Navigating Growth: Key Insights from the East Dallas Economic Summit
The future of East Dallas, encompassing critical themes like urban development, public safety, and economic resilience, took center stage at the 15th annual Greater East Dallas Chamber of Commerce Economic Summit. Held recently in Dallas, the event gathered prominent city leaders, real estate professionals, small business owners, and economic experts to discuss the region’s dynamic landscape and chart a course for sustainable growth. With CC Young Senior Living as the title sponsor and Daltxrealestate.com among the key media sponsors, the summit offered invaluable perspectives on the opportunities and challenges facing one of Dallas’s most vibrant areas.
The discussions were particularly timely, addressing the rapid influx of young professionals drawn to Dallas’s thriving job market – a market that consistently outpaces state and national employment growth, even surpassing California as a leading state for job creation. However, this impressive growth brings its own set of complexities, from managing housing demand to ensuring the safety and quality of life that retain residents and businesses. The summit underscored that while Dallas is booming, thoughtful planning and strategic investments are essential to maintain its appeal and foster long-term prosperity.
East Dallas Leadership: A Unified Vision for Economic Development
East Dallas is uniquely represented by three of the city’s newest council members and the Deputy Mayor Pro Tem, forming a dynamic leadership quartet focused on driving economic development across their diverse districts. This group includes District 14’s David Blewett, District 7’s Adam Bazaldua, District 9’s Paula Blackmon, and District 10 Councilman and Deputy Mayor Pro Tem Adam McGough. Together, they shared their distinct yet interconnected visions for fostering growth and addressing community needs within their East Dallas jurisdictions, which stretch from the historic Fair Park to the serene White Rock Lake.
Public Safety: The Cornerstone of Urban Growth
One of the most pressing issues dominating the summit’s agenda was public safety. As Dallas continues to attract a significant number of young professionals who seek modern apartments in popular areas like Uptown, Deep Ellum, and the Medical District – where median rents for two-bedroom units hover around $1,130 according to Apartmentlist.com – concerns about an uptick in crime rates could jeopardize this growth. Council members emphasized that a safe environment is not merely a convenience but a fundamental requirement for attracting and retaining residents and businesses. Without it, the allure of urban living diminishes, potentially driving valuable talent to the suburbs.
#EastDallasWorks Dallas City Councilmember @DavidBlewettD14 says public safety is key not only to attracting people to Dallas but KEEPING them in Dallas. “We need a safe environment for people to stay here.”
— Daltxrealestate (@Daltxrealestate) October 15, 2019
Councilmember David Blewett of District 14 articulated this sentiment clearly, stating that public safety is paramount not just for initial attraction but for long-term retention. His words resonated with the attendees, highlighting the understanding that a vibrant economy depends on residents feeling secure in their neighborhoods and workplaces. This sentiment was echoed by Councilman Adam McGough of District 10, representing areas like Lake Highlands, who unequivocally declared, “Economic development is tied to public safety. We have to start there.” McGough proudly cited the success of initiatives like Project Safe Neighborhood, which has led to significant arrests and the closure of crime hotspots within his district. The positive impact is already tangible, with developers reportedly calling for tours of his district – a marked change from previous years, indicating renewed confidence in the area’s safety and investment potential.
#EastDallasWorks Lake Highlands councilmember @AdamMcGoughD10: “Economic development is tied to public safety. We have to start there.” Project Safe Neighborhood has made arrests and closed crime hotspot. For first time in ages, developers calling him for tours of his district. pic.twitter.com/7vZwfoEzFI
— Daltxrealestate (@Daltxrealestate) October 15, 2019
Project Safe Neighborhood, a national initiative spearheaded by the Department of Justice, plays a crucial role in enhancing local safety. It aims to reduce violent crime by fostering collaboration between federal, state, and local law enforcement agencies and supporting community-based programs. In Lake Highlands, specific areas were previously identified as having some of the highest crime rates in Texas, as noted by Assistant U.S. Attorneys in 2018. A notable success story involved the task force’s decisive action in November 2018, which led to the shutdown of J’s Food Mart, a notorious criminal hotspot situated at Whitehurst Drive near Skillman. These targeted efforts demonstrate a proactive approach to crime reduction, directly contributing to the economic revitalization of historically challenging neighborhoods.
Fair Park: Preserving History, Building a Future
The immense development potential of Fair Park emerged as another focal point of the summit, with Councilman Adam Bazaldua of District 7 articulating a bold vision. Bazaldua emphasized the delicate balance required to “preserve history while being lifted up,” stressing the need to address longstanding issues without displacing existing low-income families. He acknowledged that Fair Park has historically been perceived as the “stepchild of the city,” with past infrastructure projects like highways built to divide communities rather than connect them. Despite these historical challenges, Fair Park boasts the world’s largest collection of Art Deco buildings, making it an undeniable “crown jewel” of Dallas. Its 277-acre expanse was chosen in 1936 to host the world’s fair commemorating the Texas Republic’s centennial, resulting in a meticulously designed site that remains the only intact and unaltered pre-1950s world fair site in the United States, according to FairPark.org. The challenge now lies in leveraging this rich heritage for economic upliftment while ensuring equitable development that benefits all residents of the surrounding communities.
#EastDallasWorks Council member @AdamBazaldua says his Fair Park district “For so long has been the stepchild of the city.” Says highways were built to divide communities. But it has largest collection of Art Deco buildings on the world. “Crown jewel” of city.
— Daltxrealestate (@Daltxrealestate) October 15, 2019
White Rock Lake: A Commitment to Preservation
For Councilwoman Paula Blackmon, representing the White Rock Lake District, economic development carries a distinct meaning: less emphasis on commercial expansion and a greater focus on environmental preservation. Her priority is unequivocally “keeping it a park and keeping it a pristine park.” This commitment stems from the recognition of White Rock Lake’s invaluable ecological, recreational, and aesthetic contributions to East Dallas. The lake serves as a vital green space, offering residents opportunities for outdoor activities, while also being a critical habitat for diverse wildlife. However, years of natural wear and tear, coupled with increased usage, have presented significant challenges. Blackmon highlighted critical issues such as declining water quality, failing dams, and eroding shorelines. To address these concerns proactively, she announced an upcoming agenda item focused on a comprehensive lake dredging study. This proactive measure aims to restore the lake’s health, ensuring its continued beauty and utility for future generations, while safeguarding it against potentially detrimental commercial ventures.
#EastDallasWorks The priority for Councilwoman @paulablackmon‘s White Rock Lake District: “Keeping it a park and keeping it a pristine park.” She has an upcoming agenda item for lake dredging study. “The water quality, the dams are failing, the shorelines need to be fixed.” pic.twitter.com/2j7L2AQsZl
— Daltxrealestate (@Daltxrealestate) October 15, 2019
Dallas/Fort Worth Real Estate: Navigating a Dynamic Market
The summit also featured Steve Brown, the respected real estate columnist for the Dallas Morning News, who offered a candid assessment of the residential and commercial real estate environment in Dallas/Fort Worth. His insights were particularly pertinent given that the DFW metroplex was recognized as the best market for real estate in 2019 by the prestigious Emerging Trends in Real Estate report from the Urban Land Institute. This accolade underscores DFW’s robust economic fundamentals, including its diverse job market, corporate relocations, and relatively affordable cost of living compared to other major U.S. cities.
Brown highlighted a significant challenge: “We’re in the biggest housing shortage since World War II.” This scarcity of available homes, driven by sustained population growth and limited new construction, has profound implications for both affordability and market dynamics. To mitigate this deficit, the region is experiencing an unprecedented boom in apartment construction. With only a 5% vacancy rate in existing apartments, Brown asserted, “We need every damn one of them.” This surge in multifamily development is a direct response to the demand from new residents and those priced out of the single-family home market. A RealPage report cited by Brown confirmed DFW’s leading position nationally in the number of apartment units under construction, surpassing other major metropolitan areas like Washington, D.C., Los Angeles, Houston, and Seattle.
#EastDallasWorks “We’re in the biggest housing shortage since World War II,” says Real Estate columnist @SteveBrownDMN. To accommodate, more apartments are coming. Only a 5% vacancy rate in apts. “We need every damn one of them.”
— Daltxrealestate (@Daltxrealestate) October 15, 2019
The tightening home supply and escalating property prices are also impacting real estate investment strategies. Brown noted that profitably flipping homes in DFW is becoming increasingly challenging. The latest quarter saw a 28 percent decline in home flips, with the average profit margin shrinking to approximately $38,000. This trend suggests a maturing market where easy gains are harder to come by, requiring investors to adopt more sophisticated strategies and value-add approaches.
Economic Outlook: Navigating Recession Fears and Global Trade
The conversation pivoted to broader economic trends, addressing the perennial question of a looming recession. Pia Orrenius from the Federal Reserve Bank of Dallas provided a nuanced perspective, stating that a recession was “not forecasted at this time.” However, she cautioned attendees to monitor a critical indicator: “Slowing is led by business investment, not the consumer. That’s what we need to watch going forward.” This distinction is significant; a slowdown driven by business investment often signals a lack of confidence in future demand or an increase in uncertainty, which can precede broader economic contractions. In contrast, consumer spending, which remains relatively robust, provides a buffer against a sharp downturn. Understanding these dynamics is vital for local businesses and policymakers alike to prepare for potential shifts in the economic landscape.
#EastDallasWorks Recession? Not forecasted at this time. But “Slowing is lead by business investment, not the consumer,” says Pia Orrenius of @FederalReserveBank of Dallas. “That’s what we need to watch going forward.” pic.twitter.com/fYCTWZ38H
— Daltxrealestate (@Daltxrealestate) October 15, 2019
Orrenius also highlighted Texas’s impressive performance in global trade, largely benefiting from globalization. The growth in Texas exports has been “phenomenal,” establishing the state as the number one exporting state in the nation. In 2018, Texas accounted for 19% of national exports, significantly leading California, which held 10.7%. This robust export sector, driven by industries like petroleum and coal products, chemicals, and machinery, makes the Texas economy remarkably resilient to domestic fluctuations. The ability to tap into international markets provides a stable demand source, further bolstering the state’s economic standing and creating diverse job opportunities across various sectors.
#EastDallasWorks Texas has benefitted from #globalization. Growth in Texas exports has been “phenomenal” to become No. 1 exporting state in the nation, Dallas Fed tells East Dallas Chamber of Commerce Economic Summit. With 19%, Texas leads California, 10.7% in 2018.
— Daltxrealestate (@Daltxrealestate) October 15, 2019
Entrepreneurial Journeys: A Fireside Chat
Concluding the summit on an inspiring note was a “Fireside Chat” featuring the dynamic husband-and-wife duo, Alexa Conomos and Bradley Anderson. Conomos, a former WFAA Anchor, media consultant, and recent podcaster alongside Ron Corning, joined her husband, Bradley Anderson, a recognized Dallas attorney by day and a successful restaurateur by night. Anderson is behind popular Dallas establishments such as Hillside Tavern, Veritas Wine Bar, Boulevardier, and Rapscallion. Their conversation delved into the intricacies of entrepreneurship, offering candid insights into the challenges and rewards of balancing a traditional “day job” with ambitious “entrepreneurial endeavors.” They shared their personal journeys, discussing the transition from established careers to building their own businesses, navigating risks, and finding equilibrium between professional responsibilities and creative ventures. Their story served as a powerful testament to the entrepreneurial spirit thriving in Dallas, inspiring attendees to consider their own paths to innovation and self-reliance within the city’s burgeoning economic landscape.
#EastDallasWorks Former WFAA anchor @alexaconomos and restauranteur husband Bradley Anderson sharing their entrepreneurial experience with @GEDallasChamber. pic.twitter.com/ufWRz727Qi
— Daltxrealestate (@Daltxrealestate) October 15, 2019
Conclusion: A Bright Future for East Dallas
The 15th annual Greater East Dallas Chamber of Commerce Economic Summit provided a comprehensive and forward-looking perspective on the region. From the unwavering commitment of city council members to enhancing public safety and preserving natural treasures like White Rock Lake, to the ambitious plans for revitalizing historical assets such as Fair Park, the message was clear: East Dallas is a community actively shaping its future. Insights into the booming DFW real estate market highlighted both the opportunities and the imperative for sustainable housing solutions. Furthermore, the expert economic outlook reinforced Texas’s robust position on the global stage, even as local leaders remain vigilant about potential economic shifts. The inspiring stories of local entrepreneurs underscored the innovative spirit that fuels the local economy. Collectively, these discussions paint a picture of a dynamic, engaged community poised for continued economic development, all while striving to maintain its unique character and enhance the quality of life for its residents.