Starting a major innovative project that will change the world can be a very interesting and frustrating time filled with excitement.  You have the vision and you know every detail about what the project will look like when it’s done, but now it becomes important to transmit that vision to someone with the resources and passion to help bring that vision to reality.

In the process you will meet with numerous people that have an interest in your project as well as connections to people with the resources you need.  In the Mathias Island at Fortune Bay project we have met some of the most interesting and knowledgeable people in the world, from geotechnical engineers to people responsible for the first private vehicle to leave our atmosphere.  I am still in awe of the people we have discussed our project with and their accomplishments.

It is now time for us to address our future accomplishments.  In the process of meeting with the numerous experts we have had the pleasure of doing business with we have learned some incredible lessons.  It is not an easy process, but if it were easy anyone could do it.  As I watch the Olympics and see the spectacular talent and skill it takes to win a gold medal I am reminded of our process.  To see teams that have worked for 18 years finally winning their gold medal humbles me, highlighting just how little time I have put towards this effort thus far and calling to mind all the future expenditures of my time and energy that it will take to make this project a reality.

As daunting as it seems, I am not ready to give up.  On the contrary it makes me appreciate how far we have come in the short time we have been working on this project.  Certainly I have seen myself hurtling down a snowy mountainside hoping to avoid the trees, but it takes some good bruises and scrapes to really appreciate the job that we are doing.  Each crash has taught me something about getting back up and not doing it that way again and that has made me a smarter, more resourceful businessman.

The economy has been in a downward spiral and many believe it has a long way to go before it hits the bottom.  It has made a lot of investors very gun shy about becoming part of a major project where their resources are vulnerable.  It’s actually quite interesting that many who started out as risk takers are now very conservative and afraid of the future because they are not willing to take the risks anymore and are watching their empires crumble.  It was funny to watch the emotions sway the stock market crash of 2008 and 2009 because many of the people that lived their lives on the mantra “buy low/sell high” ran like scared children when stocks were at their lowest point.   This should have been their opportunity to buy very good stocks at bargain basement prices, but they were too afraid of the risk.  Most stocks like Citibank, Bank of America, Texas Instruments, Intel, and many others doubled or tripled their value from the initial crash.

In this time of panicked investors and a government that is predicting gloom and doom, it is a challenge to find people that want to become involved in a project with as far reaching goals as Mathias Island at Fortune Bay, but in their defense they just want to protect the assets they have left.  The time has come though for investors to start looking to the future and stop living in the past – or even in the present.  We are in a new world economy and there are incredible opportunities for investors that have a vision for the future.  Our project represents a path to future prosperity.

The people with the resources have been interested in our project and we are still communicating with them, but the big issue at this point, besides the economy, is “skin in the game.”  Investors want to know that whomever they deal with has a real vested interest in the project and can be relied upon to protect their assets with the same vigor that they themselves would.  To many, especially ones with banking or financial experience, this means a percent of cost.   For example, when buying a new home the bank wants the buyer to put up 20% to help assure the bank that the buyer has a vested interest in protecting their investment and thereby protecting the bank’s investment.   The problem with this limited view is that when buying a home the home is not a functioning business that brings in capital until it is sold. With major projects the real value is in the business paying for itself and returning a profit to the owners and investors for many years to come.

Real “skin in the game” is the drive to succeed, the willingness to turn life upside down and sacrifice whatever it takes to succeed.  Lindsey Vonn, after winning gold in downhill skiing with a bruised shin, summed it up when she said, “This is everything I’ve wanted and hoped for. I gave up everything for this.”  This is the real skin in the game.

For us that have been involved in the Mathias Island at Fortune Bay project this is something we understand very well.  There has been a cost to us of a lot more than just money.  Everyone involved in this project also had a regular job that required a great deal of our time and attention.  We have worked on this project for the past 4 years outside of our regular jobs with over 5000 hours of our family time directed at this project and our relationships have suffered a great deal.  I lost a wonderful woman that I have been with for a long time.  My partner is still in counseling to save his marriage.  We have not taken the commitment to this project lightly and know that in order to succeed we have to make sacrifices and suffer loses.  It doesn’t make it any easier to see the things you have lost, but you can’t work on a project of this nature without it being the main focus of your life.

There have also been unreimbursed business expenses associated with traveling around the country to discuss our project with experts in their field and potential investors as well as the unpaid time away from work to attend meetings and conferences. There have been the normal office costs such as printing expenses, conference room rentals, web hosting, and legal fees.  All of these costs have been absorbed at our expense because we knew that in order to make this project a reality sacrifices needed to be made.

There is no doubt that monetarily we have not spent enough to justify having significant skin in the game at a percentage of the project costs to meet the balance sheet definition, but this country was founded on the principle that if you never gave up and worked in blood, sweat and tears you could accomplish anything – and we believe that to be true.  Under that definition we’ve put our pound of flesh into the game, and we have added passion and determination to that list.

I concede that the economy is not in good shape, but I will not support the notion that it will be seven to ten years before we pull out of it.  There is no shortage of people with money to invest in this economy. Investors that have the vision to understand the potential of the Mathias Island at Fortune Bay project will also be poised to start profiting from it when the economy does turn around because this project will be well ahead of the ones waiting for the turn around.

The skin in the game we have offered is much more valuable than just an infusion of money, because money can be regained.  Our dedication, passion, and determination can not be regained, but our success will easily justify the effort and the expenditure of our blood, sweat, and tears.  That’s the real skin in the game that makes innovation work.

History has shown that the most success comes from having courage when everyone else is afraid.  We’re ready to charge forward in the scrimmage – do you have the courage to fight with us?

~ Nick

All the talk earlier about improving quality of life through the use of technology and promoting social responsibility within and by a corporation is all well and good for blog articles, but how will all this happy talk be put into practice?  Timeless Designs Corporation has a project in mind for just that purpose.

Introduction

This project is nothing short of the most innovative and ambitious urban development project introduced in the United States in the past 50 years and is as significant to urban development as the introduction of the skyscraper.  It is the new Urban Revolution.  This project seriously addresses problems with climate change, dependence on foreign oil, integration of new technologies into our cities, utilization of the limited space and resources in our cities, and social issues within the very fabric of our society.  This project is a model that will be used by urban planners for decades to come.

Timeless Designs Corporation (TDC) builds communities. This community project, known as Mathias Island at Fortune Bay (MI@FB), incorporates a 250 acre bay, hundreds of acres of parks, bike and hiking trails, wildlife areas, a 1200 boat marina, all levels of schools, sports fields (including an arena dome and stadium), 2 hotels, 3 inns, a 5 million square foot mall, 4.3 million square feet of office space, 2.6 million square feet of retail space, a monorail transportation system and over 15,000 residences.  The community is engineered to be 100% self sufficient with self generated and clean alternative energy, water processing, waste management, and communications, including phone, internet, and television.

The modern subdivision uses approximately 1 acre for 14 small homes (approximately 1000 SF) and about 4 for homes over 3000 SF.  The average subdivision (with floor plans of varying sizes) uses 1 acre for 7 homes, but this figure does not include roads, schools, walkways, and parks. This figure does not include any retail or office space in the actual subdivision.  The fact is that in 1000 acres most subdivisions contain less than 4,000 homes and without retail or office space.  This is surely not good stewardship of our lands.

Smart Growth Strategies

To meet the demands of growing populations without furthering urban sprawl, city planners and developers are turning to smart growth strategies.  “Smart growth” is a term generally used to describe planning approaches to growth management that seek to balance the development of employment and housing opportunities within existing infrastructure and public services. Planning approaches such as mixed-use, transit-oriented development and new urbanism are considered smart growth strategies

Mixed-Use Development

In contrast to Euclidean zoning, the separation of land uses into single-use districts, mixed-used zoning permits multiple types of land uses within a single zoning district. For example, in a mixed-use zoning district, the construction and development of a residential apartment building may be permitted on a lot located between an office building and a restaurant, allowing both residential and commercial uses to co-exist in one area.  Mixed-uses may also be allowed within a single development project, such as a building with flower and coffee shops on the ground floor and apartments or offices on the floors above.  Mixed-use districts or zones are typically created either by amending the zoning ordinances of existing commercial districts to allow residential uses or by creating a residential overlay zone.

Transit-Oriented Development Zones

Transit-oriented development zones are created to maximize pedestrian access to public transportation. With this type of smart growth strategy, high-density residential or commercial development is zoned for development around a central transit station, with lower densities progressively spreading outwards. For example, a rail station may be immediately surrounded by multi-storied commercial and residential buildings, transitioning to single family residential and industrial facilities located farther out from the center of the city.

New Urbanism

“New urbanism” is the concept of creating pedestrian friendly metropolitan areas that contain a mix of uses, discernable town centers, and public spaces within a cohesive community.  Some of the key elements of new urbanism are: (i) the creation of urban neighborhoods where the activities of daily living and access to alternative modes of transportation are within walking distance; (ii) development at appropriate densities to prevent urban sprawl and to decrease reliance on automobiles; (iii) housing opportunities for all socio-economic levels; (iv) placement of parks and open public spaces throughout the urban area; and (v) the creation of graphic architectural and landscape design codes that define communities, public spaces, and streets.

As the population has become denser and air pollution more severe in recent decades, urban planners are turning to alternative methods of zoning to ensure sustainable growth.  Smart growth strategies encourage proximity of uses.  Environmental concerns increase demand for smart growth. As reducing excessive human impacts on the environment has become an American priority, smart growth has emerged as a major movement in twenty-first century urban planning.  The creation of a mixed-use district that puts everyday uses like a convenience store, drycleaner, and salon within walking distance of the home and office decreases the negative externalities of using automobiles, e.g., traffic congestion and air pollution.  As a result, the mixed-use approach to smart growth is experiencing a vigorous revival in American metropolitan areas.

In California, not only has smart growth become a good planning strategy, but it is now also encouraged by the law. The California Global Warming Solutions Act of  2006  (“AB  32”) requires that the State Air Resources Board adopt regulations that will reduce greenhouse gas (“GhG”) emissions to 1990 levels by 2020.   AB 32 primarily addresses source emissions from automobiles by improving technology.  That alone, however, is not enough to fulfill AB 32’s GhG reduction goals.  To target the patterns of human activity that lead to the use of automobiles, in 2008, California adopted Senate Bill 375 (“SB 375”).  SB 375 promotes significant changes in regional land use and transportation planning to further the GhG reduction goals of AB 32. One of SB 375’s strategies is to promote more compact land use to reduce the frequency and distance of trips made by automobiles. SB 375 seeks to redirect population growth to high density, mixed-use developments that are located around mass  transit  hubs. As  with  transit-oriented  development, mixed-use development encourages people to drive less, and, in theory, reduces GhG emissions.

SB 375 calls for action on the part of city planners and developers to implement these changes in land use patterns. In return, SB 375 provides certain incentives to developers to build mixed-use projects, such as relaxed environmental review and affordable housing benefits. SB 375 also provides public agencies with funding incentives to build or improve mass transportation systems.

Implementation of Smart Growth Strategies

While smart growth is a “smart” idea that should be advanced wherever possible mixed-use development is not a panacea for all the ills of urban sprawl. The United States Supreme Court and state courts found that the separation of uses may create a better quality of life for residents.  Today, however, mixed-use development is necessary in order to use resources more efficiently to meet the demands of the growing population and reduce GhG emissions.

Unfortunately, the compatibility issues that lead to single-use zoning are resurfacing in this new era of mixed-use. Thus, planners are stuck with a dichotomy that must be resolved in order to achieve both the goals of environmental responsibility and maintaining a high quality of life in an urban setting.  Industrial and commercial businesses are vital to a mixed-use district’s ability to thrive. Retaining existing businesses is necessary to meet the goals of SB 375 and smart growth because businesses provide an employment base for the new residents of the district and sustain the jobs-housing balance. Moreover, providing employment opportunities in close proximity to residential uses promotes walking and reduces vehicle miles traveled.

Despite the benefits of co-location, however, residential uses can be incompatible with industrial uses and other commercial activities. For example, an industrial facility may emit carcinogens or other pollutants harmful to residents, particularly children. Businesses may also generate other annoyances, such as noxious odors, excessive noise from operations or trucking, or nighttime lighting that interferes with sleep.  It may be impossible to adjust the existing business operations in a manner that is both compatible with residential uses and profitable to the same degree.

Mathias Island at Fortune Bay is that answer.  Mathias Island at Fortune Bay is a master planned, mixed use, “New Urbanist” village community that will function as a self-contained and fully sustainable community.  An example of this can be seen in the attached documents Leading the way Toward a Zero Waste Economy and USST IGCC Process Description.   750 tons of waste will be brought into the community, including the waste generated by the community, but the community will never see or sense that its receipt, storage, or conversion to energy (which will be used to power the community and create other products) is happening within their presence.  Waste will be trucked or brought in by rail to an offsite underground facility and then moved on conveyors underground to the waste management plant, where negative atmospheric pressure will keep all smells within the underground facility.  This is just one example of how industrial uses can be made to adapt to the mixed use community.

The problem with introducing mixed use into a city is that planning for the mixed-use district must be completed before a city begins introducing residential uses into existing urban commercial centers in order to ensure the compatibility of uses, the provision of an adequate mix of uses, and availability of public services and infrastructure capacity. Spot-zoning or ad hoc residential infill without regard to a project’s relationship to the rest of the urban area is likely to result in the failure of the district to satisfy smart growth goals.   This is not the case with this project that is building the infrastructure from the ground up with regard to all uses and compatibilities.  This reduces the cost tremendously and assures that all uses are provided for while guaranteeing that compatibilities are developed from the start. Architectural and design guide-lines will serve to create a cohesive community character.

This project contains a public transportation system that will allow movement anywhere within the community as well as outside the community.  Distribution of all goods from outside the community as well as within the community will be handled via the infrastructure, eliminating trucks within the community.  Walkways, bike paths, walking trails, and other pedestrian means will allow foot traffic to replace vehicle traffic.

Our business plan was written to share TDC’s vision of the future: a future built on efficiency, service to the public, the melding of nature and architecture, stewardship of the environment, and TDC’s belief that commitment to this vision will create an impressive return on investment.  Its purpose is to educate and inform forward thinking investors and city managers about a unique bayside development project to enhance their riverfront. TDC has selected a site that is an untapped resource with the potential for explosive growth over the next ten years and TDC expects to take advantage of this opportunity, while partnering with like-minded innovators that want to make a difference in the way urban development is practiced.  TDC is also communicating with approximately 7 other sites as a backup to the initial site selection.

Project Description

This country has problems. Oil prices, crime, traffic congestion, road rage, the gray skyline, deterioration of our cities, unplanned or poorly planned development, lost community pride and children in trouble because they have nothing to do. This could be elaborated upon, but you already know this. Can we solve these problems?  Do we wait for the government to regulate a solution?  Wait for someone to invent a solution that makes it all better?  OR do we take a bite out of the elephant? Our forefathers believed in this great nation as the most innovative, resourceful, and powerful leader of the free world. TDC agrees and will set an example that inspires others to take a bite as well. If we don’t, who will?

The Pew Research Center predicts that by 2050 the population in the United States will soar to nearly a half a billion people, placing unprecedented strain on housing and transportation in our urban centers. It’s clear that disaster is looming, and that someone has to do something substantive. Political double-speak and business-as-usual in energy production and urban development will only contribute to the problem.

TDC is driven to address these problems in a single prototype community. We at TDC are people of action, not words. TDC is stepping up to find innovative solutions that will spark the next evolution in urban development. TDC is not just a development company; TDC creates self contained village communities with modern technologies. MI@FB is a community of the future, without urban sprawl and tightly-packed “people towers,” with a 250 acre bay and marina as both a backdrop and a focus. Like the earth, water is its life’s blood. People are attracted to water and the most beautiful places in the world have water, which is the focus of the entire human lifestyle for residents and visitors alike. MI@FB brings them together in a community that has all but eliminated the car inside the community, is energy efficient and self-sufficient using alternative energy sources, and caters to members of the community at all levels of economic standing. The community contains the following objectives:

• Largest infill project in the United States
• All levels of socioeconomic residents
• Residents can live, work, and play all within the community
• 100% clean, self generated energy
• 100% private funded public transportation
• 15,000+ residences
• Over 10 million square feet of commercial and office space
• 100% hidden and protected utilities
• No internal roads
• No automobiles/trucks within is core areas
• Underground automated distribution of all goods, both personal and commercial
• All automotive parking on the outskirts of the property is 100% automated (which reduces the parking footprint by 3/4) and totally secured (no stolen cars, theft, vehicle damage)
• Will contain wildlife areas, parks, extensive playgrounds, kid’s fishing pond, baseball/soccer fields
• Elementary, Junior High, and High Schools, with mentoring support from local businesses

TDC has designed a community that is virtually vehicle free, safe for playing children, convenient for residents, comfortable for visitors and residents alike, will attract guests to enjoy the community, is cost effective for business owners and residents, and returns a healthy profit for investors, without overcharging for its services.  The real magic of this community though, is that everything is based on tried-and-true technologies, some of which are very familiar and some that are less so, but no less proven. The very nature of the design is tying these common aspects of current communities with the benefits from other communities around the world into one well planned and forward thinking community of tomorrow. This community will set the stage for our evolution into the 22^nd century. Not only does it endorse alternative energy, it actually provides a practical application of its use.

The MI@FB project is a master planned, 1000 acre, mixed use, self contained community that will set the standard for all urban developments and redevelopments throughout the United States. This community will consist of high density residential and business components that blend within a natural environment where nature and technology interface with each other beautifully.  MI@FB will provide up to 100% of its power requirements through onsite alternative energy generation.  The community will be free of vehicle traffic, which will be restricted to two exterior roads of the community.  Privately funded public transportation incorporating a raised monorail system will allow access to all areas of the MI@FB community.   All deliveries and movement of goods throughout the community will be facilitated by the use of a subterranean tunnel system incorporating an automated, shuttle based conveyor system and distribution center.

Project Economics

An Economic Impact Analysis for the Sacramento Railyards was prepared by Economic & Planning Systems Inc., in November 2007,  which was based on an economic analysis of a 240 acre development which included approximately 10,700 housing units, 1.4 million square feet of retail space, 2 million square feet of office space, 490,000 square feet of mixed use of historical/cultural, and 1,100 hotel rooms.

This analysis estimated that the base project would generate a total of $5.7 billion (2007$) in direct and indirect impacts, $3.5 billion (2007$) in income impacts for approximately 55,700 job years (2,800 annual jobs over 20 years), and $3.5 billion in new income during construction.  At build out (project complete) project would generate approximately $2.8 billion in direct, indirect, and induced output annual income and support approximately 19,100 jobs annually countywide. Local government source income would be approximately $297.7 million annually.

Mathias Island at Fortune Bay is a much larger project, but would be considered a major success if it met these requirements for the smaller Railyard project.  Economy of scale, integrated infrastructure, self supplied energy, and many other innovations would reduce operating cost considerably.

Next Steps

Timeless Designs’ next step is to find capital partners to fund detailed planning and land acquisition.  This process is already underway, and before long the project should begin in earnest.  Check back often for updates, and visit the company’s website.