Richmond: Economy/Business/Real Estate

[wrldcoupe4]

There’s a game plan:

https://www.visitrichmondva.com/partners/tourism-master-plan/tmp-documents/

https://assets.simpleviewinc.com/simpleview/image/upload/v1/clients/richmond/18298_20_RRT_Richmond_Tourism_Master_Plan_Report_v2_99e31edc-207a-4a8a-80f8-e264509f88e5.pdf

[wrldcoupe4]

Also -  not sure if these are tv spots or web placements. 

https://m.youtube.com/user/Visitrichmond/videos

the road-trip spots seem like they could totally target DC region. 

[I miss RVA]

1 hour ago, wrldcoupe4 said:

There’s a game plan:

https://www.visitrichmondva.com/partners/tourism-master-plan/tmp-documents/

https://assets.simpleviewinc.com/simpleview/image/upload/v1/clients/richmond/18298_20_RRT_Richmond_Tourism_Master_Plan_Report_v2_99e31edc-207a-4a8a-80f8-e264509f88e5.pdf

Thank you, @wrldcoupe4for taking the time and putting in the legwork to research and find this. Wow - this is REALLY good stuff! Okay - I'm breathing easier. I haven't done a super deep dive yet into the master plan - just skimmed it - but what I see so far I really like. THIS nugget, in particular, in their action plans: advocate for the development of a headquarters hotel with direct access to the convention center. THIS is where these folks can work with the city planning folks in charge of guiding development in City Center to push - and push HARD - for something akin to that 23-25ish story, 572-room Hyatt Regency hotel at 6th and what would be E. Clay Street (if they re-establish it) north of the Blues Amory. I like the idea of developing synergy between this group and the city planning group in potentially spearheading the development of a new, large convention hotel downtown. THIS IS REALLY GOOD!!

I could be curious to know what they're using as a baseline from which to calculate their timeline.

 

Edited June 4, 2022 by I miss RVA

[KJHburg]

Richmond metro apartment construction per capita is in the top 10 of metros nationally.   1-4 unit single family houses are further down the per capita list of regional peers.  However the median sales price of a Richmond new home is much cheaper than most regional peers and $200,000 LESS than the DC metro area which is no surprise.  But that is big difference and should be used as an advantage.  With tight inventories of homes and apartments nationwide those cities building more get more jobs and companies are starting to look at this type of data. 

https://www.redfin.com/news/metros-building-new-construction-Q1-2022/

[I miss RVA]

1 hour ago, KJHburg said:

Richmond metro apartment construction per capita is in the top 10 of metros nationally.   1-4 unit single family houses are further down the per capita list of regional peers.  However the median sales price of a Richmond new home is much cheaper than most regional peers and $200,000 LESS than the DC metro area which is no surprise.  But that is big difference and should be used as an advantage.  With tight inventories of homes and apartments nationwide those cities building more get more jobs and companies are starting to look at this type of data. 

https://www.redfin.com/news/metros-building-new-construction-Q1-2022/

Amen! Well said. And you're spot on - we should be using this to our advantage, both over competing cities that may not be as cost-friendly and certainly over the significantly more expensive metros whose businesses and residents we should be attempting to attract to move here - can you say D.C./NOVA, NYC, etc.?

Thanks for the heads up on this, @KJHburg

[Icetera]

Was someone clamoring for a bigger employer?

Quote

The global toymaker [Lego] known for its brick-building assembly sets will invest $1 billion to build a new U.S. manufacturing plant in the industrial park, Gov. Glenn Youngkin announced Wednesday morning.

The 1.7 million-square-foot facility is expected to create over 1,760 jobs. Lego plans to break ground on the project this year, with production expected to begin in 2025.

https://richmondbizsense.com/2022/06/15/breaking-news-lego-to-build-1m-plant-in-chesterfield/

[Brent114]

This is fun news and $1 billion is a huge investment! 

[wrldcoupe4]

I think it could be really meaningful to have them in the community, especially if they collaborate with local schools, science  and children's museums, etc.

[Brent114]

I was thinking the same.  Their branding is usually so fresh.  I like the idea of seeing their name on the wings of museums and athletic fields around town. 

[I miss RVA]

Maybe they could purchase the naming rights to the new arena to be built in Green City - imagine the LegoLand Arena in RVA, opening in 2025-6-7-ish? YEAH! 

[benstyree]

HUGE missed opportunity to make it look like it is built of LEGOs.

[wrldcoupe4]

I think it kind of is designed to look like that. Just really big blocks.

https://www.virginiabusiness.com/article/lego-group-to-build-1b-manufacturing-plant-to-chesterfield/

[I miss RVA]

4 hours ago, wrldcoupe4 said:

I think it kind of is designed to look like that. Just really big blocks.

https://www.virginiabusiness.com/article/lego-group-to-build-1b-manufacturing-plant-to-chesterfield/

They should paint them bright red, blue, green, yellow, orange... 

[eandslee]

Can we also get a couple attractions like popular, open-to-the-public factory tours and the coup de gras...LegoLand Colonial Virginia in Richmond?!!

[I miss RVA]

50 minutes ago, eandslee said:

Can we also get a couple attractions like popular, open-to-the-public factory tours and the coup de gras...LegoLand Colonial Virginia in Richmond?!!

YES!! Love it!! Could we also get an actual, authentic Lego Museum - but not out by the plant - rather, in the city, perhaps near the SMVA or the Richmond Children's Museum?

Okay - here's a question for everyone: would it be worth it to perhaps have a portion of the developable land in the Diamond District occupied by an authentic Lego/LegoLand Museum? Just curious of perhaps there could be a tie-in with the new ballpark and an added attraction to the burgeoning Diamond District development. 

Thoughts?

[Icetera]

Looks like the LEGO executives stopped by Wonderland, where Chad Painter (owner and overall amazing guy) talked to them about his annual charity event "Punks for Presents."  That is a nice, grassroots level start that I would not have expected.

[ancientcarpenter]

51 minutes ago, Icetera said:

Looks like the LEGO executives stopped by Wonderland, where Chad Painter (owner and overall amazing guy) talked to them about his annual charity event "Punks for Presents."  That is a nice, grassroots level start that I would not have expected.

Could LEGO be moving their HQ from Connecticut to Richmond?

 

$1billion is a lot of money...

Edited June 16, 2022 by ancientcarpenter

[Icetera]

1 hour ago, ancientcarpenter said:

Could LEGO be moving their HQ from Connecticut to Richmond?

 

$1billion is a lot of money...

It looks like their CT factory (tiny compared to Richmond) closed some time ago as they moved operations to a new Mexico plant.  They then later renovated the old manufacturing space into offices in 2016, prior to vacating their old office building.  With only 6 years into the new space and having another major North American plant elsewhere, I doubt they would move anytime soon.
 

Quote

Lego ended manufacturing and distribution operations in Enfield in 2006, but kept offices in town.

https://www.hartfordbusiness.com/article/former-lego-hq-in-enfield-listed-for-sale

[123fakestreet]

1 hour ago, ancientcarpenter said:

Could LEGO be moving their HQ from Connecticut to Richmond?

 

$1billion is a lot of money...

I know absolutely nothing about anything on this, but generally speaking I could see them feeling out the waters of Richmond for a few years after the warehouse is up and running, then maybe doing it.  Connecticut is one of the most expensive states in the country.  Altria did the same thing, moving PMUSA division to Richmond to join their manufacturing plant, then eventually the whole company down from NYC at a big cost savings.

[I miss RVA]

3 hours ago, 123fakestreet said:

I know absolutely nothing about anything on this, but generally speaking I could see them feeling out the waters of Richmond for a few years after the warehouse is up and running, then maybe doing it.  Connecticut is one of the most expensive states in the country.  Altria did the same thing, moving PMUSA division to Richmond to join their manufacturing plant, then eventually the whole company down from NYC at a big cost savings.

As a former employee of PMUSA (for 10 years (decade of the '90s until moving to Chicago in 2001) I recall how we ALL wondered how long it would take (particularly after "Altria" came into existence) for the company to shutter the Park Avenue offices and move everything lock, stock and barrel to Richmond. The costs of operating a Manhattan HQ were UNREAL - and with the exception of manufacturing in Cabarrus County, N.C., and Louisville - EVERYTHING and I mean EVERYTHING was in metro Richmond. We had three - THREE - manufacturing plants in metro Richmond -- Maury Street, Bells Road and Park 500 in Chester -- (and the Bells Road MC was/is the largest such facility in the world) -- plus ALL operations, planning, R&D, etc. EVERYTHING was in Richmond.

All of this is to say - I'm surprised it took PM/Altria as long as it did to finally consolidate and move to RVA. THAT SAID - if the Chesterfield Legos plant is a super-sized success - AND IF RVA ECONOMIC LEADERS ARE SMART AND PLAY THIS RIGHT - it's 100% reasonable to project ahead, as @123fakestreetsuggested, that Lego could be persuaded to pack everything up and bring the whole U.S. corporate group to RVA -- which is certainly a CONSIDERABLY more cost-friendly metro than anything in CT.

HEY - perhaps a "Lego Tower" downtown could look like it was made from Lego blocks!! 

Edited June 16, 2022 by I miss RVA

[I miss RVA]

More positive movement!

Again, THIS is what I'm talking about. These are positive steps that I think WILL pay dividends going forward. Particularly heartening is that this plan calls for creating 3,000 new jobs over the next THREE to FOUR YEARS. THAT sets a good baseline and gives the city a launch point. Perhaps in the second half of the decade, that jobs number can be bumped up - 5,000-6,000 - 10K even - over a similar time frame. 

I think one point that is somehow getting missed in our debate/discussion about RVA versus other cities/metros: it's not a matter of "comparing" us to them, our merits vs theirs, what makes us unique vs what these other cities have to offer. It's about the fact that RVA IS COMPETING WITH THESE OTHER CITIES FOR ECONOMIC DEVELOPMENT. It is an INDISPUTABLE FACT - whether or not we as Richmonders WANT to accept it or CHOOSE to believe it. It's a simple fact. And while economic development is not a zero-sum game -- there is plenty to go around such that everyone can get a "piece of the pie" so to speak, it is the MORE AGGRESSIVE CITIES/METROS that get the LION'S SHARE of the economic development and the associated benefits. I won't rehash points from yesterday; rather I'll only say that at least NOW, it appears that RVA is FINALLY doing something she hasn't done previously: actually stepping up to the plate with actual active planning that has cohesion and offers at least some prospects for success. This is good to see.

A couple of particulars:

The goals of the plan are:

• $3 billion in capital investments for economic development projects.

• 3,000 new jobs with annual salaries at or above $52,000.

The ball is now in City Counsel's court to get this approved.

From today's Richmond Times-Dispatch:

https://richmond.com/news/local/govt-and-politics/new-richmond-strategic-economic-plan-still-pending-city-council-approval-cost-240-000/article_ff2f0caf-c638-583c-ae53-4dfb343db18d.html

Edited June 16, 2022 by I miss RVA

[KJHburg]

Great win for Richmond with this huge Lego plant and good to have these blocks made here in USA for their largest market.

https://businessfacilities.com/2022/06/the-lego-group-picks-virginia-1b-manufacturing-plant/

[I miss RVA]

And here we go - THIS is what I'm talking about in terms of marketing. This kind of thing is EXACTLY what RVA needs! It makes GREAT use of the "RVA" moniker. This photo -- with the Lego-block-colored canoes -- is a PERFECT marketing vehicle. Mind you, it would be even MORE perfect with a more current picture of the skyline. But I digress. 

The powers that be in marketing the city need to jump on this and run with it. WHAT A GREAT photo! And the message is one of those kid-simple messages that drives home the point. Sometimes you need something simple, sweet, on-point as a spearhead in marketing a city, a metro, a region for business.

I LOVE THIS PICTURE!!

 

[wrldcoupe4]

This is relevant to recent conversations. We may have already touched on this here. 

https://www.grpva.com/blog/2022/04/29/economic-opportunity-pushes-greater-richmond-population-increase/

[I miss RVA]

2 minutes ago, wrldcoupe4 said:

This is relevant to recent conversations. We may have already touched on this here. 

https://www.grpva.com/blog/2022/04/29/economic-opportunity-pushes-greater-richmond-population-increase/

Maybe I should amend my critique from yesterday from "growing at a pace of a 16th of an inch at the time" to  "16th fastest growing metro area..."