Cities You Don't Want to Live In ... Yet
by Cindy Perman
Wednesday, March 23, 2011
Piling on is an age-old tradition. People get a whiff of negative air and, like a pack of wolves, turn against it.
That has happened to a lot of cities, many of which were struggling to reinvent themselves from industrial towns. The recession didn't help and now that the recovery has gained momentum in the broader economy, many towns are having to work twice as hard to jumpstart growth.
City-data.com came up with a list of cities that, by the numbers, are some of the most beaten-up, undesirable cities in America. But instead of focusing on the numbers, we asked Bert Sperling, whose specialty is "Best Places" to tell us what's good about each of these cities -- what's improving and what each has to offer.
Several of the cities are older cities, where you'll find "a tremendous amount of infrastructure ... public theaters and concert halls ... that you won't find in newer cities," Sperling said.
And true to the cyclical nature of life, opportunists are already starting to move in to some of these places; new seeds of life are being planted.
"A lot of these places are attracting young people, who have a dream but not a lot of money," Sperling said. In these cities, "They can buy a foreclosed home for not a lot of money -- it's like homesteading in the Old West!"
Here are 10 cities you probably don't want to live in -- yet -- and what each has to offer.
Detroit
The Bad: Detroit has been ravaged by the auto-industry crisis, with unemployment still above 10 percent and home prices continuing to fall.
The Good: The silver lining of it all is that depressed real estate prices and an eager work force has made Detroit attractive to businesses -- even compared to emerging markets. Not only is the mayor out hustling to attract business but one CEO is looking to make the city a high-tech corridor like Silicon Valley with the tagline "Outsource jobs to Detroit. "
The Recovery: "Urban pioneers are taking advantage of its low costs to launch their dream," Bert Sperling of BestPlaces.net said of Detroit. "Like many older cities, Detroit has great 'bones' that will be a springboard for its recovery."
Flint, Mich.
The Bad: Flint, the birthplace of General Motors, has suffered high unemployment (the current rate is nearly 12 percent), economic devastation and one of the highest crime rates in the U.S. as a result of the auto industry moving a lot of production out of the city in the past few decades.
The Good: What makes Flint attractive to business is that it has a highly skilled, hard-working labor force and real estate prices are still falling, which means they can buy office and factory space on the cheap.
The Recovery: "This city is 'right-sizing' itself to find its way in today's new economic world," Sperling said. "There are amazing real-estate bargains available to those willing to take a risk." In fact, GM is making engines for its electric Volt vehicles at a plant in Flint.
St. Louis
The Bad: St. Louis made the list for a variety of reasons: Unemployment remains near 10 percent, it has one of the highest crime rates in the nation and it is prone to natural disasters.
The Good: St. Louis was named one of America's "Most Livable" communities by Partners for Livable Communities. It's highly walkable, with a lot of cultural institutions and is one of the best sports cities in the U.S. with the St. Louis Cardinals (baseball), St. Louis Rams (football) and St. Louis Blues (hockey). "It's a civilized Midwest oasis," Sperling said.
The Recovery: The city has taken revitalization seriously, offering businesses and developers tax credits for moving in downtown. And in 2006, it received the World Leadership Award for urban renewal.
Cleveland
The Bad: Cleveland has an unemployment rate of 8.5 percent and home prices have fallen nearly 20 percent from their peak a few years ago. It also has one of the highest crime rates in the U.S. and low amounts of sunshine.
The Good: Cleveland has a lot to offer: Great colleges, medical schools and health resources, superb arts and cultural institutions and a full slate of sports teams, Sperling said.
The Recovery: Cleveland is experiencing one of the strongest recoveries in the U.S., according to a report late last year from the Brookings Institution and the London School of Economics. The basis of the report was annual growth in employment and per-capita income. In fact, Ohio overall has one of the fastest-growing economies of all the states, according to the Federal Reserve.
Birmingham, Ala.
The Bad: Birmingham is a classic case of a city fighting to reinvent itself amid deindustrialization after once being a powerhouse in iron and steel. Its unemployment rate is at 8.4 percent, it has one of the highest crime rates in the U.S. and it's prone to tornadoes.
The Good: Birmingham has been named as one of America's best places to work as salaries are competitive and living expenses are low. In fact, the city sales tax is just 4 percent. Plus, it has good schools, several universities and a lot of cultural institutions. And Sperling notes there are a lot of "nice older suburban neighborhoods surrounding the city."
The Recovery: "The city is experiencing a major economic turnaround, transitioning from steel to 21st century manufacturing, research, medicine, finance and technology," Sperling said. More than $1 billion has been spent revitalizing downtown.
Jackson, Miss.
The Bad: Jackson has poor public-transit options, low education-adjusted wages, a high crime rate and an above-average chance of tornadoes, according to city-data.com.
The Good: Jackson ranks high on affordability, real estate prices remain low and unemployment isn't too bad, with a rate of 7.6 percent. Sperling also notes that it's got good health-care options and a great arts scene. Famous for its Gospel, Blues and R&B, the city's tagline is "City with Soul."
The Recovery: The city has struggled through the recession but signs of improvement are budding: Job growth and consumer spending are on the rise.
Little Rock, Ark.
The Bad: Little Rock ranks low on arts, dining and entertainment options, high on crime, low on public transit options and high on risk for tornadoes, according to city-data.com.
The Good: Little Rock has a diverse, stable economy, Sperling notes, with finance, shipping and manufacturing companies. The unemployment rate isn't too bad at 6.9 percent. It also has a large state university with a medical school and teaching hospital, he noted. Plus, it's one of those older cities with great bones -- a downtown core of well-preserved historic buildings, Sperling said.
The Recovery: Both government and business dollars have been pumped into the city in recent years. The city has been recognized as one of the fastest-growing cities and one of the best cities for business.
Stockton, Calif.
The Bad: Stockton is one of those hard-hit California cities that has yet to show signs of stabilizing or recovery. Unemployment remains high at 18 percent, and it's one of the worst cities for foreclosures, according to RealtyTrac, with 1 in 14 homeowners facing foreclosure. Its struggles have resulted in high crime and obesity rates.
The Good: "Declining housing prices mean new affordability, which is difficult to find on the West coast and California especially," Sperling said. Plus, it's got a mild Mediterranean climate and "the surrounding area is becoming know for its wineries and vineyards," he said.
The Recovery: With low real-estate prices, nice climate and its proximity to San Francisco and Sacramento, Stockton is an attractive option for business. It's becoming a hub for the renewable-energy industry -- a good position to be in, given rising oil prices and increased demand for alternative energy.
Dayton, Ohio
The Bad: Dayton has suffered severe job losses since the auto industry crisis and the unemployment rate here remains near 10 percent. It also has a high crime rate and high obesity rate.
The Good: Dayton has a diverse economy, two big universities, a military base and classic older neighborhoods, according to Sperling, which make it attractive for business. Many big corporations have headquarters here. Plus, the state never participated in the real-estate bubble, which will help accelerate the economic recovery here when job growth, consumer confidence -- and spending -- resume.
The Recovery: Job growth is expected to remain stagnant for at least the first half of 2011 but there is hope that the city will bounce back. "Dayton's industrial heritage is transitioning to today's new technologies," Sperling said. Plus, health care is a huge part of its economy and health care is expected to be one of the fastest-growing industries of the next decade, given the aging Boomer population.
Memphis, Tenn.
The Bad: Memphis made it to the list for its high crime rate and high obesity and diabetes rates, according to city-data.com. Plus, its unemployment rate is 9.4 percent.
The Good: Memphis is rich with culture, famous for blues, gospel and country music -- Johnny Cash, Elvis Presley, Isaac Hayes and B.B. King all got their starts here. "Memphis has a great sense of place -- it's interesting and colorful with unique cultural assets," Sperling said. It's also home to more than a dozen universities, two of the largest private hospitals in the country, and its central location for the south and Midwest makes it attractive for business. It's home to three Fortune 500 companies, including FedEx.
The Recovery: Memphis is an interesting example of a targeted recovery: There is a push here to focus on growth in existing parts of the economy -- medical and biosciences. And, in an encouraging sign for the U.S. economy as well as the economy of Memphis, FedEx reported its average daily volume of box shipments rose 2.4 percent in the quarter ended Feb. 28.
by Cindy Perman
Wednesday, March 23, 2011
Piling on is an age-old tradition. People get a whiff of negative air and, like a pack of wolves, turn against it.
That has happened to a lot of cities, many of which were struggling to reinvent themselves from industrial towns. The recession didn't help and now that the recovery has gained momentum in the broader economy, many towns are having to work twice as hard to jumpstart growth.
City-data.com came up with a list of cities that, by the numbers, are some of the most beaten-up, undesirable cities in America. But instead of focusing on the numbers, we asked Bert Sperling, whose specialty is "Best Places" to tell us what's good about each of these cities -- what's improving and what each has to offer.
Several of the cities are older cities, where you'll find "a tremendous amount of infrastructure ... public theaters and concert halls ... that you won't find in newer cities," Sperling said.
And true to the cyclical nature of life, opportunists are already starting to move in to some of these places; new seeds of life are being planted.
"A lot of these places are attracting young people, who have a dream but not a lot of money," Sperling said. In these cities, "They can buy a foreclosed home for not a lot of money -- it's like homesteading in the Old West!"
Here are 10 cities you probably don't want to live in -- yet -- and what each has to offer.
Detroit
The Bad: Detroit has been ravaged by the auto-industry crisis, with unemployment still above 10 percent and home prices continuing to fall.
The Good: The silver lining of it all is that depressed real estate prices and an eager work force has made Detroit attractive to businesses -- even compared to emerging markets. Not only is the mayor out hustling to attract business but one CEO is looking to make the city a high-tech corridor like Silicon Valley with the tagline "Outsource jobs to Detroit. "
The Recovery: "Urban pioneers are taking advantage of its low costs to launch their dream," Bert Sperling of BestPlaces.net said of Detroit. "Like many older cities, Detroit has great 'bones' that will be a springboard for its recovery."
Flint, Mich.
The Bad: Flint, the birthplace of General Motors, has suffered high unemployment (the current rate is nearly 12 percent), economic devastation and one of the highest crime rates in the U.S. as a result of the auto industry moving a lot of production out of the city in the past few decades.
The Good: What makes Flint attractive to business is that it has a highly skilled, hard-working labor force and real estate prices are still falling, which means they can buy office and factory space on the cheap.
The Recovery: "This city is 'right-sizing' itself to find its way in today's new economic world," Sperling said. "There are amazing real-estate bargains available to those willing to take a risk." In fact, GM is making engines for its electric Volt vehicles at a plant in Flint.
St. Louis
The Bad: St. Louis made the list for a variety of reasons: Unemployment remains near 10 percent, it has one of the highest crime rates in the nation and it is prone to natural disasters.
The Good: St. Louis was named one of America's "Most Livable" communities by Partners for Livable Communities. It's highly walkable, with a lot of cultural institutions and is one of the best sports cities in the U.S. with the St. Louis Cardinals (baseball), St. Louis Rams (football) and St. Louis Blues (hockey). "It's a civilized Midwest oasis," Sperling said.
The Recovery: The city has taken revitalization seriously, offering businesses and developers tax credits for moving in downtown. And in 2006, it received the World Leadership Award for urban renewal.
Cleveland
The Bad: Cleveland has an unemployment rate of 8.5 percent and home prices have fallen nearly 20 percent from their peak a few years ago. It also has one of the highest crime rates in the U.S. and low amounts of sunshine.
The Good: Cleveland has a lot to offer: Great colleges, medical schools and health resources, superb arts and cultural institutions and a full slate of sports teams, Sperling said.
The Recovery: Cleveland is experiencing one of the strongest recoveries in the U.S., according to a report late last year from the Brookings Institution and the London School of Economics. The basis of the report was annual growth in employment and per-capita income. In fact, Ohio overall has one of the fastest-growing economies of all the states, according to the Federal Reserve.
Birmingham, Ala.
The Bad: Birmingham is a classic case of a city fighting to reinvent itself amid deindustrialization after once being a powerhouse in iron and steel. Its unemployment rate is at 8.4 percent, it has one of the highest crime rates in the U.S. and it's prone to tornadoes.
The Good: Birmingham has been named as one of America's best places to work as salaries are competitive and living expenses are low. In fact, the city sales tax is just 4 percent. Plus, it has good schools, several universities and a lot of cultural institutions. And Sperling notes there are a lot of "nice older suburban neighborhoods surrounding the city."
The Recovery: "The city is experiencing a major economic turnaround, transitioning from steel to 21st century manufacturing, research, medicine, finance and technology," Sperling said. More than $1 billion has been spent revitalizing downtown.
Jackson, Miss.
The Bad: Jackson has poor public-transit options, low education-adjusted wages, a high crime rate and an above-average chance of tornadoes, according to city-data.com.
The Good: Jackson ranks high on affordability, real estate prices remain low and unemployment isn't too bad, with a rate of 7.6 percent. Sperling also notes that it's got good health-care options and a great arts scene. Famous for its Gospel, Blues and R&B, the city's tagline is "City with Soul."
The Recovery: The city has struggled through the recession but signs of improvement are budding: Job growth and consumer spending are on the rise.
Little Rock, Ark.
The Bad: Little Rock ranks low on arts, dining and entertainment options, high on crime, low on public transit options and high on risk for tornadoes, according to city-data.com.
The Good: Little Rock has a diverse, stable economy, Sperling notes, with finance, shipping and manufacturing companies. The unemployment rate isn't too bad at 6.9 percent. It also has a large state university with a medical school and teaching hospital, he noted. Plus, it's one of those older cities with great bones -- a downtown core of well-preserved historic buildings, Sperling said.
The Recovery: Both government and business dollars have been pumped into the city in recent years. The city has been recognized as one of the fastest-growing cities and one of the best cities for business.
Stockton, Calif.
The Bad: Stockton is one of those hard-hit California cities that has yet to show signs of stabilizing or recovery. Unemployment remains high at 18 percent, and it's one of the worst cities for foreclosures, according to RealtyTrac, with 1 in 14 homeowners facing foreclosure. Its struggles have resulted in high crime and obesity rates.
The Good: "Declining housing prices mean new affordability, which is difficult to find on the West coast and California especially," Sperling said. Plus, it's got a mild Mediterranean climate and "the surrounding area is becoming know for its wineries and vineyards," he said.
The Recovery: With low real-estate prices, nice climate and its proximity to San Francisco and Sacramento, Stockton is an attractive option for business. It's becoming a hub for the renewable-energy industry -- a good position to be in, given rising oil prices and increased demand for alternative energy.
Dayton, Ohio
The Bad: Dayton has suffered severe job losses since the auto industry crisis and the unemployment rate here remains near 10 percent. It also has a high crime rate and high obesity rate.
The Good: Dayton has a diverse economy, two big universities, a military base and classic older neighborhoods, according to Sperling, which make it attractive for business. Many big corporations have headquarters here. Plus, the state never participated in the real-estate bubble, which will help accelerate the economic recovery here when job growth, consumer confidence -- and spending -- resume.
The Recovery: Job growth is expected to remain stagnant for at least the first half of 2011 but there is hope that the city will bounce back. "Dayton's industrial heritage is transitioning to today's new technologies," Sperling said. Plus, health care is a huge part of its economy and health care is expected to be one of the fastest-growing industries of the next decade, given the aging Boomer population.
Memphis, Tenn.
The Bad: Memphis made it to the list for its high crime rate and high obesity and diabetes rates, according to city-data.com. Plus, its unemployment rate is 9.4 percent.
The Good: Memphis is rich with culture, famous for blues, gospel and country music -- Johnny Cash, Elvis Presley, Isaac Hayes and B.B. King all got their starts here. "Memphis has a great sense of place -- it's interesting and colorful with unique cultural assets," Sperling said. It's also home to more than a dozen universities, two of the largest private hospitals in the country, and its central location for the south and Midwest makes it attractive for business. It's home to three Fortune 500 companies, including FedEx.
The Recovery: Memphis is an interesting example of a targeted recovery: There is a push here to focus on growth in existing parts of the economy -- medical and biosciences. And, in an encouraging sign for the U.S. economy as well as the economy of Memphis, FedEx reported its average daily volume of box shipments rose 2.4 percent in the quarter ended Feb. 28.
