Why Chicago vitality matters, even if you decide to leave.

I recently spent two weeks in Puerta Vallarta Mexico.  We’ve been going there for many years. That charming town has a lot of going for it; smooth roads are not one of them. My wife usually prefers to “get her steps in”, but even just a few Uber rides on the cobblestone streets can rattle loose any dental fillings you may have. Traffic lights are few and far between, and no matter how many new developments you see, there are always half-finished buildings everywhere.

It’s my first day back and I head to work.  As I pull out of our garage and head down toward Lakeshore Drive, the bright blue sky was jaw dropping.  Lake Michigan has a color that the Pacific Ocean could never have in Puerto Vallarta. The road is nicely paved, and the Gold Coast surrounds me with some of the best vintage architecture in the world. A tremendous sense of pride washes over me with appreciation for this amazing city.  I am compelled to pull over to capture this with a photo. Admittedly, it’s not sexy like most of the other images celebrating Chicago’s skyline, but at that moment, fresh off a plane from Mexico, the words “there truly is no place like home”, rang in my head.  I momentarily block the traffic for my photo opportunity. I can feel the driver behind me wants to honk, but he sees what I see and pauses in his frustration for the moment. He gets it.

You can’t have your Italian beef and eat it too………

Merriam-Webster defines this idiom as: to have or enjoy the good parts of something without having or dealing with the bad parts.  As I continue to have discussions with people who’ve decided to leave Chicago (because, you know, the grass is always greener), it’s clear they want to have their Italian beef and eat it too.  It may not be stated outright, but there’s a desire to stay close to the city but not live in it.  One client recently said, “I still go into Chicago for my client dinners at Swift and Sons, and we can’t wait to see the Rolling Stones at Soldiers Field.” They have chosen to be tourists and not residents of this commonwealth.  People complain about the city and use all sorts of hyperbole about what the city will eventually turn into. I’m sure we’ve all heard the comments, and I don’t need to elaborate on those here.

Reflecting on these comments, something occurred to me: whether it’s the suburbs, Indiana, Michigan or Wisconsin, real estate values for Chicago homeowners are inextricably linked to the vitality of Chicago.  What makes their homes valuable is the quick access to a world-class city.  Coastal areas with a history of being a 2nd home enclave aside, real estate values typically don’t increase as you get 1 ½ to 2 hours from this metro area. Proximity is value. What drives the 2nd home market or suburban market has a lot to do with just how fast you can get back to the city from Indiana or Southwest Michigan or your suburban home.   If catastrophe were about to unfold, you’d want to be further away, not 30–45 miles.  The median home price in various communities 40-60 miles outside of Chicago is on average $200,000.

We all have an interest in Chicago doing well.

Some of the Chicago’s wealthiest families and businesses have pledged over 61 million in a private initiative to raise 200 million to help combat crime.  Entrepreneurs continue to innovate and take risks here, developers throw up their signs; our brave public servants on the police and fire departments, and countless others do everything they can to move this city forward every day. Hard decisions must be made for the city; those decisions and initiatives are not the type that can go on a campaign sign. “I am slashing the budget! VOTE FOR ME”.  “ All shoplifters will be prosecuted.” VOTE FOR ME. No one wants to say what needs to be said. It won’t get you elected. False promises will. I remain hopeful that the electorate can unite around what is truly best for the city and understand that some sacrifices need to be made and that the current burn rate cannot be sustained nor taxed out of.  

I felt a bit justified regarding the article I wrote a few months ago, “Chicago, Now’s Not the Time for Quitters”. I’ll include a link below in case you didn’t catch that one.  It stirred up quite a bit of dialogue regarding the state of the city. In that newsletter, I made the case that Chicago was the platform that allowed many to create significant wealth. Many of those same people were now complaining about Chicago or leaving the city, rather than feeling an obligation to stay and use that business acumen and ingenuity to try to develop ideas and push initiatives to help some of the city’s problems. Entrepreneur, podcaster, author, and professor Scott Galloway was on a podcast recently chastising Jeff Bezos for exactly this.  Apparently, Bezos moved to Florida under the pretense of wanting to be close to his father, then promptly sold 2 billion in stock to avoid state taxes in Washington, where he built his wealth.

Figures are emerging and doing everything within their power to keep Chicago the shining beacon of business and culture, as did their predecessors for nearly 200 years. I love tourists of all kinds even those who have moved.  Chicago needs them. And while you’re enjoying that Italian beef, tip your hat to those who’ve dug in and made this all possible….

Why Chicago vitality matters, even if you decide to leave.