urbanSTL

To back up Arch Genesis’ posting:

http://www.stltoday.com/blogzone/busine ... it-monday/



Focus: This is by far the most important thing going on right now for the future of Saint Louis.



When looking at the historical development of the US’ major cities (as well as many non-US cities), you see that the geography selected is based primarily on the ability to physically import and export goods, whether raw materials or finished products. StL, for example, grew because of the centrally-located rivers, as Chicago became a major hub for maritime freight to the Midwest & beyond because of Lake Michigan, and how San Francisco became a major shipping center because of the Bay. As well, while some of these transactions were for global business, most of it was simply interstate commerce.



With the advent of air freight shipment, location by proximity overrides natural geography, looking at how Memphis became the center of air freight for FedEx, and Louisville for UPS. The ability to turn ordinary land into a “port”, however, has yet to be fully explored by either Memphis or Louisville, as they are mostly hubs for later flights, and within a single enterprise model. There is no precedent for a country-specific aerial shipment center of this scale and importance. Especially so, the business model here is not for interstate commerce, but fully multinational.



By creating a hub for this air travel, we will essentially be making Saint Louis a literal Air Port for China. The role of StL in the US’ broader economy could enormously increase in importance as the markets are opened further as we become a center for Chinese economics. With that can come new businesses into the metro area, both domestic and international, with new construction & new jobs, new residences paying taxes, increased Federal investment into this port city (especially for transportation infrastructure), and increased investment into Downtown construction with the influx of professional companies (and increased capacity needs of those already here). And in IL, I-255 could be fully ringed with shipping centers. Mostly, we would revitalize our City’s prominence on the international business community.



The revenue streams from this would be ridiculously huge.



Just like how the rivers make StL a major hub for barge networks, leading to increased investments in rail transportation, a major hub for aerial imports would strongly increase the value and strengths of the area’s existing transportation infrastructure. Also, with President Obama in office, Sen. McCaskill (an original Obama supporter) could really source some major Fed monies in for this development. And I don’t give a single care for IL seeking the same thing; they’re just trying to ride MO’s coattails for the tax revenue streams, which they aren’t going to get.



The broader economy may be in the crapper, and BPV et.al. disappointing, but this should make us all excited.



Mods: Should this thread be renamed to some variant of “The Big Idea”? With full respect, we’re beyond just Paul McKee.

^Yes, I do believe this will happen. It’s a great idea, addressing a mutually beneficial partnership and proactively advancing the Chinese need for increased market penetration, exposure, and centralization while utilizing the resources the Saint Louis region has. That we sought them out (when no one else even realized the opportunity), showed how we can so well fulfill a developing need; to have done so with the supportive efforts of leadership solidarity and the encouragement of the business community, I don’t see another City or Metro Area taking our thunder, not this late into the game.



Or, even if Chicago came to them tomorrow with the same deal, even one a little sweeter, StL would still be the favorite. After all, when a pretty girl invites you to the dance, you will be dancing with her that night, even as her friends ask you to dance once you’re already there. Loyalty and Reputation are very strong in Chinese culture, and it would reflect if some other offer were to arise.



This is not a done deal, of course. Everything from a further decline in the creditworthiness of the US Dollar, to an aggressive campaign with Taiwan, to continued instabilities in the Chinese countryside could stall or kill this deal, as well as so many hundred other unknown factors that could arise. Nothing is guaranteed until the first plane lands and successfully conducts its business. However, all things remaining equal, the chances of this reaching fruition are very, very strong.



And of course, this goes under the radar. It is intangible. It is very long in time horizon to reap all the benefits. And, it is so fundamentally different a concept, turning our area into a dedicated international shipping hub for the world’s two largest economies, that it is hard to grasp. While I have ideas, I can’t fully see it implemented because of its sheer scale. While you can see renderings of BPV, and the grassy blocks next to the stadium, as a gauge of how that deal is going, the fundamental impacts of such an event as “The Big Idea” are so profound, and original, that it is hard to grasp without a tactile reference.



As for total impact, I can’t really compare to another city, saying we’d potentially grow as large as Dallas or economically develop in the manner of Charlotte. What I do see, though, is a major and fundamental shift in the very way the United States conducts business with China, and with Saint Louis as the hub for this business. Think about how much gets shipped into Long Beach from China on board freighters; while I don’t see that much quantity arriving via air, I do see the quality of goods shipped that necessitate air delivery to be incredibly dynamic.



What could Saint Louis expect from such a partnership? (with a little dreaming involved)

- Increased total business conducted, both domestic and multinational, on an exponential basis

- Increased tax revenues, especially to StL City and StL County

- Inside I-255 being filled with increased investment in warehousing & logistics

- New companies establishing business in StL, including logistics, manufacturing, and professional services, resulting in thousands of new jobs, perhaps the high tens of thousands

- New residents throughout the Metro Area

- Chinese nationals moving throughout the area, from Collinsville to Wentzville, and especially in Mid-County; the Chinatown along Olive would go huge

- Total increased business & residential interest in the area drastically improves the business communities in Downtown StL, especially as the airport is city controlled and related companies seek a presence in the area (what if the Chinese government wants to set up an economic development center in StL; what would that building be like?)

- The quality of city schools will jump from all the revenues earned on a per-landing basis and from gross increased taxation

- Increased Federal investment into transportation infrastructure needs of the Saint Louis Metro Area, including air, roads, rail, and maritime; no problems getting more Fed money for the bridges

- Saint Louis becomes reestablished as a new frontier economic center, with the Wild West supplanted with the Far East



End result: Billions on billions of dollars in additional revenues on an annual basis. Who knows, maybe tens of billions. It really is too big to call.