Crucial Investments in Downtown + Disinvested Neighborhoods

CHALLENGES

·        According to SLDC’s Economic Justice Action Plan (available here), “homes in predominantly Black zip codes are worth less than one-quarter of those in predominantly white Zip codes.” The historical decisions that have exacerbated social inequalities in our City’s neighborhoods need a historic response to blaze the trail for equitable and inclusive development in the years to come. 

·        The City has approximately 24,000 vacant properties, most of which are concentrated in the north and southeast portions of the City.

·        While the central corridor has shown population growth, North St. Louis has shown a steep decline in population in the past 25 years.

·        Downtown generates 20% of the City’s general revenue, but receives only 5% of total citywide expenditures (fiscal impact study here).

·        The Rams’ departure and the pandemic disproportionately affected disinvested neighborhoods and Downtown. It makes sense to use Rams settlement funds to lead Downtown’s resurgence and that of disinvested neighborhoods.

·        Downtown needs serious investment in infrastructure. A well-maintained and modern Downtown is a safer Downtown. A safer Downtown is a more welcoming Downtown. A more welcoming Downtown means more residents, more workers, and more tax revenue to spend throughout the City.

·        Several high-impact, vacant buildings Downtown are now a drag on Downtown’s economy and need substantial support from the City if they are to be transformed into catalysts for growth.

OPPORTUNITY

Neighborhoods that have seen sustained disinvestment in our City have also seen considerable loss of population. Such neighborhoods need help from the City to drive a robust and resilient economy to achieve equitable and inclusive development in every neighborhood. At the same time, deferred maintenance, the impact of the pandemic, and the departure of the Rams have led to the neglect of the key engine of our regional economy: Downtown. It is vital that we invest significant resources to attract and retain businesses and residents Downtown.

PROPOSAL

Greater St. Louis, Inc. believes the best way to address St. Louis’s challenges and opportunities is to deploy a substantial portion of the Rams settlement funds to support work to rejuvenate and transform disinvested neighborhoods, at all times pursuing matching federal, state, and private donor dollars to maximize impact. Expenditures on Downtown infrastructure and redevelopment must be accompanied by even greater investments to support infrastructure and redevelopment in other City neighborhoods that have suffered the most disinvestment.

DOWNTOWN:

·        Infrastructure:

o   $10 million for repairing streets, sidewalks, lighting, and other infrastructure in priority corridors Downtown.

o   $10 million for maintaining existing streetscape improvements Downtown.

o   $18 million in streetscape improvements to help implement the Design Downtown Plan to modernize and make our Downtown attractive and up to the standards of our peer cities.

·        Riverfront:

o   $15 million to spur attractions that increase activity along the Mississippi Riverfront.

·        High-Impact, Catalytic Projects:

o   $18 million for the rehabilitation of decayed, high-visibility buildings with a goal of developing quality mixed-income housing.

o   $14 million for the rehabilitation of high-visibility buildings in order to eliminate or prevent blight or where existing conditions pose a serious, urgent threat to public safety.

·        Retail Activation:

o   $3 million to support new retail establishments along Downtown’s historic commercial streets.

·        Housing Initiative:

o   $10 million to be used to help support new construction or rehabilitation of quality-housing Downtown.

OTHER DISINVESTED NEIGHBORHOODS:

At least $130 million should be dedicated to supporting disinvested neighborhoods outside of Downtown. It makes sense that such investments focus on categories similar to those suggested above for Downtown:

o   Infrastructure.

o   High-impact, Catalytic Projects.

o   Retail Activation.

o   Improving housing stock.

Rather than impose a single, top-down idea from outside these neighborhoods, it is vital that the elected representatives of the City’s disinvested neighborhoods have the opportunity to develop a tailored investment strategy, taking into account recent ARPA appropriations, including $150 million in appropriations to North St. Louis, and other project funding, in order to drive the greatest results for the City’s residents.

St. Louis needs to focus on neighborhoods experiencing disinvestment—Downtown and throughout the City. We must recognize the connection between St. Louis’s commercial and employment centers and its neighborhoods, as well as how vital it is to forge a partnership between Downtown’s rejuvenation and growth and the rejuvenation and growth of our City’s most disinvested neighborhoods.