Tapping into the economy of inner cities requires that a business do more than just set up shop. In the new economy of the 21st century, Katz said, cities need to compete and change how they do it. Reforms are needed because at present, most cities are not equipped to compete, he said. I don't think many of them are primed to succeed in the new economy. Streamlining the ways cities deal with businesses and helping inner city neighborhoods contribute economically beyond the cities themselves will help revitalize those cities, Katz said.
Developers find building housing and office facilities in cities in a timely fashion very difficult.
There are many obstacles to making it happen, such as the time it takes to assemble land, cleaning it up if it is contaminated, getting clean title, getting all variances, permits, historical preservation if applicable, zoning and so on. Cities don't really have a streamlined way so the real estate market can function. Katz said it is counter productive in light of declining population in metropolitan Buffalo, Rochester and Syracuse for the state to continue spending larger and larger amounts of money on the highway system. Governments also need to make reforms, he said. A whole series of laws, regulatory practices and bureaucracy has hidden the assets of urban markets from public and private view.