CHICAGO | Economic & Business Development

[left of center]

Originally Posted by IrishIllini

That's what I'm hoping they'd do as well. It's a pretty big pain and a huge expense to set up shop in another state. I'd also assume that given their location, most employees are from Chicagoland. It'd be a huge loss for Glenview/Northbrook if they left. Great pick-up by the city if they go downtown. Anyone here have a direct line to Rahm? Queue him in...

Imagine a world where Chicago gets straight A's...Allstate, Amazon, and Apple

The new Google office would be nice as well

[Vlajos]

This is cool. I love the lettuce these guys grow.

Railcars to lettuce: Second big greenhouse coming to Pullman

http://www.chicagobusiness.com/reale...use-in-pullman

[marothisu]

Originally Posted by Vlajos

This is cool. I love the lettuce these guys grow.

Railcars to lettuce: Second big greenhouse coming to Pullman

http://www.chicagobusiness.com/reale...use-in-pullman

Very nice and very positive to see, especially on the south side. I like how that area has increased by over 1100 jobs in the last 5 years. Curious what effect it's having on the housing market in the overall area.


Also, in other news:
With $3.7M in new funding, this adtech firm is opening a US HQ in the West Loop

https://www.builtinchicago.org/2018/...-firm-intuilab

IntuiLab, a French adtech firm that specializes in content for interactive displays, announced this week that it has raised a $3.7 million Series A round with the goal of expanding its operations in the United States — more specifically, in Chicago.

Kurt Haller, who will head up IntuiLab’s new North American headquarters, said the company expects to announce the location of its new West Loop office by the end of the month. Already hiring for several roles across sales and engineering, Haller expects the office to expand to around 16 employees by the end of next year.

According to Haller, the decision to expand to Chicago was based on a confluence of factors.

“IntuiLab has more than 1,500 customers across more than 80 countries, with 50 percent based in the U.S.,” said Haller. “We want to open the office in Chicago because of the vibrant tech scene, access to talent and central location to reach customers throughout the U.S.”

[Justin_Chicago]

Tyson Foods Invests in Tovala’s Smart Oven

Chicago startup Tovala has cooked up some new funding for its smart oven and meal delivery service, this time from Tyson Foods.

Tyson announced Tuesday that it has invested an undisclosed amount in Tovala through its corporate venture arm Tyson Ventures, which is based in Chicago. In 2016 Tyson announced the launch of its $150 million fund, which aims to back innovative food tech companies. Tyson is the latest big-name investor to get behind Tovala, which has previously raised more than $13 million from investors including Origin Ventures, the Pritzker Group, Y Combinator, Morningstar Founder Joe Mansueto, Levy Restaurants Co-Founder Larry Levy and the University of Chicago.

Founded in 2015, Tovala makes a countertop smart oven that uses a combination of steam, baking and broiling to create restaurant-quality meals right from your home. The oven scans the barcode of a Tovala-delivered meal, and pulls data from the cloud to know how exactly to cook the meal, switching between the three cooking methods. Tovala retails for $399, but customers can also buy it for $199 if they commit to 24 meal deliveries over 12 months. Tovala’s prepared meals cost $12 each.

Article: https://www.americaninno.com/chicago...as-smart-oven/


DNAinfo Editors Launch Media Startup, Quickly Surpass Kickstarter Goal

To help cover the neighborhood news gap that was left when DNAinfo Chicago shut down in November, three of the publication’s former editors are launching Block Club Chicago, according to the organization’s Kickstarter campaign, which raised more than $33,000 as of Tuesday morning, surpassing its goal of $25,000.

The new digital publication, slated to launch in April, will operate as a nonprofit media outlet that will primarily be supported through subscriptions, which the organization is saying would be around $5 per month.

“For less than that last cocktail you really didn’t need at happy hour, you could support the independent, community-focused journalism this city badly needs,” the company wrote on its Kickstarter campaign.

Shamus Toomey, DNA’s former managing editor, will serve as Block Club Chicago’s editor-in-chief. The other two founders, Jen Sabella, DNA’s former deputy editor and director of social media, and Stephanie Lulay, DNA’s former senior editor, will serve as director of strategy and managing editor, respectively. The media outlet currently has a team of five reporters, but will also depend on regular freelance contributions.

Note: Funding is now past $115,000.

Article: https://www.americaninno.com/chicago...kstarter-goal/

[IrishIllini]

Should we read into this?

http://www.chicagobusiness.com/reale...coln-park-home

[the urban politician]

Originally Posted by IrishIllini

Should we read into this?

http://www.chicagobusiness.com/reale...coln-park-home

No, but does Chicago have a professional media any more?

Rumors about Allstate? Heard here.

Talk about Walgreens and United moving to OPO? Heard here.

Even Crains seems to be more about editorializing than serious business reporting. And their weekly edition has recently been gutted. Do they even put in any effort any more?

[the urban politician]

A lot of talk about this going way back:

https://www.thelayoff.com/t/Lfv94Uo

Not sure how true the rumors are. I’m betting that there may be a push to get more operations going in low cost locales like N Carolina or Texas.

I’m guessing Allstate will eventually leave Northbrook, or at least shrink there substantially. Just keeping an executive HQ is not that much of a consolation prize, if that’s the case. Not sure where our local media is on any of this, if these movements are true.

[IrishIllini]

Originally Posted by the urban politician

A lot of talk about this going way back:

https://www.thelayoff.com/t/Lfv94Uo

Not sure how true the rumors are. I’m betting that there may be a push to get more operations going in low cost locales like N Carolina or Texas.

I’m guessing Allstate will eventually leave Northbrook, or at least shrink there substantially. Just keeping an executive HQ is not that much of a consolation prize, if that’s the case. Not sure where our local media is on any of this, if these movements are true.

Seems like there's still a lot to be decided, but definitely seems like something is going on at Allstate. Would be a blow to Northbrook and Glenview. Who is going to move into that space? There are pharmaceutical companies over that way, but no one large enough to take over Allstate's campus.

If they open an office in Dallas I'm going on the smear campaign of a lifetime, haha.

[ithakas]

Originally Posted by IrishIllini

Seems like there's still a lot to be decided, but definitely seems like something is going on at Allstate. Would be a blow to Northbrook and Glenview. Who is going to move into that space? There are pharmaceutical companies over that way, but no one large enough to take over Allstate's campus.

If they open an office in Dallas I'm going on the smear campaign of a lifetime, haha.

They've also doubled down on the Merchandise Mart recently: http://www.chicagobusiness.com/reale...rchandise-mart

I'm guessing if they move their HQ out of state the 1,000 or so employees they have space for there will stay, at least in the short-term.

[IrishIllini]

Originally Posted by ithakas

They've also doubled down on the Merchandise Mart recently: http://www.chicagobusiness.com/reale...rchandise-mart

I'm guessing if they move their HQ out of state the 1,000 or so employees they have space for there will stay, at least in the short-term.

It'd be nice to see them move down to the Merch Mart. Anyone have any insight into the positions that are currently based out of the Northbrook office?

[bnk]

https://www.chicagomaroon.com/articl...bid-amazon-hq/


Groups Contest Chicago's Bid for Amazon HQ

...

According to the petition, a potential Amazon HQ2 in Chicago “would receive billions of dollars in corporate welfare and hire mostly high paid white managers, [which] would send gentrification and ethnic cleansing of Chicago's neighborhoods into overdrive…[giving] Amazon more power to keep wages low for its warehouse workers and drivers, thereby depressing wages across the board.” ...

The petition argues that an Amazon HQ2 would aggravate existing problems surrounding public education, healthcare, police brutality, and gender inequality, among other issues.

ANSWER Chicago’s recent activities, according to their Facebook page, have included participating in an anti-Trump march, joining a Jewish Voice for Peace rally supporting jailed Palestinian Ahed Tamimi, and appearing at a rally protesting Steve Bannon’s upcoming appearance at UChicago.



...



In October, ANSWER Chicago coordinated a protest near Mayor Rahm Emanuel’s house to demonstrate against HQ2 the day after the deadline for cities to submit bids to Amazon for them to be considered.

The protest was held on the “anniversary of the murder of Laquan McDonald,” Beacham said, “to demand justice for Laquan, not money for Amazon.”

...

[glowrock]

Originally Posted by bnk

https://www.chicagomaroon.com/articl...bid-amazon-hq/


Groups Contest Chicago's Bid for Amazon HQ

...

According to the petition, a potential Amazon HQ2 in Chicago “would receive billions of dollars in corporate welfare and hire mostly high paid white managers, [which] would send gentrification and ethnic cleansing of Chicago's neighborhoods into overdrive…[giving] Amazon more power to keep wages low for its warehouse workers and drivers, thereby depressing wages across the board.” ...

The petition argues that an Amazon HQ2 would aggravate existing problems surrounding public education, healthcare, police brutality, and gender inequality, among other issues.

ANSWER Chicago’s recent activities, according to their Facebook page, have included participating in an anti-Trump march, joining a Jewish Voice for Peace rally supporting jailed Palestinian Ahed Tamimi, and appearing at a rally protesting Steve Bannon’s upcoming appearance at UChicago.



...



In October, ANSWER Chicago coordinated a protest near Mayor Rahm Emanuel’s house to demonstrate against HQ2 the day after the deadline for cities to submit bids to Amazon for them to be considered.

The protest was held on the “anniversary of the murder of Laquan McDonald,” Beacham said, “to demand justice for Laquan, not money for Amazon.”

...

There are many reasons to despise the Amazon dog and pony show of financial largesse (for pretty much nobody other than Bezos and his C-level cronies), but my god, this might be the must inanely stupid, most utterly ridiculous so-called "logic" ever with which to contest Chicago's bid!

Seriously? Ethnic cleansing? Oh brother...

Aaron (Glowrock)

[left of center]

Originally Posted by bnk

“would receive billions of dollars in corporate welfare and hire mostly high paid white managers, [which] would send gentrification and ethnic cleansing of Chicago's neighborhoods into overdrive…[giving] Amazon more power to keep wages low for its warehouse workers and drivers, thereby depressing wages across the board.”

lul wut? Are these people serious? On what basis are they making the assumption that Amazon will only be hiring white people?

And ethnic cleansing? That association is a complete insult to the many peoples who have actually suffered that horror. Unbelievably tone deaf and insensitive.

Originally Posted by bnk

The protest was held on the “anniversary of the murder of Laquan McDonald,” Beacham said, “to demand justice for Laquan, not money for Amazon.”
...

How will depriving the city of jobs and tax revenue bring about justice to Laquan McDonald? I don't even see how those two issues are related at all whatsoever. Unbelievable...



I hope these morons don't mount any sizable opposition to Chicago's HQ2 push. I'm not a fan of corporate welfare, nor Amazon's circus pitting cities against each other, but snagging this (or even a lesser prize) would be a huge win for the city. I'd hate to have the city lose it due to the ignorance of a few loud idiots.

[the urban politician]

You guys crack me up. You are all the Amazon polyannas. Cheerleaders . How about studying Chicago's history?

And regarding these losers who oppose Amazon on the grounds of ethnic cleansing...they are morons, but are just a wee bit less annoying than the "Oh my God! We need Amazon!" Idiot patrol...

[left of center]

Originally Posted by the urban politician

You guys crack me up. You are all the Amazon polyannas. Cheerleaders . How about studying Chicago's history?

And regarding these losers who oppose Amazon on the grounds of ethnic cleansing...they are morons, but are just a wee bit less annoying than the "Oh my God! We need Amazon!" Idiot patrol...

Chicago doesn't *need* Amazon, its clearly gotten along just fine before it and it will be just fine without it (the city & state's budget crisis notwithstanding). However, you can't admit that the city getting what Amazon is promising wouldn't be a positive?

[marothisu]

Nobody here has stated Chicago NEEDS Amazon. Chicago doesn't NEED Amazon, but it would be very positive for the city if they did pick Chicago. I think you just project what you want to hear without realizing that the all or the vast majority of people here will think the city will be fine without it, but do hope that it goes to Chicago. The people who are behind this thing from the article post above are ridiculous, and a lot more so than the people you are misinterpreting. Probably won't go anywhere, and if it does it'll take a lot longer than they hope.


Now, in other news - Google is expanding in Chicago as announced today, but really no details. Hopefully it's by at least 100 or even 200 - and I'm hoping it's more for software development types of jobs and not necessarily for what is already majorly there (sales).

[jpIllInoIs]

Target like many retailers is slowing their role on new openings. They have become very selective within the confines of the new retailing landscape.

But Chicago will be getting 3 new target stores through 2019

Evanston in Sp of 2018
Wicker Park in summer of 2018
And Rogers Park (near Loyola campus) in 2019

[urbanpln]

Originally Posted by the urban politician

You guys crack me up. You are all the Amazon polyannas. Cheerleaders . How about studying Chicago's history?

And regarding these losers who oppose Amazon on the grounds of ethnic cleansing...they are morons, but are just a wee bit less annoying than the "Oh my God! We need Amazon!" Idiot patrol...

After working for the City's Department of Planning and Development for many years, I can tell you that these groups really don't matter to companies looking to relocate or open up an office here. In this situation, where the top sites are located in the central area, they have little power to do any real damage. These types of resistance happen everywhere, so calm down. A good example of this type of competition was the 2016 Olympic bid. There where all types of groups jockeying for their piece of the pie. Yet despite all of their shenanigans the City made it to the final round. I believe we lost because the IOC are a bunch of bullshit gangsters who get off on pitting cities against one another to find the most lucrative deal for themselves. That's why I agree with TUP, although I don't always agree with his perspective on development and social issues. However, I think he's spot on about the whole Amazon competition.

As much as I like this Chicago, I believe we will not land Amazon HQ2. I just watched Professor Scott Galloway's assessment of the whole Amazon scam. He is a professor at NYU Stern School of Business. He believes the winner will be either metro Washington D.C. or NYC, because of basically two important factors.

(1) The access to top notch talent. He said in the eyes of Amazon the best talent is a 24 year old EE grad from MIT. He goes on to explain that top talent isn't concern about cost of living, and that cost of living only matters when you are in your 30's and begin accumulating things, (i.e. homes, kids, and dogs). He said that Amazon doesn't really care about middle managers (older workers), and they know younger talent will pile into five bedroom apartments in Brooklyn (Gowanus) and D.C. (Adams Morgan).

(2) His second and strongest prediction is that what matters most is where does a 53 year old billionaire (Bezos) want to spend most of his time. He said that Mr. Bezos already have homes in D.C. and NYC.

I hoping he's wrong, but this guy has a winning record in making predictions about business, especially in the Tech world. I hope he's wrong, but his logic makes since to me. Check out his quick analysis on Youtube ("Amazon HQ2:The Winner Is....")

If Chicago does not land Amazon, I hope it causes the politicians and citizens in this region to wake up. Chicago is too much of a jewel to not be managed right.

[the urban politician]

^Thank you!

I think the writing is on the wall for Metro DC or New York. Now I will say that if we are right, they (Amazon) are making a huge, misguided mistake, brought on by the perception that they somehow need MIT grads and the like to accomplish their business plan. It's actually kind of stupid, if you think about it, but that's the image they have in their minds, I guess.

But yes, even Rahm and the other local leaders have been quiet about Amazon. I think they know that Chicago is a long shot at this point.

So let's start growing our own industries again, guys! We need a more supportive leadership structure, financial stability, and we need to take a hard look at some of our local regulations. That's how you grow new businesses.

[marothisu]

Originally Posted by urbanpln

After working for the City's Department of Planning and Development for many years, I can tell you that these groups really don't matter to companies looking to relocate or open up an office here. In this situation, where the top sites are located in the central area, they have little power to do any real damage. These types of resistance happen everywhere, so calm down. A good example of this type of competition was the 2016 Olympic bid. There where all types of groups jockeying for their piece of the pie. Yet despite all of their shenanigans the City made it to the final round. I believe we lost because the IOC are a bunch of bullshit gangsters who get off on pitting cities against one another to find the most lucrative deal for themselves. That's why I agree with TUP, although I don't always agree with his perspective on development and social issues. However, I think he's spot on about the whole Amazon competition.

As much as I like this Chicago, I believe we will not land Amazon HQ2. I just watched Professor Scott Galloway's assessment of the whole Amazon scam. He is a professor at NYU Stern School of Business. He believes the winner will be either metro Washington D.C. or NYC, because of basically two important factors.

(1) The access to top notch talent. He said in the eyes of Amazon the best talent is a 24 year old EE grad from MIT. He goes on to explain that top talent isn't concern about cost of living, and that cost of living only matters when you are in your 30's and begin accumulating things, (i.e. homes, kids, and dogs). He said that Amazon doesn't really care about middle managers (older workers), and they know younger talent will pile into five bedroom apartments in Brooklyn (Gowanus) and D.C. (Adams Morgan).

(2) His second and strongest prediction is that what matters most is where does a 53 year old billionaire (Bezos) want to spend most of his time. He said that Mr. Bezos already have homes in D.C. and NYC.

I hoping he's wrong, but this guy has a winning record in making predictions about business, especially in the Tech world. I hope he's wrong, but his logic makes since to me. Check out his quick analysis on Youtube ("Amazon HQ2:The Winner Is....")

If Chicago does not land Amazon, I hope it causes the politicians and citizens in this region to wake up. Chicago is too much of a jewel to not be managed right.

I watched his video. He gets some things right, and gets some things wrong IMO. Where Bezos will want to spend most of his time does not matter in my opinion as much as he thinks it does. He has a handful of residences all over the place and he's a smart guy, and a smart business man. He will pick the place that gets him what he wants and will allow him to grow whatever business he wants to grow in the way he needs to at whatever targets. Where he resides or wants to resides is secondary. He might love Miami and might love spending time there, but Miami might not be the best place for the actual business versus another place he might not like as much as far as personal life goes. He is not stupid enough to choose a place solely on that. If he does do this, then he's a stupider business person than we ever imagined.

As far as NYC goes, I understand that they will get younger workers to pile into apartments, but the issue with this is that eventually that type of mindset changes by the late 20s. You can get someone fresh out of college/a few years out of college to do this but just a handful of years later, it changes. I know that he states that they only care about younger talent, but that's really not true. Any corporation, tech or not, relies on a diverse work force to get successful - that includes age diversity. There's a lot of hot shot 22-24 year olds coming out of college, and while some are pretty damn good, the average person is not as good as they think. They're arrogant about their own abilities - I know because I was there once upon a time. The reality is that they don't know shit on average and rely heavily on people who are a little older (not 50 year old people, but people usually in their late 20s to late 30s and into their 40s sometimes). If you are dealing with enterprise level software development, there's a lot of intangibles that you just cannot teach. It comes with experience and more than just the technical stuff. When you're dealing with tens of millions of customers, you have to know how to manage things - it doesn't matter how talented of a programmer you are at that point. You have to know how to manage and also know what the right decisions are as well as the right path to decision making. I don't really expect anybody to know this who's never worked in that environment - including this professor. I manage a part of a piece of "software" which is used by tens of millions of people and is very important to each person's lives too. The actual delivery of this to tens of millions of people and the management of any serious issues is never, ever done by someone in their early 20s. They may be in on it, but they are never making any actual decisions. It's like that for a reason. I have some very talented people on my teams who are just a few years out of school, but they usually do not have the right insight into things like this - they will probably in a small handful of years, but not yet.

I wouldn't be shocked if they picked NYC but I would be half surprised. Ultimately the top cities that it'll come down to are NYC, DC, Philadephia, Boston, Chicago and probably Atlanta. Los Angeles, Dallas, and Toronto are maybes. I guarantee you those will be the top 6 to 9. Eventually it will come down to large metro areas that have a diverse economy which has a proven record of attracting top talent across the board whether it's experienced people or just out of college - and places with at least decent public transit and urbanity. Right now, the places I listed are exactly what they're looking for. Which one? It's hard to say - there's probably a lot of factors that are private to them. Air travel for example might come into play and that particular part might favor somewhere like Chicago or Dallas, but then there could be another criteria that does not.