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- [00:01]
Sami Sriram
When we go into a new region, networks matter. Experience matters.
- [00:04]
Bloomberg Media Studios Announcer
For an inside look at the global connections that help businesses succeed, search for Turning Point brought to you by Bloomberg Media Studios and hsbc.
- [00:15]
Akshat Ratty
There are two kinds of people in the world, people who think about climate change and people who are doing something about it. On the Zero podcast, we talk to both kinds of people, people you've heard of, like Bill Gates.
- [00:26]
Brett Pulley
I'm looking at what the world has to do to get to zero, not using climate as a moral crusade.
- [00:33]
Akshat Ratty
And the creative minds you haven't heard of yet. It is serious stuff, but never doom and gloom. I am Akshat Ratty. Listen to Zero every Thursday from Bloomberg Podcasts on Apple, Spotify or anywhere else you get your podcasts.
- [00:48]
Bloomberg Media Studios Announcer
Bloomberg Audio Studios Podcasts Radio news.
- [00:53]
Tim Stanweck
You're listening to Bloomberg businessweek with Carol Massar and Tim Stanweck on Bloomberg Radio. Carol Massar, when you think of Atlanta in business, what comes to mind?
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Katie Kirkpatrick
Brett?
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Carol Massar
Polly.
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Tim Stanweck
Okay, that's the right answer. All right. Okay. Well, maybe I set you up a lot of things.
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Carol Massar
I mean, there's been a lot happening in that city.
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Tim Stanweck
There has. Okay. So if you think about the mainstays, right, Coca Cola.
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Katie Kirkpatrick
Yes.
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Tim Stanweck
Delta Airlines AT&T. Emory, UPS, they are all among the largest employers in the area. And by population, it's actually the sixth largest market in the U.S. our next guest charged with attracting businesses to Atlanta, keeping them there, and working with policymakers to make the climate attractive to capital. Katie Kirkpatrick is president and CEO of the Metro Atlanta Chamber. He represents businesses, colleges and universities, nonprofits, too, across the greater Atlanta area. She joins us here in the Bloomberg Interactive Brokers studio. Also here, Brett Pulley.
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Katie Kirkpatrick
Yes.
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Tim Stanweck
The man we think of when we think of business in Atlanta, he's Atlanta bureau chief for Bloomberg News. We love it when he comes to New York and can join us here in the studio. Welcome to both of you. Katie, you compete with other major metropolitan areas to attract and retain businesses. Mercedes Benz, Rivian, Duracell are among the recent wins for you and your team. Why is your area the best to do business in your view?
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Katie Kirkpatrick
That's a pretty simple equation. We have the world's largest and most efficient airport, meaning.
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Tim Stanweck
Hold on, hold on. Efficient.
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Katie Kirkpatrick
Yes.
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Tim Stanweck
Okay. I've walked through that airport before.
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Katie Kirkpatrick
Efficient.
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Tim Stanweck
Did not feel efficient to me. But anyway, sorry, go ahead.
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Katie Kirkpatrick
We can talk about jfk, which I showed it to yesterday off air, offline. But the airport is a really important asset because if you're in business and you're either working in the United States or internationally, you can get anywhere with a direct flight and that's a big selling point. In fact, you can get to 80% of the United States within a two hour direct flight from Atlanta. That's pretty good for business development. And then if you're international, we have direct flights all over the world. Second piece is we have an incredibly robust university system, higher education system. A lot of people don't know that we have more than 60 colleges and universities within the twentynine county metro Atlanta area. That does not include University of Georgia, believe it or not. And that means we have 300,000 full time equivalent students. So we're diverse for talent and opportunity. So that's another piece. And then of course, we have deep, deep bones around supply chain and logistics. And so we were initially called Terminus before we became Atlanta. And that's because that's where the railroads all came in. It's where our highways come in. So supply chain and logistics is really the bread and butter of our economy. You mentioned Delta, you mentioned up. You didn't mention the Home Depot, which is.
- [03:42]
Carol Massar
And I say that because if we.
- [03:44]
Katie Kirkpatrick
Think about moving products, right, the Home Depot is moving product every day as well as all these others. Delta, of course, is moving people. So those are some of the assets that we talk about and seem to be compelling for companies when they're thinking about Atlanta.
- [03:57]
Carol Massar
Brett, I want you to come in, you cover Atlanta. You've covered actually business news for a long time and under kind of the cross between money, technology, politics, economy. But when you look at Atlanta, what do we need to understand about Atlanta? And I know you caught up with Katie earlier, but give us a quick primer, if you will, on what's going on in Atlanta.
- [04:15]
Brett Pulley
Well, I do think Katie has certainly hit on some key things and a couple of them that really resonate, you know, one is the fact that it is a transportation hub and long has been, as she said it was known as Terminus. Where, which. And the airport, as you mentioned, Tim. Look, everyone knows that airport, right? And it is amazing. And one of the wonderful things about being there, I've been there five years now, is I can go just about anywhere in the world non stop. And, and that's nice. And I get there very fast. But you do have to cover some.
- [04:50]
Tim Stanweck
Distance there, get your steps in.
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Brett Pulley
You know, the airport has been in the news in recent days as it relates to a lot of the stuff we're talking about. And Katie and I talked about this earlier today, the fact that the mayor now is given Atlanta's History and even the airport's history. A lot of people don't know. That airport was really expanded and developed very much with what is referred to as DEI today, but certainly with that as its foundation. And that's been something that's been really sort of pivotal in creating this sort of unique class of upwardly mobile, diverse entrepreneurs that, you know, who are in Atlanta. Well, the mayor in recent days refused to change those initiatives around the airport. And as a result, the city lost, oh, I think $37.5 million so far in federal funding. We've seen the same thing in the news today in New York. Very similar, much larger amount right again around infrastructure and again around dei. So it's, it's really interesting and it's. It's something that, you know, I'd love to hear Katie talk about. How does a city, a place like Atlanta, again, which is the cradle of the civil rights movement, right. And, and many of the things that we now know today is dei. How do you balance that? How does a business community balance that fact, that reality, that historical past with the demands from the White House today?
- [06:25]
Katie Kirkpatrick
It's pretty simple. You acknowledge what your past is. And because we are the cradle of the civil rights movement, our DNA is steeped in having a diverse workforce, a diverse community, and the mayor doesn't shy away from that. And I think if he had, it would have been inauthentic to who we are as a community. And so from a corporate perspective, corporations are going to hire the talent, where they find it, and they're going to look for quality. And that is one of the biggest strengths that we have in metro Atlanta right now is a diverse, well educated population that can fill the jobs that we are creating. So while the mayor may have made that decision, I think it's indicative of the DNA of who we are as a region. And we're not going to shy away from that authentic piece of our history. If we don't, I think we don't look true to ourselves.
- [07:16]
Carol Massar
I am curious, though, Katie, because I think one of the things that we talk so much as a result of this administration is the fear that's out there, whether it's among politicians, certainly on the other side of the political aisle here, or whether it's in the corporate community. Nobody wants to be a target. Nobody wants to be in a social media tweet. And here we are with a government shutdown. You've got the White House halting $18 billion in New York infrastructure funding due to concerns over diversity and inclusion practices. Things are being politicized. So how do you make sure that the city's DI programs aren't causing problem or undue notice by the White House, are causing you guys to lose federal dollars?
- [07:56]
Katie Kirkpatrick
Yeah, I think what's important is the ethos that we have in Atlanta, which is really that corporate, political and civic all work together. And so people come and go in local, state, and federal politics. What doesn't change is who we are as a community. And so from a corporation standpoint is they're going to continue to do what their customers want to what their employees, what their shareholders ask for them to do. Change comes and go, but if they can stick to what their strategy is and they can stick to who their purpose and what their purpose is, I think that's how you move through this moment. And that is what I'm hearing from our CEOs, is we're just going to keep executing on our strategic plan. We're going to do what's best for who we serve. And that, in the end, is going to be good for us as a company and ultimately as a community.
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Brett Pulley
Yeah, it's really interesting. You know, Katie's not just whistling Dixie when she talks about the. The corporate and the community partnership. I mean, I have to tell you, I have been really impressed by the level of civic engagement. Right. And it goes again, to this point, I mean, anecdotes abound about the extent to which Coca Cola worked with Martin Luther King and. And the civil rights movement. Right. And this wasn't like everyone was necessarily jumping in, willing to do it. But I think that the city and the business leaders recognized that it was a business imperative. Right. If they were going to be successful as business people. Probably the same thing we're facing as a country. You know, one thing, the other thing I'll mention really quick is transportation, which. Which Katie mentioned as well. Big, big deal. And, you know, and I'm not talking about the transportation hub now. I'm talking about transportation around this f really rapidly spreading city. And I mentioned that on my way to the airport yesterday, I saw an accident. Wasn't the accident that held up traffic, it was the driverless Waymo that held up traffic.
- [09:57]
Carol Massar
I love driverless Waymo.
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Katie Kirkpatrick
Thank you.
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Brett Pulley
Because they couldn't figure out what to do because the accident was there.
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Tim Stanweck
But I'd like them.
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Brett Pulley
Maybe that's a solution for Atlanta. But what do you do about marta, the public transportation system, and making all of that work better?
- [10:13]
Katie Kirkpatrick
Yeah. So we're one of 11 cities that have a heavy rail system and that is always an asset for us when we're thinking about growth. Right. What a better way to talk about. You can land at the Atlanta airport and you can be in downtown or Midtown within about 15 minutes. Straight shot for $2.50. That is an easy selling point. Now, that system has to work for everybody. And that is the opportunity that we have, is creating a system that has better headways, has a better customer experience, and perhaps also modernizes itself, its stations and its trains, and that's the direction it's going. But the business community cares. And so we are actively engaged with our transit system very different than the system that is here in terms of its construction and governance. So we're doing what we can to make sure that they are delivering on the promises. I think the point, Brett, that you were making about transportation, I said this to you earlier. It's a success jam that we experience. Tell me one urban city where you have been, where there has been growth and no traffic. It really is a symptom of our success. And I know that's hard if you're sitting at it or you're stuck behind a waymo that gets, you know, disoriented. But at the end of the day, it tells me that we must be doing something right.
- [11:30]
Carol Massar
I don't know. Here in New York, we've been successful for a long time, and the traffic's been here for a long time. I've been waiting and waiting and waiting. So.
- [11:37]
Katie Kirkpatrick
Right. So, I mean, it's a.
- [11:39]
Carol Massar
It's a. I hear what you're saying.
- [11:41]
Katie Kirkpatrick
If we didn't have that success, we wouldn't have those growth nodes that we see around our region. That's really what has happened, is we moved from one central business district to a second one to about eight now, and they're all over the region. And that allows you to live, work and play close to one central location.
- [11:59]
Tim Stanweck
So let's talk about live, work and play, because the other thing that comes up with economic development and attracting and retaining business is employees and finding places for employees to be able to live affordably while working where they want to work in an area that is growing, such as Atlanta, how do you make sure that you're working with different constituencies to make sure that housing is abundant for these people you want to attract.
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Katie Kirkpatrick
That's a national problem. We aren't alone. And it's a.
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Tim Stanweck
It's a national problem, but it's a local. It's a problem with local regulations.
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Katie Kirkpatrick
Have to. You have to solve it at the local level.
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Tim Stanweck
You can't solve it nationally.
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Katie Kirkpatrick
But we are not alone in the need for increased supply. Right.
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Carol Massar
Problem for a long time.
- [12:37]
Katie Kirkpatrick
30 years. We have been under your for 30 years. The chair of my board right now is the CEO of Pulte Group. Yeah. Which is the third largest home builder in the United States. And he has been very instructive with us to think about it. We're an economic development organization, okay. So we think about creating jobs. So the second thing we think about is where do we get the talent to fill the job? How are we skilling them? Right. He goes, are you thinking about where they're going to lay their head at night? And I said, gosh, we really haven't thought about that. And he said, for every two jobs you create, you need one home. And so if you have 30 years of under building across the United States, I think it's 4 million homes. We are behind you not only have to build the amount you need every year, you now have to play catch up. So the way that we have engaged is working with the corporate community. We're working with our state politicians because they have a role. Even though local zoning controls, they will have a role in how growth proceeds. And then also working with local governments to think about how do we take our transit system and build transit oriented Development and put housing right on transit. That is an opportunity that's low hanging fruit for us. So that's how we're thinking about it. But this is relatively new. What is the role of the business community and thinking about how to create affordable housing? And when I say affordable, I mean attainable. It is not. It's all layers of the stack.
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Tim Stanweck
They should have an interest in it because if there isn't housing, then it's expensive. Then you have to pay your employees more. And that obviously hits margins. So there are ripple effects throughout the economy if there's no housing.
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Katie Kirkpatrick
You've just captured what Ryan Marshall says on a daily basis to us that is incumbent upon us as an organization to actually kind of push the local and state governments to do more. And then also as an organization, what can we do to support them?
- [14:27]
Carol Massar
You sound very optimistic, which I love, because, you know, it's certainly been an interesting year to say the least. And interesting sometimes means difficult and stressful. Tariffs, other White House policies, inflation. What impact is any of that having on development in your city?
- [14:42]
Katie Kirkpatrick
Yeah, we haven't seen anything yet and I think that's largely nothing. Yeah, no, I haven't heard any companies make any major decisions based on tariffs or trade. We haven't heard of massive freezing or hiring layoffs or layoffs of individuals. I think that is largely. And again, this is my personal opinion. But what I have gleaned from CEOs.
- [15:03]
Carol Massar
You talk to CEOs. I do daily talk to community leaders. And they're not saying, yeah, we're not doing this project because no, they in.
- [15:10]
Katie Kirkpatrick
Some ways have just said, well, we're sitting in what I would say watch mode for the moment. Like, where are we going? Where are we heading? What is that strategy and vision ahead. Remember, we're only nine months into this administration, so I think a lot of, remember, we're only nine months in.
- [15:25]
Carol Massar
Look at all that has happened.
- [15:27]
Katie Kirkpatrick
But what I am hearing from CEOs is they have a strategy. Yeah. That they have developed with their board, their shareholders have adopted, and they are just controlling what they can control. And that is moving forward. And that's what I'm hearing from the C suite in Atlanta.
- [15:40]
Carol Massar
All right, we only have about 30, 40 seconds. But Brett, I want to give you the last question.
- [15:44]
Brett Pulley
Well, real quick, one of the big projects we talk about things going for centennial yards.
- [15:49]
Katie Kirkpatrick
Yeah.
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Brett Pulley
$5 billion project right around the stadium's a big entertainment district. How's that going? Tariffs are not slowing that down. And will it be ready for the World Cup?
- [16:02]
Katie Kirkpatrick
It will be ready for the World cup, at least phase one, which includes a hotel and apartments. If you are familiar with Hudson Yards, it's a stack on stack on stack. It's the same developer that did Hudson Yards. This was a 50 acre undeveloped for 70 years gash in our downtown and it is going to be ready. We're not only going to have house, housing and hotels, we're also going to have an entertainment space that will be constructed and online called Cosm by June 1st. So we're really excited about the opportunity to display that when World cup kicks off June 1st.
- [16:36]
Carol Massar
Just around the corner.
- [16:37]
Katie Kirkpatrick
Yeah. Right when you have a countdown clock, Trust me.
- [16:42]
Carol Massar
What a joy to have both of you here in studio. Katie Kirkpatrick, president, CEO of the Metro Atlanta Chamber.
- [16:48]
Katie Kirkpatrick
Thank you.
- [16:48]
Carol Massar
Thank you so much. Hope we can catch up again with.
- [16:50]
Katie Kirkpatrick
You in the future.
- [16:51]
Carol Massar
And Brett, Poly, always good to have you normally in Atlanta, but here in our New York studio. Great to have you here. He is Atlanta bureau chief at Bloomberg News.
- [17:03]
Bloomberg Media Studios Announcer
What's the secret to navigating uncharted waters in business? Meet Sami Sriram from Clearbot, a startup reshaping autonomous shipping. Hear her take on the real key to success, frictionless user experiences that move your business forward.
- [17:18]
Sami Sriram
When we go into a new region, you need to make sure that the experience of using something new is good. Because if not, then you make the bad first impression. They never try it again. We are just trying to find the right partner, somebody who knows the right people to speak to, somebody that is as invested as we are.
- [17:34]
Bloomberg Media Studios Announcer
For more on what it takes to unlock global growth, search for Turning Point.
- [17:38]
Sami Sriram
That intention really matters. We want to build something that becomes the norm.
- [17:42]
Bloomberg Media Studios Announcer
Brought to you by Bloomberg Media Studios and hsbc. Wherever your business takes you, HSBC can help.