Hartford Business Journal

20 Hartford Business Journal • June 29, 2015 www.HartfordBusiness.com OPINION & COMMENTARY EDITORIAL Hartford realty deals show progress but much work still to do R ecent talk of Hartford's renaissance has drawn a healthy dose of skepticism from residents in and outside the Capital City, who have been disenchanted by decades of false promises of urban renewal. But there is concrete evidence that Hartford's revitalization is real and moving in the right direction. Last week, two more iconic Hartford properties traded hands as investors, many from out-of-state, continue to view the Capital City as a good bet. New York-based BHN Associates paid $71.1 million to purchase six-buildings in Con- stitution Plaza, while Westport Capital Partners announced it bid $17.6 million in an online auction to acquire the 330,000 square-foot Goodwin Square office tower and adjoining hotel. In March, New York investors paid $36.9 million for 100 Pearl Street, and two other ionic Hartford properties — the Gold Building and CityPlace I — are on the market as their owners sense an opportune time to sell. The true economic health of any city or region is determined by its ability to attract private capital, and that's precisely what Hartford is doing. Investor interest in downtown Hartford commercial properties, in particular, is ris- ing. The center city's vacancy rate is also easing into the lower teens. It is true that government funding has driven most of the development projects currently underway in Hartford. But those projects — including buildout of new apartments, the Front Street entertain- ment district, the relocation of UConn's West Hartford campus to the Capital City, and construction of the minor league baseball stadium and adjoining mixed- use development — now are proving to be catalysts for private investment. In fact, the new cohort of Hartford inves- tors have linked their bullish outlook to many of those projects and the young professionals they are expected to lure to the center city. That is a good sign that should gain rec- ognition, even from the naysayers. Still, the city must not rest on its laurels. There are major issues confronting Hartford's policymakers that must be tackled if the city is going to continue its upward climb. City residents, 10.3 percent of which are unemployed, need more education and job opportunities. Hartford's exorbitant 74.29 commercial mill rate remains a major drag on private investment in the city, and the chief reason public money is needed to finance many developments. Violent crime, while not prevalent in downtown, still spreads its ugly wings in many Hartford neighborhoods. The city's budget also has structural deficit issues that bring with it the threat of future tax increases. Hartford, whether people care to admit it or not, is experiencing a resurgence. Poli- cymakers, ranging from the mayor to the city council and state legislative delegation, have a chance to carry that momentum further. Whether they do, or not, could mean the difference between more false hope or a truly revitalized Capital City. n OTHER VOICES Polishing CT's manufacturing image By Elliot Ginsberg I n a recent HBJ article, "Miscast, CT manufacturers seek fresh image, minds," ingrained misperceptions about the manu- facturing industry are cited as a root of the industry's struggle to recruit a new-genera- tion workforce. Why is this impor- tant? Connecticut has a deep and strong legacy in the manu- facturing sector. It is a significant force that drives our econ- omy, creates jobs and ensures the state and the nation's position as an economic leader. According to a recent Manufacturing Institute (MI) study conducted with Deloitte Development, Ameri- cans are steadfast in their commitment to creating a strong, globally competitive manu- facturing sector in the U.S. However, manu- facturing is less popular than other industries as a career choice — ranked last for those 19-33 years of age and only one out of three parents would presently encourage their chil- dren to pursue manufacturing careers. It's a conundrum: How can Americans show support so strongly for manufacturing yet not want their children to work in the industry? What can we do to change the way people view manufacturing? According to the survey, people with first-hand knowledge of the indus- try listed manufacturing as one of their top three career choices and were two times more likely to recommend manufacturing careers. This news is encouraging, and surpris- ingly not new. MI recognized the crucial need to transform the industry's tarnished image 10 years ago. In 2005, MI created "Dream It. Do It." — a national network to transform the negative perception of manufacturing and attract the creative, skilled young peo- ple needed to grow the industry in the global market. Today there are 37 Dream It. Do It. programs running across the U.S. Now in its fourth year, Connecticut. Dream It. Do It. (CT DIDI), licensed and led by the Connecticut Center for Advanced Technology Inc. (CCAT), showcases manu- facturing career opportunities to middle and high school students, educators, and families through year-long outreach programs across the state. CT DIDI operates with staunch sup- port from the state Department of Economic and Community Development and the advi- sory board of the recently created Connecti- cut Manufacturing Investment Fund. With hands-on activities and events, student and teacher workshops, tours of manufactur- ing facilities and career fair expos, Connecti- cut. Dream It. Do It. is making a difference. One of the unique programs introduced by CT DIDI is the Young Manufacturers Academy (YMA), a two-week program for middle-grade students. Created in partner- ship with the Connecticut Technical High School System (CTHSS) to spur enrollment in manufacturing programs, YMA provides young people with a chance to experience the manufacturing environment before making their high school and career path choices. According to Connecticut Technical High School System Superintendent Nivea L. Tor- res, since the start of YMA in 2009, enroll- ment in the precision manufacturing pro- gram at technical high schools has increased dramatically for programs that had been pre- viously trending downward. "In April 2009, the CTHSS precision manu- facturing program enrollment was at 62 per- cent capacity with 586 students. Today, there are 774 students at 13 sites placing overall enrollment at nearly 80 percent capacity. This increase is a direct result of the successful YMA summer program," stated Torres. Based on the success of the academy, the Motorola Solutions Foundation awarded The Manufacturing Institute, in partnership with CCAT, a grant to fund the expansion of YMA and to create an implementation tool kit for Dream It. Do It. nationally. As a result, the YMA model is now rec- ognized as a Dream It. Do It. best practice, endorsed by MI and the National Association of Manufacturers. It is being implemented widely. According to Susan Palisano, director of education and workforce development at CCAT, YMA graduates believe that jobs in manufacturing are safe, clean, high-wage, high-skill and fulfilling. Many YMA alumni are now considering careers in the field. Beyond the outstanding work being done by state and private colleges around Con- necticut and the state technical high schools, other manufacturing and business organiza- tions as well as nonprofits like the Connecti- cut Women's Education and Legal Fund reach out to young people throughout the year. Career fairs, school events, facility tours and interactive workshops tap students' cre- ativity and give them a fresh look at today's high-tech, fast-paced industry. The result is an eye-opening, positive experience with the manufacturing world. Since its launch, CT DIDI has hosted and participated in more than 100 events reach- ing more than 19,000 students, more than 2,100 educators, and nearly 700 family mem- bers in towns stretching across the state from Torrington to Bridgeport to Hartford to Old Lyme. To showcase the industry, Gov. Dannel P. Malloy proclaimed October as Connecticut. Dream It. Do It. Manufacturing Month in 2012. The annual promotion kicks off on national Manufacturing Day with CT DIDI's signature event for middle-grade students, Manufactur- ing Mania. This unique, regional event brings hundreds of students and teachers together for team-based activities that simulate manu- facturing talk with industry leaders. Although there has been progress in changing misconceptions about manufactur- ing, remnants of a tarnished factory image remain. It is only through constant, collabora- tive efforts across the state, and the nation, that manufacturing will shine once again as a source of pride, inspiration and technological innovation, attracting the best and brightest minds of the next generation. n Elliot Ginsberg is the president and CEO of the Connecticut Center for Advanced Tech- nology Inc. HARTFORDBUSINESS.COM POLL Is downtown Hartford better than it was five years ago? ● Yes ● No To vote, go online to HartfordBusiness.com. Last week's poll results: Should the state increase hospital's Medicaid reimbursement rates? 71.1% Yes 28.9% No Elliot Ginsberg ▶ ▶ The true economic health of any city or region is determined by its ability to attract private capital, and that's precisely what Hartford is doing. Investor interest in downtown Hartford commercial properties, in particular, is rising. The center city's vacancy rate is also easing into the lower teens.

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