Macon Magazine

8 | MACON MAGAZINE DECEMBER/JANUARY 2015 NewTown begins a hands-on school for downtown developers Editorial by Josh Rogers S ince downtown's original anchor tenants moved out a generation ago, upper-$oor vacancy has vexed a generation of urban planners, philanthropists and citizens. Today, we know that lo% denizens hold almost unlimited potential to bring life, vitality and occupancy back to Macon's downtown architectural treasures. Over the past two years, downtown developers have converted more than 125,000 square feet of previously vacant space into hip housing, creating one of Georgia's most walkable neighborhoods. And downtown housing stood 97 percent occupied at the end of October. Yet the insatiable demand for lo%s has become a challenge as much as an opportunity, sending prices through the roof because of the supply shortage. A just-completed market study shows demand is actually increasing, up to 250 new units per year, while we will only deliver approximately 100 units in 2014. Surging prices and near-certain occupancy are attracting out-of-town investment, but we know there are local investors who can capitalize on downtown's opportunity. NewTown's board of directors took bold action at their November meeting to address both the challenges of increasing the pace of lo% development and engaging as many local developers and investors in the process as possible. In response to the board's instruction, we are launching a NewTown Developer's Academy in December to teach basic skills in real estate development, historic rehabilitation and using tax credits. In addition to launching this academy, the board instructed sta" to rehabilitate a historic building as a teaching tool for this class. To ful!ll that charge, we have purchased 555 Poplar St., a vacant 15,000-square-foot building in the middle of the central business district. We are in the initial stages of preparing to convert this building to 10 lo%s and two live/work storefronts at a cost of nearly $2 million. Over a six-month period, students will gain "hands-on" experience, at NewTown's expense and risk, providing a unique learning program unavailable in any other real estate-training course in the country. Graduates of the academy will be ready to invest in development, tax credits or even purchase and rehabilitate their own properties. All of us involved in downtown have a real and palpable sense of urgency when it comes to our opportunities. For nearly 20 years, institutions, corporations and foundations have invested the time and resources into NewTown Macon to get us to where we are now, the point where the market truly is moving again. Of the 154 lo%s constructed since 2012, NewTown Macon has !nanced more 70 percent through our lo% loan fund (newtownmacon.com/loans). #is program exempli!es NewTown's model of public/private partnerships, where bond funds provide subordinated !nancing for lo% developers at no cost to the public, while the public still bene!ts from increased property and sales tax revenue. It is a formula for economic development that relieves the tax burden on all of us who live in Macon-Bibb. Now is the time to make the most of the opportunity to use lo%s and their residents to secure a future for downtown as the centerpiece of regional pride and commerce. Although we survive on donations, an even easier way to do your civic duty is to invest in downtown housing, where you can enjoy a competitive economic return (and maybe donate a portion of that return!) Although this !rst year is only a pilot program, we hope to repeat it next year with open application to the NewTown Developer's Academy. In the meantime, NewTown's sta" can provide individual coaching and assistance for anyone interested in investing in downtown. Josh Rogers is president and CEO of NewTown Macon. For more information go to NEWTOWNMACON.COM, call 478- 722-9909 or email REALESTATE@NEWTOWNMACON.COM.

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