Some of you may want to debate the “center of the world” title (New York may be more deserving), but Laura Parker of National Geographic recently published a great essay describing the tremendous growth that London has seen over the last 30 years thanks to in part the deregulation of the financial services industry. Here is an excerpt:
As the manufacturing industry splintered, the docks of what was once the world’s largest port fell victim to shipping modernization and closed. The death in 1965 of Winston Churchill, the great prime minister, marked “the last time that London would be the capital of the world,” the Observer noted. Population continued a downward slide, bottoming out at 6.7 million in 1988. By then London’s fortunes had changed with deregulation of the financial services industry, known as the Big Bang, along with the shift to electronic trading, which enabled London to rival Tokyo and New York. A new financial district rose on the ruins of the West India Docks on the Isle of Dogs, a marshy nub that juts into the Thames. Canary Wharf, as the district is called, became London’s first modern large-scale regeneration project.
According to National Geographic, London’s population grew by about 1.2 million between 2006 and 2016. That’s a pretty incredible number and is why the city estimates that they need about 66,000 new housing units a year just to keep up the growth. Like many supply constrained big cities, they’re not meeting that target.
For the full essay, click here. It comes packaged with some incredible photographs by Luca Locatelli.
I have written a lot about Opendoor over the past few years because it is one of the most promising “proptech” startups in operation today and I am obviously very interested in the impact of tech on the real estate industry.
I also have a fascination with online marketplaces. From the Greek agora to today’s mobile apps, the exchange of goods and services is a fundamental human activity. Uber, Alibaba, Instacart, Airbnb, Amazon, and Kickstarter are all marketplaces. I think sometimes people forget that.
Andrew Chen, who is a general partner with the venture firm Andreessen Horowitz, recently published an essay on the future of online marketplaces, where he argued that what’s next is a reinvention of the $10 trillion service economy.
Andrew posits that the internet has brought about 4 eras of marketplaces. They are:
The Listings Era (1990s)
The Unbundled Craigslist Era (2000s)
The “Uber for X” Era (2009-)
The Managed Marketplace Era (Mid-2010s)
The listing era birthed marketplaces that were essentially online versions of the things that already existed offline. Craigslist, for example, simply took the classified section and put it on the internet.
Over time, these online marketplaces began to focus on specific verticals (the unbundling of Craiglist) and they started to introduce services and features that were native to the internet and later to mobile. Uber obviously only works when everyone has a smartphone.
Today we are living in the era of what Andrew calls the managed marketplace. Opendoor – to get back to the first paragraph of this post – is a managed marketplace. Instead of just connecting homeowners with buyers, they take on specific steps of the value chain. They buy and fix up the homes themselves.
So what’s next?
Supposedly it is regulated services (2018-?). As of 2015, it was estimated that about 26% of employed people in the US carried some sort of license. These are healthcare practitioners, architects, engineers, real estate agents, financial advisors, trades people, and so on.
And the argument is that a lot of how we regulate services today is a result of us creating them before the internet. We needed licenses and certifications to signal to us who was qualified and who was not. But now we have technology to help us do that, which is why this could be the next great era of online marketplaces.
This is not exactly a new project. The hotel, pictured above, opened in 2016 and was the brand’s second location (their first opened in São Paulo in 2001). But I like the story and how it was executed.
Hotel Emiliano is the work of husband and wife team Gustavo Filgueiras and Andrea Colli Filgueiras. He is a hotelier. And she is a jewelry designer. Both wanted to pay homage to the glory days of Rio’s Copacabana Beach.
Designed by Arthus Casas and Chad Oppenheim – who, by the way, recently built himself a stunning home in the Bahamas – the 90-room hotel is clad in white shutters that can be used to modulate the Brazilian sun.
On the roof is an infinity pool with a glazed side. Here is a screen grab from the hotel’s website:
And here is an aerial view of the pool taken from Dezeen:
The uniforms for the hotel were designed by Barbara Casasola and a custom jewelry collection was created by Andrea Colli.
For more photos, check out Dezeen and Wallpaper.
Architectural photography: Fernando Guerra