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Business News Transportation

Following Zipcar’s Cincinnati expansion, car-sharing company acquired by Avis

Just 49 days after Zipcar announced that it would expand its services in Cincinnati, the car-sharing company announced that it had struck a deal to be purchased for $491.2 million by Avis.

The move by Avis, into the car-sharing sector, follows those of Enterprise and Hertz, and is seen as a critical evolutionary step for the traditional car rental company.

As the nation’s largest car-sharing company with more than 760,000 members, Zipcar offers its customers a way to move about urban environments without needing to own a car. Their slogan – “Wheels when you need them” – has increasingly hit home with young people that have been migrating back towards urban centers and ditching their cars.


A Zipcar on 12th Street in between Vine and Race Streets. Photograph by Randy Simes for UrbanCincy.

According to the U.S. Department of Transportation (DOT), overall vehicle-miles traveled (VMT) have reached their lowest levels since 2003, and that per capita VMT to levels not seen since 1998.

Furthermore, the University of Michigan Transportation Research Institute has found that teenagers are delaying the pursuit of getting their driver’s license with just 31 percent of 16-year-olds getting their driver’s license in 2008.

“By combining with Zipcar, we will significantly increase our growth potential, both in the United States and internationally, and will position our company to better serve a greater variety of consumer and commercial transportation needs,” said Ronald L. Nelson, Avis Budget Group chairman and chief executive officer. “We see car sharing as highly complementary to traditional car rental, with rapid growth potential and representing a scalable opportunity for us as a combined company.”

While car-sharing continues to see explosive growth locally and nationally, now estimated to be a $400 million industry, it is yet to be seen what the merger will mean to car-sharing customers wary of getting behind the wheel of a “traditional” car rental company.

Wrote Adam Richardson in the Harvard Business Review, “Any time an incumbent acquires a disruptor there are challenges, and in this case, they stem from the very core of Zipcar’s existence: how it has created a sense of community with its customers and how it has used technology to create a scalable user experience that its customers love.”

Naturally, Zipcar leadership expects bright days ahead with more cars at more locations, new service offerings, and similar levels of service.

“This is a major win for Zipsters around the world,” Zipcar management wrote in an e-mail distributed to its customers. “With the global footprint, backing, and talented leadership of Avis, we’re going to step on the gas.”

Car-sharing has been available in Cincinnati since 2011. Rates start at $8.50 per hour, and 11 cars are available at five different locations in the Central Business District, Over-the-Rhine, Clifton Heights and Corryville.

Categories
Up To Speed

Should the FRA allow Amtrak to use lighter passenger trains?

Should the FRA allow Amtrak to use lighter passenger trains?.

Amtrak has historically been mandated by Congress to do all sorts of things that it otherwise would not willingly do on its own (i.e. run long distance routes to nowhere), but they are currently working to get the FRA to remove a regulation that would reduce its costs for operations and expansion. More from Slate:

Amtrak is going to push to get the Federal Rail Administration to change the safety regulations that force its passenger trains to be much heavier than the ones used in Europe and Japan. Relief from this rules has three kinds of advantages. One is that lighter trains use less fuel and thus are cheaper to operate. A second is that lighter trains can accelerate faster, making trips shorter.

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Up To Speed

The Best Open Data Releases of 2012

The Best Open Data Releases of 2012.

The year 2012 is over. But it’s important to occasionally look back and see what we did well, and not so well, as a society over the last 12 months. One particular item that has become increasingly more significant in planning our cities is open data. From tracking crime in Philadelphia, bikeshare activity in Boston, transit usage in Atlanta, green roofs in Chicago, to rat sightings in New York City…open data has gone viral. More from The Atlantic on the top 10 open data releases of 2012:

Last year, Atlantic Cities named ten of its favorite metro datasets of 2011 from cities across North America, illustrating the breadth of what we might learn (regarding mosquito traps! misplaced vehicles! energy consumption!) in the still relatively young field of urban open data. For this year’s installment, we’re going one step further. Sure, raw data is great. But useful tools, maps and data visualizations built with said data are even better.

In this story, you’ll find our picks for 2012’s best open data releases from municipal vaults, with an emphasis on tools that can be used by anyone, not just developers and data geeks.

Categories
Up To Speed

Tolled highways may soon become part of everyday life in Cincinnati

Tolled highways may soon become part of everyday life in Cincinnati.

The unwillingness of lawmakers to approve an increase to gasoline taxes is causing otherwise unforeseen effects. State officials from both Ohio and Kentucky have already stated that the reconstruction of the Brent Spence Bridge will require modern tolling, and now Ohio Governor John Kasich (R) is expanding the idea by proposing the use of high-occupancy toll (HOT) lanes on the reconstructed portion of I-75 through Hamilton County, in order to help pay for other state transportation projects. More from the Cincinnati Enquirer:

The Ohio Department of Transportation will launch a study in coming months to examine charging tolls to motorists who want to travel quickly in uncongested lanes. Motorists could pay to use these so-called “price-managed” lanes, or continue to travel for free in lanes jammed with heavy traffic.

Price-managed lanes have become a national trend as states face transportation budget shortfalls and rising congestion in urban areas. The two-year, $105 billion federal transportation bill passed last summer opened the door for states to do more tolling – and Ohio is jumping in.

Gov. John Kasich launched an aggressive effort early this year to consider tolling and other alternative funding to eliminate a $1.6 billion transportation deficit and move up construction schedules on projects across the state…At some point, the I-75 corridor stretching from the Western Hills Viaduct to I-275 could be added to the list of highways eligible for price-managed lanes. That’s because the $980 million I-75 construction projects – separated into two, eight-phase plans known as the Mill Creek Expressway and Thru the Valley – call for one new lane to be added in each direction.

Categories
Business Development News Opinion

Large vacant buildings should be transitioned into urban community centers

Could the Bartlett Building be transformed into something completely different? Photograph by Thadd Fiala for UrbanCincy.

Throughout the United States there are cities that have large vacant buildings and spaces in their central business district that could be utilized in a new efficient way.

In Cincinnati, the old School for the Creative & Performing Arts was recently auctioned off and is slated to be turned into apartments. In the CBD the Bartlett Building, Tower Place Mall, and Terrace Plaza Hotel remain empty or nearly empty and take up about one-fourth of a city block each.

Some think these buildings could be prime residential properties, but they could be that and more. A large vacant building, for example, could be developed into a mixed use community center.

My inspiration actually came from the Up To Speed story on UrbanCincy about a rock climbing gym in St. Louis. I thought to myself that Cincinnati can have something similar and better. Downtown Cincinnati and OTR/Pendleton are becoming destinations for young adults and families for both restaurants and bars.

Turning a large vacant building into a destination point for physical and social activity would add a whole new dimension to the city. The following ideas are what could go collectively into a large empty building:

  • Rock Climbing Gym – With the exception of the UC recreation center, all of the rock climbing centers are on the outer edge of the city.
  • Paintball Arena – This would be an extremely unique idea for the area as there are minimal indoor paintball facilities and could be a draw for different work or teambuilding groups.
  • Exercise Gym/Running Track – The gyms downtown are mostly old and do not offer enough space or have odd floor plans. Renovating a vacant building would allow plenty of space with tall ceilings and large windows that could allow natural light and have a large open space for exercise equipment. A downtown gym with enough space can offer a full menu of classes including Crossfit, spinning, yoga and Zumba, to bring in a broad range of people looking to exercise. A running track a fraction of the size of an outdoor track could be installed for those that do not like treadmill, but want to run indoors.
  • Basketball Court/Indoor Soccer – Large office buildings could utilize a few stories to carve out a basketball/indoor soccer surface and hold leagues and practices for area schools and AAU teams.
  • Batting Cages/Pitching Tunnels – The basement of a building could be an ideal area for batting cages and pitching tunnels for baseball and softball practice during the cold months. These cages and tunnels are easily moved and can be repositioned to make room for more activities inside the building.
  • Golf Simulators/Nets/Putting Green – This would be another unique addition to an urban area with little green space for golf. Workers could play a quick round during their lunch break or warm up before they go out to one of Cincinnati or Hamilton County’s public courses. This would also allow for urban dwellers a space they could walk to for golf lessons.
  • Offices – With additional amenities a building would become more attractive to businesses.
  • Apartments – To make the building a true mixed use development, apartments could be added as this would be a true “luxury apartment” with a real gym (unlike those found at too many apartment complexes that only have a treadmill and Bowflex and call it a gym) and the ability to walk to some of the most popular dining destinations in the city.

To compare a potential community center downtown with other recreational centers, the Recreation & Physical Activity Center at Ohio State University has a total of 570,000 square feet of space including the pools, while 25,000 square feet is fitness space for weights and treadmills. By contrast, the Campus Recreation Center at the University of Cincinnati has 202,000 square feet including its pools.

The options of what to include in these large, empty spaces are endless, but a truly mixed use development would be better suited for the community than simply offices, apartments, and art studio space. The gyms downtown are old and do not offer enough space, or have odd floor plans. Rock climbing and paintball would draw younger crowds, and the students in the area could benefit from having additional practice facilities.

A neighborhood needs young families as well as young professionals. This would be a good start to try and draw them to the core and keep them there.

Brian Valerio grew up in Cincinnati’s College Hill neighborhood and graduated from St. Xavier High School and Ohio State University where he studied finance and real estate. He currently works at Fifth Third Bank and lives downtown. Those interested in sharing their thoughts can submit guest editorials to UrbanCincy by emailing urbancincy@gmail.com. Please include a short bio with any submissions.