The Case for a Duty to the City
To strengthen our cities post-Covid, let’s adopt a new principle: If you possess property, you should not leave it empty.
A view looking south along Broadway in SoHo during the coronavirus pandemic in April 2020 in New York City. To avoid empty streets even after the pandemic, New York City could consider an approach that puts the onus on property owners not to leave their assets vacant.
Photographer: Alexi Rosenfeld/Getty Images North AmericaWhat will New York City’s real estate market look like in the New Normal? The pandemic has had a titanic impact on every kind of property, with businesses shuttering and wealthy residents fleeing to the suburbs. Some trends, such as the shift toward remote work, are expected to continue. Even for those companies that don’t give employees the option for full remote work, many are preparing for short, 2-3-day per week in-person options.
We believe that New York is at a crossroads. According to some estimates, a third of small businesses that shut down over the past year might not reopen. In a recent survey of 278 executives, McKinsey found that on average they planned to reduce office space by 30%. If this proves to be true, the consequences for New York — and other global cities, where most of the professional jobs with potential for remote work are concentrated — would be monumental and far beyond what we have seen in prior crises.