What Happened?
Major cities such as New York City and Philadelphia are investing in resources and amenities to create hubs for economic growth in specific industries. These investments are designed to attract businesses, professionals and entrepreneurs in industries such as energy and manufacturing to boost sustainable growth and innovation.
New York City
New York City recently announced plans to invest $140 million in the expansion of the Brooklyn Navy Yard to develop a more concentrated manufacturing hub in the area. The investment is expected to not only attract businesses by renovating a warehouse, but also create 3,000 jobs in the process. The funding will come from:
- New York City
- Brooklyn Navy Yard Development Corporation -
- Brooklyn Borough President
- City Council
The investment will refurbish a vacant industrial building and double the projected number of goods jobs at the facility. The one-million square foot building will be rented to manufacturing and technology-based businesses, which in turn will increase employment in the Navy Yard by 40 percent.
The focus on developing the city’s manufacturing sector comes after a $100 investment in Sunset Park’s Brooklyn Army Terminal where an abandoned building was turned into a technology and manufacturing center. Both initiatives were designed to create and maintain high –paying jobs in growing industries.
New York City is applying a First Look NYC hiring procurement strategy to equip local New Yorkers with the training and skills to acquire high-paying jobs in these growing sectors of manufacturing and technology. The city will offer training programs designed to help up to 30,000 residents annually secure middle-skill jobs in growth industries, as well as partner with thriving businesses to ensure the training programs are aligned to employer demands.
Philadelphia
Philadelphia is investing heavily in the expansion of its railway network and improvements to its infrastructure to better connect nearby energy providers to professionals and resources within the city and along the East Coast. Philadelphia is conveniently located near the Marcellus Shale, and houses a busy commercial rail system that connects oil moving from North Dakota. The Marcellus Shale has 5,400 shale wells in activity that generated nearly 2 trillion cubic feet of natural gas in the first half of 2014 alone. It reportedly accounts for nearly a quarter of the nation’s natural gas production, CNBC reported.
A growing number of gas and energy-related businesses are becoming interested in investing in Philadelphia where they can gain access to distribution pipelines that work through the city’s infrastructure. Philadelphia is also located where energy sources from the West connect to business opportunities in the Northeast corridor, CNBC reported.
In fact, the city recently received a $2.5 billion pipeline investment that would complement an existing gas artery and connect Marcellus to Philadelphia. The pipeline may increase the region’s energy volume output by fourfold. The pipeline will move materials such as propane, butane and ethane from Appalachian shale-gas fields, CNBC reported.
Reinventing the City
Gov1 has followed several major cities across the country as they reinvent themselves into hubs of new industries with massive growth potential.