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The Role of Downtown

Based on regional employment trends and the long-term development of the University’s Creativity and Innovation District, Downtown Blacksburg should be positioned to provide more opportunity for knowledge-based economic activity through the further development of higher-density residential and commercial space to capture more new business activity. Not including the future job creation spurred by planned development of the University’s Creativity and Innovation District, projected regional employment growth alone will generate around 300,000 square feet of demand for conventional office space over the next 10 years. Blacksburg could be poised to capture this economic growth Downtown if it fosters the right mix of housing options, and the vibrant, walkable, and dynamic environments that attract workers in these growth sectors.

KEY METRICS

There are growing trends nationally of merging institutional innovation and entrepreneurial activity with vibrant mixed-use downtown areas. This type of downtown environment is best suited for fostering interaction, collaboration and a cross-pollination of people, ideas, and industries. Successful innovation districts break down physical boundaries between institutions and their surrounding communities so that they seamlessly blend and allow for more interaction between students, faculty, local businesses, local government, and advocacy organizations. The ultimate goal is to transition ideas and talent from the university into the local economy triggering job growth and long-term opportunities for graduates. Engaging in this type of innovation and entrepreneurship development strategy will be critical for the future of the Blacksburg regional economy since the startup rate—the number of new businesses created annually for every 100 businesses—was only 7.7 in 2014. That rate is lower than the national average (10.0) and the lowest it has ever been since the 1970s. In other words, Blacksburg has the talent, but there is a need to create the environment to spur more home-grown economic growth.

Start-up rate in Blacksburg MSA (2014), lower than both national average (10) and state average (9.5) 7.7 Of new job creation nationwide occurs through the creation of new businesses or the expansion of an existing in-state business 90%

Of jobs created annually since 2010 have been from start-up companies 1/3 300,000 sf Of net new office demand over next 10 years, Blacksburg MSA

Chapter 2 - Analysis: A Framework for Downtown Blacksburg

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