Established 1872 Reprinted from the issue of February 12, 2012 www.BankerandTradesman.com

T h e R e a l E s t a t e , B a n k i n g a n d C o m m e rc i a l W e e k l y f o r M a s s a c h u s e tt s

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GLOBAL ENTERPRISE Barcelona Success Yields Model For Boston Innovation District Brains In Spain Thrive In Entrepreneur Eco-System BY MICHAEL LAKE AND ROBERT BUCKLEY tiva. The first of its kind, Barcelona Activa Stretched over 115 blocks, SPECIAL TO BANKER & TRADESMAN uses government funds to invest in the local he Boston region has the opportunity to knowledge economy. It also helps entrepre- 22@Barcelona is an extensive leverage the development growth at Ken- neurs align their business goals with the eco- Tdall Square and Longwood Medical area nomic development strategies of the city. The economic redevelopment site while building the South Boston innovation agency houses 16 projects in its state-of-the-art district and, accordingly, shape the future of facilities, each of which aids in the mission of and innovation district that our region’s innovation economy. stimulating human capital, entrepreneurship today showcases new public The challenge lies in how to most effec- business, employment and technology. tively attract and retain talent in order to cre- facilities, homes, green space ate a thriving entrepreneurship ecosystem. Haifa Holds Promise To succeed, we need to look at successful In 2010, a Boston fact-finding delegation vis- and businesses. projects around the globe utilizing innovation- ited the innovation hub of Haifa, Israel. Haifa related practices. recognized a strong university presence in its to be far lower than the proposed $1,500 per Recently, 11 business, civic, and academic city and leveraged the scientific knowledge month to attract or retain the desired talent. leaders from Greater Boston traveled to Bar- and technology transfer opportunities to build There are interesting models around the celona and Madrid as part of the World Class its innovation economy. world, such as Amsterdam’s conversion of Cities Partnerships’ Inaugural Policy Exchange Like Barcelona, the public sector in Haifa shipping containers into modular housing Mission. The delegates explored Barcelona’s supports entrepreneurs. The Israeli govern- units. Imagine the opportunity for developers unique strengths, which have developed and ment created a venture capital fund to directly in the Seaport district able to make greater use fostered innovation in that city, with a focus assist entrepreneurs, and built the Hi Center, of underdeveloped land by temporarily supply- on talent attraction and retention. What they an extensive incubator space, to house these ing housing units consisting of stacked ship- found was a well-branded innovation district startups. Building an innovation-based econ- ping containers. Could this be our opportunity with government support for entrepreneurs. omy began with the construction of MATAM, a to create a living laboratory, experimenting business park that houses companies such as with innovative housing models in the Seaport New Jobs In Barcelona IBM, Microsoft and Google . District or other underdeveloped land in Cam- Over a decade ago, Barcelona planners Unlike Barcelona and Haifa, which have bridge, Somerville and other surrounding com- began to define the geography of innovation in strong public sector support, Boston’s inno- munities? their city. The historically industrial neighbor- vation-related development is being funded To further brand the district, Boston should hood of Poblenou had become obsolete. The by the private sector. Here, developers need host its own big event: an Innovation Expo abandoned factories that remained were trans- capital before they can build, and the demand that calls global attention to the district as an formed into 22@Barcelona. Similarly to Bos- needs to be real. entrepreneurship hub. Finally, because we are ton’s Innovation District, this was not accom- relying on private finance with limited demand plished without overcoming certain permitting Boston Branding driving development, we need to be careful not issues. Stretched over 115 blocks, 22@Barce- To create such a demand, Boston’s innova- to fill the district with only larger companies lona is an extensive economic redevelopment tion district must be branded and consistently that can afford to build. We need to reserve a site and innovation district that today show- marketed as a place-making space. It should be place for entrepreneurs to fill and fuel the in- cases new public facilities, homes, green space attractive to entrepreneurs. For most, attrac- novation ecosystem. n and businesses. There are currently 7,000 com- tive is synonymous with affordable. Like 22@ panies in 22@Barcelona with 130,000 new jobs Barcelona, on-site housing should be built side- Michael Lake is executive director of the World and 1,500 new housing units. by-side with incubator space in order to main- Class Cities Partnership at Northeastern This transformation would not have been tain an entrepreneurship ecosystem. Recent University. Attorney Robert Buckley is a possible had it not been for the support from efforts to create micro-units for housing should senior partner in real estate at the local development agency, Barcelona Ac- be applauded. However, the price point has Riemer & Braunstein, Boston.

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