Daily insights for city builders, delivered every morning at 6 AM ET. I’m Brandon Donnelly — a Toronto-based real estate developer and founder of Globizen. I’ve been writing here since 2013.

Tag: london

  • How Europe is reopening

    Just over a month ago, as North America was beginning its lockdown, the Europeans were the ones showing us how to stay sane in quarantine through balcony orchestras and viral internet videos. Now we’re looking to them for how best to reopen the economy and minimize the number of fits and starts.

    • This morning Spain recorded its lowest daily death rate from the coronavirus. It is beginning to prepare for a phased relaxation of its lockdown rules. Things will not return to normal overnight. [Financial Times]
    • Spain allowed construction activity and manufacturing to resume this past week. As a reminder, Spain’s strict lockdown started on March 14. [New York Times]
    • Bookstores are open in Venice, but that’s about it. Customers have to enter one at a time, or schedule an appointment. Hotels, restaurants, and cafes remain shuttered. It is believed that at least 1/6th of all Italian restaurants and bars will not survive. Reopening is not happening uniformly across Italy’s 20 regions. [Wall Street Journal]
    • Last week, Denmark became the first country in the Western world to reopen elementary schools. The desks are far apart and teaching outside is being maximized, but some/many are concerned that this is too soon. Are we prioritizing the economy (i.e. free up the parents) over the health of our children? [New York Times]
    • The Czech Republic currently has one of the lowest number of cases on the continent. But hardware stores and bike shops are some of the only nonessential businesses that are allowed to be open. The Easter weekend saw an over 60% increase in year-over-year sales. Biking is something to do right now. [Wall Street Journal]
    • On Monday, the lockdown will be further relaxed by the Czech government. Weddings of up to 10 people will start to be allowed. Gyms are expected to open on May 11, but their change rooms will remain closed. (I’m surprised by this one.) Malls, hotels, and indoor restaurants aren’t expected to reopen until June 8 at the earliest. Should the number of new daily cases exceed 400 going forward, the government has said it will reimpose a lockdown. [Wall Street Journal]
    • The UK is not yet considering a relaxation of its lockdown. As of Sunday, the situation remains “deeply worrying.” The UK currently has the 5th highest national death toll. [Globe and Mail]
    • On April 13, Emmanuel Macron announced that France would begin a phased reopening of its economy — schools and some businesses — starting on May 11. This is a unique approach. He gave a firm date, well into the future. What if this doesn’t make sense when the time comes? Clearly the government felt that the psychological benefits of a firm date outweighed the potential risks. Minimize uncertainty during an uncertain time. [Le Monde]
    • Lots of discussion around the porosity of borders. Logically, there’s a view that unless there’s a common strategy, it’s better to keep borders closed. But what are the economic implications of doing that? [New York Times]

    Photo by Grant Lemons on Unsplash

  • Beer over water and the contributions of John Snow

    The work of John Snow is instrumental to the field of epidemiology. In the mid-19th century, during what was the third major outbreak of cholera, he created the following map showing the clusters of cholera cases in London’s Soho neighborhood. Stacked rectangles were used to indicate the number of cholera cases in a particular location. This was a major breakthrough for the fight against cholera because, at the time, it wasn’t clear what was causing it. According to Wikipedia, there were two main competing theories. There was the miasma theory, which posited that cholera was caused by bad particles in the air. And there was the germ theory, which posited that cholera could be passed along through food and/or water.

    By mapping the clusters of cases, Snow discovered a concentration of incidents in around the intersection of Broad Street and Cambridge Street (now Lexington Street) where a water pump was located that drew water from the Thames. This led Snow to the conclusion that it was maybe a bad idea to offer up polluted river water as drinking water. And sure enough, when the pump was shut off and residents were directed to other nearby pumps, the incidences of cholera began to decline. The germ theory had proven to be true.

    The first time I saw John Snow’s map was in architecture school. Perhaps many of you have seen it as well. It is often used to illustrate the potential of visual representations to not only tell a story, but to teach the creator what that story actually is. In hindsight, it may seem obvious that polluted river water is something that we maybe shouldn’t drink, but it wasn’t at the time. This map helped people understand that. Today, we have far more sophisticated tools available to us, but we still have a lot to learn and we’re doing that every day — particularly during a pandemic.

    One other thing worth mentioning is that there are a few exceptions to Snow’s findings. Supposedly, many of the workers in a nearby brewery were able to completely avoid the cholera infection during the outbreak by only drinking their own brew. Some say it is because the brewery had its own water source, whereas others say it is because the brewing process — the water is boiled — kills the cholera bacteria. Either way, I think the moral of this story is pretty clear: when in doubt, choose beer over water.

    Map: Wikipedia

  • The latest coronavirus figures

    The Financial Times has some of the best charts/graphics that I have seen on the coronavirus and its impact. They’re also free and regularly updated. Below is the cumulative number of deaths, by number of days since the 10th death (last updated March 23 at 21:00 GMT). I prefer this to the number of cases because it is more precise, though impacted by things like demographics. The number of cases is impacted by how good you are at testing. Some countries have been far better than others. And what we are continuing to learn is that lots of people were and are completely asymptomatic.

    Seeing China (and Iran?) continue to flatten out is encouraging. (Note the logarithmic scale.)

    Here has been the impact to the Chinese economy. It’s slowing coming back.

    And here are traffic volumes around the world. This chart was published on Sunday, March 22. At that time, Tokyo looked to be largely business as usual.

  • Living in a denser London

    LSE Cities has just published a new report called, Living in a denser London: How residents see their homes. The goal of the research project was to better understand how modern housing projects are working (or not working) for Londoners. And so they connected with over 500 residents from 14 completed housing projects and got their feedback on everything from built form to community engagement. Most of the housing projects were completed in the last ten years, but they also surveyed projects from 1980, 1947, and 1902. If you don’t feel like going through the full report, there is also this website and this short film.

    Image: LSE Cities

  • The future of central London

    The Centre for London has just published an interesting report called, Core Values: The Future of Central London. Like most city centers, Central London (or the Central Activities Zone as the report calls it) punches well above its geographic weight.

    Central London occupies about 0.01% of the UK’s total landmass, but is responsible for about 10% of its economic output. It represents about 2% of London’s total footprint, but is responsible for about 40% of total employment and about 45% of economic output.

    Here’s another interesting stat:

    From 1961 to 1983, the residential population of CAZ boroughs in London fell from about 2.5 to 1.7 million. And things really didn’t begin to turnaround until the late 1980s. It took until 2018 for the population to return to 2.5 million. Makes me wonder: How concerned do you think people were in the late 1970s about housing affordability in Central London?

    To read the full report, click here.

    Chart: Centre for London

  • Working from somewhere

    From the outset, people have been predicting that the internet would become a decentralizing force for cities. That is, technology would allow us to spread out and work from anywhere — perhaps from a small mountain town in the BC interior. While working from home (WFH) and working from anywhere (WFA) does appear to be on the rise, it hasn’t made cities irrelevant. (US Census data from 2018 estimates that only about 5.2% of Americans work entirely from home.) In fact, the “new economy” seems to have made superstar cities, such as London, seemingly even more important. It has concentrated economic activity; so much so that we’re searching for ways to spread out income and wealth more evenly.

    But could it be that the technology simply wasn’t there yet? Fred Wilson posited on his blog today that right now might be video conferencing’s moment. Between not wanting to travel (coronavirus, carbon footprint, time, etc…) and advancements in the actual technology, companies such as Zoom are changing the way people and companies engage over long distances. It is happening in our offices. And come to think of it, there are probably a bunch of meetings that I could and should switch over to Zoom. I’m not yet convinced that it will become a decentralizing force for cities. But it does seem to be empowering less travel and more flexibility.

    Photo by Nastuh Abootalebi on Unsplash

  • Economies of agglomeration in London

    The media tends to describe agglomeration economies — one of the benefits of big urban areas — as being entirely serendipitous. Minimize travel. Maximize chance encounters at the local coffee shop. And then all of a sudden patents will go up and new startups will emerge. That does that happen, I’m sure, but there’s a bit more structure to a lot of these encounters. Economies of agglomeration is not just about serendipity. It is about the benefits of and the decision to concentrate economic activity.

    Last week, a think tank in the North of England (IPPR North) published a report outlining, among other things, job creation and productivity across England. Based on these metrics, London and the South East dominate, with “productivity” in London being by far the highest. Almost half of England’s new jobs over the last decade were in these two regions. Above is a chart from the Financial Times. The trade-off is wealth and income inequality. And the report does look to how the government could address this centralization of power and wealth.

    Like Singapore’s low fertility rate, this is an instance of leaning into the wind.

  • Systemizing Airbnb

    Wired recently published a long read called, “I stumbled across a huge Airbnb scam that’s taking over London.” Apparently the people who do these sorts of things on the platform (things that are both illegal and questionable) call it “systemizing.” This is the process of trying to create scale. Secure lots of units. Create a bunch of fake/duplicate accounts. And try and maximize revenue.

    This obviously runs counter to Airbnb’s mission of “authentic places”, “community”, and “local hosts.” But as Benedict Evans points out in his latest newsletter, “where there is money and people, there will be scams.” And Airbnb is obviously doing everything it can to quash this kind of activity, especially as it prepares for a possible IPO this year. The company has a policy of zero tolerance.

    Fraud and government regulation are likely to be the two biggest kinks to work out as the company gets ready for public consumption. I am sure an equilibrium will be found; it’s just going to take some time and a few lawyers. It goes to show you just how challenging startups can be when you combine digital (tech) and physical (real estate).

  • Two-up, two-down

    Feargus O’Sullivan is doing a series in CityLab right now on the “home designs” that define four European cities: London, Berlin, Amsterdam, and Paris. The first one is on London’s classic “two-up, two-down” design, which refers to a two storey home with a living room and kitchen on the ground floor and two bedrooms on the second. It’s a simple design, but one that has supposedly endured.

    O’Sullivan argues that for many, or perhaps most in Britain, this is what a “home” feels like. It’s grade-related and there are two floors. Indeed, only 14% of British people live in an apartment, compared to 57% in Germany (a majority). This percentage is much higher in London, with about 43% of people living in an apartment. But about 25% of the population still lives in some sort of attached house.

    Home equals house. And for us North Americans, this is of course relatable. But the Germany example is a reminder that this is not necessarily universal. Attitudes toward housing are cultural. And cultures can and do change. I am seeing that happen right now in Toronto. Some of us are becoming less like the British and more like the Germans.

  • Brutalism is fashionable again, kind of

    I think it’s time to make it official: Brutalism is fashionable again. Okay, kind of. According to this WSJ article, the appreciation for this style of architecture remains nowhere near universal, but the renaissance is certainly continuing. Some Brutalist structures are and have been torn down; while others are being repurposed.

    One recent example is the Balfron Tower in East London (pictured above). Designed by the Hungarian-born architect Ernő Goldfinger and completed in the 1960s as social housing, the tower is currently undergoing a £40 million renovation that will convert it to market-rate housing. Apartments start at £365,000 (USD 472,054) for a 450 square foot one bedroom.

    One notable feature are the “streets in the sky” that separate the building’s circulation (elevator core) from the actual suites. It’s a peculiar way to build and most never consider it today, but it’s very much a hallmark of the Brutalist movement. The idea was to express the building’s various functions — vertical circulation being one of them.

    I guess we just don’t build them like we used to.

    Photo: Walter Homann via the WSJ