The Rebalancing Act
Several years ago, Central Virginia resolved to rebalance its economic base, tilting its investments and incentives toward high-tech, high-wage industries. The result? Lynchburg recently ranked third in the nation for high-tech GDP growth and No. 1 in the state for positive business and career outlooks.
"The practice of economic development used to focus on infrastructure—land, roads, power, water, and other tangible assets," says Bryan David, executive director of the Region 2000 Economic Development Council. "Today, it's about ideas, innovation, talent, and skills. In Central Virginia, we're fortunate to have the best of both worlds: all of the traditional resources plus the tech-savvy leadership it takes to support advanced manufacturing, an expanding professional and technical services sector, and growth industries like healthcare."
Recent statistics verify David's assessment of the region. A 2010 study by the California-based Milken Institute ranked the Lynchburg area No. 35 overall on its list of "Best-Performing Cities" for job growth, salary increases, and expansion of high-tech industries. That's a considerable jump up from No. 60 the year before. And a closer look at Milken's data shows what happened. From 2004–2009 Lynchburg ranked third in the nation for high-tech GDP growth, helping Central Virginia to leap twenty-five positions in a single bound. Only the Washington-Arlington-Alexandria region ranked higher in the state.
Forbes magazine's "Best Places For Business and Careers" 2010 survey ranked Lynchburg No. 28 among the nation's top 200 metropolitan areas. The city's position on the list placed it above all other large metros in the state, making Lynchburg No. 1 in Virginia. A report from Richmond's Magnum Institute sheds light on what types of companies and careers are transforming the region into a hot prospect. According to Magnum, between 2001 and 2009 the area lost 7,231 traditional manufacturing jobs. However, those losses were offset by the addition of 8,656 jobs in healthcare; professional, scientific, and technical services; accommodation and food service; education; and wholesale trade.
X-Prize as a Symbol
These days, the word "manufacturing" conjures fading, rust-belt images. But in Central Virginia, the picture has remained bright, thanks to the region's mix of technology-driven industries in six primary sectors: advanced manufacturing, energy, engineering, information technology, pharmaceutical, and wireless communications.
Advanced manufacturing requires a workforce with a sophisticated skill set to start, and the ability to upgrade those skills quickly in response to innovation. Manufacturing industries remain among the region's largest employers, thanks to unique collaborations that bring business leaders together with local governments and area educators to ensure workforce competencies in math and science, provide pathways for professional development, and invest in new research facilities for local industry and university scientists and engineers.
When describing the area's economic advantages, it's hard to resist quoting Progressive Automotive X Prize–winner Oliver Kuttner and his Edison2 team. Several months before Kuttner was awarded $5 million for his game-changing Very Light Car, the crew worked around the clock inside a renovated warehouse in downtown Lynchburg. Explaining his choice of location, Kuttner told The News & Advance "I really like Lynchburg because it's a city with an industrial base. What Lynchburg has, the country (as a whole) is losing."
At the Center
Central Virginia's commitment to driving economic growth through innovation is demonstrated in its $7.6 million investment in the Center for Advanced Engineering and Research (CAER). Opening its doors in 2011, the new center is the culmination of a regional initiative to enhance industry-focused R&D by providing local access to university research and inventions. Engineers, scientists, and educators use the facility for applied research, product development, commercialization, and training.
As a hub, the CAER brings together public and private money, and fosters collaboration among the region's best and brightest. The center has established master research agreements with Virginia Tech, University of Virginia, James Madison, and Liberty University.
The two-story building provides more than 35,500 square feet of space, with roughly 70 percent dedicated to industry research, 20 percent to education and community outreach, and 10 percent for administrative support. The center is designed for LEED certification and occupies about 6 ½ acres of a 28-acre parcel in the New London Business and Technology Park in Bedford County.
Virginia Delegate Kathy Byron, who played a key role in supporting the funding of the facility, explained the center's mission and purpose in down-to-earth terms: "The CAER will bring jobs to our region and will serve to make this an attractive home to industries that are committed to technological innovation. It is projected that for every $1 million of research, 35 high-paying jobs will be produced. By supporting the R&D needs of our businesses, we make the Lynchburg region the place for them to grow and flourish."
Region 2000
The Center for Advanced Engineering and Research (CAER) is one of the six organizations that comprise the Virginia Region 2000 Partnership. The others are:
• EDC: Economic Development Council
• LGC: Local Government Council
• R2TC: Technology Council
• WIB: Workforce Investment Board
• YPCV: Young Professionals of Central Virginia
These organizations work together to create a supportive business environment for the cities, towns, and counties that make up the 2,000 square miles surrounding Lynchburg.
The region's economic strength lies in its broad base of employers, including two large nuclear energy firms employing
3 percent of the region's workforce, major insurance and financial services firms, a sizeable medical complex, and six colleges and universities. More than 20 percent of the workforce continues to be employed in the technology-based manufacturing sector, consisting of more than 200 manufacturers (plastics, wireless equipment, health and beauty products, materials handling equipment, and more).
LYNCHBURG CITY
Lynchburg does an outstanding job of developing its economic future while preserving its historic legacy. The city fosters a strong sense of community, boasting friendly residential neighborhoods, top-rated public education, and year-round cultural and recreational activities.
• Size: 49 square miles
• Population: 75,568
• Median Household Income: $38,314
• Median Home Value: $146,000
• City Hall: (434) 856-2489
AMHERST COUNTY
This county is home to a number of thriving businesses, agriculture, local industries, quaint small towns, shopping areas, and wonderful residential neighborhoods offering beautiful views of the Blue Ridge Mountains. Amherst County also prides itself on numerous golf courses, wineries, lakes, parks, trails, and campgrounds.
• Size: 475.18 square miles
• Population: 32,353
• Median Household Income: $47,529
• Median Home Value: $187,774
• Town Hall: (434) 946-9400
APPOMATTOX COUNTY
Appomattox residents have the opportunity to experience the timeless, charming appeal of small-town America every day. Filled with historical landmarks, great antiquing, pleasant restaurants, and true southern hospitality, this one-of-a-kind place draws visitors from all over the country. The area is nationally known for its Civil War ties, but it's the strong local banks, high-speed WiMAX technology, low taxes and utilities costs, and local training opportunities that entice people to call Appomattox "home."
• Size: 2.2 square miles (Town of Appomattox)
• Population: 14,973
• Median Household Income: $46,403
• Median Home Value: $173,847
• Town Hall: (434) 352-8268
BEDFORD COUNTY
Bedford County is one of the fastest growing counties in Virginia. With rolling, hilly terrain and popular vacation spots like Smith Mountain Lake, Bedford County abounds with natural beauty and outdoor recreational opportunities. In addition, a successful business environment provides reasonable costs, a strong work ethic, high productivity, and low turnover rates.
• Size: 764 square miles
• Population: 68,676
• Median Household Income: $52,119
• Median Home Value: $186,600
• Town Hall: (540) 586-7601
BEDFORD CITY
The City of Bedford's Historic Centertown, a National Historic District, features antique and specialty shops, art galleries, cafés and restaurants, and music venues. The city is also home to several cutting-edge textile, specialty manufacturing, and graphics industries.
• Size: 6.8 square miles
• Population: 6,222
• Median Household Income: $36,596
• Median Home Value: $189,234
• City Hall: (540) 587-6001
CAMPBELL COUNTY
From its beginnings as a frontier settlement, to its emergence as a tobacco producer, and then as a center for industrial manufacturing, Campbell County has continually evolved in response to local, national, and global economic opportunities. The number of small businesses in the county is increasing along with suburban development. Campbell County is committed to continued economic development while maintaining its outstanding quality of life.
• Size: 504 square miles
• Population: 54,842
• Median Household Income: $47,385
• Median Home Value: $187,506
• Town Hall: (434) 592-9525
