INNOVATION

egion
INNOVATION AND
THE DOWNTOWN
by Michael J. Freilinger Downtown Development Corporation of Peoria
The assets and resources we already have in place present an opportunity for the entire region.
READERS OF THIS ARTICLE MAY WON-
DER what the DDC has to do with innovation.
In other words, what does location have
to do with innovation? The answer is: a lot.
We are all familiar with Silicon Valley
and how it catalyzed a technology revolution
that has transformed our entire lives.
This revolution was in large part due to the
collaboration brought forth through the
concentration of entrepreneurs, IT professionals,
venture capitalists and visionaries
within a single geographic location. The
ability to collaborate in such a location afforded
them the benefits of a techno-centric
culture, where they were submerged in a sea
of ideas and possibilities. Information flowed
through all channels of daily activity—not
only at work, but in personal interactions
away from the office.
We still live in a world where people
take their kids to school, attend sporting
events and dinner parties, and go to the
grocery store. In these interactions, we share
information and build relationships. These
are the beginnings of such collaboration.
BY FOCUSING OUR EFFORTS ON FOLLOWING THE
BEST PRACTICES IN DEVELOPING AN INNOVATION
DISTRICT DOWNTOWN, WE CAN ACHIEVE A
RENAISSANCE FOR THE ENTIRE REGION.
WHAT IS AN INNOVATION
DISTRICT?
Innovation districts are geographically defined
areas large enough to allow for the colocation
of several businesses, but small enough
to ensure close proximity. A departure from
traditional economic development strategies
focused on infrastructure, they provide
a synergistic environment for entrepreneurs,
researchers, and product and software developers.
They are supported by incentive programs,
the availability of capital and collaborative
environments.
It may not surprise you that the downtowns of cities, once abandoned
for the suburbs, are the primary location of today’s new innovation
districts. Companies are returning to the downtowns of America
for the same reasons downtowns are becoming the new model for innovation
districts. In researching this article, I found a report by Bruce
Katz and Julie Wagner of the Brookings Institution entitled The Rise
of Innovation Districts: A New Geography of Innovation in America
(brookings.edu/about/programs/metro/innovation-districts), which I
recommend to all our civic and business leaders.
The report identifies the three innovation district models in existence
today. The first is the “anchor plus” model, commonly located in
the downtown or mid-town of our cities, with established companies
engaged in research and development. The second is the “re-imagined
urban areas” model, commonly located along waterfronts and in industrial
areas like our Warehouse District, which provide historic buildings
well suited for the new model of collaboration. The third model is the
“urbanized science park,” the previous model of suburban or exurban
areas, similar to Silicon Valley.
The report notes a shift from the third model to the first two,
largely due to the desire for closer proximity to other businesses, in areas
with a mixed-use residential component. This type of environment
provides easy access to and from work, high-speed internet access at
28 InterBusiness Issues -- January 2016