentary Greg Bordonaro Editor Jennifer Smithberger

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