Investment in parks supports economic growth in U.S. cities, according to a new comprehensive study from Trust for Public Land. In response to urban centers struggling with office vacancies downtown, population decline and a shrinking tax base, the report found that heavy investment in parks development attracted top companies and drove greater labor force participation.
“Parks are superfoods for cities, offering immense benefits for our health, climate and communities. They are essential building blocks of our cities, but for too long they have been considered ‘nice to haves’,” said Bianca Clarke, parks initiative lead and associate vice president, 10-Minute Walk Program, Trust for Public Land. “Our report demonstrates why this mindset needs to change, and shows how parks are crucial drivers of economic development. By prioritizing parks and open spaces, cities can foster inclusive growth, attract families and workers, and stand out as a top choice for businesses and jobs.”
The report, created in partnership with economic development firm HR&A Advisors, explored how five cities—Boise, Ida., Plano, Texas, Minneapolis, Boston and Atlanta—targeted their investments in parks to catalyze equitable economic growth and foster economic mobility.
Some of the key takeaways from the report include:
- Cities that invest in parks attract and retain talent: Cities where parks investment outpaces the national average boast notable concentrations of highly educated residents and greater labor force participation among the prime working age (25 to 54) compared to other populous cities in the U.S.
- Strong talent pools attract firms to start and expand their businesses in these cities: The pace of job growth in each of the five park-focused cities is on par or higher than the national average. Plano, Boise and Atlanta each show exceptionally high growth rates for young firms (five years or younger), indicating popularity among entrepreneurs and startups.
- Growth in talent and firms within these cities generates demand for real estate development, attracting private investment to build and redevelop housing and commercial space: Housing and office development are delivered at faster rates than the nation overall in cities that allocate capital toward parks and green space—a sign the real estate community sees promise in their growth. Proximity to parks may also support strengthened commercial real estate values. For example, the value of office buildings adjacent to the Rose Kennedy Greenway in Boston is significantly higher than those in Boston’s central business district.
The report also considers anti-displacement strategies to mitigate risk and equitably distribute economic benefits associated with parks. These strategies, such as inclusionary zoning for parks, community benefits agreements and tax increment financing, are already being deployed in the five case study cities to ensure economic growth creates wealth-building and career opportunities for all residents.
To develop the report, HR&A analyzed parks investment and economic vitality in U.S. cities using Trust for Public Land’s ParkScore data and standard indicators of economic health. HR&A also interviewed a range of business and civic leaders in each of the five cities, including representatives from local government, business improvement districts, real estate developers, and other private firms and civic institutions.
“In digging into the data, we were surprised to see how extensively parks funding influenced key economic indicators like talent retention and new construction in these case study cities,” said Jill Bengochea, a director at HR&A Advisors. “Cities around the country today are on more equal footing in terms of attracting national and global business and new talent, thanks in large part to the shifting work paradigm. The cities that win are likely to be the same ones that invest in their parks and public realm due to its role in a community’s quality of life.”