Is investing in the arts, as it relates to placemaking, profitable ? Try this quote, coming from a real estate development organization ( ULI ), "There is a growing body of evidence that thoughtful investment in arts and culture initiatives can generate significant economic benefits for cities large and small. Looking at data collected across numerous studies, along with the broad array of recent arts and culture plans and projects, one will likely conclude that the right strategy and implementation approach—whether initiated by the public sector or by private interests—can result in significant increases in property values, revenues, and jobs."
Americans for the Arts, a national nonprofit, obviously agrees with this. The facts from their "Arts and Economic Prosperity III" report may be more compelling: the nonprofit arts and culture industry generates $166.2 billion in economic activity annually, provides 5.7 million full-time jobs in the U.S. and generates nearly $30 billion in revenue for federal, state, and local governments every year where government spend less than $4 billion annually to support the arts (a 7:1 return ).
The ULI also provides the following examples:
Miami . An investment in the restoration of art deco hotels in South Beach lead to a tourism boom, and ultimately an art fair in 2002, Art Basel, now considered with its founding sister event in Switzerland as the most prestigious art fair in the world. In 2009, its 40,000 attendees generated almost half a billion in economic activity. That in turn spawned 15 to 20 satellite fairs that helped the revitalization of the light-industrial Wynwood District, now hosting over 90 galleries and numerous restaurants. Feeding into and out of this momentum, developer Craig Robins invested in several blocks of derelict buildings north of Wynwood and created a district of interior design studios, restaurants, retail and open spaces, now known as the prestigious Miami Design District, hosting Design Miami, today the most important design show in North America.
Boston . Here it's all about the housing. The Artist Space Initiative is a city housing program that legislates policies allowing artists to reside in industrial areas, Boston's Center for the Arts provides artists with affordable studios in the South End, catalyzing further vitality and investment.
New York City . The Ford Foundation provides a $100 million, ten-year grant to support arts spaces and housing because it believes it "can play a significant role in boosting local economies."