“Innovation Lives Here – Northern Virginia”

ATTENDEES AT THE NVAR VIRTUAL CONVENTION and Trade Show were treated to an informative panel on Thursday, September 24 discussing the Northern Virginia Economic Development Alliance and their efforts to bring business to the region.

The first of its kind in Northern Virginia, the Alliance was formed just over one year ago after several localities worked to bring Amazon’s east coast headquarters to Arlington, Va. After collaborating on the project, a few jurisdictions realized the benefits of a joint effort to transform economic development across the region.

"We count on Realtors® to take this NOVA message and help us bring people here. Certainly people move because of jobs, but people also move because of housing stock and quality of life. Nobody tells that story better than Realtors®." - Stephanie Landrum

Nine localities comprise the Alliance – The City of Alexandria, Arlington County, The Town of Falls Church, Fairfax City, Fairfax County, Fauquier County, Loudoun County, City of Manassas and Manassas Park.

According to the panel, working together builds on the strengths of each locality and offers companies connections to 2 million people and 1 million workers. Economic development is increasingly competitive, and Northern Virginia has significant advantages over many areas.

“A win for the region is a win for all of us,” said Stephanie Landrum, president and CEO of the Alexandria Economic Development Partnership.

Economic development not only brings businesses to the region but also creates a domino effect on home sales. Most people don’t live where they work, so surrounding jurisdictions see additional real estate sales even if the company does not locate there directly.

According to Victor Hoskins, president and CEO of the Fairfax County Economic Development Authority, “Companies don’t see borders; they see problem solving. If we can solve their problems, they will come.”

“Relationships and timing matter,” added Buddy Rizer, executive director of the Loudoun County Department of Economic Development. “It’s getting the right people in place who see how partnerships come together.”

David Howell, panel moderator and executive vice president and CIO for McEnearney Associates, noted that Realtors® are in the relationship business and, in the same vein as the Alliance, depend on cooperation. No one comes to the table with everything, he said.

In creating the pitch for Amazon, the economic development agencies considered unique characteristics that make Northern Virginia different.

Innovation stood out – eventually becoming the brand used in marketing: “Innovation Lives Here.” The region is home to the federal government, major universities, politics, international airports, inner cities, open space, a highly educated workforce and a huge number of tech degrees. The Alliance can take advantage of collective strengths in a way that each jurisdiction could never do alone.

Asked about the effect of COVID-19, the panel agreed that with so much existing momentum in place, the development pipeline hasn’t been slowed by the virus. Perhaps there will be a dip in 12 to 18 months, Hoskins speculated, but the impact is yet to be seen.

“The development of real estate happens over long term,” Landrum said. “What we’re seeing is no wavering at all to build new commercial space, residential space. That mid- to long- term outlook is really strong, so that’s what makes us excited about getting out of bed.”

Landrum explained that we don’t know what the demand for office space will be as people reconsider their needs. The panel agreed there is opportunity to convert office buildings to residential, and these projects have been breaking sales records. Retail, and especially malls, provide good sites for redevelopment. Many are also being considered as “last mile” delivery hubs.

The future requires a re-envisioning of how to use retail, office and other commercial assets in a different way, Rizer noted. “Data centers are on steroids in Loudoun and Prince William,” said Rizer, adding that they bring great revenue and growth to those and the surrounding counties. He explained that with Metro expansion, Fairfax and Loudoun will beable to build a product for the future. Hoskins noted that construction has not slowed down as counties have continued with virtual permitting.

According to Landrum, Amazon is also performing well in spite of the pandemic – with even more significant growth, employees hired and investments in real estate.

Landrum closed the program by emphasizing the importance of Northern Virginia Realtors® to the overall success of the region.

“Realtors® are maybe our best ambassadors,” she said. “We count on Realtors® to take this NOVA message and help us bring people here. Certainly people move because of jobs, but people also move because of housing stock and quality of life. Nobody tells that story better than Realtors®.”

 

Mary Beth Coya is the NVAR senior vice president for public & government affairs.