Lowell's

The Tombstone at CentrePointe

We last wrote about CentrePointe one year ago this week.  

In Tangled Webb, we wrote about the folly of the CentrePointe development, capping a series of posts chronicling our growing skepticism about the downtown Lexington project's financing and viability.

We then stopped writing about CentrePointe because there wasn't much left to say.

Four months later, Business Lexington reprinted Tangled Webb, prompting an aggressive and condescending response from CentrePointe's developer, in which he simultaneously attacked us, bloggers in general, and Business Lexington.  He asserted that we knew "little about commercial real estate development or the potential and viability of this project".  

Time would tell.

New v. old CentrePointe designs

A New CentrePointe?
Yesterday, finally admitting that his financial backing had failed and that his initial design wasn't viable, the developer submitted a smaller design for CentrePointe to the Courthouse Area Design Review Board (CADRB).

The new tombstone-shaped design (shown at right, superimposed over the older design) is 210 feet shorter than the one that the CADRB had previously approved.

The project still proposes a 237-room J.W. Marriott, along with office and retail space.  The upper tiers of the project would house 63 high-end condominiums (scaled back from the originally-proposed 91).

The developer asserts that "progress is being made" on "more conventional financing".

What is the CADRB?
Within Lexington's crazy-quilt of planning bodies and agencies, the CADRB is a five-person board commissioned by the Urban County Council to oversee a small portion of downtown called the Courthouse Area Design Overlay Zone.  The CentrePointe site falls within this irregularly-shaped zone.

In 2008, the CADRB approved the developer's demolition of several long-neglected-but-historic buildings on the site - including Morton's Row, which had some of Lexington's oldest commercial buildings.  In June 2008, the CADRB approved an initial design for CentrePointe, issuing an "authorization permit" good for one year.  The CADRB  then approved a modified design again in November 2008.  

On July 8th, 2009 the developers sought - and received - an early extension to their November 2008 authorization permit.   That third permit expires less than 30 days from today.

The Overlay Zone is intended to "encourage growth and redevelopment in the downtown area, while preserving and protecting the unique features and characteristics of the area."  As outlined in its bylaws, the CADRB has 5 mandates:

• promote those qualities in the environment which bring value to the community;
• foster the attractiveness and functional utility of the community as a place to live and work;
• preserve the character and quality of Lexington’s heritage by maintaining those areas which have special historic significance;
• protect investment in those areas;
• raise the level of community expectations for the quality of its environment.

Since initial approval, the CentrePointe site has been, by turns, a pit of rubble, a dust bowl, a pond, and, now, a horseless horse pasture with huge signs heralding how CentrePointe is "Coming Soon".

By issuing demolition and construction permits for the CentrePointe site, the CADRB failed on every one of its own mandates.  The development has failed to bring value to the community.  It has failed to deliver the promised 900 jobs.  It has failed to preserve the character and quality of Lexington's heritage.  The fantastical proposal never had the right scale or proportion for the Overlay Zone. Along every dimension, CentrePointe has been a collossal failure.

In light of that multidimensional failure, now is the time for the CADRB to take corrective action.

New design, same old problems
While scaled back in height, the new 'Pointe-less' design for CentrePointe is no less problematic than the old one.  It fails to address some of the project's deep, long-standing flaws. These include:

Financing: While the developer asserts that progress is being made on new funding, this is actually a step back from previous assertions that funding was already in hand.  On June 4th, 2009, the developer assured the Lexington Forum that he had two ready sources of funding if his dead mystery financier's estate didn't come through.  Yesterday's application for extension made it clear that those sources failed as well - if they ever existed at all.  

Capital flows to the most promising investments, even in a difficult economic environment.  The fact that the developer has yet to secure funding for CentrePointe speaks volumes about its quality as an investment.

Business Model: The developer has continually asserted that he has a ready list of tenants for the property.

But there are enough problems with his business model assumptions to call the viability of the entire project into question.

• Analysts hired by the developer assumed that the J.W. Marriott hotel could achieve higher occupancy rates - at start-up - than surrounding hotels even though the Marriott would charge 50% higher room rates.
• While the number of million-dollar condomimiums has now been scaled back to 63, that is still far too many for the Lexington market to absorb (when only 10 million-dollar properties sold in all of Lexington in 2008).  
• The one retail prospect that the developer has named as 'interested' in the project wasn't really that interested.

Vague Assurances & Broken Promises: The developer has offered many claims - but little substance - with regard to the project's viability.  He has repeatedly decommitted from previous promises.  When challenged, the developer usually responds by playing either victim or bully - and, sometimes, both at once.

It is time to openly challenge the developer's overreaching claims and blithe assurances.

Scale: CentrePointe's proposed tower has never had the appropriate scale for the historic character of the Overlay Zone.  The CADRB's approval of the initial designs and subsequent re-approvals were mistakes.

Now is their chance to undo those mistakes.

Accountability for CentrePointe
Before issuing a fourth permit, the CADRB needs to require the kinds of accountability for this iteration of CentrePointe that was missing in the project's earlier phases.  

They have a responsibility to ensure that our community does not end up with - in the words of former Councilmember Don Blevins Jr. - a "vertical Lexington Mall".

When the developer presents CentrePointe's new design to the CADRB on June 30th, the board should do the following:

Ask the tough questions.  Especially the ones which weren't answered the first time.

• Does the developer have financing in hand, or is he just 'working on it'?
• What, exactly, happened to CentrePointe's previously 'rock-solid' financing?
• Can the developer really build the design being considered?
• What is the business model for this property?  Will that model really work?
• Is this design really consistent with the unique character of our downtown?

Require documentation.  Don't accept the developer's word at face value.  His proven inability to deliver on previous promises mean that he should be required to document the stability of his financing and his business model before any design is approved.  

Rethink prior approvals. As mentioned above, the CADRB made a mistake by approving the old design of CentrePointe.  Don't just rubber-stamp the new 'tombstone' design.  Make sure it works with the surrounding community.

The Overlay Zone exists for a reason.  On June 30th, The CADRB should fulfill their duty to ensure responsible economic development within the Zone which preserves the unique character of our downtown.

The old design of CentrePointe didn't do that.

The new one still doesn't.

The CADRB should reject the application for extension.

It is time to put a stop to the empty promises.  It is time to stop enabling this kind of overreaching incompetence.  It is time to end the delusional fantasy of CentrePointe.

We're baaack!

After a much-too-long hiatus from participating in the online world, we're going to fire up the keyboard again.  Sorry to have been away for so long.

Look for more from us soon here on the blog, on Twitter, and on Facebook!

To-Do List for Lexington: Postscript

(Part of the To-Do List for Lexington series.  Click here for an overview and links to the rest of the series.)

Every night we go through the same routine.

After he takes his bath and gets his pajamas on, we go to his room.  I sit in the recliner, and he clambers up into my lap.  We pull a book from the shelf - the books are getting longer now - and I add a bit of vocal drama as I read to him.  

His little brain absorbs everything - pictures, sounds, words.  He asks lots of questions now, too.  We finish the book, and place it back on the shelf.

I pick him up, and we say good night to mementos from his young life, scattered about the room.  It started with 2 or 3 items after finishing Goodnight Moon, but has steadily grown to a list of 13 things: a stuffed polar bear and penguin from his great-grandmother, a huge stuffed giraffe, and an array of other objects from around the room.

I take him down the hall to say a final good night to Mommy, and we go back to his room.  I sit back in the recliner as he turns out the light, and we find each other in the darkness.  I pull him up into my lap, and give him a little water to drink.  I tell him "that's enough", and place the cup back on the shelf. 

I pull him up onto my chest, and he places his head on my shoulder.  After a few seconds of silence, I tell him I love him in Spanish: "Te amo, Carson" and he responds "te amo, Daddy"*.  He's starting to get tired now, and his words are slurring slightly.  I then quote from one of my favorite baby books, and he matches my cadence shortly after I start: "I love you through and through - yesterday, today, and tomorrow, too."  Then, "I love you, Carson" followed by a barely audible "I love you, Daddy".

I hold him tight.  In the darkness, silent except for our slow breathing, I feel the twinge of nostalgia for this moment.  He turns 3 this week.  He's growing so fast, and it won't be too long before he needs to be independent from hugs and kisses from his dad.  It won't be long before we won't experience this kind of closeness.

My mind wanders a bit as I ponder our future, his future.  I am holding so much potential in my arms.  What kind of world will he inherit?

I get up from the recliner and place him in his bed.  I tuck him in with three more stuffed animals, and kiss his forehead.  He stirs a bit to get comfortable, and I leave his room. "Good night Carson.  I love you.  See you in the morning."

::

I often get asked why I speak out so much on this blog - especially during this To-Do List for Lexington series.  Behind the questions are a variety of thoughts about my motives:

• Some folks think that I must have an enormous ego, and that I believe that I have all of the answers.
• Others think that I must be preparing to run for elected office, and these posts are part of some sort of political platform.
• Some people - including members of my family - think I'm just crazy.

They're all wrong.

I may or may not have a huge ego, but I don't assume I have all of the answers.  I am perfectly willing to engage in democratic debate on these ideas.

I don't have the time or patience to devote to political office.  I've seen the demands on elected representatives, and the kinds of people they deal with day-to-day.  This isn't a political platform.  (Not for me, anyway.)

And, I'm not crazy.  Well... at least as far as my motives behind my writing.

The underlying assumption most folks have is that there is huge risk to speaking out, especially when addressing powerful interests in our city.  I could scare away customers.  The powerful could make life more difficult for me or for my family or for my employees.

And those risks may or may not be real.

But there is an even greater, very real risk in not speaking out, in being quiet.

There is the risk that we pursue the wrong kinds of economic development.  There is the risk of wasteful spending in the face of economic crisis.  There is the risk of choking off our city's downtown.  There is the risk of further stagnation in the local economy. 

There is the risk that Lexington loses what makes it a special place to live and work - that Lexington becomes less than it should be.

I find that those risks to our future far outweigh the risks of speaking out.  I would be 'crazy' to remain silent.

::

I want Lexington to be special.  I want it to be a vibrant, exciting, growing kind of place that my son can stay in and prosper.  I want Lexington to be better.  And I hope that you do, too.

That is why I speak out.  That is why I hope you will join me.  Let's craft a better future for our city.  For ourselves.  For our children.

I love you, Carson.

* I know that "te amo" is usually reserved for romantic love, and that "te quiero" is probably more appropriate, but this habit was ingrained before I caught my error...  We'll fix it later.

To-Do List for Lexington: An Overview

On November 8th, this blog will turn turned one year old.  It has been an interesting year, and the blog has turned into something very different than what we initially conceived.

One of the surprises: how much we ended up focusing on issues and ideas of local interest, especially those related to downtown Lexington. 

We've not been shy about offering our opinions on CentrePointe, on South Limestone, on Lexmark, on our local government, and on the future of our city, just to name a few.  And you've not been shy in offering your (often very different) opinions in return.  

We believe that Lexington is a really great city.  But we also believe it needs to be much better.  And we've got some ideas on how to get to that better future. 

So, as we end our first year of blogging, we thought it might be good to put together an agenda for our city.  Over the next several posts, we'll share ideas on improving Lexington.  Some will be ideas we've touched on before; some will be brand-new.  We'll focus a lot on our city's economic and urban development.

As we build out this list over the next week month or so, please add your thoughts and comments.  We believe that an open discussion about our city is vital to crafting a better future for Lexington.

So think of this series as a conversation-starter.  Think of it as a love letter to what our city could be.  Think of it as the rantings of your local mechanic.

Think of it as a to-do list for Lexington.

To-Do List for Lexington

1. Get Real (11/2/2009)
   
2. Stop seeking saviors. Start making them. (11/3/2009)
   
3. Local First (11/4/2009)
   
4. Embrace Openness (11/6/2009)
   
5. Leverage Intellectual Capital (12/3/2009)
   
6. Be Original (12/3/2009)
   
7. Plan Well (12/9/2009)
8. Demand Accountability (12/14/2009)
9. Do! (12/15/2009)

Postscript (12/15/2009)

This series is dedicated to my son, Carson, and to the future Lexington that he and his generation will inherit.

April in Review

April has been a busy month in the shop and on the blog.  Here's a sample of what we've been writing about this month:

• Lowell's School Tools and the Bluegrass Vehicle Report.  We provided data about the vehicles we drive in Lexington and surrounding areas, as well as tools for parents and teachers to use to make the data come to life for their students.
• Why CentrePointe will fail.  Our all-time most popular post analyzes why Lexington's CentrePointe project is doomed even if it is built.  (Also published in Ace Weekly)
• But it isn't enough to simply grouse about the failure of CentrePointe.  We need to understand what went wrong, what to do about it, and what to do with the empty block downtown.  We need a plan.  Toward that end, we offer The UnTower Manifesto as a starting point for moving beyond CentrePointe. (Portions cross-posted to Ace Weekly and Barefoot & Progressive)
• We weren't always serious in April.  We speculated on the real source of the Toyota truck logo.
• What do you hate about Lowell's?  We ask you what you don't like about Lowell's.  We want to be better. 
• Why Twitter matters.  Twitter has become something of an online sensation of late, with everyone from Oprah to the White House jumping on the Twitter bandwagon.  We talk about how to make it work, and why Twitter is more important than it may seem.
• A better brand for Lexington.  We talk about what it will take to truly re-brand Lexington.  Hint: It doesn't involve a blue horse or Pentagram.  (Also published in Ace Weekly, and cross-posted to Transform Lexington)

Many thanks to our friends at Ace Weekly, Transform Lexington, and Barefoot & Progressive for amplifying much of what we wrote here this month.

Enjoy!

Making Twitter work

A couple of weeks ago, Oprah began using Twitter.  Some saw her adoption of the service as a milestone that Twitter had gone mainstream.  Others decried it as a sure sign that the Twitter fad was about to flame out.

Why all the fuss about Twitter? 

I have to admit that I just didn't get it.  At first.  In this post, I'll talk about how I learned to love Twitter. In my next post, I'll talk about Why twitter matters.

How Twitter works

Twitter is a microblogging service which allows users to post messages of 140 characters or less.  These messages - called 'tweets' - chronicle what the user is doing / reading / thinking in that moment.  You can follow other users, and they can follow you as well.  [Note: There are privacy settings in Twitter which allow you to protect who sees your tweets.]

Because the messages are limited to 140 characters, a kind of Twitter shorthand code has developed to convey key concepts.  Responses to other users contain an 'at' sign (@) before their user name - so, for instance, other Twitter users respond to my posts with an '@robmorris2'.'

When discussing a particular topic, users often apply a hashtag (a pound sign - #) to their post.  Right now, there are a lot of #swineflu hashtags in the twitterverse as people tweet about the current flu outbreak in Mexico, the US, and New Zealand. 

Many users want to share interesting stories or blog posts with their followers.  But because regular web addresses (URL's) can run 60 or 70 characters, many people use URL 'shorteners' to compress a web address to just 16 or so characters.  So many of Twitter's addresses are from the bit.ly, is.gd, tr.im, or similar odd-looking domains.

When users want to share someone else's tweet with their followers, they often 're-tweet it'.  They do so with 'RT' and the user's @name.  So, when I saw a Dave Winer tweet that I thought was worth sharing, I shared it this way: "RT @davewiner: Why NPR is Thriving (They’re Not Afraid of Digital Media). http://tr.im/jH5o".

Critical Mass
Twitter gives you some basic tools to help you find and add other friends who use the service.  When I first started using Twitter, I added a few close friends.  I twittered something about what I was doing, careful to use my 140 character allotment.

And nothing happened.  I really wondered what this Twitter fuss was all about...

Only one of my friends really used the service more than a few times a month.  And he (@billder - well worth following) was in Portland, used a bewildering array of #'s and @'s, was talking with folks I didn't know, and I wasn't quite sure what to make of it all.

I posted to Twitter once or twice a week through January.  And then I drifted away until April.

After listening to an audiobook of What Would Google Do? by Jeff Jarvis (@jeffjarvis on Twitter), the prominent blogger of the BuzzMachine blog, I decided to give Twitter another try.

I followed many more folks the second time around: local and national news sites; favorite authors, bloggers, and personalities; technology sites; interesting companies and their executives; and whatever else I found interesting.

When I got up to about 50 people, Twitter started to get really intriguing.  With more and more interesting people sharing more and more interesting thoughts, links, and re-tweets, Twitter suddenly became much more vibrant.

Going Real-time
But there was something which still didn't work for me: the Twitter web page.  As a static page with maybe 20 tweets on it, I had to keep reloading.  If a lot of folks were tweeting, I often missed important tweets from friends in the flurry of tweets from other, more prolific users.

It was (and is) all a bit chaotic. 

But there are solutions.  Twitter has allowed software developers to graft their products onto the Twitter platform.  There are a bevy of such products out there: Seesmic, Twhirl, TweetFon, Tweetie, and many others.  Each has different features and functions.

My current favorite is desktop software called TweetDeck.  With TweetDeck, Twitter finally came alive and started making sense for me.  In other words, I finally 'got' Twitter. 

There are four key features of TweetDeck which make it work for me.

First, TweetDeck auto-refreshes.  This means that I get nearly-live updates as soon as they happen.  For me, it transforms Twitter from a static web page into a real-time social messaging system.

Second, TweetDeck lets me create groups of people that I can follow.  This means that I can group folks according to how important they are to me or by which parts of my life they belong to.  By default, TweetDeck has an 'All Friends' column which contains live tweets from everyone I follow.  But I created another column which has tweets from folks that I really want to pay attention to.  The 'groups' feature let me create some order out of Twitter's chaos, and helped ensure that I didn't miss important local or topical or personal tweets.

Third, the software made tweeting easier.  TweetDeck has a lot of built in stuff to respond to (@) or re-tweet (RT) other users.  It lets me shorten a URL right inside the interface. 

Fourth, TweetDeck has a search function which allows me to monitor what anyone in the twitterverse is saying about a particular topic (like, say, "Toyota") live.  So I can get a sense of what is happening with things that are important to me right now.

These four features of TweetDeck (some of the other Twitter software has them too) brought Twitter to life for me.  They allowed me to connect with new people and have new conversations that would otherwise never have happened. 

Making Twitter Work
What made Twitter 'work' for me was 1) making sense of its shorthand, 2) following a critical mass of other users to make things interesting, and 3) using a 'live' interface (for me, TweetDeck) which catapulted the service from a website into a many-to-many conversation.

In my next post, I'll talk about Why Twitter matters.

Why Twitter matters

[In my previous post, I described how I made Twitter work for me.  If you'd like to see how I got the most out of Twitter, click here.]

It took me a while to understand Twitter, as documented in my last post.  I'm certainly not the most prolific or most informed user, but I've come to gain some insights about Twitter that I haven't seen a lot of other commentators pick up on.  These are by no means exclusive to Twitter, but I think it is the platform which most embodies these characteristics today:

1. New kinds of connection.  More than any other medium I've come across, Twitter enables new kinds of social interactions.  Conversations become multilateral public events, instead of one-way or two-way forms of communication.  And those conversations can coalesce around personal, local, or topical interests.  I can dip in and out of many different conversations happening simultaneously.  If I have nothing interesting to say about an interesting topic, I can just observe while others contribute.


2. The new news.  As a news junkie, I used to troll blogs and websites for the latest information on what was happening in business, in technology, in Lexington, and in the world-at-large.  Now, Twitter serves as my news station.  I can easily ignore tweets which I don't find interesting, but follow links which are of interest.  What is best is that this news is already vetted by folks I respect and trust.
   
   Further, Twitter's hashtag convention allows me to follow what topics are 'hot' through tools like TwitScoop, which is enabled by default in TweetDeck (see my last post if this last passage looks like Greek to you).  The news on Twitter often unfolds long before mainstream media picks it up.  In Ace Weekly (@AceWeekly), Kakie Urch (@ProfKakie) put together an excellent analysis of how Twitter acted as the new news in the #amazonfail case, including how long it took traditional media to even notice, while the twitterverse was exploding in outrage.  (As I write this, a friend of mine, @JasonOney, is mounting a campaign to save the NBC series Chuck, using the #savechuck tag.  And he's got friends marching with him.  Look out NBC.)


3. Twitizenship. What the #amazonfail and #savechuck cases (among many thousands more) demonstrate is a new form of online citizenship, characterized by immediacy, openness, and cause-centered organization.  This 'twitizenship' can create what some call 'flash mobs': groups which form nearly instantly in either the virtual or physical worlds.  Twitizens expect speed, transparency, and action from both businesses and civic leaders.
   
   My favorite recent example: Kickeball at CentrePointe Parque.  Where?  Let me explain.  Using Twitter and Facebook, a flash mob formed around the idea of playing a kickball game on the pit of rubble in Lexington where CentrePointe is not being built.  So, last Friday at 5:30 PM, they had a game - and a wonderful bit of public theater and civil disobedience.  It was quick.  And you can read the best account here (Thanks, @KeeganFrank) and see the best video here (Thanks, Mick Jeffries).  You should check out these accounts, because the local media completely whiffed on coverage over the ensuing 24 hours.  I left work to go to the pit and witness the game (but not to participate - I was chicken, and I didn't want to get arrested).
   
   This is a fun example, but I hope my main point shines through: Twitter allows citizens to form into and disband from interest groups at lightning speed.  These groups have higher expectations of their leaders and of businesses, who must respond with greater speed and openness.  Those who fail to respond will surely #fail. 

Twitter's platform allows for new social formations which are important, and will be changing the way we interact, the way we get our news, and the way we create a better city, state, nation, and planet.  Governments, businesses, and citizens must adapt to this changed world, or they will be left behind.

Those are my thoughts on why Twitter matters.  What are yours?

What do you hate about Lowell's?

OK, so 'hate' is a strong word for it.

But as much as we try to be the best mechanic in Lexington, we know we're not perfect.  We know that there must be some parts of your experience with us which could be better.

So tell us.  Let us have it.  We can take it.  And we need it.

To get the conversation started, here are some aspects of our business you might want to riff on:

• Our location
• Our pricing
• Our service
• Our website
• Our blog
• Our lobby
• Our restroom
• Our people
• Our honesty
• Our attitude
• How we checked you in
• How much time we took
• How well we explained what we did
• How we checked you out
• Something we did
• Something we didn't do
• Something we should do

Please let us know how Lowell's can get better.  Use the comments section below, call the shop at 233-1173, or email us at lowells [at] iglou [dot] com.

We can't promise we'll do everything you suggest, but we will work to make your overall experience with Lowell's a better one.

And thank you.

[where: 111 Mechanic St., Lexington, KY, 40507]

Dealership Economics: Wall Street Journal Edition

Here at Under the Hood, we've spent a lot of time analyzing the automotive industry.  You might remember the three-part series about the economics of dealerships (Click here for Part I: Car sales, Part II: Service, and Part III: Toyota) or the entries about the problems of the Big 3. 

Today, The Wall Street Journal has Page 1 profiles of two car dealerships in London, Kentucky (about 75 miles away from us here at Lowell's).  The profiles echo a lot of the themes you've heard here:

• How the financial fundamentals of dealerships have been deteriorating.
• How the Big 3 have too many dealerships (look closely at the WSJ "Dealership Decline" chart).
• The relative strength of Toyota and the Japanese carmakers versus those from Detroit.

My guess: In 2009, we're going to hear a lot more Johnny Watkins-type stories of dealerships going out of business, especially in smaller towns.

[where: London, KY 40507]

Recent Posts: 12/10/2008

Here are the most recent posts to Under the Hood:

• The Big 3: Why They are Failing: The major reasons the Big 3 are in trouble.
• The Big 3: Thoughts on a Bailout: Some thoughts on an auto industry bailout.
• Lowell's South?: Should we open an Orlando location?
• Before You Serve Thanksgiving Dinner...: Could apply for holiday dinners as well.
• Why We Specialize in Toyota (and Lexus and Scion)
• While You Wait: Giacomo's New York Deli: Great.  Big.  Sandwiches.
• Driving Off a Cliff: Analyzing the latest sales figures.
• Two Ways: Two ways to run a business.
• The Big 3: Saving the Industry: A modest proposal for the auto industry.
• Too Much Confidence: Drive carefully this winter...
• How do you shop for gas?

Recent Posts: 11/18/2008

Here are the most recent posts to Under the Hood:

• Introducing "Under the Hood"
• The Good Old Days: Why we couldn't leave drink prices at a dime.
• Dealership Economics, Part I: Car Sales: Why the car sales process is so convoluted.
• Crushing Cans: Tell us what to do with all of these cans!
• While You Wait: Third Street Stuff: Check out our favorite coffee shop.
• New Design For Lowell's Website!: Come check out the new design (in progress)
• Dealership Economics, Part II: Service: What the service department does for the dealer's business
• While You Wait: Doodles: What's good for breakfast?
• Dealership Economics, Part III: Toyota: With the economic meltdown, is Toyota healthy?
• While You Wait: Mulberry and Lime: Classy gifts while you wait.