The cultural community enlivens cities and gives them character, heart and soul. But that contribution is hampered when the very people who make culture happen are priced out of the city’s neighborhoods, if not out altogether. This is an urban crisis that threatens New York’s reputation as a global center for the arts. It also erodes the economic strength of a city that depends on the work of its artists, scientists, cultural workers and nonprofit organizations to attract visitors and tourists.
Some arts and cultural centers are taking steps to address the problem by buying property they can use for their purposes. One of the most successful initiatives is the Community Arts Stabilization Trust, or CAST, a San Francisco-based nonprofit that buys property for artists and rents it back to them at affordable rates. CAST has bought and re-leased four properties in the past eight years and has plans for another. Also read https://www.northwestrealestatesolutions.com/
Other arts and cultural centers are partnering with private developers to incorporate cultural space into their projects. This approach is less prone to displacement, and it offers an opportunity to build relationships between the community development world and those who invest capital in urban neighborhoods. In some cases, requests for proposal issued by the city include a requirement that proposals contain an arts component.
Still, buying and owning property is a big risk that requires deep pockets. Even with a partner, it’s often hard to raise the capital needed to cover the upfront costs of buying and renovating a building. And once the building is owned, there are ongoing costs of programming, staffing and maintenance.
The specter of gentrification also hangs over such investments, as has been the case with the recent protests in Boyle Heights in Los Angeles and Peckham in London. Some observers see a direct correlation between the growth of the arts and neighborhood change, even if studies show that the arts have minimal impact on overall development trends.
One of the best ways to overcome this concern is to have community development investors, such as foundations and philanthropists, commit funds to purchasing property for art and cultural centers. A new organization, the Cultural Space Agency, is working to bridge this gap in Seattle by connecting the city’s cultural community, the real estate world and local investors.
There’s a good business case for incorporating art into commercial and industrial spaces. The right artwork can make a room more inviting and energizing for clients, employees and visitors. And it can also help companies recruit and retain top talent by providing a work environment that’s more appealing than most. It’s a strategy that many tech firms are already embracing.